SSI Financing Sustainable

Shipping

Peter H Jantzen - Wärtsilä

Jonathan Stoneley - Cargill

• Markets and behaviours hinder uptake of new

technologies and techniques that could improve the

sustainability of shipping

• For example, investment in energy efficiency does not

guarantee financial reward from the fuel savings

• How to share the risk of retrofit to encourage the uptake of

new technologies

The challenge

The opportunity

Aligning

Incentives and Risk

to significantly

increase the uptake

of new sustainable

technologies and

techniques

SSI vision

We want to develop financial solutions that reward

sustainable performance and enable large-scale uptake of

innovation, technology, design and operational efficiencies

The shipping industry is

making best use of financing

to drive sustainability

Our solution –

unique innovation

group

We’re convening a group of

shipping and finance

experts to innovate new

ways of distributing

financial risk and return that

enable increased

investment in sustainable

technologies or techniques

Benefits of this

collaborative

work stream

Engaged

stakeholders

from both

shipping and

finance

Increased

awareness of

the role of

financial

solutions

Self-

sustaining

groups to

implement

pilots

Industry

support for

new

approaches

Fewer

negative

impacts from

shipping

Some examples of financial models…

Sustainable Technology Fund

Financial packages with incentives for Sustainable

Technologies

Financial Models that share the risk of adopting

Sustainable Technologies by multiple parties in the

supply chain (technology providers, owner/operator,

financial institution)

• Launch workstream

• Set detailed scope and challenge

Apr 2012

• Engage stakeholders

• Initial research • Workshop to

form the basis of solutions

Apr-Sep 2012 • Extensive research, development and testing of ‘prototypes’

• Involve academics and sector

Oct – Dec 2012

• Refining solution and planning roadmap for pilot (1 day workshop)

Jan 2013 • Preparing for piloting of solution and broad promotion

• September 2013 launch

Feb – Sept 2013

Joining us – who and why

Ship owners and charterers

Technology providers

Shipping finance institutions

Legal and accountancy professionals

+ First mover advantage

+ Increased profitability, market share, diversity

+ Demonstrate leadership

+ Strong and active collaborative innovation

and product development groups

New ways of

financing are crucial to making cost effective

sustainable technologies and practices widespread in

the industry and rewarding those making investments

and taking risks

Outcomes

Short term:

• a suite of new ideas

for financial models

• we will have delivered at

least one new financial pilot.

Long term:

The shipping industry is

making best use of

financing to drive

sustainability

SSI Financing Sustainable

Shipping

Peter H Jantzen - Wärtsilä

Jonathan Stoneley - Cargill