Norwegian Cruise Line Holdings takes action against climate change

Norwegian Cruise Line Holdings takes action against climate change

NCLH lays out long-term strategy to reach carbon neutrality

Norwegian Cruise Line Holdings Ltd (NCLH) has committed to offsetting three million metric tonnes of greenhouse gas emissions over the next three years.

The leading global cruise company, which operates the Norwegian Cruise Line, Oceania Cruises and Regent Seven Seas Cruises brands, said its long-term climate action strategy to reach carbon neutrality will begin with reducing carbon intensity, implementing a carbon offsetting programme, investing in technology and exploring alternative fuels.

In line with its Sail & Sustain sustainability programme, NCLH previously signed the Cruise Lines International Association (CLIA) commitment to reduce the carbon emissions rate industry-wide by 40% by 2030 from a 2008 baseline.

NCLH’s Carbon Offset Programme will see the company purchase carbon credits to offset the three million MTCO2e over the three-year period from 2021 to 2024. Offset purchases are expected to ramp up in future years to reach the goal of carbon neutrality. This will help bridge the gap in decarbonisation efforts until new and better technology becomes available.

NCLH will reduce its overall carbon footprint by minimising fuel consumption and increasing energy efficiency. Ongoing investments in systems and technologies have resulted in a reduction of fuel consumption per capacity day of approximately 17% from 2008 to 2019 for the entire 28-ship fleet. Thus far, NCLH achieved an estimated 14% reduction in CO2 emissions per capacity day across its fleet between 2015 and 2019. As nine new, more fuel-efficient vessels are introduced to the fleet between now and 2027, this rate is expected to further decrease.


In addition, NCLH has partnered with CLIA and other maritime organisations to propose the establishment of a collaborative shipping research and development fund dedicated to the ultimate goal of eliminating CO2 emissions from international shipping. If approved, funding would come from a contribution per tonne of marine fuel purchased for consumption and is expected to amount to US$5 billion over a 10-year period. These funds will be used to finance the development of zero and near-zero GHG fuels and propulsion technologies.

“We take climate change very seriously and have proactively developed a long-term strategy with an ambitious goal of reaching carbon neutrality through three action areas including reducing carbon intensity, identifying and investing in technology and implementing a carbon offset programme,” said Frank Del Rio, president and chief executive officer of NCLH. “Our commitment to purchase three million metric tons of carbon credits is a measurable step in near-term emissions reductions, which allows us to take action today and helps bridge the gap in our decarbonisation efforts as we prepare for a lower-carbon future.”

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