ESG Content Index
ESG Accounting Policies
| Topic | 1 January to 31 December 2022 |
| Scope & Consolidation | The adoption of the terminology Scope 1 and Scope 2 follows the guidelines of the GHG Protocol as below:
The data included in this report apply to Hafnia Ltd. and its controlled subsidiaries. Data collected for each company and office have been internally verified and are subject to control from an external carbon accountant prior to publication. For Scope 1 calculations, according to the GHG Protocol, a Control approach has been used, accounting for all vessels operated by Hafnia, whether these are owned by the Company or not. Emissions deriving from ships that have been sold during the year have been taken into account for the entire time they were operated by Hafnia. For the first time, and following the Green House Gas (GHG) Protocol, we are reporting the emissions coming from vessels sold during the year until we hand them over. Further assumptions for the calculations have been:
Technical management of an asset on behalf of third parties follows the same consolidation approach. Thus, data are consolidated by the asset owner/lessee who has operational control over the asset. |
| Direct GHG emissions (Scope 1) | Direct GHG emission from Hafnia’s activities, Scope 1, is the sum of all six Kyoto Gases: CO2, CH4, N2O, HFCs, PFCs, SF6 converted into CO2 equivalents. As of today, the only GHG emissions imputable to Hafnia are from CO2.The Scope 1 emissions have been calculated based on 113 vessels and ten vessels sold during the year. Data collected for Scope 1 emissions, across the full 2022 calendar year have been externally approved by March 31 2023 by the Recognised Organisation (RO) to be compliant with IMO DCS. |
| Indirect GHG (Scope 2) – location-based | Indirect GHG emissions, Scope 2, is the CO2e emitted from purchased electricity, steam and cooling in our offices in Singapore, Copenhagen, Dubai, Monaco and Houston.
The calculation is based on consumed electricity, district heating and cooling bought from a third party multiplied by the location-based IEA CO2 equivalent emission factors. |
ESG Index
ESG Reporting under the GRI standard
| GRI 2021 | Disclosure Title | Page in the report / Disclosure | |
| Universal Standards | |||
|---|---|---|---|
| GRI 2: General Disclosures | The organisation and its reporting practices | ||
| 2-1 | Organisational details | Hafnia: a Global Business Meet our Management Hafnia operates in more than 122 countries |
|
| 2-2 | Entities included in the organisation’s sustainability report | Notes to the Consolidated Financial Statements | |
| 2-3 | Reporting period, frequency and contact point | Investor Information ESG at a Glance |
|
| 2-4 | Restatements of information | Scope 1 & 2 Emissions ESG Content Index Our ESG Approach |
|
| 2-5 | External assurance | None | |
| Activities and workers | |||
| 2-6 | Activities, value chain and other business relationships | Hafnia’s Fleet Operating Highlights The Product Tanker market |
|
| 2-7 | Employees | Our Workforce Method used: Headcount, calculation has been conducted at the end of the reporting year |
|
| Governance | |||
| 2-9 | Governance structure and composition | Best in Class Governance Our Board & Management |
|
| 2-10 | Nomination and selection of the highest governance body | Committees | |
| 2-11 | Chair of the highest governance body | Our Board of Directors | |
| 2-12 | Role of the highest governance body in overseeing the management of impacts | Governance, Strategy & Targets Our Board & Management Corporate Governance Report |
|
| 2-13 | Delegation of responsibility for managing impacts | Governance, Strategy & Targets | |
| 2-14 | Highest governance body’s role in sustainability reporting | Our Board of Directors | |
| 2-15 | Conflicts of interest | Corporate Governance Report | |
| 2-16 | Communication of critical concerns | ESG at a Glance Speak-Up Culture – Whistle Blowing & Grievance Mechanism |
|
| 2-17 | Collective knowledge of highest governance body in sustainable reporting | Best in Class Governance On a quarterly basis for ESG matters |
|
| 2-18 | Evaluation of the performance of the highest governance body | Self-assessment evaluation | |
| 2-19 | Remuneration policies | Committees | |
| 2-20 | Process to determine remuneration | Committees No external consultants |
|
| 2-21 | Annual total compensation ratio and percentage increase | Not reported | |
| Strategy, policies and practices | |||
| 2-22 | Statement on sustainable development strategy | Governance, Strategy & Targets Climate Strategy |
|
| 2-23 | Policy commitments | Integrity & Business Ethics Our Compliance Program Code of Conduct Anti-Bribery & Anti-Corruption Speak-Up Culture – Whistle Blowing & Grievance Mechanism |
|
| 2-24 | Embedding policy commitments | Integrity & Business Ethics Our Compliance Program Code of Conduct Anti-Bribery & Anti-Corruption Speak-Up Culture – Whistle Blowing & Grievance Mechanism |
|
| 2-25 | Processes to remediate negative impacts | Speak-Up Culture – Whistle Blowing & Grievance Mechanism | |
| 2-26 | Mechanisms for seeking advice and raising concerns | Speak-Up Culture – Whistle Blowing & Grievance Mechanism | |
| 2-27 | Compliance with laws and regulations | Integrity & Business Ethics Our Compliance Program Code of Conduct Anti-Bribery & Anti-Corruption Speak-Up Culture – Whistle Blowing & Grievance Mechanism |
|
| Stakeholder Engagement | |||
| 2-29 | Approach to stakeholder engagement | Stakeholder Engagement | |
| GRI 3: Material Topics 2021 | Material Topics | ||
| 3-1 | Process to determine material topics | Our Impact on People & the Environment | |
| 3-2 | List of material topics | Our Impact on People & the Environment | |
| 3-3 | Management of material topics | Our Impact on People & the Environment Governance, Strategy & Targets |
|
| Topic Standards | |||
| GRI 201: Economic Performance 2016 | 201-1 | Direct economic value generated and distributed | Consolidated statement of comprehensive income Consolidated balance sheet Consolidated statement of changes in equity Consolidated Statement of Cash Flows |
| 201-2 | Financial implications and other risks and opportunities due to climate change | Risk Management Framework | |
| 201-3 | Defined benefit plan obligations and other retirement plans | Refer to Annual Report | |
| GRI 202: Market Presence 2016 | 202-1 | Ratios of standard entry level wage by gender compared to local minimum wage | Not applicable |
| 202-2 | Proportion of senior management hired from the local community | 33.3 % of the EMT is hired from local community defined as nationality of the country they work, Headquarters and commercial offices | |
| GRI 205: Anti-Corruption 2016 | 205-1 | Operations assessed for risks related to corruption Significant risks related to corruption | Anti-Bribery & Anti-Corruption |
| 205-2 | Communication and training about anti-corruption policies and proce- dures | Anti-Bribery & Anti-Corruption | |
| 205-3 | Confirmed incidents of corruption and actions taken | None | |
| GRI 206: Anti-Competitive Behaviour 2016 | 206-1 | Legal actions for anti-competitive behavior, anti-trust, and monopoly practices | ESG at a Glance |
| GRI 302: Energy 2016 | 302-1 | Energy consumption within the organisation | Scope 1 & 2 Emissions |
| GRI 304: Biodiversity 2016 | 304-2 | Significant impact of activities, products and services on biodiversity | Minimising our Impact on the Environment & Bidoversity Environmental Management System (EMS) Ecosystems & Biodiversity Non-GHG Emissions, Waste & Pollution Responsible Ship Recycling |
| GRI 305: Emissions 2016 | 305-1 | Direct (Scope 1) GHG emissions | Scope 1 & 2 Emissions Methodology consistent with Fourth IMO GHG Study |
| 305-5 | Reduction of GHG emissions associated to Scope 1 | Reducing our Emissions Investing in Low Carbon Solutions Scope 1 & 2 Emissions |
|
| 305-2 | Energy indirect (Scope 2) GHG emissions | Scope 1 & 2 Emissions | |
| 305-4 | GHG emissions intensity ratio for the organisation | Reducing our Emissions Investing in Low Carbon Solutions Scope 1 & 2 Emissions EE=I=11.01 |
|
| 305-5 | Reduction of GHG emission applicable to scope 2 | Refer to Annual Report | |
| 305-7 | Nitrogen oxides (NOx), sulfur oxides (SOx), and other significant air emissions | Non-GHG Emissions, Waste & Pollution | |
| GRI 306: Waste 2020 | 306-1 | Waste generation, management and significant waste-related impacts | Non-GHG Emissions, Waste & Pollution Responsible Ship Recycling |
| 306-2 | |||
| 306-5 | |||
| 306-3 | Waste generated | Non-GHG Emissions, Waste & Pollution | |
| GRI 401: Employment
|
401-1 | New employee hires and employee turnover | Our Workforce |
| 401-3 | Parental leave | Diversity, Inclusion, Belonging & Equity (DIBE) | |
| GRI 403: Occupational Health and safety 2018 | 403 1-10 | Occupational health and safety management system | Prioritising Health, Safety, & Security Safety Management Health & Wellness Security at Sea |
| GRI 404: Training and Education 2016 | 404-1 | Average hours of training per year per employee | Human Capital |
| 404-2 | Programs for upgrading employee skills and transition assistance programs | Human Capital | |
| 404-3 | Percentage of employees receiving regular performance and career development by gender and employee category | Human Capital | |
| GRI 405: Diversity and Equal Opportunity | 405-1 | Diversity of governance bodies and employees by gender and age group | Our Workforce Culture & Social Development Diversity, Inclusion, Belonging & Equity (DIBE) |
| 405-2 | Ratio of basic salary and remuneration of women to men, based on average pay for each gender group | Not reported | |
| GRI 410: Security Practices 2016 | 410-1 | Security training on human rights policies or procedures | Human Rights Code of Conduct |
| GRI 412: Human Rights Assessment 2016 | 412-2 | Employee training on human rights policies or procedures | Code of Conduct |
ESG Reporting under the SASB Marine Transportation Standards
| Topic | SASB | Disclosure Title | Page in the report / Disclosure |
| Greenhouse Gas Emissions | TR-MT-110.a.1 | Gross global Scope 1 emissions | Scope 1 & 2 Emissions |
| TR-MT-110.a.2 | Discussion of long-term and short-term strategy or plan to manage Scope 1 emissions, emission reduction targets, and an analysis of performance against those targets | Climate Strategy Reducing our Emissions Investing in Low Carbon Solutions Scope 1 & 2 Emissions |
|
| TR-MT-110.a.3 | Total energy consumed, percentage heavy fuel oil and percentage of renewable | 24,053,927,774 Megajoule (MJ), 83%, 0% | |
| TR-MT-110.a.4 | Average energy efficiency design index (EEDI) for new ships | EEDI for new ships will be available end of April | |
| Air Quality | TR-MT-120.a.1 | Air emissions of the following pollutants: NOx (escluding N2O), Sox and particular matter (PM10) | Non-GHG Emissions, Waste & Pollution |
| Ecological Impacts | TR-MT-160.a.1 | Shipping duration in marine protected areas (MPAs) or areas of protected conservation status | Not reported |
| TR-MT-160.a.2 | Percentage of fleet implementing ballast water exchange | 8.8 % | |
| TR-MT-160.a.2 | Number of spills and releases to the environment | Ecosystems & Biodiversity | |
| TR-MT-160.a.3 | Number of spills and releases to the environment | Non-GHG Emissions, Waste & Pollution | |
| Aggregate volume of spills and releases to the environment | 2,100 Gallon US (gal US) | ||
| Employee Health & Safety | SASB TR-MT-320.a.1 | Employee lost time incident rate (LTIR) | Safety Management |
| Accident & Safety Management | SASB TR-MT-540.a.1 | Number of marine casualties, percentage classified as very serious | Safety Management |
| SASB TR-MT-540.a.2 | Number of conditions of Class or Recommendations | Operating Highlights | |
| SASB TR-MT-540.a.3 | Number of port state control deficiencies | Safety Management | |
| Number of port state control detentions | 2 Port state control detentions | ||
| Business Ethics | SASB TR-MT-510.a.1 | Number of calls at ports in countries that have the 20 lowest rankings in Transparency International’s Corruption Perception Index | 43 Calls at ports listed in the Transparency International’s Corruption Perception Index |
| SASB TR-MT-510.a.2 | Total amount of monetary losses result of legal proceedings associated with bribery or corruption | None | |
| Activity Metric | TR-MT-000.A | Number of shipboard employees | Our Workforce |
| TR-MT-000 .B | Total distance traveled by vessels | Non-GHG Emissions, Waste & Pollution | |
| TR-MT-000.C | Operation days | Operating Highlights | |
| TR-MT-000.D | Deadweight tonnage | Operating Highlights | |
| TR-MT-000.E | Number of vessels in total shipping fleet | Operating Highlights | |
| TR-MT-000.F | Number of vessel port calls | Operating Highlights | |