In an official statement on Tuesday steel manufacturer, Tata Steel said that the company signed a Memorandum of Understanding (MoU) with Mitsui O.S.K. Lines (MOL), a global marine transport group on August 6 to develop and deploy environment-friendly shipping solutions.
The company with its larger sustainability objective aims to reduce greenhouse gas emissions in the supply chain, Tata Steel said in the statement.
“The objective of the agreement is to reduce greenhouse gas (GHG) emissions in the ocean transportation of raw materials for production of steel. In the initial stage, the partnership will explore the environmental benefits and commercial and operational feasibilities of various technologies,” said Peeyush Gupta, Vice President, Supply Chain, Tata Steel.
Toshiaki Tanaka, Senior Managing Executive Officer and Chief Environment and Sustainability Officer, MOL, said, “We have recently established MOL Group Environmental Vision 2.1, wherein we have announced that MOL Group will make a concerted effort to achieve net-zero GHG emissions by 2050. The partnership with Tata Steel encourages MOL to challenge goals for the Vision 2.1.”
MOL has been jointly studying the ‘wind challenger’ technology with cross-industrial partners and the first vessel to be equipped with the technology is slated to start operation in 2022.
Tata Steel share prices went up by 3% to trade at Rs. 1,399.40 apiece.