Skip to content

In 2018, we presented our approach and sustainability strategy in the document 'Global Operations – Our Responsibility'. For the 2021 ESG reporting, we follow the guidance of the Norwegian Shipowners' Association and the SASB framework. The climate risk assessment follows the TCFD framework, and the reporting is in line with the Euronext ESG reporting guidelines. The ESG report has three parts: Environment, Social and Governance (incl. SASB Activity metrics).

Annually we respond to the CDP. We also report emissions to the EU MRV, the IMO DCS and the Poseidon Principles. We annually present Communication of Progress to the UN Global Compact and also report sustainability data to EcoVadis

The Annual report 2021 was published  28.03.2022. This ESG report table is last updated 18.10.2022.

GOVERNANCE

Topics Accounting metric Unit Ref
Business Ethics
Anti-corruption and integrity framework

Odfjell has a clearly stated zero-tolerance policy on corruption.

We have an anti-corruption and integrity framework based on the UK Bribery Act Guidance and Norwegian anti-corruption regulation. We conduct an annual risk assessment from which we devise an action plan on anti-corruption work for the company.

We do annual mandatory training and signing of Code of Conduct and anti-corruption policies and procedure for Board Members, all of our employees, consultants and we include relevant integrity clauses in all our contracts.

Odfjell is a member of the Maritime Anti-Corruption Network (MACN), and we have implemented and supported the MACN 'Say No' campaign on all our ships. We also track requests for facilitation globally with mandatory reporting from all port visits. We have established a reporting hotline, available internally and externally, for the reporting of any compliance-related matters.

Odfjell has an Integrity Council that coordinates all actions under the framework from all areas of our business.

All employees sign the Code of Conduct and the Anti-corruption policy , among other corporate policies, in an annual compliance sign-off campaign based in our compliance management system (GAN Integrity Solutions). The Board of Directors has annual training in Anti-Corruption. The Corporate Compliance Officer delivers a status and progress report on an integrity work plan to the Board's Audit Committee. The Board of Directors is involved in the work of Odfjell's integrity risk assessment and integrity work plan. 

UK Bribery act

Corruption risk

Number of port calls or net revenue in countries that rank in the bottom of Transparency International's Corruption Perception Index (CPI).

1 port call (Nicaragua) in 2021 and 103,434 USD
revenue (cargo being discharged) in the 20 lowest CPI ranked countries in 2021.

SASB TR-MT-510a.1 SDG 16

Facilitation payments

The number of incidents where facilitation payments or bribes have been requested.

Odfjell follows MACN's 'Say No' campaign adopted for Suez, and has implemented the same policy and reporting globally for all ports.

We believe the increased number of incidents reported is due to a new mandatory reporting system that includes incidents that would not have been previously recorded.

23 registered incidents
compared to 7 in 2020.

SDG 16

Fines

The total monetary value of significant fines and the total number of non-monetary sanctions for non-compliance with laws and/or regulations.

Zero

GRI 419-1
SASB TR-MT-510a.2 SDG 16

Anti-Money Laundering (AML)

Odfjell has established a new training module and policy on AML and counter-terrorist financing. All relevant employees will have to go through mandatory training and testing of AML risks and policy.

GRI 205-2

Sanctions

Sanctions are measures imposed by governments and international bodies (such as the United Nations, the United States and the European Union) to restrict dealings with certain countries, entities and individuals.

Odfjell maintain effective measures to ensure compliance with and awareness of our sanctions-related obligations in the due diligence process. The responsibility for sanctions screening lays in the concerned units: Commercial, Finance, Legal & Insurance. Odfjell has established a Sanctions screening process and procedure.

ESG Governance
Main policies

Corporate Strategy and Values, Code of Conduct, Health, Safety and Environmental Policy, Governance, Anti-corruption Policy, Environmental Policy of Ship Management, Human Rights Policy, Supplier Conduct Principles, Supplier Audits incl. ESG, Audits of Yards, Sanctions Policy, Antitrust/Competition Policy, Whistleblowing Policy, Security & Contingency Policy, Anti-Money Laundering & Counter-Terrorist Financing Policy, Data Privacy & Protection Policy, among many others.

Our document "Global Operations – Our Responsibility" describes our ESG strategy and actions. 

GRI Disclosure of Management Approach

IMO MARPOL OCIMF TMSA-3

Environmental policy

Odfjell is committed to environmental protections and creates environmental awareness within our organization.

The climate targets have been approved by the Board of Directors. Odfjell has published an impact statement that commits Odfjell to work to achieve the Sustainability Development Goals as a part of the strategy.

Our environmental policy is presented in our policies and our document "Global Operations – Our responsibility", available on our website.

Environmental Management System

We have implemented an environmental management system to ensure we are in compliance with the IMO MARPOL convention.

Odfjell has a fleet transition plan that is audited by a third party, that outlines details on how to achieve climate targets for the fleet.

In addition, ships have the following certifications covering compliance with international environmental rules and policies (not complete list):
   – Document of compliance for the company covering International Safety Management (ISM) certification
   – Document of compliance for the ship covering International Safety Management (ISM) certification
   – IOPP (International Oil Pollution Prevention) Certificate
   – ISPP (International Sewage Pollution Prevention) Certificate
   – IAPP (International Air Pollution Prevention) Certificate.
   – International Anti-Fouling System Certificate
   – International Energy Efficiency Certificate
   – International Ballast Water Management Certificate
   – Certificates of Civil Liability for Oil Pollution

Environmental Management systems are also audited as a part of the TMSA audit, in accordance with OCIMF TMSA-3 Best Practice Gudiance.

The Board of Directors' role in ESG Governance is described under the Climate Risk assessment framework. ESG matters are reported to the Board of Directors' Audit Committee through Corporate Compliance. 

Emergency Response

Odfjell has dedicated teams and procedures for emergency response (ERMT).

Odfjell conducts frequent training, with external facilitators.

The emergency response procedures are audited according to ISM Code. Oil majors and hired experts will do the TMSA audit of the Emergency Response in accordance with OCIMF TMSA-3 Best Practice Guidance.

Standards

International standardization continues to be a focus across the terminal organization. All terminals are compliant with the international standards ISO 9001, ISO 14001, and Chemical Distribution Institute-Terminals (CDI-T), and are audited by a third party to ensure compliance with these standards. The focus on standardization allows the terminals to have consistent management processes and common systems.

ISO 9001
ISO 14001
CDI-T

Whistleblowing

Odfjell has a whistleblowing policy and procedure, including an anonymous reporting hotline, available both internally and externally.

Total 18 reports compared to 14 in 2020.

None regarded as material.

Executive pay

Executive pay policy is explained in the declaration in the annual report.

Incentive plans are in place for the different parts of the business and approved annually by the Board of Directors. The incentive systems have KPIs linked to safety, quality, performance, and financial results. 

Norwegian Code of Practice for Corporate Governance Ch 12

Corporate tax

The shipping activities are operated in several countries and under different tax schemes, including the ordinary tax system in Norway, the Norwegian shipping tax system and the Approved International Shipping system in Singapore. In addition, we operate under local tax systems, most importantly in Brazil. Companies taxed under special shipping tax systems will generally not be taxed on the basis of their net operating profit. A portion of net financial income and other non-shipping activities are normally taxed at the ordinary applicable tax rate. Taxation under shipping tax regimes requires compliance with certain requirements, and breach of such requirements may lead to a forced exit of the regime. We report tax in our annual reports in accordance with IFRS and accounting regulations. 

GRI 207

Political contributions

Political involvement is regulated by our Code of Conduct.

Odfjell does not make political contributions

Norwegian Code of Practice for Corporate Governance Ch 12

SASB Activity metrics

(according to Sustainability Accounting Standards Board (SASB) Standards)

Topics Accounting metric Unit Ref
Number of shipboard employees

1634

Number

TR-MT-000.A

Total distance traveled by vessel

4,844,530

Nautical miles

TR-MT-000.B

Operating days

32,506

Days

TR-MT-000.C

Deadweight tonnage (Operated fleet per December 2020)

3,387

Thousand Deadweight tonnes

TR-MT-000.D

Number of vessels in total shipping fleet (Operated fleet per December 2020)

93

Number

TR-MT-000.E

Number of vessels port calls

341 ports, 3,284 port calls

Number

TR-MT-000.F

Last updated 18.10.2022