MISC Integrated Annual Report 2020

As responsible member of the global maritime value chain, MISC also strongly supports the following externally-developed economic, environmental and social charters principles. Principles/charter Description of the principles/charter Our position Getting to Zero Coalition Getting to Zero Coalition is a partnership between the GMF, the Friends of Ocean Action, and the World Economic Forum. The coalition is a powerful global alliance of more than 70 public and private organisations which is committed to developing zero-emission vessels by 2030 and leading the push for international shipping’s decarbonisation in line with the IMO’s aspirations. MISC is collaborating with key maritime strategic partners on a joint development project for an ammonia-fuelled tanker to support the shipping industry’s drive towards a decarbonised future. The goal is to have commercially viable zero-carbon emission, deep-sea-going vessels available to the global maritime industry by 2030. The joint development project enables industry players with a similar mindset to pursue the path towards decarbonisation and reduce the effect of climate change. For more details please refer to page 120 on The Castor Initiative Hong Kong International Convention for the Safe and Environmentally Sound Recycling of Ships (The Hong Kong Convention) The Hong Kong Convention recognises that ship recycling is the most environmentally sound way to dispose ships at the end of their life cycle, as most ship materials can be reused. MISC conducts the disposal of vessels that have reached the end of its life cycle in a responsible manner by ensuring that an inventory of hazardous materials is prepared, and the disposal is done in accordance with Hong Kong Convention on Ship Recycling. Neptune Declaration on Seafarer Wellbeing and Crew Change In 2020, the COVID-19 crisis had caused an unprecedented crew change crisis, as a huge proportion of seafarers were left stranded working aboard ships beyond their initial contracts due to pervasive lockdowns, travel restrictions and border closures. In response to this, MISC along with over 300 organisations from the maritime value chain banded together to form a worldwide call to action to put an end to the crew change crisis which was causing seafarers fatigue, in addition to putting their physical and mental wellbeing at risk. MISC is a signatory to The Neptune Declaration on Seafarer Wellbeing and Crew Change which defines four main actions to facilitate crew changes and keep global supply chains functioning: • Recognise seafarers as key workers and give them priority access to COVID-19 vaccines • Establish and implement gold standard health protocols based on existing best practice • Increase collaboration between ship operators and charterers to facilitate crew changes • Ensure air connectivity between key maritime hubs for seafarers OUR SUSTAINABILITY VOYAGE CONTINUES Since embarking on our sustainability journey in 2012, through the development of the MISC Sustainability Framework, MISC has grown from strength to strength in developing and implementing its sustainability agenda to engender positive outcomes. We have steadily embedded sustainability elements within our operations, products and services to arrive at where we are today, where sustainability has been integrated as a key element of our business strategy moving forward. Our future sustainability journey is centred on playing a significant role to help meet the shipping industry’s aspiration for zero-carbon emission vessels by 2030 and contributing to the larger sustainability agenda of the UNSDG, energy transition and the carbon neutral economy. The following infographic captures the key milestones in our sustainability journey over the past eight years. 2012 • • Developed MISC Sustainability Framework • • Established Sustainability Steering Committee 2015 • • Refreshed MISC Vision and Mission Statement 2014 • • Received the Best First-time Reporting Awards at MASRA 2015 • • Become constituent of FTSE4Good Bursa Malaysia 2016 • • Developed the MISC Sustainability Strategy 2017 • • Carbon Emissions Reduction Target set • • Embarked on Integrated Reporting journey • • Launched sustainability website 2018 • • Fleet renewal with the adoption of environmentally-friendly technologies onboard our vessels 2019 • • Alignment with the UNSDG • • Participated in the Dow Jones Sustainability Index (DJSI) • • Established the flagship Biodiversity Programme • • Received Sustainable Business Awards 2019 • • Delivery of the first LNG dual-fuel vessel 2020 • • Developed the Sustainability Strategy 2021-2025 • • Established the Sea Turtle Conservation Programme • • Participated in the Carbon Disclosure Project (CDP) MISC Group Sustainability Journey ANCHORING SUSTAINABILITY @ MISC 31 31 31 //// Highlights / Strategic Review / Sustainability / Financial Review / Business Review ///// MISC Berhad / Integrated Annual Report 2020 5 114 MISC Berhad / Integrated Annual Report 2020 5 115 ///// Business Review / Financial Review / Sustainability / Strategic Review / Highlights //// Section Section