Carnival Corporation & plc released its 11th annual sustainability report, developed in accordance with the widely recognized Global Reporting Initiative (GRI) standard. The company has incorporated into the report for the first time two additional disclosure frameworks, the Sustainability Accounting Standards Board (SASB) and the Task Force on Climate-Related Financial Disclosures (TCFD). Titled "Sustainable from Ship to Shore," the full report is available on the company's sustainability website at www.CarnivalSustainability.com.
Carnival Corporation's sustainability report provides updates on current sustainability initiatives through the end of fiscal year 2020, and relevant 2021 updates. The report also includes an overview of the comprehensive COVID-19 response from the company and its nine cruise line brands. Additionally, following the achievement of its 2020 sustainability goals, the company's latest report establishes sustainability goals for 2030 and aspirations for 2050 in six focus areas, which were initially announced in June 2021 as a preview of the company's strategic direction for sustainability efforts over time.
Developed to align with the United Nations' Sustainable Development Goals, the six focus areas that will guide Carnival Corporation's long-term sustainability vision include: climate action; circular economy (waste reduction); sustainable tourism; health and well-being; diversity, equity and inclusion (DEI); and biodiversity and conservation. In each focus area, the company is announcing key goals, targets and aspirations that will guide its actions to further strengthen its environmental, social and governance performance, as outlined in its 2020 sustainability report.
"At Carnival Corporation, our highest responsibility and top priority is always compliance, environmental protection, and the health, safety and well-being of our guests, the people in the communities we touch and serve, and our shipboard and shoreside personnel," said Bill Burke, chief maritime officer for Carnival Corporation. "This comprehensive set of 2030 goals and aspirations for 2050 being introduced for the first time reaffirm our ongoing commitment to sustainability and will guide our actions to further strengthen sustainability performance throughout all aspects of our global operations, while supporting opportunities for sustainable growth across our organization over time."
The six focus areas guiding Carnival Corporation's sustainability approach are detailed below, including key highlights on current initiatives, short- and long-term commitments and future aspirations.
Carnival Corporation remains focused on its commitment and efforts to establish a pathway to decarbonization. Following a peak in absolute carbon emissions in 2011 despite a 20% capacity increase between 2011 and today, and an additional 19% capacity increase on order with new ships, the company will continue initiatives to reduce emissions over time and identify a pathway to decarbonization. As part of this commitment, the company is working toward transitioning its energy needs to alternative fuels, investing in new low-carbon or zero-carbon emission technologies and partnering with various organizations and stakeholders to support and accelerate decarbonization efforts.
As part of its strategic plan for carbon footprint reduction, the company leads the cruise industry's use of liquefied natural gas (LNG) to power cruise ships with a total of 11 next-generation cruise ships that will have joined the fleet through 2025, which will represent nearly 20% of its total capacity, including four ships already in operation. The company also pioneered the use of Advanced Air Quality Systems on board its ships and over 80% of its fleet has been equipped with such systems. In addition, 40% of its fleet has been equipped with shore-power capabilities, enabling ships to use shoreside electric power where available while in port.
Sustainability commitments and aspirations under the climate action focus area include:
- Achieve a 40% carbon intensity reduction by 2030, relative to its 2008 baseline measured in both grams of CO2e per ALB-km and grams of CO2e per ALBD. The grams of CO2e per ALB-km goal aligns with the International Maritime Organization (IMO) requirements and the industrywide goal set by the Cruise Lines International Association (CLIA).
- Expand an alternative fuels strategy that includes its LNG program and battery, fuel cell and biofuel capabilities.
- Deliver a 50% reduction in absolute particulate matter air emissions by 2030, relative to a 2015 baseline, despite more than a 10% capacity increase since 2015 and the additional 19% capacity increase on order.
- Increase fleetwide shore power connection capability to 60% of the fleet by 2030.
- Reduce Scope 3 (supply chain) emissions associated with food procurement and waste management.
- Aspire to achieve 100% fleetwide shore power connection capability by 2050.
- Aspire to achieve net carbon neutral ship operations by 2050.
Carnival Corporation and its brands are focusing on a circular economy model where materials flow around a "closed loop" system, rather than being used once and then discarded, shifting how the company works with supply chain partners to reduce waste. Operations Oceans Alive, the company's environmental stewardship program, has been supporting this focus area by continuing to reduce non-essential single-use items, including plastic cups, lids, cutlery, straws, toothpicks, sweetener packets, butter foils and many others.
Additionally, the company is continuing to install food waste biodigesters throughout its fleet to minimize the volume of food waste, in support of food waste reduction and management efforts. As of the end of its fiscal year 2020, food waste biodigesters had been installed on 32% of the company's fleet.
Goals and aspirations for 2030 and beyond under the circular economy focus area include:
- Achieve 50% reduction in single-use plastic items by the end of 2021.
- Achieve 30% unit food waste reduction by 2022 and 50% unit food waste reduction by 2030.
- Increase fleetwide coverage of Advanced Waste Water Treatment Systems to more than 75% by 2030.
- Send a larger percentage of waste to waste-to-energy facilities where practical by 2030, and aspire to send 100% by 2050.
- Partner with primary vendors to reduce upstream packaging volumes, and aspire to near 100% reuse of packaging materials by 2050.
- Aspire to build zero-emissions ships by 2050.
As a global company, Carnival Corporation recognizes that its success depends on supporting sustainable tourism practices, and the vitality and sustainability of the communities in which it operates. It is the company's collective responsibility to respect the home ports and communities it visits around the world, and to help those communities maintain their culture, history and natural resources.
Goals and aspirations under the sustainable tourism focus area include:
- Establish partnerships with destinations focused on sustainable economic development, preservation of local traditions and capacity management.
- Continue to support disaster resilience, relief and recovery efforts.
- Build stronger community relationships in the company's employment bases and destinations through employee volunteering programs.
- Aspire to be recognized as a leader in global sustainable tourism.
Health and Well-Being
Providing a safe environment and working conditions for all employees, and all others working on the company's behalf, is at the core of all operations for Carnival Corporation and its brands. As part of this commitment, the company is working to expand its well-being programs to support the physical and mental health of its employees, encouraging social connectivity with family and friends, and promoting a balanced lifestyle while continuing to create more career opportunities.
Health and well-being goals and aspirations include:
- Continue the company's commitment to ongoing job creation.
- Establish measurable company culture metrics in 2021 and set annual improvement targets.
- Implement global well-being standards by 2023.
- Continue to reduce the number of guest and crew work-related injuries.
- Aspire to be a leader in employee well-being measures.
Diversity, Equity and Inclusion
As a global employer of team members around the world from over 100 countries, Carnival Corporation is committed to building a diverse and inclusive workforce and providing its employees with a positive work environment and equal opportunities for professional growth. As a testament to that commitment, in 2020 the company received a series of recognitions for its companywide operations and dedication to diversity, equity and inclusion, including honors from Forbes on the publication's annual listings of America's Best Employers for Diversity and America's Best Employers for Women.
Carnival Corporation was also recognized on 3BL Media's listing of the 100 Best Corporate Citizens for 2020, in addition to earning a perfect score in the Human Rights Campaign's Corporate Equality Index, designating the company as a Best Place to Work for LGBTQ Equality.
Diversity, equity and inclusion goals and aspirations include:
- Ensure the company's overall shoreside employee base reflects the diversity of the world by 2030.
- Expand shipboard and shoreside diversity, equity and inclusion across all ranks and departments by 2030.
Biodiversity and Conservation
Among the focus areas for Carnival Corporation is to further enhance its commitment to biodiversity and conservation practices, as the health and vitality of the marine and land ecosystems in the places the company's ships visit is essential to providing memorable guest experiences. To support conservation efforts, the company is focused on continuing to implement best practices across its operations, investing in programs that support biodiversity and conservation, working with its supply chain and partnering with the communities it visits to help maintain and improve their ecosystems. In addition, the company will be partnering with non-governmental organizations that support these goals as part of the company's long-term aspirations, which include:
- Support biodiversity and conservation initiatives through select NGO partnerships.
- Regularly conduct audits and monitor animal encounter excursions.
- Aspire to have deep NGO partnerships embedded in the business and supporting strategy execution.
- Aspire to supply 100% of seafood needs through sustainable fishery programs.
These efforts, along with a series of others underway, support and strengthen Carnival Corporation's long-term commitment to sustainability, responsible operations and protecting the environment. The company's full sustainability report, including a detailed summary of its goals and aspirations, recent sustainability highlights and its comprehensive response to the COVID-19 global pandemic, is available at www.CarnivalSustainability.com.
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