CMA CGM Group and Suez, a circular waste management solutions company, have signed a memorandum of understanding (MOU) to develop the production of biomethane in Europe.
The agreement aims to establish a long-term industrial partnership on biomethane, a renewable fuel produced through waste recovery, to help decarbonise shipping in Europe.
[Source: CMA CGM]
CMA CGM said the MOU sets out three main areas of collaboration: SUEZ will supply up to 100,000 tonnes of biomethane per year by 2030 for the Group's gas-powered ships, thereby contributing to the decarbonisation of maritime transport.
The creation of a joint investment structure with an initial funding of 100 million euros for the first stage by 2030 to develop biomethane production facilities — initially located in Europe, to supply both CMA CGM Group and other players in the sector and a joint research and development (R&D) initiatives aimed at designing innovative technologies for the production of biofuels, in particular via a hydrothermal gasification process.
The CMA CGM Group has set itself the goal of achieving net zero carbon by 2050.
In a bid to boost the use of alternative fuels, the Group has invested US$18 billion in orders for 131 vessels capable of using low-carbon energies (biomethane, biomethanol and synthetic fuels), which will be operational by 2028.
CMA CGM Group is also working alongside energy providers to develop production facilities and supply chains for these fuels.
Meanwhile, SUEZ has expertise in the production of local and sustainable energy and secondary raw materials from waste to support the decarbonisation of local authorities and industrial customers.
CMA CGM noted that SUEZ enabled its clients to avoid the emission of 6.4 million tonnes of CO2 in 2023 through its circular solutions. The Group converts 5 million tonnes of waste into energy every year and produced 382 GWh of biomethane in 2023.
"The strategic partnership between CMA CGM and SUEZ, one of France's leading players in the energy transition, marks a major step forward. It will enable us to support the biomethane sector dedicated to the shipping industry while accelerating the decarbonisation of CMA CGM Group and guaranteeing our carbon neutrality trajectory by 2050," commented Rodolphe Saadé, Chairman and CEO of CMA CGM Group.
"This project also strengthens our energy independence, a key asset for the sovereignty of France and Europe," he added.
