Poseidon Principles

In June 2019, Danish Ship Finance joined the Poseidon Principles with 10 other banks. Since then, the initiative has grown and now counts 34 financial institutions.

A global framework for responsible ship finance

The Poseidon Principles is a framework for assessing and disclosing the climate alignment of ship finance portfolios. The principles include a benchmark for being a responsible financial institution in the maritime sector, and it provides actionable guidance on how to achieve this.

The Poseidon Principles are consistent with the policies and ambitions of the International Maritime Organisation, including its ambition for greenhouse gas emissions to peak as soon as possible, and to reduce shipping’s total annual GHG emissions by at least 50% by 2050. As a result, the Poseidon Principles will enable financial institutions to align their ship finance portfolios with responsible environmental behaviour and incentivize international shipping’s decarbonization – to shape a better future for the shipping industry and society.

The Poseidon Principles are applicable to lenders, lessors, and financial guarantors globally. They are intended to evolve over time to address other adverse impacts.

The poseidon principles association

The Poseidon Principles Association is the governing body of the Poseidon Principles with the aim to manage, administrate, and develop the principles. Signatories to the Poseidon Principles automatically become members of the Poseidon Principles Association.

The Poseidon Principles Association was formed on June 18, 2019, and is governed by a set of Governance Rules. Danish Ship Finance is represented on the Steering Committee, which coordinates the Association and Principles on behalf of its members. 

In November 2021, we reported our second Portfolio Climate Alignment Score as part of our commitment to the Poseidon Principles. Our reported climate alignment score was +5.7% for the in-scope portfolio. In comparison, the score was +5.6% in 2021. Due to ship owners’ reporting deadline to the IMO for the underlying data in 2022, the climate alignment score of the portfolio is based on the portfolio by the end of 2021.

Read our latest Poseidon Principles Annual Disclosures Reports here:

Poseidon Principles Annual Disclosure Report 2022

Poseidon Principles Annual Disclosure Report 2021

Poseidon Principles Annual Disclosure Report 2020

Read more about the Poseidon Principles and the Technical Guidance at https://www.poseidonprinciples.org/