“With our risk-based approach and technology base, DNV aims to help business and society to focus on the critical needs for change due to global warming.”

Our climate is changing. While the world is engaged in making efforts to reduce greenhouse gas emissions, we must all realise that global warming is already occurring. Changes have already taken place, and business and society must adapt to these changes. We also need to prepare for further changes in the years to come.
In some areas, action is already planned; for instance in the cities of London and Rotterdam, where the flood barriers need to be strengthened. Insurance companies are reporting higher pay outs for climate-related damages, and climate-related risk has to be taken into account when finding sites for new industrial plants.
Here in DNV we have also initiated efforts to help our customers adapt to global warming. The expected increase in extreme weather events has, for example, made us focus on possible revision of design and operational criteria for marine structures that will lead to less structural damage and loss. The significance of severe sea state conditions for ship traffic and marine structures is likely to grow in the future.
Present-day technology allows worldwide monitoring of wind, wave, current and sea water levels. Data collected during the past decade by satellites and more traditional instruments indicate that extremely severe sea states occur more often than commonly assumed. New surveys show that extreme waves have become even higher – especially in the North Atlantic. At the same time we also know that, for example, the seabed under the Ekofisk field is sinking due to petroleum activities. This is not a good combination with higher extreme waves than those for which the engineers designed the structures for more than 30 years ago. Global warming will certainly affect the design and operational criteria for the offshore installations in the future.
So far, climate changes are not explicitly accounted for in classification societies’ rules for ships design or in offshore standards. DNV is therefore participating in research work to explore whether there is a need for stricter DNV rules for both ships and rigs.
However, climate change will not only affect the maritime-related industries. The implications for different business sectors are diverse, and a recent report by the World Business Council for Sustainable Development (WBCSD) has identified both business risks and opportunities. There are opportunities for businesses to introduce new processes, products and services to respond to the changing climate and to protect their existing assets. The effects of climate change will alter existing business models and change current risk structures. With our risk-based approach and technology base, DNV aims to help business and society to focus on the critical needs for change due to global warming.

Henrik O. Madsen
President and Chief Executive Officer

Date: 2008-02-11