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2021-12-31-accounts

Company Registration No. 08652606 Charity No. 1157491

The Sustainable Shipping Initiative Ltd

Report and Financial Statements For the Year Ended 31 December 2021

The Sustainable Shipping Initiative Ltd

Contents of the Financial Statements For the Year Ended 31 December 2021

Reference and administrative information 3
Trustees' annual report 4
Independent examiner's report 13
Statement of financial activities (incorporating an income and expenditure account) 14
Balance Sheet 15
Notes to the Financial Statements 16 to 21

The Sustainable Shipping Initiative Ltd Reference and administrative information

COMPANY NUMBER: COUNTRY OF INCORPORATION: CHARITY NUMBER: COUNTRY OF REGISTRATION: REGISTERED OFFICE: OPERATIONAL ADDRESS:

08652606 England 1157491 England and Wales 11a Park Street Camberley Surrey GU15 3PQ The Old Forge House Cricket Green Hartley Wintney RG27 8PZ

TRUSTEES:

Trustees, who are also directors under company law, who served during the year and up to the date of this report were as follows:

J. Bang S. Bennett O. Brine G. Campbell Co-Chair A. Fischbacher Co-Chair M. Moura K. Palmer D. Peel J. Sterling

KEY MANAGEMENT PERSONNEL: A. Stephens

Executive Director

BANKERS: HSBC City of London Branch 60 Queen Victoria Street LONDON EC4N 4TR INDEPENDENT EXAMINER: Ping Chartered Accountants 11a Park Street Camberley Surrey GU15 3PQ

Page 3

The Sustainable Shipping Initiative Ltd Trustees' Annual Report for the year ended 31 December 2021

The trustees present their report and the financial statements for the year ended 31 December 2021.

Reference and administrative information set out on page 1 forms part of this report. The financial statements comply with current statutory requirements, the memorandum and articles of association and the Statement of Recommended Practice - Accounting and Reporting by Charities: SORP applicable to charities preparing their accounts in accordance with FRS 102.

SSI members are shipowners and charterers; marine equipment, shipyards and service providers; banks, ship finance and insurance providers; classification societies; and sustainability focussed non-governmental organisations.

Objectives and activities

Purposes and aims

The objectives are:

  1. To advance education of the public in economic and social studies as they relate to individuals, communities, society at large and the planet as a whole, with special references to their inter-relationship with ecology, the natural world, health, technology, agriculture, sustainable development, philosophy and psychology.

  2. To promote sustainable development for the benefit of the public by:

  3. a. The preservation, conservation and protection of the environment and the prudent use of natural resources;

  4. b. The relief of poverty and improvement of conditions of life in socially and economically disadvantaged communities; and c. The promotion of sustainable means of achieving economic growth and regeneration.

The trustees and members review the aims, objectives and activities of the charity each year. This report looks at what the charity has achieved and the outcomes of its work within the last twelve months. The trustees report the success of each key activity and the benefits the charity has brought to those groups of people that it is set up to help. The review also helps the trustees ensure the charity's aims, objectives and activities remained focused on its stated purposes.

The trustees have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing the charity's aims and objectives and in planning its future activities. In particular, the trustees consider how planned activities will contribute to the aims and objectives that have been set.

Achievements and performance

Achievements and performance in the delivery of public benefit

The charity's main activities and who it tries to help are described below. All its charitable activities focus on shipping and its impact and are undertaken to further The Sustainable Shipping Initiative Limited’s charitable purposes for the public benefit.

Over the reporting period the goals of the SSI have been:

  1. Sharing and publishing research and guidance on Sustainability Criteria for consideration of the sustainability of future fuels being contemplated for shipping’s decarbonisation, looked at from a Well to Wake perspective and thus addressing full lifecycle impacts.

  2. Release of a Code of Conduct and Self-Assessment Questionnaire to address and aid the adoption of improved labour and human rights requirements for Seafarers, by charterers/cargo owners, ship owners/operators/managers and recruiters/agencies involved in their placement on contract at sea.

  3. Exploring the potential for circularity in shipping, and the impact on the use of steel throughout a ship’s lifecycle.

  4. Improving the sustainability of ship recycling including resolving environmental and labour concerns.

In 2021 these goals have been addressed through working groups, partnership and collaboration with external organisations and thought leadership, and have included wider areas of sustainability. 2021 saw the release of two reports for the industry and the launch of the Code of Conduct and Self-Assessment Questionnaire. The main areas of work in 2021 have been on Crew Welfare, Decarbonisation, Ship lifecycle and Ship Recycling, ensuring that we and the industry addressed the S as well as the E in ES&G pillars.

Page 4

The Sustainable Shipping Initiative Ltd Trustees' Annual Report for the year ended 31 December 2021

The Trustees' report continued…

Decarbonisation - Low Carbon Shipping Exploring the sustainability of the marine fuels

Ocean transportation is currently the most environmentally sound mode of transport in terms of CO2 emissions per tonne of cargo transported. Despite this, shipping is still responsible for 2.6% of total global anthropogenic CO2 emissions, which is broadly equivalent to the emissions of Germany. The adoption in April 2018 of the IMO initial strategy on the reduction of greenhouse gas (GHG) emissions from ships sets out a vision to reduce GHG emissions from international shipping and phase them out entirely in line with the goals of the Paris Agreement. For this to be possible, zero-emission vessels (ZEVs) must enter global fleets as soon as possible, many take a position that this is required to be no later than 2030.

An earlier review by SSI Members showed that the sustainability issues, concerning alternative fuels being explored for shipping’s decarbonisation, remain unclear. The sustainability criteria, on a full lifecycle basis, of these fuels remain undefined, posing a challenge to sustainability standards and certification – and ultimately, the selection of one or more winning options for zero emission shipping. Additionally, standards and certification schemes do not currently exist for these new fuels.

SSI has identified a set of sustainability issues and principles for the alternative fuels under consideration , capitalising on the building momentum on the search for technically, commercially viable and sustainable ZEVs through initiatives such as the Getting to Zero Coalition (where SSI is a knowledge partner).

Key objectives of SSI’s work are:

Following SSI’s work, in partnership with Copenhagen Business School – Maritime (CBS) under the Green Shipping Project, the SSI released its report in September 2021 on defining sustainability criteria for marine fuels, where you will find a table of Issues, Principles and Criteria. The SSI is now focussed on i) sustainability standards and certification programmes, for the future zero and low carbon fuels, against which the industry can produce, sell. purchase and meet the need for assurance concerning sustainability; ii) incorporation of these principles and criteria in Lifecycle Guidance being considered for development by the UN’s International Maritime Organisation (IMO); iii) inclusion in Green Corridors development and testing by upstream stakeholders and actors in line with the intentions of the Clydebank Declaration announced at COP26, the UN Climate Change Conference in Glasgow (November 2021), in which 22 governments from six continents commit to work together to establish green shipping corridors between ports in their countries.

Page 5

The Sustainable Shipping Initiative Ltd Trustees' Annual Report for the year ended 31 December 2021

The Trustees' report continued…

SSI’s work has been submitted to the industry’s regulator, the International Maritime Organisation (IMO) for its Marine Environment Protection Committee (MEPC) meetings in 2021 (MEPC 76 and 77), Intersessional Working Group on Green House Gases (IWSG9, 10 and 11) for consideration in its work on Lifecycle Guidance, addressing not only those emissions onboard the ship.

The below charts illustrate the steps in the work being carried out by the SSI on the sustainability criteria and the Well to Wake (full lifecycle) considerations needing to be made.

Concerning Low Carbon Shipping, the shipping sector cannot solve or manage these risks and uncertainties alone. The maritime industry has the opportunity to play a constructive role in establishing a sustainable bio-economy, facilitate the role of zero or low carbon fuels in the decarbonisation of shipping. All stakeholders and actors have a role to play in providing clear market signals and in ensuring that sustainability is central to the production, transportation, sourcing and use of the zero and low carbon fuels being considered.

Throughout 2021 the SSI has continued to further build and maintain its presence online and in the media with increasing and regular contributions across Twitter, LinkedIn plus articles and interviews in the press, supported with participation in panel discussions and webinars about SSI’s work and sustainability in shipping. The SSI has also continued to participate in a number of public speaking and discussion events to bring the above work and developments to the attention of the industry and wider public. Papers and case studies have been published on the SSI website, plus articles and interviews in the shipping and the general press.

Page 6

The Sustainable Shipping Initiative Ltd Trustees' Annual Report for the year ended 31 December 2021

The Trustees' report continued…

Crew Welfare – delivering on seafarers’ rights Addressing seafarers’ labour and human rights

Delivering on seafarers’ rights sees charterers play an active role in raising the bar in the shipping industry through the development of an industry code of conduct for actors joined together across the shipping value chain. Based on international labour and human rights standards and principles, this work brings together charterers, shipowners and operators to drive positive change through collective action, increasing transparency around labour and human rights risks.

The work leading to the Code of Conduct and self-assessment questionnaire consisted of an eight-month consultation and collaboration process with cargo owners, charterers, civil society, seafarers’ organisations, shipowners and operators, and others.

In collaboration with the Rafto Foundation for Human Rights, a Code of Conduct was developed with 52 clauses, including and going beyond the ILO Maritime Labour Convention (MLC) to focus on the full spectrum of seafarers’ rights and welfare, from fair terms of employment and minimum crewing levels to the management of grievance mechanisms.

In addition, a self-assessment questionnaire was developed in collaboration with RightShip to enable immediate action across the industry. The questionnaire provides practical guidance on adopting the Code of Conduct and is a useful tool for shipowners and operators/managers to understand their responsibilities while assessing current operations and ways of working, subsequently showing areas for improvement. RightShip have developed a Crew Welfare Tool on their website that enables any DOC holder to submit an online self-assessment.

Key objectives of this work include:

We are also exploring ways in which seafarers’ rights can be addressed by demanding transparency on labour and human rights risks, for example – through contractual terms and chartering provisions.

To bring this to life and progress to be tracked, data will need to be captured and made available for the parties in the value chain, and also for the industry to be held to account generally. We aim to release a progress report on the first anniversary of the launch and hold a Roundtable event, in October 2022, which will include voices from all aspects of this endeavour, including seafarers and their first hand experiences together with owners/operators/managers, cargo owners/charterers, brands and financial stakeholders.

Page 7

The Sustainable Shipping Initiative Ltd Trustees' Annual Report for the year ended 31 December 2021

The Trustees' report continued…

Ship Lifecycle

Exploring shipping's transition to a circular industry

Exploring shipping’s transition to a circular industry presents the findings of an inquiry commissioned by the Sustainable Shipping Initiative (SSI) and authored by circularity and sustainability consultancy 2BHonest. The report builds on previous research around the role of circularity in shipping, including SSI’s 2013 Closed Loop Materials Management work, the Circular Shipping Initiative , and other examples both within maritime and in comparable industries such as automotive and aviation.

Prepared based on academic knowledge, industry insights, and a range of stakeholder interviews, this report works to explore how circular economy principles can be applied to shipping, raising awareness and understanding among shipping stakeholders through evidence-based research, and setting out the opportunities and barriers across the vessel lifecycle for the transition to a circular shipping industry.

Key objectives of this work include:

Following increased numbers and size of ships, tonnage due for recycling is projected to nearly quadruple by 2033:

Combining global fleet figures with the average age of ships result in the conclusion that the current ship recycling capacity will not be able to process the increasing number of ships to be recycled. Following the increased numbers and size of ships built in the last two decades, tonnage due for ship recycling capacity is projected to double by 2028 and nearly quadruple by 2033

Page 8

The Sustainable Shipping Initiative Ltd Trustees' Annual Report for the year ended 31 December 2021

The Trustees' report continued…

As shipping decarbonises and emissions at the operational stage decrease, a greater percentage of shipping's carbon footprint will come from shipbuilding, recycling, and embedded emissions in materials such as steel. We have an opportunity to adopt circular economy principles across the ship lifecycle - from design to recycling - to increase resource efficiency, reduce waste and lower emissions.

Going forwards the SSI will further explore the potential for circularity in shipping and its contribution to shipping’s decarbonisation, around the potential role of green/zero emission steel, exploring key questions, such as:

Sustainable Ship Recycling

Building upon the initial work streams of the SSI, our members launched the intent of its initiative, namely the Ship Recycling Transparency Initiative (SRTI), at the annual Tradewinds Ship Recycling Forum, held in Hamburg in 2018. Following this, the SRTI Online Platform was developed and launched in December 2018.

This is an area where the SSI hosts the initiative Ship Recycling Transparency Initiative , which is playing a pivotal role in bridging the gap; providing knowledge and information to speed up the adoption of sustainable ship recycling in line with the Hong Kong Convention, as well as encouraging transparency and bringing key stakeholders together to engage, find common ground and deliver progressive and sustainable solutions

From a cohort of 10 signatories of the initiative in December 2018, the support has grown to an impressive 30 signatories today, with global leaders such as Hellenic Hull Management (HMA) Ltd, Crowley Maritime Corporation, NYK Line, SwissRe Corporate Solutions, VW Group and Seaspan Corporation being amongst the latest signatories. 13 signatories are disclosing shipowners (growth of three large shipowners during the past year), bringing the number of ships covered by disclosure to 3,467 (~7% of the global ocean-going fleet)

The work continues to build the demand-side support, in the form of Financial Stakeholders and Cargo Owners. The SRTI community continued to meet virtually throughout 2021 to further the development of responsible ship recycling

Page 9

The Sustainable Shipping Initiative Ltd Trustees' Annual Report for the year ended 31 December 2021

The Trustees' report continued…

The Roadmap

The Roadmap to a sustainable shipping industry lays out the pathways and defines tangible milestones to be collectively achieved over the coming decades.

There is a clear need to reshape the way shipping operates in the face of current and future challenges: from a changing climate and the need for rapid decarbonisation by 2050; to increased scrutiny and pressure from investors, lenders and other financial stakeholders to improve sustainability performance and reporting; to the labour and human rights risks faced by seafarers worldwide, and highlighted by the ongoing crew change crisis.

The Roadmap consists of our six Vision areas – Oceans, Communities, People, Transparency, Finance, and Energy – each with its own set of objectives, desired outcomes and interrelated milestones to be achieved along the industry’s sustainability journey.

Financial review

The charity is funded mainly through annual membership fees. This past year, SRTI’s funding base grew, with signatory fees being supplemented by funding from the Engineering X Safer End of Engineered Life project and the Danish Orient’s Fond, supporting the initiative’s continued advancement and future development, contributing to a stable, resilient and independent initiative

The funds remaining after administration costs are expended on the work and projects that the members wish to be carried out. Surplus funds, if any, are carried forward to the following year.

Reserves policy and going concern

The charity has a policy of maintaining at least three months administration and contractual obligation costs (salaries, office expenses, service costs) during and at the end of the year. For 2021, the surplus (after reserves) was £99,600 at the beginning of the year, and the carry forward at the end of the year was £133,860. The charity is dependent for its running costs mainly upon contributions from members, and a budget was set for 2022 and approved by members at the Trustee Board Meeting in October 2021. Invoices for membership fees for 2022 were issued in accordance with the approved budget and were sent out in December, and all invoices were paid within end of March 2022.

Plans for the future

The charity is continuing its work on its plans for 2022 and beyond. The shipping industry continues to face many sustainability challenges and opportunities for decarbonising, using materials efficiently and becoming a circular industry, providing positive careers and benefits for communities and driving ocean governance that protects this precious resource

The Sustainable Shipping Initiative has recently updated its strategy for the period ahead, 2022-2025, refreshing its mission: SSI will be a catalyst for a sustainable and successful shipping industry in this crucial decade of action, combining: active participation from companies with high ambition; and, covering sustainability systemically Coupled with this purpose, the SSI believes that:

Page 10

The Sustainable Shipping Initiative Ltd Trustees' Annual Report for the year ended 31 December 2021

The Trustees' report continued…

From its mission and beliefs, the SSI has set goals for the strategy period through to 2025, which are:

in the industry:

for SSI:

Structure, governance and management

The organisation is a charitable company limited by guarantee, incorporated on 15 August 2013 and registered as a charity on 16 June 2014.

The company was established under a memorandum of association which established the objects and powers of the charitable company and is governed under its articles of association.

All trustees give their time voluntarily and receive no benefits from the charity. Any expenses reclaimed from the charity are set out in note 4 to the accounts

Appointment of trustees

The company was established under a memorandum of association which established the objects and powers of the charitable company and is governed under its articles of association.

The SSI has set criteria that require that the trustees are elected by the members, that at least one trustee is from an NGO member or is an independent and that all trustees must have at least six months experience of the SSI before being nominated as a trustee. The members also recognise that the board needs to have the necessary range of skills to enable it to undertake its duties and either to ensure suitable training of trustees, suitable persons co-opted or professional services engaged. The post of treasurer is an honorary one as no serving trustee was able to take on the role and is currently vacant. This is not currently a concern due to the professional financial management of the SSI accounts, but is kept under review by trustees.

At the eighth annual general meeting in October 2021 one third of the trustees retired from office in rotation in accordance with the articles of association. Trustees who resign in rotation may offer themselves for re-election. One Trustee, who was co-opted during the year, stood down and offered themself for re-election and was re-appointed. A remuneration sub-committee of the board was established in 2021.

The charity’s trustees have given consideration to the major risks to which the charity is exposed and satisfied themselves that systems or procedures are established and in place in order to manage those risks. Major risks are reviewed at each Board meeting.

Guy Campbell continues as Chair following appointment in December 2020.

Related parties and relationships with other organisations

The SSI was formerly a project of Forum for the Future and was spun-off into a separate entity with its own governance structure on 15 August 2013.

Alastair Fischbacher was a founding member and trustee of the charity, who resigned his positions in 2014 prior to taking on the role of Chief Executive. In 2016 he completed his term as Chief Executive and on 14th October 2016 was re-appointed as a trustee and Co-Chair of the charity.

Andrew Stephens is the Executive Director and Company Secretary for the SSI

Guy Campbell, General Manager (Atlantic) - Swire Bulk Pte Ltd, is also Chair of the SSI.

Page 11

The Sustainable Shipping Initiative Ltd Trustees' Annual Report for the year ended 31 December 2021

The Trustees' report continued…

Statement of responsibilities of the trustees

The trustees (who are also directors of The Sustainable Shipping Initiative Limited for the purposes of company law) are responsible for preparing the trustees’ annual report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Members of the charity guarantee to contribute an amount not exceeding £1 to the assets of the charity in the event of winding up. The total number of such guarantees at 31 December 2021 was 13 (2020: 13). The trustees are not members of the charity.

Independent examiner

Ping Accounting Limited trading as Ping Chartered Certified Accountants was appointed as the charitable company's independent examiner during the year and has expressed its willingness to act in that capacity.

The trustees’ annual report has been approved by the trustees on 06 July 2022 and signed on their behalf by

Guy Campbell Chair

Page 12

The Sustainable Shipping Initiative Ltd Company Registration No. 08652606 Charity No. 1157491 Independent examiner's report

I report to the trustees on my examination of the accounts of The Sustainable Shipping Initiative Limited for the year ended 31 December 2021

Responsibilities and basis of report

As the trustees of the charity (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ('the 2006 Act).

Having satisfied myself that the accounts of the charity are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity's accounts as carried out under section 145 of the Charities Act 2011 ('the 2011 Act). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

Independent Examiner's statement

As the charity's gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of ACCA.

I have completed my examination. I can confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that:

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

Nicola Cole-Osborne FCCA Ping Chartered Accountants 11a Park Street Camberley Surrey GU15 3PQ

06 July 2022

Page 13

The Sustainable Shipping Initiative Ltd Company Registration No. 08652606 Charity No. 1157491 Statement of Financial Activities (including summary income and expenditure account) for the year ended 31 December 2021

Income
Income and endowments from:
Charitable activities
Memberships
Memberships - SRTI
Donations
Other
Total
Expenditure (Note 2)
Expenditure on:
Charitable activities
Total
Net income/(expenditure) before tax for the reporting period
Tax payable
Net income/(expenditure) after tax before investment gains/(losses)
Net gains/(losses) on investments
Net income/(expenditure)
Reconciliation of funds:
Total funds brought forward
Total funds carried forward		 Unrestricted
funds
Restricted
income
funds
Total funds
Prior year
funds
£
£
£
£
-
220,098
220,098
216,360
162,725
162,725
116,763
26,089
26,089
-
-
-
300
246,187
162,725
408,912
333,423
223,293
119,392
342,684
282,427
223,293
119,392
342,684
282,427
22,894
43,333
66,228
50,996
-
-
-
-
22,894
43,333
66,228
50,996
-
-
-
-
22,894
43,333
66,228
50,996
139,704
11,547
151,251
100,255
162,598
54,880
217,479
151,251

All of the above are derived from continuing activities. There were no other recognised gains or losses other than those stated above.

Page 14

The Sustainable Shipping Initiative Ltd Company Registration No. 08652606 Charity No. 1157491 Balance sheet as at 31 December 2021

Note
Fixed assets
Tangible assets
7
Current assets
Debtors
8
Cash at bank and in hand
Creditors: amounts falling due within one year
9
Net current assets/(liabilities)
Total net assets or liabilities
Funds of the Charity
Restricted income funds
Unrestricted funds
Revaluation reserve
Fair value reserve
Total funds		 Unrestricted
funds
Restricted
income funds
Total this
year
Total last
year
£
£
£
£
1,580
1,580
1,391
1,580
1,580
1,391
144,442
144,442
149,960
320,845
320,845
236,757
465,287
465,287
386,717
249,388
249,388
236,857
215,899
215,899
149,860
217,479
217,479
151,251
54,880 54,880
11,547
162,598
162,598
139,704
-
162,598 54,880 217,479 151,251

The company was entitled to exemption from audit under s477 of the Companies Act 2006 relating to small companies. The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act The directors acknowledge their responsibilities for complying with the requirements of the Companies Act with respect to records and the preparation of accounts.

These accounts have been prepared in accordance with the provisions applicable to small companies subject to the small regime and in accordance with FRS102 SORP.

Approved by the trustees on 06 July 2022 and signed on their behalf by

G Campbell Chair

Page 15

The Sustainable Shipping Initiative Ltd Company Registration No. 08652606 Charity No. 1157491 Notes to the accounts for the year ended 31 December 2021

Note 1 - Principal accounting policies

Basis of accounting

These accounts have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these accounts. The accounts have been prepared in accordance with:

Public benefit entity

The charity constitutes a public benefit entity as defined by FRS 102.

Going concern

The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern.

The trustees do not consider that there are any sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next reporting period.

For reasons detailed in the trustees' annual report, the trustees do not consider the developments of the Covid-19 pandemic to materially impact on their assessment of the charity as a going concern.

Income

Recognition of income is included in the Statement of Financial Activities (SoFA) when the charity becomes entitled to the resources, it is more likely than not that the trustees will receive the resources and the monetary value can be measured with sufficient reliability.

Income received in advance of the provision of a specified service is deferred until the criteria for income recognition are met.

Interest receivable

This is included in the accounts when receipt is probable and the amount receivable can be measure reliably.

Fund accounting

Restricted funds are to be used for specific purposes as laid down by the donor. Expenditure which meets these criteria is charged to the fund.

Unrestricted funds are donations and other income resources received or generated for the charitable purposes.

Expenditure

Expenditure is recognised where it is more likely than not that there is a legal or constructive obligation committing the charity to pay out resources and the amount of the obligation can be measured with reasonable certainty.

Governance and support costs

Support costs have been allocated between governance costs and other support. Governance costs comprise all costs involving public accountability of the charity and its compliance with regulation and good practice.

Page 16

The Sustainable Shipping Initiative Ltd Company Registration No. 08652606 Charity No. 1157491 Notes to the accounts for the year ended 31 December 2021

Note 1 - Principal accounting policies continued

Foreign currencies

Monetary assets and liabilities denominated in the currencies other than the functional currency of the charity are translated at the rates of exchange prevailing at the end of the reporting period. Transactions in currencies other than the functional currency of the charity are recorded at the rate of exchange on the date that the transaction occurred. All exchange differences are taken into account in arriving at net income/expenditure.

Fixed Assets

These are capitalised if they can be used for more than one year, and cost at least £200 They are valued at cost.

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life:

Computer equipment 33% Straight Line Computer software 20% Straight Line

Debtors

Debtors (including trade debtors and loans receivable) are measured on initial recognition at settlement amount after any trade discounts or amount advanced by the charity. Subsequently, they are measured at the cash or other consideration expected to be received.

Cash at bank and in hand

This includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

Creditors

The charity has creditors which are measured at settlement amounts less any trade discounts

Provisions for liabilities

A liability is measured on recognition at its historical cost and then subsequently measured at the best estimate of the amount required to settle the obligation at the reporting date

Basic financial instruments

The charity accounts for basic financial instruments on initial recognition as per paragraph 10.7 FRS102 SORP. Subsequent measurement is as per paragraphs 11.17 to 11.19, FRS102 SORP.

Pensions

The charity operates a personal pension plan, which is a defined contribution scheme. Contributions are charged to the statement of financial activities in the periods to which they relate. The charity has no liability under the scheme other than for the payment of those contributions.

Page 17

The Sustainable Shipping Initiative Ltd Company Registration No. 08652606 Charity No. 1157491 Notes to the accounts for the year ended 31 December 2021

Note 2 - Analysis of expenditure

Expenditure on charitable activities:
Staff Costs (note 4)
Communications
Travel and Subsistence
Meeting costs
Consultancy
Legal and Professional
Office costs
Foreign exchange (gains)/losses
Total expenditure on charitable activities		 Unrestricted
funds
Restricted
income
funds
Total funds
Unrestricted
funds
Restricted
income
funds
Total
funds
100,814 35,238 136,052 45,994 44,460 90,454
15,958 4,387 20,345 12,769 8,808 21,577
1,563 670 2,233 1,681 1,246 2,927
- - - 143 13 156
82,972 71,502 154,473 86,470 37,904 124,374
20,687 450 21,137 2,270 1,205 3,475
13,201 7,145 20,346 18,148 11,581 29,729
(11,902) -
(11,902) 9,736
- 9,736
2021
2020
223,293 119,391 342,684 177,211 105,216 282,427

Other information:

Analysis of expenditure on charitable activities

Activity or programme
Memberships
SRTI
Total		 Activities
undertaken
directly
Grant
funding of
activities
Support
Costs
Total this
year
Activities
undertaken
directly
Grant
funding of
activities
Support
Costs
Total last
year
£
£
£
£
£
£
£
£
223,467 - 1,440 224,907 175,761 -
1,450
177,211
73,976 43,801 - 117,777 84,628 20,587 - 105,215
2021
2020
297,443 43,801 1,440 342,684 260,389 20,587 1,450 282,426

Note 3 - Fees for the examination of the accounts

2021 2020
£ £
Independent examiner's remuneration (exc VAT) 1,440 1,440

Page 18

Notes to the accounts for the year ended 31 December 2021

Note 4 - Staff costs

Salaries and wages
Social security costs
Pension costs (defined contribution scheme)		 2021
£
121,781
9,013
5,258
136,052		 2020
£
81,455
5,412
3,586
90,453

One employee received total employee benefits (including employer national insurance and excluding employer pension costs) within the following band: £70,000 - £79,999. 2020: One employee earned within the following band: £70,000 - £79,999.

The total employee benefits (including pension contributions and employer's national insurance) of the key management personnel were £77,961 (2020: £75,604)

There were no redundancies made in 2021 (2020: 1). Statutory redundancy cost was £nil (2020 £3,000)

The charity trustees were neither paid nor received any other benefits from employment within the charity in the year (2020: £nil). No charity trustee received payment for professional or other services supplied to the charity (2020: £nil)

Trustees' expenses represents the payment or reimbursement of travel and subsistence costs totalling £nil (2020: £193) incurred by one member in 2020, which relates to the attendance at meetings of the trustees.

Note 5 - Staff numbers

The average number of employees (head count based on number of staff employed) during the year was 2 (2020: 2)

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The Sustainable Shipping Initiative Ltd Company Registration No. 08652606 Charity No. 1157491 Notes to the accounts for the year ended 31 December 2021

Note 6 - Pension scheme

The charity operates a workplace pension scheme set up by the government, Nest. As at 31 December 2021 £nil was owed (2020: £nil).There were 2 members of staff enrolled on the pension scheme at the end of December 2021.

Amount of contributions recognised in the SOFA as an expense in 2021 totalled £5,258 (2020: £3,586)

Note 7 - Tangible Fixed Assets

Cost:
At 1st January 2021
Additions
At 31st December 2021
Depreciation:
At 1st January 2021
Charge for year
At 31st December 2021
Net book values:
At 31st December 2020
At 31st December 2021		 Computer
Equipment
£
1,693
1,095
2,788
559
1,047
1,605
1,135
1,183		 Computer
Software
£
383
208
592
127
68
195
257
397		 Totals
£
2,077
1,303
3,380
685
1,115
1,800
1,391
1,580

Note 8 - Debtors

Trade Debtors
Prepayments and accrued income		 2021
£
137,617
6,825
144,442		 2020
£
144,977
4,984
149,960

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The Sustainable Shipping Initiative Ltd Company Registration No. 08652606 Charity No. 1157491 Notes to the accounts for the year ended 31 December 2021

Note 9 - Creditors: amounts falling due within one year

Trade Creditors
Accruals and deferred income
Taxation and social security
Other creditors		 2021
£
1,483
229,280
18,626
-
249,388		 2020
£
6,334
214,597
15,810
117
236,858

Note 10 - Deferred income

Deferred income comprises memberships that have been invoiced ahead of the calendar year to which they relate.

Balance at the start of the reporting period
Amounts added in current period
Amounts released to income from previous period
Balance at the end of the reporting period		 2021
£
213,147
227,839
(213,147)
227,839		 2020
£
194,142
213,147
(194,142)
213,147

Note 11 - Contingent assets or liabilities

No contingent assets or liabilities were noted for the year ended 31 December 2021. (2020 £nil)

Note 12 - Taxation

The charity is exempt from corporation tax as all its income is charitable and is applied for charitable purposes.

Note 13 - Related party transactions

There were no related party transactions noted in the year to 2021.

Note 14 - Legal status of the charity

The charity is a company limited by guarantee and has no share capital. The liability of each member in the event of winding up is limited to £1.

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