Sharon See Channel NewsAsia 12 Apr 11;
SINGAPORE: The Maritime and Port Authority of Singapore (MPA) has pledged up to S$100 million to encourage more environmentally friendly shipping in Singapore for the next five years.
The Maritime Singapore Green Initiative focuses on three areas.
Singapore-flagged ships that adopt energy efficient ship designs will get to enjoy savings on the Initial Registration Fees and a rebate on the Annual Tonnage Tax.
Under the Green Port Programme, ships calling at the Port of Singapore that use approved technologies or burn clean fuel, can qualify for lower port dues.
These two programmes are expected to cost the MPA some S$50 million.
MPA has also set aside S$50 million to encourage local maritime companies to develop and adopt green technologies.
Companies can apply for a fund of up to S$2 million per project.
Transport Minister Raymond Lim said these programmes underscore Singapore's commitment to clean and green shipping.
"Today, shipping remains by far the most efficient form of cargo transport. It carries more than 90 per cent of world trade but contributes only about three per cent to global carbon dioxide emission. Nevertheless, as a responsible international player, the shipping industry must play its part to reduce greenhouse gas emissions," said Mr Lim.
- CNA/cc
Goodies, discounts for ships flying green flag
$100m incentive for cleaner fuels, more efficient design
Joyce Hooi Business Times 13 Apr 11;
(SINGAPORE) Singapore is throwing its weight behind green shipping to the tune of $100 million.
This means ships will find that it pays to go with the green flow. Singapore- registered ships that surpass certain energy-efficient design standards will get their initial registration fees halved, while ships that use qualifying low-sulphur fuel will get a 15 per cent discount on their port dues bill, among various things.
These and an assortment of goodies for shipping firms that toe the green line are part of the $100 million Maritime Singapore Green Initiative by the Maritime and Port Authority of Singapore (MPA).
Launched yesterday by Raymond Lim, Minister for Transport and Second Minister for Foreign Affairs, the $100 million initiative will be funnelled through three programmes - the Green Ship Programme, Green Port Programme and Green Technology Programme - over the next five years.
The programmes offer a mix of rebates and reductions on various shipping charges now levied. 'This initiative underscores Singapore's commitment as a responsible flag and port state to clean and green shipping,' said Mr Lim.
Under the Green Ship Programme, for example, Singapore-flagged ships that exceed the Energy Efficiency Design Index (EEDI) requirements of the International Maritime Organization (IMO) will see a 50 per cent reduction in initial registration fees and a 20 per cent rebate on the annual tonnage tax payable.
The EEDI stipulates a minimum energy efficiency level for new ships, among several things.
The Green Port Programme, on the other hand, will gun for pollutants like sulphur oxides and nitrogen oxides. Ships that call at Singapore using low-sulphur fuels that qualify or approved emission abatement or scrubber technologies will see their port dues bill slashed 15 per cent.
Both the Green Ship Programme and the Green Port Programme are expected to cost MPA $50 million of the total $100 million set aside.
Of the remaining $50 million, $25 million from the Maritime Innovation and Technology (MINT) Fund will be earmarked for the Green Technology Programme. This programme will co-fund up to half of the qualifying costs that a local maritime firm incurs in developing and using green technology. If the response to it is good, MPA is prepared to pump in another $25 million from the $100 million kitty.
'The three Green Programmes will enhance shipping's environmental image, and raise the social awareness of Singapore's shipping community, as we take on an even more active role in further reducing greenhouse gas emission from shipping,' said SS Teo, president of the Singapore Shipping Association (SSA).
A significant chunk of the industry pledged its support yesterday, with both the maritime and offshore sectors represented at the Maritime Singapore Green Pledge signing ceremony, along with MPA and SSA.
'Environmental challenges are some of the most critical challenges facing the maritime industry today. These challenges are multi-faceted and require joint efforts from governments and the industry,' said MPA chief executive Lam Yi Young.
From the container and tanker side, Maersk Line Asia Pacific, Neptune Orient Lines (NOL), Pacific International Lines and Ocean Tankers took part in the signing yesterday, while the port front was represented by Jurong Port and PSA Corporation. NOL also announced its plans to switch to low-sulphur gas oil for all 80 of its vessels calling at Singapore, and other liners might soon follow suit.
Where ports are concerned, Jurong Port is looking at introducing cold ironing - using a land-based source of power for vessels that are in port - in its operations. It will explore supplying vessels with cleaner energy generated by Singapore's grid.
PSA Corporation's regional chief executive officer for Southeast Asia, Tan Puay Hin, said that his firm would not rule out the option of cold ironing and had been exploring the possibility of using it in future or existing ports, as well. 'The adoption part is a concern at this time,' said Mr Tan.
BP Singapore, Keppel Offshore & Marine, Sembcorp Marine and Shell Marine Products signed the pledge as well. This was witnessed by Mr Lim; Lim Hwee Hua, Minister in the Prime Minister's Office and Second Minister for Finance and Transport; Choi Shing Kwok, permanent secretary in the Ministry of Transport; and Lucien Wong, chairman of MPA.
The signing took place during the Singapore International Maritime Awards 2011 at the Shangri-La Hotel. AP Moller-Maersk Group took home the International Maritime Centre Award while its liner peer, Pacific International Lines, was named SRS Ship Owner of the Year.
Ezra Holdings clinched the Special Mention Award while the Maritime Service Provider Award was given to Clarkson Asia Pte Ltd. The yards - Sembawang Shipyard Pte Ltd and Keppel Offshore & Marine Ltd - were given the Offshore & Marine Engineering Award and the Excellence in Training Development Award, respectively.
Mobile satellite communications firm THISS Technologies Pte Ltd was given the Outstanding Maritime R&D and Technology Award and Sentek Marine & Trading Pte Ltd received the Bunker Award.
In keeping with the drive towards green shipping, for the next round of awards, there will be an additional category open for contention: the SRS Green Ship of the Year award.
$100m to help shipping go green
Incentive scheme to target different players
Jonathan Kwok Straits Times 13 Apr 11;
SHIPPING giant Neptune Orient Lines (NOL) will start using a new kind of fuel today that heralds a cleaner, greener future for the shipping industry.
Marine gas oil, as it is known, produces far less sulphur oxides, which cause acid rain, than traditional heavy fuel oil.
NOL will convert to marine gas oil when berthing at Singapore's port from today.
'As Singapore's largest carrier, we feel a responsibility to manage the environmental impact of global trade,' said Mr Eng Aik Meng, president of APL, which is NOL's shipping line.
The fuel conversion is just one of a range of steps Singapore's maritime players - including government and industry bodies, shipping lines, port operators and rig-builders - will take to make the industry cleaner and greener.
The key initiative comes in the form of a $100 million incentive scheme announced by Transport Minister Raymond Lim at the Singapore International Maritime Awards at Shangri-La Hotel.
The Maritime Singapore Green Initiative, which will be administered by the Maritime and Port Authority of Singapore (MPA), will have three separate portions targeting different players.
The Green Port Programme will allow ships that burn cleaner fuels at Singapore's port to pay less in port dues. NOL may qualify for incentives thanks to its move to switch to cleaner fuels at the port, although regulatory inspections will be needed first.
The Green Ship Programme will allow Singapore-flagged ships to pay less in fees and taxes if they adopt ship designs that reduce fuel consumption and carbon dioxide emissions.
Local maritime companies that develop and adopt green technologies can get co-funding under the Green Technology scheme.
The three schemes will cost an estimated $100 million over five years.
While ports around the world sometimes offer incentives to encourage green shipping, it is rare for a regulator to unveil such a comprehensive set of schemes to target different aspects.
The maritime sector contributes about 7 per cent of Singapore's economic output and employs more than 170,000 people, noted Mr Lim.
He added that while shipping is the most efficient form of cargo transport - it carries more than 90 per cent of world trade but contributes only 3 per cent to carbon dioxide emissions - the industry must play its part to reduce emissions.
The move to a cleaner future had another boost yesterday when 12 industry organisations signed a pledge to support and promote clean shipping here.
The signatories include port operators Jurong Port and PSA, rig-builders Keppel Offshore & Marine and Sembcorp Marine, shipping lines Maersk, NOL and Pacific International Lines (PIL), BP Singapore and Shell Marine Products.
Mr Teo Choo Wee, executive director of the fleet division at PIL, and Maersk Line's chief executive for Asia Pacific, Mr Thomas Knudsen, both said their companies will look more at using low sulphur fuels for vessels coming here.
Maersk, Ezra Holdings, Keppel Offshore & Marine and Sembawang Shipyard were among the winners of the awards announced last night.
Additional reporting by Melissa Ho
APL switches to low-sulphur fuel in Singapore
It's the first container line here to convert; Maersk and PIL to follow
Joyce Hooi Business Times 13 Apr 11;
NEPTUNE Orient Lines Group (NOL) is turning a welcome shade of green. From today, its shipping line - APL - will be the first line to make the switch to low-sulphur fuel in Singapore.
All 80 of its vessels calling at Singapore will begin using low-sulphur marine gas oil instead of regular marine fuel. NOL announced this move at the launch of the Maritime Singapore Green Initiative yesterday.
The marine gas oil it is using has an average sulphur content of 0.25 per cent, a concession to a green shipping mandate that is nine years ahead of deadline.
Singapore has adopted the International Maritime Organisation's deadline that calls for reducing the sulphur content of marine fuel to 3.5 per cent by 2012 and to 0.5 per cent in 2020.
'We are proud to be the first container shipping line to convert to cleaner-burning fuel here,' said Eng Aik Meng, president of APL. 'As Singapore's largest carrier, we feel a responsibility to manage the environmental impact of global trade.'
The switch will cut sulphur oxides emissions by 90 per cent and nitrogen oxides emissions by about 12 per cent, NOL said. Ash and particulate matter emissions could be cut by 80-90 per cent.
This low-sulphur path comes at a price. Marine gas oil is almost double the price of regular marine fuel. According to Mr Eng, APL's fleet burns 11,000 tonnes of fuel per year while in Singapore's port. 'There is a cost, but it is worth it,' he said yesterday.
There are no immediate plans to pass on the additional cost to its customers, the group said.
At the launch of the initiative, both Maersk Line and Pacific International Lines (PIL) indicated that they too would switch to low-sulphur fuel for ships calling here soon.
When asked if Singapore is on the list of at least 10 locations in the world where Maersk had committed to making the switch to low-sulphur fuel by 2015, Thomas Knudsen, Maersk Line's chief executive for the region said: 'You can expect that, yes.'
'We definitely will be looking more at using low-sulphur fuel for ships calling at Singapore,' said Teo Choo Wee, PIL's executive director for the fleet division.
Singapore is the seventh city in which APL has switched to the cleaner-burning alternative. It began four years ago in Los Angeles and Seattle, before moving on the cities like Hong Kong and New York.
'We greatly welcome APL's decision to switch to using low sulphur fuel in Singapore and hope that more shipping companies will follow APL's lead in doing so,' said Lam Yi Young, chief executive of the Maritime and Port Authority of Singapore.
