The Ministry of Oceans and Fisheries (MOF) Tuesday (11 February) announced that it has prepared the 2025 Implementation Plan for Environment-Friendly Ship Distribution in accordance with the first Master Plan for Environment-Friendly Ship Development and Distribution (2021-2030).

The government enacted the Act on the Promotion of Development and Distribution of Environment-Friendly Ships in December 2018 to mandate the public sector to build environment-friendly ships and provide the private sector with a legal basis to reduce acquisition taxes and provide subsidies when converting into environment-friendly ships. 

As a result, 199 ships were converted into environment-friendly ships as of last year.

This year, the government, local governments, and public institutions plan to invest approximately KRW 222.3 billion (USD 154 million) to support the building or conversion of 81 environment-friendly ships.

The public sector plans to build a total of 34 environment-friendly vessels, including electric-powered or hybrid ships, to reduce greenhouse gas emissions. Additionally, 15 operating ships will be equipped with diesel particulate filters (DPF) to reduce fine dust emissions.

In the private sector, support will be provided for building 20 ships in keeping with the demand for transitioning to environment-friendly vessels. Financial assistance such as secondary financing will continue to be offered as well for 12 vessels for installing environment-friendly equipment.

Meanwhile, applications for the 2025 First Phase of the Certified Environment-Friendly Vessel Supply Support Project will be accepted from 31  January 31 to 27 March to support the construction of environment-friendly vessels by small and medium-sized coastal shipping companies operating in domestic ports.

Eligible applicants include coastal shipping companies that order certified environment-friendly vessels such as electric-powered or liquefied natural gas (LNG)-fuelled ships. Selected applicants can receive subsidies of up to 30% of the ship's construction cost depending on the certification grade and vessel construction expenses.

“We will make generous investments in small and medium-sized shipping companies to convert into environment-friendly ships, drastically reduce greenhouse gases in the shipping industry, and proactively respond to strengthening international decarbonization regulations,” Minister Kang Do-hyung said.

Photo credit: Lauren Seo on Unsplash
Published: 14 February, 2025

Viking Line, Port of Turku and Ports of Stockholm on Thursday (6 February) said they have now laid a solid foundation for a green shipping corridor project and developed a clear plan for a common way forward.

This comes after working together for a year on the project which aims to establish a green, fossil-free shipping corridor between Stockholm and Turku. 

On the anniversary on 6 February, the parties and a large number of invited stakeholders gathered for an open seminar in Turku, Finland. Results, experiences, challenges and opportunities were discussed based on the common goal of establishing a green maritime corridor between Stockholm and Turku by 2035.

Magdalena Bosson, CEO Ports of Stockholm, said: “We are very pleased with the cooperation and the work done during the first year.”

“We have been investing in onshore power supply infrastructure for ships for many years and Viking Line is one of the pioneers. Now we are further sharpening our goals together with the other parties to establish a fossil-free shipping corridor between Stockholm and Turku.”

Jan Hanses, CEO Viking Line, said: “We are proud to be part of this important co-operation project for a cleaner Baltic Sea. Our most significant investment so far is to offer all our passengers and freight customers biofuel for transport between Stockholm and Turku, reducing emissions for their journeys by 90%.”

“In addition, a possible battery installation and Elogrids, which reduces energy consumption, are important elements of our work in the coming years.”

Elogrids is a grid system installed on the ship's hull to reduce resistance and improve fuel efficiency. It optimises water flow and reduces turbulence, resulting in lower energy consumption.

Erik Söderholm, CEO Port of Turku, said: “A green shipping corridor gives us the opportunity to promote sustainable development and reduce the environmental impact of shipping.”

“During the past year, we have started more detailed planning of measures related to the green shipping corridor, such as updating our carbon footprint calculation and preparing for the development of charging stations for heavy traffic.”

During the first year, the parties have identified and prioritised the most important goals and measures to reduce carbon dioxide emissions in shipping. 

A clear project plan with activities has been developed, including:

Viking Line

• Pre-study of battery installation on Viking Grace and Viking Glory
• Installing Elogrids on the vessels
• Increase sales of biogas supplements for transport between Stockholm and Turku

Port of Turku

• Study and pilot project for onshore power supply at the quay
• Zero emissions from Viking Line vessels at berth
• Guidelines and incentives for port operators for zero emissions
• In collaboration with external actors, develop concepts that link the green shipping corridor with sustainable transport from and to the port on land
• Opportunity for shipping companies to bunker sustainable fuels

Ports of Stockholm

• Zero emissions from Viking Line vessels at the quayside
• In collaboration with external actors, develop concepts that link the green shipping corridor with sustainable transport from and to the port on land
• Opportunity for shipping companies to bunker fossil-free fuels

Photo credit: Ports of Stockholm
Published: 7 February, 2025

The Coastal Sustainability Alliance (CSA), an industry collaborative effort led by Kuok Maritime Group (KMG), on Wednesday (5 February) marked a significant achievement with the launch of its first fully electric supply boat (e-supply boat) from shipyard to water and keel lay of its first fully electric tug at PaxOcean Batam.  

CSA said these electric vessels are amongst the first and largest local electric harbour craft designed for operations in Singapore’s waters. The e-supply boat is launched ahead of the nation’s goal for all new harbour craft to be fully electric or compatible with net-zero fuels by 2030. 

Mr Tan Thai Yong, Managing Director and CEO, PaxOcean Group and Chairperson, CSA, said: “The launch of the PXO-EXL-1 e-supply boat is a testament to our commitment to decarbonising Singapore’s coastal logistics ecosystem. This vessel demonstrates what CSA can achieve when industry players, researchers, and regulators come together to innovate and collaborate. Together with the keel lay of the PXO-ACE-1 electric tug, these milestones bring us closer to achieving a green and operationally efficient maritime sector.”

Mr Kenneth Lim, Assistant Chief Executive (Industry & Transformation), Maritime and Port Authority of Singapore (MPA), said: “Today, we witness the fruits of industry and researchers’ partnerships and collaboration in driving maritime decarbonisation, and advancing energy efficient solutions for Maritime Singapore. MPA is glad to celebrate the launch of Coastal Sustainability Alliance (CSA)’s first fully electric supply boat and the keel lay of the electric tug, and is committed to working with industry partners like CSA to achieve Singapore’s sustainability and decarbonisation goals.”

The PXO-EXL-1 Electric Supply Boat is capable of cruising at 8 knots in zero-emission operations while maintaining operational reliability. Coupled with an efficient hull design and operationally efficient marine logistics, the vessel can achieve 60% energy savings over a conventional lighter making multiple trips, providing significant costs and carbon emissions reduction for the industry.

Supported under the MPA Maritime Innovation and Technology Fund, the 50T bollard pull PXOACE-1 electric tug incorporates advanced technologies for propulsion, energy storage, and battery management systems. The product development is supported by digital twin models with research collaborators to enhance confidence in an electric tug to meet operational requirements within the Port of Singapore. The tug will be future fuel-ready for zero-carbon fuels.

The CSA will bring together international shipping agencies to explore offtaking arrangements and trial the electric supply boat in the second half of 2025, while the construction of the electric tug is slated to be completed in the first quarter of 2026. 

Photo credit: PaxOcean and Kuok Maritime Group
Published: 6 February, 2025