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South Korea: Ministries unveil initiative to advance green tech for shipping & marine fuel

Initiative is in response to upcoming IMO environmental regulations, the EU Emissions Trading System (ETS), and the paradigm shift in the maritime industry.

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The South Korean Ministry of Oceans and Fisheries on Wednesday (23 December) said it has collaborated with the South Korean Ministry of Trade, Industry and Energy to jointly develop the “2030 Green Ship-K Initiative” which was unveiled at the 7th Ministerial Meeting on the Korean New Deal held on Wednesday morning.

The initiative is in response to upcoming environmental regulations set by the IMO, the EU Emissions Trading System (ETS), and the general paradigm shift in the global maritime industry towards more environmentally friendly ships.

The “2030 Green Ship-K Initiative” is part of the Korean government implemented Act on Promotion of the Development and Distribution of Eco-friendly Ships which is set every 10 years but reviewed every 5 years.

The initiative aims to align policies with the Green New Deal and  establish a brand image for Korean ships as eco-friendly.

The main components of the “2030 Green Ship-K Initiative” are as follows:

Development of leading technology for future eco-friendly ships with a focus on developing maritime technology to reduce greenhouse gas by 70%

  • In order to secure world-leading technology for future eco-friendly ships, the initiative includes the localisation and advancement of liquified natural gas (LNG), electricity, hybrid core equipment technology and low-carbon ship technology with mixed fuel.
  • The long run goal is to develop carbon-free maritime fuel technology such as hydrogen and ammonia.
  • The initiative aims to reduce 40% of GHG in25 years and 70% reduction in 30 years.
  • To this end, the government announced it plans to support the Eco-friendly technology development project with an estimated KRW 960 billion (USD 869 million). A preliminary feasibility review for this plan has been scheduled.

Korean maritime technology demonstration

  • Following the development of eco-friendly technology for ships, tests will be conducted to verify the economic feasibility before launching them on a commercial scale.
  • The initiative includes the construction of more than 10 demonstration ships demonstrating eco-friendly technology such as LNG bunkering ships and LNG-ammonia mixed fuel propulsion ships.
  • This portion of the plan is expected to contribute to the vitalisation of the local economy where the shipbuilding and shipping industries are concentrated: Busan (KRW 1.5 trillion), Jeonnam (KRW 1.2 trillion / USD 1.4 billion), Ulsan (KRW 1 trillion/USD 906 million), Gyeongnam (KRW 0.4 trillion/USD 362 million), where the shipbuilding and shipping industries are concentrate.

Promote the retrofit of existing ships to become eco-friendly, achievinga conversion rate of 15%

  • Priority will be given to commercially viable technologies such as LNG and hybrid retrofits, tentatively beginning with ships from the public sector followed by the private sector.

Establishment of bunker fuel supply infrastructure and operation systems

  • The infrastructure for supplying ‘green’ fuels such as LNG and electric power will be gradually expanded (700,000 tons in by 2025 → 1.4 million tons by 2030)
  • To this end, the ministry will diversify the means of supplying LNG bunker fuel, such as operating LNG bunkering vessels and building onshore terminals.
  • In addition, in order to create a market-led ecosystem for eco-friendly ships, the national classification system for eco-friendly ships will provide additional points when selecting a ‘green’ business operator.
  • A support center will be established for analysing and verifying greenhouse gas and air pollutant emissions based on actual eco-friendly ship operation information. The center will be able to facilitate remote diagnosis and predictive maintenance of ships for advanced data-driven management and safe operations.

Before 2030, the reduction in emissions is not expected to be significant as much preparations will be needed, but it is expected that the effects of the technological developments will impact the industry in a meaningful way from 2030 onwards, said the Ministry. 

“The transition to eco-friendly ships is an inevitable obligation under international norms, and as a new challenge in the shipping and shipbuilding sectors, it will serve as an opportunity to advance the industrial ecosystem to the next level,” said the South Korean Government. 

 “With a smooth implementation of this initiative, we will actively support the shipping, shipbuilding, and maritime equipment industries to achieve carbon neutrality in 2050 and create a sustainable ecosystem while developing into a new growth engine that leads to a new era.” 

Related: Naming ceremony held for South Korea’s first LNG-powered bulk carriers
Related: Korea: Construction of first bunkering ship for LNG-fuelled coastal vessels begins
Related: Korea govt planning fuel conversion of 140 state-owned ships by 2030
Related: South Korea to launch $250 million LNG conversion pilot project


Photo credit: South Korean Ministry of Oceans and Fisheries
Published: 24 December 2020

 

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Legal

Singapore police arrest eight over alleged illegal MGO transaction off Tuas

SPF says preliminary investigations found that crew members of a Singapore-registered tugboat misappropriated MGO worth about SGD 10,570 without their company’s knowledge and sold it illegally.

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Singapore police arrest eight over alleged illegal MGO transaction off Tuas

The Singapore Police Force (SPF) on Thursday (13 August) said it has arrested eight men, aged between 25 and 54, for their suspected involvement in an illegal transaction of Marine Gas Oil (MGO).

On 13 August 2026 at about 1.05am, officers from the Police Coast Guard (PCG) conducted a check on a Singapore-registered tugboat in the waters off Tuas and discovered that eight crew members were possibly involved in the illegal transaction of MGO. 

“Preliminary investigations revealed that the crew members of the tugboats misappropriated MGO valued at about SGD 10,570 (USD 8,258), without their company’s knowledge,” SPF said in a statement.

“The MGO was sold illegally for their personal financial gain.”

The eight crew members will be charged in court on 14 August 2026 with the offence of theft by servant of property in possession of master under Section 381 of the Penal Code 1871 If convicted, they shall be punished with an imprisonment term that may extend to seven years and shall also be liable to fine.

“The Police take a serious view of illegal transaction of MGO in Singapore Territorial Waters and will continue to conduct enforcement and security checks to prevent, deter and detect such illicit activities in Singapore waters,” SPF added. 

 

Photo credit: Singapore Police Force
Published: 14 August, 2026

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Port & Regulatory

Gard: Sulphur-related bunker claims rise amid tighter China MSA enforcement

Claims involving excessive sulphur content in marine fuels have been rising, while stricter inspections by the China MSA have heightened the focus on sulphur compliance, particularly in the Bohai Sea.

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shraga kopstein on Unsplash

Maritime protection and indemnity (P&I) club Gard on Wednesday (12 August) highlighted that claims involving excessive sulphur content in marine fuels have been rising, while stricter inspections by the China MSA have heightened the focus on sulphur compliance, particularly in the Bohai Sea:

Rise in off-spec sulphur claims

Recent claims experience indicates that bunker quality continues to pose a significant operational risk for shipowners. In our earlier review of bunker-related claims during the first five months of 2026, we highlighted a rise in off-specification bunker incidents amid increased pressure on global fuel supply chains following the escalation of the conflict in the Middle East. 

Specifically for Sulphur compliance, between January and June 2026, the number of sulphur-related cases increased by more than threefold compared with the same period in 2025. Notably, the number of cases recorded in the first six months of this year has already exceeded the total number reported during the whole of last year by approximately 40%. 

While each case is fact-specific, the increase is notable because excessive sulphur content constitutes a MARPOL compliance issue. Unlike many other bunker quality problems, sulphur non-compliance identified through port state inspections can result in vessel delays, enforcement action, and substantial costs associated with debunkering and fuel disposal. 

The map below illustrates the geographical distribution of sulphur-related claims recorded during the first six months of 2026, based on the location where the bunkers were stemmed.

Distribution of sulphur related claims

China MSA steps up sulphur compliance enforcement

According to our correspondent, Huatai, on 5 June 2026, the maritime authorities of Tianjin, Hebei, Liaoning and Shandong jointly launched a special campaign on ship pollution prevention and control in the Bohai Sea region. The campaign involves coordinated supervision by local MSA branches across the region and is expected to last nearly five months. It covers major ports and surrounding port areas in the Bohai Sea region, including Tianjin, Tangshan, Qinhuangdao, Huanghua, Jinzhou, Yingkou and Longkou. 

While the initiative is broader than bunker sulphur compliance alone, its scope includes inspections relating to air pollution prevention, SOx emissions, fuel compliance and other high-pollution-risk operations. Enforcement measures are expected to comprise onboard inspections, cross-regional enforcement activities, unannounced spot checks and remote monitoring. These efforts will be supported by a combination of UAV patrols, maritime patrol vessels, shore-based monitoring systems and rapid on-site fuel testing. 

As a result, vessels trading in the Bohai Sea region may experience increased scrutiny of fuel compliance documentation, fuel sampling records, onboard fuel management procedures, and the handling or disposal of suspected non-compliant fuel.

Documents typically requested by China MSA

Based on our recent experience, including the case discussed above, and subject to the specific requirements of the local MSA office, owners and operators may be requested to provide supporting documentation such as: 

  • Bunker documentation – Bunker Delivery Notes (BDNs), MARPOL fuel sample records, fuel test reports, and relevant fuel quality certificates. 
  • Statutory certificates – including the International Air Pollution Prevention (IAPP) Certificate and International Oil Pollution Prevention (IOPP) Certificate. 
  • Operational records – engine logbooks, deck and navigation logbooks, Oil Record Book entries, and records relating to fuel transfers, storage and consumption. 
  • Sampling documentation – the Master’s statement and any records demonstrating how fuel samples were drawn, sealed, labelled, handled and retained. 
  • Correspondence records – communications with the authorities, bunker suppliers, charterers and other relevant stakeholders. 
  • Fuel disposal records – approved disposal plans, debunkering documentation, receipts and evidence of final disposal, where applicable. 

The exact documentation required will depend on the nature of the investigation, the findings of the inspection, and the requirements of the local enforcement authority. 

Possible regulatory consequences in China

Under the Air Pollution Prevention and Control Law of the People’s Republic of China, ocean-going vessels are required to use fuel oil meeting atmospheric pollutant control requirements after berthing. Vessels operating within designated emission control areas must also comply with applicable emission standards. Article 106 provides that where vessel fuel oil fails to meet applicable standards or requirements, the competent maritime authorities may impose fines ranging from RMB 10,000 to RMB 100,000. Liability may extend to shipowners, ship operators and ship managers depending upon the circumstances of the case. 

Recommendation

Sulphur compliance should be treated as both a fuel quality and regulatory risk. Owners and operators are encouraged to take preventive steps before bunkering, act promptly if non-compliant fuel is suspected, and preserve evidence carefully if an inspection or claim arises. Under amended 

Resolution A.1206(34), Appendix 18, 2.1.5, if the BDN shows compliant fuel, but the master has independent test results of the fuel oil sample taken by the ship during the bunkering which indicates non-compliance, the master may document this by notifying the ship’s flag Administration, with copies to: 

  • the competent authority of the relevant port of destination, 
  • the Administration under whose jurisdiction the bunker deliverer is located, 
  • and to the bunker deliverer.

 

Photo credit: shraga kopstein on Unsplash / Gard
Published: 14 August, 2026

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LNG Bunkering

Shell expands LNG bunkering footprint in Spain with Valencia

As one of the region’s key maritime hubs, the company said Valencia expands the options available to shipowners seeking LNG supply along major shipping routes.

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Shell expands LNG bunkering footprint in Spain with Valencia

British oil giant Shell on Thursday (13 August) said Valencia has joined its growing network of bunkering locations, making LNG available as a marine fuel.

The successful completion of the first LNG bunkering operation in Valencia marked an important milestone for Spain and further strengthened Shell’s LNG supply capabilities across the Mediterranean. 

In a video shared by the company, bunkering vessel Alice Consulich was shown supplying an undisclosed volume of LNG to the container ship MSC Sabrina.

“As one of the region’s key maritime hubs, Valencia expands the options available to shipowners seeking LNG supply along major shipping routes,” Shell said in a social media post. 

Shell said the achievement reflected the strong collaboration across the maritime value chain, including MSC Mediterranean Shipping Company, the Port of Valencia and Fratelli Cosulich Group.

“We look forward to making more LNG bunker deliveries in Valencia and across the Mediterranean as LNG infrastructure and capabilities continue to expand,” the company said. 

 

Photo credit: Shell
Published: 14 August, 2026

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