More than 500 participants from the industry, academia, and international organizations gathered at the Accelerating Digitalisation and Decarbonisation Conference to discuss how value-chain stakeholders can work together to produce, transport, and net-zero bunker fuels safely, explore promising digital and data technology and solutions to decarbonize the maritime industry, and seed opportunities for collaboration on pilots and trials. The Maritime and Port Authority of Singapore (MPA) updated participants on Singapore’s methanol and ammonia bunkering capability developments and net-zero pathways for the domestic harbor craft sector. The 3rd MaritimeSG LowCarbon50 Awards ceremony was also held during the event.
Speaking at the conference, Mr. Teo Eng Dih, Chief Executive of MPA, said, “As an international maritime center and global hub port, Singapore will work with our tripartite partners and the international shipping community to digitalize, enhance energy efficiency, and deploy low and zero-carbon emission marine fuels. MPA is working with stakeholders to develop pathways for these marine fuels, especially in areas of provision of necessary infrastructure, crew training, regulations, and safety standards for bunkering of such fuels. A key priority is to establish the end-to-end value chains for these new fuels.”
In his opening address, International Maritime Organization (IMO) Secretary-General Arsenio Dominguez highlighted the concrete steps taken by IMO Member States following the landmark adoption of the 2023 IMO Strategy on Reduction of GHG Emissions from Ships. Mr. Dominguez said, “The IMO 2023 GHG Strategy demonstrates the shared commitment of Member States and the global shipping industry. We are on track to adopt mid-term measures by late 2025 to cut GHG emissions, to reach net zero targets. These mid-term measures, which are currently being discussed by Member States, include a goal-based marine fuel standard and a pricing mechanism for maritime GHG emissions. These will help us progress towards achieving net-zero GHG emissions by or around 2050, with indicative checkpoints to reach by 2030 (cut GHG emissions by at least 20%, striving for 30%), and 2040 (cut GHG emissions by at least 70%, striving for 80%). The targets are for the entire shipping sector.”
Singapore Poised to Address Shipping’s Net-Zero Needs
- Singapore actively collaborated with the IMO and other Member States at MEPC 80 in July 2023 to adopt the 2023 Strategy for GHG emissions reduction from ships.
- Specific projects include the joint IMO-MPA NextGEN initiative and the IMO-Singapore Single Window for Facilitation of Trade (SWiFT) project.
- MPA signed an MoU with the IEA on the Energy Transition of the Maritime and Port Industries.
- The MoU aims to share best practices, support the adoption of zero and near-zero emission fuels, and contribute to relevant fuel-related projects.
- MPA launched an expression of interest (EOI) for the supply of methanol as a marine fuel in Singapore.
- The EOI sought proposals for methanol supply, bunkering operating model, and alternatives to physical transfer.
- Strong interest was shown with 50 submissions received, and over 60 regional and international companies participated.
- The proposals received for low-carbon methanol supply and delivery show promising developments, with potential to supply over one MTPA by 2030.
- Insights from the EOI will inform the development of the methanol bunkering regulatory framework.
- MPA, Enterprise Singapore, and the Singapore Standards Council are developing national standards on methanol and ammonia bunkering to ensure safe operations and handling.
- The standards for methanol are expected to be published by Enterprise Singapore in 2025, with MPA’s regulatory framework for methanol bunkering licenses to be finalized soon.
- MPA will work closely with the consortia on the selected chain-of-custody proposals on pilots that assess the feasibility of these approaches and methods, with the aim for further development on a global scale.
Next steps for the development of ammonia bunkering capabilities
- In March 2024, the Fortescue Green Pioneer conducted the world’s first ocean-going ammonia-powered vessel fuel trial in Singapore over six weeks.
- The vessel received flag approval from the Singapore Registry of Ships and the ‘Gas Fuelled Ammonia’ notation from DNV.
- A second tranche of three tonnes of liquid ammonia will be loaded for further tests and trials.
- During Singapore Maritime Week 2024, the Fortescue Green Pioneer will be berthed at Keppel Bay, with IMO Secretary-General visiting.
- MPA and the Energy Market Authority (EMA) are reviewing proposals for low- or zero-carbon ammonia for power generation and bunkering on Jurong Island.
- Shortlisted consortiums from MPA and EMA’s EOI will undergo pre-FEED study for ammonia import terminals, bunkering, and power generation.
- MPA invites shipping companies to participate in an open RFI to quote shipping and insurance costs of ammonia transport to Singapore.
- The Singapore Registry of Ships will flag its first four ammonia dual-fuel bulk carriers around 2026, managed by Eastern Pacific Shipping (EPS).
- EPS will explore crew training on zero-emission fuels at the new Maritime Energy Training Facility to be established by 2026.
Port and terminal operators to reach net-zero by 2050
- MPA announced domestic targets for port and terminal operators to reach net-zero emissions by 2050.
- New harbor craft are required to be fully electric or compatible with net-zero fuels from 2030 onwards.
- Pilots for bunker tankers, tugboats, and pleasure craft are under consideration.
- Tuas Port utilizes electrified port equipment, reducing carbon emissions by approximately 50% compared to diesel.
- PSA aims to achieve net-zero emissions by 2050 through smart grid solutions and solar energy.
Supporting the electrification transition of domestic harbour craft fleet
- MPA announced three vessel charging concepts for electric harbor craft (e-HC) in January 2024.
- The first charging point pilot was launched at Marina South Pier by Pyxis and SP Mobility.
- Insights from data collected will inform the development of a national e-HC charging infrastructure masterplan and national standards.
- MPA shortlisted 11 passenger launch and cargo lighter vessel designs for electrification in February 2024.
- Research institutes are collaborating to enhance vessel designs and reduce energy requirements.
- MPA received financing and insurance proposals to support early adopters of e-HC.
- Banks are interested in offering direct debt financing options for harbor craft owners.
- Biofuel blends of up to B50 are commercially available, with plans to develop standards for up to B100 by 2025.
Global partnerships to accelerate the decarbonisation of international shipping
- Singapore is facilitating the development of Green and Digital Shipping Corridors (GDSCs) to advance maritime decarbonization.
- Five GDSCs have been established, serving as platforms for piloting alternative fuels and digital solutions.
- The Singapore – Rotterdam GDSC, established in August 2022, has brought together 26 global partners.
- The initiative aims to implement first-mover pilot projects and test commercial structures to accelerate the uptake of zero and near-zero emission fuels.
- Synthetic and bio-variants of methanol, ammonia, methane, and hydrogen are among the fuels being tested.
- A study will be published by the corridor partners on April 18, a year after the establishment of the GDSC with Port of Los Angeles and Port of Long Beach in 2023.
Recognising companies that lead by example
- The MaritimeSG LowCarbon50 Awards ceremony is jointly organized by MPA, SSA, and the UN Global Compact Network Singapore.
- It recognizes companies for accurate carbon accounting and significant steps to reduce emissions and decarbonize.
- In 2023, 30 participants from about 20 companies attended Carbon Management Workshops organized by MPA and GCNS.
- Submissions were evaluated based on criteria including Accuracy of Carbon Accounting, Effective Reduction of Emissions, Scalability and Value Creation of Emissions Reduction Measures, and Innovation of Emissions Reduction Measures.
- Five companies received the MaritimeSG LowCarbon50 award, and four companies received Honorable Mentions.
Source MPA Singapore