This is a legacy page. Please click here to view the latest version.
Thu 2 Oct 2014, 10:45 GMT

Shenzhen praised for fuel switch scheme


New voluntary scheme means that ship operators will receive a subsidy for switching to fuel with a lower sulphur content.



Hong Kong public policy think tank, Civic Exchange, says it supports Shenzhen's latest initiatives to reduce ship and port emissions, which include a new subsidized fuel switch scheme.

The People's Government of Shenzhen Municipality last week announced the launch of an incentive scheme of up to CNY 200 million (US$32.49 million) a year. Under the scheme, port and ship operators will be encouraged to install and use onshore power, and ocean-going vessels to switch to the use of low sulphur fuel of not more than 0.5 per cent sulphur content while berthing, both on a voluntary basis.

Different levels of subsidy are to be provided to cover the cost of the installation, maintenance and electricity use of onshore power facilities. Under the scheme, ship operators will receive a subsidy to cover 75 percent to 100 percent of the cost of fuel switching, depending on the fuel’s sulphur content.

"This is a significant step taken by Shenzhen to address air pollution and to protect public health," Civic Exchange said in a statement.

Since 2013, Shenzhen has become the third largest container port in the world. Most of the ocean-going vessels calling at Shenzhen burn heavy fuel oil with about 3 percent sulphur content. It is estimated that approximately 66 per cent of Shenzhen’s sulphur dioxide emissions, 14 percent of nitrogen oxide, 6 percent of fine particulates (PM2.5) are contributed by port and ship sources.

"This is a milestone in Shenzhen's ship emission control and air quality management policy development," said Simon Ng, Chief Research Officer of Civic Exchange. "First, Shenzhen clearly acknowledges the ship and port sector as a major emission source that needs to be addressed swiftly. Second, government agencies responsible for transport, environmental protection, maritime safety, and city planning are working closely with the private sector in tackling air pollution. Third, they are starting with voluntary actions supported by government incentive, which could potentially pave the way for mandatory requirement in the future. Fourth, Shenzhen’s scheme will benefit the Pearl River Delta (PRD) region as a whole in air pollution reduction and public health protection. The collaborative effort between Shenzhen and Hong Kong over the years is now bearing fruits. It highlights the importance of regional cooperation."

On the issue of air pollution caused by ships in Hong Kong, the public policy think tank said: "Civic Exchange has been actively researching the extent and impact of ship emissions in Hong Kong and the PRD region. We also facilitated the launch of the Fair Winds Charter in Hong Kong, a voluntary at-berth fuel switching scheme led by the shipping industry since 2011, and the drive towards regulatory control over ship emissions in Hong Kong. In the long run, Civic Exchange calls for tighter and uniform standards across the PRD region through the establishment of an emission control area in the PRD waters under the regulation of the International Maritime Organization. This is in line with the long-term vision of both the Hong Kong and Shenzhen governments."


Vard 4 39 design render. Dong Fang Offshore orders CSOV with battery-hybrid propulsion  

Vard secures fifth newbuild contract from Taiwanese firm, with delivery scheduled for 2028.

Molgas Energy logo. Spain sets out regulatory roadmap for biomethane and bio-LNG growth  

Molgas outlines Spain’s biogas targets, certification rules and adoption barriers across transport, maritime and grid injection.

Rock Star vessel. CSL and OWL launch first subsea rock installation vessel for offshore wind  

MV Rock Star can run on MGO and methanol and is designed to support scour protection and cable burial for offshore wind projects.

François Michel and Andy McKeran. Lloyd’s Register study backs 200,000-cbm LNG carriers for fleet renewal  

Analysis finds larger LNG carriers could cut transport costs while retaining access to most major terminals.

Rendering of Van Oord's vessels Vindnes and Vestnes. Van Oord names new fallpipe vessels with multi-fuel engines  

Dutch marine contractor unveils two purpose-built subsea rock installation vessels due for delivery in 2028 and 2029.

Hoegh Autoliners and CMG contract signing. Höegh Autoliners signs contract for six dual-fuel LNG vessels  

Aurora Class ships are designed to be converted to run on alternative fuels in the future.

IMO Strengthening seafarers competence for alternative fuels and new technologies event. IMO and EMSA gather maritime experts to address seafarer training for alternative fuels  

Experts examine how training frameworks must evolve as shipping adopts ammonia, methanol, hydrogen and other new technologies.

Shore power illustration. Portsmouth port publishes white paper on UK’s first multi-berth shore power system  

UK port shares lessons from five-year project in bid to spur nationwide uptake of the technology.

IMO Technical Seminar on the use of ammonia as marine fuel. IMO seminar examines technical hurdles facing ammonia as a marine fuel  

Technical seminar under the Future Fuels and Technology Project attracts over 800 participants.

Wind-assisted vessel illustration. ICS to host webinar on wind-assisted propulsion for shipping  

Event to bring together panel of industry experts to discuss wind propulsion as a decarbonisation option.


↑  Back to Top