UK Port Says High Power Costs Threaten Shore Power Adoption

by Ship & Bunker News Team
Monday October 5, 2026

UK’s Portsmouth International Port says high electricity cost is making shore power usage expensive for operators.

Electricity costs can be millions of pounds higher than the cost of running vessels on conventional diesel-based fuel while in port, Mike Sellers, port director of Portsmouth International Port, said last week.

His comments came after the UK government announced plans to remove VAT from household electricity bills.

Sellers said the same treatment should be extended to electricity supplied to ships at ports.

“We support calls to end VAT on energy household bills, but unfortunately this does not go far enough to support maritime decarbonisation,” Sellers said.

He called for shore-side electricity to be recognised as a marine fuel and for VAT to be removed from its provision.

Portsmouth operates a shore power system that allows ships to plug into the electricity grid while alongside, reducing the need to run onboard engines.

The port’s first multi-berth shore power system was commissioned in July, with the first cruise ship connecting it on August.

Sellers said the high cost of electricity was “stifling ports’ ability to electrify”, despite shore power being important for cutting emissions and improving air quality around ports.

“We have an impressive, industry-leading, UK-first, environmentally-pioneering shore power system, but it’s expensive,” he said.

He added that operators were taking a financial hit to use the system because of the higher electricity costs.

Ship & Bunker News Team
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