Singapore to Incentivise Green Ships

by Ship & Bunker News Team
Monday April 25, 2022

Singapore's government is seeking to incentivise decarbonisation among ships registered to its flag with reduced fees.

From March 1 until the end of 2024, the MPA will provide incentives to Singapore-flagged ships that meet a set of green criteria, the organisation said in an emailed statement on Monday.

The incentives will be available to any Singapore-flagged ships that meet one of the following criteria:

  • Exceed IMO's MARPOL Annex VI Phase  3 EEDI requirements by 10% or more
  • Adopt engines capable  of  using low-carbon fuels with CF(conversion factor between fuel consumption and CO2 emission) equivalent to or lower than LNG(i.e. (bio)-LNG, (bio)-methanol, (bio)-ethanol);
  • Adopt engine capable of using zero-carbon fuels (e.g. ammonia, hydrogen)

Ships that meet one or more of the criteria will be eligible for a 50% reduction in initial registration fees and a 20% reduction in annual tonnage tax, the MPA said.