The Maritime and Port Authority of Singapore (MPA) has awarded S$6 million to FueLNG Pte Ltd and Pavilion Gas Pte Ltd for construction of two LNG bunker vessels, in a bid to further promote ship-to-ship LNG bunkering in Singapore. The vessels are due for delivery in 2020, and will be amongst the first of their kind in Asia.
The two companies will each receive a co-funding grant of up to S$3 million for their respective LNG bunker vessels.
While the commercial justifications for investing in LNG bunkeri-ng are often considered weak given the current economic conditions and low oil prices, MPA has earlier revealed plans to position Singapore as a world leader in providing access to clean marine fuels and is confident of the longer term appeal of LNG.
This is a significant step towards cementing Singapore’s position as a leading LNG bunkering hub in the Far East, catering to large ocean-going LNG-fueled vessels, said MPA in an official statement.
Mr Andrew Tan, Chief Executive of MPA, said:
LNG is a viable marine fuel solution to meet global environmental regulations such as the International Maritime Organization’s (IMO) 0.5% global sulphur cap from 1 January 2020. As the world’s largest bunkering hub, we are pleased to support the building of the first two LNG bunker supply vessels for the Port of Singapore. We look forward to the successful applicants contributing to the growth of ship-to-ship LNG bunkering in the Port of Singapore.
In the latest GREEN4SEA awards ceremony on 6 March, MPA Singapore received the 2018 GREEN4SEA Port Award, sponsored by Lloyd’s Register, for focusing on four key areas for port development: Safe and Secure Port, Efficient Port, Intelligent Port, and Clean and Sustainable Port.
