SINGAPORE: MPA Unveils Raft fo New Incentives for Uptake of Low and Zero Carbon Bunker Fuels, Tech
The incentives are only for Singapore registered ships (SRS) and come as part of the Green Ship Programme (GSP) under the Maritime Sector Green Initiative (MSGI).
Effective for a period of two years from January 1, 2025 until December 31, 2027, the incentives include:
- SRSs that adopt engines or technologies capable of using zero-emission fuels such as hydrogen or battery power as its primary fuel / energy source will received a 100% concession on the Initial Registration Fee (IRF) and 100% concession on the
- Annual Tonnage Tax (ATT).
- SRSs that adopt engines capable of using zero-carbon fuels as their primary fuel / energy source and produce ‘near zero’ emissions, such as the use of green ammonia coupled with pilot fuel, will receive 100% concession on the IRF and 80%
- concession on the ATT.
- SRS that adopt low carbon fuelled engines will receive various concessions ranging from 50% to 75% of the IRF and 20% to 50% on the ATT.
- (v) Exceed IMO’s MARPOL Annex VI EEDI requirement
- SRS that exceeds the requirements of IMO’s EEDI requirement by 10% or more will enjoy 20% concession on the IRF and 20% concession on the ATT.
- SRS that achieve a CII “A” rating would also receive an additional 5% concession on ATT.
For more information interested readers can read the full circular from MPA here: https://www.mpa.gov.sg/docs/mpalibraries/circulars-and-notices/sc_no_12_of_2024.pdf?sfvrsn=2ef06527_1
