Singapore Offers More LNG Funding

Singapore
SLNG LNG facility

By MarEx 2017-12-17 15:01:14

The Maritime and Port Authority of Singapore (MPA) has injected another S$12 million to boost LNG bunkering in the Port of Singapore.

Half of this S$12 million has been set aside to co-fund the building of new LNG bunker vessels to facilitate the development of ship-to-ship LNG bunkering in the Port of Singapore. 

The remaining half will be used to top up MPA’s existing co-funding program to support the building of LNG-fuelled vessels. Launched in 2015, the initial funding for this program has been fully used to support Keppel SMIT Towage, Maju Maritime, Harley Marine Asia, Sinanju Tankers, and most recently, PSA Marine. As a result, LNG-fuelled tugboats and bunker tankers delivering conventional fuels are expected to be operational from 2018. 

Andrew Tan, Chief Executive of MPA, said that, as the world’s largest bunkering hub, MPA will support future demand by promoting the development of ship-to-ship LNG bunkering. “This will provide the industry greater confidence in the availability of LNG supply across key shipping routes.”

In June, Singapore LNG Corporation (SLNG) successfully performed its first small scale LNG reload at its terminal on Jurong Island. The operation was conducted at the SLNG terminal’s secondary jetty, which is originally designed to accommodate LNG vessels with capacity of 60,000 to 265,000 cubic meters. 

SLNG and the MPA jointly launched the nation’s first LNG Truck Loading Facility in April. 

The MPA has also released a standard for LNG bunkering. The technical reference (TR 56) covers requirements for custody transfer, procedures and safety distances and competency requirements for personnel. The technical reference covers LNG delivery from LNG bunkering facilities to receiving ships through four modes of transfer (truck-to-ship, shore-to-ship, ship-to-ship and cassette bunkering).

In October 2016, MPA announced the introduction of waiver of craft dues for LNG-fuelled harbor craft and 10 percent port dues incentives for ocean-going vessels using LNG-fuelled harbor craft when in the Port of Singapore. The MPA also signed a Memorandum of Understanding with seven other international port authorities and maritime administrations to build a network of LNG bunker-ready ports to facilitate the adoption of LNG as an alternative fuel.