Singapore Calls for Financiers and Insurers to Support Adoption of Electric Harbor Craft
The Maritime and Port Authority of Singapore (MPA) has launched an Expression of Interest (EOI) inviting financial institutions and intermediaries, as well as marine insurance providers and brokers, to submit proposals to accelerate the adoption of electric harbor craft in Singapore.
The EOI aims to help drive the adoption of electric harbor craft among owners and operators of harbor craft in Singapore.
EOI participants are expected to propose the demand planning parameters for electric harbor craft in the port of Singapore which would provide sufficient scale to make financing attractive for their adoption. As a guide, participants may consider an aggregated fleet of 50 electric harbour craft as an initial demand planning parameter, or they may also propose other portfolio sizes.
For the insurance component of the EOI, participants are expected to propose insurance solutions to address various elements of operating electric harbour craft, such as hull & machinery and / or protection & indemnity.
By 2050, the harbour craft, pleasure craft and tug boat sectors are required to achieve net-zero emissions. To achieve the target, from 2030, all new harbour craft operating in the Port of Singapore must be fully electric, be capable of using B100 biofuel, or be compatible with net zero fuels such as hydrogen. The EOI follows from an earlier EOI launched in July 2023 for the design and development of best-in-class electric harbour craft reference designs to support early adopters of electric harbour craft.
Teo Eng Dih, Chief Executive of MPA, said, “The harbour craft sector is an integral part of our port ecosystem. To accelerate the adoption of electric harbour craft, financial institutions and insurers can play important roles to provide solutions that can help lower the barriers to support early adopters. This will support the financing and insurance of selected consortiums in the earlier EOI on the design and development of electric harbour craft reference designs. We invite interested parties and institutions to put forth their ideas.”