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Congratulatory Speech by Senior Minister of State for Transport and Foreign Affairs, Mr Chee Hong Tat, at Singapore's First LNG Bunkering of CMA CGM Scandola

24 Mar 2021 Speeches

Mr Stephane Courquin, Head of CMA CGM Group Asia Pacific
Mr Chris Ong, Chairman, FueLNG / CEO, Keppel Offshore & Marine
Ms Aw Kah Peng, Country Chair, Shell Singapore 
Mr Loh Chin Hua, CEO, Keppel Corporation
Mr Tan Chong Meng, Group CEO, PSAI
1.     Good afternoon to all.
2.     The International Maritime Organization (IMO) has set the ambition of cutting greenhouse gas emissions from international shipping by at least 50% by 2050, compared to 2008 levels, while pursuing efforts towards phasing them out entirely within the end of this century. As part of the IMO’s Initial Strategy, carbon intensity of international shipping is targeted to reduce by at least 40% by 2030.
3.     As a major transhipment hub port, Singapore will play an active and important role in fulfilling the IMO’s targets, as outlined in the Singapore Green Plan 2030.
4.     The use of more sustainable fuels is an important element of the decarbonisation strategy. 
a.     If you look at the entire supply chain, it is not only about cleaner fuels. We are also working hard to look at different components and different parts of the supply chain. 
b.     PSA is working very hard to try and reduce emissions from the port operations. And many logistics players are also working hard to see how we can bring down the overall emissions of moving raw materials and finished products. 
c.     If we can do this well, it is actually a win-win. It is good for the environment but it is also good for business. Because you reduce wastage and improve efficiency, you cut down on waiting times and delays.  
5.     As the shipping industry explores alternative zero-carbon fuels, LNG is a viable transitional fuel.
a.     It is a cleaner and greener fuel than traditional marine fuels.
b.     LNG lowers greenhouse gas emissions by about 20%.
c.     And cuts sulphur emissions to zero.
6.     In October last year, I had the honour of witnessing the naming of the FueLNG Bellina, where my wife, Sharon, was the Lady Sponsor.
7.     Today, I am pleased to join you in witnessing the next step – the first ship-to-ship LNG bunkering operation between FueLNG Bellina, and the CMA CGM Scandola in the Port of Singapore. This also marks another major milestone as it is also Asia’s first ship-to-ship LNG bunkering operation with simultaneous cargo operations.
a.     This means that while the vessel is offloading and loading cargo at the berth here in Pasir Panjang Terminal, we do bunkering at the same time.
b.     This significantly reduces the duration of the vessel’s port stay in Singapore.
8.     As a global bunkering hub, today’s milestone follows MPA’s partnership with CMA CGM, FueLNG, Keppel Offshore & Marine and Shell Eastern Petroleum, to provide more sustainable bunkering solutions for the shipping industry.
a.     In 2018, MPA had awarded $6 million to build two LNG bunker vessels, one of which is the FueLNG Bellina.
b.     The FueLNG Bellina will expand the range of LNG services available in Singapore and contribute to the growth of Singapore as a global LNG bunkering hub.
c.     We have also recently issued an additional LNG bunker supplier licence to meet growing demand for LNG as a marine fuel in the region.
9.     We are pleased to work with CMA CGM who has been a strong advocate of LNG as an interim marine fuel.
a.     The CMA CGM Group is currently operating 12 LNG powered containerships.
b.     The first of which – the CMA CGM Jacques Saade – made her maiden call at the Port of Singapore last October.
c.     CMA CGM’s fleet is expected to grow to 32 containerships of various sizes by 2022.
10.    We will also work together with the industry to develop standards because we want to provide customers with the confidence that when you come to Singapore for bunker, you can be assured of quality and efficiency. 
11.    My congratulations to FueLNG and CMA CGM on this significant milestone. I look forward to many more fruitful collaborations so that together, we can make sustainable shipping a reality. Thank you.