AET Insights


Shipping’s ‘mini-Davos’

Under the theme Breaking New Ground, the Global Maritime Forum Annual Summit convened in Hong Kong on 3-4 October 2018, at an event which has since been coined the shipping industry’s ‘mini-Davos’. Marking a significant milestone for the shipping industry, the Forum’s 34 participating companies signed up to a call for action to hit the target to reduce GHG emissions by at least 50% by 2050. This goal was championed by the International Maritime Organisation (IMO) earlier this year and brings the maritime industry into alignment with the United Nations’ Paris Agreement.

Mr Yee Yang Chien, President and Group CEO of MISC Group and Chairman of AET sits on the Global Maritime Forum Advisory Council, alongside other senior industry stakeholders, technical experts, and policy-makers committed to increasing the sustainable long-term economic development and wellbeing of the global shipping industry. As an international not-for-profit organisation working to develop new solutions for a sustainable shipping industry, the Global Maritime Forum provides a bi-partisan approach to tackling the major issues faced by the entire maritime sector.

The pledge signed at the Global Maritime Forum seeks to recognise that significant changes are required to meet the challenge of significantly lowering shipping emissions, and stresses that transparency and cooperation across the shipping industry is needed to achieve this ambitious target. As the Global Maritime Forum’s Chairman, Peter Stokes, said at the event in Hong Kong, “we can achieve results together that we can’t achieve on our own.”

For there to be a future for the global shipping industry, we must do all that we can now to build sustainability into every aspect of operations, and – importantly – combine our efforts to protect the natural environment that we all depend upon. This ethos is central to MISC Group’s Green Sustainability Agenda and is also the fundamental goal of the Global Maritime Forum.

Through this action, the members of the Global Maritime Forum have demonstrated that enough industry leaders, experts and stakeholders believe that a GHG emissions reduction target of 50% by 2050 is within our reach. It also commits a broad range of maritime companies to making a concerted effort to affect change. This is the first time that such a public display of intent has been shown by the industry, and – we hope – represents a tipping point in the industry’s determination to lower its emissions.

As a member of the MISC Group, AET has already made significant strides toward reducing our own emissions and improving our carbon footprint, but we also plan to do much more. Our commitment to LNG dual-fuelling solutions is key to this strategy, but so too is our organisation-wide approach to promoting sustainability in all that we do.

The average fleet age of our Petroleum assets has reduced from 10 years in 2017 to 8.4 years in 2018. A key driver for our fleet rejuvenation programme is our drive to equip our fleet with more efficient vessels and leveraging the latest available technologies.

In the period 2017 to 2020, we will have taken delivery of 15 new vessels, each marking a step ahead in terms of eco-friendly technology. We have built increasingly efficient vessels such as our Eagle Brisbane and Eagle Barcelona Aframaxes delivered earlier in 2018, which are EEDI Phase II compliant.

In 2015, we had the world’s first ever 120,000 DWT newbuild DP Shuttle Tankers (DPST) with Multi Stream Wet Hybrid Scrubber for North Seas that eliminates SOx. Then in October 2018, we welcomed our first LNG dual-fuelled Aframaxes, Eagle Brasilia and Eagle Bintulu, at their naming ceremony in Geoje, South Korea. Their EEDI each is about 28.8 percent above IMO Phase 0, bordering to phase 3 when operated in LNG mode. On gas mode, they are NOx Tier III compliant, and their specs ensure the elimination of SOx and PM and reduce CO2 emission by 20%.

In addition, we have started construction of two upcoming DPST newbuilds for Equinor, dual fuel vessels and the world’s first to have a VOC recovery system, capable of utilising any petroleum cargo emissions by mixing with LNG fuel for propulsion. When in operation from 2019, they are expected to be the world’s first LNG dual-fuelled DPSTs and most energy efficient vessels in the market.

Our commitment to the Green Sustainability Agenda is backed by extensive research by our Technical team responsible for building over 40 vessels, including our world’s first Modular Capture Vessels (MCV). We have looked at alternative fuels besides LNG and also the exploration of battery power to apply peak shaving technology in auxiliary engines in our upcoming newbuilds.

AET is committed to reducing our carbon footprint, as part of the MISC Group sustainability agenda. Alongside our industry peers and by participating in positive collective action, we believe we can work to make a measurable difference in building a better world.