Chinese Majors Launch Sustainable Shipping Initiative

Chinese Majors Launch Sustainable Shipping Initiative

With Sinopec, COSCO Shipping Energy Transportation, China Merchants Energy Shipping, and ICBC Financial Leasing, the China Classification Society (CCS) has launched the Sustainable Shipping Innovation & Development Initiative (SSIDI).

The initiative, which serves as a platform for collaborative study, will concentrate on the effectiveness, safety, technical maturity, legislation, availability, and market mechanisms of alternative fuel's application in the maritime industry and investigate sustainable development methods.

Senior representatives of the People's Republic of China's Ministry of Transport, including Mr. Yi Jiyong, the deputy director general of the Water Transport Bureau, Mr. Li Guanyu, the deputy director general of the International Cooperation Department, and Mr. Du Guoguang, a Level II bureau rank official of the Maritime Safety Administration, also attended the launch.

Yi Jigong, the deputy director of the Ministry of Transport's Water Transportation Bureau, suggested creating a plan to support the sustainable growth of China's shipping sector and contribute to reducing shipping industry emissions globally.

In addition to looking at how a sustainable shipping research and development industry chain might be built, the SSIDI will collaborate to promote clean energy safety. Further, the program will improve members' strategic climate change cooperation.

CCS Vice President Fan Quang shared that the industry as a whole is promoting the adoption of alternative fuels in shipping.

“This will lead to significant changes in the entire international shipping industry, and it will have a profound impact on all upstream and downstream industries,” he shared.

CCS Vice President Fan Quang
CCS Vice President Fan Quang

Quang said in the push toward alternative energy, many unanswered questions still need to be considered.

He notes, "However, it is important to recognize that amid this drive to alternative fuels there are still many uncertain factors that must be addressed. These include fuel supply, ship financing, technology development, and standard formulation. These are far beyond the scope of traditional shipping and require joint exploration by all parties across the entire industry chain."

These factors led to the Chinese shipping giants launching the SSIDI along with interested parties from the energy, shipping, finance, and other areas of the marine industry.

The International Maritime Organization (IMO) recently stated that decarbonizing global shipping is a top priority and that "all hands must be on deck to help the maritime sector's energy transformation."

According to the IMO, the shipping industry must overcome international hurdles to accessing low- and zero-carbon marine fuels, particularly concerning demand, price, and scale, to promote the "just and fair" transition.

Follow Martide on Facebook and Twitter to stay updated on the latest maritime news.