Coastal Sustainability Alliance boosts development and adoption of maritime biofuel in Singapore
The Coastal Sustainability Alliance (CSA), an industry collaborative effort led by Kuok Maritime Group (“KMG”), announced its plans to advance the maritime biofuel ecosystem in Singapore with up to S$10 million in investments. This partnership will be spearheaded by two of its Alliance members – Green COP and Ken Energy – which formalised a Memorandum of Understanding (MOU) at the Tech Stage (EXPO @SMW) at Singapore Maritime Week 2024, according to CSA's release.
Over the next two years, the CSA aims to develop stable B30, B40 and B50 biofuel blends and achieve production and commercial adoption of up to 50% (B50), derived from 50% agri-waste to Biobutanol – a blend poised to significantly reduce carbon emissions in maritime operations.
This process includes biofuel certification, commencing sea trials, building a production plant by 2025, and launching commercial-scale production by 2026. An initial S$500,000 angel investment has been secured for establishing a pilot plant for processing agri-waste, and over S$10 million is expected to be invested in scaling production capabilities.
These efforts in decarbonising the maritime sector will contribute to the CSA’s efforts to build the next generation of Singapore’s coastal ecosystem and are timely to address the potential surge in demand for sustainable biofuels.
Earlier in March 2024, Green COP signed an MOU agreement with 3Y Energy to develop and optimise green biofuel blends for the maritime and transportation sectors. Through this collaboration, Green COP will set up a pilot plant capable of processing a ton of biomass daily to produce sustainable fuels, while 3Y Energy will provide the innovative solutions in green fuel utilisation including biofuel blends.
Introducing the B50 blend represents a significant advancement in reducing carbon emissions within the maritime industry. For every metric ton (mt) of B50 fuel burned, carbon emissions are reduced to 1.5 mt, a substantial improvement over the B30 blend, which reduces CO2 emissions to 2.1 mt per metric ton of fuel burned. Additionally, the production of Biobutanol, a key component of the B50 blend, is more energy-efficient and yields a higher volume of fuel compared to traditional methods used for producing Fatty Acid Methyl Ester (FAME). This enhances the sustainability of the fuel production process and supports the maritime sector’s transition to greener energy sources.
This development follows closely on the heels of the Coastal Sustainability Alliance PXO Electric Fleet Signing & MOU Ceremony, held on April 12, 2024. The event marked a key CSA milestone— the commencement of construction of the largest locally designed, built, and deployed electric tug and supply boat. Scheduled for deployment by 2025, the PXO electric fleet represents a pivotal step in the CSA’s broader strategy to enhance sustainability within the industry. These vessels will operate with the new biofuel options as part of a comprehensive approach to reducing the maritime industry's carbon footprint.
Furthermore, the event also welcomed nine new CSA members, expanding the alliance to 27 members from the initial seven companies when it was formed in March 2022. The new CSA members, representing diverse sectors such as finance, green energy, corporate and environmental consultancies, and maritime services, exemplify the growing support network for advancing Singapore’s maritime decarbonisation efforts.
These new members - CIMC Energy Storage, DBS, Grant Thornton, Hanhwa Aerospace, KST Maritime, Marina Offshore, Paia Consulting, Siemens Energy, and Transport Capital – alongside the current members will be instrumental in propelling CSA’s next growth phase. This next phase will focus on green financing, ESG initiatives, vessel adoption, electrification, and technology enhancement for the coastal logistics ecosystem.
