$70 Million Allocated to Reduce Emissions in Australian Shipping Ports

The Australian maritime sector is gearing up to embrace green practices with a substantial $70 million (US$48 million) investment from the government-backed Clean Energy Finance Corporation (CEFC).

This new initiative aims to utilize green finance to transition an industry traditionally resistant to change into a more sustainable player on the global stage.

Shipping plays a crucial role in the world economy, known for its cost-effective transportation of goods.

However, the government highlights that the sector is also a significant contributor to climate change due to its high emissions intensity.

In the fiscal year 2021–22, Australia’s domestic maritime sector emitted around 2 million tonnes of climate pollution, as reported by the Department of Climate Change, Energy, the Environment, and Water.

The CEFC’s financial commitment to Flinders Port Holdings (FPH) signifies both the CEFC’s first direct investment in the maritime sector and the initial instance of green financing for container handling operations in Australia.

This funding will support initiatives for electrification at FPH’s seven South Australian ports, marking the start of several ambitious projects.

These projects include the installation of solar systems to utilize renewable energy, transitioning to electric alternatives for internal combustion light vehicles, and exploring the potential for an all-electric crane at the Flinders Adelaide Container Terminal in Port Adelaide.

Additionally, research will be conducted on how berthed ships can be connected to the electrical grid to reduce dependence on expensive diesel bunker fuel, although the impact on the nation’s electricity grid remains uncertain.

The government believes that its efforts will serve as a model for other entities looking to electrify their shipping industries.

Nature Positive Summit Coming Soon

Sydney will host the world’s first Global Nature Positive Summit in October, where sustainable ocean economies will be a key topic of discussion.

The event will feature speakers from Australian environmental groups and Minister for the Environment Tanya Plibersek, who will address topics such as nature reporting frameworks, sustainable leadership, Indigenous leadership in conservation, and private sector investment in sustainability.