Clean Operators to Reap Rewards

By Karen Robes Meeks

Vessel operators who surpass the regulatory standard for curbing ship pollution will reap greater rewards for it, thanks for new Environmental Ship Index formula that went into effect July 1.

Usually operators get points on a per call basis from a port that provides ESI incentives, such as the Port of Los Angeles, and earn points for reducing pollutants such as nitrogen oxides and sulfur oxides.

The new formula allows operators who enter carbon dioxide data and improve upon the baseline years to rack up even more points as early as this month.

“This voluntary program encourages operators to bring their newest and cleanest ships to participating ESI ports and demonstrate new technology that accelerates clean air progress,” said Port Executive Director Gene Seroka. “ESI has already played a significant role in tackling vessel emissions here in Los Angeles, and its benefits multiply worldwide as the program grows in scope and membership.”

At the Port of Los Angeles, ships with 50 points or more earns $2,500 per call, while vessels in the 40- to 49-point bracket receive $750. Those with Tier III engines are eligible for a $5,000 incentive per call, while ships taking part in a sanctioned Technology Advancement Program demonstration project can get $750 per call.

Shipping, Cruise Lines Honored by LA Port

The Port of Los Angeles on June 25 honored 26 shipping and cruise lines for participating in the port’s Vessel Speed Reduction Program initiative, which involves the lowering of vessel speeds when ships approach the port.

The VSRP, which was established in 2001, is a voluntary program designed to reduce emissions from ocean-going vessels by slowing their speeds as they approach or depart the port at either 20 or 40 nautical miles offshore. The port pays incentives to shipping lines that achieve a 90 percent or higher participation rate in VSRP in a calendar year.

The port says that in 2012, it achieved 100-percent compliance for 543 vessels at 20 nautical miles and 386 vessels at 40 nautical miles. The voluntary actions helped reduce 73 tons of diesel particulate matter as well as 740 tons of sulfur oxide and 981 tons of nitrogen oxide emissions.

VSRP honorees this year included APL, China Navigation Co., China Shipping, CMA CGM, Crystal Cruises, CSAV, Evergreen Marine Corp., Grieg Star Shipping A/S, Hamburg SUD, Hanjin Shipping Co., Hapag-Lloyd AG, Hyundai Merchant Marine Co., Kawasaki Kisen Kaish, Maersk Line, Mitsui Bulkship, Mitsui OSK Lines, MSC Mediterranean Shipping, Nippon Yusen Kaisha, Nissan Motor Car Carrier, Norwegian Cruise Line, Orient Overseas Container Line, Princess Cruises, Saga Forest Carriers Intl. AS, Tesoro, Tokyo Marine Co. and Yang Ming Marine Transport.

Additionally, for the first time, the port also honored 12 ship carriers for their participation in the Environmental Ship Index (ESI), an international clean air program rewarding ocean carriers for bringing their newest and cleanest vessels to the port.

The program, which is also underway at several large European ports, involves a web-based tool that tracks and rewards vessel operators for voluntary engine, fuel and technology enhancements that reduce emissions from ships beyond the regulatory environmental standards set by the International Maritime Organization. Vessels calling on the port can earn financial incentives by meeting certain environmental and emission requirements tracked by the web-based tool.

Honored for their participation in the ESI program were K-Line America, APL, CMA CGM, Evergreen Line, Hamburg Sud, Hapag-Lloyd AG, Maersk Line, Mediterranean Shipping Co., MOL, Nippon Yusen Kaisha, OOCL and Yang Ming Marine Transport.

“We applaud our shipping and cruise lines for embracing our vision for a greener, cleaner port,” Port of LA Executive Director Geraldine Knatz said. “Our customers’ voluntary participation in these important emission reduction programs greatly contributes to better, healthier air quality in and around the San Pedro Bay.”

 

 

Six Shippers Commit to LA Port Clean Air Program

Six shipping carriers have agreed to become the inaugural participants in the Port of Los Angeles Environmental Ship Index, an international clean air program that rewards ocean carriers for bringing their newest and cleanest vessels to the port.

Evergreen, Hamburg Süd North America, Inc, Hapag-Lloyd AG Maersk Line, Nippon Yusen Kaisha and Yang Ming have registered for the global program and will begin receiving incentives later this year.

“We applaud these early adopters of the ESI program and encourage not only other carriers to participate but also other ports to join this global port program,” port Executive Director Geraldine Knatz said. “Growing participation among ports worldwide will increase the level of incentives available to ship operators that invest in and deploy the cleanest, most efficient and environmentally friendly fleets.”

The web-based ESI, which was developed through the International Association of Ports & Harbors’ World Ports Climate Initiative, is already underway at 14 European ports, but is the first of its kind in North America and the Pacific Rim.

The Port of Los Angeles developed its ESI with input from the Pacific Merchant Shipping Association and other stakeholders.

Under the program, operators with vessels calling at the port can earn an incentive ranging from $250 to $5,250 per ship call by meeting one or all of three requirements:

• Scoring 30 or more ESI points based on a vessel’s engine specifications and emissions certification; use of low sulfur fuel, plug-in ready on-board shore power technology, and a Ship Energy Efficiency Management Plan (SEEMP).
• Deploying ships with a Tier II or Tier III engine to the port.
• Participating in a demonstration program to test and improve vessel emission reduction technology.

The port, which says it has committed $450,000 to jumpstart the program, plans to pay incentives quarterly, with the first distribution scheduled for this October. For the first sixth months of the program, ships can qualify for the first incentive with a score of 25 points.

The lower introductory threshold is intended to encourage early participation and help operators familiarize themselves with the ESI website and reporting requirements, according to the port.

To participate in the ESI, operators must enroll their companies and vessels in the program through the IAPH/WPCI website, http://www.wpci.nl/projects/environmental_ship_index.php. And to receive the incentive payment, operators must also register with the Port of Los Angeles, which can be done at http://www.portoflosangeles.org/environment/ogv.asp. Registration is free.

The port says it initially expects up to 30 percent of the ships calling at the port to qualify for the incentives, and that 30 percent participation would cut diesel particulate matter emissions by 16 tons within the first year and reduce emissions of other primary pollutants, namely nitrogen oxides, sulfur oxides and carbon dioxides.

The Port of Los Angeles is also touting the ESI program as an opportunity for vessel operators to get ahead of more stringent California environmental requirements before they become mandatory. On Jan. 1, 2014, statewide clean air regulations will require ships operating within 24 nautical miles of the California coastline to use fuel with a reduced sulfur content limited to 0.1 percent or less. The same standard will take effect throughout North America on Jan. 1, 2015.

LA Port Ratifies Clean Ship Incentives

The Port of Los Angeles has become the first North American seaport to adopt an international clean air program that rewards ocean carriers for bringing their newest and cleanest vessels to the port.

On May 3, the Los Angeles Board of Harbor Commissioners formally approved an Environmental Ship Index program. The ESI is a web-based tool that offers immediate and significant clean air benefits by rewarding vessel operators for voluntary engine, fuel and technology enhancements that reduce emissions from ships beyond the regulatory environmental standards set by the International Maritime Organization.

Initially, up to 30 percent of the ships calling at the port are expected to qualify for LA’s ESI incentives, according to the port. Thirty percent participation would cut diesel particulate matter emissions by 16 tons within the first year and reduce emissions of other primary pollutants, namely nitrogen oxides, sulfur oxides and carbon dioxide, according to the port.

The ESI program was originally developed by the World Ports Climate Initiative, a project of the International Association of Ports and Harbors. The program’s already underway at 14 European ports.

POLA Executive Director Geraldine Knatz, who chairs the WPCI and is the current president of the IAPH, pushed for L.A. to adopt the index program.

Like other WPCI programs aimed at reducing vessel pollution and greenhouse gases and promoting sustainable practices, the ESI can be tailored to fit a port's operational and regional requirements.

“The ESI sets the gold standard for green shipping and we encourage other ports to follow suit,” Knatz said. “The larger success of this program lies in its adoption by as many ports as possible to increase the rewards for operators willing to invest in clean air and maximize the health benefits for everyone.”

The Port of Los Angeles developed its ESI with input from the Pacific Merchant Shipping Association and other stakeholders. It’s tailored to fit with the port’s San Pedro Bay Clean Ports Air Action Plan, which sets specific bay-wide targets for near-term pollution reduction through 2014 and long-term objectives through 2023.

Los Angeles has committed $450,000 to jumpstart the program, which takes effect July 1.