Port Strategy July/August 2021

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PORT DECARBONISATION

COST, UNCERTAINTY, CHANGE… Decarbonisation is advancing in UK ports but there are funding, cost and other key issues to overcome. Felicity Landon reports

8 Passenger facilities at the port of Portsmouth are heated by thermal sea energy and cooled by the coastal breeze which is captured by wind catchers on the roof

Decarbonisation of ports is not going to be cheap – and ports face some significant barriers along the way, according to Mark Simmonds, Director of Policy and External Affairs at the British Ports Association (BPA). Addressing a recent webinar, organised by BDB Pitmans, Simmonds outlined the work that ports are already doing, including investing in hybrid vessels, shore power, electric/ hybrid plant and machinery, and taking steps around operational efficiencies, standards and leadership. All ports are different in their structure and their levels of vertical integration, and therefore they have varying levels of control over emissions in their harbours, said Simmonds. “They are also at different stages in their respective journeys towards decarbonisation. There is an incredible pace of change in the ports sector in the UK – things are moving really quickly.” However, he said, there are a number of barriers. “First, the market. It is unclear where the market will head – for example, future fuel for shipping. It is difficult to talk about decarbonising ports without talking about the main source of emissions, i.e. ships. But there are also issues around equipment. Ports tend to buy the higher end technical specifications, so heavier gear where electrification hasn’t necessarily proceeded as quickly as we would like. There are huge costs involved and the business case is usually a big barrier. I am not saying you can’t buy an electric reachstacker, but it is a lot more expensive. It is still a challenge for electric and hybrid to keep up with their diesel counterparts.” The price of electricity in the UK is another barrier, he said. The installation of shore power involves huge capital costs within the port and often the need for investment in the energy network outside the port gate, he explained. “The

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cost of these kinds of schemes can vary widely but can be millions and millions of pounds. A lot of ports are looking very carefully at shore power but these capital costs remain a huge barrier to widespread adoption.” Although electrification is going to be key to so much of the decarbonisation work required in ports, said Simmonds, “I am not convinced the government is on top of that or those responsible for planning the energy system are.” The Department for Transport has estimated that port demand for electricity will be ten to 200 times more in 2050 – “obviously a huge spectrum, but we are concerned that it is not being accounted for in future scenarios.” SUPPORT PRIORITIES Simmonds called for support to overcome the barriers to emissions reduction. “Decarbonisation is not going to be cheap. We see the primary role of government as making sure the costs for this fall in the right place – not too heavily on one part of the chain, as well as help in demonstrating new technologies and investing in innovation and research.” The BPA wants a green maritime fund which is not just for innovation, he said. “The industry is proud of being independent of government – but coming back to shore power, there isn’t a shore power scheme anywhere in the world that has been done without some level of public investment.” More broadly, he said, the BPA wants to see an energy system that supports maritime ambitions; a regulatory environment that provides certainty for low-carbon investments; clear, technology-neutral indication of direction for the industry; and international leadership at the IMO and other organisations.

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Port Strategy July/August 2021 by Mercator Media - Issuu