Fair Winds Charter

Following on from the pledge to mandate that ocean-going vessels to switching to low sulphur fuel while at berth in Hong Kong, made by Hong Kong Chief Executive CY Leung in his maiden policy address last week, 17 shipping lines have agreed to extend their voluntary pact to use cleaner fuel for another year.

It is now widely accepted around the world that shipping emissions need to be tightly regulated in order to protect public health. Various types of port-related equipment and activities, such as cargo handling machinery and trucking goods to and from ports, also generate pollution. Research shows that, in Hong Kong, the combined emissions from ships and port activity are a significant source of pollution that directly affects some 3.8 million people. The city’s shipping and port management stakeholders have been most active in working with local authorities to define a path towards tighter regulation, and have made progress in reducing emissions.

On 1 February John Tsang, Hong Kong’s Financial Secretary, announced in his Budget a HKD260 million (USD33.3 million) subsidy in the form of reduced harbor and light fees over three years for ships that switch to 0.5 percent sulfur fuel or cleaner. This proposal will be debated by the Hong Kong Legislative Council in March and is expected to pass.

October marks a year since since the launch of the Fair Winds Charter, a volunary shceme for for ocean-going vessels to swicth to cleaner fuel when calling into Hong Kong. Charter signatories and other stakeholders have been urges governments in Pearl River Delta to madate this across the region but so far, no regulation has been announced by any of the PRD governments.