KUALA LUMPUR, Sept 6 — Malaysia Shipowners’ Association (MASA) expressed anticipation of the Transport Ministry’s proposed funding to aid decarbonisation in the shipping industry.
The Transport Ministry, in a roundtable session organised by the Malaysian National Shippers’ Council and the Malaysia Productivity Council in Petaling Jaya yesterday, had proposed for a domestic shipping industry fund mechanism towards decarbonisation to be tabled during Budget 2024 next month.
In a statement today, the association lauded the government’s proactive approach in proposing the fund to assist the shipping industry in transitioning to a greener, cleaner shipping industry.
“The fund would benefit shipping companies as stricter regulations are being implemented worldwide, such as the Energy Efficiency Existing Ship Index and Carbon Intensity Indicator, which entered into force this January,” it said.
Meanwhile, MASA emphasised the importance of implementing comprehensive policies that prioritise business interests while reducing reliance on foreign shipping.
This is crucial for Malaysia to recover from its status as a net importer of transportation services, which resulted in a staggering deficit of RM33.8 billion in 2022, it noted.
This year, the International Maritime Organisation (IMO) has developed the Revised IMO Greenhouse Gas Strategy, which aims to reach net zero GHG emissions by 2050.
MASA said the proposed fund was a breath of fresh air as the maritime fraternity awaits some policy direction from the government that would directly assist them in any way possible.
It noted that as a maritime nation and as an IMO Council Member, Malaysia should set reasonable policies and help the domestic players remain competitive in this region and globally.
As the primary mode of transport, amounting to 85 per cent of global trade, shipping is vital for the modern economy to function, it noted.
“The association will continue to assist the Malaysian government in setting policies and initiatives using multiple platforms, such as the National Shipping and Port Council, and direct engagement with government agencies,” said MASA.
— Bernama
