MoU for Digi Shipping Corridor Signed by Australia, Singapore

Singapore and Australia have entered into a Memorandum of Understanding (MoU) to jointly work on the development of the Singapore-Australia Green and Digital Shipping Corridor (GDSC).

This agreement was celebrated by the Prime Ministers of both countries at their 9th Annual Leaders’ Meeting in Melbourne on 5 March 2024. The MoU was signed by Singapore’s Minister for Transport and Second Minister for Finance, Chee Hong Tat, and the Hon Catherine King MP, Australian Minister for Infrastructure, Transport, Regional Development and Local Government. This collaboration aims to push forward the maritime sector's decarbonization and digitalization efforts.

The partnership outlined in the MoU includes efforts by both nations to collaborate with other interested entities to investigate the creation of supply chains for zero or near-zero greenhouse gas (GHG) emission maritime fuels, including the construction of infrastructure, the establishment of standards, and the development and execution of training programs.

Additionally, the MoU aims to improve the digital exchange of information to streamline port clearance, port visits, and the movement of vessels between Singapore and Australia. It will promote cooperation between the Maritime and Port Authority of Singapore (MPA), the Australian federal, state, and territory governments, and industry participants.

Australia is positioned to become a significant producer of sustainable marine fuels, while Singapore is recognized as the world’s most extensive bunkering and busiest transshipment hub, boasting a dynamic research and innovation landscape.

This joint effort is anticipated to stimulate the adoption of zero or near-zero GHG emission technologies and digital innovations, enhancing the resilience, efficiency, and sustainability of the maritime supply chains worldwide.

Minister Chee remarked, “The MoU affirms the shared commitment of Singapore and Australia to pool our expertise and resources to develop scalable green and digital solutions for the maritime sector, and upskill our workforce to support the energy transition.”

Minister King highlighted, “This is an important partnership for a sustainable global maritime future. Australia is committed to supporting the decarbonization of international shipping, which plays an important role in economies across the globe.

“This collaboration will place Singapore and Australia amongst the leaders in contributing to the international maritime community’s objectives, while supporting Australia’s exports of clean renewable energy.”

Moreover, the MPA and Australia’s Commonwealth Scientific and Industrial Research Organization (CSIRO), with support from Singapore’s Agency for Science, Technology and Research (A*STAR), are planning to engage in research and development, demonstration projects, and pilots under the Australia-Singapore Initiative on Low Emissions Technologies for Maritime and Port Operations (ASLET).

Introduced in 2021, the ASLET initiative is designed to complement and support the objectives of the Singapore-Australia GDSC.