Port Facilities and Light Dues Incentive Scheme for Ocean Going Vessels (Extended Incentive Scheme)

(This Extended Incentive Scheme has been ended on 31 March 2018.)

Background

Ocean going vessels (OGVs) generally run on heavy fuel oil with sulphur content up to 3.5%. Sulphur dioxide (SO₂) emissions from OGVs at berth account for about 40% of their total SO₂ emissions within Hong Kong waters. To encourage OGVs to switch to low sulphur marine fuel (i.e. fuel with sulphur content not exceeding 0.5%) while at berth, the Government launched a 3-year Port Facilities and Light Dues Incentive Scheme on 26 September 2012. Under the Incentive Scheme, OGVs switching to low sulphur marine fuel while at berth can enjoy 50% reduction in light facilities and port dues.

To further reduce emission from vessels so as to improve air quality, the Government has introduced a new regulation to mandate OGVs while at berth to switch to compliant fuel (i.e. low sulphur marine fuel, liquefied natural gas (LNG) or other approved fuel) or use technology that can achieve SO₂ emission reduction at least as effective as using low sulphur marine fuel starting from 1 July 2015. Hong Kong is the first Asian city to mandate fuel switch at berth. To maintain Hong Kong’s port competitiveness, the incentive scheme is extended for 30 months up to 31 March 2018 and starting from 1 July 2015 its scope is extended to cover LNG, approved fuel and use of technology to reduce SO₂ emission reduction.

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Eligibility

Vessels which are subject to port facilities and light dues levied under Regulation 49(1) of the Shipping and Port Control Regulations (Cap. 313A) will have their port facilities and light dues reduced by half if the following conditions are met:

successfully registered with the Environmental Protection Department (EPD) for joining the extended Incentive Scheme before arriving Hong Kong; and
use compliant fuel or use technology that can achieve SO₂ emission reduction at least as effective as using low sulphur marine fuel while at berth and confirm its use by notifying EPD within 48 hours after the vessel is first securely moored or anchored at a berth using the notification form specified by EPD. [Notification Form]

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Registration

Registration for joining the extended Incentive Scheme is a one-off exercise. The applicant should complete the registration application form and return it to the EPD. The EPD will notify the applicant in writing the result within 10 days after receiving the application and all the relevant documents.

List of Registered Vessels