1. LOW CARBON DEVELOPMENT IN TRANSPORT Thierry NERVALE Deputy Director Transport SPC EDD – Transport Programme

2. Background UN Conference on Sustainable Development, RIO +20 Document “The future we want” Statements: – transportation and mobility are central to sustainable development – Sustainable transportation can enhance economic growth and improve accessibility – Sustainable transport achieves better integration of the economy while respecting the environment – Improve social equity, health, resilience of cities, urban-rural linkages and productivity of rural areas. How to address: – promote an integrated approach to policymaking at the national, regional and local levels for transport services and systems.

3. IMO Concept of Sustainable Maritime Transportation System (SMTS) Maritime transport is the backbone of world trade and globalization: – Fundamental to sustaining economic growth and spreading prosperity – Critical social and economic function – Most environmentally sound mode of mass transport, both in terms of energy efficiency and pollution prevention. Maritime transportation system: – Is part of a larger logistics chain – ‘door-to-door’ logistics chain has to be considered as one whole cohesive operation – Needs to be an efficient, well-structured and coordinated sector.

4. SMTS concept: working fields Safety culture and environmental stewardship: Education and training in maritime professions, and support for seafarers Energy efficiency and Ship-Port interface Energy supply for ships Marine traffic support and advisory systems: Maritime security Technical cooperation New technology and innovation Finance liability and insurance mechanisms Ocean governance

5. Energy efficiency & Ship-port interface Background – Shipping is the most energy efficient means of mass cargo transport – Efforts to find ways to improve efficiency of operations must continue Goal 1 – Efficiency beyond the ship: addressing the ship-shore interface through streamlining and standardization of the cargo documentation – Improving coordination and promoting the use of electronic systems for clearance of ships, cargoes, crews and passengers Goal 2 – Efficiency of port facilities to keep the operational efficiency of ships at the highest level – All elements of port facility efficiency would form part of a “holistic” energy efficiency concept for the whole system

6. Energy supply for ships Background – Ships cannot be operated without fuel – Quality fuel must be provided by oil and energy industries through terminals in ports Goal 1 – Port facilities to provide quality fuel to ships Goal 2 – Ships need to have access to clean energy, such as LNG and low- sulphur fuel oils – All stakeholders of transport system have to make efforts to fulfil the stringent emission control standards, such as the sulphur regulations Goal 3 – promote partnerships between the energy supply industry and the shipping sector in order to address the need for bunkering facilities for new fuel types.

7. Driver for change Carbon emissions –The Kyoto Protocol under Article 2.2 stated that “the Parties included in Annex I shall pursue limitation or reduction of emissions of greenhouse gas emissions not controlled by the Montreal Protocol from aviation and marine bunker fuels, working through the International Civil Aviation Organization (ICAO) and the International Maritime Organization (IMO), respectively.”. –IMO introduced the Energy Efficiency Design Index (EEDI) developed within the IMO forum and sees monitoring emissions as the first step in controlling emissions – this concerns international shipping Price of oil –fuel costs are 50 to 60% of total ship operating costs – bunker fuel prices have implications for ship operating economics and margins

8. Low Carbon Development in Transport Fossil Fuel Substitution – Various innovations and new technologies including renewable energy and alternative fuels (biofuel, biodiesel) to improve ship design and reduce or avoid the use of fossil fuels – needs to be further studied to allow financial and operational sustainability of Pacific transport services Cleaner Fossil Fuel – Current fossil fuel used can be replaced by a cleaner fuel (some PICTs have now moved from diesel with sulphur content of 5,000 ppm to 100 ppm and even to 10 ppm) – A study has been conducted to assess the potential and economic feasibility of liquefied petroleum gas (LPG) and liquefied natural gas (LNG) or compressed natural gas (CNG) in meeting the medium-term energy needs of the Pacific region.

9. Low Carbon Development in Transport Energy Efficiency – Need to improve the energy efficiency and the carbon footprint of the transport sector through improved energy efficiency of port infrastructure, equipment and operations, as well as on board ships UNFCCC Compliance – ICAO continue to study policy options to limit or reduce the environmental impact of aircraft engine emissions and to develop concrete proposals and provide advice as well as emphasising the use of technical solutions taking into account potential implications for developing countries International Convention for the Prevention of Pollution from Ships, 1973 (MARPOL) compliance – Since 2013 mandatory technical and operational energy efficiency measures have been adopted to reduce the amount of CO2 emissions from international shipping – can be promoted for domestic shipping

10. SPC initiatives Promotion of the Green Pacific Port initiative Workshop on Energy Efficiency in transport (transport and energy officials to discuss energy efficiency and fossil fuel substitution in transport) in 2016 Prepare the agenda of the Transport and Energy ministers’ meeting to be held in 2017 Practical activities with the Pacific Island Domestic Ship Safety Programme (PIDSS) – Safety Management System on board domestic vessels (but safety-oriented QMS covers also pollution prevention including energy efficiency)

11. Green Pacific Port initiative Objectives Overall objective – to support the sustainable economic development of PICTs by improving the efficiency and sustainability of maritime ports as an essential element of transportation system Specific objectives – Improving the efficiency of port operations – Ensuring energy efficiency and carbon footprint reduction – Preventing marine pollution and managing waste

12. Green Pacific Port initiative Purpose Project purpose – to support PICTs in developing strategy and quality management system (QMS) – To implement plans aiming: to increase the efficiency and the sustainability of port operations to address energy efficiency, renewable energy and carbon footprint, climate change and disaster risk management and waste management and pollution control

13. Green Pacific Port initiative Activities Activities related to improved port operation efficiency – Develop effective and integrated strategy for maritime ports including sustainability and efficiency in port operation – draft and implement relevant legislative and regulatory frameworks in ports – Draft and implement QMS/EMS ensuring safety and security, facilitating trade, minimizing harmful effects on the environment and managing continuous improvement and risk assessment of port performance – Collate relevant information to assess climate change resilience and disaster risk of port infrastructure – Implement efficient response plan to recover port operation in case of major disaster

14. Green Pacific Port initiative Activities Activities related to improved energy efficiency and reduced carbon footprint – Collect and analysis data regarding energy consumption in port operations – Conduct energy efficiency and carbon footprint audits – Design practical measures and draft a plan to improve port infrastructure and equipment energy efficiency, options for renewable energy and reduce carbon footprint – Follow through with a demonstration activity so as to showcase the practicality of EE measures and benefits to port operations

15. Green Pacific Port initiative Activities Activities related to marine pollution and waste management – draft, implement and maintain port environment management plans (EMP) for waste management and pollution control – carry out proper disposal of derelict vessels and wrecks – collect and analyse water quality in ports – Investigate options for utilizing waste for renewable energy and other uses – carry out port waste reception facilities audits and remediate action in support of waste collection systems for final disposal including re-use in country and export – conduct oil spill risk assessment for ports and develop and maintain marine spill response plans – Collect and analyse data regarding the management of invasive marine species from shipping via ballast water and hull bio-fouling

16. CONCLUSION Need to discuss low carbon transport between energy and transport officials Link energy road maps and transport plans to reduce carbon footprint and costs of oil Regional organisation will be able to assist with new initiative proposals, studies on technical solutions

17. Thank you