Italian shore power scheme gets EC funding

The European Commission approved €570 million ($611.60 million) in Italian state aid to incentivise ships to use onshore power.

PHOTO: MSC terminal at Genoa Port in Italy. Getty Images

Italy’s scheme will allow ship operators to save up to 100% of “general system charges” when connected to shore power in Italian ports. General system charges are additional costs or levies that are included in the electricity price paid by consumers.

“The reduction will result in a lower electricity price for ship operators when purchasing shore-side electricity and will bring the cost of electricity at a competitive level with the cost of producing electricity on-board through fossil-fuelled engines,” the European Commission said.

The scheme will be valid until the end of 2033. The level of assistance will be adjusted based on the cost difference between connecting to shore power and using fossil fuels to power onboard equipment and operations when docked at the berth.

By Konica Bhatt

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