MPA introduces early adoption grant to accelerate electric harbour craft adoption
MPA introduces early adoption grant to accelerate electric harbour craft adoption
Launching on 1 January 2027, the Early Adopter Scheme for Electric Harbour Craft (EASE) provides tiered funding of up to $250,000 per vessel to catalyse early market demand and build a competitive electric harbour craft ecosystem in Singapore.
Transitioning 1,600 harbour craft to net-zero by 2050
The Maritime and Port Authority of Singapore (MPA) will introduce the Early Adopter Scheme for Electric Harbour Craft (EASE) from 1 January 2027 to accelerate the adoption of electric harbour craft (e-HC). The two-year grant is designed to catalyse early commercial demand and support the development of a competitive e-HC ecosystem across Singapore waters.
Singapore's harbour craft sector comprises more than 1,600 predominantly diesel-powered vessels delivering essential marine services, ranging from passenger transport and towage to bunkering and maintenance operations. In alignment with Singapore's national climate targets, the harbour craft sector is slated to achieve net-zero emissions by 2050.
Because harbour craft typically remain in active service for more than 20 years, fleet renewal decisions made over the next few years are critical to meeting the 2050 target. From 2030, all new harbour craft operating in Singapore must be fully electric, capable of running on B100 biofuel, or compatible with net-zero fuels.
EASE grant structure and eligibility criteria
Valid for two years, EASE gives vessel manufacturers and technology providers the confidence to invest in production lines and expand manufacturing capacity. As production volumes rise and battery technologies mature, unit costs for e-HC are expected to fall, improving commercial viability and delivering a smoother, more cost-effective transition for marine operators.
Under the scheme, owners purchasing eligible e-HC receive co-funding for part of the vessel's propulsion battery system cost. The grant is calculated as a tiered cash incentive of $250 for every kilowatt-hour (kWh) of installed propulsion battery capacity, capped according to vessel classification.
| Vessel Category | Licensing & Capacity Definition | Grant Quantum | Funding Cap |
|---|---|---|---|
| Small Craft | Passenger craft (≤12 pax capacity) OR cargo craft (≤20 tonnes cargo carrying capacity). | $250 per kWh of installed propulsion battery capacity | $150,000 |
| Large Craft | All other categories of harbour craft licence operating within Singapore. | $250 per kWh of installed propulsion battery capacity | $250,000 |
As practical benchmarks set out in Annex A, a passenger launch fitted with a 500 kWh battery capacity qualifies for a $125,000 grant, while a larger supply vessel equipped with a 1.2 megawatt-hour (MWh) battery bank receives the maximum grant of $250,000.
Three-Tranche Payout Schedule (over two years from grant award):
• Tranche 1 (30%): Released upon formal grant acceptance.
• Tranche 2 (30%): Released on the first anniversary of the grant award.
• Tranche 3 (40%): Released on the second anniversary of the grant award.
Expanding coastal charging infrastructure and grid capacity
To support daily e-HC deployment and turnaround, MPA will progressively expand shore-side charging infrastructure in lockstep with fleet adoption. Alongside fixed coastal charging points, MPA is evaluating flexible charging concepts and supplementary regulatory measures to phase out fossil fuels across the harbour craft sector.
About the Maritime and Port Authority of Singapore (MPA): MPA was established in 1996 with the mission to develop Singapore as a global hub port and international maritime centre, and to advance and safeguard Singapore's strategic maritime interests. MPA takes on multiple roles as Singapore's maritime and port regulator and planner, international maritime centre champion, national maritime representative, and champion of maritime digitalisation and decarbonisation efforts. MPA partners industry, research community and other agencies to enhance safety, security and environmental protection, facilitate maritime and port operations and growth, expand multi-domain capabilities, and support the cluster of maritime services and manpower development. For more information, visit www.mpa.gov.sg.