Investment in the Fund for Energy Efficiency Technologies:Supporting the introduction of energy efficiency equipment for vessels to promote decarbonization
Development Bank of Japan Inc. (DBJ) has decided to jointly establish the Fund for Energy Efficiency Technologies ("FEET") together with the Global Centre for Maritime Decarbonisation, a Singapore-based non-profit organization in which several Japanese shipping companies also participate as partners, and AIM Horizon Investments (formerly FPG AIM Capital), a Singaporean fund management company. DBJ will subscribe for preferred shares in this fund.
The introduction of energy efficiency technologies, such as wind-assisted propulsion systems, is attracting attention as a practical measure to reduce greenhouse gas emissions from vessels. However, uncertainty regarding the technical performance of such equipment remains a barrier to widespread adoption. FEET is a blended fund that provides financing to shipowners to install energy efficiency technologies on their vessels. By quantifying and verifying fuel and regulatory savings and linking repayment amounts to actual EET performance (pay-as-you-save), FEET shares the performance risk of these technologies.
Through its investment in this fund, DBJ will support the wider adoption of energy efficiency technologies in vessels and contribute to the promotion of decarbonization in international shipping, as targeted by the International Maritime Organization.
DBJ will actively support our clients' efforts to realize sustainable management and revitalize regional economies in accordance with our corporate philosophy, "Design the future with financial expertise: Continue to expand financial frontiers; Provide the best solutions for customers and society; Pursue sustainable development for Japan and the world."
Inquiries:
Development Bank of Japan Inc.
Corporate Finance Department, Division 4
Telephone number: +81-3-3244-1640