Egypt’s Suez Canal economic zone and Scatec ASA [SSO:NO]have entered a USD1.1bn memorandum of understanding (MoU) to provide ships with green fuel, as reported by Reuters on December 3. The agreement, signed during the COP28 conference in Dubai, outlines plans to produce 100,000 tonnesof green methanol annually by 2027.

The partnership between Egypt’s Suez Canal economic zone and Scatec ASA is a strategic move aimed at advancing sustainable and environmentally friendly practices in maritime operations. The Suez Canal economic zone, situated at the crossroads of Europe, Africa, and Asia, is a critical hub for global shipping and trade. Recognizing the importance of reducing carbon emissions in the shipping industry, the economic zone has joined forces with Scatec ASA, a company with expertise in renewable energy solutions. The agreement, signed during the COP28 conference in Dubai, aligns with global efforts to address climate change and reduce the environmental impact of various industries. The production target of 100,000 tonnes of green methanol per year by 2027 demonstrates a concrete commitment to scaling up the adoption of green fuels in shipping. This collaboration reflects a broader trend of industries and nations exploring innovative solutions to meet environmental goals and reduce their carbon footprint.

Sources:

https://www.reuters.com/sustainability/suez-canal-scatec-sign-11-bln-green-methanol-mou-2023-12-03/