By George Fokianos

The creation of a specialized organization to promote “green” investments in coastal shipping, including new shipbuilding, is proposed by George Xiradakis, president of the Association of Banking and Financial Executives of Hellenic Shipping and founder of XRTC Business Consultants.

On the occasion of the new government initiative for investments of over 1 billion euros through European programs, aimed at the renewal and “green” modernization of the fleet, Xiradakis emphasized that “the new opportunity may also be the last one.”

As he emphasized, the market expects seriousness and stability from both the European and Greek states, while noting that the review of development programs over the last decade has been disappointing.

He added that “the fleet has become so old that the state has no room for further delays, nor has any coastal shipping company, if it wants to remain in the market.”

The process

The financing for the “greening” of the coastal shipping fleet will be provided by European funds and the European Investment Bank, with public support reaching 300 million euros from the Modernization Fund, a European financial instrument that is funded by the revenues of the Emissions Trading System (ETS) and is renewed annually.

It is noted that the European Union has decided to return to the shipping sector part of the revenue collected from the implementation of the Emissions Trading System (EU ETS) in shipping, which came into effect in 2024.

As the money from the Modernization Fund will be gradually collected until 2032, interim financing will be provided through the European Investment Bank in the form of guarantees, which will complement the public contribution and offer low-interest loans of up to 700 million euros.

The combination of grants and loans will allow the immediate announcement of the program, mobilizing private and European funds to modernize the fleet and give a boost to the country’s shipbuilding industry.

Commenting on the issue to Naftemporiki, Dionysis Theodoratos, the president of the Passenger Shipping Association, said that this particular initiative is in the right direction, but added that the sector is currently waiting for specialization of what has been announced.

In coastal shipping, the actions that will be included in the program aim to reduce CO2 emissions and increase the energy efficiency of ships, enhancing the sustainability of maritime transport.

The interventions are divided into three categories: new shipbuilding, energy upgrading of existing ships and major conversions.