World Ports Climate Initiative International Association of Ports and Harbors

200 Regular Members (Ports) in 90 countries Handling 7 billion tons of cargo 60 % of world sea-borne trade 90% of world container traffic 150 Associate Members International Association of Ports and Harbors

Some Facts Houston May 2007 IAPH Resolution: Clean Air Program Dunkirk April 2008 IAPH Resolution: Support for Climate Challenges Rotterdam July 2008 World Ports Climate Conference: World Ports Climate Declaration Los Angeles November 2008 IAPH Port Environment Committee Symposium: World Ports Climate Initiative (WPCI)

WPCI Mission Statement The mission of the World Ports Climate Initiative is to raise awareness in the port community of need for action initiate studies, strategies and actions to reduce GHG emissions and improve air quality provide a platform for the maritime port sector for the exchange of information thereon make available information on the effects of climate change on the maritime port environment and measures for its mitigation

WPCI Organization And Cooperation Regional port branch organizations AAPAESPOPAPC C-40 IAPH - 55 supporting ports - supporting organizations WPCI Chair Geraldine Knatz CEO Port of Los Angeles WPCI bureau Director Fer van de Laar OPS Gothenburg ESI Rotterdam LEE PEMA CFP Los Angeles IMT Amsterdam SLA New York / New Jersey LNG Antwerp

Current Projects Carbon Foot Print On-shore Power Supply Environmental Ship Index Intermodal Transport Low Emission Yard Equipment Sustainability in Lease Agreements LNG as a fuel

International clean ship indexing program Web-based tool Assigns scores to vessels performing better than IMO rules Before regulations Beyond regulations Focus on priority pollutants GHG reductions in the future Standard for ports to reward clean ships Environmental Ship Index ESI What is it ?

Promote internationally-accepted indexing system Contribute to Port’s Clean Air Strategy goals Reward early action readiness for upcoming regulations Incentives from multiple ports increases industry participation Achieve recognition & reward for operating “clean ship” fleet Green operations marketable to customers Incorporates sustainability into logistics operations Provides “license to operate and grow” Environmental Ship Index ESI Why participate ?

741 vessels enrolled 200% year-over-year increase 97 shipping lines are participating 140% year-over-year increase 16 ports offering incentives 350% year-over-year increase Environmental Ship Index ESI Who is participating

Auctorial Portuale di Civitavecchia Brunsbüttel Ports GmbH Green Award Foundation Groningen-Seaports Hamburg Port Authority Port of Amsterdam Port of Antwerp Port of Ashdod Ports of Bremen/Bremerhaven Port of Le Havre Port of Los Angeles Port of Oslo Port of Rotterdam Port of Zeebrugge SEEHAFEN KIEL GmbH & Co. KG Tata Steel IJmuiden Terminals Environmental Ship Index ESI Incentive Providers

and/or Vessel Particulars ESI ESI ESI ESI 40+ Engine certification better than IMO Tier I standard Bunker cleaner than regulation Heavy Fuel Oil (HFO) Bunker cleaner than regulation Marine Gas Oil/Diesel Oil (MGO/MDO) Bunker cleanest available MGO/MDO Ship Energy Efficiency Management Plan Shore power technology on-board Environmental Ship Index ESI Clean Ship Profile

Environmental Ship Index ESI Scores & Incentives Vessel data can be entered in any quarter No registration fees / free of charge Vessel score calculated by ESI system every six months Port uses score to determine incentives earned Incentives paid at port’s discretion

Environmental Ship Index ESI Score Accumulation 200 NOx points 100 SOx points 10 CO2 points (SEEMP) 35 On-Shore Power Supply (OPS) Sum of points divided by 3.1 Maximum 100 points assigned to vessel

17.0 = 0 NOx pts. 8.5 ~ 50 NOx pts ~ 15 NOx pts. 0 = 100 NOx pts. g-NOx/kW-hr Main and Auxiliary Engines 200 NOx Points Possible Provide valid IAPP certificate data Provide basic engine data Accrue NOx Points < IMO Tier I Standard of 17.0 g NOx/kW.hr EIAPP Engine Certification better than IMO Standard Provide Engine Data kW rating of engines Max RPM NOx engine rating *Result multiplied by 2 for 200 pts. maximum Environmental Ship Index ESI NOx Points

30 pts. HFO <3.5% Sulfur 35 pts. MGO/MDO 0.5% - 1.0% Sulfur 35 pts. MGO/MDO <0.5% Sulfur 3.5% S HFO = 0 SOx pts. 100 SOx Points Possible Provide bunker delivery note data for heavy fuel oil (HFO) and marine gas oil/marine diesel oil (MGO/MDO) to accumulate SOx points – semi-annually Quantity and sulfur content required 0% S HFO = 30 SOx pts. 2.7% S HFO ~ 7 SOx pts. 1.0% S MGO/MDO = 0 SOx pts. 0.5% S MGO/MDO = 35 SOx pts. 0.7% S MGO/MDO ~ 10 SOx pts. 0.49% S MGO/MDO = 0 SOx pts. 0% S MGO/MDO = 35 SOx pts. 0.1% S MGO/MDO ~ 28 SOx pts. % Sulfur Environmental Ship Index ESI SOx Points

If the vessel has a Ship Energy Efficiency Management Plan (SEEMP) then vessel accumulates 10 CO 2 points SEEMP? Yes 10 pts. 10 CO 2 Points Possible Environmental Ship Index ESI CO2 Points

If vessel has shore-power plug-in capability (aka. OPS) on-board vessel, vessel receives 35 bonus points OPS? Yes 35 pts. 35 Bonus Points Possible Environmental Ship Index ESI OPS Points

Port of Los Angeles Environmental Ship Index Program Environmental Ship Index Incentive ESI Score 40+ per call $1,250 ESI Score per call $1,000 ESI Score per call $750 ESI Score (7/1/12-12/31/12) per call $250 Environmental Ship Index Incentive ESI Score 40+ per call $1,250 ESI Score per call $1,000 ESI Score per call $750 ESI Score (7/1/12-12/31/12) per call $250 Environmental Ship Index ESI Incentive Provider Sample Program

Thank you Fer van de Laar International Association of Ports & Harbors Environmental Ship Index ESI