Low-Carbon Technologies

With the deepening awareness of environmental protection worldwide, such as the IMO’s annual carbon intensity reduction targets or the European Union’s goal of achieving a 75% GHG reduction by 2050 compared to the relative base year 2020, Yang Ming has been actively dedicated to low-carbon technology investment and R&D, paid continuous attention to the development of low-carbon industries, sought opportunities to invest in clean energy and relevant transport ships in a pragmatic manner, and adopted a variety of strategies including developing the deployment of alternative fuels, researching energy-efficient technologies for vessels, and engaging in industry-academia collaboration, welcoming the challenges of global zero carbon emissions and attaining the goal of green sustainability. 

 

Development of Alternative Fuels

We have kept an eye on the technical maturity of different alternative fuels for ships (e.g., biofuel, methanol, hydrogen, ammonia), the vertical integrity of the supply chain, and the development of international environmental protection regulations. The Company initiated the deployment of 5 15,000 TEU LNG power-driven dual-fuel container ships. The carbon emissions of LNG are about 20% less than those of conventional fuels. Moreover, to develop alternative fuels with higher maturity, we chose to build LNG powered dual-fuel vessels which are cleaner as our new ships in the hope of not only reducing carbon emissions, but also enhancing the overall operating competitiveness of the fleet. Since 2023, Yang Ming has arranged basic and advanced LNG and engine model training for excellent seed seafarers to obtain certificates for the IGF CODE. 

For the research of energy-efficient technologies for vessels, the Company has put in continuous efforts and gained progressive outcomes. Currently, the research focuses on carbon capture devices, bubble drag reduction, energy-efficient wind shields, energy-efficient propellers, shaft generators, and exhaust/waste heat recycling systems. While assessing the maturity of relevant infrastructure (e.g., refueling ports), fuel supply chains, and main engine/electric machinery technology development, Yang Ming will continue investing resources in seeking the innovation and breakthrough of energy-efficient technologies to help achieve the goal of green shipping. 
 

Low-carbon Investments for Onshore Business Locations
Installation of green electricity production units in the business building	Chongqing Building has commissioned professional contractors to design an eco-friendly and energy-efficient green roof where there will be an aquaponics system, green plants, and a recreational trail and to introduce green energy and rainwater recycling systems, which can produce an effective heat insulation effect and thereby reduce the AC energy consumption of the building.  The expected outcomes are:  3,960 KWh of annual solar power generation.  134 metric tons of rainwater recovered per year.  2,016 kilograms of carbon emissions reduced per year.
Vehicle electrification	Electric motorcycles are used as company vehicles, and the existing company cars have been replaced with hybrid electric vehicles in a stepwise manner. A hybrid electric vehicle consumes 3 L/100km less than a conventional one. It is expected that 600 liters of fuel can be saved for all our company cars throughout the year.
Electrification of container yard equipment	We completed the installation of new-model gantry cranes and the rearranging of the loaded container storage area in the Keelung ( Yang Ming) Container Yard in 2022.  The energy efficiency and safety of the new-model gantry cranes have been verified by the American Bureau of Shipping and TÜV Rheinland®. Power can be supplied to the gantry cranes through power cables, reducing power loss during power transmission where, in the past, relay substations were required and lowering the average energy consumption of each load and unload of a container. The power consumption of modern gantry cranes is only one-sixth of that of old-model ones. We also stopped using diesel rubber-tyred gantry cranes, reducing about 95 thousand liters of diesel annually, equivalent to a reduction of 248.40 tons CO2e.  Rearranging and renovation of the loaded container storage area: Yang Ming was the first to place the container pickup lane in the middle of the storage area to shorten the distance that gantry crane trolleys have to move, enhancing pickup efficiency. Loaded containers are placed on both sides of the lane, and cement and steel-reinforced container pads are used to deal with the rainy weather in Keelung and avoid stacking the containers on the waterlogged ground, effectively reducing the risk of moisture damage to cargo. The area has a storage capacity of 2,160 TEUs, and there are 336 reefer container plugs for imported / exported and transshipment containers, which effectively expands the service capacity of Yang Ming at Keelung Port.

  

Green Energy Procurement, Energy Conservation, and other Investments Related to Green Energy

1. In 2023, Yang Ming signed a shipbuilding contract with HD Hyundai Heavy Industries on five 15,500 TEU LNG dual-fuel container vessels, completed IHM (Inventory of Hazardous Materials) verification, and installed ballast water treatment system on ships.
2. A total of 129,000 kWh of green electricity was purchased and 129 renewable energy certificates were obtained. In all, the above contributed to the reduction of 63.855 tons of CO 2 emission.
3. The total amount of investment in 2023 was approximately NT$12,180,000,000.