NBAS Talks: New regulations creates market opportunities

A key theme for NBAS going forward is innovation and technology, especially leading up to the Singapore Norway Innovation Conference (SNIC) on September 29. In the next upcoming months, we will publish a series of inspirational and educational articles profiling NBAS-members across all sectors in Singapore. First out, we have talked with General Manager of Clean Marine, Eirik Dahlberg, about the current scene in the maritime sector, as well as how the future will look due to new regulations in the industry.

Clean Marine is a world-leading provider of Exhaust Gas Cleaning Systems (EGCS) for all types of vessels in the maritime industry. First, tell us a few words about your activities, services and products.
Clean Marine’s research and development into scrubbers started already in 2004. Since then, we have pioneered and delivered hybrid, open and closed loop multi stream scrubbers to clients around the world, such as in Singapore, Indonesia, China, Norway, The US, Bulgaria and Norway.

Today, Clean Marine is the world’s leading supplier of Exhaust Gas Cleaning Systems, also known as scrubbers, following last year’s announced merger between Clean Marine and its competitor FMSI. In January this year, the merger was formally completed.

Clean Marine is a global company with headquarters in Norway. Why did you decide to open an office in Singapore?
In Asia, there are two main international hubs within maritime; Hong Kong and Singapore. Clean Marine has a substantial number of EGCS contracts in Singapore, where owners demanded presence of the company. We have a major manufacturing base in Batam, Indonesia, and therefore it was natural to open an office in Singapore to follow up on the projects and streamline our offerings in all stages.

What advantages does Singapore have that Clean Marine chooses to do business and work on innovative solutions locally?
The office in Singapore serves as a good platform to cover local and international prospects, both in Singapore and within Asia. From a business perspective; being present gives a more comprehensive insight in the local market.

What are the major developments and highlights for Clean Marine over the course of the last months?
The major developments and highlights for Clean Marine the past months has been the clear benefits of the merger with FMSI. The merger has provided us with additional scale through the strategically positioned factory in Batam, Indonesia. With the Batam-factory, Clean Marine can offer higher manufacturing volumes and shorten delivery times to shipowners’ benefit.

After the merger with FMSI, we can now produce between 700 and 800 scrubbers annually, and offer full turnkey solutions, including installation and commissioning support to our clients. In addition, Clean Marine can also offer attractive financing through affiliated companies.

Currently, we have more than 250 scrubbers in our order book, and have completed more than 70% of all orders throughout 2019. Clean Marine predicts more orders to come in within the next quarters as a second wave of scrubber orders is expected due to the technology and fuel price spread assumptions have been confirmed.

What are the main challenges Clean Marine is facing in the upcoming years?
The main challenge for Clean Marine in the upcoming years is to keep up with the international competition in the market, although the company has established itself as one of the leading providers of EGCS globally.

How is Clean Marine currently adapting to new technology?
We are continuously evolving our scrubbers thanks to a strong R&D department who is constantly following up on new technologies to improve the products. Recently, Clean Marine has made significant development on our process solutions and material selection. In addition, we have increased our focus on developing the control and automation system of the ECGS.

As the market continuously changes towards sustainability, how will Clean Marine position themselves to succeed in finding these innovative solutions?
For Clean Marine, the IMO (International Maritime Organization) regulation 2020 represents an opportunity to establish a business that has the ambition to solve even more challenging environmental issues. The focus on limiting SO_xemissions from ships will be the start of a journey that shall address the climate challenge, and transform the shipping industry into a truly green and sustainable industry. Clean Marine would like to contribute and collaborate with various organisations and joint research projects to find innovative solutions for the industry.

Which pitfalls should Clean Marine steer clear of to succeed with upcoming new regulations within the industry?
Today, the scrubber market is more mature, and it is expected that new regulations will follow suit in the upcoming years. New regulations will open up for new market opportunities where Clean Marine can further develop our expertise to ensure that clients are compliant. Before the IMO 2020 regulation kicked in, we experienced a high demand for scrubbers from shipowners that wanted to be compliant. For Clean Marine, all new regulations can be viewed as a business opportunity – even the increased focus on CO2 and greenhouse gas reductions moving towards IMO 2030 and IMO 2050 regulations.

Writer, Ingrid Solberg Simonsen — About the writer:
Ingrid Solberg Simonsen is a PR- and Marketing professional living in Singapore

About Clean Marine

With the intention of creating scrubber-technology that would be the most future-proof solution for shipowners around the world, Clean Marine’s research and development began in 2004 as a part of the industry-leading shipowner, Thorvald Klaveness Group. Today, Clean Marine is dedicated to emission cleaning only and is recognized as a highly competitive supplier of Exhaust Gas Cleaning Systems (EGCS) – also called SO_x scrubbers. The company provides a fully integrated offering, including Original Equipment Manufacturer (OEM) expertise, significant capacity, fast production times, project management and after-sales services. Clean Marine is a global company with offices in Norway, Singapore, Bulgaria, Shanghai and in the USA. In addition, the company has service hubs in all major basins and sales representatives worldwide.

For more information, please visit: https://cleanmarine.no/