49 than 1,600 harbour crafts operating in the Port of Singapore, of which more than 30% are above 20 years of age and will be subject for replacement by 2030. Yinson GreenTech’s Hydromover and Hydroglyder will be able to fill the market gap of about 200 vessels under the Crew Transfer and Cargo & Launch vessel segment. Yinson GreenTech’s activities in the areas of land and marine transport electrification align with these trends, and we are positioned to capitalise on the various incentives that are in place. This dynamic business environment has spurred waves of collaborations with like-minded partners who realise that partnerships are critical to the achievement of national commitments, while providing great business opportunities. Our position as an early mover and a leader in the sustainability space has allowed us to capture market share and be in the forefront of the green transportation evolution in the region. OFFSHORE MARINE The Malaysian offshore marine sector is expected to experience a significant increase in activity, driven by robust upstream oil & gas activities. The PETRONAS Activity Outlook projects a steady demand for OSVs, which is further supported by a rise in drilling and production activities. The report projects an expansion of 148 vessels from 144, marking an increase from previous years and underscoring the growth in operational and production project-related activities. Additionally, the demand for vessels supporting drilling and project operations is anticipated to grow to 249 in 2024, up from 193 in 2023. This growth underscores a robust demand within the sector, predominantly fuelled by the strategic prioritisation of Malaysian flagged vessels under local contractual agreement. As the industry navigates these developments, the outlook for OSVs supporting drilling and projects remains steady, despite the persistent shortage of Malaysian-flagged OSVs, which is expected to continue in the near future, underlining the need for strategic planning and investment in fleet modernisation. The Malaysian OSV market, therefore, stands at the cusp of opportunity, ready to leverage its strategic position in Southeast Asia to meet the demands of an evolving offshore marine industry. The significant growth of EV sales worldwide is reflected in Southeast Asia as well, with EV infrastructure expanding in tandem. EV growth in Malaysia has been exceeding governmental projections, prompting an upward revision of the nation’s EV transition targets from 15% by 2030 to 20%; 38% by 2040 to 50%; and 80% by 2050. Malaysia has implemented various incentives to achieve these goals including tax incentives of up to RM300,000 under the National Automotive Policy for companies renting non-commercial EVs, full exemptions on import and duty tax for Completely Built Units (CBU) until end 2025 and full exemptions on excise and sales tax for Completely Knocked Down (CKD) EVs until the end of 2027. In addition, by the end of 2025, the restriction to sell battery EV cars below the threshold of RM100,000 will be lifted. We believe this will be the inflection point for EV adoption. In the two-wheeler segment, the Electric Motorcycle Use Promotion Scheme (“MARiiCas”) incentive by the Malaysian government, which provides an attractive rebate for the purchase of e-bikes, has received positive response. With all these measures in place, the tipping point of 5% is expected in early 2026, after which the adoption of EVs is expected to shift from being a niche market to entering the mainstream. Across the causeway, Singapore aims to deploy 60,000 EV charging points by 2030 comprising 40,000 in public car parks and 20,000 in private premises. This will make the ratio of EVs to chargers approximately 5 to 1, assuming one third of cars on the roads are EVs. The Singapore government also plans to phase out diesel vehicles, with no new diesel car and taxi registrations by 2025 and diesel vans by 2050. Plus, all new car registrations must be of cleaner energy models by 2030 and all internal combustion engine vehicles phased out by 2040. Singapore continues to take firm action to decarbonise its ports. The Maritime Port Authority (“MPA”) has announced a mandate for all new harbour crafts to be fully electric or clean fuelled by 2030. Milestones achieved towards this end include the development and launch of several fully electric vessels, including our own Hydromover – Singapore’s first fully electric cargo vessel; and the soon to be launched Hydroglyder – Singapore’s first fully electric crew transfer vessel with hydrofoil technology. Currently there are more VALUE CREATION AT YINSON | MARKET LANDSCAPE
RkJQdWJsaXNoZXIy NDgzMzc=