The Maritime and Port Authority of Singapore (MPA) has signed two agreements to advance decarbonisation efforts in the maritime industry, one of which includes the launch of a $90m (S$120m) fund for this purpose.

The port authority has joined six shipping industry partners in a memorandum of cooperation to establish the fund, which will be used to construct a new maritime decarbonisation centre in Singapore.

The six companies include BW Group, Sembcorp Marine, Eastern Pacific Shipping, Ocean Network Express, Foundation Det Norske Veritas and BHP.

As per the terms of the deal, each partner will contribute $7.5m (S$10m) for the establishment of the centre and will fund maritime decarbonisation related research and technology development projects.

MPA will also contribute $45m (S$60m) in R&D funding, bringing the total funding for the project to $90.27m (S$120m).