As the first shipping company in Sweden, Furetank obtained a green credit guarantee from the Swedish Export Credit Agency for the financing of a ship with first-class environmental and climate standards. The approval is a pioneer for shipping, enabling vast investments in the green technologies needed to meet European climate targets.
The guarantee applies to the pre-financing of Furetank’s next product and chemical tanker. It covers 80% of the risk for lender Tjörns Sparbank and marks a milestone for Furetank and Swedish shipping.
This is the first time that a green credit guarantee has been given to the shipping industry and only the second time that the Swedish Export Credit Agency has given this comprehensive guarantee. This possibility was introduced in autumn 2021 to enable critical investments in sustainable industry.
– For the world to succeed in its green transformation, it is vital that companies like Furetank can fund their ambitious climate initiatives. We are very proud to have the opportunity to support Furetank’s investment in this new vessel, says Anna-Karin Jatko, Managing Director of the Swedish Export Credit Agency.
Contribution to EU environmental objectives
The Green Credit Guarantee is granted based on the EU Taxonomy, the assessment tool that will guide international capital towards green investments. In order to meet EU climate targets and realize the European Green Deal, capital needs to be channeled into a sustainable business sector.
The agency motivates the approval by saying that the vessel is of “first class environmental standard” thanks to LNG/LBG propulsion and energy consumption already below IMO targets for 2050. They also take into account Furetank’s environmentally optimized transport schemes and its ambition to eliminate carbon dioxide emissions from ships through exclusive biogas agreements.
Enables extensive environmental investments
Furetank’s chief financial officer, Pär Karlsson, describes the approval as a definitive breakthrough: confirmation from the state that Furetank has chosen the right path in making the climate investments that Sweden, the EU and the world are calling for.
– This is an important recognition that we believe our environmental efforts deserve. We have undertaken significant investments of time, know-how and capital to develop the Vinga vessels so far. The warranty allows us to continue investing in green technologies that bring us closer to our goal of a fossil-free fleet, says Pär Karlsson.
Progress for international shipping
The approval also means progress for shipping as a whole, according to the Swedish Shipowners Association. According to Anders Hermansson, CEO of the association, they are committed to giving shipping companies access to green credit guarantees.
– This is a very positive development for shipping, as a capital-intensive industry where the cost of climate investments is very high and difficult to recoup. This is a major step for the green transition of shipping globally, as Swedish shipping companies are world leaders in the field of the environment. When our members invest in new green technologies, it not only advances the vessel in question, but the entire industry.