The Government of the Kingdom of Bahrain is set to bolster the Arab Shipbuilding and Repair Yard Company (ASRY) in its pioneering efforts to establish a green ship recycling program. Having embarked on the initiative in 2023, ASRY is now poised to advance the project further with the support of the government and a strategic partnership with A.P. Moller – Maersk. This collaboration aims to fully develop the yard’s capabilities to meet the anticipated future demand for sustainable ship recycling.
A Landmark Partnership
In a groundbreaking move for the Kingdom of Bahrain, a Memorandum of Understanding (MoU) has been signed to form a coalition of key stakeholders. The government will partner with Maersk, ASRY, APM Terminals, and SULB Company to spearhead the ship recycling initiative. This consortium aims to create a green economy by recycling steel from decommissioned ships for both domestic and international markets.
ASRY’s Initial Steps and Future Plans
ASRY initiated its green ship recycling efforts in 2023 with the recycling of an obsolete Wan Hai containership. Working with Dutch startup Elegant Exit Company (EEC), ASRY embarked on a green dismantling process, ensuring the reuse of materials from retired vessels. This initial project laid the groundwork for ASRY’s expanding role in the burgeoning green ship recycling industry.
Addressing the Growing Demand for Ship Recycling
Maersk underscores the anticipated surge in demand for ship recycling capabilities by 2028. Over the past eight years, Maersk has recycled 22 vessels globally and brings considerable experience to the table. The company has a history of collaboration with ASRY, including the recent overhaul and repair of the 20-year-old Maersk Durban (33,750 dwt) at the Bahrain shipyard in 2024. Maersk will serve as the technical and operational advisor, leveraging its expertise in sustainable practices and ship recycling.
Government and Industry Collaboration
Bahrain’s Ministry of Transportation and Telecommunications and the Ministry of Industry and Commerce will provide regulatory support to ASRY. This support will enable ASRY to equip its yard and docks with the necessary facilities for efficient and environmentally friendly ship recycling. The collaborative effort aims to strip ships of toxic materials and separate reusable components, ensuring a comprehensive and green dismantling process.
SULB’s Role in Sustainable Steel Recycling
SULB, a steel company owned by Bahrain-based investment company Foulath and Yamato Kogyo, joins the initiative to utilize steel from recycled vessels. This sustainable effort will serve both domestic and international markets, aligning with global trends toward eco-friendly industrial practices.
Global Context and Future Outlook
The demand for ship recycling is escalating as shipowners face tightening regulations and seek to bolster the industry’s environmental image. The European Union has implemented stringent recycling requirements, and there are ongoing efforts across Asia to elevate shipyard operations to meet green standards. Countries from Egypt to Brazil have also announced plans for new green recycling shipyards, reflecting a global shift toward sustainable practices.
The partnership between the Government of Bahrain, ASRY, and Maersk marks a significant step forward in the development of green ship recycling capabilities. This initiative not only supports the environment but also aligns with global trends and regulatory demands, positioning Bahrain as a leader in sustainable maritime practices.Regenerate Response
