Government Commits £30 Million to Sustainable Shipping Ventures

Coastal communities across the United Kingdom are set to receive a significant boost, as the government rolls out £30 million in fresh funding aimed at decarbonising the maritime industry and breathing new life into local economies. Maritime Minister Mike Kane shared the news during a visit to Clydeport in Glasgow, where he emphasised the importance of investing in green shipping technologies.

This latest investment, part of the sixth round of the Clean Maritime Demonstration Competition, will support a wide range of projects. From ammonia and hydrogen to methanol, solar power, and electric propulsion, businesses are being backed to explore cleaner, more efficient solutions for the shipping sector.

But this is more than just a win for the environment. These initiatives aim to create jobs, develop new skills, and enhance the economic resilience of port towns and coastal cities. By championing clean maritime technology, the UK is reinforcing its ambition to become a global leader in green energy innovation.

So far, the competition has awarded over £136 million to 142 organisations. This falls under the umbrella of UK SHORE, the government’s flagship programme for maritime decarbonisation, which has supported more than 300 organisations across the country. Among the projects funded are electric charging networks at ports like Aberdeen, trials of an electric crew transfer vessel at the Aberdeen Offshore Wind Farm, and a green hydrogen shore power system at the Port of Leith.

Maritime Minister Mike Kane said: “It’s so exciting to see investment in green fuels and technologies spurring on skills, innovation and manufacturing across the UK, delivering on our Plan for Change missions to kickstart economic growth and become a clean energy superpower.

We’ve charted a course to net zero shipping by 2050, and this £30 million will be crucial in supporting the green fuels and technologies of the future so that we can clean up sea travel and trade.”

While in Clydeport, the minister is also set to meet with engineers and specialists from the National Manufacturing Institute Scotland. One of the key projects on the radar is Smart Green Shipping’s FastRig system – a cutting-edge wing sail built in Glasgow. This technology, which received £3.3 million in earlier funding, can be installed on ships to reduce fuel consumption and emissions by up to 40% annually. It has already been successfully tested at sea.

Chris Courtney, CEO, National Manufacturing Institute Scotland, said: “Clean maritime is a vital part of a wider mission to decarbonise transport. Advanced manufacturing is critical to enable companies to scale up novel solutions that deliver emissions reductions and allow the creation of new jobs in these industries of the future.

We’ve spent the past 2 years working on the CMDC-funded MariLight projects, led by Glasgow-based Malin Marine Consultants, part of the Malin Group, supported by industry partners, where we demonstrated how advanced manufacturing can cut lead times, lower carbon emissions, and enable localised production in shipbuilding. It’s great to see continued momentum through the programme, and we look forward to supporting Smart Green Shipping’s journey as it scales.”

Diane Gilpin, Smart Green Shipping (SGS), CEO, said: “CMDC3 support enabled SGS, a Scottish-based business, to demonstrate the safety and robustness of FastRig, our Clyde-built wingsails, and to build out our digital decision-making platform, FastReach, which underpins our unique wind-as-a-service proposition.

Over the last 3 years, SGS has invested £7.6 million in R&D, 60% of that in Scotland. We’ve drawn upon engineering design skills in adjacent sectors like renewables and oil and gas, and digital expertise created in Scotland’s vibrant tech community. We are also working alongside the National Manufacturing Institute of Scotland to design circular manufacturing solutions to reduce embedded emissions and minimise the use of precious materials while creating good green jobs as part of a sustainable just transition.”

Clydeport itself is seeing further investment. With £3 million allocated to upgrade its ability to handle massive wind turbine components, the port is playing a central role in supporting the renewable energy industry. At King George V Docks, Peel Ports and local workers are keeping Glasgow’s proud shipbuilding heritage alive while adapting to the changing needs of a greener world.

Jim McSporran, Port Director at Peel Ports Clydeport, said: “We’re proud to welcome the Maritime Minister to Peel Ports Clydeport today and showcase how our facilities continue to create opportunities for investment, jobs and skills that will benefit the people and businesses of Scotland.

Our recent £3 million investment in road infrastructure at King George V Dock, to accommodate the growing demand for handling wind turbine components, and our ongoing transformative work at Hunterston PARC in Ayrshire, to support the renewables sector, demonstrate our commitment to decarbonising supply chains and enabling the transition to a greener economy.

It’s fantastic to see government and industry working together to back innovation, and today’s visit reinforces how Glasgow’s maritime legacy is helping to drive the UK’s clean energy future.”

Mike Biddle, Executive Director, Net Zero at Innovate UK, said: “Congratulations to the awarded projects from Round 6 of the Clean Maritime Demonstrator Competition – a great opportunity for UK innovators to take part in a world-renowned maritime transport R&D grant funding programme. Innovate UK looks forward to working with partners to support these projects focused on the ever-more prevalent issue of decarbonisation with emphasis on a range of physical, digital, system and skills-based innovation.”

The UK SHORE programme continues to expand its efforts. One of its latest contributions includes £3.85 million for the Clean Maritime Research Hub, a collaborative effort involving 13 universities. This funding will drive forward scientific research and help establish a liquid hydrogen facility at the University of Durham. The goal is to deepen the maritime sector’s understanding of how emission-free fuels, such as liquid hydrogen, could shape the industry's future.

In all, this latest wave of support signals a clear message: the transition to clean maritime is not just an environmental necessity but an economic opportunity for the communities that have long powered the nation’s ports and shipping.