Clean Vessel Incentive Program

The 2013-2015 Clean Vessel Incentive Program (CVI) ended December 31, 2015. The Port Authority of New York and New Jersey (PANYNJ) has amended the Clean Vessel Incentive Program (CVI) to increase participation and achieve greater emissions reductions. The amended CVI program was launched on January 1, 2016 and will run through December 31, 2018. See the new Terms and Conditions for the 2016-2018 CVI program.

The Port Authority of New York & New Jersey Clean Vessel Incentive (CVI) Program is a special first come, first serve program that will provide financial incentives to encourage operators of ocean-going vessels calling at Port Authority marine terminals to make voluntary engine, fuel and technology enhancements that reduce emissions beyond the regulatory environmental standards set by the International Maritime Organization (IMO).

As an important component of the Clean Air Strategy for the Port of New York and New Jersey, the Clean Vessel Incentive Program aims to provide incentives to vessel operators that perform better in reducing air emissions than required by the current international emissions standards.

The International Association of Ports and Harbors has developed the World Ports Climate Initiative (WPCI) to address issues related to vessels, climate change and air quality. One of the projects within WPCI is the development of an Environmental Ship Index (ESI). The ESI evaluates the amount of nitrogen oxide (NOx) and sulphur oxide (SOx) that is released by a ship and other factors to provide an ESI Score. The ESI Score is a good indication of the environmental performance of ocean going vessels and assists in identifying cleaner ships in a general way. The ESI Score is the basis for the PANYNJ CVI Program. The CVI Program adds additional points to the ESI Score for vessel speed reduction on approach and departure, and additional financial incentives for engines that meet cleaner international standards.

The total incentive paid for the 2015 CVI program was $1,600,000.

The total incentive payment for the first quarter of 2016 is $389,000 and the total incentive payment for the second quarter of 2016 is $413,000.

The shipping lines listed below are currently participating in the Clean Vessel Incentive program.

Participating Shipping Lines

APL, LTD.
Atlantic Container Line AB
Carnival UK
CMA CGM (America), Inc.
Great American Lines, Inc.
Evergreen Shipping Agency (America) Corporation North America, Inc.
Hamburg Sud North America, Inc.
Hanjin Shipping America, LLC.
Hapag Lloyd (America) Inc.
Hyundai Merchant Marine Company, Ltd
K- Line America, Inc.
Maersk Line
MOL (America), Inc.
Mediterranean Shipping Company (MSC) (USA)
New York Bulk Ship (America)
NYK Line (North America) Inc.
Orient Overseas Container Line Ltd.
Yang Ming Transportation Corporation (America)

 
  • About the CVI
  • Eligibility
  • Enroll Now

About the Clean Vessel Incentive Program

Photo of a Container Ship

The Port Authority of New York & New Jersey has completed the 2013-2015 CVI Program and has implemented an amended Clean Vessel Incentive Program for 2016-2018. Through the Program the PANYNJ has made available financial incentives to encourage operators of ocean-going vessels (OGVs) calling at PANYNJ marine terminals (the Port) to utilize environmentally friendly clean ship practices.

Under the Clean Vessel Incentive Program, the Port Authority would provide a financial incentive to ocean going vessels that achieve high scores on World Port Climate Initiative Environmental Ship Index (ESI). ESI is based on the sum of four (4) elements. Points are awarded on: 1) reducing nitrogen oxide emissions; 2) use of low-sulfur content fuels; 3)  tracking miles sailed and fuel consumed; and 4) the presence of an approved onshore power system (OPS) installed on board. In addition to the globally published ESI score, if the vessel also participates in Vessel Speed Reduction (VSR), the Port Authority will add additional VSR Points in a combined CVI Score. The incentive would be given for each vessel call  by an enrolled vessel that has a CVI Score of 20 points or greater. Additional incentive will be provided (on a per call basis) to vessels that have engines meeting either Tier II or Tier III standards.

Reimbursements will be on a first come first serve basis with annual funding caps of $1.3 million per year.

Eligibility

Companies must enroll themselves and participating vessels in the program before undertaking reimbursable activities.

Eligibility requirements are:

  • The vessel operating company must be an Enrolled Operator.
  • The ocean-going vessel for which an incentive is sought must be an Enrolled Vessel.
  • The Enrolled Vessel must be registered in the WPCI ESI Program, data required for obtaining an ESI Score must be submitted to the ESI website, and a valid ESI Score must be maintained for the duration of participation in the Program to receive an incentive for qualifying activities.
  • The activity for which an incentive is sought must include a Qualifying Vessel Call, defined as an arrival into the Participation Zone to a qualifying PANYNJ Marine Terminal Facility and the associated departure out of the Participation Zone by an Enrolled Vessel.
  • The Qualifying Vessel Call must have taken place after enrollment of the vessel (with the exception of the first quarter of 2016, in which vessels must be enrolled in the program and have a valid ESI Score by April 1, 2016) and within the Program’s operational dates of January 1, 2016 to December 31, 2018.
  • Qualifying "PANYNJ Marine Terminal Facility,” means one of the following facilities:
    • Howland Hook Marine Terminal/Port Ivory
    • Port Newark/Elizabeth Port Authority Marine Terminal
    • Port Jersey- Port Authority Marine Terminal
    • Brooklyn-Port Authority Terminal

How to Enroll

The Program is open to all vessel-operating companies whose ocean-going vessels call at Qualifying PANYNJ Marine Terminal Facilities.  Each vessel operating company must enroll itself and each of the ships that it anticipates will participate in the Program, prior to undertaking reimbursable activities. To enroll in the Program, the vessel operating company must do the following:

E-Mail  the following documents or information provided in the CVI Enrollment Package to the CVI Program Manager  listed  below:

  • Signed Terms and Conditions
  • Company Enrollment Form
  • Authorization Agreement for Direct Deposits and ACH Credits Enrollment Form
  • Vessel Enrollment Form, with limited information on each OGV to be enrolled (all vessels can be listed on one form.  Also, the vessel operating company can enroll additional vessels at any time during the Program)
  • Requested Tax ID Forms
    • W-9 (US entities) or
    • W-8BEN (Non-US entities)
  • Register enrolled vessels in the WPCI Environmental Ship Index (ESI)program and provide and maintain sufficient data to the ESI database to maintain a valid ESI score for the duration of participation in the Program.
  • Duration of the amended CVI program is from January 1, 2016 to December 31, 2018. Enrollments will be accepted at any time prior to the end of the program.
  • Once the completed enrollment package has been submitted, reviewed and approved by the PANYNJ, the PANYNJ will issue a vendor identification number to the Enrolled Operator. The Enrolled Operator will be notified when it is enrolled in the program. The Enrolled Operator will be the entity receiving applicable incentive payments.
  • The PANYNJ is requesting that the Authorization Agreement for Direct Deposits and Direct Payment [Automatic Clearing House (ACH) Credits] forms be completed and forwarded to the PANYNJ at the E-mail address below to authorize payment via bank wire transfer. To prevent delays in processing payments, a bank confirmation letter shall also be provided and the routing number shall be an ACH routing number.
  • All enrollment forms and documents must be sent to PANYNJ at the following address:

Port Department, 17th Floor
Attn: Joe Talkiewicz
4 World Trade Center
150 Greenwich Street
New York, NY 10007
Email: jtalkiew@panynj.gov

Contact Us

The Port Authority of New York & New Jersey Clean Vessel Incentive (CVI) Program

Port Department, 17th Floor
4 World Trade Center
150 Greenwich Street
New York, NY 10007
Attn: Joe Talkiewicz
Email: jtalkiew@panynj.gov




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