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Author and contact person

Rune O. Methi
Project Director
+47 91 84 07 12
rune.methi@east-cci.no

Estonia has a well-developed maritime industry with a strong focus on promoting sustainable and green shipping practices. There is a total of 52 shipping companies of varying size in Estonia. These companies have a fleet of 165 ships. There are also 25 ships managed by Estonian ship managers. This implies that the total number of ships being owned and/or operated from Estonia is 190.

There are 236 ports in Estonia, which handled a total of roughly 40 million tons of cargo in 2021. Around 53 percent of the cargo was transit goods, while the remaining cargo was import and export of goods (non-transit goods). The fact that more than half of the cargo handled in Estonian ports consists of transit goods illustrates the importance of Estonian ports for the surrounding countries, working as a gateway for East European countries to the global market.

In 2020, legislation to increase the competitiveness of the Estonian maritime industry was introduced. This legislation included more favorable tax regimes for seafarers and made it easier for foreign shipowners to register ships in the country without having to use Estonian crew.

Some of the other key initiatives and developments in the Estonian maritime industry include:

 

  • Green Ship Thinking: Estonia is promoting a “Green Ship Thinking” approach in its maritime industry. This approach emphasizes the use of eco-friendly technologies and practices in shipping, such as the use of low-emission fuels, energy-efficient designs, and renewable energy sources. The aim is to reduce the environmental impact of shipping while promoting economic growth and competitiveness.
  • Digitalization: Estonia is known for its advanced digital infrastructure, and this is also being applied to the maritime industry. The country has developed a “Smart Port” concept that uses digital technologies such as blockchain, artificial intelligence, and the Internet of Things to optimize port operations and improve efficiency. This can also lead to reductions in emissions and other environmental benefits.
  • Renewable Energy: Estonia has a strong focus on promoting the use of renewable energy in the maritime industry. The country has developed several offshore wind farms, and is also exploring the use of wave and tidal power. These sources of renewable energy can be used to power ships, as well as to provide energy for port operations.
  • Innovation: Estonia is a hub for innovation in the maritime industry, with several companies and organizations developing new technologies and solutions for sustainable shipping. For example, one Estonian company has developed an eco-friendly hybrid propulsion system for ships, which combines electric and diesel power to reduce emissions.
  • Education: Estonia has several universities and educational institutions that offer courses and programs related to the maritime industry, including those focused on sustainability and green shipping. These programs aim to prepare students for careers in the maritime industry and to promote innovation and sustainability in the sector.

Estonia is committed to promoting sustainable and green port technology as part of its overall green transition strategy. Here are some examples:

  • Cold Ironing: Estonia’s Port of Tallinn has implemented a cold ironing, or shore connection system, which allows ships to shut off their engines and connect to the port’s electrical grid while docked. This reduces emissions and improves air quality in the port area.
  • Renewable Energy: Estonia is exploring the use of renewable energy sources such as wind and solar power to provide energy for port operations. The Port of Tallinn has installed solar panels on some of its buildings and is exploring the use of offshore wind power.
  • Digitalization: Estonia is using digital technologies to optimize port operations and improve efficiency, which can also lead to reductions in emissions. The Port of Tallinn has developed a “Smart Port” concept that uses artificial intelligence, blockchain, and the Internet of Things to optimize port operations and improve sustainability.
  • Waste Management: Estonia is implementing advanced waste management systems in its ports, which aim to minimize waste and maximize recycling. The
  • Waste sorting system: Port of Tallinn has implemented this and is working to reduce the amount of waste generated in the port area.
  • Electric and Hybrid Equipment: Estonia is promoting the use of electric and hybrid equipment in its ports, such as electric cranes, forklifts, and vehicles. These technologies can reduce emissions and improve air quality in the port area.

On behalf of the Ministry of Economic Affairs and Communications Menon Economics has benchmarked Estonia as a maritime center along five pillars and corresponding indicators. You can find the report through this link: MENON PUBLICATION # 45/2023