PSA Jurong Island Terminal and JTC Celebrate 100K TEU milestone in creating a more sustainable supply chain
PSA Jurong Island Terminal achieved a record container volume of more than 100,000 twenty-foot equivalent units (TEUs) in the year ending 31 December 2021. This represents its highest volume since 2012, and a 45% increase since 2020.
The new record volume is significant in creating a more sustainable supply chain, as it has seen a reduction of 100,000 truck trips between Jurong Island and PSA Terminals on mainland Singapore. Transportation of container-on-barge is also more environmentally friendly as it can result in up to 30% reduction in carbon emissions for each twenty-foot equivalent unit container as compared to trucking. A significant achievement for one of the world’s largest chemicals export hubs, this milestone is a result of nine years of close collaboration between PSA Corporation Ltd (PSA) and JTC.
This supports Jurong Island’s ambition of building an environmentally friendly supply chain, part of Singapore’s Green Plan 2030 to transform Jurong Island into a sustainable energy and chemicals hub. This initiative is one of the numerous sustainability partnerships taking place among the Jurong Island community, following the industry-first circular economy study, measures to reduce waste, introduction of solar panels and greening efforts through the planting of 30,000 trees on the island.
Today, close to ten companies on Jurong Island such as ExxonMobil, Sumitomo Chemical Asia, and The Polyolefin Company use barging as part of their sustainable supply chain management. With barging volume currently accounting for 20% of all cargo volume on Jurong Island, JTC and PSA will continue to work with Jurong Island companies to make barging the primary mode of transfer between Jurong Island and PSA main terminals.
Ms Seow Hwee, Head of Cargo Solutions Business, Southeast Asia, PSA International, said, “This is a significant achievement for PSA Jurong Island Terminal and we are delighted to enhance our cooperation with JTC as we take great strides together on a path towards a greener and more sustainable future. With sustainable barging, PSA looks forward to further support businesses on Jurong Island by enhancing cargo connectivity, and building logistics agility and resilience across the wider supply chain ecosystem.”
Masterplanned and developed by JTC, Jurong Island is the centrepiece of Singapore’s Energy & Chemicals (E&C) sector which contributes around 20% of Singapore’s manufacturing output. Many of the products we use daily stem from the E&C sector, from electronic devices to sports goods and healthcare items.
Ms Cindy Koh, Director of Energy & Chemicals Cluster, JTC, said, “This milestone marks another positive step towards our vision for a sustainable Jurong Island by creating a more environmentally friendly and resilient supply chain network. In line with the Singapore Green Plan 2030, we will continue to roll out new initiatives that enhance energy efficiency and reduce the overall carbon footprint.”
PSA Jurong Island Terminal helps to streamline supply chain processes, optimise operations, and enhance reliability and efficiency for businesses on Jurong Island. Located in the western corner of Jurong Island, the two berths at the terminal handle two barge sailings a day with a capacity of up to 200 TEUs for each barge.
Mr. Tan Chun Giap, Logistics and Distribution Manager (Polymers) Asia Pacific Region, ExxonMobil Asia Pacific Pte Ltd, said, “The barging service between Jurong Island and PSA’s mainland terminals provides an alternative logistics model beyond plant-to-port operations that reduces emissions relative to trucking, increases competitiveness, and enhances our supply capabilities to deliver energy and petrochemical products. Growing this capability is one way to help achieve a sustainable Jurong Island, and we look forward to continue working with JTC, PSA and other stakeholders to grow this capacity in Singapore.”
Mr Eugene Tan, Manager, Supply Chain Planning (Polymer), Sumitomo Chemical Asia said, “Sumitomo Chemical Asia has been a long term partner with PSA and with our manufacturing plants located in Jurong Island, the use of barging services of PSA Jurong Island Terminal to move our shipment to mainland terminal for export, increases our connectivity convenience and also shorten our order processing cycle time greatly. During the current pandemic, reacting swiftly to market changes is crucial. The use of barging services of PSA Jurong Island Terminal as an alternative to our traditional land transportation mode has enabled us to chart towards a lower carbon footprint in our supply chain activities as we work towards a more sustainable and resilient supply chain.”