The Global Centre for Maritime Decarbonisation (GCMD) and AIM Horizon Investments have successfully closed the Fund for Energy Efficiency Technologies (FEET), raising $35 million, surpassing its initial goal. This fund, the first of its kind focused on vessel retrofits with a pay-as-you-save repayment structure, aims to overcome financial barriers that have hindered the adoption of energy-efficient technologies in the maritime sector.
FEET has garnered significant interest from various stakeholders, including shipowners and equipment manufacturers. Managed by AIM Horizon Investments, the fund combines catalytic equity from GCMD with commercial and preferred equity from the Development Bank of Japan and senior debt financing from DBS Bank and ING. The fund supports technologies like wind-assisted propulsion systems, which can provide immediate fuel savings, although uncertainties around performance and financing remain a challenge.
To address these issues, FEET offers unsecured leases, allowing shipowners to finance retrofits without tying them to vessel mortgages. Repayments are linked to verified fuel savings, with ownership of the technology transferring to the shipowner after the lease. With plans to scale to $500 million by 2030, FEET aims to support around 200 ships, fostering innovation and reducing financing costs in the maritime industry.
