Port of Callao in Peru has become the first port in Latin America to offer shore power, allowing vessels to plug into landside electricity while alongside instead of running their auxiliary engines.

The system has been installed at the South Pier Container Terminal operated by DP World Callao, the National Port Authority said in a statement issued on Wednesday.

Compatible ships calling at the terminal can draw electricity from the shore-side connection while in port, cutting fuel use, emissions and noise. For communities near the port, switching off auxiliary engines also curbs local air pollutants such as nitrogen oxides, sulphur oxides and particulate matter. DP World Callao expects the system to reduce CO2 emissions by more than 6,300 tonnes a year.

The National Port Authority said the project forms part of Peru's broader efforts to make its ports more efficient and sustainable.

Shore power, also known as cold ironing or alternative marine power, is already in use at ports in North America, Europe and Asia as a way to curb emissions from berthed vessels. Regulation is increasingly moving in the same direction: the European Union requires container and passenger ships to connect to shore power at major EU ports from 2030, and the International Maritime Organization's greenhouse gas strategy targets net-zero emissions from international shipping by or around 2050. Use of shore connections also depends on vessels being equipped for them, with international standards such as IEC/IEEE 80005-1 governing high-voltage shore connections.

The climate benefit of the technology, however, also depends on how the electricity supplied to ships is generated. The greater the share of renewable power in the grid, the larger the potential emissions savings. In Peru, hydropower accounts for a large share of electricity generation.