The Maritime minister visited Southampton yesterday after a Hampshire-based company received government funding for green projects.
Lord Davies praised the work being done by RS Marine Group, based at Hamble Point, in developing electric boats.
The company has received £700,000 to continue working alongside Aqua SuperPower to develop electric charge points for vessels.
The funding will be shared between Aqua SuperPower and their seven project partners, including RS Marine Group.
In total, £33 million has been given to 33 projects across the UK to deliver demonstrations, factory trials and feasibility studies for clean maritime technologies.
The ministerial visit saw Lord Davies hop on an electric boat in Ocean Village where electric boat chargers have been installed.
He was taken on a "fascinating" ride along the River Itchen.
Speaking to the Echo, Lord Davies said: “It’s a great step forward with the decarbonisation. We’re all looking to achieve as we possibly can, certainly before 2050.
“It’s a great development and I have been absolutely amazed at how quickly this sort of thing is being developed.”
He added: “I thought the journey was fascinating, it was so quiet, you expect to hear the roaring of the engine with a boat of this size but it was so quiet.
“What we want to encourage is this technology being made in this Britain. The UK could be the centre of excellence for this sort of thing.
“I understand that this particular boat that I have been out on today, the majority of it is UK-made and we want to encourage that as best as we can.”
CEO of Aqua SuperPower, Alex Bamberg, said: “I think it is really important that the minister has come today.
“The UK government is one of the leaders to provide this cash to get businesses running and the market moving in the electrification of the marine world.
“What we’re finding is that we have been very successful in rolling out chargers down the coast here in the UK and the Isle of Wight and what that is doing is stimulating boat production and that is important because without the infrastructure being funded then the boats won’t come.”
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