ships, reefers, and cruise ships will transition to the new regulation. Car carriers will need to comply starting in 2025. Tankers calling at the Ports of Los Angeles and Long Beach must comply as of 2025, and tankers calling in Northern California will have to comply as of 2027.


11. Which alternative fuels are being considered for international shipping?


As matters stand, the main alternative fuels being considered include liquefied natural gas (LNG), liquefied petroleum gas (LPG), hydrogen (H2), ammonia (NH3), methanol (CH3OH), and biofuels. However, see also paragraph 12.


12. What are the advantages & disadvantages of each type of alternative fuel?


The table below provides an overview of advantages and disadvantages of the main alternative fuels being considered for the shipping sector:


Alternative Fuels


Liquified Natural Gas (LNG)


Advantages


▬ Already in practical use ▬ Infrastructure being developed


▬ Lower in cost as compared to traditional marine fuels


▬ High energy density


▬ Specific regulations for LNG in IMO’s International Code of Safety for Ships using Gases or other Low-flashpoint Fuels (IGF Code)


13. What about electricity, wind, or solar power as alternative energy sources?


In recent years, pure battery-electric propulsion, using lithium ion (Li- ion) batteries, has been successfully applied on small, short-sea vessels. Presently, range limitations on the use of electricity make it unsuitable for most ocean-going applications. The potential for batteries in combination with a two-stroke main engine in a hybrid system is being evaluated for larger ocean-going vessels.


Wind and solar technologies are also being considered in conjunction with the use of other technologies (see paragraph 21).


14. Which fuel(s) is/are likely to become the main alternative fuel?


There is no one-size-fits-all solution. Various factors will have to be considered in selecting an


appropriate fuel type based on vessel type, age of the ship, trading area, retrofitting costs, operating budget, fuel price/availability, infrastructure development, etc.


Choosing the right fuel strategy is one of the most important decisions an owner will have to take for a current new build. The key will be to optimise the fuel storage and propulsion system of the ship to accommodate current and future fuel requirements. A vessel built now faces a significant risk that the most competitive fuel in the ship’s early life will not be the same subsequently.


15. What are owners doing in terms of new buildings and what is the outlook?


The industry reports there is an increase in newbuilds on order that have alternative fuel systems or dual-fuel capabilities. Except for electrification in the ferry segment, the alternative fuels being used are still mainly fossil based and are dominated by LNG.


Disadvantages


▬ Commonly known as a ‘t ransition fuel’ as reduction of CO2 emissions is limited


▬ Requires a temperature of -162C to stay in liquid state


▬ Low volumetric density (storage takes nearly twice the space of traditional marine fuels)


▬ Bunkering, storage and handling requires much more care than traditional marine fuels


▬ Methane slip (GHG impact 25 t imes greater than CO2 emissions)


▬ Possible criticism for the use of fossil fuel


Liquified Petroleum Gas (LPG)


▬ Lower in cost as compared to traditional marine fuels


▬ Similar to LNG, reduction of CO2 emissions is limited ▬ As with LNG, LPG storage requires larger tanks ▬ limited operational experience ▬ Lack of bunkering infrastructure


▬ Slippage factor (GHG impact 3-4 t imes higher than CO2 emissions)


▬ Possible criticism for the use of fossil fuels


▬ Commonly used biofuels are hydrotreated vegetable oil (HVO) and biodiesel (FAME, fatty


▬ acid methyl ester) Biofuels


▬ Carbon neutral - derived from biologically renewable resources such as plant-based sugars, etc.


▬ Usually blended with traditional marine fuels or used as a ‘drop-in’ fuel, compatible with current conventional marine engines.


▬ Higher in cost as compared to many fossil fuels


▬ Technical issues that could lead to machinery breakdown if not managed property - storage stability, biological growth (biofouling), acidity, plugging of filters, and increased engine deposits


▬ Limited production capacity and availability


62 | The Report • September 2022 • Issue 101


Page 1  |  Page 2  |  Page 3  |  Page 4  |  Page 5  |  Page 6  |  Page 7  |  Page 8  |  Page 9  |  Page 10  |  Page 11  |  Page 12  |  Page 13  |  Page 14  |  Page 15  |  Page 16  |  Page 17  |  Page 18  |  Page 19  |  Page 20  |  Page 21  |  Page 22  |  Page 23  |  Page 24  |  Page 25  |  Page 26  |  Page 27  |  Page 28  |  Page 29  |  Page 30  |  Page 31  |  Page 32  |  Page 33  |  Page 34  |  Page 35  |  Page 36  |  Page 37  |  Page 38  |  Page 39  |  Page 40  |  Page 41  |  Page 42  |  Page 43  |  Page 44  |  Page 45  |  Page 46  |  Page 47  |  Page 48  |  Page 49  |  Page 50  |  Page 51  |  Page 52  |  Page 53  |  Page 54  |  Page 55  |  Page 56  |  Page 57  |  Page 58  |  Page 59  |  Page 60  |  Page 61  |  Page 62  |  Page 63  |  Page 64  |  Page 65  |  Page 66  |  Page 67  |  Page 68  |  Page 69  |  Page 70  |  Page 71  |  Page 72  |  Page 73  |  Page 74  |  Page 75  |  Page 76  |  Page 77  |  Page 78  |  Page 79  |  Page 80  |  Page 81  |  Page 82  |  Page 83  |  Page 84  |  Page 85  |  Page 86  |  Page 87  |  Page 88  |  Page 89  |  Page 90  |  Page 91  |  Page 92  |  Page 93  |  Page 94  |  Page 95  |  Page 96  |  Page 97  |  Page 98  |  Page 99  |  Page 100  |  Page 101  |  Page 102  |  Page 103  |  Page 104  |  Page 105  |  Page 106  |  Page 107  |  Page 108  |  Page 109  |  Page 110  |  Page 111  |  Page 112  |  Page 113  |  Page 114  |  Page 115  |  Page 116  |  Page 117  |  Page 118  |  Page 119  |  Page 120  |  Page 121  |  Page 122  |  Page 123  |  Page 124  |  Page 125  |  Page 126  |  Page 127  |  Page 128