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Shipowners predict the most popular fuel solution for 2020 compliance

Shipowners discuss the potential fuel solutions for 2020 compliance.

April 19, 2018

Thanks to the MEPC 72 meetings, the maritime industry now has a decarbonisation strategy which proposes that total greenhouse gas emissions should peek as soon as possible and reduce by at least 50% by 2050.

However, the more imminent decarbonisation issue that all shipowners need to prepare for is the 2020 sulphur cap coming into force on 1 March 2020.

We asked the shipowners to predict which fuel solutions they think will be the most popular for 2020 compliance at GST & Shipping2030 Europe, as ultimately, they will be the ones that will drive the demand for the future.

Watch the video or read their answers below.

Low Sulphur Fuel

Erik Lewenhaupt, Head of Sustainability, Stena Line Group:

“I think regular low sulphur fuel will still be the most widely used choice because you have such a mix of ships, of ship types, of ship ages, trading patterns, etc., that it will take time to shift. Many owners will still be hesitant and start off running with low-sulphur and see what options are developing.”

Marine Gas Oil

Eivind Holte, Senior Technical Manager, Saga Shipholding:

“Marine gas oil will be the solution for most of the ships. There will be new fuel solutions coming, but [the 2020 deadline] is getting so close that most of us have to decide on one solution, and that will be the marine gas oil. Some owners, and even we, have been looking at scrubbers but we feel it’s a temporary solution, not a permanent solution. We think that we will have problems with water, washing and discharging this into the sea. Heavy fuel will not be available. It may be available in main ports, but not in the small ports where you are used to getting it today. They can’t sit by the storage tank, they can’t sit by the bunker barge to wait for one scrubber ship coming in once a month. I think the solution for 2020 will be gas oil.”

Related:Q&A: Bahri President on IMO 2020, environmental concerns and alternative fuels

Thomas David, Head New Building, Project Management, John T Essberger:

“That depends a little bit on the shipping company. We are from the European […] tanker operator. We have 37 tankers and we have made a clear decision that any ship on the Baltic and North Sea only runs on MGO. We don’t expect any problems with this new regulation.”

LNG

Liquefied natural gas (LNG) has become a divisive fuel choice for shipping, as many shipowners, including Carnival Corporation, see LNG as a solution, while researchers oppose it.

Donald Werner, HSQE Manager, Furetank Rederi AB:

“It’s hard to say. There are a bunch of new technologies coming up. We’ve been listening to a bunch of presentations (at GST & Shipping2030) about batteries, hydrogen, and other good solutions like methanol, but we believe in LNG. And not only for 2020 compliance, but also for other emission reductions like NOx and particulate matters, and for the future shift over to biofuels when there is an increased availability of that.”

Related:Shell calls for carbon levy to encourage alternative fuels development

 

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