LNG Bunkering

Wartsila: Cruise ships herald the age of LNG fuel

This year will see the first LNG-fuelled cruise ships come into service, and there are many more on order.

Published

7 years ago

June 12, 2019

Admin

The following ‘Cruise ships herald the age of LNG fuel’ article was first published on the Wärtsilä magazine Twentyfour 7 in May 2019:

This year will see the first LNG-fuelled cruise ships come into service, and there are many more on order. Find out how Wärtsilä LNG solutions are playing a key role in meeting the industry’s high demands for space efficiency, safety and sustainability.

Very few still see LNG as a novelty and there is nothing new about a cruise ship. But until this year the two have never been combined.

This is about to change. In December, Carnival Cruise Line took delivery of AIDAnova, the first LNG-powered cruise ship. It will also put its second LNG vessel, the Costa Smeralda, into operation this summer. There are now about 20 new LNG-fuelled cruise ships on order, with all the major cruise companies – Carnival, MSC, Disney, Royal Caribbean, and TUI – betting big on the technology.

“We are talking about 50% of the normal order book for cruise ships in a year,” says Piero Zoglia, who leads the business development team for Wärtsilä's marine LNG business. “All the players are focusing 50% on LNG fuel.”

The tipping point

Zoglia believes the arrival of cruise operators marks the tipping point for the fuel, as port operators and fuel suppliers will now be forced to extend bunkering facilities in dozens of new ports.

LNG has, in the past, been seen as suitable for ships on repetitive routes in seas with strict emissions controls, and not for vessels like cruise ships, which can be sent to another hemisphere at short notice. But improving bunkering availability, and the arrival of the first global sulphur cap next year, has made the fuel look more attractive. Vessels running on heavy fuel oil now need to install scrubber systems or pay a premium for low sulphur fuel, improving the economics of LNG.

When France's Compagnie du Ponant ordered Le Commandant Charcot, a specialist ship which will take sightseers on luxury expeditions to the North Pole, around Greenland, through the Bering Straits and to the penguin colonies of Antarctica, it opted for Wärtsilä's LNG dual-fuel engines.

“They are sailing in the North Sea and the Baltic Sea and that's a nitrogen oxide emission control area (NECA), so they have two options: low sulphur MDO or LNG,” says Zoglia. “The fuel price is attractive, and you also save on maintenance costs because the engines are running on cleaner fuel.” IMO has committed to developing a ban on HFO, thereby making it no longer a realistic option for new projects in Arctic cruise.

Towards clean alternatives

But economics was not the only or even the main driver. The impacts of climate change are nowhere more visible than at the North and South Pole, where ships will be operating.

Public concern over environmental pollution affects the cruise industry more than any other sector. “They have to be clean. It is not only a matter of the rules and regulations but also a question of image,” explains Zoglia. “They have to go into ports at tourist destinations and in these ports, you don't want to have smoke emissions.”

With LNG there is no smoke at all. Switching from fuel oil to LNG cuts sulphur emissions to zero, particulate emissions by 98%, NOx emissions by 85%, and greenhouse gas emissions by a quarter. It should, therefore, be no surprise that the fuel is attractive.

Tailor-made solutions

The cruise ships currently on order are the first to be fuelled by LNG, meaning companies like Wärtsilä are having to work hard to meet entirely new demands.

“It is very complex, very difficult, with very demanding customers,” says Zoglia. “There's not one project which is like what anyone has done before.”

LNG's lower fuel density means that an LNG vessel typically requires twice as much tank space as one fuelled by diesel. Standard cylindrical tanks compound the problem, as they fill only about 40% of the rectangular space needed to house them.

This is a particular problem for cruise vessels, Zoglia points out: “In a cruise ship, every cubic metre you lose might be a cabin you give away.”

Wärtsilä worked with the French engineering company GTT to develop a membrane tank for the icebreaking cruise ship Le Commandant Charcot, which could be fitted to the shape of the hull. As much as 75% of the space was used for fuel storage. It is a technology which has been used on LNG carriers but never before on a cruise vessel.

Safety first and foremost

On another project, Wärtsilä supplied Bilobe Type C tanks, which use 60% of the available space for gas storage. Again, Wärtsilä is the first to supply this technology to a cruise ship. Because Bilobe tanks are pressure tanks made of stainless steel, they are one of the best technologies from a safety perspective.

Cruise ships have some of the strictest safety standards in the industry, and Wärtsilä has built triple redundancy into the LNG systems it has supplied.

This means having two LNG tank systems working in parallel and ready to take full control in case of a single failure. Even if both fail, the diesel used as pilot fuel in the engines is stored in sufficient quantities, so that the engines can switch to diesel and bring the vessel back to the nearest port.

“For a cruise ship that's particularly important because passengers don’t care if there is a technical problem on board: they have paid for the ticket and the cruise must go on,” says Zoglia. “Safety and reliability are of utmost importance on board these ships. They are the top priorities.”

Every year between now and 2026 (at least) will see new LNG-fuelled cruise ships hit the market, and their operators lobby hard to bring bunkering to all their key ports. At the same time, oil and gas companies will order LNG bunkering ships which will make LNG refuelling much more flexible.

With the arrival of the cruise giants, it is time to stop talking about LNG's 'chicken-and-egg conundrum'. The fuel has come of age.

Source: Wartsila
Photo credit: Ponant – Stirling Design International
Published: 13 June, 2019

Alternative Fuels

MPA and MSC ink MoU to support adoption of alternative bunker fuels

MPA and MSC will explore new routes and services to strengthen connectivity, support the adoption of alternative marine fuels such as bio-LNG, and advance technologies to improve vessel energy efficiency.

Published

8 hours ago

June 4, 2026

Admin

MPA and MSC ink MoU to support adoption of alternative bunker fuels

The Maritime and Port Authority of Singapore (MPA) on Wednesday (3 June) said it signed a Memorandum of Understanding (MoU) with MSC Mediterranean Shipping Company to strengthen collaboration in maritime decarbonisation, digitalisation, innovation, and manpower development.

The MoU was signed on 25 May 2026 by Mr Ang Wee Keong, Chief Executive of MPA, and Mr Soren Toft, Chief Executive Officer of MSC.

The MoU underscores the shared commitment of MPA and MSC to foster a sustainable, digital, and future-ready maritime sector, while enhancing MSC’s operational and business activities in Singapore. This year also marks the 30th anniversary of MSC establishing its Asia Regional Office and local office in Singapore.

Under the MoU, MPA and MSC will explore new routes and services to strengthen connectivity, support the adoption of alternative marine fuels such as bio-LNG, and advance technologies to improve vessel energy efficiency and operational performance.

MPA and MSC will also collaborate on maritime digitalisation initiatives to improve operational efficiency, including streamlining vessel arrivals and port operations.

On manpower development, MSC will support internship and scholarship opportunities through Singapore Maritime Foundation’s Maritime Outreach Network (MaritimeONE) platform, an industry-led tripartite partnership comprising industry, government and institutes of higher learning that aims to raise awareness of the maritime industry and attract quality talent into the maritime sector.

Mr Ang Wee Keong, Chief Executive of MPA, said: “This partnership reflects the strong collaboration between MPA and MSC in driving sustainability and digitalisation in the maritime sector. By working together on decarbonisation, operational efficiency and talent development, we aim to strengthen Maritime Singapore’s position as a trusted and future-ready global maritime hub.”

Mr Soren Toft, Chief Executive Officer of MSC, said: “Singapore is a strategically important hub for MSC and a key gateway to the broader Asia region. As we mark 30 years in Singapore, this MOU reinforces our long-term commitment to strengthening our presence here. MSC and Singapore are closely aligned on the priorities shaping the future of global shipping, and we look forward to deepening this partnership to drive the continued growth and resilience of the maritime industry.”

Photo credit: Maritime and Port Authority of Singapore
Published: 4 June, 2026

Alternative Fuels

Shipfinex: The green fleet transition has a financing problem

Capt. Vikas Pandey, Founder & CEO, Shipfinex argues green shipping progress is uneven: major carriers can finance alternative-fuel vessels, while smaller owners face capital constraints.

Published

8 hours ago

June 4, 2026

Admin

Shipfinex: The green fleet transition has a financing problem

By Capt. Vikas Pandey, Founder & CEO, Shipfinex

The numbers on alternative-fuel orders look encouraging. Seventy-two percent of newbuild capacity ordered in the first ten months of 2025 was for alternative-fuel vessels, with LNG dual-fuel accounting for 60% of that figure. More than 1,369 LNG dual-fuel vessels are now in operation or on order globally. By most measures, the transition appears to be happening.

Look at who is actually placing those orders. MSC. Hapag-Lloyd. CMA CGM. Carriers with balance sheets large enough to absorb the cost premium of alternative-fuel newbuilds and relationships with Chinese leasing companies that extend leverage ratios unavailable to most of the industry. The Strait of Hormuz disruption this March accelerated that activity further: LNG tanker charter rates spiked above $200,000 per day and carriers with deep pockets moved to lock in fuel flexibility. Meanwhile, for vessels under 6,000 TEU, orders for conventionally fuelled tonnage rose to 28% of capacity ordered in 2025, up from 19% the year before. That is not a story of broad commitment to green fuels. It is a story about who has access to capital.

An alternative-fuel newbuild costs materially more than a conventional equivalent. Methanol-ready designs, ammonia-ready structures, LNG dual-fuel systems, each carries a cost premium above the base vessel price. For an independent shipowner financing through a traditional bank, that gap is increasingly difficult to bridge. Top-40 bank lending to shipping fell from $454.9 billion in 2011 to $284.3 billion by end-2023. The Chinese leasing companies that absorbed part of that contraction are structurally oriented toward Chinese-built vessels under long-term contracts with tier-one counterparties. Independent bulk owners, mid-tier tanker operators, feeder container companies: they are working with a materially shrunken pool of willing lenders at precisely the moment they are being asked to upgrade their fleets.

This bifurcation deserves more attention from the marine fuels industry than it currently receives. Bunkering infrastructure investment follows demand signals. Alternative-fuel bunkering at secondary ports, methanol at regional hubs, LNG outside the major transhipment centres, requires a broader fleet base of alternative-fuel vessels to justify the investment. If green fuel adoption stays concentrated among a handful of majors rather than spreading across the independent owner fleet, the economics of scaling bunkering supply infrastructure outside the primary corridors remain thin.

Capital market structure and marine fuel adoption are connected, and pretending otherwise slows both. Digital instruments representing economic exposure to vessel-owning Special Purpose Vehicles, structured within regulated frameworks like VARA in Dubai, can extend the base of capital available to shipowners below the tier-one threshold. That capital base does not replace bank lending. It reaches operators that bank lending currently does not.

The Hormuz disruption reminded the industry that fuel supply chains carry geopolitical risk. The financing gap raises a quieter but equally structural point: the demand side of the green fuel equation depends on shipowners being able to afford the vessels that create that demand. Alternative-fuel bunkering infrastructure will scale when the fleet ordering those vessels does. Right now, that fleet is smaller than the order book numbers suggest.

About the Author

Vikas Pandey is a Master Mariner with decades at sea across various vessel categories. He is Founder and CEO of Shipfinex FZCO, a maritime asset tokenization platform operating under VARA In-Principle Approval (IPA/26/01/002) in Dubai and registered as a Virtual Asset Service Provider in Poland.

Disclaimer: This article is for informational purposes only and does not constitute financial advice or a solicitation to buy or sell any financial instrument or virtual asset. Maritime Asset Tokens are virtual assets; values may decline materially below purchase price. VARA In-Principle Approval does not constitute a final licence.

Linkedin: https://ae.linkedin.com/in/capt-vikaspandey
Website: https://www.shipfinex.com/

Photo credit: Shipfinex
Published: 4 June, 2026

Alternative Fuels

Report: MSC Cruises ships operated on over 9,800 mt of bio-LNG and biofuels in 2025

MSC Group’s Cruise Division used 9,839 mt of renewable marine fuels in 2025 across its fleet, according to its 2025 Sustainability Report published last week.

Published

1 day ago

June 3, 2026

Admin

Report: MSC Cruises ships operated on over 9,800 mt of bio-LNG and biofuels in 2025

MSC Group’s Cruise Division used 9,839 metric tonnes (mt) of renewable fuels in 2025 across its fleet, according to its 2025 Sustainability Report published last week.

The company used a combination of bio-LNG and biofuels across its fleet, resulting in emissions reduction of 48,714 mtCO2e compared to equivalent fossil fuels.

Based on the Energy Transition Plan, the report showed that MSC Cruises and Explora Journeys remain on track to achieve net-zero greenhouse gas (GHG) emissions for marine operations by 2050. In 2025, MSC Group’s Cruise Division achieved the International Maritime Organization’s (IMO) 2030 carbon intensity reduction target five years ahead of schedule.

The report said the MSC Cruises demonstrated a net-zero voyage using biomethane was possible with the launch of MSC Euribia in 2023.

Since then it has actively engaged with fuel producers and suppliers to secure affordable high quality renewable fuels and in 2026, it began blending them into its operations at scale.

The bio-LNG it sourced in 2025 was produced from a variety of different sustainable feedstocks, including food waste, sewage sludge, organic municipal waste and, most notably, manure.

As most of its fleet remains conventionally powered, biodiesel represents the only drop-in solution available for these vessels today.

In 2025, MSC Europa ran on a total of 6,856 mt of bio-LNG while MSC Opera used 1,727 mt of hydrotreated vegetable oil (HVO). MSC Seaview sailed using 572 mt of HVO and 684 mt of a B24-VLSFO blend.

Photo credit: MSC Cruises
Published: 3 June, 2026