DNV: ‘Quiet month’ of March for alternative fuelled orders, but trend remains strong

Latest figures from DNV’s Alternative Fuels Insight (AFI) platform in March saw a total of five new orders for alternative fueled vessels confirmed.

Classification society DNV said there were two orders each for methanol and ammonia fueled ships, with just one order for an LNG fueled vessel. 

“Although this was a quiet month for the ordering of alternative fueled vessels, the overall trend remains strong,” it said.

For the first three months of 2024, a total of 68 orders for alternative fueled vessels were made, compared to 44 in the first three months of 2023, representing year-on-year growth of over 50%.

Jason Stefanatos, Global Decarbonization Director at DNV, said: “Although new order activity in March has fallen short of the high volume registered in January and February, the overall picture remains positive.”

‘As seen by the exponential year-on-year growth for new orders in the first quarter of the year, the alternative-fueled fleet is expanding at a rapid pace.”

“The LNG fleet in operation has more than doubled since 2021, while the fast-growing methanol orderbook indicates similar growth in this segment over the next five years.”

“The ammonia fleet just started to develop in the beginning of the year adding two new orders in March, on top of three in January and February.”

“We are now seeing signs that investment in these vessels is also on the rise, and market conditions indicate that this could continue over the coming months and years.”

Photo credit: DNV
Published: 8 April 2024