Alternative Fuels

UK P&I: Emerging risk onboard dual-fuelled vessels

Ansuman Ghosh, Director of Engineering of UK P&I, recently shared on the risk emerging profile associated with the growing presence of  dual vessels within the global fleet.

Published

5 months ago

January 15, 2026

Admin

UK P&I: Emerging risk onboard dual-fuelled vessels

Ansuman Ghosh, Director of Engineering of UK P&I, recently shared on the risk emerging profile associated with the growing presence of dual vessels within the global fleet:

Regulatory frameworks such as the EU Emissions Trading System (EU ETS) and FuelEU Maritime have accelerated the industry’s engagement with clean technologies and alternative fuel solutions designed to mitigate carbon emissions from shipowner’s fleets. It is within this context that LNG has emerged as a leading fuel in transition.

LNG provides an immediate reduction in sulphur oxides (SOx), nitrogen oxides (NOx) and particulates. Furthermore, the development of LNG has the potential to forge a clear pathway to bio-LNG and synthetic LNG, which can be sourced in a more sustainable manner, and are both currently compatible with existing engines and bunkering infrastructure.

Despite these benefits, the LNG fuel pathway is not without its challenges. The presence of methane slip, which greatly impacts LNG’s position as a viable, long-term green fuel choice, has called the fuel’s sustainability credentials into question. However, ongoing advances in engine technology are helping to mitigate the issue, by enabling a more optimised combustion process to improve efficiency and lower methane emissions.

Given the nascent stage of development of wider alternative fuels, the maritime industry has embraced LNG as a credible low-carbon fuel. The Maritime Port authority of Singapore reported a fourfold year-on-year increase in LNG bunker volumes (S&P Global), with 1,381 LNG-fuelled vessels in operation at the end of 2024, and 849 on order (Lloyd’s Register).

The challenges of managing dual-fuelled vessels

The UK P&I Club has been working with Members using LNG as a marine fuel for over 50 years and continues to support them in scaling its use as standards, regulation and operational requirements evolve. Part of the Club’s commitment to supporting its members is helping them navigate the emerging risks of the alternative marine fuel landscape, and identify potential challenges.

As a result of new fuel types, the maritime industry has experienced an increase in the use of dual and tri-fuel vessels that can operate on a variety of fuels including LNG, Very Low Sulphur Fuel Oil (VLSFO), and Marine Gas Oil (MGO). Recent reports suggest that 7.4% of the global fleet was reported to be operating with dual-fuel engines. However, new claims data by the UK P&I Club – which has been supported by analysis from the leading global law firm Holman Fenwick Willan LLP (HFW) – suggests an emerging operational and contractual risk inherent in these vessels that owners and charterers must be prepared for.

When dual-fuel vessels operate primarily on low carbon fuels, such as LNG, this can lead to the extended storage of more traditional fuels, such as VLSFO. When VLFSO is left dormant for extended periods of time, the quality of the fuel can start to break down whilst it remains static and unused. This can lead to de-bunkering processes or machinery issues.

VLFSO has been found to degrade in as little as three to six months (CIMAC), compared to High Sulphur Fuel Oil (HSFO) which has been found to remain stable in storage for up to two years. VLSFO, that contains a maximum sulphur content of 0.5 percent, can separate and solidify in bunker tanks rendering it unusable and can cause damage to machinery, pipes, and the engines themselves.

Despite the significant risk posed by the operation of dual-fuelled engines, robust fuel management processes represent a viable means of mitigating risk. For instance, ongoing monitoring practices can support regular recirculation of fuel to avoid stratification, as well as maintaining optimal storage temperatures. Furthermore, regular inspection can support early detection of degradation by identifying sludge, discoloration, or unusual odours.

Contractual complexities

While the operational implications posed by fuel degradation in dual-fuelled engines are significant, shipowners and charterers must also be mindful of the contractual challenges that they entail.

Standard time charterparty agreements will include a minimum specification for the fuel that has been supplied by the charterer and will guarantee that a certain fuel will be fit to consume in a vessel’s engine. However, such clauses do not clarify the minimum requirements for monitoring the ongoing condition of the fuel during operations and often lack provisions for the allocation of accountability for monitoring fuel quality during long term storage.

If the use of degraded fuel leads to an incident, the owner may be liable under bailment duties, which obliges the owner to exercise reasonable care over the fuel. However, it is worth noting that a case of this nature has yet to be tested in court.

Action is the safest mitigation

From a liability perspective, the UK P&I Club recommends that charterparty agreements are amended to explicitly address the evolving risks associated with multi-fuel use. This will require a greater level of collaboration when it comes to fuel management, from both an operational and contractual standpoint.

Although the challenges related to dual-fuelled engines are significant, they can also be effectively mitigated through the use of proactive fuel management and robust charter party agreements. Shipowners who invest in training, monitoring, and procedural discipline can operate dual-fuelled vessels with confidence.

Photo credit: UK P&I
Published: 15 January, 2025

Up Next

Viking Line increases use of bio-LNG tenfold in 2025 to 6,000 metric tonnes

Don't Miss

ENGINE: Europe & Africa Bunker Fuel Availability Outlook (14 Jan 2025)

Biofuel

BHP and GCMD trial multi-feedstock B100 bio bunker fuel on bulk carrier

Bio-blend in the BHP and GCMD pilot is being used on a BHP-chartered bulk carrier “Berge Lyngor”, which was bunkered in Singapore in early May.

Published

20 hours ago

June 3, 2026

Admin

BHP and GCMD trial multi-feedstock B100 bio bunker fuel on bulk carrier

BHP and the Global Centre for Maritime Decarbonisation (GCMD) on Wednesday (3 June) said they have blended biofuels from two distinct feedstocks—used cooking oil and waste animal fats —and introduced the lower-emissions marine fuel into a BHP-chartered bulk carrier as part of a pilot project.

The bio-blend in the BHP and GCMD pilot is being used on a BHP-chartered bulk carrier Berge Lyngor, owned and operated by Berge Bulk, transporting BHP iron ore from Western Australia to China. When run on bio-blend, the vessel has the potential to reduce well-to-wake greenhouse gas emissions by approximately 79 per cent per voyage compared to sailing on very low sulphur fuel oil (VLSFO).

The vessel bunkered in Singapore in early May with a B100 bio-blend comprising 50 percent tallow-derived biodiesel, sourced and supplied by HAMR Energy, and 50 per cent used cooking oil (UCOME) supplied by Mitsui & Co Energy Trading Singapore (METS).

Mitsui also blended the fuel and Dan-Bunkering coordinated and executed the bunkering operation, which was performed by Global Energy’s barge MT Maple.

The BHP and GCMD pilot will assess how biofuels from multiple feedstocks can be blended, handled, and introduced under real-world operating conditions using existing used cooking oil bunkering infrastructure.

At the same time, insights from this pilot will help identify solutions to challenges related to fuel quality, handling, traceability, and onboard vessel performance.

Biofuels for global shipping today rely heavily on used cooking oil – a feedstock whose availability is approaching its projected limits. Biofuel from waste animal fats presents a promising option to expand the supply of lower-emissions marine fuels.

The outcomes of the pilot are expected to shed light on the practical steps to integrate biofuel blends from different feedstocks into existing supply chains. The diversity of biofuels will provide shipowners and operators with greater flexibility to optimise fuel procurement based on cost, availability, and lifecycle emissions performance.

Biofuels derived from different feedstocks can exhibit varying properties that may impact operations, including potential corrosion from oxidation, fuel system clogging caused by wax formation, which this pilot aims to assess.

The pilot will trace and verify the biofuel blend’s integrity aimed at bolstering confidence in emissions reductions reporting. The pilot will also provide insights into how robust tracing can support future marine fuel supply chains where biofuels from multiple feedstocks with varying lifecycle greenhouse gas emissions footprints are blended together.

This project is co-funded by the Maritime and Port Authority of Singapore under the Maritime Innovation and Technology Fund (MINT).

Photo credit: Global Centre for Maritime Decarbonisation
Published: 3 June, 2026

Biofuel

NYK starts one-year B100 bio bunker fuel trial on car carrier

In this trial, NYK will operate a car carrier continuously on B100 for one year to evaluate the impact on engines, fuel supply systems, and operational practices.

Published

20 hours ago

June 3, 2026

Admin

NYK starts one-year B100 bio bunker fuel trial on car carrier

Japanese shipping firm NYK on Tuesday (2 June) said it has commenced a one-year long-term trial involving the continuous use of 100% biofuel (B100) on an NYK-operated car carrier.

In this trial, NYK will operate a car carrier continuously on B100 for one year to evaluate the impact on engines, fuel supply systems, and operational practices. High-purity biofuels such as B100 are known to be susceptible to degradation from oxygen, light, and heat, raising concerns about the stability of such fuels during long-term use.

In this trial, the biofuel primarily comprises FAME (Fatty Acid Methyl Ester) derived from used cooking oil and similar feedstocks.

The initiative is designed to evaluate the fuel’s effects on the vessel’s equipment and verify operational safety under real-world conditions.

Through this effort, NYK seeks to accumulate technical expertise that will support the broader use of high-purity biofuels and further accelerate efforts to reduce greenhouse gas (GHG) emissions.

NYK has been advancing the use of biofuels through various initiatives. In 2024, the company conducted a trial using biofuel blend B24 and subsequently expanded practical usage to B30. However, the company said there remains limited global experience with the long-term continuous use of B100.

“By collecting long-term operational data through this trial, NYK aims to accumulate valuable technical insights to support both the safe operation of vessels and the wider adoption of high-purity biofuels,” it said.

Photo credit: NYK
Published: 3 June, 2026

Ammonia

AM Green plans to build green ammonia plant at Indian port

Initiative also includes development of green ammonia handling, storage and bunkering infrastructure, pilot bunkering operations, safety procedures and training programmes, says VOC Port Authority.

Published

20 hours ago

June 3, 2026

Admin

VO Chidambaranar (VOC) Port Authority on Friday (29 May) said it has signed a Memorandum of Understanding (MoU) with India’s ammonia producer AM Green Ammonia to collaborate in the development of a green ammonia production plant.

The plant will have a capacity of one million tonnes per annum (MTPA) at Tuticorin.

The initiative also includes development of green ammonia handling, storage and bunkering infrastructure, pilot bunkering operations, safety procedures and training programmes.

The project is expected to support the development of green fuel corridors connecting VOC Port with major ports in Europe and Asia, thereby strengthening India’s position in the global green fuels value chain.

VOC Port also signed a Memorandum of Understanding (MoU) with Bureau Veritas (India) Pvt. Ltd., to collaborate on Green Port certification, emissions accounting, ESG reporting, safety validation, development of green bunkering practices, and establishment of a Centre of Excellence for green fuels and sustainability.

The port also plans for an upcoming 750 m³ green methanol bunkering facility.

Photo credit: Naveed Ahmed on Unsplash
Published: 3 June, 2026