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Clean Tyne Shipping Corridor project outlines port’s green methanol bunkering hub ambition

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Study explores current use of alternative bunker fuels in the shipping industry, and challenges the sector faces in transitioning from conventional fuels to net zero carbon fuels.
Dr Eleni Bougioukou

The Port of Tyne, working with Connected Places Catapult and partners Arup, Lloyds Register, EDF R&D UK, Newcastle University and the North East LEP, on Tuesday (19 September) published the results of a feasibility study looking at the decarbonisation of the maritime industry through the creation of green shipping corridors, and the adoption of scalable zero-emission energy sources.

The Clean Tyne Shipping Corridor Project – funded by the Department for Transport and delivered in partnership with Innovate UK as part of the Clean Maritime Demonstration Competition Round 2 (CMDC2) – sets out the opportunities and economic and environmental benefits of creating a new, green shipping corridor from North-East England that links the region with the European Green Corridors Network

The study also explores the current use of alternative bunker fuels in the shipping industry, and some of the challenges the sector faces in transitioning from conventional fuels to net zero carbon fuels like methanol, hydrogen, and ammonia.

It is hoped the study, and the accompanying roadmap, will create opportunities for UK ports – including the Port of Tyne – to lead shipping’s transition to net zero, which currently accounts for approximately 3% of annual CO2 emissions globally.

Dr Eleni Bougioukou, Innovation Manager at the Port of Tyne, said: “Through The Clean Tyne Shipping Corridor Project we have been investigating what technology, infrastructure investment, and interventions are needed to create a green shipping corridor from the Port of Tyne to Rotterdam using renewable methanol.

“One of the biggest challenges we have found is the current cost differential between conventional and zero emissions fuels. The cost of alternative fuels in the maritime sector is prohibiting the pace of decarbonisation. There is also a need for greater investment in research, innovation, and digital adoption to help improve technologies that increase productivity throughout green corridors, ensuring they generate a positive return on investment.

“Despite some of the challenges, green corridors provide a huge opportunity to transform the current model of shipping by investing in staff, skills, and infrastructure. Working collaboratively to develop and share facilities, aggregate demand for future fuels, and align funding strategies, we can position the UK at the forefront of green shipbuilding and maritime technology.”

The study explores the technical, strategic, and commercial barriers and enablers to creating a green shipping corridor in North-East England. It goes on to look at the economic and regulatory feasibility of the project, and the opportunities to attract inward investment.

The Clean Tyne Shipping Corridor Roadmap outlines a series of milestones and activities that the Port of Tyne, its customers, and the green methanol supply chain, will need to deliver to establish the Port as a green methanol bunkering hub.

Compiled through stakeholder engagement, literature review, and analysis of port and vessel-calling data, The Clean Tyne Shipping Corridor Project provides the roadmap to create more green shipping corridors in ports across the UK and encourage the early adoption of alternatives to petroleum-based fuels in the maritime industry.

The study shows that a holistic view of the fuel production, bunkering and vessel system is required to examine the opportunities at the Port of Tyne and regionally. There’s an opportunity for the NE to be a leader in UK maritime decarbonisation, with the right public and private actions. We’re looking forward to seeing ideas translate to action in the near term!”

The Clean Tyne Shipping Corridor project was awarded over £390k of UK Government funding from Round 2 of Clean Maritime Demonstration Competition (CMDC2). It aims to establish at least one of the six green corridors pledged in the Clydebank Declaration at COP26 by 2025.

The full report is available to read at https://cp.catapult.org.uk/report/clean-tyne-shipping-corridor-roadmap/

Photo credit: Port of Tyne
Published: 26 September 2023