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DNV: Fuel flexibility starting with LNG

LNG is not the end game, but it is the starting point to carbon zero. With the IMO GHG reduction targets knocking at our doors, we cannot afford to wait, states Dr. Shahrin Osman.

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Fuel flexibility starting with LNG

By Dr. Shahrin Osman, Regional Head of Maritime Advisory, Director of Maritime Decarbonization and Autonomy Centre of Excellence Asia – Pacific at DNV

The growing stringency in environmental regulation has compelled the maritime industry into a major shift in fuels. Regional and national lawmakers are also demanding a faster energy transition attributed to a changing climate of public opinion, affecting both financiers and charterers.

Shipowners today are hence experiencing increasing pressure to reduce their greenhouse gas footprint as part of the decarbonization journey.

Therefore, as an industry, many wonder how we can accelerate the transition to carbon zero fuel. As DNV sets out to answer that question, we strongly believe that fuel flexibility is the key to staying competitive in an uncertain fuel future.

As policy developments and stakeholder’s engagement over the next few decades will drive shipowners to find new solutions, our decarbonization experts have inaugurated a new carbon risk framework in the Maritime Forecast to 2050 report.

The aim is to allow shipowners to assess the technology, fuel, and energy landscape, therefore empowering them to make informed business decisions which keep their carbon emissions below the stipulated level.

This framework also gives a detailed assessment of fuel ready, fuel flexible solutions and evaluates vessel design implications.

“Fuel Ready” is a class notation that offers shipowners the choice to prepare for a later conversion to a myriad of various alternative fuel options, and “Gas fuelled ammonia” for ammonia fuelled vessels, to stay in the lead of shipping’s ever tightening carbon reduction restrictions.

In the report, a decarbonization stairway model was also introduced to show how individual owners can adapt to reduce their carbon emissions.

To enable the transition to carbon zero, LNG has set the precedence for clean-burning natural fuel and is excellent for future viability. With research in LNG as fuel dating back to more than two decades ago, it is therefore certainly in a reliable position as a transition fuel.

Our key finding was that installing a dual-fuel LNG engine is a robust choice today enabling future flexibility. Advantages include:

  • Cost-effective: a dual-fuel LNG engine can run on cheaper LNG
  • Compliant: 20% to 25% reduction in tank-to-wake CO2 emissions
  • Flexible: if correctly designed, it can potentially be used for other fuels

Especially in the deep-sea segment, dual-fuel solutions and alternative fuel “ready” solutions could smooth this transition, by laying the groundwork for a future retrofit.

With a combination of technologies such as adaptable storage tanks, onboard systems, and shore-side fuel infrastructure, this could give the industry more options as new fuels and technologies surface.

Taking a long-term perspective, investing in LNG not only reduces our carbon footprint and allows the reliable consolidation of renewables, but it also facilitates the production of hydrogen-based fuels that are carbon neutral, produced from a carbon capture and utilization process- like LNG.

DNV’s Alternative Fuel Insight (AFI) portal closely monitored the newbuilding trend and at the year-end 2021 approximately one third (based on GT) of all new-build tonnage was ordered with alternative fuels. This included over 240 ships fuelled by LNG, 48 with LPG, 22 with methanol, and 4 with hydrogen.

Our AFI portal also reported nearly 200 vessels with an LNG fuel system were ordered in 2021, making last year a record-breaking one for LNG.

The emergence of bio- and synthetic LNG would allow owners to switch to a low carbon fuel without having to make any additional adjustments on board.

DNV is a long-time advocate of LNG and an early pioneer of its use as a marine fuel, our rules for gas-fueled ships were first issued very early back in in January 2001 – more than 20 years ago.

Since then, we have gained considerable experience, and comprehensive efforts have been put into the development of the regulatory framework for gas-fuelled ships, including the development of the International Code of Safety for Ships using Gases or other Low-flashpoint Fuels (IGF Code).

So, what is the trend for newbuild ships like over the next few years?

We see an increase in deep-sea LNG-fuelled ships globally, and in batteries for full-electric or part-electric operations in the short-sea segment.

The technical applicability and commercial viability of alternative fuels will, however, vary greatly for different ship types and trades. Deep-sea vessels have fewer choices compared with the short-sea segment.

Deep-sea shipping involves large ocean-going ships that need to store very huge amounts of energy, where the main proportion of energy consumption relates to propulsion of the ship at steady speed over long distances.

Hence, options for the deep-sea trade are still limited to LNG and LPG, or to biofuels which are not yet prevalent and are more costly than LNG and LPG.

LNG is not the end game, but it is the starting point to carbon zero. With the IMO GHG reduction targets knocking at our doors, we cannot afford to wait. The industry must take a proactive stance and ensure that the potential of cleaner fuels is well harnessed.

 

Source: DNV
Published: 10 March, 2022

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Alternative Fuels

Yang Ming orders six LNG dual-fuel, ammonia-ready containerships from Hanwha Ocean

Each of the six new vessels will have a capacity of up to 13,650 TEU and feature LNG dual-fuel propulsion and Ammonia Fuel Ready specifications.

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Yang Ming orders six LNG dual-fuel, ammonia-ready containerships from Hanwha Ocean

Taiwanese shipping firm Yang Ming Marine Transport Corporation (Yang Ming) and South Korean shipbuilder Hanwha Ocean on Wednesday (2 September) signed a shipbuilding contract for six 13,000 TEU class LNG dual-fuel container vessels. 

The contract was signed by Dr. Chuck Tsai, Chairman of Yang Ming, and Mr. Charles Kim, CEO of Hanwha Ocean. The vessels are scheduled for delivery between 2028 and 2029. 

They will complement Yang Ming’s existing fleet of 10,000+ TEU vessels and serve as key vessels on East-West services, with deployment flexibility across trade lanes connecting Asia with the East and West Coasts of North America, South America, and the Mediterranean. 

Each of the six new vessels will have a capacity of up to 13,650 TEU and feature LNG dual-fuel propulsion and Ammonia Fuel Ready specifications.

“As Yang Ming transitions toward net-zero emissions, LNG provides a relatively mature and economically viable alternative fuel solution, capable of reducing greenhouse gas emissions by approximately 20%,” the company said. 

“At the same time, ammonia can serve as a carbon-free fuel by utilising converted LNG storage facilities, while offering relatively lower conversion costs and comparatively well-developed supply chains and infrastructure. The Ammonia Fuel Ready design will therefore provide Yang Ming with greater flexibility in responding to increasingly stringent international regulations on greenhouse gas emissions.”

In addition, the vessels will be equipped with Type B LNG fuel tanks with a design pressure of 1.0 bar to enhance the safety and efficiency of LNG operations, together with a range of energy-saving technologies, including Wind Shields, Rudder Bulbs, Pre-Swirl Stators, and Shore Power Systems. Smart ship technologies and cybersecurity protection features will also be incorporated to enhance operational efficiency, safety, and reliability while effectively reducing fuel consumption and greenhouse gas emissions.

Deliveries under Yang Ming’s next-generation fleet optimization plan commenced earlier this year. By 2030, a total of 24 new vessels are expected to enter service. 

This includes 18 LNG dual-fuel vessels—comprising five 15,500 TEU, seven 16,000 TEU, and the six 13,000 TEU vessels under this contract—alongside six 8,000 TEU methanol dual-fuel-ready ships. 

 

Photo credit: Yang Ming Marine Transport
Published: 4 September, 2026

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LR, China’s MARIC unveil tanker concept ready for three future bunker fuels

Both secured AiP for a new 114,000 DWT product and crude oil tanker designed to accommodate future conversion to LNG, methanol or ammonia.

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LR, China’s MARIC unveil tanker concept ready for three future bunker fuels

Lloyd’s Register (LR) and the Marine Design and Research Institute of China (MARIC) on Thursday (3 September) have secured Approval in Principle (AiP) for a new 114,000 DWT product and crude oil tanker designed to accommodate future conversion to LNG, methanol or ammonia.

Announced at SMM 2026, the concept addresses one of the biggest investment challenges facing shipping today: the need to develop vessels and capabilities that can support a range of alternative fuel options and pathways as technologies, infrastructure and regulations evolve.

While LNG is already a mature fuel pathway, methanol and ammonia remain at an earlier stage of development, with questions around global fuel availability, infrastructure development, economics and long-term adoption.

The 114,000 DWT tanker concept has been designed as a product and crude oil carrier that can accommodate future conversion to LNG, methanol or ammonia as technologies, regulations and fuel supply chains mature. By incorporating conversion readiness at the design stage, the concept aims to reduce future retrofit complexity and provide owners with greater confidence when planning long-term fleet investments.

The design concept was reviewed against LR’s July 2026 class rules and regulations, including requirements relating to ships using gases and other low-flashpoint fuels, alongside relevant IACS Common Structural Rules for oil tankers. Final classification and statutory approval remain subject to full compliance with all applicable rules and regulations.

Theo Kourmpelis, Global Business Director for Tankers, Lloyd’s Register, said: “Shipowners are being asked to make major investment decisions today despite continued uncertainty around which fuels will dominate in the decades ahead. Alternative fuel solutions each offer potential pathways to compliance, but fuel infrastructure, regulation and economics continue to evolve at different speeds around the world.

“Designs that preserve flexibility will be critical in helping owners manage risk while preparing for multiple future scenarios.”

Si Nan, Marine & Offshore Marketing Department Vice Director, MARIC, said: “As the industry explores different decarbonisation pathways, shipowners need vessel designs that can adapt alongside technological and regulatory developments. This concept was developed specifically to provide greater fuel flexibility and long-term resilience, allowing owners to respond to changing market requirements without being locked into a single fuel strategy.

“Receiving Approval in Principle from Lloyd’s Register is an important milestone that validates the design concept and supports its future development.”

 

Photo credit: Lloyd’s Register
Published: 4 September, 2026

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DNV: Alternative-fuelled vessel orders hit highest monthly level since October 2024

LNG-fuelled vessels accounted for the vast majority of August activity while the strong summer performance marked a significant acceleration in ordering activity after a relatively slow start to the year.

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DNV: Alternative-fuelled vessel orders hit highest monthly level since October 2024

Latest data from classification society DNV’s Alternative Fuels Insight (AFI) platform alternative-fuelled vessel ordering was strong in August, with 52 new vessels added to the platform.

This is the highest monthly total since October 2024 and follows another active month in July, when 47 vessels were added to the database.

LNG-fuelled vessels accounted for the vast majority of August activity, with 46 orders recorded. The container segment led the way with 30 orders, while the car carrier segment contributed a further 12 LNG-fuelled vessels. In addition, four ethanol-fuelled bulk carriers and two hydrogen-powered bulk carriers were added during the month, as well as one LNG bunker vessel.

The strong summer performance marked a significant acceleration in ordering activity after a relatively slow start to the year. In total, 242 alternative-fuelled vessel orders have been placed in the first eight months of 2026, representing a 27% increase compared with the same period in 2025.

LNG remains the dominant fuel choice, accounting for 63% of all alternative-fuelled vessel orders registered so far this year. Container vessels represent the largest share of these LNG orders (59%), followed by car carriers (30%).

Jason Stefanatos, Global Decarbonization Director at DNV Maritime, said: “The past two months have been particularly strong for alternative-fuelled vessel ordering, with August recording the highest monthly total we’ve seen since October 2024. This has helped lift year-to-date orders to a level well above the same period last year.

“LNG remains the leading fuel choice, driven largely by activity in the container and car carrier segments. These sectors have been among the earliest adopters of alternative fuels, supported by predictable liner operations and increasing demand from cargo owners to reduce emissions across supply chains. 

“For many owners, LNG offers a combination of emissions reductions, fuel availability and future flexibility while the longer-term fuel landscape continues to evolve. 

“At the same time, the latest figures include orders for ethanol- and hydrogen-fuelled vessels, highlighting that owners continue to explore a range of decarbonization pathways. Different segments are making different fuel choices, but the overall level of activity demonstrates continued investment in lower-emission shipping.”

Screenshot 2026 09 04 at 12.29.26 PM Screenshot 2026 09 04 at 12.29.36 PM

 

Photo credit: DNV
Published: 4 September, 2026

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