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Gas Energy Australia highlights LNG bunkering uptake barriers

18 Mar 2019

Gas Energy Australia (GEA), the national peak body representing the bulk of the downstream gaseous fuels industry, has highlighted uptake barriers for liquefied natural gas (LNG) marine bunkering in Australia in a recent 2019-20 Pre-Budget submission to the federal government.

The report noted Perth based EVOL LNG has been refuelling Woodside’s LNG-powered offshore platform supply vessel Siem Thiima in Western Australia since early 2017.

The new SeaRoad vessel Mersey II is expected to start using LNG to fuel its operations between Victoria and Tasmania later this year.

“Nevertheless, adoption of clean marine fuels in Australia is currently lagging well behind other advanced nations,” it stated.

“Most ships and vessels in Australian waters are running on imported diesel and bunker oil which weakens our fuel security as well as pollutes our pristine Australian waters and air.

“Australia has more than adequate natural gas reserves, LNG production facilities and industry supply capabilities.

“However, barriers to greater uptake of LNG as a marine fuel in Australia include high and uncertain domestic natural gas prices, lack of government support, including procurement and uncertain regulations.”

Moving forward, GEA notes is laying the groundwork for the adoption of an international standard for Australian LNG marine bunkering – specifically ISO 20519: Ships and marine technology: specification for bunkering of liquefied natural gas fuelled vessels.

It states the Federal Government needs to do more to remove the obstacles to the improved fuel security, health, environmental and employment outcomes that would flow from greater use of Australian LNG as a marine fuel.

Related: Woodside: Dampier LNG bunkering a successful example for the Asia-Pacific

Photo credit: Woodside
Published: 18 March, 2019

 

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