Alternative Fuels

INTERCARGO: Current CII has ‘significant flaws’ that need to be addressed

INTERCARGO believes that the current CII framework should not be used as a benchmark for IMO’s medium-term measures; current CII would not achieve desired decarbonisation goals.

Published

1 year ago

December 8, 2022

Admin

The International Association of Dry Cargo Shipowners (INTERCARGO) on Wednesday (7 December) said it continues to fully support the ambition to achieve net zero emission shipping by 2050.

It is important to stress, however, that this goal can only be achieved by providing the shipping industry with alternative zero carbon fuels.

The responsibility for decarbonisation cannot be placed solely on the shoulders of the ship operator at the end of the line – it is a challenge that must be dealt with holistically by the entire shipping industry.

It is essential that appropriate policies are included in the Revision of the International Maritime Organization (IMO) GHG Strategy to ensure that green fuels are secured as well as the necessary infrastructure to ensure availability and bunkering in ports around the world. Unfortunately, these aspects are not sufficiently discussed and addressed despite their critical role.

INTERCARGO’s position is that a combination of core elements of previous proposals on medium-term measures is the best way forward, and therefore welcomes the ICS revised proposal (paper ISWGGHG 13/4/9).

Specifically, INTERCARGO believes that a flat rate contribution per tonne of CO2 emitted on a Tankto-Wake (TtW) basis - and subject to the outcome of the ongoing discussions at IMO on fuel emissions’ Life-Cycle Assessment (LCA) - should be combined with an International Maritime Sustainability Funding and Reward (IMSF&R) mechanism where ships of 5,000 GT and above will make an annual contribution per tonne of CO2.

Under such a scheme only ships that use ‘eligible alternative fuels’ would receive a reward for CO2 emissions prevented.

A combination of technical and economic measures should be accompanied by appropriate policies and commitments from the Member States, in order for fuel suppliers to secure the required alternative fuels in ports around the world in sufficient quantities.

On CII (Carbon Intensity Indicators)

INTERCARGO believes that the current Carbon Intensity Indicator (CII) framework should not be used as a benchmark for IMO’s medium-term measures.

During the Association’s recent deliberations during its semi-annual meetings, INTERCARGO members expressed their belief that CII cannot be used to achieve the desired decarbonisation goals as under real life operating conditions it will not deliver equitable, transparent and non-distorting emissions’ reductions.

A number of factors can have a significant adverse impact on a vessel's CII rating, most of which are outside the vessel’s control. Examples include adverse weather, voyage distance, port waiting times, port infrastructure, and charterers orders. Paradoxically when considering voyage distances and port waiting times, vessels with longer travel distances can produce more emissions but have a better CII rating when compared to vessels travelling shorter distances and producing less emissions.

INTERCARGO does not therefore believe that CII, in the current format, would achieve the desired decarbonisation goals or targets. While generally supportive of the operational short-term measure, there are significant flaws that need to be addressed in order to make CII fit for purpose.

Photo credit: william william on Unsplash
Published: 8 December, 2022

Methanol

China: Cosco Shipping and bp to explore collaboration in methanol bunker fuel

Duo signed a MoU in Shanghai to expand their scope of strategic cooperation into new areas including lubricant supply, methanol bunker fuel supply for bunkering and offshore wind supply chain.

Published

5 hours ago

December 11, 2023

Admin

China: Cosco Shipping and bp to explore collaboration into methanol bunker fuel

Cosco Shipping on Thursday (7 December) said it has signed a Memorandum of Understanding (MoU) with bp to expand their scope of strategic cooperation into new areas on 5 December in Shanghai.

“This includes Castrol Marine lubricants and hydrocarbons transportation, offshore equipment as well as exploring collaboration opportunities in areas such as methanol supply for bunkering and offshore wind supply chain,” Cosco said.

“Together, both parties will further capitalize on the business advantages of both parties, enhance synergies, and achieve complementary advantages and common development.”

William Lin, bp Group Executive Vice President, and Lin Ji, Executive Vice President of COSCO SHIPPING, witnessed the signing. Simon Yang, bp Group Senior Vice President and bp China President, and Chen Wei, Deputy Head of the Operations Division of COSCO SHIPPING, signed the document on behalf of the two parties.

Cosco said bp has been operating in China since the early 1970s and is one of the leading foreign-invested companies in China’s energy industry.

“bp and Cosco Shipping have a longstanding history of cooperation, including the transportation of energy products, offshore equipment manufacturing services, and the supply of marine fuels and lubricants,” it added.

Photo credit: Cosco Shipping
Published: 11 December, 2023

Methanol

Maersk to deploy first large methanol-powered vessel on Asia-Europe trade lane in 2024

Ship will enter service on the AE7 string connecting Asia and Europe, which includes port calls in Shanghai and Tanjung Pelepas in Malaysia, with Ningbo in China, being its first destination.

Published

5 hours ago

December 11, 2023

Admin

Maersk to deploy first large methanol-powered vessel on Asia-Europe trade lane in 2024

A.P. Moller - Maersk (Maersk) on Thursday (7 December) said it was about to launch the first of its 18 large methanol-enabled vessels currently on order.

On 9 February 2024, the ship will enter service on the AE7 string connecting Asia and Europe, which includes port calls in Shanghai, Tanjung Pelepas, Colombo and Hamburg, with Ningbo, China, being its first destination.

“The container vessel built by Hyundai Heavy Industries (HHI) in South Korea has a nominal capacity of 16,000 containers (TEU) and is equipped with a dual-fuel engine enabling operations on methanol as well as biodiesel and conventional bunker fuel,” the firm said.

Maersk added it has secured sufficient green methanol to cover the vessel’s maiden voyage and continues to work diligently on 2024-25 sourcing solutions for its methanol-enabled vessel fleet.

“Deploying the first of our large methanol-enabled vessels on one of the world’s largest trade lanes, Asia - Europe, is a landmark in our journey towards our Net-Zero target. With the vessel’s capacity of 16,000 containers, this will make a significant impact in our customers’ efforts to decarbonise their supply chains, and we are looking forward to introducing more methanol-enabled vessels on this and other trades during 2024,” Karsten Kildahl Chief Commercial Officer at Maersk, said.

Ahead of its deployment, the vessel will be named at the shipyard in end January 2024. The following two sister vessels will be deployed in the first half of 2024 with naming events taking place in Yokohama, Japan, and Los Angeles, USA. Maersk said it was expected to take delivery of four additional sister vessels in the second half of 2024.

At the time of deployment of the first large vessel, it will be the only second container vessel in the world that can sail on green methanol, the first being the feeder vessel Laura Maersk which entered service in September this year.

Overview of Maersk vessels on order

Maersk has 24 container vessels on order
All vessels currently on order will be equipped with dual-fuel engines and will be able to operate on green methanol
12 of the vessels on order have a capacity of 16,000 TEU (Twenty-foot Equivalent Unit containers)
6 of the vessels on order have a capacity of 17,000 TEU
6 of the vessels on order have a capacity of 9,000 TEU
Since 2021, Maersk has had a policy of only ordering new vessels able to operate on green fuels

About Maersk’s AE7 service string

The AE7 string connects Asia and Europe through the Suez Canal
The AE7 string has the following port calls: Ningbo, Shanghai, Nansha, Yantian (all China), Tanjung Pelepas (Malaysia), Colombo (Sri Lanka), Port Tangiers (Morocco), Felixstowe (UK), Hamburg (Germany), Antwerp (Belgium), London Gateway (UK), Le Havre (France), Port Tangiers, Jeddah (Saudi Arabia), Abu Dhabi (UAE) and Jebel Ali (UAE)

Photo credit: A.P. Moller - Maersk
Published: 11 December, 2023

Retrofit

Alfa Laval to provide methanol fuel supply system for “Maersk Halifax” boxship

Alfa Laval will support A.P. Moller-Maersk with installation of FCM Methanol low-flashpoint fuel supply system on board the 15,000 TEU container vessel, which is scheduled to take place by mid-2024.

Published

5 hours ago

December 11, 2023

Admin

Alfa Laval to retrofit methanol fuel supply system on “Maersk Halifax” boxship

Alfa Laval on Thursday (7 December) said its fuel supply system FCM Methanol has been selected by Maersk for their methanol retrofit project to enable the container vessel Maersk Halifax to operate on methanol fuel.

The firm said the project stands as a significant achievement for both Alfa Laval and Maersk, underscoring the feasibility of retrofitting ships with the necessary equipment for methanol-based propulsion.

Alfa Laval will support A.P. Moller-Maersk (Maersk) with the installation of FCM Methanol low-flashpoint fuel supply system (LFSS) on board the 15,000 TEU Maersk Halifax. The retrofit is scheduled by mid-2024. This pioneering container vessel conversion will enable the vessel to sail on green methanol with dual-fuel capabilities.

“At Alfa Laval, we collaborate with the industry frontrunners in exploring and embracing innovative ways for decarbonization,” said Viktor Friberg, Head of Marine Separation & Fuel Supply Systems, Alfa Laval.

“The project with Maersk gives us a unique opportunity to take up a new challenge - retrofitting our equipment for methanol use, for the first time. We are immensely proud to extend our expertise to this innovative retrofit project.”

The project will involve adding a new fuel line for methanol alongside the traditional fuel line, respecting the existing space constraints and the tight time schedule. The retrofit of the FCM Methanol is a landmark project that requires advanced engineering and an understanding of the practical considerations of working with methanol.

“We have set an ambitious net-zero emissions target for 2040, and retrofitting of engines on our vessels to run on methanol is an important nut in our strategy. Retrofitting solutions to accommodate new fuel thereby enabling the engine to operate on methanol is a complex task that requires expertise, and we are happy to have Alfa Laval on board on this project,” said Ole Graa Jakobsen, Head of Fleet Technology, A.P. Moller-Maersk.

With over 80 ships contracted, Alfa Laval added it has the longest experience in methanol FSS installation and service since 2015. It is the only system that has been powering methanol-fuelled vessels so far, with over 450 000 hours of operations.

Photo credit: Alfa Laval
Published: 11 December, 2023