Alternative Fuels

INTERVIEW: 80-90 times YOY growth for Singapore LNG bunkering volumes in 2021, says FueLNG

A number of LNG-fuelled container vessels and tankers have confirmed their term bunkering plans from Singapore; sector poised for sharp growth with delivery of FueLNG Bellina, says General Manager.

Published

3 years ago

March 11, 2021

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The following interview arranged by Conference Connection is part of pre-event coverage for the upcoming 12th International Fujairah Bunkering & Fuel Oil Forum (FUJCON 2021), where Manifold Times is an official media partner. Readers can register for the virtual event by clicking on the link here.

Bunkering volumes of liquefied natural gas (LNG) at Singapore port is set to grow by up to 90 times in 2021 compared to last year, says the General Manager of licensed LNG bunker supplier FueLNG, a locally formed joint venture between Keppel Offshore & Marine and Shell Eastern Petroleum (Pte) Ltd.

“In 2020, most of the regular LNG bunkering in Singapore have been carried out by truck-to-ship, although the number of operations is in 100’s the actual bunkered volume is rather limited,” Saunak Rai tells Singapore bunkering publication Manifold Times.

“With the commencement of ship-to-ship LNG bunkering in Singapore from 2021, we are expecting about an 80 to 90 times increase in annual LNG bunkering volumes at Singapore port.”

According to Rai, major factors contributing to the growth will be due to the availability of FueLNG Bellina – Singapore’s first dedicated LNG bunker vessel (LBV) – back by the republic’s status as a major container port, wherein LNG bunkering can be carried out within the time for cargo operations, resulting in time efficiency.

The development will be further supported by the earlier release of updated TR56 recommendations for LNG bunkering in Singapore, which provides certainty of regulations and detailed guidance for successful LNG Bunkering operations, together with the Maritime and Port Authority of Singapore (MPA) initiatives incentivizing Singapore Ship Owners investing in reducing cO2 emissions and reduction in port dues to LNG-fuelled vessels calling at Singapore.

“The outlook for Singapore’s LNG bunkering sector appears very bright. A number of LNG-fuelled container vessels and tankers have already confirmed their term bunkering plans from Singapore and we are also seeing spot interests from bulk carriers and car carriers,” he adds.

“FueLNG has been an early mover, and ordered a LBV speculatively in 2016 even though the LNG bunker demand pipeline was not well formulated in Singapore. This decision gave us an immediate advantage now, having a LBV operational in Singapore.”

To date, FueLNG has carried out over 300 truck-to-ship LNG bunkering operations in Singapore, notes Rai.

“We have continuously learned and improved from these operations, making each new operation more efficient than the previous one,” he says.

“We have also shared our feedback with various government authorities and provided them with recommendations to increase efficiency of the logistics chain. A number of these have been accepted and implemented.”

Rai believes Singapore, the world’s largest bunkering hub for traditional marine fuels, is on the right track to also become the world’s largest LNG bunkering port.

“Singapore has unique advantages of geographical location, efficient marine ecosystem, diverse infrastructure and robust regulations. This has a played a big role in it becoming the world’s largest bunkering hub [traditional marine fuels],” he explains.

“To continue the growth and reach the level of world’s largest LNG bunkering hub, Singapore needs to look into further infrastructure investment for LNG loading facilities, and also focus on further reducing logistics costs.”

Moving forward, Rai notes Fujairah and U.A.E. already having many attributes needed to succeed as a LNG bunkering hub; such as access to cheap LNG from regional LNG producers in UAE and Qatar, a geographical location near major shipping traffic, an efficient Marine ecosystem, and the Dubai Supply Authority (DUSUP) FSRU which can be utilised as a loading facility for LNG Bunker vessels.

“Now, what is needed is a mechanism to incentivise the early adopters, both on the supply as well as the demand side,” he observes.

“In addition, clear guidance on rules and regulations regulating LNG bunkering in Fujairah needs to established in consultation with local industries and LNG Bunkering experts.”

Note: Saunak Rai will be speaking at Session 6: Post 2020 Future Fuels Landscape: Outlook for LNG, Hydrogen, Methanol & Biofuels at FUJCON 2021.

Photo credit: FueLNG
Published: 11 March, 2021

Alternative Fuels

DNV paper outlines bunkering of alternative marine fuels for boxships

Third edition of its paper series focuses on LNG, methanol and ammonia as alternative bunker fuel options for containerships; explores bunkering aspects for LNG and methanol.

Published

6 hours ago

November 29, 2023

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DNV paper outlines bunkering of alternative marine fuels for boxships

Classification society DNV recently released the third edition of its paper series Alternative fuels for containerships, focused on LNG, methanol and ammonia as alternative bunker fuel options for containerships.

In its updated paper series, DNV examined the different alternative marine fuel options and provided an overview of the most important technical and commercial considerations for the containership sector.

It explored the bunkering technology for LNG, bunkering infrastructure for methanol, and availability and infrastructure of ammonia.

Building on the foundation laid in the second edition, which focused on the most important aspects of methanol as a fuel, this latest third edition delves deeper – exploring the technical intricacies and commercial considerations associated with adopting methanol as an alternative fuel for containerships.

Furthermore, it provides an overview of crucial aspects related to ammonia and discusses its potential as an alternative fuel for containerships.

Amongst others, the new edition of the paper looks at the following aspects:

Technical design considerations for methanol
Commercial implications of adopting methanol as an alternative fuel
Ammonia's potential as an alternative fuel
Availability, infrastructure and ship fuel technology for ammonia
Major updates based on the latest IMO GHG strategy decisions at the MEPC 80 meeting

Note: The third edition of DNV’s full paper titled Alternative Fuels for Containerships can be found here.

Photo credit: DNV
Published: 29 November, 2023

Alternative Fuels

EDF, LR and Arup launch tool scoring ports’ potential to produce and bunker electrofuels

Tool is also applied to three different port scenarios, including ports exploring fuel production and bunkering, ports exploring fuel exports, and ports exploring fuel imports and bunkering.

Published

6 hours ago

November 29, 2023

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EDF, LR and Arup launch tool scoring ports’ potential to produce and bunker electrofuels

Lloyd’s Register (LR) Maritime Decarbonisation Hub and Environmental Defense Fund (EDF), in collaboration with Arup, on Tuesday (28 November) introduced the Sustainable First Movers Initiative Identification Tool, a system to help shipping stakeholders align investment decisions that support the maritime energy transition away from fossil fuels.

The tool, which is presented in a preliminary findings report – The Potential of Ports in Developing Sustainable First Movers Initiatives – scores a port’s potential to produce and bunker electrofuels while delivering local environmental and community benefits in alignment with the global temperature target of 1.5 degrees Celsius set by the Paris Agreement.

“Ports can play an important role in kickstarting shipping’s decarbonisation process even before global policies are established,” said Marie Cabbia Hubatova, Director, Global Shipping at Environmental Defense Fund.

“By considering the impact sustainable first mover initiatives can have on port-side communities, climate, environment and economies, resources can be better directed to locations where these initiatives will make the biggest difference.”

With close to two billion people living near coastal zones globally, the role of, and impacts on local port communities must be intentionally considered as the sector decarbonises globally. Ports can play a crucial role in ensuring shipping decarbonisation efforts are done in a way that has positive impacts on port communities.

The preliminary phase of the Sustainable First Movers Initiative Identification Tool analyses 108 ports in the Indo-Pacific region according to five criteria including land suitability, air quality, renewable energy surplus, economic resilience and ship traffic.

It is also applied to three different port scenarios, including ports exploring fuel production and bunkering, ports exploring fuel exports, and ports exploring fuel imports and bunkering. The combined criteria and scenario evaluation determines which ports have the greatest potential (high potential) for sustainable first mover initiatives to lead to significant emissions reductions and positive impacts in nearby communities, such as improved air quality and economic resilience.

“The transition to clean energy supply for shipping can be achieved only if stakeholders act together. Identifying potential port locations is the first step in this process,” said Dr Carlo Raucci, Consultant at Lloyd’s Register Maritime Decarbonisation Hub. “This approach sets the base for a regional sustainable transition that considers the impacts on port-side communities and the need to avoid regions in the Global South lagging behind.”

Regions in the Global South are fundamental in driving the decarbonisation of shipping. To make this transition effective, the rate at which different countries adopt and scale up electrofuels must be proportional to the difference in capital resources globally to avoid additional costs being passed on to local communities. Sustainable first mover initiatives can play an important role in making this happen by ensuring the sector’s decarbonisation is inclusive of all regions and by engaging all shipping stakeholders, including port-side communities.

“There’s a huge opportunity for early adopter shipping decarbonisation initiatives to unlock benefits for people and planet – shaping the way for a more equitable transition in the 2030s,” said Mark Button, Associate, Arup. “Our collective approach shows that taking a holistic view of shipping traffic, fuel production potential and port communities could help prioritise action at ports with the greatest near-term potential.”

The tool can be customised according to stakeholders’ needs and goals and is dependent on scenario desirability. The next phase of this work will include the selection and detailed assessment of 10 ports to help better understand local needs and maximise the value offered by sustainable first mover initiatives.

LR and EDF carried out a joint study on ammonia as shipping fuel, and LR and Arup have collaborated on The Resilience Shift study focused on fuel demand for early adopters in green corridors, ports, and energy systems, amongst many other projects.

Photo credit: Lloyd’s Register
Published: 29 November, 2023

Newbuilding

Wärtsilä signs agreement for first zero-emission high speed ferries in US

Group has signed a strategic partnership agreement to provide its Fleet Electrification and Systems Integrator Services for a project to build the first zero-emission high speed ferries in the United States.

Published

6 hours ago

November 29, 2023

Admin

Wärtsilä signs agreement for first zero-emission high speed ferries in US

Technology group Wärtsilä on Tuesday (28 November) said it has signed a strategic partnership agreement to provide its Fleet Electrification and Systems Integrator Services for a project to build the first zero-emission high speed ferries in the United States.

The fully electric vessels will be built for San Francisco’s Water Emergency Transportation Authority (WETA), the operator of the San Francisco Bay Ferry system.

The project, and several others Wärtsilä will work on under this partnership, are a part of the agency’s Rapid Electric Emission-Free (REEF) Ferry Program, a phased decarbonisation of high-speed, high-capacity ferry service in the San Francisco Bay.

Wärtsilä will work within the WETA project team to finalise vessel and charging system concepts.

“We’re proud to operate the cleanest high-speed ferry fleet in the nation, but a zero-emission future for our system is within reach,” said WETA Executive Director, Seamus Murphy.

“Wärtsilä’s expertise and experience will be incredibly valuable given the complexity our ferry decarbonisation program entails.”

“This is a major project within the maritime sector’s journey towards decarbonisation, and we are proud to be a part of it,” said Hanno Schoonman, Director of sales for AMER region, Wärtsilä Marine Power.

“Wärtsilä joins an industry leading team tasked to develop newbuild battery electric vessels that combine innovative technology and sustainable practices. Wärtsilä is well qualified to provide this project support, and this agreement is a clear endorsement of our strong track record in systems integration and emission-free propulsion.”

After completing the conceptual phase, WETA will move on to the initial construction phase of a multi-vessel programme. This phase will involve the building of three smaller ferries with a capacity of approximately 150 passengers each and two larger ferries capable of carrying at least 300 passengers.

Additionally, the scope of this phase will encompass the inclusion of battery charging floats. The construction of the first electric-powered vessel is slated to commence before the conclusion of 2023, with commercial operations expected to launch in 2025.

Photo credit: Wärtsilä
Published: 29 November, 2023