MI: Japan’s first methanol fuelled coastal tanker signals long term low carbon ambitions

Chris Chatterton, Chief Operating Officer, The Methanol Institute, shared with Manifold Times his views on how a six-member Japanese consortium’s decision to build a methanol-fuelled coastal tanker is likely to encourage the take up of methanol as a bunker fuel :

The decision by a consortium of Japanese shipping industry leaders to construct the country’s first methanol-powered coastal tanker confirms the maturity of methanol propulsion technology and Japan’s ambitions to begin reducing carbon emissions as soon as possible.

Methanol is already used as an environmentally friendly fuel in oceangoing vessels, including five vessels operated by the Mitsui O.S.K. Lines Group and its use is expected to significantly expand in next couple of years.

The country’s shipping operators, vessel designers and methanol producers are working together as first movers to reduce carbon emissions ahead of looming international regulatory targets. Japanese coastal trades are home to approximately 1,000 small vessels, 70% of which are more than 14 years old and due for replacement. 

As the inaugural ship to use methanol in coastal waters, the new tanker will be the first output of a long-term strategic alliance to develop a ship of this type and lower operational carbon emissions.

The participants in the consortium includes Methanol Institute (MI) member Mitsui O.S.K. Lines (MOL), along with MOL Coastal Shipping, Tabuchi Kaiun, Niihama Kaiun, Murakami Hide Shipbuilding and Hanshin Diesel Works.

Based on the strategic alliance, MOL will provide technical support for the development of the vessel and further promote and develop this strategic alliance, while Hanshin Diesel Works will develop the methanol-fuelled engine, the first such 4-stroke diesel for commercial use.

MOL is a signatory of the Clydebank Declarations and a member of the First Movers Coalition, initiatives aimed at advancing maritime decarbonisation as soon as practical. The decision to opt for methanol as fuel underlines this approach, since the operator can begin with conventional methanol and progressively transition to sustainable blue and renewable green methanol as more becomes available.

The vessel will feature a package of energy efficiency measures including a reverse teardrop valve, an eco-propulsion package, operational support system and automatic discharging to reduce unloading time. By forming the vessel’s bulbous bow into a reverse teardrop shape, the vessel can mitigate hull resistance while sailing, a measure which contributes to energy saving.

Among the project participants is another MI member, Mitsubishi Corporation, which will time-charter the vessel and supply the methanol. Mitsubishi operates as one of the biggest methanol distributors in Japan.

About 160,000mt are delivered by a coastal vessel from large hub tanks located in Tokuyama to end customers and secondary tanks in other locations in Japan. The potential also exists to utilise the ship as a bunkering vessel for larger methanol fuel vessels in overseas locations.

As charterer and fuel provider, Mitsubishi’s strategy is to promote methanol-fuel vessels in the Japanese shipping industry, providing the fuel to other owners as well as consuming its own low-carbon methanol.

As more blue and renewable green methanol become available, the company will develop the supply-chain network of possible increasingly low-carbon methanol to underpin the eventual transition to net carbon neutral shipping operations.

Japan’s long-term strategy to sustainably reduce carbon emissions starts with projects of this type, bringing together experienced stakeholders from across the shipping, shipbuilding propulsion and fuel supply chain signals a transition for the broader coastal fleet is possible today.

Related: MOL and partners to build, operate Japan’s first methanol-fuelled coastal tanker

Photo credit: The Methanol Institute
Published: 26 June, 2023