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Alternative Fuels

Port of Rotterdam and GoodShipping to encourage use of sustainable bunker biofuels through insetting concept

Aim is for joint vessel bunkering with twenty sea freight shippers to reduce the amount of carbon released into the atmosphere by 2023 tonnes.

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The Port of Rotterdam Authority and Dutch company GoodShipping on Monday (5 December) said they are conducting a joint campaign to inform companies of an ‘insetting’ concept they have launched so the firms can have part, or all of their sea freight transported via sustainable bunker fuels.

The aim of the ‘Switch to Zero’ campaign is to get some twenty sea freight shippers on board. Swinkels Family Brewers, known for brands including Bavaria and Cornet, and Dille & Kamille are the first to announce their participation in this campaign. They will have some or all of their containers shipped using sustainable advanced biofuels next year.

Participating companies can opt for carbon reduction of 75, 100 or 125 tonnes. GoodShipping and the Port Authority are giving a substantial discount per tonne carbon reduction to make it attractive for companies to find out more about this approach.

Insetting does not involve achieving carbon reductions through compensation (offsetting by planting trees, for example) but through shipping using sustainable fuel. Shippers often transport small numbers of containers on different vessels and can use insetting to purchase a certain amount of carbon reduction via GoodShipping. GoodShipping ensures that this is achieved by providing a vessel with sustainable fuel. This does not need to be the same vessel on which the containers are transported.

The campaign makes it easy to get involved and make a concrete contribution to reducing carbon emissions. The aim is for joint vessel bunkering with these shippers to reduce the amount of carbon released into the atmosphere by 2023 tonnes. This is comparable to the amount of carbon released when transporting some 15,000 TEU containers between Rotterdam and Gothenburg.

Allard Castelein, Port of Rotterdam Authority CEO, said: ‘Shipping is not yet on schedule to be carbon neutral by 2050. We are working with partners to develop a range of initiatives to help make logistics more sustainable: from battery-powered inland shipping to shore power for sea-going vessels, and from bio-kerosene production for aviation to so-called Green Corridors for sea-going vessels. The 2023 tonne reduction through sustainable fuel use is just the start. We want to show that it can be done and start the discussion, with the aim of scaling up and reducing carbon emissions even further. The transition tempo needs to step up.’

Dirk Kronemeijer, CEO Dirk Kronemeijer, CEO GoodShipping, said: ‘We’ve seen a huge acceleration in the pace of the energy transition brought about by shippers over the past two years, which is why we want to give more companies the opportunity to have their freight shipped sustainably. The Port of Rotterdam Authority aims to be the world's most sustainable port and it was an obvious choice for GoodShipping to support that. With the Switch to Zero campaign, we’re making it easy for companies to enhance the sustainability of their transport without complex supply chain adaptations.’

Harold Reusink, Supply Chain Manager at Dille & Kamille, said: ‘At Dille & Kamille, we aim to further enhance the sustainability of our range, which is why we are working with GoodShipping for our overseas transport. What is fantastic about this partnership is that it also inspires others to consider more sustainable options. This creates a chain reaction within a traditionally conservative chain, simply because people start asking new questions about how transport is organised.’

Fred Hooft, Global Logistics Manager at Swinkels Family Brewers, said: ‘We want our operations to be fully circular, which is why we’re looking at the carbon emissions of our transport. The Switch to Zero campaign is a great first step to explore how we can make our sea transport more sustainable. Hopefully this initiative will stimulate more companies to take this step and enable us to jointly make the difference to reduce our impact on the environment and climate.’

GoodShipping already works for companies including DHL, IKEA, BMW, Tony’s Chocolonely, Beiersdorf and Kings of Indigo. The fuel is produced from certified sustainable flows including frying oils and animal fats that are labelled as 100% waste and cannot be used in higher grade products. These so-called advanced biofuels also do not compete with the food chain and production does not affect important ecosystems such as the rainforest. This is monitored by an independent sustainability board.

 

Photo credit: Port of Rotterdam
Published: 7 December, 2022

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Wind-assisted

Singapore: EPS orders its first wind-assisted propulsion system for tanker

Firm signed a contract for its first ever wind-assisted propulsion system, partnering with bound4blue to install three 22-metre eSAILs® onboard “Pacific Sentinel”.

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Singapore: EPS orders its first wind-assisted propulsion system for tanker

Singapore-based Eastern Pacific Shipping (EPS) on Thursday (22 February) said it signed a contract for its first ever wind-assisted propulsion system, partnering with bound4blue to install three 22-metre eSAILs® onboard the Pacific Sentinel

The turnkey ‘suction sail’ technology, which drags air across an aerodynamic surface to generate exceptional propulsive efficiency, will be fitted later this year, helping the 183-metre, 50,000 DWT oil and chemical tanker reduce overall energy consumption by approximately 10%, depending on vessel routing.

Suitable for both newbuilds and retrofit projects, the system delivers energy efficiency and cost savings for a broad range of vessels, regardless of their size and age.

Singapore: EPS orders its first wind-assisted propulsion system for tanker

José Miguel Bermudez, CEO and co-founder at bound4blue, said: “Signing an agreement with an industry player of the scale and reputation of EPS not only highlights the growing recognition of wind-assisted propulsion as a vital solution for maximising both environmental and commercial benefits, but also underscores the confidence industry leaders have in our proven technology.”

“It’s exciting to secure our first contract in Singapore, particularly with EPS, a company known for both its business success and its environmental commitment.”

“We see the company as a role model for shipping in that respect. As such this is a milestone development, one that we hope will pave the way for future installations across EPS’ fleet, further solidifying our presence in the region.”

Cyril Ducau, Chief Executive Officer at EPS, said: “EPS is committed to exploring and implementing innovative solutions that improve energy efficiency and reduce emissions across our fleet.” 

“Over the past six years, our investments in projects including dual fuel vessels, carbon capture, biofuels, voyage optimisation technology and more have allowed us to reduce our emissions intensity by 30% and achieve an Annual Efficiency Ratio (AER) of 3.6 CO2g/dwt-mile in 2023, outperforming our emission intensity targets ahead of schedule. The addition of the bound4blue groundbreaking wind assisted propulsion will enhance our efforts on this path to decarbonise.”

“With this project, we are confident that the emission reductions gained through eSAILs® on Pacific Sentinel will help us better evaluate the GHG reduction potential of wind assisted propulsion on our fleet in the long run.”

Pacific Sentinel will achieve a ‘wind assisted’ notation from class society ABS once the eSAILs® are installed. 

 

Photo credit: Eastern Pacific Shipping
Published: 23 February, 2024

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LNG Bunkering

Galveston LNG Bunker Port joins SEA-LNG coalition

SEA-LNG said move will further enhance its LNG supply infrastructure expertise and global reach, while giving GLBP access to the latest LNG pathway research and networking opportunities.

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Galveston LNG Bunker Port joins SEA-LNG coalition

Galveston LNG Bunker Port (GLBP), a joint-venture between Seapath Group, one of the maritime subsidiaries of the Libra Group, and Pilot LNG, LLC (Pilot), a Houston-based clean energy solutions company, has joined SEA-LNG, according to the latter on Wednesday (21 February). 

SEA-LNG said the move will further enhance its LNG supply infrastructure expertise and global reach, while giving GLBP access to the latest LNG pathway research and networking opportunities.

GLBP was announced in September 2023 and will develop, construct and operate the US Gulf Coast’s first dedicated facility supporting the fuelling of LNG-powered vessels, expected to be operational late-2026.

The shore-based LNG liquefaction facility will be located on Shoal Point in Texas City, part of the greater Houston-Galveston port complex, one of the busiest ports in the USA. This is a strategic location for cruise ship LNG bunkering in US waters, as well as for international ship-to-ship bunkering and cool-down services. GLBP will offer cost-effective turn-key LNG supply solutions to meet growing demand for the cleaner fuel in the USA and Gulf of Mexico.

Jonathan Cook, Pilot CEO, said: “With an initial investment of approximately $180 million, our LNG bunkering facility will supply a vital global and U.S. trade corridor with cleaner marine fuel. We recognise that SEA-LNG is a leading partner and a key piece of the LNG bunkering sector, and will give us access to insights and expertise across the entire LNG supply chain.

“LNG supports environmental goals and human health by offering ship operators immediate reductions in CO2 emissions and virtually eliminating harmful local emissions of sulphur oxides (SOx), nitrogen oxides (NOx) and particulate matter.”

President of Seapath, Joshua Lubarsky, said: “We are very pleased to be supporting the decarbonization of the maritime industry through strategic, and much needed, investments into the supply of alternative fuels.  We are also happy to be a part of SEA-LNG which has done a wonderful job in advocating for advancements in technology in this vital sector.”

Chairman of SEA-LNG Peter Keller, said: “We’re proud to welcome another leading LNG supplier to the coalition and are looking forward to a mutually beneficial relationship. With every investment in supply infrastructure in the US and worldwide, the LNG pathway’s head start increases. Global availability, alongside bio-LNG and e-LNG development, makes LNG the practical and realistic route to maritime decarbonisation.

“All alternative fuels exist on a pathway from grey, fossil-based fuels to green, bio or renewable fuels. Green fuels represent a scarce resource and many have scalability issues, so we must start our net-zero journey today with grey fuels. LNG is the only grey fuel that reduces greenhouse gas emissions, well-to-wake, so you need less green fuel than alternatives to improve emissions performance.”

 

Photo credit: SEA-LNG
Published: 23 February, 2024

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Biofuel

VARO and Orim Energy to supply bio bunker fuels in ARA region

VARO will source, produce and blend various waste and advanced bio feedstocks to high quality bunker fuel specs; Orim will source fuel and gas oils for blending and deliver final biofuel blends to vessels.

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VARO and Orim Energy to supply bio bunker fuels in ARA region

VARO Energy (VARO) on Wednesday (21 February) said it is partnering with Orim Energy (Orim) to provide shipping customers in the Port of Rotterdam – and wider Amsterdam-Rotterdam-Antwerp (ARA) region - with biofuels. 

The agreement supports the decarbonisation of maritime transportation and inland shipping in Northern Europe. It also contributes to the wider targets set by the International Maritime Organization (IMO) to reduce the total annual GHG emissions from shipping by at least 20% by 2030 and at least 70% by 2050, compared with 2008 levels.

Current demand for Fuel Oil in ARA , Europe’s largest bunkering hub, is approximately 14 million tonnes per year. Supported by new EU regulations, the market for B30, a blend of 70% Fuel Oil and 30% biofuels, is expected to grow rapidly to the end of the decade. As a result of this joint initiative, VARO and Orim will be well positioned to meet this increased demand and support the decarbonisation plans of their shipping customers.

VARO’s biofuels trading capabilities and growing biofuel manufacturing asset base will complement Orim’s extensive distribution, storage and bunkering capabilities in ARA. Under the agreement, VARO will source, produce and blend various waste and advanced bio feedstocks to high quality bunker specifications. Orim will source the fuel and gas oils for blending and deliver the final biofuel blends to customers’ vessels.

VARO has a long track record of providing biofuels for maritime logistics. Since 2018, the company has supplied the Port of Rotterdam with HVO100 (100% Hydrotreated Vegetable Oil “HVO”) for use with the Port’s service fleet. In 2023 VARO signed an agreement with Höegh Autoliners to supply the company with 100% advanced biofuels for its shipping fleet.

The partnership is aligned with VARO’s strategy to become the partner of choice for customers in the energy transition by providing them with the low-carbon energy solutions they need to decarbonise.

Dev Sanyal, CEO of VARO, said: “Meeting rising demand for blended biofuels is critical to achieving the EU and IMO’s decarbonisation targets for shipping. Our experience in biofuels, combined with Orim’s logistics and bunkering operations, will help meet this demand at Rotterdam, Europe’s largest port facility. I am delighted to be entering into a strategic partnership with Orim and to further build on VARO’s long-established presence in Rotterdam. This is another step in our journey to enable the decarbonisation of the maritime sector.

Edwin Coppens, Managing Director of Orim, said: “Upcoming EU and IMO regulations drive the need to scale up with biofuels and ensure quality assurance going forward. Partnering with VARO allows us to do just that, using each other’s strengths to optimize our blending expertise and network. We will benefit from VARO’s extensive experience with biofuels, which includes joint testing with leading ship engine suppliers. Together, we can increase our sourcing and supply capabilities, extending our reach and further strengthening our position in the ARA region.”

 

Photo credit: VARO Energy
Published: 23 February, 2024

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