Alternative Fuels

The Methanol Institute summarises outcomes of MEPC 81

Move towards a consensus on target-based bunker fuel standard and GHG pricing debate illustrates growing willingness among Member States to adopt ambitious regulatory frameworks, says Rafik Ammar.

Published

2 years ago

March 26, 2024

Admin

Rafik Ammar, Director of Government and Public Affairs – Europe & IMO, The Methanol Institute on Tuesday (26 March) released a summary of the 81st session of the Marine Environment Protection Committee (MEPC):

The 81st session of the Marine Environment Protection Committee (MEPC), alongside the preceding Intersessional Working Group on Greenhouse Gases (ISWG GHG 16) meeting, marked a decisive step in the evolution of maritime policy.

This included achieving a general consensus on a target-based standard for fuels, underscoring the global commitment to ambitious greenhouse gas (GHG) reduction objectives and the importance of inclusive, actionable regulatory approaches. These developments underscore the urgency for the maritime sector, including the methanol industry, to adapt and actively contribute to these goals, reflecting a shared commitment to a greener maritime future.

Last week’s meetings provided clearer direction towards new regulations on carbon intensity, establishing a standard for reducing the GHG intensity of marine fuels, and economic mechanisms to encourage carbon neutrality.

The in-depth discussions on the GHG Fuel Standard and the GHG pricing mechanism at the ISWG GHG 16 meeting highlight the recognized need to adopt economic measures to facilitate the transition to cleaner fuels. The varying opinions among Member States regarding the design of these mechanisms reflect the complexity of balancing economic and environmental concerns on a global scale.

For the methanol sector, this presents an opportunity to align decarbonization initiatives with emerging regulatory structures, emphasising flexibility and innovation as keys to overcoming future challenges.

The Methanol Institute urges the IMO to continue focusing on a Well-to-Wake approach based on life cycle analysis (LCA), which includes the entire value chain, allowing all stakeholders to contribute to the development and adoption of solutions within the “IMO NetZero Frameworks”.

The move towards a consensus on the target-based fuel standard and the GHG pricing debate illustrates the growing willingness among Member States to adopt ambitious regulatory frameworks to achieve IMO GHG reduction targets. The economic implications of these mechanisms, especially in terms of income allocation, underscore the challenges of aligning environmental goals with economic development.

Emphasising the flexibility and adaptability of these mechanisms is crucial to encouraging innovation and facilitating the adoption of ambitious solutions, highlighting the collective approach to achieving IMO’s objectives.

The Methanol Institute supports the creation of an IMO NetZero Fund to manage and distribute collected economic contributions and encourages the IMO to explore all carbon pricing mechanisms to finalise the Global Fuel Standards. Additionally, the Methanol Institute advocates for greater ambition from Member States to establish clear objectives and a legal framework enabling stakeholders to contribute effectively to emission reduction efforts.

The discussions on LCA methodology and the acknowledgment of alternative fuels at the ISWG GHG 16 meeting stress the need for clear regulatory frameworks and guidelines to support the adoption of cleaner fuel solutions, like methanol. The preparations for the expert workshop on medium-term measures further highlight the IMO’s commitment to building on solid scientific and technical foundations.

The majority of Member States’ support for creating an expert working group on emission factors demonstrates a commitment to evidence-based policies and regulations that facilitate technological innovation and the transition to low-GHG fuels. For the methanol industry, this confirms its vital role in meeting the ambitious IMO targets for reducing emissions.

The discussions during MEPC 81 on biofuels reaffirm the growing interest in alternative fuels. While methanol was not mentioned explicitly, the emphasis on the need for clear guidelines for biofuel use paves the way for increased recognition of bio-methanol. It is emphasised that regulatory measures should complement financing mechanisms, working together to achieve climate goals.

As the next Marine Environment Protection Committee (MEPC 82) meeting approaches, scheduled for September 30 to October 4, 2024, we reaffirm our collective commitment to ambitious goals.

Furthermore, the suggestion to establish a specific agenda item on the ‘Further development of the IMO well-to-wake framework’ reflects the urgency and significance of developing a comprehensive approach to reducing GHG emissions from ships.

Photo credit: Methanol Institute
Published: 26 March 2024

Up Next

Norway gives green light to build world’s first low emission ammonia bunkering terminal

Don't Miss

ENGINE on Fuel Switch Snapshot: LNG rises in Rotterdam, soars in Singapore

Biofuel

BHP and GCMD trial multi-feedstock B100 bio bunker fuel on bulk carrier

Bio-blend in the BHP and GCMD pilot is being used on a BHP-chartered bulk carrier “Berge Lyngor”, which was bunkered in Singapore in early May.

Published

20 hours ago

June 3, 2026

Admin

BHP and GCMD trial multi-feedstock B100 bio bunker fuel on bulk carrier

BHP and the Global Centre for Maritime Decarbonisation (GCMD) on Wednesday (3 June) said they have blended biofuels from two distinct feedstocks—used cooking oil and waste animal fats —and introduced the lower-emissions marine fuel into a BHP-chartered bulk carrier as part of a pilot project.

The bio-blend in the BHP and GCMD pilot is being used on a BHP-chartered bulk carrier Berge Lyngor, owned and operated by Berge Bulk, transporting BHP iron ore from Western Australia to China. When run on bio-blend, the vessel has the potential to reduce well-to-wake greenhouse gas emissions by approximately 79 per cent per voyage compared to sailing on very low sulphur fuel oil (VLSFO).

The vessel bunkered in Singapore in early May with a B100 bio-blend comprising 50 percent tallow-derived biodiesel, sourced and supplied by HAMR Energy, and 50 per cent used cooking oil (UCOME) supplied by Mitsui & Co Energy Trading Singapore (METS).

Mitsui also blended the fuel and Dan-Bunkering coordinated and executed the bunkering operation, which was performed by Global Energy’s barge MT Maple.

The BHP and GCMD pilot will assess how biofuels from multiple feedstocks can be blended, handled, and introduced under real-world operating conditions using existing used cooking oil bunkering infrastructure.

At the same time, insights from this pilot will help identify solutions to challenges related to fuel quality, handling, traceability, and onboard vessel performance.

Biofuels for global shipping today rely heavily on used cooking oil – a feedstock whose availability is approaching its projected limits. Biofuel from waste animal fats presents a promising option to expand the supply of lower-emissions marine fuels.

The outcomes of the pilot are expected to shed light on the practical steps to integrate biofuel blends from different feedstocks into existing supply chains. The diversity of biofuels will provide shipowners and operators with greater flexibility to optimise fuel procurement based on cost, availability, and lifecycle emissions performance.

Biofuels derived from different feedstocks can exhibit varying properties that may impact operations, including potential corrosion from oxidation, fuel system clogging caused by wax formation, which this pilot aims to assess.

The pilot will trace and verify the biofuel blend’s integrity aimed at bolstering confidence in emissions reductions reporting. The pilot will also provide insights into how robust tracing can support future marine fuel supply chains where biofuels from multiple feedstocks with varying lifecycle greenhouse gas emissions footprints are blended together.

This project is co-funded by the Maritime and Port Authority of Singapore under the Maritime Innovation and Technology Fund (MINT).

Photo credit: Global Centre for Maritime Decarbonisation
Published: 3 June, 2026

Biofuel

NYK starts one-year B100 bio bunker fuel trial on car carrier

In this trial, NYK will operate a car carrier continuously on B100 for one year to evaluate the impact on engines, fuel supply systems, and operational practices.

Published

20 hours ago

June 3, 2026

Admin

NYK starts one-year B100 bio bunker fuel trial on car carrier

Japanese shipping firm NYK on Tuesday (2 June) said it has commenced a one-year long-term trial involving the continuous use of 100% biofuel (B100) on an NYK-operated car carrier.

In this trial, NYK will operate a car carrier continuously on B100 for one year to evaluate the impact on engines, fuel supply systems, and operational practices. High-purity biofuels such as B100 are known to be susceptible to degradation from oxygen, light, and heat, raising concerns about the stability of such fuels during long-term use.

In this trial, the biofuel primarily comprises FAME (Fatty Acid Methyl Ester) derived from used cooking oil and similar feedstocks.

The initiative is designed to evaluate the fuel’s effects on the vessel’s equipment and verify operational safety under real-world conditions.

Through this effort, NYK seeks to accumulate technical expertise that will support the broader use of high-purity biofuels and further accelerate efforts to reduce greenhouse gas (GHG) emissions.

NYK has been advancing the use of biofuels through various initiatives. In 2024, the company conducted a trial using biofuel blend B24 and subsequently expanded practical usage to B30. However, the company said there remains limited global experience with the long-term continuous use of B100.

“By collecting long-term operational data through this trial, NYK aims to accumulate valuable technical insights to support both the safe operation of vessels and the wider adoption of high-purity biofuels,” it said.

Photo credit: NYK
Published: 3 June, 2026

Ammonia

AM Green plans to build green ammonia plant at Indian port

Initiative also includes development of green ammonia handling, storage and bunkering infrastructure, pilot bunkering operations, safety procedures and training programmes, says VOC Port Authority.

Published

20 hours ago

June 3, 2026

Admin

VO Chidambaranar (VOC) Port Authority on Friday (29 May) said it has signed a Memorandum of Understanding (MoU) with India’s ammonia producer AM Green Ammonia to collaborate in the development of a green ammonia production plant.

The plant will have a capacity of one million tonnes per annum (MTPA) at Tuticorin.

The initiative also includes development of green ammonia handling, storage and bunkering infrastructure, pilot bunkering operations, safety procedures and training programmes.

The project is expected to support the development of green fuel corridors connecting VOC Port with major ports in Europe and Asia, thereby strengthening India’s position in the global green fuels value chain.

VOC Port also signed a Memorandum of Understanding (MoU) with Bureau Veritas (India) Pvt. Ltd., to collaborate on Green Port certification, emissions accounting, ESG reporting, safety validation, development of green bunkering practices, and establishment of a Centre of Excellence for green fuels and sustainability.

The port also plans for an upcoming 750 m³ green methanol bunkering facility.

Photo credit: Naveed Ahmed on Unsplash
Published: 3 June, 2026