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ZeroNorth and Vitol launch four-week digital bunkering trial in Port of Rotterdam

Stakeholders seek to enhance efficiency and transparency while establishing a foundation for digitalising bunker operations in Europe’s largest bunkering hub.

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Zero North x Port of Rotterdam

Digital bunkering platform solutions provider ZeroNorth, multinational energy and commodity trading firm Vitol, and the Port of Rotterdam on Tuesday (12 November) completed a first digital bunker delivery, marking the launch of a four-week trial.

During this period, Vitol will carry out three to four bunker deliveries in the Port of Rotterdam, using ZeroNorth’s electronic bunker delivery note (e-BDN) solution. The aim is to demonstrate the benefits of digital over manual bunker delivery notes by assessing time savings during bunkering, enhanced operational efficiency and improved data quality.

The trial further aims to demonstrate the solution's viability for the port’s operations, thereby enabling the Port of Rotterdam to be the first port in Europe to take steps to digitalise bunkering. With that, Rotterdam follows the example of the Maritime and Port Authority in Singapore (MPA), which was the world’s first port to implement and mandate e-BDN.

As two of the largest bunkering ports globally, Singapore and Rotterdam play crucial roles in catalysing global efforts to enhance efficiency in international shipping as part of the Singapore-Rotterdam Green and Digital Shipping Corridor.

ZeroNorth and Vitol have both been part of driving this work in Singapore, where Vitol Bunkers, in close collaboration with ZeroNorth, became one of the first to adopt e-BDN under MPA’s approval.

After the trial, the parties will fully integrate eBDN into the systems of the Port of Rotterdam and its suppliers, laying the foundation for a fully digitalised workflow.

Saskia Mureau, Director Customer Digital of the Port of Rotterdam Authority says “The port of Rotterdam is pleased to join Vitol and ZeroNorth in completing the first digital bunker delivery. This pilot allows us to demonstrate the benefits of electronic bunker delivery notes, including time savings, improved operational efficiency and enhanced data quality. This initiative underscores our commitment to innovation and sustainability and brings us one step closer to digitising bunker operations at one of the largest bunker ports in the world.”

Kenneth Juhls, Senior VP and Global Head of Customer Success at ZeroNorth, says “Transparency and efficiency in the bunker sector are crucial to the success of shipping’s energy transition. While the digitalisation of the bunker industry is gathering pace, significant opportunities to reduce operational costs and improve transparency in fuel transactions remain untapped. We’re thrilled to partner with Vitol to conduct this trial in Europe’s most important bunkering hub. This initiative is an important step forward and has the potential to serve as a catalyst for the widespread adoption of eBDN across the industry.”

Ian Butler, Head of Energy Transition – Shipping at Vitol, says “We are pleased to participate in this trial. Digitalisation has the potential to benefit the bunkering industry through increased efficiencies and greater operational transparency; to the benefit of our customers and the wider market.”

Related: Singapore set to become first port in the world to debut electronic bunker delivery notes
Related: SMW 2024: Singapore-Rotterdam Green and Digital Shipping Corridor partners to implement first-mover pilot projects
Related: ZeroNorth eBDN solution goes live on 12 Vitol Bunkers barges in Singapore

 

Photo credit: ZeroNorth
Published: 13 November 2024

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Technology

Singapore: MPA and MISC to integrate digital technologies into marine operations

MoU between the two parties include exchanging data and technology trials between MISC and MPA for tankers through the Just-in-time Planning and Coordination platform under digitalPort@SGTM.

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Singapore: MPA and MISC to integrate digital technologies into marine operations

The Maritime and Port Authority of Singapore (MPA) on Thursday (5 December) said it has signed a memorandum of understanding (MoU) with MISC to strengthen collaboration in innovation, research and development (R&D) and test-bedding activities, to advance digital transformation in the maritime industry. 

The MoU was signed by Mr David Foo, Assistant Chief Executive (Operations and Operations Technology), MPA, and Mr Mohd Denny Mohd Isa, Vice President, MISC Marine, and witnessed by Mr Teo Eng Dih, Chief Executive, MPA, and Mr Zahid Osman, President and Group Chief Executive Officer, MISC Berhad.

As part of the three-year arrangement, both parties will focus on integrating sustainable digital technologies into marine operations, enhancing processes through data-sharing initiatives and cybersecurity innovations. 

These include exchanging data and technology trials between MISC and MPA for tankers through the Just-in-time Planning and Coordination platform under digitalPort@SGTM, data sharing and cloud services to support the use of e-clearances and e-certificates in the Port of Singapore and onboard Singapore-registered ships and conducting cyber solution trials with the Maritime Cyber Assurance and Operations Centre.

They will also collaborate with Singapore’s vibrant research ecosystem to explore the use of artificial intelligence, digital twins, and semi-autonomous vessel operations to improve shipping efficiency and safety. 

Additionally, the partnership will prioritise talent development, identify emerging skillsets for onshore ship management, upskill seafarers to operate alternative-fuelled vessels, and ensure a future-ready workforce for the maritime industry through training under the Maritime Energy Training Facility. 

Mr Teo Eng Dih, Chief Executive of MPA, said: “MISC, with its expertise in ship management and sustainable shipping practices, is a good partner for MPA to develop solutions to help digitalise and optimise shipping operations. We look forward to deepening our partnership with MISC Marine to transform the work for seafarers and professionals for more resilient and efficient shipping services.”

Mr Zahid Osman, President and Group Chief Executive Officer of MISC Berhad, said: “MISC is proud to partner with the Maritime and Port Authority of Singapore to accelerate the maritime industry’s transition towards a sustainable future. This MoU underscores our shared commitment to harnessing digital innovation, enhancing ship management efficiency, and preparing the workforce for advancements in alternative fuels and cutting-edge technologies.”

 

Photo credit: Maritime and Port Authority of Singapore
Published: 6 December, 2024

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Bunker Fuel

Cost-efficient strategies can significantly cut price of FuelEU Maritime compliance, says DNV

Adoption of the most cost-effective strategy can result in savings of up to 16% or USD 21 million over a vessel’s lifetime compared to using Bio-MGO as a compliance option, according to new DNV white paper.

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Classification society DNV on Thursday (5 December) said compliance with FuelEU Maritime requirements will be expensive but applying certain strategies can significantly reduce the cost.

This was one of the main highlights of its latest white paper outlining FuelEU Maritime requirements and compliance strategies for shipowners. 

Effective from 1 January 2025, the rules mandate stringent greenhouse gas (GHG) emission intensity requirements for ships over 5,000 gross tonnage (GT) transporting cargo or passengers for commercial purposes in the EU/ EEA. GHG emissions are calculated from a well-to-wake perspective. In addition to emissions from onboard combustion, this calculation also includes emissions related to the extraction, cultivation, production, and transport of the fuel. 

The regulation includes provisions for crediting ships using wind-assisted propulsion.

The DNV paper provides shipowners with insights to reduce compliance expenses and avoid major penalties. It contains a comprehensive overview of the regulation, including a case study which highlights a range of different compliance strategies. 

This shows how the adoption of the most cost-effective strategy can result in savings of up to 16% or USD 21 million over a vessel’s lifetime compared to using Bio-MGO as a compliance option.

Knut Ørbeck-Nilssen, DNV Maritime CEO, said: “It is essential that shipowners understand the requirements and compliance options related to the FuelEU Maritime regulation to make informed business decisions. Adopting a cost-efficient strategy with the right combination of measures can help shipowners reach compliance at reduced costs.

“Just paying the penalty could prove a more costly option. All parties must understand their potential obligations and privileges, and how these might affect their commercial and compliance agreements. Crucial to this is verified emissions data, which can maintain operational and commercial integrity across the maritime value chain.”

The report provides recommendations for shipowners including securing long-term fuel agreements and implementing energy efficiency measures. It also recommends considering pooling as a mechanism for sharing and optimizing costs. This is underpinned by a call to begin preparations immediately. The report also highlights how, by leveraging digital tools, maritime stakeholders can access verified emissions data, a key factor in compliance and maintaining both operational and commercial integrity throughout the value chain.

A key point emphasized in the report is that the International Maritime Organization is also set to introduce similar regulations in the near future, with a net-zero framework expected to be adopted in the fall of 2025 and come into force around mid-2027.

It is absolutely essential that shipowners understand the requirements and compliance options related to the FuelEU Maritime regulation so that they are equipped to make informed business decisions. Adopting a cost-efficient strategy with the right combination of measures can help shipowners reach compliance and significantly reduce costs.

“Doing nothing and paying the penalty could prove to be a costly option. All parties must understand their potential obligations and privileges, and how these might affect their commercial and compliance agreements. Crucial to this is verified emissions data, which can maintain operational and commercial integrity across the maritime value chain.”

The report provides recommendations for shipowners including securing long-term fuel agreements and implementing energy efficiency measures. It also recommends considering pooling as a mechanism for sharing and optimizing costs. This is underpinned by a call to begin preparations immediately. The report also highlights how, by leveraging digital tools, maritime stakeholders can access verified emissions data, a key factor in compliance and maintaining both operational and commercial integrity throughout the value chain.

A key point emphasized in the report is that the International Maritime Organization is also set to introduce similar regulations in the near future, with a net-zero framework expected to be adopted in the second half of 2025 and come into force around mid-2027.

Note: The full whitepaper titled ‘FuelEU Maritime: Requirements, compliance strategies, and commercial impacts’ by DNV can be downloaded here.

 

Photo credit: DNV
Published: 6 December, 2024

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Alternative Fuels

DNV: Nordic shipping roadmap urges for government action to close fuel transition cost gap

Nordic Roadmap project has unveiledFuel Transition Roadmap for Nordic Shipping, which identified three main barriers to uptake of zero-emission bunker fuels in the region.

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DNV: Nordic shipping roadmap urges for government action to close fuel transition cost gap

The DNV-led Nordic Roadmap project has unveiled the Fuel Transition Roadmap for Nordic Shipping, a comprehensive document outlining a decarbonization strategy for the region.

According to the classification society, the report urged Nordic ministers to take immediate action to support the industry in achieving its goals by closing the cost gap associated with the fuel transition. 

Its findings and recommendations were officially presented to Nordic ministers today at a High-Level Conference on Green Shipping in the Nordic Region, held in Copenhagen.

Alongside their commitment to global maritime emission reduction targets set by the IMO, the Nordic countries have also pledged to meet ambitious regional climate targets for shipping. 

These include early commitments to net-zero emissions by 2050, advancing a sustainable ocean economy and green transition, cooperation on transport, infrastructure and energy supply, and the establishment of green shipping corridors.

To decarbonize, shipping will need to switch to zero-emission fuels and the Roadmap strategy identified three main barriers to their uptake in the region:

  • Demand and costs – linked to the lack of demand for zero-emission shipping and cost-competitiveness of zero-emission fuels. 
  • Fuel availability – referring to the lack of onshore development of the supply chain, including fuel production and sourcing of raw materials, distribution, and bunkering infrastructure. 
  • Technology and safety – referring to the low maturity level of fuel technologies and safety regulations, both onshore and onboard vessels.

The report goes on to outline seven building blocks, broken down further into 20 specific actions to be taken towards 2030, to overcome the interlinked barriers. These represent specific work packages that governments and industry stakeholders must collaborate and work on in parallel to upscale the use of zero-emission fuels. 

The key recommendations of the Roadmap highlight the urgent need for government action to bridge the cost gap for zero-emission fuels and to accelerate the implementation of competitive tenders for green shipping corridors. The strategy envisions the first corridor becoming operational by 2025, followed by three more by 2026, and an additional six by the end of 2028. An immediate priority is to develop a plan for the regional integration of fuel production and infrastructure. 

Ms. Ida Heimann Larsen, Deputy Secretary General of the Nordic Council of Ministers, said: “The Nordic Council of Ministers is proud to have helped bring about this comprehensive and ambitious public-private cooperation.”

“And we will continue to support the advancement of the 7 key building blocks of the Road Map as part of a wider, cross-sectoral focus on the green transition of our blue economy. These are important stepping stones on our path towards making the Nordic region the most sustainable in the world.”

Knut Ørbeck-Nilssen, CEO Maritime, DNV, said: “We call on Nordic governments to act swiftly on the urgent measures identified in the Fuel Transition Roadmap for Nordic Shipping. Doing so will give the industry confidence to invest in ships capable of running on zero-emission fuels, and the fuel infrastructure needed to support them.”

“Cross border and value chain collaboration will be crucial in enabling the industry to overcome key barriers and to meet the ambitious decarbonization targets. By leading the way, the Nordics can not only drive value creation and boost exports but can also play a key role in the global fuel transition.”

Bjarne Foldager, Senior Vice President and Head of Two-Stroke Business, Denmark, MAN Energy Solutions, said: “This Roadmap is a worthy initiative and, in tandem with other global decarbonisation efforts, represents a concrete way for Nordic shipping to collaborate and push decarbonisation through – among other parameters – the adoption of zero-emission fuels and green corridors.”

“At MAN Energy Solutions, we welcome the opportunity to work with like-minded partners and are more than happy to bring our expertise within marine propulsion and alternative fuels to the table in the pursuit of net zero.”

The Roadmap is developed by the project team led by DNV with members from MAN Energy Solutions, IVL Swedish Environmental Research Institute, Chalmers University of Technology, Menon Economics, and Litehauz, and in collaboration with more than 60 industry partners.

The Nordic Roadmap project started in 2022 and is funded by the Nordic Council of Ministers. It aims to reduce key barriers to the uptake of zero-emission fuels and develop a common roadmap for the whole Nordic region towards zero-emission shipping.

Note: The full strategy can be read here.

 

Photo credit: DNV
Published: 5 December, 2024

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