Alternate fuel

Abstract

As the world moves towards greener solutions for reduction in pollution by any source, the transportation industry will be greatly affected and hence major changes are taking place throughout. From automobiles, logistics, aviation and each and every machine in the supply chain is looking to cut down the emissions. Shipping contributes to 3% of the world’s total manmade carbon emissions. Around the world, air pollution is causing serious health problems and premature death, and local air pollution will be subject to tougher regulations over the coming years. Reducing emissions to air and introducing new propulsion technologies are key challenges for the worldwide transport sector, including shipping. The world’s future fleet will have to rely on a broader range of fuels, propulsion solutions and energy efficiency measures. All alternative fuel options have benefits and challenges. This guidance paper provides an introduction to alternative fuels and technology solutions. It includes an overview of selected alternative ship fuels – LNG, LPG, methanol, biofuel and hydrogen – as well as emerging technologies such as batteries, fuel cell systems and wind-assisted propulsion. The objectives of the paper are to provide decision support for investment in ships for the upcoming period. The paper focuses on technical parameters and limitations without accounting for local market conditions, considerations and incentive schemes which may have a significant impact on competitiveness and the uptake of alternative fuels and technologies. Marine fuel currently contributes approximately 3 per cent to global man-made CO2 emissions. Most seagoing ships are still using heavy fuel oil (HFO) or marine gas oil (MGO), with a maximum sulphur limit of 3.5 per cent (mass) in force for HFO and 0.1 per cent (mass) for low- sulphur MGO. Looking at the future with the IMO 2020 low-sulphur standards and upcoming CO2 emission regulation regime in mind, the share of conventional oil-based ship fuels will drop and the share of alternative fuels will grow. Prerequisites for introducing a new fuel include availability of sufficient production and distribution facilities as well as an adequate bunkering infrastructure. In addition, new fuels in many cases require extensive on- board modifications and a reversal to a conventional system is complex and costly.