CSI Summer 2024

SUMMER 2024

CALM BEFORE THE STORM

How the industry is facing up to new environmental liabilities

JOINT INTERESTS

Partnerships are putting shipping firmly on the path to net zero

FUELLING THE DEBATE

The serious choices to be made about future fuels

supporting Clean Shipping initiatives

BULK TERMINALS ANTWERP 2024 THE ONLY EVENT AIMED AT THE ENTIRE BULK TERMINALS INDUSTRY

The Annual Conference of the Association of Bulk Terminal Operators (ABTO)

23-24 OCTOBER 2024

Organised by

THE ONLY T EVENT AIMED A K UL THE ENTIRE B Sponsors

Bulk Terminals Antwerp will set the scene with our traditional analysis of bulk markets, continuing with a full programme focused on the concerns of operators – offering sound practical solutions to terminal operators for improving safety, streamlining operations and ensuring environmental protection.

TERMINALS INDUSTRY

Host port

The war in Ukraine had a serious impact on bulk trade flows and the attacks on shipping in the Red Sea add to the disruption. Antwerp will examine the impact of both on bulk terminal operations – both short term and in the future To discuss speaking and sponsorship opportunities please call Simon Gutteridge +33 (0)321 47 72 19 or email events@bulkterminals.org Supporting Organisations Media Partners Official magazine of Association of Bulk Terminal Operators (ABTO)

For more details and to register, visit: bulkterminals.org/index.php/events

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FROM THE EDITOR

PREPARATION IS KEY

Sandra Speares Editor, Clean Shipping International

Emissions management continues to be a major focus as the industry gets to grips with forthcoming deadlines for compliance with international rules. There is concern in some quarters that the maritime industry will leave things until the last moment, as has sometimes proved to be the case in the past.

While the deadlines for compliance with the rules are clear, exactly how companies are going to achieve what is necessary is less obvious, not least because different countries and players have adopted different approaches to compliance programmes.

Included in this edition are a number of initiatives by individual organisations to address outstanding issues, whether this means going down the scrubber or low-sulphur fuel routes, for example. Much emphasis has been placed on the importance of companies and organisations working together to achieve the necessary targets, and how important and productive a free exchange of ideas can be.

Implementation of the FuelEU Maritime regulation from 2025 presents an accountability dilemma for shipping as it is currently the Document of Compliance (DoC) holder that will be held responsible for fuel selection and could therefore face penalties - contrary to the ‘polluter pays’ principle, according to OceanScore.

Albrecht Grell, co-managing director of the Hamburg-based maritime technology firm explains on page 57 that shipping companies must start preparing now for the regulation as they face a 31 August deadline to submit a monitoring plan to track the fuel type and consumption for each EU voyage for each vessel as required by FuelEU. Preparation for other deadlines is equally important as companies do not want to be caught napping when it comes to issues such as compliance with the ballast water regime.

There will inevitably be criticism from certain quarters on the speed and efficiency the industry displays when tackling the new regulatory environment. Pricing and quality of new fuels available will be of key importance, not least when shipping companies are plying their trade on a worldwide basis.

Market conditions will obviously continue to fluctuate.

However ensuring that companies and ports operate in the most effective and efficient way will evidently be a key component as the industry faces up to the demands of clean shipping.

New environmental pressures are not likely to let up, whatever the market is doing and whether it is good or bad for shipping operators at a given moment.

Shipping has often been considered to be a secretive business and is often backwards in coming forwards when it comes to providing information – whether good or bad news.

Shipping has a positive message to get across, not least as far as the vital role it plays in moving goods around the world.

We hope that you enjoy reading about some of the initiatives taking place in the clean shipping arena at the moment in this edition of Clean Shipping International.

C L E A N S H I P P I N G INTERNATIONAL – Summer 2024

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FROM THE EDITOR

40

Sandra Speares on why preparation is key for the industry to achieve its net-zero goals

06

10

How cutting down on hull and propeller fouling improves performance

WELCOME

Don Gregory, Director, Exhaust Gas Cleaning Systems Association

Viewpoint: Nippon

» p21

NEWS ROUND-UP

26

47 » p26

ALTERNATIVE FUELS

BALLAST WATER TREATMENT

55 Interview: Ardmore 57 » p37

REGULATION

New regulations mean that the maritime industry faces a possible liability risk in the years ahead

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35 Viewpoint: Erma First

WIND POWER

Wind-assisted propulsion is a key decarbonisation tool that many companies are now exploring

SHIP DESIGN

New designs aim to cut the carbon footprint, as well as reduce pollution in the world’s oceans

New initiatives and ambitious projects aim to accelerate emission reduction Viewpoint: Fürstenberg

New regulations aim to streamline the commissioning testing of ballast water

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DECARBONISATION

53 Maritime Advisory

The industry has major decisions to make about which path to take when it comes to alternative fuels

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TECHNOLOGY

Technology has a vital role to play in ensuring that safety can be maintained at sea

EGCS

Keeping scrubber pipes in top condition requires an efficient maintenance regime

42 Paint Marine 43

All the latest news and views from across the globe

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ANTIFOULING

» 40

C L E A N S H I P P I N G INTERNATIONAL – Summer 2024

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EVENTS 5

6

WELCOME

CAUSE AND EFFECT OF THE COST-OFLIVING CRISIS

Don Gregory Director, Exhaust Gas Cleaning Systems Association

Working in the maritime industry affords the benefits and possibilities of visiting many countries around the world. You can hear and experience how people are fairing and witness the facts and reality of lives lived.

In the recent past, one overarching message has been and remains ‘the cost of living’. It is surprising how this is a consistent topic across the globe.

Normally in recessions some countries continue to fare well and likewise with higher income groups. But the cost of living seems to be hitting across the world and across a broad swathe of income groups.

Recalling some UK context cost-of-living issues, more than a third of UK citizens have no savings or savings of less than £1,000.

Young couples are postponing starting a family due to the inability to have enough money to simply live without the addition to the family. More than 11 million people may use credit simply to buy food.

As previously mentioned, the cost of living has become ubiquitous throughout the world, from China to Canada, from France to Finland, from South Africa to South Asia.

After decades of rising living standards, what has happened or is happening to create a reversal and the cost of living crisis? It does not appear to be a recession.

It does not appear to have been driven by an economic bubble, albeit there are pockets of problems (such as the Chinese property market). There is demand from young people for consumption. There is lots of infrastructure renewal needed. There are many new technologies creating new economic growth opportunities. However, as spending power declines globally it would be no surprise if current conditions lead to a severe global recession.

Commentators speak of the war in Ukraine reducing crops and raising global prices. It is not evident that these claims are borne out in reality. There is no apparent shortage of grain products, albeit they have become more expensive. So, it would seem it is not a supply issue.

A recent commentary by a CEO of a major white goods retailer in Europe was very surprising indeed. His comments seemed to put paid to the claims you may have heard when non-governmental organisations (NGOs) have argued that maritime transport is a minimal component in the price of goods on retail shelves. The saying during the reduction of fuel sulphur discussions was that the additional cost of low sulphur fuel “only adds 1 cent to the price of a pair of sneakers”. The CEO of the white goods retailer stated that current container transport increases had added £50 to a typical refrigerator retail price. So much for the NGO throwaway line.

The CEO went on to hint that the container transport system was broken, with only five major players dominating global maritime container transportation and its respective shoreside infrastructure and logistics chain.

Land transportation is also a topic in the cost of living crisis. Since Henry Ford introduced the production line, we have enjoyed affordable personal transportation.

Over the decades, affordable vehicles have increased in comfort and driving enjoyment.

Today, the price of running personal transportation is becoming increasingly out of reach for many in the developed world.

I think readers would agree that significant changes have occurred that have resulted in general affordability for many of the global population becoming out of reach.

But what are the underlying causes of this significant halt and subsequent decline in living standards?

We hear that changes in weather patterns have reduced crop yields or totally devastated production. We hear vessel diversions from the Red Sea have increased transport costs, likewise the reduced traffic through the Panama canal. But there is plenty of flour on our shop shelves, as well as other food goods. There are white goods on-line and in store. So it does not seem to be a supply issue – yet all these goods have become more expensive and less affordable within the average family budget.

C L E A N S H I P P I N G INTERNATIONAL – Summer 2024

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WELCOME

There are, of course, a number of factors at play. Housing cost is certainly one key factor that is absorbing a larger share of household income. But there appears to be another more pervasive and enduring cost: the cost of environmental rules and regulations. In Europe we have seen farmers protesting in virtually every EU country. We have heard car manufacturers discontinuing electric car production and reverting to internal combustion engine vehicles.

Whereas the war in Ukraine or the shortage of water in the Panama are disruptions that the market adjusts to, the environmental dicats are often costly and are truly enduring.

NGOs would argue that we are destroying the planet. Climate change will cause devastation and a downward spiral from an overheating earth. These are powerful and emotional headlines that are sure to catch attention and so they should. If climate change is so serious, we should certainly do something about it and now.

The conversion of the sensational headlines into practical actions is where the cost-of-living crisis kicks in.

There is a massive chasm between the need to reduce greenhouse gas (GHG) emissions or protect the environment and the most costeffective, practical, societally acceptable and sustainable actions to apply.

This seems rather an odd outcome.

Surely science, chemistry, biology, engineering and social science could and should put together a hierarchical programme of actions that make best use of financial and natural capital to address climate change and environmental protection on a sustainable basis.

The reality is this has not happened at all. The UK’s committee on climate change has issued statements on where GHG emissions need to be reduced and even the time frames to do so. The United Nations Framework Convention on Climate Change warns of the dangers of the current emissions and environmental destruction trajectory. But there has been no rigorous output of solutions and timetables for implementation.

There is no global technical and social organisation to develop

solutions. So how have the current solutions evolved and been adopted? They after all result in the environmental rules and regulations that seem to have created the cost-ofliving crisis.

Politicians in both democratic and totalitarian nations receive their advice and policy suggestions from their respective civil servants. Where do civil servants receive their knowledge?

Governments employ specialists and contract in experts. In large part, industry and finance have and remain a significant source of influence through lobbying. Their context is to further their interests and profitability. It could be argued that over time this has been to the detriment to the earth’s natural capital and sustainability. Industry is largely driven by the market which has positive and negative dimensions. It is not perfect.

However, business cannot survive without the consumer. So, when Henry Ford developed a system to make affordable cars, he did it because he knew he would sell more cars and make more profits.

The markets for the most part don’t take into account natural capital and sustainability. The environmental impact of man’s activities has, to a large extent, become the domain of a variety of environmental NGOs.

Pollution events

Popular concern for protecting the environment probably took hold in the 1960s. Prior to that there were several significant pollution events and consequent harm to humans and the environment that were addressed by governments with specific regulations such as the UK Clean Air Act 1956 following the devasting London smog of 1953. These tended to be focused regulations or legislation designed to remove or limit a specific harm.

Importantly, the changes directly benefitted the population.

In the climate change space, civil servants are being increasingly influenced by the environmental NGOs whose simple sensational headline concerns for the planet are not rigorously supported by robust and sustainable solutions. In the

C L E A N S H I P P I N G INTERNATIONAL – Summer 2024

UK, we have a group whose solution to emissions is in their name, ‘Just Stop Oil’. No doubt stopping oil in its tracks would reduce CO2 emissions immediately. But it is not too difficult to work out the societal impact of such a sudden change, never mind the many uses of oil, including medical products.

Another approach adopted by the European Commission and endorsed by the European Parliament is to impose a rising tax on maritime GHG emissions. Their philosophy is “let the market work its magic”. They claim the market will drive new behaviours that will result in shipping reducing its GHG emissions. What has been ignored is that the market only works where there are buyers and sellers. In the context of carbon tax, it means there need to be alternatives to burning carbon.

The EU has an answer to that. It has imposed financial rules that dictate where investment should be spent, the so-called Taxonomy regulations. So, in this case, not only is the EU forcing a market through carbon tax it is also dictating the solutions. The solutions, however, are based on the beliefs of a few individuals that alternative fuels can be made available at scale and are viable in all the other requirements for marine fuels, (for example low cost, safe to use, high energy density, easy to store, globally available, and so on).

The problem is these EU beliefs are not borne out by numerical assessments, science or sustainability.

Added to that, the cost to maritime transport is ignored, as is the minimal 3% of global GHG emissions it contributes. This approach will only sustain the cost-of-living crisis well into the future.

The challenge we face is that there does not appear to be any global, regional or national bodies set up to evaluate and assess the most viable and cost-effective technical solutions.

If there were, then a hierarchical approach taking up the easier ‘wins’ first by directing cost effective and sustainable investment and changes that make sense and takes along people. That should result in a reversal of the cost-of-living crisis while looking after the planet and, as a consequence, its sustainability for mankind.

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COMPANY PROFILE

ECOSPRAY: FACING THE CHALLENGES OF THE CHINESE MARKET The maritime industry is now more globalised than ever, especially considering the growth of the Asian market, and in particular, of the Chinese shipbuilding industry.

The rapid evolution is accompanied by a tightening of global regulations to reduce emissions from shipping vessels. As a direct result, the demand for exhaust gas cleaning aystems (EGCS), also known as scrubbers, has constantly risen, especially for new buildings.

The growing need for sustainable maritime solutions in Asia pushes European sector leaders to identify new ways to increase competitiveness in a market – like the Chinese one – which is increasingly characterised by price wars.

Scrubber solutions are just the first step in a great challenge

NEW COLLABORATION TO JOIN THE MARKET EVOLUTION

Under these conditions, Ecospray – the Italian company specialising in integrated solutions for the sustainable conversion of maritime and landbased industries – continues its long-lasting collaboration with one of leading dry bulk shipping companies for the reduction of emissions in its fleet. After equipping the entire fleet with its scrubbers and conducting several collaborative R&D projects, the company has signed an agreement with the Greek-based shipowner for five new ships under construction in a Chinese shipyard, which will be equipped with open loop EGCSs for main engine and auxiliaries.

The Shawn Wang, Executive Vice General Manager and Eddy Su, Commercial Director (Jiangsu Zhenhua Environmental Protection Technology Co., Ltd) George Caldis (Green Sentinel) and Marcello Vercellino (Ecospray Technologies)

C L E A N S H I P P I N G INTERNATIONAL – Summer 2024

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COMPANY PROFILE

To increase competitiveness over local manufacturers, the supplies of Ecospray’s EGCS for the new ships will see its collaboration with Chinese manufacturer Jiangsu Zhenhua Environmental Protection Technology Co, known on the market as Zept.

Ecospray will be in charge of the design and engineering and the supply of the sensitive components of the system (such as spraying nozzles, PLC and software, water and gas analysers), while the Chinese partner will manufacture and outsource on local markets the equipment and components based on the specifications and design provided by Ecospray.

PROVEN PERFORMANCE AND HIGHQUALITY STANDARDS

The new collaboration will allow Ecospray to offer its well-proven and high-quality standard scrubbers, in terms of material, design and performance, at a competitive price for the Far East market. This will be possible thanks to Zept’s strong equipment manufacturing capability based in China, along with a local and fast response to shipyards during installation and commissioning of the EGCS. The collaboration with Zept boosts Ecospray’s position in the Asian market by confirming the highest quality standards and the best performance for its EGCSs. The company portfolio boasts a wide range of scrubbers to meet all needs: from an open loop or hybrid design to an inline or u-type configuration. The technologies are available in different sizes, from 1,800-5,000mm in diameter, and within a range of 5 to 80MW rated engine power.

EGCS: TAKING THE FIRST STEPS TOWARD DECARBONISATION

Scrubber solutions are just the first step in a great challenge. As we know, in recent years, the route towards 2050 pushes companies to invest in R&D to develop new technologies.

Scrubbers are today a prerequisite for vessels and a fundamental starting point for embracing a new technology:

onboard Carbon Capture. In fact, the presence of the EGCS as pretreatment of the exhaust gas reduces the pollutants (such as sulphur oxides and particulate matter) and part of the uncombusted and hydrocarbons, so as not to affect the performance and lifetime of the carbon capture technology installed downstream.

In addition, carbon capture requires the temperature of the treated gases to be lowered, typically below 50°, and the presence of the scrubber facilitates this. Thus, having the scrubber on board has a double benefit in view of installing carbon capture technologies, avoiding the need for a cooling stage or exhaust gas scrubbing to bring the flue gas to conditions suitable for capture.

Having an EGCS means already being a step ahead in decarbonisation.

ONBOARD CARBON CAPTURE: A NEW HORIZON FOR SUSTAINABILITY

Ecospray has finished onboard testing of two carbon capture technologies, scrubbing with amines and calcium hydroxide, for the maritime sector.

The tests proved the capability of the technology to capture up to 80% of the CO2 emitted during ship operation in specific conditions.

In the meantime, the technology based on molten carbonate fuel cells is under continuous development and the industrialisation phase is expected by 2025. This solution is at the heart of the CapLab, the joint laboratory of Ecospray and University of Genoa.

Since decarbonisation is a crucial theme, Ecospray has decided to develop different solutions in order to be able to adapt them to different contexts, as factors such as the size of a ship, its type, its route and the space available on board strongly influence the choice of a solution.

Onboard carbon capture is one of the most interesting innovations for the shipping industry, but requires an acceleration of the regulatory framework.

Investments in this useful technology for the ecological transition will be possible only by the adoption of certain international regulations.

C L E A N S H I P P I N G INTERNATIONAL – Summer 2024

ABOUT ECOSPRAY

From research to development, Ecospray specialises in the creation of integrated solutions for the sustainable conversion of marine and land-based industries, as well as for the reduction of dependence on fossil fuels. Founded in 2005, Ecospray, market leader in exhaust gas cleaning systems for marine diesel engines, has been part of the Carnival Group since 2013.

The company operates globally, offering diverse technologies that range from air and gas cleaning and treatment systems (DeNOx, DeSOx, filtration, gas cooling and fogging) to the creation of biofuels and the generation of clean energy (biogas upgrading, CH4 and CO2 liquefaction and fuel cells).

For more information, contact: Marcello Vercellino Sales Manager Ecospray Technologies Via Circonvallazione, 14/14A 15050 Alzano Scrivia (AL) Italy Email: marine@ecospray.eu ecospray.eu

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NEWS

There have been a number of initiatives in recent months to ensure compliance with new environmental regulations, including activity at the International Maritime Organization

GLOBAL NEWS ROUND-UP The International Maritime Organization (IMO) has agreed on an illustration of a possible draft outline of an ‘IMO net-zero framework’ for cutting greenhouse gas emissions (GHG) from international shipping.

This marks a step forward in the legal process towards adopting global regulations, referred to as “mid-term GHG reduction measures”, which will help achieve the targets contained in the 2023 IMO Strategy on the Reduction of GHG Emissions from Ships.

At the conclusion of the 81st session of the Maritime Environment Protection Committee (MEPC 81), held in London from 18 to 22 March 2024, IMO secretary-general Arsenio Dominguez said: “Your Committee is indeed a forum to consider issues of critical relevance for all parts of the marine environment, and this week you made very important progress.”

The draft outline illustration of a possible IMO net-zero framework lists regulations under the International Convention

for the Prevention of Pollution from Ships (MARPOL), which will be adopted or amended to allow for a new global fuel standard and a new global pricing mechanism for maritime GHG emissions.

These may include a proposed new Chapter 5 of MARPOL Annex VI containing regulations on the IMO net-zero framework, to include: » a goal-based marine fuel standard regulating the phased reduction of the marine fuel’s GHG intensity; and » an economic mechanism(s) to incentivise the transition to net-zero.

The goal-based marine fuel standard and pricing mechanism are mid-term GHG reduction measures specified in the revised IMO Strategy on the Reduction of GHG Emissions from Ships, adopted in July 2023. Several different proposals of what these measures should entail are currently being considered.

The possible draft outline for the IMO net-zero framework will be used as a

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NEWS

starting point to consolidate the different proposals into a possible common structure, to support further discussions with the understanding that this outline would not prejudge any possible future changes to it as deliberations progress.

In addition to progress on the legal framework, MEPC agreed on the following next steps, ahead of its next meeting (MEPC 82), scheduled for 30 September to 4 October 2024: » Comprehensive impact assessment on the impact of the proposed midterm measures on Member States to be finalised and submitted to MEPC 82; » A two-day expert workshop (Fifth GHG Expert Workshop – GHG-EW 5) to be held to discuss the preliminary findings of the comprehensive impact assessment, covering all aspects, including the modelling of revenue disbursement. The outcome will be reported to MEPC 82; » The Seventeenth Intersessional Working Group on Greenhouse Gas Emissions (ISWG-GHG 17) to meet to consider the outcomes of the comprehensive impact assessment, the GHG-EW5, and other submitted documents for further discussions around the development of mid-term measures, and report to MEPC 82; » ISWG-GHG 17 to develop draft terms of reference for a Fifth IMO GHG Study; » Establishment of a GESAMP Working Group on the Life Cycle GHG Intensity of Marine Fuels.

GESAMP is the Joint Group of Experts on the Scientific Aspects of Marine Environmental Protection. The GESAMP-LCA WG will be tasked to provide best possible scientific and technical assessment of issues related to the implementation of the LCA Guidelines. These guidelines allow for the calculation of GHG emissions over the full production cycle and end-use of marine fuels, known as “well-to-wake”; » Two correspondence group have been established, which will report to MEPC 83: the first group is tasked to develop a work plan on the development of a regulatory

framework for the use of onboard carbon capture systems and to look into Tank-to Wake methane and nitrous oxide emissions; the second group will look into social and economic sustainability themes and aspects of marine fuels for possible inclusion in the LCA Guidelines.

MEPC has also adopted revised Guidelines on life cycle GHG intensity of marine fuels (LCA Guidelines). The updated guidelines include revised calculations for default emission factors; updated appendix 4 on template for well-to-tank default emission factor submission; and new appendix 5 template for Tank-to-Wake emission factors.

On other agenda items, MEPC: » Approved the establishment of two new Emission Control Areas, in Canadian Arctic Waters, for Nitrogen Oxides, Sulphur Oxides and Particulate Matter; and in the Norwegian Sea for Nitrogen Oxide and Sulphur Oxides. These will be submitted to MEPC 82 for adoption; » Approved new recommendations for the carriage of plastic pellets by sea in freight containers, covering stowage, packaging and correct transport/cargo information; » Endorsed, in principle, the draft action plan for the reduction of underwater noise from commercial shipping, with a view to further consideration and final endorsement at MEPC 82; » Endorsed the updated work plan for the development of guidelines for new alternative fuels, including the development of guidelines for hydrogen and ammonia as fuels, low flash-point fuels and mandatory instruments for methyl/ ethyl alcohols; » Endorsed the list of provisions and instruments for revision and/ or development under the Ballast Water Management Convention and approved the interim guidance on the application of the BWM Convention to ships operating in challenging water quality conditions, as well as the Guidance for the temporary storage of treated sewage and/or grey water in ballast water tanks.

C L E A N S H I P P I N G INTERNATIONAL – Summer 2024

BLACKOUT DANGERS

Under certain circumstances – in congested waters, during manoeuvring or in harsh weather – a blackout can lead to loss of life or damage to property, infrastructure and/or the environment.

DNV’s opinion piece highlights some of the most common causes of blackouts and aims to provide ship managers and crews with guidance to help prevent blackouts and mitigate potential consequences.

Ships occasionally experience blackouts, with a temporary loss of propulsion. Fortunately, most incidents do not have any significant consequences, as they usually occur at open sea.

Nevertheless, blackouts should be avoided. Planning, training, and contingency measures are all essential elements to effectively manage the risk of blackouts, and the combined effect of measures will have the greatest impact on safety.

DNV’s recommendations for preventing blackouts are mainly centred round three main topics:

1. Ensure correct maintenance and operation Correct maintenance and operation are the most important factors to prevent blackouts.

2. Ensure crew competence through regular blackout testing The ever-increasing complexity and level of system integration may challenge operators’ ability to understand in-depth how these systems work. This also makes troubleshooting and manual recovery more difficult. Hence, a highly competent and trained crew is more important than ever.

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Adequate and extensive blackout testing should be arranged regularly to verify the system responses to different blackout failures and to enhance crew competence on blackout scenarios, such as: Identify blackout conditions, observe power system automated actions, and troubleshoot problems if the sequence of blackout recovery fail.

3. Prepare and implement operating procedures for identified high-risk operations

All vessels should have operating procedures, or standing orders, that specify how to prepare for and handle specific situations such as berthing or navigation in heavy weather.

DNV recommends that operators carry out a risk assessment to identify the ship operations for which a blackout would represent a particularly high risk. DNV further recommends that the vessels’ operating procedures for the identified high-risk ship operations be reviewed to ensure that clear specifications of the required state of machinery and equipment are defined.

Implementing robust operating procedures and ensuring crews’ risk awareness, in combination with correct maintenance and operation of essential equipment, as well as regular blackout testing, undoubtedly have a significant positive impact on vessels’ safety and reliability.

Download a copy of DNV’s guidance paper, Managing the risk of blackout, at: tinyurl.com/CSI-DNVBlackouts

PERFORMANCE ISSUES

West P&I Club has recently considered the issue of underperformance claims.

“Underperformance claims, where a vessel is alleged to consume more bunkers and/or to steam more slowly than is warranted in the charter party, are one of the most common types of Defence claim that the Club is asked to advise on and handle. Added to this, any actual underperformance by the vessel is likely to have a knock-on effect on the vessel’s Carbon Intensity Indicator (CII) rating.

“This indicates that these ‘bread and butter’ underperformance claims

NEWS

are likely to become more complex and more costly. Add in, also, volatility in the global financial markets – over which a shipowner has no control – which can have a direct impact on the price of EU Emissions Trading System (ETS) Allowances, it is clear that the value and cost of handling these Defence claims are likely to increase.”

On this theme, West has recently hosted seminars focusing on the legal and practical aspects of underperformance disputes, the CII and EU ETS Regulations and how EU ETS Allowances are bought and sold.

Environmental crime

West has also been considering the issue of environmental crime.

The revised Environmental Crime Directive (ECD) has now been published in the Official Journal of the EU, and came into force on 20 May 2024, replacing Directive 2008/99/EC and Directive 2009/123/EC. Member States have until 21 May 2026 to adopt necessary national measures to transpose the revised ECD. The purpose of the revision was to strengthen protection of the environment through criminal law by making activities most damaging to the environment subject to criminal penalties. The existing Directive 2008/99/EC was believed to not be dissuasive enough.

The scope of the revised Directive is now much wider. For example, breaches of rules on the spread of invasive alien species and illegal ship recycling are now included. Criminal sanctions for ship-source discharge of polluting substances have also been moved out of the Ship Source Pollution Directive into the ECD. Criminal penalties for natural persons are set out in Articles 5 and include imprisonment for up to ten years. Under Articles 6 and 7 legal persons may be subject to criminal penalties of up to 5% of total worldwide turnover or EUR 40,000,000.

For pollution caused by ships to constitute an environmental crime under the ECD, it must be unlawful and intentional, or in certain cases, committed with “serious negligence”.

The revised ECD does not define

“serious negligence”-Recital 27 provides that its meaning should be interpreted in accordance with national law.

This means that the liability threshold under the ECD does not align with MARPOL, which requires an “intent to cause damage or recklessly and with knowledge that damage would probably result” and UNCLOS, which provides vessels with a right of innocent passage in territorial waters unless an act of “wilful and serious pollution” occurs. This lower and less precise threshold could result in a lack of uniformity in approach across Member States. As all member States have implemented MARPOL into their national laws and have already provided sanctions (including criminal), these may continue to be applied in relevant cases.

Both the International Group and the International Chamber of Shipping engaged extensively with the EU Commission in an effort to dissuade them from creating the misalignment between the ECD and MARPOL, as well as drawing attention to the lack of legal definition around the phrase “serious negligence”. Regrettably, those efforts proved to be unsuccessful.

COST OF WAR

Conflict in the Red Sea has brought massive carbon emissions increases in ocean freight container shipping, according to data released by Xeneta recently.

The Xeneta and Marine Benchmark Carbon Emissions Index (CEI), which measures carbon emissions per ton of cargo transported across the world’s top 13 trades, hit 107.4 points in Q1 2024 – the highest it has been since the index began in Q1 2018.

For containers being shipped via ocean from the Far East to Mediterranean, the CEI reveals carbon emissions increased by 63% in Q1 2024 compared to Q4 2023. From the Far East into North Europe, carbon emissions increased by 23%.

This is a direct result of conflict in the Red Sea region, which escalated in December and has seen most ocean freight container services avoid the Suez Canal due to the threat of attack

by Houthi militia.

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Emily Stausbøll, Xeneta market analyst, says: “We are all aware of the human and economic cost of war, but this data demonstrates there is also price to pay for the climate.

“Containers being shipped to the Mediterranean from the Far East travelled 9,400 nautical miles on average in Q4 before the escalation in the Red Sea. They are now sailing an additional 5,800 nautical miles due to diversions around the Cape of Good Hope in Africa, with the inevitable consequence of more fuel being burned.

“Ships are also being sailed at higher speeds in an attempt to make up time due to the longer distances, which again results in more carbon being burned.”

Data released by Xeneta also reveals disruption in the Red Sea has pushed some shippers into using air freight to protect supply chains.

With the largest ocean freight carriers still choosing to avoid the Red Sea, cargo from the Far East is now arriving via ocean at ports such as Jebel Ali in the Arabian Gulf before being flown out of Dubai Airport for onward transportation to Europe and North America.

As a result, air cargo demand from Dubai Airport to European destinations increased by 190% in March compared to the same month in 2023.

Stausbøll says: “Not only is air freight more expensive than ocean freight it is also far less sustainable, so this shift to hybrid sea-air services via the Middle East will result in increased carbon emissions per ton of cargo transported.

“Shippers are also now once again using rail services through Russia to transport goods from the Far East to Europe, which similarly to air freight, is more carbon intensive than ocean freight shipping.

“Ocean freight container shipping is only one sector, but this clearly demonstrates the massive impact war can have on carbon emissions and the climate.”

The deterioration of carbon emissions performance comes at a time when the International Maritime Organization (IMO) is working towards

net zero in global ocean freight shipping by or around 2050.

2024 has also seen the introduction of EU-Emissions Trading Scheme (EU ETS) regulations which require ocean freight service providers to pay a subsidy based on the amount of carbon emitted on sailings to and from European ports.

Stausbøll says: “The initial IMO targets are based carbon intensity rather than actual emissions so longer sailing distances won’t necessarily have a negative impact on these measurements.

“However, this peculiarity in the way the IMO records carbon performance cannot hide the fact that conflict has the potential to have a detrimental impact on the sustainability of global supply chains.

“Longer sailing distances will also see an increase in the cost of ocean freight shipping. As well as needing more fuel to sail around Africa, higher CO2 emissions will result in a higher EU ETS bill for ocean freight carriers.

“Carriers will do what they can to pass these costs on to the businesses shipping the goods, whether that is through increasing ocean freight shipping rates or additional surcharges – either way there is a financial price to pay.

“With geo-political conflict and major international incidents such as the covid-19 pandemic becoming a seemingly more regular occurrence in recent years, there is a lot to consider in terms of how ocean freight shipping responds to protect supply chains while also meeting carbon emissions targets.”

EMISSIONS MANAGEMENT

Global shipping company Ocean Network Express (ONE) has launched its reduced emissions shipping service – ONE LEAF+, designed to meet the shared decarbonisation aspirations of the shipping industry. ONE LEAF+ offers customers the opportunity to proactively manage their own emissions and minimise environmental impact across the value chain.

ONE LEAF+ offers customers a range of benefits, including: » Reduced carbon footprint: ONE

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will deploy regulation-compliant alternative fuels on designated vessels, allowing customers to reduce Scope 3 greenhouse gas (GHG) emissions on their shipments with ONE. » Added transparency: with ONE LEAF+, customers will receive certification indicating the CO2e savings verified by an independent third-party verifier for their shipments with ONE, empowering them to track their progress towards sustainability goals. » Enhanced partnerships: ONE will continue to collaborate with likeminded partners committed to sustainability initiatives.

“At ONE, we are fully committed to our target in achieving net-zero GHG emissions by 2050,” says Gilberto Santos, senior vice president, global commercial service management at ONE. “The launch of ONE LEAF+ underscores our commitment to sustainability and provides our customers with the tools and transparency they need to make informed choices about their Scope 3 GHG emissions.”

Ocean freight container shipping is only one sector, but this clearly demonstrates the massive impact war can have on carbon emissions and the climate

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CONTROL PACKAGE

Lloyd’s Register’s new report, Fit for 55: Managing compliance and optimising operations under the EU’s new regime, delves into the intricacies of the EU’s new regulations affecting shipping from 2024 onwards. It provides a comprehensive overview of the new EU Emissions Trading System and Fuel EU Maritime regulations, outlining the key compliance requirements and potential penalties.

It also delves into the broader implications of the ‘Fit for 55’ package, encompassing the Alternative Fuels Infrastructure Regulation (AFIR), Revised Renewable Energy Directives (RED III) and Carbon Border Adjustment Mechanism (CBAM) .

The report offers actionable insights and recommendations for minimising exposure to carbon prices and penalties, highlighting the importance of effective fleet management and utilisation, strategic routing, charter agreements and efficient emission trading strategies.

To download the report, visit: tinyurl.com/CSI-LloydsFit55

SINGAPORE’S GREEN BOOST

Singapore-registered vessels will be required to contribute a significant €330m share of Asian shipping’s total emissions liabilities under the EUEmissions Trading Scheme (EU ETS),

underlining the importance of the Lion City as a key maritime hub for both global trade and decarbonisation, according to OceanScore.

The Hamburg-based maritime technology firm’s modelling analysis shows that 5.5m EU Allowances (EUAs), or carbon credits, will have to be surrendered for some 1,120 liable vessels registered in Singapore once the EU ETS is fully implemented in 2026.

The cost calculation, which is based on the current carbon price of €60 per tonne of CO2, accounts for around a third of €1bn in total emissions liabilities for Asia-based players previously estimated by OceanScore.

The volume of EUAs required of Singaporean players amounts to roughly 7% of nearly 80m EUAs to be surrendered by shipping globally, with the share of EUAs for companies domiciled in the island nation expected to rise by about 3% annually, based on historic data modelling.

This means Singapore is second only to China and Hong Kong, together with Taiwan, in having the highest number of EUA commitments among non-European countries and is also ahead of non-EU European nations like the UK and Norway, which will have to surrender 4.4% and 3.8% of global EUAs, respectively.

“These figures clearly demonstrate

OceanScore’s co-Managing Director Albrecht Grell © OceanScore

the importance and continued growth of Singapore as a magnet for international shipping due to the advantages of its geographical location, as well as world-class port infrastructure, a diverse maritime services cluster, business incentives and green shipping initiatives,” says OceanScore’s co-managing director Albrecht Grell.

Singapore’s strategic position along the Strait of Malacca – a heavily trafficked waterway that connects the Indian and Pacific oceans for ships sailing between East Asia and Europe – reduces voyage distances, fuel consumption and transit times for ships, which contributes to making Singapore an economically attractive location for maritime activities.

The port is one of the world’s busiest shipping hubs, with annual tonnage arrivals increasing 9.4% to a record 3.09bn gross tonnes last year, reflecting growth across all ship segments despite a global trade slowdown, while container throughput grew by 4.6% to a new high of 39.01m TEUs in 2023, according to the Maritime and Port Authority of Singapore (MPA).

Mirroring this growth in traffic, the Singapore Registry of Ships surpassed the 100 million grosstonnage milestone for the first time earlier this year, with a total of around 4,000 vessels now registered, while Singapore hosts more than 180 international shipping groups, the MPA states.

Grell says that 20% of Singapore’s EUA contribution will be paid for by four major container lines that have set up management units in Singapore – CMA CGM, K Line, MOL and NYK, with CMA CGM alone accounting for more than 10% of all Singapore’s EUAs. “The fact that another 25% of EUAs can be attributed to just six of the largest foreign-owned third-party ship managers active in Singapore underlines its attractiveness as a global shipping hub,” he adds. Among ship management companies active in Singapore are Anglo Eastern, OSM Thome, Fleetmanagement, Columbia Ship Management, Bernhard Schulte and others.

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The number of liable Singaporeregistered vessels represents around 9% of the total 12,500 cargo and passenger ships above 5,000gt that are currently subject to the EU ETS. The EUA cost burden per Singaporean vessel is though below that of the average vessel in European trade due to both fleet mix differentiation – with EU-registered cruise and ropax vessels having higher emissions intensity – and the fact voyages to/from Europe are liable for 50% of emissions, versus 100% for those between European ports that are undertaken more frequently by EU-domiciled shipping companies, according to OceanScore.

Excluding cruise and ropax, the proportion of Singapore’s EUA liabilities is similar to that of Europe for the main ship segments, with container vessels accounting for 29% of its EUAs and tanker and bulk shipping 19% each.

But Grell points out an “interesting anomaly” is that 11% of all EUAs to be contributed by Singaporean shipping are caused by emissions during port calls in Europe, versus an average of 6% for EU-registered vessels, across all ship types and segments.

“Given the price of emissions will only increase, this is worth exploring,” he says.

OceanScore is now supporting a growing number of non-European shipping companies with EU ETS compliance through its web-based digital application ETS Manager, an end-to-end management solution for tracking, allocation and accounting of EUAs to simplify complexity and mitigate risk.

The firm, which is soon set to open a representative office in Singapore, currently serves more than 70 shipping companies worldwide, representing more than 1,000 vessels.

The Singaporean authorities, including the MPA, are taking a leading role in decarbonization of shipping through initiatives such as bunkering standards and infrastructure to promote alternative fuels and a local carbon tax. And Grell believes EUA costs exposure will further incentivize investments by locally registered shipping companies in carbon-reduction technologies to cut

emissions, in line with the purpose of the EU ETS. “With its many leading shipping companies, relevant initiatives and an innovative maritime cluster, Singapore is taking a forward-leaning approach to promote green operations and is wellprepared to succeed in an environment where emissions are increasingly impacting the bottom line,” he says.

Asian emissions bill

Asian shipowners with vessels sailing to and from Europe are likely to face estimated emissions liabilities of over €1bn once the EU Emissions Trading System (EU ETS) is fully implemented, with companies registered in China and Singapore bearing the highest burden, according to OceanScore.

OceanScore has calculated that Asia-based Document of Compliance (DoC) holders will ultimately have to surrender a total of between 15-16m EU Allowances (EUAs), or carbon credits, for voyages to and from the EU that are liable for 50% of emissions, while port calls and transits within the EU are liable for 100% of their emissions.

OceanScore estimates EU ETS costs for Asian owners of around €500m this year when they will be liable for 40% of their emissions, rising to 70% in 2025 and 100% in 2026 under the three-year phase-in of the regulation.

The EU ETS, implemented from 1 January 2024, will affect around 4,000 Asian-flagged vessels, or about one-third of the total 12,500 cargo and passenger ships above 5000gt that are currently subject to the EU ETS, according to the company.

These are owned or operated by 400 DoC holders, including major players like China’s COSCO, Hong Kong-based Anglo Eastern Ship Management and South Korean HMM, with around half of affected vessels operated by non-EU DoC holders.

The total €1 billion cost estimate for Asian shipping, based on the expected volume of EUAs set to be surrendered by regional DoC holders from 2026, is contingent on the volatile carbon price that is currently at a relatively low level of around €55 per tonne of CO2 after fluctuating between €80-100 last year.

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The carbon price is dictated by supply and demand for EUAs, with the volume of allowances available for trading set to be gradually reduced over time under the cap-and-trade system to incentivise investments in measures to cut ship emissions.

OceanScore’s co-managing director Albrecht Grell says a total of nearly 80m EUAs will have to be surrendered by the shipping industry once the EU ETS is fully phased in, of which 40% will come from non-EU companies, also including the UK, Norway and Turkey.

OceanScore forecasts that, at full phase-in, around 5.5m EUAs will have to be surrendered by Chinese and Hong Kong-based entities and 5.4m

by Singaporean players, with the remainder coming from Japan (1.6m), South Korea (1.2m) and India (1.1m).

When other Asian countries such as Thailand and Malaysia are included, the total number of EUAs required rises to 20m.

In a breakdown of costs exposure for individual companies, OceanScore has calculated that a company with 15 vessels would be required to surrender just over 300,000 EUAs, which would equate to a cost of €16.5m based on the current carbon price.

Voyages into and out of Europe account for around 59% of emissions covered by the EU ETS, versus 41% for voyages and port calls within Europe, but will still have a lower cost burden than domestic European traffic due to the 50% liability factor.

Long-haul voyages into the EU can be broken up by stopping at transshipment ports to reduce emissions exposure, but Grell says “we don’t see many people seriously discussing this” due to the negative impact on fuel costs, waiting times, additional sailing distance and other inefficiencies.

Asian players represent around 25% of the overall 1,700 DoC holders that now must relate to the regulation, which is in particular focusing the minds of European owners with an EU-centric deployment pattern for their vessels.

“Consequently, we see that European owners generally have started to prepare earlier for compliance with the EU ETS as it

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Asian shipping companies face significant emissions cost exposure from the EU ETS (illustration: OceanScore)

is closer to home and is therefore perceived as having a more tangible financial impact on their operations,” Grell says.

“It is also typically easier for companies domiciled in the EU to set up Union Registry accounts required for handling EUAs, as well as gain access to trading platforms, which is more difficult for those based in non-EU countries given sometimes quite complex Know Your Customer processes.”

As well as these administrative obstacles, he claims non-EU players have been put at a disadvantage by having to play catch up with the late finalisation of Implementation Acts by the EU to avoid being wrongfooted when having to collect and later surrender EUAs. Among these measures, the shipowner has been assigned responsibility for reporting emissions and surrendering EUAs, although it can be transferred to the technical manager if an agreement along these lines is in place.

OceanScore is now assisting both EU and non-EU-based shipping companies in setting up administrative systems to navigate the complexity of the EU ETS, predicated on its webbased ETS Manager that provides an end-to-end solution to support management and trading of EUAs. This efficiently runs the process of allocating, requesting and collecting EUA from charterers based on different charter parties, with full transparency on all related data flows. Furthermore,

ETS Manager monitors Union Registry accounts for EUAs and minimises risks with open EUA positions by identifying missing allowances that need to be collected.

“It is vitally important that non-EU actors engaged in trading vessels to and from the EU also become fully up to speed with the regulation and put systems in place to manage and mitigate their EUA liabilities,” Grell says.

“This requires a stepwise approach by opening Union Registry accounts, amending the Shipman management agreement, incorporating relevant EU ETS clauses like those from Bimco in the charter party and securing access to EUAs. And, not least, finding a trustworthy and reliable partner with the necessary expertise to digitalise the various processes efficiently, as doing this in-house can be risky, laborious and expensive.”

REPORT FOCUSES ON SAR

The International Maritime Rescue Federation (IMRF) has released its #FutureSAR Report as part of the organisation’s ongoing campaign to raise awareness of the impacts and effects of climate change on global maritime search and rescue (SAR) operations.

The report marks the completion of the first phase of the IMRF #FutureSAR initiative, which is funded and supported by Lloyd’s Register Foundation. The initiative’s purpose is to identify challenges related to climate

change for the global maritime SAR industry and provide guidance and best practices for future rescue operations, focusing on adaptation.

The report is structured around the impacts on different sectors of SAR, including administration, vessel design, equipment, personnel and training, operations, stations, and units, ensuring that all aspects of the wide remit of the maritime SAR sector are focused on.

The #FutureSAR Report covers the most significant expected impacts of climate change on maritime SAR, considering each scenario’s speculative nature and different likelihoods.

Subsequent phases of the initiative will tackle uncertainties and propose more solutions.

Caroline Jupe, CEO of the IMRF, says: “The report has spurred discussions on the possibility of implementing global collaborative efforts, which could greatly improve the sharing of information and best practices related to climate change within the maritime SAR community.

“One proposed solution is establishing an international database to collect and distribute data gathered

by SAR organisations worldwide to improve situational awareness of climate change-related risks.

“The process of adapting and becoming resilient is a neverending journey that requires constant assessment, education, and collaboration across the international maritime SAR community. This report not only establishes a basis for such endeavours but also urges all parties concerned with maritime safety and environmental conservation to take action,” she adds.

Jan Przydatek, director of technologies at Lloyds Foundation, says: “As climate change continues to reshape the maritime environment, maritime SAR organisations must remain agile and forward-thinking to adapt to these changes. The IMRF’s #FutureSAR initiative, through this report and the associated events, plays a pivotal role in equipping SAR organisations with the basic knowledge and approaches to navigate the challenges ahead, ensuring the safety and protection of lives in maritime

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The #FutureSAR report covers the most significant expected impacts of climate change on maritime SAR, considering each scenario’s speculative nature and different likelihoods

environments around the world.”

The guidelines presented in the IMRF’s #FutureSAR Report show that the need for robust international and national planning, trained collaboration, and commitment to common aims and procedures is more critical than ever if the maritime SAR community is to successfully adapt to the future challenges of climate change.

To download a copy of the report, visit: tinyurl.com/CSI-IMRFSAR

ENERGY FACILITY

Associated British Ports (ABP) has announced it has reached a significant milestone in the construction of their Lowestoft Eastern Energy Facility (LEEF), at its Port of Lowestoft, with the commencement of capital dredging of the Outer Harbour and channel approaches.

LEEF represents significant investment by ABP, supported by the Towns Fund, which will deliver stateof-the-art infrastructure to meet the current and future demands of the offshore energy industry.

The capital dredge, totalling 170,000m3, is underway in the Outer Harbour and approach channels, and will facilitate minimum depth berth pockets of 7.5m. This depth will mean Lowestoft is able to accommodate the next generation of offshore support vessels, marking a crucial step towards transforming Lowestoft into an offshore energy hub.

The Boskalis Suction Dredger, Sospan Dau, commenced dredging operations on Monday 29 April, and will be supported by small survey

craft Sea Eagle. This follows initial works that have been undertaken by grab dredger UKD Cherry Sand. The whole dredging operation is due to complete in August 2024 and is being carried out with a commitment to the highest environmental standards, and in accordance with ABP’s works’ marine licence.

Julian Walker, regional director, ABP, says: “The commencement of capital dredging signifies a pivotal moment in the realisation of the Lowestoft Eastern Energy Facility (LEEF). LEEF is not just a port project; it is a strategic investment in the future of Lowestoft and the wider energy sector.

“ABP’s significant investment in the LEEF project signals our commitment to equipping Lowestoft – the UK’s most easterly port – with the capabilities required to thrive in a rapidly evolving energy landscape, and enhance its capacity to service the growing Southern North Sea energy sector.”

David Baskin, senior contracts manager at McLaughlin & Harvey, the contracted construction firm for LEEF, comments: “We are pleased to have reached this important milestone in the project, having recently completed marine piling and tie rod installation.

Works are now well underway and on track to complete by September 2024.”

NEW NUCLEAR GROUP

A global group of leading companies with a common interest in developing nuclear energy solutions for the maritime sector have announced the formation of Nuclear Energy Maritime Organization (NEMO).

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By bringing together stakeholders with relevant expertise, NEMO aims to assist nuclear and maritime regulators in the development of appropriate standards and rules for the deployment, operation and decommissioning of floating nuclear power.

NEMO will provide expert guidance and promote the highest safety, security, and environmental standards in the development of this nascent industrial sector, fostering collaboration, knowledge sharing, and advocacy among its members and stakeholders.

Advanced nuclear technologies deployed at sea can reduce environmental impact, enhance social responsibility, and increase economic competitiveness. NEMO aims to provide a platform for its members to network and facilitate a functional connection between regulators to foster development and exchange best practices.

NEMOs inaugural chairman, Dr. Mamdouhel-Shanawany, former head of the IAEA Safety Assessment Section and Global Nuclear Directorat Lloyd’s Register, says: “We are very excited to launch NEMO, which we believe will be a valuable and influential voice for floating nuclear power. We invite all stakeholders who share our vision and values to join us and becomepart of this dynamic and forwardlooking alliance.”

Membership of NEMO is open to companies with a bona-fide link to the floating nuclear power segment and who meet the organisation’s membership criteria, whichinclude a commitment to sustainability, innovation, and excellence.

The organisation plans to hold regular events, workshops and webinars, and produce publications for its members and the wider public. The organisation also intends to collaborate with other industry associations, government bodies,academic institutions, and civil society organisations to advance the cause of floating nuclear power.

For more information about NEMO, please visit www.nemo.ngo or contact secretariat@nemo.ngo

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COMPANY PROFILE

PURETEQ: NAVIGATING ENVIRONMENTAL TRANSFORMATION

Many perceive exhaust gas cleaning systems (known as scrubbers) as a temporary technology. However, this perception is changing as it becomes evident that we neither have the energy nor the capacity to produce e-fuels at scale for many years to come.

Only a fraction of the required green fuels seems to be available in the foreseeable future, necessitating a focus on future-proof seaborn logistics that are cost-effective and,

at the same time, comply with stricter global regulations.

A scrubber system is an international acknowledged technology that have existed for more than 100 years and remain a valid and everlasting technology with numerous applications. Scrubbers were developed to meet the International Maritime Organization’s (IMO) regulations to reduce greenhouse gas (GHG) emissions from international shipping, but few realise that using

higher sulphur fuel oil (HSFO) or heavy fuel oil (HFO) with a scrubber system in fact appears to be the most costefficient and environmentally beneficial way to reduce emissions, considering the well-to-wake GHG emissions of marine fuels in general.

Despite their proven value in combating air pollution and costeffectiveness for the shipping industry, scrubbers are encountering political opposition in the climate debate.

As a tech company, we believe it

A SIMPLE SOLUTION TO A GLOBAL CHALLENGE

The PureteQ scrubber system is partly carbon-capture-ready and may thus be upgraded later if feasible

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COMPANY PROFILE

is necessary to look at the impact of technologies on the environment from a more holistic perspective.

Instead of implementing outright bans, regulations for emission limits should be tightened, allowing us as a company to optimise the technologies, accordingly, says PureteQ CEO Anders Skibdal.

Overall, scrubbers remain a vital technology irrespective of fuel, as even new e-fuels require scrubbing for unintended emissions. Additionally, scrubbers are integral to future carbon capture technologies.

A FUTURE WITH ONBOARD CARBON CAPTURE

Committed to combating climate change, PureteQ Group continually enhances existing technologies and invests in research and development within the fields of carbon capture and power-to-x. The PureteQ scrubber system is partly carbon-capture-ready and may thus be upgraded later if feasible and the infrastructure for captured carbon is made available at major trading ports on a worldwide basis.

According to Skibdal, we are witnessing an increase in demand for onboard carbon capture andtorage (OCCS), and hardly a day passes without discussions with shipowners and other stakeholders on OCCS. We will soon witness the first operational amine-based systems, but the value chains remain unclear and legislation must catch up with the development of new technologies.

Energy Efficiency Design Index (EEDI), Energy Efficiency Existing Ship Index (EEXI), and Carbon Intensity Indicator (CII) still lack a ‘negative C’ in the formula, so that shipowners investing in OCCS will receive credit for the captured and stored CO2. Container ships may be the first to adopt this new technology, given that they already have some infrastructure in terminals for handling ISO containers with liquid CO2.

PureteQ Group is currently commissioning its subsidiary company ESTECH’s patented technology called CAPPOW – a combined carbon capture and power-to-x plant, with plans for the grand opening in September this year.

Part of this technology will be offered to ships in 2026.

ENERGY-EFFICIENT TECHNOLOGY

PureteQ specialises in designing and maintaining scrubber systems. With established offices in Europe and Asia and extensive expertise in exhaust gas cleaning, PureteQ is a leading service provider for all scrubber brands globally. A team of marine engineers assists shipowners and operators in safeguarding continuous operation, reliability, and MARPOL compliance of scrubbers.

While PureteQ scrubber systems are known for their high energy efficiency, even less efficient ones can be finetuned to lower electrical consumption caused by excessive scrubbing. To support this effort, we’ve introduced Pure-SPOT, a cloud-based scrubber performance optimisation tool for enhancing system performance and generating reports. Interest in this free platform is growing, as it enables shipowners and operators to reduce fuel costs.

PureteQ maritime scrubbers now come as outdoor weather-proofed models for easy installation of existing superstructures and can handle loads of up to 100MW. They are equipped with a user-friendly control system allowing real-time remote access and support. The energy performance is superior due to the patented hydrodynamic fluid distribution system, which eliminates interior obstructions.

Installation of PureteQ scrubber systems will not only reduce fuel costs, but also substantially reduce the emission of particulate matter and black carbon, also emitting less CO2 well-to-wake as a side benefit.

For more information, contact: PureteQ A/S Sverigesvej 13, 5700 Svendborg, Denmark, Tel: (+45) 40 17 14 00 Email: anders@pureteq.com pureteq.com

PureteQ specialises in designing and maintaining scrubber systems

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Innovative Emission Reduction Te c h n o l o g i e s f o r t h e M a r i n e S e c t o r Clean Marine helps shipowners move towards a greener future with a range of innovative products that improve operational efficiency, reduce fuel consumption, and capture harmful emissions.

Empowering shipowners to stay complaint whilst lessening the effect of their operations on the planet.

Major Shareholders

Class Societies

• • • • • • • •

Exhaust Gas Cleaning Systems Air Lubrication Systems 280+ completed projects 60+ new builds, 220+ retrofits 40,000sqm state-of-the-art facility Global coverage After-sales care Leading original equipment manufacturer for 20 years

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EXHAUST GAS CLEANING SYSTEMS

Keeping scrubber pipes in top condition requires an efficient maintenance regime

Old scrubber pipe corroded by the highly acidic effluent from the scrubber

PIPE DREAMS Shipping group RINA recently published an account of work undertaken to carry out scrubber overboard pipe repairs on tankers, roro ships and container vessels in Belgium, the Netherlands, and Germany. In total, 10 corroded pipes were replaced on six ships while clad welding repairs were done on two vessels.

As RINA explains, exhaust scrubbers can severely corrode the pipes of the scrubber, which can result in water ingress if not handled quickly enough.

“In all cases the pipes were protected with Ecospeed. This product is produced

by Hydrex’s sister company Subsea Industries. Ecospeed is highly chemically resistant. Considering the nature of the process taking place inside a scrubber, this is essential for a lasting protection of the pipe. Ecospeed can also be used to protect a newly installed scrubber system from day one.

If no welding work needs to be carried out in close proximity to the coated area, new

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Fifty years of experience allows us to arrange this without causing any hindrance for the customer

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pipes are coated with Ecospeed in advance.

If this is not an option, the coating can also be applied after the new pipe is installed.

“We know how important it is for ships to keep their schedule. For this reason, we split up operations like this in several stages if needed. These can be carried out in different ports to fit the customer’s need. Fifty years of experience allows us to arrange this without causing any hindrance for the customer.”

Because of the location of the damaged parts of the pipes, welding work on the inside shell plating of the hull was needed.

In order to provide access for this, the outside of the overboards could not be sealed off with a simple patch. Custom cofferdams were therefore designed and fabricated at our workshop based on the drawings sent by the customers.

The same procedure was followed on each occasion.

After arriving at the ship, the team first performed an inspection of the damaged areas on both the waterside and the onboard side of the hull. They then installed the cofferdams over the outlets of the pipes. This allowed welders to safely work on the shell plating from inside the vessel.

The affected pipes were then removed and replaced with new ones. These were positioned and secured with a full penetration weld. Next, an independent inspector carried out NDT testing of the weld seams.

This was done for the pipes of four tankers, a container ship and a roro vessel.

The corrosion on the scrubber overboard pipes of the other two ships was less severe. It was situated on the flange weld seams. A full replacement of the pipes was not needed.

In both cases diver/welders ground away the affected area before rebuilding it back to its original thickness with clad welding.

When the welding was complete the surface was polished and a magnetic particle inspection (MPI) was carried out by an independent inspector.

The inside of the pipes was then coated with Ecospeed to keep them safe from further corrosion.

RINA offers a full package to owners that are experiencing similar damages. It replaces or repair the corroded exhaust pipe while the vessel stays on schedule.

EXHAUST GAS CLEANING SYSTEMS

Hydrex diver/welder during installation of a new scrubber pipe.

All welding work is done following class approved procedures

New scrubber pipe. The inside was coated with Ecospeed

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COMPANY PROFILE

ME PRODUCTION: REMOVING 90% OF HARMFUL EMISSIONS ME Production was established 10 years ago, with the merging of three local companies – Marine Exhaust Technologies, Mekanord and Toppenberg – with the intention of consolidatng the marine equipment portfolio of exhaust gas cleaning, gearboxes and other products for the maritime industry.

“The need for clean air and the desire to reduce the use of fossil fuel has been, and continues to be, the driving force behind our continuing innovation,” explains ME Production CEO Jens Peter Faldt.

In 2023, exhaust gas cleaning solutions were still the core business at the Danish company, which also has a propulsion business that offers hybrid and conventional marine gearboxes.

The main difference in 2023 compared with earlier years is that this year’s record result was

achieved mainly by the development of new sustainable technologies and expanding service activities.

According to Faldt, the positive result is driven by costumers having an increased focus on the environment.

Emmissions’ rules are also becoming stricter and ME Production can deliver the equipment needed for customers to comply with new and tightening regulations.

“With our equipment, our customers are able to reduce their exhaust emissions up to 90%. This is an effect that can really move something on their environment footprint,” Faldt explains.

Fossil fuels cannot be phased out in an instant, as the infrastructure is not in place yet. Innovative solutions can and will make the required changes for environmental impact in the maritime business, and contribute to the green transition,” concludes Faldt.

ME Production CEO Jens Peter Faldt

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FUEL PRICES ARE STILL A DRIVING FACTOR

Today, the company is best known as a manufacturer of high-quality exhaust gas cleaning systems, which have become an even more important technology in the maritime industry due to the increasingly stricter regulations for the emission of sulphur as well as other harmful substances.

The maritime business can be very conservative when it comes to implementing new technologies. At the same time, the price of oil is a driving factor as to whether shipowners will invest in exhaust gas cleaning systems. In other words, if the price of oil is low, shipowners will not invest.

Recently, the price of oil has been relatively high and the need for ME Productions’ exhaust gas cleaning solutions have increased.

ME Production is currently venturing into a new business area utilising the experiences gained from exhaust gas cleaning technology

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COMPANY PROFILE

ME Production is currently venturing into a new business area utilising the experiences gained from the exhaust gas cleaning technology.

“Going forward, we need to be present on land as well as sea.

Benefitting from 10 years of experience on how to gather the heat from exhausts, we currently have a heat recovery project, in collaboration with the municipality in Frederikshavn.

Together with Danfoss, we have created a really great heat pump system,” says Faldt.

The heat pump was inaugurated about a month ago, which was the first venture in the new branch of the business, and the company has received many inquiries from around the country already. The goal is for around 15% of the turnover to be generated from this landbased venture.

ALMOST LIMITLESS POTENTIAL

EXPANDING THE GLOBAL PRESENCE

ME Production is opening additional service departments around the world to be close to its customers.

The company’s headquarters, located in Frederikshavn, houses production, administration, sales, development and service departments. As the maritime business is international and as customers need fast service attendance, the company has spent the past few years expanding outside of Denmark.

“Last year we established a service location in Singapore, and recently also a service centre in Shanghai, China. We are currently deciding on the best location for a service centre in the Mexican Gulf to be closer to the shipowners in that region.

Furthermore, ME Production is looking to establish a service department in the Mediterranean area soon,” says Kim Pedersen, senior service manager, ME Production.

The intention is to be close to customers, of which approximately 8590% are located outside of Denmark.

In line with this global profile, the company has created a vision on “being the leading global force towards a cleaner and healthier future”.

NEW SOLUTIONS GROW THE GREEN PORTFOLIO

The launch of new products is going to fuel the future growth of the company.

The green agenda has been embraced by the maritime industry, and CEO Faldt also reports of a record good start to 2024.

“We have several new products and solutions in the pipeline, which we are very excited to introduce to our customers later this year. Among these are a software solution, enabling shipowners to acquire data from the ships systems to see where they are using energy and to supply them with a roadmap for optimisations,” says Faldt.

“Our exhaust gas cleaning systems and our energy-optimisation systems were created to save fuel, while protecting the marine environment. To this day there is almost limitless potential in the matter of reducing the global emission of CO2, nitrogen, and sulphur in the atmosphere,” says Faldt.

He is not expecting the shipping industry to fully embrace alternative fuel any time soon, as the infrastructure will not be fully available as yet. Solutions for exhaust gas cleaning, and for improving propulsion efficiency, will be required by the market for the foreseeable future.

For more information, contact: ME Production Sandholm 7 DK-9900 Frederikshavn Denmark Tel: +45 96 20 14 00 Email: info@meproduction.dk CVR/VAT: 18534037 EAN nr. 5790002524745 meproduction.dk

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Forward

to extended engine protection even under extreme conditions

Our Castrol TLX range offers maximum operation between service intervals and excels in demanding applications. It provides excellent engine cleanliness and exceeds OEM limits for deposits.

Find out more at castrol.com/marine

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ALTERNATIVE FUELS

The shipping industry has major decisions to make about which route to take when it comes to alternative fuels – whether these be new products or development of existing supplies

POWERING THE FUTURE Hy2gen, the global developer, financier, builder and operator of plants for the production of renewable hydrogen and hydrogen derivatives has signed a memorandum of understanding (MoU) with offshore wind energy developer Ocean Connect Energy (OCE) for the mutual investigation of the potential to power renewable hydrogen production from offshore wind.

The MoU formalises a collaboration between the two companies to identify, evaluate, and develop favourable locations to power Hy2gen’s renewable fuel production from the gigawatt-scale offshore wind energy generation that OCE develops in the US and worldwide.

Hy2gen USA and OCE have formed a 10-month working group to identify and mature high-capacity offshore wind energy areas where project development may be held back by constrained grid transmission, low electricity demand, or other factors.

“Where renewable hydrogen production can

be built near the point of interconnect from offshore wind energy generation, we have the potential to create predictable and lasting demand for the energy.

This makes the need for new grid transmission less urgent and the need for infrastructure investment less substantial, while accelerating wind energy project execution,” says David White, president of Hy2gen USA. “Renewable hydrogen can change the paradigm of where offshore wind is developed,” adds Kevin Banister, chief executive officer of Ocean Connect Energy.

The research is part of Hy2gen’s strategy embracing the US’s clean hydrogen regulatory framework established by the 2022 Inflation Reduction Act and subsequent guidelines anticipated from US Department of Treasury, as well as the regulatory framework in the EU. Hy2gen is committed to producing 100% renewable fuels meeting the highest industry sustainability standards. To address

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the three pillars of temporality, additionality, and regionality, which are mandatory for renewable fuel classification, the integrated codevelopment of offshore wind energy projects and power-to-X projects provide a solution.

“With its high capacity factor and ability to be built at scale, offshore wind can deliver an excellent energy profile to match the electricity demand of the next key element of the energy transition: renewable hydrogen production,” says Banister. “Done right, pairing the two can result in efficient project development and capital allocation.”

BIOFUEL TRIAL

Kawasaki Kisen Kaisha (K Line) has conducted its first trial use of marine B100 biofuel, which was supplied by global energy management company World Fuel Services on car carrier Apollon Highway.

The marine B100 biofuel was delivered to the vessel at the Belgium port of Zeebrugge at the end of March this year. After leaving Europe Emission Control Area, the vessel started using the B100 biofuel. The trial was completed on 30 April.

Marine biofuel has the potential to become an environmentally friendly alternative fuel and will be able to reduce CO2 by about 80-90% in the well-to-wake (from fuel generation to consumption) process without changing current engine specifications.

The trial was conducted using marine B100 biofuel composed of 100% biodiesel.

In K Line’s Environmental Vision 2050 – Blue Seas for the Future, the company set the 2030 interim target of improving CO2 emission efficiency by 50% over 2008, surpassing the International Maritime Organization target of 40% improvement.

Furthermore, it set its new target for 2050 as ‘The challenge of achieving net-zero greenhouse gas (GHG) emissions’.

As an action plan, the company says it will continue to work on the introduction of new fuels that have a low environmental impact and take on the challenge of achieving the targets

set forth. As an action plan for GHG reduction, zero-emission fuels such as ammonia and hydrogen fuels are being introduced, as well as carbonneutral fuels such as bio-LNG and synthetic fuels.

NEW GENERATION

Vessel Kaiser Friedrich was built in 1886. It recently marked its return to service with a ceremonial christening in central Berlin. In a bid to preserve its legacy, its owners refitted the historic 30-metre vessel with a modern, emission-free electric drive system by the world leader in electric mobility on the water, Torqeedo.

The Kaiser Friedrich, a twinscrew steamship, plied Berlin’s waters for almost 80 years before it was decommissioned in 1967 and converted into offices and residential space. In 1986, the German Museum of Technology purchased the 100-ton boat and restored it to its original appearance. Its engines, which used more than 150 litres of diesel per hour, made operation both ecologically and economically unviable.

In 2022, Volker Marhold and Julius Dahmen, who both have experience converting historic boats to electric propulsion, purchased the Kaiser Friedrich. In close collaboration with Torqeedo’s Customized Solutions team, the conversion to an ultraefficient electric drive system with twin Deep Blue 50kW inboard motors and a 400kWh Deep Blue battery bank was completed by the Tangermünde Shipbuilding and Development Company in Genthin, Germany.

Dahmen, co-owner of the 138-yearold vessel and operator of Berliner Welle, a company that provides a variety of historic boats for excursions and events, says: “Whisper-quiet, environmentally conscious and free of local emissions, the Kaiser Friedrich will again be available to the people of Berlin. This is the third Berliner Welle excursion boat that we have converted to Torqeedo electric drives, and we look forward to continuing our collaboration.”

“The Kaiser Friedrich is a longtime maritime landmark of the city,” says Marhold. “And now it is also a symbol

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of transformation towards the mobility of the future. And what a wonderful future for Berlin’s oldest passenger vessel, which can now once again welcome passengers to celebrate life with them while enjoying breathtaking views of our beautiful city.”

“Torqeedo’s electric drive and energy management systems for commercial vessels are transforming the world’s waterways,” says Fabian Bez, CEO of Torqeedo. “Major cities like Berlin are taking measures to reduce boating and shipping’s ecological, health and climate impacts.

“An electrification project of this size and historical significance is an important step forward,” Bez continues.

“Commercial vessels of all sizes can be cleaner, quieter and healthier for our natural and human environments.”

GAS FOR THE FUTURE

Australia’s Future Gas Strategy (FGS) highlighted a commitment for Australia to remain a reliable trading partner for liquefied natural gas (LNG), while underscoring the role of gas in Australia’s energy mix until 2050 and beyond, according to Wood Mackenzie.

This strategy may lower perceptions of ‘sovereign risk’ for investors.

However, challenges remain in attracting investment to Australia’s gas industry, including government intervention, legal challenges, and difficulties in accessing affordable capital. “A turnaround in sentiment will not be quick. In parallel, the government must be seen to support and implement this strategy, and back away from hasty interventions,” says John Gibb, research director, Australasia upstream.

The FGS prioritises the development of existing gas discoveries in basins with existing infrastructure to prevent domestic supply shortages. Dr Anne Forbes, senior analyst, Australasia upstream says: “A ‘use it or lose it’ policy on existing discoveries may be implemented to drive development of discovered gas resources. This would need careful consideration, with potential issues from misalignment of resource and infrastructure ownership, which has long stymied gas development on Australia’s North West

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Shelf, to LNG plant backfill schedules– where these long-term investments often require decades worth of gas discoveries in store.”

Additionally, the strategy commits to further releases of offshore acreage for greenhouse gas (GHG) storage assessment, which has been highly sought after in recent years. The FGS also pledges to review the offshore regulatory regime for carbon capture and ctorage (CCS) and introduce measures to further cross-border CCS. This could encourage international investment in CCS projects in Australia.

Emissions reduction is a key focus of the FGS, aligning with Australia’s commitment of reaching net-zero emissions by 2050. Reduction in gas demand will be addressed by six upcoming decarbonisation plans, while the management of unavoidable emissions will be covered by the forthcoming Electricity and Resource Sector Plan and the Safeguard Mechanism legislation.

ONE DEPLOYS E TRUCKS

Ocean Network Express (ONE) has announced that together with longterm partner Ancotrans, the company will deploy state-of-the-art Volvo FH e-trucks, to serve the transportation needs of ONE’s customers, marking a significant step in reducing carbon emissions.

Since becoming ISO 14001 certified for inland operations in 2021, global shipping line, ONE) has been offering its customers greener transport options.

One of the first deployments of FH e-trucks in the Hamburg region, the new trucks boast high-performance 540kW batteries, with a range of 320km, which can be charged overnight at Ancotrans’ facilities using 100% renewable energy. As an example, ONE’s customer Yamaha can transport cargo from the Port of Hamburg to nearby Sittensen with a minimum 50% reduction in CO2 emissions, when the trucks are charged on the road, increasing to 100% when charged at Ancotrans facilities.

Takahiro Kikuchi, managing director and region head of ONE (Europe) says: “We are dedicated to making supply

ALTERNATIVE FUELS

chains greener for our customers.

Through working together at all points of the supply chain we can collectively make a big difference in reducing carbon emissions. The use of e-trucks is just one of the many steps on ONE’s journey to achieve net zero by 2050. We thank Ancotrans and our customers for taking these steps with us.”

Arne Kraeft, country manager, Ancotrans Germany, says: “Embracing a more sustainable future, we sincerely thank ONE for joining us in the electrification journey. As we electrify our fleet, we are not only embracing innovation, but collectively contributing to a greener future.

“ONE’s commitment to join us in this transition aligns with our shared vision for a more environmentally conscious transportation industry. Together, we’re on the road to reduction, creating a better future, one container at a time.”

ONE’s goal to achieve net zero by 2050 includes scope 3 emissions from external suppliers. This can only be achieved in close cooperation with all members of the supply chain.

BIOMETHANE CONCERNS

The Methanol Institute (MI) and SEA-LNG, key representatives of the methanol and liquefied natural gas (LNG) industries respectively have expressed their deep concerns following the recent announcement by the European Commission impacting the trade of biomethane and biomethane-based biofuels such as biomethanol.

The Commission has noted the intention to exclude the automatic certification of biomethane and biomethanol-based fuels produced through mass balance chain of custody in third-party countries outside the EU gas grids within the Union Database (UDB), an IT system to trace the sustainability and origin of renewable fuels place into service in the European market.

This exclusion will severely limit the use of these critical fuels in decarbonising intra-European and international maritime transport even if these fuels were produced in accordance with EU regulations under the Renewable Energy Directive (RED).

MI, as the trade association representing the global interests of the methanol industry, and SEALNG, a multi-sector industry coalition promoting the benefits of LNG as a marine fuel, are particularly concerned about the potential impacts of these measures on competitiveness and international trade dynamics.

If this materialises, it will create a trade barrier that threatens to impede the importation of biomethane and biomethanol into the European Union, limiting the availability and increasing the costs of these fuels to the bunkering industry in Europe.

Furthermore, it may also disqualify such fuels produced using a mass balance chain of custody from non-EU gas grids, when bunkered in nonEuropean ports for use by vessels calling at European ports from being recognised under the Renewable Energy Directive (RED). Consequently, these fuels may not be able to generate credits under EU ETS and FuelEU Maritime.

In response to these challenges, MI and SEA-LNG call for the recognition of biomethane and biomethanolbased fuels produced using a mass balance chain of custody from nonEU gas grids under the UDB. They propose an urgent meeting between our representatives and those of the European Commission to discuss necessary amendments to ensure a sustainable and competitive energy future for the European maritime sector.

METHANOL DUEL FUEL

Bureau Veritas (BV) has granted an Approval in Principle (AiP) to Sasaki Shipbuilding (Sasaki) for its methanol dual fuel (DF) system applied in a 9,000dwt general cargo vessel.

The integration of the methanol DF system into a 9,000dwt ship demonstrates its feasibility for smaller-scale ships, highlighting its adaptability and efficiency as a marine fuel. Despite the existence of similar systems on larger vessels, this AiP reaffirms the potential of methanol for environmentally friendly propulsion in diverse maritime applications.

For the purpose of the AiP, Bureau

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Integration of methanol DF system into a 9,000dwt ship

Veritas conducted a comprehensive review of Sasaki’s methanol dual-fuel system, assessing its compliance with the requirements outlined in BV’s Rule Note NR 670 - Methanol & Ethanol Fuelled Ships, underscoring BV’s commitment to ensuring safety, reliability, and environmental sustainability in maritime operations.

NR 670 provides requirements for the arrangement, installation, control and monitoring of machinery, equipment and systems using methyl/ ethyl alcohol as fuel to minimise the risk to the ship, its crew, and the environment.

Alex Gregg-Smith, senior vice president and chief executive, North Asia and China, BV Marine & Offshore, says: “Bureau Veritas is committed to supporting the development and adoption of new fuels, such as methanol, as part of our broader mission to drive environmental stewardship and innovation within the industry. The adoption of methanol DF systems on vessels of this size underscores the versatility and practicality of methanol as a marine fuel. ”

FOSSIL FUEL PARITY

Sustainable shipping fuels could reach cost parity with fossil fuels as early as 2035 with the help of decisive emissions policy such as carbon taxes and emissions limits, according to a new report by technology group Wärtsilä.

The report – Sustainable fuels for shipping by 2050 – the 3 key elements of success – reveals that the EU Emissions Trading Scheme (ETS) and FuelEU Maritime Initiative (FEUM)will see the cost of using fossil fuels more than double by 2030. By 2035, they will close the price gap between fossil fuels and sustainable fuels for the very first time.

Transporting 80% of world trade, shipping is the engine room of the global economy. However, despite being the most efficient and environmental way to transport goods, it emits 2% of global emissions, equivalent to the annual emissions of Japan. Without action, this could increase by more than 45% by 2050.

In 2023, the International Maritime Organization (IMO) set a target of achieving net-zero emissions by 2050.

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Existing decarbonisation solutions, such as fuel efficiency measures, could cut up to 27% of emissions.

Wärtsilä’s report argues that sustainable fuels will be a critical step in eliminating the remaining 73%, but radical action is needed to scale them. The industry suffers from a ‘chicken and egg’ challenge – shipowners won’t commit to a fuel today that is expensive, only produced in small quantities and may be usurped by another fuel that scales faster and more affordably.

Meanwhile, it is difficult for suppliers to scale production without clear demand signals.

Wärtsilä has produced new modelling that shows a timeline of which fuels are likely to become widely available on a global scale, when and at what cost. To accelerate this timeline, the report argues that decisive policy implementation, industry collaboration, and individual operator action must coalesce to scale the production of these fuels.

Roger Holm, president of Wärtsilä Marine and executive vice president at Wärtsilä Corporation says:

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“Achieving net zero in shipping by 2050 will require all the tools in the toolbox, including sustainable fuels. As an industry, we must focus on coordinating action across policymakers, industry and individual operators to bring about the broad system change required to quickly and affordably produce a mix of sustainable fuels.

“Policy in Europe is showing just how impactful action at the international level can be, closing the cost gap between fossil- and lowcarbon fuels for the first time.”

Wärtsilä’s modelling shows sustainable fuels will be three-five times more expensive than today’s fossil fuels in 2030. As ETS and FEUM show, policy is key to closing the price gap. The report argues that policymakers should: » Maximise certainty: set an internationally agreed science-based pathway for phasing out fossil fuels from the marine sector, in line with IMO targets. » Boost cost competitiveness: adopt a global industry standard for marine fuel carbon pricing. » Collaborate: increase global collaboration between governments on the innovation and infrastructure necessary to deliver sustainable fuels at scale worldwide.

The sector must collaborate with stakeholders from inside and outside shipping. The report calls on industry to: » Initiate sector-wide procurement agreements to pool demand from multiple shipping operators. » Collaborate with other sectors: Convene with leaders in aviation, heavy transport and industry to establish a globally recognised framework for the production and allocation of sustainable fuels. » Share skills: establish an industrywide knowledge hub for the purpose of sharing expertise, skills and insights.

Every euro an operator saves in fuel costs at today’s prices could be worth three-five times that by 2030, the company says.

Holm adds: “If there is one take away from our report, it is that smaller

ALTERNATIVE FUELS

operators need not feel powerless.

They have a major role in accelerating towards net-zero emissions shipping.

Taking steps to improve fuel efficiency and invest in fuel flexibility can deliver immediate returns, reducing both emissions and operating costs. But action must be swift – we have the lifecycle of just a single vessel to get this right.”

Investing in fuel flexibility is the most financially viable way to avoid the risk of stranded assets. Wärtsilä has been developing multiple fuel options.

Most recently, the company launched the first commercially available four-stroke engine for ammonia fuel, which can immediately reduce emissions by over 70%, compared to diesel.

The report provides a roadmap for the future of sustainable fuels, identifying how the industry can more rapidly and affordably scale these fuels and achieve full decarbonisation by mid-century – within the lifetime of just a single vessel.

To download the report, visit: tinyurl.com/CSI-WartsilaReport

METHANOL WARNING

A new fire safety study by global Survival Technology solutions provider Survitec has revealed that existing fire-fighting methods used to extinguish machinery space spray and pool fires on conventionally fuelled vessels are inadequate when dealing with methanol-based fires.

This follows extensive comparative fire tests on dual-fuel marine engines using diesel oil (DO) and methanol, carried out amid growing interest in methanol as an alternative marine fuel.

“Our tests confirm that traditional water mist fire suppression mechanisms do not perform as expected on methanol pool fires and methanol spray fires. A completely different approach is required if these ships are to remain safe,” says Michal Sadzynski, product manager, water mist systems, Survitec.

Methanol is a methyl alcohol (CH3OH) that burns in a completely different way than hydrocarbon fuels and has a much lower flashpoint of 12°C (54°F). However, while there are

established fire safety regulations and testing standards for diesel fuels, clear test protocols for alcohol-based fuels such as methanol and ethanol have yet to be developed.

“We believe this is a high-risk situation that needs immediate action,” says Sadzynski. “Methanol fires are far more aggressive than fires involving traditional hydrocarbon fuels. Methanol fires have different physicochemical properties and so they cannot be extinguished as easily or with the same approach.”

The Survitec tests found that while water mist systems are highly effective in absorbing heat and displacing oxygen on diesel fires, they do not produce the same results on methanol fires.

“We had to completely rethink nozzle placement, spacing and other factors to make water mist suppression effective on methanol. For instance, the range for nozzle installation height is much lower than that needed to put out a diesel fire,” he said.

This finding indicates that if existing vessels are retrofitted to run on methanol, they would need to overhaul and redesign their fixed fire-fighting arrangement completely.

For bilge areas, statutory rules formulated in IMO MSC.1/Circ.1621 establish a requirement for an approved alcohol-resistant foam system for ships running on methanol.

For the first time, a fixed, low expansion foam system is mandatory under the rules when it comes to protecting machinery space bilges.

“Our tests demonstrate that standard discharge devices do not properly extinguish methanol pool fires in the confined bilge space. It is crucial to deliver properly expanded foam on the methanol pool fire and this is not an easy task within such a narrow space where throw length is limited,” says Maciej Niescioruk, product manager, foam systems, Survitec.

He says: “MSC.1/Circ.1621 provides us with a starting guideline but it is very general and therefore open to interpretation. Moreover, methanol compliance for Local Application Firefighting systems is not yet covered.

As an industry, we need to come

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together and develop comprehensive and robust fire test standards and safety rules tailored to methanol’s unique properties.”

The stark conclusion of the investigation arrives at a time of increasing orders for methanol-fuelled ships. The greener fuel is seen as a panacea to meeting the industry’s emissions abatement targets, and forecasts predict accelerated adoption rates.

Orders for methanol-fuelled newbuilds increased by 9% in the last 12 months, 2% more than those for LNG-fuelled ships. Analysts suggest the methanol-fuelled fleet will account for 20mgt by 2028.

“We are seeing a significant uptake in orders for methanol-fuelled vessels, with 2023 being the breakout year for this alternative marine fuel. With more methanol-powered ships being built every year, the industry must act now to prevent dangerous gaps in fire safety,” says Niescioruk.

“We encourage all stakeholders to come together to address methanol’s unique fire risks and create clear standards, new testing protocols and updated safety rules for methanol.”

AMMONIA TO ELECTRICAL

ABS has issued New Technology Qualification (NTQ) for an innovative ammonia-to-electrical power system from Amogy.

The Amogy ammonia-to-electrical power system splits, or ‘cracks’ liquid ammonia into its base elements of hydrogen and nitrogen, funneling the hydrogen into a fuel cell generating high-performance power. The technology represents a sustainable, clean energy solution tailored for industries such as maritime shipping and power generation.

ABS assessed the integrated reactor system transforming ammonia into hydrogen, resulting in pure hydrogen gas that can be utilised for fuel cells.

“Amogy’s new technology is another example of the rapid development of innovation around alternative fuels for maritime use. Cracking ammonia to produce hydrogen for fuel cells is one that has the potential to

accelerate the energy transition in the maritime industry, supporting global decarbonisation goals,” says Patrick Ryan, ABS senior vice president and chief technology officer.

“We are honored to receive this NTQ from ABS,” says Seonghoon Woo, CEO at Amogy. “This achievement marks a significant milestone on our path toward broader industry adoption of our technology, highlighting the safety, viability, and maturity of our ammoniapowered solution. We are excited to further collaborate with ABS as we advance through the new technology qualification process.”

CASTROL REFRESHES TLX

Castrol, one of the world’s leading lubricant brands, has launched its refreshed Castrol TLX product range to cater to medium speed four-stroke engines. The reformulated product range will replace Castrol TLX Xtra and TLX Plus fluids and is designed to meet a broader range of engine types and applications, while continuing to deliver excellent engine protection, reliability, and performance.

The Castrol TLX range has been developed keeping in mind customers’ present and possible future needs. In particular, the range is designed for use with existing fuel types, including residual fuels, heavy sulphur fuel oil (HSFO), very low sulphur fuel oil (VLSFO), ultra low sulphur fuel oil (ULSFO), and dual fuel engines operating on residual fuel and gas. It is also suitable for vessels switching fuels and trading in and out of Emissions Control Areas and part-time Emissions Control Areas.

The new product range has been tested under extreme conditions and was found to perform well even while operating with high sulphur fuel, low lubricant oil consumption and a small sump size. The Castrol TLX range performs in these challenging conditions by removing contamination, oil sludge and water during purification and filtration, helping keep the oil in optimum condition and protecting the engine from corrosion and wear, ensuring excellent performance and proven engine cleanliness.

Castrol launched its new TLX range

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after undertaking 16,461 hours of testing and field trials to achieve major OEM approvals. Castrol TLX also meets the International Convention for the Prevention of Pollution from Ships (MARPOL) regulatory requirement.

“Lubricants are a lever of change as the industry strives to meet multitiered and complex regulations, an increased focus on health and safety, mounting demand for reduced downtime and increasing engine performance amid new fuel and engine technology” says Eda Gökay, global marine and energy marketing manager at Castrol. “Our TLX product range is developed to help our customers better manage the resilience component in their businesses with a focus on overall optimum, efficient and longterm business impacts. The new TLX delivers cost-competitive solutions, robust and resilient performance, and operational efficiency, while meeting MARPOL regulatory requirement and approvals from leading OEMs, including MAN and Wärtsilä.”

FUEL RESOURCE

Access to latest information on zero and near-zero marine fuels and technologies, including pricing information and the latest research, can be found on futurefuels.imo.org.

The website has been developed by the Future Fuels and Technology Project (FFT Project), a partnership project between the International Maritime Organization (IMO) and the Republic of Korea, supporting the development of new regulation within the possible IMO Net Zero Framework to achieve the targets contained in the 2023 IMO GHG Strategy.

The website includes sections on: » Latest Information: current data on alternative fuels and supply, up-todate indicative prices, information on the IMO Data Collection System (DCS). » Future Insight: insights into the readiness, scalability and sustainability of new marine fuels and technologies, including fuel price forecasts, R&D and demonstration projects, as well as information on relevant initiatives in the shipping and energy industries.

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» News and Events: a selection of global news, information resources (including reports and journal papers), and information on IMO events related to greenhouse gas (GHG) emissions reduction in international shipping. » Training and Cooperation: training materials and useful tools on alternative fuels, energy efficiency technologies and other GHG reduction measures. » Technological innovation and the global introduction and availability of zero or near-zero GHG emission technologies, fuels and/or energy sources for international shipping are integral to achieving the overall level of ambition identified in the 2023 IMO GHG Strategy.

Data providers and collaborators involved on the Future Fuels website to date include Ammonia Energy Association, Argus Media, DNV’s Alternative Fuels Insight, IAPH, Ipieca, Korean Maritime Cooperation Center (KMC), Methanol Institute, OECD, SEALNG, SGMF, Zero Emission Shipping Mission and ZESTAs, and the IMO partnership projects GHG-SMART, GreenVoyage 2050 and Next-GEN. Current information on the website is sourced from a range of stakeholders and data providers who have joined the initiative in its early stages. Other data providers are invited

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to join this collaboration.

The FFT project’s website aims to enhance access to information for all stakeholders involved in IMO’s climate change discussions and to facilitate relevant information sharing.

Inclusion on the website does not imply endorsement or expression of any opinion on the part of IMO regarding the data or the data sources.

AMMONIA POWERS AHEAD

DNV has awarded HD Hyundai Mipo Dockyard an Approval in Principle (AiP) for the design of ammonia dual fuel 45,000m3 LPG carriers.

The presentation took place at the HD Hyundai Global R&D Center (GRC) in Seongnam, Korea. HD Hyundai Mipo (HMD), which has developed the basic ship design, provided detailed engine specifications and operational data from global engine maker, WinGD, and reviewed the safety and suitability of the design with DNV. The designs are based around a new 10,000 horsepower dual-fuel two-stroke engine that selectively utilize ammonia or Marine Diesel Oil. “These vessels are designed to pre-emptively meet the International Maritime Organization’s greenhouse gas (GHG) strategy to reduce the total amount of GHGs emitted by shipping by 100% from 2008 levels in 2050. The new dual fuel propulsion

system will set a new standard in emissions reduction – emitting no CO2 during combustion.

“In addition, the ‘ammonia leak prevention system’ completely blocks external leakage of ammonia. This highlights HMD’s all-out effort to lead the industry in the eco-friendly ship sector,” says Lee Dong Jin, head of HMD’s Basic Design Division.

Vidar Dolonen, DNV regional manager Korea and Japan, says: “We are very pleased to be able to award HMD this AiP. Ammonia is a very promising fuel option for shipping, and we are seeing growing interest in how we can safely and effectively deploy this technology. The AiP underscores that the maritime industry is not only looking to meet compliance targets, but that forward looking partners are committed to using their experience and expertise to embrace sustainable solutions today.”

Ammonia is attracting attention from the global shipping industry as a potential zero-carbon fuel, especially when produced from renewably sourced hydrogen as ‘green’ ammonia.

It can be stored in a pressurised tank (about 10 bar) or a low-temperature tank (-34°) without cryogenic technology. In addition, the energy density of liquefied ammonia is higher than that of liquefied hydrogen, making its transport more efficient.

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BALLAST WATER TREATMENT SYSTEMS

New regulations aim to streamline the commissioning testing of ballast water and tighten up best practice

Optimarin aims to provide efficient BWTS support for new customers brought onboard with the Hyde Marine acquisition © Optimarin

SMOOTH OPERATIONS In a significant stride towards environmental sustainability and compliance with maritime regulations, the International Association of Classification Societies (IACS) has published a new recommendation, Rec. 180, for Conducting Commissioning Testing of Ballast Water Management Systems.

Ballast water, a key component of safe and efficient shipping operations, has long posed a risk to maritime ecosystems due to its potential for transferring harmful aquatic organisms and invasive species. As the maritime industry continues to address the negative effects associated with ballast water transfer, the effective implementation and proper functioning of ballast water management systems (BWMS) is paramount.

Efforts to streamline the implementation of the BWM Convention took a significant step forward with the International Maritime Organization’s approval of the 2020 Guidance for the commissioning testing of BWMS and IACS has now further bolstered

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these efforts with the development of a comprehensive Recommendation (Rec. 180) to facilitate the smooth, effective, and harmonised implementation of commissioning tests requirements in line with the international regulations.

The guidance in Rec. 180 facilitates a uniform approach to conducting the commissioning tests of BWMS by verifying that the ballast water is being discharged in accordance with the D-2 standard of the BWM convention and by an assessment of the proper operation of the self-monitoring equipment. Commissioning tests conducted during an initial survey (and any subsequent additional survey which could be triggered by significant changes, replacements, or repairs to the BWMS), play a crucial role in validating the proper functioning of all mechanical, physical, chemical, and biological processes within the system, effectively mitigating the risk of ecological damage to the marine ecosystem.

Derived from practical experience and

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feedback gathered by IACS following the approval of IMO’s 2020 guidance, the recommended practices in Rec. 180 include essential preparation steps that allow ship operators to ensure the seamless and efficient execution of commissioning tests and the establishment of industrywide best practices for ballast water management.

In addition, the utilisation of recommended reporting forms outlined in the guidelines significantly enhances transparency throughout the testing process and ensures all stakeholders are not only kept informed but are also actively involved.

Commenting on this new Rec. 180, IACS secretary general, Robert Ashdown, says: “IACS’ Rec. 180 marks a further contribution to the safeguarding of the marine environment by streamlining the commissioning testing of ballast water management systems. Commissioning testing plays a crucial role in validating the proper functioning of the BWMS, in mitigating the risks of ecological damage caused by the introduction of non-native species and in ensuring compliance with the IMO regulations.

“Adopting Rec. 180 can also provide the basis for industry best practice in this area.”

BALLAST WATER TREATMENT SYSTEMS

Nora to exit the marine technologies business so that it can focus on growth in its core strategic markets of municipals and industrials.

“The business rationale for this landmark transaction is both to strengthen our leading position as a long-term supplier of marine ballast water treatment systems and enhance our product offering towards this market,” says Optimarin’s newly appointed CEO Tore Svanheld.

OPTIMARIN ACQUISITON

Optimarin is expanding its position in the market for ballast water treatment systems with a deal to acquire peer player Hyde Marine from De Nora Marine Technologies that will significantly boost its installed base of BWTSs and give Hyde customers access to its global aftersales network.

The Norwegian ballast water treatment system (BWTS) specialist has entered into a definitive asset purchase agreement with Italy’s De Nora whereby it will acquire Hyde Marine’s UV BWTS technology, products and inventory. Optimarin will also gain service and support work for some 600 Hyde Marine systems installed on vessels, in addition to more than 1400 BWTSs supplied by itself.

The acquisition by Optimarin for an undisclosed sum follows the earlier decision by Milan-stocklisted De

Optimarin CEO Tore Svanheld © Optimarin

Optimarin is enlarging its existing customer base with new clients being brought onboard from Hyde Marine.

The supplier will also be able to lift its system capability with the addition of advanced UV technology from Hyde Marine as it targets both BWTS retrofit and newbuild orders, having established a manufacturing base in China with proximity to SE Asian yards.

“Optimarin will gain access to highend technology, while Hyde Marine BWTS users will benefit from our extensive global service organisation with 24/7 availability and strong technical expertise to support efficient ballasting operations,” Svanheld adds.

“As a highly experienced service provider, Optimarin is focused on ensuring that Hyde Marine customers have a well-functioning BWTS to assure them of peace of mind around operations and compliance.”

With a 30-year track record of BWTS innovation, development and deliveries, Optimarin has built up a worldwide network of service partners spanning the US, Brazil, the UK, Norway, Germany, Spain, the Netherlands, Romania, United Arab Emirates, China, Japan, South Korea, Singapore and Taiwan.

This means that specialist certified engineers are on hand to provide rapid round-the-clock support in response to client needs at any time and place wherever a ship is located.

Optimarin has further enhanced its service offering with OptiLink, a digital cloud-based solution for monitoring and management of the BWTS that enables remote 24/7 support and overthe-air software updates to keep the system working efficiently.

The company has a centralised service centre at its Stavanger head office in Norway that is in regular dialogue with customers to provide aftersales support, co-ordinating service and commissioning jobs to be carried out by its trained BWTS engineers around the world.

The centre also manages global distribution of spare parts, with satellite warehouses at several locations to enable shorter response time for parts shipments. The Hyde BWTS spare parts inventory will now be transferred to Optimarin’s main storage depots in Norway and Luxembourg.

Svanheld says onboarding of Hyde Marine customers with Optimarin will enable the latter to build on the competence and experience of its global BWTS support team, as well as expand the service organisation.

“We have recently expanded our product portfolio with oily water separators and sewage treatment plants. Now, with this transaction, we are growing the core BWTS business to consolidate our strong position in this market and firmly intend to remain a force to be reckoned with in the maritime sector,” Svanheld concludes.

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BALLAST WATER TREATMENT SYSTEMS: VIEWPOINT

SUPPORTING ALL THE WAY Erma First’s Panagiotis Dalianis discusses the importance of after-sales customer support

Panagiotis Dalianis Technical After Sales Director, Erma First

At Erma First, after-sales customer support is any type of support provided to a customer after the product has been purchased. Upon completing this transaction, the customer and maker enter into a ‘marriage’ covering the full lifetime of the vessel.

Marine equipment makers are fully aware that their clients’ specific requirements are driven by the nature of their business.

The complexity of vessel operations makes the provision of support more difficult than in other industries, especially when the equipment must perform in line with environmental regulations – as is the case with ballast water treatment systems (BWTS).

Providing services to a ship at sea demands round-the-clock live support, readily available spare parts and experienced engineers stationed in strategic locations so that travelling and idle time and expenses are minimised.

As a global leader in BWTS with systems installed on more than 3,500 vessels, Erma First has established a highly efficient and effective customer support network. We have done so while navigating extraordinary challenges that have arisen worldwide in recent years, such as the covid-19 pandemic and China’s border restrictions, the Russia– Ukraine conflict, and, more recently, the Israel–Palestine conflict and the related attacks on commercial vessels in the Red Sea. Each of these challenges required action to maintain robust support for our systems on board vessels. To overcome travel restrictions during the pandemic, we established service stations worldwide, enabling us to deliver and commission our systems irrespective of where the installation was planned. Our service stations have also allowed us to attend vessels to provide services related to troubleshooting and maintenance upon commissioning.

We currently have service stations with experienced engineers in: China – Shanghai,

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Zhoushan, Dalian, Guangzhou; Korea – Busan; Vietnam – Hai Phong; Singapore; India – Mumbai; Japan – Osaka; UAE – Dubai; Türkiye – Istanbul; Greece – Piraeus; Italy – Naples; France – Marseille; the Netherlands – Rotterdam; Germany – Hamburg; Poland – Gdansk; Latvia – Jelgava; US – New York; Canada – Vancouver; and Panama.

From these stations, our engineers can reach every location where our clients may require service or maintenance.

Our next step towards enhancing our service provision will involve strengthening our local teams in hotspots such as the Amsterdam–Rotterdam–Antwerp area.

Finding experienced personnel can be challenging in Northern Europe, but we are on the way to finding solutions.

Another difficulty we had to overcome was the lack of availability of certain parts due to supply chain disruption during – but mainly after – the pandemic. At the time, we faced unexpected delays in production and delivery, especially where electronic parts were concerned, causing frustration for some clients.

We have since established new channels to source these parts and now keep them in stock. Of course, delays can still occur, but only very rarely do they interrupt the systems operability.

Delivery time is sometimes affected by the location where spare parts are stored.

We have created stocking points worldwide – primarily to reduce delivery time but also to help our local service teams access the most commonly required spare parts, wearables, and the consumables used during attendances.

Aside from our main warehouse in Greece, our stocking points are located in Shanghai, Busan, Singapore, Dubai, Istanbul, Rotterdam, Copenhagen, New York, Vancouver, and Panama.

In addition to establishing stocking points, we are working to provide clients with critical or recommended spare parts to have on board, in order to resolve issues most commonly arising during operations.

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With critical spare parts on board the vessel, system restoration can usually be performed by crew, eliminating the process of sourcing the required part and sending it aboard or, in particularly urgent cases, having someone deliver it by hand.

Recommended parts are typically ‘plug and play’ or come with simple instructions from our technical support team to help crew carry out installation without a service engineer.

We have further enhanced our customer service by establishing a 24/7 telephone technical support line.

With a team of experts now available to answer calls or emails day and night, every urgent technical issue that arises can be handled swiftly. Live support also facilitates direct communication between technical representatives or vessel crew and our technical support engineers, minimising time to resolution.

In addition, we are developing a spare parts portal so that clients can view the major components of our systems along with the recommended/ critical parts and the maintenance and calibration kits specific to systems installed. The portal is expected to be launched in the second half of 2024.

BALLAST WATER TREATMENT SYSTEMS: VIEWPOINT

Erma First’s after-sales support goes beyond addressing spares and services requests. Our holistic approach includes the provision of maintenance services that aim to assist vessel crew in passing all necessary inspections by authorities such as PSC, USCG, AMSA, Class, Flag, Vetting, and RightShip, among others, while keeping the system in good working condition.

Maintenance schemes include the replacement of necessary wearable parts to keep components in optimum condition, execute sensor calibration, and uphold crew training standards to ensure their preparedness for potential inspections. All of this is included in Erma First’s Maintenance Services proposal to clients.

Yet another crucial consideration is having alternative solutions in place in case a component becomes obsolete due to a vendor’s commercial decisions. At Erma First, we design our systems to avoid such circumstances, with our experienced technical team applying alternative components and certifying them in a timely manner.

BWTS are relatively new in the industry, and although the learning curve was initially steep, it has now levelled out. Our technical team

thoroughly investigates any incident that affects the operability of our systems and, upon completion of a root-cause analysis, plans and executes countermeasures to avoid a recurrence of the issue.

We regularly publish technical bulletins to keep vessel owners and crew up to date, and keep our designs under continuous review to offer systems upgrades as required.

We also regularly liaise with our clients in live or virtual meetings, recognising feedback as the most important factor in helping us to improve the support we offer for our systems.

Acknowledging the specific risks maritime stakeholders face if systems become inoperable, we support our technologies with spares and services on a through-life basis. We also regard after-sales support as a powerful tool for building strong customer relationships, promoting loyalty, and differentiating our business from competitors.

For this reason, while implementing an effective strategy can be challenging, we are always ready to adopt new ideas in order to improve our services.

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SHIP DESIGN

A number of new initiatives aim to improve ship performance and create a more sustainable and environmentally friendly industry

STRENGTH IN NUMBERS DNV has presented HD Hyundai with a general approval for ship application (GASA) for a new high-strength composite hybrid support system for independent tanks on liquefied gas carriers. HD Hyundai’s concept is fabricated with a fusion of carbon fibre-reinforced plastics (CFRP) with a tensile strength 10 times greater than steel, significantly enhancing structural stability.

The new system offers robust structural supports, enabling independent tanks to withstand upward force from floatation in case of hold space flooded. Designed jointly by Korea Shipbuilding and Offshore Engineering (KSEO), HD Hyundai Heavy Industries (HHI) and Hyundai Mipo Dockyard (HMD), and approved by DNV and the Liberian International Ship & Corporate Registry (LISCR), the concept allows for reallocating of the existing support structure layout, minimising the need for high-risk work and inspections.

Lee Hyun-Ho, executive vice president

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of Hyundai Maritime Research Institute at HD Hyundai Heavy Industries, says: “This is the result of another effort to apply composites to shipbuilding. It is expected to contribute to the competitiveness and safety of vessels with independent tanks and generate more orders as the design can be easily constructed.”

Thomas Klenum, executive vice president of Innovation and Regulatory Affairs at LISCR, adds: “This innovation is a great achievement and demonstrates HHI, KSEO, and HMD’s dedication to performance, safety, and continuous improvement. The Liberian Registry is proud to have collaborated.”

Vidar Dolonen, DNV regional manager, Korea and Japan, says: “DNV is pleased to be supporting forward-looking partners on this exciting project. The use of new materials in this concept shows how continuous technological innovation in the maritime sector can enhance shipping’s drive to be even more efficient, improve safety, and enhance the structural stability of vessels.”

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SHIP DESIGN

Torqeedo’s Senior vice-president, Development and Global Service, Alex Oswald and Advanced Engineering Team leader Florian Deger examine prototype propellers

PLASTIC SOLUTION

Every year, an estimated 14m tons of used plastics end up in the world’s waterways and, finally, the ocean.

These plastics entangle wildlife, break down into hard-to-remove microplastics, and litter our human and natural environments.

Electric and hybrid drive manufacturer Torqeedo GmbH, the world’s leading manufacturer of electric and hybrid drives for the marine market, is taking the next step toward cleaner waterways and a more sustainable marine industry by diverting and integrating oceanbound plastics into its emission-free boating products.

Torqeedo has established a new Advanced Engineering Team that, among other tasks, explores alternative materials to further minimise the environmental impact of its recreational and commercial marine products. The team is testing recycled ocean-bound PET and PP plastic pellets, which are estimated to reduce the source material’s CO2 impact by more than 80% and are

very close in quality to virgin plastic due to strict processes and advanced recycling equipment.

“The typical way to integrate new materials is to start with a small percentage – maybe with just 10 or 20% recycled content,” says Florian Deger, who leads the project within Torqeedo’s Advanced Engineering Team. “However, we decided to aim higher. We made our prototype propellers from 100% recycled ocean plastics, and we’re thrilled to report that they surpassed all benchmarks in the first round of environmental and stress testing.

“After some slight adjustments, we will produce the next prototypes in Torqeedo orange. These will be very similar to the propellers that are in use today. It feels good to hold one of the prototypes in my hands and know we are keeping plastic bottles and pollution out of the waters we all love to explore on our boats.”

“While integrating ocean plastics into our products is just one step of many as Torqeedo helps to build a more sustainable marine industry, it’s

also much more significant than just diverting plastic bottles,” says Fabian Bez, CEO of Torqeedo GmbH. “We’re helping to develop a circular plastic economy and transforming used plastics from trash to treasure.

Collecting used plastic for recycling only becomes economically viable when there is a market for the recycled material, and we’re proud to lead the way in closing the loop.

“Many manufacturers hesitate to use recycled materials based on outdated perceptions of inferior material quality. Torqeedo believes that a circular economy for plastics can be established today without negatively impacting product performance and durability,” Bez continues.

“If the next testing rounds are as successful as expected, the first Torqeedo products containing oceanbound plastics will hit the market within the next year.

“Every step we take toward lowering boating’s environmental and climate impact improves our human and natural environments and helps to preserve our boating lifestyle.”

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SHIP DESIGN

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DUAL-FUEL DESIGN

Denmark-based Pres-Vac Engineering recently announced the successful certification of its innovative high-velocity methanol valves, setting new standards in the construction of dualfuel vessels.

These valves, essential for the safety and efficiency of methanol tank systems, are now certified under the IMO 1621 standard among other rigorous regulatory benchmarks.

The newly certified valves enable greater flexibility in ship design, accommodating long vent-pipes up to 128m for DN 65 size, with allowances for even longer pipelines. This development offers shipbuilders and owners unique options in creating more efficient and compliant dual-fuel systems.

Sofia Alexandra Grave, R&D manager at Pres-Vac, states: “This certification marks an important moment for Pres-Vac as we provide the only valves on the market that meet such stringent standards.”

The valves, including the PV-ECO and PV-VOC models, incorporate advanced technological features such as improved flow control and minimized gas emissions. These mechanical valves operate without electronic controls, adding a layer of safety to their functionality.

“Our products not only comply with but also exceed existing regulations, aiding shipowners in the transition to greener technologies and helping the industry meet stricter environmental standards,” adds Harshith Venkatramana, R&D engineer at Pres-Vac.

Sofia Alexandra Grave, R&D Manager at Pres-Vac

Harshith Venkatramana, R&D Engineer at Pres-Vac

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Pres-Vac Engineering’s innovative high-velocity methanol valves

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ANTIFOULING

Improving performance by cutting down on hull and propeller fouling is an area of great interest to the industry, which is seeking to cut costs and increase efficiency High-frequency data, combined with Coach Solutions’ Valid Data vessel reporting functionality, will result in higher levels of accuracy in hull and propeller fouling advisory

CLEAN LIVING Coach Solutions has released a new product offering high-frequency speed percentage analysis to its suite of vessel performance solutions – one of the first initiatives resulting from the strategic investment from Kongsberg Digital.

By leveraging Coach owner Kongsberg Digital’s Vessel Insight infrastructure, Coach can easily ingest high-frequency sensor data from clients’ vessels, which can be used to understand when hull and propeller fouling is having an impact on performance.

The high-frequency data, combined with Coach Solutions’ Valid Data vessel reporting functionality, will result in higher levels of accuracy in hull and propeller fouling advisory, as well as a shorter reaction time when identifying fouling.

The new service provides an interactive timeline with all relevant information to identify possible reasons for performance loss and the possibility of integrating shaft power and other relevant sensor data to increase the frequency of fouling analysis from the usual 24 hours and instead allow for real-time analysis.

The Kongsberg Vessel Insight platform collects all relevant performance data and contextualises it for easy sharing with Coach Solutions, independent verifiers

and other application providers. The highfrequency Speed Percentage Analysis service is available to all Coach customers with a subscription to its Valid Performance solution set.

The new tool will fetch auto-logged data from Vessel Insight and combine it with noon report data from the same source with Coach’s own validated noon report data. Based on any of these data sources the speed percentage will be calculated, enabling evaluation of the vessel’s current and historical performance.

“Through our strong ties to the tramp shipping segments, we have seen that many owners are only now looking into highfrequency data logging so there are some first encounters and adoption issues,” says Christian Råe Holm, managing director, Coach Solutions. “Using Kongsberg’s Vessel Insight provides a robust platform that integrates into the Coach system and makes this data easily available for analysis and action that can drive savings and avoid disputes.”

Anders Bryhni, VP of Maritime Products at Kongsberg, says: “Improving fuel performance is one of the key motivations for shipowners investing in digital infrastructure, and we are glad to be able

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ANTIFOULING to offer the combined strength of the Coach Valid portfolio and Vessel Insight into this space.

“By integrating sensor data in this way we give clients a total offering that can grow with them as their ambitions in the digital realm grow.

We believe this to be a powerful enabler for shipowners who want to stay competitive in a market where fuel performance becomes even more important.”

ISU HIGHLIGHTS ROLE

The International Salvage Union’s (ISU’s) most recent pollution prevention survey once again shows the environmental benefit of salvage industry.

Members of the ISU provided 173 services to vessels carrying 1.9m tonnes of potentially polluting cargo and fuel during operations in 2023.

It again demonstrates the vital role of professional salvors in protecting the marine environment. The data come from the ISU’s Annual Pollution Prevention Survey for operations in 2023.

President of the ISU John Witte says: “More than ever, environmental, social and governance requirements are at the top of the agenda for all industries and ,of course, for shipping.

The focus on emissions and climate change must be maintained, but we must not lose sight of the importance of simply protecting the environment.

It affects those providing services to shipping as much as the owners: the insurers and financiers as we see with the adoption of the Poseidon Principles.

“Sustaining a viable professional salvage industry ready to respond to all kinds of incidents around the world is vital and that is recognised by insurers and owners but it needs to be properly funded.”

There were fewer services in 2023 compared with the previous year and that is in line with the downward trend of the ISU general industry statistics. Each year there can be significant variations of the quantities of pollutants in each category. That may be due to vessel size increasing so that, for example, one major containership case might significantly affect that category.

The number of containers is lower in the latest report but, after bulk cargo, still represents the most significant category with ISU members providing services to vessels carrying 30,000 TEU amounting to some 400,000 tonnes of cargo. It compares with 187,000 tonnes of crude oil.

Containers carrying a great variety of harmful and dangerous goods including plastic pellets (nurdles) represent one of the biggest threats to the marine environment.

Witte adds: “Containers continue to be difficult to deal with – offloading, storing and perhaps backloading. But the traditional threat from oils remains and there were also several cases of car carriers and roro fires and the carriage of electric vehicles (EVs) is an increasing concern. Salvors often do not know if there are EVs or batteries on board or the quantity.”

Cargoes of refined oil products increased significantly in the 2023 numbers, as did chemicals. Dirty and hazardous bulk cargoes in 2023 were 770,000 – down from 1,236,000 the previous year. An increased number of the services in the survey did not record the quantity of bunkers or the cargo type meaning the reported numbers likely represent a more modest total than the reality.

ISU is transparent about the fact that not all these potential pollutants were at immediate risk of going into the sea. Some cases will have had limited danger, but others will have carried a real risk of causing substantial environmental damage.

In an era of ‘zero tolerance’ of any pollution, even the smaller cases represent a significant concern.

The survey was first conducted by ISU in 1994 and the methodology was updated in 2014 to include a wider range of potential pollutants including containers and hazardous and dirty bulk cargoes. In the period 1994 to end-2023, ISU members have provided services to casualty vessels carrying 43,397,100 tonnes of potential pollutants, an average of 1.5m tonnes per year.

ANTIFOULING REGULATION

Ecological protections at sea are being strengthened by the Maritime and

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Coastguard Agency (MCA) through updated regulations governing anti-fouling systems on ships, the organisation says.

The new UK legislation implements an international convention prohibiting the use of cybutryne in marine paints, which has been proven harmful to marine flora and fauna, working its way into the food chain.

The regulations came into force on 10 May 2024 and apply to all UK flagged ships, wherever they sail, and ships flagged to other countries while in UK or controlled waters. They also maintain an existing ban on similarly harmful organotin compounds.

The aim is to minimise or eliminate pollution from such substances in UK waters, supporting the global response to the issue.

The obligation is being formally adopted into the Merchant Shipping (Anti-Fouling Systems) Regulations 2024 by the MCA from the International Maritime Organization’s (IMO’s) amended convention.

As well as tackling this type of marine pollution, the new measures simplify regulations by bringing them into one place and make it more straightforward to keep up to date in the future.

MCA chief executive Virginia McVea says: “We know these substances are proven to have harmful ecological effects, so this action is important to protect our environment.”

The Merchant Shipping (Anti-Fouling Systems) Regulations 2024 revoke and replace Regulation (EC) No 782/2003 of the European Parliament and of the Council of 14 April 2003 on the prohibition of organotin compounds on ships and the Merchant Shipping (AntiFouling Systems) Regulations 2009 (S.I. 2009/2796).

They implement the latest version of the International Convention on the Control of Harmful Antifouling Systems on Ships, 2001, including amendments made by IMO Resolution MEPC.331(76).

The Environment Act 2021 places a duty on ministers to have due regard to the environmental principles policy statement when making policy.

The regulations are within scope of this duty.

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ANTIFOULING: VIEWPOINT

STEERING TOWARDS DECARBONISATION Kazuaki Masuda explains why the role of hull coatings in supporting owners and operators as the industry transitions to more sustainable practices is proven and quantifiable

Kazuaki Masuda Corporate Officer, Technical Division Director, Nippon Paint Marine

Decarbonisation sits at the forefront of the maritime industry’s current agenda. Compliance with increasingly strict regulatory frameworks, as well as significant external stakeholder pressures, are leading shipowners and operators to consider how a wider array of technological innovations will support their efforts to decarbonise.

It is widely regarded that achieving a future net-zero status of the shipping industry will rely on the establishment of large-scale availability of green fuels as a replacement for traditional fossil fuel sources. However, a fragmented supply chain, lack of current availability of green fuels, and the significant investment required, represent barriers in bringing lowcarbon fuels to market at scale, that limit immediate carbon reductions.

The role of hull coatings in supporting owners and operators as the industry transitions to more sustainable practices is proven and quantifiable, as they represent a reliable method of improving operational performance whilst lowering vessel’s CO2 emissions.

For 140 years, Nippon Paint Marine has been at the forefront of the coatings industry, the unwavering focus on innovation by our R&D teams has resulted in the release of ground-breaking antifouling solutions, such as FASTAR, which incorporates new resin technology to reduce friction and promote better hull performance, and represents the next generation of hull coatings.

Our R&D team takes the search for inspiration seriously. Following extensive research into the skin structure of tuna fish, they were able to replicate a biomechanism used by tuna to repel water and maintain high speeds. This led to the development of Nippon Paint Marine’s patented hydrogel water-trapping technology.

Hydrogel is made of up a crosslinked, three-dimensional hydrophilic polymer that doesn’t dissolve in water. By incorporating hydrogel in to antifouling products, such

as FASTAR, a microscopic layer of water is trapped on the surface of a vessel’s hull as it travels through the water. This innovation smooths the water flow around the hull, creating a slippery surface which reduces hull-to-water friction.

Since the initial release in 2021, Nippon Paint Marine has applied coatings using its low-friction hydrogel technology to more than 4,000 vessels to date. In that time, our analysis has revealed that fuel costs and emissions have been reduced by up to 8% compared with other makers’ topof-the-range silyl-acrylate SPC systems manufactured without hydrogel. Also, FASTAR’s lower dry film thickness provides significant time savings during yard periods as there is less time required to apply and dry than conventional SPC antifouling paints.

These savings are significant and achieving them doesn’t require costly retrofits or disruptive integration programmes. Industry leading hull coatings represent a viable and proven solution for improving both time, cost, and fuel efficiencies. As the industry continues to explore new and innovative technologies that hope to secure a more sustainable future, hull coatings remain the unsung solution that guarantees real-world results, today.

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TECHNOLOGY

Technology has a vital role to play in ensuring that safety, among other things, can be maintained at sea and a number of new products have been coming on the market to make use of technology in a more intuitive way

© G2 Ocean

TAKING A HIGH-TECH APPROACH Groke Technologies is calling on marine insurers, P&I Clubs and regulators to encourage the widespread adoption of ship situational awareness systems as way of mitigating the rising number of claims relating to collision and other accidents attributable to human error.

The clarion call comes amid growing concern among insurers that myriad external factors, including the shortage of seafarers, and a general increase in ship traffic, could result in more ship collisions and related incidents at sea.

“While ship losses continue to fall, the number of navigational incidents, collisions and near-misses is deeply concerning,” says Groke Technologies’ chief commercial officer Jonas Bergring.

Citing a ship safety report published in late 2023 by Allianz Global Corporate & Specialty, Bergring says 17% of all marine insurance claims between January 2017 and December 2021 were attributed to collision, foundering or sinking.

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“Of the 27,477 incidents reported in the period, 3,098 were attributed to collision, making it the second top cause of shipping incidents globally,” he says. “Collision also accounted for about one in 10 of the 3,032 incidents reported in 2022, up on the preceding year’s figure. Overall, there is about a 5% increase on the number of incidents reported in 2019.”

Casualty investigations carried out by the European Maritime Safety Agency (EMSA) also found that collision is second only to power loss as the main cause of ship incidents. The organisation found that the most very serious collision-related accidents happened at night (50%), twilight (12%) or bad weather in daytime (9%).

Bergring says contributing factors include bad weather, poor visibility, watchkeeper fatigue and information overload, and congestion, especially in waters around the British Isles, South China Sea, and Singapore Strait – all risk factors that can be substantially reduced using situational

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awareness systems. “By partnering with the marine insurance community to encourage wider adoption of situational awareness technology we can reduce the number of human error related incidents to ensure vessels navigate more safely in congested and challenging waters,” he says.

“There would be a rapid and significant reduction in ship collisions and the associated financial and environmental risks. The reduction in insurance claims could benefit P&I Club members hugely.”

With increasing use of digital shipping technology, combined with a global shortage of experienced officers and crew, Bergring anticipates that integrated ship situational awareness technology will be a mandatory International Maritime Organization (IMO) requirement by 2028.

“Before that will come class notations and voluntary IMO guidance, probably by 2026, so it is quite timely that the insurance community is becoming more interested in the technology,” he says.

Groke Technologies CEO Juha Rokka, adds: “Watchkeepers find it difficult to correlate the objects they are seeing with their eyes with the view on the instruments on the bridge. The Groke Pro system helps by associating the objects between the camera view and the chart view. There is a delay for bridge systems to update, which naturally adds to the complexity of the thought processes required of a watchkeeper.

“The challenges increase when visibility is low or when there are large numbers of small vessels and objects around. This racks up the cognitive stress and can result in mistakes being made.”

Groke Technologies’ Ship Situational Awareness System is based on unique sensor fusion technology that fuses data from the ship’s navigational systems namely radar with Groke Pro’s AIS, GNSS, and thermal and visual cameras, to provide bridge crews with a clearer picture of the vessels surroundings, day and night.

Alerting watchkeepers of potential collision risks, objects and hazards, the Groke Pro system is unlike typical

TECHNOLOGY

digital watchkeeper solutions in that it provides real-time risk analysis capability, presenting crews with crucial as-it-happens information on which to base navigational decisions and plan routes more efficiently.

The recently launched Groke Fleet expands situational awareness from the bridge to the onshore offices. It gives fleet managers an overview of their fleet’s safety and efficiency. It can also help with claim handling, says Bergring.

“Groke Fleet automatically records every significant event during the voyage, including close-call situations.

If a collision occurs, there is concrete evidence of how things unfolded from Groke Pro’s onboard 4K cameras.”

Shipping companies that have already installed the technology include Mitsubishi Corporation, Uyeno Transtech, Tsurumi Sunmarine, Asahi Tanker, Tokyo Kisen, K-Line and U-Ming Marine. It is also being used to full effect on the MC Shipping-owned, Cargill-operated Pyxis Ocean, the windassisted bulk carrier.

VOYAGE OPTIMINSTATION

DeepSea Technologies, the awardwinning artificial intelligence (AI)led maritime technology company and energy efficiency experts, have announced the completion of a project supported by the EEA grants under the ‘Business Innovation Greece’ Programme, to develop an accessible AI solution for vessel performance routing.

Working with G2 Ocean, the leading bulk shipping operator, and SINTEF, an independent research organisation, DeepSea has run trials to develop a novel AI software solution that uses AIS and noon report data, together with high-frequency data from other vessels, to unlock voyage optimisation.

Improvements in operational efficiency through optimised navigation help operators to reduce fuel consumption and lower emissions. However, few companies in the shipping industry have the data collection systems in place to support data driven improvements.

Together with G2 Ocean and SINTEF, DeepSea has developed an AI-based solution that can use the data

available to every shipowner: AIS data and noon reports, to unlock the real benefits of performance routing. This approach is called ‘transfer learning’ and allows high-frequency data models from hundreds of vessels already in DeepSea’s databases, to be transferred over to low-frequency data vessels of the same type and further adapted to available data.

The new software solution, ‘Pythia Augment’, has been applied to the bulker market for the duration of this project, however, has widespread applications for all types of vessels as well, and provides route and speed guidance for individual vessels based on AI-generated energy performance modelling.

DeepSea and G2 Ocean applied the solution to five Grieg Star vessels within the Norwegian company’s fleet, to develop and pilot an AI model with the ability to produce accurate and optimised guidance that has been successfully applied to reduce fuel consumption and achieve the highest possible Time Charter Equivalent (TCE) for any given voyage.

The ships used to test the solution provided an ideal training ground for developing the AI application, as the fleet features vessels operating noon reports as well as more modern live data acquisition systems.

During the project, DeepSea and G2 Ocean collaborated with SINTEF to understand barriers to end-user compliance. Breaking down barriers to the adoption of AI recommendations by the crew is essential. The value of AI-driven optimisation to sustainable shipping operations can only truly be realised if there is high compliance with the recommendations produced.

Dr Konstantinos Kyriakopoulos, Co-Founder and CEO of DeepSea Technologies comments: “Shipowners need to be taking action now to deliver on the maritime industry’s long-term goal to decarbonise. A mature market for the low-carbon fuels that will drive large-scale decarbonisation of marine energy remains some way away. In the meantime, owners and operators should focus on reducing energy consumption through operational efficiencies.

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TECHNOLOGY

“With the delivery of Pythia Augment using low-frequency data to optimise voyage planning, we are creating a new and innovative way for bulkers to effectively drive down carbon emissions in their operations.”

Anne Lise Rognlidalen, programme director, Innovation Norway comments: “Through the Business Innovation Greece Programme, which supported the Pythia Augment project, we support projects focused on innovation within the focus areas of Blue Growth, Green Industry Innovation, and ICT. We also encourage project collaboration, as well as projects which have a strong environmental impact.

“We are thus very happy to have supported the Pythia Augment project which was implemented

by DeepSea Technologies in collaboration with wo donor partners, G2 Ocean and SINTEF. In particular, G2 Ocean and DeepSea worked together to support the improved performance of an important part of the Norwegian fleet.

“As home to the world’s fourth largest merchant fleet, Norway’s shipowners, as forward-thinking leaders in the maritime sector, can have a significant effect on the ongoing decarbonisation of the sector, and its efforts to achieve mandated net-zero targets in 2050.”

Arthur English, CEO of G2 Ocean, comments: “G2 Ocean is committed to becoming a net-zero emissions company by 2050 and is enthusiastic about the potential benefits AIpowered technologies can unlock in our industry. The solution developed

by DeepSea enables real-time analysis of a range of commercial, technical, and environmental factors resulting in a reduction of emissions as well as optimised earnings. With the wide-scale adoption of green fuels still some way off, it is vital that we grasp the opportunities that are currently economically viable to reduce emissions.”

DeepSea has used two critical AI technologies to unlock voyage optimisation based on legacy data: Transfer Learning and Hybrid

Modelling. Having access to a fleet with mixed data acquisition systems was paramount to the development of the AI tool.

SOFTWARE ADDITION

Seaber.io, a global maritime technology company headquartered in Finland, has announced an agreement with Preem, Sweden’s largest fuel company.

With Seaber’s schedule optimisation software, Preem aims to reduce emissions and increase the utilisation rate of vessels transporting their cargo.

The software-as-a-service application is designed for both shipowners and cargo owners allowing them to optimise efficiencies, save time and money, and deliver transparency throughout the organization.

Preem’s mission is to prevent and minimise emissions, and to achieve an effective use of resources and energy throughout the value chain. The company’s vision is to lead the transition towards a sustainable society.

Preem has production facilities in Lysekil and Gothenburg and ships its products to international clients and markets. Preem’s seaborne logistics consists of time chartered vessels, contract of affreightment and spot contracts. Annually, it schedules and

executes more than 1,000 voyages, predominantly carrying various feedstock and refined products.

Preem’s manager, shipping, supply and trading, Daniel Berndolf says: “Seaber’s proven optimisation technology will help develop our logistics and shipping operations. We are looking to get an extremely fast ROI that will have a direct impact in reducing Preem’s emissions and costs.

Seaber’s software will complement and unite our logistics process by digitalising our schedule planning.”

In addition to single cargo voyages, Seaber supports multi-parcel and multi-port voyages, where unnecessary ballast voyages and low utilisation rates are common. The technology, based on a modern tech stack, integrates seamlessly with existing software solutions such as ERPs and Voyage management systems.

© Peter Cornelisen

The Preem and Seaber teams, left to right: Anders Lindberg, Amanda Aho Vanhatapio, George Waller, Arto Viitanen, Petter Wennerström, Markus Ekegren, Per Ekström, Sebastian Sjöberg

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NAPA SUPPORTS TA-HO

TECHNOLOGY

Ta-Ho Maritime Corporation, one of the leading bulk shipping companies in Taiwan, is strenthening its commitment to digitalising operations by installing NAPA’s performance monitoring, voyage optimisation and navigational risk monitoring on eight vessels.

With enhanced fleet monitoring and management, NAPA is supporting Ta-Ho in minimising fuel consumption and emissions.

Under the deal, NAPA is delivering its next-generation NAPA Fleet Intelligence software, providing Ta-Ho with a full-picture understanding of its operations, including fleet-wide intel on vessels’ locations, past voyages, performance, speed, voyage duration, and fuel consumption. The software has been certified by ClassNK’s Innovation Endorsement framework for its function of accurately assessing and optimizing performance.

An initial pilot using NAPA Voyage Optimization over two months has already demonstrated a total fuel saving potential of 4.0%. In addition to this, trials showed that a further 2.9% fuel saving was possible by improving vessels’ operational profile using recommendations from the platform.

At the same time, using navigational risk monitoring allows teams to gain an overview of high-risk areas and map out voyages in line with this to minimise risk and maximise safety.

Furthermore, enhanced data collection and integration allows Ta-Ho’s teams to take a proactive approach to fleet management where, for example, insights on a vessel can help optimise maintenance schedules and manage aging. This operational optimisation contributes to enhanced energy efficiency and safety.

Greater intelligence on fleet performance will support decisionmaking in line with tightening environmental regulations, like the IMO’s Carbon Intensity Indicator (CII) and the European Union’s Emissions Trading System (EU ETS), allowing teams to make better-informed and strategic decisions to minimize their carbon footprint.

Ni Bo, director of sales at NAPA, says: “Digital solutions are empowering the industry to proactively comply with environmental regulations while also meeting operational and commercial goals. With NAPA Fleet Intelligence, teams benefit from seamless data integration across systems to act on multiple fronts, from emissions

reductions to stability and emergency response, with greater speed and accuracy.”

Alan Shieh, president at Ta-Ho, comments: “By adopting NAPA Fleet Intelligence endorsed by ClassNK, we are investing in a trusted digital solutions partner to navigate shipping’s growing complexities. This partnership with NAPA marks the next frontier on our digitalisation and decarbonisation journey.

“By building a fleet-wide operations database, we can reap the rewards of data-driven optimisation and stay ahead of the curve in terms of compliance with environmental regulations.”

Junichi Kawakami, regional manager at ClassNK Taiwan, adds: “ClassNK extends congratulations for the successful deployment and demonstration of NAPA’s solution aboard the Ta-Ho Maritime fleet.

This accomplishment is anticipated to contribute not only to Ta-Ho’s operational optimisation but also to the broader goal of decarbonisation.

As a third-party organisation, we will continue to provide transparent and reliable certification to encourage the adoption of innovative technologies in the shipping industry.”

Screenshot of a potential route on NAPA Voyage Optimization for a bulker

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DECARBONISATION

There are a number of new initiatives around the globe that aim to cut the carbon footprint, with ambitious projects to accelerate emission reduction

ROUTES TO NET-ZERO An ambitious project is underway that could see a radical new relationship between Thames vessel operators and London’s electricity network.

The Electric Thames project – a collaboration between UK Power Networks, LCP Delta, and Marine Zero – is assessing the viability of using electric vessels to feed stored electricity back into the capital’s energy network, accelerating the transition to net zero.

Using a principle similar to night storage heaters, battery-powered vessels on the Thames could store green energy when it is cheap to do so, such as when the wind is blowing or sun is shining, and feed it back to the grid during peak electricity hours. The approach could help increase the capital’s flexible energy capacity and reduce peak electricity demand.

The project, which is in its initial ‘discovery’ or scoping phase, supports the Port of London Authority’s transition to net-zero emissions and London Mayor Sadiq

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Khan’s pathway for London to be net zero carbon by 2030. The discovery phase of the project, which is funded via the Ofgem Strategic Innovation Fund, concluded at the end of May 2024.

Most of the boats, quaysides, and ports operating on the Thames – which supports a busy freight sector as well as eight million passenger trips per year – currently rely on fossil fuels. This is starting to change, however, as the river’s economy decarbonises in response to climate change and net-zero ambitions.

But as increasing numbers of Thames vessel and quayside operators move to electric power sources, there is limited understanding about how the shift will affect the capital’s power network and peak power demands.

The Electric Thames project team is consulting quay owners, vessel operators, and other stakeholders in order to understand the opportunities for investing in electrification and a sustainable route

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to revenue. This will allow power suppliers to plan and complete any works needed to facilitate the move to cleaner vessel and river operations along the River Thames.

Andy Hurley, director at Marine Zero, says: “Electric Thames isn’t just about achieving zero emissions on our capital’s river – it is even more exciting and significant than that.

Along with our project partners at LCP Delta and UK Power Networks, we are developing a completely new approach to increasing energy flexibility by developing new income streams new and flexible solutions for vessel and quay operators.

“We are delighted that Marine Zero has been selected to support the discovery phase of the project using our maritime experience and intelligence, and we look forward to engaging with the operators along the Thames over the coming weeks.”

Luca Grella, head of innovation at UK Power Networks, says: “This is a first-of-its-kind project in the UK, and one that is operating at the forefront of energy innovation.

“Tapping into this potential will not only help us create a cleaner Thames for everyone but will also give us an additional supply of flexible, green energy which will help our transition to a decarbonised energy system.

“We’re thrilled to be leading the way in this space and are also looking forward to seeing how this approach could be scaled to other rivers across the country.”

The outcomes of the project could shape a new whole-system planning framework for the nation’s rivers, canals, and waterways, offering insights for decarbonisation and electrification that could be replicated across the UK. Electric Thames has been supported by the Strategic Innovation Fund (SIF). Delivered in partnership with Innovate UK, the SIF programme taps into the best of UK and international innovation and aims to align with other public innovation funding for the benefit of customers across the UK.

DECARBONISATION

BLOCKCHAIN POWER

Bunker Holding, a supplier of marine fuel, carbon insetting experts 123Carbon and Bureau Veritas, have concluded their first blockchainpowered carbon insetting operation.

This insetting partnership allows for the additional cost delivery of lower carbon, alternative marine fuels – such as sustainable biofuel – to be shared by carriers, freight forwarders, and cargo owners within the same value chain; allocated based on a globally accepted book and claim methodology.

“We’re excited to work with 123Carbon and Bureau Veritas, as we believe in complete transparency of how insets are created and transferred.

Insetting is not new, but one concern within the maritime sector is under what circumstances alternative fuels are supplied, and who owns the emissions reductions,” says Tobias Troye, head of carbon solutions at Bunker Holding.

By combining its alternative fuel supply expertise, its global access to low-carbon fuels and extensive carrier network with 123Carbon’s secure platform, Bunker Holding can offer carriers, freight forwarders, and cargo owners complete transparency and assurance regarding how their insets reduce maritime emissions.

“We are delighted that Bunker Holding not only uses our advanced platform for the issuance of the certificates, but has also chosen a fully branded solution to deliver the certificates in a secure environment to its customers,” says Jeroen

van Heiningen, managing director of 123Carbon.

Working with 123Carbon’s blockchain-based insetting platform, and Bureau Veritas as third-party assurance partner to verify the fuel intervention and all related documentation, ensures that all insets are issued according to Smart Freight Centre’s Book & Claim methodology and 123Carbon’s assurance protocol.

“As a group, we are operationalising our decarbonisation strategy, and one key component has been to develop our alternative marine fuel supply capabilities, among others by securing fully certified biofuel availability in more than 100 ports around the world,” says Valerie Ahrens, senior director of new fuels and carbon markets at Bunker Holding.

“The relative higher cost of alternative fuels may still prevent carriers to bunker it. However, carbon insetting helps bridge that gap, as it enables cost sharing and also sends an important demand signal to alternative fuel producers to scale up production.”

ZERO EMISSION FUEL

The opportunities for the UK to become an early mover in the deployment of zero-emission fuel have been highlighted in a new report published

by UMAS, an independent maritime and energy decarbonisation consultancy, and Arup, a global sustainable development consultancy.

UMAS and Arup have joined forces to explore actionable ways in which the

Bunker tanker vessel supplying marine fuel to a cargo ship at anchorage

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DECARBONISATION

UK can become an early mover in the shipping industry’s decarbonisation, which are outlined in their report Opportunities for the UK to kickstart shipping’s transition to zero emission fuel.

The collaboration between UMAS and Arup on this research marks a partnership that is striving to address the urgent challenges of maritime decarbonisation. Together, these consultancies are combining their expertise to unlock actionable insights that not will only benefit the UK’s maritime industry, but also set a proven framework and precedent for global sustainability efforts.

Uncertainty over the development of zero greenhouse gas (GHG) emission fuels, regarding its demand, scalability and cost-effectiveness, is contributing to a lack of confidence among stakeholders, which in turn inhibits crucial and much-needed investments.

By combining UMAS’s comprehensive shipping insights and data and Arup’s expertise on energy production and port infrastructure, this joint research sheds light on the crucial factors that influence scalable zero emission fuel supply and demand in the UK. The urgency of meeting shipping’s decarbonisation targets is underscored by the International Maritime Organization’s (IMO) revised GHG strategy, which sets ambitious goals for

zero or near-zero GHG emission energy sources to constitute between 5% and 10% of the energy used by international shipping by 2030.

This will require the simultaneous scaling up of production facilities and supply chain infrastructure, including renewable energy creation and green ammonia production facilities.

By investing in this now, the UK’s bunkering fuel ecosystem (ports and fuel producers and sellers) has an opportunity to contribute to these ambitious goals, utilise existing infrastructure and benefit from ongoing government support programs such as the Hydrogen Allocation Rounds.

Leveraging UMAS’s first mover route identification tool, ‘FUSE’, and Arup’s expertise in the evaluation, design, and delivery in zero-emission fuel production, the report demonstrates that while overseas locations may offer lower zero-emission fuel production costs in the long term, the UK has an opportunity to become an early mover in this space while developing critical last-mile infrastructure to help secure its position in the future fuels market.

The research explores the potential impact and infrastructure needed to decarbonise the operations of six large ferries operating regular routes from ports in the North East of England, or seven container vessels operating

from ports in the Solent, on the South Coast. The paper demonstrates that the carbon savings that could be made could align shipping in these regions with the most ambitious decarbonisation trajectories for international shipping.

Understanding current shipping energy demand is instrumental in identifying opportunities to concentrate decarbonisation efforts and mitigate investment risks.

The study found that decarbonising a portion of the energy demand in these regions presents a tangible pathway towards achieving the IMO’s decarbonisation goals. For instance, the estimated demand for heavy fuel oil equivalent in the North East in 2023 amounted to approximately 513 ktonnes, while the Southampton/ Portsmouth port area had a demand of around 751 ktonnes. Decarbonising just 10% of this demand using methanol, ammonia, or hydrogen-derived fuels would create substantial progress towards sustainability.

Chris Thorne, director of strategy and operations, UMAS, comments: “The UK has a real opportunity to become an early mover in shipping’s transition to zero emission fuels. As the research has highlighted, making small, smart changes to our existing fleet will enable the UK to align with the most ambitious international shipping decarbonisation trajectories and showcase the UK as a leader in taking real action in this area.

Download a copy of the report by visiting: tinyurl.com/CSIUmasArupReport

ETS CONCERNS

The new report outlines actionable ways the UK can become an early mover in the global shipping industry’s decarbonisation

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Shipping giants are profiteering from the EU’s carbon market (ETS), a new Transport & Environment (T&E) study shows. A sample of more than 500 journeys to and from European ports shows that in nearly 90% of cases, shipping companies are charging customers more than the actual costs of the EU ETS. T&E says port evasion – the act of circumventing the carbon market – should not be used as an excuse to scale back the ETS. Far from avoiding the ETS, shipping companies appear to be profiting from it.

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The world’s first carbon market for shipping came into force on 1 January this year. In response shipping companies have levied an ETS surcharge, which is paid by the customer. In 2024, ships will only have to pay for 40% of their emissions. This increases to 70% in 2025 and 100% in 2026.

Southern European governments have warned that the ETS will drive business away from their ports, with ships choosing to unload at nearby ports on the other side of the Mediterranean in North Africa. But T&E shows that shipping companies are unlikely to evade the ETS if they are profiting from it.

Jacob Armstrong, shipping manager at T&E, says: “Shipping giants are ripping off customers by using environmental measures as a way to charge customers more. Whether it’s disruption in the Red Sea or a new carbon price, shipping companies always win. Southern European governments are warning that the ETS will cost them business by ships evading their ports, but why would they if they’re making money from it?”

T&E’s investigation looked at 565 journeys from 20 different ships from each of Europe’s four biggest shipping companies: Maersk, MSC, CMA CGM and Hapag-Lloyd. In the most extreme case, on a single journey from China to Germany, Maersk is likely to make €325,000 in surcharge profits.

Maersk is estimated to make the largest surcharge profits on average at €60,000 per voyage, followed by MSC (€25,000), Hapag Lloyd (€23,000) and CMA CGM (€14,000). While the individual profits for each voyage are not always that high, for carriers with hundreds of vessels this represents millions in surcharge profits every year.

Shipping costs have such a marginal impact on the final costs of goods, meaning the shipping companies can get away with charging extra costs.

As previous T&E studies show, even the most ambitious climate measures would add just cents to most consumer goods like a bunch of bananas, a pair of trainers or a television.

The ETS costs also pale in comparison to much greater

DECARBONISATION

surcharges being levied in response to disruption to Red Sea trade following attacks by Houthi militants. In one example analysed by T&E of routes taken by French shipping company CMA CGM from Asia to Europe, the cost of the ETS represents less than 1% of the price of a container. Their Red Sea surcharge, on the other hand, makes up nearly 18% of the total container cost.

Jacob Armstrong concludes: “Economies of scale mean the shipping business can absorb pretty large price shocks. The Red Sea disruption is pretty much as bad as it gets and global trade still hasn’t ground to a halt. The ETS is peanuts in comparison.

Cost is not a barrier to shipping decarbonisation when the most ambitious green measures would add just cents to most consumer goods.”

To its credit, Maersk – the worst performer in T&E’s study – has set out ambitious plans to produce alternative green fuels. Last year, the Danish shipping giant launched the world’s first green methanol container ship and recently announced decarbonisation targets compatible with science-based climate targets, says T&E.

SHIPPING’S ROLE IN CCS

Classification society Bureau Veritas (BV) has recently released a report that assesses the technical viability of current carbon capture and storage (CCS) technology within the marine market, and highlights the vital role that shipping can play across the entire CCS value chain.

The technology report, Onboard Carbon Capture: An Overview of Technologies to Capture CO2 Onboard Ships, details the current state of play regarding a wide range of emerging CCS technologies. The paper explores the technical and commercial viability of implementing CCS technology onboard vessels, highlighting the results from key feasibility studies that showed achievable capture rates between 82% and 90%.

The report also details the challenges to the wider adoption and integration of CCS technologies, such as regulatory frameworks that are yet to be consolidated at a global level, as well as from an operational perspective.

Concerns have been raised regarding the available space onboard vessels to accommodate

Marcos Salido, environmental project manager (strategy and advanced services) at BV Marine & Offshore

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DECARBONISATION

CCS technologies, as well as the safe handling of CO2 onboard.

While alternative fuels are generally seen as the key to ushering in a new era of sustainable shipping, the BV report recognises that the role of carbon capture technologies in decarbonising the maritime sector cannot be overlooked.

The paper also outlines the significant role that shipping can play in facilitating the development of a global carbon capture, utilisation and storage (CCUS) value chain as a major mode of CO2 transportation, particularly given the growing interest in offshore CO2 storage sites. Globally, some 230 million metric tons of CO2 are already used in industrial applications every year, including in the production of fertilizers, steel, and food and beverages.

Marcos Salido, environmental project manager (strategy and advanced aervices) at BV Marine & Offshore and main author of the report, says: “When assessing the feasibility of carbon capture technology onboard vessels, it is vital to do so within the context of the entire CCUS value chain, taking into account the potential challenges related to the management of the captured CO2.

“With sufficient regulations and infrastructure in place, the maritime industry could benefit from the development of a truly circular CO2 economy, while contributing

BV’s report examines CCS technology

to the industry’s ambitious decarbonisation targets.”

Onboard Carbon Capture: An Overview of Technologies to Capture CO2 Onboard Ships is the second report to be issued by Bureau Veritas’ Future Shipping Team initiative, and can be downloaded at: tinyurl.com/CSIBVCarbonCapture

CURACAO BATTERY ORDER

Technology group Wärtsilä will supply the Caribbean island of Curaҫao with a 25MW / 25MWh battery energy storage system (BESS).

The system will enable the expansion of renewable energy capacity and the reduction of carbon emissions, representing an important step towards a sustainable energy future for the island.

The order was placed by Aqualectra, Curacao’s government owned utilities company, and will be booked by Wärtsilä in Q2, 2024.

The BESS and the GEMS Digital Energy Platform will provide grid stability and reliability, reduce unserved energy and help mitigate the risk of brownouts and blackouts.

In addition, the BESS system will allow Aqualectra to expand their renewables’ vision thus allowing more renewable generation in the power system. The BESS system will also help smooth the intermittency of renewables.

“Aqualectra’s strategic objective is to provide the community with affordable, sustainable, and reliable electricity. The Wärtsilä solution will support all these objectives through reducing generation costs, enabling the integration of renewables, and decreasing CO2 emissions, while providing high reliability,” comments Joseph Everon, advisor to the chief technical officer at Aqualectra.

The order with Wärtsilä follows a detailed modelling of the power system to determine the best way forward.

“The BESS and GEMS provide the reserves needed to improve asset loading, and therefore efficiency, availability of energy, grid stability and reliability,” says Christoffer Ek, director of decarbonisation services at Wärtsilä Energy.

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“Wärtsilä’s leading technologies and our capabilities of lifecycle services will support Aqualectra’s vision of a sustainable energy future.

We are pleased to continue our close partnership with this project “The Caribbean has been an important region for Wärtsilä for decades and we have established many long-term relationships over that time. Aqualectra has been one of those great partners and this announcement to add BESS to their system with Wärtsilä is another sign of that strong relationship,” says Jon Rodriguez, energy business director at Wärtsilä Energy.

“Wärtsilä is here with solutions and capabilities for the Caribbean, and we are excited to continue serving this market for decades to come The Wärtsilä equipment is scheduled for delivery in Q1/2025, and the project is expected to be fully operational by the end of Q2/2025.

IBIA AND BIMCO LINK UP

The International Bunker Industry Association (IBIA) and BIMCO have signed a memorandum of understanding (MoU) to collaborate on some of the challenges and opportunities within the areas of bunker, marine energy and maritime sectors and help facilitate shipping’s decarbonisation efforts.

The parties have agreed to leverage their respective expertise and resources to develop innovative solutions and initiatives to facilitate the transition towards cleaner fuels and efficient and sustainable shipping practices. The partnership MoU will focus on addressing the following key areas: » Research and development: collaborate on research initiatives, studies, and projects relevant to the bunker/marine energy industry and maritime sector. » Information sharing: share relevant information, publications and data that may be beneficial to the members of both organisations. » Training and education: explore opportunities for joint training programs, seminars, and educational initiatives to enhance

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the knowledge and skills of professionals in the maritime and bunker/marine energy industry. » Influence: work together on efforts to address common issues and challenges faced by the industry.

Commenting on the MoU, Alexander Prokopakis, executive director of IBIA, states: “This partnership between IBIA and BIMCO marks an important step towards addressing the pressing challenge of decarbonisation in the shipping industry.

The collaboration underscores the industry’s collective commitment to navigating towards a greener future for maritime operations.”

David Loosley, BIMCO secretary general says: “As we work towards the targets of IMO’s updated GHG strategy, working across all sectors that influence and support decarbonisation of shipping will be key.

DECARBONISATION

Our ships will rely on many different fuel solutions and working toward the safety and availability of those is crucial.”

LITHUANIAN CO2 PROJECT

The European Commission has granted the status of Project of Common Interest (PCI) to a CO2 capture and transportation project in Lithuania and Latvia developed by the CCS Baltic Consortium. The consortium consists of Akmenės cementas, KN Energies, Larvik Shipping, Mitsui OSK. Lines and Schwenk Latvija .

This grant means that the project is recognised as a key cross-border infrastructure project, which will significantly contribute to the implementation of the energy policy and climate goals of the European Union.

There are only 14 CO2 infrastructure projects listed in this award round

as either PCI or Project of Mutual Interest (PMI), which is for key projects between the EU and non-EU countries.

PCI and PMI can benefit from a number of advantages, including eligibility for financial support named Connecting Europe Facility.

The consortium was formed in 2022 with the purpose of creating a carbon capture and storage (CCS) value chain in Lithuania and Latvia, which would include capture of CO2 generated in the industrial sector and onshore and offshore transportation to permanent storage sites. Operations are set to start in 2030.

Currently in Lithuania as well as in neighbouring Poland and Latvia, underground CO2 storage is prohibited.

Therefore, CCS can become an important option for companies in these countries facing challenges to achieve their decarbonisation goals solely through process optimisation.

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DECARBONISATION: VIEWPOINT

RECLAIMING TRUE SUSTAINABILITY To achieve environmental goals, it is time for a radical shift in perspective, says Sofia Fürstenberg Stott

Sofia Fürstenberg Stott Partner, Fürstenberg Maritime Advisory

During our interactions with the maritime industry, we observe that the concept of sustainability is increasingly being diluted, often representing little more than a checkbox exercise, rather than striving for the substantial impact that is urgently needed. To achieve true sustainability goals in the maritime industry, it is time for a profound shift in perspective and actions.

The maritime industry is currently facing unprecedented existential challenges reconciling between commerce and preservation of our planet. At Fürstenberg Maritime Advisory (FMA), we deliver specialised maritime advisory services to an industry that often goes overlooked.

Our experience tells us that embracing a broader perspective is essential. By engaging beyond its current confines and synergising with other sectors facing similar challenges, the maritime industry can leverage opportunities to reduce risk and impact major issues that are often missed because the industry is too narrowly focused.

FMA’s mission is to simplify the complex world of maritime sustainability, making it accessible and understandable for all stakeholders. We aim to challenge and transform conventional thinking in order to discover unique capabilities and opportunities that enable impact-driven companies to rise above.

The critical role of maritime

Increasingly, competitiveness is not only measured by bottom lines, but also by how companies improve from the perspectives of people, transparency and planetary boundaries. This balancing act must also be assessed from an outside perspective, as climate change and sustainability related litigation are becoming clear insurance concerns.

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A vision of 2035

Imagine it is 2035 and you are working in the maritime industry and news reports reveal surprising statistics: » Environmental crisis: ocean acidification and plastics are under control, fish stocks are balancing, and the Gulf Stream failure tipping point has been mitigated. The fleet is decarbonising along the International Maritime Organization ambition trajectory while also contributing to less chemical and oily waste. » Human impact: crew members report a higher level of engagement with improved mental health, and women make up higher percentages of the workforce. Communities near ports enjoy reduced pollution, and increasingly collaborate with the shipping industry on circular solutions.

These are two brief examples of how we envisage news of the future where the critical need for true sustainability has been embraced. At FMA, we believe that by looking back from a future perspective, we can pinpoint and address the essential elements for a sustainable 2035 and beyond.

The current trajectory suggests a more disappointing future for the maritime landscape, with sustainability frequently misappropriated or reduced to compliance without real impact.

While delivering on true sustainability is challenging, embracing impact strategies now can improve corporate resilience, ensuring relevance and profitability amidst evolving industry challenges.

Sustainability belongs as a core tenet of maritime business, realigning priorities with planetary needs.

By 2035, we are determined to look back and affirm that we have inspired our customers and catalysed impact across all areas of sustainability.

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The maritime industry must, for example, better engage with scientific research, develop a deeper understanding of the marine habitat, and proactively explore oceanic protection measures.

The path to true sustainability in shipping is challenging but vital. It requires a collective effort to ‘undoom’ ourselves and strive for a future where maritime activities align with the planet’s well-being.

We offer support to those who seek to both lead and participate in the required changes, by providing pathways which fundamentally place sustainability at the very centre of corporate strategy. We are dedicated to redefining maritime sustainability for authenticity.

Through proactive steps and a long-term vision, we can reclaim what true sustainability in shipping is, and ensure a thriving maritime industry for generations to come.

DECARBONISATION: VIEWPOINT

By looking back from a future perspective, we can address the essential elements for a sustainable 2035 and beyond

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DECARBONISATION: INTERVIEW

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FUTURE PROOFING

Clean Shipping International talks to Garry Noonan, Ardmore Shipping’s director of innovation, about the company’s approach to environmental issues Ardmore is a firm believer in progress through performance and without that performance there is no progress. “We are in a situation where the energy transition is maturing, it has lost its initial glow,” says Garry Noonan, Ardmore Shipping’s director of innovation.

“From our point of view, the energy transition has always been part of our core beliefs and goes to our DNA.” The company wants to play a pivotal role in the energy transition, but is also conscious that every technology it uses has to perform.

“Without that we don’t have the company performance, and without that it is hard to survive and do good.”

He says he is a firm believer that “we are looking down the barrel of the revolution when it comes to future fuels, but how far away those fuels are is anyone’s guess.”

The consensus seems to be not within the next 10-15 years as far as spot market investments are concerned, he says.

“While we are looking forward at that revolution, right now we are in an evolutionary phase. We are doing more with what we have and we know hydrocarbons are going to stay around for a long period of time. We can’t just sit here and wait for these new fuels, there is a lot we can do right now to make our vessels more efficient and when those new fuels come, that efficiency will be even more key.”

This, he says is because they “will not have the energy density of the fuels we have today and they will not be the same price as the fuels we have today so energy efficiency is going to be even more key in the future.

I am a firm believer that a tonne of carbon saved now is worth a lot more than a tonne of carbon saved in 2030 or 2050 or whatever target you want to use.”

He says the company has a remit to go out and find new technologies and try new technologies. He adds one of the things he is most proud of is the company finds ways of integrating technologies together that already exist to get synergies that may not be readily available to others on the market.

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At the moment “we are in the middle of a digitalisation age,” he says. Software applications as service solutions are “popping up so regularly that if you were to investigate them all you would never make a move. It is akin to waiting for next year’s IPhone. If you keep waiting, you never do anything.”

Collaborating with companies is a key part of Admore’s business approach, including relationships with Alfa Marine and Deepsea Technologies.

Ardmore has also integrated weather routing and Manta Marine’s two-lock system for constant power. “Getting all the partners in the room and discussing this openly is what collaboration means,” he says.

“Collaboration can be a buzz word that gets thrown around, very often when you talk about the transition, but I worry that it can come across empty if it does not have some substance behind it and when people say ‘let’s collaborate’ they don’t necessarily tell you what that means. For us, it is speaking with our peers and other companies and seeing what they are doing and sharing information about what we are doing.

“If we can all raise our game together it helps us to find ways to do things and eke out those last couple of cents. That is great for everybody, for the industry, from a personal point of view and for job satisfaction.” More importantly, he says, it is good for the energy transition because it pushes everyone to delve deeper.

“We are a firm believer that if we try something and it works, we don’t have to tell you because you can see it is on all our vessels. If you buy a piece of equipment and you multiply it by 22, the ultimate figure does not really matter because we look at each vessel individually. Each technology has to stand on its own two feet.

“Even when our market was very poor, there was never an issue in getting approval for capital upgrades because if could prove that they worked and they stood on their own two feet it just got done. Even in a bad market, saving fuel and saving emissions

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has more of an effect on your bottom line that in a good market. A bad market highlights inefficiencies a lot more than a good market.”

Operating in a bad market has trained the company in learning to be efficient with what it had, and in a good market, the company remains conscious of the importance of “protecting the core”. Energy transition has become increasingly important over the past few years and the company saw the need for a dedicated team internally.

“Ardmore has put its faith in the energy transition and we are firm believers that the energy transition team and our energy transition plan is a way of future proofing the company.”

This applies from an economic and ecological point of view, but also from a “talent acquisition point of view. As we see the younger generations coming up, they are caring more and more about the environment and if we don’t have this kind of ethos internally, then I worry we won’t have access to talent in the future.”

While shipping is the most efficient means of moving products, this does not mean it is as efficient as it could be.If one looks at some of the technology that has been put in place, including micro boilers or variable speed drives, can result in substantial savings for the investment.

The company has recently signed a contract with Deep Sea AI to use them for performance speed optimisation during the voyage. Throughout the trial with them, the company saw savings of nine or 10%, he said. “We are not saying every voyage is going to be a 10% saving, but there is a lot of money on the table there and it is up to us to go and find it. We still have room to grow up.”

As ships get older, the payback when one looks at the likes of wind assist or air lubrication, you are looking at a seven to eight year payback. If vessels are being operated for 15 years on the oil side, oil majors will tend to gravitate away from older vessels after this. There are really only two options for upgrades after the first and second special surveys. There is a fine balance between understanding the

DECARBONISATION: INTERVIEW

technologies and cost benefits, but also throwing technology at the crews is something that needs to be considered, he says.

Training is key. A lot of time the tendency is to gravitate to passive technology, which individuals on board don’t have to deal with, but some technologies are labour intensive and the company is very conscious of this.

“When we put a new technology on, like our ballast water treatment system, we try and get a training system up and running with joint venture partners. Seafarers are receiving training on the systems and the company is fully compliant with the new rules on ballast water coming into force this year,” he says.

The main thing is to ensure that the crew understand the new technology ahead of the last day in dry dock.

“What we are trying to do is get the guys trained up on the new technology before they go on the vessel.

“Technology is only as good as the operator operating it, and we saw this when we first started with our performance management system 10 years ago”.

Reducing the pressure

The company currently owns 22 vessels and these are not working eight to five, he says. “Anything we can do to take the pressure off them is something that is a very positive from our point of view.” Small things add up, like closing doors to reduce cold air being sucked out, or turning lights off, for example. Ardmore has done analysis of the small ways in which costs can be kept down, which resulted in substantial savings across the fleet.

People get integrated into this saving culture quickly, he says.

“As a sea-going engineer, I was always told you have five senses and you use every one of them when you are in the engine room. That is as true today with the new technology as it ever was.” The company is also working with Anglo Eastern and Anglo Ardmore to reduce the clerical work on board, he says to ensure they concentrate on the fundamentals.

In terms of going forward, with the new fuels, historically shipping

has run on residual fuels that no one else wants and is looking at a future where it will be in the open market buying fuels. He says he is not 100% sure the industry will be able to dictate what fuels can be got where.

“When we operate on the spot market we need to have that infrastructure not far off everywhere.”

They will be paying a lot of attention to the liner trades because they will be setting things up in the first instance. Green corridors are certainly a great way of doing that.”

More than green corridors are needed if operating in the spot market however. “While we continuously keep an eye on what is happening we certainly can’t control it right now, so we like to look after what we can do, and that is making our vessels more efficient,” The company has a lot of trials on to look at different ways of achieving this, which it hopes will pay dividends during the coming years, by which time there may be an actual path to achieving the goals. This is too big a problem to be left until the last minute, he says.

Set guidelines and regulations are needed to establish which path to follow with new tonnage generally. “there is a danger of building the wrong asset”. In the meantime, the company uses scrubbers and carbon capture will be key to meeting the targets, he says. The “chicken and egg debate” as to whether fuels or infrastructure moves first, is continuing. He hopes that regulations will set the pathway in a clear way.

One set of rules internationally is the preferred option, although it is tough because there are many member states in IMO membership with different preferred options.

Ardmore is in a very good position as far as EU Emissions Trading System is concerned, he says.

He says he hopes the Carbon Intensity Indicator (CII) “moves away from deadweight to actual work done” “The last thing I would want to see is companies ballasting ships so they can get a good rating rather than actually utilising the ship.”

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New regulatory requirements mean that the maritime industry faces a liability risk in the years ahead

RULES OF ENGAGEMENT Document of compliance holders will be open to fuel liabilities risks, according to a new analysis by OceanScore.

Implementation of the FuelEU Maritime regulation from 2025 presents an accountability dilemma for shipping as it is currently the Document of Compliance (DoC) holder that will be held responsible for fuel selection and could therefore face penalties - contrary to the ‘polluter pays’ principle, according to OceanScore.

Shipping companies must start preparing now for the regulation as they face a 31 August deadline to submit a monitoring plan to track the fuel type and consumption for each EU voyage for each vessel as required

by FuelEU, says Albrecht Grell, co-managing director of the Hamburg-based maritime technology firm.

FuelEU is intended to promote uptake of zero- and low-carbon fuels, as well as adoption of sustainable technologies like wind power for fuel efficiency, by mandating progressive reductions in the greenhouse

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gas (GHG) intensity of energy used by ships over 5000GT compared with a 2020 baseline, rising from 2% next year to 80% by 2050, with penalties for non-compliance.

The default responsible entity for FuelEU compliance remains the DoC holder – typically the technical manager – that has operational responsibility for the ship and handles compliance with a wide range of EU regulations relating to maritime safety under the International Maritime Organization’s International Safety Manangement Code.

The DoC holder is also responsible for reporting of emissions and other voyage data under the EU’s Monitoring, Reporting and Verification regime that will underpin FuelEU, which apparently makes this entity well-placed to manage data collection and reporting processes for the new regulation.

“However, this poses the risk of significant cost exposure for the DoC holder in the event of heavy penalties due to non-compliance with carbon intensity targets, which would

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far exceed the financial capacity of most ship management companies.

They are in no position to carry the related burdens – neither financially nor contractually,” Grell explains.

And he says the clock is ticking as the DoC holder can be slapped with a penalty for each vessel with a compliance deficit as of June 2026, based on the FuelEU report due to be submitted in March that year for the preceding 12-month reporting period.

A similar scenario with the EU Emissions Trading System resulted in an implementing regulation that designated the shipowner as responsible for compliance, with the option to reassign this responsibility to the DoC holder.

But the EU’s DG MOVE (DirectorateGeneral for Mobility and Transport) has reportedly stated “the responsible entity will not change” as the EU Commission’s powers to make such a change by an implementation regulation are limited under FuelEU. “The DoC holder does not though have any influence or control over the type of bunkers used on a vessel or investments made and therefore, based on the EU’s overarching ‘polluter pays’ principle, should not be held accountable for the financial impact of those decisions,” Grell says.

“Rather, the consequences in terms of penalties should be allocated to the parties making such decisions, with either the shipowner or charterer responsible for fuel choice depending on the charter party, so this would require a similar mechanism to the EU ETS.” As things stand though, the most pressing task is to put in place responsible reporting and verification procedures for each ship affected by FuelEU, giving priority to submission of the monitoring plan.

As well as costs incurred due to undercompliance with FuelEU intensity targets, or compliance deficit, there is also surplus from overachieving these targets that can either be banked and carried over for future use or shared with other vessels that have deficits under a pooling arrangement – different from commercial pooling – including non-owned units, to gain

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compliance for all pooled vessels provided there is a combined surplus.

Consequently, contractual arrangements need to be in place both to ensure costs accountability for the appropriate parties in the case of a deficit and to assign the benefits of surplus to the entities responsible for fuel procurement, whether this is the charterer or registered owner, with data quality a key factor.

This will require amendments to the charter party to assign FuelEU costs and benefits, as well as to ship management contracts to align responsibility and costs.

Structural measures can also be implemented by shipowners to mitigate potential penalties and gain competitive advantage, such as windassisted propulsion and readiness for onshore power supply.

Respective investment assessments should be prepared, including a technical assessment of the suitability for the specific vessel and trading area as well as the availability of onshore power at likely ports of call.

An additional FuelEU requirement for zero-emission at berth will be compulsory from 2030 for container and passenger vessels.

Identifying sources of alternative fuels and running the respective business plans should be part of the same preparations from an operations perspective, according to OceanScore.

“However, the immediate priorities for shipping companies are to familiarise themselves with the complexities of the new regulation and understand how it might impact their operations and costs. This can be done by simulating decisions in areas such as investments, vessel deployments and alternative fuel usage to decide on the optimal way forward,” Grell says.

He believes it is necessary to set up a management solution to track the compliance balance, emerging penalties and determine accountability, so these costs can be allocated through automated invoicing. Smart simulations can also be conducted to ensure the respective clauses in charter parties are correct, and that there is full transparency around these processes

and resulting penalty exposures by the time FuelEU is implemented on 1 January 2025.

While shipping awaits final adjustments to the regulation and BIMCO clauses to clarify the contractual side, OceanScore has developed a new solution to support shipping companies with planning for the impact of FuelEU on a pervessel and fleet-wide basis, assessing the current exposure, simulating the effect of different fuel and investment strategies, and planning for how to handle remaining compliance balances, including through pooling.

This is aligned with OceanScore’s market-leading ETS Manager, including data on vessel, charterer and charter parties as well as bunker consumption.

Once FuelEU enters into force on 1 January 2025, tracking the development of compliance balances and resulting penalties will become of paramount importance, planning future operations and bunker procurements need to be covered, and charterers invoiced based on charter party clauses and incurred compliance deficits.

OceanScore’s upcoming FuelEU Planner will facilitate all these processes, along with engagement between the three main parties in relation to FuelEU transactions – owners, charterers and managers – to secure accountability. As well as assessing the initial FuelEU compliance balance given today’s operational patterns, the new solution will be able to simulate optional scenarios for 2025 to assess their implications for compliance balance and costs.

“FuelEU will also require a new level of collaboration in the industry, given compliance pools can be formed beyond current fleets of owners and managers, while alternative fuels must be matured and onshore power options explored,” Grell says.

“As well as developing smart solutions to navigate regulatory complexity, OceanScore is leveraging its global reach to facilitate new industry partnerships that will be necessary to help shipping companies meet the challenges of the upcoming FuelEU regime.”

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DEMYSTIFYING ESG

The demand for organisations across the freight transport spectrum to develop a cogent Environmental, social and governance (ESG) policy is ever increasing. Insurer TT Club is providing an active toolkit to assist in the development of relevant policies.

TT has produced a toolkit to assist those it insures meet the complex demands developing ESG policies present. It provides signposts to strategies and solutions to challenges such as emissions calculation, reduction and reporting.

Commenting on the launch of the toolkit, TT’s CEO Charles Fenton says: “The rapid development of ESG principles presents a challenge to many members, particularly smaller operators. Our ESG toolkit is in line with our commitment to providing our members, and the sector as a whole with the resources to give insight, educational content and support in navigating a company’s pathway in this complex area.”

“The toolkit will develop over time to build a resource base of success stories of effective ESG strategies from across the cargo handling and supply chain sectors, ” explains TT’s managing director Loss Prevention, Mike Yarwood. “This series of case studies provide building blocks to guide others in designing and embedding ESG policies and will be augmented as our experiences and those of our Members and partners evolve.”

The components of ESG are well recognised, but what is less well known are the varied implications of applying high and developing standards of business practice in each area.

Support and guidance to help mitigate the environmental impact of operations is a valid start point but knowing what to consider will be starkly different for a freight forwarder, a port or a container terminal.

Operations must positively impact local communities wherever possible.

However, transport and logistics companies wield significant influence over numerous social factors. From ensuring fair labour practices to promoting diversity and inclusion and

to safeguarding employee well-being.

What are the best means of ensuring these goals is a question an operator must answer.

Furthermore, the requirements and benefits of good governance are still evolving alongside the rise of ESG. This predates environmental and social risks as a corporate priority but inconsistent developing demands by both international regulators and national governments means transport operators must keep a watchful eye on variable trends.

In all cases TT believes its ESG toolkit provides current, practical guidance to operators .

To download a copy of the toolkit, visit: tinyurl.com/CSI-TTToolkit

SPOTLIGHT ON DAVIT

Safe and reliable operation of boathandling systems onboard vessels is dependent on regular inspection and maintenance by qualified technicians both to preserve the integrity and prolong the lifespan of davit equipment. And using rogue service providers to cut corners on cost poses safety and commercial risks as it can endanger lives as well as impact operations, according to Vestdavit.

Vestdavit service technicians are properly trained and certified to effectively perform safety-critical maintenance on its davit systems © Vestdavit

Davits have a variety of applications on different vessels across several ship segments, from release of lifeboats on

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cruise ships and merchant vessels, to deployment of workboats from offshore support vessels and launch-andrecovery of rapid response craft used for naval missions.

The common denominator for all these applications is that human lives are at stake and boats carrying passengers or personnel must be deployed from davits in variable sea states in a safe and responsible manner to minimise risk both to people and other assets onboard.

“Davit maintenance is therefore an essential safety factor that should not be taken lightly. Just like an elevator in a building, service work should be entrusted to trained and certified technicians from the original equipment manufacturer (OEM) to safeguard life,” explains Magnar Bøyum, managing director of Dutch subsidiary Vestdavit .

Shipping companies are required

by SOLAS regulations to perform annual and five-yearly services of davit systems that should be conducted by “certified personnel of either the manufacturer or an authorised service provider”, as dictated by International Maritime Organization (IMO) Resolution MSC.402(96) that covers requirements for maintenance, testing, overhaul and repair of lifeboats and rescue boats, launch appliances and release gear.

This regime also envisages the use of genuine fully tested spare parts for repairs.

The resolution, implemented in 2020, was earlier adopted by the IMO’s Maritime Safety Committee in response to a succession of accidents, detentions and losses over recent decades due to failures of on-load release mechanisms, inadequate maintenance of lifeboats and launching equipment, unsafe practices and design faults, among other factors.

The amendment to SOLAS regulations relating to operational readiness, maintenance and inspections sought to address these issues by establishing a uniform, safe and documented standard with specific procedures for periodic servicing of davit systems.

However, Bøyum believes the shipping industry still has a way

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to go to live up to this standard, highlighting the fact that vessel operators may select lower-cost rogue service providers with technicians that apparently have the required certification but actually lack the necessary competence to perform highly specialised davit maintenance work.

“Price remains the overriding decision driver when selecting service providers for annual and five-yearly surveys, especially with merchant shipping companies in areas such as ferries and fishing as they may have multiple davits from different suppliers onboard and typically go for the lowest bid to service all of these units,” he explains.

This is especially the case for operators with vessels that mainly have only smaller rescue davits that are not used beyond what is required to meet SOLAS requirements, which means they seek the minimum cost to gain periodic service compliance.

Consequently, they may take onboard service personnel without specialist training and competence related to the davit system.

“Frequently, though, we get contacted by these clients because the service provider they have been using for years has not been able to understand the product correctly or lacks the spare parts necessary to keep the davit safe, which means we have to step in to fix it,” Bøyum says.

He points out that davit systems can differ widely in terms of design, level of technology and functionality, so it is erroneous and risky to assume that any davit supplier can certify technicians with the necessary competence for all such systems.

In line with SOLAS regulations, Vestdavit therefore strongly advocates that annual and five-yearly inspection and maintenance of its davits should be carried out by OEM-approved technicians with certification from the company’s in-house training programme.

Vestdavit’s high-end naval and coast guard clients have typically adopted the practice of OEM inspection and maintenance, even though they are not bound by SOLAS service requirements,

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as they are more dependent on safe and reliable equipment to avoid the risk of failure with mission-critical operations, according to Bøyum.

“These clients have davits that are in frequent daily use – sometimes up to 20-30 times a day – so they are wholly reliant on having a high-quality system with a minimum of downtime,” he explains.

Vestdavit’s boat-handling systems are sophisticated solutions, with wave-compensating winches, shock absorbers and other technologies, which are designed for high performance and frequent use over a long lifespan, often in harsh conditions with high sea states, compared with lower-spec systems that are typically used less frequently in more benign marine environments.

“This demands in-depth knowledge of the product, understanding of its functionality and a high level of competence to ensure the system is properly serviced, which can only be provided by a Vestdavit technician working with our systems on a daily basis,” Bøyum says.

Vestdavit can now combine servicing of its davits with selected types of rescue boats supplied for its systems, which is beneficial for clients. The company is also optimising davit maintenance by providing OEM instruction for service partners and crews at its training centres so they can properly run and maintain its systems during day-to-day operation.

Supply of spare parts is another key factor with OEM maintenance as Vestdavit can quickly provide genuine tested components from available stock within a day to avoid waiting time for long-lead items such as bearings, brakes and accumulators that can cause delays.

There is a risk of using non-original parts as these may have hidden shortcomings, such as materials or surface treatments that have not been subject to the test regime, which could hit system performance and ultimately lead to malfunctions or failures with potentially serious safety consequences – including fatalities.

“Regular davit servicing by a certified Vestdavit technician is

therefore a vital prerequisite for safe operations and regulatory compliance, while there are also commercial benefits in less downtime and an extended product lifespan, as well as reduced reputational risk with less potential for incidents,” Bøyum concludes.

© Vestdavit

BE PREPARED

Amidst the numerous unprecedented logistical challenges the maritime industry faces worldwide, it is vital not to overlook how the sector is potentially unprepared for the crucial new EU environmental regulations. “It seems not everyone is aware of the impending EU requirements,” warns Sjoerd de Jager from PortXchange.

As international regulators require net-zero emissions across the sector by 2050, impactful regulations have been implemented to achieve this necessary goal. The recording of EU emissions by MRV and CSRD, coupled with the increasingly strict limits on emissions by FuelEU and ETS, signifies the profound regulatory change the maritime sector is undergoing.

The recent ETS assignment of administering authorities to shipping companies is one of the final stages

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in implementing ETS. Each shipping company has also been allocated a country to open its Maritime Operator Holding Account (MOHA) and submit its greenhouse gas emission allowances (EUAs), further restricting allowable emission levels.

Although these new requirements may currently appear modest, they will quickly intensify and necessitate sweeping adjustments within the sector. Adequately adapting to these changes demands a swift and dedicated response. The substantial fines for non-compliance will mean a change of attitude from indifference and waiting and seeing to rapid compliance in meeting deadlines.

This underscores the need for immediate action to avoid any financial consequences.

Despite the regulations primarily targeting shipping lines, the role ports will play in meeting these challenges is vital. Ports are strategically positioned to lead the charge towards greener shipping, as they are essential locations in designing the new fuel infrastructure and are often sources of massive emissions from transportation and industrial cluster activity. Port emissions cannot be ignored in the shipping line calculations as Scope 3 and sometimes Scope 2. With ports often also close to residential areas, the impact of a port’s decarbonization agenda is hard to overestimate.

The complexity of the current environmental regulations requires data-driven solutions so the maritime sector can remain proactive in complying with the new industry standards. Ports must lead in the historic effort to reduce emissions and PortXchange is committed to supporting the industry in achieving this goal. PortXchange’s EmissionInsider will help benchmark current port emissions, evaluate strategies to reduce emissions, and implement decarbonization practices so ports can achieve zero-emission status. Our reliable data collection services enable ports to be leaders in complying with international climate regulations while transitioning to creating a more sustainable port ecosystem.

GIANTS PROFITEERING

Shipping giants are profiteering from the EU’s carbon market (ETS), a new Transport & Environment (T&E) study shows. A sample of more than 500 journeys to and from European ports shows that in nearly 90% of cases, shipping companies are charging customers more than the actual costs of the EU ETS. In one extreme case, the Danish company Maersk will likely make more than €300,000 extra off a single voyage.

T&E says port evasion - the act of circumventing the carbon market should not be used as an excuse to scale back the ETS. Far from avoiding the ETS, shipping companies appear to be profiting from it.

The world’s first carbon market for shipping came into force on 1 January this year. In response shipping companies have levied an ETS surcharge which is paid by the customer. In 2024, ships will only have to pay for 40% of their emissions. This increases to 70% in 2025 and 100% in 2026.

Southern European governments have warned that the ETS will drive business away from their ports, with ships choosing to unload at nearby ports on the other side of the Mediterranean in North Africa. But T&E shows that shipping companies are unlikely to evade the ETS if they are profiting from it.

Jacob Armstrong, shipping manager at T&E, said: “Shipping giants are ripping off customers by using environmental measures as a way to charge customers more. Whether it’s disruption in the Red Sea or a new carbon price, shipping companies always win. Southern European governments are warning that the ETS will cost them business by ships evading their ports, but why would they if they’re making money from it?”

T&E’s investigation looked at 565 journeys from 20 different ships from each of Europe’s four biggest shipping companies: Maersk, MSC, CMA CGM and Hapag-Lloyd. In the most extreme case, on a single journey from China to Germany, Maersk is likely to make €325,000 in surcharge profits.

Maersk is estimated to make the largest surcharge profits on average

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at €60,000 per voyage, followed by MSC (€25,000), Hapag Lloyd (€23,000) and CMA CGM (€14,000) While the individual profits for each voyage are not always that high, for carriers with hundreds of vessels this represents millions in surcharge profits every year.

Shipping costs have such a marginal impact on the final costs of goods, meaning the shipping companies can get away with charging extra costs.

As previous T&E studies show, even the most ambitious climate measures would add just cents to most consumer goods like a bunch of bananas, a pair of trainers or a television.

The ETS costs also pale in comparison to much greater surcharges being levied in response to disruption to Red Sea trade following attacks by Houthi militants. In one example analysed by T&E of routes taken by French shipping company CMA CGM from Asia to Europe, the cost of the ETS represents less than 1% of the price of a container. Their Red Sea surcharge, on the other hand, makes up nearly 18% of the total container cost.

Jacob Armstrong concluded: “Economies of scale mean the shipping business can absorb pretty large price shocks. The Red Sea disruption is pretty much as bad as it gets and global trade still hasn’t ground to a halt. The ETS is peanuts in comparison.

Cost is not a barrier to shipping decarbonisation when the most ambitious green measures would add just cents to most consumer goods.”

To its credit, Maersk - the worst performer in T&E’s study - has set out ambitious plans to produce alternative green fuels. Last year, the Danish shipping giant launched the world’s first green methanol container ship and recently announced decarbonisation targets compatible with science-based climate targets, says T&E.

Shipping giants are ripping off customers

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WIND POWER

Wind-assisted propulsion is a key decarbonisation tool that many companies are now exploring

Very large gas carrier

PLAIN SAILING Following installation of eSAIL foundations in Poland in November 2023, the 5,200-dwt Ville de Bordeaux (built 2004) has emerged from a short stopover in a shipyard in Vigo, Spain with its three brand-new, 22-metrehigh eSAILs in place. The verticalisation manoeuvre and connection to the reinforcement of the suction sails was completed in less than two days .

The Ville de Bordeaux is on charter to Airbus from Louis Dreyfus Armateurs (LDA) and used to transport A320 Family components from Europe for final assembly at the aircraft manufacturer’s US factory in Mobile, Alabama. The fast installation process involved minimal downtime for the vessel.

The installation of the eSAILs, developed by the technology innovator bound4blue, contributes to Airbus’ target to halve CO2 emissions from its maritime logistics operations by 2030, versus a 2015 baseline.

Moreover, wind-assisted propulsion is a key decarbonisation solution LDA believes

can help the company reach its goal to achieve net-zero greenhouse gas (GHG) emissions by 2050.

“The Ville de Bordeaux installation takes us one step closer to that goal. The sails look fantastic, and we look forward to seeing them in action. Along with our client Airbus we’re proud to be among the first movers in this space,” says Mathieu Muzeau, transport and logistic general manager at LDA. CTO of bound4blue, David Ferrer, adds: “This installation is our fourth ship project and the first of a fixed suction sail on a ro-ro vessel. It proves that suction sails can be fitted on ships with a high weather deck and large windage area meeting all required stability criteria. We’re very grateful to LDA for choosing eSAILs.” Each eSAIL generates six to seven times more lift than a conventional sail thanks to an electric-powered air suction system that helps the airflow to re-adhere to the sail. All this force allows for the reduction of the load on the ship’s main engines.

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ROTOR APPROACH

NAPA, a maritime software and data services expert, has agreed with IINO Lines, a leading shipowner and operator based in Tokyo, Japan, to provide NAPA Voyage Optimisation onboard two vessels equipped with Norsepower Rotor Sails.

This synergy will help harness the power of weather routing to maximise the fuel savings delivered by wind propulsion systems and minimise greenhouse gas emissions.

The agreement will cover two IINO Lines vessels, one very large gas carrier (VLGC) and one panamax coal carrier.

Beginning in Q2 this year, the ships will use NAPA Voyage Optimization as an in-depth simulation, evaluation, and operational route and speed optimisation tool to maximize the efficiency gains and emissions savings that will be achieved by NPRS. The tool is designed to enhance operational efficiency and minimise the emissions of the vessels by allowing for comprehensive comparisons of their performance across various routes and under different sea and weather conditions.

Initial studies demonstrate that both vessels will achieve about 3-4% fuel consumption and CO2 emissions reductions, respectively, using NPRS alone. The collaboration with NAPA aims to harness the potential of voyage optimisation to inform operational decision-making and additionally improve emission reductions by 3-10% from the combination of advanced routing solutions and wind propulsion systems.

This approach is aligned with IINO Lines’ commitment to a greener maritime industry for carbon neutrality as part of its mid-term management plan, ‘The Adventure to Our Sustainable Future’, announced in May 2023.

By mapping out tangible savings and using the power of digital technologies to optimise routes, ship owners and operators can maximise their return on investment and redirect capital towards further decarbonisation initiatives as well as design and operational innovation.

Commenting on what this means for the industry, Pekka Pakkanen, executive vice president for Shipping Solutions at NAPA, says: “Decarbonisation continues to open

Panamax coal carrier

C L E A N S H I P P I N G INTERNATIONAL – Summer 2024

new avenues for collaboration across shipping. I’m proud of NAPA’s role in helping IINO Lines use optimisation tools to tap into the full potential of wind propulsion. This partnership is key in advancing IINO Lines’ green ambition and giving more owners and operators the confidence to invest in accelerating shipping’s energy transition.

“There are significant savings to be achieved by combining voyage optimisation and wind propulsion.

Using data allows us to unleash this potential, elevate collaboration and drive more efficient, greener and safer shipping.”

Ryuichi Osonoe, director, senior managing executive officer at IINO Lines, adds: “NAPA’s data insights and expertise have been invaluable in helping us map out our decarbonisation strategy and maximise return on investment.

“Being able to simulate how our vessels will perform, how much fuel they will require, their emissions and so much more, even before a voyage has been made, are vital insights at a time of increasing market volatility and tightening regulations.”

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EVENTS

EVENTS 2024-25 Alternative Fuels for decarbonisation 25 June 2024 Southampton

www.imeche.org/marine

Argus Methanol Forum 9-11 September 2024 Houston

Argus Sustainable Fuels 11-13 September 2024 Houston

www.argusmedia.com/en/events/ conferences/sustainable-marine-fuels

Safety4Sea 18 September 2024

Managing CII 21-22 January 2025 London

https://rina.org.uk/events

Breakbulk Middle East 10-11 February 2025

CMA Shipping 1-3 April 2025 www.cmashippingevent.com

Panama

www.tocevents-americas.com/en/home. html

Argus Europe Carbon 12-14 May 2025 Nice

www.argusmedia.com/en/events/ conferences/europe-carbon-conference

World Ports 8-10 October 2024

Breakbulk Europe 13-15 May 2025

Hamburg

www.worldportsconference.com

Argus Biofuels Europe 15-17 October 2024

www.mhea.co.uk

Singapore

Stamford

TOC Americas 1-3 October 2024

Warwick

TOC Asia 26-27 November 2024

https://middleeast.breakbulk.com

https://events.safety4sea.com/2024safety4sea-london-forum/

BULKEX 24 15-16 October 2024

https://rina.org.uk/events/eventsprogramme/wind-propulsion-2024/

Dubai

London

www.argusmedia.com/en/events/ conferences/biofuels-europeconference-and-exhibition

London

www.tocevents-asia.com/en/home.html

www.argusmedia.com/en/events/ conferences/methanol-forum

London

Wind Propulsion 2024 22-23 october 2024

Rotterdam Ahoy

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TOC Europe 17-19 June 2025 Rotterdam Ahoy

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Breakbulk Americas 15-17 October 2025 Houston

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C L E A N S H I P P I N G INTERNATIONAL – Summer 2024

MARINE ENGINEERING: ALTERNATIVE FUELS FOR DECARBONISATION

25 June 2024

Southampton Football Club, Southampton We need to be well-prepared for the rapid implementation of zero-emission maritime energy solutions at scale, so the technical focus of this seminar is very welcome.

Jon Hood, UK Sustainable Shipping Manager, Transport & Environment

New European regulations have asked to cut ship emissions by 2% as of 2025 and by 80% as of 2050, to help the EU become climate neutral. Therefore, uptake of alternative fuels to achieve a greater number of zero emission vessels is essential.

Speakers include: Jon Hood, UK Sustainable Shipping Manager, Transport & Environment Louise Wright, Lead Technical Specialist – Risk Assessment & RBC, Lloyd’s Register Thomas Beard, Clean Shipping Service Lead; Principle Marine Engineer, BMT Organised by the IMechE, this technical seminar will explore the range of engineering concerns for low carbon fueling of marine vessels.

Benefit from discussions covering safe, compliant and cost-effective fuel storage, security, transportation and associated infrastructure.

Book your place online: www.imeche.org/marine

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