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WINTER 2021

SMOOTH OPERATORS

Why biofouling management is a major step towards decarbonisation

POWER BANK

Who picks up the tab to pay for shore power in ports?

TREADING WATER

Is slow steaming an environmental setback?

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FROM THE EDITOR

ACCENTUATING THE POSITIVES

Sandra Speares Editor, Clean Shipping International

Drawing conclusions from big events such as the recent COP26 summit in Glasgow is always difficult as the tendency is to look back at previous similar gatherings and ask oneself what has been achieved in the longer term. While there have been some big headlines in recent weeks – not least as far as the establishment of green corridors for shipping is concerned with the Clydebank Declaration – the real work may well be done by groups of companies or bilateral arrangements between countries. There have been a number of announcements of co-operation agreements where companies have agreed to work together on specific areas of the climate change issue. Individual companies have also come up with their own initiatives on climate change, such as increasing fleets of ships powered by green fuels. A global solution to the issues is evidently a favoured approach but there remain many hurdles to overcome in unifying different interests under a single banner. In consequence, bilateral – or unilateral – initiatives are easier to deliver. As has been common with other issues facing the industry in the past, the need to reach an agreement often leads to reality not matching up to expectations because of the compromises needed to reach an agreement. There is also a need for infrastructure to catch up as far as the larger use of alternatives to fossil fuels is concerned. This was a criticism levelled in the past against the use of shore power in ports, as the source of that shore power needed to be greener than what was available on the ship in port – and it often was not. Coming up with follow-up strategies, after the introduction of new regulatory measures, is also an interesting topic. Ballast water regulations are a good example here, as companies move from the compliance with regulation stage to what actually happens in practice a few years’ down the line. Criticisms aside, we need to be positive about those efforts that are being made and have to ensure that the initiatives that are being put in place do not degenerate into a tick-box exercise that will need to be revisited rather than continuing to move forward. Given the sarcastic cartoons that have been in circulation, the vapour trails of jets taking executives and politicians to Glasgow for COP26 have not been appreciated by all. We have, however, got to look for positive outcomes from all this activity.

C L E A N S H I P P I N G INTERNATIONAL – Winter 2021

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Editor: Sandra Speares speares1@ aol.com Project Director: Jonathon Ferris Jonathon.ferris@ csi-newsonline.com Sub-editor: Samantha Robinson sam.robinson.journalist@ gmail.com Publisher: Bill Robinson publisher@ csi-newsonline.com Designer: Justin Ives justindesign@ live.co.uk Published by Maritime AMC, Clean Shipping International supports Clean Shipping Initiatives. The views expressed in Clean Shipping International are not necessarily those of Maritime AMC unless expressly stated as such and disclaim any responsibility for errors or omissions or their consequences or for advertisements contained in this magazine and has no legal responsibility to deal with them.

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1 FROM THE EDITOR

31 SAFETY

Why it’s important to take a positive view

As the industry faces new challenges, the human element should not be forgotten

of global efforts at the recent COP26

33 DECARBONISATION

7 WELCOME Don Gregory, Director, Exhaust Gas

» p7

The issue is increasingly urgent, says Søren Meyer, CEO of ZeroNorth

Cleaning Systems Association

TECHNOLOGY

9 WORLD NEWS A look at some of the headline-grabbing

A look at the innovative solutions that aim to combat current challenges

Julian Clark, senior partner at Ince, examines the role of blockchain

activities resulting from COP26

16 EGCS

» p16

Scrubber retrofitting may have slowed,

42 VIEWPOINT

but newbuilding activity is on the up

Noah Silberschmidt, CEO and Founder

of Silverstream Technologies

BALLAST WATER 22

Bawat CEO Marcus Hummer discusses the effect of new regulations

Bio-Uv Group introduces 3D scanning to its retrofit service

26 28

As countries gear up to reduce emissions, is the infrastructure in place?

Nick Contopoulos, COO of Anemoi, makes a compelling case for using Rotor Sails

A number of new initiatives highlight the enormous potential for the industry

» p22

ALTERNATIVE FUELS BKPI OceanConnect’s Bill Wakeling on the realities of energy transition

WIND POWER

49 SHORE POWER A survey shows government support for joint funding for shore power in ports » p31

C L E A N S H I P P I N G INTERNATIONAL – Winter 2021

52 LAST WORD A round-up of news and views

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WELCOME

NEVER MIND THE CASH – A CAP IS REQUIRED

Don Gregory Director, Exhaust Gas Cleaning Systems Association

The International Maritime Organization (IMO) Marine Environment Protection Committee (MEPC) has spent more than 20 years and thousands of man hours in debate developing the complex equations of the (Energy Efficiency Design Index EEDI) and the Energy Efficiency Operational Index (EEOI) as well as describing the Ship Energy Efficiency Management Plan (SEEMP). The principle of the indexes is a ratio of carbon emitted per unit of transport work done. The idea was that the carbon emitted would be gradually reduced from the norm at the time of the introduction of the indexes by improved efficiency of vessel design and operation. The reality is that the principles were too simplistic to address the real-world maritime business model. The equations drove some bizarre outcomes, such as smaller and sometimes underpowered main propulsions systems and gave space for interminable debate over “special cases”, rather than harnessing the intellectual energy into finding solutions and technology to reach zero fossil carbon. Did the EEDI drive the development of more efficient ships and more importantly reduce the global maritime CO2 emissions? The answer to both questions is no, or hardly. Global bunker demand remains around 250Mt per annum with most of any variations being driven by changes in world trade; for example, the impact of covid-19. The latest focus is on the Energy Efficiency Existing Index (EEXI), which is intended to drive efficiency in existing ships. With no enforcement proposed and poor measurement systems, this development seems to be further losing valuable time to reduce CO2 emissions. Several recent press reports suggest that the EEXI could be achieved by slowing down for part of some voyages. Hardly a development towards zero emission ships. In order to understand the scale and dynamics of the problem, maritime needs to continuously measure both fuel consumption and vessel activity. Unfortunately, both these requirements have been missed by IMO and the EU in their respective data collection schemes. The IMO Data Collection Scheme (DCS) is no more than aggregated noon day

C L E A N S H I P P I N G INTERNATIONAL – Winter 2021

reporting. The EU Monitoring, Reporting and Verification (MRV) was simply ported from a scheme used for land-based emitters and is totally inappropriate for the maritime business model. To add insult to lost opportunity, it has created a high-cost, “little-value” verification industry, which has resulted in inaccurate and sometimes completely wrong data being recorded on the EMSA MRV database. The International Chamber of Shipping is now calling for a bunker levy to achieve a $5bn fund to invest in zero fossil carbon solutions. Given that the container sector has reported profits in the past quarter of $40bn, one wonders if there is actually enough spare cash to immediately invest in research and development? Supporting the marine equipment supply industry now is likely to achieve earlier and more cost-effective gains than building a pile of cash for IMO to allocate and distribute at some a date in the future. Even if the ongoing criticism is unfair, there is one thing that is not clear and which would galvanise action. That is the trajectory and date by which time vessel fossil carbon emissions must be zero or the vessel cannot trade. In order to reach zero, the industry needs a tapered fossil carbon emission cap. It should be implemented in the very near future and be designed to annually and progressively reduce allowable carbon emissions until the designated year for zero emissions. Such an approach would make the trajectory to zero carbon emissions evident, transparent and, for business, easy to accommodate in investment planning. It would also assist the marine equipment suppliers to gauge demand and assess the price points for solutions based on vessel operators cost of carbon reduction as the progressively reducing cap forces action and solutions to be implemented. Adding a trading component to the emissions cap would assist the effective deployment of capital by uncovering the value of early reductions which could be used as offsets in later years. At the very least, IMO must set the year for zero emissions and set a progressively reducing emissions cap starting within the next one or two years.

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NEWS ROUND-UP

There were a number of initiatives launched before or during the COP26 climate change summit in Glasgow. Here, we take a look at some of the actions being taken

GEARING UP TO GOING GREEN In the run-up to COP26 climate change summit, the global shipping industry sent a clear signal via its umbrella organisation, the International Chamber of Shipping (ICS), that there needs to be another significant tightening of the climate targets, which the member states of the International Maritime Organization (IMO) had set for its decarbonisation strategy. “Our industry aims to be climate-neutral already by 2050,” said Alfred Hartmann, president of the German Shipowners’ Association (VDR) one of the ICS’s largest members. “German shipowners have an important and leading role to play in maritime climate protection. They want to lead by example. We therefore not only support the tightening of the climate targets for shipping, but have also had a hand in defining this milestone ourselves,” Hartmann explained. With its proposal, shipping acknowledged the urgent need to speed up the timetables for decarbonisation. “Our call to the IMO is an unambiguous signal that we, as the shipping industry, are proactively picking

C L E A N S H I P P I N G INTERNATIONAL – Winter 2021

up the pace now”, he said. “If the IMO were to adopt a net-zero target, it would send the strong signal desired by the industry as well as by energy suppliers, shipbuilders and engine manufacturers so that investments in green fuels and technologies can be accelerated and scaled up.” Optimising vessels and their operation will not suffice to achieve climate neutrality in maritime shipping, and he said that a revolution in fuels was needed – both in terms of developing them and making them globally available. “The problem fundamentally isn’t the engine; it’s the fuel.” The notion of phasing out combustion engines is not feasible for shipping, he continued, adding that battery or fuel cell propulsion systems could only be used for ferry services near coastlines and not for long voyages. “In our view, it remains an open question whether methanol, ammonia or other fuel produced from green hydrogen will power ships in the future,” Hartmann said. “In addition, all players along the logistics chain must be held accountable.

Focusing exclusively on the ship will miss the point. “To achieve our ambitious goal, we will need financial support and a comprehensive funding structure at the global level – from the IMO and the EU, but also from the new federal government in Germany,” the VDR president added. “Together, we must press ahead with researching and developing marketable alternative fuels. As an industry, we are prepared to pay a charge per tonne of fuel – we have also submitted this proposal to the IMO. This should make it clear to even the last critic just how serious we are about climate protection.”

THE PATH TO NET ZERO

A feasible path to limit planetary warming to 1.5°C requires certain countries and sectors to go below net zero and to do so well before the middle of the century, according to new analysis from classification society DNV.

For zero emissions to be achieved by 2050, North America and Europe must be carbon neutral by 2042 and then carbon negative thereafter, according to DNV’s report Pathway to Net Zero Emissions. It also finds that Greater China must reduce emissions by 98% from 2019 levels by 2050. There are regions that cannot realistically transition completely away from fossil fuels in the same timeframe, such as the Indian Subcontinent, which will reduce emissions by 64%. The report also lays out the pace at which different industry sectors need

NEWS ROUND-UP

to decarbonise. The so-called hardto-abate sectors will take longer to decarbonise and even if sectors such as maritime (-90% CO2 emissions in 2050) and iron and steel production (-82%) scale up the introduction of greener technologies, they will still be net emitters by 2050. The Pathway to Net Zero Emissions report offers a feasible way to limit global warming to 1.5°C, says DNV, adding that the report stands out among its peers as it is the only one that starts from the point of where we most likely will be in 2050 and then seeks to close this gap. “Zero is not enough,” says Remi Eriksen, Group President and CEO of DNV. “That is because, try as they might, many developing nations and hard-to-abate sectors will not be able to achieve zero emissions by 2050 – the critical threshold for the world to stay within 1.5°C of warming. Developed nations, leading companies and easy-to-electrify sectors are therefore going to have to go below zero before 2050.” The primary energy mix laid out in the report is radically different from the current trajectory. Electricity meets just above half (51%) of the energy demand, with wind and solar supplying 86% of electricity. Hydrogen, which is vital to decarbonise the hard-to-abate sectors, has a 13% share. Fossil fuels will still be required by countries and industries that are unable to decarbonise completely by 2050. 21% of the energy mix is derived from fossil fuels (8% oil, 10% natural gas and 3% coal), although there will be no need for new oil and gas fields after 2028 in this pathway. Carbon capture and removal technologies are a must, according to the report, to remove the final 20% of emissions. Nuclear does not feature prominently because it is too costly compared with renewable energy. Time is the key restraint to realising the Pathway to Net Zero Emissions, rather than money. Even with very large investments required, particularly in the short term, (cumulatively $55tn in renewables and $35tn in grids over 30 years) the additional costs of reaching 1.5°C are less than 1% of global GDP the next 30 years.

PERFORMANCE PRIORITY

Leading global towage operator Svitzer recently highlighted the need for the shipping industry to prioritise hull performance and standardisation in hull management practices in its drive to decarbonise. Recently, the company has established a new Hull Performance Services business unit, Svitzer HPS, to support its customers in increasing operational efficiency and reducing their environmental footprints. While shipping companies invest millions of dollars in engine technology and real-time performance monitoring, focus on holistic hull performance is arguably being lost, Svitzer argues. The company also says that while the industry is spending hundreds of thousands of dollars on hull coatings to drive down operational expenditure while also maintaining environmental, social and governance (ESG) goals, it might not be tackling the root causes of performance degradation below the waterline. There is a poor understanding of the immediate impact that good hull performance can have on fuel consumption and emissions, Svitzer says, particularly compared to its relative simplicity and cost-effectiveness. Recent research from the Green Ship of the Future coalition indicated the average delta in fuel consumption

C L E A N S H I P P I N G INTERNATIONAL – Winter 2021

NEWS ROUND-UP

between a well-managed and poorly managed hull is as much as 8% – the equivalent to hundreds of thousands of dollars per year in bunker fuel costs. Fuel is already the single largest operational cost for a vessel owner and operator, but hull performance will take an even more central role once new, low carbon future fuels become mainstream, as their cost could triple an owner’s fuel bill. The picture is further complicated by a patchy and fragmented market for assessing hull performance, with most hull cleaning or inspections service providers traditionally unable to operate at the required scale to support customers across the global shipping industry.

GES SNAPS UP ROTTERDAM SITE

Launched in May this year, Global Energy Storage (GES), has announced its first major investment at Europoort in the Port of Rotterdam. It is buying an interest in part of the assets of the Stargate Terminal from Gunvor Group and will develop more than 20 hectares at the heart of the port. The deal has been formally approved by the Port of Rotterdam Authority. The site includes a significant waterfront with deep water access, brownfield development opportunities and potential greenfield development sites. CEO Peter Vucins says: “This project aims to become one of the largest low-carbon developments at a worldclass industrial hub, with the potential to significantly reduce the carbon footprint of future business in the Port of Rotterdam. Alongside a new jetty that we aim to develop and low-carbon commodity infrastructure, we are also looking to become part of the logistics chain needed to import blue and green hydrogen.” He adds: “The port is ideally placed for this development, which will bring low-carbon technology to one of the world’s great trading hubs that has taken a leading position in the energy transition with very significant and ambitious developments of its own.”

C L E A N S H I P P I N G INTERNATIONAL – Winter 2021

SECTOR TAKES ACTION

Companies from the steel, aviation and shipping industries are mobilising multi-trillion dollar plans that provide a path for their respective sectors to reach net zero by 2050 and to make significant emissions reductions within the next decade as part of the Mission Possible Partnership. Ahead of COP26, the Mission Possible Partnership (MPP), an organization dedicated to decarbonising seven of the hardest to abate industries released plans and the estimated costs of slashing carbon emissions for three sectors – steel, shipping and aviation The costs of decarbonising the steel, shipping and aviation sectors and the details on how exactly these industries will drive carbon emissions to zero are based on landmark science with clear milestones and metrics to monitor progress. The plans also offer policymakers a guide for regulations and investment. A second wave of announcements planned for 2022 will establish industry-backed carbon reduction pathways for the cement, aluminum, trucking and chemical industries In addition to industry, the finance sector is also beginning to rise to the challenge. MPP is working to unlock investment in low-carbon solutions in industry and mobility by working with RMI’s Center for Climate-Aligned Finance to develop climate-aligned finance agreements for financial institutions across all seven MPP sectors. An insight brief published recently shows the opportunity created by shipping’s need for scalable zeroemission fuels: the robust future demand from shipping can de-risk business cases for land-side production of green hydrogen that can serve multiple industries.

NEWS ROUND-UP

Ocean Action and the Global Maritime Forum and consisting of 150 companies and 14 supporting governments, recently released a first brief on the nature, amount and timing of investments which will be required for global shipping to get to net-zero emissions by 2050. Building upon this call to action for shipping decarbonisation, MPP – in partnership with the Getting to Zero coalition and University Maritime Advisory Services –is laying out a transition strategy for how the international maritime industry can achieve that target, starting with urgent measures to enable the emergence of first green shipping projects and follow-up actions to accelerate the deployment of those technologies once proven. It argues that a minimum of 5% of the sector’s final energy demand needs to be met by scalable zeroemissions fuels (most likely ammonia or methanol) in 2030 for the sector to be on the right trajectory to meets its 2050 target. The analysis reveals that more than 85% of the investment required to decarbonise shipping will need to be allocated for upstream fuel production processes. Approximately 600GW of cumulative plant capacity will need to be added, which is

equivalent to approximately 400 fuel production plants. This total capital investment in scalable zero-carbon fuel infrastructure would amount to about $2tn. With the support of MPP, the Getting to Zero Coalition is mobilising the full value chain to deliver on its 2030 and 2050 goals. Building on the call to action released in September and the Sector Transition Strategy released in October, the Getting to Zero Coalition will work over the coming months to go for ambition to action. In addition, The Next Wave: Green Corridors report by MPP and the Getting to Zero Coalition will provide additional details on how zero-emission vessels can be catalysed through the creation of an enabling eco-system.

PARTNERSHIP AGREEMENT

As part of manoeuvring successfully in a challenging environment, Vestas and Maersk have formed a longterm strategic partnership for all containerised transport. The partnership includes door-todoor transport from the company´s suppliers to their factories and service warehouses as well as containerised site parts and transport equipment. In addition, the partnership also includes all airfreight shipments.

ON A MISSION

The Mission Possible Partnership (MPP) and the Getting to Zero Coalition have launched a series of insight briefs laying out the path to net-zero emissions by 2050 for global shipping. The MPP-supported Getting to Zero Coalition, a partnership between the World Economic Forum, Friends of

C L E A N S H I P P I N G INTERNATIONAL – Winter 2021

NEWS ROUND-UP

HYDROGEN PLEDGE

The World Business Council for Sustainable Development (WBCSD) and the Sustainable Markets Initiative (SMI) announced at COP26 the pledges of 28 companies to drive growth in the demand for, and supply of, hydrogen. The pledges equate to nearly one quarter of the decarbonisation potential for hydrogen by 2030, as estimated by the Hydrogen Council This new initiative – H2Zero – will accelerate the use and production of hydrogen as an essential part of the future net-zero energy system. Pledges across three categories – demand, supply and financial or technical support – have been made by 28 companies representing different sectors, from mining to energy, vehicle and equipment manufacturers, and financial services. The Hydrogen Council estimates that in 2030, the decarbonisation potential for hydrogen could equate to approximately 800m tonnes per annum (mtpa) of (CO2) emissions avoided. The pledges announced equate to nearly one quarter of this total. On the demand side, the pledges – which total 1.6mtpa of lower-carbon intensity hydrogen – focus on replacing grey hydrogen, currently used widely in the refining, chemical and fertiliser sectors, or diesel fuel used in heavy industries such as mining. This would reduce CO2 emissions by more than 14m tons a year – the equivalent to the annual emissions of more than six million cars in Europe. On the supply side, the pledges add up to more than 18mtpa of lower-carbon hydrogen. This would avoid about 190m tons a year of CO2 emissions, if it replaces grey hydrogen, natural gas for industrial heat and petroleum fuels in transportation. This would be the equivalent of nearly the combined annual emissions of The Netherlands and Tunisia.

CONTRACT STRUCTURING

In the run up to COP26 in Glasgow, P&I Club Gard shared the thoughts of guest author Haris Zografakis, a partner at law firm Stephenson Harwood, on the need for a new contractual structure in

shipping to immediately reduce greenhouse gas emissions rather than simply waiting for regulation. Zografakis explains why climate activist Greta Thunberg would hate demurrage and would not be too keen on privity of contract either, when the climate crisis is here and solutions are needed now. To view the article, visit: tinyurl.com/CSI-ContractStructure

autonomous technology will be a result of improved safety. “Maritime incidents such as groundings and collisions, which can have a serious impact on the environment, are often attributed to insufficient situational awareness,” he explains. “By constantly monitoring a vessel’s position in relation to hazards including other ships – and ensuring it maintains a safe distance from these threats – autonomous technologies can help to prevent accidents and thereby protect the environment.” As well as keeping vessels clear of physical hazards, autonomous technology can prevent ships from performing prohibited and potentially harmful actions, sayss Lehtovaara. “Solutions deploying geofencing can ensure a vessel takes appropriate measures to minimise its ecological impact, such as adhering to discharge and emissions restrictions in certain locations and avoiding particularly sensitive areas altogether.”

LITTER LIABILITY

AUTONOMOUS SHIPS

With the need for action on climate change becoming increasingly urgent, the maritime industry could make good use of autonomous technology to support its decarbonisation efforts, advises One Sea, the open alliance leading the way towards autonomous shipping. The industry must act swiftly and decisively to mitigate its environmental impact – and autonomous technology can make a significant contribution to these efforts, says One Sea. The consortium aims to establish the first autonomous maritime ecosystem by 2025. One Sea chairman Eero Lehtovaara suggests that an important environmental dividend from

C L E A N S H I P P I N G INTERNATIONAL – Winter 2021

The sources and impact of sea-based marine litter form the focus of a new report by the Group of Experts on the Scientific Aspects of Marine Environmental Protection (GESAMP), an advisory body to the United Nations (UN) sponsored by 10 UN entities including IMO. The report, Sea-Based Sources of Marine Litter, outlines the various sources of marine litter and the impact and assesses the current availability of data and identifies knowledge gaps for the main categories of sea-based sources of marine plastic litter. It stresses the urgent need to reduce such litter, outlining a number of ongoing initiatives and suggested steps to combat this issue and providing readers with practical information. It also highlights knowledge gaps and suggested areas for future academic and scientific research, including on the impact of covid-19 on ocean industries and livelihoods that result in marine litter. To download the report, visit: tinyurl.com/CSI-MarineLitter

COMPANY PROFILE

PURETEQ: ALWAYS AHEAD OF THE CURVE PureteQ designs, delivers and commissions built-to-fit maritime exhaust gas cleaning systems (EGCS) for open loop, hybrid ready and fully hybrid (closed loop, with and without bleed-off) operations to shipowners who want to save money on fuel by continuing the use of heavy fuel oil (HFO). Recently, we have seen the price span between compliant fuel and HFO increase, and interest for scrubber systems seems to be increasing with the growing price span. All scrubber systems come with state-of-the-art intuitive control systems with full real -time remote accessibility. In times like these, it is very convenient to have 24/7 remote on-line support and guidance for ship crews from our certified marine engineers. This feature has contributed greatly to all our customers gaining a competitive advantage. We also perform modular training of crews and officers, as well as onshore personnel. PureteQ has developed the Generation II Scrubber to reduce off hire and other costs of installation (by a double digit percentage) considering the learnings from installing more than 100 scrubbers on different types of ships at various shipyards around the world.

PURESERV – THE SERVICE PROVIDER

PureServ is PureteQ’s dedicated service organisation. We offer fairpriced service agreements designed to meet shipowners’ specific needs based on the ship’s operational pattern and qualification of crew, and according to agreement – you only pay for what you get. Our service team has received extensive training to assist shipowners in safeguarding continuous operation, reliability and MARPOL compliance of scrubber systems. This includes expert

Installation of a PureteQ scrubber

C L E A N S H I P P I N G INTERNATIONAL – Winter 2021

COMPANY PROFILE

support and guidance for all scrubber systems on-site or via the safe PureteQ remote system, depending on the ship’s conditions and the client’s requirements. Our validated concepts allow us to assist crews remotely with trouble shooting and advice on operation and maintenance, as well as optimisation. Sensors are type approved and must be factory calibrated according to maker by a certified engineer to maintain MARPOL approval for the EGCS. The gas analyser (CEMS system) must be calibrated once per year. PureServ service engineers hold the necessary certification and experience to calibrate the CEMS system at a favourable rate. The Sensor Replacement Program is an optional add-on service to the PureteQ service agreement. When pH, PAH and turbidity sensors need calibration, it will be offered as a Sensor Replacement Program through PureServ. The ship will receive a newly calibrated sensor before shipping the old sensor to PureServ or simply replacing by the PureServ service engineer as part of the yearly service attendance. For shipowners and operators with internet access, we offer a remote Scrubber System Modular Training Program. In times where crew changes often, “touch and go” remote training has high value for all stakeholders. Some shipowners even choose to have the onshore employees participate in the Remote Specialist Training. In general, training cannot be overestimated as it leads to higher up-time and compliance rates, as well as better performance and less operational costs. If internet access is not available on the ship, PureteQ offers a safe plugand-play Emergency Remote in Box (ERiB) solution.

WORLDWIDE COVERAGE

It is our mission to provide uninterrupted service, anywhere and at any time. We already assist hundreds of vessels remotely with troubleshooting and advice

on operation and maintenance, as well as optimisation. We also dispatch our expert marine engineers from our nearest office to anywhere in the world, for on-site assistance.

SINGAPORE SUBSIDIARY

To further enhance our global presence, we are pleased to announce the recent opening of our Singapore subsidiary. This is yet another PureteQ service point in Asia, with a limited stocked warehouse that will provide for even speedier delivery of spare parts and full service of all client vessels arriving in Singapore. For our new colleagues in Singapore to be fully equipped to support crews regarding ship maintenance activities, calibration, and validation of sensors (as required), they will undertake internal training through the PureteQ Academy.

SERVICE AGREEMENTS FOR SCRUBBER SYSTEMS OF ANY BRAND

Servicing hundreds of scrubber systems of almost all brands, we have gained extensive knowledge of most scrubber systems. We have learned how to rectify issues by combining our technical know-how with handson experience. We have also assisted shipowners in attaining large savings by adjusting the way in which the scrubber system is operated and managed. Many scrubber systems are adjusted to clean the gas more than required by legislation. Others are operated in manual mode, thus consuming much more electricity than required. It is our experience that many prefer to “play it safe”, hence they will put systems in manual operation to avoid alarms. Putting scrubber systems in manual operation may hamper the safety systems and subsequently lead to severe damage. In these cases, we have assisted with changing the settings for optimal automatic operation, but more importantly, just informing and training the crew in scrubber operation has allowed the crew to understand the significant impact they can make (particularly in

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cost reduction) by maintaining automatic operation. We also perform spare parts management to avoid the unnecessary cost of replacing parts that may be repaired or calibrated. This includes cell replacement programs, sensor replacement programs and other expensive parts. All of this, and much more, are in safe hands by entering the PureteQ /PureServ service agreement. We have the tools, the manpower and the skillset to make a difference. Furthermore, we supply some of the most advanced and easy-to-use software in the business. We can even replace software (including some hardware) on other brands of scrubbers if required. Soon, we will be able to offer clients free-of-charge cloud-based software for environmental performance reporting and optimisation of scrubbers across the fleet. This features the measuring of MARPOL compliance, operational performance, as well as environmental performance reporting, such as CO2, sulphur and later particulate matter reductions. The software is a perfect match to new International Maritime Organization regulations on EED(X) I & CCI, when Well-to-Wake principles apply. This software will allow for cross ship/fleet learning for crews, hence reducing costs. We see crews competing on the operation of the scrubbers. PureteQ PureServ will be delighted to quote service agreements for scrubber systems of any brand.

For more information, contact: Anders Skibdal, CEO Tel: + 45 4017 1400 Email: anders@pureteq.com Michael Mouritzen, Sales Director Tel: + 45 4014 4481 Email: mim@pureteq.com pureteq.com

EXHAUST GAS CLEANING SYSTEMS

According to recent research by Clarksons, scrubbers are now fitted to more than 4,541 ships in the fleet or 23.9% of total gross tonnage – but more needs to be done

CLEANER AND GREENER While scrubber retrofitting activity has slowed from around 300 per month in January last year to 20 per month in October this year, newbuilding uptake has increased from 2020, with more than 220 newbuild orders for scrubber-fitted units reported in 2021 so far, including 186 containerships. The scrubber solution is still proving attractive and Wärtsilä Exhaust Treatment recently announced that is to install its open loop exhaust gas abatement technology on two RoRo passenger ferries owned by Spanish company Trasmed GLE, which is part of the multinational logistics company Grimaldi Group. Trasmed GLE has selected four of Wärtsilä’s I-SOx open loop scrubbers with exhaust de-plume systems for the RoPax vessels Volcan del Teide and Ciudad de Granada, which operate in the Mediterranean. Each vessel will have four scrubbers installed, one on each main engine. The order – the first time that Wärtsilä has conducted a RoPax scrubber

retrofit in the region – was booked in November and the installations will take place in 2022. The scrubbers are flexible to enable MARPOL Annex VI sulphur cap compliance, by scrubbing 3.5% heavy fuel oil down to the 0.5% limit. Wärtsilä’s scrubbers will also enable Trasmed GLE’s vessels to operate at a lower 0.1% sulphur limit to meet both worldwide and Emission Control Area regulations. The partnership strengthens the longstanding relationship between Grimaldi and Wärtsilä to install scrubbers in many configurations across Grimaldi Group’s business units. Commenting on the order, Sigurd Jenssen, director at Wärtsilä Exhaust Treatment, says: “We are delighted to see Trasmed GLE SL joining the ranks of maritime leaders committed to meeting environmental regulations and reducing shipping’s impact on the planet. Not only does this announcement build on our long relationship with Grimaldi and the

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EXHAUST GAS CLEANING SYSTEMS

Wärtsilä will retrofit exhaust gas abatement technology on two Trasmed GLE SL-owned passenger ferries (Photo © Wärtsilä)

group’s subsidiary companies, but it also confirms the wider trend we are seeing across the shipping industry that shipowners are investing in quality, flexible and lifecycle-based technologies for their vessels, either at the newbuild stage or as retrofits.” Ettore Morace, managing director at Trasmed GLE SL adds: “All the Trasmed fleet will have scrubbers installed before summer 2022. This will be a huge effort from our technical department and confirms our full commitment to being an environmentally friendly shipping company.”

CONVERSION SOLUTION

Wärtsilä is also launching its TwoStroke Future Fuels Conversion platform during the first quarter of 2022. The technology platform will enable the fast and cost-effective conversion of two-stroke main engines to operate on clean-burning future

fuels. This is seen as a major step in the maritime industry’s efforts to achieve decarbonised shipping operations, while the easy retrofitting will avoid owners having to face long off-hire charter time. The retrofit conversion will initially enable operation with currently available liquefied natural gas, most importantly with negligible methane slip from the engine. The modular design of this concept provides a platform that will be further developed in order to allow for the adoption of alternative green fuels or fuel blends when they become commercially available. The development programme has recently been concluded with successful initial engine tests in the Wärtsilä two-stroke engine laboratory in Trieste. MSC Shipmanagement has collaborated with Wärtsilä throughout the development as a key partner in the piloting and advancement of

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the platform towards future fuel applications. Representatives from MSC were in attendance during some of the testing procedures. “Wärtsilä has taken a leading position in the development and delivery of smart technology solutions that will accelerate the realisation of our industry’s decarbonisation ambitions,” says Roger Holm, president of marine power & EVP at Wärtsilä. “This pioneering conversion solution is one more prime example of our capabilities and commitment. Its flexibility means that the first step towards adopting the use of future fuels can be taken now knowing that the investment will not become obsolete. The benefits, both economic and environmental, are significant.” An innovative feature is the cryogenic fuel supply system, which together with a revolutionary injection system, provides flexible and optimised operational performance under all

EXHAUST GAS CLEANING SYSTEMS

Integrated solution of Wärtsilä Alternative Fuels Conversion platform for two-stroke engines with Wärtsilä Fuel Gas Supply system in a container vessel (Photo © Wärtsilä Corporation)

conditions. Among the other notable benefits delivered by this futureproofing solution are the capability to comply with upcoming environmental regulations and therefore providing assets with an extended operational life. The conversion solution is aimed at vessels operating with two-stroke, electronically controlled engines. The first commercial conversion project will be completed by mid-2023. The conversion concept is applicable to both large- and smaller bore engine types.

UPCYCLING EMISSIONS

Swiss climate technology startup Daphne Technology is attracting significant industry interest with its innovative technology that addresses the greenhouse gas (GHG) issue. Its plug-and-play solution breaks down the pollutants, converting them into non-hazardous by-products, which are either released into the environment or transformed into valuable products. It leverages innovative technology to remove toxic and GHG emissions such as nitrogen oxides, methane and CO2 from the combustion gas of any fuel type, including oil,

liquefied natural gas (LNG), biofuels, ammonia, and hydrogen. It then converts them into upcycled and useful products, both at sea and on land. Because Daphne’s technology can be applied to multiple fuel types, it has the potential to make a substantial impact across the energy system. The company, led by founder and CEO Dr Mario Michan, is continuing to attract investment from well-known figures in the industry, with recent investors including Shell Ventures, Trafigura, AET, and Saudi Aramco Energy Ventures.

Dr Mario Michan, founder and CEO Daphne Technology

Shell Ventures led the 10m Swiss franc capital funding, along with Trafigura. AET. All previous investors also co-invested, including Saudi Aramco Energy Ventures and the Innovation Fund. The latest move is the second round of funding since Daphne Technology spun off from the Swiss Federal Technical Institute (EPFL) in 2018. Peter van Giessel, investment director at Shell Ventures, commented at the time: “We are very pleased to support Daphne in its mission to create a more sustainable energy future. Its technology addresses a significant challenge in the hard-toabate marine space when it comes to reducing greenhouse gas emissions. Its plug-and-play solution has enormous potential to also help other sectors.” Margaux Moore, head of energy transition research at Trafigura, said: “Daphne Technology’s innovative approach has the potential to become a pivotal technology for the maritime industry. The ability to capture emissions from hydrocarbon maritime fuels and meaningfully reduce emissions in the shortterm is a critical component of the industry’s transition to net zero emissions, in which multiple fuels

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EXHAUST GAS CLEANING SYSTEMS

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and multiple abatement solutions will be required. “This investment fits well with our strategy to invest in and develop technologies and business models that will be required for the transition to net zero.” AET president and chief executive Rajalingam Subramaniam concluded: “AET is very pleased to be one of Daphne Technology’s strategic investors and support the development and deployment of technology to transition the maritime sector to netzero. This investment marks our entry into research and development for GHG abatement technologies, aligned with our ongoing decarbonisation initiative and is made alongside other leading like-minded energy players and strategic partners. “As a believer in LNG as a longer-term solution in maritime decarbonisation, we have been looking for technologies to reduce the methane slip and improve the ‘tank to wake’ decarbonisation environment.

Therefore, aside from being an investor, we will also deploy and test the technology across our vessels which utilise LNG as a fuel source.” In addition, Daphne recently announced the opening of a largescale emission reduction technology prototype test centre in Switzerland. The company’s core technology to clean multiple forms of toxic pollution and GHG emissions is now set up in a bespoke centre to continue the development and testing of Daphne’s technology, an enabler to reach the net-zero goals of the future. The converter and housing of the technology were constructed by Daphne and the power supply by Ampegon, a market leader in radiofrequency amplifiers and high-voltage and high-current power systems. Daphne’s mechanical design engineer, Anders Olsson, has built a 500kW cartridge, which is an essential component of Daphne’s core technology. At Ampegon’s site in Kleindöttingen,

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the 500kW cartridge was tested with Daphne’s patented Wavelet Pulsed Power (WPP) power supply, which has been jointly developed with Ampegon. Daphne’s head of mechatronics, Dominik Neumayr, led the effort to stress-test both the cartridge and the WPP power supply prototype with the help of Ampegon’s system engineers. System operating parameters were optimised during the commissioning, and the targeted power conversion efficiency was verified. With the success of this testing campaign, Daphne and Ampegon are now preparing the next milestone of scaling up production for the cartridge and the WPPTM power supply.

IQ SERIES LAUNCH

Wärtsilä has launched its new IQ Series exhaust gas treatment system, designed by its exhaust treatment business unit in Moss, Norway. The IQ Series features several improvements that make the technology especially well-suited

to container vessels, satisfying the increased demand in scrubbers as a compliance option from the container market segment, according to the company. The IQ Series scrubber uses a design that allows the same exhaust gas cleaning results to be achieved within a smaller footprint. The scrubber takes up 25% less space, is 30% lighter, and has 35% less volume, which minimises the impact on a vessel’s cargo-carrying capacity, and therefore its profitability. This makes the new scrubber particularly beneficial on container ships, where space is a key commercial priority. Additionally, the scrubber – which can be configured to use between 20 and 70 MW of power depending on vessel requirements – features the same modular design as Wärtsilä Exhaust Treatment’s other exhaust gas cleaning solutions. This means that the IQ Series can be upgraded with further technologies that enable other pollutants to be tackled within the stack, including exhaust gas recirculation (EGR) to cut NOx, a black carbon filter to cut particulate matter (PM), a depluming unit to cut visible steam from the stack, and even a carbon capture and storage (CCS) module that Wärtsilä is currently developing in its Moss test facility. IQ Series is also a more environmentally-friendly option for owners and operators looking at the impact of their investment decisions, with Wärtsilä manufacturing the technology using 50% recycled steel. Commenting on the launch of IQ Series, Sigurd Jenssen, director, Wärtsilä Exhaust Treatment, said: “It is fantastic to be able to unveil our new IQ Series scrubber to the market. We believe that this new scrubber features several technology improvements that make it an obvious and front-running compliance option for interested owners and operators. We have particularly designed IQ Series with our container segment customers in mind. There is huge demand in the container market for exhaust gas cleaning solutions that enable compliance and have a minimal impact on the profitability of the vessel. That’s why

EXHAUST GAS CLEANING SYSTEMS

we have brought to market this new design that is lighter, smaller and less voluminous, enabling us to respond to what our customers are asking for, while also maintaining the same highquality engineering and results they expect from Wärtsilä.”

CRUISE CONTROL

As the industry gets back on stream after the pandemic shut down, cruise shipping is being used as a testing ground for new technology. Ecospray, for example recently launched a new particulate remote solution for the maritime segment with testing on a cruise ship - a preparatory technology for carbon capture solutions combined with EGCS and diesel engine – the Wet Electrostatic Precipator (WESP). While Ecospray has been working in the ECGS market for some time, and is part of the Carnival Group, it has recently been positioning itself as a multi-product company, building technology to support the transition to greener forms of energy. WESP is a newly developed system which was developed to eliminate visible smoke from the stack, especially during engine start-up and at low loads by capturing paticles. It can be installed downstream of existing DeSox technology or installed as a standalone unit, for both open loop and hybrid ECGS. According to Filippo Lossani of Ecospray: “Like the ECGS plants for diesel engines, WESP is a bridge technology, meaning it’s a true transition technology which will guide us towards the 2030-2050 objectives. We are very satisfied with WESP as it is a new product for the maritime industry, and is ready to be installed. Considering the ever-increasing focus on issues involving environmental sustainability and health – and given the growing demand for the reduction of polluting emissions – we expect that the standardization process of dust and particulates will be the necessary next step, and we are ready.”

ENERGY EFFICIENCY

Alfa Laval and Orcan Energy meanwhile have recently signed a cooperation agreement regarding sales of marine energy efficiency solutions

based on Orcan’s Organic Rankine Cycle (ORC) technology. Decarbonizing the marine industry by 2050 will demand not only new fuels, but also new technologies and a new approach to meeting energy needs on board. Besides pursuing related development initiatives, Alfa Laval is establishing partnerships that will speed the industry towards its decarbonization and energy efficiency goals. The latest partnership is a collaboration with Orcan Energy. Founded in 2008, Orcan Energy develops and manufactures ORC solutions for the direct conversion of waste heat energy into electricity. The company’s products can be found in a variety of industries and are a widely used solution for low-temperature waste heat recovery. Under the new cooperation agreement, the company’s technology will be marketed and sold by Alfa Laval to the marine market. Alfa Laval, whose innovative plate heat exchangers are an integral component of Orcan Energy’s products, will further develop and market the renamed ORC solutions as part of its comprehensive portfolio of marine equipment. “Strategic cooperation is an important building block in our commercialisation strategy,” says Andreas Sichert, chief executive of Orcan Energy. “Alfa Laval, as a trusted global supplier with more than 100 years of marine experience, is a strong partner and the right choice for implementing ORC technology in the marine sector. The partnership is having a major impact, supporting ship operators’ growing need for solutions to decarbonize their vessels.” “As the marine industry pursues decarbonisation and transitions to new fuels, a wide range of technologies will be needed to boost energy efficiency and maintain the energy balance on board,” says Lars Skytte Jørgensen, vice president of technology development at Alpha Laval. “The solutions must become available rapidly, which demands that we work together across the industry. Orcan Energy shares our determination to provide complete, reliable energy solutions to marine customers.”

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COMPANY PROFILE

CR OCEAN: DOING OUR SHARE TO PROTECT OUR PLANET COP26, recently held in Glasgow, concluded with a road map towards stopping global warming – arguably the biggest existential threat our planet faces. This historic gathering of government, non-governmental organisations, the private sector and a host of philanthropists agreed to focus on seeking needs and solutions, financing, and means to mitigate the climate crisis. The maritime industry, a contributor to deadly emissions, has for most of this century worked on reducing emissions by implementing MARPOL protocol and its various annexes, which have made real and measurable progress. From 1 January 2015 and 1 January, 2020 the global upper limit on the Sulphur content of ships’ fuel was reduced to 0.1% in emission control areas and 0.5% globally (from the previous 3.5%). Known as “MARPOL Annex VI”, the reduced limits were a major mandatory step for all ships. The 2020 limit meant that a 77% drop in overall sulphur oxide (SOx) emissions from ships, equivalent to an annual reduction of approximately 8.5m tonnes of SOx. Along with the reduction of SOx, some of the particulate matter – tiny harmful particles that form when fuel is burned – will also be reduced. However, more reduction of the finer particulate, the portion that is smaller than PM2.5, will also be required to protect human health. This <PM2.5 fine particulate is significantly more dangerous than the larger portion. We understand that the International Maritime Organization is presently reviewing this new potential requirement.

Once the <PM2.5, in addition to the existing SOx reduction, requirements are in place, we hope that we will see reductions in a range of pulmonary diseases. Cutting sulphur emissions from ships will also help prevent acid rain and ocean acidification, benefiting crops, forests and aquatic species. MARPOL compliance can be achieved by switching fuel to marine gasoil or very low sulphur fuel oils, both of which are priced substantially higher than regular bunker fuel. The alternative to fuel switching is to use exhaust gas scrubbing technology. Scrubbers can be used for new builds, or retrofitted into existing ships. They are available in three main designs: open-loop, closed-loop, or hybrid to meet each vessel’s specific needs. CR Ocean Engineering (CROE) is in the final stages of demonstrating its new <PM2.5 reduction technology – and more will be revealed when testing is complete in early 2022. Furthermore, CROE is now working towards a

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novel CO2 capture and sequestration technology that may also be available later in 2022. Scrubbers allow shippers to burn the fuel of their choice while remaining MARPOL compliant. In the cut-throat, competitive shipping industry, the lower operation costs and increased operating margins will provide a definite advantage. Until non-fossil fuels become standard, scrubbers are here to stay. Put simply, they help protect our planet.

For more information contact: Dominique Philibert, President & COO Tel: + 1 (973) 455-0005, ext. 123 Email: dphilibert@croceanx.com Website: croceanx.com

BALLAST WATER

Following the introduction of new ballast water regulations, we talk to Bawat CEO Marcus Hummer about the company’s experience in the current conditions

SYSTEMS SURGE AHEAD

Marcus Hummer CEO, Bawat

CSI: What is the company’s approach to ballast water treatment and what are Bawat’s unique selling points? Hummer: We are unique in terms of technology, as we are using pasteurisation in the treatment process of ballast water. The energy source we use for treatment on ship installations is typically waste heat from the main engine making the system a very green technology and OPEX free for the ship owner. The system consists of robust, shipworthy equipment, such as plate heat exchangers and a pump as the main components. The items are well known by the crew and simple to maintain. The system is a one-pass system, meaning the water only needs to be treated when ballasting or de-ballasting. Furthermore, there is no holding time – the ballast water is fully treated after passing the pasteurisation unit. Bawat’s ballast water management system (BWMS) has no filters. Filters

have a tendency to clog, which slows down the ballasting process. Furthermore, no consumables are needed. The system is completely independent of water quality, meaning water with high turbidity or water which is cold and/or has low salinity runs smoothly through the Bawat BWMS. It is not vulnerable to vibrations due the robust components. It can also be delivered as a containerised mobile solution, which can stand ashore and be shared by many users. The mobile system can also be brought onboard and shared between vessels that only need a BWMS occasionally. Industry is now past the initial stage of meeting new regulations, so how do you see industry take up of ballast water solutions? As an equipment convention and not as a discharge convention. The installation rate has to increase seven fold towards

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2024 to reach the full retrofit fleet installed. The overall aim behind the ballast water management convention unfortunately becomes secondary in the discussions with parts of the industry. Some owners look at the convention as an unnecessary burden for them. However, the need for protection of the marine environment is obvious and the faster the world’s fleet is in compliance with the convention through efficient BWMS, the less damage will be done. What do you think are the major shortfalls and challenges in the market for ballast water treatment solutions going forward? Only very little is done on governmental and flag state level in order to enforce compliance with the ballast water management convention. One part of the enforcement is, of course, to check whether the vessel has an approved BWMS onboard the vessel, but another part of the enforcement should be to check whether the treated ballast water actually is in compliance. As long as regular inspections are not conducted, it’s relatively easy to cheat if you intend to. Shipowners and managers have a tendency of putting very much focus on Capex rather than total cost of ownership when they compare BWMS.”

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BALLAST WATER

New innovations hit the ballast water treatment system market, while BIMCO calls for more time for data collection

A MODEL APPROACH France-based BIO-UV Group has strengthened its position in the global ballast water treatment system (BWTS) market with the addition of 3D laser scanning and modelling to its Bio-Sea engineering and design services. The new service follows increased shipowner demand for turnkey BWTS retrofit solutions capable of reducing or negating BWTS installation time in drydock. The digital scanning of a ship’s compartment generates a 3D image from which BIO-UV Group engineers can find the optimum site for its Bio-Sea system and develop more detailed engineering to expedite class approvals and installation. Florian Cortes, technical director – Bio-Sea, BIO-UV Group, says: “By providing a complete Bio-Sea BWTS retrofit package that includes everything from 3D scanning, and modelling to detailed design and commissioning, shipowners need only deal with one or two suppliers rather than several.”

Maxime Dedeurwaerder, business director – Bio-Sea, BIO-UV Group, adds: “By offering a free-of-charge feasibility audit and competitively priced 3D scanning, we can support complete ballast water treatment projects end-to-end. This is a significant benefit for shipowners looking at ways of installing a ballast water treatment system without taking the vessel out of service.” Due to the current spike in freight rates, BIO-UV Group is fielding more enquiries for in-service installations using dedicated Bio-Sea “flying squads”. “Of course, this adds more to the total cost,” says Dedeurwaerder, “but at least the ship remains in service, earning money. This is a real hot topic at the moment.” According to Dedeurwaerder, there is a noticeable trend for shipowners looking to work with “a limited number of business partners during a retrofit project, and to be fully supported along that process”. Coinciding with the introduction of digital modelling services, BIO-UV Group has also updated all versions of its UV

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BALLAST WATER

Bio-Sea 3D scanning and modelling

technology-based Bio-Sea systems to ensure compatibility with GPS data acquisition. “This is a new feature we are providing in anticipation of possible future regulatory requirements,” Dedeurwaerder says. “The GPS Data is simply the registration in the log of the system of the vessel GPS position when a ballasting operation is performed. By crossing with all other input data, various analyses will be possible, although at first this addition aims to anticipate a possible International Maritime Organization regulation update for that respect localisation and tracking of ballasting operations.” Joining its low-flow L-range, the Bio-Sea M-Series is a multi-lamp

reactor designed specifically for flow rates of up to more than 2100m3/h. The compact, low-height design makes installation easier than medium flow range BWTS in the market.

EXPERIENCE BUILDING

BIMCO among other industry bodies submitted a proposal to the Marine Environment Protection Committee (MEPC) 77 with the aim to extend the experience-building phase (EBP) associated with the international convention for the control and management of ships’ ballast water and sediments. The extension is deemed necessary due to slow progress of the data collection phase. “It was envisaged at the time of

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starting the EBP that countries and port state control (PSC) organisations would have been gathering significant levels of data, and that this would be fed into the IMO GISIS system for proper collection and analysis. However, so far, only five member states have submitted data, which represents approximately 200 ships. In BIMCO’s view, this is insufficient to proceed to the next stage if a proper data analysis must be conducted,” BIMCO said in a statement. “It is reasonable to assume that the COVID-19 pandemic may have significantly impacted on planned numbers of onboard inspections and their scope relating to the BWM Convention over the last two years.”

ALTERNATIVE FUELS

Shipowners, operators, charterers, bunker suppliers, traders, refiners, financiers, insurers and crews will all be involved in the energy transition – and there are certain realities that must be acknowledged before change becomes possible, says KPI OceanConnect’s Bill Wakeling

THE BUNKER TRADER AT THE NEXUS OF CHANGE

Bill Wakeling Head, Alternative Fuels and Special Projects division, KPI OceanConnect

Many new fuel technologies and their associated supply chains are unproven in real-world conditions and they will mature at very different rates. Moreover, those new technologies won’t arrive in every hub simultaneously and minor ports may have to wait much longer for their arrival. The push to decarbonise is coming from different directions over different timelines and it’s imperative that shipowners find a strategy that’s specific to their fleet and trading patterns. As that happens, the global trading fleet is undergoing stepwise renewal either through newbuildings or retrofit projects. No single solution will suit all vessels, so even within their fleets, shipowners and operators may need to take a bespoke approach to each vessel’s decarbonisation strategy. A step-by-step approach allows for constant evaluation and – if necessary – course correction. It gives you agility in a market that continues to change regardless of decarbonisation. Even now, the impacts of the IMO 2020 Sulphur Cap and the covid-19

pandemic continue to add complexity to fuel choices and supply options. To take one simple example, as Teekay Tankers noted in its Q2 2021 results, a “$100 per ton [increase in the price of its fuel] is equivalent to a reduction in spot rates of approximately $3,000 to $4,000 per day” for its Suezmaxes. At times, market changes are dramatic. In Rotterdam for example, very low sulphur fuel oil (VLSFO) fell from roughly $600 per tonne in January 2020 to $150 per tonne in May 2020. By May 2021, VLSFO had returned to close to $500 and it’s now back above $600. The cost of alternative fuels is currently substantially higher, availability varies substantially by region and they often exhibit much greater price volatility. Indeed, these three aspects are some of the main driving factors behind our decision to launch the Alternative Fuels and Special Projects division. We’ll be working side by side with our business partners through our long-term partnership approach to help them effectively manage the impact of

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these changes in the market to achieve their sustainability ambitions and regulatory compliance. The need for innovative solutions is growing within shipping and we’re committed to delivering just that by enhancing our counterparts’ ability to achieve their commercial and sustainability ambitions through transparent collaboration, knowledge sharing and expertise. KPI OceanConnect has proven its resilience and value to partners through 50 years of market challenges and transitions, the latest being IMO 2020. However, it’s a strength that we don’t take for granted and we’re constantly looking for ways to further optimise value for our business partners through our service offering. There have been plenty of insolvencies and liquidations over the past few years, including at least four bunkering firms that were once frequently listed among Singapore’s annual top 20 bunker suppliers. The reality is that counterparty risk assessment has become more important than ever. If you’re not doing your due diligence to ensure that you’re working with a credible partner, you’re putting your company at risk. Looking ahead, we expect to see

more consolidation in the industry, although the transition towards future fuels may initially increase the number of new suppliers and new source locations. While the large global bunker hubs, such as Singapore and Rotterdam, are already proactive in establishing the supply infrastructure for alternative fuels, not all ports will be able to offer the full range of products, while others may gain new status as key supply hubs. Fuel security will be a key priority for shipowners and charterers, and contract markets will likely be established initially for some of the new fuels due to limited availability and a lack of distribution infrastructure. This is likely to mirror the situation that played out during the sulphur cap transition, but it could take longer to return to business-as-usual. Regardless of this timetable, carbon emissions need to be accounted for today if we are to meet impending demands and carbon offsetting is an emerging market with great potential for the shipping industry. Carbon offsets enable emissions and CO2 output to be balanced with the purchase of an equivalent qualified offset that funds certified projects that generate clean and renewable energy.

“Carbon emissions need to be accounted for today if we are to meet impending demands and carbon offsetting is an emerging market with great potential for the shipping industry”

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We expect them to be useful in the short term when new fuel availability is limited and in the medium term they’ll be useful because most new fuels will continue to have some degree of carbon footprint, possibly for decades to come. In July 2021, KPI OceanConnect completed its first carbon offset transaction with a respected seismic research vessel owner and long-term client. The voluntary carbon units were derived from a wind farm in Texas and verified by Verra Registry. Whether it’s investing in delivering the first carbon offset deal, creating a dedicated division to focus on decarbonisation, or being a pioneer in digital platforms such as AuctionConnect, we pride ourselves on delivering forwardthinking solutions for our clients. We recognise that we have a responsibility to help shipowners and operators emerge as environmental leaders. This requires a real shift in the traditional, commoditised relationship that fuel providers have often had with their customers to one founded on partnership, transparency, and implementing bespoke energy strategies and solutions that meet both a shipowner’s immediate and future needs.

ALTERNATIVE FUELS

Introducing alternative fuels as countries and organisations gear themselves up to reduce emissions has not been easy and many are having to grapple not just with availability, but the problems of ensuring the infrastructure is in place to deal with them

RAMPING UP NET-ZERO TARGETS At the recent COP26 climate summit, discussions specifically focused on transport and sustainable cargo initiatives. One example of a collaborative effort in the area was from GoodShipping, which announced a new partnership with 18 companies that will substantially reduce emissions from shipping. Cargo owners and other partners have completed the first in a series of bunkering operations involving sustainable marine biofuel as part of the COP26-dedicated decarbonisation campaign to cut around 4,000 tonnes of emitted CO2. The Ship to Zero initiative brings together organisations spanning a range of nations and industries, including food production, consumer goods, chemicals, textiles, machinery and logistics, and all of which are united in their commitment to make an immediate and tangible climate impact. The initial partners of the initiative included a number of household names including Bugaboo, Cocoasource, DHL Global Forwarding, Dille & Kamille, Dopper, Geelen

Counterflow, Lenzing, Loods5, Lush, Matsen Chemie, Nine & Co, Regent Ingredients, Samskip, Sipsmith, Tony’s Chocolonely, YOGI Tea, Yumeko and Zaytoun. The aim of the campaign was to demonstrate that making real climate impact is already possible today. Each partner has committed to a specific reduction in greenhouse gas emissions related to the transport of their products or services. Translating these pledges into tangible, traceable and demonstrable climate impact, GoodShipping completed the first bio-bunkering of the container ship Samskip Innovator, during which fossil fuels were replaced by 100% sustainable biofuels. The partnership saw biofuels used for a total of four or five trips from Rotterdam to Hull and around 4,000 tonnes of CO2 will be reduced as a result. GoodFuels estimates that its advanced biofuels deliver an 80-90% well-to-exhaust CO2 reduction and are produced from certified renewable feedstocks. These include, among others, used cooking oil and waste animal fats, which are labelled as

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100% waste or residues that cannot be used for any higher quality application or recycling. These feedstocks are approved by an independent sustainability board, to make sure all biofuels used meet the highest sustainability requirements. Tina Trinks, commercial manager at GoodShipping, says: “The Ship to Zero initiative demonstrates that concrete climate action is possible now and that a tangible impact can be achieved by taking small steps together and breaking down barriers to collaboration across industries. “Given the urgency of the climate crisis, there is no time to waste, and cargo owners have a unique opportunity to move from intentions to action.”

METHANE PLEDGE

SEA-LNG, a coalition of businesses across the maritime liquefied natural gas (LNG) value chain, is backing the Global Methane Pledge, which was backed by countries attending the COP26 summit. The pledge is positive news for LNG as a marine fuel according to SEALNG. Stronger regulation of methane emissions should create more certainty for the shipping industry regarding LNG’s positive emissions benefits. The pledge is yet another step towards the recognition of the importance for measurement of greenhouse gas (GHG) emissions from all marine fuels on a well-to-wake (WtW) basis, including CO2, methane and nitrous oxides. Comprehensive WtW measurement is the only way to accurately compare the viability

of future fuels in a decarbonised shipping industry. Engine manufacturers and LNG bunker fuel suppliers are already developing new technologies to address methane slip and fugitive emissions in the LNG supply chain. With very high rates of combustion efficiency, the latest engine technologies already have virtually no methane slip. Where methane slip still exists, engine manufacturers and fuel suppliers are accelerating their technological developments to address these issues and satisfy the signatories to the pledge. Peter Keller, chairman of SEA-LNG, says: “The pledge to reduce GHG emissions, including methane, by 2030 presents a challenge for the shipping industry, but it is a target we are confident can be met. Due to the scale and breadth of international shipping, a basket of fuels, as exists today, will continue to be necessary for shipping to achieve a net-zero target.” Research by SEA-LNG and consultant Sphera covering the use of LNG in the shipping industry identified very limited methane slip in the most common high-pressure, two-stroke, slow-speed engines used in the industry today. Technological improvements in other engine types have already resulted in large-scale reductions in methane slip. It is anticipated that as this work continues, methane slip will be negligible in all marine engine types by the end of the 2020s. Looking to the future, bioLNG then renewable synthetic LNG will drive decarbonisation. Hydrogen, manufactured through the electrolysis

of water using renewable electricity, when available at scale, will deliver a net-zero fuel for LNG-powered vessels through the use of renewable synthetic LNG. It will be fully interchangeable with today’s LNG engine, storage and bunkering infrastructure. Until then, bioLNG as a drop-in fuel will offer significant GHG emission reductions beyond what LNG already delivers today, up to 23% on a WtW basis. Keller concludes: “As we look to the future, methane reduction coupled with the growth of bioLNG products followed by the introduction of renewable synthetic LNG will be capable of providing the air quality and carbon-free future we all see as essential.”

CORE SETS UP IN US

Core Power, the UK-based technology developer specialising in advanced nuclear power for ocean transportation, has established a US subsidiary and opened an office in Washington D.C. A team of leading nuclear innovation corporations, including Southern Company, TerraPower and Core Power, has secured cost-share funding from the US Department of Energy to develop the first proof-of-concept Molten Salt Reactor (MSR) in the US by 2025. “We have ramped up our activities in the US significantly during the past year and we have decided it’s time to establish a permanent presence in this market”, says Mikal Bøe, chairman and chief executive of Core Power, adding: “Core Power is building a market for the MSR in global shipping, so our engagement with the US government, the energy industry and key regulatory agencies here, means our decision to make Washington DC our home in the US is a natural choice”.

METHANOL FIRST

Global Methane Pledge: US President Joe Biden addresses heads of state at COP26 on the joint EU/US initiative, with Ursula von der Leyen, president of the EC (2nd L) seated. © Yonhap/Newcom/Alamy Live News

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Towage operator Svitzer has signed an agreement with naval architect Robert Allan to design the world’s first fuel cell tug for harbour operations that runs on green methanol. The project builds on close co-operation between Svitzer and Maersk, with the aim of jointly exploring the combination of methanol fuel cells, batteries, storage/handling systems, electric drives and propulsion

units as a carbon neutral alternative to the conventional fossil fuelled propulsion train. Commenting on the agreement, Ingrid Uppelschoten Snelderwaard, Svitzer’s global COO, says: “Fuel cells will be applicable as main propulsion power for tugs earlier than for larger vessels and, furthermore, the time to build a tug is significantly less than for a container vessel. Svitzer will obtain valuable knowledge and operational experience handling fuel cells as an alternative to diesel or pure electric power. We consider this project a significant step in Svitzer’s ambition to lead the decarbonisation of towage and an important contribution to the joint efforts to develop solutions with a positive impact on the environment.” Svitzer and Maersk are working closely together to determine technologies that support the overall Maersk decarbonisation journey. The objective is to extract and apply knowledge and operational experience of methanol feasibility from the near shore small scale tug on to larger ocean-going container vessels. Commenting on the collaboration, Ole Graa Jakobsen, Maersk head of fleet technology, explains: “Fuel cell technology could be a disruptor in the maritime technology space, promising high efficiencies and eliminating the need for substantial amounts of pilot ignition fuels while removing harmful emissions. Thus, we have been monitoring the technology for the past few years and, with the accelerating developments in the ‘Power-to-X’ arena, it has become evident that we should step up our engagement in fuel cells, especially in combination with green methanol.” The 80-ton bollard pull newbuild tug with escort notation will come with a hybrid electrical propulsion system solution whereby fuel cells can be dimensioned to deliver a specific amount of sustained bollard pull using fuel cells alone, adding additional power from the batteries during the short but often frequent peaks that characterises towage. The fuel cells can be used to charge the batteries when the tug is mobilising and when the tug is berthed, minimising the need for expensive shore-side charging

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facilities. The combination of fuel cells and batteries will deliver a selfsustained tug with longer endurance and with less operational constraints than a pure battery powered vessel. The fuel cell tug will function as a pilot design for future Svitzer newbuilds and is planned to be put into operation within the Svitzer Europe region by the first quarter of 2024.

LIQUID ASSETS

Maersk Growth, the corporate venture arm of AP Moller - Maersk, has recently announced plans to invest in Vertoro – a Dutch start-up focused on developing liquid lignin technology, which can be used as a marine fuel. Lignin is a class of complex organic polymers which form key structural materials in the support tissues of most plants. Maersk’s investment will be used to further develop and commercialise Vertoro’s patented liquid lignin technology and it will enable Vertoro to build a demo plant, which will become operational in 2022. The output of this plant will be used to develop marine fuels in partnership with Maersk, as well as other applications for the materials and chemicals markets. The minority investment supports AP Moller - Maersk’s work to decarbonise marine operations. Maersk expects several fuel types to exist alongside each other in the future and has identified four potential fuel pathways to decarbonisation: biodiesel, alcohols, ammonia, and ligninenhanced alcohols. “Lignin fuels have a promising potential when it comes to decarbonising shipping,” comments Peter Votkjaer Jorgensen, a partner at Maersk Growth. “We consider Vertoro to be a leading start-up in the sustainable biomass-to-liquids space and we are excited to invest in the company and become part of the efforts to effectively scale up production of green fuels. We believe that we can offer value beyond capital through the expertise and scale of the broader Maersk organisation.” Vertoro, founded in 2017, produces liquid lignin exclusively from sustainably sourced forestry and agricultural residues by means of a patented thermochemical process.

Like fossil oil, liquid lignin can be used as a platform for fuel, chemical and material applications. The investment in Vertoro is the third investment in the fuels of the future from Maersk Growth in less than two months. In September Maersk Growth invested in WasteFuel, a start-up focused on turning waste into sustainable aviation fuel, green bio-methanol, and renewable natural gas. Later followed the investment in Prometheus, which is developing a direct air capture-technology to enable cost efficient, carbon neutral electro fuels. These investment activities underline how Maersk Growth has added green fuels as an additional subinvestment theme under their overall umbrella of supply chain investments. Furthermore, these investments are part of the AP Moller - Maersk journey to become carbon neutral by 2050. Maersk recently announced a total of nine vessels capable of running on green methanol.

GREEN UNDERSTANDING

In a recently signed memorandum of understanding (MoU), Haldor Topsoe and Hyundai Oilbank will work together to indentify opportunities in a number of areas, including blue and green hydrogen, waste plastic recycling, e fuels, carbon capture, utilisation and storage and bio refinery. The aim of both parties is to optimise low-carbon initiatives, as well as meet company targets for the development of eco-friendly business. Danish company Topsoe is developing cutting-edge technologies within green hydrogen, green ammonia, eMethanol, and eFuels, while Hyundai Oilbank is also pushing hard to reduce emissions in its service approach Under the MoU, the two parties will collaborate on developing sustainable and efficient solutions within a range of green energy solutions. “We’re pleased to support Hyundai Oilbank in its efforts to transform its business model to sustain a green future, and we look forward to optimising our green energy technologies together,” says Chokri Mousaoui, executive vice president and head of green hydrogen at Topsoe.

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SAFETY

As the industry faces up to new environmental challenges, the people leading the charge should not be forgotten

EMPHASISING THE HUMAN ELEMENT Chief executive of Palau International Shipping Registry (PISR) Panos Kirnidis told delegates at COP26 that the maritime shipping industry should not forget the human element as it recovers from the global pandemic and faces new environmental challenges. “The overwhelming message from the COP26 is that failure to act on environmental issues will affect real people, but it is people that will lead the charge to recovery and environmental compliance in the global shipping industry,” he said. COP26 stressed the need for cooperation between nations and Kirnidis said he saw this as a call to the shipping world to recognise that even in a digital environment, there will still be a need for the human element. “We have been developing our online operations over the past five years so that we are fully digital and able to respond to the requests of ship owners and operators in real time,” he said. “But

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we also understand that shipowners need a real person to talk to at times. It’s about confidence and the ability to offer experience, knowledge and guidance on issues related to their operations.” The recent announcements from some of the world’s largest shipping lines suggest fully digital operations will become the normal method within 20 years. Kirnidis believes this will cause issues for many small to medium-sized shipowners who will not have the resources to operate a full digital service. “The shipping world is committed to achieving global environmental compliance in line with the targets set by the International Maritime Organization (IMO)and yet this will require greater investment from shipowners, regardless of size,” he said. “For the smaller operators this will only be achieved by combining digital technology in their operations with a human blend. People who understand the global shipping industry and partners who can offer advice,

SAFETY

BIOFOULING COMES UNDER THE SPOTLIGHT

Biofouling management is an important part of the roadmap to a decarbonised future

support and online services will be an asset for the smaller fleet owners.” Ongoing investment in online operations, human partnerships and new technologies will be the right combination to achieve environmental compliance for the shipping world in the next decade, according to Kirnidis. “We have shipowners looking for information and guidance on the new regulations and being able to discuss these with a real person is often a welcome interaction. “In January 2023 the IMO’s new EEXI and CII regulations are coming into force. EEXI is a framework for determining the energy efficiency of in-service vessels over 400 GT that fall under MARPOL Annex VI. This affects our shipowners and so will the CII, which is an operational measure of how efficiently a ship transports goods or passengers. “These are both complex regulations and will be central pillars of the IMO’s aim to reduce emissions from vessels by 50% by 2050. The technicalities of these new regulations will see more ship owners looking for guidance. This is why having someone to talk to will be vital to reduce the stress experienced by many ship owners as they struggle to operate in this new shipping environment,” he said.

Since 2017, PISR has launched its own unique Deficiency Prevention System to help keep vessels operational and in compliance; electronic certificates for almost instant delivery to ships and an online registration and payment service operating in real time. It is part of the registry’s long-term plan to reduce the paperwork and time impositions on shipowners. Kirnidis also defended ship owners in the ongoing debate about their commitment to the environment and believes the majority are fully behind the new regulations. “The shipping world has not ignored the calls for changes and actions to reduce the environmental impact of global maritime operations,” he said. “In fact, the shipowners we talk to are fully behind the drive to achieve compliance with the current and future regulations. Our view is that experience, knowledge and the need for future planning can only be achieved by combining people with technology. “This will benefit smaller fleets and individual shipowners and operators. By doing this, it will also ensure compliance in the drive to reducing the overall impact of shipping on the global environment.”

The Global Industry Alliance (GIA) for Marine Biosafety presented the early findings of its new report, The Impact of Ships’ Biofouling on Greenhouse Gas Emissions, at COP 26. Lilia Khodjet El Khil, IMO project technical manager for GloFouling Partnerships, said: “Stakeholders can take a number of complementary actions to reduce greenhouse gas (GHG) emissions from shipping. Using alternative fuels or technology to curb emissions can help meet the 2050 targets for the industry, but reducing fuel consumption is a vital part of the equation. “Biofouling management creates a smooth ship’s hull and this will reduce friction and thereby reduce fuel consumption and associated GHG emissions. Biofouling management is an important part of the roadmap to a decarbonised future.” There are multiple studies demonstrating the impact of biofouling on ship performance, said Khodjet El Khil, but preliminary results demonstrate how the perceived impact of biofouling is likely to have been historically underestimated by industry leaders and policy makers. The report also features newly developed research focused on analysing the effect of currently available industry practices for biofouling management, such as the importance of selecting the most appropriate fouling control coating, hull cleaning, propeller polishing and the use of ultrasonic antifouling systems. It aims to highlight the importance of biofouling mitigation measures in the short to medium term: biofouling management may be used as a means of compliance with International Maritime Organization carbon intensity requirements, while the development and deployment of other GHG reduction strategies based on new low-carbon and zero-carbon fuels or technologies come to fruition.

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DECARBONISATION

For shipowners and operators, the requirement to decarbonise is becoming increasingly urgent, as Søren Meyer, CEO of ZeroNorth, explains

ACTIONABLE DATA WILL BE CRITICAL

Søren Meyer CEO, ZeroNorth

On a wide scale, our industry must successfully implement a plan to decarbonise operations in line with regulations and societal ambitions. To compound the scale of the challenge, the roadmap that owners and operators set for themselves – and the solutions they choose - must be profitable, trustworthy and flexible enough to respond to further upcoming changes. However, although there are exciting developments in future and low carbon fuels on the horizon, the sector is currently absent of these solutions at a scale that will enable it to significantly reduce emissions. In short, the need to decarbonise – and to be able to do this profitably – is a historic challenge for a sector used to commodity fuels and a traditional way of operating. It’s clear that the challenges of cutting emissions will require a combination of clean technologies, alternative zero-carbon fuels and, as is becoming increasingly apparent, a more intelligent use of data and technology. This is because data and technology

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can help unlock and underpin more intelligent decision-making; an immediately achievable first step towards realising greater sustainability outcomes that can be taken today. Taking a step back for a moment, it’s important to reflect on the huge cost increases that future fuels will bring to ship operations. Given the cost increases of these fuels, the only way that they can be realistically used is by reducing fuel consumption. In this, digital technologies have a key role to play.

ENABLING THE FUTURE FUELS TRANSITION

Shipping now has access to a large well of data, spanning vessel performance, weather, market rates, fuel prices and more. This data is a huge asset for decision-making; if it can be turned into actions that transparently reflect CO2 and dollar upsides. But while the shipping industry’s data resource may be vast, it is widely underutilised and the ability to unlock efficiencies,

DECARBONISATION

Weather routing functionality

enhance vessel performance, increase earnings and, vitally, reduce CO2 emissions, hasn’t been harnessed to its full potential. However, and particularly when it comes to decarbonisation, this is changing. Part of this is thanks to the flexibility inherent in digital technologies: unlike other cost or fuel efficiency solutions, there is little-to-no capex barrier or vessel downtime for the implementation of digital solutions. Without a requirement for hardware installation, and at a low ongoing cost point, advanced digital solutions can pay themselves back extraordinarily quickly. By overcoming this cost factor – for many owners a prevailing concern right now – digital technologies can unlock fuel savings and increased earnings of the same magnitude as some clean technologies. This is especially notable with clean technologies often costing hundreds of thousands or millions of dollars and weeks of vessel downtime for retrofits. This cost saving can be used in many ways; including investment in research and development, future fuels and efficiency solutions. Digital solutions therefore make it easier for the

industry to transition to a lowcarbon future faster. A case in point, we must look at the potential efficiency gains available to us achieve via integrated weather routing. As ZeroNorth recently announced, we see that technology has evolved to the point where prioritising safety can also be aligned with minimising emissions and maximising revenue, by taking advantage of the weather on all routes. This will have a positive impact on decarbonisation, and it’s all because technology has evolved to the point where, today, the benefits of weather routing, voyage planning and vessel optimisation no longer need to be siloed from each other.

COLLABORATION AND BREAKING DOWN SILOS

It’s also important to recognise that collaboration, partnerships and the breaking down of settled silos is the other key trend impacting, and being impacted by, digital uptake. As a sector, we must work together and create tools that support collaboration, even with competitors, to play our part and create a pathway for the future.

This mantra is exactly why, across 2021, ZeroNorth has been creating working groups that incorporate a representative slice of the organisations driving shipping’s decarbonisation trends. The purpose of these working groups is to combine knowledge and solve challenges that are hampering the decarbonisation process. For example, in summer 2021 we announced that one of our working groups had created a benchmark for assessing fuel table model accuracy, allowing owners and operators to optimise their ships based on quality fuel consumption data. It’s obvious to see why this could be an important and impactful step on the path to decarbonisation. After all, if we are going to improve fuel and emissions performance, we need to be able to do that from an accurate baseline. More importantly, that baseline must be an accepted standard across the industry, so that we can unilaterally compare outcomes and further incentivise the industry to offer better solutions. This mantra of collaboration has also underpinned the development of our voyage optimisation software, Optimise, in which we have built a complimentary ecosystem of data providers that turn data into actions, generating tangible revenue upsides and emissions savings. We believe that to drive real change, we must align decisions around both profit and planet. Data and digital technologies will undoubtedly play a huge role in maritime decarbonisation. The time to do this is now, and decisions we take today will generate returns in the immediate term and also set us up for success in the future. Collaboration, a greater focus on using the data assets already available to us and more support for solutions that enable better commercial decision-making, will be critical to unlocking a new era of shipping.

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TECHNOLOGY

Julian Clark, senior partner at Ince, takes an in-depth look at the role of blockchain in sustainable shipping

FORGING A SMARTER FUTURE

Julian Clark Global Senior Partner, Ince

Over the past few years, there has been a lot of industry buzz around blockchain. Although there is a lot of hype and some misunderstanding around its capabilities, the technology has legitimate potential to play a significant role in advancing shipping operations, especially against the backdrop of a fast-evolving maritime fuel regulation landscape. Following last year’s IMO 2020 regulations, as well as the recently unveiled Carbon Intensity Indicator (CII) and Energy Efficiency Existing Ship Index (EEXI) decisions, shipping is facing a major turning point to change its energy use and shift to higher-grade fuels. Currently, vessels contribute approximately 3% to the total volume of global pollution and IMO 2020 regulations – which are projected to lower sulphur emissions by over 80% – aim to reduce this figure while increasing the sustainability of shipping operations worldwide and improving the environmental credentials of seaborn trade at a global scale.

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New maritime fuel standards have been – and will continue to be – disruptive to global supply chains. Stricter compliance will also become an inevitable consequence of the increasing regulatory burden and shipping companies will look for ways to improve the processes they have in place to document compliance. But technology generally – and blockchain specifically – can calm the waves of disruption and help those involved in the maritime ecosystem move confidently forward.

NAVIGATING THE HIGH-COST FUTURE FUEL ENVIRONMENT

Blockchain has the ability to facilitate how shipping addresses its energy needs and how maritime companies comply with existing and upcoming environmental regulation regarding maritime fuels, sulphur levels and carbon emissions, among other issues. The reality is that switching to lowersulphur fuel options also means using more expensive fuels, many of which are still in

their infancy or lack existing infrastructure to quickly scale. In fact, upcoming regulation is likely to lead to the maritime industry – which currently is reported to use anything between 3.5 and upwards of five million barrels of fuel per day – to experience a similar supply and price crunch to the one that US truckers faced when Ultra Low Sulphur Diesel regulations first came into force just over a decade ago. Under IMO 2020, shippers could pay approximately $20 more per barrel depending on the specific fuel used. Of course, higher fuel costs mean higher overall shipping costs. The Wall Street Journal estimates that this regulation will add upwards of $50bn in new fuel costs over the next three-to-four years. And that estimate does not include enforcement challenges, market inefficiencies due to jurisdictional discrepancies and even limited refining capacities that will ultimately create a bottleneck. In this situation, logistics companies face a tough choice: they can either absorb these higher costs leading to the potential shrinking of their bottom lines or pass them on to consumers in the form of higher prices, which

TECHNOLOGY

is extremely commercially risky and disadvantageous. Fortunately, there is a third option, which involves adopting blockchain and the latest tracking technology to modernise and streamline supply chains by removing many of the expensive friction points – and thereby much of the cost – required in both compliance enforcement and certification. Significantly, shipowners and operators can use blockchain to navigate the changing marine fuels landscape, mitigate the risk that comes from fragmentation in fuel supplies as more fuel is blended to meet compliance requirements and ensure that they comply with international maritime emissions regulations and standards. This is because blockchain-based systems improve the reliability of tracking and tracing fuel origins and quality by recording information on a distributed ledger and collecting data throughout the bunker fuel supply chain. BunkerTrace is an example of a recently established initiative providing marine fuel traceability, which adds synthetic DNA tags to bunkers to

track them as they move through the supply chain. Combined with a blockchain ledger, this creates an immutable record of bunker supply, making it possible to verify the source and quality of bunkers before they are burned in a ship’s engine. Such initiatives used strategically as part of broader fuel procurement and compliance strategies will prevent costly quality disputes, reduce risk of engine damage and provide clear advantages in ensuring compliance with increasing sanctions regulatory requirements.

TRACEABILITY AND ACCOUNTABILITY

In any supply chain, the number of human touchpoints before a shipment arrives at its final destination is quite substantial, and this is where blockchain can have a significant impact and deliver considerable efficiencies along the process. To illustrate this point further, a simple piece of fruit grown in South America that is shipped to Europe must be picked and loaded into trucks, weighed at warehouses and stacked in shipping containers, all before it reaches its port of destination and is inspected, carted,

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TECHNOLOGY

“Blockchain, with its immutable digital ledger, can drastically increase efficiency and reduce container detention times and costs by adding crucial visibility” trucked and stacked for consumers. Every point of contact carries a cost and a level of risk of something going awry, but blockchain technology can reduce and even eliminate these costs and delays. Blockchain’s decentralised digital ledger creates a system where all transactions are recorded and timestamped in an immutable environment. Nothing on the blockchain can be changed retroactively, so anything that companies see and access is verified to be true. This increases accountability, which, in turn, lessens the instances of fraud and theft. Additionally, a more efficient supply chain is a more profitable one, as fewer resources are tied up in figuring out where and when things went wrong. A significant cause of legal cost is in the need to verify data. This can largely be eliminated by appropriate use of blockchain technology. There are many other areas within shipping where the sustainability of operations can be greatly improved, and the integration of blockchain technology has the potential to have a transformative environmental impact. Crucially, blockchain can help to reduce the volume of empty shipments, which

is considerably higher than most people – outside the industry and within – would think. Typically done to reposition an asset – getting a truck or container in the right place for another shipment, for example – or simply due to the lack of a shipment in the opposite direction, moving empty containers around the globe is both financially costly and environmentally unfriendly. Using blockchain for smarter asset management and pooling, better asset visibility and smarter backhaul management, can therefore both reduce unnecessary costs and help to decarbonise shipping operations. Believe it or not, many of today’s shippers are still using pen and paper to track the timings when goods are placed on ships or arrive in ports. This system is incredibly inefficient and lacks transferability and accountability, which leads to widespread theft, graft, and loss. The National Cargo Security Council estimates that loss and theft cost the shipping industry more than $50bn annually. By allowing companies along the supply chain to verify when goods arrive or are shipped out, blockchain can reduce the industry’s dependency

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on unreliable written documents that can easily be lost or altered. Shipping companies currently lack visibility of the location of containers at every given point in time. In fact, shipments often sit at or near ports or in warehouses for much longer than necessary, with many of these shipments accruing detention fees for these overstays - a hefty bill for goods that are just sitting idle. Blockchain, with its immutable digital ledger, can drastically increase efficiency and reduce container detention times and costs by adding crucial visibility to provide shippers with information about the location of shipments at any point in time. New tracking technology and the blockchain do not have the capacity to cure all the shipping world’s ills, but they have an enormous potential to provide forward-looking shipping companies that are keen to adopt the latest technology with a sharp commercial advantage over those which are not. The sustainable future of shipping will be championed by those companies that can identify and take advantage of opportunities to modernise before it is too late.

TECHNOLOGY

The maritime industry has been coming up with some innovative technological solutions to combat current challenges facing the industry – not least the issue of climate change

HARNESSING HIGH TECH With cargo owners increasingly turning their attention to supply chain emissions, Klaveness’ digital arm has partnered with specialists at ZeroLab to make emissions from seaborne transportation readily available to charterers by launching an emissions monitoring tool. The emissions monitoring tool in CargoValue enables cargo owners to view total emissions by commodity, volume and ship type. The tool, previously piloted with a major charterer in the aluminum industry, enables cargo owners to quickly assess how their seaborne supply chain emissions align within the Sea Cargo Charter trajectory – a global framework for aligning chartering activities with responsible environmental behaviour. “We base the calculations on actual data whenever possible, but also rely on estimates when that is necessary. Our longterm view is that actual data will become the gold standard and we have built the product with that in mind”, says Martin Prokosch, head of ZeroLab.

CargoValue, Klaveness Digital’s digital twin solution for seaborne supply chains, makes disclosure of Scope 3 emissions much easier and also empowers cargo owners to set and monitor targets for emission reductions. “CargoValue is all about empowering the customer to turn data into insight and improved efficiency. We hope that the new emissions feature will be used beyond disclosure to also aid in identifying operational initiatives that reduce emissions,” states Aleksander Stensby, managing director of Klaveness Digital. “Emission monitoring is the first step in reducing seaborne supply chain emissions, and we are excited to develop this product together with CargoValue,” adds Prokosch. “Annual emissions from shipping total close to 1 billion tonnes of CO2. We hope the insight provided in Emissions by CargoValue will empower cargo owners to collaborate with their shipping logistics partners to reduce carbon inefficiency in the seaborne supply chain.”

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TECHNOLOGY

CALL TO ACTION

The shipping industry is in danger of losing out on a huge opportunity to make impactful and immediate gains in tackling the climate emergency, by only focusing on a narrow set of measures and having a preoccupation with new fuels, according to a new group of leading maritime technology companies and other prominent maritime organisations. The group – whose initial participants include Airseas, Houlder, NAPA, Norsepower, and I-Tech – has called for the industry, including the International Maritime Organization and EU, to promote more investment in energy efficiency and renewable propulsion technologies so the maritime industry does not miss the huge opportunity to save time and money. Currently, regulations encourage the industry to do two things; to de-rate engines so vessels are forced to slow down and save fuel, and to gradually switch to low- and zero-carbon fuels, such as green hydrogen, methanol ammonia or biofuels.

However, given the scale and urgency of the climate emergency, the group argues that regulations risk the sector inadvertently ignoring the huge range of innovative efficiency and renewable propulsion technologies already delivering significant fuel and emissions savings to the commercial fleet, including, but not limited to, wind propulsion, air lubrication, battery energy storage, hull coating technology, hydrodynamic energy saving devices including propeller devices, and voyage optimisation software. Rupert Hare, chief executive of Houlder comments: “The shipping industry needs both efficiency technologies and future fuels – yet there is a creeping sentiment that has seen fuels being prioritised. Neither provides the silver bullet for the existing fleet or the vessels of the future. Critically, future fuels will be less energy-dense than current fuels, so ships will need more fuel to meet the same performance goals. “Given that every drop of new fuel will be essential, energy efficiency and renewable propulsion technologies

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not only can bridge this gap, but could mean the difference between success and survival. The best part is that these technologies complement each other, and alternative fuels. Each vessel has its own combination of technologies to drastically reduce its carbon footprint.” Vincent Bernatets, chief executive of Airseas, adds: “The shipping industry is tackling the climate emergency with a growing sense of urgency and optimism – even as it struggles with the disruptions of a global pandemic. However, energy and optimism need to translate into action. Action now means embracing the full range of innovative tools that are here, commercially ready, and deployable right now. “We can’t let the development of new fuels become an excuse for inertia. Immediate improvements and the immediate implementation of such available innovative tools are crucial – particularly as the current fleet and ships in the builder’s yard now will be on the water for decades to come. Our environment can’t sustain a ‘wait and see’ strategy. The damage that we are doing is cumulative and irreversible and we all share a responsibility to take action.” The group is calling for all shipping stakeholders and international authorities to expand their focus. Long-term innovation, research and development and the development of alternative fuels are key to decarbonising the maritime sector. In addition, the group says, shipping needs to integrate the available efficiency and renewable propulsion technologies into their roadmap immediately with the following goals: » to ensure a move to address the environmental challenges right away » to provide the opportunity to immediately drop emissions and fuel consumption while alternative fuels continue to scale up » to provide the current fleet with an opportunity to keep pace with the rapidly accelerating environmental objectives coming from regulators, the market and the end consumer.

TECHNOLOGY

AUTONOMOUS SHIPS

One Sea’s recent white paper outlines the significant contribution autonomous ship technology can make to improving maritime safety and highlights the urgent need for a revised regulatory framework. One Sea, the high-profile industry alliance that brings together leading exponents of autonomous ship technology, has released the white paper focusing on the relationship between ship safety and autonomous technology. The paper examines the safety advances achieved by and expected from autonomous ship technology, with the aim of driving the consultative process forward towards a revised set of maritime regulations. It considers today’s safety framework, cybersecurity, views from shipowners and operators, consequences for labour and insurance, and the classification implications for varying levels of autonomy, before offering a proposal for next steps by the industry. Eero Lehtovaara, chairman of One Sea, comments: “Not only can autonomous ships greatly contribute to increasing productivity, bolstering sustainability and improving working conditions at sea; direct and powerful contributions to enhancing maritime safety have also been identified. “Technology advances, however, are dependent on regulatory frameworks. As a group of technology pioneers with some of the world’s most distinguished marine automation technology innovators and enables, One Sea has considerable knowledge and expertise to share as new rules and regulations are developed.” The need to develop harmonised international safety rules covering autonomous ships is now pressing, the paper goes on to argue. As a priority, One Sea seeks to engage regulators, insurers, representatives of maritime labour, training establishments, flag administrations and classification societies in the dialogue that to shape the future of autonomous shipping to the satisfaction of all. One Sea senior ecosystem lead, Päivi Haikkola, comments: “Our aim at One Sea is to assist in the development

PwrSwäp uses swappable batteries to deliver energy when and where it is needed

of safe autonomous systems in global shipping that could lead towards an effective operational maritime ecosystem by 2025. Collaboration between all stakeholders in the field is essential to address the challenges of digitalisation and the development of autonomous systems.

CLEAN AGREEMENT

Kotug CEO Ard-Jan Kooren (L) and Brent Perry

Kotug International and Shift Clean Energy have announced the formation of a partnership to use Shift’s new PwrSwäp clean energy service – which uses swappable batteries on a pay-as-you-go basis – on Kotug’s E-Pusher vessels. This unique combination supports the maritime industry in meeting their environmental, social and governance (ESG) objectives by delivering zero emission shipping and logistics services. PwrSwäp uses swappable batteries to deliver energy when and where it is needed, delivering 100% uptime, eliminating carbon and minimising maintenance. Kotug offers a range of modular and scalable electric pusher tugs,

the E-Pusher Series, powered by swappable energy containers. The innovative design of the E-Pusher has a draft that is 30% less than conventional pusher tug designs. Due to the modular design, the E-Pusher offers a 50% faster delivery time and allows a range of vessels to suit the needs of any waterway. For smart operations, Kotug will use its advanced dispatching, Kotug OptiPort route and reporting tool. An automated dispatching system based on historical and real-time information will bridge port and terminal information with ship operations. Shift chief executive Brent Perry says: “The message of COP26 is clear – we have to make changes now, with no time to waste. Shipping accounts for significant greenhouse gas emissions, contributing to climate change, as well as particulates that are unhealthy for communities living near ports and inland waterways. “PwrSwäp and E-Pusher bring zero emissions solutions today.”

GREEN REVOLUTION

TotalEnergies and Columbia Shipmanagement have signed a Memorandum of Understanding (MoU) to explore various collaborative opportunities to foster energy transition, especially in transportation, with a focus on shipping. TotalEnergies will work closely with CSM, a world-leading provider of ship management and maritime services, to accelerate the process of a “green revolution” in shipping. This will be achieved by utilising CSM’s decades

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TECHNOLOGY

of experience in the maritime sector and TotalEnergies’ experience in cutting-edge green technologies in the energy industry. The parties are developing in partnership a lube oil monitoring, optimisation and supply platform utilising the existing capabilities of CSM’s Performance Optimisation Control Room. These developments are aimed at bringing value to final customers. In addition, CSM and TotalEnergies are committed to work on increasing synergies in sustainability and climate innovative technologies. They will also designate existing resources towards development into alternative propulsion systems and marine fuel systems, as well as environmentally friendly waste management services.

SHIP DESIGN INITIATIVE

Deltamarin and GTT have received Approval in Principle from the American Bureau of Shipping (ABS) for

the LNG fuelled Aframax tanker design. The new Aframax tanker design provides increased autonomy while also reducing carbon emissions, providing greener and more efficient solutions for the industry. The vessel will meet the current and future environmental targets by introducing a well-studied and genuinely clean-fuel technology ship, incorporating advanced GTT Membrane-type LNG tanks and Deltamarin’s expertise in developing fit for purpose vessels. In close co-operation with GTT, Deltamarin studied various arrangements to find the optimised size and placement for the liquefied natural gas (LNG) containment system on Aframax. Energy efficiency of the vessel was studied with the latest simulation tools together with a holistic approach, providing not only a vessel using LNG as fuel, but also the best available efficiency with low emissions in this vessel size class.

Aframax tanker design with Membrane-type LNG tanks

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The approval from ABS certifies that the onboard integration of the membrane fuel tank solution is technically feasible for an LNG-fuelled tanker and that it complies with all safety regulations. The new design provides a solution that complies with environmental regulations adopted by the International Maritime Organization (IMO) until 2030. Compared with a conventional oilfueled tanker, this new LNG-fuelled tanker design reduces CO2 emissions by at least 20%. It also offers increased autonomy without reducing the cargo volume. The development that has been carried out in close co-operation between GTT and Deltamarin is the third of a vessel type that has been designed with a holistic approach to overall efficiency and optimised for certain sea routes while considering hull form, propulsion, LNG containment system and power plant configuration.

VIEWPOINT

Noah Silberschmidt, CEO and Founder of Silverstream Technologies, says shipping is pushing itself towards a new low-carbon era, but the preconception that slow steaming will get us by until new fuels are available at scale fails to address effective decarbonisation

RELYING ON SLOW STEAMING IS MISSING THE POINT

Noah Silberschmidt CEO and Founder of Silverstream Technologies

The International Maritime Organization may have planned to reduce shipping’s greenhouse gas emissions by 50% by 2050, but the industry itself is now calling for more. The International Chamber of Shipping has developed plans for reaching net-zero by 2050, including compiling a list of more than 260 projects that could overcome key technical and systemic challenges and accelerate the decarbonisation transition. Meanwhile, the Getting to Zero Coalition, a powerful alliance of more than 150 companies, is committed to getting commercially viable deep-sea vessels powered by zero emissions fuels into operation by 2030. Nevertheless, with low- or zero-carbon fuels some years off from large-scale commercial adoption, the shipping industry must find other ways to meet more immediate requirements, such as the IMO’s Energy Efficiency Operational Index (EEXI) and Carbon Intensity Indicator (CII), which will come into effect in 2023.

It might be tempting to think that slow steaming is a good solution for meeting CII requirements, but it is shortterm thinking that fails to address the underlying aim of improving design efficiency. It could be a major setback to innovation, as it also ignores the reality that regulations will continue to tighten. For instance, CII requirements will become 11% more stringent by 2026 and will further tighten before 2030 by a yet-to-bedetermined amount. And it is vessel efficiency, not slow steaming, that is becoming a commercial imperative as financial institutions, charterers and cargo owners work to meet their own ambitious decarbonisation targets. Instead, slow steaming limits competitiveness when progressive shipowners and operators are already adopting energy efficient or clean technologies across their existing and newbuild fleets. There are risks for early adopters, though, if they fail to do their homework.

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VIEWPOINT Choosing underperforming, unproven technologies could lead to stranded assets and unprofitability in just a few years. The solution is simple: recognise the best-performing, proven technologies. Reward owners for adopting them and reward charterers with fuel savings. No matter the fuel, today or in the future, clean technologies have the power to reduce fuel bills and emissions while maintaining operational flexibility. Given the absolute focus of leading shipyards on sustainability – because of pressure from their customers – owners and operators must be pushing for the best technologies that are proven and will deliver on promised results. They need to ask more of the manufacturers and organisations involved in constructing or retrofitting their vessels. They must challenge the conventional thinking that standard, “off the shelf” technologies at the newbuild stage are the best way of increasing efficiency and complying with new regulations. Silverstream Technologies is taking a central role in supporting the industry’s understanding of the power of clean technologies. The Silverstream® System is marketmature and already adopted by industry leaders including Maersk, MSC, Shell, Carnival, Grimaldi, Vale and more. Silverstream’s latest orders – now totalling 70 vessels under contract, in-build or in-service – represent a turning point for the role of clean

“Owners and operators must be pushing for the best technologies that are proven and will deliver on promised results. They need to ask more of the manufacturers and organisations involved in constructing or retrofitting their vessels”

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technology in the maritime sector. Our recent order from MSC of more than 30 cargo vessels is the largest ever order of a maritime propulsion clean technology and will save the company over 1.6m tonnes of emitted CO2 and more than €250m in estimated fuel costs. Increasingly, many of our contracts are from repeat customers, showing the level of satisfaction in the market with the performance of the technology. The blueprint for Silverstream’s success has been hard earned, but sets the standard for other manufacturers to follow. Every facet of the system has been comprehensively studied, proven and communicated to the market. We make no efficiency claims we cannot conclusively verify with in-operation data. This gives owners and operators the assurance that the technology will perform to the highest standards and, crucially, is something that many other manufacturers do not do. The foundations for clean technology success involve convening leading owners, charterers, yards, class societies and industry associations – to inspire partnerships based on engineering and supply chain excellence. Considering the central role that modern, efficient vessel designs will play within the decarbonisation pathway, it is crucial that more manufacturers follow this blueprint – enabling more owners and charterers to share the rewards of adopting efficiency technologies along the way.

WIND POWER

Nick Contopoulos, COO of Anemoi, makes a compelling case for the use of Rotor Sails to help aid the decarbonisation of the industry

BREATH OF FRESH AIR

Nick Contopoulos COO, Anemoi

Shipping makes the world go round. Our truly global industry transports about 90% of world trade. However, shipping also contributes nearly 3% of the world’s CO2 emissions. Following the COP26 summit in Glasgow, a coalition of 19 countries – including Britain and the US – agreed to create zero emissions shipping trade routes between ports to speed up the decarbonisation of the maritime sector. The International Maritime Organization (IMO) has said it aims to reduce overall greenhouse gas emissions from ships by 50% from 2008 levels by 2050. But the goal is not aligned with the 2015 Paris Agreement on climate change. The IMO’s Secretary General Kitack Lim said earlier this month: “We must upgrade our ambition, keeping up with the latest developments in the global community”. Considerable debate still surrounds the realistic timeline, availability and eco nature of alternative fuels needed for widespread decarbonisation across the maritime community. As a result, we urge shipowners

to take the plunge and invest in future proof technologies. Anemoi is a global provider of proven wind technology – and have successfully reimagined the concept as a modern-day solution that can help aid decarbonisation. Installing wind technologies as retrofit or newbuild could be the ideal answer for a wide array of vessel segments. Anemoi believes that Rotor Sails, which were originally known as Flettner Rotors, can offer an immediate and compelling eco solution for shipowners. These unique, tall cylindrical sails can be installed on the main ship deck, bow or elsewhere with sufficient space. An electric motor is used to rotate the sails in order to harness the renewable power of the wind and propel the ship. Rotor Sails make use of the aerodynamic phenomenon known as the “Magnus Effect”. As the cylinder rotates within an airflow, a forward thrust force perpendicular to the apparent wind direction is created, which delivers additional thrust to the vessel. The

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Fuel bills can be reduced by up to 30%, depending on the size of the Rotor Sails, vessel type, configuration and routes sailed

thrust generated can either provide additional vessel speed or maintain vessel speed by reducing power from the main engine. The obvious benefit from this is less fuel burned and reduced emissions. Our research suggests fuel bills can be reduced by up to 30%, depending on the size of the Rotor Sails, vessel type, configuration and routes sailed. As well as being compatible with any fuel type, Rotor Sails can also be used with other energy-saving technologies to further increase vessel efficiency, for example, air lubrication, propeller and hull optimisation to name a few. Rotor Sails also have a considerable lifespan of 25 years, benefit from low-maintenance costs and can be redeployed between vessels if assets are sold. For owners of larger or ageing fleets, this is hugely compelling factor. The shipping industry’s push to decarbonise won’t be wholly straightforward. But the decision to install Rotor Sails now is a logical approach, which will continue to be a sensible strategy for years to come.

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WIND POWER

Wind-assisted propulsion of ships has huge potential for an industry grappling with environmental targets, as a number of new initiatives highlight

ANY WAY THE WIND BLOWS More than 130 renewable energy leaders, under the auspices of the International Renewable Energy Agency (IRENA) Coalition for Action, launched a call to action at the beginning of November, encouraging all governments at national, regional and local levels to ensure access to high-quality, sustainable jobs during the energy transition. Limiting the earth’s temperature rise to 1.5oC by 2050 requires a full decarbonisation of the energy sector. As such, the clean energy transition must progress rapidly. But to build a climate-resilient future, the energy transition must advance in a just and inclusive manner, leaving nobody behind, the coalition says. “There is huge potential for sustainable, quality employment in the renewable energy sector. This includes the transition towards direct wind propulsion in the shipping sector that will generate hundreds of thousands of direct and indirect jobs adding to those in the zero-emissions fuel sector – it is vital that we have a just and inclusive

energy transition. We call that a win-winwind situation,” states Gavin Allwright, secretary general of the International Windship Association. A new report by IRENA finds that the renewable energy sector offered employment to 12m people in 2020 – a steady increase since 2012 at 7.3m.

WASP TAKES FLIGHT

Wind-assisted propulsion is just one of the avenues being explored as the maritime industry moves forward in its fight to reduce carbon emissions and there have been a number of initiatives in recent times aimed at using wind power on specialised vessels, as the Wind Assisted Ship Propulsion (WASP) project points out. One example is Tharsis Sea-River Shipping, which recently completed the installation of two retractable wing sails on the company’s 2,364dwt diesel-electric general cargo vessel, Tharsis, at the Neptune Shipyard in Hardinxveld-Giessendam, near Rotterdam. The work was undertaken at the

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WIND POWER

same time as the vessel was having its air lubrication system upgraded. The 3m x 9m TwinFoil units came from Netherlands-based eConowind. The TwinFoil is a wing with a flap principle similar to those used by aircraft during landing and take-off. “With this installation operating in both river and North Sea routing with varying winds, we are eager to see how the rigs perform, especially with the unique combination of this selfadjusting technology in combination with a modern diesel-electric drive.” says Frank Nieuwenhuis, chief executive of eConowind. Designed and built at De Kaap shipyard in 2012, Tharsis has a diesel-electric propulsion system with a ballast air draft of six metres and a minimal sailing draft of 1.65m, which gives good manoeuvrability in shallow waters. “Tharsis Sea-River Shipping was one of the first companies to install a dieselelectric propulsion train on its general cargo vessel with the aim of fuel and emission reduction back in 2012. After installation of a hull air lubrication system in 2020, the installation of the Econowind Twinfoil system is a logical next step towards the companies aim of becoming zero emission,” says Jan Albert Bosma, co-owner of Tharsis Sea-River Shipping. The wind-assist equipment will be carefully monitored and evaluated

as part of the WASP project, which is funded by the Interreg North Sea Europe programme, part of the European Regional Development Fund. “As Tharsis Sea-River Shipping joined the WASP project as the last participant, we are happy that the Twinfoil system is now installed on board the Tharsis,” adds Bosma. “We are looking forward to playing our part within the WASP project and providing valuable information that will undoubtedly accelerate the adoption of wind assist systems in shipping.”

WINDSHIP APPROVAL

Class society DNV has recently assessed Windship Technology’s zero emissions solution for shipping. Windship’s triple-wing rig has received an Approval in Principle from DNV, following years of design iteration work combined with the use of cuttingedge CFD to refine the wings before extensive wind tunnel testing and analysis by independent third parties. Each wing has trailing edge flaps that allow for optimisation of the motive force produced for a variety of incident wind angles and, crucially, allow the rigs to produce the highest power density of any current wind-powered solution. With three rigs set, they can produce all the power required to sail an 80,000dwt ship on the main long transoceanic routes.

By using data provided by Windship, DNV has performed an independent computer-based analysis of the concept’s emissions abatement potential. Speaking about the classification, Simon Rogers, technical director at Windship says: “This is the classification that changes everything. Now it is clear that the shipping industry has a workable solution to its significant emissions issues. Fleet owners and charterers have a zero emissions option with Windship Technology’s whole-ship design that is set to revolutionise the industry and the need for these wing solutions has never been more than now.” Hasso Hoffmeister, senior principal engineer, DNV Maritime says: “As shipping’s carbon trajectories head towards zero and the EEXI and Carbon Intensity Indicator (CII) are set to tighten requirements, the maritime industry needs new options to reduce emissions. “At DNV, we want to support our customers by making sure that when they are looking to make efficiency gains, they have well proven and well tested options. This is why we are so pleased to be working with Windship Technology, to help it build confidence in its Wind Rig system through the application of expertly verified models and data, based on our long-standing and globally accepted rules.”

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VALE AGREEMENT

Mitsui OSK Lines recently announced an agreement with Vale International to conduct a joint study on installation of a Rotor Sail wind propulsion system on a 200,000-ton class in-service bulk carrier, which mainly transports iron ore for steel production. The goal is to reduce greenhouse gas emissions from the vessel while underway. Rotor sails are tall cylindrical sails that can be installed on the deck of commercial vessels and make use of the aerodynamic phenomenon known as the “Magnus Effect”. As the cylinder rotates within an airflow, a forward thrust force perpendicular to the apparent wind direction is created, which delivers additional thrust to the vessel. The thrust generated can either provide additional vessel speed or maintain vessel speed by reducing power from the main engine. The joint study team will examine and verify the number of rotor sails to be installed and the effect of GHG reduction, working closely with Anemoi Marine Technologies, the manufacturer of the Rotor Sails. Anemoi, based in the UK, installed the world’s first Rotor Sail on a newbuilding ultramax bulk carrier in 2018. The MOL Group is implementing five initiatives to realise the mid-to-longterm targets set out in the MOL Group Environmental Vision 2.1.

WIND POWER

SCANDLINES SAILS

Scandlines recently announced that it was preparing to install rotor sails on its ferry Berlin, following a successful installation on the Copenhagen. The hybrid ferry, Berlin, also operates on the Rostock-Gedser route but, unlike Copenhagen, is flagged by Germany. When Scandlines decided to install a rotor sail on the hybrid ferry Copenhagen in 2019, the decision was based on technical data from the provider Norsepower and the rotor sail was then installed in May 2020. Now, Scandlines says it has had more than a year to collect data on how the rotor sail works on the Copenhagen, and what effect it has on the route between Rostock to the south and Gedser to the north. Scandlines’ chief operating officer, Michael Guldmann Petersen, comments: “We expected the Copenhagen rotor rail to provide a 4-5% CO2 reduction. That expectation

has been met, so we have now taken the next step and prepared the sister ferry Berlin for installation.” He adds that the vessel’s route across the Baltic Sea is north/ south bound and the prevailing wind is from the west or east , providing optimal conditions for the new configuration. Tuomas Riski, chief executive of Norsepower, comment: “Our rotor sail technology is technically applicable to approximately 30,000 vessels in the current global fleet of ships and we hope that this is a further signal to shipowners and operators that confidence is growing in wind propulsion technology.” The preparation for the rotor sail includes building a steel foundation on the ferry, on which the sail will be fixed. The initial work took place when the Berlin was on a planned yard stay at Remontowa in Poland at the end of May. The installation of the sail itself is scheduled for 2022.

“Our rotor sail technology is technically applicable to approximately 30,000 vessels in the current global fleet of ships” © Scandlines

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SHORE POWER

A new survey by the British Ports Association shows government support for a joint funding model for shore power in ports

WHO PICKS UP THE POWER TAB? A recent survey of more than 100 UK members of parliament for the British Ports Association (BPA) has revealed a tentative consensus for a joint model of funding for shore power in ports. Some 55% of those with a view said that the government has a role in supporting shore power, either funding it entirely or through co-investment with industry. 11% said it should not be funded at all if it is not commercially viable. More than a fifth back the costs being picked up solely by port operators, despite this going against the UK’s “polluter pays” principle, soon to be enshrined in law by the Environment Bill. The BPA is publishing new updated findings from research into shore power provision around the world. It examined 92 shore power projects undertaken in the past 20 years, using a variety of public and private sources and, again, found no known instance of shore power projects installed without public funding support. This updates work undertaken for a

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report into the barriers to the provision of shore power published by the BPA in May 2020, adding 10 projects announced in the meantime and making a new map with some of the projects publicly available in one place (see following page). The 2020 BPA report examining the provision of shore power in UK ports found three primary barriers : » High capital costs for shoreside and energy infrastructure » A lack of demand for shoreside power from ships » Uncompetitive pricing of UK electricity against marine fuels The UK government’s transport decarbonisation plan published earlier this year committed to a consultation by the end of 2021 on the possibility of regulating shore power, including a possible mandate for ports and/or ships. Ahead of an expected consultation this year, the BPA has worked with industry partners on a series of common principles that any UK shore power regulation should

SHORE POWER

Shore Power Funding Map

conform to, including being technology neutral (goal based), equitable, addressing wider network and planning issues, and accompanied by public investment. These principles will be published and form the basis of the BPA’s response to the government’s proposals once they have been made public. Commenting on the new findings, Mark Simmonds, Director of Policy at the British Ports Association says: “Our research shows billions being invested by governments around the world to make shore power a reality. This demonstrates that there is a clear, proven model for making shore power work and it’s one where both supply- and demand-side issues are tackled simultaneously and public support is provided for the capital investment. “We were pleased to see the clean maritime fund extended into a multi-

year programme in the spending review and we look forward to learning how new transport funding will be allocated. We hope that ministers recognise the strong case for allocating a significant part of this to maritime and a green maritime fund as many other countries have done”. The survey of MPs was undertaken by Savanta for the BPA between 7 September and 25 October 2021. 101 MPs were asked the following question: “Electricity connections for ships in ports can reduce harmful shoreside emissions. Yet there are few connections available in the UK, primarily due to high capital costs. “If the government were to require more connections be made available to shipping in UK ports, which of the following do you think should be primarily responsible for funding them?”

“There is a clear, proven model for making shore power work and it’s one where both supply- and demand-side issues are tackled simultaneously”

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PORT AND TERMINAL OPERATIONS FOR BULK CARGOES – Short Course 14-17 March

2022 range r a o t l l ry - ca

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d on-line

Subjects covered include: » » » » » » » » » » » »

Ship unloading technologies Conveying technologies Storage and discharge technologies Loading and unloading control Rail and road out loading equipment and control Explosion and fire risks and management Mobile plant and safety Developments in automation and autonomous vehicles Dust control and environmental protection Controlling cargo damage Wear protection and maintenance Cargo characterisation for handleability and other issues

urse

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For anyone concerned about or For anyone concerned about or responsible for the safe handling responsible for the safe handling and storage of bulk materials in and storage ports of bulk materials in and on the sea ports and on the sea Course Leader: Mike Bradley, Course Leader: MikeParticulate Bradley, Professor of Bulk and Professor of Bulk and Particulate Technologies and Director of Technologies andof The Wolfson Centre, University Director of The Wolfson Centre, Greenwich University of Greenwich

To register an interest in attending and further course details, please contact Simon Gutteridge events@bulkterminals.org +33 (0)321 47 72 19 or see bulkterminals.org/events/courses-and-training.html

LAST WORD

LAST WORD NEWS, VIEWS AND MORE FROM ACROSS THE GLOBE

FUEL FOR THOUGHT

Some good news for developing countries, according to a recent seminar organised by the International Maritime Organization (IMO) and the United Nations Conference on Trade and Development at COP26 – they may be well placed to provide the low-carbon fuels necessary for the future. “There is a need for low- and zero-carbon marine fuels. This creates a promising opportunity for several developing nations because of geographic locations and their access to abundant renewable sources of energy,” said IMO’s Jose Matheickal. Panelists from Chile, Indonesia, Kenya, Panama and South Africa highlighted their countries’ push to support the transition to clean and sustainable fuels for shipping, including the potential for supplying green ammonia and green hydrogen. “With the emergence of zero carbon bunker fuels, developing countries have a lot of potential for supplying zero carbon bunker fuel and this will allow them to enter the market. This is a great opportunity for development,” said Isabelle Durant, Deputy Secretary-General, UNCTAD.

FEEL THE INTENSITY

Research from technology company FuelTrust shows how different batches of the same grade of marine fuel, such as very low sulphur fuel oil or heavy fuel oil (HFO), can have radically different degrees of energy intensity, offering knowledgeable fuel buyers an opportunity to pick up 3% BTU of extra energy by bunkering with a different batch of fuel and saving ship owners thousands of dollars in fuel costs. “This isn’t like saying there’s a difference between gas stations – it’s more like there being a huge difference in the fuel you could buy at different pumps,” explains Jonathan Arneault, CEO of FuelTrust. “Energy intensity matters. We’re about to see fuels come through with a much lower energy density than we’re used to,” he says. Dr Ram Vis, founder and director at the Viswa Group and advisor to FuelTrust, emphasises how energy density will become a major concern for fuel purchasers. “If, as expected, you need twice the amount of methanol to do the same work as a tonne of HFO, buyers are going to have to pay a lot more attention to the BTUs that they are buying, as they’ll have to squeeze every drop of energy out of their fuel,” he says. “If we see the same batch-to-batch variation in zero-carbon fuels as we do today with conventional fuels, that will be a real issue. Fuel buyers will need to start thinking more in terms of energy and less in terms of volume”.

THE COMPLIANCY QUESTION

How long will your ships be compliant? In her blog on the “Deltamarin” website, Mia Elg has been exploring the issue as new measures are to be introduced from 2023 onwards for the Energy Efficiency Existing Ship Index (EEXI) and Carbon Intensity Indicator (CII) rules. “The shipping industry is being pushed now more than ever towards cleaner emissions, not least from the legislation point of view,” she says. Previously, the “energy efficiency rules” were a potential challenge for new ships. However, now the rules are being extended to cover practically all ships, old and new. How, she asks, will we deal with these rules and the somewhat blurry outlook to the future? For the full story, visit: tinyurl.com/CSI-deltablog

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Designed to help delegates identify and resolve common problems when handling various biomass materials. This new course is aimed at the manufacturers and suppliers of biomass materials, at the users – particularly those responsible for maintenance and management on site – and at the manufacturers and installers of equipment used to transport and store biomass materials.

BIOMASS OPERATIONS AND HANDLING TECHNOLOGIES SHORT COURSE – ONLINE

21-25 February 2022 Subjects covered include: » Material types, flow properties and handling equipment requirements » Self-heating, fire, explosion and safety » Dust and degradation, pneumatic conveying and wear » Dust control and management » Explosion protection and ATEX regulations » Engineering of equipment for storage and discharge » Ship unloading » Biomass potential and possible future trends For further course details, please contact Simon Gutteridge events@bulkterminals.org – +33 (0)321 47 72 19 – www.bulkterminals.org/events/courses-and-training

Posidonia 6 -10 June 2022

Metropolitan Expo, Athens Greece