The shipping industry is at a critical juncture as it aims to reduce greenhouse gas emissions and transition to cleaner fuels. A recent article published in ‘Energies’ by Jerzy Herdzik from the Faculty of Marine Engineering at Gdynia Maritime University outlines the challenges and opportunities in this decarbonization process. With maritime transport accounting for 2.5% to 3.3% of global carbon dioxide emissions, the industry is under increasing pressure to adopt carbon-free fuels to meet international regulations set by the International Maritime Organization (IMO) and the European Union.
The IMO has established ambitious targets to achieve net-zero greenhouse gas emissions by 2050, with interim goals for 2030 and 2040. These regulations have prompted shipowners to explore alternatives to traditional fossil fuels. While dual-fuel engines utilizing liquefied natural gas (LNG) and liquefied petroleum gas (LPG) have been the interim solution, the focus is shifting toward biofuels, synthetic fuels, ammonia, and ultimately hydrogen.
Herdzik notes that “the actions taken are always aimed at minimizing the ship’s operating costs, especially fuel.” However, the current production, storage, and distribution costs for alternative fuels are significantly higher than those for fossil fuels. This price disparity poses a challenge for widespread adoption, especially as the industry grapples with the implications of the EU’s Emissions Trading System (ETS), which is expected to add roughly 50% to fuel costs by 2026.
Despite these challenges, there are promising developments on the horizon. Interest in bio-methanol has surged, with projections indicating that production could reach 30 to 60 million tons by 2030, potentially fulfilling 5% to 10% of the energy demand for maritime transport. Additionally, investments in green ammonia production, particularly in regions like Australia and Southeast Asia, could yield 60 to 100 million tons, representing 10% to 15% of the sector’s energy requirements.
Herdzik emphasizes that “significant development is expected in the coming years,” as investments in low-emission fuel production infrastructure are anticipated to lower prices and increase the availability of renewable fuels. This shift not only aligns with environmental goals but also presents a commercial opportunity for companies involved in the production and distribution of these alternative fuels.
As the shipping industry navigates this transition, stakeholders must remain agile to adapt to changing regulations and market dynamics. The push for cleaner marine fuels not only addresses environmental concerns but also opens avenues for innovation and investment in the energy sector. The insights shared by Herdzik in ‘Energies’ highlight the importance of strategic planning and collaboration among industry players to achieve a sustainable future for maritime transport.
