LAV Magazin 2021

S hipping’s challenge today The global energy transition is transforming every major in- dustry, and the shipping sector is no exception. The latest regulations put in place by the International Mar- itime Organisation (the ‘IMO’) set clear carbon intensity reduction goals for the sector, which must cut CO2 emissions by 40% in 2030 and 70% by 2050. Meeting these targets, as well as those set by national governments and the European Union, requires significant changes to the way ships are built, regulated and fuelled. With global shipping contributing ~ 3% of global greenhouse gas emissions, it is this last change – fuel – which pres- ents the greatest challenge. A wide range of fuels have emerged as possible replacements for carbon-in- tense traditional bunker fuels; from LNG to ethane, ammonia to hydrogen fuel cells. However, methanol, as a cleaner-burning and widely available chemical, which can also be produced from renewable sources, is emerging as a leading solution. Methanol as a pathway fuel Safe to handle, cost-competitive, and widely available today, methanol is an obvious candidate for reducing green- house gas emissions across the ship- ping sector. Conventional, or grey, methanol is produced from natural gas, and when used as a fuel produces no sulphur di- oxide, and reduces quantities of nitro- gen oxide by 60%. Methanol also gen- erates zero particulate matter, a major contributor to air pollution, ensuring an immediate marked improvement in air quality across global shipping lanes. In respect to CO2 emissions, methanol delivers a 10-15% reduction in emissions compared to traditional fuel, and is biodegradable in water, ensuring that any spillage is far less damaging to the environment com- pared to oil-based marine fuels. Methanol is also already widely avail- able at over 100 ports worldwide, an infrastructure that can readily meet growing demand, and the engine technology is already proven. Com- pared to other alternative fuels, minimal adjustments are required to retrofit existing engines in order to make them methanol-ready. All of these qualities mean that methanol can help the marine sector begin meeting its emissions targets today. Supply of renewable methanol is increasing One of the other major benefits of methanol as a product is the wide range of feedstocks that can be used to produce it, ensuring it can also act as a renewable fuel for the sector in the future. Production of ‘green’ methanol from sustainable sources such as waste, bio-mass, or renew- able electricity is growing rapidly, and is highly scalable. When used as a marine fuel, green methanol can deliver even greater environmental benefits, providing CO2 savings of over 90% as compared to traditional fuels. Proman has already invested signifi- cantly in a wide range of green meth- anol projects in Canada, Belgium, and Scotland, and we are committed to in- creasing the availability of this tech- nology on a global scale. Methanol fuelled vessels Momentum surrounding methanol as a marine fuel has been continuing to build throughout 2021 as a number of the world’s major shipping firms, such as Maersk, have announced significant investments in methanol fuelled fleets. At Proman, we have championed the role of methanol as a marine fuel through our partnership with Stena Bulk, one of the world’s leading tanker shipping companies. In the last two years we have announced the construction of three Proman Stena Bulk state-of-the-art methanol fuelled vessels, with cutting edge du- al-fuel engines. Dual-fuel technology allows shipowners to make modest incremental investments in their ex- isting fleets, ensuring a cost-effective transition to renewable technolo- gy. Our new vessels have been ful- ly re-engineered for low resistance and efficient propulsion, and will be some of the most energy efficient and eco-friendly medium-range tankers in the world. This year, we announced the con- struction of a further three vessels, two of which will be traded by Pro- man on the open market from 2024. These vessels will be the first meth- anol dual-fuelled vessels to be avail- able on the chemicals and Clean Pe- troleum Products market, and will enable shipping companies to experi- ence the benefits of our 100% renew- able methanol ready tankers. With inherently ‘green’ properties, and an existing infrastructure that ensures an easy transition, interest in methanol as a marine fuel is growing rapidly. At Proman, we’re excited by this development, and are actively working with industry partners and regulators to accelerate the transition to a cleaner shipping sector. Anita Gajadhar Managing Director Marketing, Logistics and Shipping About Proman Proman is an integrated energy company and the world’s second largest methanol producer. Headquartered in Switzerland, with assets in the United States, Trinidad and Oman, and ongoing expansion into Mexico, Proman is a global leader in methanol, fertilizer and other products such as melamine and has extensive experience in petrochemical plant operations, petrochemical and power plant construction, marketing and logistics, and project manage- ment. Proman is committed to devel- oping sustainable methanol and ammonia as cleaner alterna- tives to fossil fuels, offering a pathway to drastically cutting emissions in power generation, overland transportation, ship- ping and industry. For more information: about Proman and Methanol as a Marine Fuel, please visit: www.proman.org/methanol-as- a-marine-fuel/ or contact: marinefuel@proman.org Stena Prosperous Grey to Green Methanol as a Marine Fuel 42 43 Proman