This is a legacy page. Please click here to view the latest version.
Wed 27 May 2020, 10:29 GMT

Hydrogen and ammonia the best long-term fuel options, say owners


Nearly 60% of shipowners surveyed see hydrogen and ammonia as the most attractive future fuels.


Image credit: Pixabay
Shipowners see ammonia and hydrogen as the best marine fuel options for the future, according to a survey conducted by the American Bureau of Shipping (ABS).

Almost 60 percent of shipowner respondents said they viewed hydrogen and ammonia as the most attractive fuel choices in the long-term.

The survey also revealed nearly two thirds of owners currently have no decarbonization strategy in place.

When asked which fuel is most likely to be adopted in the near term, 70 percent selected fuels in the light gas pathway, which includes LNG in the short term and hydrogen as a future solution.

"It is clear that the industry views both hydrogen and ammonia as the long-term destination but sees LNG as having a big role to play in addressing the regulatory challenge immediately in front of us. These results are in line with the findings in our recently released Low Carbon Shipping Outlook. Based on the fuel pathways that we have identified and can shape the future of marine propulsion, hydrogen and ammonia are solutions that are expected to contribute to the reduction of carbon emissions in the long term. LNG, as the most mature of the alternative fuel solutions, can pave the way to a less carbon-intensive maritime industry," said Georgios Plevrakis, ABS Global Sustainability Director.

"This is at the heart of the ABS approach and the solutions we offer around alternative fuels. We are working through our network of Sustainability Centers with global clients to define solutions to meet regulatory and market demands related to greenhouse gas reduction," Plevrakis added.

GHG ratings

A separate survey revealed the vast majority are routinely using greenhouse gas (GHG) ratings in their business decision making. Around 80 percent agreed or strongly agreed that GHG ratings were an important factor in their business decision making, and nearly half said they had already begun implementing options for GHG rating improvement.

Lefteris Karaminas, ABS Global Sustainability Manager, remarked: "As shipowners and operators look to improve their environmental ratings to both maintain and attract potential charters, they face complex decisions on how best to identify, report and reduce GHG emissions.

"A key takeaway from the webinar is that owners taking advantage of accelerated GHG rating improvement options like the non-permanent Engine Power Limitation (EPL) are finding the benefits only temporary, as other vessels in the peer group take on improvements or new more efficient vessels enter the peer group. It will be necessary to consider alternative options, including combinations, in order to remain competitive and increase their ratings in the long term."


Vaishali Pant, Flex Commodities. Flex Commodities appoints Vaishali Pant as senior marine fuels trader  

Pant joins Dubai firm as trader for the Indian Ocean region.

Wilson Nobre, Island Oil. Island Oil opens Rio trading desk, appoints Wilson Nobre as Brazil business development manager  

Marine fuel supplier establishes Latin American presence with new trading operation in Rio de Janeiro.

Ultramax bulk carrier concept render. Oshima Shipbuilding receives approval for multi-fuel-ready Ultramax bulk carrier design  

Lloyd’s Register grants approval in principle for 64,000-dwt vessel concept accommodating ammonia, methanol and LNG.

GEFO Bunker Trading ISCC certification announcement graphic. GEFO Bunker Trading receives ISCC certification for sustainable marine fuels  

German bunker firm gains ISCC EU and ISCC PLUS certificates.

Ralf Garrn and Albrecht Grell, OceanScore. OceanScore to take over administration of Environmental Ship Index from January 2026  

Hamburg-based firm to manage voluntary scheme incentivising vessel environmental performance for 70 global ports.

Propeller Fuels logo. Propeller Fuels reviewing applicants for Singapore bunker trader position  

Bunker firm looking to hire trader to foster new business growth and sustain customer relationships.

Daisy Leader vessel. XFuel raises $20m Series A to scale low-carbon drop-in fuel production  

Maritime investors NYK Line and Stolt Ventures back waste-to-fuel technology targeting shipping decarbonisation.

Aerial view of tanker vessel at sea. Fuel treatment technology shows 21% efficiency gain in university tests  

Fuelre4m's technology reduced fuel consumption in marine engines without modifications, according to an Athens university study.

Peninsula logo. Peninsula seeks bunker trader for Houston office  

Marine fuel supplier Peninsula is recruiting a bunker trader to be based in Texas.

Berge Meru vessel. Berge Bulk completes second rotor sail installation with Anemoi on Newcastlemax vessel  

Four folding rotor sails installed on Berge Meru following earlier deployment on Valemax vessel.


↑  Back to Top