Saturday, September 24, 2022
Maritime Propulsion

June 5, 2012

LNG Fuel of the Future – Denmark Maritime Authority Affirms in Report

 A project led by the Denmark Maritime Authority on the establishment of an infrastructure for liquefied natural gas in Northern Europe has published its results

The main project purpose has been to make recommendations for the best way in which to establish an infrastructure facilitating the use of LNG as a ships’ fuel. However, other important areas have also been identified.

The report’s recommendations concentrate on five main areas:
    •    Bunkering of ships with LNG
    •    Economic and financial conditions
    •    Safety
    •    Technical and operational conditions
    •    Permits for an infrastructure ashore

The background for the project is the fact that, as of 2015, only fuel oil with a maximum sulphur content of 0.1 per cent will be permitted in the English Channel, the North Sea and the Baltic. This limitation creates a possibility of making it economically profitable to use LNG that is, at the same time, more environmentally and climate-friendly.

The analyses carried out under the project shows that LNG is a competitive alternative to the use of low sulphur fuels.

However, this requires an effective infrastructure where LNG is distributed through a net of ships and lorries to local terminals or directly to ships using LNG as fuel.

 Such an infrastructure is connected with the need for major investments, which is on the other hand characterized by a poor utilization of the capacity in the beginning due to limited demand.

The Summary Report is available here.

liquefied natural gasNorthern EuropeNorth Sea