AP Moller - Maersk calls for strict enforcement of ECAs - Hellenic Shipping News Worldwide

Posted June 6, 2013 -  Source: Seatrade Global - Hellenic Shipping News Worldwide

Maersk senior executive has called for strong enforcement of low sulphur fuel use in Emission Control Areas (ECAs) to ensure a level playing field.
“We think this is a game changer and the temptation not comply is significant,” Claus Hemmingson, partner and member of the board of AP Moller – Maersk, told the opening forum of Nor-Shipping 2013. “If enforcement is not sufficient those not following the rules get a competitive advantage.”
For an aframax tanker not using low sulphur can mean a cost difference of $15,000 per day and the difference can be even greater for containerships.

“The risk of not complying and getting caught must be real and the penalty must be considerable as this is necessary to ensure fair competition,” Hemmingson said.
Speaking to Seatrade Global Hemmingson explained, “So far I have not seen concrete procedures as to how countries are going to monitor and how they are going to control that the shipping lines trading those routes are actually living up to the regulation.”
He said that it was an issue for Port State Control regimes to ensure that the use of low sulphur fuel was enforced in ECAs.
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Environmental Protection Agency to increase ECA enforcement

The United States Environmental Enforcement Agency (EPA) has announced that it will trial vessel fly-overs to monitor compliance with MARPOL Annex VI.
Initially undergoing trials in the upper Chesapeake Bay area, it is expected that the fly-over program will be extended to include other areas which fall under the North America Emission Control Area (NA ECA).
The fly-overs will be monitoring and testing emissions from vessels to ensure the fuel oil being used on board contains less than 1% maximum sulphur content, as required by the ECA.
The North American ECA has been in force since 1st August 2012. The maximum sulphur content permissible is to be reduced even further (to 0.1%) by 1st January 2015.
The new fly-over trials support further targeting by EPA and USCG to ensure vessels are compliant with the MARPOL Annex VI rules as the one year anniversary of the ECA implementation approaches.

Hellenic Shipping News Worldwide - Source : UK P&I CLUB - http://www.hellenicshippingnews.com/News.aspx?ElementId=bc238229-7b82-49c9-9567-19f317f00003&utm_source=newsletter&utm_medium=email&utm_campaign=daily

Federal (Canadian) government targets air emissions - Daily Business Buzz

Posted - Published on June 5, 2013 (Originally published in the June 2013 issue of the Nova Scotia Business Journal - "National Environment Week" special advertising feature) - Daily Business Buzz

The Government of Canada is introducing strict environmental standards to reduce air emissions from ships navigating in Canadian waters.
The news was announced this past May in Halifax at an event hosted by the Port of Halifax.
The changes further align Canada’s air emission standards with the United States. There will also be further measures to prevent other ship-source pollution in Canadian waters.
It is expected that these new standards will result in an annual reduction of ship-sourced greenhouse gases (GHGs) of nine per cent or 11 Mt annually by 2025.
The amendments bring new requirements into force for vessels under Annex VI of the International Maritime Organization’s (IMO) International Convention for the Prevention of Pollution from Ships (MARPOL) that Canada has negotiated with international partners. They set new Canadian standards for environmental protection in seven areas:
1) Canada is further aligning its emission standards with the United States with the adoption of the North American Emission Control Area (ECA). Air emissions standards under the ECA are stricter than global requirements.
2) New standards will reduce allowable emissions of key air pollutants from ships. By 2020, emissions of sulphur oxide will be reduced by 96 per cent and nitrogen oxides by 80 per cent.
3) New energy efficiency requirements will reduce GHGs emissions from international shipping. By 2025, new vessels must be 30 per cent more energy efficient and all vessels must have energy efficiency plans.
4) A new air emissions regime for Canadian vessels operating in the Great Lakes and St. Lawrence waters will support industry efforts to modernize their fleet while phasing in the strictest sulphur oxide standards by 2020.
5) New standards will require marine diesel engines installed after January 1, 2016, to be certified to recognized U.S. or international environmental standards.
6) A new standard will help manage greywater:  the water that drains from a ship’s sinks, showers and laundries. Under the amendments, greywater discharged in Canadian waters (other than Arctic waters, which are subject to other standards) must not result in the deposit of solids or cause any sheen on the water.
7) Updated requirements for the transfer of oil between tankers will align Canadian requirements with IMO pollution prevention standards.
The regulatory changes are the result of much consultation on how we can better protect Canada’s clean air and waterways, says Karen Oldfield, president and CEO, Halifax Port Authority.
“Here at the Port of Halifax, we're making progress with projects such as cruise shore power and our port environmental management system, which was the first in Canada to achieve an ISO 14001 certification in 2005.”

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http://www.ns.dailybusinessbuzz.ca/Industry%20Spotlight/2013-06-05/article-3270322/Federal-government-targets-air-emissions/1

LNG Tech on tap at Europort 2013 - MarineLink.com

Posted - June 4, 2013 - Maritime Reporter & Engineering News - MarineLink.com

Emissions regulations from 2015 onwards are driving shipowners to a crossroads on fuel selection. Ahead of Europort 2013, Rotterdam, Dutch interests are making significant waves in tangible investments in LNG as a fuel option.
While there is not consensus on the potential of liquefied natural gas (LNG) as a marine fuel, the concept is gaining traction rapidly as using LNG reduces nitrogen oxide (NOx) and carbon dioxide (CO2) emissions from ships, as well as allowing operators to meet restrictions set in Sulfur Emission Control Areas (SECAs) today, which tighten from 2015 onwards. With the clock ticking, the coming legislation and the potential for LNG fuel as a viable choice will be a key focus at Europort 2013 Rotterdam November 5-8, 2013. The LNG option offers an alternative to low-sulfur marine gas oil (MGO), which is already favored by some owners for use within Sulfur Emission Control Areas (SECAs). Its attractions offer even more promise beyond 2015, particularly if not enough distillate is available to meet market requirements and alternative scrubbing technologies to continue burning heavy fuel oil remain insufficiently mature. However, there are significant obstacles to overcome, including developing the necessary bunkering infrastructure to support LNG as an alternative to heavy fuel oil and distillates and completion of regulations on shipboard storage of LNG.
Encouraged by government backing and in line with the hub status of Dutch terminals along the Northern port range, companies based in the Netherlands are stepping up to promote LNG as a marine fuel, including the presentation of their  progress at the Europort Advanced Technology Conferences.


The Port of Rotterdam predicts becoming a LNG bunkering hub by 2030 

For the Port of Rotterdam itself, LNG as a fuel has already been earmarked as a strategic growth opportunity. The Port, which predicts becoming a LNG bunkering hub by 2030, recently announced a new partnership with Port of Gothenburg looking to promote the fueling option. The aim of the memorandum of understanding is for the ports to work together to have LNG bunkering facilities in place in both locations by 2015. The deal is likely to be the first of a number of joint initiatives with other ports involving Port of Rotterdam, with a view to creating an end-to end-network of LNG bunker opportunities.
Maurits Prinssen, Project Manager at the Department of Port Planning & Development/ Shipping of Port of Rotterdam, said, “Commitment at the European level is needed for this and the partnership with the Port of Gothenburg will be a very important strategic alliance. We believe that Europort 2013 will offer the ideal networking opportunity for key industry players to exchange knowledge and experience as the industry faces a turning point on fuelling.”
Port of Rotterdam is also working with the leading terminal operator ECT and has made land available for an LNG filling station between the Gate LNG import terminal and the Euromax container terminal. Shareholders in the Gate, Vopak, are understood to want to build a smaller outbound terminal on an adjacent site so that LNG imported to Gate can be supplied as fuel for ships, as well as for land-based uses. This concept involves developing a breakbulk LNG facility that will feed satellite LNG terminals in northern Europe and rely on a bunker barge that could deliver LNG to inland waterway, short sea and deepsea vessels calling at the port of Rotterdam.
One company leading the line in terms of firm commitments to LNG as a fuel has been Deen Shipping, which has been operating the inland waterway barge Argonon for almost a year. The first barge of its type in the world capable of running on both LNG and diesel, the 110m long, 6,060 dwt tanker has been designed to burn an 80/20 mix of LNG and diesel.
“The first 12 months of running this barge have been an extremely positive experience, and this has convinced us that LNG is the fuel of the future for inland shipping,” said Gerard Deen, owner. “Operating the Argonon has demonstrated that LNG as a fuel is very clean, cost efficient and reliable compared with marine gas oil.”
Argonon has two standard Caterpillar 3512 engines that use 20% diesel to ignite the gas mixture. These engines have been modified by Pon Power so that the combustion air is enriched with natural gas. Argonon also has two gas turbines to power the electrical system.
Deen Shipping recently joined forces with the Linde group to establish what will be the first LNG bunker station in the port of Rotterdam. Deen said: “We have found a suitable site and hope to be up and running in 2014. I want to convince others that LNG is the way to go for inland shipping and so it is only right that I put my money where my mouth is and invest in LNG fuel infrastructure.”
Deen Shipping has four more barges in its fleet and is already working with engine manufacturers to evaluate retrofitting them with dual fuel engines using LNG and diesel.
Dutch experience is also at work in its shipbuilding sector where the Peters Shipyard in Kampen recently confirmed receipt of an order for two new LNG-powered tanker barges from Interstream Barging (see illustration middle, below), which will be chartered by Shell Shipping. The 110m long vessels will operate along the Rhine as far south as Switzerland, with the first due delivery to Shell in spring 2013.
Dr. Grahaeme Henderson, Shell Vice President, Shipping, said, “Shell sees real growth opportunities for LNG as a fuel in coastal and inland shipping in Europe. LNG can help shipping operators meet strict emissions standards, such as those that are due to apply on the Rhine.”
The new LNG-propelled inland tankers will carry enough LNG as fuel to sail from Rotterdam to Basel and back without refuelling. Dubbed ‘Greenstream’ barges, they will feature four 400-horsepower SGI-16 CGM Scania engines from one of Europort’s exhibitors Sandfirden Technics, driving HCM 434F generators.
Lex van der Loo, Sandfirden Technics’ Managing Director, is also one of the members of the advisory board of Europort, and he believes that Europort 2013 will offer an ideal opportunity to those interested in developing LNG as a fuel to see how aspiration is being turned into reality. van der Loo said that LNG has the potential to make a “profound change” within the shipping industry, especially as long as the LNG fuel price remains as it is today.
 “I believe that there is significant potential for gas-electric propulsion, particularly when it comes to inland vessels, ferries and feeders,” he said. “While many topics will be addressed at Europort 2013, perhaps LNG as fuel is top of the agenda, given the timing and location of the event.”

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Shipping Faces Half Trillion Dollar Environment Costs - Hellenic Shipping News Worldwide

Posted - Wednesday, 05 June 2013 | - Hellenic Shipping News Worldwide

Speaking to delegates at the opening of the Nor-Shipping event in Oslo yesterday, the  Chairman of the International Chamber of Shipping (ICS), Masamichi Morooka, said that impending new legislation to protect the environment potentially presented an additional industry-wide cost of more than half a trillion US dollars between 2015 and 2025. This is around 50 billion dollars of additional capital and operating cost in every single year for a 10 year period and beyond.
“As many companies struggle to survive during the difficult years ahead, we must persuade governments to avoid placing yet more straws that risk breaking the shipowner’s back – and the straws to which I refer are the impending costs of environmental legislation,” said Mr Morooka.
Much of these costs will result from the switch to low sulphur distillate fuel, assuming that a 0.5% global sulphur cap comes into effect in 2020, in addition to the 0.1% sulphur requirements that are expected to be enforced in Emission Control Areas in North West Europe and North America from 2015.  However, the costs of installing new ballast water treatment equipment will also be significant, as will the potential contribution that shipping might have to make to the UNFCCC Green Climate Fund.
“The imminent switch to vastly more expensive, low sulphur distillate fuel is a very serious concern which is compounded by worries about the adequacy of supply and the dangers of modal shift,” said Mr Morooka.
He explained that the key message that ICS was communicating to regulators was the need for greater focus to be given to the economic sustainability of shipping, backed up by evidence of years of continuous improvement of shipping’s environmental performance.  “Many of the expensive environmental regulations that are about to enter into force were conceived in a different world, at a time when shipping markets were booming and finance for retrofitting had not dried up,” he told Nor-Shipping delegates.
ICS stresses that the protection of the environment must always remain a priority for the industry, but the prevailing economic situation requires that a degree of pragmatism is applied to enforcement as a plethora of new environmental regulations is implemented.  “Unless this is understood, there is a danger of creating real barriers to investment in our industry as we hopefully move closer to recovery,” said Mr Morooka.
More generally, asked to look ahead for the next two to five years, Mr Morooka said he remained positive and optimistic: “We are shipowners after all!”  But he predicted it was probably unlikely that, for most sectors and trades, much will have fundamentally changed before 2015 or 2016.
“However, the decisions taken now, both by shipowners and regulators, will determine whether we are at the end of the beginning of our difficulties, or whether, as I hope, we are at the beginning of the end.”
Unless something very unexpected happens, the ICS Chairman felt it was unlikely that a lasting recovery in freight rates would begin in earnest in the immediate future.  However, he believed that market forces would find a solution, which would almost certainly involve large numbers of ships going to the recycling yards much earlier than their owners had originally planned.
In order to avoid prolonging the downturn, he said it was important that shipowners take sensible and considered decisions about ordering new tonnage. Noting that shipyards have similar over capacity problems and are offering cut price ships, he remarked: “What might be in the rational interest of an individual shipowner might not always be good for the collective health of the industry as a whole.”
The graphic is showing the potential costs of new environmental regulations.
Assumptions: Ballast water treatment equipment - average $2M per ship with IMO agreeing five year implementation of BWM Convention, assuming entry into force in 2015; differential between distillate and residual fuel of only $300 per tonne with global consumption remaining at 300M tonnes per year (in reality both figures are expected to be higher by 2025) and IMO confirming that global sulphur cap will apply from 2020; UNFCCC replacement to Kyoto Protocol coming into effect in 2020, with shipping contribution to GCF in line with IMF/World Bank proposals. Potential costs of proposed Tier III NOX Emission Control Areas, plus other anticipated requirements, have been excluded.

                                                                                                                                                                                       Source: ICS

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GE Marine Engine Meets New Emissions Rules - Environmental Leader

Posted - June 4, 2013 - Environmental Leader -

GE Marine says it has successfully completed an emissions-testing program for the first 12V250 marine diesel engine that meets EPA Tier 4i and International Maritime Organization (IMO) Tier III in-engine emission compliance.
The rules decrease the allowable levels of sulfur oxide (SOx) and nitrous oxide (NOx) emissions from ships.
The company says its engine technology eliminates the need for a selective catalytic reduction system (SCR) and storing or using urea aboard a vessel, thereby preserving cargo and tank space.
Last December GE announced its timeline for meeting EPA Tier 3 and Tier 4i, as well as IMO Tier III emission compliance without the need for exhaust gas after-treatment for its L250 and V250 medium speed marine diesel engines (1,550 – 4,650 kW).
The new technology will help the marine industry meet upcoming emissions standards and reduce capital and operating expenditures, says John Manison, general manager of GE Marine.
Additionally, the GE 12V250 MDC engine has increased power over the IMO Tier II model, the company says. The engine’s new two-stage turbo charging also offers a faster response time.
SCR requires using a diesel exhaust fluid, typically urea, to reduce NOx in an after-treatment of exhaust gas. GE’s non-SCR solution is based on the technological advancements of the L250 and V250 engines and requires no supplemental equipment or fluids.
GE’s L250 engines rated at less than 2,000 kW will be certified as EPA Tier 2 during 2013, but will meet EPA Tier 3 emission levels ahead of the January 2014 standard path requirement. Depending on duty cycle and application, the L250 engines have greater than 5 percent improved fuel consumption compared to Tier 2 standards, as well as improved torque characteristics and load response rate, GE says. In addition, the 8L250 and 12/16V250 engines rated at more than 2,000 kW will meet EPA standard path Tier 4i requirements in 2014.
Last month, GE’s Power Conversion business launched two technologies for ships that the company says can cut emissions and save up to $550,000 in fuel annually.
The company’s Variable Frequency Active Front-End power and propulsion system (VF-AFE) controls engine speed and can result in fuel savings of up to $300,000 per year, GE says.
And its Inovelis system draws in water and then forcibly ejects it out through a nozzle — the marine equivalent of a jet engine, but one that can be pointed in any direction. The company says under certain conditions, the engine can deliver up to $250,000 in fuel savings a year.

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Cargo Ship Suffers Fire, Oil Leak in Alaska - The Maritime Executive

Posted - June 3, 2013 -  The Maritime Executive

The U.S. Coast Guard is monitoring the cargo ship BBC Arizona at the Valdez Container Terminal following a fire involving oil leaking from the ship’s containers Friday.

The ship’s crew notified first responders and successfully put out the fire. Valdez Fire Department personnel responded and determined the cause of the fire was due to ignition of oil leaking from several of the ship’s containers during hot work operations.

The Coast Guard received notification of the fire aboard the 454-foot cargo ship BBC Arizona, moored alongside the Valdez Container Terminal in Port Valdez, at approximately 11:45 a.m. Friday.

MSU Valdez personnel responded to the scene approximately 15 minutes later, noting that multiple containers aboard the BBC Arizona were leaking what appeared to be transformer oil. All leaking oil was contained on the deck of the ship and reportedly does not pose explosive or inhalation hazards.

Cmdr. Benjamin Hawkins, Captain of the Port, Prince William Sound, issued a Captain of the Port Order, directing the BBC Arizona to remain at the terminal and cease cargo transfer operations until the oil and its properties could be positively identified, all spilled product cleaned, and the ship decontaminated.

"The Coast Guard's number one priority is the safety of incident responders and the BBC Arizona's crew," said Hawkins. "We will make sure that the vessel's condition poses no danger to the crew or the Alaskan maritime environment before it leaves Port Valdez."

The ship’s owner contracted the oil spill response organization Emerald Services Inc. to conduct containment, clean up, disposal, and decontamination of the oil spilled on the ship’s deck. Emerald Services Inc. placed sorbent pads and secured the ship’s scuppers to prevent further spread of the oil.

MSU Valdez vessel inspectors conducted a Port State Control Exam on the BBC Arizona Saturday morning to verify that the condition of the ship and its equipment comply with the requirements of federal and international regulations and that the ship is manned and operated in compliance with these rules.

Under observation of the Coast Guard, Emerald Services Inc. also took samples of the oil to send off for analysis and property identification.

The BBC Arizona is an Antigua and Barbuda-flagged general dry cargo ship and heavy load carrier operated by BBC Chartering and Logistics. The ship’s last port of call was Qinhuangdao, China.

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Concept to Reality: First ‘Environship’ Successfully Delivered - gCaptain

Posted - May 31, 2013 gCaptain Staff - gCaptain

Rolls-Royce said Friday that the first vessel based on the companies award-winning, highly efficient “Environship” design has been delivered to its Norwegian owner by the Vard Aukra shipyard (former STX OSV).
Rolls-Royce’s revolutionary new design of cargo ship (technically known as NVC 401 LNG design), is expected reduce CO2 emissions by up to 40 percent, thanks to a combination of cutting edge marine technology, including a wave-piercing bow and an engine powered by liquefied natural gas.
The first ship, named Eidsvaag Pioner, was delivered to Norwegian company Eidsvaag AS this week, and will soon enter service on a year-round schedule delivering feed to numerous fish farms around the Norwegian coast.
The Environship, which can be adapted for different ship types, incorporates a range of technologies to deliver efficiency savings and reduced emissions. When compared to similar sized diesel powered ships, the CO2 reduction can be up to 40 percent, according to Rolls-Royce.
“The Environship has now moved from concept to reality with the successful delivery of the first ship,” said Neil Gilliver, President of Rolls-Royce – Merchant. “We firmly believe that the only way to make significant reductions in emissions and fuel costs is to combine a range of innovative technologies into one ship. Environship does just that, by bringing together complementary technologies as part of a highly efficient propulsion system.
“We’d like to congratulate the Vard Aukra shipyard and our customer Eidsvaag on the successful completion of the first Environship, and look forward to monitoring the performance of Eidsvaag Pioner in service.”
Rolls-Royce technologies featured in Environship include a Bergen engine powered by LNG, the Promas combined rudder and propeller, a hybrid shaft generator to optimize use of electrical power and an innovative wave-piercing hull design.
Vidar Eidsvaag, Eidsvaag AS – Operations Manager said: “We look forward to entering service with this vessel, the very first of the Environship concept. We have great expectations of both the design and equipment, and we hope and think that this vessel will enable us to meet future challenges in an even better way.”


The first Rolls-Royce Environship – the Eidsvaag Pioner. Photo credit: Rolls-Royce

Key facts about the Environship:

• Earlier this year Environship won the Green Ship Technology Award in Germany, and two years ago received the Next Generation Ship Award at the Nor-Shipping event in Oslo.
• The first of two larger cargo ships, from the Rolls-Royce Environship range, are currently under construction in China for the Norwegian company Nor Lines. Passenger ship designs are also under development.
• The Rolls-Royce Bergen B-Series lean burn gas engines, as used in the Environship, emit around 17 percent less CO2 (per unit of power) than a diesel engine.
• The use of gas fuelled engines means that Nitrogen Oxide (NOx) emissions are reduced by about 90 percent while Sulphur Oxide (SOx) emissions are negligible.
• These emissions are already within the limits of IMO (International Maritime Organisation) Tier III environmental legislation, due to come into force in 2016.
• The Rolls-Royce Promas propulsion system is an integrated rudder and propeller, which alone improves efficiency of the vessel by 5 to 8 per cent.
• The new innovative bow shape and hull form, designed by Rolls-Royce, also reduce resistance by up to 8 percent, therefore reducing fuel burn and emissions further.
• The vertical bow shape enables the vessel to maintain speed even in rough seas enabling operators to achieve demanding shipping schedules without the need to burn additional fuel to make up lost time.

More about the Environship and other innovative concept designs can be found HERE.

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