Tor Svensen, President DNV 08 June 2010 The age of LNG is here Most cost efficient solution for...
-
Upload
johnathon-whaley -
Category
Documents
-
view
217 -
download
5
Transcript of Tor Svensen, President DNV 08 June 2010 The age of LNG is here Most cost efficient solution for...
![Page 1: Tor Svensen, President DNV 08 June 2010 The age of LNG is here Most cost efficient solution for ECAs.](https://reader035.fdocuments.us/reader035/viewer/2022070308/551c29f8550346a34f8b5fd1/html5/thumbnails/1.jpg)
Tor Svensen, President DNV 08 June 2010
The age of LNG is here
Most cost efficient solution for ECAs
![Page 2: Tor Svensen, President DNV 08 June 2010 The age of LNG is here Most cost efficient solution for ECAs.](https://reader035.fdocuments.us/reader035/viewer/2022070308/551c29f8550346a34f8b5fd1/html5/thumbnails/2.jpg)
© Det Norske Veritas AS. All rights reserved.
08 June 2010
2
What is keeping us back from using LNG for ships?
At DNV we struggle to understand: - why the shipping industry is not
moving faster- why shipowners are not seeing
the opportunity
LNG as fuel for ships: - is commercially viable- will address important
environmental concerns
![Page 3: Tor Svensen, President DNV 08 June 2010 The age of LNG is here Most cost efficient solution for ECAs.](https://reader035.fdocuments.us/reader035/viewer/2022070308/551c29f8550346a34f8b5fd1/html5/thumbnails/3.jpg)
© Det Norske Veritas AS. All rights reserved.
08 June 2010
3
The age of LNG is arriving…
Technically no obstacles
Safe
Economically better
Environmentally a winner
![Page 4: Tor Svensen, President DNV 08 June 2010 The age of LNG is here Most cost efficient solution for ECAs.](https://reader035.fdocuments.us/reader035/viewer/2022070308/551c29f8550346a34f8b5fd1/html5/thumbnails/4.jpg)
© Det Norske Veritas AS. All rights reserved.
08 June 2010
4
European ECAs - a real challenge
ECA (Emission Control Area) requirements:
Maximum level of sulphur in fuel, all ships:- 1,0% by 1st July 2010- 0,1% by 1st January 2015
Nitrogen emission for newbuildings:- 80% reduction in NOx emission from 2016
EU fuel requirements now:
0,1% sulphur in ports and inland waterways
ECAECA
New ECA?
New ECA?
![Page 5: Tor Svensen, President DNV 08 June 2010 The age of LNG is here Most cost efficient solution for ECAs.](https://reader035.fdocuments.us/reader035/viewer/2022070308/551c29f8550346a34f8b5fd1/html5/thumbnails/5.jpg)
© Det Norske Veritas AS. All rights reserved.
08 June 2010
5
More ECAs to come…
North American coasts designated as ECA- Starting Aug 2011- SOx/NOx-control from
2015/2016
![Page 6: Tor Svensen, President DNV 08 June 2010 The age of LNG is here Most cost efficient solution for ECAs.](https://reader035.fdocuments.us/reader035/viewer/2022070308/551c29f8550346a34f8b5fd1/html5/thumbnails/6.jpg)
© Det Norske Veritas AS. All rights reserved.
08 June 2010
6
The DNV Baltic Report findings
More than 2,000 ships operating at any time
Annual ship emissions:- SOx: 135 000 tonnes- NOx: 400 000 tonnes- CO2: 19 million tonnes
Ship emissions equals all land-based NOx and twice the SOx emissions from Denmark & Sweden combined Gothenburg, SWE
Lübeck and Rostock (GER)Gdansk and Gdynia (POL)
Kaliningrad
Klaipeda (LIT)
Tallinn (EST)
Kilpilahti (FIN)
Primorsk and St.Petersburg (RUS)
![Page 7: Tor Svensen, President DNV 08 June 2010 The age of LNG is here Most cost efficient solution for ECAs.](https://reader035.fdocuments.us/reader035/viewer/2022070308/551c29f8550346a34f8b5fd1/html5/thumbnails/7.jpg)
© Det Norske Veritas AS. All rights reserved.
08 June 2010
7
A typical Baltic Sea cargo ship
547 TEU container vessel (5000 GT) Propulsion power 3960 kW
SOx NOx CO2 Particle emissions
With LNG fuel: 0 31 5 500 0
With low-sulphur HFO (LS380 with 1% sulfur): 50 180 7 250 4
Yearly emissions, tonnes/year
![Page 8: Tor Svensen, President DNV 08 June 2010 The age of LNG is here Most cost efficient solution for ECAs.](https://reader035.fdocuments.us/reader035/viewer/2022070308/551c29f8550346a34f8b5fd1/html5/thumbnails/8.jpg)
© Det Norske Veritas AS. All rights reserved.
08 June 2010
8
Technically no obstacles and it is safe
LNG technology safe and well proven
- 40 years of LNG tanker operation - Used as marine fuel since 2001, now in 20 ships- Ongoing research to further improve technical and economical aspects
![Page 9: Tor Svensen, President DNV 08 June 2010 The age of LNG is here Most cost efficient solution for ECAs.](https://reader035.fdocuments.us/reader035/viewer/2022070308/551c29f8550346a34f8b5fd1/html5/thumbnails/9.jpg)
© Det Norske Veritas AS. All rights reserved.
08 June 2010
9
Economically better – over 20 years Alternatives to meet the future ECA requirements
- Low sulphur fuel (0,1% sulphur), install scrubbers, switch to LNG
LNG saves- 45% lower than MGO- 22% lower than HFO with scrubber
Ref the DNV Baltic Report
870 $/t 495 $/t 450 $/t
![Page 10: Tor Svensen, President DNV 08 June 2010 The age of LNG is here Most cost efficient solution for ECAs.](https://reader035.fdocuments.us/reader035/viewer/2022070308/551c29f8550346a34f8b5fd1/html5/thumbnails/10.jpg)
© Det Norske Veritas AS. All rights reserved.
08 June 2010
10
Economically better – over 10 years Alternatives to meet the future ECA requirements
- Low sulphur fuel (0,1% sulphur), install scrubbers, switch to LNG
LNG saves- 35% lower than MGO- 12% lower than HFO with scrubber
Ref the DNV Baltic Report
870$/t 495 $/t 450 $/t
![Page 11: Tor Svensen, President DNV 08 June 2010 The age of LNG is here Most cost efficient solution for ECAs.](https://reader035.fdocuments.us/reader035/viewer/2022070308/551c29f8550346a34f8b5fd1/html5/thumbnails/11.jpg)
© Det Norske Veritas AS. All rights reserved.
08 June 2010
11
Environmentally a winner
85-90%Reduced NOx
~100%Reduces SOx and particulates
20-25%Reduced CO2 / GHG
![Page 12: Tor Svensen, President DNV 08 June 2010 The age of LNG is here Most cost efficient solution for ECAs.](https://reader035.fdocuments.us/reader035/viewer/2022070308/551c29f8550346a34f8b5fd1/html5/thumbnails/12.jpg)
© Det Norske Veritas AS. All rights reserved.
08 June 2010
12
What must happen NOW:
EU and governments to be frontrunners
Publicly owned ships to run on LNG
LNG fuel to be easily available
LNG fuel to be available at a fair price
Shipowners to start ordering new ships running on LNG
Short sea shipping is the most obvious start
The DNV Baltic Report confirms this
![Page 13: Tor Svensen, President DNV 08 June 2010 The age of LNG is here Most cost efficient solution for ECAs.](https://reader035.fdocuments.us/reader035/viewer/2022070308/551c29f8550346a34f8b5fd1/html5/thumbnails/13.jpg)
© Det Norske Veritas AS. All rights reserved.
08 June 2010
13
Actual prices and expected price development
![Page 14: Tor Svensen, President DNV 08 June 2010 The age of LNG is here Most cost efficient solution for ECAs.](https://reader035.fdocuments.us/reader035/viewer/2022070308/551c29f8550346a34f8b5fd1/html5/thumbnails/14.jpg)
© Det Norske Veritas AS. All rights reserved.
08 June 2010
14
Summing upShort sea shipping is the ideal case for LNG fuel
DNV will actively influence the whole shipping industry including governments and regulators
DNV will continue to invest in technology and competence to support the transformation to LNG
DNV will assist shipowners in developing business cases for LNG
![Page 15: Tor Svensen, President DNV 08 June 2010 The age of LNG is here Most cost efficient solution for ECAs.](https://reader035.fdocuments.us/reader035/viewer/2022070308/551c29f8550346a34f8b5fd1/html5/thumbnails/15.jpg)
© Det Norske Veritas AS. All rights reserved.
08 June 2010
15
The world’s ships on LNG fuel built to DNV class!*
DNV is world leader on LNG as fuel
DNV has proven rules for LNG since 2001
* LNG tankers excluded
![Page 16: Tor Svensen, President DNV 08 June 2010 The age of LNG is here Most cost efficient solution for ECAs.](https://reader035.fdocuments.us/reader035/viewer/2022070308/551c29f8550346a34f8b5fd1/html5/thumbnails/16.jpg)
© Det Norske Veritas AS. All rights reserved.
08 June 2010
16
LNG fuelled vessels in operation, some more examples
Glutra
Stril PionerViking Energy
Mastrafjord, Raunefjord, Bergensfjord, StavangerfjordPatrol vessels Barentshav, Bergen, Sortland
Tidekongen, Tidedronningen, TideprinsenMoldefjordViking Queen
![Page 17: Tor Svensen, President DNV 08 June 2010 The age of LNG is here Most cost efficient solution for ECAs.](https://reader035.fdocuments.us/reader035/viewer/2022070308/551c29f8550346a34f8b5fd1/html5/thumbnails/17.jpg)
© Det Norske Veritas AS. All rights reserved.
08 June 2010
17
![Page 18: Tor Svensen, President DNV 08 June 2010 The age of LNG is here Most cost efficient solution for ECAs.](https://reader035.fdocuments.us/reader035/viewer/2022070308/551c29f8550346a34f8b5fd1/html5/thumbnails/18.jpg)
© Det Norske Veritas AS. All rights reserved.
08 June 2010
18
![Page 19: Tor Svensen, President DNV 08 June 2010 The age of LNG is here Most cost efficient solution for ECAs.](https://reader035.fdocuments.us/reader035/viewer/2022070308/551c29f8550346a34f8b5fd1/html5/thumbnails/19.jpg)
© Det Norske Veritas AS. All rights reserved.
08 June 2010
19
![Page 20: Tor Svensen, President DNV 08 June 2010 The age of LNG is here Most cost efficient solution for ECAs.](https://reader035.fdocuments.us/reader035/viewer/2022070308/551c29f8550346a34f8b5fd1/html5/thumbnails/20.jpg)
© Det Norske Veritas AS. All rights reserved.
08 June 2010
20
![Page 21: Tor Svensen, President DNV 08 June 2010 The age of LNG is here Most cost efficient solution for ECAs.](https://reader035.fdocuments.us/reader035/viewer/2022070308/551c29f8550346a34f8b5fd1/html5/thumbnails/21.jpg)
© Det Norske Veritas AS. All rights reserved.
08 June 2010
21
![Page 22: Tor Svensen, President DNV 08 June 2010 The age of LNG is here Most cost efficient solution for ECAs.](https://reader035.fdocuments.us/reader035/viewer/2022070308/551c29f8550346a34f8b5fd1/html5/thumbnails/22.jpg)
© Det Norske Veritas AS. All rights reserved.
08 June 2010
22
Safeguarding life, property and the environment
www.dnv.com
![Page 23: Tor Svensen, President DNV 08 June 2010 The age of LNG is here Most cost efficient solution for ECAs.](https://reader035.fdocuments.us/reader035/viewer/2022070308/551c29f8550346a34f8b5fd1/html5/thumbnails/23.jpg)
© Det Norske Veritas AS. All rights reserved.
08 June 2010
23