Liquefied natural gas has a vital role in facilitating cleaner shipping operations, but the regulatory landscape must be made clearer says the International Gas Union (IGU).
In a report released this week for the G20 energy sustainability working group, the IGU stated that regional inconsistencies in emissions regulations can hinder the uptake of LNG as a marine fuel. Clear regulatory guidelines are essential to achieve broader and fleet-wide conversions, it said.
In order to do this the IGU calls upon the G20 to develop domestic standards in line with international ones. Lack of regulatory clarity and approval processes for LNG can hinder uptake as it heightens cost of investment.
A better structured regulatory approach is therefore needed to help shipowners reduce the environmental impact of their operations, reported the IGU, whi also stated that some jurisdictions have little in the way of regulation in place regarding LNG-fuelled ships and bunkering, while others may ban LNG related shipping activities. An example of this is the classification of LNG as a hazardous gas according.
A consistent framework is therefore needed to reduce competitive disadvantage or early mover penalisation where LNG is not consistently regulated. This is turn would reduce confusions and hesitancy in uptake of LNG-fuelled ships.
The Norwrgian&German class society DNV GL reported recently that LNG is becoming more than just a niche solution. Automatic identification systems (AIS) are increasingly used to provide data about the operation of vessels, including those powered by LNG, giving shipowers and operators more information to help them think about their fuel strategies.
However, in order to implement alternative fuel strategies gaps in regulatory frameworks need to be identified and closed, while financing for LNG development needs to increase.
Image: Viking Line Cruises, courtesy of IGU report, 2017.
Fathom-News
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