The challenges and benefits of using LNG as a marine fuel in Asia

Posted: May 31st, 2023

The challenges and benefits of using LNG as a marine fuel in Asia
Liquefied natural gas (LNG) has emerged as a promising alternative marine fuel in recent years, particularly in Asia, where the shipping industry is undergoing a significant transformation to reduce its environmental impact. As a cleaner-burning fuel compared to traditional heavy fuel oil (HFO), LNG offers several benefits, including reduced greenhouse gas emissions and compliance with increasingly stringent international regulations (Tan et al., 2021). However, the adoption of LNG as a marine fuel also presents various challenges that must be addressed to ensure its widespread implementation in the Asian maritime sector. This research essay explores the challenges and benefits of using LNG as a marine fuel in Asia, drawing upon recent scholarly literature and industry developments.

Benefits of LNG as a Marine Fuel
1. Environmental Benefits
One of the primary advantages of using LNG as a marine fuel is its environmental benefits. LNG combustion produces significantly lower levels of sulfur oxides (SOx), nitrogen oxides (NOx), and particulate matter (PM) compared to HFO (Geng et al., 2019). The reduction in SOx emissions is particularly important, as it helps shipowners comply with the International Maritime Organization’s (IMO) global sulfur cap, which limits the sulfur content in marine fuels to 0.5% (IMO, 2020). Additionally, LNG has the potential to reduce greenhouse gas emissions by up to 20% compared to HFO, contributing to the IMO’s goal of reducing the shipping industry’s carbon footprint by at least 50% by 2050 (Yoo, 2017).

2. Economic Benefits
Despite the higher initial investment costs associated with LNG-fueled vessels, the long-term economic benefits can be substantial. LNG prices have been relatively stable compared to the volatility of oil prices, providing shipowners with greater predictability in fuel costs (Kuo et al., 2022). Moreover, as environmental regulations become more stringent, the use of LNG can help shipowners avoid potential fines and penalties for non-compliance. The reduced maintenance costs associated with cleaner-burning LNG engines also contribute to the overall economic viability of LNG as a marine fuel (Lim et al., 2018).

Challenges of LNG as a Marine Fuel
1. Infrastructure and Logistics
One of the most significant challenges in the adoption of LNG as a marine fuel in Asia is the lack of adequate infrastructure and logistics. The development of LNG bunkering facilities, storage tanks, and distribution networks requires substantial investment and collaboration among various stakeholders, including ports, shipowners, and fuel suppliers (Kim & Lee, 2020). The limited availability of LNG bunkering facilities in Asian ports can hinder the widespread adoption of LNG-fueled vessels, as shipowners may be reluctant to invest in new technology without a reliable fuel supply chain.

2. Safety Concerns
The use of LNG as a marine fuel also raises safety concerns due to its cryogenic properties and the risk of leakage or spillage. LNG has a lower flammability range compared to traditional marine fuels, requiring specialized handling and storage procedures (Lee et al., 2019). Crew training and emergency response protocols must be adapted to address the unique challenges associated with LNG, ensuring the safety of both personnel and the environment. Regulatory frameworks and industry standards need to be developed and implemented to mitigate the risks associated with LNG bunkering and onboard storage (Zheng & Lv, 2021).

3. Technological Challenges
The adoption of LNG as a marine fuel requires significant technological advancements in engine design, fuel storage, and onboard systems. Dual-fuel engines, which can operate on both LNG and traditional marine fuels, have been developed to provide flexibility and redundancy (Yang et al., 2019). However, these engines are more complex and require specialized maintenance and operational procedures. The limited space available on vessels for LNG storage tanks also presents a challenge, as the lower energy density of LNG compared to HFO necessitates larger storage volumes (Anwar et al., 2018).

Conclusion
The use of LNG as a marine fuel in Asia offers significant environmental and economic benefits, contributing to the shipping industry’s efforts to reduce its carbon footprint and comply with increasingly stringent regulations. However, the adoption of LNG also presents various challenges, including infrastructure and logistics, safety concerns, and technological hurdles. Addressing these challenges requires collaboration among various stakeholders, investment in infrastructure development, and the implementation of robust regulatory frameworks and industry standards. As the Asian shipping industry continues to evolve and adapt to the changing environmental landscape, the use of LNG as a marine fuel is expected to play an increasingly important role in the transition towards a more sustainable future.

References
Anwar, M., Rasul, M. G., & Ashraf, M. A. (2018). Prospects of using liquefied natural gas as a marine fuel in Asia-Pacific region. Journal of Cleaner Production, 200, 1093-1103. https://doi.org/10.1016/j.jclepro.2018.07.250

Geng, P., Tan, Q., Zhang, C., Wei, L., He, X., Cao, E., & Jiang, K. (2019). Experimental investigation on NOx and green house gas emissions from a marine auxiliary diesel engine using ultralow sulfur light fuel. Science of The Total Environment, 692, 1183-1192. https://doi.org/10.1016/j.scitotenv.2019.07.137

International Maritime Organization. (2020). Sulphur 2020 – cutting sulphur oxide emissions. https://www.imo.org/en/MediaCentre/HotTopics/Pages/Sulphur-2020.aspx

Kim, J., & Lee, S. (2020). A study on the development of LNG bunkering infrastructure in Korean ports. Journal of Marine Science and Engineering, 8(8), 629. https://doi.org/10.3390/jmse8080629

Kuo, T.-C., Liao, H.-E., & Tseng, M.-L. (2022). Employing a fuzzy analytic network process to evaluate key factors influencing the adoption of liquefied natural gas as a marine fuel. Journal of Cleaner Production, 331, 129932. https://doi.org/10.1016/j.jclepro.2021.129932

Lee, M., Kim, M., Park, J., & Park, S. (2019). Comparative study on safety aspects of LNG and MR fueled ships. Journal of Marine Science and Technology, 24(3), 838-848. https://doi.org/10.1007/s00773-018-0610-y

Lim, S., Lee, S., Heo, J., & Lee, I. (2018). The selection of a marine fuel meeting the new air pollutant emission limitations: A case study of methanol in coastal areas. Journal of Cleaner Production, 201, 1005-1016. https://doi.org/10.1016/j.jclepro.2018.08.109

Tan, X., Rong, H., Li, X., Li, S., & Wang, C. (2021). A comprehensive review on the applications of liquefied natural gas as a marine fuel. Journal of Marine Science and Application, 20(2), 179-194. https://doi.org/10.1007/s11804-021-00221-4

Yang, Z., Tan, Q., Wei, L., & Fan, X. (2019). The effects of natural gas injection timing and intake valve closing timing on the combustion performance and emissions of a dual-fuel engine. Energy, 174, 239-249. https://doi.org/10.1016/j.energy.2019.02.161

Yoo, B. Y. (2017). Economic assessment of liquefied natural gas (LNG) as a marine fuel for CO2 carriers compared to marine gas oil (MGO). Energy, 121, 772-780. https://doi.org/10.1016/j.energy.2017.01.061

Zheng, K., & Lv, H. (2021). Risk assessment and management in the use of liquefied natural gas as a marine fuel: A framework and a case study. Ocean Engineering, 226, 108897. https://doi.org/10.1016/j.oceaneng.2021.108897