Creating LNG infrastructure for shipping in Europe would cost $22 billion
and deliver a 6% reduction in ship GHG emissions by 2050 compared to the
replaced diesel, a new study for Transport & Environment (T&E) by the
UMAS consultancy found. Until today, Europe has spent half a billion US dollars
on LNG infrastructure.
These emissions savings would likely be cancelled out by the
growth of maritime trade, even before higher rates of methane slip.
Namely, methane slipping - i.e unburnt LNG escapes through a ship’s
exhaust into the atmosphere - could wipe out any emission reduction gains.
The EU’s 2014 Alternative Fuels Infrastructure Directive
requires member states to build LNG infrastructure across European ports. This
will make the decarbonisation of shipping even more challenging, the study
says.
Europe should back future-proof technologies that would
deliver the much greater emissions reductions that will be needed, including
port-side charging or liquid hydrogen infrastructure. This means the EU needs
to stop mandating LNG infrastructure in European ports.
In addition, according to the study, if current investments in
LNG infrastructure require a large LNG market, but the sector turns to
zero-emission technologies like hydrogen, ammonia and electric propulsion, then
many LNG assets will likely become stranded by 2050.
Domagoj Baresic, consultant, UMAS and PhD researcher, UCL Energy
Institute, said that there is uncertainty regarding LNG. He noted that the fuel
may be an option for complying with the 2020 sulphur cap, but it cannot enable
the GHG reductions that have been committed to in the IMO’s initial strategy
for GHG reduction.
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