Latest news with #VeryLowSulphurFuelOil
The Hindu
16-07-2025
- Business
- The Hindu
How is global shipping trying to decarbonise?
The story so far: Global shipping is on course towards decarbonisation by 2040-50. This represents a huge opportunity for India. Merchant ships largely use Very Low Sulphur Fuel Oil (VLSFO), diesel, and methane gas stored in liquid form as fuel. LNG-powered engines with their higher efficiency of some five percentage points are likely to be a transition fuel before shipping moves to green fuels such as green ammonia, green or e-methanol and biofuels by 2040 and net zero thereon. How are green fuels produced? Green hydrogen is made from the electrolysis of water using renewable power. Shipping will not use hydrogen directly because of issues with storage and transportation of hydrogen, a highly volatile fuel. Green ammonia, made from green hydrogen and nitrogen, is more stable. The government is also encouraging green ammonia production in India since it can substitute LNG imports in making fertilizers. Green methanol is made from green hydrogen and carbon dioxide obtained from industrial sources. What are the preferred fuels? Shipping, however, is generally a conservative industry. New technology adoption is relatively slow. Ammonia engines are a novelty, so shipping is going first for green methanol, which emits some 10% of carbon dioxide, and later green ammonia, which emits no greenhouse gas. However, ammonia use requires extensive processes onboard. Besides a storage tank and tweaks to the engine and fuel handling system, green methanol is almost a drop-in replacement for VLSFO and is stored as liquid in ambient temperature unlike green ammonia or even LNG. Already, more than 360 ships capable of operating on methanol are either in service or in order. Major container shipping companies such as Maersk, CMA, CGM and Evergreen are backing methanol. A 100% sustainable e-methanol as bunker fuel costs $1,950 per tonne (of VLSFO equivalent) in February in Singapore, while VLSFO averaged at $560 per tonne. This pricing discrepancy is primarily caused by the present price of renewable electricity, with every tonne of green e-methanol using 10-11 MWh of power, and the heavy upfront capital cost for electrolyser facilities. Estimates suggest that demand for green methanol would surpass 14 million tonnes by 2028, whereas the projected supply is merely in the order of 11 million tonnes, creating additional price pressures. What is Indian shipping's decarbonisation plans? India has committed to decarbonising its domestic shipping. Plans have been made for supporting domestic container ships using green fuels as well as creating green fuel bunkering points such as at the Tuticorin V.O. Chidambaranar port and Kandla. The government is looking at producing and supplying green fuels to Singapore, which is a fuelling station accounting for nearly one-fourth of all global ship fuelling. Singapore has committed to being a green fuels supplier and would require therefore tens of millions of tonnes of green fuels. Given that India has the land and expertise for solar power, it can aspire to be a major supplier of green fuels to global shipping. How can India do it? Making a marine green fuels production hub has some challenges. Solar panels and electrolysers to make green hydrogen need to be imported. India's solar energy revolution, however, is a model of how sovereign guarantees and policy strategic frameworks can drive the adoption of green fuels. From 2014 to 2025, India's solar capacity grew from 2.82 GW to 105 GW. This achievement was made through the convergence of sovereign guarantees, off-take assurance, and strengthened supply chain support. Sovereign guarantees have emerged as a powerful de-risking mechanism for green methanol investments that can considerably reduce prices. These government-backed assurances can fundamentally transform project economics by enabling access to international capital markets at significantly lower interest rates. Innovative financial instruments are needed for an at to scale green methanol rollout. Production-linked incentive (PLI) schemes for electrolysers can relieve supply chain bottlenecks by territorialising value chains and lessening transportation costs of raw materials. Carbon capture, utilisation, and storage (CCUS) incentives are also essential, as they increase the feasibility of the production of green methanol from sequestered CO2. Further, the government's aggressive push in creating 1.5 GW of local electrolyser manufacturing capacity and growing industrial CO2 sources (from steel and cement industries) positions India strategically to develop integrated green fuel hubs. Multilateral development banks offer financing at rates as low as 4%, as opposed to 11-12% by domestic lenders, and they can be leveraged. How can green fuels help restart Indian shipowning and shipbuilding? The government's move to inject demand-side support for shipbuilders, along with incentives for foreign cooperation, should spur economies of scale and attract global shipbuilders to the country. Partnerships with overseas shipbuilders from South Korea and Japan are being pursued to support India's shipbuilding strength. The strategy is to support new builds and retrofit current ships for green fuel compatibility. India has pledged $10 billion to support the purchase of over 110 ships. Government can provide incentives so 10-20% of these are green fuel-capable, built in Indian shipyards, and are Indian-flagged.
Time Business News
09-07-2025
- Business
- Time Business News
Innovations Driving the Future of Very Low Sulfur Fuel Oil (VLSFO)
Very low sulfur fuel oil (VLSFO) is a sea fuel with sulfur content of 0.5% or less, which has been developed to follow the rules of the International Marine Organization (IMO) 2020 with the aim of reducing sulfur emissions from ships to protect air quality and environment. Very low sulfur fuel oil (VLSFO) is rapidly growing due to strict environmental rules, especially installation of emissions control areas (ECA) with tight sulfur boundaries. Marine industry's commitment to rising environmental awareness and stability is also promoting the demand for cleaner fuel options. These factors collectively run the strong expansion of the VLSFO market. Key Growth Drivers and Opportunities Supply Chain Digitalization: The supply chain digitization is emerging as a major trend in the VLSFO industry, increasing efficiency, transparency and accountability in fuel production and distribution. Techniques such as blockchain, IOT, and AI help to monitor fuel quality, adapt to inventory and predict demand, enable fast decision making and better compliance with environmental rules. This reduces digital change risk, reduces costs, and VLSFO strengthens confidence among stakeholders, supporting the sustainable development of the industry. Challenges Very low sulfur fuel oil (VLSFO) industry faces several borders, including limited global purification capacity to meet high production costs and increasing demand. Conversion can lead to operating challenges in issues of fuel quality and compatibility with the engine of the ship. Additionally, value instability, disruption in supply chain, and lack of standardized global rules obstruct market stability. These factors can affect the adoption rate for both suppliers and final-users in the marine industry and affect risks. Innovation and Expansion FuelEU-Compliant Co-Processed VLSFO Introduced by Vitol for Greener Shipping In May 2025, Customers will be able to purchase co-processed bunkering fuel from Vitol Bunkers that complies with FuelEU regulations. The fuel is being manufactured at Vitol's refinery in Fujairah, which produces 100,000 barrels per day of finished bunker fuel. Vitol Bunkers will eventually market the gasoline in other areas. There is no need for further licenses or specific provisions in charter party agreements since the co-processed fuel, which complies with RMG380 very low sulfur fuel oil (VLSFO) grade, has the same chemical composition and quality as conventional fuel. HPCL Opens Visakhapatnam Port's VLSFO for the Shipping Sector In January 2020, In Visakhapatnam, Hindustan Petroleum Corporation Limited (HPCL) introduced Very Low Sulphur Fuel Oil (VLSFO), which complies with IMO-2020. The product satisfies the standards of ISO 8217:2017 and the Residual Marine Grade (RMG) 0.50 Specification. Additionally, this gasoline satisfies every quality requirement listed in the newly published ISO 23263:2019 standard by the International Organization of Standardization. HPCL has made steps at both refineries to produce BS-VI compliant transport fuels ahead of schedule in order to uphold its commitment to environmental preservation. Additionally, both refineries have embarked on ambitious expansion projects to boost their capacities from 7.5 to 9.5 MMTPA at the Mumbai Refinery and 8.33 to 15 MMTPA at the Visakh Refinery. Inventive Sparks, Expanding Markets Very low sulfur fuel oil (VLSFO) is one of the major players working in the market, Exon Mobil Corporation, BP PLC, Vitol Bunkers, Shell International BV, and others. To maintain compliance with the quality of continuous fuel and changing environmental needs, very low sulfur fuel oil (VLSFO) firms must invest in modern purification processes. Businesses are also focused on increasing their global bunkering infrastructure to increase supply chain efficiency, especially in ports with heavy traffic. About Author: Prophecy is a specialized market research, analytics, marketing and business strategy, and solutions company that offer strategic and tactical support to clients for making well-informed business decisions and to identify and achieve high value opportunities in the target business area. Also, we help our client to address business challenges and provide best possible solutions to overcome them and transform their business. TIME BUSINESS NEWS
The Hindu
29-05-2025
- General
- The Hindu
Kerala govt. bans fishing within 20-nautical mile radius of shipwreck, announces compensation for fishers
The Kerala government has banned fishing within a 20-nautical-mile radius of the capsized Liberian-flagged container ship which sank off the Kerala coast on May 25. The State would give 6 kg of free rice and ₹1,000 a month to each affected fisher families in Thiruvananthapuram, Kollam, Alappuzha and Ernakulam districts. At a press conference, Chief Minister Pinarayi Vijayan quashed speculation that fish caught off the coast of Kerala was inedible. He said the shipwreck happened 14.6 miles off the Thottapally Spillway in the Alappuzha district. He said the containers carrying the highly flammable calcium carbide, stowed away in the ship's cargo hold, remained submerged and posed no immediate threat. A maritime emergency vessel had set sail from Puducherry for the shipwreck site. The experts on board would use the latest underwater surveillance technology to map the wreck geospatially and designate the marine location using anchored floats. They would also use floating booms to contain any oil spill from the vessel. He said the salvage operation would focus on draining the Very Low Sulphur Fuel Oil (VLSFO) stored in the ship's double hull expeditiously to prevent spillage. After the monsoons, the company would remove the wreck from Kerala's jurisdictional waters. Mr. Vijayan said the ship also transported fruits, rubber, wooden beams, compounds, small plastic pellets (nurdles) and textiles. He warned fishers against salvaging any floating detritus from the wreck. He asked them to report it to the authorities instead. Cleaning operations Mr. Vijayan said piles of microplastics from the capsized ship had run ashore—contaminating the Thiruvananthapuram's shoreline. The government had initiated cleaning operations. Enumerating loss The Chief Minister stated that he had spoken to the Director General of Shipping, who agreed to spare the services of Deputy Nautical Officer Captain Ashok Joseph, a Keralite, to assist the State in enumerating the loss, including environmental damage and lost working days for fishers, caused by the shipwreck. He said Captain Joseph would work with the State government to collect evidence to claim damages from the shipping company under maritime laws. Mr. Vijayan said the shipwreck had also significantly impacted Kerala's beach and backwater tourism sectors. The Protection and Indemnity Insurance Agency has opened a special desk for processing shipwreck-related claims in Kochi. He said Captain Joseph was the nodal officer and had experience working with other State governments to file maritime compensation claims. Mr. Vijayan said the government would hand over 54 containers which washed ashore in Thiruvananthapuram, Kollam and Alappuzha districts to the Customs department. The State Disaster Management Authority (SDMA) had initiated aerial drone surveys to scan the State's beaches for shipwreck detritus. Hundreds of volunteers were working to clean the beaches of microplastics from the shipwreck.
Time of India
28-05-2025
- Business
- Time of India
Mechanical failure in ballast tank led to cargo vessel capsize: DG Shipping
K ochi: A preliminary probe by the Directorate General of Shipping has found that a mechanical failure led to the sinking of the Liberian cargo vessel MSC ELSA 3 off Kochi on Sunday. A detailed investigation is underway to determine the exact cause. Director General of Shipping Shyam Jagannathan and chief surveyor Ajithkumar Sukumaran told reporters on Wednesday that the preliminary probe showed a technical failure in the ballast tank that led to the accident. The valves in the tank did not function properly, leading to a failure in the ship's electrical system and causing it to list, they said. The Mediterranean Shipping Company (MSC) is cooperating with the investigation, and it is unclear how long the investigation procedures will take, the officials said. The ship was operating in compliance with the regulations of the International Maritime Organization, and its insurance documentation was valid. They said the chief officer on the ship was new, and it would be investigated if his lack of experience also contributed to the accident. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like ¡Trading con IA en Chile ayuda a usuarios a obtener ganancias potenciales! Mainhubfb Más información Undo The voyage data recorder, which contains information like the ship's speed, direction, conversations among crew members, and communications with other ships, will be retrieved to obtain more details about the accident, they said. The Mercantile Marine Department (MMD), a statutory authority under DG Shipping, informed that there was no large-scale oil spill from the sunken vessel and the environmental threat it posed was being actively mitigated. Nautical advisor Capt Abul Kalam Azad and MMD Kochi principal officer Senthil Kumar, who also addressed the news conference, confirmed that the ship was carrying 640 containers, including 13 with hazardous material—calcium carbide and rubber chemicals, besides 367.1 tonnes of Very Low Sulphur Fuel Oil (VLSFO) and 84.44 tonnes of marine diesel fuel. The team said the oil recovery operation would be completed by July 3. Azad said oil recovery from the sunken vessel, retrieval of drifting containers and removal of beached containers would be their priority. A multi-beam sonar survey has been initiated to locate and assess the wreckage of the ship, and experts have planned capping of venting points. As many as 50 beached containers were identified by Wednesday, and the priority is to recover all of them within the next 48 hours. None of these containers contained hazardous material, and they were placed on the ship's deck, they said. Hazardous materials are present in 13 containers; 12 of these contain calcium carbide while one contains rubber chemicals. Of the 13, eight were inside the ship. The remaining five could be either on the ship's deck or on the seabed near the ship, they said. The officials said over 100 containers were reported to have fallen into the sea. The Indian Coast Guard (ICG) has deployed ships and aircraft for surveillance, and dispersants were being used under the National Oil Spill Disaster Contingency Plan. An onsite team in Kochi continues to monitor and manage pollution risks. High-range drones and precision scanning equipment are being used to detect and contain oil spills. A total of 108 personnel have been deployed for shoreline clean-up and container retrieval operations. In addition to these, 38 personnel have been deployed for emergency response in Thiruvananthapuram, Alappuzha and Kollam. These teams will work in coordination with the district disaster management authorities and district collectors. The shipping company has been instructed to establish a damage and liability claim desk to address the losses and liabilities related to the shipwreck.
Hindustan Times
25-05-2025
- General
- Hindustan Times
Kerala on alert after Kochi shipwreck: How harmful is the calcium carbide, major oil spillage?
A Liberian vessel carrying 640 containers — including 13 with hazardous materials — sank off the Kochi coast on Sunday, triggering a major oil spill. All 24 crew members were safely rescued after the ship developed a severe tilt on Saturday, officials said. The Kerala State Disaster Management Authority (KSDMA) has issued a warning to the public, advising against touching any containers or oil that may wash up on shore. The leaked fuel is drifting at approximately three km/h, raising concerns about its potential impact along the Kerala coastline. In response, the state government has issued a statewide alert and advised fishermen to avoid venturing into the sea. The Indian Coast Guard (ICG) is actively working to contain the spill and has intensified its pollution response efforts. Highlighting the ecological and economic significance of Kerala's biodiverse and tourist-heavy coast, the ICG said it is coordinating closely with state authorities to address all possible outcomes. The Indian Coast Guard (ICG), leading the pollution response efforts, reported that the sunken vessel was carrying 84.44 metric tonnes of diesel and 367.1 metric tonnes of furnace oil, along with containers holding hazardous substances such as calcium carbide — a chemical that reacts dangerously with seawater to release highly flammable acetylene gas. 'Liberian container vessel MSC ELSA 3 (IMO NO. 9123221) sank off the Kochi coast at around 0750 hrs today on May 25, 2025, due to flooding... The vessel went down with 640 containers, including 13 with hazardous cargo and 12 containing calcium carbide. It was also loaded with 84.44 MT of diesel and 367.1 MT of furnace oil,' the Ministry of Defence said in a statement. The Coast Guard confirmed that the vessel was also carrying Marine Gas Oil (MGO) and Very Low Sulphur Fuel Oil (VLSFO). Following a distress call on Saturday, when the ship developed a critical 26-degree tilt nearly 38 nautical miles southwest of Kochi, the ICG deployed ships and aircraft to carry out rescue operations. The KSDMA has also warned of the possibility of oil films appearing on coastal waters and urged the public to alert the police if they see any containers or signs of oil on the beaches. Calcium carbide, or calcium acetylide (CaC₂), is a colourless solid formed by heating lime and coke together at temperatures around 2000°C in an electric furnace. It's mainly used to generate acetylene gas, a key ingredient in producing various industrial organic chemicals. Additionally, it's often used to artificially ripen fruits, especially in regions where modern ripening technologies are less accessible, according to TWYH. When calcium carbide comes into contact with water, it triggers a rapid and intense chemical reaction. This reaction produces acetylene gas and calcium hydroxide and releases a significant amount of heat. Because acetylene is a highly flammable gas, this reaction can be dangerous, particularly in settings where large volumes of calcium carbide are stored or handled. The reaction between calcium carbide and water releases calcium hydroxide, which increases the water's alkalinity. This rise in pH can disturb aquatic ecosystems by affecting the health, reproduction, and survival of aquatic species. Moreover, the production of acetylene gas during this reaction can degrade water quality and pose environmental hazards—especially concerning if it contaminates water sources used for drinking or farming. The situation escalated on May 24 when MSC ELSA 3, traveling from Vizhinjam to Kochi, began to tilt—developing a 26-degree 'starboard list' around 38 nautical miles southwest of Kochi, according to officials. As the ship lost stability, a distress signal was issued, prompting an immediate response by the Indian Coast Guard's Maritime Rescue Sub-Centre (MRSC) in Kochi. 'An ICG Dornier aircraft was deployed for aerial surveillance, spotting two life rafts with survivors. ICG patrol ships and merchant vessels MV Han Yi and MSC Silver 2 were also diverted to assist, in line with global search and rescue protocols,' the defence ministry said. 'However, the vessel's condition deteriorated overnight and it capsized on May 25. The three crew members were forced to abandon the ship and were rescued by INS Sujata,' the ministry said.
