As the industry moves towards decarbonization, numerous challenges arise. For example, the current disruption to global trade, caused by ships being unable to use the Red Sea, is resulting in much longer voyages and a dramatic increase in emissions. In response, Trafigura recognizes the importance of supporting the decarbonization of shipping and highlights five key actions to take today for a more sustainable future.
Trafigura has recently ordered four gas carriers capable of running on low-carbon ammonia, expecting to take delivery of the first vessel in the second half of 2027. In a previous interview to SAFETY4SEA, Andrea Olivi, Global Head of Wet Freight for Trafigura, explained that a price on carbon would force the industry to take decarbonisation more seriously, which will then allow all organizations to take more ambitious decisions when it comes to reducing emissions and sustainability.
With regards to Red Sea disruption, Trafigura estimates an extra 200,000 barrels per day of fuel oil to be consumed by oil tankers alone this year as they are diverted around the Cape of Good Hope. This equates to a 4.5% increase in annual emissions from oil tankers alone.
When container ships and other vessels are considered we think an additional 500,000 barrels per day of fuel will be consumed by the shipping industry this year because of the disruptions.
There are numerous actions we can implement quickly to reduce emissions from shipping, the coimpany says and highlights the following:
#1 Biofuels
There are several types of biofuels on the market including biodiesel, also known as fatty acid methyl esters (FAME). This is produced from vegetable oil, animal fats or used cooking oils through a process known as transesterification. Although there are feedstock constraints, biofuels are attractive because they can be used with virtually no retrofitting to vessels and infrastructure.
They can also be blended with traditional marine fuels such as very low sulphur fuel oil (VLSFO), to achieve emissions reduction. B30 – a blend of 30% FAME and 70% VLSFO – is expected to be a popular choice and is set to play a significant role in the near term, while the industry transitions to low or zero carbon fuel sources.
Trafigura already supplies B30 through our bunkering joint-venture TFG Marine and we are set to become a major producer of biodiesel via our recent purchase of Greenergy, supplier and distributor of transportation fuels and biofuels.
#2 Energy Efficiency
Technical measures such as silicone hull coatings, wake equalising ducts (WED), ultrasonic propeller antifouling technology, and continuous underwater hull cleaning and propeller polishing are another way to quickly reduce emissions.
As explained, Trafigura has already retrofitted a number of our owned vessels with silicon hull coatings and WED.
#3 Slow Steaming
Slow-steaming is not an option open to everyone – some vessels are not designed to move slowly while others may need to pick up speed to compensate for lost time if disruptions have forced them to take longer routes. Moreover, by significantly reducing the speed of the fleet, more ships are needed to cover demand. But even when the additional emissions from building and operating new ships are taken into consideration, slow-steaming still leads to CO₂ savings.
According to Transport & Environment, a non-government organisation focused on decarbonising transport in the EU, reducing fleet speeds by an average of 10% leads to overall CO₂ savings of 19%.
#4 Data & Digitalization
In order to reduce emissions, it is vital that the shipping industry is able to measure them on a vessel-by-vessel basis. We cannot rely on industry averages because these estimates may not be an accurate reflection of real world emissions. That is one of the reasons why they have invested in a company called Daphne Technology.
We also need to be able to accurately measure marine fuel supply, which is why TFG Marine has been promoting the use of mass flow meters. When fitted to ships, MFMs can provide computerised records of exact volumes delivered in real time.
When all this data is combined with the route and voyage optimisation tools, it can help maximise vessel efficiency and reduce emissions.
#5 Emissions capture
The use of on-board emission capture to sequester CO₂ and other GHGs such as methane, is another step that can be taken to reduce the environmental impact of shipping. Daphne Technology is developing a cleaning system that targets specifically “methane slip” from engine exhausts. This is particularly relevant as many shipowners and operators have placed orders for LNG-fuelled vessels – from containerships and cruise liners, to LNG carriers themselves.
The company clarifies that there is no simple solution when it comes to the decarbonisation of shipping and we will need a range of options to reduce emissions now and in the future. For example, fuel cells and batteries charged with renewable energy are zero-emission sources of propulsion, although they are currently only an option for ships making short or near-shore journeys such passenger ferries. For larger, ocean-going vessels large solid wind assisted ship propulsion (WASP) systems have the potential to reduce fuel consumption and therefore emissions.
These near-term measures are not a substitute for the transition to low-emissions shipping fuels. Looking forward, Trafigura thinks low-emission ammonia and methanol will eventually become the primary shipping fuels of the future.
In the meantime, we must take every possible measure to reduce, avoid, or mitigate greenhouse gas emissions today to prevent making climate change even more challenging to address in the future. There is no time to lose.
..the company concludes.
