Page 88: of Maritime Reporter Magazine (August 2016)

PROPULSION

Comparing Costs Across Propulsion Systems and Fuel Types

Switching Fuel: What is it Going to Cost?

Finnish icebreaker Polaris, is delivered this summer from

Arctech Shipyard. The vessel has three azimuthing electric pods, and is the ? rst icebreaker in the world powered by dual-fuel engines. (Photo: Arctech Helsinki Shipyard)

Christos Chryssakis, DNV GL, Christian • LNG ($9.5m) similar to LNG and LPG. In the low price

Morch and Niels Clausen at MAN DT pre- • LNG/HFO ($7m) scenario, the methanol price needs to be sented the results of a comparison of • LPG ($4.8m) reduced to 27% below the MGO price to

HFO/MGO and LNG, LPG, Methanol, and • LPG/HFO ($4.3m) have a payback time similar to LPG. In the

Hydrogevated Vegetable Oil (VGO) used • Methanol ($3m) two price scenarios used in this study the on a 75,000 dwt product tanker, on a • Methanol/HFO ($2.8m) current and expected price of methanol route between Houston in U.S. ECA, to Results: In the high price scenario the and ULSFO did not result in ? nancial fea-

Rotterdam and to Ventspils in the Baltic annual cost difference during operation sibility. LNG and LPG were both ? nancially

ECA. Financials highly dependent on fuel is positive for LNG and LPG, in particular interesting alternative fuels and LPG was price scenario. A global sulfur cap favors a for the one-fuel variant with global sulfur found to be at least as good as LNG. For single-fuel variant. Additional investment cap. Methanol can provide an interest- these best fuels, the best alternative is costs are highest: ing alternative if the price is low enough to use it both in the SECA and non-SECA (approx. 18% below the MGO price in the regions. Methanol (Black Liquor) has the high price scenario to have a payback time lowest GHG, NOx and SOx emissions.

88 Maritime Reporter & Engineering News • AUGUST 2016

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