ROAD TO NET ZERO
NAVIGATING A MORE SUSTAINABLE PATH FOR THE GLOBAL SHIPPING INDUSTRY ― Singapore-based X-press Feeders is taking a leadership role in helping the global shipping industry to reduce its carbon footprint by deploying green methanol-powered ships. By Francis Goh, X-press Feeders Chief Operating Officer
There are, at any given moment, nearly 50,000 cargo ships crossing the world’s oceans. In fact, in 2021, approximately 1.95 billion metric tons of cargo was shipped globally. The shipping industry– which moves the world’s goods, from raw materials to finished products - underpins the global economy and supply chain. Shipping remains the most carbon-efficient mode of transport per ton-kilometre. However, the scale of the shipping industry and its reliance on fossil fuels means it is responsible for nearly 3% of our global greenhouse gas (GHG) emissions. This equates to roughly one billion metric tons of carbon dioxide annually – equal to all of Japan’s emissions. The maritime industry needs a clear decarbonisation roadmap to reduce its emissions and mitigate climate change. The International Maritime Organisation (IMO), through its Greenhouse Gas Strategy, aims for GHG emissions from international shipping to reach net-zero by or around 2050. This ambitious goal will require the world’s fleet to transition from fossil fuels to renewable fuels. Green methanol is one viable option.
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We at X-press Feeders are playing our part in this global initiative. To help achieve net-zero by 2050, we ordered 14 dual-fuel vessels, which can be powered by green methanol. We will start taking delivery of these vessels in the first quarter of 2024, and the first four vessels will be deployed on routes within the Intra-European region. Vessels using green methanol, as compared to conventional marine fuel, have 60-70% lower GHG emissions. We are sourcing our green methanol from OCI Global, the world’s largest green methanol producer. Besides the early adoption of renewable fuel, efforts need to be made to reduce fuel consumption. We are achieving this through our fleet renewal program where we are replacing older, less-efficient vessels with new, more fuel-efficient vessels that have better engine performance, an enhanced hull design, and are equipped with modern energy-saving devices. But for the maritime shipping industry to decarbonise, we also need industry stakeholders to play their part too. For example, port owners and operators need to put infrastructure in place so vessels can be refuelled with green methanol at port, and access renewable shore power instead of relying on less-sustainable fuels to generate electricity.
Issue 95 / November 2023
