Car making giant BMW Group is joining a trial to use biofuel on a UECC car carrier in Europe.
Oslo-based UECC, owned by NYK Line and Wallenius Lines, started an initial three-month test involving the use of 3,000 tonnes of the product its 2,080-ceu Autosky (built 2000) in March.
BMW will now cover the extra cost of the green fuel, corresponding to the amount of freight that will be shipped on Autosky.
The car maker will then be able to claim a carbon dioxide emission reduction of between 80% and 90% for these shipments, totalling more than 400 tonnes of carbon.
The first bunkering of biofuel took place in March in Rotterdam.
The extended trial has seen, and will see, further refuelling operations between March and July. The first bunkering involving BMW took place in Rotterdam on Monday.
Autosky is currently testing the fuel on the route between Zeebrugge in Belgium and Santander, Spain.
The biofuel, based on recycled cooking oil, is being supplied by GoodFuels of the Netherlands.
Investment important
GoodFuels' sister company The GoodShipping Program requires shippers to commit to a reduction in their sea freight CO2 emissions.
Anniek Sluis, growth captain at The GoodShipping Program, told TradeWinds it is important to bring cargo owners on board.
"This is for several reasons; one has to do with the cost, as biofuels are still more expensive than fossil fuels," she said.
"UECC has already invested in the man hours, testing and technical research. They also have to make an investment in terms of procuring a more expensive product and in general it's quite a big thing, a risk to start using a new and relatively unknown product."
Sluis explained that BMW will pay part of the price premium for the fuel, reducing the hurdle for UECC.
"We look for a tripartite way of working together with the shipowner and the cargo owner to make this happen and create this impact," she said.
"Because BMW has joined the project now and has the intention to see if we can scale up to higher volumes in the future, that makes the collaboration with UECC and GoodFuels also more likely to be extended."
Autosky is now almost permanently running on biofuel.
BWM spokesman Hanns Huber told TradeWinds: "For us it's important to go new ways, and in this cooperation, for us it's really a good chance to make a further step."
The fuel began its first trial in November 2018 with Danish shipowner Norden.
GoodFuels now supplies 10 shipping lines and 15 vessels with the new product.
"It's going well. We're still the only supplier of this product. I know that Maersk is working on a similar type of fuel, but it's still a unique product," said Sluis.
Several companies are using it more on a regular basis, rather than as a trial, and the short-term feedback is good, she added.
Plenty of capacity
The fuel can be used in blends of between 30% and 100% with regular bunkers.
"The whole question of availability is one that we get very often. For now the answer is yes, there is enough - there is way more than the demand is now," Sluis said.
"Of course it's a chicken and egg story; the more demand, the more we will be able to invest in innovation, and then economies of scale will kick in."
Daniel Gent, energy and sustainability manager at UECC, said the company wants to enable customers to make proactive and conscious choices about shipping.
"BMW Group’s participation to continue our trial on our ro-ro vessel Autosky should therefore signal to the automotive sector that the means to decarbonise are readily available and that our vessels are equipped to meet this most important of challenges for the shipping industry," he said.
