Dionysios Zachariou
Decarbonization Analysis of Capesize Bulkers serving the Australia-China trade route*
by Dionysios Zachariou** MSc Marine Engineering
Abstract
The initial International Maritime Organization (IMO) Greenhouse gases (GHG) strategy has triggered numerous discussions about the level of ambition that shipping should adopt to comply with relevant requirements. This analysis attempts to optimize, in terms of cost, the decarbonization pathway with a conservative approach. For this purpose, the following assumptions are used to project the necessary actions. Shipping will continue to grow in line with gross domestic product (GDP) at an annual rate of 3-4%; hence a 50% reduction in GHG emissions compared to 2008 level could translate into 50-80% intensity reduction by 2050 because of the shipping development. Shipping cost for transported products is minimal, allowing for substantial increase on fuel cost. Shipping will be able to fund an expensive transition based on long-term generous carbon pricing. Five scenarios on shipping development are adopted. Shipping cost is concerned, and this analysis is undertaken considering the competitive nature of the shipping markets. Short, mid, and long-term measures to attain IMO GHG initial strategy targets up to 2050 are evaluated. A modular analysis starting with operational measures like speed and port call optimization is provided. Then, the available efficiency technologies are evaluated and ranked. At a third stage the use of greener fuels with a focus on Liquified Natural Gas (LNG) is considered. The analysis focuses on a specific route Australia to China for a particular type of vessel. The case study is a Capesize bulk Carrier design delivered by the mid-2020s operating up to 2050. The objective is to identify how operational (speed), design (size) and technology factors can lead to compliance while capital and operational expenditure can be kept at the minimum reasonable level.
*An issue that bothers the Shipping Industry by a newcomer
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Zachariou Dionysios – 201960257
