NORWAY’s Höegh Autoliners and Australia’s Fortescue have issued a call for global shipping regulators to fast-track the adoption of green ammonia as the only marine fuel that can hasten the decarbonization of the industry.
The two companies came together at a decarbonisation of shipping event at COP29 in Baku, Azerbaijan, to jointly advocate for an end to reliance on dirty bunker fuel, committing to explore the technical and commercial requirements for a green ammonia supply chain for bunkering, from Fortescue’s proposed global portfolio of projects to Höegh Autoliners’ global bunkering.
The companies said they have long shared a strong commitment to reducing emissions in the shipping sector as members of the First Movers Coalition for shipping. Both companies will also be signatories to a Call to Action for an Equitable Energy Transition in Shipping, to be launched at COP29.
In March 2024, Fortescue made history in sustainable shipping when its Green Pioneer became the world’s first vessel to use ammonia as part of a marine fuel at the Port of Singapore (DCN 18 March).
Höegh Autoliners’ transformational green fleet renewal program, involving 12 new multi-fuel-ready vessels of the 9100 CEU Aurora Class, have DNV’s “ammonia ready” notation. The last four vessels in the series are planned to be delivered with dual fuel ammonia propulsion, although the company recently noted that the ammonia engines are “somewhat delayed” meaning vessels 9, 10 and 11 will now be delivered in 2027 and vessel number 12 in the first half of 2028.
The companies said last night the alignment between Fortescue and Höegh Autoliners comes at a critical time for the future of international shipping, with the IMO due to soon make key decisions on how it will reduce emissions in line with the level of ambition set out in its 2023 IMO Strategy on Reduction of GHG Emissions from Ships.
“Shipping is a global industry with a global regulator and today the industry is at a crossroads,” said Fortescue Energy CEO Mark Hutchinson. “The ongoing IMO greenhouse gas reduction debate must result in a clear, robust regulatory framework. There are so many transition fuels that are being peddled out there, but they are just a distraction. Only green ammonia can help us reduce carbon emissions in shipping and in turn can help us address the worst impacts of climate change.
“We need early incentives for hydrogen derived fuels – specifically ammonia for 2030 – otherwise, we are kicking the can down the road and leaving too large a scale up for the 2040s.”
Making the impossible possible
CEO of Höegh Autoliners, Andreas Enger, said: “Deep-sea transportation is the single most pollutive part of shipping, and accounts for 90% of all maritime emissions. Decarbonizing the deep-sea segment is imperative to achieve the IMO’s net zero by 2050 goal for a 1.5C-aligned pathway.
“Partnering with Fortescue is another milestone on our path to net zero, and a reiteration to our commitment to sailing for sustainability. With this partnership, we are removing carbon from one of the hardest-to-abate sectors, sending a strong demand signal for green ammonia down the value chain.”