Technology funding needed
Public-private mechanisms needed to promote costly technologies
Technologies and fuels exist to close the emissions gap; but solutions are not ready for large-scale implementation, as indicated in the Alternative Fuel Barrier Dashboard above. The ranking of LNG illustrates that the LNG ecosystem has matured as LNG is now available globally and in large volumes. However, bunkering infrastructure is limited, and must expand before widespread uptake of LNG as ship fuel can take place. Rules for safe design and use are in place. The onboard engine and storage technology are still more expensive than the alternatives currently in use onboard, and the capital costs should be reduced to improve competitiveness. The price of LNG fuel can be competitive but varies, and a global market similar to fuel oils and distillates is still not in place.
Moving the markers in Figure 3 rapidly to the right will be of paramount importance for the shipping industry to achieve its ambitions on GHG emissions. Mechanisms stimulating the accelerated uptake of costly technologies should be developed and promoted by public and private actors in partnership. Possible sources of inspiration include the Norwegian NOx Fund and the Green Shipping Programme.1 Supportive procurement policies, and long-term contracts promoting lowand/ or zero-emission shipping provided by charterers/cargo owners and finance, could also help by stimulating uptake of costly technologies.