KPI OceanConnect targets extra ports for marine biofuel gross sales.
Marine gasoline buying and selling home KPI OceanConnect is seeking to provide biofuel for bunkering at extra ports, in view of upper demand as FuelEU rules kick in subsequent yr, a senior government stated on the sidelines of SIBCON 2024 this week.
The corporate is increasing its marine biofuel commerce to 120 ports, up from about 70 ports beforehand, stated Jesper Sorensen, international head of other fuels and carbon markets.
The corporate has delivered greater than 300 biofuel stems to over 80 purchasers to this point, in keeping with Sorensen.
Jesper Sorensen, international head of other fuels and carbon markets, stated:
Essentially the most developed area is Europe the place biofuels can be found. In lots of areas, Asia is catching up.
including that the FuelEU regulation is a game-changer for demand.
FuelEU requirements, opens new tab begin from Jan. 1, 2025, requiring the greenhouse gasoline depth in transport fuels to be reduce by 2% subsequent yr and an 80% discount by 2050.
“Whereas there are a lot of methods of complying with FuelEU maritime, it’s the first regulation in place that places a requirement on what’s burned,” Sorensen stated.
Biofuels of B24 mix with Worldwide Sustainability & Carbon Certification (ISCC, opens new tab) can present greenhouse gasoline emission reductions of as much as 20% in comparison with standard gasoline oil, whereas a pure biofuel can doubtlessly cut back emissions as much as 85%-95%.
Regardless of the potential for lowering emissions, progress of demand is gradual due to the worth premium commanded by marine biofuels.
Additionally it is cheaper to purchase emissions allowances over the European emission buying and selling system (ETS) that began up this yr than it’s to purchase biofuels, Sorensen stated.
“The EU ETS doesn’t encourage the uptake of other fuels,” he stated.
“When you take a look at the worth hole between taking a biofuel, say a full biofuel (B100) as an example, which is able to exempt you from the ETS … that’s a lot costlier than shopping for the equal EUAs,” he stated.
EU Allowances, or EUAs, permit corporations working within the ETS zone a certain quantity of carbon dioxide emissions.
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KPI OceanConnect targets extra ports for marine biofuel gross sales. supply
