Baltic energy company, Gasum has signed a letter of intent (LOI) with Finnish ferry operator, Viking Line on joining the energy company’s FuelEU Maritime pooling service.
Viking Line uses LNG-powered vessels to transport passengers and freight between Finland and Sweden.
The company said that it planned to offer over-compliance to the pool by running its daily route on Gasum’s renewable waste and manure-based bio-LNG, which offers more than a 90% emissions reduction when compared to conventional fossil fuels, such as MGO.
“We are thrilled at the opportunity to have a pioneering Nordic shipping company like Viking Line join our FuelEU maritime pooling service. With Viking Line on board, Gasum will have an unmatched source of over-compliance in the pool.
“This will enable us to offer our customers the easiest and most cost-effective way to reach compliance for vessels running on conventional fuels,” explained Jacob Granqvist, Gasum’s Vice President, Maritime.
“For us at Viking Line, taking every possible step towards more sustainable maritime transport is a top priority. Increased use of bio-LNG as a maritime fuel is one big step. That is why joining Gasum’s FuelEU Maritime pooling service is such an attractive option for us.
“If we can enable reducing emissions in the maritime sector and further our work towards Green Maritime Corridors with such an easy move, there is really no question about it,” added Jan Hanses, Viking Line CEO.
Viking Line joined Finnish shipping company, Wasaline as Gasum’s FuelEU Maritime pooling service’s over-compliance generator.
Gasum will manage the pools, supply the ultra-low emission bio-LNG and offer over-compliance to shipping companies with conventionally fuelled vessels.
The energy supplier’s pooling service is the easiest and most reliable way for shipping companies to save on compliance costs and promote the production of low-emission fuels at the same time, the company claimed.
FuelEU Maritime is a European Union (EU) regulation established to increase the use of renewable and low-carbon fuels and limit greenhouse gas emissions in the bloc.
Starting next year, vessel owners will have to reduce the carbon intensity of purchased fuel initially by 2% with the required reduction growing incrementally to as much as 80% by 2050.
To make compliance easier for shipping companies, FuelEU Maritime allows the voluntary pooling of emission reductions between vessels, meaning that vessels that are over-compliant can compensate emissions on behalf of under-compliant vessels, ie, provide compliance as a service.
Liquefied biomethane, bio-LNG, is a fully renewable and environmentally friendly fuel with life-cycle greenhouse gas emissions that are, on average, 90% lower when compared with fossil fuel use. Biogas can be used in all the same applications as natural gas.
Gasum’s goal is to offer an annual 7 TWh of renewable gas, including biomethane and e-methane, to its customers by 2027.
