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DNV GL advises EU on LNG as a fuel

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LNG Industry,

DNV GL has released a report for the EU providing recommendations on how to address barriers to the wider adoption of LNG as a marine fuel in Europe. It is hoped that the recommendations from the report will provide a useful aid as member states have to submit national policy frameworks for the implementation of the EU alternative fuels Directive by November 2016.

DNV GL said that two key barriers to the take-up of LNG as a ship fuel are gaps in the legislative or regulatory framework, and the lack of harmonised standards.

DNV GL has undertaken an analysis and evaluation identifying the remaining gaps for completing an EU-wide framework for marine LNG distribution, bunkering and use. The report is part of the ‘Study on the completion of an EU framework on LNG-fuelled ships and its relevant fuel provision infrastructure’, commissioned by the European Commission, Directorate-General for Mobility and Transport (DG MOVE).

The report, which builds on a study commissioned by EMSA, provides an overview of the following:

  • Currently applicable standards, rules and regulations governing the maritime LNG supply chain.
  • An analysis of the gaps in the current regulatory framework in order to make LNG bunkering and LNG fuelled vessels feasible in the EU.
  • A set of recommendations addressing the gaps identified.
  • An impact assessment of the prioritised recommendations and actions.

Martin Layfield, Global Segment Leader of the Gas Value Chain, DNV GL – Oil & Gas, said: “DNV GL’s assessment of the existing rules, standards and guidelines shows that from a legal point of view, there are no remaining major showstoppers for the use of LNG as fuel - both for seagoing vessels and inland waterway vessels – nor for the deployment of LNG bunker facilities.

“In November members states will have to submit their national policy frameworks using the report’s recommendations. DNV GL has advised the EU to implement a low/moderate harmonisation scenario as the most workable policy option which will enable members states to transpose the Directive on alternative fuels with a ‘light touch’. This will reduce effort in implementation, delays and administrative burden while still enabling standardisation.”

Liv Hovem, Regional Manager, Continental Europe, North and East Africa for DNV GL – Oil & Gas, added: “The next three decades will see substantial increase in energy demand. At the same time, a big part of the world expects the energy to be greener, more reliable and more affordable. This is what we refer to as the energy ‘trilemma’. Natural gas has a key role to play in the future energy mix and Europe will continue to be a significant import hub for LNG.

“DNV GL is already driving harmonisation through a Recommended Practice for LNG bunkering and steering co-operation through the recently launched LNG intelligence portal. We are well placed to support member states as well as port authorities and the wider industry with guidance on adopting the guidance into their own legislation, in much the same way as we are doing with the industry on the EU Offshore Directive.”

Edited from press release by

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