VEHICLE MANUFACTURERS SAVE EMISSIONS BY USING UECC’S BIO-GAS VESSELS

Sep 10, 2024 | Marine fuel & lubricant news

Three European vehicle manufacturers, including Toyota Motor Europe and Ford of Europe are set to achieve major reductions in emissions from their logistics chain by using vessels fuelled by bio-LNG for cargo transport across Europe after signing up for United European Car Carriers’ (UECC) Sail for Change sustainability program.

The combined yearly emissions reduction for UECC from the manufacturer trio is estimated at around 80,000t, or over one-third of its global Scope 1 emissions from ship operations of approximately 220,000t.

UECC CEO Glenn Edvardsen said: “We are thrilled that three of our major clients have decided to participate in Sail for Change, which demonstrates the power of industry collaboration in advancing decarbonisation. Those willing to invest in sustainable transport now will ultimately reap the rewards as new regulations give a commercial impetus for green operations.”

As well as boosting their environmental performance with lower Scope 3 emissions, all three vehicle manufacturers will be able to significantly reduce their costs exposure to the EU ETS, while boosting uptake of alternative low-carbon fuels in line with FuelEU Maritime set to take effect in 2025.

Under Sail for Change, UECC has facilitated bunkering of ISCC-EU certified bio-LNG – or liquefied biomethane – on its five LNG dual-fuel and multi-fuel PCTCs at the Port of Zeebrugge through an earlier agreement with Titan Clean Fuels. This enables the European shortsea ro-ro carrier to perform carbon-neutral cargo loading operations across its port network, with customers able to access verified data on emissions reductions with clean fuel use through a CO2 registry covering the entire supply chain.

UECC Energy and Sustainability Manager Daniel Gent said: “UECC has made proactive strides in advancing industry adoption of alternative fuels over the past decade, having also piloted the use of biofuels, and bunkering of bio-LNG marks another big step forward, both in reducing the carbon footprint of our clients and increasing demand for low-carbon fuels. Our aim with Sail for Change has been to provide a stand-alone product that enables our customers to facilitate a sustainable fuel switch in our fleet that has a direct and immediate impact on their emissions.”

Industry interest has exceeded UECC’s expectations, resulting in the Green Gas Month initiative being extended beyond July to subsequent months and years. The company is now looking to scale up the programme to allow more companies to participate in future years based on growing demand.

Gent continued: “Our customers have ambitious decarbonisation targets and see that using alternative fuels can cut a significant swath of emissions from maritime transport. There is now also a regulatory payback from using a decarbonisation service. Given it will be more economical to use sustainable fuels at some point in the future, customers are keen to secure supplies now.”

Jean Christophe Deville, VP Supply Chain, Toyota Motor Europe, said: “Enhancing the sustainability of our logistics is an important step towards our goal to become carbon neutral in Europe by 2040, and globally by 2050. UECC’s Sail for Change programme therefore represents a great opportunity to help us realise this ambition.”

As well as minimising emissions expenses related to the EU ETS, supporting the use of alternative fuels reduces potential costs passed on to the customer by shipping companies for penalties incurred or the need to buy compliance units under FuelEU Maritime. Due to its earlier investments in biofuels and LNG-fuelled newbuildings, UECC is already set to be in excess of FuelEU compliance until the late 2030s, towards its goal of net-zero operations by 2040.

Edvardsen concluded: “Sustainability has always been at the core of our business strategy and we will continue to lead the way in adoption of new alternative fuels in alignment with the green operating regime for the benefit of the environment, our clients and stakeholders.”

Image: A UECC PCTC bunkers with bio-gas (source: UECC)

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