POSEIDON MED Closing Ceremony. Brussels, Belgium 17 th February 2016 IOANNIS BAKAS POSEIDON MED PROJECT MANAGER

Size: px
Start display at page:

Download "POSEIDON MED Closing Ceremony. Brussels, Belgium 17 th February 2016 IOANNIS BAKAS POSEIDON MED PROJECT MANAGER"

Transcription

1 POSEIDON MED Closing Ceremony Brussels, Belgium 17 th February 2016 IOANNIS BAKAS POSEIDON MED PROJECT MANAGER

2 POSEIDON MED DESCRIPTION POSEIDON-MED is a cross-european border project aimed at designing a LNG transportation, distribution, supply (including bunkering value chain) network and infrastructure for the adoption of LNG as marine fuel for shipping operations in the Eastern Mediterranean and Adriatic region, and is defining the framework for a well-functioning and sustainable relative market (vessels) for its demand. Policy Drivers: IMO-SECA Clean fuel directive - TEN-T guidelines with respect to emission reduction Framework of project: falls under the TEN-T programme, co-financed under the Multi-Annual Work Programme 2013 (Motorway of the Sea - MoS) Duration: 2 years. Ended on December 2015 Five member states: Greece, Cyprus, Italy, Slovenia, Croatia 18 Partners: Classification company, Port Authorities, Engineering and Consulting companies, Shipping companies, Ship-owners Association, gas suppliers, technical organisations.

3 POSEIDON MED 8 Activities No. ACTIVITIES 1 LNG Network. Supply and Demand 2 Legislations and Regulatory Framework in Offshore & Onshore Installations 3 LNG Infrastructure & Installations 4 Integrated Maritime Supply Chains for LNG 5 Risk Assessment 6 Sustainable Financing 7 Local Assessments of Northern Adriatic Ports 8 Management & Dissemination Activities

4 Activity 1: LNG Supply. Sources. Pricing OBJECTIVE: To present a full study on how to create a strong LNG Supply network connecting the Adriatic Sea to the Ionian Sea and the Eastern Mediterranean including Cyprus 1.1. LNG supply, sources, pricing LNG sources were reviewed for a complete and efficient service for LNG bunkering. Our aim was to diversify sources and routes in order to increase the security of supply Formulation of an LNG Supply and LNG Demand Model Factors impacting NG and LNG prices were examined 1.2 LNG demand Estimation of monthly and annual LNG demand at Ports of Piraeus, Limassol and satellite ports (Patras, Igoumenitsa, Rafina, Lavrio, Heraklion) 1.3. LNG Logistics What are the logistical requirements and options for synchromodal transportation and tools for efficient direct ship-to-ship refuelling

5 Activity 2: Legislation and Regulatory Framework for the adoption of LNG as fuel in Offshore and Onshore Installations OBJECTIVE: The aim of the activity is to analyze and evaluate the identified gaps with a view to forming a solid regulatory framework for the application of LNG as Marine Fuel in offshore and onshore installations. SUB-ACTIVITY 2.1: Legislative and Regulatory Framework for the Certification of LNG Fuelled Ships Current rules for LNG ships and bunkering procedures standards and guidelines were reviewed (Class Rules, IGF, IGC, EMSA study on standards & rules for bunkering of gas-fuelled ships, national legislation), bottlenecks and gaps were examined. SUB-ACTIVITY 2.2: Legislative and Regulatory Framework for Port Installations Gaps and critical areas in the legislation were identified and analysed with a view to forming a solid regulatory framework covering the safe storage and distribution of LNG, as well as bunkering procedures addressing the supply side in the logistics chain. A relevant proposal for Greece has been drafted. Standards and Guidelines which were studied: ISO LNG Bunkering Standards, IMO (IGF) code, IACS, EU previous studies on LNG bunkering standards, national port legislation.

6 Activity 3: LNG Infrastructure and Installations ACTIVITY 3 focused on Port and Vessel installations SUB-ACTIVITY 3.1 focused on the development of an LNG infrastructure station in the ports of Piraeus (Greece) and Limassol (Cyprus) covering the LNG supply chain from large LNG import terminals and/or LNG plants liquefying natural gas to LNG, to use on board ships. An LNG bunkering infrastructure consists of fixed terminals, bunker ships and tank trucks. We recommend the following suitable bunkering solutions: Ship-to-Ship bunkering Truck-to-Ship bunkering

7 Activity 3: LNG Infrastructure and Installations SUB-ACTIVITY 3.2 studied the necessary technical steps for the retrofit of the vessels participating in this project. Six candidate ships for LNG retrofit were selected and studied. The selection process was based on age, engine, size, data. All vessels are trading within the Mediterranean area. The role of the Bunkering Tanker Vessels is very important as they are the link between the LNG processing and storage facility and the end-users (LNG fuelled ships). LNG bunker vessels and feeders of various capacities, to feed different ports and for port bunkering, were evaluated.

8 Activity 3: LNG Infrastructure and Installations Bunkering Facilities & Supply Chain A 1000 cm bunker vessel & 4 LNG tank trucks to undertake the LNG bunkering process As the demand for LNG will grow in 2023, it will be necessary to use additionally a cm bunker vessel. To handle the bunker volumes of the largest vessels, an LNG bunkering vessel of cm will have to enter in operation by In 2038, a 500 cm bunker vessel will be introduced and in 2044 another one.

9 Activity 4: Integrated maritime supply chain for LNG OBJECTIVE: To define a set of scenarios for the implementation of transport chain in the Port of La Spezia: maritime side, port operation side, land side. SUB-ACTIVITY 4.1: A set of scenarios for the implementation of a strategic road map for LNG supply chain was studied in the port of la Spezia was defined SUB-ACTIVITY 4.2: An analysis was carried out on how LNG could be used on a full LNG based logistic chain including different means of transportation and new organisation of LNG based freight flows to the inland terminal of Melzo.

10 Activity 5: Risk Assessment OBJECTIVE: To complete a risk assessment, as well as address hazards and operability issues related to LNG as marine fuel. 1) Risk Assessment on Port and Mainland Installations - HAZID Analysis for the Ports of Piraeus and Limassol - Exclusion Zone Assessment 2) Risk Assessment on vessels retrofit and installations 6 candidate vessels - Vessels Conceptual Analysis, ARBD Report on each vessel - 2 sets of design screening exercise through workshops based on the concept of the ARBD (Assessment of Risk Based Design)

11 Activity 6: Sustainable Financing OBJECTIVE: Formulate sustainable financing practices for retrofit of vessels that use LNG as fuel 1) A what-if analysis and risk assessment on LNG Bunkering was studied 2) Financing instruments for vessels retrofitting were developed Assessment carried out to evaluate the viability of the project Formulation of modern financial instruments based on industry abilities and needs Implementation of road map Critical parameters affecting the decision to shift to LNG are: LNG vs HFO & LNG vs LSF price differences, LNG Bunkering Logistics cost in the refuelling terminal, technical considerations, utilisation factor (how many hours spent at sea per year), remaining lifetime, time spent in Emission Control Areas, access to co-funding.

12 Activity 7: Local Assessments of Northern Adriatic Ports 4 NAPA: Venice and Trieste (Italy), Koper (Slovenia), Rijeka (Croatia) We examined the potential for LNG as marine fuel in the Northern Adriatic Ports. A strategy for LNG supply chain development within each port (from LNG procurement to storage, from distribution to delivery to final LNG user) was evaluated. We analysed the LNG market potential and main driving forces influencing demand, the overall availability of LNG and infrastructure facilities. We studied the potential for synergies with other ports of the region and addressed factors such as the means of transportation, storage, and distribution of LNG.

13 Activity 8: Management and Dissemination Activities A strong relationship with Authorities related to the project: Communication with Cypriot, Greek, Italian, Slovenian and Croatian Ministry representatives Regular interval meetings between the Technical Management Team and the Consortium to discuss the progress of the project, solve issues that arise, approve deliverables, review technical and financial execution of the project. Technical Achievement Award at the Lloyd s List Greek Shipping Awards 2014

14 Activity 8: Management and Dissemination Activities POSEIDON MED EVENTS: Interviews on TV and Web Channels Interviews and references in the press and online portals Participation in Exhibitions and Conferences in Cyprus, Greece, Italy, Sweden, Spain, Belgium, Latvia etc. Workshops in the ports of Greece, Italy, Cyprus, Slovenia, and Croatia Training courses and Info Days at Universities Synergies with other programmes (OnTheMosWay)

15 ACHIEVEMENTS - CONCLUSIONS POSEIDON MED achieved to investigate in depth the application of small-scale LNG in Eastern Mediterranean and to conclude on positive results regarding sources, supply, pricing, vessels installations and application of risk assessment. LNG as marine fuel in the Eastern Mediterranean area is feasible from technological and financial points of view however, much will depend on the following parameters: Application of a robust methodology and of proven LNG marine systems technology Building the right, safe and efficient operation Supply and demand balance Important supply resources Societal awareness & support, Stakeholders engagement Collaboration between ship-owners, designers and class societies

16 Thank you! Ioannis Bakas, Project Manager M: E: Follow us on Connect with us on Linked In: Visit our website: