Observatory on Directive 94/2014/EU Implementation
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1 Observatory on Directive 94/2014/EU Implementation In relation to the LNG market in the Maritime Transport Sara Blanco Monge,
2 Background 1
3 Background Directive 2014/94/EU. Development of the Policy Framework in relation to LNG as maritime fuel 2017 IMO: Sulphur content limit of 0,1% for maritime fuels used in SECA areas IMO: Enter into force Tier III for NO X emissions in NECA areas for newbuild ships IMO: Sulphur content limit of 0,5% for maritime fuels used worldwide Directive 2014/94/EU: Deployment of LNG refuelling points througout the TEN-T Core Network Ports Directive 94/2014 Royal Decree 639/2016 Report on NPF of clean fuels for transport Report on NPF of clean fuels for transport NPF of clean fuels for transport 2016 Report on NPF of clean fuels for transport 2
4 Policy Framework in relation to LNG as maritime fuel 3
5 Policy Framework General scope of Policy Framework on the Deployment of Alternative Fuels in Transport ANALYSIS OF CURRENT STATE LNG AND CNG ROAD TRANSPORT ELECTRICITY ANALYSIS OF FUTURE MARKET DEVELOPMENT HYDROGEN (OPTIONAL) NATIONAL POLICY FRAMEWORK Driven and coordinated by DETERMINATION OF QUANTITATIVE TARGETS AND OBJECTIVES MEASURES IMPLEMENTATION TO ENSURE REACHING OBJECTIVES MARITIME TRANSPORT AIR TRANSPORT LNG SHORE-SIDE ELECTRICITY (AFTER STUDY) ELECTRICITY SUPPLY FOR STATIONARY AIRCRAFTS (AFTER STUDY) INTERMINISTERIAL GROUP FOR THE COORDINATION OF THE NATIONAL POLICY FRAMEWORK ON THE DEPLOYMENT OF ALTERNATIVE FUELS IN TRANSPORT Final version CDGAE Council of Minister Have to Submit to the European Commission Reporting and review 4
6 PLANNED EXISTING Policy Framework Existing and planned refuelling points Source: Naftran Source: Grupo HAM Source: Danish Maritime Authority Source: Danish Maritime Authority TTS: Truck-to-Ship CTS: Container-to-Ship STS: Ship-to-Ship PTS: Pipeline-to-Ship Possibility of supply in all ports of TEN-T Network Depending on the supply volume and flow rates (250 tanker trucks fleet) Possibility of supply under demand (27 criogenic containers) None None Barcelona Port (TEN-T Core Network) Construction of a Skid for simultaneous supply TTS None Bilbao, Ferrol, Barcelona and Valencia Ports (TEN-T Core Network) 4 barges as a result of Pilot projects Bilbao, Ferrol, Barcelona and Cartagena Ports (TEN-T core network) 4 refuelling points as a result of Pilot projects 5
7 Demanda de GNL en millones de m3 LNG DEMAND (millions of m3) LNG DEMAND (millions of m3) LNG DEMAND (millions of m3) Policy Framework Expected Market Development and Objectives 14 CORE LNG (DNV-optimistic) CORE LNG (DNV-pesimistic) CORE LNG (DNV-base) FVP (optimistic) (pesimistic) FVP (base) FVP TTS STS under construction STS under study PTS under cosntruction PTS under study TEN-T Core Network TEN-T Comprehensive Network Other Ports NGV Development (optimistic) NGV Development (base) NGV Development (pesimistic) UNCERTAINTY Mediterranean Corridor Atlantic Corridor LNG HUB (high) Finisterre Atlantic Corridor PELICAN GAS Canary Islands 14 LNG HUB (base) Finisterre Atlantic Corridor
8 Policy Framework Support measures for the development of LNG as fuel in maritime transport Strategic Measures CORE LNGas Hive Project: Identification of barriers, refuelling points deployment plan, training, dissemination, social acceptance, observatory, etc. Tax Incentives Discount of 50% in port fees applicable to LNG propelled vessels or whose auxiliary engines consume LNG (methane carriers are excluded) Financial support Adaptation and development of LNG supply / demand infrastructure and equipment (CORE LNGas Hive, GAINN 4 Ship Innovation, Cleanport, GAINN4MOS) Promotion of Spanish entities participation in EU co-funded projects related to LNG Standards and regulation development Training program for LNG vessels crew Analysis of LNG consumption activity in Spanish gas sector regulation Recommendations for LNG supply services in ports and personnel qualification Industrialization and promotion of R+D+i State guarantees for the construction and retrofit of low emissions vessels Assistance to Innovation and Investigation in shipyards Credit facilities to ship-owners 7
9 Observatory on Directive 94/2014/EU Implementation 8
10 Observatory on Directive 94/2014/EU Implementation CORE LNGas Hive activity WP4.1. Supporting the start-up of an Observatory Preparation work for the start-up of the Observatory Open framework, valid for other purposes (measurements in the context of Directive 802/2016 regarding Sulphur content on marine fuels). INSTITUTIONAL PERSPECTIVE: Offering to the Ministry of Development a tool to elaborate triennial reports on the implementation of the NPF, systematically and consistent INDUSTRIAL PERSPECTIVE: Developing, in accordance to the scope of CORE LNGas Hive project, the activity content of WP4.1 Observatory on Directive implementation 9
11 Observatory on Directive 94/2014/EU Implementation Terms of reference. Requirements of Royal Decree 639/2016 in relation to the report Legislative, regulatory or administrative measures Supply & Demand evolution Support Measures Targets and Objectives Policy measures, direct and tax incentives, procedures, public procurement, legislation Deployment and manufacturing support Research, technological development and demonstration Demand forecast by 2020, 2025, 2030 REPORT ON THE IMPLEMENTATION OF NPF Changes in supply and demand Level of achievement of objectives Justification regarding the level of attainment of objectives 10
12 Observatory on Directive 94/2014/EU Implementation Framework. and international observatories in operation 11
13 Observatory on Directive 94/2014/EU Implementation Methodology and expected results Specific objectives Objectivity Simplicity Reliability Flexibility Identification of barriers: Pilots CORE LNGas Hive Data Requirements Data Sources OBSERVATORY Structure Contents Participation Data Requirements Supply & Demand Forecasts Achievement of targets and objectives REPORT ON THE IMPLEMENTATION OF THE NPF Users Tipology Measures Validation & Update 12
14 Isdefe C/ Beatriz de Bobadilla, Madrid Tel.: general@isdefe.es
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