Challenges of Gas Engine Introduction

Transcription

1 Challenges of Gas Engine Introduction Dr. Christian Poensgen Engineering Director < 1 >

2 LNG for Propulsion Benefits & Challenges Benefits: No additional measures to reach NO x and SO x -limits Will meet future IMO black carbon regulations Reduced CO 2 emissions Reasonable fuel prize Safe and redundant operation Excessive heat recovery possible Helps for the EEDI Challenges: Installation of storage equipment Regulations not finally settled Infrastructure and refuelling

3 A look into the Gas Supply Market Primary Energy Demand in mtoe Renewables Nuclear Gas Coal Oil Natural gas offers: - abundant supply - relatively low prices - relatively low emissions Future gas demand growth surpasses that of all other fossil fuels. Total demand growth : Gas +46% Coal +24% Oil +14% USD per GJ Crude Oil Gas (Europe) Gas (Japan) Gas (USA) Coal Oil reference = 1 < 3 >

4 Active and Suggested ECA Areas Does this provide a Challenge? < 4 >

5 LNG for Propulsion LNG availability worldwide Worldwide LNG infrastructure has been developing at a fast pace (although currently being slowed down). Small scale LNG-facilities can be derived from large terminals. Asset in service Planned / Constr. in progress Proposed Liquefaction plants Regasification plants Small scale LNG Source: California Energy Commission Systems Assessment & Facilities Division Cartography Unit

6 Key Driver Market Requirements LNG-Carrier Merchant, Pax, Offshore, Navy Using gas as fuel is a necessary by-product of cargo handling Market participants: Limited number of market players with long-time experience handling gas MDT s Scope: Engines & engine related auxiliaries Relevant Legislation: International Gas-Carrier Code (IGC- Code) Using gas as cheap fuel with minimized effects on core ship operations Market Participants: Large number of stake holders with limited / no experience in handling gas MDT s Scope: Consulting / training of customers Complete system supply (from bunker station to funnel end) Relevant Legislation: IGF-Code Application-related codes like MODU < 6 >

7 Emission Advantages of Gas Engines Customer Benefit of Dual Fuel Engines Use of full range of fuels from HFO to natural GAS Mixed fuel operation mode Compliance to Tier II in Diesel mode Compliance to Tier III in Gas mode Secure power supply during switching from Gas to Diesel operation mode < 7 > <

8 LNG for Propulsion Methane Slip Facts about Methane Slip All low-pressure dual-fuel & gas engines have methane slip All engines working to the ME-GI principle have no methane slip H Methane slip is unburned CH 4 which is not participating the combustion in gas engines Methane is non-toxic Methane as GHG is times more harmful than CO 2 No limitations regarding Methane slip exist in marine applications Minimizing Methane slip is a major target to improve engine efficiency H C H H

9 LNG for Propulsion Methane Slip Total GHG Emissions Above low loads, DF-engines emit a significant lower amount of total GHG emissions compared to liquid fueled engine For liquid fuel engines, CO 2 and GHG emissions are approx. the same Most Critical Area Specific CO 2 [%] Specific GHG [%] DF (MZ 80) CR (HFO) CR (MDO) G (pure gas) Reference* Engine Load [%] *Reference: CR Load

10 51/60 DF Engine Tier II in Diesel, Fuelsharing and Tier III in Gas Mode Change over from Diesel to Gas mode Quick changeover change over to Diesel < 10

11 Gas fuelled ships Market Scenarios Identified main applications for gas fuelled ships: Expected percentage of total respective market segment: low end expectation max expectation Cruise 21% 63% Ferries 18% 54% Offshore E&P 7% 21% Offshore S&S 10% 30% General cargo 16% 48% 4-s container 15% 45% Tug 4% 4% 2-s vessels harbor aux. GenSets Market forecast 4-s propulsion and auxiliary Total marine medium speed market forecast DF-market share ~ 30% (max expectation) DF-market share ~ 9% (min expectation) Order forecast A minimum share of 9.5 % gas fuelled ships (after ramp up) was calculated based on hard facts. The assumptions for the calculation were made on a conservative base, other effects than the currently known ECAs (North & Baltic Sea and the U.S. and Canada s coasts ) are not considered. < 11 >

12 Legislation IMO Implementation Schedule Sulphur Content [%] 5 4,5 4 3,5 3 2,5 2 1,5 1 0,5 0 NO x [g/kwh] Tier I Tier II Tier III Will the introduction of lower SOx emissions impact switch to gas? in ECAs Global For new and existing vessels For new vessels only in ECAs Most 2014will retrofit 2015 scrubbing technology we are here First owners are switching to gas for new buildings where gas supply is sustainable available or gas equipment gets subsidised In can be expected we will see in some areas of the world well established gas supply networks, hence most of coastal shipping will move to gas for new building

13 Is the DF Engine an intermediate product? Today DF Not a matter of if, but by when Future Spark Ingition??? increase Rule of the thumb: A DF engine is designed like Otto engine capable to run with Diesel Once gas supply is sustainable available, DF engines can be retrofitted to spark ignited engines with very limited work There will be an efficiency and maintenance cost benefit which will pay for the retrofit quickly By this, owners can ring fence their investment < 13 >

14 Economics Gas Oil (Example Container Feeder ) 500% System First costs Acquisition of IMO Cost Tier III Relative costs [%] 450% 400% 350% 300% 250% 200% 150% 100% LNG System Main Scrubber SCR Dual Fuel Engine Equipment Application 2-stage TC Engine Delta cummulated Invest + operation Cost [ /kw] 50% 0% IMO Tier II 1-stage IMO Tier III 2- stage SCR - MGO IMO Tier III 2- stage SCR + Scrubber LNG fuelled vessel Payback analysis Payback with an analysis 100% ECA Years of operation IMO Tier III 2-stage SCR - MGO IMO Tier III 2-stage SCR + Scrubber LNG fuelled vessel (LNG HFO level) LNG fuelled vessel (LNG price between HFO & MGO) LNG fuelled vessel (LNG MGO level) Scrubbing technology promises quick payback compared to distillate scenario (< 1 year) Long-term view shows cost advantage after ~ 3 years for the LNG-fuelled vessel (LNG HFO-level) LNG pricing scenarios between or close to MGO level cannot compete against scrubbing scenario < 14 >

15 Economics Gas Oil (Example RoRo, Pax, Ferry ) 300% System First costs Acquisition of IMO Tier Cost III technologies 250% 200% 150% 100% LNG System's Main Scrubber's SCR`s Dual Fuel Engine Equipment Application 2-stage TC Delta cummulated Invest + operation Cost [ /kw] 50% 0% IMO Tier II 1-stage IMO Tier III 2- stage SCR - MGO IMO Tier III 2- stage SCR + Scrubber LNG fuelled vessel Payback analysis Payback with an analysis 100% ECA Engines (without propulsion pack) Years of operation IMO Tier III 2-stage SCR - MGO IMO Tier III 2-stage SCR + Scrubber LNG fuelled vessel (LNG HFO level) LNG fuelled vessel (LNG price between HFO & MGO) LNG fuelled vessel (LNG MGO level) LNG fuelled vessel with gas price HFO level most economic & shows also cost advantages compared to scrubbing scenario LNG pricing scenarios between or close to MGO level cannot compete against scrubbing scenario < 15 >

16 Alternative: Duel Fuel Modifications CV Neptun 1200 DF < 16

17 Gas Solutions < 17 >

18 LNG as a Fuel for Large Container Ships Potential Issues with LNG: LNG Tank Location LNG Tank Size & Type Class & Safety Handling of BOG LNG Loading Facilities Logistics of LNG Gas Treatment System NG Damper LNG Drum HP Pump M PC LNG Vaporizer PC ME-GI Engine 8 Cool down & mini flow line 18

19 Challenges of Gas Engine Summary Benefits: No additional measures to reach NO x and SO x -limits Will meet future IMO black carbon regulations Reduced CO 2 emissions Reasonable fuel prize Safe and redundant operation Excessive heat recovery possible Helps for the EEDI Challenges: Installation of storage equipment Regulations not finally settled Infrastructure and refuelling more work required < 19 >

20 Discussion <20>