LNG Masterplan Rhine-Main-Danube June 2015 LNG is the most promising alterna tive shipping fuel Facilitating a wide-scale use of LNG as fuel and cargo for inland shipping Masterplan for LNG delivers pilot vessels, on-shore infrastructure and comprehensive strategy for Rhine/Meuse-Main-Danube. Liquefied Natural Gas (LNG) is emerging as attractive option for European inland shipping and has the potential to increase environmental performance and efficiency of the sector. With inputs from the LNG Masterplan consortium the regulatory framework further developed, accommodating new rules for LNG as fuel and as cargo: As of January 2015, the amended ADN enables the transport of large quantities of LNG on inland waterways and therefore allows safe investments into LNG tank vessels. With regard to LNG as a fuel, CCNR elaborated an amendment to the Rhine Vessel Inspection Regulation which shall enter into It will take consi derable efforts to overcome all barriers for LNG to become the dominant fuel for inland shipping. But, the LNG Masterplan represents an im portant step into this direction. Nico van Dooren, Co-ordinator Rhine Scenario, Port of Rotterdam LNG is the fuel of the future for inland shipping and can offer high environ mental and eco nomic benefits on mid-term perspective. Manfred Seitz, Project Co-ordinator, Pro Danube Management GmbH force mid-2016. The update of the respective European Directives is expected to follow soon. The LNG Masterplan not only provides important inputs to a concise regulatory framework but delivers a high number of innovative concepts and concrete investments in LNG fuelled vessels and on-shore infrastructure. In addition, together with key stakeholders the project will elaborate a comprehensive strategy for the deployment of LNG as fuel and cargo on Europe s main waterway axis. This strategy encompasses an Action Plan with concrete measures in identified areas, such as market & financing, vessels & equipment, jobs & skills, infrastructure and governance aiming to provide guidance for future policy actions on national and EU level. The LNG Masterplan project plays an important role in reaching a wide spread use of LNG in inland shipping on a mid to long-term perspective. Transport uses more than 30 % of EU primary energy, produces about 24 % of EU CO2 (2012) emissions and is 94 % supplied from oil. The European Commission therefore introduced the Clean Power for Transport Strategy with the Directive on the deployment of alternative fuels infrastructure as main instrument. This Directive demands that an appropriate number of refuelling points for LNG is put in place at maritime and inland ports along the TEN-T Core Network at least by the end of 2025 and 2030, respectively. Refuelling points for LNG include, i. a., LNG terminals, tanks, mobile containers, bunker vessels and barges. The Connecting Europe Facility 2014 2020 continues to fund LNG projects for Trans-European Network projects. Whereas the Emission Control Area regulation constitutes a strong push for the European maritime sector to switch rapidly to LNG as fuel, a more comprehensive approach will be needed for inland shipping. The European Commission is aware of the strategic importance of inland shipping for its overall LNG energy and fuel strategy as this sector can ensure cost-effective LNG supply chains for many European users. The LNG Masterplan project will provide important recommendations and actively contributes with innovative concepts and deployments for vessels and infrastructure ensuring the environmental competitiveness of the sector together with improved efficiency.
Technical concepts Regulatory framework Pilot deployment Ambitious project delivers substantial results In its third year the LNG Masterplan delivers tangible outcome and many lessons learned. The LNG Masterplan was initiated to facilitate the deployment of LNG for inland shipping in line with European transport policy priorities. It addresses barriers typical for pre-mature markets such incomplete regulatory framework, technical innovation needs, lack of standardisation, high prices for equipment and low awareness among decision makers. Significant changes in market conditions, especially the drop in prices of traditional fuels, and the limited time-frame for EU-funding required modifications of the initial work program. Some promising and highly innovative pilot activities had to be postponed to follow-up projects to prepare sounder business cases or to improve technical solutions. Despite these challenges, the LNG Masterplan writes its success stories by delivering many innovative technical designs, deploying pilot infrastructure and putting forward important guidelines and best practices for safe LNG operations. Important to note, the project also generated strong interest among stakeholders: industries searching for alternative energy supply, logistic providers looking for greener and efficient transport solutions, municipalities exploring low carbon public transport options. And the LNG Masterplan project made sure that LNG will be considered as a serious option for many future applications. First Emergency and Incident Response Guidelines for LNG in inland navigation big step forward in safety In April 2015, the Rhine Port Group (Rotterdam, Antwerp, Mannheim, Strasbourg and Switzerland) published an Emergency and Incident Response Study as an important project deliverable. The study has been conducted by the Dutch company Falck Risc and the Unified Fire Department. It provides comprehensive information for emergency responders, such as fire brigades, police, rescue services and port/waterway authorities how to handle incidents involving LNG. The defined scenarios look into LNG vapour cloud, LNG pool, rapid phase transition and LNG on fire LNG Masterplan delivers success stories of vessel and terminal deployments The LNG Masterplan is a unique innovation project setting the course for inland navigation to sail on environmentally friendly LNG and to transport LNG cost-effectively to the industrial hinterland of Europe. In June 2014, DCL Barge (Danser Group) fitted its vessel Eiger as the first inland waterway container vessel in the world to LNG propulsion. Danser commissioned the turn-key project to the companies Cryonorm Systems, Koedood and Wärtsilä, which completed works within the planned three months. Equipped with a Wärtsilä dual-fuel drive system, the vessel gets 95 to 99 % of its power and are presented in credible incident response cases, such as vessel collisions or containers hitting a vessel while bunkering. The necessary actions for crew as 1st responders and emergency & incident response services as 2nd responders are described in detail. The study increases awareness and know how in handling LNG incidents most effectively and ensures the highest safety standards in LNG operations on inland waterways and in ports. Author: Jelle Paulusma, Coordinator Rhine Ports, Port of Rotterdam from LNG. The 60 m 3 vacuum multilayer LNG tank is installed below deck in front of the engine room, in a tank compartment equalling six 20ft containers. In September 2014, Chemgas Barging finished its conventional gas tanker Sirocco. The vessel is equipped with a dual-fuel engine from Wärtsilä and holds a vacuum insulated LNG fuel tank with a capacity of 88 m 3. It is the first ne- Lucia Karpatyova, Project Manager, Pro Danube Management GmbH LNG bunkering of Eiger (LNG fuelled container vessel of Danser Group)
1 2 3 4 5 6 7 8 1 LNG fuelled inland chemical tanker Sirocco of Chemgas Barging 2 Outfitting of Sirocco of Chemgas Barging 3 100% LNG fuelled inland chemical tanker Ecoliner of Damen 4 Visualisation of the LNG terminal in the port of Ruse, Bulgaria of Bulmarket 5 Retrofitting of the container vessel Eiger of DCL Barge to run on LNG 6 Retrofitted dual-fuel container vessel Eiger of DCL Barge 7 Visualisation of the LNG fuelling station in the port of Ruse, Bulgaria of Bulmarket 8 Combined LNG/MGO tanker of Argos Bunkering wly built inland tanker with the fuel tank located below deck inside the cargo area, a construction that ensures the highest safety requirements. The third vessel built in the project, the LNG propelled chemical tanker Ecoliner of DAMEN Hardinxveldt, will be put in operation in the second half of 2015. It is the first purely LNG powered inland waterway tanker equipped with dedicated gas engines using the newly developed Air-Lubricated Hull. The EcoLiner is designed to deliver highest fuel economy by reducing fuel costs up to 25 %, while at the same time cutting emissions. The complete LNG installation, including two fuel tanks with bunker capacity of approximately 45 m 3 each is located aft of the accommodation, thus ensuring that the configuration can be tailored to customer-specific requirements to transport any commodity. The LNG/MGO inland bunker vessel of Argos Bunkering is another highly innovative vessel that is expected to be delivered within the framework of the project. Besides investments into pilot vessels, the project deploys a small scale LNG on-shore facility. The Bulgarian company Bulmarket is building the first LNG terminal in the Danube region, in Ruse, with a capacity of 1.000 m 3. The terminal will be equipped with a truck fuelling station and a pontoon for future fuelling of inland vessels. The start of operations is expected in October 2015. Due to the difficult LNG sourcing in the Danube region, Bulmarket will ship in some initial volumes in LNG ISO containers via the Bulgarian seaport Burgas. The LNG containers will be then transported to Ruse with LNG fuelled trucks, thus creating a unique multi-modal LNG supply chain. In addition to this, Port of Antwerp elaborated a detailed concept for a LNG bunker station and will launch a tender for its construction and operation in the third quarter of this year. Other investigated locations for LNG on-shore infrastructure include the Ports of Mannheim and Switzerland on the Rhine as well as Linz (Austria) and Komarno (Slovakia) on the Danube. Special attention is paid to the sea-river port in Galati and the LNG break-bulk terminal foreseen in the Port of Constanta (both Romania). Authors: Ruxandra Florescu and Lucia Karpatyova, Pro Danube Management GmbH
Rhine/Meuse-Main-Danube: LNG ARTERY FOR EUROPE Inland navigation functions as pioneer consumer and facilitator Pro Danube Management GmbH Lessons learned from the project lead into LNG strategy From all alternative fuels, LNG is the most promising for inland shipping. It provides a short term option to reduce air emissions bridging to a widely decarbonised inland shipping sector. With LNG as an important element in a more diversified European energy supply, new cargo potentials for inland shipping will arise. The LNG Masterplan clearly demonstrates that LNG neither is a self-run nor able to solve all evils in inland shipping. A comprehensive strategy is needed together with favourable framework conditions especially an attractive LNG price. Among many lessons learned are: LNG infrastructure investment in ports requires a multi-client strategy combining LNG demand of all transport modes and especially from industrial users to ensure a viable business case. Public support for LNG infrastructure will stay crucial over the next years. The next calls in the CEF Program should facilitate combined energy and transport projects offering funding opportunities along the entire LNG value chain. Technical viability of LNG for new-built vessels as well as for retro-fitting is proven. But, the extremely high costs of LNG equipment require innovation and economies of scale involving standardisation. A dedicated Horizon 2020 project for advancing gas engines, fuelling systems and modular logistics concepts as well as many LNG deployment projects are needed. These and all other lessons learned will be part of the LNG Strategy delivered by the project together with recommendations and guidelines. Author: Manfred Seitz, Pro Danube Management GmbH Imprint Published by: LNG Masterplan Consortium Responsible for content: Manfred Seitz Contributors: Manfred Seitz, Nico van Dooren, Ankie Jansen, Lucia Karpatyova, Ruxandra Florescu, Marjolein Boer, Jelle Paulusma, Simone Zwijnenberg Pictures: Port of Rotterdam, Chemgas Barging, DCL Barge, Bulmarket DM, Pro Danube, Port of Antwerp Design: Starmühler Agentur & Verlag GmbH, Vienna, www.starmuehler.at Project Coordinator Pro Danube Management GmbH Handelskai 265, A-1020, Vienna, Austria Contact person: Mr Manfred Seitz seitz@prodanube.eu info@lngmasterplan.eu www.lngmasterplan.eu Rhine Scenario Coordinator Port of Rotterdam Wilhelminakade 909, 3072 AP Rotterdam, Netherlands Contact person: Nico van Dooren nja.dooren@portofrotterdam.com lng-desk@portofrotterdam.com What is LNG? Liquefied natural gas (LNG) is produced by cooling down natural gas to minus 162 C. As a liquid, it takes up to about 1/600 the space that natural gas does in its gaseous form and is 3.5 times more compact than compressed natural gas (CNG). It is stored in cryogenic containers at or slightly above atmospheric pressure and can be converted back to its gaseous form by simply raising the temperature. LNG is lighter than air, odourless, colourless, non-toxic and non-corrosive. From an environmental point of view, LNG as fuel substantially reduces emissions of nitrogen oxide (NO x ) with up to 80 %, of carbon dioxide up to 10 20 %, of sulphur oxide (SO x ) up to 90 95 % and Particulate Matters (PM) to almost zero in comparison to the traditional fossil fuels, like diesel. The sole responsibility of this publication lies with the author. The European Union is not responsible for any use that may be made of the information contained therein.
About the project The LNG Masterplan for Rhine/Meuse-Main-Danube project (2013 2015) functions as a cooperation platform for authorities and industry stakeholders. It is coordinated by Pro Danube Management and Port of Rotterdam Authority and brings together 33 project partners from 12 EU Member States and one associated partner from Switzerland. The project is co-financed by the European Union from the Trans-European Network for Transport Programme, receiving a grant of more than 24 million. The activities are carried out in clearly defined areas. Framework and market analyses look into the current LNG implementation, regional markets situation, LNG sourcing scenarios and identification of pioneer customers. As part of the technologies and operational concepts, existing and emerging technical concepts for LNG engines, tanks and equipment are reviewed. Various missing operational concepts for LNG bunkering, (un)loading and other safety related topics are being elaborated. As part of the regulatory framework activities, the project contributes to modifications of necessary regulations to enable LNG on inland waterways. Moreover, new vessel and terminal concepts are elaborated, with some of them being implemented as pilot deployments. Last but not least, knowledge gained and lessons learned in the project result into a comprehensive strategy for the deployment of LNG as fuel and cargo. Beneficiaries (project partners) A3PS - Austrian Agency for Alternative Propulsion Systems (Austria) Erste Group Bank AG (Austria) EVN AG (Austria) FH OÖ Forschungs- & Entwicklungs GmbH (Austria) Pro Danube Management GmbH Gemeentelijk Havenbedrijf Antwerpen (Belgium) Bulmarket DM Ltd. (Bulgaria) DST Asociace NGV o.s. (Czech Republic) DST Entwicklungszentrum für Schiffstechnik und Transportsysteme e.v. (Germany) Germanischer Lloyd SE (Germany) Universität Duisburg-Essen (Germany) Port autonome de Strasbourg (France) Chemgas Barging S.ár.l. (Luxembourg) Argos Bunkering B.V. Chemgas Holding B.V. DCL Barge B.V. Havenbedrijf Rotterdam N.V. Stichting STC-Group Kooiman Marine B.V. LNG E-motion B.V. Compania Nationala Administratia Porturilor Dunarii Maritime S.A. Galati (Romania) CERONAV (Romania) Compania de Navigatie Fluviala Romana NAVROM S.A. Galati (Romania) Transport Trade Services S.A. (Romania) University of Craiova (Romania) Danube LNG, EEIG (Slovak Republic) Výskumný ústav dopravný a. s. (Slovak Republic) Staatliche Rhein-Neckar- Hafengesellschaft Mannheim mbh (Germany) LINZ AG für Energie, Telekommunikation, Verkehr und Kommunale Dienste (Austria) Ministero delle Infrastrutture e dei Trasporti (Italy) Schönherr Rechstanwälte GmbH (Austria) Damen Shipyards Bernhard Schulte (Cyprus) Ltd. Port of Switzerland (Non-EU-funded) together for a sustainable future www.lngmasterplan.eu
Project Deliverables This overview provides a summary of main project deliverables. Many of them will be made public on www.lngmasterplan.eu Framework & Market Analysis Status quo and trend analysis LNG Supply Chain Analysis and assessment of supply options for the Danube and Rhine corridor LNG Demand Analysis for the Danube and Rhine corridor Impact analysis of LNG as fuel and cargo for inland navigation: safety, ecology and socio-economic aspects Booklet Facts & Figures about LNG as fuel and cargo in inland navigation Technologies & Operational Concepts Technologies Report on engine types and configuration options available and/or under development Report on fuel quality requirements and optimised energy management Report on impact of engine technologies on future targets for emission reduction Recommendations and implementation guidelines for the use of LNG in road transport Report on current fuel tank systems and related equipment technologies including outlook on promising development as well as recommendations for further RTD and technical trials. Report on current on-shore & on-board based LNG storage tanks solutions and related equipment technologies with respect to costs, safety, operational efficiency and environmental impact, considering different types & sizes of tanks Operational concepts LNG bunkering and LNG loading and unloading: technical evidence, safety and risk assessment LNG Emergency and incident response guidelines Regulatory Framework & Masterplan Provisions for harmonised European regulations Guidelines and recommendations on bunkering regulations Guidelines and recommendations on port regulations Guidelines and recommendations on police regulations Training & Education Requirements Curricula and lessons material for bunkering personnel and staff Curricula and lessons material for terminal personnel and staff Curricula and lessons material for inland navigation crew members for use of LNG as a fuel Curricula and lessons material for inland navigation crew members for use of LNG as a cargo Curricula and lessons material for inspectors from competent authorities and for company personnel and staff Curricula and lessons material for students focusing on logistics Pilot simulations, e-learning and practical training tools Pilot classes for all staff categories Masterplan (Strategy & Recommendations) LNG Implementation Strategy & Recommendations: MASTERPLAN Vessel & Terminal Solutions Terminal solutions Study on terminal requirements and good practices Technical concept for the bunker station in the Port of Antwerp Technical concept for the LNG terminal in Ruse Case study for the bunker station in the Port of Mannheim Case study for the bunker station in the Port of Switzerland Preliminary design for the LNG terminal in the Port of Constanta Case study for LNG terminals on the Romanian Maritime Danube Case study for the LNG terminal in Komarno Vessel solutions Database and analysis on technical vessel concepts and solutions for new-built and retrofitted vessels Technical concept for the combined LNG-MGO tanker of Argos Bunkering Technical concept for the LNG carrier of LNG E-Motion Preparatory technical studies for the LNG inland tanker of Chemgas Holding Technical concept for the LNG fuelled pusher of Kooiman Marine Technical concept for the LNG fuelled type C chemical tanker Ecoliner of Damen Technical concept for the combined LNG coastal carrier / bunker vessel of Bernhard Schulte Technical concept for the Danube river-sea tanker to transport LNG of Danube LNG Technical concept for the river (un)loading floating pier for the planned LNG river port terminal of Danube LNG Technical concept for the river barge (type EUROPA II) to transport LNG of Danube LNG Technical concept for the retrofit of the container vessel Eiger Nordwand of Danser Group Technical concept and economic evaluation for power system retrofitting of actual fleet of pushers of SPaP a.s. (Danube LNG) Other vehicles & installations Technical concept for the combined LNG/CNG fuelling stations of Bulmarket Feasibility analysis regarding economic, technical and environmental impact of use of alternatives - both fuels (incl. LNG) and driving technologies - for cargo handling equipment in the Port of Antwerp Financing models for terminal infrastructure & vessel investments Analysis of regulatory, legal and contractual impacts and legal assistance Guidelines and recommendations for the structuring of LNG terminal projects Generic financial models for LNG-related infrastructure investments Guidelines and recommendations related to the financing of vessel investments TCO model for the transition towards LNG fuelled inland vessels Booklet Financing LNG-related Infrastructure Investments Booklet Legal and Regulatory Road Map Pilot deployments LNG terminals & on-shore infrastructure LNG terminal in Ruse in Bulgaria by Bulmarket L/CNG fuelling station in Ruse in Bulgaria LNG vessels & other vehicles Combined LNG-MGO tanker of Argos Bunkering Retrofitted container vessel Eiger Nordwand of Danser Group LNG fuelled chemical tanker of Chemgas Barging LNG fuelled type C chemical tanker Ecoliner of Damen LNG fuelled trucks by Bulmarket The sole responsibility of this publication lies with the author. The European Union is not responsible for any use that may be made of the information contained therein.