International Seminar on the Possibility of LNG as an Alternative Fuel for Ships

Organizer	Japan Transport and Tourist Research Institute (JTTRI)
Date / Time	Thu, Feb 07,2019 14:00～17:10
Venue	Tower Hall (49F), ROPPONGI ACADEMYHILLS

Event Summary

As global environmental problems become more serious, natural gas, electricity, hydrogen, etc. are attracting attention as clean energy. In the maritime sector, since the International Maritime Organization (IMO) has strengthened SOx regulations from 2020 and adopted the "GHG reduction strategy" aiming for GHG zero emission in April of last year, liquefied natural gas (LNG) is expected as one of the leading alternatives to heavy oil.

Regarding the conversion of ship fuel to LNG, the introduction of LNG fueled ships and the development of bunkering bases are progressing in Europe as a result of advanced efforts. In Singapore, which is the world's largest supply source of heavy fuel oil, efforts are underway toward the conversion of ship fuel to LNG, aiming to be the hub of the world's LNG bunkering base.

On the other hand, looking at Japan, there are issues such as the price of LNG fueled ships being higher than that of conventional ships, and the procurement cost of LNG being internationally high, and the fuel cost being poor in economic efficiency against heavy oil. As a result, there is currently only one LNG fueled vessel in service, and the development of an LNG bunkering base has just begun, and compared with Europe, LNG conversion of ship fuel is not progressing. However, in addition to the tightening of environmental regulations at the IMO, it is expected that LNG price competitiveness will be strengthened by the full-scale supply of LNG derived from shale gas in the United States. So we need to accelerate our efforts.

In the light of this situation, at this seminar, experts gave lectures at this seminar on the situation and future development of LNG conversion of ship fuel overseas. We also reported on the results of a research study conducted by a research group established at this institute on LNG conversion of ship fuel. In the latter half of the panel discussion, there was a lively exchange of views on the importance of converting ship fuel into LNG, the issues regarding the economic efficiency of LNG fueled ships, and future measures.

On the day, Mr. Mizushima, Director-General, Maritime Bureau, Ministry of Land, Infrastructure, Transport and Tourism (MLIT), gave honorable guest remarks, and it was a successful seminar with approximately 270 participants including MLIT, Ministry of Economy, Trade and Industry, Ministry of the Environment, maritime personnel (marine transportation, shipbuilding, marine industries), port personnel, electricity and gas companies, oil & gas companies, financial institutions, and media.

Program of the seminar is as the following

Opening Remarks	Masafumi Shukuri Chairman, Japan Transport and Tourist Research Institute (JTTRI) Remarks (Japanese)
Honorable Guest Remarks（14:05～14:10）	Satoru Mizushima Director-General, Maritime Bureau, Ministry of Land, Infrastructure, Transport and Tourism Remarks (Japanese)
Keynote Speech 1（14:10～14:40）	Peter Keller Chairman, SEA ╲ LNG “Status and Future Development of LNG Conversion of Ship Fuels Overseas” Bio (Japanese) file
Keynote Speech 2（14:40～15:10）	Koji Takasaki Professor Emeritus, Interdisciplinary Graduate School of Engineering Sciences, Kyusyu University Report of “Research on the Possibility of LNG as an Alternative Fuel for Ships” Bio (Japanese) file (Japanese)
Panel Discussion	Moderator Koji Takasaki Professor Emeritus, Interdisciplinary Graduate School of Engineering Sciences, Kyusyu University Panelists Peter Keller Chairman, SEA ╲ LNG Gerd Wuersig Business Director, DNV GL Bio (Japanese) file Alan Lim Deputy Director, Maritime and Port Authority of Singapore (MPA) Bio (Japanese) file Hiroki Sato Chief LNG Transactions Officer, Senior Executive Vice President, JERA Co., Inc. Bio (Japanese) file(Japanese) Masamichi Morooka President & CEO, Yokohama-Kawasaki International Port Co., Ltd. Bio (Japanese) file(Japanese) Koji Shinozaki　 General Manager of Fuel Group, Nippon Yusen Kabushiki Kaisha Bio (Japanese) file(Japanese) Akira Ishihara Director, Ocean Development and Environment Policy Division, Maritime Bureau, Ministry of Land, Infrastructure, Transport and Tourism Bio (Japanese) file (Japanese)

Outline of the seminar

A scene of the seminar venue filled with audiences
Report (Japanese)