Germany Unveils LNG Ship Funding Scheme
Germany’s federal transport and digital infrastructure ministry (BMVI) announced August 29 it is launching a new funding program to promote the upgrading and conversion of the country's ships to run on LNG. The funds will be made available from its ‘mobility and fuels strategy’ (MKS).
Enak Ferlemann, parliamentary state secretary at the ministry said: “Germany is one of the world's largest shipping nations. We want to maintain this top position and therefore support the introduction of innovative technologies. With our new funding program, we are accelerating the expansion of alternative marine fuels and keeping our course set on our goal: more mobility with fewer emissions.” The ministry said that LNG causes no sulphur oxide emissions, while nitrogen oxide emissions are cut by up to 90% and particulates by 98%, compared with conventional fuels.
Subsidy guidelines have now been published in the German federal gazette (Bundesanzeiger) and can be viewed here (in German only). Subsidies of up to 40% of eligible costs are available, although additional incentives may apply for smaller businesses. A first call for project proposals is being prepared. Companies that own a vessel or are planning a new vessel, as well as bodies governed by public law, are eligible to apply.
The latest funding fits into Germany’s recently-published overall national strategy to build infrastructure for alternative fuels, available (in German) here, itself part of an EU-wide initiative to expand the use of 'clean fuels' in all forms of transport unveiled in 2013 and adopted in 2014.
In addition to expanding LNG storage and refuelling infrastructure and upgrading/converting ships, the BMVI is also modernising the country’s own fleet starting with the Atair research vessel of Germany’s Maritime and Hydrographic Agency (BSH); this was ordered last December from German shipbuilder Fassmer and is due to be completed by 2020. Wartsila announced August 1 2017 it is to supply engines for a new LNG-fuelled Atair.
Mark Smedley