A recent survey by Splash and Inmarsat reveals that over 53% of respondents believe traditional bunker fuel will still power most of the global merchant fleet in 10 years. This finding comes despite increasing discussions on alternative fuels and decarbonization efforts in the shipping industry.
Currently, only about 8% of the world’s merchant fleet is equipped for alternative fuels, though over half of newbuilds on order will have this capability. However, uncertainty surrounding the International Maritime Organization’s proposed carbon levy is stalling green investments, according to ABS Chairman Christopher Wiernicki.
The potential carbon levy could range from $18 to $150 per ton, leaving shipowners hesitant about future investments. Without a clear global carbon pricing mechanism, the industry remains cautious about operational and financial risks.
Experts agree that infrastructure and regulatory clarity are key to advancing alternative fuels. Jason Stefanatos from DNV emphasizes the need for parallel development in bunkering infrastructure and energy efficiency measures, while Lloyd’s Register’s Claudene Sharp-Patel warns of rising compliance costs without decisive action.
Investment in human capital is also crucial for the industry’s sustainability, says Nick Brown, CEO of Lloyd’s Register. He highlights that technological advancements alone won’t be enough—reskilling seafarers and improving working conditions are equally important.
According to Dr. Tristan Smith from UCL Energy Institute, transitioning shipping to cleaner energy sources will require immense financial investment, comparable to building a massive megacity every month for 20 years. This underscores the scale of the challenge ahead.
Ship Concept 2035, set to be released at Nor-Shipping this June, will explore the future of ship operations, covering everything from fuels and automation to crew training and AI. As the industry navigates an uncertain path, this publication aims to provide a realistic outlook on what lies ahead.
