Americas News
Transport Canada: ECA Compliance Achievable but Challenging
A Future Marine Fuel Study by government agency Transport Canada into the Canadian domestic marine industry's ability to meet upcoming North American Emission Control Area (ECA) emission regulations has concluded that compliance is achievable, but will be a challenge for ship owners.
"The report determines that ECA compliance is achievable using available emission control technology," Transport Canada said.
"However, the high cost of alternative and conventional distillate fuels will require fuel switching, speed reduction, or expensive exhaust emission aftertreatment for vessel operators to remain competitive and in compliance."
Of the alternative fuels examined, biodiesel, natural gas, ultra-low sulphur diesel (ULSD), and hydrogenation-derived renewable diesel (HDRD) were recommended as the most viable alternative fuels.
However the report noted a lack of infrastructure facilities, as well as related supply chain issues were a significant barrier to a wider adoption of liquefied natural gas (LNG) as a marine fuel.
"The major gas and oil providers will not invest in the infrastructure needed to supply the fleet unless there is sufficient demand from shipowners. Shipowners, in turn, will not invest in LNG-operated vessels if the LNG is costly or not readily available," it said.
Transport Canada said that, in general, widespread changeover to marine distillates and alternative fuels will not be realised due to the high cost differential between residual fuels, distillates, and alternative liquid and gaseous fuels, as well as the lack of infrastructure and operational issues related to alternative fuels.
"In essence, the domestic marine infrastructure cannot provide an adequate supply of alternative fuels," it said.
Transport Canada also noted that slow steaming was becoming less of an option for ship operators.
"Reducing vessel speed in order to lower emissions will increasingly become a less viable option, because emission limit areas are set to expand considerably," Transport Canada said.
"The longer transit times at reduced speed will impact schedule and cost."
The agency recommends that the government help shipowners with the economic impact of the changes, possibly with incentives to change from heavy fuel oil (HFO) to more expensive distillate fuels or to install exhaust treatment devices.
Some of North America's coastal shippers have called for a reduction in the size of the ECA.
