US Offers $900,000 in Grants for LNG Conversion Study

by Ship & Bunker News Team
Monday April 20, 2015

The US Marine Administration (MARAD) has issued a Request for Proposals (RFP) for a cost share study on emissions resulting from in situ liquified natural gas (LNG) conversion, known as the Natural Gas Pilot Demonstration Project.

Applicants must be owners, operators, or sponsors of US-flagged vessels that ideally operate for at least 3,000 hours annually.

The study will require participants to complete natural gas conversion on an existing vessel and record pre and post-conversion emissions data and related information.

MARAD said the study results will be used to further its efforts over the past several years to reduce vessel and port emissions and greenhouse gases, as well as to aid MARAD's assessment of the public benefit of incentives to encourage adoption of emissions reduction and alternative fuels in the marine sector.

"MARAD recognizes the limited Federal funding opportunities specific to the maritime sector for projects in these areas and proposes to enter into an incentive cooperative agreement to help offset costs," the MARAD RFP states.

While $900,000 has been made available to fund the program, grant recipients will receive no more than 50 percent of the project cost.

All data and information collected by participants during the study must be provided to MARAD and can be shared publicly.

Proposals will be accepted until May 7, 2015.

Last year MARAD awarded $400,000 to support research on LNG as alternative marine fuel on the  Great Lakes.