Canadian Provincial Government Throws Support Behind LNG Bunker Uptake

by Ship & Bunker News Team
Thursday March 23, 2017

The Government of British Columbia Wednesday, in an effort support the uptake of liquefied natural gas (LNG) and renewable natural gas, particularly as marine fuel, announced a number of new initiatives to support investments of natural gas utilities within the province, local media reports.

"We’re working with utilities to stimulate the use of LNG as a marine fuel in large, ocean-going ships, and to increase the supply and use of renewable natural gas," said Bill Bennett, Minister for Energy and Mines.

"Building the market for B.C.’s abundant supplies of natural gas offers the opportunity to achieve significant GHG (greenhouse gas) emissions reductions and supports jobs and economic opportunities in British Columbia’s natural gas sector."

As part of its announcement, the government noted that the conversion to LNG propulsion of one ocean-going vessel (OGV) from conventional bunkers can reduce GHG emissions by approximately 93,500 tonnes annually.

Under amendments to the Clean Energy Act's Greenhouse Gas Reduction Regulation, the government says utilities will be able to boost incentives for shipowners to complete vessel conversions in order to adopt the use of LNG bunkers, invest in LNG bunkering infrastructure, and enhance the availability of renewable natural gas.

"We are creating market opportunities for British Columbia’s natural gas sector, offering utilities flexibility to create new incentive programs so we can continue to build a strong economy and a cleaner future," said Rich Coleman, Deputy Premier and Minister of Natural Gas Development.

As Ship & Bunker reported earlier this week, British Columbia Ferry Services Inc. (BC Ferries) Monday took delivery of Salish Eagle, the company's second of three newbuild dual-fuel ferries featuring LNG-propulsion.