Gibraltar: Carnival's LNG Bunker Decision "Demonstrates that the use of LNG is Becoming Mainstream"

by Ship & Bunker News Team
Monday June 22, 2015

The Gibraltar Government is using Carnival Corporation & plc's (Carnival's) recent order for four giant cruise ships with LNG hybrid engines to push their agenda of developing Gibraltar liquid natural gas (LNG) bunkering infrastructure, Gibralatar Chronicle reports.

The government opposition party has reportedly expressed concerns about the safety of siting LNG operations in such close proximity to developed areas, and as such, the government is said to be using Carnival's newbuild order as evidence of the shift in the maritime industry toward the use of LNG as a fuel.

"This demonstrates that the use of LNG is becoming mainstream around the world and in particular in the shipping industry," stated Fabian Picardo, Gibraltar's Chief Minister.

"It also demonstrates how safe a fuel LNG is," he said, adding, "an American corporation like Carnival Cruises would not put 6,500 passengers in a situation of unacceptable risk or danger.

"As a Government we have already got in touch with Carnival to ensure that we see these new ships, which will be the largest cruise ships in the world, call at Gibraltar, refuelling and bringing us huge numbers of tourists."

Last week, the government opposition revealed a report by Lloyd's Register that concluded LNG operations in the North Mole and Detached Mole could pose "potentially intolerable risks".

The government responded by saying that the report was based on incomplete data about its proposals.

"Given that the Opposition have already said that they will not allow LNG bunkering or the operation of an LNG facility storage and regasification facility, which is exactly what these vessels have on board, the public can clearly see that the position of Mr Feetham is highly detrimental to Gibraltar's economic interests, from tourism to bunkering and the cost of electricity generation," said Picardo. 

"Would he now propose to ban these Carnival ships coming to Gibraltar? Would he ban Gibraltarians from cruising on them?"

"The nonsensical nature of the GSD's arguments is slowly being exposed.

"The danger to our economy of their opportunistic position is becoming palpable.

"The safe future of marine propulsion, power generation and bunkering is clearly in the use of LNG. That is where we will position Gibraltar for maximum economic advantage."

On Monday, Carnival announced that it has signed a multi-billion dollar contract with The Meyer Werft GmbH (Meyer Werft) to build four "next-generation" LNG-powered cruise ships with the largest guest capacity in the world, and all featuring a "green cruising" design.