Green Bunker Fuels and South African Ports a Good fit, Says Report

by Ship & Bunker News Team
Monday June 24, 2024

South African ports could play a key role in shipping's energy transition through the supply of alternative bunker fuels to ships plying global trade routes, according to a new study.

The report, Decarbonising South Africa's Shipping and Trucking Sectors, from the World Economic Forum, suggests that South Africa's geographical position and supply of  renewable fuel types makes the country a good candidate to spearhead the production and provision of alternative bunker fuels to shipping.

The wide-ranging report covers land use (industry/transport) as well as marine. Ammonia is one of the new bunker fuels identified as a good fit for the South African economy.

Most of the cost associated with ammonia production comes from hydrogen feedstock, the report said.

"By leveraging abundant wind and solar supply, the two ports [Boegoebaai and Saldanha
Bay
] will be able to generate renewable electricity at scale to produce competitive green hydrogen for local industry use (eg green steel) and to produce green ammonia for export to the global shipping industry.

"The potential for South Africa to produce e-methanol and e-ammonia has triggered plans to develop 'green corridors' – effectively routes connecting ports for vessels to sail on zero emissions fuels.

"A consortium convened by the Global Maritime Forum – including Anglo American, Tata Steel, CMB, VUKA Marine, Freeport Saldanha and Engie – is exploring the development of a green corridor between South Africa and Europe.33.

"The consortium has identified four South African locations as potential facilitators:Boegoebaai, Saldanha Bay, Ngqura Port and a hydrogen valley corridor stretching from Durban to Richards Bay," according to the report.

For a copy of the study, click here.