MAN Sees Ammonia Meeting 27% of 2050 Bunker Demand, Now IMO Needs Clear Regs on Carbon-Neutral Fuels

Bjarne Foldager, Head of Two-Stroke Business, MAN Energy Solutions. Image Credit: MAN ES

MAN Energy Solutions sees ammonia taking a healthy 27% of marine demand from large ships by 2050, and says the International Maritime Organization (IMO) needs clear rules on emerging bunker fuels to help with their uptake in the industry.

The comments came alongside the company's recent first test run of an ammonia powered engine. 

"Interest in this breakthrough has been overwhelming. However, while we provide the decarbonising technology, the maritime industry must show the will to implement it," said Bjarne Foldager, Head of Two-Stroke Business, MAN Energy Solutions.

"Now it's up to the International Maritime Organization to establish clear regulations that ensure that maritime actors are not penalised for choosing carbon-neutral fuels.

"At MAN Energy Solutions, our expectations for ammonia are positive owing to its predicted lower production cost compared to other, relevant efuels; we foresee around 27% of fuel used onboard large merchant-marine vessels to be ammonia by 2050."

As a non-carbon-based energy carrier, Ammonia is seen as one of the leading contenders to replace traditional oil-based bunkers in the future marine fuel mix.

While development of ammonia as a marine fuel currently lags competing alternative bunker fuels such as LNG and ammonia, interest remains strong.

Among recent developments in the space, Bunker Holding, the world's biggest bunker company in terms of sales to end users of fuel, last month said it is planning to partner with Yara Clean Ammonia to develop the market for ammonia as a bunker fuel.

And Singapore, by far the world's biggest bunkering hub in terms of sales volume, believes it could have ammonia available as a bunker fuel as soon as 2026.

Still, hurdles remain, particularly in regards to ammonia's toxicity risks to crew.