LNG as fuel for inland waterway vessels

Abstract

Natural Gas (NG) can be used as fuel for several forms of transport. NG converted into liquid is called Liquefied Natural Gas (LNG). LNG has a favourable energy density for ease of transport and storage. On the other hand, LNG is cryogenic at -162 °C. To use LNG as fuel, it is required to use an LNG fuel system. An LNG fuel system consists mainly of a cryogenic tank, for storage, and a regasification unit to convert LNG to NG. Cryonorm Systems B.V. is a designer and supplier of such LNG fuel systems for several forms of transport. In addition to this LNG fuel system, another type of engine is required. Cryonorm already designed and supplied four inland waterway (IWW) vessels with a marine LNG fuel system. LNG as fuel was introduced by seagoing vessels, though there is also a propensity to move to LNG as fuel for IWW vessels. LNG as fuel for IWW vessels is the subject of investigation in this thesis, with the aim to define the business opportunities of LNG fuel systems for IWW vessels in different scenarios for Cryonorm. In this research, the financial viability of LNG as fuel for inland waterway vessels is investigated. The financial viability depends mainly on fuel consumption, fuel prices and the required financial resources to move to LNG as fuel. With this investigation, the necessary preconditions in which shipping companies possibly will move to LNG as fuel are determined. These preconditions consist of the financial eligibility of inland waterway vessels and the extent to which obstacles, such as LNG bunkering logistics, have to be overcome. With this determination, scenarios are developed in which the business opportunities of LNG fuel systems for inland waterway vessels for Cryonorm are rendered for the next 10 years.