{"id":3398,"date":"2025-11-18T14:59:20","date_gmt":"2025-11-18T14:59:20","guid":{"rendered":"https:\/\/marine-energytransition.com\/?p=3398"},"modified":"2025-11-20T18:48:26","modified_gmt":"2025-11-20T18:48:26","slug":"alternative-fuels-in-shipping-lng-methanol-ammonia-and-hydrogen","status":"publish","type":"post","link":"https:\/\/marine-energytransition.com\/?p=3398","title":{"rendered":"The State of Alternative Fuels in Shipping: LNG, Methanol, Ammonia and Hydrogen"},"content":{"rendered":"\n

The maritime sector is entering a pivotal decade. With the International Maritime Organization targeting a 20\u201330% emissions reduction by 2030 and net-zero by 2050, shipowners face one of the most complex investment landscapes in modern shipping. Today, 93% of the global fleet still operates on fossil fuels, according to DNV\u2019s Maritime Forecast to 2050<\/em>, while most newbuilds are being designed for fuel flexibility to address regulatory and market uncertainty. The transition has begun, but progress is uneven.<\/p>\n\n\n\n

DNV\u2019s Alternative Fuels Insight (AFI) database shows that 84% of vessels on order still rely on conventional fuels, and only 16% are capable of using alternative fuels. Within this shifting landscape, four candidates dominate the debate on shipping\u2019s future energy mix.<\/p>\n\n\n\n

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LNG: A Transitional Option<\/strong><\/p>\n\n\n\n

Liquefied natural gas remains the most established alternative fuel. Its bunkering network is relatively mature, and it offers immediate reductions in SOx, NO\u2093, and particulate emissions. AFI data confirms LNG\u2019s continued popularity among dual-fuel orders.<\/p>\n\n\n\n

Still, LNG\u2019s long-term role appears limited. Methane slip\u2014a potent greenhouse gas\u2014and its dependence on fossil gas undermine its decarbonisation credentials. LNG engines come with higher capital costs, and operators may face stranded-asset risks under expanding carbon pricing. LNG remains a practical option for compliance today, but not a long-term climate solution.<\/p>\n\n\n\n

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Methanol: The Early Adapter<\/strong><\/h6>\n\n\n\n

Methanol has become the early frontrunner, largely driven by the container sector. Major operators\u2014such as Maers, COSCO  and CMA CGM\u2014have committed to methanol-powered fleets. Methanol-capable ships now represent around 5% of the global orderbook.<\/p>\n\n\n\n

Methanol\u2019s appeal lies in its handling advantages. It is liquid at ambient temperature and fits well within existing bunkering infrastructure. However, most methanol currently available is fossil-derived, and green methanol is costly and limited in supply. For now, methanol is most viable for operators with long-term fuel offtake agreements. Its long-term success depends on scaling renewable production.<\/p>\n\n\n\n

Ammonia: A Longer-Term Prospect<\/strong><\/p>\n\n\n\n

Ammonia offers significant zero-carbon potential. Produced from green hydrogen and nitrogen, it generates no CO\u2082 when used as fuel. Yet it remains at an early stage, with only about 0.5% of vessels on order designed for ammonia.<\/p>\n\n\n\n

The barriers are substantial: ammonia is toxic, corrosive, and demands entirely new safety protocols and bunkering systems. Production capacity is limited, and costs remain high. Realistically, ammonia may become viable after 2035, once hydrogen production and port infrastructure expand. For now, it remains a long-term candidate rather than a near-term commercial option.<\/p>\n\n\n\n

Hydrogen: High Potential, Limited Practicality (For Now)<\/strong><\/p>\n\n\n\n

Hydrogen frequently appears in decarbonisation discussions, but its role in deep-sea shipping is still uncertain. When produced from renewable electricity, hydrogen can be a true zero-carbon fuel. It can also serve as a feedstock for other alternative fuels, including ammonia and synthetic methanol.<\/p>\n\n\n\n

But in its pure form, hydrogen faces several challenges:<\/p>\n\n\n\n