British Columbia to Set up Ship-to-Ship LNG Bunkering

Business & Finance

The British Columbia government is joining the Vancouver Fraser Port Authority and FortisBC in establishing the first ship-to-ship LNG marine bunkering service on the west coast of North America.

Illustration; Image Courtesy: STX/Wartsila

The parties opted for the move in order to address the increased need for LNG in the maritime sector.

“We are confident in B.C.’s ability to join the global network of ports that deliver clean-burning LNG direct to the ships of the future,” said Premier John Horgan.

“It is expected that LNG-powered ships — specifically container, car carrier and cruise vessels — could begin calling in Vancouver as early as 2020, and global demand is expected to exceed nine million tonnes (23 million cubic metres) of LNG annually by 2025. B.C. should be ready to get some of that business,” Bruce Ralston, Minister of Jobs, Trade and Technology, said.

According to the most recent forecasts from Wood Mackenzie, global demand for LNG bunkering is expected to increase at an accelerating rate over the coming years. In 2018, the marketplace was small, totalling just 170,000 tonnes of LNG. By 2025, global demand is expected to exceed nine million tonnes per year, and by 2035, global demand is projected to be over 35 million tonnes per year.