Höegh Autoliners, Fortescue urge regulators to fast-track green ammonia adoption

Norwegian shipowner Höegh Autoliners and Australian green technology, energy, and metals company Fortescue have called on global shipping regulators to fast-track the adoption of green ammonia and speed up decarbonization efforts.

The two companies came together at a decarbonization of shipping event at COP29 in Baku, Azerbaijan, to jointly advocate for the global shipping industry to end reliance on what they call “dirty bunker fuel”.

The partners have committed to working together to explore the technical and commercial requirements for a green ammonia supply chain for bunkering, from Fortescue’s proposed global portfolio of projects to Höegh Autoliners’ global bunkering.

The alignment between Fortescue and Höegh Autoliners comes at a time when the International Maritime Organization (IMO) is due to make soon key decisions on how it will reduce emissions in line with the level of ambition set out in the IMO 2023 strategy.

“Shipping is a global industry with a global regulator and today the industry is at a crossroads. The ongoing IMO greenhouse gas reduction debate must result in a clear, robust regulatory framework,” said Fortescue Energy CEO Mark Hutchinson.   

“There are so many transition fuels that are being peddled out there, but they are just a distraction. Only green ammonia can help us reduce carbon emissions in shipping and in turn can help us address the worst impacts of climate change. We need early incentives for hydrogen derived fuels – specifically ammonia for 2030 – otherwise, we are kicking the can down the road and leaving too large a scale up for the 2040s.” 

“Deep-sea transportation is the single most polluting part of shipping and accounts for 90 percent of all maritime emissions. Decarbonizing the deep-sea segment is imperative to achieve the International Maritime Organisation’s net zero by 2050 goal for a 1.5C-aligned pathway,” CEO of Höegh Autoliners, Andreas Enger, said.

“Partnering with Fortescue is another milestone on our path to net zero. And a reiteration of our commitment to sailing for sustainability. With this partnership, we are removing carbon from one of the hardest-to-abate sectors, sending a strong demand signal for green ammonia down the value chain. Together, we are making sustainable shipping doable, accelerating the green transition within our industry, and setting a whole new standard for deep-sea shipping.”

At COP29, global industry leaders have committed to increasing the uptake of zero or near-zero GHG emission shipping fuels to at least 5%, striving for 10%, by 2030.

More than 50 leaders across the spectrum of the shipping value chain, including e-fuel producers, vessel and cargo owners, ports, and equipment manufacturers, have signed a Call to Action today to accelerate the adoption of zero-emission fuels, with Fortescue and Höegh Autoliners being among them. The companies also share a strong commitment to reducing emissions in the shipping sector as members of the First Movers Coalition for Shipping. 

To remind, in March this year, Fortescue made history in sustainable shipping when its vessel Green Pioneer became “the world’s first ship” to use ammonia as part of a marine fuel trial onboard an ammonia-powered vessel. The bunkering was conducted with the support of the Maritime and Port Authority of Singapore (MPA), government agencies, research institutes, and industry partners.

The fuel trial was carried out over a period of seven weeks and included testing of Green Pioneer’s ammonia storage systems, associated piping, gas fuel delivery system, retrofitted engines, and seaworthiness.

Meanwhile, Höegh Autoliners recently launched “a transformational green fleet renewal program” – ordering twelve new multi-fuel-ready vessels designed for the transportation of future cargo. The Aurora Class vessels have DNV’s “ammonia ready” notation and the last four vessels in the series are planned to be delivered with dual-fuel ammonia propulsion.

The Aurora Class ship has a capacity of up to 9,100 cars – and with strengthened decks and enhanced internal ramp systems, it can carry electric vehicles on all 14 decks. Two of the Aurora Class vessels are already in commercial operations, cutting carbon emissions per car transported by “up to 58 percent from the current industry average”, according to the company.