Stena Bulk Offering Biofuel as an Option

June 22, 2020

Shipping company Stena Bulk said Monday it is offering low-carbon biofuel as an option for its customers following trials of the cleaner but costlier fuel on board one of its tankers in April.

Customers will have options ranging from 20% to 100% biofuels based on an offsetting program where the biofuel is used within the Stena Bulk fleet, Stena Bulk said. This allows customers to make use of low-carbon shipping options regardless of fuel availability on the specific route and without operational disruptions, the company added.

(Photo: Stena Bulk)
(Photo: Stena Bulk)

Erik Hånell, President and CEO for Stena Bulktold MarineLink the extra cost for customers opting to use biofules will be based on market prices, but the base rate is essentially $100 above marine gasoil (MGO).

The move comes on the heels of a recent trial which saw MR tanker Stena Immortal use GoodFuels' 100% waste-based biofuel during a cross-Atlantic voyage, proving the technical and operational feasibility of using biofuels in regular tanker operations.

Biofuel has the potential of putting shipping on the trajectory towards the International Maritime Organization’s (IMO) greenhouse gas reduction targets, without having to wait for new technology and zero-carbon fuels to emerge as commercially viable options, according to Stena Bulk.

“Performing according to our customers’ expectations is our highest priority, and this setup allows us to continue to do that while also offering a service,” Hånell said. “It will be one way to take actions in meeting future requirements. This type of fuel is one step in many combined sustainable solutions that needs to be considered and can be used today.”

“We need to come together as an industry to find solutions that comply with future legislation,” Hånell said. “By working together, sharing experiences, risks and inspiring each other, we are convinced that we will meet the targets and ensure that shipping remains the most efficient and sustainable mode of transportation.”

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