Companies

NYK Joins Marine Biofuel Data Collection and Analysis Project

Published on: 02 August 2022
by KnowESG
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NYK and Astomos Energy Corporation have joined a marine biofuel demonstration project initiated by the Global Centre for Maritime Decarbonisation (GCMD), a non-profit organisation whose mission is to promote the decarbonisation of the maritime industry.

Biofuels can be utilised without modifying a ship's current engines or infrastructure. Moreover, although biofuels produce carbon dioxide when burned, they are considered carbon neutral because they are derived from plants and waste cooking oil. Therefore, biofuels are considered to be among the most promising fuels for the next generation of decarbonisation.

Since biofuels have not yet been implemented in the real world, numerous data verifications, such as the mixing ratio with conventional fuels, are still required.

In addition, as biofuels require fossil fuels for their manufacture and transportation, they are not considered net-zero emitters in LCA*. In addition, the certification process is not standardised internationally, so the biofuel supply chain's transparency is also an issue.

GCMD is a nonprofit organisation (NPO) launched by the Maritime and Port Authority of Singapore (MPA) and six industry partners in August 2021. It has initiated this initiative to provide a framework for assuring the supply chain integrity of present and future green marine fuels, thereby providing genuine advantages to end-users and the environment.

This project involves the participation of eighteen companies and organisations, such as NYK and Astomos, and an investment of around US$18 million will fund demonstration trials. This initiative is distinguished by the engagement of shipping firms as well as consumers, as one of its goals is to provide transparency in the biofuel supply chain through the use of tracer technologies.

Specifically, the shipping companies will perform a trial operation utilising biofuels and supply GCMD with data regarding their biofuel utilisation. By facilitating and building an optimal drop-in green fuel supply chain, this pilot will assist in shaping national and international standards of biofuels for the maritime industry and decrease the barrier to their wider adoption to reduce lifecycle GHG emissions.

As part of this project, NYK and Astomos plan to deliver biofuels to an LPG ship owned by NYK and chartered by Astomos for trial operations.

NYK announced the "NYK Group ESG Story" on February 3, 2021, which intends to incorporate ESG into the company's management strategy and encourage commercial operations that contribute to the attainment of the SDGs.

On March 24, 2022, NYK published the updated "NYK Group ESG Story 2022," which highlights initiatives for integrating ESG into the Group's management strategies outlined in the "NYK Group ESG Story" and offers a partial explanation of the Group's long-term sustainable growth strategy.

Additionally, NYK has designated "Sail GREEN" as the company's ESG brand, which stresses NYK's efforts to reduce GHG emissions through the delivery of goods and contribute to eco-friendly supply chains of customers, independent of the mode of transport (e.g., by sea or land, through terminals, etc.).

The NYK Group will encourage the creation of new value as a "Sustainable Solution Provider" to promote ESG management strongly.

Source: NYK Line

For more company-related news

The NYK Group ESG Story

The NYK Group ESG Story 2022

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