Feedstock availability and aviation demand challenge biofuel adoption in shipping

A recent report by Lloyd’s Register highlights biofuels as a promising solution for reducing greenhouse gas (GHG) emissions in the maritime industry, especially for older vessels where retrofitting for alternative fuels may not be economically viable. The report, titled Fuel for Thought: Biofuel, emphasizes that biofuels, which can serve as drop-in replacements for traditional fossil fuels, offer significant emission reductions—up to 84% compared to conventional fuels—without requiring substantial changes to existing ship machinery or operations.

Despite their potential, the widespread adoption of biofuels faces significant challenges, primarily related to the availability of feedstocks and competition from other transport sectors, such as aviation. The report also notes that the price of biofuel blends is likely to increase as demand grows, driven by higher feedstock costs. Nonetheless, biofuels remain a practical and cost-effective option for shipowners looking to comply with environmental regulations, particularly for vessels that cannot easily transition to other alternative fuels.

ENGINE partners with PRIMA Markets on bio-bunker price benchmarks, and launches Fuel Switch Snapshot

The report further discusses the compatibility of biofuels with existing maritime infrastructure, including their ease of integration into current bunkering systems and minimal training requirements for crews. Lloyd’s Register’s findings underscore the importance of biofuels in the industry’s ongoing decarbonization efforts, providing shipowners with a reliable reference as they explore alternative fuel options for their fleets.

Overall, Fuel for Thought: Biofuel consolidates critical information on biofuel use in shipping, offering insights into industry standards, operational considerations, and the broader implications of biofuel adoption for the maritime sector’s transition to zero-carbon operations.