Onboard Carbon Capture A Promising Solution for Shipping Industry Decarbonization
The Potential of Onboard Carbon Capture in Shipping: DNV's Whitepaper
Onboard carbon capture (OCC) is garnering significant interest within the shipping industry, presenting shipowners with the possibility of continuing to use conventional fuels while reducing emissions. However, according to DNV’s latest whitepaper, “The Potential of Onboard Carbon Capture in Shipping,” the success of OCC hinges on collaboration among regulators, policymakers, industry stakeholders, classification societies, and suppliers.
As decarbonization targets loom closer, there is a growing demand for cost-effective emission reduction solutions. DNV’s whitepaper delves into OCC as a decarbonization strategy for shipping, examining its technical, economic, operational, and regulatory challenges, as well as its integration into the carbon capture, utilization, and storage (CCUS) value chain.
CCUS involves capturing CO2 and either recycling it for future use or permanently storing it in deep underground geological formations. The maritime industry is investigating its application onboard ships, which will necessitate systems for capturing, processing, and storing CO2, along with an offloading network integrated into the broader CCUS infrastructure.
Chara Georgopoulou, Head of Maritime R&D and Advisory Greece, stated, “OCC is expected to be part of a range of future options that will help shipping achieve its decarbonization goals. However, further collaboration and testing are required to verify its performance. The commercial appeal of OCC will depend on the regulatory terms for crediting carbon emission removal and its seamless integration into the expanding CCUS value chain.”
For OCC to have widespread application, it must be economically viable and competitive with other decarbonization alternatives. If successfully implemented, OCC could become a crucial method for shipowners to comply with decarbonization regulations, while also reducing the need for alternative fuels.
Currently, the EU Emissions Trading System (ETS) is the only regulatory framework offering commercial incentives for OCC. To promote the adoption of this technology among shipowners, future environmental and greenhouse gas (GHG) emissions regulations must also provide credits for captured CO2.
