China: Research Project on Safe Application of LNG Powered Vessels Launched

In the afternoon on 27 July, the Maritime Safety Administration of the People’s Republic of China and the National Energy Administration jointly organized and convened the kick-off meeting on a research project on safe application of LNG-powered vessels at Beijing International Convention Center.

Upon review at the meeting, the Organization and Implementation Scheme for Research on Safe Application of LNG-powered Vessels, was approved, designating the leading taskforce members for the research project on safe application of LNG-powered vessels. The meeting was attended by 70 representatives, who came from five responsible units, namely China Classification Society, Changjiang Maritime Safety Administration, Jiangsu Maritime Safety Administration, Wuhan University of Technology, and China National Petroleum Corporation, as well as relevant departments. Mr. Chen Aiping, Head of the leading taskforce as well as Standing Deputy Director of China Maritime Administration, Mr. Zhang Yuqing, Deputy Head of the leading taskforce as well as Deputy Director of the National Energy Administration, Mr. Li Shixin, Deputy Head of the leading taskforce as well as Deputy Director of China Maritime Administration, Mr. Zhu Kai, Deputy Head of the leading taskforce as well as Vice President of China Classification Society, Mr. Li Hualin, Deputy Head of the leading taskforce, Vice President of PetroChina Company Limited, and Chairman of Kunlun Energy Company Limited attended the meeting. In addition, Mr. Chen Aiping and Mr. Zhang Yuqing, both on behalf of the leading taskforce, and Mr. Li Xinhua, Vice President of CNPC delivered their speeches at the meeting.

The objectives of the Project Scheme aim at the researches on LNG-powered vessels as well as relevant key technologies, vigorous exploration of solutions to the technical safety problems arising from application of such vessels, implementation of the formulation for relevant standards and regulations on LNG-powered vessels and refilling stations, and the solid foundation to develop LNG-powered vessels and the industrialized supply chain of fuels. Such objectives focus on the following six subject researches, namely, evaluation of the safety and safeguard measures LNG-powered vessels, development and test on standards of LNG-powered vessels, safety operation and supervision management of inland river LNG-powered vessels, the refilling models and refilling stations for LNG-powered vessels, the pilot project of LNG-powered vessels and their supporting system, and the planning of refilling stations for LNG-powered vessels. Amongst others, CNPC, as one of the responsible units, along with other relevant supporting departments, will collaborate with enterprises on two subject researches, namely, the pilot project of LNG-powered vessels and their supporting system as well as the planning of refilling stations for LNG-powered vessels.

Mr. Chen Aiping pointed out in his speech that it takes time for the international community to understand and accept the development of LNG-powered vessels and that in 2009 the international maritime organization starts to approve of the voyages of such type of vessels. As a result of the increasingly stringent emission standards adopted in Europe, there is a growing demand for the cleanness of the vessel fuels. LNG-powered vessels enjoy many advantageous areas, such as cost-effectiveness and eco-friendliness, thus unfolding a prospective landscape. Due to the lack of relevant standards, however, the development of LNG-powered vessels remains at its initial phase of exploration. Some pilot vessels already sailed on the Yangtze River, Ganjiang River, and the Beijing – Hangzhou cannel, but the safety issue remains to be the critical one constraining the development of LNG-powered vessels despite positive feedbacks in all areas. It also requires further researches before facilitating the relevant standards regulating the operation and management of LNG-powered vessels. Mr. Chen Aiping also commented that the development of LNG-powered vessels is in line with the objective requirements of green and safe development of waterway transportation in China, as if time and tide waits for no man. The leading taskforce is required to extensively consult on multiple opinions from many areas, step up their research, and ensure the progress and quality of such research. He, on behalf of the entire leading taskforce, expressed his gratitude to all responsible units of the Project Scheme, particularly the vigorous support rendered by CNPC to the Project Scheme.

Mr. Li Xinhua, on behalf of CNPC, addressed that for the purposes of implementing and deploying energy conservation and emission reduction as well as developing green waterway transportation, directed and supported by all relevant departments and units ranging from China Maritime Administration, National Energy Administration, and China Classification Society, Kunlun Energy Company Limited, as the effective vehicle to develop the LNG business for the parent company that is CNPC, realized the successful replacement of diesel by LNG applied to urban transportation, intercity transportation, heavy-duty trucks, drilling machines, and port-based gantry cranes. In 2010, Kunlun Energy launched the trial promotion of LNG-powered vessels that focused on the Yangtze River region as a pilot program, and established the taskforce for waterway transportation by substituting oil with gas, and took full advantage of the industrial chain covering the resource supply of LNG by the parent company, construction of end users sales facilities, and the manufacture of engine equipment. Kunlun Energy also adopted the model of contracting four-party joint agreements with CNPC Jinan Diesel Engine Company Limited, shipping designers, and users for the purpose of promoting the pilot project of LNG-powered vessels. Kunlun Energy is responsible for construction of end users facilities (such as the LNG refilling stations) and constant supply of gas, while CNPC Jinan Diesel Engine Company Limited will provide hybrid power engines for vessels, gasification devices, and supporting natural gas pipelines as well as assembly, rectification, and maintenance services. Currently, there is a preliminary progress in the trial promotion of LNG-powered vessels.

Mr. Li Xinhua also commented that the development of LNG-powered vessels benefits the nation and the people with broad prospects. CNPC, as one of the responsible units, will spare no efforts, strengthen organization and coordination, fulfill work responsibilities as well as proactively collaborate with relevant units on coordination, guaranteeing high quality and high efficiency in a timely manner when accomplishing tasks, and contributing to the healthy and sustainable development of “Gasification of Waterway Transportation” as a brand new business.

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LNG World News Staff, August 01, 2012