Höegh Autoliners: We have high ambitions for usage of biofuels

Norwegian RoRo shipping company Höegh Autoliners has set out to become net zero by 2040 and has ordered a series of eight zero-carbon ready car carriers set to start delivery already in 2024. The Aurora class ships will have DNV’s ammonia and methanol ready notation, and they will be the first in the PCTC segment able to operate on zero-carbon ammonia.

With the capacity to carry up to 9,100 cars, the Aurora class was announced as the ‘world’s largest and most environmentally friendly car carrier series.‘

Offshore Energy spoke with Henrik Andersson, Head of Technical Development at Höegh Autoliners, about the company’s ambitious fleet renewal plan, which could reach up to 16 vessels, as well as the deciding factors on which fuel to choose for the ships.

“Our green fleet renewal programme is extremely ambitious and reiterates our confidence in future fuel opportunities. With the Auroras we have given ourselves the opportunity to choose and be at the forefront whether the future fuel is methanol, ammonia or LNG,” he said.

“To us, technological potential and ability, fuel availability and price are important factors – as well as the sustainability side of the choice. Above all is, our focus is to make sure that our customers can always rely on Höegh Autoliners transporting their cargo safely and timely to their wished destination.”

As Offshore Energy reported, in April the company signed a contract with China Merchants Heavy Industry (Jiangsu) to extend the Aurora class newbuilding program to eight vessels, all of which will be built by CMHI. As part of the contract, the Norwegian shipowner reached an agreement with the yard that allows Höegh Autoliners to accelerate its green fleet renewal program to up to 16 Aurora vessels.

When asked about the key factors determining the company’s readiness to exercise options for additional newbuilds, Andersson said: “Deciding whether or not to exercise our existing options is a decision we are considering, but which is too early to elaborate on now.”

Commenting on the current debate regarding pros and cons of using methanol vs ammonia, as well as the safety concerns related to ammonia as the potential fuel of the future Andersson explained that crew safety was a top priority.

“Engines burning methanol exist already today, but we will have to wait a bit before engine makers have a commercially available engine running on ammonia. Crew safety is of top priority for us and since ammonia is toxic, the Aurora class is designed with additional ventilation capacity onboard, should ammonia be the preferred future fuel.

“Guidelines for bunkering and handling of ammonia are being developed and we will – if chosen – of course follow all recommendations. When developed as a maritime fuel the shipping industry should adopt safety standards from fertilizer, chemical and industrial cooling industries, where ammonia already is both transported and consumed.” 

Andersson also shed some light on the company’s transitional strategy toward becoming net zero, as well as plans on becoming compliant with Energy Efficiency Existing Ship Index (EEXI) and Carbon Intensity Indicator (CII) on the company’s existing ships.

“Already today, Höegh Autoliners operates some of the world’s most fuel efficient PCTC vessels. We are proud of that, but we don’t stop there. Improving our performance is a natural and integral part of our business – and something we have done for many years,” he noted.

“Every day we focus on reducing the emissions from our existing fleet. Every improvement – also small ones – counts on our path to zero. We continuingly work to improve the efficiency of the existing fleet and thereby also comply with the coming CII targets. Also, some of our vessels will need to install  engine power limitations (EPLs) to comply with the EEXI requirements, bringing down maximum speed but not affecting the operational speed of our fleet.”

Höegh Autoliners has achieved an improved fuel efficiency of the existing fleet of 37% between 2008 and 2021, and the company is currently looking to improve even more on that front in the near future. 

“Improving efficiency on existing fleet is an important part in the decarbonization of the maritime industry. Air lubrication, wind assisted propulsion together with other technologies will play an important role on this journey,” he said.

Nevertheless, Höegh Autoliners believes biofuels will play a much bigger role in the company’s decarbonization journey in the upcoming years.

Last year, Höegh Autoliners completed its first carbon neutral voyage, when Höegh Trigger ran on advanced biofuels from Europe to South Africa, setting the stage for other vessels to follow suit.

“We have increased our biofuel activities in 2022, and we have high ambitions for the usage of biofuel in the coming years, as we see it as a transition fuel that will play a major part in the transition to carbon neutral synthetic or e-fuels such as ammonia or methanol,” Andersson pointed out.

“Our whole fleet is capable of running on biofuel and we are working closely with customers and partners in reducing our carbon footprint and supporting customers in decarbonising their supply chain. Using advanced biofuels to run existing fleets has a strong potential to significantly reduce emissions today while new technologies evolve.”