Assessment of cost as a function of abatement options in maritime emission control areas |
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| Institution: | 1. Norwegian Marine Technology Research Institute (MARINTEK), Trondheim, Norway;2. United European Car Carriers (UECC), Oslo, Norway;3. Norwegian University of Science and Technology (NTNU), Trondheim, Norway;1. Kiel Institute for the World Economy, Hindenburgufer 66, D-24105 Kiel, Germany;2. Centrum für Europäische Politik, Kaiser-Joseph-Straße 266, D-79098 Freiburg, Germany;1. Department of Industrial Economics and Technology Management, Norwegian University of Science and Technology, Trondheim, Norway;2. Norwegian Marine Technology Research Institute (MARINTEK), Trondheim, Norway;3. Department of Transport, Technical University of Denmark, Lyngby, Denmark;1. College of Transportation and Communication, Shanghai Maritime University, Shanghai, China;2. Department of International Logistics, Chung-Ang University, Seoul, Republic of Korea;3. Maritime and Logistics Management, National Centre for Ports and Shipping, Australian Maritime College, University of Tasmania, Launceston, TAS 7250, Australia;4. Centre of Excellence in Maritime Energy and Sustainable Development, School of Civil and Environmental Engineering, Nanyang Technological University, Singapore;1. Transport Research Institute, Edinburgh Napier University, Merchiston Campus, EH10 5DT Edinburgh, United Kingdom;2. Logistics and Transport Research Group, Department of Business Administration, School of Business, Economics and Law at University of Gothenburg, P.O. Box 610, SE 405 30 Göteborg, Sweden |
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| Abstract: | This paper assesses cost as a function of abatement options in maritime emission control areas (ECA). The first regulation of air pollutions from ships which came into effect in the late 1990s was not strict and could easily be met. However the present requirement (2015) for reduction of Sulfur content for all vessels, in combination with the required reduction of nitrogen and carbon emissions for new-built vessels, is an economic and technical challenge for the shipping industry. Additional complexity is added by the fact that the strictest nitrogen regulations are applicable only for new-built vessels from 2016 onwards which shall enter US or Canadian waters. This study indicates that there is no single answer to what is the best abatement option, but rather that the best option will be a function of engine size, annual fuel consumption in the ECA and the foreseen future fuel prices. However a low oil price, favors the options with the lowest capex, i.e. Marine Gas Oil (MGO) or Light Fuel Oil (LFO), while a high oil price makes the solutions which requires higher capex (investments) more attractive. |
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| Keywords: | Shipping and environment Emission reduction Abatement options and cost ECA IMO |
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