The Current Status of Carbon Neutrality in Shipping (2nd edition)

Basic Data (as of March 2024)

The Japan Association of Marine Safety

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Contents(Acronyms and common environment-related vocabulary used in this paper) ............. 2
Standard types of environmental vocabulary relating to the alternative fuels covered inthis paper...................................................................................................................... 4
Introduction................................................................................................................... 5
1 Global Frameworks for GHG Reduction Targets .................................................... 6
2

Japan’s Actions with regard to Reduction Targets .................................................. 8(1) Challenging for net zero GHG in international shipping by 2050 ......................... 8(2) Promoting carbon neutrality in coastal shipping .................................................. 93 GHG Emissions Reduction Technology ................................................................ 14
4

Alternative fuels .................................................................................................... 19(1) Carbon neutral fuels/zero emissions fuels ......................................................... 21i) Biofuels............................................................................................................. 21ii) Carbon recycled methane................................................................................ 22iii) Biomethanol/synthetic methanol ..................................................................... 22iv) Ammonia fuel .................................................................................................. 22v) Hydrogen fuel .................................................................................................. 23(2) Greenhouse gas reduction effect, etc. ............................................................... 24

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Examples of Initiatives to Promote Carbon Neutrality in Japan ............................ 26(1) LNG fuel ferries ................................................................................................. 27(2) EV Tanker Asahi................................................................................................ 28(3) Actual ship testing with use of biofuels .............................................................. 29

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Future Prospects................................................................................................... 30

Conclusion .................................................................................................................. 31
References……………………………………………………………………………………32

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(Acronyms and common environment-related vocabulary used inthis paper)
BOG

Abbreviation of Boil Off Gas: Gas that evaporates due to natural heatthat enters from outside the storage tank when transporting or storing
low-temperature fluids such as LNG.

CCC

Abbreviation of Carriage of Cargoes and Containers.
Sub-Committee on Carriage of Cargoes and Containers (IMO)

CCS

Abbreviation of Carbon dioxide Capture and Storage.

CII

Abbreviation of Carbon Intensity Indicator: A rating system based on
the results of the annual fuel consumption of existing vessels.

COP

Abbreviation of Conference of the Parties.

EEDI

Abbreviation of Energy Efficiency Design Index: An energy efficiency
index to limit the carbon dioxide emissions volume per transport work
(g of CO2 per ton-mile) in the design/construction stage of newlybuilt vessels.

EEXI

Abbreviation of Energy Efficiency Existing Ship Index: An energy
efficiency index to limit the carbon dioxide emissions volume pertransport work (g of CO2 per ton-mile) of existing vessels.

FAME

Abbreviation of Fatty Acid Methyl Ester: A biofuel (biodiesel)
generated through a reaction of vegetable oil and methanol.

FC

Abbreviation of Fuel Cell.

GHG

Abbreviation of Greenhouse Gas: Gases in the atmosphere such ascarbon dioxide, methane and nitrous oxide that produce thegreenhouse effect by partly absorbing the infrared radiant energy
from the earth’s surface.

HVO

Abbreviation of Hydrotreated Vegetable Oil: A biofuel (biodiesel)
produced from hydrotreated vegetable oil.

IMO

Abbreviation of International Maritime Organization

IPCC

Abbreviation of Intergovernmental Panel on Climate Change

MEPC

Abbreviation of Maritime Environment Protection Committee

MSC

Abbreviation of Maritime Safety Committee.

SVO

Abbreviation of Straight Vegetable Oil: A biofuel (biodiesel) extracted
from pure plant oil.

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UNFCCC

Abbreviation of United Nations Framework Convention on Climate
Change.

Ammonia slip

The emission of ammonia remaining in exhaust gas into the open
air. Ammonia is not a greenhouse gas but it does have a bad odor
and is toxic.

Carbon neutrality

Zero greenhouse gas emissions from an overall perspective. For
example, when biofuel burns, it does emit carbon dioxide but thevegetation that is used as the base material of the fuel absorbs
carbon dioxide in the atmosphere by means of photosynthesis during
its growth process. Therefore, it is referred to as a “carbon neutral”
fuel because it essentially has zero emissions of carbon dioxide, agreenhouse gas. Net zero has the same meaning.

Carbon recycled Methane that is generated from a reaction between captured carbon
methane (*)
dioxide and renewable energy-derived hydrogen. Also called
synthetic methane (*).
Green/blue/grayfuelGreen fuel: Fuel that is generated using renewable energy-derived
hydrogen.
Blue fuel: Fuel that is generated using hydrogen formed by capturing
carbon dioxide that is produced in the fossil fuel decomposition
process.
Gray fuel: Fuel that is generated using hydrogen formed without
capturing the carbon dioxide that is produced in the fossil fueldecomposition process. Also called brown fuel.

Synthetic
methanol (*)

Methanol that is generated from a reaction between captured carbon
dioxide and renewable energy-derived hydrogen. Also called carbon
recycled methanol and e-methanol.

Zero emissions

Zero GHG emission. For example, when hydrogen fuel and ammonia
fuel burn, they do not generate carbon dioxide, a greenhouse gas,so they are “zero emissions fuels.”

Biodiesel

A biofuel for diesel engines. It is produced from rapeseed oil, soy oil,sunflower oil and waste edible oil, etc., which undergo a chemical
reaction to make them easier to use as fuels. Efforts are being madefor use of SVO, FAME, and HVO.

Biomethanol

Methanol generated by gasifying and distilling raw materials derived
from plants such as wood/vegetation.

Methane slip

The emission of unburnt methane in LNG fuel into the atmosphere.
Methane has a greenhouse gas effect that is 28 times stronger thancarbon dioxide.

*) In this paper, “synthetic fuel” refers to fuel that uses captured carbon dioxide and hydrogen derived
from renewable energy and that is deemed to be carbon neutral.

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Standard types of environmental vocabulary relating to thealternative fuels covered in this paper

4Introduction
Climate change is an issue confronting humanity as a whole. There are movements
around the world to reduce greenhouse gases (GHG), and Japan has announced its
goal of being carbon neutral by 2050. GHG reduction is an issue that is being tackled
throughout all industries, including the shipping industry, where efforts to reduce GHGs
are being promoted.
In order to reduce GHG emissions from ships, various technological developments
are being promoted. Efforts are being made toward technological developments andsystem creation for the use of alternative fuels that do not generate any carbon dioxide,
such as hydrogen and ammonia, which have never been used as ship fuels. However,
it is undeniable that relevant information tends to be complex and specific to each field.
This paper gathers the basic data regarding efforts to reduce GHG emissions fromships, and a summary of related technologies and alternative fuels, with a primary focus
on ship operators, ship owners and ship crews, etc. who work in shipping but who are
unfamiliar with existing efforts to reduce ship GHG emissions. More than a year has
passed since the first edition was published, and the content has been updated as ofMarch 2024, in line with changes such as revisions to the IMO GHG reduction strategy
during that time. The second edition can also be accessed via the website of the Japan
Association of Marine Safety (https://www.nikkaibo.or.jp) as the first edition could be.
We hope that this paper will prove useful in helping readers to deepen theirunderstanding of the current status of efforts to reduce GHG emissions from ships andthat shipping industry can adapt to the process of reducing GHG emissions from ships
without confusion.
Key points of this paper〇 GHG emissions reduction in international shipping has been discussed by IMO, and the
reduction targets which had been set by IMO were revised in July 2023. GHG emission
volumes in coastal shipping are calculated separately by each country. In Japan, thegovernment has set its reduction targets in the “Plan for Global WarmingCountermeasures.”〇 In Japan, based on the characteristics of international shipping and coastal shipping,various efforts are being promoted, both tangible and intangible, to develop technology andcreate systems to reduce GHG emissions.
〇 Various technologies to promote GHG emission reductions continue to be researched anddeveloped, although some of them, such as LNG-fueled ships in service, are in the stageof social implementation.
〇 Various technologies undergoing research and development, including technologies for
introducing ammonia fuel, which has never been used as shipping fuel before, will be
implemented in society through pilot testing in the near future.

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1

Global Frameworks for GHG Reduction Targets
International greenhouse gas (GHG) reduction discussions are taking place under

the United Nations Framework Convention on Climate Change (UNFCCC). At the
UNFCCC COP21 in 2015, the Paris Agreement was adopted as the internationalframework for countermeasures to global warming for 2020 onwards, which came into
effect in November 2016. In addition to stating the global shared goals, including
keeping a global temperature rise this century well below 2 degrees Celsius above
pre-industrial levels and pursuing efforts to limit the temperature increase even further
to 1.5 degrees Celsius, the Paris Agreement places the obligation on each country to
renew and submit its GHG emissions reduction/control targets every 5 years. Eachcountry examines its own targets for GHG emissions in coastal shipping by calculating
the emissions volume within the framework of the UNFCCC Paris Agreement.
On the other hand, in international shipping, the relationships among ship registration
countries, operators and the nationalities of cargo owners, etc. are complicated, andcountries concerned are diverse, which does not fit within the framework of UNFCCC
county-based reduction measures. Therefore, in the Kyoto Protocol adopted at theThird Session of the Conference of the Parties to the United Nations Framework
Convention on Climate Change (COP3) in Kyoto in 1997, the International Maritime
Organization (IMO) was entrusted with investigating these issues under the Kyoto
Protocol.
As of 2018, carbon dioxide (CO2) emissions from international shipping compriseapproximately 2.1% of global total CO2 emissions. This amount corresponds to theCO2 emissions volume of a single German country. If no countermeasures were taken,
emissions would increase to about 7.0% by 2050. (see Fig. 1)1)
In view of this situation, in 2018, IMO formulated the GHG Reduction Strategy which
aimed at:i)

reducing CO2 emissions by 40% or more per transport work by 2030 (compared

to 2008),ii)

reducing GHG emissions by 50% or more by 2050 (compared to 2008), andiii)

realizing zero emissions as soon as possible in this century.

The GHG reduction strategy is reviewed every five years, and the revision shown in
Table 1 was made in July 2023.

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Source: MLIT: “Current status of coastal shipping CO2 emissions and related environments, etc.”

Fig. 1 CO2 emissions from international shipping
Table 1 2023 IMO GHG Reduction Strategy (Main points)
Timeframe

2030“Levels of ambition” to beachieved
5-20% use of zero-emission fuel,etc.
40% or more reduction in CO2emissions per transport work
(compared to 2008)

70-80% reduction in GHG emissions(compared to 2008)

2040
By or
around 2050

“Indicative checkpoints” to reachnet-zero GHG emissions
20-30% reduction in GHG emissions(compared to 2008)

Zero GHG emissions (Net-zero)In terms of international shipping GHG reduction measures, the energy efficiency of
newly-built vessels has been regulated (EEDI regulations) since 2013. As an energy
efficiency improvement measure for existing vessels that were not covered by EEDI
regulations, the IMO adopted a draft amendment to the International Convention for thePrevention of Pollution from Ships (MARPOL) in 2021 in order to introduce the Energy
Efficiency Existing Ship Index (EEXI) and the Carbon Intensity Indicator (CII), whichcame into effect on January 1, 2023.
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2Japan’s Actions with regard to Reduction Targets(1)

Challenging for net zero GHG in international shipping by 2050

Amid growing global momentum toward decarbonization, the aim of achieving“carbon neutrality by 2050” was declared in the Prime Minister’s general policy speechin October 2020. Also, in October 2021, the Japanese Shipowners’ Association
announced that “the Japanese shipping industry will take on the challenge of net zero
GHG by 20502).” In addition, MLIT announced that “Japan will propose to the IMO thetarget of becoming carbon neutral by 2050 3).” Furthermore, in 2021, Japan, together
with the United States, the United Kingdom and other countries, jointly proposed a
new target of reducing GHG emissions to zero by 2050 (carbon neutrality by 2050)
with regard to the IMO GHG reduction strategy, and the IMO adopted a revised
reduction strategy that aims to achieve zero GHG emissions (net zero) by or around2050. Initiatives toward a reduction in GHG emissions are intensifying.
Japanese international shipping has already increased the number of LNG fueloperated ships, and is promoting other efforts toward net zero GHG, including theoperation of bulk carriers equipped with hard sail wind power propulsion systems. In
order to achieve carbon neutrality in international shipping, it is essential to switch fromtraditional heavy oils to zero emissions fuels such as hydrogen and ammonia.
Therefore, in the International Shipping Zero GHG Emissions Project established in2018 through industry-academia-government-public cooperation, in addition topresenting two scenarios toward emissions reductions in March 2020, namely, atransition

from

LNG→carbon-recycled

methaneandtheincreaseduseofhydrogen/ammonia fuels, a roadmap was presented toward realizing zero emissions
ships (ships that achieve an improvement in energy efficiency of 90-100% compared
to 2008). The timeframe of 2028-2030 was given for the introduction of zero emissions
ships. R&D is now being promoted toward that goal, technical verifications are being
conducted, and systems for the construction and operation of zero emissions ships
are being developed. From 2030 onward, while it is expected that zero emissions ships
will move toward wider use, it is important to provide onshore supply systems foralternative fuels. (see Fig. 2)4)8

Source: From MLIT’s “Roadmap toward zero emissions in international shipping”

Fig. 2 Summary of the roadmap toward realizing zero emissions ships(2) Promoting carbon neutrality in coastal shipping
Based on the Paris Agreement adopted at COP21 in 2015, the Plan for Global
Warming

Countermeasureswasapproved by cabinet decision in May
2016. The target for the transportationindustry as a whole for FY 2030 was
set as a reduction in carbon dioxide(CO2) emissions of 27% compared to
FY 2013. With this in mind, the target
for coastal shipping for FY 2030 wasa reduction in CO2 emissions of 15%(approx. 1.57 million tons) compared
Fig. 3 Transition in targets for CO2
emissions reductions in coastal
shipping by FY 2030

to FY 2013 (approx. 10.83 million
tons).
In view of the announcement of theaim of realizing “carbon neutrality by 2050” in the Prime Minister’s general address in
October 2020, and the increasing need to intensify and accelerate efforts toward CO2
reduction in all areas, the “Committee for Carbon Neutrality Promotion in Coastal

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Shipping” was held by MLIT in April 2021. Later, at the end of 2021, the findings of thiscommittee were published5).
In October 2021, the Plan for Global Warning Countermeasures was revised, raising
the transportation industry as a whole to a reduction in CO2 emissions of 46% by FY
2030 compared to FY 2013. Therefore, the coastal shipping CO2 reduction target wasalso raised to a reduction of 17% (approx. 1.81 million tons) by FY 2030 in comparison
to FY 2013 (approx. 10.83 million tons). (see Fig. 3)
With regard to efforts to save energy and reduce CO2 emissions in coastal shipping,shipyards and ship manufacturers have so far been developing proprietary energysaving/low CO2-emission equipment and vessels, including energy-saving ships andhigh-efficiency engines, which have been introduced by shipping businesses. In
addition, ship operations that contribute to energy-saving and a reduction in CO2 arebeing carried out, while MLIT has also implemented various measures to promote theefforts of businesses in cooperation with other related Ministries. As a result, from FY
2013 to FY 2019, a reduction in CO2 emissions of approx. 450,000 tons was achieved,
but further efforts toward emissions reduction are required. In the findings of theCommittee for Carbon Neutrality Promotion in Coastal Shipping, in order to achieve
the CO2 emissions reduction target for FY 2030 stated in the Plan for Global WarmingCountermeasures and to achieve Japan’s contribution to carbon neutrality for 2050, it
is important to engage in the two pillars of “the pursuit of greater energy-saving forships” and “support for pioneering efforts toward the use of alternative fuels in coastal
shipping, etc.” The orientation of policies for engagement was summarized in thefindings, and, on that basis, efforts toward the reduction and elimination of carbon incoastal shipping are being promoted.
i) Pursuit of greater energy-saving for ships in order to achieve the FY 2030 target
In the findings of the "Committee for Carbon Neutrality Promotion in Coastal
Shipping," the development/wider use of “Coordinated Energy-saving Ships” in new
ship building, further improvements in the use of biofuels and greater navigation
efficiency by existing ships, and the visualization of energy-saving and low carbon
strategy were listed as immediate CO2 emission reduction measures to achieve theCO2 emission reduction target for FY2030.
“Coordinated Energy-saving Ships” are coastal vessels that achieve greater energysaving/ CO2 emission reduction through a combination of energy-saving ship hardware,
corporation with cargo owners and other entities and new tangible and intangible
energy-saving technologies and measures on land and in ports. Specifically, the aim is10

to achieve greater energy-saving/ CO2 emission reduction through a combination of
new technologies and methods in cooperation with efforts of cargo owners and onshore/port facilities, etc., including fuel consumption reduction by hybrid propulsion
through a partial conversion to battery power for engines and power generators,
navigational optimization by introducing navigation support equipment using automaticnavigation/remote control technology and shared digital platforms, time and labor saving
for cargo loading/unloading and pier docking/undocking by introducing remote centralized
systems for cargo handling, automation/electrification of cargo loading/unloading and pierdocking/undocking equipment, and shutting-off power generators when being berthedusing shore power system and high-capacity storage cells, as well as further advancementof current energy-saving technologies by developing standard type of ship optimal forenergy conservation and promoting further engine efficiency, etc.
With the objective of facilitating the introduction of coordinated energy-saving ships
by businesses, MLIT is developing a model coordinated energy-saving ship, and, inorder to investigate coordinated energy-saving ship concepts and to develop
exemplary model ships, it established the “Committee for Development and Promotionof Coordinated Energy-saving Ship” in June 2022. In July 2023, the concept of
coordinated energy-saving ship for general cargo ships, tankers, 749GT cement
carriers, 5000GT cement carriers, Roll-on/Roll-off ships, long course service ferries,and small and medium-sized passenger ships was compiled and made public6). With
the idea of ship construction and introduction from FY2023 onwards in mind, efforts
toward coordinated energy-saving ship development and promotion are continued.
On the other hand, because current diesel systems can be used as they are or withminor improvements, it is expected that biofuels will be used as an initiative toward
reducing CO emissions from existing vessels. MLIT established the “Committee for2

the Formulation of Guidelines for the Handling of Biofuels on Ships” in July 2022, whichis examining the formulation of guidelines to enable the safe and efficient handling of
biofuels. In March 2023, “Guidelines for Handling Biofuels on Ships” was published7).
An essential element of energy-saving and CO2 emission reduction measures forexisting vessels is to aim for further improvement of navigation efficiency. To that end,
efforts are being made to further improve navigation efficiency, including the
introduction of shared digital platforms to optimize vessel assignment plans and sailingplans for entire fleets by feeding back voyage information, such as efficient vessel
assignment according to transportation demand and delays caused by weather/sea
conditions, to vessel assignment plans, and by saving time for cargo loading/unloadingand pier docking/undocking through the introduction of automation/electrification.
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To implement initiatives toward further energy-saving in order to achieve thesetargets for FY 2030, it is important that there is coordination between related parties,
including cargo owners, operators, ship owners and shipyards. In order for these relatedparties to use their efforts toward energy-saving/ CO2 emission reduction as a meansof highlighting their appeal to the outside world, an “Energy-saving rating program forJapan’s coastal ships” is being operated which visualizes and evaluates the energysaving/ CO2 emission reduction effect of Japan’s coastal vessels. As of the end of
December 2023, ratings had been applied to 170 ships. MLIT is promoting efforts to“visualize” the energy-saving/ CO2 emission reduction effect of coastal vessels,
including efforts to further disseminate this program. (see Fig. 4)5)

Source: From MLIT “Carbon Neutral Port (CNP) Review Meeting” findings

Fig. 4 Roadmap for coordinated energy-saving ships, etc.
ii) Support for pioneering efforts toward the use of alternative fuels, etc. toward 2050
In order to achieve the CO emissions reduction targets for FY 2030 stated in the Plan
2

for Global Warming Countermeasures, while the pursuit of further energy-saving forships through the development and promotion of coordinated energy-saving ships is an
important action in the short-term, at the same time, it is also necessary to promote theutilization of alternative fuels and other innovative initiatives that will contribute to Japan
becoming carbon neutral by 2050.
The Committee for Carbon Neutrality Promotion in Coastal Shipping has therefore
identified a number of environmental improvements to support innovative initiatives
toward 2050, including support for the demonstration and introduction of LNG-fueled
ships, hydrogen FC (fuel cell) ships, and battery-powered ships; support for12technological development in connection to hydrogen-fueled ships/ammonia-fueled
ships; and the formulation of safety guidelines for gas-fueled ships.
With regard to the reduction and elimination of carbon emissions using LNG-fueled
ships, hydrogen FC (fuel cell) ships and battery-powered ships, etc., businesses haveeagerly commenced trial introductions, including coastal vessels. As introduced laterin “5: Examples of initiatives to promote carbon neutrality in Japan,” some such ships
are already in service and are operational. MLIT, in coordination with other relevant
Ministries, is conducting projects to support the construction of such low- and decarbonized ships. More of these ships will be introduced from FY 2030 onwards as thetechnology matures, costs reduce and fuel supply infrastructure is put in place.
Hydrogen-fueled ships and ammonia-fueled ships are gradually being introduced
from the latter half of 2020 primarily as ocean-going ships, but they can also be usedas larger coastal vessels in some cases. In order to steadily proceed with thedevelopment and demonstration trial of the engines, fuel tanks and fuel supply
systems of such next-generation ships, support is being provided through the “NextGeneration Ship Development Project,” a Green Innovation Fund Project.
In terms of providing the environment needed for the wider use of gas-fueled ships,
revisions are being made to the fuel cell ship safety guidelines that increase thefreedom of design for hydrogen FC ships while also maintaining safety as well as
promoting the provision of safety guidelines for gas-fueled ships. (see Fig. 5) 5)

Source: From MLIT “Carbon Neutral Port (CNP) Review Meeting” findings

Fig. 5 Use of alternative fuels and other potential applications of advanced
technologies

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3

GHG Emissions Reduction Technology
In order to achieve the 2030 and 2050 GHG reduction targets, various technologies

are being developed, including the use of fuels (alternative fuels) to replace
conventional petrol usage, battery-propulsion, and the use of wind power. There will
be an increasing demand for knowledge and skills with regard to GHG reduction
technology. For example, for LNG-fueled ships that are actually being used in society,ship crews who are responsible for handling fuel, including the ships’ captain, chiefengineer and engineers, need to obtain licenses as persons qualified to handle
hazardous substances (low flash point fuel).
With regard to the GHG reduction effect from the main technological developments
and the status of development and other characteristics, in Table 2-(1)-(3) and Table
3, the main findings are divided into technologies relating to power sources for ships,
including the use of alternative fuels, and technologies other than alternative fuels.
Table 2-(1) Characteristics of GHG reduction technology relating to ship powersources (part 1)
LNG-fueled ships
Reduction effectDevelopment
status, etc.

o Carbon dioxide reduction oeffect of approx. 25% incomparison to conventional
petroleum8).

LPG-fueled ships
Carbon dioxide reduction oeffect of approx. 16% incomparison to conventional
petroleum9).

Biofuel ships(biodiesel)

When navigating,carbon dioxide is
generated, but it isviewed as being
carbon neutral becauseof the absorption ofcarbon dioxide in thegrowth process ofthe vegetation that isused as raw materials
for the fuel.
o Already introduced for o In addition to being introduced o Sailing trials havetugboats and large ships.
for LPG transport ships, there
commenced for smallo Technology is beingis the potential for introduction
ships such as
in some commercial ships,
tugboats and tourist
developed to reduce
methane slip (Theincluding the acquisition ofships as well as
emission of unburnt
basic design approval forlarger ships.
methane in LNG fuel into
LPG-fueled large bulk carriers o Existing equipment
can be used including
the atmosphere. Methanefrom the Nippon Kaiji Kyokai
has a greenhouse gas(ClassNK) by domestic
diesel engines.
effect that is 28 times
shipyards10).
stronger than carbon
dioxide).
o In som e regions,bunkering ships havebeen introduced andactual bunkering hascommenced.

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Issues and other o Operator training is onotes
required for bunkering
technology and fuelsupply systems that differ
from those of petrol-firedoships.
o Wider use is expected asa gateway to zero GHG
emissions.
o In the future, there could
be a shift to the use ofcarbon-recycled methane(methane synthesized byreacting captured carbon
dioxide with hydrogen
derived from renewableenergy sources).
o LNG fuel supply systems
are being put in place.

Operator training is required ofor bunkering technology
and fuel supply systems thatdiffer from those of petrol-fired
ships.
Wider use is expected as agateway to zero GHG
emissions.

Securing a stablesupply (in terms of
quality and quantity)
as ship fuel is one of
the issues.

Table 2-(2) Characteristics of GHG reduction technology relating to ship powersources (part 2)
Methanol-fueled ships

Ammonia-fueled ships

Reductioneffecto Conventional methanol fuel has a o Ammonia fuel does not generate carbon dioxidecarbon dioxide reduction effect ofwhen burned.
approx. 10% in comparison topetroleum9).
o During navigation, biomethanol
generates carbon dioxide, but it isviewed as being carbon neutral
because of the absorption of carbon
dioxide in the growth process of thevegetation that is used as raw materials
for the fuel.
o When synthetic methanol (methane
synthesized by reacting captured
carbon dioxide with hydrogen derived
from renewable energy sources) isused in ships, the carbon dioxide
emitted from combustion in the engine
can be captured and reused as acarbon dioxide-derived fuel, so it does
not emit any additional new carbon
dioxide.
Development o Conventional methanol is being used as o Domestic and international manufacturers arestatus, etc.
a fuel for methanol transport ships.
developing ammonia-fired engines, ando Major overseas shipping companies
tugboats and ammonia-fueled ammonia
have made bulk orders for thetransport ships are currently under design (seeconstruction of large container ships
Fig. 6)12).
that use biomethanol fuel/synthetic
methanol fuel11).
Issues and o In order to make biomethanol fuel o Countermeasures are needed for the nitrous
other notes
ships/synthetic methanol fuel ships
oxide (N2O: Has a greenhouse effect 265
more common, the large-scale
times greater than carbon dioxide) generated

15

reinforcement of biomethanol/synthetic
methanol production and supply
systems is required.

ooowhen ammonia is burned.
The development of bunkering technology isrequired.
Ammonia must be handled appropriately
because of the bad odor and toxicity.
Operator training is required for bunkering
technology and fuel supply systems that differ
from those of petrol-fired ships.

Source: MLIT Website: Toward the achievement of carbon neutrality in international shipping by 2050
(March 2022 International Shipping Zero GHG Emissions Project)

Fig. 6 Process of ammonia-fueled ship development and operation

Table 2-(3) Characteristics of GHG reduction technology relating to ship powersources (part 3)
Hydrogen-fueled ships

Hydrogen fuel cell ships

ReductioneffectElectric propulsion ships (EVships: Battery ships)o Hydrogen fuel itself does o Does not generate o Does not generate
not generate greenhousegreenhouse gas.
greenhouse gas.
gas.
Development o Manufacturers in Japan o Small tourist ships, o Already introduced instatus, etc.
and overseas are working
pleasure boats and othersmall-to-medium ships
on developments including
small-to-medium ships are
such as lithium-ion cellbeing developed andpowered mid-size coastalhydrogenfired-engines
trialed.
tankers and small ferries.
(See Fig. 7)12).
o In Japan, pilot plants arebeing constructed for o (In other countries,
facilities for small oceanammonia fuel cell ships
going liquefied hydrogenare being developed.)

16

carriers and hydrogencargo loading/unloading
facilities, and verification
tests are being conducted
for the construction of
supply chains.
Issues and o The volume of hydrogen o Suited to use for short- o Suited to use for shortother notes
against the heat value isdistances and small-todistances and small-toenormous (approx. 450%
medium ships due tomedium ships due togreater than petrol inlimitations on fuel tanks
limitations on batteryliquefiedcondition),and output.
capacity.
necessitatingthedevelopment of tanks with o Low-vibration and low- o Low-vibration and lowsuperior capacity efficiency.
noise.
noise.
BOG countermeasures arealso required.
o The development of
bunkering technology isrequired.
o Operator training isrequired for bunkering
technology and fuel supply
systems that differ fromthoseofpetrol-fired
ships.

Source: MLIT Website: Toward the achievement of carbon neutrality in international shipping by 2050
(March 2022 International Shipping Zero GHG Emissions Project) (partial amendment)

Fig. 7 Development of ship hydrogen engines and ship hydrogen fuel tanks
and fuel supply systems

17

Table 3 Characteristics of GHG reduction technology other than alternative fuelsWind propulsionoOn-board CO２capture
equipment(See (Fig. 9))

o
o
o
o

Energy-saving
technologyoTechnology that contributes to propulsion for existing fuel ships using hard sails
and kites is being developed. (See Fig. 8)
The degree of contribution depends on natural conditions.
80% of the carbon dioxide in exhaust gas can be captured.
On-board trials are being conducted.
Issues include the miniaturization of capture equipment and the need toconstruct systems to receive the captured carbon dioxide.
Energy-saving technologies are being introduced to further improve efficiency,
including air lubrication (reduces hull resistance by using a ventilator to form
small air pockets on the underside), changes in bow and stern shapes of theship, propeller improvement (counter-rotating propellers, propeller boss cap fins,etc.), rudder appendage (attachment of fins to rudder, etc.), waste heat recovery
systems, antifouling paints and the use of onshore power supply when being
berthed.

Source: Provided by Mitsui OSK Lines/Tohoku Electric Power
Shofu Maru bulk carrier with hard sail propulsion system

Source: Provided by Kawasaki Kisen Kaisha Ltd.
Illustration of a ship with automated kite system

Fig. 8 Ships equipped with wind propulsion systems

Fig. 9 CO2 capture system (amino absorption: conceptual diagram)18

4

Alternative fuels
In order to realize carbon neutrality in international shipping, in addition to pursuingenergy-saving technology, it is expected that there will be a conversion from petroleum,
which is currently being used, to LNG (a low-carbon fuel), biofuels (carbon neutral fuels
currently in the verification stage), carbon recycled methane and synthetic methanol,
which have the potential to be carbon neutral fuels, and then to zero emission
alternative fuels.
Efforts are being made to develop and examine the technology and systems for zero
emissions ammonia-fueled ships, which will commence trial sailing from 2026,
and hydrogen-fueled ships, which will commence trial sailing from 2027.
The illustration below shows the conversion of fuels in international shipping (see Fig.
10)13).

Source: From MLIT “Efforts toward carbon neutrality in international shipping by 2050” (partiallyamended)Fig. 10 Ship fuel conversion diagram
Of these alternative fuels, LNG is expected to transition to carbon-recycled methane
and, in the future, to zero-emission fuels. LPG may also serve as a gateway to zeroemission fuels, which are sometimes referred to as bridge fuels. In contrast, biofuelssuch as biodiesel and biomethanol are considered carbon neutral fuels because thevegetation used as raw materials absorb carbon dioxide from the atmosphere during
their growth, so even if carbon dioxide is emitted when they are burned, the total
greenhouse gas emissions are considered zero. Carbon recycled methane andsynthetic methanol, which are generated from captured carbon dioxide and renewableenergy-derived hydrogen, have the potential to be carbon neutral fuels in the future.
19

Hydrogen fuel and ammonia fuel do not generate carbon dioxide and other GHG whenburned, and are therefore called zero emissions fuels (see Fig. 11).
Table 4 shows the carbon neutral fuels and zero emissions fuels with the potential
for use as fuel for ships.

Fig. 11 Carbon neutral fuel and zero emissions fuel conceptual diagram.
Table 4 Carbon neutral fuels and zero emissions fuels with the potential for
use as fuel for ships

Classification
CarbondioxideemissionsGreenhousegas
byproducts

Storedcondition(liquefied
condition)

Biofuel(biodiesel)

Carbon recycled
methaneCarbon neutral
fuelEffectively zeroCarbon neutral
fuelEffectively zero
(*)

None

Methane(28 times
greater global
warming
potential thancarbon dioxide)
Super-lowtemperature or
increasingpressure(boiling point
approx. -162℃)

Normaltemperature/nor
mal pressure

Biomethanol/
synthetic
methanol
Carbon neutral
fuelEffectively zero
(*)
None

Normaltemperature/nor
mal pressure

20

Ammonia

HydrogenZero emissions
fuel
Zero

Zero emissions
fuel
Zero

Nitrous oxide(265 times
greater global
warming
potential thancarbon dioxide)
low-temperatureo r i n cr e a s i n gpressure(boiling point 33℃)

None

Super-lowtemperature or
increasingpressure(boiling point 253℃)

Compatible
enginesOn-board
storage/supply
systemBunkering
technology
Bunkeringequipment

Existing petrol
fired-ship
engines
Existing petrol
fired-ships
systemExisting petrol
fired-ship
technology canbe usedEnhancement
required

Existing LNG
ship engines
Existing LNG
ship system
Existing LNG
ship technology
can be used
Existing LNG
ship technology
can be used

Existing
methanol ship
engines
Existing
methanol ship
systemExisting
methanol shiptechnology canbe usedTo be installedUnderdevelopment

Under
development

Under
development

Under
development

Under
development

Under
development

Under
development

Under
development*Carbon recycled methane and synthetic methanol have the potential to be carbon neutral fuels in the future(1) Carbon neutral fuels/zero emissions fuels
Fuels that can be used by ships potentially include biofuel and biomethanol, which
are carbon neutral, carbon recycled methane and synthetic methanol, which have thepotential to be carbon neutral fuels in the future, and ammonia and hydrogen, which are
zero emissions fuels. An outline of each fuel is given below.
i) Biofuels
Biofuels are produced using vegetation as the raw material, which absorbs carbon
dioxide from the atmosphere during their growth. They are viewed as being carbon
neutral fuels because, even though they emit carbon dioxide when burned, from an
overall perspective, they have zero GHG emissions.
Biofuelfordieselengines is generally called“biodiesel.” Efforts arebeing made for the use of
three different biofuels fordieselengines,straight

namely,vegetableoil(SVO), fatty acid methyl
ester (FAME), which is

Source: From MLIT “Efforts toward carbon neutrality ininternational shipping by 2050” (partially amended)

produced through a reaction

Fig. 12 Supply of fuel to ships (bunkering)

between vegetable oil and methanol, and hydrotreated vegetable oil (HVO). In addition
to trial operations of large ships and small ships, such as tugboats and tourist ships,
some supply on a commercial basis through ship-to-ship bunkering (see Fig.12)13) alsobegan in Japan in April 202314).

21ii) Carbon recycled methane
Carbon recycled methane is methane that is produced (methanation) from a reaction
between captured carbon dioxide and renewable energy-derived hydrogen, which has
the potential to be recognized as a carbon neutral fuel in the future. It can also be usedin existing LNG-fueled ships. In addition to developing and testing carbon dioxide
separation/capture and methanation technologies, investigations are being made into
zero carbon dioxide emissions from ships (see Fig. 13)13).

Source: From MLIT “Efforts toward carbon neutrality in international shipping by 2050”(partially amended)

Fig. 13 Reference image for investigation of zero Co2 emissions on shipsiii) Biomethanol/synthetic methanol

Although the carbon dioxide reduction effect when burning conventional methanol
fuel is only around 10% in comparison to petroleum, biomethanol is produced using
vegetation as the raw material, which absorbs carbon dioxide from the atmosphere,
so it is viewed as being a zero emissions fuel from an overall perspective even though
it emits carbon dioxide when burned. Synthetic methanol, which is produced from areaction between captured carbon dioxide and renewable energy-derived hydrogen,also has the potential to be recognized as a carbon neutral fuel in the future. A major
overseas shipping company has made bulk orders for the construction of large
container ships that use biomethanol fuel/synthetic methanol fuel11).
iv) Ammonia fuelAmmonia includes green ammonia that is produced by synthesizing hydrogengenerated by electrolyzing water using power from renewable energy sources (greenhydrogen) and nitrogen separated from the atmosphere, blue ammonia that is producedby synthesizing hydrogen produced capturing carbon dioxide generated in the processof the decomposition of fossil fuels (blue hydrogen) and nitrogen separated from the22atmosphere, and gray ammonia that is produced by synthesizing hydrogen produced
without capturing carbon dioxide generated in the process of the decomposition of fossil
fuels (gray hydrogen) and nitrogen separated from the atmosphere (see Fig. 14).
Ammonia is currently widely used as manure and for industrial use, with gray ammonia
that emits carbon dioxide in its production process being the most common. In the future,
it will be necessary to transition to blue ammonia and green ammonia. In order to makeuse of ammonia fuel, which has a high greenhouse gas emissions reduction effect, R&D
is being carried out with regard to compatible engine equipment and bunkering
technology, and the necessary systems and infrastructure will also be developed.

Fig. 14 Green ammonia (hydrogen), blue ammonia (hydrogen) and grayammonia (hydrogen)v) Hydrogen fuelHydrogen includes green hydrogen that is produced by electrolyzing water using
power from renewable energy sources, blue hydrogen that is produced capturing
carbon dioxide generated in the process of the decomposition of fossil fuels, and grayhydrogen that is produced without capturing carbon dioxide generated in the processof the decomposition of fossil fuels (see Fig. 14). In order to make use of hydrogenfuels, which are highly effective in reducing greenhouse gas emissions, in addition to23

conducting R&D regarding equipment such as compatible engines and bunkering
technology, the necessary systems and infrastructure will be developed.
(2) Greenhouse gas reduction effect, etc.
Table 5, Table 6 and Table 7 show the effectiveness in reducing greenhouse gas
emissions, supply chain conditions and physical properties for biofuels and biomethanol
which are carbon neutral fuels, carbon recycled methane and synthetic methanol whichhave the potential to be carbon neutral fuels in the future, and ammonia and hydrogen
which are zero emission fuels
Table 5 Characteristics of different fuels in terms of “effectiveness in reducing
greenhouse gas emissions”
Biofuel (biodiesel)

C a r bo nmethanerecycled

Biomethanol/synthetic
methanolAmmonia

Hydrogeno Biofuels are produced using vegetation as the raw material, which absorbs carbon
dioxide from the atmosphere. They are viewed as being carbon neutral fuels because,even though they emit carbon dioxide when burned, from an overall perspective, they
have zero GHG emissions. Therefore, they are classified as being carbon neutral in
the IPCC Guidelines (Guidelines for National Greenhouse Gas Inventories).
o IMO is developing a procedure for evaluating the CO2 reduction effect of biofuel in life
cycle, so it will be necessary to pay close attention to future trends.
o The carbon dioxide emitted during engine combustion on board is derived from thecaptured carbon dioxide, so it does not emit any additional new carbon dioxide.
o Carbon-recycled methane could be considered carbon neutral, although this is not
currently explicitly stated in the IPCC guidelines that outline the methodology forcalculating greenhouse gas emissions.
o Monitoring and mitigation measures are required for methane slip (emission of unburnt
methane in fuel into the atmosphere. Methane has 28 times greater global warming
potential than carbon dioxide).
o Biomethanol is produced using vegetation as the raw material, which absorbs carbon
dioxide from the atmosphere. It is viewed as being carbon neutral fuel because, eventhough it emits carbon dioxide when burned, from an overall perspective, it has zero
GHG emissions. Therefore, it is classified as being carbon neutral in the IPCC
Guidelines.
o In the case of synthetic methanol, carbon dioxide is emitted during engine combustion
on board but it is derived captured carbon dioxide, so it does not emit any additional
new carbon dioxide.
o Synthetic methanol could be considered carbon neutral, although this is not currently
explicitly stated in the IPCC guidelines that outline the methodology for calculating
greenhouse gas emissions.
o Green ammonia does not generate carbon dioxide throughout its lifecycle fromproduction to consumption.
o Blue ammonia that undergoes carbon dioxide capture and storage (CCS) in the
production process essentially has minuscule greenhouse gas emissions.
o Monitoring and mitigation measures are required for nitrous oxide generated throughcombustion (N2O: Has a greenhouse effect 265 times greater than carbon dioxide).
o Green hydrogen does not generate carbon dioxide, etc. throughout its lifecycle fromproduction to consumption.
o Blue hydrogen that undergoes carbon dioxide capture and storage (CCS) in the
production process essentially has minuscule greenhouse gas emissions.
o Hydrogen can be used in the production of ammonia, carbon recycled methane andother zero emissions fuels and carbon neutral alternative fuels.

24

Table 6 Characteristics of different fuels in terms of “supply chain conditions”
Biofuel (biodiesel)

C a r bo nmethanerecycled

Biomethanol/synthetic
methanolAmmonia

Hydrogeno The vegetation used as raw material include cereals and may also be used as foodand fodder. There is also demand from various industries, including aviation,
automobiles and business. A stable supply of biodiesel, known as the second
generation, made from microalgae, waste cooking oil, etc., is needed.
o The bunkering infrastructure and technology of existing petrol fired-ships can beused. In Japan, Ship-to-Ship bunkering (see Fig. 12)13) has started in some areas14).
o More expensive than petroleum.
o Can make use of the LNG supply chain.
o Can make use of the bunkering infrastructure and technology of LNG-fueled ships.
o Technology is being developed and tested for carbon dioxide separation and capture
from factories as well as large-scale methanation.
o More expensive than LNG.
o In order to ensure a stable supply as fuel for ships, it will be necessary to greatly
reinforce production and supply systems.
o Major shipping companies in other countries are strengthening cooperative
relationships with biomethanol/synthetic methanol supply companies.15)
o Ammonia is already being produced in many countries as a raw material for
fertilizers, and technologies for its transport and storage are already in place, but
infrastructure needs to be developed for its use as ship fuel.
o The equipment and technology for bunkering for use as fuel for ships is required.
Currently, Japanese companies are getting involved in this, while research into the
supply chain for use as fuel for ships in other countries is being promoted, including
Ship-to-Ship bunkering (see Fig. 12)13)16).
o Cheaper than liquefied hydrogen.
o Hydrogen can be manufactured from various energy sources, and, in the future,
there is the potential to construct a stable supply chain procured from various
countries.
o The equipment and technology for bunkering for use as fuel for ships is required. In
Japan, small ocean-going liquefied hydrogen carriers and pilot facilities for hydrogencargo loading/unloading are being constructed and tested17).
o When liquefied, production costs are higher than for ammonia.

Table 7 Characteristics of different fuels in terms of “physical properties”
Biofuel (biodiesel)o Can be used with existing petrol fired-engines.
o Increase of 10-20% of nitrogen oxides (NOx) when using FAME compared topetroleum. However, at MEPC 78 in June 2022, in the case that there are nochanges to NOx core products, and settings/operational values in the approved
Technical File (handling of motors), unified interpretations were adopted, including
the non-application of the requirement not to “exceed the regulated NOx values”
stated in Annex VI of the International Convention for the Prevention of Pollution
from Ships regardless of the blend ratio.
o For FAME, in particular, it is necessary to use up all of the oil immediately after
supply because it has a greater impact as more time passes.
o It has the following characteristics, which makes it necessary to take certain handlingprecautions, such as temperature control, in-tank water removal, pipe, etc.
inspection and cleaning, and to use antioxidants, etc.
※ Microbes in the vegetable oil used as raw material tend to multiply in the freewater in the tank.
※ In comparison to light oil, it has the characteristic of a lower temperature
fluidity,※ Sediment tends to separate in the piping when replacing fuel because it has
high solubility.

25

Organic acids and sludge tend to be generated due to oxidative deterioration
during longer periods of storage.
Corrodes rubber, and requires consideration for use of oil-resistance of materials.18)
The basic nature is almost the same as LNG, and it can be used in existing LNGfueled ships. Countermeasures for low-temperatures when in a liquefied condition(boiling point of approx. -162℃) are being put in place in LNG-fueled ships.
Although not to the same extent as hydrogen, it has a large volume for its heat value(approx. 240% that of heavy oil), which means that facility-based countermeasures
may be necessary, including securing larger loading areas, or having tanks withsuperior capacity efficiency.
It has a normal temperature/normal pressure when in a liquid state, and is easier tostore and manage than LNG, ammonia and hydrogen.
Must be kept away from flames because it ignites easily.
Must be handled appropriately because it is toxic.
Although not to the same extent as hydrogen, it has a large volume for its heat value(approx. 270% that of heavy oil), which means that facility-based countermeasures
may be necessary, including securing larger loading areas, or having tanks withsuperior capacity efficiency.
The liquefaction temperature is not particularly low (boiling point of -33℃), making
it easier to liquefy, store and manage.
Due to the high ignition temperature, it is non-flammable, so there is a need fortechnology to improve combustion efficiency.
Countermeasures are required due to its metal corrosiveness.
Must be handled appropriately due to the bad odor and toxicity.
Monitoring and mitigation measures are required with regard to ammonia slip
(emission of the ammonia remaining in exhaust gas into the open air).
It has a large volume for its heat value (approx. 450% that of heavy oil), which meansthat facility-based countermeasures may be necessary, including securing larger
loading areas, or having tanks with superior capacity efficiency.
Advanced insulation for storage systems, etc. is required because of the massive
difference from normal temperatures (boiling point of -253℃), and because it
evaporates easily.
Air around liquefied hydrogen is liquefied and drops to the ground, making
storage/supply system countermeasures necessary. Also, appropriate handling isrequired to prevent the formation of ice in the supply lines.
It has high permeability due to the low molecular weight, and low viscosity. It isnecessary to take leak-prevention measures in storage/supply systems including
pipe connections.
Advanced combustion control technology is required in system development due
to the fast combustion speed.
Static electricity and other flame separation measures and sufficient ventilation are
required due to the ease of ignition.
Flame detection measures are required because the flame is colorless and largely
invisible to the human eye.
It is necessary to use metals with superior hydrogen embrittlement resistance.
※

Carbon recycled
methaneBiomethanol/synthetic
methanol

o
o

o

o

Ammonia

o
o
o

o
o
o
o
o
Hydrogen

o

o

o

o

o
o
o
o

5

Examples of Initiatives to Promote Carbon Neutrality in Japan
In Japan, greater efforts than ever are being made toward energy-saving/ CO2

emission reduction in all kinds of fields with a view to becoming carbon neutral by 2050.
In the shipping industry, various efforts are already underway. Some examples of
initiatives for carbon neutrality acceleration that are already being put to actual use orthat are in the verification stage will now be introduced.

26

(1) LNG fuel ferries
In January 2023, the first LNG fuel ferry in Japan went into service. This ship is oneof two ships which Mitsui O.S.K. Lines ordered the construction to Mitsubishi
Shipbuilding Co., Ltd., in 2019, and began to be operated on the route between Osakaand Beppu by MOL Sunflower Ltd.
This ship is the first Japanese ferry to be equipped with a high-performance dual-fuelengine that can use both LNG and heavy oil A as fuel. It has excellent environmental
performance, with carbon dioxide emissions reduced by about 25%, sulfur oxide (SOx)emissions reduced to zero, and nitrogen oxide (NOx) emissions reduced by about 80%.
With a length of 199.9m and width of 28m, and a gross tonnage of 17,114, this ferry isable to carry up to 716 passengers, 137 13-meter trucks and 100 passenger cars at a
speed of 22.5 knots. In comparison to existing vessels that have been operating on the
Osaka-Beppu route since 1997, the number of trucks loaded in the vehicle compartment
has been significantly increased (existing vessels can carry 92 13-meter trucks), andthe drivers’ room has been enhanced as part of a modal shift ( tr ansit ioning fr omtransporting

cargo

by

truck to the use of ships
and railways that have asmaller environmental
burden).
This

initiative

demonstrating the energy
saving effect of ferries
operating in the OsakaBep pu

R out ewasadopted as being part of
LNG powered ferry Sunflower Kurenai harbored in Osaka shortly
before commencing service (December 2022)
Source: Provided by MOL Sunflower Ltd.

the FY 2019 MLIT and
METI
Project

Joint

Research“Demonstration

Project for Comprehensive Efficiency Measures of Coastal Vessels”.
The Mitsui O.S.K. Lines ferry business has placed an order with Naikai Zosen
Corporation for the construction of two more state-of-the-art LNG powered ferries. In
addition to LNG, the ship uses what is known as an ISHIN design for a streamlined
shape with a rounded bow to facilitate the flow of wind by reducing wind pressure fromthe front and side. In addition, the ship can use the power of diagonal headwinds to27

propel the ship. It is also equipped with a small rectangular structure on both the left
and right sides of the upper part of the bow called a Spray Tearing Plate (STEP). This
energy-saving device limits any drop in ship speed and improves fuel consumption by
suppressing resistance from waves on the surface of the water by separating thewaves from the hull. In comparison to conventional ships, carbon dioxide emissions
can be reduced by approx. 35%. Construction is scheduled to be completed in 2025,
after which it will be operated on the Oarai-Tomakomai route by MOL Sunflower
Ltd.19)20)21)(2) EV Tanker Asahi
In March 2022, Asahi, the world’s first battery-powered tanker, went into operation.
Asahi is an electric propulsion tanker driven by a large-capacity lithium-ion battery
developed by e5 Lab Inc. The construction of the tanker was commissioned by Asahi
Tanker Co., Ltd. from KOA Industry Co., Ltd. With a length of 62.0m, a width of 10.3m,
gross tonnage of 492 tons, a sailing speed of approx. 10 knots, and the capacity toload 1,277m of heavy oil in the tank, Asahi is being used as a bunkering ship to supply
3

fuel to ocean-going ships in Tokyo Bay from the fueling station in Kawasaki.
Utilizing a large-capacity battery propulsion system used in coastal vessels that wasdeveloped by Kawasaki
Heavy Industries, Asahi isdrivenbyan

Azimuththruster and a side thruster
poweredbyalarge-

capacity lithium-ion battery
on board the ship (capacityof 3,480kWh). In addition,
this battery can supply all of
the power needed for ship
operation, including deck

Asahi, an operational electric tanker (March 2022)
Source: Provided by Asahi Tanker Co., Ltd.

equipment and on-board power, thereby achieving zero carbon dioxide emissions
during operation.
In addition to reducing the environmental burden in this way, Asahi improves theworking environment for the crew by reducing the noise and vibrations that are common
to conventional diesel ships. Asahi is also equipped with an integrated bridge systemthat integrates all bridge equipment into one system, thereby enabling steering
operations to be carried out by just one person. It has an automatic cargo28

loading/unloading system that can be operated remotely using an explosion-proof tablet,
while other excellent initiatives have also been implemented with regard to arranging
the living room to encourage communication among crew members and providing a
comfortable living environment through interior design. For these reasons, it won thespecial prize in the FY2022 MLIT Award for Safety and Smart Environment for
Seafarers (Triple S) for “Operation of the next-generation electric tanker Asahi thatgives special attention to the work environment of crew members.”
In April 2023, the second vessel Akari built by Imura Shipbuilding Co, Ltd. enteredservice, and together with Asahi, serves as a bunkering vessel based at the Port ofKawasaki.22)23)24)(3) Actual ship testing with use of biofuels
The Toyofuji Shipping car carrier “Toyofuji Maru” (length 165m, width 27.6m, gross
tonnage 12,687, speed approx. 21.0 knots) underwent an actual operational trial using
biofuel when travelling between Chubu, Shikoku, Kyushu, Tohoku and Kanto for aperiod of 3 days from August 7 to September 3, 2022. This trial was conducted inconnection

to

an

MLIT

regardingcarbonstudy

neutrality

promotion in coastal shipping. A mix
of low-sulfur C heavy oil and biofuel(biodiesel)

was

used

with

the

objective of understanding if there
any technical issues when mixing
biofuels, such as com bust ib i lit y,m ixt ur e stability, and corrosion ofparts.25)
Biofuels can be used in current
dieselsystems

without

Toyofuji Maru had undergone actual operational testing
using biofuels
Source: Provided by Toyofuji Shipping Co. Ltd.

any

modification or with minor modifications, which can achieve a reduction in carbon
dioxide emissions. Therefore, in the findings of the Committee for Carbon Neutrality
Promotion in Coastal Shipping published at the end of 2021, one of the measures for
reducing carbon dioxide in existing vessels was given as “promoting the use of
biofuels.” MLIT established the Committee for the Formulation of Guidelines for the
Handling of Biofuels in Ships in July 2022, which is conducting investigations toward
the formulation of guidelines to enable the safe and efficient handling of biofuels. The
results of the actual shipboard test on the “Toyofuji Maru” were utilized in the29formulation of the "Guidelines for Handling Biofuels on Ships," which were publishedin May 2035.

6

Future Prospects
In order for international shipping to become carbon neutral in the future, in addition

to making further improvements to efficiency through energy-saving technology, it will
be necessary to transition toward the use of carbon recycled methane due to its carbon
neutrality, and to shift to zero emissions fuels such as hydrogen and ammonia. Other
than developing carbon dioxide separation/capture and methanation technologies inconnection to carbon recycled methane, technological developments are being madewith the aim of trial operations of ammonia-fueled ships in 2026 and hydrogen-fueled
ships in 2027.
While safety measures are essential for the actual implementation of thesetechnologies, there are no globally consistent standards for ammonia-fueled ships andhydrogen-fueled ships. For this reason, the International Maritime Organization (IMO)
began work on the formulation of safety guidelines for ammonia-fueled and hydrogenfueled vessels at its 8th Sub-Committee on Carriage of Cargos and Containers (CCC8)
in September 2022, and consideration is underway for finalization by the end of 2024.
In Japan, the Ministry of Land, Infrastructure, Transport, and Tourism (MLIT) launcheda "Committee for Safe and Smooth Bunkering of Ammonia Fueled Ships" in January2024 to examine the facilities and conditions necessary for safe and smooth bunkeringof ammonia-fueled ships, and guidelines are expected to be compiled in FY202426). It
is also important to ensure that ship crews who will navigate ammonia-fueled
ships/hydrogen-fueled ships have the necessary skills. It is expected that investigations
will be made into the requisite skills and the approach to suitable training for ship crews,
including the establishment of international standards.
Even in coastal shipping, in addition to reducing the environmental burden by meansof high-efficiency ships and energy-saving ships, etc., ever-greater energy-saving isbeing pursued toward achieving the FY 2030 target of improving navigation efficiency
by developing and promoting coordinated energy-saving ships that combine newtechnologies and methods through the tandem approaches of cargo owners and onshore/port initiatives, etc., including optimizing cargo loading/unloading andpier docking/undocking and using on-shore power, and using biofuels for existing
vessels. In addition, with the aim of contributing to Japan becoming carbon neutral by
2050, from FY 2030 onwards, it is expected that the introduction of low-carbon anddecarbonized ships such as LNG-fueled ships, battery-powered ships, and hydrogen30

FC (fuel cell) ships will further be promoted on some routes where conditions arefavorable, such as technology maturity, cost reduction, and provision of fuel supply
infrastructure. There is also the future potential for ammonia-fueled ships andhydrogen-fueled ships, which will be gradually introduced from the mid-2020s primarily
as ocean-going ships, to be used as coastal vessels.

Conclusion

R&D into various technologies is being conducted in connection to reducing ship
GHG emissions, including the introduction of ammonia fuel and hydrogen fuel, whichhave never been used as fuel for ships before. These technologies will pass through toactual implementation after undergoing demonstration tests. An essential factor to thatend is to deepen the understanding of new technologies of everyone involved in the
shipping industry, including ship operators, ship owners and ship crews so that they cansmoothly adapt to the process of reducing GHG emissions from ships. For the handlingof fuels such as LNG, hydrogen and ammonia, which are stored at low- or super-low
temperatures and at high pressure, there is an increasing need for expertise and skills
with regard to GHG reduction technologies, including participating in the requisitetraining for the acquisition of new skills for the operation of equipment and plants thatdiffer from those of existing petrol fired-ships. For this reason, the first edition of thispaper was published in March 2023 with its basic content aimed primarily at those
involved in the shipping industry who have been relatively unfamiliar with the movement
to reduce GHG emissions from ships.
The technology for reducing ship GHG emissions is changing at a rapid pace. Further
updates to this paper will be published on the Japan Association of Marine Safety
website (https://www.nikkaibo.or.jp).
The first edition of this paper was produced with the guidance from academic experts,
specialists, and relevant government ministries and with the assistance from the Japan
Maritime Center. We would like to express our sincere gratitude once again to all those
involved in its preparation. The second edition is based on the first edition and has been
updated in light of developments related to GHG emission reductions from ships from31

the compilation of the first edition to March 2024. As with the first edition, we hope that
this report will be as useful as possible to those involved in the shipping industry.

The Japan Association of Marine Safety

https://www.nikkaibo.or.jp

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https://www.maersk.com/news/articles/2022/03/10/maersk-engages-in-strategicpartnerships-to-scale-green-methanol-production16) "Participation in Joint Research to Realize Ammonia Fuel Supply for Ships in Singapore"(April 6, 2022), Kawasaki Kisen Kaisha, Ltd. Newsletter,
https://www.kline.co.jp/ja/news/Liquefied_gas/Liquefied_gas9046011377926934397/main/0/link/220406JA.pdf

3317）”Kawasaki Hydrogen Road", Kawasaki Heavy Industries, Ltd. Website
https://www.khi.co.jp/hydrogen/18) "Biofuels", ClassNK Website,
https://www.classnk.or.jp/hp/ja/info_service/bio/19) "Naming and launching ceremony for Japan's first LNG-fueled ferry, Sunflower Kurenai"(March 3, 2022), Mitsui O.S.K. Lines, Ltd. press release,https://www.mol.co.jp/pr/2022/22026.html
20) "Decision to build two state-of-the-art LNG-fueled ferries" (Feb. 17, 2022), Mitsui O.S.K.
Lines, Ltd. press release,https://www.mol.co.jp/pr/2022/22022.html
21)“First LNG ferry in Japan “Sunflower Kurenai” has started service on the Osaka-Beppu
route” (January 16, 2023), MOL Sunflower Ltd. Press release,https://www.ferry-sunflower.co.jp/news/article/press230113hp.html
22) " Next-generation coastal electric propulsion tanker ship "Asahi" to be delivered" (March
30, 2022), Asahi Tanker Co., Ltd. press release,https://www.asahi-tanker.com/news-release/2022/647/
23)“Asahi won the special prize in the FY 2022 MLIT Award for Safety and Smart
Environment for Seafarers (Triple S) (September 15, 2022), Asahi Tanker Co., Ltd.
press release,https://www.asahi-tanker.com/news-release/2022/910/
24)“Akari, the second ship of pure battery electric propulsion tanker in the world, engaged
in its first fuel supply operation” (April 19, 2023), Mitsui O.S.K. Lines, Ltd./Asahi Tanker
Co., Ltd. press release,https://www.asahi-tanker.com/news-release/2023/1717/
25) "Conducting trial operation using biodiesel fuel" (September 12, 2022), Toyofuji
Shipping Co., Ltd. press release,https://www.toyofuji.co.jp/wp-content/uploads/2022/09/【展開版】ニュースリリース_ト
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26) “Launch of the “Committee for Safe and Smooth Bunkering of Ammonia Fueled

Ships" (January 25, 2024), Maritime Bureau of the MLIT,
https://www.mlit.go.jp/report/press/kaiji07_hh_000302.html

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