Knut \u00d8rbeck-Nilssen, CEO Maritime, DNV, says that while progress towards industry decarbonization should be applauded, it must be accelerated. Shipping needs to work together, in tandem with other sectors and stakeholders, if we\u2019re to stand a hope of reaching our most ambitious, and necessary, goals. Nor-Shipping, he believes, with its 2023 theme of #PartnerShip, is an ideal platform for progress.<\/em><\/strong><\/p>\n It\u2019s difficult to know what\u2019s going to happen in the next ten days, let alone the next ten years.<\/p>\n So, how are shipowners and operators, eyeing investments with timescales of 25 to 30 years, expected to make optimal long-term decisions, especially regarding fuels?<\/p>\n And how can an organisation like DNV make the right decisions to advise them? Surely it\u2019s impossible to navigate a landscape that\u2019s yet to take shape? Isn\u2019t it?<\/p>\n Knut \u00d8rbeck-Nilssen, CEO of the Maritime division at DNV is a man who exudes a steady calm and confidence\u2026 Even though he\u2019s just ran from another meeting and has yet to eat his lunch, which he pushes aside to deliver his answer.<\/p>\n \u201cThat\u2019s why big decisions can\u2019t be taken alone,\u201d he replies. \u201cEverybody needs partners; no one can prosper, or change, in isolation, and that\u2019s especially true when we consider an energy and technology transition of the scale facing shipping. \u201cWe need one another to navigate the future, now more than ever.\u201d Alternative options<\/strong><\/p>\n \u00d8rbeck-Nilssen isn\u2019t just being nice here. This isn\u2019t a platitude; it\u2019s a cornerstone of his, and DNV\u2019s, vision. He\u2019s been quoted over the past year or two as noting that \u201ccollaboration is the true fuel of the future\u201d and 2022, with its unpredictable geopolitical, economic and environmental challenges, seems only to have deepened that conviction.<\/p>\n He talks of \u201csignificant barriers\u201d that have to be overcome together, but before addressing the future wants to dwell on the present \u2013 recognising achievements so far.<\/p>\n \u201cIt\u2019s encouraging to see that some of the key issues highlighted in past editions of our Maritime Forecasts and Reports have been picked up by the industry,\u201d he comments, referring back to previous statements identifying LNG as arguably shipping\u2019s \u201cmost feasible transitional fuel\u201d.<\/p>\n \u201cIf we look at newbuild ordering there\u2019s now an established trend for alternative dual-fuel propulsion, with LNG as the dominant fuel, especially amongst the larger, deep-sea segments. A third of the vessels on the orderbooks, by gross tonnage, are being built to operate on alternative fuels, with LPG and the first hydrogen-fuelled designs also generating interest.<\/p>\n \u201cSo, we can see concrete proof that the transition is gathering pace, with regulatory pressure, access to investment and capital, and cargo owner and consumer demands as the key drivers. But is it moving fast enough? \u201cWell, that\u2019s another question.\u201d<\/p>\n \u00a0<\/p>\n \u00d8rbeck-Nilssen on stage at Nor-Shipping: “a platform for industry partnership”. Image courtesy NorShipping<\/span><\/span><\/span><\/p>\n Clearing the hurdles<\/strong><\/p>\n And the answer, he implies, is \u2018no\u2019. \u00d8rbeck-Nilssen says that \u201csubstantial investment\u201d is needed \u2013 \u201cand quickly\u201d \u2013 in terms of researching safe and economically feasible carbon neutral fuels, as well as developing the optimal technologies to utilise them. However, that will be in vain, he stresses, if the main hurdle to progress can\u2019t be overcome, namely, fuel availability:<\/p>\n \u201cAccording to our recent Maritime Forecast to 2050 report, we need to produce 5% of shipping\u2019s total energy consumption from carbon-neutral fuels by 2030. That requires huge investment\u2026 and it\u2019s just the start.<\/p>\n \u201cAnd if the IMO strategy is revised in 2023, pushing for full decarbonization by 2050, then we require the means and infrastructure to deliver around 270 million tonnes of alternative fuels, according to our research. That is a massive challenge, and it requires action, now.\u201d<\/p>\n He continues: \u201cIt goes without saying, this is an issue that shipping cannot resolve alone. We need to see collaboration in the industry, for sure, but beyond that we have to work in unison with energy producers, infrastructure developers, ports, and, not least, national and international authorities and organisations to enable such fundamental change.<\/p>\n \u201cThis goes beyond working within our \u2018tribes\u2019 \u2013 it\u2019s a global issue of critical importance.\u201d But, of course, it\u2019s difficult to know where to place bets when it comes to that fuel. Should a shipowner today invest in assets running on natural gas for tomorrow, or will it pay to be an early mover on hydrogen, ammonia or any other emerging alternative? This, \u00d8rbeck-Nilssen retorts, is where DNVs \u2018pathways\u2019 come in. \u201cThere\u2019s so much uncertainty,\u201d \u00d8rbeck-Nilssen stresses. \u201cThe only things that are certain are that we need to change, and that the future fuel mix, at least in the near-term, is going to get more complex, with a wide variety of energy choices emerging. That creates obvious challenges for the industry. \u201cThe pathways address that, helping plot potential routes to decarbonization.\u201d As an example, he picks an owner opting for LNG today.<\/p>\n \u201cNow, they know this isn\u2019t a perfect fuel,\u201d he explains, \u201cbut it enables substantial gains over conventional heavy fuel, utilising proven technology. So, on the \u2018gas pathway\u2019 they use LNG as the first step, before switching to bio-gas and then later transitioning to synthetic gas. That\u2019s an over-simplified example, but it shows how you create clarity as you move ahead with business strategy and investments.\u201d<\/p>\n This \u201cclarity from confusion\u201d wouldn\u2019t be possible, \u00d8rbeck-Nilssen notes, without an understanding drawn from close relationships throughout the industry and beyond. \u201cIt all comes back to partnership.\u201d Collective ambition<\/strong><\/p>\n A further example of that, and of DNV\u2019s role as a key enabler for an industry in transition, is the recently unveiled Nordic Roadmap initiative.<\/p>\n This follows on the back of the Clydebank Declaration at COP26, where shipping \u201cgreen corridors\u201d were identified as a key tool for accelerating change. In a bid to position the region at the vanguard of developments, the Nordic Council of Ministers, with support from all the Nordic nations, set up the project as a \u201ccooperation platform\u201d creating unity of purpose. The result is a joint public and private initiative aiming to bring together diverse stakeholders to enable green corridor infrastructure, start pilots, share knowledge, build alternative fuel experience and, \u00d8rbeck-Nilssen says, \u201cset an example for other regions to follow.\u201d \u201cWhen you look at the industry in its entirety, the scale and complexity of change needed can seem overwhelming,\u201d he notes. \u201cBut if you take separate regions, and look at establishing individual green corridors, it makes the challenge more manageable. Then, when you bring together diverse partners, it\u2019s suddenly possible to work towards concrete, achievable goals \u2013 goals that can form a blueprint for the industry in general.<\/p>\n \u201cIt\u2019s a really exciting example of partnership in action.\u201d The Nor-Shipping connection<\/strong><\/p>\n The repetition of the \u2018p-word\u2019 brings us on to Nor-Shipping. The 2023 event, taking place in Oslo and Lillestr\u00f8m, 6-9 June, has chosen #PartnerShip as its main theme. Needless to say, \u00d8rbeck-Nilssen approves, confirming that DNV has once again secured the position of Main Partner.<\/p>\n \u201cNor-Shipping is a fantastic meeting place for the global industry,\u201d he comments, \u201cbringing people from right across the ocean value chain together in one place. As such, it provides a physical platform for partnership, and progress, helping build relationships, share knowledge and highlight the latest developments.<\/p>\n \u201cWe need this kind of face-to-face interaction,\u201d he continues. \u201cAnd, on a personal level, it\u2019s always so rewarding meeting people, discussing issues and gaining new insights. It\u2019s a constant source of learning. And, not least, it\u2019s fun!\u201d<\/p>\n Here he mentions the traditional Nor-Shipping BBQ at DNV\u2019s fjord-side facilities, which, he adds with a broad smile, is back.<\/p>\n \u201cI\u2019m really looking forward to the chance to host a few thousand guests again,\u201d \u00d8rbeck-Nilssen concludes. \u201cIt\u2019s great to see the industry coming together here and, of course, it\u2019s helpful Nor-Shipping is back in the summertime. It\u2019s always a bit more pleasant to have a chat, drink and something to eat when the sun\u2019s shining!\u201d<\/p>\n maritime professional<\/p>\n","protected":false},"excerpt":{"rendered":" Knut \u00d8rbeck-Nilssen, CEO Maritime, DNV, says that while progress towards industry decarbonization should be applauded, it must be accelerated. Shipping needs to work together, in tandem with other sectors and stakeholders, if we\u2019re to stand a hope of reaching our most ambitious, and necessary, goals. Nor-Shipping, he believes, with its 2023 theme of #PartnerShip, is …<\/p>\n","protected":false},"author":1,"featured_media":32364,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[64],"tags":[],"class_list":["post-32363","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-maritime-news"],"_links":{"self":[{"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/posts\/32363","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/comments?post=32363"}],"version-history":[{"count":0,"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/posts\/32363\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/media\/32364"}],"wp:attachment":[{"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/media?parent=32363"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/categories?post=32363"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/tags?post=32363"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
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Solving the puzzle<\/strong><\/p>\n
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DNV has been brought in as project manager, recently hosting the first meeting at the company\u2019s H\u00f8vik HQ in Oslo.<\/p>\n
\u00a0<\/p>\n![](\"https:\/\/imagesedit.marinelink.com\/images\/storage\/w800h534\/81f6aef7-08fc-4cac-a41c-023379fafa58.jpg\"\/)
DNV and Nor-Shipping: #PartnerShip in action. Image courtesy NorShipping<\/span><\/span><\/span><\/p>\n<\/div>\n