One of the challenges facing the shipping industry as it transitions to alternative fuels is ensuring consistent supply along global trade routes. Maritime logistics provider Kühne+Nagel and fuel manufacturer Aker Clean Hydrogen are joining forces to decarbonize the maritime logistics sector. The two companies are working together to target the container shipping industry and expand the range of green fuels such as hydrogen, ammonia and methanol.
The companies emphasize that the first ships with engines capable of running on the emerging alternative fuels are in production and are expected to be operational on ships by 2024. However, in the early days of such first-generation fossil-free engines, sourcing these fuels will be a challenge.
Through their new partnership, both companies aim to help be an early source for the expansion of fossil-free shipping. Aker Clean Hydrogen secures access to green fuels and Kuehne+Nagel handles the booking of green container contracts in cooperation with their forwarding partners. The two companies intend to expand Kuehne+Nagel’s range of environmentally friendly fuels to meet the growing demands of the global container ship fleet.
“This partnership with Aker Clean Hydrogen adds to our commitment to a low-carbon business model,” said Arne Faaberg, Managing Director of Kuehne+Nagel Norway. Together with them and our freight forwarder partners, we will be able to offer certified environmentally friendly container transport.”
Aker Clean Hydrogen and Kuehne+Nagel report that they are already in advanced discussions with container ship owners who share the ambition of fossil-free shipping and want to switch to hydrogen, ammonia and methanol engines. Through partnerships with these forwarders, Kuehne+Nagel will in future offer the possibility of purchasing the appropriate amount of green fuel for their freight via the mass balance concept.
“Shipping accounts for about three percent of total global emissions,” said Knut Nyborg, chief executive officer of Aker Clean Hydrogen. “With Kuehne+Nagel’s mass balance concept and green fuel from our proposed hydrogen, ammonia and methanol projects around the world, we are well positioned to transition to a more sustainable future for global shipping.”