A two-year Coalition partnership to accelerate decarbonisation efforts in the dry bulk segment has been signed by the Global Centre for Maritime Decarbonisation (GCMD) and the International Association of Dry Cargo Shipowners (INTERCARGO).
Dry bulk is the world’s largest shipping segment by tonnage and presents unique decarbonisation challenges, particularly for small and medium-sized owners operating unpredictable tramp trades.
This partnership combines GCMD’s technical insights and experience in executing pilots with INTERCARGO’s member reach and IMO engagement to help close critical adoption and operational gaps.
Energy efficiency
GCMD and INTERCARGO will collaborate to promote the adoption of energy efficiency technologies
GCMD and INTERCARGO will collaborate to promote the adoption of energy efficiency technologies (EETs) amongst dry bulk shipowners and facilitate mutual knowledge exchange on advancements in low- and zero-carbon-fuelled dry bulk vessels.
Bulk carriers are critical to global seaborne trade, accounting for 42.7% of the world’s oceangoing fleet by deadweight tonnage (dwt)1. INTERCARGO, recognised as the voice of dry bulk shipping, represents more than one-third of global dry bulk tonnage through its membership.
Dry bulk vessels often operate on a ‘tramp’ trade basis with irregular and unpredictable routes, which makes it challenging for these vessels to plan bunkering at ports that offer zero- or near-zero-emission (ZNZ) fuels.
Global bunkering infrastructure
Global bunkering infrastructure also remains in development, with ZNZ fuels unlikely to be available at all ports in the foreseeable future.
Whilst the industry works to scale ZNZ fuel availability and ready ports for their handling and bunkering, there is an urgent need to adopt pragmatic nearer-term solutions, such as drop-in biofuels, onboard carbon capture systems and EETs, to meet the International Maritime Organisation’s (IMO) decarbonisation targets.
Deploying EETs
Shipowners often face challenges in deploying EETs due to fuel savings uncertainty
To address this, GCMD is actively conducting pilots and trials to lower barriers for the broad market adoption of these solutions. With INTERCARGO’s operational expertise and member network, the partnership will help advance the deployment of these solutions across the dry bulk segment.
Shipowners often face challenges in deploying EETs due to fuel savings uncertainty and some face limited access to financing.
GCMD is installing sensors onboard vessels to validate fuel savings that will underpin Pay-As-You-Save (PAYS), a financing model that GCMD is developing in parallel to link repayments to verified fuel savings. The collaboration aims to accelerate the uptake of EETs in this segment.
Valuable opportunity
Professor Lynn Loo, CEO of GCMD, said, "This partnership offers a valuable opportunity to deepen our understanding of the dry bulk segment’s operational realities and work collaboratively to address gaps in meeting the industry’s decarbonisation targets.”
“Through INTERCARGO’s consultative status at IMO, we hope to contribute to the development of global regulatory frameworks for maritime decarbonisation.”
Decarbonisation
Mr Dimitris Monioudis, Technical Committee Chairman of INTERCARGO said “As the voice of the world’s largest shipping segment, INTERCARGO is committed to making decarbonisation work for all our members.”
“This partnership helps ensure practical, scalable technologies reach the companies moving most of the world’s essential cargoes. By combining GCMD’s strength in executing first-of-a-kind pilots with our members’ operational expertise and consultative status at the IMO, we can accelerate progress towards the industry’s decarbonisation targets.”
