Navigating Decarbonisation Glossary

ALF

Advanced low friction. A ship with a lower friction hull coating reduces drag which results in lower fuel consumption and reduced CO2 emissions. This has always been the aim for hull coatings but recent products such as Nippon paint’s A-LF-Sea (advanced low friction) have brought this onto the next level. The concept was inspired by tuna fish and means that the hull coating uses a hydrophilic compound called hydrogel. The science behind this means that the hull coating traps a layer of sea water into the surface membrane. This reduces friction by increasing the hull’s boundary layer.

Resources 

Further information available on our website here: Emerging Technologies

Ammonia

Ammonia (NH3) is a colourless, highly irritating gas with a pungent, suffocating odour. It has alkaline properties and is corrosive.

Exposure to high concentrations of ammonia in the air causes immediate burning of the nose, throat, and respiratory tract.

Most ammonia is currently made using natural gas. For it to be a viable option in the future, it must be manufactured through low-carbon processes. Ammonia can be burnt in dual-fuel internal combustion engines (MAN B&W report only minor modifications to its LPG fuelled engine are required) or as the energy source for fuel cells.

There is experience of using ammonia on vessels, but this has been limited to its use as a refrigerant.

Biofuels

Biofuels are liquid or gaseous transport fuels, such as biodiesel and bioethanol, made from biomass (plant, algae material, or animal waste). They are produced over a much shorter timespan than fossil fuels and help to reduce greenhouse gas emissions.

Biofuels can be used as a drop in fuel requiring little or no modifications to machinery.

Resources

Fuels of the Future – Article dated 28/01/2020  

Getting to know biofuels and blends – Article dated 11/10/2021

Biofuels Enter the Sustainable Fuel Mix – Article dated 12/04/2021

IMO removes regulatory barriers for biofuel blends – Article dated 04/08/2022

Our Decarbonisation Journey: d’Amico International Shipping – Article dated 05/05/2022 

BLEVE

Boiling Liquid expanding vapour explosion. The failure of a closed container because of over-pressurization caused by an external heat source. A major failure of a closed liquid container into two or more pieces when the temperature of the liquid is well above its boiling point at normal atmospheric pressure.

CC-Ocean Project

Carbon Capture on the Ocean project. Run by Mitsubishi Shipbuilding, part of Mitsubishi Heavy Industries (MHI) group, which is leading the world’s first marine based test of a CO2 capture system on board a commercial vessel.

Resources

Capturing carbon onboard – Article dated 25/10/2021

CCS

Carbon capture system. In very simple terms, a post-combustion carbon capture system will block CO2 from reaching the atmosphere. The system traps CO2 at the emission source and transfers it to an isolated storage location.

For a system fitted on board a vessel, the CO2 is extracted from the exhaust gases either through scrubbing or by bubbling the gas through an absorber column packed with liquid solvents. Once the CO2 has been captured, it is compressed into liquid state. The liquid will then be stored on board in cryogenic storage tanks until the vessel reaches a port connected to a suitable transfer and storage infrastructure.

Resources

Capturing carbon onboard – Article dated 25/10/2021   

CCU

Carbon capture and utilisation. This involves re-using captured carbon for other purposes, such as in ‘enhanced oil recovery’, where it is injected into oil and gas reservoirs to increase oil well production.

Resources

Capturing carbon onboard – Article dated 25/10/2021 

CFD

Computational Fluid Dynamics (CFD) is the analysis of fluid flows using numerical solution methods, making it possible to analyse complex problems involving fluid-fluid, fluid-solid or fluid-gas interaction. Engineering fields where CFD analyses are frequently used are aerodynamics and hydrodynamics.

In practice, CFD creates a digital simulation that visualises the flow of fluids and the way they are affected by objects. It is a very powerful tool that shows in advance how temperature, pressure and velocity are going to behave in a design. It is useful in ship design as it allows the basic hydrodynamic characteristics of the vessel (i.e. ship resistance in calm water and propulsion power) to be assessed early in the project, which allows the designer to try out different options easily using CFD software.

Resources

Find out more via SIMSCALE

CII

Carbon Intensity Indicator. The CII is an IMO-required operational measure for ships of 5,000 GT and above, which aligns with the requirements on recording vessel fuel consumption in accordance with the IMO Data Collection System (IMO-DCS).

From January 2023, each applicable vessel has to determine its annual operational carbon intensity indicator. The annual reduction factor needed to improve the ship’s operational CII within a specified rating level is then determined. The ship’s actual (achieved) CII is compared with the required annual operational CII and the result is a carbon intensity rating from A (major superior) to E (inferior). The performance level will be recorded in the Ship’s Energy Efficiency Management Plan (SEEMP).

Resources

Further information available on our website here: 2023-Act Now-EEXI and CII   

CO2 MRV scheme

CO2 Monitoring, Reporting, and Verification scheme.

Resources

UK publishes guidance on new CO2 MRV scheme – Industry News article dated 10/01/2023  

COP27

Conference of the Parties 27th annual summit. 2022 United Nations Climate Change Conference hosted by Egypt took place from 6 to 18 November 2022 in Sharm el-Sheikh, Egypt.

Resources

Find out more via UNFCC

DCS

IMO Data Collection System for fuel oil consumption of ships.

Resources

Find out more via IMO

DAC

Direct Air Capture. The process of removing a stream of Carbon Dioxide from ambient air, typically using technology to filter and chemically absorb carbon dioxide. In combination with carbon storage, it can result in a net-negative carbon dioxide balance in the atmosphere.

Resources

Find out more via Lloyd’s Register

DWT 

Deadweight Tonnage. This is the maximum deadweight of the vessel and is a measure of the vessel’s carrying capacity. The vessel’s carrying capacity considers the weight of the cargo onboard, fuel, ballast water, fresh water, crew, provisions of the crew and excludes the weight of the vessel. In other words, it is the difference between the loaded displacement tonnage (actual weight of the vessel and cargo) and the light displacement tonnage (actual weight of the vessel).

EEDI

Energy Efficiency Design Index. Applies to new ships built after 2013 The EEDI measures the theoretical CO2 emissions performance based on engine design and performance data to promote the use of more efficient (and less polluting) engines. It allows for different types and sizes of vessels by using a capacity per mile rating (e.g. grams CO2 per tonne mile). The smaller the EEDI, the better.

The full equation (as set out in MEPC.1/Circ.682) includes adjustment and tailoring factors to suit specific classes of vessels and also alternate configurations and operating conditions.

Resources

Find out more via Indian Register of Shipping

EEDI Certificate

Certificate issued by a relevant Verifier after verification of Energy Efficiency Design Index of a new vessel.

Resources

Find our more via IMO

EEOI

Energy Efficiency Operational Indicator

EEXI

Energy Efficiency Existing Ship Index. Existing ships (built before 2013) of 400 GT and above will be required to calculate their attained Energy Efficiency Existing Ship Index (EEXI), which indicates their energy efficiency.  The vessels must then meet a specific required EEXI, which is based on a required reduction factor to reduce its carbon emissions. The EEXI is a variant of the Energy Efficiency Design Index (EEDI) and is a one-time requirement, which must be verified at the first annual, intermediate or IAPP renewal survey after 01 January 2023.

Resources

IMO Takes First Steps to Decarbonise Shipping – Article dated 24/11/2020 

Further information available on our website here: 2023-Act Now-EEXI and CII   

EEXI Benchmarking

Exercise undertaken to ascertain whether the vessel will meet the required EEXI and, if not, what technical modifications can be made to the ship in order that the required EEXI will be achieved.

EEXI Certificate

Certificate issued by a relevant Verifier after verification of a ship’s attained Energy Efficiency Existing Ship Index.

Resources

Find out more via here

Energy Taxation Directive

This includes a new series of tax rates based on energy content and environmental performance of fuels and electricity. It also broadens the taxable base by including more products and reducing exemptions on heavy fuel for intra-EU Voyages in the EU.

EOR

Enhanced oil recovery can significantly increase production from an oil well. There are three main types of EOR, including chemical flooding, gas injection and thermal recovery. Gas injection involves injecting natural gas (nitrogen or carbon dioxide) into the reservoir. The gases will either expand and push gases through the reservoir, or mix with or dissolve within the oil, decreasing viscosity and increasing flow, allowing oil to be extracted that would not otherwise be available using primary or secondary extraction methods.

Resources

Find out more via Energy.Gov

EPL

Engine Power Limitation is a semi-permanent limit on engine power output, allowing the reduction of fuel use and CO2 emissions. An override function can be used in emergencies.

EUA

EU Allowances. These are carbon credits under the EU’s emissions trading system (EU ETS).

Resources

Navigating Decarbonisation: Understanding the EU-ETS article –Article dated 25/10/2021 

EU ETS

The EU’s Emissions Trading Scheme (EU-ETS) is the world’s largest carbon-trading scheme and operates in all EU countries and Iceland, Liechtenstein, and Norway. Starting in 2005, the scheme originally focused on the power sector and manufacturing industry. In 2019, the European Commission (EC) announced its new European Green Deal which confirmed the inclusion of maritime transport into the EU-ETS. On 14 July 2021, the European Commission set out a package of proposals, including its proposal in respect of the EU-ETS. The scheme is expected to apply to emissions from vessels 5,000GT and greater performing voyages with the purpose of transporting passengers or cargo for commercial purposes and includes ballast voyages. The EU Parliament has recommended a full surrender of allowances from 2025 for relevant emissions discharged in 2024.

Resources

Navigating Decarbonisation: Understanding the EU-ETS article – Article dated 25/10/2021 

EU-MRV

EU Monitoring, Reporting and Verification. The EU-MRV system for ships trading internationally to and from the EU is already in place and is expected to be used as the basis for calculating emissions that will fall under the EU-ETS.

ESD

Emergency shut down system is a requirement of the IMO IGC Code for the carriage of liquefied gases in bulk. It is basically a link between the ship and the terminal. It can be automatically activated by pre-defined conditions e.g. high tank levels or high pressure, or manually activated by an emergency button. Once activated, it will close all deck valves and shut down all cargo machinery.

Resources 

www.ocimf.org 

FAME

Fatty acid methyl ester A biodiesel derived from renewable sources.

Resources 

Further information available on our website here: Alternative Fuel and Energy Sources  

Fuel Oil Data Collection System

IMO Ship Fuel Oil Consumption Database

Regulation 22A of MARPOL Annex VI requests the establishment of the IMO Ship

Fuel Oil Consumption Database.

Resources

Find out more via IMO

GHG

Greenhouse Gas (GHG)

A gas that traps heat in the earth’s atmosphere. Whilst carbon dioxide is the dominant GHG for shipping, GHGs include a basket of gases:

• Carbon dioxide (CO2)
• Methane (CH4)
• Nitrous oxide (N2O)
• Hydrofluorocarbons (HFCs)
• Perfluorocarbons (PFCs),
• Sulphur hexafluoride (SF6)
• Nitrogen trifluoride (NF3)

Resources

Find out more via Lloyd’s Register 

GCF

The Green Climate Fund was set up under the UNFCC. It was established by 194 governments to limit or reduce greenhouse gas (GHG) emissions in developing countries, and to help vulnerable societies adapt to the unavoidable impacts of climate change.

Resources

Find out more via Green Climate Fund

GISIS

Global Integrated Shipping Information System is an informational data hub developed and maintained by the IMO. It consists of several subsystems, which include 26 modules that are further divided into sub-modules dedicated to various themes and topics. It allows data to be supplied to the IMO Secretariat by Maritime Administrations, member states and port authorities, in compliance with IMO’s instruments, regulations and guidelines.

Resources

Find out more via IMO

GT

Gross Tonnage is a measure of the total enclosed volume of the vessel.

GWP

Global warming potential allows a comparison of the global warming impacts of different gases. It is a measure of how much energy the emissions of 1 ton of a gas will absorb over a given period of time, relative to the emissions of 1 ton of carbon dioxide (CO2).

HVO

Heavy vegetable oil is a type of biofuel.

Hydrogen

As the maritime industry looks for zero-carbon fuels to replace traditional fossil-fuels, hydrogen has emerged as a serious contender. Whether it can be a true zero-carbon fuel on a lifecycle (or ‘well-to-wake’) basis depends on how the hydrogen is derived. While hydrogen has the potential to be a truly zero-carbon fuel, it is not without its hazards and challenges.

IAPP

International Air Pollution Prevention.

ICCT

International Council on Clean Transportation.

ICF

IMO Climate Fund is essentially a proposal to form a USD 5 billion R&D programme, which would be overseen by the IMO and financed through a mandated R&D contribution by ship owners of USD 2 per tonne of marine fuel consumed.

ICS

International Chamber of Shipping.

IEEC

International Energy Efficiency Certificate.

IMO

International Maritime Organisation.

IMO GHG Strategy and Targets

In 2018, the IMO adopted an initial strategy on the reduction of GHG emissions from ships, with a vision which aims to phase them out as soon as possible in this century.

The initial GHG strategy envisages, in particular, a reduction in carbon intensity of international shipping (to reduce CO2 emissions per transport work, as an average across international shipping, by at least 40% by 2030, pursuing efforts towards 70% by 2050, compared to 2008); and that total annual GHG emissions from international shipping should be reduced by at least 50% by 2050 compared to 2008.

The strategy envisages that a revised strategy will be adopted in 2023.

Resources

Further information available on our website here Decarbonisation in Shipping

Find out more via IMO

IMRB

International Maritime Research Board

IMRF

International Maritime Research Fund. This is a proposal to form a USD 5 billion R&D programme, which would be overseen by the IMO and financed through a mandated R&D contribution by ship owners of USD 2 per tonne of marine fuel consumed.

ISM Code

International Safety Management Code.

IOPCF

International Oil Pollution Compensation Fund.

ISWG

Intersessional Working Group on Reduction of GHG Emissions from Ships.

 JIT

Just in time. The IMO has developed a Just in time arrival guide and, to encourage wider adoption of the JIT arrival principles, BIMCO has developed a new clause for voyage charter parties (Just in Time Arrival Clause for Voyage Charter Parties 2021). The clause creates a contractual framework to overcome the primary obstacle to just in time arrivals, which puts an obligation on shipowners to proceed with due or utmost despatch and without deviation.

Resources

Find out more via BIMCO

Find out more via IMO

LCA

Life Cycle Analysis. Addresses every aspect of the supply chain (from primary energy extraction all the way through to end use).

LCO2

Liquified CO2

LDCs

Least developed countries

Li-ion

Lithium-Ion battery is an advanced battery technology that uses lithium ions as a key component of its electrochemistry. Li-ion batteries have one of the highest energy densities of any battery technology today and they can deliver large amounts of current for high-power applications.

LNG

Liquid natural gas. DNV-GL strongly predict LNG will be the transition fuel of choice. Comprising mostly of methane (CH4), LNG is already being adopted by an albeit small proportion of the world fleet. It is an attractive option because of its zero-sulphur content (satisfying the IMO 2020 sulphur cap) and its CO2 emissions are approximately 20% lower than that of distillate fuels (such as MGO) and the new VLSFO products. However, LNG as a marine fuel is not without its drawbacks.

Resources

Fuels of the Future – Article dated 28/01/2020 

LPG

Liquified petroleum gas is a colourless, low carbon hydrocarbon gas. LPG bunkering is available globally for ships. However, it’s an extremely flammable gas which may pose safety concerns. It has a 40% lower energy density than diesel, which means storage tanks need to be bigger.

MBM

Market-Based Measures relate to financial settlement related to CO2 emissions. Examples include emissions offsetting, trading and levies.

MCR

Maximum Continuous Rating. This is used for describing the specific fuel consumption (or the daily fuel consumption) when a vessel is cruising at maximum speed.

MEPC

IMO Marine Environment Protection Committee. Sessions held bi-annually.

Resources

Find out more via Marine Environment Protection Committee (MEPC) 

MRV

Monitoring, Reporting and Verification. A term used to describe all measures that countries take to collect data on emissions, mitigation actions and support.

NAP

National Action plan – IMO resolution MEPC.327 (75) adopted in 2020 encourages Member states to develop and submit voluntary National Action Plans (NAP) to address GHG emissions from ships outlining respective policies and actions.  It enables Member states to facilitate GHG emissions from ships without waiting for the IMO instruments to enter into force.  

Examples may include but not limited to:  

• Renewable onshore power supply
• Safe and efficient bunkering of alternative low-carbon and zero-carbon fuels
• Incentives promoting sustainable low-carbon and zero carbon shipping
• Support for the optimization of port calls

Resources

Find out more via greenvoyage2050.imo.org

OEM

Original equipment makers.

OMM

Onboard Management Manual. The OMM for SHaPoli/ EPL should include a technical description of the main system, identification of key components, verification procedure description, maximum shaft power of unit and information of how power can be limited/ unlimited. There should also be a record book to document service, maintenance, and calibration of sensors in accordance with manufacturers’ guidelines.

OSV

Operational Support Vessel.

PME

Maximum engine power. A key parameter used to calculate EEXI is the maximum engine power (PME), which is a percentage of the engine’s MCR – maximum continuous rating.

For overridable systems, the PME will be the lower of:

• 83% of the limited installed power (MCRlim); or
• 75% of the original installed power (MCR)

Classification societies may have certain rules regarding engine and shaft power limitation (e.g. ice class vessels), so any modifications should be carried out in full consultation with Class.

For permanently derated main engines with non-overridable power limits, we understand PME will be 75% of the new de-rated MCR. Confirmation with Class should be sought and also check for any NOx recertification requirements that apply to non-overridable arrangements.

Resources 

IMO’s carbon reductions push power limits down – Article dated 16/09/2021  

Poseidon Principles

This is a framework for financial institutions, to make sure their portfolios are aligned with environmental principles – in particular, the IMO’s GHG targets for 2030 and 2050.

Resources

Bankers Expect Shipowners to go Green – Article dated 21/01/2020  

Find out more via Poseidon Principles

PTI

Power take-in mode allows propulsion power to be provided to the shaft, which boosts the main engine with temporary extra power. It can be used as an emergency backup to propel the ship to the nearest shore if the main engine goes out of operation. This mode is also known as shaft motor mode.

PTO

Power take-off is an operational mode that focuses on energy-efficient power generation.

PPMI

Poseidon Principles for Marine Insurance.

Resources 

Find out more via https://www.poseidonprinciples.org/insurance/ 

RightShip GHG Rating

According to the Rightship website, this “provides a transparent method to assess the relative efficiency of vessels and compare a ship’s theoretical CO2 emissions relative to peer vessels of a similar size and type using the easy to interpret A – G scale”.

Resources 

Understanding the new RightShip GHG Rating – Article dated 04/11/2020 

Find out more via https://rightship.com/solutions/terminal-ports/ghg-rating/ 

R&D

Research and development

ROI

Return of investment

SCC

Sea Cargo Charter.  The Sea Cargo Charter (SCC) provides a framework that enables shipowners, charterers and cargo owners to align their activities and promote shipping’s green transition.  Signatories to the SCC commit to four principles, which are:

• Assessment of climate alignment
• Accountability
• Enforcement
• Transparency

Resources

Further information available on our website here: Industry Initiatives  

Find out more via Sea Cargo Charter

SCR

Service Continuous Rating. This is used to describe the speed and specific fuel (or the daily fuel consumption) of the vessel and its engine when cruising at the continuous service speed.

SEEMP

Ship Energy Efficiency Management Plan. This is a mandatory (required by the IMO) ship-specific document in which the plan to improve a vessel’s CII and operational energy efficiency is set out and which plan covers the next 3 years. This document should be in place from 01.01.2023 and updated as and when required, depending on what performance changes are required for CII purposes. It will be audited using the principles of the ISM code.

SHaPoLi

Shaft power limitation. This system limits the output power of Controllable Pitch Propeller (CPP) shafts, which helps vessels to limit fuel consumption and associated GHG emissions.

SIDS

Small island Developing States (SIDS) are heavily dependent on transport for access with Maritime transport in particular playing a big part in this. Their size, geography and economic structure mean there is a high dependency on maritime transport-intensive imports for their consumption needs. 

SIDS are made up of 38 UN Member states and 20 Non-UN Members/Associate Members of UN regional commissions that face unique social, economic and environmental vulnerabilities.” [the UN] They are located in the Caribbean, the Pacific and the Atlantic, Indian Ocean and South China Sea (AIS). 

Resources

Find out more via United Nations.org

TRL

Technology Readiness Levels. A measurement system for assessing the maturity levels of a particular technology.

TTW

Tank to wake. The tank-to-wake approach considers the emissions that result from burning or using a fuel once it is already in the tank. The analysis does not include how a fuel is produced and transported to get to a vessel’s tank. To qualify as a carbon-neutral fuel using the tank-to-wake approach, the fuel has to have zero tailpipe emissions. Therefore, a fuel such as renewable natural gas that can be carbon-negative over its life cycle would not qualify as carbon-neutral using the tank-to-wake approach as natural gas emits GHGs as it powers a vessel. Battery-electric and hydrogen are two of the most common zero-tailpipe emission fuels which are considered when taking a tank-to-wake approach.

Resources

Find out more via Freight Waves

UK MCA

UK Maritime and Coastguard Agency

UK MRV

UK Monitoring, Reporting and Verification scheme. This was set up following the UK’s withdrawal from the EU.

Resources 

UK publishes guidance on new CO2 MRV scheme – Industry News article dated 10/01/2023 

UNFCC

 United Nations Framework Convention on Climate Change establishes an international, environmental treaty to combat dangerous human interference with the climate system. It came into force in 1994 and has been ratified by 197 countries.

Resources 

Find out more via United Nations

V_REF

Reference speed in the EEXI equation. The VREF can be determined in different ways.

WTT

Well to Tank. Well-to-tank emissions analysis includes emissions related to stages in the life cycle of a fuel (from its production until it’s pumped into the fuel storage tank).

WTW

Well to wake. Well-to-wake emissions analysis includes emissions related to every stage in the life cycle of a fuel (from its production until it is used to fuel a vessel). It is argued by many experts that this is the only way to accurately measure the impacts of a fuel on climate and health. The alternative approach to measuring emissions is the tank-to-wake or tank-to wheel approach.

Resources

Find out more via https://www.freightwaves.com/news/what-is-well-to-wake-emissions-analysis