Mega Boxship Fuel Savings Due to Slow Steaming, Not Size
The OECD said that more than half of the fuel savings generated from larger ship were due to design changes for slower speeds.
The OECD said that more than half of the fuel savings generated from larger ships were due to design changes for slower speeds.
A report by the Organisation for Economic Co-operation and Development (OECD) suggests fuel savings among mega-boxships come more from slow-steaming and less from its larger vessel size, Reuters reports.\u00a0
However, according to the\u00a0OECD\u00a0report, "between 55 and 63 percent (at least) of the savings per TEU when upgrading the vessel size from an early 15,000 TEU design to a modern 19,000 TEU design are actually attributable to the layout for lower operation speeds."
Newbuilds these days are increasingly having slow-steaming built into the ship design, reports say, which make the difference for ships beyond a certain size. \u00a0
Cost savings are decreasing as ships become bigger
"Cost savings are decreasing as ships become bigger," the OECD said.
"A large share of the cost savings were achieved by ship upsizing to 5,000 TEU, which more than halved the unit costs per TEU, but the cost savings beyond that capacity are much smaller."
Nevertheless, the organisation said that mega-containerships were "astonishingly fuel efficient," generating more fuel savings than even a 16,000 TEU carrier.\u00a0
Meanwhile, the upgrade to larger ship size is also\u00a0increasing landside costs by up to $400 million per year, with factors such as new equipment, dredging costs and port infrastructure having been taken into consideration. \u00a0
Skangas duel fuel LNG carrier Coral Energy (image credit/Skangas)
Liquified natural gas (LNG) bunker tanker Coralius has made its first trip loading and delivering LNG to and from Norwegian ports, according to trade press reports.
The 5,800 cubic meter capacity tanker, which is owned by Norwegian gas company Skangas, was delivered to the company in June. Skangas also operates LNG carrier Coral Energy.
OPEC Cutback Extension to be Discussed in November, But Developments Could Render Any Deal Meaningless
Analysts say everything from Saudi exploration to rising tensions with North Korea could radically alter the dynamics of the international market. File Image / Pixabay
Ever since the Organization of the Petroleum Exporting Countries (OPEC) extended the duration of its production cuts earlier this year to March of 2018, speculation has been rampant that the meager cutback volume coupled with the large number of members