Wartsila India is eyeing the growing liquefied natural gas (LNG) shipping market with its dual fuel engine technology and machinery for LNG carriers. |
The company met up with Shipping Corporation of India, Great Eastern Shipping Company, Essar Shipping and Varun Shipping as well as a few international players to update them on the latest developments. |
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Barend Thijssen, director, business sales, Wartsila Finland OY, in a response to an e-mail said, "As the demand for LNG shipping in India is expected to increase rapidly over the next few years, Wartsila has a great interest to make shipping companies in India familiar with the dual-fuel engine technology and the dual-fuel-electric machinery concept for LNG carriers, and keep them up to date on the latest developments." |
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He pointed out that the company's immediate focus was on those shipping companies that are expected to participate in the upcoming tender from Petronet LNG for three to four LNG carriers and the long term focus is on the ship owners in general. |
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India has a huge potential for growth in LNG. The demand for LNG is expected to grow from 11 per cent in 2003-04 to 14 per cent in 2010-11 and 20 per cent in 2024-25. |
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Several companies are setting up LNG import terminal in the country. Petronet LNG is India's first LNG receiving and marketing company to set up a LNG terminal at Dahej in Gujarat. It is planning to expand its capacity to 5 million tonne per annum and later double its capacity to 10 million tonne per annum. |
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Petronet LNG is also setting up a greenfield LNG import terminal at Kochi. |
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Besides Petronet LNG, Royal/Dutch Shell's LNG terminal is also expected to commence operations at Hazira in Gujarat, while ONGC is also planning to set up a LNG terminal at Mangalore through its subsidiary MRPL. |
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Wartsila's dual-fuel engines with an electric propulsion system, enables LNG carrier operators to get more out of their LNG carrier than with the traditional steam turbine installation. |
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Higher efficiency and the possibility to increase the ship's cargo carrying capacity. Besides the exhaust gas emissions are very reduced and machinery redundancy is much improved. |
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The dual-fuel engines primarily run on gas, but can be operated on MDO or HFO alternatively. |
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"This gives operators full flexibility in selecting the fuel that brings the lowest fuel costs", he pointed out while adding that "on the other hand it will make the operation much simpler when you do not have to depend upon the competent shipping personnel with steam experience as there are a very few of them available and is fast decreasing." |
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Thirteen dual-fuel-electric LNG carriers have so far been contracted by five different ship owners at three different shipyards, and options on a further seven ships are in place. Wartsila expects to receive more orders for dual-fuel engines anytime soon. |
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In India, Petronet LNG has already sought expression of interest for LNG carriers. |
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