(Cold Ironing) and Its Impact on Port Management and Operations. Richard Fiadomor World Maritime University
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World Maritime University The Maritime Commons: Digital Repository of the World Maritime University World Maritime University Dissertations Dissertations 2009 Assessment of alternative maritime power (cold ironing) and its impact on port management and operations. Richard Fiadomor World Maritime University Follow this and additional works at: http://commons.wmu.se/all_dissertations Part of the Energy Systems Commons Recommended Citation Fiadomor, Richard, "Assessment of alternative maritime power (cold ironing) and its impact on port management and operations." (2009). World Maritime University Dissertations. 277. http://commons.wmu.se/all_dissertations/277 This Dissertation is brought to you courtesy of Maritime Commons. Open Access items may be downloaded for non-commercial, fair use academic purposes. No items may be hosted on another server or web site without express written permission from the World Maritime University. For more information, please contact [email protected]. WORLD MARITIME UNIVERSITY Malmö, Sweden ASSESSMENT OF ALTERNATIVE MARITIME POWER (COLD IRONING) AND ITS IMPACT ON PORT MANAGEMENT AND OPERATIONS. By Richard Fiadomor Ghana A dissertation submitted to the World Maritime University in partial fulfilment of the requirement for the award of degree of MASTER OF SCIENCE In MARITIME AFFAIRS (PORT MANAGEMENT) 2009 © Copyright Richard Fiadomor, 2009 DECLARATION I certify that all the material in this dissertation that is not my own work has been identified, and that no material is included for which a degree has previously been conferred on me. The contents of this dissertation reflect my own personal views, and are not necessarily endorsed by the University. (Signature): …………………………… (Date): …………………………… Supervised by: Jan Horck Asst. Professor World Maritime University Assessor: Daniel S.H Moon Professor World Maritime University Co-Assessor Mr. Bengt-Olof Jansson Technical Manager Copenhagen-Malmo Port i Acknowledgement My sincerest thanks first and foremost go to the almighty God who opened the way for me to get the opportunity to study in the World Maritime University. His mercies and blessings have been bountiful and words cannot just describe how highly appreciative i am. My heartfelt gratitude also goes to Capt. Aaron Turkson (Rector) and Mr. Mamudu Abdulai-Saiku (Director of Academic Affairs) of the Regional Maritime University for their respective roles played in nominating me to undertake this course, am truly grateful. The immeasurable assistance and support of my supervisor, Professor Jan Horck in facilitating the successfully completion of my dissertation deserves a special mention. The assistance and pieces of advice offered me by Professors Pierre Cariou, Takeshi Nakazawa, Clive Cole and Rajendra Prasad as well as Capt. Michael Ekow Manuel are deeply acknowledged, your help was essential. A special gratitude is owed to Tran Anh Nguyen for his immense and invaluable assistance during the data analysis stage of my work, to Poppy Sartika, Lasnet Verona Bogle, Rita Adwoa Essel, Lung'anzi Chai Mangale and Gilson Vargas Do Rosario Cruz; I truly appreciate all your contributions, it couldn’t have come at a better time than it did. Thank you all. To the International Transport Federation (ITF) I say a big thank you for sponsoring my WMU education which in no doubt has enriched immensely my knowledge of the maritime industry as well as enhancing my academic qualifications. My deepest thanks go to my soon-to-be wife, Eva Renner who has been very supportive and I just count myself blessed to have you my life. To my father Major(rtd) David Fiadomor, my mother Dora Dogbatse and the entire family, thank you all for your support and prayers throughout the period of my study. Finally to the PM class of 2009, having you as a mini family have been very beneficial both academically and socially, you truly are better friends one could not have. I wish all of you well in your future endeavours. ii Abstract Title of dissertation: Assessment of alternative maritime power (cold ironing) and its impact on port management and operations. Degree: MSc Cold ironing is an emerging port-based emission reduction technology that is fast gaining grounds with environmental pressure groups and port cities at the fore front of its advocacy. The dissertation discusses the potential impact of cold ironing on the management and operations of ports. Other existing port emission reduction techniques are also thoroughly discussed and compared with that of cold ironing. The study examines the cost-effectiveness analysis for shipping companies, the cost implications for ports, the return on investment and the safety aspect of using cold ironing in ports. An attempt is made to estimate the financial investments that ports are likely to make based on low cost and high cost estimates. The policy of the international and regional port organisations were analysed as well as the advocacy roles they are playing in the adoption or otherwise of cold ironing. The environmental policies of two ports that are currently using cold ironing together with two other ports that have expressed their interest to use cold ironing as per the Community 40 climate conference in Rotterdam in 2008 were reviewed. Conclusions are drawn based on the analysis of the results obtained and recommendations are subsequently made together with the need for further studies to be conducted on the comparison between the available emission reduction techniques and their effect before an introduction (or a combination) is chosen. KEY WORDS: emission reduction techniques, cost-effectiveness analysis, financial investments, return on investment, safety, low cost and high cost estimates. iii Table of Contents Declaration i Acknowledgement ii Abstract iii Table of contents iv List of tables viii List of figure x List of abbreviations xi 1. Introduction 1 1.1 Statement of problem 3 1.2 Research questions 4 1.3 Justification for the research 5 1.4 Objectives of research 5 1.5 Research methodology and Sources of information 5 1.6 Structure of Dissertation 5 2. Policy of Port Organisations and Ports on CI 7 2.1 IAPH 7 2.1.1 Strategy 7 2.1.2 Technical considerations 7 2.1.3 Options for implementation 7 2.1.4 Pros and Cons 8 2.2 ESPO 8 2.2.1 Shore side electricity-AMPing 8 2.2.2 Global standards 9 2.2.3 European recommendation on the use of shore electricity 9 2.2.4 Added value of shore side electricity 10 2.3 AAPA 10 2.3.1 Implementation of MARPOL Annex VI 10 2.4 Environmental regulation/policy of CI ports 10 2.4.1 Port of Göteborg 10 2.4.2 Port of Long Beach 11 2.5 Environmental policy for ports intending to use CI 12 2.5.1 Port of Rotterdam 12 2.5.2 Port of Singapore 12 iv 3.0 Ship and Port emissions 13 3.1 Ship Emissions 13 3.1.1 Sulphur Oxides 13 3.1.2 Carbon Dioxide 14 3.1.3 Carbon Monoxide 14 3.1.4 Hydrocarbons 15 3.1.5 Smoke/particulates 15 3.1.6 Nitrogen Oxides 16 3.2 Port emission solutions 16 3.2.1 NOx reduction technologies 17 3.2.2 SOx reduction technologies 20 3.2.3 PM reduction techniques 22 3.3 History of CI 24 3.3.1 The idea presented by Stora Enso 25 3.4 Shore power benefits 25 3.5 SWOT-shore power 27 3.6 Technical details of CI 27 3.6.1 Shore side electricity connection 29 3.7 Rules of CI 30 3.8 High voltage requirements 30 3.9 Emission factors 31 3.9.1 Emission factors of auxiliary engine 31 3.9.2 Comparison of emission factors 31 3.9.3 Emission reduction per berth 32 3.10 CI challenges 34 3.10.1 Legal challenges 34 3.10.2 Engineering challenges 35 3.10.3 Capital investment cost challenges 36 3.10.4 Operational challenges-cost effectiveness 36 3.11 Summary of implemented mitigation options 38 4.0 Research methodology and assumptions 39 4.1 Research methodology 39 4.2 Assumptions 43 5.0 Ship characteristics 45 v 5.1 Ship power requirement and grams/kW-hr 45 5.2 Bunker prices 46 5.3 Cost comparison 50 5.3.1 Houston (USA) 50 5.3.2 Rotterdam (The Netherlands) 50 5.3.3 Singapore 51 5.3.4 Fujairah (Qatar) 51 5.4 Electricity cost 51 5.4.1 Cost of electricity/day based on ship power requirement 52 5.5 Directive 2005/33/ EC and California Code of Regulations 54 5.6 Canalisation cost 57 5.7 Cost of canalisation in between berths 58 5.8 Cost/metre of high voltage cables 59 5.9 Cost of high voltage cables in between berths 59 5.10 Cost/metre of high voltage cables from shore to ship 60 5.11 Electricity converter/installation cost per berth 61 5.12 Total cost per berth by ship size 62 5.13 High voltage connection cost 62 5.14 Fixed cable reel system 63 5.15 Work barge transformers 63 5.16 Determination of total cost 64 5.16.1 Low cost port 64 5.16.2 High cost port 65 5.17 Ship calling patterns 66 5.17.1 Port of Rotterdam (Ship calls in 2008) 66 5.17.2 Ship types and docking patterns (Rotterdam) 66 5.17.3 Port of Tema (Ship calls in 2008) 67 5.17.4 Ship types and docking patterns (Tema) 67 5.17.5 Copenhagen-Malmo Port (Ship calls in 2008) 68 5.17.6 Ship types and docking patterns (CMP) 68 5.18 Financial Indicators 69 5.18.1 Port of Rotterdam 69 5.18.2 Port of Tema 69 5.18.3 CMP 69 vi 6.0 Conclusion and Recommendation 71 6.1 Conclusion 71 6.2 Recommendations 73 References 75 Appendix A Data Analysis (Rotterdam) 80 Appendix B Data Analysis (Houston) 81 Appendix C Data Analysis (Singapore) 82 Appendix D Data Analysis (Fujairah) 83 Appendix E High cost port 84 Appendix F Low cost port 85 vii List of Tables Table 3-1 Summary of NOx Emission Reduction Technologies 20 Table 3-2 Summary of SOx Emission Reduction Technologies 22 Table 3-3 Emission reduction from alternative Techniques to CI 23 Table 3-4 Cost of alternative emission methods 24 Table 3-5 Emission factors of auxiliary engines at berth 31 Table 3-6 Average emission factors for EU 25 electricity production 31 Table 3-7 Emission reduction using shore power instead of aux.