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Prevention and Control of Shipping and Port Air Emissions in China

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Prevention and Control of Shipping and Port Air Emissions in China OCTOBER 2014 NRDC WHITE PAPER R:14-10-B Prevention and Control of Shipping and Port Air Emissions in China AUTHORS Freda Fung Zhixi Zhu Renilde Becque Barbara Finamore Natural Resources Defense Council Acknowledgments We would like to thank the Rockefeller Brothers Fund for making this white paper possible. We would also like to acknowledge the support and assistance provided by the Energy Foundation China and by government agencies and research organizations in China, including the Waterborne Transport Research Institute of the Ministry of Transport and the Vehicle Emission Control Center of the Ministry of Environmental Protection (VECC). We would like to express our appreciation to the internal reviewers Diane Bailey and Xiaoxin Shi of NRDC as well as external reviewers Yan Ding of the VECC and Rich Kassel of Gladstein, Neandross & Associates (GNA) for their extremely useful comments. We gratefully acknowledge Patrick Couch and Rich Kassel of GNA for their contributions to the Shore Power and Emission Control Area sections. We are also grateful to the following NRDC colleagues who provided invaluable comments during our research: David Pettit, Janet Fang, and Sean Song. Particular thanks to Leo Chan and Christine Xu for their assistance in preparing this paper. About NRDC The Natural Resources Defense Council (NRDC) is an international nonprofit environmental organization with more than 1.4 million members and online supporters. Since 1970, our lawyers, scientists, and other environmental specialists have worked to protect the world's natural resources, public health, and the environment. NRDC works in countries including the United States, China, India, Canada, Mexico, Chile, and Costa Rica, and in the EU. Visit us at www.nrdc.org and follow us on Twitter @NRDC. NRDC Director of Communications: Lisa Benenson NRDC Deputy Director of Communications: Lisa Goffredi NRDC Policy Publications Director: Alex Kennaugh Design and Production: www.suerossi.com © Natural Resources Defense Council 2014 TABLE OF CONTENTS List of Tables and Figures ...............................................................................................................................................4 List of Abbreviations .......................................................................................................................................................5 Glossary of Terms ............................................................................................................................................................6 Executive Summary ........................................................................................................................................................7 1. Introduction .................................................................................................................................................................9 1.1 Ports and shipping in China ..................................................................................................................................9 1.2 Report overview .................................................................................................................................................10 2. Marine Emissions and Impacts ................................................................................................................................11 2.1 Marine emissions ...............................................................................................................................................11 2.2 Key impacts from marine emissions ..................................................................................................................17 3. Regulatory Framework .............................................................................................................................................20 3.1 International regulations .....................................................................................................................................20 3.2 Regulations and incentives in China ...................................................................................................................22 4. Potential Solutions and Challenges .........................................................................................................................28 4.1 Low-sulfur fuel switching ...................................................................................................................................30 4.2 Shore power/cold ironing ...................................................................................................................................31 4.3 Liquefied natural gas ..........................................................................................................................................34 4.4 Scrubbers ...........................................................................................................................................................35 4.5 Other technologies and engine modifications ....................................................................................................35 4.6 Vessel speed reduction or slow steaming..........................................................................................................36 4.7 Extension of the Fair Winds Charter ..................................................................................................................37 4.8 Subsidies and rebates ........................................................................................................................................37 4.9 Emission Control Areas ......................................................................................................................................38 4.10 Anticipated impact of selected measures on emissions in China ......................................................................39 5. Conclusion ..................................................................................................................................................................40 Appendix: Summary of Approach—Shore Power Analysis ......................................................................................42 Endnotes ........................................................................................................................................................................44 PAGE 3 | Prevention and Control of Shipping and Port Air Emissions in China LIST OF TaBLES AND FIGURES Table 1: Top 20 container terminals and their throughput for 2013 ...................................................................................9 Table 2: Main strategies for controlling ship emissions ...................................................................................................28 Table 3: CARB-projected emission savings (tonnes per year) for different speed reduction scenarios (2008) ....................................................................................................................................37 Table 4: Emission reduction potential of four control measures in PRD waters, 2008....................................................39 Figure 1: Fuel sulfur standards for diesel trucks (highway diesel) and non-road engines (non-road diesel) adopted in China, and IMO fuel standards for oceangoing vessels .....................................................11 Figure 2: NOx emissions standards for on-road and non-road diesel engines adopted in China, and marine engine emissions standard adopted by the IMO ..........................................................................................12 Figure 3: Contribution of marine emissions to the total emission profile of Hong Kong, 2012 data ...............................14 Figure 4: Shipping emissions in Hong Kong by ship type, 2007 data ..............................................................................14 Figure 5: Dispersion of SO2 emissions (tonnes per year) from OGVs in Hong Kong waters, 2007 ................................15 Figure 6: Spatial distribution of SO2 emissions in the Kwai Chung area near Hong Kong’s container port in 2009 ................................................................................................................15 Figure 7: Spatial distribution of SO2 emissions (tonnes per year) from OGVs in the PRD region, 2007 .........................16 Figure 8: Projected contribution of ships to annual average PM2.5 concentrations in the U.S. in 2020 without an Emission Control Area ......................................................................................................................17 Figure 9: Distribution of premature deaths from cardiopulmonary diseases attributable to marine PM2.5 emissions worldwide .........................................................................................................18 Figure 10: IMO fuel sulfur standards for vessel fuel, and fuel sulfur limits at EU ports and in California waters for the years 2008 to 2025 ..................................................................................................................20 Figure 11: Coverage of the four ECAs: Baltic Sea, North Sea, North American, and U.S. Caribbean .............................21 Figure 12: Comparison of life cycle emissions of using 25,000 ppm (or 2.5%) sulfur bunker fuel, distillate fuel, and shore power at berth ..........................................................................................................................32
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