LNG could cut fuel costs in half
With rising fuel prices pushing fares up, Canadian West Coast ferry service BC Ferries says conversion to liquefied natural gas (LNG) bunkers could cut its fuel cost in half, local daily the Vancouver Sun reports.
"Anything that's going to save costs, while decreasing the impact on the environment, is a good thing," said Greater Nanaimo Chamber of Commerce's chairman Mike Delves, a major destination for the operator.
The company has submitted a report on ways to rein in fuel costs, as required by the BC Ferry Commissioner, and other options considered include wind and solar power technology, or installing fuel consumption gauges in vessels, but LNG appears to be the most promising option.
B.C. Ferries "is currently conducting a preliminary assessment of its existing fleet for conversion opportunities," the report states.
In particular, it is considering using LNG bunkers for three Spirit-class ships by 2016, which are its largest vessels at 560 feet long with space for up to 2,100 people and 470 vehicles.
"We still have to do technical feasibility studies and business cases to ensure these projects are sound financially," said Deborah Marshall, B.C. Ferries spokeswoman
The company, who spent $121 million on fuel in fiscal 2011-12, has used an open bidding process to purchase fuel as well as other economising measures in an attempt to reduce its bunker bills, but has asked for fare increases of 8.23 percent per year to cover its rising costs.
The Commissioner has capped increases at about 4 percent.
Earlier this year, another Canadian ferry company, Société des traversiers du Québec (STQ), announced it had ordered a dual fuel diesel electric propulsion ferry able to operate on marine diesel oil or LNG.
Spanish ferry operator Baleària is also converting some of its vessels to use LNG to reduce its fuel costs.