After two years of a global pandemic and government-imposed travel restrictions, Fjord Line had the best-ever high season revenue wise in 2022. Unfortunately, increases in the LNG (Liquified Natural Gas) fuel costs has led to a non-sustainable financial situation for Fjord Line, according to the company's release.
The energy crisis has led to extraordinary volatility and significant price increases in LNG – and the price increases have been far higher than for traditional and less sustainable energy sources at sea. In addition, Fjord Line receives no governmental financial energy-aid. This has led to a dramatically increase in the energy costs for Fjord Line’s two LNG-operated ships, and significantly above a financially sustainable level.
Since early Fall, the LNG-ship departures from Vestlandet in Norway, Denmark, and Langesund in Norway have been reduced as well as the crossing time has been increased.
The engine conversion enables the two LNG-ships to switch between LNG and MGO (Marine Gas Oil), which will ensure a financially sustainable operation until the LNG-price level is normalized.
Rebuilding of MS Stavangerfjord will start in January 2023 and will be finalized by the end of May 2023. MS Bergensfjord will be rebuilt during February to medio June 2023. The routes affected by the rebuilding are Bergen – Stavanger – Hirtshals, and Hirtshals – Langesund. Fjord Line’s other routes Sandefjord – Strömstad, and Kristiansand – Hirtshals are not affected by the changes and will operate as normal.
The ships are being rebuilt at Fosen Yard and the engines will be delivered by Wärtsilä.
During the COVID-19 pandemic and the energy crisis the owners have contributed with new capital in the amount of 500 million NOK to Fjord Line.
Fjord Line is the only Norwegian shipping company that transports passengers as well as cargo, internationally, on two ships powered by LNG. This enables up to 25% CO2-savings and greatly reduced emissions of sulphur- and nitrogen oxides.