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project info
Start date: 21 June 2018
End date: 22 March 2022
funding
Fund: European Regional Development Fund (ERDF)
Total budget: 3 644 600,00 €
EU contribution: 3 644 600,00 € (100%)
programme
Programming period: 2014-2021
Managing authority: Samenwerkingsverband Noord-Nederland

North of the Netherlands; the expert region for maritime application of LNG

North of the Netherlands; the expert region for the maritime application of LNG•LNG as a fuel for international shipping offers a broad environmental perspective to the world; compared to fuel oil, natural gas produces 25 % less CO2 emissions and 90-95 % less sulphur oxide, nitrogen oxide and particulate matter.•The North Dutch shipbuilding sector sees LNG as a breakthrough for international shipping. The Paris climate agreements and the IMO’s commitment to CO2 emissions by 2030, but also new maritime regulations on SOx and NOx emissions that will enter into force in 2020 and 2021 will give the market a huge boost. On a world fleet of plm. In 2018, 50,000 ships sail only 120 on natural gas. So the real market has yet to come. •The North Dutch maritime sector specialises in (complex) short-sea vessels. In this segment, the cluster expects to be able to contract at least 40 LNG-related ships by 2025. With an average contract price of plm. EUR 20 million per vessel, this means a turnover value of EUR 800 million for the region. The construction of a complete ship with an LNG system requires an average of 250,000 working hours. The construction of 40 ships therefore involves more than 6,000 people-years of work for the region.•The North Dutch maritime cluster (unlike other shipbuilding regions in the world) consists largely of SMEs that work together on a project basis for each shipbuilding assignment. Due to the high degree of specialisation of individual companies, the region is seen as an expert in the field of high-quality technology combined with economic efficiency. LNG sailing has a number of technical bottlenecks compared to diesel engines (e.g. fuel storage at -162?pressure and evaporation systems, gas explosion risks, engine mappings). LNG as a knowledge domain is therefore an excellent opportunity to further strengthen the competitive position based on expertise. This is the case; OKnowledge on the construction of new (freight/passenger) ships with LNG propulsion,oKnowledge on the conversion of existing ships to LNG propulsion,oKnowledge concerning the construction of bunker tankers transporting LNG to local users (e.g. other LNG vessels).•The LNG focus of the North Dutch maritime cluster for the coming years focuses on scale size: Concrete shipbuilding projects are needed to make progress in the learning curve. Scale also leads to falling costs and thus increasing market demand. In the coming years, global maritime LNG positions will be held and maps shaken. In addition to the North Dutch maritime cluster aces also large international shipbuilders on this market. Conglomerates that can afford to acquire a market position by assuming loss-making orders. The North Dutch maritime cluster cannot (due to its SME structure) and does not want to go into this, but rather distinguishes itself by expertise and experience. This means, however, that all possible support is necessary in order to carry out as many LNG-related shipbuilding contracts as possible in the North of the Netherlands over the coming crucial years.

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