UECC Achieves Significant Emissions Cuts in 2024 Through Innovative LBM Fuel Solutions

[By: United european Car Carriers]

In 2024, United European Car Carriers (UECC) made extraordinary strides in cutting CO2 emissions, primarily by using liquefied biomethane (LBM) on its LNG-powered ships as part of the Sail for Change initiative. This effort is backed by major car manufacturers across Europe.

The company reported a drop of over 107,000 tonnes of CO2 last year—an impressive 70% increase from the previous year’s reduction of more than 63,000 tonnes. UECC has set enterprising goals to further decrease emissions by an additional 50% this year, aiming for a total reduction close to 155,000 tonnes as it works towards a target of reducing emissions by 187,000 tonnes by 2030. This commitment positions UECC as a frontrunner in sustainable short sea RoRo shipping while also helping customers save on regulatory costs.

Addressing the demand for low-carbon logistics is crucial. “We’re making important progress toward our sustainability goals through innovative investments in green fuels and technologies,” shares Glenn Edvardsen, CEO of UECC. “Our initiatives allow us to offer increasingly eco-pleasant transport options at a time when low-carbon logistics are becoming essential due to stricter regulations and rising penalties for pollution.”

This proactive approach has allowed UECC to stay ahead in the market while exceeding greenhouse gas intensity regulations and maintaining compliance surpluses under FuelEU Maritime—resulting in substantial cost savings under the EU emissions Trading System (EU ETS).

The shift towards alternative fuels has been pivotal; last year alone saw biofuels and LBM make up about 42% of fuel use across UECC’s fleet—a jump from just 34% in the previous year. The company aims for this figure to reach 58% by 2030 due to bioLNG’s effectiveness at reducing emissions compared with other alternatives.

Masanori Nagashima, Senior Manager of Business Planning & Sustainability at UECC, emphasizes that bioLNG is central to their strategy aimed at achieving a carbon intensity reduction target of 45% by 2030 based on figures from 2014—and reaching net zero emissions by2040 well ahead of international deadlines set forth by organizations like IMO and EU.

This fuel is being utilized on various dual-fuel LNG PCTCs within their fleet—three even feature battery hybrid technology—as part of Sail for Change which launched last year with participation from automotive leaders such as Toyota and Ford.Additionally, two new multi-fuel LNG battery hybrid vessels are expected to join their ranks come delivery time in2028.

Nagashima notes that using manure-based feedstock considerably enhances emission reductions throughout its lifecycle—from extraction through consumption—which aligns perfectly with FuelEU requirements regarding well-to-wake assessments.

“While competition for bioLNG grows within shipping circles,” he adds,” our early investment gives us an edge when securing future supplies through strong supplier relationships.” Recently secured was an agreement with Titan Clean Fuels from the Netherlands ensuring delivery of at least12,000 tonnesof ISCC-EU certified mass-balanced LBM this year under Sail for Change.

The overall carbon intensity metric used across UECC’s fleet stands impressively low at68 gCO2e/MJ—a significant step toward meeting interim targets aimed at achieving25% reductionsby2025.Nagashima anticipates they could hit57 gCO2e/mjthisyear basedon current supply strategies.

This figure comfortably sits below FuelEU’s current thresholdof89.3gCO2e/MJand even lower than projected limitsfor2035at77.9gCO2e/MJwhich represents14.5percentreductionfrombaseline levels.
“Thanks tothe reducedcarbonintensityofthefleet,weexpectallourvesselswillachieveC ratingorbetterunderIMO’sCarbonIntensityIndicator(CII).Thisalso grantsusacompliance surplusunderFuelEUpotentiallymonetizablethroughregulatorypoolingmechanisms,givingusgreatcommercialopportunitieswhileoffsettingcostsforcustomers,”Nagashimastates.
“Moving forward,UCE will keep pushingitsdecarbonizationeffortsbyoptimizingfuelmixstrategiesandincorporatingmorehigh-impactfuelsas theybecomeavailable.”