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` LATEST INNOVATIONS TO DELIVER OPERATIONAL EFFICIENCIES FOR VESSEL OWNERS AND CLEAN AIR BENEFITS TO MARITIME COMMUNITIES April 20, 2020

LATEST INNOVATIONS TO DELIVER OPERATIONAL …...Apr 21, 2020  · Renewable Diesel and Biodiesel = 18.9 million tons Ethanol = 18.8 million tons Battery-Electric = 2.5 million tons

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Page 1: LATEST INNOVATIONS TO DELIVER OPERATIONAL …...Apr 21, 2020  · Renewable Diesel and Biodiesel = 18.9 million tons Ethanol = 18.8 million tons Battery-Electric = 2.5 million tons

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LATEST INNOVATIONS TO DELIVER OPERATIONAL EFFICIENCIES FOR VESSEL OWNERS AND CLEAN AIR BENEFITS TO MARITIME COMMUNITIES

April 20, 2020

Page 2: LATEST INNOVATIONS TO DELIVER OPERATIONAL …...Apr 21, 2020  · Renewable Diesel and Biodiesel = 18.9 million tons Ethanol = 18.8 million tons Battery-Electric = 2.5 million tons

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• Please submit your questions via the chat feature. Be sure to select Kristen Gifford (Host) or Ezra Finkin (Speaker) and we will address them during the live session.

• Slides and recorded presentation will be available on DTF website on Tuesday, April 21 and will also be emailed to you.

• Please keep your phone on mute to limit background noise.

About Today’s Session

Page 3: LATEST INNOVATIONS TO DELIVER OPERATIONAL …...Apr 21, 2020  · Renewable Diesel and Biodiesel = 18.9 million tons Ethanol = 18.8 million tons Battery-Electric = 2.5 million tons

Allen Schaeffer Executive Director

Welcome and Opening Remarks

Page 4: LATEST INNOVATIONS TO DELIVER OPERATIONAL …...Apr 21, 2020  · Renewable Diesel and Biodiesel = 18.9 million tons Ethanol = 18.8 million tons Battery-Electric = 2.5 million tons

Ezra FinkinDirector – Policy &

Outreach

Diesel Technology Forum

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in Clean Diesel Technologies

Meet the Leaders

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Topics Covered

Introduction to Marine Workboats

New technology benefits and how cost effective are they?

How long-lived are these assets and what are the benefits to local

communities?

Going Coast to Coast to Coast with Clean Vessels: Presentation of Case Studies

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• What is a marine workboat?• Tugs, push boats and other harbor craft that support maneuvering,

positioning and Barging operations

• Fireboats and some fishing vessels

• Offshore service vessels that deliver crew and equipment and supplies supporting off-shore oil & gas operations, windfarms and other of-shore activities supply ships

• Passenger vessels including ferries and some cruise vessels

• NOT ocean going vessels

• NOT recreational or pleasure craft

About Marine Workboats

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• Diesel is the dominant technology option for marine workboats, due to unique combination of power, performance, efficiency reliability and durability… and most recently, near zero emissions

• Few LNG and other power systems

Workboat Engine Power

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Passenger Vessels are Important Asset in Transportation Systems, Nearly All

Are Powered by Diesel

In 2018…..92.7 million Passengers 24.1 million Vehicles

Diesel is the technology of choice for powering Ferries – 2018“National Census of Ferryboat Operators”

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• Power Configurations- some can include 4 engines per vessel• 1-2 main propulsion engines

• Auxiliary or service engines serving as electrical generators

Engine Power: Large HP and Multiple Units

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Since 2014 New Diesel Engines Now Achieve Near

Zero Emissions

WorkboatsTypically 2 propulsion engines with additional auxiliary engines

Passenger VesselsLarge variety of vessel types with differing propulsion and auxiliary needs

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Harbor Craft are Significant Contributors to Local Emissions

Inventories

Drayage

15%

Rail

1%

CHE

5%

Harbor

Craft

27%

OGV

52%

Drayag

e…Rail

3%CHE

7%

Harbor

Craft

47%

OGV

33%

PM 2.5 Emissions (2011) NOx Emissions (2011)

SOURCE: U.S. EPA, National Port Strategy Assessment (2016)

Page 14: LATEST INNOVATIONS TO DELIVER OPERATIONAL …...Apr 21, 2020  · Renewable Diesel and Biodiesel = 18.9 million tons Ethanol = 18.8 million tons Battery-Electric = 2.5 million tons

14Opportunity: Major Clean Air & Fuel Saving Benefits of Large Engine

Repowers

• Tier 3, Tier 4 engine replacements yield substantial benefits• Workboat repower is similar to 96 dray truck replacements

(30 tons NOx per year)

• Switch locomotive repower is similar to 36 dray truck replacements (9 tons NOx per year)

Texas Emission Reduction Program = Large engine replacements are enormously cost effective

Page 15: LATEST INNOVATIONS TO DELIVER OPERATIONAL …...Apr 21, 2020  · Renewable Diesel and Biodiesel = 18.9 million tons Ethanol = 18.8 million tons Battery-Electric = 2.5 million tons

15Large Engine Repowers Are Among Most

Cost Effective

1 ton of NOx eliminated = $5,000

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Ferries Are Long Lived Assets…

Median Life Expectancy for a Ferry is 41 Years

“National Census of Ferry Boat Operators – 2018”

…for comparison, a Class 8 truck has a useful life of 20 years

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… and are aging with older technology

Median build year for ferries is 1989

“National Census of Ferry Boat Operators – 2018”

1989 was a good year for ferry manufacturers and TV.

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Phase 2 Research Finding: Marine Engines have a service life 2X as EPA emission model assume (50 years as opposed to 23 years)

Marine Repowers Deliver Cost Effective, Immediate Emissions Benefits for Local Communities

What if marine engines were replaced as quickly as EPA assumed?

New York – New Jersey8 tons per day

BaltimoreJust under 1 ton per day

Houston - Galveston4 tons per day

Why is this important? EPA emissions models overestimate anticipated

benefits.

Introducing new clean diesel engines is important to achieve modeled benefits.

77% NOx Reduction

37% NOx Reduction

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Biodiesel & Renewable Diesel fuel, what are they?

• Advanced Biofuels derived from waste animal fats & oils

But Wait…There’s More Emissions Reduction Opportunity From

Advanced Biofuels

Biodiesel may be blended with petroleum diesel up to 20%

Renewable diesel fuel may be used as a 100% replacement fuel…actually meets the same engineering standard as petroleum diesel fuel

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Big Low-Cost Benefits from Biofuels

Greenhouse Gas Emissions Reduced (2011-2018)

Renewable Diesel and Biodiesel = 18.9 million tons

Ethanol = 18.8 million tons

Battery-Electric = 2.5 million tons

California’s Experience with Low Carbon Fuels

Of all the fuel types and technologies, biodiesel and renewable diesel are contributing the greatest C02 reductions in California….and it takes a diesel engine to realize the benefits

Page 21: LATEST INNOVATIONS TO DELIVER OPERATIONAL …...Apr 21, 2020  · Renewable Diesel and Biodiesel = 18.9 million tons Ethanol = 18.8 million tons Battery-Electric = 2.5 million tons

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Presentation of Case Studies

Going Coast to Coast to Coast and Everywhere in

Between

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CASE STUDY: Reducing Emissions with Clean Diesel

Workboats

Cost: $225,000

Benefits Provided

• Reduced 3.2 tons of NOx per year

• Eliminated 400 lbs. of fine particles

Saved the operator 45,000 gallons of fuel resulting in 1,000 tons of GHG emissions

“Island Chief” workboat engine replacement

• 2 unregulated propulsion engines replaced with 2 Tier 3

• 1 unregulated auxiliary engine replaced with Tier 4

BIG Co-Benefits

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Texas-Sized Benefits to Texas Port Communities

2019 TERP Grant Recipients5 Marine Vessel repower projects (Propulsion & Auxiliary)

$4.5 million in Incentive funds to deliver 388 tons of NOx reduction.

Learn More:https://www.tceq.texas.gov/assets/public/implementation/air/terp/reports/FY19_ERIG_Applications_Selected_for_Award_FOR_WEB_030119.pdf

3 Vessel Repower Projects10 propulsion engines4 Auxiliary engines

86 tons NOX Reduction

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Repowering Miss Vivian Delivers Operational Benefits

Repower two older generation two-cycle engines with new John Deere Tier 3 engines = more horsepower, more fuel savings and lower emissions

An increase in horsepower and torque improved Miss Vivian’s speed and performance. “I’m running about 21 knots, which is pretty fast for a boat this size,” said Capt. Molina. “The additional torque helps me maneuver the boat in tight spaces in the wind and waves.”

The engines are proving to be financially rewarding in other ways, too. “They are extremely economical compared to the previous engines,” added Molina. “Before, I would run hard six hours and burn 500 to 600 gallons of diesel fuel under heavy load. Now, I run the same amount of time — with a comparable load — and the John Deere engines only consume 375 gallons.”

Learn More:https://www.workboat.com/news/shipbuilding/corpus-christi-crewboat-runs-with-renewed-power/

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Dining in Style with Lower Emissions in Baltimore

Tier 3 Engine Repower Delivering Cleaner Air and Fuel Savings

398 tons of NOx emissions,37 tons of fine particle emissions,Saving 64,450 gallons of fuel and,724 tons of CO2

2018 DERA Grant

Learn morehttps://www.marinelink.com/news/epa-funds-diesel-pollution-abatement-443937

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26More Power and Fewer Emissions for Mississippi Workboats

Learn Morehttps://www.pca.state.mn.us/air/ls-marine

The operators appreciate the boost in performance of the two 375-horsepower engines and the improvement in fuel efficiency.

The Margaret D is also running cleaner, with significantly lower emissions of airborne particulates, nitrogen oxides, and hydrocarbons.Nitrogen oxides are cut by more than four tons per year, equal to removing 778 cars from operation.Fine particle pollution is reduced by 79%, the equivalent of taking 3,780 cars off the road.

$53,000 grant = 2X 375 HP propulsion engines = 4 tons of NOx emissions reduced

Page 27: LATEST INNOVATIONS TO DELIVER OPERATIONAL …...Apr 21, 2020  · Renewable Diesel and Biodiesel = 18.9 million tons Ethanol = 18.8 million tons Battery-Electric = 2.5 million tons

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Cleaner Tugs in Massachusetts Help Clean the Air

Install two Tier 3 marine propulsion engines and four Tier 3 marine auxiliary engines on the tug boat Kodiak operating in New Bedford, Mass.

The project will reduce annual NOx emissions by 5.3 tons. This is equivalent to taking over 4,500 cars off the road for a year

$580,000 EPA Grant + $728,000 in matching funds

Learn More:https://archive.epa.gov/epa/newsreleases/epa-awards-more-570000-reduce-diesel-emissions-new-bedford-harbor-protect-health.html

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Advanced Renewable Biofuels Reduce GHG and Other Emissions

What is 22,000 tons of C02?

Page 30: LATEST INNOVATIONS TO DELIVER OPERATIONAL …...Apr 21, 2020  · Renewable Diesel and Biodiesel = 18.9 million tons Ethanol = 18.8 million tons Battery-Electric = 2.5 million tons

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More About the Benefits of the Enhydra

The 2018 Boat of the Year was the Enhydra, a 600-passenger hybrid tour vessel built by All American Marine for Red and White Fleet…..and it’s a diesel electric hybrid.

Powered by two Tier 4 410-hp Cummins engines along with hybrid technology developed by BAE Systems

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Hybridization is Here With Big Benefits

Retire 8 Lake Erie Tugs Built Between 1897 and 1931 and replace with 4 Diesel-Hybrid Electric

“Ohio” = Twin Tier 3 MTU 1,000 HP propulsion enginesSingle John Deere 65kW Genset coupled with Hybrid systems for service power

Benefits Generated:

32 tons of NOx emissions reduce353 tons of greenhouse gas emissions eliminated

Learn More:https://www.epa.gov/sites/production/files/2019-05/documents/ohio-ports-projects-2019-mcdi-mtg-19pp.pdf

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Summing it Up

• Marine engine replacements are among the most cost effective investments for reducing emissions on a $/ton basis

• Marine engines are 2X as long lived as EPA emissions models assume and big benefits to communities and vessel owners come from engine repowers.

• Using incentive funds to replace older marine engines faster could go a long way to generate real world benefits as assumed by EPA emissions models.

Read more about our large engine research:

https://www.dieselforum.org/largeengineupgrades

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• Please submit your questions via the chat feature. Be sure to select Kristen Gifford (Host) or Ezra Finkin (Speaker) to direct your questions.

• Slides and recorded presentation will be available on DTF website on Tuesday, April 21 and will also be emailed to you.

• Send any follow up questions to [email protected] or call us directly.

Q&A

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https://www.cat.com/en_US/by-industry/marine.html

https://www.cnhindustrial.com/en-us/our_brands/fpt_industrial/Pages/default.aspx

https://www.cummins.com/engines/marine-propulsion

https://www.deere.com/en/engines-and-drivetrain/marine-diesel-engines/

https://www.mtu-solutions.com/eu/en/applications/commercial-marine/commercial-marine-solutions.html

https://www.volvopenta.us/marinecommercial/en-us/home.html

Contacts & Resources

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Thank You

Ezra FinkinPolicy DirectorDiesel Technology [email protected]