PRESENTATION BY
Capt. BERNARDO HERZER
LPG in the Marine World Latin America
Innovations and Good Practices for the Andes
Golehr.com
LPG AS A MARINE FUEL
• A major opportunity for the propane industry to displace
gasoline and diesel fuel in the marine market
• Propane Autogas is the most widely used and accepted
alternative to the conventional oil-based transport fuels:
gasoline and diesel.
• Emissions regulations today dictate the use of low sulfur fuels
• Alternative fuels like propane are a viable choice – as they are
almost all sulfur free
• There are many questions about the cost of low sulfur diesel
• The higher costs of low sulfur diesel could make the use of
alternatives a reality much sooner
A CHANGING WORLD IN THE MARINE
Sulphur Emission Control Areas (SECAs) are sea areas where there are stricter requirements
World Emissions SECA
BENEFITS E
NV
IRO
NM
EN
T
•Not a marine pollutant
•Lower greenhouse-gas emissions •No Spills
•CLEANER AIR
•GHG
•CO2
•NOX/SOX
•Particulate
•VOCs
•Hg (Mercury)
CO
ST
•EQUIPMENT COST
•FUEL COST SAVINGS
•REDUCED MAINTENANCE
•LONGER ENGINE LIFE
CO
NV
EN
IEN
CE
•REDUCED MAINTENANCE
•LIQUID FUEL AT LOW PRESSURE
•FUEL STABLE FOR LONGER PERIODS THAN GASOLINE, ETHANOL, OR BIO-DIESEL
PE
RFO
RM
AN
CE
•HIGHER OCTANE –EFFICIENT ENGINE
•COOLER BURNING ENGINE – LONGER LASTING
LPG ENGINE & FUEL EFFICIENCY
• LP Gas has high energy content per ton compared to most other oil products and same emission benefits as LNG
• Higher Octane = Higher Compression = More Efficient Engines
• Difference in BTU is addressed
• LPG Non cryogenic – Can be stored as liquid at LOW pressures
STUDIES & REGIONAL APPLICATIONS
• Spain (2007) – LPG vs. Gasoline in
Outboards
– RESULT: No difference in performance at peak power
– “LPG: Pollutant emission and performance enhancement for spark-ignition four strokes outboard engines”, July 27, 2004, S. Murillo, J.L. Mıguez, J. Porteiro, L.M. Lopez Gonzalez, E. Granada, J.C. Moran, E.T.S. Ingenieros Industriales, Universidad de Vigo, Campus Lagoas-Marcosende, 36200-Vigo, Espana, Spain.
• Italy (2010) – Motorized gondolas and
water taxis switch to LPG
– Reduced GHG, water pollution, and VOCs
– Reduced cost
– RESULT: Still being implemented
– “Using LPG to replace gasoline in boats “, Keith Henderson, November 7, 2010, Maritime Propulsion Magazine
GLOBAL APPLICATIONS
• Chile leads the world in marine LPG uses
• 80% of Salmon fishing boats using LPG in the south of Chile.
• There are many examples in Europe of LPG in use as a marine fuel
LEARNING FROM AUTOGAS
• Global consumption of autogas reached 22.9 million tonnes in 2010, and is increasing rapidly.
• Drivers behind quick adoption in autogas:
– Government policies
– Energy security
– Environmental concerns
• LPG is the leading alternative fuel
– Practical (Ease of use)
– Cost Advantage
KEY DEVELOPMENT DRIVERS E
NV
IRO
NM
EN
T
•MANDATES
•LEGISLATION
•IMO
•EPA
•CE
•LOCAL BODIES
MA
RK
ET
DE
MA
ND
•NEW EQUIPMENT
•CONVERSIONS FROM TRADITIONAL FUELS
•HIGHER EMISSIONS STANDARDS
EC
ON
OM
ICS
•EQUIPMENT COST PREMIUM REDUCTION
•OPERATING AND TOTAL COST OF OWNERSHIP SAVINGS
•LOWER COST OF FUEL
PE
RFO
RM
AN
CE
•TECHNOLOGY IMPROVEMENTS
•LOWER MAINTENANCE
•LIGHTER FUEL
ADVANTAGES: LPG vs. LNG
LPG LNG
Recreational Marine Use
Commercial Marine Use
Efficiency
Operating Cost
Investment Cost
Ease of Refueling
Existing Refueling Infrastructure (Commercial)
Installing Refueling Infrastructure
Safety
CONTROLLING WATER POLLUTION
• Gas and particulate contaminants released into the
air settle to the floor of lakes, rivers and oceans
and are converted into methlymercury
• 50% of the fresh water bodies in the US are under a
water-contamination advisory
• The EPA estimates that as much as 6 MM gal of
gasoline per year are spilled – each gal of gasoline
contaminates 1 MM gal of water
• LPG is not a marine pollutant and emits 96% less
particulate matter
USES OF LPG IN MARINE HARBOR & WORK VESSELS Projects include patrol boats, cleaning boats,
harbor tugs, small ferries, harbor maintenance craft
USES OF LPG IN MARINE ,
• Commercial Use of LPG: Fishing boats, life boats, small ships, short sea shipping, and longer range shipping.
RECREATIONAL BOATS: USA
http://www.nmma.net/assets/cabinets/Cabinet453/2012-US-Abstract-
Preview.pdf
http://www.uscgboating.org/assets/1/Page/1520b_USCG_RBS_NationalSurv
ey_Online_SinglePages.pdf
The propane industry also has an unprecedented opportunity to grow demand in the large marine market
OPPORTUNITIES TO SELL GALLONS INFRASTRUCTURE
Commercial
Intermodal
Dockside
Ship to Ship
Floating Depot
Marinas
Tank Exchange
Dockside Refueling
Small Tanker Ship Refueling
Boat Launches
Launch Site
Refueling
Tank Exchange
MARKET DEVELOPMENT IN MARINE
• The mission is to brand propane as a clean, in some cases domestic, and secure energy source
• Widespread consumer education campaign
• Active involvement in energy and environmental policy and regulatory processes
• Support manufacturers that are building, “GROWING THE INDUSTRY”
• Investment in new technologies and the new marine business model
LEHR PROPANE – TAKING ADVANTAGE OF THE
OEM MARKET OPPORTUNITY
Patented & Patent Pending Gaseous Fueled Engine Technology
LEHR PROPANE – TAKING ADVANTAGE OF THE
OEM MARKET OPPORTUNITY
Patented & Patent Pending Gaseous Fueled Engine Technology
Our partners In Colombia • BonGas has the expertise and infrastructure to do sale and after sales
service and support. • YURI NICOLAY VELEZ TRUJILLO CEO • COMVELMAR S.A. • Porque BonGAS Siempre Te Da Mas