(Commonwealth_ The Zero Emission Maritime Buyers Alliance (ZEMBA), a coalition of leading container shippers focused on purchasing carbon-free ocean freight services, has expressed optimism that the market will be ready for a major shift towards greener shipping solutions soon. According to ZEMBA, the necessary infrastructure methanol-capable container ships and sufficient green methanol fuel will be available to support a significant purchase of e-fuel-powered shipping services next year.
In a newly released report prepared in collaboration with Lloyd’s Register (LR), ZEMBA provided insights into the future of carbon-neutral shipping. The report was based on a request for information sent earlier this year to e-fuel producers and shipping lines. The results suggest that ZEMBA is poised to initiate a new tender for e-fuel-powered shipping in 2025. This tender will aim to secure approximately 3.5 billion twenty-foot equivalent unit (TEU) nautical miles of zero-carbon freight services over three years. Although the survey assessed the availability of ships and fuel, it notably did not enquire about costs.
The report’s fuel supply projections indicate that there will be approximately 390,000 tonnes of methanol measured in heavy fuel oil equivalent available in 2027, and this number is expected to exceed one million tonnes by 2030. While this supply will face competition from other industries that require methanol, such as plastics manufacturing, ZEMBA noted that nearly 80 percent of its projected fuel availability comes from suppliers who focus on the maritime sector.
The upcoming tenders by ZEMBA are designed to stimulate demand for zero-carbon fuels and create an incentive for shipping lines to transition towards greener solutions. This approach aligns with the organization’s mission to foster a market for zero-emission fuels at scale, driving greater adoption across the shipping industry. To qualify for ZEMBA’s tender process, shipping lines must commit to transporting at least 1.15 billion TEU-nautical miles per year using a fuel that reduces greenhouse gas (GHG) emissions by at least 90 percent. Additionally, the tender process includes stringent requirements for emissions certification and a thorough assessment of the fuel’s lifecycle emissions.
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ZEMBA’s first tender took place in April 2024, resulting in a contract award to Hapag-Lloyd, a major global shipping company. Under the terms of the agreement, Hapag-Lloyd will help ZEMBA’s members reduce approximately 82,000 tonnes of CO2 emissions between 2025 and 2026. While the tender was not for e-fuels, Hapag-Lloyd will use biomethane, which is considered a sustainable alternative to conventional marine fuels. The organization expects that the first e-methanol supplies will become widely available on the open market between 2027 and 2028, marking an important milestone for the industry.
ZEMBA President and CEO Ingrid Irigoyen emphasized the importance of rapid deployment of hydrogen-derived e-fuels, which will be crucial in ensuring that the maritime sector follows a path aligned with the 1.5-degree Celsius climate goal and ultimately achieves full decarbonization by 2050. “ZEMBA aims to open the door to new and increasingly scalable solutions through each of our tender processes,” Irigoyen said, underscoring the organization’s commitment to facilitating the transition towards cleaner shipping practices.
The survey conducted by ZEMBA revealed some challenges facing the industry as it works towards widespread adoption of e-fuels. Notably, there are currently no e-methane (e-LNG) projects in the post-final investment decision (FID) stage, which suggests that shipowners may struggle to source this type of fuel before 2030. Similarly, the development of e-ammonia as a shipping fuel is still in its early stages. The first ammonia-capable container ships have yet to be ordered, and they are not expected to be operational until at least 2027. These delays highlight the challenges associated with bringing new zero-emission fuels to market and underline the importance of the steps being taken by ZEMBA to accelerate adoption.
