At the forefront of the energy transition

Mikael Wideskog, Director, Sustainable Fuels & Decarbonisation at Wärtsilä

To support its ambition of reaching net zero greenhouse gas (GHG) emissions as close to 2050 as possible, the International Maritime Organization (IMO) has set interim goals in the coming years. By 2030, it is looking for a reduction in CO₂ emissions from international shipping of at least 40%, compared to 2008 and for the uptake of zero or near zero GHG emission technologies, fuels and/or energy sources to represent at least 5%, striving for 10% of the energy used.

Organisations supplying the industry, from OEMs and energy suppliers to lubricant and additive companies, must make significant changes to their product offerings in support of this transition. Mikael Wideskog, Director, Sustainable Fuels & Decarbonisation at Wärtsilä sees three main pathways to maritime decarbonisation.

“In just 25 years – the lifetime of a single vessel – international shipping needs to get to net zero emissions. The first pathway is through burning less fuel, which improves vessel and operational efficiency to reduce GHG emissions and fuel costs. Products and solutions which will be critical in supporting this first step, include, but are not limited to, energy efficiency improvements to the engine, propulsion, hull and other systems or speed reduction solutions, onboard energy management and hybrid drive systems.”

“The second step is emissions abatement – here solutions focus on the significant reduction of GHG emissions of carbon-based fuel with, for example, carbon capture. Then, thirdly, comes the total reduction of GHG emissions through the use of sustainable fuels such as methanol or ammonia. However, to truly support the IMO’s long-term goals, the first and second pathways will need to be combined with the utilisation of alternative fuels in the third pathway.”

In support of the use of alternative fuels, as Mikael continues, a historic agreement on carbon pricing for global shipping was reached at MEPC 83. “Ships will be required to comply with a global fuel standard, gradually reducing their annual GHG fuel intensity (GFI) - the amount of GHG emitted per unit of energy used, calculated using a well-to-wake approach. Ships emitting above GFI thresholds will need to acquire remedial units to offset excess emissions, while those utilising zero or near-zero GHG technologies will be eligible for financial rewards. Two tiers of requirements are set on the annual attained GFI for a ship: a base target and a more stringent direct compliance (DC) target – with each ship required to meet the DC target. The regulations include annual DC GFI reduction factors starting at 17% in 2028 and rising to 43% in 2035.”

"A lot is happening within the maritime industry to reduce GHG emissions – it’s not yet getting shipping to net zero – we need to take every action available to ensure this transformation happens as fast as possible."Mikael Wideskog, Wärtsilä

What Mikael sees today is the opportunity for operators to ensure they maximise the efficiency of their existing vessels. “For the maritime industry to make meaningful progress towards its decarbonisation goals, every operational aspect needs to be considered. There are several ways for ship owners and operators to optimise operations and maintenance more effectively, ensuring their vessels deliver maximum value throughout their lifecycle. This will be key to decarbonising, cutting emissions and staying compliant both in the short- and long-terms. Wärtsilä’s Lifecycle Services decrease the risk of unplanned maintenance and costly downtime, improving performance to save fuel and reduce emissions, and through guaranteed performance targets and shared risk. For example, before equipment breaks down, there are often signs that show something isn’t quite right, signs which might not always be visible to the crew. Wärtsilä’s Expert Insight service, which is delivered through Wärtsilä’s global Expertise Centres, leverages AI technology to identify potential failures before they occur, thus helping to improve asset efficiency and reduce both operating costs and emissions.” 

Set for 30

Looking ahead, with its 'Set for 30' decarbonisation targets, Mikael explains, Wärtsilä has committed to becoming carbon neutral in its own operations and to providing a product portfolio ready for low or no-carbon fuels by 2030.

“As part of our decarbonisation efforts, we make action plans annually and monitor their execution throughout the year,” he confirms.  “For example, in 2024, our GHG emissions as an organisation decreased by 50%, compared to the baseline*, which is aligned with our carbon neutrality pathway. In addition, we continue to develop our product portfolio so that low or no-carbon fuels, such as ammonia, methanol and hydrogen, can be widely used by 2030.”

Wärtsilä is already making strong headway with regards to enabling the use of alternative fuels in the marine segment, as Mikael continues. “Demand for sustainable fuels is beginning to take off, with alternative fuel investments accounting for 41% of the tonnage ordered in the first half of 2024. But, the adoption of new fuels is not without its challenges. In my view, the shipping industry faces a ‘chicken-and-egg’ dilemma, with operators reluctant to commit to a sustainable fuel that is only being produced in small quantities today, when there remains uncertainty around which technologies will scale fastest. This, coupled with fuel producers’ reliance on demand signals to ramp up fuel production, means urgent action is needed across the shipping industry to break this cycle.”

The transition to low and zero carbon fuels will happen over time and here Wärtsilä sees a real need for flexibility. “I think it is essential, to prioritise fuel flexibility and readiness for sustainable fuels,” Mikael confirms. “Such fuel flexibility enables compliance with emission regulations in controlled areas, while giving operators the option to select the fuel they use according to its cost and availability, without compromising their operations.” 

"Wärtsilä is positioned at the forefront of the energy transition, driven by a strong commitment to innovation, collaboration, and sustainability."
Mikael Wideskog, Wärtsilä

“Wärtsilä already offers a wide range of flexible and efficient marine engines and gensets that comply with stringent emission standards. These engines are designed for maximum performance and uptime and can run on gas, diesel, methanol, ammonia or dual fuel. In addition, vessels with Wärtsilä engines and fuel supply systems will be compatible with any biofuel that meets established standards, whether in gas or liquid form.”

And, as Mikael continues, as well as enabling the use of lower carbon fuels, their engines are also addressing multiple challenges faced by the shipping industry today.

“Let’s look at LNG fuel and the challenge of methane slip as one example,” he suggests. “LNG is considered an important transition marine fuel, bridging the gap between conventional diesel fuels and future carbon-neutral or carbon-free alternatives. However, the main component of LNG is methane, and when it is burned as a fuel, a very small amount may not combust properly, leading to methane escaping into the atmosphere – which is known as methane slip. Our latest advance, NextDF technology, can reduce methane emissions in Wärtsilä 31DF and Wärtsilä 25DF engines running on LNG to as low as 1.1% of fuel use. That’s nearly three times below the 3.1% default methane slip factor used in FuelEU Maritime and IMO’s Lifecycle Analysis Guidelines for Otto-cycle four-stroke dual-fuel engines. As the shipping industry strives for more sustainable operations, this new solution represents an important milestone on the road to advancing lower carbon fleets.”

Wärtsilä’s methane slip reduction NextDF technology can be applied to the Wärtsilä 31DF dual-fuel engine

"Using LNG and cutting methane emissions is an effective way to decrease overall GHG emissions from marine engines over the next 10 years."
Mikael Wideskog, Wärtsilä

Future fuel compatibility

However, as well as fuel flexibility to enable the use of alternative fuels that are widely available today, Wärtsilä is also introducing new engines that are compatible with other lower and zero carbon fuel options. “We launched our medium-speed 4-stroke marine engine for ammonia fuel in 2023,” Mikael explains. “The first commercial implementation of this ammonia engine will be aboard the 'Viking Energy', an offshore platform supply vessel. Scheduled for the first half of 2026, this conversion project will include the installation of fuel gas supply and exhaust aftertreatment systems, marking a significant step in ammonia's practical application as a marine fuel. Methanol is another promising fuel candidate for maritime’s decarbonised future. In 2022 Wärtsilä launched its first modern marine engine for methanol fuel and, in the coming years, this portfolio will be expanded to additional engines.” 

Wärtsilä is working hard to develop solutions that enable the use of future net zero fuels

With most vessels having the potential to operate for over two decades, Mikael sees it as essential that the engines of today’s modern vessels can be adapted to fit new requirements over time. “The latest engines in our portfolio have been designed with a modular structure for faster, easier upgrades and conversions to sustainable fuels. One example is the Wärtsilä 25 engine which is a medium-speed, modular 4-stroke marine engine available in diesel, dual-fuel LNG and – now – in dual-fuel ammonia.”

"I see dual-fuel engine technology as a future-proof investment for the industry as it strives towards its 2050 sustainability goals.”
Mikael Wideskog, Wärtsilä

Regulations and collaboration key to success

Clearly there is a lot of activity in the maritime industry as it accelerates its efforts towards the 2030 targets, and the goal of reaching net zero by 2050. As Mikael explains, having the technology in place is one aspect, but the regulatory landscape must also evolve. “The technology is there, but the financial incentives are not yet strong enough to enable the uptake of green fuels fast enough. Supportive policy frameworks will drive forward the financial viability of sustainable fuels. Currently, EU regulations are providing stronger financial incentives than existing global regulations. For transformation to happen, regulation must enable companies to stay competitive throughout the industry’s decarbonisation journey.”

"Without financial incentives, the shipping industry’s transformation will not happen soon enough.”
Mikael Wideskog, Wärtsilä

In conclusion, Mikael talks about the importance of collaboration as the industry strives for a net zero emissions future. “The global nature of shipping means working together with others is the only way the industry can unlock the potential to drive sustainable transformations and develop technologies and solutions which meet the needs of the wider value chain. This is the backdrop against which we built our Sustainable Technology Hub (STH) in Vaasa, Finland. The centre, which opened in 2022, aligns with Wärtsilä’s purpose of enabling sustainable societies through innovation in technology and services. In STH we are able to do research, develop, innovate and pilot products and solutions that will support our journey towards a sustainable society.”

* Baseline is a 3-year average from 2019-2021

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