Do You Know What Single Vehicle Emits as Much Pollution as 50 Million Cars?
JUST ONE of the world’s BIGGEST cargo ships is said to generate about the same amount of pollution in a year as 50 million cars…
It’s ok if you need to pause for a second and contemplate that number because this next one is even more shocking.
The 15 biggest cargo ships combined create as much pollution as all the cars…that’s right, all 760 million of them according to a report by the UK’s Guardian.
The problem isn’t the massive 109K horsepower engines that run 24 hours a day.
The real issue lies with the cheap, heavy fuel oil called “bunker fuel” that the ships run on and the almost complete lack of regulations applied to the giant exhaust stacks of these container ships.
This dirty fuel used by the world’s approximately 90,000 cargo ships has 2000 times more sulfur than auto fuel.
And the recent boom in global trade has driven the need for even bigger ships that can carry even more containers that consume fuel, not by the gallons, but by tons per hour.
Overall, shipping now accounts for 90% of global trade volume.
On top of all this one of the world’s biggest shipyards has almost 4000 new large ship being built over the next 3 years and the amount of pollution they’ll produce will be like having another 29 billion cars on the roads.
This is an issue you really don’t hear a lot about so it has remained virtually unseen until the report from the Guardian.
So what’s being done about it?
So far, the IMO or International Maritime Organization, which regulates shipping for 168 member nations, has enacted new mandatory standards for phasing in cleaner engine fuel.
By 2020, sulphur in marine fuel must be reduced by 90% - although this new distilled fuel may be double the price of current low grade fuels.
So as great as those regulations may be at reducing pollution the higher price of shipping fuel may lead to higher prices for consumers.
If a more cost effective solution could be found to reduce emissions it would be a win win for everybody.
So large fleet owners are going to be on the look-out for alternative technologies to help them comply with new emissions standards and save money.
With an addressable market of over 90,000 cargo ships any company that comes up with a technology like this and has a management team with some background in the shipping industry could do very well for its investors.
One company may have found just the solution large shipping fleets are looking for and that is Pacific Green Technologies, ticker PGTK.
They’ve developed a portfolio of Emissions Control Technologies for use in power plants that was originally designed for marine applications. In April of this year they announced the sale of their first Emissions Control system in China through their joint venture partner - POWERCHINA.
Their technology could help large ships produce cleaner fuel emissions from their large smoke stacks.
They also have a veteran management team with background in the shipping industry and a global footprint with offices in the U.S., Europe and China and they’re rolling out one of the most competitive technologies to date to help large ships with Category 3 diesel engines control emissions and meet stricter regulations now and in the future.