Hapag-Lloyd and Gasum have joined forces to accelerate the green transition in shipping with a pioneering bio-LNG supply contract. Starting in 2025, Gasum will provide Hapag-Lloyd with 20,000 metric tons of bio-LNG to fuel its containerships on the busy Singapore-Rotterdam route. This agreement represents a significant milestone for both companies and is a key part of Hapag-Lloyd’s journey to achieve net-zero carbon emissions by 2045.
The contract, which spans 2025 and 2026, is part of a larger effort driven by the Zero Emission Maritime Buyers Alliance (ZEMBA). This innovative project brings together major shippers, including companies like Amazon, Patagonia, and Nike, to create demand for green shipping solutions. Hapag-Lloyd, as the winner of ZEMBA’s first tender, will offer independently certified, waste-based biomethane services that reduce greenhouse gas emissions by at least 90% compared to traditional fossil fuel-powered shipping.
Bio-LNG: The Future of Low-Carbon Shipping
Bio-LNG (liquefied biomethane) is rapidly gaining popularity in the maritime sector due to its potential to reduce greenhouse gas emissions by up to 90%. Produced from renewable sources like biowaste, sewage sludge, and agricultural residues, bio-LNG offers a cleaner alternative to conventional marine fuels. It can be used in the same engines as natural gas, making it a practical solution for shipping companies aiming to decarbonize their operations without major retrofits or infrastructure changes.
Gasum, a Nordic energy company, is at the forefront of this shift, operating 17 biogas plants in Finland and Sweden and working with partners to scale up production. Gasum’s goal of providing 7 TWh of renewable gas by 2027 will play a crucial role in the global effort to reduce maritime emissions. Their collaboration with Hapag-Lloyd showcases how shipping can evolve by using greener fuels now, rather than waiting for distant future technologies.
A New Era of Green Shipping: Hapag-Lloyd’s Commitment
This bio-LNG supply agreement marks one of the first large-scale commitments in the industry, underscoring Hapag-Lloyd’s role as a leader in sustainability. The route between Singapore and Rotterdam will serve as a “green corridor,” a vital step in decarbonizing long-distance maritime transport. The company’s partnership with Gasum, combined with ZEMBA’s guaranteed demand, will help drive down costs and encourage further investment in renewable fuels.
With other major carriers like Maersk also exploring bio-LNG for their dual-fuel vessels, the momentum for cleaner marine fuels is building. While bio-LNG offers a near-term solution, concerns around the supply and cost of alternative fuels, such as methanol, are pushing companies to explore multiple fuel pathways. The shipping industry is embracing a diverse set of solutions to achieve the International Maritime Organization’s (IMO) goal of reducing carbon emissions by at least 50% by 2050.
VURDHAAN: Guiding the Maritime Sector Toward a Sustainable Future
At VURDHAAN, we applaud the collaboration between Hapag-Lloyd and Gasum as a crucial step toward a sustainable maritime future. Our expertise in helping maritime companies navigate the complex world of sustainability regulations and fuel transitions aligns perfectly with the goals of initiatives like ZEMBA and the adoption of bio-LNG.
As a leading consultancy in maritime sustainability, VURDHAAN specializes in supporting efforts to reduce emissions through initiatives like FuelEU Maritime, EU MRV, and MARPOL compliance. We guide shipping companies through the challenges of adopting renewable fuels and energy-efficient technologies, offering tailored strategies to help them meet regulatory requirements and achieve their long-term sustainability goals.
With the maritime sector undergoing rapid change, our role at VURDHAAN is to Support, Educate, and Implement. We provide comprehensive support to ship operators, educating them on new fuels and regulations while implementing effective, actionable sustainability plans. By partnering with us, maritime operators can ensure they are not only compliant with evolving regulations but also well-positioned to benefit from the opportunities created by the green transition.
The Impact of Bio-LNG on Global Shipping
The use of bio-LNG in shipping has far-reaching implications for the industry’s carbon footprint. By adopting bio-LNG, shipping companies can significantly reduce their well-to-wake emissions—the full lifecycle emissions from fuel production to combustion. This holistic approach to measuring emissions aligns with the broader goals of the Fit for 55 initiative and the European Union’s climate targets.
The introduction of bio-LNG on the Rotterdam-Singapore route sets a precedent for future green corridors, where ships can operate on renewable fuels across longer distances. The backing of major shippers through ZEMBA ensures that there is both demand and volume to make these transitions financially viable for shipping companies.
Moreover, Gasum’s bio-LNG production process offers additional environmental benefits, as the residual materials from biogas production can be repurposed for use in agriculture and industry, creating a circular economy model that maximizes resource efficiency.
Looking Ahead: A Greener Future for Shipping
As the shipping industry moves toward decarbonization, partnerships like the one between Hapag-Lloyd and Gasum will become increasingly critical. The supply of bio-LNG not only addresses immediate emission reduction goals but also sets the stage for the broader adoption of renewable fuels across the sector.
At VURDHAAN, we remain committed to helping the maritime sector meet these challenges head-on. Our in-depth knowledge of sustainable fuels and regulatory frameworks positions us as a valuable partner for shipping companies looking to navigate this complex transition. Together, we can achieve the industry’s ambitious climate goals and contribute to a cleaner, more sustainable future for global trade.