TEXTE Environmental Impacts of Exhaust Gas Cleaning Systems for Reduction of SOx on Ships — Analysis of status quo
Report compiled within the framework of the project ImpEx
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Forecast of EGCS application and alternative compliant
solutions
The database from DNV GL (2020) presents the number of ships EGCS-fitted for the coming
years. Figure 5 shows 4,379 ships EGCS-fitted by 2023. Clarksons Research (2019) counted up to
4,000 ships (including further additions pending) and estimated that by end 2020 up to 15% of
the world fleet by tonnage capacity will be EGCS-fitted.
Figure 5: Total number of ships with EGCS (in operation and on-order)
4500
"261 A377 A279
1000
3500
2000
)500
1000
‚500
‚00
00
2
[=
7
12
22
ACC
N
A &d VD SD vr V DD ED © MM VS SD HD
SS‘ HM SS NN NO NN ON ON ON NN && N NN SV
SS SNEPN PN PN NE PNX PN PX NX NS
SV VS
DM DO SD
Source: DNV GL (2020), retrieved on 07/05/2020 from https://afi.dnvgl.com/.
Those short-term prognoses which are based on confirmed orders, could present modifications
due to the current COVID-19 pandemic and low fuel oil prices in the market. These factors have
led to postponement and cancellation of EGCS installations. First, the outbreak of the virus in
China and the Asiatic region stopped the work in the shipyards, where most of the installation
works were scheduled. Secondly, the economic impact of the COVID-19 pandemic has also
affected the shipping industry. As a response, the shipping companies have taken several
measures including the postponement or cancellation of EGCS installations. In addition to that,
or perhaps one reason to support that decision is the current low cost gap between (non-
compliant) residual fuels and (compliant) low-sulphur fuels, originated by the current market
crisis caused by the COVID-19 pandemic. That cost gap is a determining factor on the economic
viability for the adoption of EGCS. A gap above 200 USD per ton might ensure a fast return of
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