The LNG supply chain scenarios: the downstream from port to land
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1 The LNG supply chain scenarios: the downstream from port to land Glasgow (United Kingdom, Scotland) September 15th, 2015 Eng. Simone Pacciardi Technical consultant La Spezia Port Authority
2 The Port of La Spezia The natural sheltered port of La Spezia, in North-West Italy, is located in the Liguria Region, in the North Tyrrhenian Sea. Thanks to its excellent geographical position and intermodal links, La Spezia is able to serve the main North Italian and South European markets. La Spezia Port Authority
3 Transport network linked to the Port of La Spezia La Spezia is a Core Port within the TEN-T Corridor Scandinavian-Mediterranean Actually, it manages 1,3 million TEUs/year (2nd most important container port of the Northern Italy) and about 1200 container ships, 250 cruise ships and 100 general cargo ships moor every year at the port of La Spezia (data: 2014)
4 La Spezia as a SOUTHERN gateway for European Market The port of La Spezia has a direct rail link with the main inland terminals of the Northern Italy, and in particular to the inland terminal managed by Contship Italia Group in Melzo. From - To: Rotterdam trains 12 / week From - to LSCT: 150 trains/w eek Herne 5 / week Melzo-Rho (Milan) 20 / week Venlo Antwerp Zeebrugge Karlsruhe Frenkendorf 5 / week 2 / week 2 / week 3 / week 2 / week Melzo is the inland gateway to the European markets 280km Melzo 185km 220km 165km La Spezia 215km 120km150km 260km 175km 210km Dinazzano (Reggio Emilia) Bologna Padua Rubiera (Modena) Modena Vittuone (Milan) Verona Rivalta (Aessandri a) 14 / week 11 / week 9 / week 7 / week 4 / week 4 / week 3 / week 2 / week Brescia 2 / week
5 The inland terminal of MELZO as a New Port in Italy Shunting Area 160,000 m2 Terminal Gate 10 km of rail tracks Services center
6 TEN-T CNCs and MoS Seamless maritime integration in the global logistic chain Environmental protection Human elements Brian Simpson (MOS coordinator) Work Plan of the European Coordinator On the environment, the main areas for work are the reduction of emissions, mainly Sulphur (SOx), in order to comply with the new Annex VI of MARPOL which comes into force on the 1st of January 2015 on the Baltic and North Seas. MoS are supporting ship and shore based installations and propulsion systems, logistics and reception facilities in ports, such as Liquefied Natural Gas (LNG), methanol, de-sulphurised fuels and scrubbers...
7 The «green» perspective of the corridor La Spezia Melzo Best practice: promotion of the use of LNG on the whole logistics chain, for maritime and terrestrial means of transport Port Authority of La Spezia and Contship Italy Group cooperating in the project POSEIDON-MED Supply chain sustainability Sea Port scenario Port land scenario
8 Poseidon-Med Project s main goal The main overall goal of the project consists of conducting a study (accompanied by an extensive Report) aimed at developing a global strategy able to promote the use of Lng as marine fuel in Greece, Cyprus and Italy. The abovementioned aim can be divided into several sub-targets, like: studying Lng sources and destinations in these Countries, studying all necessary activities to develop a sustainable market for Lng while satisfying emissions reduction as highlighted within TEN-T objectives. Through the final Report it will be possible to identify: the infrastructure and the network of facilities to be developed across the three Countries, the total Lng demand, the actions that are required to formulate the legislative and regulatory framework, risks and issues to deal with and financial needs and sources.
9 POSEIDON MED activities Lng Network. Supply and Demand Legislation and Regulatory Framework Integrated Maritime Supply Chain for LNG Local Assessments of some Italian Ports Sustainable financing Risk assessment
10 POSEIDON MED activities Integrated Maritime Supply Chain for LNG La Spezia Melzo: as the first Italian best practise of LNG corridor
11 Integrated Supply Chain sea-port and port-land LNG scenario As told before, the overall aim of the project is to define future scenarios about the implementation of a transport chain based on Lng from the maritime, port operation and land sides. Activity 4: Objectives - to analyse all the potential constrains and opportunities - defining a set of scenarios for the implementation of strategic road map for the LNG supply chain in the Port of La Spezia activity to analyse how LNG could be used on a full LNG based logistic chain including different means of transportation and new organization of LNG based freight flows to the inland terminal of Melzo (MI) enabling optimised solutions activity 4.2
12 Activity 4: Methodology For both the sub activities, the methodology includes desk analysis, interviews with the stakeholders, technical workshops and on-site visits to define: Policy and regulations framework Current power sources and supply in each port and related logistics systems; overall availability of LNG and existing facilities; Potential demand of alternative fuels for each port and maritime sector (LNG, electricity etc.) up to ; demand forecasting for Med Sea; specific market considerations Specific energy savings considerations Upstream and down-stream flows; Bunkering solutions for vessels and tugs; Cost of LNG terminals; Use of regasification sources; Fuel price scenarios; Demand forecasting for Tyrrhenian Sea; Business model for the Port; Feasibility for a LNG filling station in the port; Evaluation of operations and security.
13 Desk analysis (common for the activities 4.1 and 4.2) Methodology: Collection of contributes and documents (more than 50) regarding the actual worldwide state-of-the-art of the LNG Supply Chain based on the elements defined in the previous slide. Selection of the most significant documents divided according to subject of each paragraph and insertion in the Ride the wave document (about 90 pages) Document with two similar sections, one for the elements of the sea-port LNG chain (activity 4.1), one for the elements of the port-land LNG chain (activity 4.2).
14 Interviews, workshops and on-site visits (activity 4.1) 1 st workshop (19 th February 2015, La Spezia) organized to involve the operators interested in the LNG technologies and port scenarios Visit to the Panigaglia regasification plant (25 th March 2015, Panigaglia SP) and meeting with the gas suppliers (GNL Italia, Snam Group), in joint with University of Genoa - Marco Polo programme. 2 nd workshop (23 rd September 2015, La Spezia) planned to define scenarios and LNG Supply Chain SWOT analysis in collaboration with La Spezia operators; 4 scenarios will be defined: - Resilience - Industry Driven - Sustainable logistic - Energy driven
15 Interviews, workshops and on-site visits (activity 4.2) Visit to the Piacenza refueling station (6 th May 2015) and meeting with the designer of the plant (Vanzetti engineering and ENI), in joint with University of Genoa - Marco Polo programme. Involvement of a group of technical operators (i.e. General Electrics, Gastech) and local public authorities Workshop (1 st July 2015, Melzo - Mi) planned to involve the operators interested and to define scenarios and LNG Supply Chain SWOT analysis in collaboration with Melzo operators; 3 scenarios were defined: - Industry Driven - Sustainable logistic - Energy driven
16 Study act. 4.1 ESTIMATION OF THE LNG DEMAND by 2025 STARTING FROM TRAFFIC DATA Starting from official traffic data by the Maritime Authority, we were able to estimate the LNG demand in the port of La Spezia. The elements necessary to start the analysis are: Type of ships mooring at the port of La Spezia Total installed power Service speed Number of arrivals in the port Kilometers travelled from La Spezia to the next destination Based on these data, we conducted a series of groupings. The main objective is the categorization of total arrivals based on specific characteristics for each type of ship: container ships, general cargo and passenger/cruise ships.
17 METHODOLOGY Having categorized all vessels based on their type, we conducted a further grouping to allow a detailed description of each category in the port and finding a typical Container ship We have created 4 classes. Class A 0-1,999 TEUs Class B 2,000-4,999 TEUs Class C 5,000-9,999 TEUs Class D 10,000+ TEUs Passenger ship 1 class equivalent to cruise ships. Cargo ship For general cargo ships, a second grouping was performed referring them to the same classification of container ships, converting the dead weight capacity in the TEUs equivalent. Class A/B 0-4,999 TEUs tons equivalent Class C/D 5,000+ TEUs tons equivalent Typical vessel KING BYRON - CLASS A TOTAL km travelled by class A ships km km/ship class A km/ship Average service speed km/h Time required h Average total power kw Specific consumption gr/kwh Number of ships 477 Total consumption in tons tons Total kilometres travelled are calculated based on the real destinations of each ship For each class, total consumptions are calculated multiplying the specific consumption by time required and average total power of each typical vessel The total LNG bunkering demand is the sum of total consumption of each class. Total consumption in m^3 LNG m^3
18 RESULTS We assumed that by 2025 the whole fleet that now refuels at La Spezia will be LNGpowered and two sub-scenarios were developed. Sub-scenario 1: the number of ships mooring at La Spezia is constant tons of LNG Sub-scenario 2: the number of ships mooring at La Spezia increases by 3% per year tons of LNG
19 Study act. 4.2 Hannibal, a company of the Contship Italia group, tested an IVECO LNG-powered truck to transport its container to and from the hub of Melzo. Main results of the test are listed below: Kilometers travelled: no problems Power on/power off motor: no problems Comments by the driver: The performances of the truck are satisfactory. TEST STRALIS 30th May 2015 KM PERCORSI KG LNG CONSUMATI PREZZO LNG SPESA LNG /KM LNG /KM DIESEL DELTA 80K KM ANNO saving 5,403 KM KG 0.75/KG 1, ,000 THANKS TO:
20 Results, lessons learnt and perspectives The workshops organized by La Spezia Port Authority and Contship Italia Group showed a great interest from the stakeholders of the supply chain La Spezia-Melzo SWOT Analysis made with the contribution of the participants and created many interesting outputs about the implementation of the LNG technology on the downstream from port to land
21 Results, lessons learnt and perspectives Studies show many green benefits using LNG technology in maritime transport as well as in road transport. The actors of the logistics chain are well-interested and now they are boosting the activities of POSEIDON-Med Project in order to develop the LNG technologies, in particular on the corridor La Spezia-Melzo, although the Italian and the international context is not already clear. In this sense, our methodology would be a clear instrument to clarify future perspectives and an important occasion to coordinate all the initiatives taken by all the actors of the logistics chain.
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