Thomas Balon M.J. Bradley & Associates

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1 Marine Emission Reduction Programs Thomas Balon M.J. Bradley & Associates Faster Freight-Cleaner Air 1 New York, NY, July 8, 2008

2 Program Outline PANY&NJ Staten Island Ferry, Alice Austen After treatment SCR/DOC Demonstration Staten Island Ferry Vessels: Engine Upgrades Barberi Class, Kennedy Class, Molinari Class Tug and Commercial Marine Vessels KVK, TERP, MVERP, MVERP2 Diesel Engine Replacement Programs 2

3 Program Context The Port of NY & NJ is located in an ozone Non- Attainment Area Dredging activities to deepen shipping channels will result in NOx emissions of ~100 tpy to ~700 tpy NO x reductions are required to offset the dredging emissions Desire to reduce emissions from sources geographically and chronologically coincident 3

4 New York Harbor Marine Emissions Staten Island Ferry Retrofits/Upgrades Vessel Type Number Annual Emissions (tons) NOx PM Ferry Boat 42 1, Tug Boat 122 5, Excursion Government Ocean-going 1,425 4, Commercial Marine CMVEI: New York Harbor Vessel Inventory, 2000 Vessel Engine Replacement 4

5 Staten Island Ferry System Daily: 104 trips, 65,000 passengers 30 minute schedule 24 hr/365 days every 15 minutes in rush hour 8 diesel vessels 1,280 6,000 passenger capacity each vessel ,000 HP feet 5

6 Staten Island Ferry Vessels Kennedy Class John F. Kennedy Barberi Class Andrew J. Barberi Samuel I. Newhouse Austen Class Alice Austen John A. Noble Molinari Class Guy V. Molinari John Marchi Spirit of America 6

7 Alice Austen SCR Demo Retrofit Alice Austen with Selective Catalytic Reduction (SCR) Diesel Oxidation Catalyst (DOC) Proof of Concept Demonstration Two CAT 3516A Main Engines One of the first US ferries retrofit with SCR 7

8 Selective Catalytic Reduction Requires Urea Reagent 32% solution 2,000 gal on- board urea storage Argillon LLC SINOx SCR System SCR catalyst Urea Dosing System 8

9 SCR Operation NOx Emissions (grams/sec) Reach Cruise Speed NOx - Post NOx - Pre Exhaust Manifold UREA ON ~95% NOx reduction with UREA ON Temperature (degc) Catalyst Warm up Run Time (secs) 9 0

10 SIF Engine Upgrades Tier 1 Retrofit of Barberi Class Vessels (Complete) Tier 1 Retrofit of Kennedy Class (Planned, similar to Barberi) Tier 2 Retrofit of Molinari Class Vessels (Planned) 10

11 SIF Vessel Engine Upgrades New EPA marine engine standards provide opportunity to upgrade older engines Unregulated Tier 1 Tier 1 Tier % NOx reduction New Engine Standard Category 2 Marine Engines <3700 kw & 7-15 liters/cylinder First Applied (Model Year) Emissions Limits (g/kwh) NOx+HC PM Unregulated Prior to 2004 ~20.0 ~0.70 EPA Tier 1 (IMO) ~.50 EPA Tier EPA Tier EPA Tier Very cost-effective due to high utilization and relatively low % cost of engine compared to vessel 11

12 Barberi Class: Tier 1 Upgrade 1981 Vintage EMD E roots blown engines 2005 RFP for retrofit or upgrade Bids for both SCR and upgrades received Upgrade package chosen over SCR due to lower $/ton cost Tier 1 Upgrade Package New power assemblies ECOTIP Fuel Injectors Upgrades completed on vessels in during normal maintenance outages 12

13 Molinari Class: Tier 2 Upgrade 2004 EMD turbocharged engines 2007 RFP for upgrade In award process Tier 2 Upgrade Package New Ultra Low Oil Consumption (UL) power assemblies Conversion to electronic fuel injection Conversion from combined to separate circuit after-cooler Expect to effect upgrades to one Molinari vessel in

14 SIF Vessel Upgrade NOx Reductions Vessel Technology Estimated NOx Reduction Estimated PM Reduction (tpy) % (tpy) % Barberi Tier 1 upgrade % 0 0% Newhouse Tier 1 upgrade % 0 0% Kennedy Tier 1 upgrade w/ UL % % Molinari Tier 2 upgrade w/ UL % % Marchi Tier 2 upgrade w/ UL % % Spirit of America Tier 2 upgrade w/ UL % % TOTAL

15 SIF Vessels vs. EPA Standards IMO / EPA Tier Barberi Class EPA EMISSION LIMITS 0.70 John F. Kennedy IMO/Tier 1 EPA Tier 3 EPA Tier 2 EPA Tier Alice Austen Molinari Class 0.40 PM (g/kw- W-hr) Tier 2 (2007) 0.30 Vessel Upgrades Initial retrofit/engine upgrade Future DOC retrofit Tier 3 (2013) Tier 4 (2016) NOx+HC (g/kw-hr) 15

16 Commercial Marine Vessels Tugs work hard and represent a significant portion of the emissions inventory Tugs are also an integral component to the Harbor Deepening Activities 16

17 Marine Engine Replacements Engine replacement in smaller vessels is cost effective Replace older, marine engines with new, predominately Tier 2 (Some IMO-40%), cleaner engines ( re-power ) NOx reduction 40 60%, PM Reduction of 30 60% Generally see an increase in fuel economy of 10 20% 17

18 PANY&NJ Engine Replacement Programs PANY&NJ funds up to 100% of engine purchase cost Vessel owner pays for installation, out-of-service time Vessel owner commits to: Operate vessel 80-90% of time in the Non-Attainment Area Destroy old engines 39 engines in 13 vessels replaced to date (KVK, TERP, MVERP) Expect more vessels to be re-powered in 2008 and 2009 (MVERP2) 18

19 Marine Engine Replacements Replacing engines Destroying Old Engines Acceptance tests 19

20 Vessels Repowered (sample) Vessel Name Buchanan 12 Dorothy J Duchess Glen Cove Iron Eagle Mary Alice Owner Buchanan Marine L.P. Henry Marine Service New York Cruise Lines Eastern Barge Services Bridge Construction Service DONJON Marine Company Replaced Engines Original Engine Make/Model/HP New 2 main EMD E6; 1500 HP EMD 8-710B7B; 1500 HP 2 main DDC 16V92; 600 HP DDC 8V4000; 940 HP 2 main 2 auxiliary 2 main 2 auxiliary 2 main 2 auxiliary DDC 8V71N; 260 HP DDC 6-71T; 275 HP DDC 16V149; 930 HP DDC 4-71; 64 HP DDC 12V-71; 480 HP DDC 2/3-71; 40/55 HP Cummins QSM11-300; 295 HP Cummins QSM11-300; 295 HP DDC S4000; 940 HP NL M40C2; 62 HP DDC S60; 400 HP NL M20CRW2; 32 HP 2 main Cat D399; 1125 HP CAT 3512B HD; 1500 HP Virginia Weeks Marine 2 main DDC 12V149; 700 HP CAT 3512E; 720 HP 20

21 Emissions Reductions Program Number of Vessels Annual NOx Reduction (ton) Average Cost ($/ton) KVK Tugs 2 51 $1,620 TERP $1,170 MVERP $1,550 MVERP2 10±* 240±* $1,400±* TOTAL $1,400 * Currently projected totals; no awards have been made to date. 21

22 Summary PANY&NJ Offsets 1, KVK-5 Tugs PJC Tugs (TERP) MVERP Alice Austen SIF (T1 Kit Barberi Class) SIF (T2 Kit Molinari Class) PG Offsets SIF (T1 Kit J.F. Kennedy) Dredge NOx Emissions 22

23 Thank You 23

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