Alternative power for tugs: what are owners' concerns?

It may not be much of a secret that tug owners are concerned about the cost differences between building traditional diesel-powered tugs and the costs of building vessels that run on greener fuels.

Speaking at Riviera Maritime Media’s International Tug & Salvage Convention 2022, however, Century Marine Services managing director explains the specifics that make owners shy away from such investments.

Mr Dougal discusses capital costs and tug prices in relation to implementing IMO Tier III technology, LNG-fuelled propulsion and batteries.

Saying the difference of going from Tier II to Tier III may only amount to a few thousand Euros, Mr Doubal stresses that the costs are far higher if tugs are built with dual-fuel gas-diesel engines and LNG storage and handling technology.

Still, Mr Dougal thinks financiers of these LNG-powered tugs should be confident they would make money and recoup capital investments over a vessel’s lifetime. He says the most obvious specialism for an LNG-powered tug would be work in an LNG terminal, where necessary fuel and requirements for safe towage and emergency response are more easily met.

According to Mr Dougal, owners also face operational concerns with battery or hydrogen-powered tugs, which have lower endurance and operational reach than diesel-driven vessels. Mr Dougal says owners are worried about the fact that purchasing battery-powered tugs offers reduced flexibility with deployments, with battery tug operations confined to areas where the vessels could easily return to shore to recharge.