Uncertainties over which fuels shipowners will need to use to meet CO2 emission targets in the future will be a “game changer” for the industry according to Nikolas Tsakos.
Tsakos, founder, chairman and ceo of Tsakos Energy Navigation (TEN), highlighted the dilemma of what fuels the industry will use in the future during a recent Capital Link webinar.
He compared the uncertainties facing shipowners presently regarding future fuels to comply with CO2 emission reduction targets – with IMO 2030 looming, and IMO 2050 farther in the background – to the situation in the early 1990s, when ordering slowed down as double hull designs were emerging.
Noting that TEN has not been a proponent of LNG fueled vessels, he called fuel uncertainties a “game changer”, saying “right now, no one knows what engine to put on their ships”.
After pointing to TEN’s environmentally driven policy of not installing scrubbers on its tankers which he said, “would have been throwing money out the window,” Tsakos said “I am not sure that all these discussions about dual fueled LNG engines will be the answer.” Rather, he looks for more fuel versions of existing designs “which will not require more newbuildings.”
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