Estonia's Fifth Ferry: A Cost-Effective Shift to Electricity
Key Ideas
  • Estonia plans to construct a fifth ferry for island transportation, shifting to electricity as the primary energy source for cost-effectiveness.
  • The decision to prioritize electricity over hydrogen was made to simplify the project and attract more bidders, ensuring cost savings.
  • Funding for the ferry construction will be sourced from the European Union's modernization fund and the state budget.
The Estonian State Fleet is set to launch a tender for the construction of a fifth ferry to serve the mainland-to-island route, deviating from the original plan to incorporate more electricity usage and reduce costs. This shift comes after consultations with shipbuilders earlier in the year highlighted their lack of readiness for large-scale hydrogen projects, leading to high-risk margins in bids. By emphasizing electricity as the primary energy source, the project aims to lower construction and operational costs. The revised ferry design will maintain readiness for hydrogen technology while simplifying the construction process to encourage greater participation from shipbuilding companies. The construction costs, capped at €40 million, will be covered by the European Union's modernization fund and the state budget. The changes have been submitted for evaluation to the Saaremaa municipal government, signaling progress towards a more sustainable and cost-effective island transportation system in Estonia.
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