Norway Boosts Green Shipping: Funding for Ammonia, Hydrogen, and Electric Vessels
Key Ideas
- The Norwegian government, through Enova SF, awarded $108 million to 14 projects focusing on ammonia, hydrogen, and electric ships.
- Total funding for environmental technology has increased significantly under Prime Minister Jonas Gahr Støre, with $800 million allocated annually.
- Enova's support includes 13 ammonia-powered, 11 hydrogen-powered, and 5 electric vessels, aiming to make green shipping more competitive.
- Minister of Climate and Environment, Tore O. Sandvik, highlighted the funding's job creation benefits and role in advancing Norwegian leadership in green shipping.
The Norwegian government, specifically through its Enova SF initiative, has allocated approximately $108 million in funding to support 14 projects focused on the development of ammonia, hydrogen, and electric ships. Enova SF, responsible for fostering environmental technology, has seen a significant increase in funding under Prime Minister Jonas Gahr Støre, growing from $290 million to over $800 million annually. In 2024, Enova is backing 24 vessels, including 11 powered by hydrogen and 13 by ammonia.
The funding round attracted substantial interest, with 31 applications for hydrogen and ammonia initiatives. Ultimately, nine projects in this category were selected for funding, alongside five electric vessel projects. Enova has awarded $83 million to ammonia and hydrogen endeavors and $25 million to electric vessels, with some electric projects also receiving support for charging stations.
Noteworthy ammonia-powered projects receiving backing include vessels from companies like Aurora Offshore, DOF Group, Eidesvik Shipping, and Grieg Ammonia. A key project, the Green Ammonia vessel by Grieg Edge, will leverage ammonia for 85% of its energy needs and is expected to be operational by 2028. Additionally, Cruise Service AS secured nearly $15 million for two hydrogen-powered passenger vessels.
Enova's financial support extends beyond vessels to encompass infrastructure investments like charging stations for electric ships. Approximately $3 million has been designated for charging facilities supporting electric vessels. Enova's commitment to backing the construction of 24 new vessels, including ammonia, hydrogen, and electric-powered options, reflects a dedication to advancing sustainable transportation.
While Enova is committed to supporting hydrogen and ammonia over the next two years, they clarify that they will fund projects but not subsidize the fuel costs directly. They believe that investing in these technologies will enhance affordability and competitiveness compared to traditional fossil fuels.
Minister of Climate and Environment, Tore O. Sandvik, commended the funding initiative, emphasizing its potential to generate employment opportunities and position Norwegian companies as leaders in green shipping.
Topics
Projects
Renewable Energy
Job Creation
Maritime Industry
Government Funding
Environmental Technology
Sustainable Transportation
Green Shipping
Norwegian Initiatives
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