A white paper published by DNV (Det Norske Veritas) states that despite rapidly growing sales of bio-blended marine fuels in ports such as Singapore and Rotterdam, maritime transportation will account for only 0.6% of global liquid biofuel consumption as of 2023. The report tracks developments in biofuel supply, regulations and technology, and gathered feedback from 12 shipping companies and eight biofuel suppliers.
According to the report, 111 million tons of oil-equivalent liquid biofuels (mainly ethanol, FAME, and HVO) were produced globally in 2023, of which 98.9% was used for road transport, with aviation accounting for 0.5%. Nonetheless, the demand for biofuels in the marine sector is gradually rising, especially for B20 to B30 blends. in 2023, sales of B24 bunker fuel reached 518,000 tons in Singapore, and demand for B30 blends in Rotterdam is also increasing.
However, the widespread use of biofuels in shipping still faces a number of supply bottlenecks, notably a shortage of sustainable feedstocks, logistical barriers and regulatory fragmentation.
Looking ahead, the report notes that the International Maritime Organization’s (IMO) medium-term GHG measures planned for 2027 will include GHG fuel standards and economic incentives. Combined with the EU’s FuelEU maritime regulation, which will come into force from 2025, these initiatives are expected to further promote the use of biofuels. The International Maritime Organization may certify biofuels under these regulations, provided that the fuel meets the relevant certification requirements and is capable of achieving at least 65% well-to-tail GHG reductions.
