Sustainable Shipping Surges on the Great Lakes

by Karen Potratz (Michigan Advanced Biofuels Coalition/Biobased Diesel Daily) Biodiesel is a readily available solution to decarbonize ports. -- The Great Lakes region is a marine-shipping superpower. Each year thousands of vessels transport 90 million tons of cargo on the five Great Lakes, supporting 146,500 jobs, according to the American Great Lakes Ports Association. Commercial shipping serves more than 100 ports in eight U.S. states and the Canadian provinces of Quebec and Ontario. Although shipping brings great economic benefit to the Great Lakes, it is not without environmental concerns.

Vessel longevity is one factor that affects the environmental impact of shipping on the Great Lakes. Because freshwater ships are not subjected to the corrosive effects of saltwater, their useful lifespans can be 50 years or more. With vessel age comes greater potential for air pollution.

“Older vessels are less efficient and may still operate on exceptionally dirty fossil fuels like bunker fuel and heavy marine oil,” explains Pete Probst, president of Indigenous Energy and technical director of the Michigan Advanced Biofuels Coalition (MiABC), an organization funded by the Michigan Soybean Committee. “One 80-year-old ferry still in operation on the Great Lakes even runs on coal.”

Transitioning the marine fuel supply to biodiesel will allow long-lived vessels with older-technology engines to reduce harmful particulates and fight climate change.

“Even modern-vessel emissions are improved by switching to biodiesel from diesel,” Probst says.

Although shipping companies are testing a variety of alternative fuels, biodiesel stands apart as a practical option to help decarbonize the shipping industry now. That’s because biodiesel is a readily available fuel that can be used in any diesel engine. Since it uses existing petroleum liquid-fueling infrastructure, biodiesel can be deployed immediately.

Warner Petroleum Corp. is a leader in providing biodiesel to marine markets on the Great Lakes—fueling not only cargo ships but also ferries, cruise ships and yachts. The company began offering biodiesel to Lake Michigan customers in Illinois and Indiana during the summer of 2022. During the 2023 shipping season, Warner Petroleum added biodiesel blends of B20 and higher to the marine fuel offering at its Waterfront Petroleum Terminal Co. locations in Detroit and Dearborn, Michigan.

“We’re seeing about 25 percent of fuel sales incorporating biodiesel blends, mostly B20,” Smith says. “But other shippers may have appetites for higher blends of B30 or B50. One Canadian shipping company is even testing B99.”

Smith reports that biodiesel has performed well in freshwater marine applications. When needed, Warner Petroleum connects customers with fuel experts to help with the transition to biodiesel.

Renewable diesel and liquefied natural gas (LNG) are two other fuels currently available to reduce emissions. But these fuels are limited in adoption. Renewable diesel carries a premium per-gallon cost in the Midwest, and LNG requires costly vessel upgrades and new fuel infrastructure on land.

Other potential fuel alternatives for marine use are renewable methanol, ammonia and green hydrogen. But they are years away from widespread adoption, Probst says.

“Currently these alternatives don’t have production facilities in place to produce the large volumes required to replace fossil fuels,” Probst says. “In addition, they require investment in new or upgraded vessels and associated storage and fueling infrastructure.”

Biodiesel, on the other hand, is readily available from fuel suppliers on the Great Lakes and can utilize existing diesel storage tanks, pumps and engines. The price of biodiesel typically tracks diesel prices within a few cents per gallon. In some states, incentives reduce the price of biodiesel even more....“The energy density of low-sulfur diesel is tough to beat,” Probst says. “But B20 biodiesel delivers nearly the same energy content per gallon as diesel. In comparison, a gallon of methanol delivers less than half the energy as a gallon of diesel fuel. That means shippers must either make more fuel stops or double their fuel-tank capacity to travel the same distance.” READ MORE

Excerpt from Warner Petroleum/Biobased Diesel Daily: Warner Petroleum Corp. made its first bulk delivery of B99 biodiesel fuel at its Detroit terminal over the weekend of Feb. 2 (2024).

The delivery provided refueling to a Great Lakes vessel that regularly delivers liquid asphalt and fuel cargos at the terminal.

Warner is a key supplier of maritime and over-the-road fleet fuels on the upper Great Lakes.

Today’s delivery is the first delivery of B99 from Warner’s terminal in Detroit and is the highest blend of this emerging fuel to be offered by the company.

It is part of a trial run for the customer, which is working to convert its fleet of vessels to B99 fuel.

Lower blends of biodiesel have been available from Warner’s dock in East Chicago, Indiana, for the past two years and for the past year at its Detroit dock and terminal.

“Warner is ready to supply and support the evolving and growing needs of our North American and international fleet of customers transiting the Great Lakes waterways,” said Jason Smith, vice president of supply and sales at Warner Petroleum. “Many of our customers are shifting to more environmentally friendly products to fuel their vessels and we stand ready to partner with them by providing these new and evolving products.”

The availability and expanded use of biodiesel fuel, both for Great Lakes vessels and landside vehicles and equipment, will help advance the efforts of the Port of Detroit’s decarbonization and air-quality improvement plan that was initiated last year.

Biodiesel is seen as a near-term solution for reducing carbon emissions and improving air quality in the region.

Located on the Detroit River between the Ambassador Bridge and the new Gordie Howe International Bridge, Warner Petroleum has been operating its terminal on the Detroit River for more than 30 years.

The terminal offers high-capacity refueling services, liquid and bulk-storage facilities, and transloading services.

The strategic location of the Detroit terminal makes it a critical and efficient link in the maritime system for both U.S. and international vessels. READ MORE