Alternative technologies’ role in fast ferries’ accomplishment with European green deal regulations

Abstract

This study evaluates the techno-economic feasibility of combining slow steaming with emerging retrofitting solutions for electricity supply onboard to ensure Fast Ferries’ compliance with the Carbon Intensity Indicator (CII). A case study focused on 10,000 GT ferry operating under short sea shipping conditions analyzes two activity scenarios: outermost regions and remaining zones based on the implementation of European Union Market-Based Measures (EU-MBM). The results identify as the most sustainable solution, green hydrogen fuel cells, coupled with a 25.3% speed reduction. However, this option leads to a low Internal Rate of Return and high Marginal Abatement Costs, by reducing their appeal from shipowners’ standpoint. The analysis also highlights significant inconsistencies in EU-MBM frameworks, particularly with retrofitting projects involving renewable energy and alternative fuels, where excessive subsidies are observed for onshore power solutions. Additionally, Fuel-EU regulations are identified as a key variable impacting the financial viability of retrofitting initiatives. Despite this positive influence, current Fuel-EU policies aggravate inequalities between EU regions, hindering the widespread adoption of emerging decarbonization technologies in remote areas. The study underscores the need for harmonized regulatory frameworks to address these challenges and support sustainable transitions in maritime transport.