Reducing Risk When Acquiring A Zero/Low-Emission Maritime Vessel

Has your commission been held back due to an over-optimistic view of the technology? Have delays in the initial negotiation of funding and contracts supplanted itself to later stages of construction and delivery of your vessel?

Acquisition of a new high-speed vessel (HSV) or work vessel is an expensive and complex process involving many different actors and factors. Adopting new technologies also brings some new and unfamiliar factor to the table, but there are always of mitigating such risk.

In this article we will explore three ways of mitigating risk and get the best return on your investment when acquiring a vessel with emerging low/zero emission power technologies.

Common Risk Factors

As you know, the purchasing process itself is a complex process. Many different actors, from different fields, must come together.

1. Financing and Funding Schemes

Green propulsion technologies typically come with higher CAPEX, though often lower OPEX. Lenders and public funding bodies require thorough documentation of performance, emissions, lifecycle cost, and operational feasibility. 

2. Vessel Design and Technical Specifications

The propulsion concept dictates much of the vessel's architecture. Early choices around energy storage, charging/bunkering, safety systems, and redundancy must be aligned with the operational profile. 

Typical decision points include: 

• Battery type, capacity, cooling and safety requirements
• Power management (PMS) and energy management (EMS) systems
• Charging availability, grid capacity and shore power integration
• Fuel system layout for hydrogen, methanol, ammonia or biogas
• Overall propulsion configuration and hybrid strategy
  
  

3. Component Supply Chain and Technology Maturity

Zero- og low-emission systems have more specialized components than conventional diesel systems. Lead times, interoperability, and digital integration requirements are all potential risk drivers. 

Key challenges include: 

• Battery module availability and certification
• High-voltage propulsion components
• Hydrogen/methanol storage and fuel handling systems
• Digital integration between propulsion, EMS/PMS and navigation systems
  
  

4. Classification and Regulatory Compliance

Class and flag-state requirements for alternative fuels evolve continuously. Failure to involve class early often leads to redesigns, additional cost, or certification delays.

5. Infrastructure and Operational Environment

Many green propulsion concepts rely heavily on shoreside infrastructure. Insufficient availability of charging, bunkering, or grid capacity is one of the most common reasons projects are delayed.

Summarised, with new technologies you will also have new friction points. This can translate to risk if not leveraged correctly, but there are ways of leveraging it.

Read more: How Does Hybrid/Electric Propulsion Work In High-Speed Vessels (HSV)

Three Key Strategies to Reduce Risk

1. Set Realistic Expectations for Technology Capabilities

Technology must match the vessel's operational profile – not the other way around. 

Examples of suitable propulsion by profile: 

• Fully electric: high-frequency routes, fixed schedules, predictable charging
  

• Hybrid-electric: variable load profiles, fast-response operations, or limited charging
  

• Hydrogen/methanol: longer routes or areas lacking electrical infrastructure
  

• Biogas (LBG): suited for regions with existing LNG/LBG supply chains

We all aim for greener and more efficient use of our resources, but you must always remember that the status-quo, and the traditional way of approaching both acquisition and operation of commercial vessels, was established in the absence of today’s environmental considerations. This requires adjustment of both considerations and expectations.

However, since emissions has not been prioritised to any large extent earlier, there is an incredible potential for quick and substantial improvements and results. In addition to the environmental benefits, the impact on OPEX should not be underestimated.

Read also: The Seastreak "Wall Street" High Speed Vessel and how they reduced operational cost and CO2 emissions

2. Reduce the Number of Parties

Zero-/low-emission propulsion systems involve tightly integrated components. When multiple suppliers handle propulsion, batteries, power management, software, control systems and service individually, the risk of delays and incompatibilities increases.

Benefits of a single-system supplier

• One point of contact for design, integration, commissioning and service
• Faster troubleshooting and reduced administrative overhead
• Verified interoperability of critical hardware and software
• Simplified lifecycle support

Imagine if you had to contact the manufacturers of your car’s individual components when purchasing or performing its yearly service.

Whether you drive a new combustion, hybrid, or electric vehicle, you just want the dealership to take care of it. With the right supplier it is possible, also in the maritime sector.

Read more: How digitalisation and cloud technology optimise your marine operation

3. Collaborate Closely With Your Supplier

Early supplier involvement significantly reduces design-phase uncertainty. A partner who understands both the vessel type and the propulsion architecture can help optimize:

• energy system sizing

• redundancy and safety strategies

• infrastructure requirements

• digital monitoring and predictive maintenance

• lifecycle cost estimates (CAPEX + OPEX)

Digitalisation is built into modern propulsion systems, enabling:

• automated service intervals

• remote diagnostics

• optimized operation based on data

• improved availability and uptime

This outlines one of the key differences between the “old and new” type of marine vessels. While your initial CAPEX is increased by adopting new technology, operational stability and cost are greatly improved.

Conclusion

Zero- and low-emission propulsion introduces new dependencies, new stakeholders and new risks. But with a structured approach, the right partners and realistic expectations, these risks can be transformed into long-term operational and financial advantages.

Key takeaways:

• Understand your operational requirements before selecting technology
• Minimise interface risk by consolidating suppliers
• Involve class and your propulsion partner early
• Ensure infrastructure and energy availability align with the vessel’s mission
• Use data and digital tools to reduce OPEX and maximise uptime