UECC secures USD 70 million in green financing for new car carriers

UECC has secured USD 70 million in green financing for its new hybrid LNG and battery-driven car carriers, taking the company beyond IMO’s target of 40% carbon reduction by 2030. The new vessels will be equipped with two hoistable decks to accommodate project and breakbulk cargoes. 

The credit is provided by Svenska SkeppsHypotek and will be used to finance the construction of three new hybrid car carriers which will be delivered from 2021 and onwards. 

The new hybrid LNG/battery solution will significantly lower the carbon output of the vessels. UECC expects the vessels to deliver a carbon dioxide reduction of more than 40%.

“This is a giant leap towards decarbonization, and unlike anything else that has been done previously in our industry”, says UECC’s CEO Glenn Edvardsen.

The three vessels will measure 169 metres in length and 28 metres in width and will be able to carry 3,600 units on 10 cargo decks. Two decks will be hoistable to accommodate high & heavy and breakbulk mafi cargoes in which the company has built “a significant portfolio”, UECC reports. The vessels will have a quarter ramp of 160 metric tons safe working load and a side ramp of 20 metric tons safe working load and can accommodate cargo units up to 5.2 meters high.

The vessels will be equipped with dual-fuel LNG engines, eliminating the output of sulphur and particulates and reducing the CO2 output by 25%. To cut CO2 emissions further, the vessels will also be equipped with battery packages.

“We are investing in the future”, says Edvardsen. “Our solution will take us beyond IMO’s target for a 40% reduction in carbon intensity by 2030.” As more biofuels are set to become commercially available in the future, UECC aims to also use carbon neutral and synthetic fuels as part of our future fuel mix.

United European Car Carriers (UECC) is jointly owned by Nippon Yusen Kabushiki Kaisha (NYK) and Wallenius Lines.

Author: Adnan Bajic

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