News

Blue innovation creates significant
fuel savings for J. Lauritzen

Jun 8 2017

During the past two years, J. Lauritzen has participated in the innovation project Blue INNOship, through which we show our support to the development of green and energy efficient solutions for the Danish maritime industry. As part of our commitment to the partnership, J. Lauritzen has together with Torm, VPS Vessel Performance Solutions, Aalborg University and Force Technology engaged in a work group seeking to develop a vessel performance decision support tool to promote more energy efficient operations and thereby reduce emissions though sophistication of operational intelligence based on performance data analysis.

And it seems the efforts are paying off. Both J. Lauritzen and Torm have thus managed to generate significant annual fuel savings as a result of the efforts put in to the work group.

According to Sverre Patursson Vange, Head of Performance Management in J. Lauritzen, the total fuel savings for J. Lauritzen's fleet of dry bulk and gas carriers amounted to almost 5% in 2016 compared to the year before. “The total fuel saving corresponded to approximately 22,500 tons and thus enabled us to significantly reduce emissions of our fleet. In addition, the new system has made it easier to monitor whether external tonnage suppliers live up to their contractual obligations when it comes to the speed and consumption of ships”, Sverre Patursson Vange explains.

The combined cost savings for J. Lauritzen and Torm amount to approximately USD 10 Million. “The cost savings are noteworthy and of course welcomed in the light of the difficult market conditions. They are a result of the simple and transparent reports developed through the Blue INNOship initiative, as well as a more focused approach to performance. In addition, our focus on the processes around the optimisation of efficient ship operation has led to improved cooperation across our entire organisation," says Head of Fleet Management Claus Winter Graugaard.

A new generation of performance management systems
The results of the project are good news, according to project manager Jakob Buus Petersen from Vessel Performance Solutions, the company that developed the software used in the project. "Through Blue INNOship we have had the opportunity to design a system that draws on our existing knowledge and on many levels, meets the needs of shipping companies. Linked together with the input from J. Lauritzen and Torm, we have created a new generation of performance management systems with a noticeable effect", says Jakob Buus Petersen.

Joining forces – the formula for success
The joined collaboration between shipping companies, the maritime industry and knowledge institutions explains the success of the project, says Program Manager at Blue INNOship, Magnus Gary. “If we join forces to solve complex issues, we can achieve this kind of results. It's no secret that it's complicated to create these collaborations and make everyone work in the same direction. But results like these show the value of thinking in partnerships across the entire maritime industry," says Magnus Gary.

In J. Lauritzen, the participation in the Blue INNOship and the notable results underlines the importance of partnerships as a way of engaging and building leverage related to environmental issues and as an effective way of identifying solutions to some of the many environmental challenges that we and the industry are faced with.

Read more about the project >>>

Read more about Blue INNOship >>>

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