Alternative Fuels

Enova grants funding to multiple alternative fuel projects in Norway

December 19, 2024

Multiple companies have received funding from the Norwegian state-owned enterprise Enova to build seven ammonia-powered ships, two hydrogen-powered ships, five electric ships and one charging facility.

MODEL: Illustration of the ammonia-powered ship Norbjørn, which will transport mail from Tromsø to Svalbard for Posten Bring. Enova


The funding allocations are part of programmes called Ammonia in Vessels, Hydrogen in Vessels, and Batteries in Zero-Emission Ships.

Hydrogen- and ammonia-powered ships

Projects related to hydrogen- and ammonia-powered ships received a total of over NOK 940 million (around $103 million) to help demonstrate hydrogen and ammonia as alternative fuels. The goal is to establish the first functional supply chains for these fuels in Norway.

Enova received 31 applications for hydrogen- and ammonia-powered vessels, with nine applicants granted funding. The companies selected for ammonia-powered ship funding include Eidesvik Shipping (one vessel), Norbjørn (one), DOF Group (two), Aurora Offshore (two) and Grieg Ammonia (one). Cruise Service received funding for two hydrogen-powered vessels.

“Hydrogen and ammonia will be key energy carriers in the green transition, and investment in green shipping is necessary and timely,” the Norwegian Minister of Climate and Environment Tore O. Sandvik commented.

Enova plans to hold two funding rounds for hydrogen and ammonia programmes in 2025 and two in 2026.

Electrification

In addition to supporting ammonia- and hydrogen-powered ships, Enova will also allocate over NOK 281 million ($31 million) to build five battery-electric vessels and for one dedicated charging facility.

The companies receiving funding for battery-powered vessels include Salten Shipping, K Sætre Rederi, The Fjords, Nidarø and Nova Sea.

Enova is also working to develop a support programme for ammonia infrastructure along the Norwegian coast, with a plan expected to be presented in the first quarter of 2025.

By Tuhin Roy

Please get in touch with comments or additional info to news@engine.online