Significant progress is being made in the maritime industry’s ability to retrofit ships for alternative fuels, says Lloyd’s Register, but a lack of incentives is impeding greater take-up

Since the publication of LR’s initial report in 2023, the industry has witnessed the successful completion of the first methanol fuel conversions since 2015 and an expanding number of shipyards with retrofit capabilities.

While regulatory frameworks, like the EU’s FuelEU Maritime and Emissions Trading System, are pushing for lower carbon emissions, the demand for alternative fuels remains low and the absence of sufficient incentives for fuel producers continues to hinder progress.