Norwegian Government Awards $108 Million to Accelerate Environmental-Friendly Technologies in Shipping Industry
The Norwegian government, through its Enova SF project, has recently awarded a total of approximately $108 million in funding to 14 projects aimed at advancing ammonia, hydrogen, and battery-powered ships and the supporting technologies. These awards are part of ongoing programs conducted by Enova to drive the shipping industry towards a future fueled by sustainable energy sources.
Under the leadership of Prime Minister Jonas Gahr Støre, Enova’s funding has nearly tripled, reaching over $800 million annually, signaling the government’s strong support for these initiatives. In 2024, Enova supported a total of 24 vessels that will utilize hydrogen or ammonia as their primary fuel sources. The organization plans to continue its efforts with two rounds each in 2025 and 2026, focusing on ammonia and hydrogen programs.
The recent round of funding saw a strong response, with Enova receiving a total of 31 applications for hydrogen and ammonia projects. Nine applications were granted for these programs, along with five for electric vessels.
Companies were awarded nearly $83 million for their innovative projects. Among the recipients were Eidesvik Shipping, Norbjørn, DOF Group, Aurora Offshore, and Grieg Ammonia for their ammonia-powered vessels. Cruise Service AS was awarded funding for two hydrogen-powered passenger vessels.
One notable project, MS Green Ammonia by Greig Edge, received approximately $7 million for its development. This vessel, designed to carry up to 5,000 tons of ammonia per trip, is set to revolutionize the distribution and bunkering of ammonia. With a projected delivery in 2028, the ship will operate on green ammonia for up to 85% of its energy needs, supplemented by batteries, shore power, and wind-assisted propulsion.
Aurora Offshore expressed gratitude for the over $20 million awarded to support their newbuild projects for ammonia-powered platform supply vessels. This funding marks a significant step towards realizing their vision for sustainable maritime transportation.
Enova’s goal is to showcase hydrogen and ammonia as zero-emission solutions for the maritime industry. The organization is actively working to establish functioning value chains for these alternative fuels in Norway. In addition to supporting vessel projects, Enova also awarded funding to five hydrogen production projects to ensure the availability of hydrogen fuel along the Norwegian coast.
Furthermore, Norway is investing in electric vessels, with five projects receiving a total of approximately $25 million in funding. Companies like Salten Shipping, K Saetre Rederi, and Nidarø were granted awards for bulk shipping vessels, while The Fjords and Nova Sea received funding for a passenger vessel and a workboat, respectively. Enova also allocated funds for the development of electric charging facilities in Austvika and Tomma.
Looking ahead, Enova plans to continue supporting projects in the maritime industry with future rounds of funding. The organization aims to encourage innovation and sustainability within the sector, driving the transition towards cleaner and more efficient transportation solutions.