To accelerate the transition to fossil fuel-free shipping, Swedish company Furetank has launched a new company for trading emission reductions under the FuelEU Maritime regulation and s igned an agreement securing all the biogas required to operate its wholly and partly owned gas-propelled vessels trading in the EU during 2025.
On August 29, Furetank revealed the signing of a large-scale agreement for mass-balanced biomethane that will enable ‘an immediate transition’ to renewable operations.
According to the company, the purchased biomethane provides a 150–200% reduction in greenhouse gas (GHG) emissions on a well-to-wake basis. Agricultural group Cargill produces the biogas from waste, while Titan Clean Fuels liquefies and delivers the end product: mass-balanced liquefied biomethane (LBM).
“This was our target when we converted our first vessel to gas propulsion in 2015. It is remarkable that we have finally reached the point we have worked for and talked about for so long. At last, the right incentives are in place to make the business case possible. We have found partners who can deliver the volume and quality of gas we have been looking for, with a very significant CO₂ reduction,” said Viktoria Höglund , Sustainability Strategist at Furetank .
Parallel to reducing its emissions, Furetank has also announced the launch of a new subsidiary, CO2mpliance, that will help shipping companies trade emission reductions transferable within the new system, aiming for compliance with the FuelEU Maritime regulation.
The regulation, which came into force on January 1, 2025, mandates commercial vessels within the EU to gradually reduce GHG emissions, starting with 2% during 2025–2029 (compared with 2020 levels). By 2050, emissions must be reduced by 80%.
The FuelEU Maritime comes with an option for shipping companies to trade surplus emission reductions that exceed the requirements, and Furetank intends to use it as “an opportunity to fully leverage its investments in climate-saving technology” .
As explained, the new subsidiary will also handle compliance with the FuelEU regulation on behalf of other shipping companies. Customers will include both operators moving ahead of EU requirements with a surplus to sell, and those unable to reduce emissions from their fleets fast enough, and therefore needing to buy, the company stated.
Viktoria Höglund, who will take on the CEO role of the new company CO2mpliance, commented: “We have long awaited and prepared for this much-anticipated shift. We have secured a contract for large-scale deliveries of mass-balanced biomethane, which will power all of our Vinga vessels trading in the EU throughout 2025. This gives us the opportunity to trade surplus emission reductions — both for ourselves and for others.”