Project Shipping: Oil & Gas vs. Wind & Solar

David Cohen, July 20, 2018

Over the past 10 years there has been a steady decline in oil and gas use due to rising concerns over global warming and diminishing resources. This has led to huge global research and investment into wind, solar and hydro energy. For many project shipping companies this is a concern as oil and gas companies are a huge staple for the majority of these organisations when dealing with the movement of equipment for oil rigs, fracking sites and oil fields.

The rise of the renewables

In the face of the evolving green energy landscape, project shipping companies will have some new challenges, these include the movement of 116-ft blades, 212-ft wind towers and 500 MW solar farms across the globe. The EU currently has one of the worst ratios of oil and gas being imported vs exported which has led to a large number of countries investing huge amounts time and money into developing more effective renewable energy sources.

Leading the way

Many EU nations are vocal about aims of decreasing the amount of fossil fuels consumed. Iceland is currently leading the way in Europe with almost 100% of its energy coming from renewable sources, mainly hydro and geothermal. Other countries such as Norway, Germany and the UK are trying to follow suit and Denmark has even stated goals of being 100% fossil-fuel free by 2050.

Affect on shipping companies

As more cities and countries go green the number of ventures that project shipping companies will have to manage across the globe will increase. Moving this type of equipment is very challenging and, in many cases, can take years of planning. Most project specialists have to work with a variety of authorities to close roads, provide escorts and assist with route planning. The biggest challenge for any project shipping specialist will find is time, as the smallest delay can cause huge consequences for the whole project. Specialist project shipping companies are anticipating that wind and solar projects will surpass oil and gas in the next 20 years.

The future for project shipping

Another huge change for project shipping companies is the loss of long term relationships with oil and gas companies. Instead, there will be a race to win contracts and develop relationships with renewable energy companies to ensure future success. Shipping companies themselves are also turning from oil and gas to renewables in their aim to reduce carbon omissions.

How will it end?

Within the special projects sector, some professionals are predicting this decline in oil and gas projects will result in huge negative impacts which could spell the end for some project shippers as well as massive declines in the global economy. However, humanity did not discover oil until 1859 when George Bissell and Edwin L. Drake first started the drilling wars. We survived long before and we will thrive long after oil and gas resources are gone. The key question is how? Certainly, project shipping companies have a key role to play in the future spread of renewable energy sources worldwide.

Written by David Cohen  - Recruitment Consultant at Alchemy Recruitment Ltd

Posted in categories: Environment, Imports, International, Shipping
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