NH3 CLEAN Energy chairman Charles Whitfield says Australia is in danger of “losing out” on the emerging market for low‑carbon maritime fuels, arguing the federal government’s decision to exclude shipping from its cleaner‑fuels demand mechanism reflects “a lack of thinking rather than thinking” on the role of alternative fuels in decarbonising supply chains.
Speaking with Daily Cargo News, Mr Whitfield said the omission of maritime fuels from the scheme comes at a critical time for global shipping, with the IMO, Europe, Japan and China all advancing their own frameworks for low‑emissions marine fuel.
“Maritime decarbonisation of marine transport is happening. That’s just an absolute,” he said.
Mr Whitfield said Australia had historically been a “laggard” in bunkering, but the shift to alternative fuels presents an opportunity to leapfrog into a new era of marine energy.
“Australia has a chance to leapfrog to the future fuels in terms of marine bunkering. And if it doesn’t, it’s going to be nowhere.”
Mr Whitfield praised the Pilbara Ports Authority for its proactive stance, noting NH3 Clean Energy has a joint development agreement with the authority to make clean ammonia available at Port Hedland and Maitland by 2030.
“They’ve got a clear strategy… clean ammonia is available at Port Hedland and Maitland by 2030.”
But he said federal support has been slow, despite NH3 Clean Energy securing Major Project Status last year, a designation held by just 30 projects nationwide.
“We’re on the cusp of FID and we haven’t got a bean.”
Mr Whitfield argued federal policy had been skewed toward renewables at the expense of other decarbonisation pathways.
“All the policy has been slanted towards applications for renewables… if you have other solutions which address climate change but don’t fall into that particular box, then you are a second‑class citizen.”
Mr Whitfield said ammonia’s appeal lies in its ability to deliver zero carbon emissions at the point of consumption and its compatibility with existing industrial capability.
“Ammonia is a zero‑emission fuel at the point of consumption… you’re taking carbon out of the equation so you don’t emit carbon dioxide when you burn it.”
He contrasted ammonia with hydrogen, LNG and biomethanol, noting each has limitations in range, emissions or scalability.
“Hydrogen has very low energy density… LNG is still a reasonably high carbon emission… biomethanol’s challenge is scale.”
Major players are already moving.
“MOL… already have three ammonia‑fuelled bulk carriers… Fortescue… have ordered 12 vessels which are ammonia fuelled.”
Mr Whitfield said private capital was poised to invest but was waiting for regulatory clarity.
“Uncertainty is the enemy of capital investment. The more certainty there is, the more people will be willing to commit.”
He said NH3 Clean Energy is one of many voices urging the Department of Climate Change to reconsider the exclusion of shipping from the cleaner‑fuels mechanism.
“A lot of the shipping companies, the mining companies, the ports… are trying to get some kind of acknowledgement of this.”
Mr Whitfield warned that Australia risks repeating past mistakes by failing to act early on a strategic industry.
“You’ve got to seize the moment now because otherwise other countries… are much more willing to push this… and Australia will lose out.”
Drawing on his experience leading the turnaround of Galaxy Resources during the early lithium boom, he said ammonia represents a simpler, more achievable industrial opportunity.
“Ammonia is super simple… we have ammonia plants here already… we have everything that we need here… but we can still mess it up if we’re stupid about it.”