Ocean shippers catching up with electric vehicle fire risk.

Ocean shippers catching up with electric vehicle fire risk.

The Risky Business of Shipping Electric Vehicles

Ship Fire

Electric vehicles (EVs) are gaining popularity worldwide, but the battery technology used in these zero-emission automobiles is exposing under-prepared maritime shippers to the risk of hard-to-control fires. Recent incidents, such as the burning car carrier off the Dutch coast, have highlighted the urgency of addressing this issue. Maritime industry officials, insurers, and emergency responders are calling for greater awareness and regulations to mitigate the risks associated with shipping EVs.

The maritime industry has lagged behind in keeping up with the developing technology of EVs and the increased risks they pose. According to a report from insurer Allianz Global Corporate & Specialty, there were 209 ship fires reported in 2022, the highest number in a decade. While the number of fires involving EVs specifically is unknown, the European Maritime Safety Agency has identified lithium-ion batteries, commonly used in EVs, as a major contributor to cargo fire accidents.

In the case of the burning car carrier off the Dutch coast, the cause of the fire is still undetermined. However, an emergency responder mentioned that the fire started in the battery of an electric car. This incident has raised questions about the adequacy of existing safety codes for transporting EVs and the challenges of extinguishing fires caused by lithium-ion batteries.

One significant hazard associated with lithium-ion batteries is “thermal runaway,” a rapid and unstoppable increase in temperature that can lead to fires in EVs. These fires are difficult to extinguish and can spontaneously reignite. Fire extinguishing systems on car carrier ships were not designed to handle these hotter fires, leaving shipping companies and regulators scrambling to catch up.

The business model used by shipping companies, which involves tightly packed ships known as RoRos (roll-on/roll-off), exacerbates the risks. These floating parking garages can have multiple decks carrying thousands of vehicles, with cars parked bumper-to-bumper. This arrangement makes it challenging for firefighters to access and extinguish fires.

While trains and trucks also transport EVs, isolating and extinguishing fires is comparatively easier, as rail cars can be detached, and trucks can pull over. The cramped conditions on RoRo ships make it nearly impossible for firefighters to reach the location of a fire, increasing the risk of getting trapped.

The increasing number of fire-related losses has resulted in higher insurance costs for automakers shipping cargo. As ship owners seek to limit losses by legally pursuing automakers whose vehicles are determined to have caused a fire, automakers are buying additional liability protection. Insurers are playing a crucial role in driving safety improvements and are exploring options such as new fire-suppressing chemicals, specialized EV fire blankets, battery piercing fire hose nozzles, and proposals to segregate EVs.

Recognizing the growing number of fires involving EVs on cargo ships, the International Maritime Organization, which sets regulations for safety at sea, plans to evaluate new measures next year. These measures may include specifications on water extinguishers available on boats and limitations on the amount a battery can be charged, which impacts flammability.

As EVs continue to gain traction globally, the Royal Association of Netherlands Shipowners and other industry stakeholders are discussing tightening regulations to account for the additional safety risks. Communication is already underway, but incidents like the burning car carrier emphasize the need to expedite the process. With global auto sales steadily increasing, especially in regions like China, Europe, and the U.S., where there is a strong push for EV adoption, the number of EVs being shipped will only rise.

The risks associated with shipping EVs are complex and require a multifaceted approach. Industry collaboration, regulatory changes, and technological advancements are essential to ensure the safe transportation of EVs and protect the maritime industry from potentially devastating fires. The future of sustainable transportation depends on addressing these challenges and finding innovative solutions that reconcile the environmental benefits of EVs with the safety concerns they present.