Author: João Parreira

The vision of Vítor Vasconcelos, Chairman of the Board of CIIMAR, a partner in the Hub Azul Leixões 1 consortium.

This interview was conducted with Vítor Vasconcelos, Full Professor at the Faculty of Sciences of the University of Porto and Chairman of the Board of CIIMAR, as part of the Blue Compass project, promoted by the Hub Azul Portugal Network, based on insights from the Hub Azul Dealroom, the leading digital matchmaking platform for blue innovation.

What scientific or technological advances are currently driving innovation in Blue Biotechnology?

Innovation in Blue Biotechnology is being driven by a number of scientific and technological advances, including advances in genomics, bioinformatics, genetic engineering and artificial intelligence (AI). The fact that it is faster and cheaper to unravel complete genomes of organisms, combined with AI-assisted tools for gene annotation, is enabling the discovery of new bioactive compounds, the development of innovative bioprocessing techniques and the use of marine organisms for various applications, such as food and feed production, pharmaceuticals, biofertilisers, cosmetics, new materials and the use of whole microorganisms for bioremediation.

There is still a large part of the world’s marine biodiversity to be discovered, especially microorganisms that have rich gene pools responsible for new chemistry in special enzymes with industrial applications. The establishment of Blue Marine Biobanks should be seen as an important scientific advance for Blue Biotechnology, with the collection, filling and storage of millions of specimens that can be used globally to discover new uses in a sustainable way.

These Biobanks can contain live specimens (collections of bacteria, fungi, microalgae), genetic material, preserved samples or extracts. The Portuguese Blue Biobank, which is being established under the PRR (Blue Innovation Pact) programme, is a good example, forming a network of marine biobanks distributed throughout the country to be used by both the scientific community and companies to create value.

Which Blue Biotechnology sub-sectors (e.g. algae-based materials, gene editing, biofuels, marine bioproducts) have the greatest potential for commercialisation?

The commercialisation of new products derived from marine organisms will create new economic opportunities, especially for coastal communities and regions with a strong maritime tradition, providing a higher added value to marine organisms, much greater than products traditionally derived from fishing or the canning industry. The applications that can reach the market most quickly are those in the food and feed sectors, including nutraceuticals that can have higher market prices. These can be used as ingredients that add value to final products. Biofertilisers, biostimulants and bioprotectants, mainly of algal origin, are already being produced by many start-ups and SMEs, mostly using micro and macroalgae produced in sustainable circular systems.

Cosmetics produced from algae are also increasing their market entry, given the fact that they are vegan and have important protective properties compared to non-organic ones. New applications of marine organisms include the textile and footwear industries (e.g. functional pigments such as dyes, fibres from macroalgae, use of discarded nets and collected plastic for shoes), anti-fouling paints (from cyanobacteria and other microorganisms), new materials (e.g. extracellular polysaccharides for packaging and extending the shelf life of fresh produce).

The need for new drugs, especially new antibiotics to fight multidrug-resistant bacteria, is also an opportunity for Blue Biotechnology, with a medium-long production period but high potential for commercialisation.

What are the main challenges – technical, regulatory or financial – that currently limit the scalability of Blue Biotechnology solutions?

These challenges range from factors such as the complexity of marine ecosystems and access to genetic resources, to regulatory obstacles for new technologies, especially gene editing, and difficulties in securing funding for high-risk, long-term projects. The development of the Blue Biotechnology sector still relies heavily on SMEs (spin-offs and start-ups) that struggle to find the technical and financial resources to develop their products, processes and services.

Initial funding is always a problem in a sector that doesn’t provide an immediate return compared to the IT sector. There is a need to establish strong incubators, close to consolidated research centres, which can provide technological support in the early stages of SMEs. The Blue Biotechnology sector usually requires expensive technological resources, which a fledgling SME cannot and should not afford on its own. Funding bodies that support a high-risk, high-potential sector are also needed, since SMEs rely heavily on significant investments in the early stages of their development, which is a serious limitation in Europe.

Simplifying licensing processes is also necessary, as these SMEs cannot wait several years to obtain permits to operate, build facilities or licence new products. Consumer-orientated communication is also a critical action to facilitate the acceptance of a given product or service by the end consumer. This particular action is useful for players throughout the value chain, but is often only economically sustainable for large companies.

The vision of Ricardo Calado, Scientific Coordinator of CEPAM-ECOMARE and Project Manager of Hub Azul Aveiro (H4 – CITAQUA)

This interview was conducted with Ricardo Calado, Scientific Coordinator of CEPAM-ECOMARE and Project Manager of Hub Azul Aveiro (H4 – CITAQUA) , as part of the Blue Compass project, promoted by the Hub Azul Portugal Network, based on insights from the Hub Azul Dealroom, the leading digital matchmaking platform for blue innovation.

What scientific or technological advances are currently driving innovation in Blue Biotechnology?

Blue Biotechnology is in a phase of accelerated development, mainly due to advances in next-generation sequencing technologies and multiple omics tools that have been perfected. From metagenomics, transcriptomics and metabolomics, to proteomics, lipidomics and glycomics, all these tools make it possible to study the genetic material and biomolecules present in marine organisms ever more quickly and precisely.

With the support of increasingly efficient bioinformatics pipelines supported by artificial intelligence, it has been possible to discover more and more new enzymes, secondary metabolites and bioactive compounds in less time and with lower associated costs. It is also very important to mention the advances made in gene editing, with an emphasis on the CRISPR (Clustered Regularly Interspaced Short Palindromic Repeats) technique, which opens up new horizons for producing, for example, genetically modified microorganisms that can more easily be produced in reactors and give rise to biomass specifically developed to be used in the production of biofuels, as feed ingredients, as biofertilisers and/or pharmaceutical compounds.

Aspects related to circularity, the full valorisation of marine bio-resources and the sustainability of the bioprocesses developed are equally important in promoting a bioeconomy paradigm supported by blue biotechnology tools.

Which subsectors of Blue Biotechnology (e.g. algae-based materials, gene editing, biofuels, marine bioproducts) have the greatest potential for commercialisation?

It is not easy to answer this question without the appropriate regional framework, as it varies according to the investment associated with innovation, market needs and available bio-resources. The legal constraints on the commercialisation of new products, processes and services based on blue biotechnology also vary greatly from region to region. However, the following sub-sectors can be highlighted as having the greatest potential for commercialisation:

• Valorisation of by-products/coproducts from fish processing to develop new nutraceutical products (e.g. food supplements rich in omega-3 fatty acids), cosmeceuticals (e.g. skin firming products) and pharmaceuticals (e.g. anti-inflammatory, antiviral and anaesthetic products to combat chronic pain);
• Macroalgae valorisation for the production of biofertilisers, bioplastics and/or textiles, in order to accelerate the green transition and promote a reduction in plastics derived from fossil fuels;
• Genetic editing of marine organisms using CRISPR (or other genetic engineering technologies) to improve micro and macroalgae, as well as other marine organisms produced in aquaculture, to increase their productivity, with an emphasis on greater resistance to diseases; increasing the production of metabolites of interest (e.g. oils, pigments, bioactive products with various types of bioactivity) is also being explored, although the legal constraints in many markets, particularly in the European Union, may delay (or even prevent) commercialisation.

What are the main challenges – technical, regulatory or financial – that limit the scalability of Blue Biotechnology solutions today?

From a technical point of view, it is worth mentioning that there are still limitations to accessing, capturing and/or producing various marine organisms with biotechnological potential, particularly those that live in extreme environments and are therefore more difficult to access. The chemical complexity of many of the biomolecules present in marine organisms with biotechnological interest often makes them difficult to replicate in the laboratory, requiring the use of very advanced and expensive technologies in terms of time and financial resources to clarify and replicate their structures and functions. In addition, there are not always the means, or even the technology, to promote sustainable, large-scale cultivation of marine micro and/or macro organisms with high biotechnological potential, which jeopardises their production on an industrial scale. The same can be said of the bioprocesses needed to transform marine biomass into new products, processes and services in an environmentally and economically sustainable way.

From a regulatory point of view, the legislation that governs this sector is extremely complex, often omitted and quite fragmented. Access to and exploitation of marine genetic resources falls within areas of national and international jurisdiction, including the Convention on Biological Diversity (CBD) and the Nagoya Protocol, which, often due to ignorance on the part of the authorities, result in a plethora of bureaucracy that delays and often prevents licences from being granted, thus compromising innovation and market entry.

From a financial point of view, the intensive nature of the capital needed to promote Blue Biotechnology is worth highlighting, given the specific nature of the equipment needed to bioprospect the marine environment (e.g. research vessels), the laboratory equipment to characterise and replicate the chemical diversity of genetic resources in the seas and oceans and the need for highly qualified multidisciplinary teams. In addition, this is a high-risk activity with a long-term financial return, since it has long development cycles (almost always more than 10 years) from which the expected financial return may not come, which makes it difficult to finance these activities through more traditional channels.

The vision of José Pinheiro, CEO of Ocean Winds

This interview was conducted with José Pinheiro, CEO of OW Ocean Winds Portugal, with responsibility for the Iberian market, as part of the Blue Compass project, promoted by the Hub Azul Portugal Network, based on insights from the Hub Azul Dealroom, the leading digital matchmaking platform for blue innovation.

Is the ocean renewable energy sector evolving at the pace needed to meet energy and climate targets? What is still missing?

In order to fulfil the energy and climate targets, we can see that there is still a lot to be done in the ocean renewable energy sector, if we consider that:

– Renewable energies currently supply only 15 per cent of all electricity on the planet;

– It will be necessary to reach 60 per cent renewable energy production by 2030 and 90 per cent by 2050 in order to achieve the desired carbon neutrality;

– 70% of the planet’s surface is covered by the ocean.

The ocean will undoubtedly provide the largest source of renewable energy yet to be exploited (be it waves, tides, temperature or salinity gradients, or the wind generated in the ocean) as an alternative to non-renewable sources, which means that there is still a lot to be done in the field of the ocean.

If we just focus on offshore wind energy – which there is already a consensus that will play a very important role in the energy transition towards carbon neutrality – there is currently 70 GW of installed capacity, and it is expected to be 600 GW by 2050; reinforcing the previous idea that there is a need to accelerate the pace.

At Ocean Winds we currently have a portfolio of more than 18.8 GW of offshore wind (fixed and floating), spread across 8 countries, working daily with the aim of continuing to be key players in this energy transition.

What are the main gaps that still hinder the scalability of offshore projects in the energy sector? How can they be overcome?

The challenges are generally transversal to all renewable energies that need to gain scale of implementation. And scalability is essential over the next few years to ensure that we achieve the objectives of the Paris Agreement and project this transition towards 2050.

In order to scale up offshore renewable energies, we need to ensure a number of factors, including the following:

. Development of energy policies: energy policies must be correct and agreed between countries, in order to guarantee stability and cohesion.

. Regulation: enabling the sale of the electricity produced (either to the electricity system or to the end consumer).

. Financing: billions (of euros) of investment.

. Supply chain: we also need to gain another scale, so that we can refer to a truly global industry.

. Human Resources: We need to have more people properly trained to fulfil these roles throughout the sector’s value chain.

What are the main challenges in integrating ocean renewables into the electricity grid and liaising with utilities and system operators?

The fact that electricity grids have to expand out to sea is something we see as a natural consequence of the evolution of electricity systems. Obviously, there are challenges at sea that don’t exist on land, but I don’t think the big challenges at the moment are technological. It’s still essentially a question of the direction of energy policy and the definition of regulation; perfectly determining the role of the project promoter and the network operator, as well as clearly identifying the interfaces. It is essential to balance the risks of each of these players, which are essential if these projects are to be feasible at all levels – technical and financial.

By Bernardo Silva, INESC TEC manager

This interview was conducted with Bernardo Silva, INESC TEC’s manager, as part of the Blue Compass project, promoted by the Hub Azul Portugal Network, based on insights from the Hub Azul Dealroom, the leading digital matchmaking platform for blue innovation.

Is the ocean renewable energy sector evolving at the pace needed to meet energy and climate targets? What is still missing?

Firstly, it is necessary to distinguish between energy sources, namely offshore wind, wave energy, tidal energy and ocean solar. Offshore wind energy is at a commercially mature stage and has even proved itself in Portugal. However, wave energy, tidal energy and ocean solar energy are at a less technologically mature stage. In order to meet the targets, we need offshore energy systems that guarantee more energy from renewable sources and, desirably, a lower levelised cost of electricity (LCE). We may have to resort to different energy sources, sharing the use of interconnection infrastructures with the onshore grid, which represent a significant cost. In this way, some development is still needed to fulfil the targets. Nevertheless, investment in offshore wind with acceptable NECs could greatly help increase the penetration of renewable sources in the electricity system and create the necessary infrastructure for the future interconnection of other ocean energy sources.

What technical challenges (still) limit the commercial viability of new ocean renewable energy technologies?

New technologies need to be tested and this requires a kind of ‘green lane’ for testing, allowing access and interconnection to electricity grids quickly.

On the other hand, it is important to have industrial development to support all the activities and then manufacture the components that will integrate the new technologies in the commercial phase.

With regard to grid connection issues, it is also necessary to study the future of new substations that allow generator sets to be interconnected to the earthing infrastructure, in order to reduce the number of long submarine cable circuits.

On the other hand, the very interconnection between devices of different technologies in a plug-&-play fashion should be the subject of R&D, exploring the concept of the ‘T-connector’, a kind of ‘triple plug’ on a large scale and proof against ocean conditions.

What innovations (e.g. materials, digitalisation or artificial intelligence) have the potential to transform ocean technologies?

Ocean energies have high installation and maintenance costs. However, innovation could reduce these costs through the adoption of new technologies, both for monitoring and maintenance, making it possible to optimise processes and access digital twin models to check the health of various components.

In this respect, autonomous robotics will play a key role in inspection and data collection tasks. On the other hand, data analysis and digitisation of the different systems will enable the adoption of mathematical models that can identify anomalies and define the best time window for carrying out maintenance tasks.

Finally, artificial intelligence models can be trained to forecast resources and detect extreme phenomena, which will allow preventive protection strategies to be adopted for energy production assets. However, all the technology could also increase knowledge of the surrounding marine life, creating databases for future studies since it will be based on a strong network of sensors.