Compliance will mean more scrutiny

Compliance will mean more scrutiny

Now we are getting down to the nitty-gritty of the IMO’s 2020 sulphur cap. In the months leading up to the start of this global ban on sulphur emissions the business of tank-cleaning is just one of the pressing issues ship owners and operators need to tackle. Although the regulations are determined, there are areas that need to be addressed and most importantly understood in relation to the new compliant fuels. Vessels using any of the new fuel blends available to maritime shipping from January 1 2020 will need to have more than faith in bunkering to remain compliant once the IMO 2020 global sulphur cap comes into force.

Bunker delivery notes will now need to state the sulphur content of the new fuels supplied and this is just one of the concerns for ship owners, managers and operators according to Olivier Baiwir, CEO of Aderco.

“To keep within the regulations all bunker delivery notes will have to state the sulphur content of the fuel oil supplied. This can be verified by taking samples and the International Air Pollution Prevention (IAPP) certificate issued by the vessel’s flag state (registry) will need to state that the ship uses a fuel with the accepted new regulatory sulphur content. This will need to be within the applicable limits or uses an approved equivalent method to be compliant.

As we have been saying for many months, the availability of the new fuel and its bunkering has been one of the prime concerns since the formal announcement of the cap. Yet bunkering ports which are located in countries which are not parties to Annex VI, have no direct requirement to comply with Regulation 18: ship owners should, therefore, when ordering bunkers, insert clauses to the effect that the fuel oil supply process is to be in accordance with the requirements of Annex VI and with specified maximum sulphur content appropriate to the particular intended future area of operation. This will ensure they remain compliant with the cap.”

Certain regions such as in the Middle East and Australia believe they are small markets that will initially struggle to find the right amount of compliant fuel. But the reality is that ships will simply not use ports that cannot offer compliant fuels after January 1 2020. The clock moves on and so do the regulations: keep reading; keep planning and keep searching.

Regulation 18 MARPOL Annex VI

Regulation 18 Fuel oil availability and quality Fuel oil availability I Each Party shall take all reasonable steps to promote the availability of fuel oils that comply with this Annex and inform the Organization of the availability of compliant fuel oils in its ports and terminals. 2.1 If a ship is found by a Party not to be in compliance with the standards for compliant fuel oils set forth in this Annex, the competent authority of the Party is entitled to require the ship to: 1 present a record of the actions taken to attempt to achieve compliance; and 2 provide evidence that it attempted to purchase compliant fuel oil in accordance with its voyage plan and, if it was not made available where planned, that attempts were made to locate alternative sources for such fuel oil and that despite best efforts to obtain compliant fuel oil, no such fuel oil was made available for purchase. 2.2 The ship should not be required to deviate from its intended voyage or to delay unduly the voyage in order to achieve compliance. 2.3 If a ship provides the information set forth in paragraph 2.1 of this regulation, a Party shall take into account all relevant circumstances and the evidence presented to determine the appropriate action to take, including not taking control measures. 2.4 A ship shall notify its Administration and the competent authority of the relevant port of destination when it cannot purchase compliant fuel oil. 2.5 A Party shall notify the Organization when a ship has presented evidence of the non-availability of compliant fuel oil.

Bomin: Office Closure not an easy decision but commercially responsible

Bomin: Office Closure not an easy decision but commercially responsible

Bomin’s decision to close a number of key offices this year not been easy but it was the commercially responsible thing to do, Jan Christensen, Managing Director of Bomin Group, has told Ship & Bunker.

Having said in June it would close its Dubai “hub” office, the bunker supplier announced last week it will also exit Singapore and Antwerp.

“In this market you’ve got to be pragmatic in how you rationalise resource. These have not been easy to make,” said Christensen.

Read the full article here

Bomin to close more “hubs” with exit from Singapore and Antwerp markets

Bomin to close more “hubs” with exit from Singapore and Antwerp markets

Bomin today said it will exit the Singapore and Antwerp markets, and going forward will operate from just two offices, Houston and Hamburg.

The move was said to be critical to ensuring commercial viability and sustainability in the post-2020 world.

The Bomin group is in a transformation and restructuring process and intense competition and low margins characterize the situation in all major ports,” says Jan Christensen, Managing Director of Bomin Group.

Read the full article here 

What the 73rd session will be looking at

Implementation of sulphur 2020 limit

The 0.50% limit on sulphur in fuel oil on board ships (outside designated emission control areas or ECAs, where the limit is 0.10%) will come into effect on 1 January 2020.

The MEPC is expected to consider for approval, with a view to adoption at MEPC 73 (22-26 October 2018), draft amendments to MARPOL Annex VI to prohibit the carriage of non-compliant fuel oil.

The exception would be for ships fitted with an approved “equivalent arrangement” to meet the sulphur limit – such as an exhaust gas cleaning system (EGCS) or so-called “scrubber” – which are already permitted under regulation 4.1 of MARPOL Annex VI. These arrangements can be used with “heavy” high sulphur fuel oil as EGCS clean the emissions and therefore can be accepted as being at least as effective at meeting the required sulphur limit. For a ship without an approved equivalent arrangement, the effect of the draft amendment, which would enter into force on 1 March 2020, would be that the sulphur content of any fuel oil used or carried for use on board shall not exceed 0.50%.

IMO’s Sub-Committee on Pollution Prevention and Response (PPR) is currently developing guidelines to support the implementation of the 2020 sulphur limit. An intersessional working group will meet 9 to 13 July 2018.The MEPC will be asked to approve receiving draft guidelines on ship implementation planning for 2020 directly from the intersessional working group to MEPC 73 in October, in order to ensure appropriate guidelines can be considered by MEPC 73 and issued in good time. 

Consistent implementation of the 0.50% sulphur limit for all ships will ensure a level playing field is maintained, with the result that the expected improvement of the environment and human health will be achieved. Sulphur oxides (SOx) are known to be harmful to human health, causing respiratory symptoms and lung disease. In the atmosphere, SOx can lead to acid rain, which can harm crops, forests and aquatic species, and contributes to the acidification of the oceans.

Fuel oil quality – best practice guidance 
The MEPC will consider draft best practice guidance for fuel oil purchasers/users; and for fuel oil providers.

The best practices are intended to assist in assuring the quality of fuel oil delivered to, and used onboard ships, with respect to both compliance with the MARPOL requirements and the safe and efficient operation of the ship.