IMO drawing up guidelines on implementation of 2020 global sulphur cap

IMO drawing up guidelines on implementation of 2020 global sulphur cap

 

The IMO is working with its Member States and the shipping industry “to identify and mitigate transitional issues” surrounding introduction of the global sulphur cap in January 2020, delegates were told at the 5th biennial gmec (global maritime environment congress) taking place at the SMM trade show in Hamburg last week.

Delivering the keynote address to an audience of around 100 delegates, the deputy director of the International Maritime Organization’s Marine Environment Division, Tianbing Huang, spoke of the environmental challenges facing the industry. These included the need to fit ballast water treatment systems, implementation of the new 0.5% sulphur limit, and the IMO’s pledge to reduce shipping’s carbon emissions by at least 50% (from 2008 levels) by 2050 – all subjects discussed in the day-long gmec programme organised by SMM in co-operation with Seatrade.

Regarding sulphur, Huang disclosed that the IMO is now working with Member States and industry on drawing up a set of guidelines to “help ensure consistent implementation” of the new 2020 regulations which are due to be finalised at the 74th meeting of the international body’s Marine Environment Protection Committee (MEPC 74) in May 2019.

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Covering lubricant options for a post-2020 world

Covering lubricant options for a post-2020 world

A great deal of coverage has been given to the availability or otherwise of different fuel types after 2020. Much less thought seems to have been given to how the lubrication of marine engines will be affected and what practical steps need to be taken by shipowners and operators. Shell Marine’s post-2020 cylinder oil expectations are based on a defined position on marine fuel use after the IMO’s cap on sulphur content comes into play.

The choice of cylinder oil is typically determined by three factors: the marine engine itself; the fuel being used; and the vessel’s operating conditions. Given this, the limitation of sulphur content to 0.5% in marine fuel from 2020 by the International Maritime Organization will have a significant impact on cylinder oil selection.

Shipowners should by now be some way to determining what their reaction to the new situation will be, although many seem to be still in the process of defining a plan or are waiting for the situation to crystalise. Shell Marine’s expectation is that 90% or more of the shipping fleet will switch to fuels with a sulphur level of <0.5% in the run up to January 2020. This will be a mixture of very low sulphur fuel oil (VLSFO) and distillate fuels.

We believe that fewer than 2,000 ships will be fitted with scrubbers to continue running on HSFO by that date and that, with a high-end estimate of 200 ships running on LNG, combined no more than 10% of ships will be accounted for by HSHFO, LNG or any other alternative. Our expectation is that up to 3 million b/d of HSFO demand will be displaced by <0.5% sulphur content fuels.

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PSC COLLECTIVE KICK-STARTS EMISSIONS CAMPAIGN

PSC COLLECTIVE KICK-STARTS EMISSIONS CAMPAIGN

The Paris MOU, Tokyo MOU, Indian Ocean MOU and Black Sea MOU port state control (PSC) regimes have agreed to focus on the prevention of ship air pollution during their forthcoming concentrated inspection campaigns (CICs).

The CICs will be carried out between 1 September 2018 and 30 November 2018, according to marine insurance and risk management company gard, and the Port State Control Officers (PSCOs) will pay particular attention to visiting ships’ compliance with MARPOL Annex VI during regular PSC inspections. The CIC checklist/questionnaire to be used by attending PSCOs will reportedly be published in August 2018.

However, gard said: “as some PSC regimes have recently announced that they will take enforcement of the new 2020 global 0.5% sulphur cap seriously from “day one”, the CIC may be considered a good opportunity to create awareness on the forthcoming requirements.

“Ship operators should therefore not be surprised if verification of the sulphur content of the onboard fuel is requested as part of the CIC. This could include a review of documents, such as bunker delivery notes, oil record books, fuel logs and fuel changeover procedures, as well as the taking and analysis of fuel samples at short notice.

“The ‘Sulphur Inspection Guidance’ published by the European Maritime Safety Agency (EMSA) contains useful information on what to expect from an attending PSCO.”

Not just SOx

gard pointed out that in addition to sulphur oxides (SOx), MARPOL Annex VI limits emissions of nitrous oxides (NOx) and prohibits the deliberate emission of ozone depleting substances (ODS). It also regulates shipboard incineration of waste material, and the emissions of volatile organic compounds (VOC) from tankers.

The risk management company said it is assumed that the questionnaire will focus on the maintenance and working condition of relevant equipment, such as the incinerator, but will mainly contain operational questions aimed at verifying the crews’ familiarity with the ship-specific equipment and procedures.

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IMO 2020: Refiners, Oil Majors Eye Exclusive 0.50%S Bunker Deals

IMO 2020: Refiners, Oil Majors Eye Exclusive 0.50%S Bunker Deals

Refiners and oil majors are looking to strike exclusive agreements to market their new bread of IMO 2020 compliant 0.50% sulphur bunker fuels.

The new fuels are expected to become available around the time that the new global 0.50% sulfur cap on marine fuel comes into force on January 1, 2020.

Bomin is among the suppliers who say it is working on “a number” of such deals.

“There’s more of these agreements coming up, and as a supplier this is one of the most important tasks for us right now,” Bomin’s recently appointed Managing Director, Jan Christensen, told Platts.

Given the difficulty in producing such fuels, quantities are expected to be limited and availability will not extend to all markets.

As there will be no update to ISO 8217 before 2020, there will also be no official ISO specifications for IMO 2020 bunkers ready in time for the new cap.

Instead, an ISO Publicly Available Specification (PAS) for the fuels, PAS 23263, is currently under development.

CEPSA are among a small number of suppliers that have already given estimates on pricing for the new products, which is believes could sell around $120/Mt over HSFO.

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Shipping groups call for ‘pragmatic, realistic’ enforcement of sulphur cap

Five of the largest international trade associations in shipping have issued a joint declaration pressuring IMO member states to address “challenges” they have identified relating to implementing the global cap on sulphur in fuel.

Bimco, the International Chamber of Shipping, Intercargo, Intertanko and the World Shipping Council cited the lack of a transitional period and the global availability of compliant fuels in a request for port state control authorities to give shipping companies time to become compliant.

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