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More accurate sulfur verification for compliance to IMO 2020 rule needed: BIMCO
The world's largest shipping association, the Baltic and International Maritime Council, or BIMCO, has called upon the International Maritime Organization to adopt more accurate sulfur verification procedures and an effective implementation plan for compliance to the IMO 2020 rule.
This comes as an intersessional meeting of the IMO on sulfur implementation is being held over July 9-13.
The IMO rule on the 0.5% limit on sulfur in marine fuels, compared with 3.5% now, will take effect January 1, 2020. It applies outside designated emission control areas where the limit is already 0.1%.
The introduction of the 0.5% global sulfur cap is the most significant change since the introduction of liquid bunkers as some 60% of the bunkers will have to switch from high sulfur fuel oil to low sulfur grade overnight, according to some industry sources.
"The current IMO verification procedure contained in Appendix VI to MARPOL Annex VI is a mash-up of some elements from the ISO verification procedure, making the outcome random and difficult for ship operators and PSC authorities to understand," BIMCO said in a statement made available to S&P Global Platts late Monday.
"BIMCO and its partners firmly believe the current verification procedure fails to be statistically sound," it added. In this context, it has submitted a paper to the IMO, proposing ways to secure a uniform and more accurate way of interpreting results when measuring the level of sulfur in fuel oil, BIMCO said.
The aim of the proposal is to secure easy-to-understand, easy-to-implement and uniform verification procedures of test results for both MARPOL samples and in-use fuel oil samples, it said. One of the proposals in the document calls for the IMO to replace Appendix VI with an appropriate reference to the ISO 4259 standard, it said.
ISO 4259-1:2017, for example, specifies the methodology for the design of an inter-laboratory study and calculation of precision estimates of a test method specified by the study.
The document submitted by BIMCO also includes proposals to add a definition of sulfur content in regulation 2 of MARPOL Annex VI and to unify verification procedures for both MARPOL samples and in-use fuel oil samples, it said.
Separately in another statement, BIMCO said it had also, along with its partners, submitted a draft proposal to the IMO for an implementation plan for achieving compliance with the 0.5% global sulfur cap.
This is significant as widespread compliance to the IMO 2020 rule still remains of great concern because of the magnitude of the change this rule entails and its associated costs.
A marine industry survey conducted by ExxonMobil last year, for example, noted that the route to compliance with the IMO global sulfur cap was unclear for many vessel operators, with 70% of respondents saying that they do not believe the industry was ready for the deadline.
BIMCO said it wanted IMO member states to encourage the ships flying their flags to develop written implementation plans, to help member states adopt a practical and pragmatic approach when verifying compliance with the requirements of sulfur regulation.
The implementation plan could voluntarily be submitted to authorities, and ships carrying an implementation plan along with a detailed description of how it is being followed should be met with a practical and pragmatic approach during inspections, it said, adding that "this pragmatic implementation approach would be for a period of three months after January 1, 2020 for those ships which are in possession of an implementation plan."
"The priority of compliance inspections in ports should be on willful non-compliance with the regulations. Where ships experience technical or operational issues that may lead to accidental and unintended non-compliance, this should be considered differently than willful non-compliance, and such ships should not face severe measures or penalties," it said.
The draft implementation plan includes planning and preparation for structural modifications, if required, detailing the number of bunker tanks designated to store low sulfur fuel as well as the purchasing procedure to source compliant fuels, among other aspects, it said.Posted On:12-Jul-2018
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Shanghai Salvage Starts Removing Kea Trader Debris from Reef
Shanghai Salvage Company (SSC) has started recovering debris from the reef where the ill-fated Kea Trader ran aground a year ago. The operation, during which the company would remove debris detached during storms, follows completion of a new independent bathymetric survey, Lomar Shipping, the owner of the vessel, informed.
The survey determined current surface conditions and the precise location of debris, enabling shallow work vessels to move around the rock hard reef for divers to collect the metal fragments.Posted On:12-Jul-2018
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Bulker Banned from Australian Ports for Underpaying Crew
The Hong Kong-flagged bulk carrier MV Shandong Hai Wang has been banned from Australian ports for 12 months after it was discovered that its crew had been deliberately underpaid.
The ban was issued after the Australian Maritime Safety Authority s (AMSA) surveyors found evidence on board the ship that crew had been deliberately underpaid by about AUD 56,000 (USD 41, 366) from the amount specified in their seafarer employment agreements.Posted On:12-Jul-2018
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India Fines South Asia LPG for Anticompetitive Conduct
India s Competition Commission has issued an order against South Asia LPG (SALPG) for abuse of dominant position for terminalling services at Visakhapatnam Port.
The Commission has subsequently imposed a penalty of INR 190.7 million (USD 2.77 million) on the company, which is a 50:50 joint venture between Hindustan Petroleum Corporation Limited (HPCL) and Total Gas & Power India (TGPI).Posted On:12-Jul-2018
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Port of Virginia Delivers 4th Consecutive Year of Growth
The Port of Virginia handled 2.8 million TEUs during fiscal year 2018 (FY18), a rise of 2.4 percent when compared with last fiscal year, mostly due to an increase in imports. The port s fiscal year closed June 30 and in that month the port handled 223,842 TEUs, which was a drop of 3.4 percent when compared with last June.Posted On:12-Jul-2018
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Libyan NOC announces reopening of export terminals
Libya s Tripoli-based National Oil Corporation (NOC) said on Wednesday that four export terminals were being reopened after eastern factions handed them the ports. Force majeure, a legal waiver on contractual obligations, was lifted on the ports of Ras Lanuf, Es Sider, Zueitina and Hariga, it said in a statement.Posted On:12-Jul-2018
Credits: www.bunkerportsnews.com |
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First ever one-stop shipping hub in Port Klang soon
Two companies today signed a cooperation agreement to build a 54,000 square feet space within Port Klang Free Zone (PKFZ) to house a one-stop shipping hub for seafarers.
Malaysia-based Maleva Group penned the agreement with China Merchant Energy Shipping (Singapore) Holding Pte Ltd where the former will be the distributor and the latter will be the supplier.Posted On:12-Jul-2018
Credits: www.bunkerportsnews.com |
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Container movement at the Port of Long Beach sets record
Container movement at the Port of Long Beach is trending upward at record-setting levels, the port announced. "We had 752,000 (container) moves in our container terminals (in June 2018), which is a record for a single month," Noel Hacegaba,port chief commercial officer said at the port s bi-weekly meeting, Monday, July 9. "The last record was set in July 2017 – 720,000 (containers). We re ecstatic about this figure."Posted On:12-Jul-2018
Credits: www.bunkerportsnews.com |
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Taiwan s Yang Ming sees low sulfur fuel as likely main option for IMO 2020 rule
With the deadline for the International Maritime Organization s global sulfur cap looming, low sulfur fuel oil appeared to be the main marine fuel option, Taiwan s Yang Ming Marine Transport Corporation said Wednesday.
"The use of low-sulfur fuel is the intended solution for now, but we can t rule out other options like scrubber installation and LNG related infrastructure," it said in an e-mailed reply.
IMO will cut the sulfur cap in marine fuels to 0.5% from January 1, 2020, compared with 3.5% currently, which means shipowners have to either switch to cleaner, more expensive fuels or install scrubbers.Posted On:12-Jul-2018
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Nakilat Sees Higher First-Half Profit
Qatar-based shipping company Nakilat reported a 9 percent profit increase for the first half of this year. The company s net profit stood at QAR 445 million (USD 122.2 million) in H1 2018, compared to QAR 409 million seen in the corresponding period a year earlier. As explained, the financial results are a reflection of the company s secured long-term agreements which have enabled Nakilat to maintain a steady cash flow.Posted On:12-Jul-2018
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NOC Lifts Force Majeure at Libya s Four Ports
Libya s National Oil Corporation (NOC) is lifting force majeure at the country s ports of Ras Lanuf, Es Sider, Hariga and Zuetina. The company informed that the facilities were handed over to the corporation in the morning hours of July 11, 2018. The production and export operations were expected to return to normal levels only hours later. NOC declared force majeure on crude oil loading at Hariga and Zuetina oil terminals on July 2.Posted On:12-Jul-2018
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Dry cargo ship listed in port
General cargo ship PASHA developed starboard side list in the afternoon Jul 9 at Tenes port, Algeria, being docked alongside berth, in the process of offloading cargo of wooden panels for local furniture factory. 11 people, including 2 crew and 9 dockers, were slightly injured. Understood there s no danger of capsizing, the ship was to be righted by ballast management. As in many cases like this one, when berthed dry cargo ship suddenly develops a heavy list during cargo operation, initial lack of stability, due to faulty ballasting, is the most probable cause. Any weight shift, when stability is about zero, may trigger sudden list or capsizing.Posted On:12-Jul-2018
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Spanish trawler capsized, sank in the Atlantic, 1 dead 1 missing
Spanish trawler DORNEDA capsized and sank on Jul 11 in vicinity 45 08S 060 11W, South Atlantic, some 200 nm off Argentina coast. 25 crew were found later in life rafts and rescue or life boat, and rescued by Argentine fishing boat, 1 reported dead and 1 missing. Most of the crew are Spanish but there are also Moroccans, Peruvians and Indonesians amongst them.Posted On:12-Jul-2018
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