Minister asks for flexibility in the implementation of 0.10% sulphur cap
Finland is calling for easier terms in a proposed directive aimed at reducing the sulphur content of fuels used by ships at sea, according to a report in the Finnish newspaper Helsingin Sanomat.
According to the report, a letter sent to the Commission asks for assurances that sufficient 0.10% fuel fuel be available by the time the directive takes effect in 2015. Environment minister Ville Niinistö is quoted as saying: “If these measures do not succeed Finland feels that the scheduling of the directive needs to be reconsidered. If the Commission raises its hands in the air, saying that it doesn’t have enough time to do this in three years, then it needs to draw its own conclusions.”
The Finnish move reflect widespread concern among ferries and and short sea operators in the Baltic and North Sea areas who fear that even if sufficient compliant fuel is available the increased cost is likely to cause a modal shift away from sea transport.
Helsingin Sanomat says that Finland’s forest industry is especially worried by the prospect of increased sea transportation costs while the Confederation of Finnish Industry (EK) estimates that the directive could impose as much as 1.2bn euros (US$1.64bn) in extra annual costs on Finland’s export industries.
Mr Niinistö said that the cost estimates are largely based on the fact that there is currently neither demand for or supply of low-sulphur fuel. However, he is confident that market mechanisms will rectify the situation.
In contrast to many in the shipping and bunker industries he is optimistic supplies will be available. He said: “In three year’s time, production of low-sulphur fuel suitable for maritime use will increase to new levels. Nevertheless we are talking about issues that are so big for the export industry that the government wants to look for solutions. We are an export-driven country, and these problems of a transitional phase need to be taken seriously.”
Source: World Bunkering