Tag: 2020 sulphur cap

With less than twelve months remaining for the new regulation to take place, ship owners can’t waste time anymore; within 2019, they need to decide on the most appropriate approach for their operations in order to comply with the Sulphur cap and remain commercially sustainable in the long run. So far, there is no silver bullet solution while each option introduces additional challenges to operators. 

This time, our special column, in association with The North of England P&I Club, sheds focus on sulphur cap, given the fact that we are on the final stretch for the amendments to MARPOL Annex VI to come into force. From 1 January 2020, the content of sulphur in fuel oil used on board ships, operating outside Emission Control Areas, must not exceed 0.50% m/m and ship operators are urged to find ways to comply with the new regulation.

Hong Kong authorities aim to fight air pollution coming from vessels with the help of flying drones that will monitor ship emissions. Newly designed sensors can detect pollutants from vessels up to 50 metres from source, with move set to be launched by end of 2019. The drones were designed by the University of Science and Technology.

During 2018, the signatories to the Paris Agreement on Climate Change adopted the guidelines for its implementation. International shipping can can contribute greatly in the transition towards a more sustainable economy. This can be done by developing new vessel types and by improving the current fleet. Digitalization will play a key role in these programmes, Port of Rotterdam believes.

China's stringent environmental regulations as part of its efforts to reduce air pollution levels in its major cities is expected to surge demand for LNG carriers as a ship type, lifting prices of newbuildings, Hyundai Heavy Industries CEO Sam H. Ka was quoted as saying.

The Imperial College London published a report examining the use of natural gas for shipping. It says that using natural gas fuel with other methods could help the shipping industry meet environmental targets, but must that must be coupled with additional energy efficiency measures and longer term plans that include much lower carbon ship technologies.

Geneva-based shipping giant Mediterranean Shipping Company SA (MSC) has secured financing of US$439 million to equip its fleet with 86 scrubbers in view of IMO's 2020 sulphur cap. Law firm Watson Farley & Williams (WFW) advised French BNP Paribas as coordinating bank and agent.

Overall, in all business sectors, organizations develop sustainable business aiming at improving their social conscience and environmental responsibility, well beyond the financial. Do you wonder which the key areas of focus are toward an even more sustainable shipping industry in the future?

Euronav highlights its strong 2019 start in the maritime industry and its support to the IMO 2020 regulations. The key options on the table to becoming compliant are scrubbers and compliant fuels, including low-sulphur fuel and alternative marine fuels such as LNG, LPG or even methanol.

Because of the expansion of regulation scope requiring ships to use less than 0.5% sulphur fuel in the China ECA designated areas, Ocean Network Express (ONE) informed that it will implement a further expansion on Low Sulphur Fuel surcharge (LSF), for import cargo to all China/Hong Kong/Macau as well as export.