The Unintended Consequences of the sulphur cap
EU has proposed 0.1% sulphur cap to take effect in 2015 New regulations really need to be thought over carefully and exposed to the most rigorous cost-benefit analysis. It is often said that legislation concocted in haste will be inevitably regretted by its recipients and that those making regulations need always to consider "the Law of Unintended Consequences", which will often catch out those who have allowed their enthusiasm for legislation to get the better of them.Perhaps it has been taking rather too long to build up a head of steam, but the opposition to the proposed EU 0.1% sulphur cap due to take effect in 2015 within the European Emission Control Areas seems to be growing very fast. Ferry and short sea operators in particular have been doing their research and are, as a result, better equipped to forecast the consequences of this drastic reduction of sulphur content in fuel oil, due to become mandatory.Speaking to the UK House of Commons Transport Committee recently, the UK interest group Maritime UK told MPs that the proposals are likely to increase bunker costs by nearly 90% and will almost certainly add some GBP 3.6 billion per annum to the operating costs ...
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