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LR issues Statutory alert – Entry into force of Energy Efficiency Design Index (EEDI)

Applicable to new ships greater than 400 Gross Tonnes The Marine Environmental Protection Committee (MEPC) 62nd meeting took place from July 11th to 15th at the IMO headquarters in London. The meeting largely focussed on Reduction of Greenhouse Gases (GHG) from ships which led to the adoption of "Energy Efficiency Regulations" as part of a new Chapter 4 of MARPOL Annex VI.These include Energy Efficiency Design Index (EEDI) and Ship Energy Efficiency Management Plan (SEEMP).EEDI reflects the amount of CO2 generated per tonne-mile (cargo carrying capacity). It constitutes a uniform approach to calculation of a ship's energy efficiency during the design and build of new ships and will be used to control CO2 levels emitted for future new ships by encouraging improvements in ship design.SEEMP establishes a mechanism for operators to improve the energy efficiency of ships through the management of individual efficiency measures.Application Date of entry into force will be 1st January 2013. The SEEMP will be applicable to all ships greater than 400GT whilst the EEDI will only apply to new ships, excluding those with diesel-electric, steam turbine or hybrid propulsion systems, as follows: Ship for which the building contract is placed on or after 1st January 2013; ...

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EEDI is only the start of the brave new world for shipping

Ship owners need to start taking measures now to lower the carbon footprint Industry opinion among those closely watching the development of maritime CO2 regulation suggests that the IMO's approval of mandatory EEDI and SEEMP measures is only the beginning of an evolving era of greenhouse-gas emissions (GHGs) regulation for shipping. Forward thinking ship owners and operators would do well to start taking measures now to lower the carbon footprint of their fleets and reduce their exposure to rising future compliance costs, they argue.The IMO's Marine Environment Protection Committee (MEPC) decision this month to adopt mandatory energy efficiency measures in design and operation of ships is set to come into force at the beginning of 2013. It will see new ships having to meet index benchmarks requiring ever more fuel efficient ships over the next two decades.A compromise won by developing nations means flag states could seek a waiver for their obligations, delaying their compliance for up to six years beyond 2013. But this may not turn out to be much consolation for ship owners hoping to forestall the impact of a new layer of environmental regulation. And now that IMO has after many years come to an agreement to ...

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IMO agrees efficiency measures for new ships

Energy efficiency design standards on new ships from 2013 The International Maritime Organisation (IMO) agreed to force energy efficiency design standards on new ships from 2013, but developing countries will probably delay implementation until 2017 or 2019.Forty-eight countries voted in favour of adopting a mandatory energy-efficiency design index (EEDI) for new ships at a meeting of the IMO's marine environment protection committee in London on Friday, while five were against and 12 abstained, sources said.More extensive market-based measures such as a levy on the heavily-polluting bunker fuels used by most ships, or their inclusion in carbon trading, were not discussed at the meeting.The deal does not contain any CO2 emissions reduction targets, and is eventually expected to slow rather than reduce the growth of maritime CO2 pollution.The IMO says that shipping currently accounts for around 3.3% of global carbon emissions, but other studies put the figure as high as 5%.According to an IMO study, shipping emissions could grow by 150 to 250% by 2050 without regulation.The EEDI will force new ships to meet a minimum level of energy efficiency. Ships built between 2015 and 2019 will need to improve their efficiency by 10%, rising to 20% between 2020 and 2024 ...

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Commission welcomes the IMO agreement to tackle CO2 emissions

EEDI lead to less CO2 emissions approximately 25-30% reductions by 2030 The European Commission congratulates the International Maritime Organization and its Member States on this first and major achievement on a technical measure to limit CO2 emissions from international maritime transport the adoption of the Energy Efficiency Design Index. It is the first globally binding measure to improve energy efficiency of new ships and limit CO2 emissions from international maritime transport.The newly adopted Energy Efficiency Design Index (EEDI) sets technical standards for improving the energy efficiency of certain categories of new ships which will, in turn, lead to less CO2 emissions approximately 25-30% reductions by 2030 compared to Business as Usual (BAU).The EEDI will become mandatory from 2015, and will require a minimum energy efficiency level for different ship types and sizes. The EEDI will be applied to the largest segments of the world merchant fleet, and is expected to cover as much as 70% of emissions from new ships.I am very pleased by the adoption of EEDI at the International Maritime Organizations (IMO) Marine Environment Protection Committee today. This is a very important signal that the maritime community is taking seriously its role in global efforts to reduce greenhouse ...

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Shipping Industry Carbon Plan Includes Penalties

Environmental improvements in the business The World Shipping Council and regulators in Japan say their joint plan on vessel efficiency would set fees for operators of ships that do not meet new environmental and energy standards.The shipping group and the Japan's Ministry of Land, Infrastructure, Transport and Tourism released details on Tuesday of the Vessel Efficiency Incentive Scheme the submitted to the International Maritime Organization, a plan sets a regulatory path for environmental improvements in the business.The paper details their joint proposal to stimulate improvements in the carbon efficiency of the world's maritime fleet in detail, including how the system would work in practice and how it compares to other proposals under consideration by the IMO.The proposal would establish efficiency standards for both new and existing ships in the world fleet. Vessel efficiency would be measured using the Energy Efficiency Design Index developed by the IMO.New and existing ships meeting the specified standards would not be subject to any fees or costs other than those costs associated with the design and installation of more efficient ship technologies.Ships that fall short would be required to pay a fee based on the amount of fuel consumed and how far short of standard ...

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EEDI is safe and effective

Aims to the reduction of GHG emissions from ships A broad church around a single purpose In recent years, discussions at IMO have resulted in the development of an Energy Efficiency Design Index (EEDI) that has the broad and emphatic support of Governments, industry associations and organizations representing civil society interests. All are united in the same purpose: to ensure that the EEDI delivers environmental effectiveness by generating, through enhanced energyefficiency measures, significant reductions in GHG emissions from ships.Numerous stakeholders - policy-makers, shipowners, naval architects, class societies, etc. - are contributing to this endeavour, providing technical and other input to the debate. On the eve of adopting the 'first iteration' of the EEDI, this broad (but united) church of interests has developed an instrument that is eminently suited for its intended purpose.Enhancing energy efficiencyShipping is permanently engaged in efforts to optimize fuel consumption. And, while ships are universally recognized as the most fuel-efficient mode of bulk transportation, the Second IMO GHG Study, in 2009, identified a significant potential for further improvements in energy efficiency, mainly through the use of already existing technologies such as more efficient engines and propulsion systems, improved hull designs and larger ships:or, in other words, through ...

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ICS supports a levy-based system rather an emissions trading scheme

It would be simpler to manage and more transparent The International Chamber of Shipping (ICS), meeting in Hamburg last week, has decided that if market based measures to reduce CO2 emissions are developed by governments then the international industry has a definite preference for a mechanism that is levy/compensation fund-based rather than an emissions trading scheme.The meeting agreed that a levy-based system is the one that most shipping companies can live with in order to ensure a level playing field and the avoidance of serious market distortion. ICS has concluded that a levy-based system will be simpler to manage and more transparent.ICS Chairman, Spyros Polemis, said: The shipping industry has an instinctive dislike of unnecessary complication which will be the result of a system based on emissions trading.He added: Governments are looking for leadership from the shipping industry about the market based measures we prefer to help reduce CO2, and to raise money for any environmental compensation fund that might be developed by governments. The meeting of our member national associations agreed on an MBM which is levy-based. Such a system should be developed by IMO.An ICS statement emphasised the importance of ensuring that IMOs package of technical and operational ...

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The Aframax tanker design concept exceeds EEDI requirements

The design study is based on a project by GL and the National Technical University of Athens The on-going trend to greener shipping impacts all ship designs. In recognition of the recently developed Energy Efficiency Design Index (EEDI), new design concepts have to focus primarily on fuel efficiency without compromising cargo capacity and safety.New more efficient tanker design Germanischer Lloyd has developed a design concept for a crude oil tanker with improved energy efficiency, reduced CO2 emissions, increased cargo capacity, and minimized oil outflow in case of an accident.The design concept, the Aframax BEST-Plus design, maximises profitability by optimising the hull's hydrodynamic performance, taking into account long-term freight rate levels and projected bunker costs.The proposed vessel meets future EEDI requirements due to its speed and cargo capacity. The attained EEDI value is 83% of the latest published reference-line value for this ship size.The vessel would be in compliance with EEDI regulations if they were made mandatory today. The regulations are expected to come into force at the beginning of 2015 at the earliest.While newbuildings contracted before the EEDI has entered into force do not have to comply they will nevertheless have to compete with more energy efficient vessels entering the ...

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