Bunkering outside Singapore port limits comes with risks and operators should be aware of certain issues that could arise.
According to the North Club, bunkering outside port limits (OPL) was once common practice, but parties considering engaging in such operations should be aware of the issues that could arise.
Bunker standards and protection
The Maritime Port Authority of Singapore (MPA) enforces a set of standards for bunkering. While bunkering OPL can save time and costs, shipowners can lose the protection automatically offered by the MPA’s codes.
Bunker suppliers operating at OPL may not operate to the MPA’s high standards or participate in the accreditation scheme.
Higher risk locations
Bunkering in open waters at OPL can expose the vessel to additional risks, typically:
- Maritime security: The risk of piracy and robbery remains present in the Malacca Straits and the Singapore Strait.
- In 2021, there were 49 reported incidents in the Singapore Strait alone.
- Weather and sea conditions: This can increase the risk of damage to both the receiving vessel and the bunker barge as well as threat of a bunker spill.
- Collisions: Bunkering in busy waters introduces an increased risk of contact with another vessel.
Disputed jurisdictions
Some sea areas outside Singapore port limits are the subject of territorial disputes. In case of an incident or casualty while bunkering at Singapore OPL, costs and responsiveness can be affected by uncertainties and conflicts over which country has jurisdiction in the matter.
Illegal anchoring
Malaysia and Indonesia enforce restrictions on unauthorised or illegal anchoring and bunkering in the waters they claim.
As North Club notes, both countries have detained ships alleged to have been engaged in such activities in their waters. Shipowners have been fined or forced to pay significant amounts to obtain the release of their vessels, potentially after significant delays, and in circumstances where the legitimacy of the demand/payment is sometimes unclear.
Take precautions
When considering bunkering at Singapore OPL or ordered to do so by a charterer, operators should consider the risks involved in doing so outside the scope of the MPA’s codes of practice.
Where a charterer orders, or a bunker supplier proposes, bunkering at a specific position at Singapore OPL, the Owner should, provided it is able to do so under the terms of the relevant charterparty, resist doing so unless provided with proof in the form of an official circular or notice issued by the Malaysian or Indonesian maritime authorities confirming that the nominated position is in an area that is authorised for bunkering operations
says Peter Scott, Senior Executive (Claims), North Club.
