The Global Sulphur Cap 2020
The implementation of the global 0.50% sulphur cap for bunker fuel under MARPOL Annex VI represents a major challenge to the shipping industry. Starting from 1 January 2020 vessels will be required to either burn low sulphur fuel as bunkers, use alternative fuels or use scrubbers fitted to exhaust systems to ensure that emissions remain within specified criteria even when using fuels with a higher sulphur content.
As from 1 March 2020 the carriage of fuel with sulphur levels greater than 0.50% will be prohibited unless the vessel concerned is fitted with scrubbers.
Not only does this gives rise to significant operational issues for shipowners especially around the transition to low sulphur fuels but it may also result in penalties for non-compliance as well as other liabilities not previously seen. Concerns about the cost of complying with this low sulphur cap and whether there will be sufficient availability of low sulphur fuel oil have also been well publicised.
In this series of discussion topics, which is grouped according to the different situations that may occur, the Club anticipates some of the questions and issues that may arise due to the implementation of the global 0.50% sulphur cap.
Fuel Management & Operational Issues
The matter is looked at from the Club’s Loss Prevention Department perspective, taking into account practical sea-going background and experience in ship technical management.View here
Low Sulphur Bunker Regulations Seminar
HFW address the issues arising from compliance with the 2020 Sulphur Cap under existing charter parties, including methods of compliance, the transition from high sulphur to low sulphur fuel oil and the low sulphur carriage ban.View here
External guides and materials
We have collated information and resources on this topic produced by the Club and by third parties to help guide Members in complying with the regulations.
Background – the IMO published materials on the background to the regulations as well as some FAQs.
IMO's Low Sulphur Fuel Limit - 1st January 2020 PDF (177.2 KB)
Off-hire in a nutshell PDF (241.3 KB)