Americas News
Shipper Warns on Increasing Bunker Costs, Surcharges from 2015 ECA Rules
Project and heavy lift shipping company Rickmers-Linie last week underlined its support for new regulations soon to take effect within the North American and European Emissions Control Areas (ECAs), but warned the new rules will result in increased costs that will be passed on to customers.
"While shipping is already the most environmentally friendly mode of transport, the new regulations help to further reduce the impact on the environment and our health," says Ulrich Ulrichs, Chief Executive Officer, Rickmers-Linie.
"But low sulphur fuels are more expensive and growing demand is widely expected to further increase the costs of these fuels."
The new rules mean that the sulfur content of marine fuel used inside ECAs is required to be no higher than 0.10 percent by weight, although alternative methods of compliance can also be used to bring exhaust emissions to a level equivalent to that achieved by using such fuels.
"The new regulations will inevitably mean an increase in bunker costs. So we are in the process of implementing a Low Sulphur Fuel Surcharge for quotations valid for shipments arriving to or departing from an ECA on or after 1 January 2015," said Ulrichs.
Rickmers-Linie said it was still in the process of calculating what this surcharge will amount to and intends to inform customers once the process is completed.
Ulrichs also stressed that in order for the ECA to be effective, as well as maintain a level playing field for shipping companies, effective enforcement of ECAs will be necessary.
"We firmly encourage industry players and associations to comply with, and authorities to ensure enforcement of, the new regulations," he said.
Testing agency Veritas Petroleum Services (VPS) last month said enforcement will be the key to success for the new European ECA rules.
