Americas News
U.S. Investigating ECA Violations
The U.S. Environmental Protection Agency (EPA) has served subpoenas on several ship owners and operators that had claimed they were unable to obtain the low-sulfur fuel required within the North American Emissions Control Area (ECA), according to the UK P&I Club.
The parties being subpoenaed had filed "numerous" Fuel Oil Non-Availability Reports (FONARs) attesting that they were unable to obtain low-sulfur fuel before entering North American waters.
The P&I club writes that the EPA encourages companies to file the forms but advises that the disclosure "does not mean a ship is deemed to be in compliance.
"Rather, voluntary disclosure of FONARs was to be only one factor considered by the U.S. when determining what action to take against a non-compliant ship owner or operator."
The U.S. can assess penalties of up to $25,000 per day for continuing violations of the ECA rules, and parties knowingly breaking the law or making false statements to investigators can also face criminal penalties.
"The potential for significant civil or criminal liability, and business disruption, is clear," the UK P&I Club writes.
Matson Inc. (Matson) said last month that complying with the North American ECA has raised its fuel costs by about 20 percent, forcing it to implement a surcharge.