Emissions Rules Put Pressure on Feeders

by Ship & Bunker News Team
Wednesday June 25, 2014

The additional costs of compliance with new emissions rules will pose special challenges for feeder operations, Alexander Saverys, founder of Antwerp-based Delphis, told Containerisation International, according to Lloyd's Loading List.

"Emissions will be a burning issue during the run up to 2015," Saverys said.

Delphis subsidiary Team Lines Deutschland (Team) based in Hamburg, provides feeder service at 35 ports with a fleet of about 10 vessels.

Saverys said the new limits on sulfur emissions in Emissions Control Areas (ECAs) will greatly increase expenses for companies like Team, and they will need to pass the additional costs on to customers in the form of freight charges.

Lloyd's Loading List reports that challenges including the emissions rules, as well as geopolitical concerns and changes in demand patterns, have led to rumors that Team could be an acquisition target for Unifeeder, but it says the company is likely to survive as an independent operator but with new joint services.

A Shippingwatch survey published early this year found that feeder ship owners are particularly unlikely to install scrubbers or retrofit ships to use liquefied natural gas (LNG) as an alternative to switching fuels to marine gas oil (MGO).