World News
Maersk Line: Low-Sulfur Rules will Mean Surcharge
Maersk Line will add a surcharge for low-sulfur fuel to its rates as Emissions Control Area (ECA) rules taking effect next year raise its bunker costs, Niels Bruus, the company's head of operations, told industry news site ShippingWatch.
Bruus said the requirements will mean five to 10 percent of its bunker purchases, or between 450,000 and 500,000 tonnes, will be the low-sulfur fuel.
"These are round numbers and they haven't been confirmed yet," he said.
"It's difficult to calculate the exact extra cost, but we expect to use around 450,000 tons a year, or around seven percent of our total purchases.
"So it's going to result in an additional surcharge."
The new regulations call for ships operating in ECAs to switch from 1.0 percent sulfur to 0.10 percent sulfur fuel, which is expected to cost about $900 per tonne, about 50 percent more than regular fuel.
Maersk Line rival Hapag-Lloyd said last month that carriers should inform their customers of the likely effect on prices of the switch to low-sulfur fuel.
Key Bunker Prices More
| VLSFO | MGO | |||
|---|---|---|---|---|
| $/mt | +/- | $/mt | +/- | |
| Singapore | 649.00 | 0.50 | 775.00 | 3.50 |
| Rotterdam | 603.50 | 1.50 | 759.50 | 11.50 |
| Houston | 626.50 | 2.50 | 794.00 | 2.00 |
| Fujairah | 649.00 | 0.50 | 904.50 | 6.50 |
| Global 20 Ports Average | 664.00 | 2.00 | 855.00 | 0.00 |
| Global 4 Ports Average | 632.00 | 1.00 | 808.00 | 4.00 |
| Global Average Bunker Price | 716.50 | 1.00 | 901.00 | 12.50 |
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