BIMCO Says It Respects IMO Decision on 0.5% Sulfur Cap's 2020 Implementation Date

BIMCO said it respects the MEPC 70 decision on a 2020 implementation date.

Following news that the Marine Environment Protection Committee at its 70th session (MEPC 70) agreed that a 0.5 percent global sulfur cap on marine fuel will be implemented from 2020, BIMCO Friday said it respects the decision, but noted concerns about fuel availability, as raised by a number of International Maritime Organization (IMO) member states.

As Ship & Bunker reported earlier this month, BIMCO called the fuel availability study upon which the 2020 decision was made "flawed," adding that it was not sufficient to determine adequate availability of low sulfur fuel of a 0.50 percent global sulfur cap implemented in 2020.

"BIMCO recognises that the global sulfur cap implementation is about transition and would have been equally challenging either in 2020 or 2025. The transitional issues have been highlighted and we continue to hold the view that this will not be a 'walk in the park.' The decision by the MEPC does not change this view," said Lars Robert Pedersen, Deputy Secretary General at BIMCO.

BIMCO welcomed MEPC's acknowledgment of the need for effective implementation, but noted that a number of IMO member states and industry organisations, including BIMCO, voiced concerns about how the rule would be implemented.

"The years leading up to 2020 must now be used effectively to alleviate the consequences of the unprecedented disruptive change in supply of marine fuels by 1 January 2020 and ensure a continued level playing field in the industry," said Pedersen.

Yesterday, the International Bunker Industry Association (IBIA) said that, during the MEPC 70 debate prior to the 2020 decision, several countries expressed a desire for a phased introduction of the new rule, an idea that had been proposed by IBIA.