World News
IMO2020: Noncomplaince Does Not Mean Automatic Loss of P&I Cover, says Guard
Gard have cleared up an apparent long standing misconception that non-compliance with the upcoming IMO2020 rule would automatically render a vessel unseaworthy, which in turn would impact its P&I cover.
“Whilst every case will depend on its individual circumstances, the International Group Clubs wish to make clear both that an infringement of the Regulations will not necessarily be characterised as unseaworthiness and, to the extent it were to be, it is not a necessary consequence that it would deprive a Member of cover,” says Guard.
Further, the club says in cases of accidental discharge of non-compliant emissions that fines and other liabilities will be covered, but other breaches - such as breach of documentary requirements or carriage or use of non-compliant bunker fuel - are at the discretion of a Club’s Board of Directors.
Gard says it also expects the new sulfur rules to result in new P&I liabilities not previously seen, such as noncompliance from a technical failure of an otherwise approved scrubber that goes reasonably undetected.
The new global 0.50% sulfur cap for marine fuel comes into force from January 1, 2020.
Key Bunker Prices More
| VLSFO | MGO | |||
|---|---|---|---|---|
| $/mt | +/- | $/mt | +/- | |
| Singapore | 648.00 | 2.00 | 808.00 | 10.00 |
| Rotterdam | 613.50 | 4.50 | 792.00 | 21.50 |
| Houston | 646.00 | 3.00 | 851.00 | 13.50 |
| Fujairah | 647.50 | 1.50 | 900.00 | 0.50 |
| Global 20 Ports Average | 672.50 | 0.50 | 896.50 | 0.50 |
| Global 4 Ports Average | 638.50 | 2.00 | 838.00 | 4.00 |
| Global Average Bunker Price | 727.00 | 2.00 | 943.00 | 2.00 |
Popular Now More
-
Apr 16The firm will acquire majority ownership of the Spanish firm for an undisclosed sum, subject to closing conditions and regulatory approvals. -
Apr 15The Athens branch manager of global marine fuel supplier and trading firm Monjasa has stepped down from his role at the company. -
Apr 13A seizure of a ship by Iran would point to a significant widening of the threat to global shipping from current geopolitical tensions.