North

Thursday, 18th March 2010

18 March 2010 - Enforcement of EU 0.1% Sulphur Directive - Trieste

The Association has been informed that the Trieste Harbour Master is imposing fines on vessels in contravention of the 0.1% sulphur limit despite boiler safety fears. The fines can range from €15,000 - €150,000.

Exemptions to the provision for using 0.1% fuel will no longer be granted and all special authorizations issued in the past are cancelled, even if the ship provides strong evidence that the upgrading process is underway and at an advanced stage.

Where a ship that has already been fined at Trieste is fined again the company of the ship's Master may be banned from entering Italian Ports.

Members trading to Trieste should take note.

Intertanko are keeping an unofficial list of the enforcement of the directive on a country and port basis. This includes further details of the situation at Trieste. Please click here.

Source: Intertanko 

US emission controls for large marine engines

The U.S. Environmental Protection Agency (EPA) announced December 22 2009 that it had finalised the new emission and fuel standards for Category 3 marine diesel engines (propulsion engines of ocean-going ships).

The new standards will apply to non-U.S. vessels in U.S. waters once the U.S.-Canadian emissions control area (ECA) is approved (could be as early as 2012). The new regulations correspond to the requirements of MARPOL Annex VI.

• Emission standards for category 3 marine engines are currently at MARPOL Annex VI Tier 1 levels.

From January 2011 new engines will have to comply with Tier II standards - more efficient use of current engine technologies including engine timing, engine cooling and advanced computer controls resulting in a 15 to 25% reduction in NOx.

From January 2016 new engines will have to comply with Tier III standards - use of high efficiency emission control technology such as selective catalytic reduction to achieve NOx reductions of 80% below current standards.

• Fuel

From 1 January 2015 fuel used in Category 3 marine engines must be maximum 0.1% sulphur within an ECA. Ships using alternative methods of achieving equivalent emission reductions - such as scrubbers - may be exempt.

Click here for full details of the EPA regulations

19 January 2009 -EU Sulphur Directive 0.1% - Port State responses

Please click here for a document outlining the current attitude of European Union port States to the EU Directive with Recommendation.

30 December 2009

Click here for the full EU Recommendation issued 21 December 2009-12-29

22 December 2009 - EU Sulphur Directive 0.1 % to be enforced from 01 January 2010

The EU Commission confirmed yesterday that, despite safety fears surrounding the implementation of the 0.1% limit in ports, implementation of the regulation would proceed as planned.

However, the Commission have adopted a Recommendation to Member states, which invites EU Member States, while enforcing the clause in the Sulphur Directive for use of 0.1% sulphur content fuel by ships at berth, to consider the existence of detailed evidence of the steps taken by ships to ensure safe compliance with Article 4b of Directive 1999/32/EC as amended by Directive 2005/33/EC with effect from 1 January 2010.

Member States may consider the existence of an approved retrofit plan when assessing the degree of penalties to be applied to non-complying ships.

Further action will also be proposed at the earliest convenience by the Commission to the Member States, through comitology, in order to allow Liquefied Natural Gas (LNG) carriers to use mixture of fuels resulting to emissions of sulphur dioxide equal to or lower than required by the Directive.

The full text of the Recommendation will be made publicly available on 28 December after circulation to EU Member states.

As such vessels will not be automatically exempted from the regulations even where they can provide detailed evidence of plans to convert boilers for use with 0.1% sulphur fuels. The treatment of vessels unable to comply will be at the discretion of the port State authorities.

Please click here for FAQs provided by the EU Commission in connection with this provision.

Please click here for the Industry News Article drawing attention to the OCIMF/INTERTANKO Risk Assessment for switchover to low sulphur fuels.

11 December 2009 - EU LOW SULPHUR DIRECTIVE

As Members will be aware a 0.1% sulphur fuel limit will apply in EU ports and anchorages from 01 January 2010. There have been significant concerns raised by the shipping industry in connection with the safety of using such fuels in boilers. There has been no official response to these concerns from the commission as yet. However, the International Chamber of Shipping have published guidance on the matter which is summarized below.

Following lobbying by shipowner associations and equipment manufacturers, the Commission (DG Environment) has been reviewing the underlying technical issues and concerns. The indications are that it will be suggesting to Member States that they should take "due consideration of the safety risks that 0.1% in bunker fuel use might entail and to exercise flexibility in relation to ships that can demonstrate their plans for compliance until September 2010".

Unfortunately there is no guarantee that individual port States within the EU will not apply the law strictly. As such Members should check with their local agents as to the situation in the EU countries to which they trade.

Even where port States are prepared to grant dispensation this will be based upon documentary evidence that the ship is aware of the directive and that owners/operators are taking appropriate steps to become compliant.

Such evidence may include information received from boiler manufacturers, or conversion contractors on the equipment required, its availability and a timescale to complete the work. Class society letters are also likely to be helpful.

Unfortunately the timing of this announcement is such that only 20 days are available to owners/operators to ensure that suitable documentation is placed onboard vessels' trading to EU ports.

To avoid problems with port State authorities Members should take action immediately.

Please click here for copy of the ICS guidance.

22 October 2009 US: California - low sulphur fuel switch safety fears

In an open letter to the Office of Spill Prevention and Response, the San Francisco Harbour Safety Committee (HSC) has expressed concern at the significant reported increase in propulsion failures when switching to low sulphur fuel.

Identifying fifteen casualty investigations into fuel switching incidents in the three month period after low sulphur regulations were introduced by the California Air Resource Board Regulations (CARB). The HSC has requested a phased in enforcement approach to allow further assessment of risk and the implementation of suitable corrective measures.

Click here for the San Francisco HSC letter.

North has previously reported on USCG Marine Safety Alert 03-09 - Avoiding propulsion loss from fuel switching.

In order to prevent casualties associated with fuel oil switching, the US Coast Guard strongly recommend that owners and operators:

• Consult engine and boiler manufacturers for fuel switching guidance;
• Consult fuel suppliers for proper fuel selection;
• Exercise tight control when possible over the quality of the fuel oils received;
• Consult manufacturers to determine if system modifications or additional safeguards are necessary for intended fuels;
• Develop detailed fuel switching procedures;
• Establish a fuel system inspection and maintenance schedule;
• Ensure system pressure and temperature alarms, flow indicators, filter differential pressure transmitters, etc.., are all operational;
• Ensure system purifiers, filters and strainers are maintained;
• Ensure system seals, gaskets, flanges, fittings, brackets and supports are maintained;
• Ensure a detailed system diagram is available;
• Conduct initial and periodic crew training;
• Complete fuel switching well offshore prior to entering restricted waters or traffic lanes.

Click here for USCG Safety Alert 03-09.

See also industry news item: Boiler safety and low sulphur fuels.

22 July 2009: EU - Sulphur Directive and CARB Regulations

Recent discussions between Intertanko and OCIMF have lead to Intertanko publishing the following advice and clarifications as to the latest situation in respect of compliance with the EU Sulphur Directive. From Intertanko: -

No supply of 0.1% sulphur content fuel

The EU Sulphur Directive does not have any provisions or guidelines on what should be done in case ships do not find compliant fuel. INTERTANKO recommended that the EU Commission advise the Paris MoU to follow the provisions in the amended Reg. 18 of MARPOL Annex VI, giving due regard to when the ship could document that it could not find supply. Our suggestion was not accepted. The EU Commission explained that such an action would involve amending the Directive, which is a very long process. They also said that such a provision might result in ships not seeking supplies outside EU ports. Concluding, the EU Directive gives little flexibility to ships in this matter. INTERTANKO will continue its dialogue with DG ENV and with the EU Member States in order to find a practical solution.

With regard to CARB regulations, until 1 January 2012 (phase I) ships can use MGO (DMA grade) with a sulphur content of up to 1.5% (!) or, if they use MDO (DMB grade), this should have a maximum sulphur content of 0.5%. So, one assumes that ships will have less problems with supply in order to comply with CARB rules, at least until the end of 2011. 

Safety of switching from HFO to MGO in auxiliary boilers

The EU Sulphur Directive does not actually impose an upgrading of boilers/systems. It only requires the use of 0.1% fuel with no consideration given to the safety aspects linked to the switch in auxiliary boilers, particularly in auxiliary boilers oil tankers use to power cargo pumps. Our dialogue with DG ENV and the EU Member States addressed these safety aspects. It seems to be accepted by regulators that safe operations in some of these auxiliary boilers would be achieved through system modifications. It is our hope that port authorities will provide sufficient time (a phase-in period) in which modifications to auxiliary boilers could be completed.  It is too early to predict whether we will be successful in this and if so, too early to predict what mechanism could be used. In any case, a possible phase-in would be quite limited in time and the mechanism used should ensure it does not result in distortion of competition.

The CARB regulations provide two alternatives for non-compliance with their regulations. The first is Non-compliance for Vessels Based upon the Need for Essential Modifications and the second is Non-compliance Fee in Lieu of complying.  The first indicates what a ship operator can do if major modifications are needed on their vessel to comply with the regulations. The second allows the ship operator to pay a set fee in lieu of meeting the sulphur requirements. Details are given in pages 3 and 4 of the CARB second advisory (Marine Notice 2009-2). As far as the operational safety aspects are concerned, please note the recently issued USCG Marine Safety Alert 03.09.

Conclusion

Members are urged to consider the above when setting up their strategies for complying with CARB regulations and with the EU Sulphur Directive provision. Should there be a need to undertake modifications to auxiliary boilers, these should be initiated as soon as possible. Advice from manufacturers needs to be sought.

Source: Intertanko

9 July 2009: CALIFORNIA - AIR EMISSIONS REGULATIONS FOR SHIPS

The U.S. District Court has rejected a submission from the Pacific Merchant Shipping Association's (PMSA) to have the California Air Resources Board (CARB) air emission regulations for ocean-going vessels calling at California ports dismissed.

The Court ruled that California has the authority to apply the regulations 24 miles from their coast because they only applied to ships entering California ports (condition of port entry).

With immediate effect (30 June 2009), all ships calling at California ports are required to use MDO with a sulphur content of 0.5% or less, or MGO, in all main diesel engines, auxiliary diesel engines and auxiliary boilers when entering 24 miles off the California coastline.

On 1 January 2012, all such ships will be required to use MGO or MDO with a sulphur content of 0.1% or less. Click here for a copy of the CARB regulations.

Oil majors charter party clauses

Intertanko have already been alerted to the following charter party clause:

AIR EMISSIONS (required for vessels fixed to call in California waters on or after July 1st, 2009)

Charterer shall supply bunker fuel(s) of a quality which enables the Vessel to maintain compliance with any and all laws and regulations pertaining to the control of emissions from main engine, auxiliary engine(s), and boilers within the trading ranges agreed to in this Charter Party.

Owner warrants that the Vessel shall handle and utilize those bunker fuels in such a way as to ensure Vessel's compliance with all applicable laws and regulations, and shall accurately maintain all records pertaining to such handling and utilization as may be required under all applicable laws and regulations. Owner warrants that Vessel's main engine, auxiliary engines, and boilers can safely and reliably operate on MDO or MGO during all time spent in regulated waters.

Source:  Intertanko Weekly News No27/2009

7 May 2009: California - Low Sulphur Regulations Update

17 February 2009: USCG Marpol Annex VI Inspection Guidelines

6-10 October 2008: MEPC 58

10 November 2008: US - MARPOL Annex VI

21 April 2008: Hong Kong - Local air pollution regulations

17 April 2008: IMO - MEPC agree revision of MARPOL Annex VI

8 May 2007: The California Air Resources Board (CARB)

22 December 2006: Emission limits and requirements

June 2006: Alaska - The US Environmental Protection Agency

22 July 2005: The Marine Environment Protection Committee

Summary of important dates:

(SECA - SOx emission control area where fuel in use on board must not exceed 1.5% sulphur) 

Links and updates - Documents:

• Bunker fuel: ISO 8217 - 2005 Specification
• Bunker fuel: Singapore - representative samples September 2006
• Bunker fuel: Singapore - flow diagram for sample taking
• Bunker fuel: BIMCO Sulphur content clause for time charter parties
• MEPC - Circ 472: Port state control guidelines Annex VI
• MEPC - 96 (47): IMO fuel sampling guidelines
• MEPC - Circ 508: Bunker delivery note
• IMO BLG 11 2007 report: Future Tier II and Tier III air pollution limits
• MEPC - Circ 551: Click Here to view circ. Examples of letters of protest regarding non-compliance with MARPOL Annex VI requirements in relation to:

1. Bunker Delivery Note
2. Supply of SECA fuel with sulphur content over 1.5%

• Click here for guidance on changing over to and using low sulphur fuel
• Click here for Exxon Guide to using low sulphur fuels (LSF)
• Click here for Guidance on changing over to low sulphur fuel prior to entering a SECA

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