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Decarbonisation

VPS: Turning shipping’s regulatory demands into operational and commercial advantages

Steve Bee and Emilian Buksak explore how the company can support the shipping industry in transforming challenges of environmental legislations into operational efficiencies and commercial benefits.

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Steve Bee, Group Marketing and Strategic Projects Director, and Emilian Buksak, Decarbonisation Advisor of marine fuels testing company VPS, on Monday (7 April) explored how the company can support the shipping industry in transforming the challenges of environmental legislations into operational efficiencies and commercial benefits: 

As far back as 1981, long before the word “sustainable” was ever applied to the protection of the planet, VPS marine fuel quality testing (FQT) service was clearly focused on achieving a sustainable global shipping fleet. Even before the existence of any international marine fuel quality standard, VPS was testing fuel to ensure the protection of, vessel operations and engines, crew health & safety and the environment.

At present, global shipping is navigating its way on a voyage to decarbonisation and sustainability, with increasingly complex regulatory and legislative requirements being placed upon vessel owners and operators. In support of such requirements, digitalisation and the demand for immediate accurate data, along with the use of low-to-zero carbon fuels, are now necessities within shipping, as it strives to achieve numerous levels of compliance.

Today, VPS continues to provide market-leading testing and inspection services that support shipowners & operators to comply with and go beyond regulatory requirements, by extending the lifetime and usage of fuels and lube oils and indirectly that of the assets in which they’re employed. VPS testing and data solutions support vessel operators by providing comprehensive services that bridge the gap between complex regulations and practical, day-to-day operations.

Through fuel quality testing, VPS verifies a vessel’s fuel, be it fossil, bio-based or methanol, that it’s meeting current stringent specifications. By identifying quality issues early, operators avoid engine damage, unplanned downtime, and expensive retrofits. Even as new low-carbon fuels enter the market, VPS’s in-depth testing ensures every batch is “fit for purpose,” giving vessel operators confidence as these alternative fuels are being assessed. Through the test data generated VPS helps its customers gain the most value from their procured fuels.

Rigorous lubricant testing complements this, helping fine-tune equipment to maintain operational efficiency and reduce downtime. Additionally, VPS deploys emissions measurement equipment to gather accurate data crucial for both compliance reporting and operational insights.

Then, beyond testing and its associated data services, VPS offers decarbonisation software and advisory services spanning strategic decarbonisation planning, to vessel fuel performance optimization, including speed and power generation management, technical and operational efficiency initiatives, and even basic crew training. By pinpointing improvement areas across a vessel’s operating cycle, VPS helps reduce fuel consumption, lower emissions, and ultimately support operators’ transition to cleaner and more cost-effective operations.

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But first let us look at the current legislative requirements and its challenges.

From the initial implementation of the International Maritime Organisation (IMO) MARPOL Annex VI, coming into force on 19th May 2005, shipping has witnessed numerous levels of legislation being introduced to which vessels must comply.

Decarbonisation targets, are driven in the main by the IMO and its initial strategy for a reduction in the carbon intensity of international shipping (to reduce CO2 emissions across international shipping, by at least 40% by 2030, pursuing efforts towards 70% by 2050, compared to 2008) and that total annual GHG emissions from international shipping should be reduced by at least 50% by 2050 compared to 2008.

In 2023, IMO introduced a revision to its decarbonisation strategy, stating the carbon intensity of ships needs to decline through further improvement of the energy efficiency of new ships. Also, the need to strengthen the energy efficiency design requirements for ships, leading to a reduction in the carbon intensity of ships, so supporting the reduction of CO2 emissions by at least 40% by 2030, compared to 2008. Also, the uptake of zero or near-zero GHG emission technologies, fuels and/or energy sources to increase and represent at least 5%, striving for 10%, of the energy used by international shipping by 2030 and GHG emissions from international shipping to reach net zero by or around 2050.

This strategy revision introduced Indicative Checkpoints, to monitor the progress of the reduction of the total annual GHG emissions from international shipping by at least 20%, striving for 30%, by 2030, compared to 2008 and the reduction of the total annual GHG emissions from international shipping by at least 70%, striving for 80%, by 2040, compared to 2008.

The IMO GHG strategy is supported by:

CII – Carbon Intensity Index, which determines the annual reduction factor needed to ensure continuous improvement of a ship’s operational carbon intensity within a specific rating level. The ratings go from an inferior performance level – E, to the major superior level – A. Measuring the CO₂ emitted per cargo-carrying capacity per nautical mile, CII incorporates, speed optimization, biofouling management and alternative fuels usage.

Each year it becomes more difficult for a ship to improve its CII rating. But the best performing vessels are likely to trade at a premium.

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Since 2024, the CII must be calculated and reported to the Data Collection System Verifier along with the previous year’s aggregated DCS data. This must include any correction factors or voyage adjustments. The deadline for DCS and CII submission is no later than 31 March each year.

The attained annual operational CII and the environmental rating (A to E) is noted on the DCS Statement of Compliance (SoC), which is required to be kept on board for five years.

In case of a D rating for three consecutive years or one E rating, the Ships Energy Efficiency Management Plan (SEEMP) Part III must be updated with a corrective action plan and verified before the SoC can be issued. The corrective action plan should consist of an analysis of why the required CII was not achieved and include a revised implementation plan.

It is worth noting at this point that the use of low-carbon fuels such as LNG, Bio-LNG, Biofuels and Methanol, offer immediate emissions reductions, which will significantly assist vessels improve their CII ratings and comply with the tightening regulations.

For over four years VPS have led the market in the understanding of marine biofuels and methanol. VPS laboratories have undertaken significant R&D work regarding innovative testing technologies and methods, to assist in improved fuel management and environmental compliance. Between 2021-2024 VPS tested samples equating to over 1.6million mt of delivered biofuels. This work has covered bio-components such as the most common FAME, plus HVO, Cashew Nut Shell Liquid (CNSL) and Tyre Pyrolysis Oil (TPO). Such experience and expertise are then passed on to VPS customers to enhance their understanding of such fuels and achieve the emissions reduction and efficiency improvements required.

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Note: The full article by VPS can be read here.

 

Photo credit: VPS
Published: 8 April, 2025

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LNG Bunkering

PIL’s LNG dual-fuel boxship “Kota Elok” arrives in Singapore on maiden call

As the first of 13 new 13,000 TEU vessels joining its fleet, Kota Elok is equipped to operate on LNG and low-sulphur fuel oil that helps reduce our greenhouse gas emissions.

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PIL's LNG dual-fuel boxship “Kota Elok” arrives in Singapore on maiden call

Singapore-based Pacific International Lines Pte Ltd on Monday (20 July) said its first 13,000 TEU LNG dual-fuel container vessel, Kota Elok, recently made her maiden call to Singapore on 15 July.

As the first of 13 new 13,000 TEU vessels joining its fleet, Kota Elok is equipped to operate on liquefied natural gas (LNG) and low-sulphur fuel oil that helps reduce our greenhouse gas emissions. 

The vessel also incorporated energy-saving features and digital technologies to reduce fuel consumption and enhance operational performance, as well as a bow windshield to improve aerodynamics, contributing to improved fuel efficiency and lower emissions over the course of long-haul voyages.

“Following Singapore, Kota Elok will continue her voyage on our East Coast Service 1 (ES1) route to South America, calling at ports in Brazil, Uruguay, and Argentina before returning to Asia,” the company said in a social media post. 

Kota Elok also became PIL’s first vessel to receive Lloyd’s Register certification for compliance with the IACS UR E26 and UR E27 cyber security requirements.

Developed by the International Association of Classification Societies (IACS), UR E26 and UR E27 are mandatory cyber resilience requirements for newbuild vessels contracted from 1 July 2024. 

 

Photo credit: Pacific International Lines
Published: 21 July, 2026

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LNG Bunkering

CIMC SOE secures order for 12,000-cbm LNG bunkering vessel from Sinopec Clean Energy

Once operational, the vessel is expected to strengthen Sinopec’s domestic coastal LNG bunkering network and help address gaps in China’s alternative fuel bunkering infrastructure.

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CIMC SOE secures order for 12,000-cbm LNG bunkering vessel from Sinopec Clean Energy

China’s Nantong CIMC Sinopacific Offshore & Engineering Co., Ltd. (CIMC SOE) recently signed a contract with Sinopec (Beijing) Clean Energy Co., Ltd. to build a 12,000-cubic metre (m3) LNG bunkering vessel, according to Chinese maritime media.

The vessel is scheduled for delivery in 2028 and will support Sinopec’s efforts to expand its presence in the marine clean energy sector.

Once operational, the vessel is expected to strengthen Sinopec’s domestic coastal LNG bunkering network and help address gaps in China’s LNG bunkering infrastructure.

With this signing , CIMC Pacific Offshore Engineering’s LNG bunkering vessel orderbook is further strengthened, maintaining its leading position in the global market for small and medium-sized LNG bunkering vessels.

The contract also marked another milestone for CIMC SOE, which has seen a sharp increase in orders and business performance this year amid a surge in domestic LNG vessel demand.

 

Photo credit: Nantong CIMC Sinopacific Offshore & Engineering
Published: 21 July, 2026

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Nuclear

ABS awards AiP to Korean institute for SMR-powered container ship concept design

KRISO says AiP recognises the technical feasibility and safety of its concept design, marking an important milestone toward the development of next-generation nuclear-powered commercial ships.

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ABS awards AiP to Korean institute for SMR-powered container ship concept design

Korea Research Institute of Ships & Ocean Engineering (KRISO) on Thursday (16 July) received Approval in Principle (AiP) from the American Bureau of Shipping (ABS) for its concept design of a 15,000 TEU Small Modular Reactor (SMR)-powered container ship utilising Molten Salt Reactor (MSR) technology.

KRISO said the AiP recognises the technical feasibility and safety of its concept design, marking an important milestone toward the development of next-generation nuclear-powered commercial ships.

“This achievement demonstrates international recognition of KRISO’s technological capabilities in the rapidly evolving field of nuclear-powered shipping, supporting the transition toward low-carbon maritime transport,” it said. 

Building on this milestone, KRISO will continue advancing basic and detailed ship design, paving the way for future demonstration and commercialisation of SMR-powered vessels. 

Through continued R&D and international collaboration, KRISO remains committed to strengthening next-generation maritime technologies and contributing to the safe deployment of nuclear propulsion in the maritime industry.

 

Photo credit: Korea Research Institute of Ships & Ocean Engineering
Published: 21 July, 2026

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