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BIMCO adopts new CII clause for voyage charter parties 

‘We are working constantly to ensure that BIMCO’s contracts and clauses are fit for purpose as the regulatory landscape changes,’ says Nicholas Fell, Chairperson of BIMCO’s Documentary Committee.

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International shipping association BIMCO on Friday (13 October) said it has developed a new CII Clause for Voyage Charter Parties to support the shipping industry, which is facing an increase in new regulations from the International Maritime Organization (IMO) and the European Union (EU) and an increase in the urgency to decarbonise.

The clause was adopted by BIMCO’s Documentary Committee on 11 October and is the latest addition to BIMCO’s portfolio of carbon clauses.

“As the shipping industry works towards decarbonisation, the need for new contracts and clauses increases. We are working constantly to ensure that BIMCO’s contracts and clauses are fit for purpose as the regulatory landscape changes,” says Nicholas Fell, Chairperson of BIMCO’s Documentary Committee. 

In November 2022, BIMCO’s Documentary Committee adopted the CII Operations Clause for Time Charter Parties ahead of the IMO’s carbon intensity indicator (CII) regulation which entered into force on 1 January 2023. After its publication a new subcommittee was tasked with developing a CII Clause for Voyage Charter Parties which has now been adopted.  

These clauses aim to facilitate collaboration and provide certainty between shipowners and charterers as new regulations come into force, changing the way the industry operates to assist compliance and cut emissions. 

“The new CII clause focusses on course adjustment and speed reduction and includes commercial elements such as data sharing. Throughout the process, drafts were shared with the Documentary Committee and a sounding board consisting of charterers and traders for consultation and comments,” says Stinne Taiger Ivø, Director, Contracts & Support at BIMCO. 

Other carbon clauses from BIMCO include the EEXI Transition Clause, published in December 2021, and the Emissions Trading System Allowances (ETSA) Clause for Time Charter Parties, published at the end of May 2022.

Photo credit: BIMCO
Published: 17 October, 2023

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Bunker Fuel

SIBCON 2024: EnterpriseSG to launch new Singapore standard for e-BDN

EnterpriseSG, through the Singapore Standards Council, will launch a new Singapore Standard 709 Specification for Digital Bunkering Supply Chain Documentation.

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SIBCON 2024: New Singapore standard on digital bunkering to be launched

Enterprise Singapore (EnterpriseSG), through the Singapore Standards Council (SSC), will launch a new Singapore Standard (SS) 709 Specification for Digital Bunkering Supply Chain Documentation, according to Maritime and Port Authority of Singapore (MPA) on Wednesday (9 October). 

MPA said the new standard will ensure data consistency and interoperability between digital systems and facilitate smoother transactions through trusted and verifiable digital bunkering documents. 

This comes following Amy Khor, Senior Minister of State for the Ministry of Sustainability and the Environment and the Ministry of Transport, announcing that from 1 April 2025, all bunker suppliers will be required to provide digital bunkering services and issue electronic bunker delivery notes (e-BDNs) as a default.

The move was decided following successful pilots conducted since 1 November 2023 with bunker suppliers, including the top 10 bunker players, in Singapore.

To further enhance transparency and transaction integrity in bunkering operations, MPA will also introduce a centralised e-BDN record verification facility. This enables key stakeholders to verify the e-BDN received against the information transmitted to MPA.

EnterpriseSG has also launched the revised Singapore Standard (SS) 648 Code of Practice for Bunker Mass Flow Metering to include data integrity and transmission requirements in line with this new digital standard.

In the first eight months of 2024, MPA said Singapore saw strong growth of approximately 7% in total bunker sales over the same period last year, reaching over 36 million tonnes. Biofuels and liquefied natural gas bunker sales surpassed 700,00 metric tonnes. 

To support the operationalisation of a higher mix of low-carbon alternative fuels, both EnterpriseSG and MPA are developing the Singapore standards for methanol bunkering and ammonia bunkering by 2024 and 2025 respectively. 

The standards will cover custody transfer requirements, safety procedures and crew competencies, to ensure safe bunkering operations and handling of these fuels.

MPA also announced that three major shipping lines — Hafnia, K-Line, and MOL — are in early discussions to join the Singapore - Port of Los Angeles (LA)- Port of Long Beach (LB) Green and Digital Shipping Corridor (GDSC) initiative.

Each partner would be expected to spearhead a project to advance the corridor’s decarbonisation and digitalisation goals, such as the adoption of net-zero fuels, Just-in-Time route optimisation, and energy efficiency technologies such as wind-assisted ship propulsion. 

The addition of the new partners will significantly strengthen the GDSC’s capacity to drive innovation in sustainable shipping practices and accelerate the adoption of zero/near-zero emission fuels and green technologies along the corridor.

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Related: IBIA: IMO sub-committee accepts use of electronic BDNs after long discussion

 

Photo credit: Maritime and Port Authority of Singapore
Published: 10 October, 2024

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Alternative Fuels

SIBCON 2024: SGMF releases methanol and ammonia bunkering guidelines

SFMF published Bunkering Guidelines for Ammonia and Bunkering Guidelines for Methanol, as well as Emergency Response Guide for Ammonia; also revealed new brand to reflect four key future marine fuels.

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SIBCON 2024: SGMF releases methanol and ammonia bunkering guidelines

SGMF on Wednesday (9 October) announced the release of the Bunkering Guidelines for Ammonia and Bunkering Guidelines for Methanol, as well as the Emergency Response Guide for Ammonia.

During the 23rd Singapore International Bunkering Conference (SIBCON), SGMF also revealed its new brand reflecting the organisation’s current activities in the four key marine fuels for the future: LNG, methanol, ammonia and hydrogen.

SGMF is a membership-based organisation leading safe maritime decarbonisation with members across the full value chain of marine fuels, including suppliers, operators, owners, equipment manufacturers, class societies, port authorities, individuals and training organisations.

While the search for the perfect alternative fuel continues, SGMF said methanol and ammonia are two of the fuels that the global merchant fleet has identified and is looking to implement, emphasising the importance of these guidelines. 

Methanol – With the first vessels already running on methanol, and many more on order, methanol is ahead of the curve in terms of adoption. It has also overtaken regulation, meaning that these early adopters are having to put forward safety solutions that have not yet been documented, and bunker suppliers using existing chemical carriers are trying to second guess what conversion and equipment may be needed to make their vessels physically compatible with the ships being produced. These methanol bunkering guidelines have been published as a first draft to highlight the key safety factors that need to be considered when designing and bunkering a vessel of any type with methanol. 

Ammonia – Despite ammonia (NH3) not yet being commercially available as a marine fuel, this bunkering document provides guidance to all the stakeholders currently investigating and developing the bunkering of ships with fully refrigerated (-33°C) ammonia.

A range of potential hazards are expected with bunkering ammonia and to date there is very limited experience, with only one series of bunkering trials conducted as at March 2024. 

As a result, Bunkering Guidelines for Ammonia draws primarily on the current experience of LNG bunkering, the wider ammonia marine transport industry and the shoreside ammonia production and transport industry experience. 

“The overall aim of these guidelines is therefore to ensure that ammonia-fuelled ships are bunkered safely, reliably, efficiently and in an environmentally responsible way, targeting the avoidance of operational or fugitive emissions of ammonia,” SGMF added. 

These publications have been compiled with extensive input from the SGMF membership, as well as with collaborative support from the Global Centre for Maritime Decarbonisation (GCMD) and the Mærsk Mc-Kinney Møller Center for Zero Carbon Shipping (MMMCZCS).

Note: The bunkering guidelines are available in the shop on SGMF portal and the Emergency Response Guide for Ammonia can be downloaded through its free resources section.

 

Photo credit: SGMF
Published: 10 October, 2024

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Shipping Corridor

Singapore and Shandong ink MoU for Green and Digital Shipping Corridor

MPA and Shandong Provincial Transport Department will work with stakeholders, including maritime administrations and port operators, to promote digital and low-carbon initiatives for shipping.

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RESIZED SG bunker tanker

The Maritime and Port Authority of Singapore (MPA) and the People’s Republic of China’s Shandong Provincial Transport Department signed a memorandum of understanding (MoU) on Wednesday (9 October) to establish the Singapore – Shandong Green and Digital Shipping Corridor (GDSC).

Under the MoU, MPA and the Shandong Provincial Transport Department will work with various stakeholders, including maritime administrations, port operators, maritime companies, institutes of higher learning, and shipyards, to promote digital and low-carbon initiatives for shipping. 

Focus areas include exploring collaboration in emerging technologies, training in safe handling of alternative fuels, knowledge sharing on shore power technologies, exchange of digital information to facilitate port clearances, and sharing of standards and best practices.

This MoU marks the second GDSC between Singapore and China following the Singapore – Tianjin GDSC established in 2023.

Mr Teo Eng Dih, Chief Executive, MPA, and Mr Gao Hongyan, Deputy Director, Shandong Provincial Transport Department, signed the MoU at the 25th Singapore –Shandong Business Council meeting held in Singapore. 

The signing was witnessed by the co-chairmen of the Singapore – Shandong Business Council, Mr Chee Hong Tat, Minister for Transport and Second Minister for Finance, and Mr Zhou Naixiang, Governor of Shandong Provincial Government.

The Singapore – Shandong GDSC will tap the growing trade and shipping volumes between the two economic centres, supported by their strong research and innovation ecosystems, to drive the adoption of green and digital solutions and growth of the maritime industry between Singapore and the Bohai and Yellow Sea region.

Singapore is the world’s largest bunkering hub and busiest transshipment seaport, and Shandong is a coastal province which hosts a key cluster of ports and shipyards along China's coastline including Qingdao Port, which is among the world's busiest container ports. 

Shandong is also China’s second most populous province, after Guangdong, with approximately 101 million people. Shandong has the third largest provincial economy in China with a GDP of 9.2 trillion RMB (approximately 1.7 trillion SGD) and GDP growth of 6% in 2023.

 

Photo credit: Manifold Times
Published: 10 October, 2024

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