BIMCO on Monday published two sulphur content related bunker clauses on its website and on SmartCon, the shipping association’s contract editing solution.
The two clauses are:
“The subcommittee’s objective has been to create clauses that are simple and practical, and I’m confident we’ve achieved that objective,” says Peter Eckhardt, chairperson of the drafting committee and Head of Chartering and Operations at Reederei F. Laeisz.
BIMCO 2020 Marine Sulphur Content Clause
The 2020 Marine Fuel Sulphur Content Clause replaces the BIMCO Fuel Sulphur Content Clause 2005 and can be incorporated into time charter parties as of now. The new clause forms an integral part of BIMCO’s Suite of Standard Bunker Clauses for Time Charter Parties.
“By making the 2020 Marine Fuel Sulphur Content Clause part of the Suite of Standard Bunker Clauses, it means that we have been able to keep the revised clause short and simple,” says Grant Hunter, BIMCO head of Contracts & Clauses.
“It is written as a straightforward compliance provision with the sulphur content requirements of MARPOL Annex VI.”
Issues relating to the specifications, grades and quality/suitability of the fuel supplied by time charterers are covered by existing standard bunker clauses in time charters, so these should not need to be amended in relation to sulphur content alone, notes BIMCO.
BIMCO 2020 Fuel Transition Clause
The 2020 Fuel Transition Clause is not part of the Suite of Bunker Clauses as it deals with the one-off event of switching from 3.50% sulphur content fuel to 0.50% sulphur content, it adds.
The switch is a process that will need to be started before 1 January 2020 and so requires the owners and charterers to cooperate to ensure a smooth transition.
The clause is designed to provide a fair allocation of responsibilities and liabilities between the owners and charterers in managing remaining stocks of fuel that will become non-compliant under MARPOL from 1 January 2020.
The clause has been specifically designed for time charter parties that will span 1 January 2020.
“We would also recommend incorporating the clause into time charter parties with redelivery very close to 1 January 2020 where delays or extensions might result in the ship redelivering after the date the change comes into force,” Hunter says.
A joint development
The 2020 Bunker Clauses have been developed by a team comprised of owners, charterers, bunker suppliers, P&I clubs and legal experts.
BIMCO is grateful to the following individuals for their assistance:
Photo credit: BIMCO
Published: 11 December, 2018
IFO 380 exceeded ISO 8217:2010 for calcium, phosphorus and zinc; looking to claim total of $421,800.
New law doubles existing minimum and maximum fines for certain oil spill violations related, among other things, to parties who knowingly engage in oil pollution.
Section 285 is not designed for liquidators to investigate causes of action that the creditors or members may wish to take up personally, states Judges at Court of Appeal.
Maritime insurer discusses potential commercial disputes it foresees post IMO 2020, and outlines response parameters for legal costs covers.
‘The vessel was discovered 10.6 nautical miles east of Tanjung Balau by the patrol team which was out performing its rounds,’ said Maritime Captain Mohamad Sulhan.
FTI Consulting has cautioned the group’s creditors that they could realistically forecast a recovery rate of 0% to 27.5% of their exposure, reports Bloomberg.
Discussions around the need to develop methanol bunkering operations are taking place at numerous ports ahead of estimated demand of above 7M mtpa by 2030, says Chris Chatterton of Methanol Institute.
‘Economics of the shipping market will be the key driver enabling methanol to be adopted at a higher pace going forth over next couple years as market begins to return to more normal rates,’ states COO.
Integr8 Fuel injunction varied by Singapore Court to allow former employees to start work at Hartree Group in December 2022 following failure to produce evidence on biofuels development plans.
Variability of sources can affect the stability and performance of biofuel bunkers produced from these feedstocks, in turn leading to difficulties in meeting regulations and industry standards, shares Bryan Quek.
Top three positive movers in 2022 were Bunker House Petroleum Pte Ltd (+7), Eastpoint International Marketing Pte Ltd (+5), and Eng Hua Company (Pte) Ltd (+6); newcomer Sinopec Fuel Oil (Singapore) gets 19th spot.
Livestock carrier also involved in earlier bunker claim with Glander International Bunkering due to remaining unpaid fuel bill of approximately USD 116,000, according to court documents obtained by Manifold Times.
