Business

Clyde & Co: IMO amends SOLAS to regulate the supply of low flashpoint bunkers

It would be advisable for bunker suppliers and other stakeholders in the bunkering industry to prepare in advance for amendments to Regulation 4.2.1 of Chapter II-2 of SOLAS, says Puneet Sareen.

Published

3 years ago

March 29, 2023

Admin

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International law firm Clyde & Co LLP on Tuesday (28 March) published a market insight advising bunker suppliers and stakeholders in the bunkering industry to prepare in advance for recent amendments to Regulation 4.2.1 of Chapter II-2 of SOLAS, which is expected to come into effect on 1 January 2026:

By Puneet Sareen, Master Mariner

It is a known fact that off-specification or contaminated bunkers can disable vessel engines, endangering vessel, crew, and cargo on board and giving rise to significant losses for all parties to the maritime adventure.

The supply of such bunkers has plagued the industry for some time, with the bunker contamination episodes in Houston in early 2018 and Singapore in 2022 being two recent instances.

Besides the presence of contaminants which can create problems for the safe consumption of bunkers and cause damage to the propulsion machinery, the carriage and consumption of bunkers with a low flashpoint presents an entirely separate safety hazard.

Typically, bunkers with a flashpoint below 60˚C are deemed unsafe.

The usage of marine fuels below 60˚C is already prohibited under the International Convention for Safety of Life at Sea (“SOLAS”).

However, until now, there has been no specific provision within SOLAS against the supply of such bunkers. This lacuna has been the subject of discussion at IMO sub-committees for some time.

Regulation 4.2.1 of Chapter II-2 of SOLAS

After due consideration of the lack of any regulatory framework in the bunker industry to control the supply of such fuels, recent amendments to Regulation 4.2.1 of Chapter II-2 of SOLAS have been introduced.

These amendments are expected to come into effect on 1 January 2026.

The amendments aim to ensure that the bunkers are safe by requiring that:

The flashpoint is to be determined in accordance with ISO standard 2719:2006 and the test laboratory has to be accredited with ISO/IEC 17025:2017.
The bunker supplier must provide to the ship receiving bunkers:

a declaration signed by the bunker supplier that the bunkers conforms with Regulation 4.2.1, Chapter II-2 of SOLAS and the test method used for determining the flashpoint; and
a bunker delivery note that specifies the flashpoint of the bunkers or states that the flashpoint has been measured at or above 70˚C.

Where a bunker supplier has been found to have supplied bunkers below a flashpoint of 60˚C, the contracting state is required to notify the IMO and other contracting states.
The contracting state would also have to take “appropriate action” against the bunker supplier. The amendments do not specify what this action should be, so it is left to the contracting state to decide. Taking Singapore as an example, bunker suppliers could face fines and have their bunker supply licences suspended or cancelled.

Comment

Although some years away, it would be advisable for bunker suppliers and other stakeholders in the bunkering industry to prepare in advance for these amendments, reviewing their practices and ensuring that their bunker delivery notes will fall in line with the new requirements due to take effect in 2026.

Photo credit: Shaah Shahidh on Unsplash
Published: 29 March, 2023

Legal

Singapore withdraws remaining 127 charges against Hin Leong founder OK Lim

Lim Oon Kuin, also known as OK Lim, was issued a stern warning and a district court granted him a discharge amounting to an acquittal for these charges on 17 July.

Published

18 hours ago

July 21, 2026

Admin

Founder of collapsed oil trader Hin Leong Trading, Lim Oon Kuin, also known as OK Lim, has had the remaining 127 charges against him withdrawn, according to The Straits Times on Monday (20 July).

OK Lim was issued a stern warning and a district court granted him a discharge amounting to an acquittal for these charges, including those for cheating, on 17 July. The discharge means Lim cannot be prosecuted again for the same offences.

Lim, 84, is currently serving a 13½-year prison sentence after the High Court reduced his original 17½-year jail term in March 2026. He was convicted in 2024 on two cheating charges and one count of abetting forgery in a case prosecutors described as one of Singapore’s most serious trade finance frauds.

Lim was convicted in May 2024 of two charges of cheating the Hongkong and Shanghai Banking Corporation (HSBC) and one count of abetting forgery that proceeded to trial out of a total of 130 criminal charges.

He was first charged in court on 14 August 2020, and was subsequently handed further charges in court on 25 September 2020, 30 April 2021 and 24 June 2021 for his role in perpetuating fraud on various financial institutions.

A total of 130 charges were eventually brought against him for cheating and forgery-related offences.

Photo credit: Sora Shimazaki
Published: 21 July, 2026

Winding up

Singapore: Coastal Logistics Pte Ltd to be wound up voluntarily

Coastal Logistics was reportedly affiliated with troubled Singapore bunker player Coastal Oil (Singapore) Pte Ltd.

Published

18 hours ago

July 21, 2026

Admin

Several resolutions for Coastal Logistics Pte Ltd were made during an extraordinary general meeting held on 14 July, according to a notice in the Government Gazette on Friday (4 July).

The following resolutions were duly passed during the meeting:

As Special Resolution

That it has been proved to the satisfaction of the meeting that the Company cannot by reason of its liabilities continue its business and accordingly the Company be wound up voluntarily pursuant to Section 160(1)(b) of the Insolvency, Restructuring and Dissolution Act 2018 (No. 40 of 2018);

As Ordinary Resolutions

that Mr. Wong Pheng Cheong Martin and Ms. Koay May Yee, both care of FTI Consulting (Singapore) Pte Ltd, One Raffles Quay, #27-10 South Tower, Singapore 048583 be appointed as the joint and several Liquidators of the Company for the purpose of such winding up; and
that the Liquidators be at liberty to open, maintain and operate any bank account(s) or account(s) for monies received by them as Liquidators with such bank(s) as they deem fit; and
that a Committee of Inspection will not be formed.

Manifold Times previously reported Nicholas James Gronow, director of Heng Tong Fuels & Shipping and Coastal Logistics, filed statutory declarations for both companies stating the firms cannot continue their businesses due to liabilities.

Both companies were reportedly affiliated with troubled Singapore bunker player Coastal Oil (Singapore) Pte Ltd.

In 2019, several vessels owned by both firms entered the sale & purchase (S&P) market in Singapore.

Photo credit: Drew Beamer
Published: 21 July, 2026

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.

Published

18 hours ago

July 21, 2026

Admin

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