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IBIA: Off-specs and bunker licensing discussed at IMO

IBIA told MSC 106 that off-spec data from 2020 came across as ‘overly alarming’ for several reasons, noting that an “off-spec” fuel does not necessarily pose a significant safety risk to the ship.

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The International Bunker Industry Association (IBIA) on Thursday (1 December) published an article on licensing of bunker suppliers which was discussed during the recent 106th session of the IMO’s Maritime Safety Committee but said there was not much appetite for pursuing bunker licensing among Member States. A few questioned the degree to which bunker licensing would be effective in preventing supply of off-spec fuels:

IBIA voiced support for licensing of bunker suppliers, but urged caution about how to interpret ‘off-specs’ at the 106th session of the IMO’s Maritime Safety Committee that took place from November 2 to 11.

Two papers were submitted to the meeting about fuels that may jeopardize the safety of ships. The submitters of the documents said these would be useful for the Correspondence Group on Development of further measures to enhance the safety of ships relating to the use of fuel oil (CG). This CG, which works between MCS meetings, was re-established at MSC 105. IBIA takes part in the CG with input from the IBIA Technical Working Group. (More info on this link)

One of the papers, MSC 106/18/1, submitted by BIMCO, ICS, INTERCARGO and INTERTANKO provided statistics, based on a set of data from 2020 from a major fuel testing agency, about fuels failing to meet ISO 8217 parameters. The other, MSC 106/INF.19 submitted by Singapore gave details of investigations and actions taken following the supply of bunker fuel containing chlorinated organic compounds in the Port of Singapore earlier this year.

MSC 106/18/1 also pointed to regional differences in off-spec occurrences, and proposed “that Member States, including the individual ports within Member States, and relevant intergovernmental organizations consider implementing and enforcing a licensing scheme for bunker suppliers operating within their jurisdiction to combat the high off-spec occurrence rates in some poorer performing geographical regions”.

Commenting on these papers, IBIA made the following statement at MSC 106: “We thank the co-sponsors of MSC 106/18/1 in relation to off specification occurrence rates during 2020, highlighting regional differences, which we are aware of.  We are very much supportive of the proposal in the document that relevant authorities should be encouraged to consider implementing and enforcing a licensing scheme for bunker suppliers operating within their jurisdiction. The approach of the Maritime and Port Authority of Singapore in connection with the recent case in Singapore of Organic Chlorides described in MSC 106/INF.19 is a prime example of the benefits of a licensing scheme.”   

During discussions of the two papers at MSC 106, several delegations supported sending both to the CG on fuel oil safety for consideration.

There was not, however, much appetite for pursuing bunker licensing among Member States. A few questioned the degree to which bunker licensing would be effective in preventing supply of off-spec fuels. Several noted that it is entirely the responsibility of the supplier to provide on-spec fuel.

Several delegations stressed that bunker supplier licensing schemes had already been thoroughly discussed in recent years, both by MSC and the Marine Environment Protection Committee (MEPC), and that implementation of such licensing schemes should be voluntary. Moreover, MSC agreed that bunker licensing should be addressed by MEPC under the remit of MARPOL.

IBIA and BIMCO have submitted a paper to the upcoming MEPC 79 meeting in December. Our document, MEPC 79/INF.24 shares the results of our joint industry survey, which identified broad support among maritime industry stakeholders for adoption of bunker licensing schemes and mass flow metering systems to improve transparency and market conditions.

We submitted this document to MEPC to raise awareness among IMO Member States and stakeholders of the benefits of adopting effective bunker licencing programmes and MFM technology. (Read it on this link: MEPC 79/INF.24)

Off-spec interpretation

In regards to the off-spec data from 2020 presented in MSC 106/18/1, IBIA told MSC 106 that the data came across as overly alarming for several reasons.

“According to ISO 4259, which is incorporated for every individual test method listed in ISO 8217, a fuel is considered off-spec only if the tested value exceeds both the actual limit and the 95% confidence interval for each specific parameter. The data presented in document MSC 106/18/1 does not appear to take the 95% confidence interval into account, hence the percentage of off-specs is greater than if the paper had followed the industry accepted approach to test results. Data from two testing agencies from the start of 2021 to Q3 of 2022 that do take 95% confidence into account show the percentage of off-specs at much lower levels. For the ARA region, for example, where data in MSC 106/18/1 shows off-specs including sulphur at 19%, data from 2021 and 2022 show off-specs including sulphur averaging 6.76% from one fuel testing agency and quarterly averages ranging from 2.4 – 4.3% from another,” IBIA’s Director and IMO Representative Unni Einemo told MSC 106.

“Most importantly, it should be noted that an “off-spec” fuel does not necessarily pose a significant safety risk to the ship. One of the most common off-specs is excess water, which is easily managed at twice the specification limit. A more critical parameter like Al+Si, meanwhile, is harmful even at on-spec concentrations if the fuel is not properly managed onboard, yet fuels testing above the limit may often be safely managed onboard with due care and attention,” she added.

“In conclusion, this paper does not reflect the percentage of oil fuels that present a significant safety risk to the receiving ship, and we would therefore suggest a more selective approach to examining fuel quality data relating to the safety of ships.”

While there was support for, and no objections to, sending the MSC 106/18/1 to the CG on fuel oil safety, some said more information was desirable, such as an indication of the degree to which parameters exceeded ISO 8217 parameters, and the possible influence on safety associated with the off-spec parameters.

It would also be very useful for the work on assessing oil fuel safety issues to receive more information from concrete cases where fuel has been identified as causing an incident, it was noted.

The CG on oil fuel safety will have several rounds of discussions between now and MSC 107, which is scheduled for early June next year. In the first round, the CG will discuss guidelines for sampling procedures to establish flashpoint. (More info on this link)

 

Photo credit: IBIA
Published: 5 December, 2022

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Alternative Fuels

Yang Ming orders six LNG dual-fuel, ammonia-ready containerships from Hanwha Ocean

Each of the six new vessels will have a capacity of up to 13,650 TEU and feature LNG dual-fuel propulsion and Ammonia Fuel Ready specifications.

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Yang Ming orders six LNG dual-fuel, ammonia-ready containerships from Hanwha Ocean

Taiwanese shipping firm Yang Ming Marine Transport Corporation (Yang Ming) and South Korean shipbuilder Hanwha Ocean on Wednesday (2 September) signed a shipbuilding contract for six 13,000 TEU class LNG dual-fuel container vessels. 

The contract was signed by Dr. Chuck Tsai, Chairman of Yang Ming, and Mr. Charles Kim, CEO of Hanwha Ocean. The vessels are scheduled for delivery between 2028 and 2029. 

They will complement Yang Ming’s existing fleet of 10,000+ TEU vessels and serve as key vessels on East-West services, with deployment flexibility across trade lanes connecting Asia with the East and West Coasts of North America, South America, and the Mediterranean. 

Each of the six new vessels will have a capacity of up to 13,650 TEU and feature LNG dual-fuel propulsion and Ammonia Fuel Ready specifications.

“As Yang Ming transitions toward net-zero emissions, LNG provides a relatively mature and economically viable alternative fuel solution, capable of reducing greenhouse gas emissions by approximately 20%,” the company said. 

“At the same time, ammonia can serve as a carbon-free fuel by utilising converted LNG storage facilities, while offering relatively lower conversion costs and comparatively well-developed supply chains and infrastructure. The Ammonia Fuel Ready design will therefore provide Yang Ming with greater flexibility in responding to increasingly stringent international regulations on greenhouse gas emissions.”

In addition, the vessels will be equipped with Type B LNG fuel tanks with a design pressure of 1.0 bar to enhance the safety and efficiency of LNG operations, together with a range of energy-saving technologies, including Wind Shields, Rudder Bulbs, Pre-Swirl Stators, and Shore Power Systems. Smart ship technologies and cybersecurity protection features will also be incorporated to enhance operational efficiency, safety, and reliability while effectively reducing fuel consumption and greenhouse gas emissions.

Deliveries under Yang Ming’s next-generation fleet optimization plan commenced earlier this year. By 2030, a total of 24 new vessels are expected to enter service. 

This includes 18 LNG dual-fuel vessels—comprising five 15,500 TEU, seven 16,000 TEU, and the six 13,000 TEU vessels under this contract—alongside six 8,000 TEU methanol dual-fuel-ready ships. 

 

Photo credit: Yang Ming Marine Transport
Published: 4 September, 2026

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Alternative Fuels

LR, China’s MARIC unveil tanker concept ready for three future bunker fuels

Both secured AiP for a new 114,000 DWT product and crude oil tanker designed to accommodate future conversion to LNG, methanol or ammonia.

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LR, China’s MARIC unveil tanker concept ready for three future bunker fuels

Lloyd’s Register (LR) and the Marine Design and Research Institute of China (MARIC) on Thursday (3 September) have secured Approval in Principle (AiP) for a new 114,000 DWT product and crude oil tanker designed to accommodate future conversion to LNG, methanol or ammonia.

Announced at SMM 2026, the concept addresses one of the biggest investment challenges facing shipping today: the need to develop vessels and capabilities that can support a range of alternative fuel options and pathways as technologies, infrastructure and regulations evolve.

While LNG is already a mature fuel pathway, methanol and ammonia remain at an earlier stage of development, with questions around global fuel availability, infrastructure development, economics and long-term adoption.

The 114,000 DWT tanker concept has been designed as a product and crude oil carrier that can accommodate future conversion to LNG, methanol or ammonia as technologies, regulations and fuel supply chains mature. By incorporating conversion readiness at the design stage, the concept aims to reduce future retrofit complexity and provide owners with greater confidence when planning long-term fleet investments.

The design concept was reviewed against LR’s July 2026 class rules and regulations, including requirements relating to ships using gases and other low-flashpoint fuels, alongside relevant IACS Common Structural Rules for oil tankers. Final classification and statutory approval remain subject to full compliance with all applicable rules and regulations.

Theo Kourmpelis, Global Business Director for Tankers, Lloyd’s Register, said: “Shipowners are being asked to make major investment decisions today despite continued uncertainty around which fuels will dominate in the decades ahead. Alternative fuel solutions each offer potential pathways to compliance, but fuel infrastructure, regulation and economics continue to evolve at different speeds around the world.

“Designs that preserve flexibility will be critical in helping owners manage risk while preparing for multiple future scenarios.”

Si Nan, Marine & Offshore Marketing Department Vice Director, MARIC, said: “As the industry explores different decarbonisation pathways, shipowners need vessel designs that can adapt alongside technological and regulatory developments. This concept was developed specifically to provide greater fuel flexibility and long-term resilience, allowing owners to respond to changing market requirements without being locked into a single fuel strategy.

“Receiving Approval in Principle from Lloyd’s Register is an important milestone that validates the design concept and supports its future development.”

 

Photo credit: Lloyd’s Register
Published: 4 September, 2026

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Alternative Fuels

DNV: Alternative-fuelled vessel orders hit highest monthly level since October 2024

LNG-fuelled vessels accounted for the vast majority of August activity while the strong summer performance marked a significant acceleration in ordering activity after a relatively slow start to the year.

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DNV: Alternative-fuelled vessel orders hit highest monthly level since October 2024

Latest data from classification society DNV’s Alternative Fuels Insight (AFI) platform alternative-fuelled vessel ordering was strong in August, with 52 new vessels added to the platform.

This is the highest monthly total since October 2024 and follows another active month in July, when 47 vessels were added to the database.

LNG-fuelled vessels accounted for the vast majority of August activity, with 46 orders recorded. The container segment led the way with 30 orders, while the car carrier segment contributed a further 12 LNG-fuelled vessels. In addition, four ethanol-fuelled bulk carriers and two hydrogen-powered bulk carriers were added during the month, as well as one LNG bunker vessel.

The strong summer performance marked a significant acceleration in ordering activity after a relatively slow start to the year. In total, 242 alternative-fuelled vessel orders have been placed in the first eight months of 2026, representing a 27% increase compared with the same period in 2025.

LNG remains the dominant fuel choice, accounting for 63% of all alternative-fuelled vessel orders registered so far this year. Container vessels represent the largest share of these LNG orders (59%), followed by car carriers (30%).

Jason Stefanatos, Global Decarbonization Director at DNV Maritime, said: “The past two months have been particularly strong for alternative-fuelled vessel ordering, with August recording the highest monthly total we’ve seen since October 2024. This has helped lift year-to-date orders to a level well above the same period last year.

“LNG remains the leading fuel choice, driven largely by activity in the container and car carrier segments. These sectors have been among the earliest adopters of alternative fuels, supported by predictable liner operations and increasing demand from cargo owners to reduce emissions across supply chains. 

“For many owners, LNG offers a combination of emissions reductions, fuel availability and future flexibility while the longer-term fuel landscape continues to evolve. 

“At the same time, the latest figures include orders for ethanol- and hydrogen-fuelled vessels, highlighting that owners continue to explore a range of decarbonization pathways. Different segments are making different fuel choices, but the overall level of activity demonstrates continued investment in lower-emission shipping.”

Screenshot 2026 09 04 at 12.29.26 PM Screenshot 2026 09 04 at 12.29.36 PM

 

Photo credit: DNV
Published: 4 September, 2026

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