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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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Milestone

Singapore: Equatorial conducts its first bio-blended LSMGO bunker fuel delivery of 2025

Several key challenges including product sourcing, sustainability certification, product handling, and logistics & planning had to be addressed to execute the complex operation, notes COO of Equatorial.

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Singapore: Equatorial conducts its first bio-blended LSMGO bunker fuel delivery of 2025

Singapore bunker supplier Equatorial Marine Fuel Management Services Pte Ltd (Equatorial) in early May carried out its first bio-blended B24 Low Sulphur Marine Gas Oil (LSMGO) bunker fuel delivery of 2025.

The milestone saw Equatorial’s Singapore-flagged 7,999 dwt IMO Type II bunker tanker EM Nikita delivering Used Cooking Oil Methyl Ester (UCOME) based LSMGO, blended to B24 spec, to an Orient Overseas Container Line (OOCL) operated vessel with its electronic bunker delivery note (eBDN).

“This milestone represents not just Equatorial’s first B24 LSMGO delivery, but also a significant step forward for sustainable marine fuel adoption in Singapore,” Choong Sheen Mao, Chief Operating Officer at Equatorial, told Manifold Times.

“It showcases our capability to evolve alongside the market and our commitment to providing certified, traceable, and high-quality biofuels to our customers.”

According to So Kah Meng, Sustainable Energy Manager at Equatorial, several key challenges including product sourcing, sustainability certification, product handling, and logistics & planning had to be addressed to execute the complex operation.

“Bio-blended LSMGO is significantly rarer in the market than bio-blended VLSFO due to limited production capacity, stricter blending requirements, and limited downstream demand. Equatorial secured supply through advanced procurement planning and leveraging trusted ISCC-certified upstream partners,” he explained.

“ISCC EU certification was essential to ensure traceability and regulatory compliance. Equatorial worked closely with its supply chain to ensure full documentation and sustainability verification ahead of the delivery schedule.

“Unlike bio-VLSFO, bio-blended LSMGO’s lower viscosity and pour point demanded additional considerations in tank pre-treatment and temperature control during transfer. Equatorial implemented specialised cleaning protocols and temperature monitoring to maintain fuel integrity.

“Coordination between our UCOME supplier, storage facility, barge planning, and receiving vessel was critical. Equatorial’s in-house technical and commercial teams worked closely with the Maritime and Port Authority of Singapore (MPA) and classification societies to ensure regulatory compliance and operational safety.”

Moving forward, Patrick Ng, Assistant Marketing Manager at Equatorial, believed the milestone operation was made possible by the favourable commercial maritime landscape under the supervision of MPA.

“Singapore’s strong regulatory framework, established bunkering infrastructure, and growing customer interest in low-carbon fuels have made it possible for projects like this to be commercially viable,” he stated.

“Equatorial is proud to contribute to Singapore’s decarbonisation leadership.”

Related: Singapore: President of Equatorial Marine Fuel Management Services receives ‘Industry Icon Award’
Related
: Singapore: Equatorial Marine Fuel launches sustainable energy business unit, commits towards multi-fuel future
Related: Singapore: Equatorial Marine Fuel conducts carbon credit trial with Carbon Management Solutions
Related: Singapore-registered bunker tankers can transport up to B30 biofuels from 7 March

 

Photo credit: Equatorial Marine Fuel Management Services
Published: 20 May 2025

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LNG Bunkering

Baleària arranges LNG bunkering operations on same day at Port of Barcelona

Occasion marked the first time three bunkering operations were carried out on three different ships on the same day at the same port in Spain.

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Baleària arranges three LNG bunkering operations on same day in Barcelona

Spanish shipping company Baleària on Thursday (15 May) said it broke an all-time record for the supply of liquefied natural gas (LNG) with the bunkering of three of its vessels in the port of Barcelona.

The occasion marked the first time three bunkering operations were carried out on three different ships on the same day at the same port in Spain.

The company said the three vessels were fuelled with a total of 2,320 MWh of LNG by eight tankers. 

Fast ferry Margarita Salas was fuelled by three tankers simultaneously. Ferry Martín i Soler was fuelled by two tankers and ferry Bahama Mama was bunkered by another three tankers also. 

“Our commitment to LNG grew by 184% in 2024. Combined with electric propulsion and other eco-efficiency measures, we have managed to reduce our carbon footprint by almost 10% per passenger,” it said. 

 

Photo credit: Baleària
Published: 19 May, 2025

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Biofuel

Cosco-controlled Piraeus Container Terminal offers biofuel bunkering services

PCT, a fully controlled subsidiary of Cosco Shipping Ports, has officially introduced biofuel bunkering services for vessels calling at the Port of Piraeus.

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Cosco-controlled Piraeus Container Terminal offers biofuel bunkering services

Cosco Shipping Europe, the regional management company of China Cosco Shipping Corporation in the European Region, on Friday (16 May) said biofuel bunkering is now available at Piraeus Container Terminal (PCT) in Greece. 

PCT, a fully controlled subsidiary of Cosco Shipping Ports, has officially introduced biofuel bunkering services for vessels calling at the Port of Piraeus – supporting customers in achieving greener, more sustainable supply chains.

After listening to customer needs, Cosco Shipping (Europe) said PCT swiftly moved into action to re-evaluate legal foundations for biofuel bunkering under ISO 8217:2024 and new Greek regulations.

It added that PCT also partnered with suppliers to provide full-service bunkering options.

 

Photo credit: Cosco Shipping Europe
Published: 19 May, 2025

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