Wagenborg has recently started ordering and bunkering low sulphur fuel in response to the upcoming sulphur cap, starting on 1 January 2020. The vast majority of the fleet has now switched over and is sailing on compliant fuel.
The new fuel sulphur regulation of the International Maritime Organization (IMO) implies a 0,5 per cent global sulphur cap for marine fuels to be in force. All ships will have to use fuel on board with a sulphur content of no more than 0,5 per cent against the current limit of 3,5 per cent in an effort to reduce the amount of sulphur oxide.
Sulphur 2020 is arguably the most impactful environmental regulation to date in ocean transportation and has far-reaching technical, commercial and operational consequences. It is widely acknowledged that the regulations have significant consequences for both ship owners and their customers.
The company did not announce any details about how it plans to recuperate the extra costs involved with the new regulation.
This article first appeared on Project Cargo Journal, a sister publication of SWZ|Maritime.
Picture: The Egbert Wagenborg in de Bothnic Gulf west of Kokkola on 15 March 2018 (by Flying Focus).