2020 sulphur fuel cap may spark a crisis for carriers that can’t recover the cost

By Sam Whelan, Asia correspondent

IMO’s 0.5 per cent sulphur fuel cap will cause an “existential crisis” for container carriers, unless they can pass on the added bunker costs to shippers. APL Chief Executive Nicolas Sartini said carriers had little choice but to opt for considerably more expensive low-sulphur fuel from January 2020, since the alternatives – using LNG or fitting ships with scrubbers – were not viable short-term solutions. “We are 100 per cent behind the regulation as it’s good for the environment,” he told delegates at the TPM Asia conference in Shenzhen in early October. “The problem is the new fuel cost is between $250 and $350 per tonne more expensive than the fuel we buy today.” (more…)

Speed limits for box ships the best way to hit emissions target, IMO told

By Alexander Whiteman

Mandatory speed limits could be shipping lines’ best hope of achieving the IMO’s 2030 emissions reduction targets. Shipping officer for lobby group Transport & Environment, Faig Abbasov, told The Loadstar slow-steaming could “single-handedly” achieve the target. “We’re proposing mandatory limits, based on ship type,” said Mr. Abbasov, speaking on the sidelines of the Marine and Environment Protection Committee (MEPC 73) in London. “Furthermore, our slow-steaming initiative is based on an annual average rather than per individual journey, meaning priority shipments could travel at a faster rate.” (more…)

Pessimism in the air as IMO pushes for reduced greenhouse gas emissions

By Alexander Whiteman

The momentum behind efforts to curtail shipping’s greenhouse gas (GHG) emissions appears to have come to a standstill, insiders have said as the International Maritime Organization (IMO) Maritime Environment Protection Committee (MEPC 73) met in London at the end of October. Environmental lobbyists had hoped that plans to reduce GHG emissions by 2023 would begin in earnest now. IMO secretary general Kitack Lim said MEPC had approved a programme of follow-up action to the initial strategy agreed in April. “The programme sets a clear signal on how to further progress the matter of reduction of GHG emissions from ships up to 2023,” said Mr. Lim. “I am convinced, in re-doubling your efforts and with support from working arrangements, you’ll be able to deliver and accelerate the pace of actions and tackle this immense, global challenge.” (more…)

No shortage of issues to deal with at the Shipping Federation

No shortage of issues to deal with at the Shipping Federation

By Brian Dunn

This year marks the 115th anniversary of the Shipping Federation of Canada and as the years pass, so do its priorities. While the Federation is keeping an eye on Canada’s free trade agreement (CETA) with the European Union which is starting to pay dividends, another key focus is on the environmental front, according to Federation President Michael Broad. There are also the IMO ballast water regulations with requirements to install BWT systems coming into effect between 2019-2024, the global sulphur cap as of 2020, the GHG emission reduction strategy and talk about total decarbonization. “On a global level, it’s an ambitious agenda which will have a huge impact on us and here in Canada, we also have the whale protection agenda on both the east coast and west coast.” (more…)

Oilsands veteran Neil Camarta discovers a way to take “dirty” out of dirty oil

Oilsands veteran Neil Camarta discovers a way to take “dirty” out of dirty oil

By R. Bruce Striegler

“I’m an engineer, and engineers build things”, says Alberta-born Neil Camarta, founder and Director of Enlighten Innovations Inc. One of the things Mr. Camarta has ‘built’ and which is currently occupying much of his time, is the development and commercialization of a new bitumen sulphur removal and upgrading technology called DSU, which can be used in upgrading Alberta bitumen. The proprietary technology is undergoing testing at a ten barrel per day, $30 million pilot plant in Fort Saskatchewan, Alberta and has been operational since the end of 2015. Camarta says, “Our pilot plant has confirmed our technology and we are now building a demonstration facility to produce 2500 barrels of finished low sulphur marine fuel from heavy oil stocks. We expect our CLEANSEAS plant to be ready in 2020.” (more…)