While there volatile oil prices have had great interest in the news the current week, Insatech Marine have decided to focus on other news. While the oil price and its fluctuations means a lot for operational costs in the short run, it is likely to stabilize at some point.
Read more about the current fluctuation and analysts opinions at shipandbunker.
Instead Insatech Marine will focus on the fact that a global 0,5 percent sulfur cap on marine fuel oil is likely to come into effect in 2020.
The issue of the global sulfur cap has been disputed for some time now. The chairman of the International Chamber of Shipping (ICS), Masamichi Morooka, says: ”ICS has concluded that, for better or worse, the global cap is very likely to be implementer in 2020, almost regardless of the effect that any lack of availability of compliant fuel may have on the cost of moving world trade by sea.”
The talk of pushing back the regulation date to 2025 stems from the fact that a review of the endeavor is planned for 2018. However ICS concludes that governments will be unable to act even if the review states there will be supply issues, as such a political decision may in effect have been made ready.
Read the full article at shipandbunker.
While nothing is certain, the time of a global sulfur cap is nearing regardless of the industry’s readiness, and one can only guess at what will follow in its wake of sulfur content monitoring, reporting, or what non compliance will cost. Perhaps the current and ongoing learning in emission control areas (ECA), where the sulfur cap of 0,5 percent has been introduced, will aid as a test case for a global uptake?