IMO 2020 Sulphur rule: Maerskline abandons Lagos ports

Segun Oladipupo |

In compliance with the International Maritime Organisation for all cargo vessels to run in fuel with less sulphur content from January, 2020, Maersk has stopped calls of vessels designated for Lagos ports.

The shipping giant added that it would now henceforth patronize the Onne port in Rivers state effective from the due date, January 1, 2020.

According to a statement made available to the clients of the organisation, it stated,” Dear Esteemed Customer, “Maersk, wishes all her esteemed customers a Happy New Year, we thank you for your patronage in the previous years and look forward to increased partnership in 2020.

” Furthermore, it is our pleasure to announce that our Far East (China, Vietnam, Malaysia, Singapore) Service will no longer be calling Lagos Ports but now comes to Onne directly, giving you a reduced transit time.

“This is effective this Jan 2020.

” In line with complying with the directive of the International Maritime Organization agenda 2020, which is for all cargo vessel to run on fuels with less sulphur content, effective January 1, 2020, Maersk is already fully compliant with this directive to operate her vessels with cleaner vessel fuel.

“This technology of cleaner fuel for our ships comes at a cost, which we will communicate going forward.

“Maersk encourages all her customers to take advantage of our ocean and inland products (Cargo Trucking, Warehousing, Customs House Brokerage, Value Protect, spot booking on export cargo etc) for a complete end -to-end service experience.

” Kindly, let me know if further clarifications are needed. “Once again we wish you a Happy and prosperous 2020”, it added.

Recall that this regulation has been developed and adopted by the International Maritime Organisation (IMO), a specialised agency under the United Nations (UN). Whereas today ships can use fuel with a sulphur content of 3.5%, the new sulphur cap will be 0.5%.

To become compliant, shipowners will have to invest in compliant fuels, LNG or scrubber technology. This is expected to lower global shipping’s sulphur emissions, a known source for respiratory disease and acid rain, by more than 80%.

“We fully support the new rules. They will be a significant benefit to the environment and to human health”, says Vincent Clerc, Chief Commercial Officer, A.P. Moller – Maersk A/S.

“The 2020 sulphur cap is a game changer for the shipping industry. Maersk preparations to comply are well underway and so are our customers’ efforts to plan ahead.

The new BAF is a simple, fair and predictable mechanism that ensures clarity for our customers in planning their supply chains for this significant shift.”

The regulation will bring increase and uncertainty to fuel costs for shipping. The BAF surcharge is designed to recover increases in fuel related costs. It will be charged separately from Maersk Line’s freight rate.

According to industry estimates, more than 90% of the global vessel fleet should be relying on compliant fuels as the sulphur rules step into force on 1 January 2020. This will also be the case for the Maersk Line fleet, despite a recent investment in a limited number of scrubbers.