COALspot.com keeps you connected across the coal world
  • SEPTEMBER 2019 INDONESIAN COAL PRICE REFERENCE FOR EXPORTS AND DOMESTIC BUYERS INCLUDING POWER PRODUCERS FIXED AT US$ 65.79 A TON
  • SHARE YOUR CORPORATE COAL & SHIPPING NEWS WITH US - NEWS@COALSPOT.COM
  • WE WELCOME ARTICLE SUBMISSIONS FROM EXPERTS IN THE AREAS OF COAL, MINING, SHIPPING, ETC.

Submit Your Articles
We welcome article submissions from experts in the areas of coal, mining, shipping, etc.

To Submit your article please click here.

International Energy Events


WTI Crude Oil

BRENT Crude Oil

Search News
Latest CoalNews Headlines
Thursday, 01 November 18
IMO 2020 - EXPLORING THE OPTION OF SOX SCRUBBERS - SIDDHARTH MAHAJAN, GARD
gardKNOWLEDGE TO ELEVATE

There are four possible methods of compliance:
 
1.use VLSFO (very low Sulphur oil) or blends;
2,use distillates or MGO;
3,use LNG or other alternative fuels; or
4,install EGCS (exhaust gas cleaning systems) and continue using HSFO.
 
Prior to selection of a compliance option shipowners should undertake a proper assessment of the risks involved and should not only consider the cost element but also any other operational and safety issues. For example, in the case of compliant fuels some of the safety issues that need to be considered would be fuel oil stability, compatibility, combustionability, leakage and exposing fractures in pipes which are not apparent when using thicker HFO, whereas some of the operational issues are heating requirements, tank segregation, change in cylinder oil, changing certain engine parts and lower power output. Shipowners who have decided to use compliant fuels or distillates may wish to refer to the provisional guidance document prepared by International Chamber of Shipping. The use of scrubbers also carry certain uncertainties and owners would need to do a thorough risk assessment to understand the challenges they and their crew members are likely to face if this option is selected. Further information can be found in the OCIMF’s Guide for implementation of Sulphur Oxide Exhaust Gas cleaning systems and other sources of information such as advisories of classification societies.
 
In this Insight article we will look at the last of the four available options: SOx scrubbers.
 
Recent reports indicate a surge in the number of vessels having scrubbers installed. The demand is such that some major manufactures are reporting long lead times for the installation of new scrubber units and shipowners are having to turn to other suppliers to ensure compliance by 1 January 2020.
 
Selecting a scrubber system
Whether SOx scrubbers are an attractive option or not depends on the price difference between high sulphur and low sulphur fuel oil.
 
Annex 1 of MEPC.259(68) outlines the IMO’s requirements for complying with MARPOL Annex VI, regulations 14. Approval for the use of scrubbers can be based on either Scheme A or Scheme B. Scheme A involves installing a product with certified parameters and emission checks whilst Scheme B requires continuous measurements of emissions to demonstrate compliance.
 
Various factors need to be taken into consideration before selecting the most suitable scrubber system for a vessel. The installation and operating costs, structural compatibility including the space available for the system, the vessel’s trading pattern, alkalinity of the water, and any requirements for additional substances such as caustic soda or magnesium oxide will determine the system which is most appropriate for the vessel.
 
There are four types of scrubber systems:
 
(a) open loop,
 
(b) fresh water closed loop,
 
(c) hybrid, or
 
(d) dry units.
 
The open loop system uses sea water. Among the limitations of this system, is the need to position the overboard discharge well away from the sea chests, as well as strict domestic wash water discharge regulations and operations in fresh and brackish waters. The closed loop system uses fresh water which requires dosing to scrub and the system requires a separate tank for collecting any residual waste. There could also be logistical problems in obtaining supplies of items such as caustic soda (an alkali) and arranging for the discharge of waste from the collection tank. A hybrid system, which offers maximum flexibility, is a combination of the open and closed loop.
 
Once the decision has been made which of the above systems to fit, shipowners must decide whether to fit a multi-inlet tower, which will handle the exhausts from all engines, or a single line tower, which will handle the exhaust from only one engine. Irrespective of the system selected, scrubbers require a lot of space. It will be necessary for the vessel to go into dry-dock to undertake certain tasks whereas for other tasks in-service installation can be carried out. Depending on the complexity of the scrubber system to be installed, it may be necessary to modify the funnel, engine casing and engine room.
 
Key operation and safety concerns
Owners or their managers may need to carry out an assessment of the vessel’s current power and any additional power needed because the available power must be sufficient to run the various scrubber related installations such as feed water and circulation pumps, dosing units, exhaust fans and monitoring equipment. In addition, there must be sufficient power to counter the back pressure produced by the scrubber unit, which may be considerable, thereby, in theory, marginally increasing GHG emissions. Also, it must be verified that the back pressure limits are not exceeded else the NOx emissions may be adversely affected.
 
Wash water from scrubbers is highly corrosive and acidic, and the effects are aggravated by high temperatures of exhaust gasses. To tackle this, the industry has improved the materials and coatings for scrubber towers, internal piping, valves and the waste storage tanks. However, little can be done to improve the resistance to corrosion in the overboard distance piece which is located between the scrubber overboard discharge valve and ship shell plating, besides increased wall thickness, special coatings and ascertaining the condition of the distance piece through regular thickness measurements (which may be required by certain Classification societies too). Should the overboard distance piece require repairs, then underwater works can be carried out without affecting the vessel’s schedule.
 
Another issue of some concern is the fact that vessels with open loop scrubbers may not be able to trade freely as some ports or states may prohibit the discharge of wash water in spite of the discharge meeting international standards (IMO resolution MEPC.259(68)). There are currently only a handful of states with strict scrubber wash water discharge regulations in place but other states could introduce similar rules in the future. Hybrid or closed loop systems may therefore appear to be better options for vessels trading in these areas. One issue which may then arise is where to discharge the contents of the holding tank as many states do not yet have shore reception facilities in place for this type of waste, or where these are available, they may come at a cost.
 
Scrubbers, being a mechanical device, can break down or malfunction for a variety of reasons. For example, vessels can experience problems associated with loss of sea water supply or poor inflow due to clogged sea chests, mechanical failure of pumps, pipe leakages, all of which may lead to the scrubber system shutting down. Should this happen, owners would need to notify both the flag and port states immediately. This will be perceived as a temporary non-compliance and the vessel would not be in immediate breach of the regulations, and provisions of MARPOL Annex VI regulation 3.1.2 would apply. The vessel would, however, be expected to change over to compliant fuel immediately, but if this is not available, the vessel must carry out repairs at next port or use bunker compliant fuel. The Exhaust Gas Cleaning Systems Association (EGCSA) has produced a useful diagram detailing the interaction with the port state in such situations.
 
Difficulty in repairing scrubber units whilst the vessel is located in remote regions should be anticipated. Due diligence and preparedness would require owners and managers to revisit their critical spares list, and in consultation with the manufacturer, add those items which are most likely to break down, including the continuous emissions monitoring system. It is worth mentioning that when selecting scrubber supplier after sales service is an important element. In that regard, manufacturer’s service networks, market reputation and financial standing should form part of the selection process. Similar kind of due diligence would have to be exercised in selection of CEMS (Continuous Emission Monitoring System) supplier too.
 
It is important that the crew is given training in not only operating the scrubber unit, handling sensitive control and monitoring systems and carrying out maintenance, but also safe handling of the chemicals used and scrubber waste. Safety Management procedures may have to be updated accordingly.
 
Conclusion
Despite the high capital expenditure involved, scrubbers seem to be the favoured solution for many owners as this does away with the uncertainties involved in obtaining compliant fuel. We havein certain cases, seen that charterers would be willing to share the initial investment costs to secure a better long term charter deal.
 
Whichever route an owner selects on the road to compliance with IMO 2020, the final selection should only be made following a proper study and full knowledge of the pros and cons of each option. This can be achieved through dialogue with manufacturers, technical experts, charterers, bunker suppliers, and classification societies.
by Siddharth Mahajan
Loss Prevention Eexcutive, Asia, Singapore
GARD


If you believe an article violates your rights or the rights of others, please contact us.

Recent News

Friday, 30 October 15
COAL PRODUCTION IN THE UNITED STATES INCREASED THIS WEEK - EIA
COALspot.com – United States the world’s second largest coal producer has produced approximately totaled an estimated 17.5 million shor ...


Thursday, 29 October 15
IRAN'S RETURN TO OIL MARKETS WILL HAVE TEMPERED IMPACT FOR THE TANKER SHIPPING INDUSTRY - NIKOS ROUSSANOGLOU, HELLENIC SHIPPING NEWS
While many analysts appear to be fearful of a potential incremental rise in tanker ships’ supply, as a result of the imminent return of Iran ...


Thursday, 29 October 15
Q2' 16 FOB INDONESIA COAL SWAP CLOSED US$ 37.40 PER TON; DECLINED 5.56 PER CENT M-M
COALspot.com: Indonesian coal swap for delivery Q4 2015 declined month on month and week over week. The Q4 swap declined $ 2.13 (-5.34%) per t ...


Wednesday, 28 October 15
Q2'16 FOB RICHARDS BAY COAL SWAP SEES FURTHER DECLINES
COALspot.com: API4 FOB Richards Bay Coal swap for delivery Q4' 2015 gained week over week and declined month over month. The Q4 swap was d ...


Wednesday, 28 October 15
BDI INCREASE TOOK PLACE SOLELY ON THE BACK OF CAPESIZE PERFORMANCE, BUT........ - INTERMODAL
COALspot.com: The Dry Bulk market closed off the week noting a small improvement  which nonetheless failed to lift sentiment, not only because ...


   281 282 283 284 285   
Showing 1411 to 1415 news of total 5538
News by Category
Popular News
 
Total Members : 26,487
Member
Panelist
User ID
Password
Remember Me
By logging on you accept our TERMS OF USE.
Free
Register
Forgot Password
 
Our Members Are From ...

  • Minerals Council of Australia
  • Surastha Cement
  • Idemitsu - Japan
  • SMG Consultants - Indonesia
  • ACC Limited - India
  • Borneo Indobara - Indonesia
  • Coal Orbis AG
  • Eastern Energy - Thailand
  • Indonesia Power. PT
  • Gujarat Sidhee Cement - India
  • HSBC - Hong Kong
  • Aboitiz Power Corporation - Philippines
  • Merrill Lynch Bank
  • TeaM Sual Corporation - Philippines
  • Permata Bank - Indonesia
  • JPower - Japan
  • Parry Sugars Refinery, India
  • Standard Chartered Bank - UAE
  • Reliance Power - India
  • Siam City Cement PLC, Thailand
  • Planning Commission, India
  • Xindia Steels Limited - India
  • Jaiprakash Power Ventures ltd
  • Timah Investasi Mineral - Indoneisa
  • Glencore India Pvt. Ltd
  • Directorate General of MIneral and Coal - Indonesia
  • Agrawal Coal Company - India
  • Makarim & Taira - Indonesia
  • Tata Chemicals Ltd - India
  • Karbindo Abesyapradhi - Indoneisa
  • Gresik Semen - Indonesia
  • The State Trading Corporation of India Ltd
  • Central Java Power - Indonesia
  • Freeport Indonesia
  • Banpu Public Company Limited - Thailand
  • WorleyParsons
  • Ambuja Cements Ltd - India
  • Shree Cement - India
  • Maybank - Singapore
  • Xstrata Coal
  • The India Cements Ltd
  • Trasteel International SA, Italy
  • Marubeni Corporation - India
  • OPG Power Generation Pvt Ltd - India
  • NALCO India
  • Indian Oil Corporation Limited
  • Sindya Power Generating Company Private Ltd
  • Merrill Lynch Commodities Europe
  • Larsen & Toubro Limited - India
  • Adaro Indonesia
  • Bulk Trading Sa - Switzerland
  • Manunggal Multi Energi - Indonesia
  • Jindal Steel & Power Ltd - India
  • The University of Queensland
  • Cemex - Philippines
  • Moodys - Singapore
  • Simpson Spence & Young - Indonesia
  • Interocean Group of Companies - India
  • World Coal - UK
  • Bukit Baiduri Energy - Indonesia
  • Cement Manufacturers Association - India
  • Formosa Plastics Group - Taiwan
  • McKinsey & Co - India
  • Madhucon Powers Ltd - India
  • Sinarmas Energy and Mining - Indonesia
  • ICICI Bank Limited - India
  • KPCL - India
  • Eastern Coal Council - USA
  • Medco Energi Mining Internasional
  • Rio Tinto Coal - Australia
  • Credit Suisse - India
  • Qatrana Cement - Jordan
  • Carbofer General Trading SA - India
  • Peabody Energy - USA
  • Metalloyd Limited - United Kingdom
  • Price Waterhouse Coopers - Russia
  • Global Coal Blending Company Limited - Australia
  • Aditya Birla Group - India
  • ANZ Bank - Australia
  • Coaltrans Conferences
  • DBS Bank - Singapore
  • Thailand Anthracite
  • GHCL Limited - India
  • SUEK AG - Indonesia
  • Sucofindo - Indonesia
  • Kideco Jaya Agung - Indonesia
  • Arch Coal - USA
  • Dalmia Cement Bharat India
  • Thiess Contractors Indonesia
  • Vedanta Resources Plc - India
  • Gujarat Mineral Development Corp Ltd - India
  • Mjunction Services Limited - India
  • Deutsche Bank - India
  • Coastal Gujarat Power Limited - India
  • Lafarge - France
  • Directorate Of Revenue Intelligence - India
  • Posco Energy - South Korea
  • Orica Australia Pty. Ltd.
  • Infraline Energy - India
  • Chamber of Mines of South Africa
  • Maersk Broker
  • OCBC - Singapore
  • Gupta Coal India Ltd
  • Malabar Cements Ltd - India
  • MEC Coal - Indonesia
  • Vale Mozambique
  • Australian Commodity Traders Exchange
  • Bank of Tokyo Mitsubishi UFJ Ltd
  • PNOC Exploration Corporation - Philippines
  • EIA - United States
  • Bhatia International Limited - India
  • Indorama - Singapore
  • Core Mineral Indonesia
  • Kohat Cement Company Ltd. - Pakistan
  • Indian School of Mines
  • Wood Mackenzie - Singapore
  • IMC Shipping - Singapore
  • ETA - Dubai
  • Star Paper Mills Limited - India
  • India Bulls Power Limited - India
  • Ince & co LLP
  • Offshore Bulk Terminal Pte Ltd, Singapore
  • GB Group - China
  • Cardiff University - UK
  • Maruti Cements - India
  • Runge Indonesia
  • Parliament of New Zealand
  • Meenaskhi Energy Private Limited - India
  • Kaltim Prima Coal - Indonesia
  • Rudhra Energy - India
  • Kartika Selabumi Mining - Indonesia
  • Thermax Limited - India
  • Miang Besar Coal Terminal - Indonesia
  • Lanco Infratech Ltd - India
  • Deloitte Consulting - India
  • GMR Energy Limited - India
  • Intertek Mineral Services - Indonesia
  • Berau Coal - Indonesia
  • Oldendorff Carriers - Singapore
  • Geoservices-GeoAssay Lab
  • Cosco
  • Malco - India
  • Kumho Petrochemical, South Korea
  • LBH Netherlands Bv - Netherlands
  • Russian Coal LLC
  • APGENCO India
  • Grasim Industreis Ltd - India
  • Dong Bac Coal Mineral Investment Coporation - Vietnam
  • Thriveni
  • Noble Europe Ltd - UK
  • Savvy Resources Ltd - HongKong
  • Electricity Generating Authority of Thailand
  • Bank of China, Malaysia
  • Bayan Resources Tbk. - Indonesia
  • Port Waratah Coal Services - Australia
  • Truba Alam Manunggal Engineering.Tbk - Indonesia
  • Sree Jayajothi Cements Limited - India
  • Platts
  • Indogreen Group - Indonesia
  • Dr Ramakrishna Prasad Power Pvt Ltd - India
  • TNPL - India
  • New Zealand Coal & Carbon
  • Billiton Holdings Pty Ltd - Australia
  • U S Energy Resources
  • SRK Consulting
  • Mitsubishi Corporation
  • Tanito Harum - Indonesia
  • Thomson Reuters GRC
  • McConnell Dowell - Australia
  • Ministry of Mines - Canada
  • White Energy Company Limited
  • Samtan Co., Ltd - South Korea
  • Ceylon Electricity Board - Sri Lanka
  • BNP Paribas - Singapore
  • BRS Brokers - Singapore
  • London Commodity Brokers - England
  • Videocon Industries ltd - India
  • Vizag Seaport Private Limited - India
  • TNB Fuel Sdn Bhd - Malaysia
  • Barclays Capital - USA
  • PLN Batubara - Indonesia
  • Cargill India Pvt Ltd
  • Bukit Asam (Persero) Tbk - Indonesia
  • GVK Power & Infra Limited - India
  • Samsung - South Korea
  • Toyota Tsusho Corporation, Japan
  • PowerSource Philippines DevCo
  • CNBM International Corporation - China
  • South Luzon Thermal Energy Corporation
  • Chettinad Cement Corporation Ltd - India
  • Indonesian Coal Mining Association
  • Mechel - Russia
  • Inco-Indonesia
  • Filglen & Citicon Mining (HK) Ltd - Hong Kong
  • Siam City Cement - Thailand
  • IHS Mccloskey Coal Group - USA
  • Sical Logistics Limited - India
  • J M Baxi & Co - India
  • GNFC Limited - India
  • Indika Energy - Indonesia
  • Romanian Commodities Exchange
  • Bhoruka Overseas - Indonesia
  • Altura Mining Limited, Indonesia
  • Thai Mozambique Logistica
  • IBC Asia (S) Pte Ltd
  • Pendopo Energi Batubara - Indonesia
  • Edison Trading Spa - Italy
  • Petrochimia International Co. Ltd.- Taiwan
  • Sojitz Corporation - Japan
  • World Bank
  • Georgia Ports Authority, United States
  • Kapuas Tunggal Persada - Indonesia
  • Goldman Sachs - Singapore
  • CoalTek, United States
  • JPMorgan - India
  • KOWEPO - South Korea
  • Wilmar Investment Holdings
  • ING Bank NV - Singapore
  • Independent Power Producers Association of India
  • MS Steel International - UAE
  • Straits Asia Resources Limited - Singapore
  • Economic Council, Georgia
  • Indo Tambangraya Megah - Indonesia
  • Gujarat Electricity Regulatory Commission - India
  • Arutmin Indonesia
  • International Coal Ventures Pvt Ltd - India
  • Bangladesh Power Developement Board
  • Sakthi Sugars Limited - India
  • IEA Clean Coal Centre - UK
  • Rashtriya Ispat Nigam Limited - India
  • Kobexindo Tractors - Indoneisa
  • Inspectorate - India
  • Tata Power - India
  • Argus Media - Singapore
  • Bukit Makmur.PT - Indonesia
  • CIMB Investment Bank - Malaysia
  • Bharathi Cement Corporation - India
  • Tamil Nadu electricity Board
  • Jorong Barutama Greston.PT - Indonesia
  • Central Electricity Authority - India
  • NTPC Limited - India
  • Mintek Dendrill Indonesia
  • Holcim Trading Pte Ltd - Singapore
  • Mercuria Energy - Indonesia
  • Ministry of Finance - Indonesia
  • Salva Resources Pvt Ltd - India
  • PTC India Limited - India
  • PLN - Indonesia
  • Africa Commodities Group - South Africa
  • EMO - The Netherlands
  • Kalimantan Lumbung Energi - Indonesia
  • Leighton Contractors Pty Ltd - Australia
  • Vitol - Bahrain
  • Shenhua Group - China
  • Energy Link Ltd, New Zealand
  • Total Coal South Africa
  • Vijayanagar Sugar Pvt Ltd - India
  • The Treasury - Australian Government
  • Mitra SK Pvt Ltd - India
  • Adani Power Ltd - India
  • Britmindo - Indonesia
  • Latin American Coal - Colombia
  • Asmin Koalindo Tuhup - Indonesia
  • Anglo American - United Kingdom
  • KEPCO - South Korea
  • Ind-Barath Power Infra Limited - India
  • Antam Resourcindo - Indonesia
  • Bahari Cakrawala Sebuku - Indonesia
  • VISA Power Limited - India
  • Globalindo Alam Lestari - Indonesia
  • Maharashtra Electricity Regulatory Commission - India
  • bp singapore
  • Singapore Mercantile Exchange
  • Commonwealth Bank - Australia
  • Riau Bara Harum - Indonesia
  • Neyveli Lignite Corporation Ltd, - India
  • UOB Asia (HK) Ltd
  • PetroVietnam
  • Binh Thuan Hamico - Vietnam
  • UBS Singapore
  • Mercator Lines Limited - India
  • Bhushan Steel Limited - India
  • Pinang Coal Indonesia
  • Ministry of Transport, Egypt
  • Enel Italy
  • Platou - Singapore
  • Cigading International Bulk Terminal - Indonesia
  • PetroVietnam Power Coal Import and Supply Company
  • ASAPP Information Group - India
  • Orica Mining Services - Indonesia
  • Bank of America
  • Fearnleys - India
  • European Bulk Services B.V. - Netherlands
  • Heidelberg Cement - Germany
  • Australian Coal Association
  • Mitsui
  • globalCOAL - UK
  • SASOL - South Africa
  • Alfred C Toepfer International GmbH - Germany
  • KPMG - USA
  • CCIC - Indonesia
  • Coal and Oil Company - UAE
  • GAC Shipping (India) Pvt Ltd
  • Coalindo Energy - Indonesia
  • Uttam Galva Steels Limited - India
  • Coeclerici Indonesia
  • Coal India Limited
  • Humpuss - Indonesia
  • Barasentosa Lestari - Indonesia
  • Clarksons - UK
  • Petrosea - Indonesia
  • Attock Cement Pakistan Limited
  • Essar Steel Hazira Ltd - India
  • Asian Development Bank
  • Ernst & Young Pvt. Ltd.
  • Bangkok Bank PCL
  • Kobe Steel Ltd - Japan
  • SGS (Thailand) Limited
  • CESC Limited - India
  • IOL Indonesia
  • RBS Sempra - UK
  • Power Finance Corporation Ltd., India
  • Japan Coal Energy Center
  • TANGEDCO India
  • Jatenergy - Australia
  • Karaikal Port Pvt Ltd - India
  • Renaissance Capital - South Africa
  • Krishnapatnam Port Company Ltd. - India
  • Asia Cement - Taiwan
  • Maheswari Brothers Coal Limited - India
  • Panama Canal Authority