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Tuesday, 04 June 19
MARPOL ANNEX VI - SULPHUR CAP 2020 - DEMYSTIFYING THE FONAR - SKULD
KNOWLEDGE TO ELEVATE
Fuel Oil Non-Availability Report (FONAR) is primarily a discretionary tool for a Member State to lessen the breach of MARPOL Annex VI, it is not an exemption but rather a self-declaration by owners that a breach has or is about to occur.
IMO’s Marine Environment Protection Committee (“MEPC”) 74 published its resolutions on 20 May 2019 and specifically Section 5 deals with the ramifications of the aforementioned report.
The concerns over non-availability of globally compliant bunkers of 0.5% bear identical hallmarks of the implementation of the ECA zones and availability of 0.1% back in 2015.
There has been much discussion on whether owners may rely on the FONAR due to non-availability of compliant fuel.
However, how it will be applied by each Member State remains to be seen.
The FONAR consists of an immensely detailed questionnaire. Owners who find themselves in breach of Regulation 18 can make use of a FONAR. However, the evidential threshold is high and succeeding on a dispensation or reduction of a fine will depend on whether best efforts were made to:
Source compliant fuel;
Source local alternative sources.
That said, even unavailability is not a carte blanche to breaching MARPOL since alternative compliant fuels could have, most likely, been purchased such as 0.1% distillates.
To support a claim that all efforts were made to source complaint fuel, owners will need to furnish exhaustive evidence that a voyage plan was in place, that there were valid reasons for being unable to source compliant bunkers and/or operational issues which would have endangered the vessel had the non-compliant bunkers been burnt.
Owners can be sure that the Port State Control (PSC) inspectors will investigate other vessels which called at a port which allegedly did not have compliant fuel available in order to verify the truth of the statements contained within the report.
The PSC will also look for evidence of any fuel changeovers conducted outside of the jurisdiction of the Member States and whether the vessel had working emission control equipment during its visit.
Interestingly, the PSC will keep record of how many FONARs a vessel and/or their operators have requested in a period of twelve months. Any patterns of non-compliance by a fleet will be found out, sanctioned and prevented from submitting future FONARs.
Stringent investigations are likely to ensue following the submission of a FONAR and the information will be shared between Member States to report on compliant fuel oil supply issues.
Owners should beware that only a small quantity of non-compliant bunkers should be stemmed, if at all, as entering a Member State will result in the entirety of the non-compliant bunkers being debunkered at owners’ expense to bring the vessel within compliance.
The new FONAR wording is set out at Annex 1 of MEPC 74.
Source: SKULD
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Saturday, 11 January 20
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Friday, 10 January 20
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Thursday, 09 January 20
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Thursday, 09 January 20
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- European Bulk Services B.V. - Netherlands
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Minerals Council of Australia
- Bahari Cakrawala Sebuku - Indonesia
- Directorate General of MIneral and Coal - Indonesia
- Cement Manufacturers Association - India
- Ministry of Transport, Egypt
- Maharashtra Electricity Regulatory Commission - India
- Eastern Energy - Thailand
- Jindal Steel & Power Ltd - India
- Posco Energy - South Korea
- Mercuria Energy - Indonesia
- Borneo Indobara - Indonesia
- ASAPP Information Group - India
- Toyota Tsusho Corporation, Japan
- Deloitte Consulting - India
- Bhatia International Limited - India
- Global Green Power PLC Corporation, Philippines
- Economic Council, Georgia
- Kaltim Prima Coal - Indonesia
- Electricity Generating Authority of Thailand
- GN Power Mariveles Coal Plant, Philippines
- Petron Corporation, Philippines
- Coalindo Energy - Indonesia
- Vedanta Resources Plc - India
- Intertek Mineral Services - Indonesia
- Kideco Jaya Agung - Indonesia
- Parry Sugars Refinery, India
- Simpson Spence & Young - Indonesia
- Lanco Infratech Ltd - India
- Wilmar Investment Holdings
- Chettinad Cement Corporation Ltd - India
- CIMB Investment Bank - Malaysia
- Neyveli Lignite Corporation Ltd, - India
- Straits Asia Resources Limited - Singapore
- South Luzon Thermal Energy Corporation
- GAC Shipping (India) Pvt Ltd
- India Bulls Power Limited - India
- TNB Fuel Sdn Bhd - Malaysia
- Bank of Tokyo Mitsubishi UFJ Ltd
- Indogreen Group - Indonesia
- Karaikal Port Pvt Ltd - India
- Sojitz Corporation - Japan
- MS Steel International - UAE
- Rio Tinto Coal - Australia
- Altura Mining Limited, Indonesia
- Karbindo Abesyapradhi - Indoneisa
- GMR Energy Limited - India
- Maheswari Brothers Coal Limited - India
- Vijayanagar Sugar Pvt Ltd - India
- Videocon Industries ltd - India
- Thai Mozambique Logistica
- Star Paper Mills Limited - India
- Alfred C Toepfer International GmbH - Germany
- New Zealand Coal & Carbon
- Iligan Light & Power Inc, Philippines
- Electricity Authority, New Zealand
- Semirara Mining and Power Corporation, Philippines
- Grasim Industreis Ltd - India
- Mjunction Services Limited - India
- Essar Steel Hazira Ltd - India
- Coastal Gujarat Power Limited - India
- Australian Commodity Traders Exchange
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Pendopo Energi Batubara - Indonesia
- Gujarat Mineral Development Corp Ltd - India
- Baramulti Group, Indonesia
- Price Waterhouse Coopers - Russia
- Holcim Trading Pte Ltd - Singapore
- Australian Coal Association
- Cigading International Bulk Terminal - Indonesia
- International Coal Ventures Pvt Ltd - India
- Banpu Public Company Limited - Thailand
- SMG Consultants - Indonesia
- Kepco SPC Power Corporation, Philippines
- SMC Global Power, Philippines
- Siam City Cement PLC, Thailand
- Planning Commission, India
- Sree Jayajothi Cements Limited - India
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Sinarmas Energy and Mining - Indonesia
- Interocean Group of Companies - India
- McConnell Dowell - Australia
- Gujarat Electricity Regulatory Commission - India
- CNBM International Corporation - China
- Indo Tambangraya Megah - Indonesia
- Energy Link Ltd, New Zealand
- Heidelberg Cement - Germany
- Singapore Mercantile Exchange
- Aditya Birla Group - India
- Timah Investasi Mineral - Indoneisa
- Pipit Mutiara Jaya. PT, Indonesia
- Bukit Makmur.PT - Indonesia
- Global Coal Blending Company Limited - Australia
- Kumho Petrochemical, South Korea
- Meralco Power Generation, Philippines
- Aboitiz Power Corporation - Philippines
- IHS Mccloskey Coal Group - USA
- Marubeni Corporation - India
- Kohat Cement Company Ltd. - Pakistan
- Kartika Selabumi Mining - Indonesia
- Malabar Cements Ltd - India
- Petrochimia International Co. Ltd.- Taiwan
- PowerSource Philippines DevCo
- London Commodity Brokers - England
- Oldendorff Carriers - Singapore
- Indonesian Coal Mining Association
- Ambuja Cements Ltd - India
- Madhucon Powers Ltd - India
- Globalindo Alam Lestari - Indonesia
- Chamber of Mines of South Africa
- Mercator Lines Limited - India
- Barasentosa Lestari - Indonesia
- Orica Australia Pty. Ltd.
- Global Business Power Corporation, Philippines
- Romanian Commodities Exchange
- Bangladesh Power Developement Board
- The State Trading Corporation of India Ltd
- Asmin Koalindo Tuhup - Indonesia
- AsiaOL BioFuels Corp., Philippines
- Coal and Oil Company - UAE
- Antam Resourcindo - Indonesia
- Binh Thuan Hamico - Vietnam
- Kobexindo Tractors - Indoneisa
- The University of Queensland
- Manunggal Multi Energi - Indonesia
- Miang Besar Coal Terminal - Indonesia
- Bayan Resources Tbk. - Indonesia
- Bhushan Steel Limited - India
- Tata Chemicals Ltd - India
- Energy Development Corp, Philippines
- OPG Power Generation Pvt Ltd - India
- Bukit Baiduri Energy - Indonesia
- Thiess Contractors Indonesia
- Siam City Cement - Thailand
- Indian Energy Exchange, India
- Metalloyd Limited - United Kingdom
- Carbofer General Trading SA - India
- LBH Netherlands Bv - Netherlands
- White Energy Company Limited
- Vizag Seaport Private Limited - India
- Offshore Bulk Terminal Pte Ltd, Singapore
- VISA Power Limited - India
- Rashtriya Ispat Nigam Limited - India
- Krishnapatnam Port Company Ltd. - India
- Samtan Co., Ltd - South Korea
- Leighton Contractors Pty Ltd - Australia
- Sindya Power Generating Company Private Ltd
- Trasteel International SA, Italy
- Bulk Trading Sa - Switzerland
- Ministry of Finance - Indonesia
- Ind-Barath Power Infra Limited - India
- Directorate Of Revenue Intelligence - India
- Riau Bara Harum - Indonesia
- The Treasury - Australian Government
- Indika Energy - Indonesia
- Dalmia Cement Bharat India
- Billiton Holdings Pty Ltd - Australia
- Formosa Plastics Group - Taiwan
- Orica Mining Services - Indonesia
- Central Java Power - Indonesia
- PNOC Exploration Corporation - Philippines
- Independent Power Producers Association of India
- Merrill Lynch Commodities Europe
- Gujarat Sidhee Cement - India
- Bukit Asam (Persero) Tbk - Indonesia
- Renaissance Capital - South Africa
- Therma Luzon, Inc, Philippines
- Attock Cement Pakistan Limited
- Eastern Coal Council - USA
- Agrawal Coal Company - India
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Sical Logistics Limited - India
- Africa Commodities Group - South Africa
- PTC India Limited - India
- Indian Oil Corporation Limited
- Tamil Nadu electricity Board
- Uttam Galva Steels Limited - India
- Commonwealth Bank - Australia
- Bharathi Cement Corporation - India
- Larsen & Toubro Limited - India
- Medco Energi Mining Internasional
- IEA Clean Coal Centre - UK
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Jaiprakash Power Ventures ltd
- Ministry of Mines - Canada
- Kalimantan Lumbung Energi - Indonesia
- Salva Resources Pvt Ltd - India
- PetroVietnam Power Coal Import and Supply Company
- Semirara Mining Corp, Philippines
- Sarangani Energy Corporation, Philippines
- Kapuas Tunggal Persada - Indonesia
- Port Waratah Coal Services - Australia
- Meenaskhi Energy Private Limited - India
- Xindia Steels Limited - India
- Edison Trading Spa - Italy
- Mintek Dendrill Indonesia
- Ceylon Electricity Board - Sri Lanka
- Georgia Ports Authority, United States
- Sakthi Sugars Limited - India
- Anglo American - United Kingdom
- Parliament of New Zealand
- Savvy Resources Ltd - HongKong
- Standard Chartered Bank - UAE
- Goldman Sachs - Singapore
- Bhoruka Overseas - Indonesia
- ICICI Bank Limited - India
- Central Electricity Authority - India
- GVK Power & Infra Limited - India
- Wood Mackenzie - Singapore
- TeaM Sual Corporation - Philippines
- SN Aboitiz Power Inc, Philippines
- Latin American Coal - Colombia
- Jorong Barutama Greston.PT - Indonesia
- Power Finance Corporation Ltd., India
- San Jose City I Power Corp, Philippines
- Makarim & Taira - Indonesia
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