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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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Wednesday, 03 July 19
SHIPPING MARKET INSIGHT - INTERMODAL
The global shipping industry is facing numerous challenges at a time when geopolitical turmoil has escalated in view of the recent tension in the M ...
Monday, 01 July 19
COAL DEMAND RISES, BUT REMAINS BELOW PEAK LEVELS - FORBES
This article is the third in a series on BP’s recently-released Statistical Review of World Energy 2019. The Review provides a comprehensive ...
Saturday, 29 June 19
ULTRAMAX: FROM SOUTHEAST ASIA MORE COAL WAS ENTERING THE MARKET - BALTIC BRIEFING
Capesize
The market showed variability over the past week, as most routes were active yet sentiment differed from region to region. The Pacific ...
Wednesday, 26 June 19
SHIPPING MARKET INSIGHT - INTERMODAL
As the first half of the year is almost over, it is worth looking back at the sale and purchase activity during these months, focusing on the segme ...
Tuesday, 25 June 19
THERMAL COAL FUTURES ON THE ZHENGSHOU EXCHANGE ROSE - DANIEL HYNES
Coal markets were buoyed by ongoing supply side issues.
According to Daniel Hynes, Senior Commodity Strategist of ANZ, the the ...
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- Essar Steel Hazira Ltd - India
- Merrill Lynch Commodities Europe
- Sical Logistics Limited - India
- Asmin Koalindo Tuhup - Indonesia
- Electricity Generating Authority of Thailand
- Therma Luzon, Inc, Philippines
- Salva Resources Pvt Ltd - India
- Meenaskhi Energy Private Limited - India
- Bhushan Steel Limited - India
- Binh Thuan Hamico - Vietnam
- Power Finance Corporation Ltd., India
- Antam Resourcindo - Indonesia
- San Jose City I Power Corp, Philippines
- Cement Manufacturers Association - India
- Rio Tinto Coal - Australia
- Siam City Cement - Thailand
- Agrawal Coal Company - India
- Lanco Infratech Ltd - India
- Karaikal Port Pvt Ltd - India
- Tamil Nadu electricity Board
- Commonwealth Bank - Australia
- Offshore Bulk Terminal Pte Ltd, Singapore
- Jorong Barutama Greston.PT - Indonesia
- Petron Corporation, Philippines
- White Energy Company Limited
- SMC Global Power, Philippines
- SMG Consultants - Indonesia
- Formosa Plastics Group - Taiwan
- Miang Besar Coal Terminal - Indonesia
- Oldendorff Carriers - Singapore
- Marubeni Corporation - India
- Sojitz Corporation - Japan
- TeaM Sual Corporation - Philippines
- Indogreen Group - Indonesia
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Ministry of Mines - Canada
- GVK Power & Infra Limited - India
- Thai Mozambique Logistica
- PowerSource Philippines DevCo
- Parliament of New Zealand
- Sinarmas Energy and Mining - Indonesia
- Mjunction Services Limited - India
- Meralco Power Generation, Philippines
- Jindal Steel & Power Ltd - India
- The State Trading Corporation of India Ltd
- Samtan Co., Ltd - South Korea
- Timah Investasi Mineral - Indoneisa
- Neyveli Lignite Corporation Ltd, - India
- Larsen & Toubro Limited - India
- MS Steel International - UAE
- Goldman Sachs - Singapore
- GMR Energy Limited - India
- Rashtriya Ispat Nigam Limited - India
- Orica Mining Services - Indonesia
- Africa Commodities Group - South Africa
- European Bulk Services B.V. - Netherlands
- Chamber of Mines of South Africa
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Global Business Power Corporation, Philippines
- Iligan Light & Power Inc, Philippines
- Globalindo Alam Lestari - Indonesia
- Altura Mining Limited, Indonesia
- Borneo Indobara - Indonesia
- Gujarat Mineral Development Corp Ltd - India
- Malabar Cements Ltd - India
- Price Waterhouse Coopers - Russia
- Indonesian Coal Mining Association
- Mercuria Energy - Indonesia
- Uttam Galva Steels Limited - India
- Maharashtra Electricity Regulatory Commission - India
- Eastern Energy - Thailand
- Renaissance Capital - South Africa
- Jaiprakash Power Ventures ltd
- CIMB Investment Bank - Malaysia
- Tata Chemicals Ltd - India
- Alfred C Toepfer International GmbH - Germany
- Videocon Industries ltd - India
- ICICI Bank Limited - India
- TNB Fuel Sdn Bhd - Malaysia
- Kartika Selabumi Mining - Indonesia
- India Bulls Power Limited - India
- Standard Chartered Bank - UAE
- Wood Mackenzie - Singapore
- Aditya Birla Group - India
- Eastern Coal Council - USA
- Billiton Holdings Pty Ltd - Australia
- Star Paper Mills Limited - India
- Global Coal Blending Company Limited - Australia
- Bukit Makmur.PT - Indonesia
- GN Power Mariveles Coal Plant, Philippines
- Riau Bara Harum - Indonesia
- Pipit Mutiara Jaya. PT, Indonesia
- Ceylon Electricity Board - Sri Lanka
- Carbofer General Trading SA - India
- Krishnapatnam Port Company Ltd. - India
- Indo Tambangraya Megah - Indonesia
- Madhucon Powers Ltd - India
- Xindia Steels Limited - India
- Gujarat Sidhee Cement - India
- GAC Shipping (India) Pvt Ltd
- Edison Trading Spa - Italy
- The Treasury - Australian Government
- Leighton Contractors Pty Ltd - Australia
- Toyota Tsusho Corporation, Japan
- Pendopo Energi Batubara - Indonesia
- Port Waratah Coal Services - Australia
- Kumho Petrochemical, South Korea
- New Zealand Coal & Carbon
- Central Java Power - Indonesia
- IHS Mccloskey Coal Group - USA
- Mercator Lines Limited - India
- Bahari Cakrawala Sebuku - Indonesia
- Savvy Resources Ltd - HongKong
- Electricity Authority, New Zealand
- Coastal Gujarat Power Limited - India
- Dalmia Cement Bharat India
- Economic Council, Georgia
- Kapuas Tunggal Persada - Indonesia
- Attock Cement Pakistan Limited
- Bukit Baiduri Energy - Indonesia
- SN Aboitiz Power Inc, Philippines
- Planning Commission, India
- IEA Clean Coal Centre - UK
- Kepco SPC Power Corporation, Philippines
- Cigading International Bulk Terminal - Indonesia
- Thiess Contractors Indonesia
- Energy Development Corp, Philippines
- Ind-Barath Power Infra Limited - India
- Heidelberg Cement - Germany
- Bank of Tokyo Mitsubishi UFJ Ltd
- Sarangani Energy Corporation, Philippines
- Interocean Group of Companies - India
- Singapore Mercantile Exchange
- Sindya Power Generating Company Private Ltd
- Australian Commodity Traders Exchange
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Maheswari Brothers Coal Limited - India
- International Coal Ventures Pvt Ltd - India
- Makarim & Taira - Indonesia
- Indika Energy - Indonesia
- Posco Energy - South Korea
- Coalindo Energy - Indonesia
- OPG Power Generation Pvt Ltd - India
- Baramulti Group, Indonesia
- Vedanta Resources Plc - India
- Romanian Commodities Exchange
- Aboitiz Power Corporation - Philippines
- Anglo American - United Kingdom
- Ambuja Cements Ltd - India
- Bayan Resources Tbk. - Indonesia
- Banpu Public Company Limited - Thailand
- PNOC Exploration Corporation - Philippines
- Medco Energi Mining Internasional
- Wilmar Investment Holdings
- McConnell Dowell - Australia
- Vijayanagar Sugar Pvt Ltd - India
- Latin American Coal - Colombia
- Bhoruka Overseas - Indonesia
- VISA Power Limited - India
- Global Green Power PLC Corporation, Philippines
- Orica Australia Pty. Ltd.
- The University of Queensland
- CNBM International Corporation - China
- Vizag Seaport Private Limited - India
- Metalloyd Limited - United Kingdom
- Straits Asia Resources Limited - Singapore
- Ministry of Finance - Indonesia
- Kohat Cement Company Ltd. - Pakistan
- Semirara Mining Corp, Philippines
- Bulk Trading Sa - Switzerland
- Manunggal Multi Energi - Indonesia
- Directorate General of MIneral and Coal - Indonesia
- Intertek Mineral Services - Indonesia
- Australian Coal Association
- LBH Netherlands Bv - Netherlands
- Chettinad Cement Corporation Ltd - India
- South Luzon Thermal Energy Corporation
- Simpson Spence & Young - Indonesia
- Georgia Ports Authority, United States
- Trasteel International SA, Italy
- Kaltim Prima Coal - Indonesia
- AsiaOL BioFuels Corp., Philippines
- London Commodity Brokers - England
- Deloitte Consulting - India
- Indian Energy Exchange, India
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Semirara Mining and Power Corporation, Philippines
- Sree Jayajothi Cements Limited - India
- Kideco Jaya Agung - Indonesia
- Gujarat Electricity Regulatory Commission - India
- Indian Oil Corporation Limited
- PetroVietnam Power Coal Import and Supply Company
- Central Electricity Authority - India
- Kalimantan Lumbung Energi - Indonesia
- Ministry of Transport, Egypt
- Mintek Dendrill Indonesia
- Sakthi Sugars Limited - India
- Bhatia International Limited - India
- Parry Sugars Refinery, India
- Minerals Council of Australia
- Karbindo Abesyapradhi - Indoneisa
- Independent Power Producers Association of India
- Bharathi Cement Corporation - India
- Energy Link Ltd, New Zealand
- Coal and Oil Company - UAE
- ASAPP Information Group - India
- Barasentosa Lestari - Indonesia
- Bukit Asam (Persero) Tbk - Indonesia
- Directorate Of Revenue Intelligence - India
- Kobexindo Tractors - Indoneisa
- Petrochimia International Co. Ltd.- Taiwan
- PTC India Limited - India
- Holcim Trading Pte Ltd - Singapore
- Grasim Industreis Ltd - India
- Siam City Cement PLC, Thailand
- Bangladesh Power Developement Board
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