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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, 06 March 19
SHIPPING MARKET INSIGHT - INERMODAL
In a downward moving market, softer SnP activity is usually a given, as the gap between Sellers’ and Buyers’ ideas widens, especially w ...
Saturday, 02 March 19
A 60,500-TONNER WAS BOOKED DELIVERY SINGAPORE, VIA INDONESIA, REDELIVERY WEST COAST INDIA, AT $11,250 - BALTIC BRIEFING
Capesize
Vale’s ongoing absence from the Brazil spot market continued to have a negative impact on sentiment, with rates falling in all a ...
Thursday, 28 February 19
COAL'S PERFECT STORM HITS $70 BILLION AUSTRALIAN PROJECTS - BLOOMBERG
It’s been a tough few weeks for our coal industry.
First there was a court ruling blocking a new mine on climate change ground ...
Wednesday, 27 February 19
SHIPPING MARKET INSIGHT - INTERMODAL
With the IMO 2020 approaching, it becomes challenging for the market to accurately explore the run-up to the deadline given that marine fuel-oil of ...
Tuesday, 26 February 19
CHINA RESTRICTS SEABORNE COAL IMPORTS - WOOD MACKENZIE
In response to news on China's Dalian port restricting seaborne coal imports, Wood Mackenzie's experts provide the following commentary.
...
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- Heidelberg Cement - Germany
- Borneo Indobara - Indonesia
- Independent Power Producers Association of India
- Petrochimia International Co. Ltd.- Taiwan
- Ministry of Finance - Indonesia
- Globalindo Alam Lestari - Indonesia
- CIMB Investment Bank - Malaysia
- European Bulk Services B.V. - Netherlands
- San Jose City I Power Corp, Philippines
- Iligan Light & Power Inc, Philippines
- Global Green Power PLC Corporation, Philippines
- OPG Power Generation Pvt Ltd - India
- McConnell Dowell - Australia
- Semirara Mining Corp, Philippines
- Maheswari Brothers Coal Limited - India
- Ministry of Mines - Canada
- Indogreen Group - Indonesia
- Asmin Koalindo Tuhup - Indonesia
- Parliament of New Zealand
- Semirara Mining and Power Corporation, Philippines
- Cigading International Bulk Terminal - Indonesia
- Siam City Cement PLC, Thailand
- Central Java Power - Indonesia
- Directorate General of MIneral and Coal - Indonesia
- Rashtriya Ispat Nigam Limited - India
- Xindia Steels Limited - India
- Central Electricity Authority - India
- Port Waratah Coal Services - Australia
- Samtan Co., Ltd - South Korea
- Sree Jayajothi Cements Limited - India
- Baramulti Group, Indonesia
- MS Steel International - UAE
- PowerSource Philippines DevCo
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Thiess Contractors Indonesia
- Intertek Mineral Services - Indonesia
- Aboitiz Power Corporation - Philippines
- Agrawal Coal Company - India
- Coalindo Energy - Indonesia
- Kideco Jaya Agung - Indonesia
- Electricity Authority, New Zealand
- Eastern Coal Council - USA
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Meralco Power Generation, Philippines
- India Bulls Power Limited - India
- Energy Link Ltd, New Zealand
- Commonwealth Bank - Australia
- Bayan Resources Tbk. - Indonesia
- Indika Energy - Indonesia
- Coastal Gujarat Power Limited - India
- Wilmar Investment Holdings
- Therma Luzon, Inc, Philippines
- IHS Mccloskey Coal Group - USA
- Essar Steel Hazira Ltd - India
- Tata Chemicals Ltd - India
- Planning Commission, India
- Romanian Commodities Exchange
- Kartika Selabumi Mining - Indonesia
- Directorate Of Revenue Intelligence - India
- Meenaskhi Energy Private Limited - India
- Leighton Contractors Pty Ltd - Australia
- Jaiprakash Power Ventures ltd
- Lanco Infratech Ltd - India
- Grasim Industreis Ltd - India
- Edison Trading Spa - Italy
- Uttam Galva Steels Limited - India
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Vizag Seaport Private Limited - India
- Energy Development Corp, Philippines
- VISA Power Limited - India
- Billiton Holdings Pty Ltd - Australia
- Manunggal Multi Energi - Indonesia
- Star Paper Mills Limited - India
- Ambuja Cements Ltd - India
- Neyveli Lignite Corporation Ltd, - India
- Tamil Nadu electricity Board
- Bukit Baiduri Energy - Indonesia
- Australian Commodity Traders Exchange
- Alfred C Toepfer International GmbH - Germany
- Sakthi Sugars Limited - India
- Bharathi Cement Corporation - India
- Malabar Cements Ltd - India
- Kumho Petrochemical, South Korea
- GMR Energy Limited - India
- Pendopo Energi Batubara - Indonesia
- Anglo American - United Kingdom
- SMG Consultants - Indonesia
- Altura Mining Limited, Indonesia
- Sindya Power Generating Company Private Ltd
- The State Trading Corporation of India Ltd
- Carbofer General Trading SA - India
- Videocon Industries ltd - India
- Mjunction Services Limited - India
- International Coal Ventures Pvt Ltd - India
- Bhushan Steel Limited - India
- Mercuria Energy - Indonesia
- Holcim Trading Pte Ltd - Singapore
- Jindal Steel & Power Ltd - India
- Bangladesh Power Developement Board
- Minerals Council of Australia
- Toyota Tsusho Corporation, Japan
- Antam Resourcindo - Indonesia
- Kepco SPC Power Corporation, Philippines
- Global Coal Blending Company Limited - Australia
- SMC Global Power, Philippines
- CNBM International Corporation - China
- Metalloyd Limited - United Kingdom
- Jorong Barutama Greston.PT - Indonesia
- Indo Tambangraya Megah - Indonesia
- Binh Thuan Hamico - Vietnam
- Kobexindo Tractors - Indoneisa
- Siam City Cement - Thailand
- PNOC Exploration Corporation - Philippines
- Coal and Oil Company - UAE
- GAC Shipping (India) Pvt Ltd
- Makarim & Taira - Indonesia
- Electricity Generating Authority of Thailand
- New Zealand Coal & Carbon
- TeaM Sual Corporation - Philippines
- Bukit Makmur.PT - Indonesia
- Ceylon Electricity Board - Sri Lanka
- London Commodity Brokers - England
- Oldendorff Carriers - Singapore
- Gujarat Mineral Development Corp Ltd - India
- Gujarat Electricity Regulatory Commission - India
- Kaltim Prima Coal - Indonesia
- Simpson Spence & Young - Indonesia
- Goldman Sachs - Singapore
- ASAPP Information Group - India
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Karbindo Abesyapradhi - Indoneisa
- Banpu Public Company Limited - Thailand
- Offshore Bulk Terminal Pte Ltd, Singapore
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Medco Energi Mining Internasional
- Mintek Dendrill Indonesia
- Parry Sugars Refinery, India
- Pipit Mutiara Jaya. PT, Indonesia
- Australian Coal Association
- Chamber of Mines of South Africa
- Posco Energy - South Korea
- Rio Tinto Coal - Australia
- Vijayanagar Sugar Pvt Ltd - India
- IEA Clean Coal Centre - UK
- Dalmia Cement Bharat India
- Ministry of Transport, Egypt
- Mercator Lines Limited - India
- Timah Investasi Mineral - Indoneisa
- Orica Australia Pty. Ltd.
- Madhucon Powers Ltd - India
- Indian Oil Corporation Limited
- Singapore Mercantile Exchange
- Sarangani Energy Corporation, Philippines
- Formosa Plastics Group - Taiwan
- Bahari Cakrawala Sebuku - Indonesia
- Kohat Cement Company Ltd. - Pakistan
- White Energy Company Limited
- Global Business Power Corporation, Philippines
- South Luzon Thermal Energy Corporation
- TNB Fuel Sdn Bhd - Malaysia
- Larsen & Toubro Limited - India
- Krishnapatnam Port Company Ltd. - India
- PTC India Limited - India
- Eastern Energy - Thailand
- The University of Queensland
- Latin American Coal - Colombia
- Ind-Barath Power Infra Limited - India
- Sinarmas Energy and Mining - Indonesia
- Salva Resources Pvt Ltd - India
- Indonesian Coal Mining Association
- Bhatia International Limited - India
- GN Power Mariveles Coal Plant, Philippines
- Bank of Tokyo Mitsubishi UFJ Ltd
- Barasentosa Lestari - Indonesia
- Chettinad Cement Corporation Ltd - India
- Georgia Ports Authority, United States
- Interocean Group of Companies - India
- Straits Asia Resources Limited - Singapore
- AsiaOL BioFuels Corp., Philippines
- Thai Mozambique Logistica
- Sical Logistics Limited - India
- Petron Corporation, Philippines
- Africa Commodities Group - South Africa
- Vedanta Resources Plc - India
- ICICI Bank Limited - India
- Deloitte Consulting - India
- Standard Chartered Bank - UAE
- Bulk Trading Sa - Switzerland
- Miang Besar Coal Terminal - Indonesia
- Bukit Asam (Persero) Tbk - Indonesia
- PetroVietnam Power Coal Import and Supply Company
- Karaikal Port Pvt Ltd - India
- Power Finance Corporation Ltd., India
- SN Aboitiz Power Inc, Philippines
- LBH Netherlands Bv - Netherlands
- Savvy Resources Ltd - HongKong
- Orica Mining Services - Indonesia
- Riau Bara Harum - Indonesia
- Attock Cement Pakistan Limited
- Kapuas Tunggal Persada - Indonesia
- Wood Mackenzie - Singapore
- Bhoruka Overseas - Indonesia
- Cement Manufacturers Association - India
- Kalimantan Lumbung Energi - Indonesia
- Marubeni Corporation - India
- Trasteel International SA, Italy
- Gujarat Sidhee Cement - India
- Renaissance Capital - South Africa
- Sojitz Corporation - Japan
- Maharashtra Electricity Regulatory Commission - India
- Aditya Birla Group - India
- Economic Council, Georgia
- GVK Power & Infra Limited - India
- Indian Energy Exchange, India
- The Treasury - Australian Government
- Merrill Lynch Commodities Europe
- Price Waterhouse Coopers - Russia
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