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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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- Eastern Energy - Thailand
- Malabar Cements Ltd - India
- Kartika Selabumi Mining - Indonesia
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Bharathi Cement Corporation - India
- Port Waratah Coal Services - Australia
- ASAPP Information Group - India
- Vedanta Resources Plc - India
- Kohat Cement Company Ltd. - Pakistan
- Alfred C Toepfer International GmbH - Germany
- PowerSource Philippines DevCo
- Makarim & Taira - Indonesia
- Parry Sugars Refinery, India
- Minerals Council of Australia
- Siam City Cement PLC, Thailand
- Africa Commodities Group - South Africa
- Larsen & Toubro Limited - India
- Bayan Resources Tbk. - Indonesia
- Karbindo Abesyapradhi - Indoneisa
- Indian Energy Exchange, India
- Merrill Lynch Commodities Europe
- OPG Power Generation Pvt Ltd - India
- Vijayanagar Sugar Pvt Ltd - India
- Sree Jayajothi Cements Limited - India
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Ambuja Cements Ltd - India
- Bahari Cakrawala Sebuku - Indonesia
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Mjunction Services Limited - India
- Pipit Mutiara Jaya. PT, Indonesia
- Central Electricity Authority - India
- Bukit Makmur.PT - Indonesia
- Pendopo Energi Batubara - Indonesia
- Carbofer General Trading SA - India
- Leighton Contractors Pty Ltd - Australia
- Indonesian Coal Mining Association
- London Commodity Brokers - England
- Bukit Asam (Persero) Tbk - Indonesia
- Sarangani Energy Corporation, Philippines
- Miang Besar Coal Terminal - Indonesia
- Bulk Trading Sa - Switzerland
- SMG Consultants - Indonesia
- Cement Manufacturers Association - India
- Energy Development Corp, Philippines
- CNBM International Corporation - China
- Uttam Galva Steels Limited - India
- Lanco Infratech Ltd - India
- Star Paper Mills Limited - India
- IHS Mccloskey Coal Group - USA
- Planning Commission, India
- Medco Energi Mining Internasional
- Sojitz Corporation - Japan
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Wilmar Investment Holdings
- Anglo American - United Kingdom
- Banpu Public Company Limited - Thailand
- Kumho Petrochemical, South Korea
- Sical Logistics Limited - India
- Heidelberg Cement - Germany
- Ministry of Transport, Egypt
- TNB Fuel Sdn Bhd - Malaysia
- Borneo Indobara - Indonesia
- Dalmia Cement Bharat India
- Goldman Sachs - Singapore
- Latin American Coal - Colombia
- CIMB Investment Bank - Malaysia
- International Coal Ventures Pvt Ltd - India
- Xindia Steels Limited - India
- Directorate Of Revenue Intelligence - India
- Electricity Authority, New Zealand
- Manunggal Multi Energi - Indonesia
- GAC Shipping (India) Pvt Ltd
- Orica Australia Pty. Ltd.
- Straits Asia Resources Limited - Singapore
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Therma Luzon, Inc, Philippines
- Grasim Industreis Ltd - India
- New Zealand Coal & Carbon
- Gujarat Sidhee Cement - India
- Kepco SPC Power Corporation, Philippines
- Attock Cement Pakistan Limited
- Bhatia International Limited - India
- AsiaOL BioFuels Corp., Philippines
- Jaiprakash Power Ventures ltd
- Chettinad Cement Corporation Ltd - India
- Chamber of Mines of South Africa
- Deloitte Consulting - India
- San Jose City I Power Corp, Philippines
- Sindya Power Generating Company Private Ltd
- Power Finance Corporation Ltd., India
- Meenaskhi Energy Private Limited - India
- Interocean Group of Companies - India
- Australian Coal Association
- Formosa Plastics Group - Taiwan
- Mercator Lines Limited - India
- Holcim Trading Pte Ltd - Singapore
- Oldendorff Carriers - Singapore
- European Bulk Services B.V. - Netherlands
- Jorong Barutama Greston.PT - Indonesia
- Bhushan Steel Limited - India
- Ministry of Finance - Indonesia
- Maheswari Brothers Coal Limited - India
- Georgia Ports Authority, United States
- Billiton Holdings Pty Ltd - Australia
- PNOC Exploration Corporation - Philippines
- Sinarmas Energy and Mining - Indonesia
- Economic Council, Georgia
- Wood Mackenzie - Singapore
- Mercuria Energy - Indonesia
- Kapuas Tunggal Persada - Indonesia
- The University of Queensland
- IEA Clean Coal Centre - UK
- Kideco Jaya Agung - Indonesia
- South Luzon Thermal Energy Corporation
- Semirara Mining Corp, Philippines
- Bangladesh Power Developement Board
- Karaikal Port Pvt Ltd - India
- Thiess Contractors Indonesia
- Aditya Birla Group - India
- Mintek Dendrill Indonesia
- Trasteel International SA, Italy
- Rashtriya Ispat Nigam Limited - India
- Coalindo Energy - Indonesia
- Savvy Resources Ltd - HongKong
- Renaissance Capital - South Africa
- GVK Power & Infra Limited - India
- Vizag Seaport Private Limited - India
- MS Steel International - UAE
- Directorate General of MIneral and Coal - Indonesia
- Standard Chartered Bank - UAE
- Meralco Power Generation, Philippines
- Simpson Spence & Young - Indonesia
- Videocon Industries ltd - India
- Coastal Gujarat Power Limited - India
- Altura Mining Limited, Indonesia
- The State Trading Corporation of India Ltd
- Coal and Oil Company - UAE
- PetroVietnam Power Coal Import and Supply Company
- Baramulti Group, Indonesia
- Romanian Commodities Exchange
- Samtan Co., Ltd - South Korea
- Ceylon Electricity Board - Sri Lanka
- Orica Mining Services - Indonesia
- Ministry of Mines - Canada
- Gujarat Electricity Regulatory Commission - India
- Asmin Koalindo Tuhup - Indonesia
- Jindal Steel & Power Ltd - India
- Kaltim Prima Coal - Indonesia
- White Energy Company Limited
- Globalindo Alam Lestari - Indonesia
- Intertek Mineral Services - Indonesia
- Edison Trading Spa - Italy
- Essar Steel Hazira Ltd - India
- Bhoruka Overseas - Indonesia
- Metalloyd Limited - United Kingdom
- Maharashtra Electricity Regulatory Commission - India
- Thai Mozambique Logistica
- Ind-Barath Power Infra Limited - India
- Sakthi Sugars Limited - India
- ICICI Bank Limited - India
- Tata Chemicals Ltd - India
- GMR Energy Limited - India
- GN Power Mariveles Coal Plant, Philippines
- Tamil Nadu electricity Board
- Semirara Mining and Power Corporation, Philippines
- Timah Investasi Mineral - Indoneisa
- Global Coal Blending Company Limited - Australia
- Salva Resources Pvt Ltd - India
- Parliament of New Zealand
- Barasentosa Lestari - Indonesia
- Commonwealth Bank - Australia
- SMC Global Power, Philippines
- Global Green Power PLC Corporation, Philippines
- Petrochimia International Co. Ltd.- Taiwan
- Eastern Coal Council - USA
- Iligan Light & Power Inc, Philippines
- Posco Energy - South Korea
- Price Waterhouse Coopers - Russia
- Indian Oil Corporation Limited
- Electricity Generating Authority of Thailand
- Indogreen Group - Indonesia
- Kobexindo Tractors - Indoneisa
- Petron Corporation, Philippines
- Australian Commodity Traders Exchange
- TeaM Sual Corporation - Philippines
- Global Business Power Corporation, Philippines
- SN Aboitiz Power Inc, Philippines
- Bank of Tokyo Mitsubishi UFJ Ltd
- VISA Power Limited - India
- Indika Energy - Indonesia
- Gujarat Mineral Development Corp Ltd - India
- Neyveli Lignite Corporation Ltd, - India
- Cigading International Bulk Terminal - Indonesia
- Agrawal Coal Company - India
- Toyota Tsusho Corporation, Japan
- India Bulls Power Limited - India
- Marubeni Corporation - India
- McConnell Dowell - Australia
- LBH Netherlands Bv - Netherlands
- Siam City Cement - Thailand
- Indo Tambangraya Megah - Indonesia
- Madhucon Powers Ltd - India
- Kalimantan Lumbung Energi - Indonesia
- Riau Bara Harum - Indonesia
- Energy Link Ltd, New Zealand
- Krishnapatnam Port Company Ltd. - India
- Singapore Mercantile Exchange
- PTC India Limited - India
- Independent Power Producers Association of India
- Antam Resourcindo - Indonesia
- Rio Tinto Coal - Australia
- Bukit Baiduri Energy - Indonesia
- Offshore Bulk Terminal Pte Ltd, Singapore
- Binh Thuan Hamico - Vietnam
- The Treasury - Australian Government
- Central Java Power - Indonesia
- Aboitiz Power Corporation - Philippines
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