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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, 13 February 19
SHIPPING MARKET INSIGHT - INTERMODAL
If there is one word that can describe the current shipping environment then that this word is most probably “volatility.” The sentimen ...
Saturday, 09 February 19
SUPRAMAX: A 63,000-TONNER WAS REPORTED FIXED DELIVERY FOR AN EAST KALIMANTAN TRIP, REDELIVERY WEST COAST INDIA, AT $9,250 - THE BALTIC BRIEFING
Cape
The Vale disaster weighed heavily on the market for big ships, with uncertainty about shipments/future exports leading to a sharp drop in ...
Friday, 08 February 19
LOWER-QUALITY INDONESIA EXPORTS ROSE 39 MT IN 2018 YOY PRIMARILY IN RESPONSE TO INCREASED DEMAND FROM CHINA AND INDIA - PEABODY
"Underlying seaborne met and thermal coal conditions remain quite positive and the pace of U.S. coal-fueled power plant retirements is expecte ...
Thursday, 07 February 19
QATAR CAN GAIN FROM DECLINING COAL - THE PENINSULA
With North America and Europe closing down their old coal and nuclear plants, major gas exporters like Qatar can and should gain market share. With ...
Wednesday, 06 February 19
FEBRUARY 2019 INDONESIA'S COAL REFERENCE PRICE FELL 8.83 PERCENT YOY
COALspot.com: The Ministry of Energy and Mineral Resources of the Republic of Indonesia has revised down again the benchmark price of Indonesian th ...
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- Orica Australia Pty. Ltd.
- Australian Commodity Traders Exchange
- The University of Queensland
- Mercuria Energy - Indonesia
- Parliament of New Zealand
- Bhushan Steel Limited - India
- Chettinad Cement Corporation Ltd - India
- San Jose City I Power Corp, Philippines
- PNOC Exploration Corporation - Philippines
- Wilmar Investment Holdings
- Global Coal Blending Company Limited - Australia
- Wood Mackenzie - Singapore
- Sinarmas Energy and Mining - Indonesia
- Globalindo Alam Lestari - Indonesia
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Siam City Cement PLC, Thailand
- Intertek Mineral Services - Indonesia
- Electricity Generating Authority of Thailand
- Riau Bara Harum - Indonesia
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Timah Investasi Mineral - Indoneisa
- Vijayanagar Sugar Pvt Ltd - India
- Planning Commission, India
- PetroVietnam Power Coal Import and Supply Company
- Eastern Coal Council - USA
- Mjunction Services Limited - India
- Bahari Cakrawala Sebuku - Indonesia
- Coastal Gujarat Power Limited - India
- IHS Mccloskey Coal Group - USA
- Indian Oil Corporation Limited
- Straits Asia Resources Limited - Singapore
- Mercator Lines Limited - India
- Aditya Birla Group - India
- Indo Tambangraya Megah - Indonesia
- Standard Chartered Bank - UAE
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Africa Commodities Group - South Africa
- GMR Energy Limited - India
- Romanian Commodities Exchange
- Indian Energy Exchange, India
- Vedanta Resources Plc - India
- Economic Council, Georgia
- Kapuas Tunggal Persada - Indonesia
- Bank of Tokyo Mitsubishi UFJ Ltd
- India Bulls Power Limited - India
- Georgia Ports Authority, United States
- Tata Chemicals Ltd - India
- Bukit Makmur.PT - Indonesia
- Global Green Power PLC Corporation, Philippines
- Iligan Light & Power Inc, Philippines
- Baramulti Group, Indonesia
- TeaM Sual Corporation - Philippines
- Renaissance Capital - South Africa
- Posco Energy - South Korea
- Manunggal Multi Energi - Indonesia
- Offshore Bulk Terminal Pte Ltd, Singapore
- Oldendorff Carriers - Singapore
- Meenaskhi Energy Private Limited - India
- Makarim & Taira - Indonesia
- Petron Corporation, Philippines
- Rashtriya Ispat Nigam Limited - India
- GN Power Mariveles Coal Plant, Philippines
- Salva Resources Pvt Ltd - India
- GAC Shipping (India) Pvt Ltd
- Bangladesh Power Developement Board
- CNBM International Corporation - China
- Eastern Energy - Thailand
- Interocean Group of Companies - India
- Kumho Petrochemical, South Korea
- Indika Energy - Indonesia
- Marubeni Corporation - India
- Toyota Tsusho Corporation, Japan
- SN Aboitiz Power Inc, Philippines
- Bukit Baiduri Energy - Indonesia
- Asmin Koalindo Tuhup - Indonesia
- White Energy Company Limited
- Edison Trading Spa - Italy
- Videocon Industries ltd - India
- Heidelberg Cement - Germany
- Sojitz Corporation - Japan
- VISA Power Limited - India
- Meralco Power Generation, Philippines
- Dalmia Cement Bharat India
- Independent Power Producers Association of India
- Indogreen Group - Indonesia
- Bukit Asam (Persero) Tbk - Indonesia
- Formosa Plastics Group - Taiwan
- London Commodity Brokers - England
- Essar Steel Hazira Ltd - India
- Leighton Contractors Pty Ltd - Australia
- European Bulk Services B.V. - Netherlands
- Krishnapatnam Port Company Ltd. - India
- Holcim Trading Pte Ltd - Singapore
- MS Steel International - UAE
- PowerSource Philippines DevCo
- Grasim Industreis Ltd - India
- Central Java Power - Indonesia
- Jindal Steel & Power Ltd - India
- Sakthi Sugars Limited - India
- Agrawal Coal Company - India
- Commonwealth Bank - Australia
- ICICI Bank Limited - India
- Malabar Cements Ltd - India
- Kobexindo Tractors - Indoneisa
- Madhucon Powers Ltd - India
- Ind-Barath Power Infra Limited - India
- Thiess Contractors Indonesia
- McConnell Dowell - Australia
- Aboitiz Power Corporation - Philippines
- International Coal Ventures Pvt Ltd - India
- Global Business Power Corporation, Philippines
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Merrill Lynch Commodities Europe
- Sindya Power Generating Company Private Ltd
- Kohat Cement Company Ltd. - Pakistan
- CIMB Investment Bank - Malaysia
- Thai Mozambique Logistica
- Electricity Authority, New Zealand
- Antam Resourcindo - Indonesia
- Gujarat Sidhee Cement - India
- The Treasury - Australian Government
- Ministry of Mines - Canada
- Bulk Trading Sa - Switzerland
- Binh Thuan Hamico - Vietnam
- Goldman Sachs - Singapore
- Gujarat Mineral Development Corp Ltd - India
- Alfred C Toepfer International GmbH - Germany
- Bharathi Cement Corporation - India
- Rio Tinto Coal - Australia
- Cement Manufacturers Association - India
- Singapore Mercantile Exchange
- SMG Consultants - Indonesia
- Attock Cement Pakistan Limited
- SMC Global Power, Philippines
- Sical Logistics Limited - India
- Karbindo Abesyapradhi - Indoneisa
- Banpu Public Company Limited - Thailand
- Ministry of Transport, Egypt
- Indonesian Coal Mining Association
- Deloitte Consulting - India
- Jorong Barutama Greston.PT - Indonesia
- Directorate Of Revenue Intelligence - India
- Kideco Jaya Agung - Indonesia
- Kartika Selabumi Mining - Indonesia
- Tamil Nadu electricity Board
- Altura Mining Limited, Indonesia
- Xindia Steels Limited - India
- Coal and Oil Company - UAE
- Bhatia International Limited - India
- Sree Jayajothi Cements Limited - India
- Mintek Dendrill Indonesia
- Therma Luzon, Inc, Philippines
- Maharashtra Electricity Regulatory Commission - India
- Pipit Mutiara Jaya. PT, Indonesia
- Star Paper Mills Limited - India
- GVK Power & Infra Limited - India
- Kaltim Prima Coal - Indonesia
- Larsen & Toubro Limited - India
- Pendopo Energi Batubara - Indonesia
- Minerals Council of Australia
- Latin American Coal - Colombia
- Samtan Co., Ltd - South Korea
- Trasteel International SA, Italy
- Miang Besar Coal Terminal - Indonesia
- Siam City Cement - Thailand
- Price Waterhouse Coopers - Russia
- Energy Development Corp, Philippines
- Anglo American - United Kingdom
- Central Electricity Authority - India
- IEA Clean Coal Centre - UK
- Gujarat Electricity Regulatory Commission - India
- Petrochimia International Co. Ltd.- Taiwan
- ASAPP Information Group - India
- Sarangani Energy Corporation, Philippines
- Bhoruka Overseas - Indonesia
- Kalimantan Lumbung Energi - Indonesia
- Carbofer General Trading SA - India
- Karaikal Port Pvt Ltd - India
- The State Trading Corporation of India Ltd
- Ministry of Finance - Indonesia
- Borneo Indobara - Indonesia
- Bayan Resources Tbk. - Indonesia
- Semirara Mining and Power Corporation, Philippines
- Uttam Galva Steels Limited - India
- Jaiprakash Power Ventures ltd
- Vizag Seaport Private Limited - India
- Parry Sugars Refinery, India
- Australian Coal Association
- South Luzon Thermal Energy Corporation
- Directorate General of MIneral and Coal - Indonesia
- Billiton Holdings Pty Ltd - Australia
- Simpson Spence & Young - Indonesia
- Power Finance Corporation Ltd., India
- Semirara Mining Corp, Philippines
- Ambuja Cements Ltd - India
- Coalindo Energy - Indonesia
- Cigading International Bulk Terminal - Indonesia
- Medco Energi Mining Internasional
- LBH Netherlands Bv - Netherlands
- Chamber of Mines of South Africa
- Lanco Infratech Ltd - India
- PTC India Limited - India
- Energy Link Ltd, New Zealand
- Neyveli Lignite Corporation Ltd, - India
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- TNB Fuel Sdn Bhd - Malaysia
- OPG Power Generation Pvt Ltd - India
- Kepco SPC Power Corporation, Philippines
- Maheswari Brothers Coal Limited - India
- Orica Mining Services - Indonesia
- AsiaOL BioFuels Corp., Philippines
- Metalloyd Limited - United Kingdom
- New Zealand Coal & Carbon
- Barasentosa Lestari - Indonesia
- Ceylon Electricity Board - Sri Lanka
- Port Waratah Coal Services - Australia
- Savvy Resources Ltd - HongKong
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