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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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Monday, 24 December 18
DRY BULK MARKET: CAPESIZE MARKET ON BACKFOOT AS 2018'S END DRAWS NEAR - THE BALTIC BRIEFING
Capesize
Panic set in in the East as the holiday season approaches, with owners chasing rates lower. Rates on the key West Australia/China route ...
Friday, 21 December 18
4.2 MILLION DWT OF DRY BULK SHIPS SCRAPPED UNTIL 17 DEC, DOWN 71.6% Y/Y - BIMCO
2018 has been a slow year for dry bulk demolitions, with only 4.2 million DWT scrapped (as of 17 December), down 71.6% compared to last year. An al ...
Thursday, 20 December 18
INDONESIAN COAL PRICES DIVERGE FROM KEY BENCHMARK - FITCH RATINGS
The Newcastle 6,000kcal coal price benchmark that is widely used to determine most coal price estimates for Indonesian coal miners has increasingly ...
Wednesday, 19 December 18
CHINA'S IMPORT RESTRICTIONS ON COAL SPOILS THE PARTY FOR PANAMAXES - DREWRY
The Chinese government’s objective of suppressing coal and lignite imports in November and December 2018 is adversely impacting demand for Pa ...
Wednesday, 19 December 18
GLOBAL COAL DEMAND SET TO REMAIN STABLE THROUGH 2023, DESPITE HEADWINDS - IEA
While global coal demand looks set to rise for the second year in a row in 2018, it is forecast to remain stable over the next five years, as decli ...
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- Petrochimia International Co. Ltd.- Taiwan
- Cement Manufacturers Association - India
- Global Green Power PLC Corporation, Philippines
- Renaissance Capital - South Africa
- Electricity Generating Authority of Thailand
- Asmin Koalindo Tuhup - Indonesia
- Medco Energi Mining Internasional
- Commonwealth Bank - Australia
- Madhucon Powers Ltd - India
- London Commodity Brokers - England
- ICICI Bank Limited - India
- Bharathi Cement Corporation - India
- PNOC Exploration Corporation - Philippines
- Savvy Resources Ltd - HongKong
- GAC Shipping (India) Pvt Ltd
- Parliament of New Zealand
- LBH Netherlands Bv - Netherlands
- Bayan Resources Tbk. - Indonesia
- Parry Sugars Refinery, India
- Australian Commodity Traders Exchange
- European Bulk Services B.V. - Netherlands
- Dalmia Cement Bharat India
- Jindal Steel & Power Ltd - India
- Timah Investasi Mineral - Indoneisa
- Jaiprakash Power Ventures ltd
- Standard Chartered Bank - UAE
- Mercuria Energy - Indonesia
- Gujarat Electricity Regulatory Commission - India
- Billiton Holdings Pty Ltd - Australia
- Ceylon Electricity Board - Sri Lanka
- TeaM Sual Corporation - Philippines
- Toyota Tsusho Corporation, Japan
- Energy Link Ltd, New Zealand
- Essar Steel Hazira Ltd - India
- Minerals Council of Australia
- Thai Mozambique Logistica
- Wilmar Investment Holdings
- Bank of Tokyo Mitsubishi UFJ Ltd
- Orica Mining Services - Indonesia
- Bahari Cakrawala Sebuku - Indonesia
- Metalloyd Limited - United Kingdom
- Neyveli Lignite Corporation Ltd, - India
- Bukit Makmur.PT - Indonesia
- Salva Resources Pvt Ltd - India
- Bangladesh Power Developement Board
- Rashtriya Ispat Nigam Limited - India
- SN Aboitiz Power Inc, Philippines
- Bhushan Steel Limited - India
- Eastern Energy - Thailand
- Miang Besar Coal Terminal - Indonesia
- Antam Resourcindo - Indonesia
- Indian Oil Corporation Limited
- Gujarat Mineral Development Corp Ltd - India
- Agrawal Coal Company - India
- Edison Trading Spa - Italy
- Grasim Industreis Ltd - India
- Baramulti Group, Indonesia
- Mjunction Services Limited - India
- Marubeni Corporation - India
- Karaikal Port Pvt Ltd - India
- Uttam Galva Steels Limited - India
- Straits Asia Resources Limited - Singapore
- Indian Energy Exchange, India
- Riau Bara Harum - Indonesia
- Holcim Trading Pte Ltd - Singapore
- Pipit Mutiara Jaya. PT, Indonesia
- Planning Commission, India
- Carbofer General Trading SA - India
- Chamber of Mines of South Africa
- India Bulls Power Limited - India
- Heidelberg Cement - Germany
- Altura Mining Limited, Indonesia
- Bhatia International Limited - India
- Indogreen Group - Indonesia
- Latin American Coal - Colombia
- Bulk Trading Sa - Switzerland
- Goldman Sachs - Singapore
- Chettinad Cement Corporation Ltd - India
- OPG Power Generation Pvt Ltd - India
- Thiess Contractors Indonesia
- Videocon Industries ltd - India
- Gujarat Sidhee Cement - India
- Maheswari Brothers Coal Limited - India
- Kalimantan Lumbung Energi - Indonesia
- New Zealand Coal & Carbon
- Central Electricity Authority - India
- Vizag Seaport Private Limited - India
- Africa Commodities Group - South Africa
- Ministry of Finance - Indonesia
- Directorate General of MIneral and Coal - Indonesia
- Posco Energy - South Korea
- Lanco Infratech Ltd - India
- Kobexindo Tractors - Indoneisa
- SMC Global Power, Philippines
- Rio Tinto Coal - Australia
- Semirara Mining Corp, Philippines
- Simpson Spence & Young - Indonesia
- Bhoruka Overseas - Indonesia
- Central Java Power - Indonesia
- Indonesian Coal Mining Association
- Attock Cement Pakistan Limited
- Vedanta Resources Plc - India
- Kumho Petrochemical, South Korea
- Sarangani Energy Corporation, Philippines
- Sical Logistics Limited - India
- Meralco Power Generation, Philippines
- Electricity Authority, New Zealand
- Aboitiz Power Corporation - Philippines
- Kideco Jaya Agung - Indonesia
- Kartika Selabumi Mining - Indonesia
- Offshore Bulk Terminal Pte Ltd, Singapore
- Global Business Power Corporation, Philippines
- VISA Power Limited - India
- Pendopo Energi Batubara - Indonesia
- Anglo American - United Kingdom
- Price Waterhouse Coopers - Russia
- White Energy Company Limited
- AsiaOL BioFuels Corp., Philippines
- Tata Chemicals Ltd - India
- Singapore Mercantile Exchange
- Tamil Nadu electricity Board
- Wood Mackenzie - Singapore
- Jorong Barutama Greston.PT - Indonesia
- International Coal Ventures Pvt Ltd - India
- Star Paper Mills Limited - India
- Maharashtra Electricity Regulatory Commission - India
- Port Waratah Coal Services - Australia
- Kaltim Prima Coal - Indonesia
- Cigading International Bulk Terminal - Indonesia
- Indo Tambangraya Megah - Indonesia
- Petron Corporation, Philippines
- Sindya Power Generating Company Private Ltd
- TNB Fuel Sdn Bhd - Malaysia
- The State Trading Corporation of India Ltd
- Sinarmas Energy and Mining - Indonesia
- Kepco SPC Power Corporation, Philippines
- Kapuas Tunggal Persada - Indonesia
- Malabar Cements Ltd - India
- Kohat Cement Company Ltd. - Pakistan
- GMR Energy Limited - India
- Barasentosa Lestari - Indonesia
- PowerSource Philippines DevCo
- CNBM International Corporation - China
- Siam City Cement - Thailand
- Deloitte Consulting - India
- Ind-Barath Power Infra Limited - India
- Banpu Public Company Limited - Thailand
- Energy Development Corp, Philippines
- MS Steel International - UAE
- Indika Energy - Indonesia
- The Treasury - Australian Government
- Interocean Group of Companies - India
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Mercator Lines Limited - India
- Coastal Gujarat Power Limited - India
- Economic Council, Georgia
- Karbindo Abesyapradhi - Indoneisa
- CIMB Investment Bank - Malaysia
- Oldendorff Carriers - Singapore
- The University of Queensland
- Formosa Plastics Group - Taiwan
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Iligan Light & Power Inc, Philippines
- Sakthi Sugars Limited - India
- Sojitz Corporation - Japan
- Therma Luzon, Inc, Philippines
- Globalindo Alam Lestari - Indonesia
- PetroVietnam Power Coal Import and Supply Company
- ASAPP Information Group - India
- Merrill Lynch Commodities Europe
- McConnell Dowell - Australia
- Makarim & Taira - Indonesia
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- GN Power Mariveles Coal Plant, Philippines
- Intertek Mineral Services - Indonesia
- GVK Power & Infra Limited - India
- Orica Australia Pty. Ltd.
- Meenaskhi Energy Private Limited - India
- Sree Jayajothi Cements Limited - India
- San Jose City I Power Corp, Philippines
- Vijayanagar Sugar Pvt Ltd - India
- Directorate Of Revenue Intelligence - India
- Bukit Baiduri Energy - Indonesia
- SMG Consultants - Indonesia
- Semirara Mining and Power Corporation, Philippines
- Xindia Steels Limited - India
- Australian Coal Association
- Mintek Dendrill Indonesia
- Larsen & Toubro Limited - India
- Leighton Contractors Pty Ltd - Australia
- Global Coal Blending Company Limited - Australia
- Bukit Asam (Persero) Tbk - Indonesia
- PTC India Limited - India
- IEA Clean Coal Centre - UK
- Manunggal Multi Energi - Indonesia
- Romanian Commodities Exchange
- Georgia Ports Authority, United States
- Alfred C Toepfer International GmbH - Germany
- South Luzon Thermal Energy Corporation
- Trasteel International SA, Italy
- Aditya Birla Group - India
- Coal and Oil Company - UAE
- Independent Power Producers Association of India
- Borneo Indobara - Indonesia
- Binh Thuan Hamico - Vietnam
- Eastern Coal Council - USA
- IHS Mccloskey Coal Group - USA
- Coalindo Energy - Indonesia
- Krishnapatnam Port Company Ltd. - India
- Ministry of Mines - Canada
- Power Finance Corporation Ltd., India
- Ambuja Cements Ltd - India
- Ministry of Transport, Egypt
- Samtan Co., Ltd - South Korea
- Siam City Cement PLC, Thailand
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
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