We welcome article submissions from experts in the areas of coal, mining,
shipping, etc.
To Submit your article please click here.
|
|
|
Thursday, 02 January 20
SULPHUR 2020 COMPENDIUM - HOW ARE INDIVIDUAL PORT STATES EXPECTED TO REACT? - STANDARD CLUB
 KNOWLEDGE TO ELEVATE
With the new sulphur limits soon to be in force, Standard Club has been investigating the ways in which certain jurisdictions are expected to react to violations.
We contacted our local correspondents from a variety of different ports, including Brazil, China, Denmark, Norway, Panama, Spain and Sweden, to build a compilation of what we believe is useful and practical knowledge for dealing with future sulphur claims.
We asked our correspondents the following series of questions:
-
Will compliant bunkers be available in your jurisdiction?
-
Which government body or organisation issues fines for sulphur violations?
-
What is the estimated potential value of fines?
-
Is there a possibility of criminal action for sulphur violations?
-
Can a ship be detained for violations? If so, will a club LOU be accepted to secure its release?
-
Is it possible to appeal fines?
-
What contingency measures are available for ships carrying non-compliant fuel?
The answers to these questions are as follows. If you have questions about any of these jurisdictions, or any jurisdictions which are not listed below, please contact your usual claims handler at the club for further assistance.
Brazil
-
Compliant bunkers will be available in Salvador, Sao Luis, Belem and Macapa.
-
Fines may be issued by the ANP, IBAMA (the Environmental Authority) or the Harbour Master´s Office at each port.
-
The estimated potential fines range from BRL 5,000 to BRL 2,000,000.
-
There is a possibility of criminal action for sulphur violations in Brazil.
-
A ship may be detained for sulphur violations until it is proved that there are bunkers within specification on board. Acceptance of a club LOU will depend on each individual case.
-
It is possible to appeal fines.
-
In the event of non-compliance, the Authorities will need to verify that the off-spec bunkers have been segregated on board.
China
-
Compliant bunkers should be available in China. However, members should check with local agents and the port authority before calling to confirm availability.
-
The local marine authority (the MSA) issues fines for sulphur violations.
-
According to the PRC Air Pollution Prevention and Control Law, shipowners may face administrative penalties ranging from RMB10,000 to RMB100,000.
-
While this is unlikely, there is a possibility for criminal action in the event of serious violations.
-
Ships can be detained, depending on the seriousness of the violation. It is not known whether a club LOU would be accepted.
-
Appeals of fines are unlikely to be successful if a violation has in fact occurred. However, owners may apply for a review of the fine if they suspect that the administrative procedures have been incorrectly applied (i.e. there has been no violation).
-
From 1 January 2020 if a ship is unable to obtain compliant bunkers she should submit a FONAR to the MSA before entering Chinese waters. From 1 March 2020 if a ship is carrying non-compliant bunkers in Chinese waters they can discharge the non-compliant bunkers, or (subject to MSA approval) retain the non-compliant bunkers on board after providing a letter of commitment not to use these bunkers in Chinese waters.
Denmark
-
Compliant bunkers will be available in Denmark.
-
The Port State Control and the police both administer fines for sulphur violations.
-
Fines for non-compliance can range from DKK 30,000 to DKK 300,000.
-
Criminal action may in some cases be brought for non-compliance. Fines are imposed by the police, following penalty proceedings and public court hearings. In cases of gross negligence, or of continuous violation of the sulphur cap, there is the possibility of imprisonment for up to two years.
-
A ship can be detained until it has taken the necessary steps to ensure compliance with the sulphur content regulations. Club LOUs will not be accepted to secure release of the ship.
-
Fines can be appealed through the usual judicial channels (at the Court of Appeal and potentially at the Supreme Court).
-
If the ship is not compliant with the sulphur regulations, it will be asked by officials to demonstrate that it has taken adequate steps to be compliant. The owner will have to demonstrate that they have established procedures on board the ship to ensure compliance. The owner will also have to provide documentation showing their attempts to obtain compliant bunkers.
Norway
-
Compliant bunkers will be available in Norway.
-
The Norwegian Maritime Authority (Sjøfartsdirektoratet) issues fines for violations.
-
The lowest possible fine is around NOK 79,886. Fines are typically around NOK 250,000, although this figure may be higher depending on the degree of negligence and/or guilt.
-
Criminal action may be brought for violations.
-
Arrest of the ship for violation of the sulphur limits is possible.
-
It is possible to appeal fines to the Norwegian Ministry of Climate and Environment.
-
In the event of non-compliance, compliant bunkers are available so that the non-compliant bunkers can be replaced.
Panama
-
Compliant bunkers will be available in Panama.
-
Fines will be administered by the Panama Maritime Authority (PMA) and the Panama Canal Authority (PCA).
-
The PMA and PCA will calculate fines based on the perceived seriousness of the violation. To date, there have been no known fines by the PMA or PCA, so it is difficult to say how they will deal with these incidents.
-
Currently there have not been any known criminal proceedings relating to sulphur violations.
-
A ship can be detained by both the PMA and PCA for violations, although this is seen to be unlikely. The PMA has in the past been vague regarding club LOU’s but the PCA regularly accepts them for other issues.
-
Administrative fines are generally unappealable.
-
There are limited options for ships to debunker non-compliant fuel at Panama.
Spain
-
Compliant bunkers will be available in Spain.
-
The Spanish Central Government Authority issues fines for sulphur violations. The Harbour Master’s office belongs to Merchant Marine General Management, which itself belongs to the Government Ministry in charge of public work.
-
There is no set figure for fines. Fines are usually around EUR 22,000 although they could be as high as EUR 180,000. In case of wilful actions, the fine could be as high as EUR 600,000. The Harbour Master will ask for a guarantee to permit the ship to sail (club LOUs are not accepted).
-
In theory there is a possibility of criminal action, but only if the use of off-spec bunkers was deliberate.
-
A ship can be detained for sulphur violations. In such a case, a club LOU will not be accepted. Authorities will only accept a cash deposit, a bond or a bank security issued by a Spanish Insurer or Bank.
-
It is possible to appeal fines, but success is unlikely.
-
Any non-compliant bunkers on board will be banned, even if not in use, and similar sanctions will be imposed unless the ship has a scrubber in good operational condition. In addition to the sampling of storage tanks, evidence of tank cleaning and a bunker delivery note will also be required on board.
Sweden
-
Compliant bunkers will be available in Sweden.
-
The Coast Guard will issue fines for sulphur violations.
-
The estimated value of fines is still under discussion. However, there is a risk that fines may be high value to deter non-compliance with the sulphur limits.
-
There are not expected to be any criminal repercussions for non-compliance, only fines.
-
In very extreme cases, ships can be detained for sulphur violations. It is difficult to predict whether the authorities will accept a club LOU in this situation.
-
It is possible to appeal fines.
-
In the event of non-compliance, there are many well established bunker operators in the region who can handle non-compliant bunkers.
Source: Standard Club
If you believe an article violates your rights or the rights of others, please contact us.
|
|
Friday, 22 November 19
UNCERTAINTY IN THERMAL COAL MARKET PERSISTED IN 3Q19 - ADARO
Uncertainty in thermal coal market persisted in 3Q19, mainly due to the actions, or inactions, of China in setting policies for global coal market. ...
Friday, 22 November 19
CIL TO DEVELOP 55 NEW COAL MINES IN NEXT 5 YEARS: COAL MINISTER
State-owned CIL will develop 55 new coal mines and expand 193 existing ones in the next five years, Parliament was informed. The company is also un ...
Thursday, 21 November 19
4TH DEEP OFFSHORE WEST AFRICA CONGRESS 2020
4th Deep Offshore West Africa Congress 2020
17 Janaury 2020
Accra, Ghana
Press Release: Following the great succ ...
Thursday, 21 November 19
INDONESIA PLANS TO KEEP $70/T COAL PRICE CAP FOR PLN, DMO - REUTERS
Indonesia’s energy minister Arifin Tasrif said his ministry plans to maintain a price cap on coal being sold to state electricity utility, PT ...
Wednesday, 20 November 19
FOREIGN DIRECT INVESTMENTS IN COMMERCIAL COAL MINING IN INDIA? - DIPESH DIPU
In August 2019, Government of India announced its approval for Foreign Direct Investment (FDI) for coal mining, processing and sale. Not that FDI i ...
|
|
|
Showing 1276 to 1280 news of total 6871 |
|
 |
|
|
|
|
| |
|
 |
|
|
| |
|
- Port Waratah Coal Services - Australia
- Economic Council, Georgia
- Alfred C Toepfer International GmbH - Germany
- Vijayanagar Sugar Pvt Ltd - India
- SMG Consultants - Indonesia
- Dalmia Cement Bharat India
- Tamil Nadu electricity Board
- Intertek Mineral Services - Indonesia
- Bharathi Cement Corporation - India
- Price Waterhouse Coopers - Russia
- Singapore Mercantile Exchange
- Semirara Mining Corp, Philippines
- Star Paper Mills Limited - India
- Bukit Makmur.PT - Indonesia
- Chamber of Mines of South Africa
- Heidelberg Cement - Germany
- Pendopo Energi Batubara - Indonesia
- Mercuria Energy - Indonesia
- Merrill Lynch Commodities Europe
- MS Steel International - UAE
- Indika Energy - Indonesia
- Oldendorff Carriers - Singapore
- Mercator Lines Limited - India
- Gujarat Electricity Regulatory Commission - India
- Wood Mackenzie - Singapore
- SN Aboitiz Power Inc, Philippines
- Salva Resources Pvt Ltd - India
- Bhushan Steel Limited - India
- Medco Energi Mining Internasional
- Simpson Spence & Young - Indonesia
- PTC India Limited - India
- Neyveli Lignite Corporation Ltd, - India
- TeaM Sual Corporation - Philippines
- Marubeni Corporation - India
- Miang Besar Coal Terminal - Indonesia
- Vedanta Resources Plc - India
- Formosa Plastics Group - Taiwan
- Georgia Ports Authority, United States
- Semirara Mining and Power Corporation, Philippines
- Banpu Public Company Limited - Thailand
- Rashtriya Ispat Nigam Limited - India
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Thiess Contractors Indonesia
- Kapuas Tunggal Persada - Indonesia
- Sical Logistics Limited - India
- Orica Australia Pty. Ltd.
- Videocon Industries ltd - India
- Samtan Co., Ltd - South Korea
- Makarim & Taira - Indonesia
- Karaikal Port Pvt Ltd - India
- CNBM International Corporation - China
- Coalindo Energy - Indonesia
- Minerals Council of Australia
- Coastal Gujarat Power Limited - India
- Baramulti Group, Indonesia
- Altura Mining Limited, Indonesia
- Global Coal Blending Company Limited - Australia
- Kohat Cement Company Ltd. - Pakistan
- Independent Power Producers Association of India
- Kalimantan Lumbung Energi - Indonesia
- Mintek Dendrill Indonesia
- Eastern Coal Council - USA
- Edison Trading Spa - Italy
- European Bulk Services B.V. - Netherlands
- Riau Bara Harum - Indonesia
- Pipit Mutiara Jaya. PT, Indonesia
- Offshore Bulk Terminal Pte Ltd, Singapore
- Thai Mozambique Logistica
- OPG Power Generation Pvt Ltd - India
- Siam City Cement - Thailand
- Bayan Resources Tbk. - Indonesia
- Aditya Birla Group - India
- Kideco Jaya Agung - Indonesia
- Latin American Coal - Colombia
- Africa Commodities Group - South Africa
- Orica Mining Services - Indonesia
- Indian Oil Corporation Limited
- Iligan Light & Power Inc, Philippines
- South Luzon Thermal Energy Corporation
- Meenaskhi Energy Private Limited - India
- Ambuja Cements Ltd - India
- Vizag Seaport Private Limited - India
- Ind-Barath Power Infra Limited - India
- Trasteel International SA, Italy
- Metalloyd Limited - United Kingdom
- Bank of Tokyo Mitsubishi UFJ Ltd
- Sakthi Sugars Limited - India
- Australian Commodity Traders Exchange
- SMC Global Power, Philippines
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Barasentosa Lestari - Indonesia
- Sree Jayajothi Cements Limited - India
- Bukit Baiduri Energy - Indonesia
- Energy Link Ltd, New Zealand
- Leighton Contractors Pty Ltd - Australia
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Eastern Energy - Thailand
- Global Green Power PLC Corporation, Philippines
- Maharashtra Electricity Regulatory Commission - India
- Indonesian Coal Mining Association
- Standard Chartered Bank - UAE
- Ceylon Electricity Board - Sri Lanka
- Goldman Sachs - Singapore
- Indo Tambangraya Megah - Indonesia
- Sarangani Energy Corporation, Philippines
- Lanco Infratech Ltd - India
- TNB Fuel Sdn Bhd - Malaysia
- Ministry of Transport, Egypt
- Bangladesh Power Developement Board
- Commonwealth Bank - Australia
- New Zealand Coal & Carbon
- Rio Tinto Coal - Australia
- Ministry of Mines - Canada
- Karbindo Abesyapradhi - Indoneisa
- Petrochimia International Co. Ltd.- Taiwan
- Globalindo Alam Lestari - Indonesia
- Borneo Indobara - Indonesia
- Central Electricity Authority - India
- Savvy Resources Ltd - HongKong
- Romanian Commodities Exchange
- Posco Energy - South Korea
- Binh Thuan Hamico - Vietnam
- Jindal Steel & Power Ltd - India
- The Treasury - Australian Government
- Manunggal Multi Energi - Indonesia
- San Jose City I Power Corp, Philippines
- Energy Development Corp, Philippines
- Petron Corporation, Philippines
- ASAPP Information Group - India
- Antam Resourcindo - Indonesia
- McConnell Dowell - Australia
- Kaltim Prima Coal - Indonesia
- GMR Energy Limited - India
- VISA Power Limited - India
- Renaissance Capital - South Africa
- Mjunction Services Limited - India
- Interocean Group of Companies - India
- Jorong Barutama Greston.PT - Indonesia
- Krishnapatnam Port Company Ltd. - India
- The University of Queensland
- Agrawal Coal Company - India
- Attock Cement Pakistan Limited
- ICICI Bank Limited - India
- PNOC Exploration Corporation - Philippines
- London Commodity Brokers - England
- Electricity Authority, New Zealand
- Australian Coal Association
- Sindya Power Generating Company Private Ltd
- Parliament of New Zealand
- Sojitz Corporation - Japan
- Madhucon Powers Ltd - India
- Bukit Asam (Persero) Tbk - Indonesia
- Gujarat Sidhee Cement - India
- Carbofer General Trading SA - India
- Essar Steel Hazira Ltd - India
- Power Finance Corporation Ltd., India
- The State Trading Corporation of India Ltd
- International Coal Ventures Pvt Ltd - India
- Maheswari Brothers Coal Limited - India
- White Energy Company Limited
- AsiaOL BioFuels Corp., Philippines
- GAC Shipping (India) Pvt Ltd
- Cigading International Bulk Terminal - Indonesia
- Kobexindo Tractors - Indoneisa
- Siam City Cement PLC, Thailand
- Bulk Trading Sa - Switzerland
- Meralco Power Generation, Philippines
- Ministry of Finance - Indonesia
- LBH Netherlands Bv - Netherlands
- Toyota Tsusho Corporation, Japan
- IEA Clean Coal Centre - UK
- Anglo American - United Kingdom
- Global Business Power Corporation, Philippines
- Central Java Power - Indonesia
- Therma Luzon, Inc, Philippines
- Directorate General of MIneral and Coal - Indonesia
- Timah Investasi Mineral - Indoneisa
- Bhoruka Overseas - Indonesia
- Electricity Generating Authority of Thailand
- PowerSource Philippines DevCo
- Grasim Industreis Ltd - India
- Larsen & Toubro Limited - India
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Gujarat Mineral Development Corp Ltd - India
- Uttam Galva Steels Limited - India
- Kartika Selabumi Mining - Indonesia
- Wilmar Investment Holdings
- Cement Manufacturers Association - India
- Bahari Cakrawala Sebuku - Indonesia
- Billiton Holdings Pty Ltd - Australia
- Jaiprakash Power Ventures ltd
- Holcim Trading Pte Ltd - Singapore
- Aboitiz Power Corporation - Philippines
- Kumho Petrochemical, South Korea
- Tata Chemicals Ltd - India
- Indian Energy Exchange, India
- Coal and Oil Company - UAE
- Malabar Cements Ltd - India
- Xindia Steels Limited - India
- Kepco SPC Power Corporation, Philippines
- GN Power Mariveles Coal Plant, Philippines
- CIMB Investment Bank - Malaysia
- PetroVietnam Power Coal Import and Supply Company
- IHS Mccloskey Coal Group - USA
- India Bulls Power Limited - India
- Chettinad Cement Corporation Ltd - India
- Sinarmas Energy and Mining - Indonesia
- Deloitte Consulting - India
- Asmin Koalindo Tuhup - Indonesia
- Bhatia International Limited - India
- GVK Power & Infra Limited - India
- Straits Asia Resources Limited - Singapore
- Indogreen Group - Indonesia
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Planning Commission, India
- Directorate Of Revenue Intelligence - India
- Parry Sugars Refinery, India
|
| |
| |
|
