Latest developments from around the global marine fuel sector

One million tonnes of bunkers “are off spec” Off-specification and non-compliant fuels, totalling more than a million tonnes a year, can cost ship operators as much as $50,000 per incident according to a new report.

“make it more vital than ever that ship operators receive the correct advice and oversight on bunker procurement and refuelling operations”.

UK based classification society Lloyd’s Register (LR), in collaboration with marine innovation consultancy Thetius, has published a new report into the market, technology, and regulatory trends of fuel oil bunkering as the industry navigates its way through the decarbonisation and digitalisation challenges of the 21st century.

The report, titled Testing Times – The vital role of ship fuel oil testing and quantity verification in an uncertain era estimates that in excess of one million tonnes of off-specification or non-compliant fuels are detected each year, costing ship operators between $27,000-$50,000 per incident. It says operators require reliable support in bunkering disputes and points to the need for independent testing and verification.

Asserting that ship operators need dependable support in bunkering disputes along with independent testing and verification, the report says the introduction of biofuel oils, growing prevalence of bunker licensing schemes along with upcoming changes to ISO standards for marine grade fuels “make it more vital than ever that ship operators receive the correct advice and oversight on bunker procurement and refuelling operations”.

The report also emphasises the number of contributing factors that have made the market prone to serious issues, including the Russia/Ukraine crisis, fraud and corruption, lack of supply chain transparency and climate change.

Matthew Kenney, Director of Research and Consulting at Thetius said:
“The evidence gathered in this report paints a worrying picture for ship operators who are facing increasing cost and risk from contaminated fuels while tackling a myriad of other challenges. Significant gaps remain where opportunities for poor quality and off-quantity bunker deliveries can gain and maintain a foothold.”

Peninsula start physical supplies at Fujairah
Global marine fuel supplier and reseller Peninsula, has started physical operations in the Port of Fujairah.

The company says that its “strong track record” as a reseller in Fujairah, will now be combined with its global physical supply expertise to help further cement its position in and around the Arabian Sea and Indian Ocean.

According to a company statement, the opening of a physical supply operation in Fujairah is the next step in Peninsula’s expansion from the group’s Mediterranean hub.