Denmark-based international shipping association BIMCO has adopted a new carbon intensity indicator (CII) clause for Voyage Charter Parties. It noted that the shipping industry was facing an increase in new regulations from the IMO and the EU, as well as an increase in the urgency to decarbonize.
BIMCO has therefore developed this new clause, the latest addition to BIMCO’s portfolio of carbon clauses.
Nicholas Fell, chairperson of BIMCO’s Documentary Committee, said that “as the shipping industry works towards decarbonization, the need for new contracts and clauses increases. We are working constantly to ensure that BIMCO’s contracts and clauses are fit for purpose as the regulatory landscape changes”.
In November 2022, BIMCO’s Documentary Committee adopted the CII Operations Clause for Time Charter Parties ahead of the IMO’s CII regulation, which entered into force on January 1st 2023.
After its publication a new subcommittee was tasked with developing a CII Clause for Voyage Charter Parties, which has now been adopted.
The clauses aim to facilitate collaboration and provide certainty between shipowners and charterers as new regulations come into force, changing the way the industry operates to assist compliance and cut emissions. “The new CII clause focuses on course adjustment and speed reduction and includes commercial elements such as data sharing”, said Stinne Taiger Ivø, Director, Contracts & Support at BIMCO.
Other carbon clauses from BIMCO include the EEXI Transition Clause, published in December 2021, and the Emissions Trading System Allowances (ETSA) Clause for Time Charter Parties, published at the end of May 2022.