FDD notice from Swedish Club on 0.5% sulphur cap

Swedish Club has issued an FDD notice to Members regarding legal issues arising from new bunker sulphur regulations in MARPOL.

The new global sulphur limit for marine fuel of 0.50% m/m will apply from January 1st 2020.

Amendments to MARPOL Annex VI which prohibit vessels from carrying fuel oil with a sulphur content of more than 0.50% m/m have been approved by the IMO, effective March 1st 2020, after which only vessels which are equipped with scrubbers will be exempt.

The Club said that the new rules also had legal implications, both in terms of compliance, and in relation to the terms of their charterparties, which needed to be considered.

In a technically complex notice, Swedish Club covers:
1. Seaworthiness

2. Cost of Bunkers

3. Quality of Bunkers / Removal of Non-Compliant Fuel

4. Bunkers on Redelivery / Definition of Bunkers

5. Switching Fuels

6. Performance Warranties

7. Scrubbers – costs involved

Going forward and Conclusion (variations between ports).