Swedish Club releases guidance for 2020 sulfur capFeb 12, 2019 09:52 AM
The overview includes legal implications involving compliance and charter parties
The following is text of a news release from The Swedish Club:
(GOTHENBURG, Sweden) — On Jan. 1, 2020, vessel owners must have made the decision to install exhaust gas scrubbers or to burn low sulfur or alternative fuels. The cost implications of any decision will be difficult to predict and there is no shortage of opinions in the marketplace. To assist the shipowner, The Swedish Club has obtained expert advice from a leading marine engineering consultancy and from experts in contract law.
The Swedish Club’s Sulfur Guide provides both technical and legal advice. It explores technical considerations when making the decision between operating with low sulfur fuels and retrofitting scrubbers and explains the legal implications, both in terms of compliance and in relation to the terms of any charter party in place, following that decision.
The Sulfur Guide has been written in conjunction with Tony Grainger, marine engineer, TMC Marine; Paul Harvey, associate, Ince & Co.; and Jamila Khan, partner, Ince & Co. All are experts in their field, providing information based on situations they have encountered in their working lives.
“In this area there are many unknowns facing ship operators," said Lars Malm, director of strategic business development and client relations. "Will low sulfur fuel be available? If so, what will it cost? What risks do we face in the changeover period? How can we turn this to our advantage? One thing we do know is that, at least at the beginning, the sulfur cap 2020 legislation will produce a two-tier charter market – scrubbers installed versus no scrubbers.
“The Sulfur Guide is aimed at providing no-nonsense information to those thinking about the effect potential modifications will have both on the operation of their vessels, and existing charter parties and charter parties entered into in the future.“
The guide can be downloaded on www.swedishclub.com.Edit Module