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.
|
|
Thursday, 12 December 19
KOWEPO INVITING BIDS FOR 2.28 MILLION TONS OF MIN.4,400 NCV COAL
COALspot.com: South Korea’s Korea Western Power Co., Ltd. (KOWEPO) has issued an international tender for total 2,280,000 tons of (Sub) Bitum ...
Wednesday, 11 December 19
PANAMAX: THE MARKET REMAINED FIRM IN THE PACIFIC, WITH INCREASED ACTIVITY NOTED IN KEY AREAS, SUCH AS INDONESIA - ALLIED
Capesize – Positive momentum was resumed this past week, with earnings mak-ing some gains once again. This rising pattern was reflected in th ...
Tuesday, 10 December 19
PREPARATIONS INTENSIFY AS IMO 2020 GLOBAL SULPHUR CAP LOOMS - STANDARD CLUB
With less than a month to go for the impending IMO 2020 global sulphur cap, the club has started witnessing dispute cases relating to the measureme ...
Monday, 09 December 19
KOREA SOUTHERN POWER CO LTD IS INVITING OFFERS FOR MIN 3700 NCV COAL
COALspot.com: South Korea’s Korea East-West Power Co. Ltd has issued an international tender for 160,000 Tons steam coal.
Acco ...
Saturday, 07 December 19
CHINA'S BENCHMARK POWER COAL PRICE DROPS SLIGHTLY - XINHUA
China’s benchmark power coal price dropped slightly during the past week.
The Bohai-Rim Steam-Coal Price Index (BSPI), a gauge ...
|
|
|
Showing 1246 to 1250 news of total 6871 |
|
 |
|
|
|
|
| |
|
 |
|
|
| |
|
- Straits Asia Resources Limited - Singapore
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Power Finance Corporation Ltd., India
- Kumho Petrochemical, South Korea
- Georgia Ports Authority, United States
- New Zealand Coal & Carbon
- Meenaskhi Energy Private Limited - India
- McConnell Dowell - Australia
- Latin American Coal - Colombia
- Central Java Power - Indonesia
- Anglo American - United Kingdom
- Global Business Power Corporation, Philippines
- Samtan Co., Ltd - South Korea
- Australian Coal Association
- Kepco SPC Power Corporation, Philippines
- Banpu Public Company Limited - Thailand
- Ceylon Electricity Board - Sri Lanka
- OPG Power Generation Pvt Ltd - India
- Global Coal Blending Company Limited - Australia
- Bukit Baiduri Energy - Indonesia
- Kartika Selabumi Mining - Indonesia
- Bhoruka Overseas - Indonesia
- Singapore Mercantile Exchange
- PNOC Exploration Corporation - Philippines
- Deloitte Consulting - India
- TNB Fuel Sdn Bhd - Malaysia
- Bangladesh Power Developement Board
- Eastern Coal Council - USA
- South Luzon Thermal Energy Corporation
- Indonesian Coal Mining Association
- Timah Investasi Mineral - Indoneisa
- Bhushan Steel Limited - India
- Lanco Infratech Ltd - India
- Global Green Power PLC Corporation, Philippines
- VISA Power Limited - India
- Kobexindo Tractors - Indoneisa
- GVK Power & Infra Limited - India
- Bukit Makmur.PT - Indonesia
- SN Aboitiz Power Inc, Philippines
- Grasim Industreis Ltd - India
- GN Power Mariveles Coal Plant, Philippines
- Toyota Tsusho Corporation, Japan
- Minerals Council of Australia
- Makarim & Taira - Indonesia
- Siam City Cement PLC, Thailand
- Mercator Lines Limited - India
- SMC Global Power, Philippines
- Coastal Gujarat Power Limited - India
- Mintek Dendrill Indonesia
- ASAPP Information Group - India
- Larsen & Toubro Limited - India
- Neyveli Lignite Corporation Ltd, - India
- Indian Energy Exchange, India
- Billiton Holdings Pty Ltd - Australia
- Sojitz Corporation - Japan
- Barasentosa Lestari - Indonesia
- Jorong Barutama Greston.PT - Indonesia
- Maharashtra Electricity Regulatory Commission - India
- Port Waratah Coal Services - Australia
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Formosa Plastics Group - Taiwan
- Star Paper Mills Limited - India
- Cigading International Bulk Terminal - Indonesia
- Wood Mackenzie - Singapore
- Posco Energy - South Korea
- Agrawal Coal Company - India
- Commonwealth Bank - Australia
- TeaM Sual Corporation - Philippines
- Miang Besar Coal Terminal - Indonesia
- San Jose City I Power Corp, Philippines
- Energy Development Corp, Philippines
- Tata Chemicals Ltd - India
- Alfred C Toepfer International GmbH - Germany
- Orica Mining Services - Indonesia
- Directorate Of Revenue Intelligence - India
- Planning Commission, India
- Coalindo Energy - Indonesia
- Bukit Asam (Persero) Tbk - Indonesia
- Aditya Birla Group - India
- Sarangani Energy Corporation, Philippines
- Kaltim Prima Coal - Indonesia
- Savvy Resources Ltd - HongKong
- Aboitiz Power Corporation - Philippines
- Riau Bara Harum - Indonesia
- Rio Tinto Coal - Australia
- Iligan Light & Power Inc, Philippines
- Xindia Steels Limited - India
- Indo Tambangraya Megah - Indonesia
- Ambuja Cements Ltd - India
- Karaikal Port Pvt Ltd - India
- Sree Jayajothi Cements Limited - India
- Jaiprakash Power Ventures ltd
- Indogreen Group - Indonesia
- Kideco Jaya Agung - Indonesia
- Tamil Nadu electricity Board
- SMG Consultants - Indonesia
- Medco Energi Mining Internasional
- Baramulti Group, Indonesia
- Chamber of Mines of South Africa
- Karbindo Abesyapradhi - Indoneisa
- European Bulk Services B.V. - Netherlands
- Pendopo Energi Batubara - Indonesia
- Bhatia International Limited - India
- Malabar Cements Ltd - India
- Kohat Cement Company Ltd. - Pakistan
- Dalmia Cement Bharat India
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Vizag Seaport Private Limited - India
- Indika Energy - Indonesia
- Marubeni Corporation - India
- Binh Thuan Hamico - Vietnam
- Asmin Koalindo Tuhup - Indonesia
- AsiaOL BioFuels Corp., Philippines
- Ministry of Transport, Egypt
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Petron Corporation, Philippines
- Energy Link Ltd, New Zealand
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Thiess Contractors Indonesia
- Leighton Contractors Pty Ltd - Australia
- Carbofer General Trading SA - India
- CNBM International Corporation - China
- Madhucon Powers Ltd - India
- Bulk Trading Sa - Switzerland
- PowerSource Philippines DevCo
- Coal and Oil Company - UAE
- Ministry of Mines - Canada
- Parliament of New Zealand
- IHS Mccloskey Coal Group - USA
- PetroVietnam Power Coal Import and Supply Company
- Directorate General of MIneral and Coal - Indonesia
- Krishnapatnam Port Company Ltd. - India
- Ministry of Finance - Indonesia
- Salva Resources Pvt Ltd - India
- Vijayanagar Sugar Pvt Ltd - India
- Edison Trading Spa - Italy
- Electricity Authority, New Zealand
- MS Steel International - UAE
- LBH Netherlands Bv - Netherlands
- Heidelberg Cement - Germany
- Antam Resourcindo - Indonesia
- Africa Commodities Group - South Africa
- IEA Clean Coal Centre - UK
- Wilmar Investment Holdings
- India Bulls Power Limited - India
- Indian Oil Corporation Limited
- Sakthi Sugars Limited - India
- Sical Logistics Limited - India
- Semirara Mining and Power Corporation, Philippines
- Gujarat Mineral Development Corp Ltd - India
- Simpson Spence & Young - Indonesia
- Mercuria Energy - Indonesia
- Interocean Group of Companies - India
- Mjunction Services Limited - India
- Orica Australia Pty. Ltd.
- Bahari Cakrawala Sebuku - Indonesia
- The University of Queensland
- Meralco Power Generation, Philippines
- Central Electricity Authority - India
- Goldman Sachs - Singapore
- Borneo Indobara - Indonesia
- International Coal Ventures Pvt Ltd - India
- Bharathi Cement Corporation - India
- GMR Energy Limited - India
- ICICI Bank Limited - India
- Videocon Industries ltd - India
- Sindya Power Generating Company Private Ltd
- PTC India Limited - India
- Standard Chartered Bank - UAE
- Chettinad Cement Corporation Ltd - India
- Therma Luzon, Inc, Philippines
- Manunggal Multi Energi - Indonesia
- Renaissance Capital - South Africa
- Eastern Energy - Thailand
- Economic Council, Georgia
- Romanian Commodities Exchange
- Jindal Steel & Power Ltd - India
- Holcim Trading Pte Ltd - Singapore
- Bank of Tokyo Mitsubishi UFJ Ltd
- The Treasury - Australian Government
- Electricity Generating Authority of Thailand
- Cement Manufacturers Association - India
- Sinarmas Energy and Mining - Indonesia
- Metalloyd Limited - United Kingdom
- Parry Sugars Refinery, India
- Maheswari Brothers Coal Limited - India
- GAC Shipping (India) Pvt Ltd
- London Commodity Brokers - England
- Australian Commodity Traders Exchange
- Merrill Lynch Commodities Europe
- The State Trading Corporation of India Ltd
- Attock Cement Pakistan Limited
- Petrochimia International Co. Ltd.- Taiwan
- Semirara Mining Corp, Philippines
- Gujarat Sidhee Cement - India
- Kapuas Tunggal Persada - Indonesia
- Globalindo Alam Lestari - Indonesia
- Ind-Barath Power Infra Limited - India
- Intertek Mineral Services - Indonesia
- Thai Mozambique Logistica
- Independent Power Producers Association of India
- Price Waterhouse Coopers - Russia
- Siam City Cement - Thailand
- Vedanta Resources Plc - India
- Rashtriya Ispat Nigam Limited - India
- Oldendorff Carriers - Singapore
- Trasteel International SA, Italy
- Uttam Galva Steels Limited - India
- Pipit Mutiara Jaya. PT, Indonesia
- Essar Steel Hazira Ltd - India
- Kalimantan Lumbung Energi - Indonesia
- Altura Mining Limited, Indonesia
- Gujarat Electricity Regulatory Commission - India
- Bayan Resources Tbk. - Indonesia
- Offshore Bulk Terminal Pte Ltd, Singapore
- White Energy Company Limited
- CIMB Investment Bank - Malaysia
|
| |
| |
|
