Coronavirus masks effects of IMO's low-sulfur fuel mandate
Professional Mariner|May 2020
In addition to the 0.5 percent sulfur cap for fuel burned by vessels under IMO 2020, they also can no longer carry high sulfur fuel on board if they are not outfitted with scrubbers.
Gary Wollenhaupt
Coronavirus masks effects of IMO's low-sulfur fuel mandate

As the coronavirus disrupted global trade in the first few months of 2020, the International Maritime Organization (IMO) reported a “relatively smooth” transition to its 0.5 percent sulfur cap for fuel. At major bunker ports, supplies of very-low-sulfur fuel were sufficient, and large operators had contracts with trusted suppliers.

As of Jan. 1, vessels are required to burn fuel with 0.5 percent sulfur content under MARPOL Annex VI, or they can continue to use 3.5 percent fuel if an exhaust gas cleaning system (scrubber) has been installed. Operators in Emission Control Areas (ECAs), including most of the United States, have been required to use 0.1 percent fuel since Jan. 1, 2015.

Prices for low-sulfur fuel ramped up sharply in the first week of the new IMO 2020 regime, but they fell during the next several weeks as shipping demand declined amid efforts to contain the coronavirus outbreak. Consequently, there were few reports of fuel shortages or enforcement actions. The most common complaint was poor quality from organic contamination that left sediment in the fuel, making it difficult to burn.

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