Standardized Bunker Supplier Accreditation Scheme to Enhance Marine Environmental Protection in SOMS

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CF 10/6/2/2 Standardized Bunker Supplier Accreditation Scheme to Enhance Marine Environmental Protection in SOMS 10 th Cooperation Forum Kota Kinabalu, Malaysia

Curriculum Vitae TRI BUANA GALAXY, M.Sc Surveyor in Statutory Division Biro Klasifikasi Indonesia (BKI) Marine Technology Department Project Experience : - Developing EEDI appraisal tools namely GP-EEDI -Developing Data Collection System (DCS) generator tools namely GP-DCS 2

BKI in numbers Ship Register 11500 Clients 4800 Surveyor 207 Inspector Engineer 237 117 Survey calls Rules & Reg. 35000 45 Branch offices 18/21 New building 2996

Abstract The General Overview of the Presentation 4

Abstract *MEPC 71/5/1, Sulphur monitoring for 2016 Problems Description Goal Success Indicator Global 0.5% Sulphur Cap eif. 1 Jan 2020 Average Sulphur Content of Residual Fuel for 2016 =2.45%m/m* Quality Control of bunkers delivered to ships There are no regional data for Availability of Compliant Fuels Data in SOMS The Global 0.50% Sulphur Limit Requires Practical Implementation Measures The yearly average S content of the tested residual fuel oils has increased since 2015 by 0.13 percentage In some cases fuels delivered do not meet the specification requirements, including S content Cleaner SOMS through Reduction of S Emissions Certify that the fuel used on board ships complies with IMO requirements Regional bunker suppliers have procedures to confirm that fuel supplied to vessels is in compliance with IMO requirements Consistent Implementation of the 0.50% Global Sulphur Limit in SOMS, by using compliant fuels There are registries of the SOMS regionally accredited bunker suppliers Regional FO availability data 5

Fuel Quality and Emission Regulation MARPOL Annex VI 6

Regulation What IMO Global Sulphur Cap Who Global Sulphur Cap How MARPOL Annex VI Regulation 14 EIF 1 January 2020 Limit for Sulphur in fuel oil used on board ships of 0.50% m/m *Current limit is is 3.50% m/m 7

Regulation What Emission Control areas (ECAS) Who Global Sulphur Cap How MARPOL Annex VI Regulation 14 EIF 1 January 2015 Limit for Sulphur in fuel oil used on board ships of 0.10% m/m 8

Regulation Who What Global Sulphur Cap How Fuel Oil Availability & Quality MARPOL Annex VI Regulation 18 In term of Availability, it is required to notify IMO when a ship has presented evidence of the non availability of compliant fuel oil In terms of Quality, its required that fuel oil for combustion purposes delivered to and used on board ships compy with IMO specification 9

Methods for Compliance What How to Comply the Regulation: Who Global Sulphur Cap How Primary : by using low Sulphur compliant fuel oil Secondary: by using approved equivalent methods 10

Methods for Compliance Methods for Compliance What Primary Secondary Distilate ULSFO Wet Scrubber Who Global Sulphur Cap How Residual VLSFO New fuel blends LNG Open Loop (SW) Closed Loop (FW & chemical) Hybird (open&closed) Bio Fuels/ Gas Dry Scrubber Methanol/ DME Plasma Other Other 11

Who What The Parties involved Who Global Sulphur Cap How Regulator (IMO) Refiners Bunker Supplier Ship owner / operator 12

Who What Regulator (IMO) Adopt the Global 0.5%m/m Sulphur Who Global Sulphur Cap How In order to ensure fuel quality, IMO is developing Guidance on best practice for fuel oil purchasers/users However, there are no regulation to control quality of bunkers delivered to ships 13

Who What Refiners Increasing pressures on supply Who Global Sulphur Cap How Develop new variant of low sulphur fuel with take in account price and quality Global Demand results to High trade for both Export and Import 14

Who What Suppliers Who Global Sulphur Cap How High Demand on low/zero sulphur compliant fuel will leads to the high competition on providing fuel supplies New types of Fuels provided by bunker supplier needs standardized quality / accreditation New types of fuels may lead to the possibility of malpractice in industries 15

Bunker and Fuel Quality Supply Chain and Sulphur Content 16

Bunker Supply Chain Refiners Bunker Supplier Ships Activity Fuels are produced Fuels are distributed Fuels are delivered to ships Fuel Quality Regulation - SOx and PM MARPOL Annex VI Reg.14&18 NO QC of FO Fuels are consummed Data Collection System MARPOL Annex VI Reg.22A Guidance on best practice for fuel oil purchasers/users (under developmnet) 17

Bunker Supply Chain Refiners Bunker Supplier Ships Total Production Include the quantity of exported fuels Total Distribution Represent the Quantity of available fuel ready to deliver on-board ships Bunker Quality Problem: In many cases fuels delivered do not meet the specification requirements, including S content 18

Bunker Quality Bunker Supplier Ships MARPOL Annex VI Regulation 14 and 18 stated the requierements for fuel used on-board ships Any non-compliance with regulation of the fuel quality used on-board, will be consequence impossed to the ship and ship operator At this point, there are no requirements on the bunker supplier to ensure they provide the ship with fuel that meets the Annex VI requirements 19

Sulphur Content of Distillate Fuel Oil Increased in total quantity Sulphur content has increased since 2015 by 0.05 percentage points from 2.45% to 2.50% Year Average sulphur content 2015 2.45% 2016 2.58% *MEPC 71/5/1, Sulphur monitoring for 2016 Corresponding quantity of residual fuel oil: 123,171,609 tonnes in 2016 114,344,642 tonnes in 2015 20

Sulphur Content of Distillate Fuel Oil Decreased in total quantity Sulphur content has remained unchanged since 2015 Year 2015 2016 Average sulphur content 0.08% *MEPC 71/5/1, Sulphur monitoring for 2016 Corresponding quantity of residual fuel oil: 11,362,954 tonnes in 2016 11,387,079 tonnes in 2015 21

Remarks The Sulphur Monitoring Report Conducted by IMO Secretariat Represents the Global Marine Bunker Condition The Data was Globally Sampled and did not Represents the Availability and Quality in the Certain Area such as Countries The Availability and Quality are Dynamic Parameters Bunker Supplier Represent the Quantity of Available Fuel Ready to Deliver on-board Ships. Therefore, assesing the Volume of Bunker Supplier will Estimate the availability of the Compliant Fuels There are no Scheme for the Bunker Supplier to Ensure they Provide the Ship with Fuel that Meets the Annex VI Requirements 22

Bunker Supplier Accreditation Scheme in SOMS 23

Bunker Supplier Accreditation Currently: Bunker Supplier Accreditation by MPA Singapore Bunker Standard: Singapore Standard SS600 QMBS SS524 24

Bunker Supplier Acc in Regional SOMS Goal : Cleaner SOMS through Reduction of Sulphur Emissions Certify that the fuel used on board ships complies with IMO requirements Regional bunker suppliers have procedures to confirm that fuel supplied to vessels is in compliance with IMO requirements 25

Bunker Supplier Acc in Regional SOMS Proposed Efforts : Identify the Availability of Fuel Oil Quality Regionally in SOMS Develop Scheme Plan for Bunker Supplier Accreditation among countries in SOMS Develop Bunkering Standard among countriesin SOMS 26

Bunker Supplier Acc in Regional SOMS Success Indicator : Consistent Implementation of the 0.50% Global Sulphur Limit in SOMS, by using compliant fuels There are registries of the SOMS regionally accredited bunker suppliers 27

Conclusion The Goal to Protect Marine Environment in SOMS can be Achieved through Developing a Unified Regional Standards, particularly on the Bunker Accreditation Scheme BKI, as part of industry, is eager to collaborate with other interested parties to respond the dynamic of regulation, including in marine environmental issue such as Global 0.5% Sulphur Cap in SOMS 28

THANK YOU Academy bki1964 bki_1964 www.bki.co.id