The BBNJ agreement, or ‘High Seas Treaty,’ was reached by delegates of the Intergovernmental Conference and is the culmination of talks that have spanned two decades. This historic milestone was met with tears and a standing ovation from delegates.
Continue Reading New United Nations treaty on Biodiversity Beyond National Jurisdiction (BBNJ)
BIMCO CII Clause for Time Charters – The dust begins to settle
Just as there is no easy route to decarbonisation, there is no straightforward way of balancing a shipowner’s obligation to comply with the MARPOL Carbon Intensity Indicator (“CII”) Regulations with a time charterer’s right to direct the employment of a vessel.
That much is clear from the long-awaited BIMCO CII Operations Clause for Time Charters 2022 and, more tellingly, from the industry reaction.
Now that the dust is settling: what does the clause actually say? What are the key sticking points? And how are owners and charterers positioning themselves before the CII Regulations come into force on 1 January 2023? In this briefing, we take a closer look at some of the emerging themes.
Continue Reading BIMCO CII Clause for Time Charters – The dust begins to settle
EEXI and CII – shipping’s next environmental challenge
Introduction
There cannot be many people left in the shipping sector unaware that the International Maritime Organisation (IMO) has set a target of reducing annual greenhouse gas emissions in shipping by at least 40% by 2030 and pursuing a 70% reduction by 2050.
As a key means of achieving this, the IMO, through the Marine Environment Protection Committee (MEPC) has adopted amendments to the International Convention for the Prevention of Pollution from Ships (MARPOL) Annex VI. These changes will implement major new technical rules called the Energy Efficiency Existing Ship Index (EEXI) and the Carbon Intensity Indicator (CII). The regulations are due to come into force on 1 January 2023, just over a year from now.
Put simply, EEXI is a framework for determining the efficiency of the design of in-service vessels over 400 GT falling under MARPOL Annex VI. The CII is an operational measure of how efficiently a ship transports goods or passengers measured, in essence, in grams of CO2 emitted by cargo-carrying capacity and nautical mile.
Both EEXI and CII are complex and evolving, with much of the detail still unclear. However, they need to be carefully considered and understood now so that those affected can start planning for January 2023.
In this article, we set out in an easy-to-use table the main points, and explain some of the key issues owners and charterers need to consider.
Continue Reading EEXI and CII – shipping’s next environmental challenge
New initiatives concerning sustainable transportation is published by the European Commission
Last month, the European Commission published two new proposals for EU regulations to encourage the use of sustainable fuels in aviation and shipping – namely the ReFuelEU Aviation and FuelEU Maritime initiatives, respectively. Both proposals are subject to public feedback until 5 October.
During ocean-going vessel inspections, California is to increase fuel sample analysis
Beginning in May 2021, California Air Resources Board (“CARB”) enforcement staff will begin additional analysis of fuel samples taken during ocean-going vessel inspections. CARB is seeking to improve compliance due to changing international regulatory sulfur limits, which has created situations where a vessel’s fuel may meet international and California regulatory sulfur limits, but not meet
Upcoming public hearing scheduled for late August – California proposes revisions to regulation of air emissions from “Ships at Berth.”
The California Air Resources Board (“CARB”) has again proposed revisions to the State’s existing “Ocean-Going Vessels At-Berth Regulation” of air emissions from ships docked in California. As revised, further reductions in air emissions will be required, but some of the earlier implementation dates have been extended.
Most substantive changes were made in response
Hydrogen fuel cell demonstrations in rail and marine applications at ports – California Energy Commission workshop
Companies reliant upon the use of rail services and commercial harbor craft at California’s ports should be interested in the State’s:
- Increasing focus on utilizing zero emission technologies to reduce greenhouse gas emissions resulting from port-related operations; and
- Provision of $6.6 million in available grants to “fund the design, integration, and demonstration of hydrogen fuel
CARB continues to advance its regulation of air emissions for shipping industry
The California Air Resources Board (CARB) will conduct a public Board hearing later this month as it continues its efforts to expand the state’s existing Ocean-Going Vessels At-Berth Regulation to further reduce air emissions from ships docked in California. As earlier reported, CARB recently released further modifications to the at-berth rulemaking documents (15-day change).
CARB continues to revise air emissions rules for the shipping industry, despite COVID-19 concerns
The California Air Resources Board (CARB) continues its efforts to expand the state’s existing Ocean-Going Vessels At-Berth Regulation to further reduce air emissions from ships docked in California. (See here for prior alert). CARB recently released draft modifications to the At-Berth Rulemaking Documents. The modifications would include:
- Allowing use of an Innovative Concepts
Shipment of waste regulations breach leads to £590,000 in fines and costs
Biffa Waste Services Ltd (Biffa) has been fined for breaching Regulation 23 of the Transfrontier Shipment of Waste Regulations 2007 after containers of paper for recycling were found to be contaminated with household waste. The fine was £350,000 plus an additional £240,000 in costs.
In 2015, Biffa had arranged for shipments of waste paper to