Here the latest news from NYK on this:
As of 1st January 2015, every ship operating within the Emission Control Area (ECA) must use higher quality fuels with a sulphur content of no more than 0.1% (current limit: 1.0%). Adherence to this limit under MARPOL Annex VI is required of ship-owners by the International Maritime Organization (IMO), the United Nations body responsible for maritime affairs. NYK fully supports this sound environmental improvement initiative.
As a result, NYK will implement a Trade specific “ECA Regulation Surcharge” to be in effect from 1st January 2015. The charge will be put into place to manage the cost of adhering to the environmental protection regulations. NYK evaluated our expected operating cost increase due to the need to burn higher grade fuel oil in these certain locations and constructed the surcharge in line with these costs. We thank you for your support and understanding.
The cost of fuel that meets the regulation requirements is not yet known, although it is anticipated to be significantly more expensive than current standard bunker prices. The availability of fuel that meets the required low sulphur content at all locations is also an unknown. NYK is working with our fuel suppliers to ensure adequate supply.
As a result of these variables, our ECA Regulation Surcharge will contain a floating element to ensure a shared risk approach with our valued customers. Should the price of the higher quality fuel change in excess of 10% in one quarter, an adjustment of USD 5 per TEU would come into effect for the following quarter.
For North Europe Outports (Scandinavia / Baltics / Russia / Poland / UK and Ireland feeder outports) there are further costs incurred basis feeder operations in the North Sea and Baltic ECA in addition to NYK North Sea base port direct call services. This cost is covered under charge item North Europe Outports which is applied in addition to the ECA Regulation Surcharge for respective Trades where cargo originates from / to North Europe Outports. This additional charge for North Europe Outports will be Euro 50 per TEU.
Frequently Asked Questions
1. Has the European Union taken any specific position on the new cost regulation?
The European Union has established EU Directive 2012/33/EU amending Directive 1999/32/EC. The
amended Sulphur Directive will enter into force 1 January 2015 in the North Sea and Baltic ECAs. The
revision of the sulphur directive was instigated to bring EU regulations into line with current IMO regulations
for sulphur emissions from ships under MARPOL Annex VI.
2. Has the United States or Canadian government taken any specific position on the new cost
Yes, the United States EPA issued Regulatory Announcement: EPA-420-F-09-068 in December 2009
confirming the United States intention to implement the MARPOL treaty. Regarding the cost of the program,
the EPA states in this document: “These costs are expected to be completely passed on to consumers of
transported goods, on the order of about one cent for a pair of shoes.”
Canada implemented the same position via “The Regulations Amending the Vessel Pollution and Dangerous
Chemicals Regulations (the Amendments)”, which were published in Part II of the Canada Gazette on May 8,
3. Where are the ECAs?
Subject to IMO review, but today includes the Baltic Sea, North Sea, North America (West Coast and East
Coast), Hawaii, and US Caribbean Sea areas as defined by the IMO.
The area of the North American ECA includes waters adjacent to the Pacific coast, the Atlantic/Gulf coast and
the eight main Hawaiian Islands. It extends up to 200 nautical miles from coasts of the United States, Canada
and the French territories, except that it does not extend into marine areas subject to the sovereignty or
jurisdiction of other States.
The area of the Europe ECA includes the North Sea and the Baltic Sea, which have been defined as follows:
• The North Sea southwards of the latitude 62° N and eastwards of longitude 4° W;
• The Skagerrak, the southern limit of which is determined east of the Skaw by latitude 57° 44.8’ N; and
• The English Channel and its approaches eastwards of longitude 5° W and northwards of latitude
4. Which trades are impacted?
Subject to IMO review, but today the Transpacific, Asia Europe (excluding Mediterranean), Trans-Atlantic,
North America / South America, North America / Central America, and Hawaii trades are impacted.
5. Who is monitoring the sulphur content of vessels operating within the ECAs?
The IMO and approved 3rd parties monitor the sulphur content of vessels operating within the ECAs and
would assess penalties to carriers which are not adhering to the regulations.
6. Where can we further research this issue?
The IMO provides extensive background information on the regulation and ECAs at their website:
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