IMO 2020: Update on Bunker Adjustment Factor (BAF) and new Environmental Fuel Fee (EFF)
From January 1st, 2020 all the fuels employed in the ships, the so-called “bunker” today composed essentially of fuel oil with sulfur content at 3.5%, will have to be at 0.5% world-wide (IMO 2020), that means a distillate very similar to diesel.
The IMO2020 Regulation is the largest of a number of measures of the International Maritime Organisation (IMO) to reduce marine pollution.
The entire shipping industry will change radically, but the IMO2020 regulation will make it more environmentally friendly.
For this reason, all shipping lines have welcomed the new regulation, considering the initiative an important step towards the definition of uniform standards for the benefit of both the environment and people.
Such change will have deep implications on the shipping economy and important repercussions on the organisation of oil industry both in production and distribution, that will have to guarantee the availability of the product.
So we inform you that all our quotations/ freight rate “all in” and / o with the bunker vatos (vaid at the time of shipment), will have to be revised and adjusted according to the levels of the new low-sulphur bunker.