27 Februari 2020

[270220.EN.SEA] Maersk Meets IMO 2020, But Will Use More Heavy Fuel With Scrubbers


AP Moller Maersk CEO Soren Skou says the switchover to lower sulphur fuel to meet the demands of newly implemented IMO 2020 has been "very successful" during the first two months of the year, adding that the group did not experience any operational problems and the fleet is now fully compliant with the sulphur cap.

"Currently, only a limited number of our vessels have scrubbers installed due to delays at the yards and the situation in China, and I think those delays are probably going to become even longer," Mr Skou said during a conference call following the release of the carrier's 2019 results.

He said Maersk's fleet currently consumes 10 per cent heavy fuel oil (HFO), 10 per cent marine gas oil (MGO) and 80 per cent very low sulphur fuel oil (VLSFO). By year-end, when more scrubbers are installed, he expects HFO's share to rise to 25 per cent, reported American Shipper.

"We have witnessed high volatility in fuel prices," he added, noting that as a result, Maersk will implement a new surcharge of US$50-$200 per FEU from March 1.

Asked about passing costs on to shippers, Mr Skou replied: "As far as spot volumes, which are about half our volumes, if you look at the Shanghai Freight Index, freight rates have gone up substantially since October 1 at least until Chinese New Year."

Source : HKSG.

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