Bunker bills could leap 25% in 2020 with new sulphur rules

Bunker costs across the world could jump by 25%, or $24bn, when new sulphur regulations come into force in 2020, according to a new report from consultants Wood Mackenzie.

The International Maritime Organization’s (IMO) rules will see sulphur content in fuel slashed from 3.5% to 0.5% in 2020.

The $24bn figure reached by Wood Mackenzie factors in a small percentage of the fleet installing scrubbers ahead of 2020. Wood Mackenzie estimates just 2% of the global fleet will have scrubbers by 2020 with many owners concerned about returns on investment on the emission cutting technology.

Sam Chambers

Starting out with the Informa Group in 2000 in Hong Kong, Sam Chambers became editor of Maritime Asia magazine as well as East Asia Editor for the world’s oldest newspaper, Lloyd’s List. In 2005 he pursued a freelance career and wrote for a variety of titles including taking on the role of Asia Editor at Seatrade magazine and China correspondent for Supply Chain Asia. His work has also appeared in The Economist, The New York Times, The Sunday Times and The International Herald Tribune.
Back to top button