Maritime regulatory landscape
We expect companies in which we have a material stake to be at the forefront of these regulations in the design and development of products and services, and to actively participate with relevant bodies to obtain a level playing field for the maritime industry.
Sulphur emissions
In January 2020, IMO regulation for the Prevention of Air Pollution from Ships (MARPOL Annex VI) regarding a new global limit for sulphur in fuel oil used on board ships will come into effect. The maximum sulphur content allowed globally will be significantly reduced from 3.50% to 0.50%. Ships can meet the requirement by using low-sulphur compliant fuel oil; approved equivalent methods (such as exhaust gas cleaning systems); or alternative fuel (e.g. gas).
We support the robust enforcement of the sulphur regulation to ensure a level playing field for maritime operations. We also support the adoption of all available methods for complying with the regulation to reduce the impact on human health and the environment.
Ship management provides advisory services to owners and operators for the preparation and management of compliant fuel use and/or selected scrubber solutions.
Greenhouse gas emissions
In April 2018, the International Maritime Organisation (IMO) adopted the Initial IMO Strategy on reduction of GHG emissions from ships and agreed on three levels of ambition directing the strategy:
| 1. Carbon intensity of the ship to decline through implementation of further phases of the energy efficiency design index (EEDI) for new ships to review with the aim to strengthen the energy efficiency design requirements for ships with the percentage improvement for each phase to be determined for each ship type, as appropriate; |
| 2. Carbon intensity of international shipping to decline to reduce CO2 emissions per transport work, as an average across international shipping, by at least 40% by 2030, pursuing efforts towards 70% by 2050, compared to 2008; and |
| 3. GHG emissions from international shipping to peak and decline to peak GHG emissions from international shipping as soon as possible and to reduce the total annual GHG emissions by at least 50% by 2050 compared to 2008 whilst pursuing efforts towards phasing them out as called for in the Vision as a point on a pathway of CO2 emissions reduction consistent with the Paris Agreement temperature goals. |
We support the ambition of IMO on climate action, and the corresponding impact on ocean health.
We are working with partners on alternative fuel and propulsion projects to address a low carbon future.
Ballast water management
The IMO Ballast Water Management Convention of 2004 came into force from 8 September 2017. The IMO convention requires vessels to install ballast water treatment systems no later than the first renewal of the International Oil Pollution Prevention (IOPP) certificate. As at the end of 2018, 76 ballast water treatment systems had been granted type approval.
The US has implemented regulations requiring US Coast Guard (USCG) type approved ballast water treatment systems. As at the end of 2018, 15 ballast water treatment systems had received the final USCG type approval.
We support the enforcement of the ballast water management regulation to reduce the spread and impact of invasive marine organisms.
Ship management provides advisory services to owners and operators for the management of compliant ballast water treatment systems.
Ship recycling
The Hong Kong International Convention for the Safe and Environmentally Sound Recycling of Ships aims to ensure that ships, when recycled, do not pose any unnecessary risks to human health, safety or to the environment. The convention is yet to be ratified by the necessary 15 states, representing 40% of world merchant shipping. Norway was the first country to sign the convention. By end 2018, six countries had signed the convention representing 20.32% of world tonnage.
We support the adoption and enforcement of regulation to improve the responsible recycling of ships.
Ship management provides advisory services to owners and operators for the management of ship recycling.