In 2020, new International Maritime Organization (IMO) marine fuel regulations will go into effect.
In 2020, new International Maritime Organization (IMO) marine fuel regulations will go into effect. The new Global Sulfur Cap regulation calls for the reduction of sulfur content in marine fuels from 3.5% to 0.5%. Shippers have several options to comply:
Burn low-sulfur, compliant fuels
Install scrubbers
Utilize alternative fuels (e.g., LNG).
In the near term, it seems most shippers will burn low-sulfur marine fuels to comply with the new regulation. Some shippers may install scrubbers, but not enough time exists to outfit most of the marine fleet by the enactment date. Other barriers hinder the widespread installation of marine scrubbers. For example, scrubbers, which can cost several
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