Cummins Announces EPA Tier 3 Marine Solutions - Maritime Executive

Posted - Wednesday, August 24, 2011 - Maritime Executive

Cummins Inc. (NYSE: CMI), a leading manufacturer of diesel engines for the commercial marine industry, is pleased to announce its U.S. EPA Tier 3 marine product solutions. Improving on the existing EPA Tier 2-certified product line, the company is developing a full range of Tier 3 products from 6.7 to 60 liters and 150 to 2700 HP. Cummins Tier 3 solutions apply advanced combustion technology to reduce emissions in-cylinder without the need for after-treatment. Cummins Tier 3 marine product line will serve as the platform for future, more stringent emissions in the U.S. and globally.
Representing a 50% reduction in particulate matter (PM) and a 20% reduction in nitrogen oxides (NOx) compared to Tier 2 standards, the EPA’s Tier 3 marine emissions regulation takes effect January 1, 2012 for Cummins engines between 3.5 and 7.0 liters per cylinder and continues through 2014.
The QSK60 is the only engine in Cummins marine portfolio requiring EPA Tier
3 certification in 2012; the QSK19, QSK38 and QSK50 are not required to meet EPA Tier 3 until January 1, 2013.

Complete Post at:
http://www.maritime-executive.com/article/cummins-announces-epa-tier-3-marine-solutions

Update on Compliance Requirements—EPA’s Vessel General Permit and MARPOL Annex VI - Martindale.com

Posted - August 22, 2011 - by: Charles E. Wagner - Blank Rome LLP - Washington Office

New Developments

There are three recent developments noteworthy to ship­owners, operators and other maritime industry stakeholders.
(1) On June 27, 2011, the U.S. Coast Guard and the Environmental Protection Agency ("EPA") entered into a Memo­randum of Understanding ("MOU") setting forth the terms by which the Coast Guard and EPA will cooperate in connection with compliance and enforcement of MARPOL Annex VI, as implemented in the United States through the Act to Prevent Pollution from Ships ("APPS").
(2) The One Time Permit Report required by the EPA's Vessel General Permit for Discharges Incidental to the Normal Operation of Vessels ("VGP") is due.
(3) The International Maritime Organization's Marine Environ­ment Protection Committee ("MEPC") approved the U.S. Caribbean Emission Control Area ("ECA") at its recently concluded session.
(1) U.S. Coast Guard and EPA Memorandum of Understanding

MARPOL Annex VI sets forth the regulations for the prevention of air pollution from ships. In 2008, MEPC approved amendments to Annex VI, which will reduce emissions of sulfur oxides ("SOx"), nitrogen oxides ("NOx") and particulate matter. See our previous advisory for more information: MARPOL Annex VI Proposed Amendments Move Closer to Implementation. The United States enacted amendments to APPS to implement these changes to Annex VI. Annex VI provides for the designation of ECAs where more stringent emissions standards apply than elsewhere. In 2009, the U.S. and Canada jointly proposed to establish the North American ECA. See our previous advisory for more information: United States and Canada Propose 200 Nautical Mile "Emission Control Area" under MARPOL Annex VI. IMO approved the proposal in 2010 and the North American ECA becomes enforceable in August 2012. On December 22, 2009, EPA issued final regulations implementing the amendments to Annex VI and the North American ECA. See our previous advisory for more information: EPA Finalizes Emissions Standards for Category 3 Marine Diesel Engines and Implements North American ECA. In June, the Coast Guard and EPA formally agreed to cooperate in the implementation of Annex VI and to coordinate interagency compliance enforcement efforts.

The MOU

Under the MOU, the Coast Guard and EPA agreed to a number of provisions concerning compliance and enforcement actions aimed at installed marine engines, ships, and shoreside facilities that supply marine fuel and/or received ozone depleting substances ("ODS"), which are also regulated under Annex VI. The Coast Guard and EPA agreed to jointly develop protocols for ship examinations, facility inspections, and the conduct of investigations utilizing each agency's expertise.
EPA will develop protocols for installed engine inspections and review of documentation associated with fuel oil quality (Annex VI requires low sulfur fuel) and availability. The Coast Guard will then adapt the EPA protocols into its established ship and facility inspection programs. The two agencies agreed to share information about inspections, examinations and investigations and the EPA further agreed to notify the Coast Guard whenever an Engine International Air Pollution Prevention ("EIAPP") certificate is modified, revoked or otherwise becomes invalid. If either the Coast Guard or EPA determines that an Annex VI violation exists, then it will provide information to the other agency regarding the nature of the violation, the evidence supporting the findings, and the responsible parties. Moreover, the Coast Guard agreed to notify EPA of any ship detentions under Annex VI within the scope of the MOU. This includes foreign-flag ships detained by the Coast Guard under its Port State Control Program, as well as the detention of U.S.-flag vessels by other States.

Complete Post at:
http://www.martindale.com/environmental-law/article_Blank-Rome-LLP_1332604.htm

Very large ships offer solutions to so many of the problems that beset the shipping industry - Balkans.com

Posted - Balkan Business News Correspondent - 23.08.2011

Very large ships, we are confidently told, offer the solution to so many of the problems that beset the shipping industry. To mention just a few of their advantages, there are the obvious benefits of scale economies, with one ship doing the work of perhaps two but gratifying reductions in emissions and environmental effects for the substantial payloads they offer. They save fuel, when this is expected to become still more expensive, and can move a container or a tonne of ore for a dramatically reduced unit price, or a cruise or ferry passenger carried more economically, but unlike aviation with no reduction in luxury!
So is it a convincing case for “gigantism” in the maritime world? Perhaps, but as with all things there are balances which have to be struck and often quite large adjustments that must be considered. There are operational problems which have to be surmounted before the giant ship can be running smoothly and making profits for her owners. The lack of flexibility occasioned by a ship’s great size is usually cited as an important negative factor. It may indeed be a real problem if the ship has to be moved from the route for which she was originally designed, as there may be few alternative places to which she can trade at her full draught.
And it is probably true that the hearts of those running ports will invariably sink as they hear of the latest plans for some great extrapolation in ship sizes. They know the depth of their channels and can imagine the long battles with environmental interests before they can dredge to the new required depth to accommodate the “next generation”. Their finance directors wearily point out the cost of such requirements.

Complete Post at:
http://www.balkans.com/open-news.php?uniquenumber=116792

Feasibility study points to benefits of LNG use in ferries - MarineLog

Posted August 24, 2011 - MarineLog

An LNG-fuelled ferry would not only have significant environmental benefits, but economic ones as well, according to a recently completed feasibility study for Washington State Ferries.
Naval architectural and marine engineering firm The Glosten Associates, Seattle, Wash. recently completed the feasibility study for Washington State Ferries (WSF) on converting its 144-car ferry design to liquefied natural gas (LNG) propulsion. Glosten's study concluded that the conversion is both technically feasible and cost effective, although technical and regulatory challenges remain. The study examined design, economic, regulatory, and environmental issues.
To support the study, Glosten developed a preliminary design for both dual fuel and singlefuel (LNG only) engines. The operational savings for a single vessel are estimated to be between $900,000 and $1.25 million per year, after an upfront capital cost premium of $8.5 million to $10 million. Switching to natural gas fuel will significantly reduce emissions of nitrous oxides (NOx), sulfur oxides (SOx), particulate matter, and carbon dioxide (CO2). These greenhouse gases have been identified by the U.S. Environmental Protection Agency (EPA) as significant factors in harming human health, including respiratory illnesses, as well as damaging to the environment.
One significant finding in the report was that methane slip from the engines counteracts its reduction in CO2 emissions, minimizing the global warming benefits of switching to the lower carbon fuel.

Complete Post at:
http://www.marinelog.com/index.php?option=com_content&view=article&id=1253:lngferrystudy23august2011j01&catid=1:latest-news&Itemid=107

Can we reduce harmful emissions? - Bimco

Posted - August 22, 2011 = Bimco

Other than CO2 (see Seascapes No.104) ships also produce a number of atmospheric emissions which are considered harmful. They are products of combustion, and the most significant are sulphur oxides (SOx and nitrous oxides (NOx), along with tiny waste particles known as particulates. All are now being limited by international, regional and national laws and will be subject to increasing severity of regulations over the next few years. Emission Control Areas, where these limits apply, might be expected to spread around the world in the future.
What practical means can be undertaken to reduce, or even prevent any of these emissions entering the atmosphere? In the case of sulphur, the quality of the fuel that is used can be changed to low sulphur oil or distillates, which will make a marked difference. Alternatively, the emissions can be scrubbed to clean them before they pass into the atmosphere. Or it might be feasible to use liquefied natural gas which burns cleanly, or even biofuels, although there are issues about the use of products which would otherwise have been available for food, and objections to the felling of tropical rainforests for the planting of oil palms.

Complete Post at:
https://www.bimco.org/en/Education/Seascapes/Questions_of_shipping/Reduce_harmful_emissions.aspx

MARPOL Convention amendments start August - Manila Bulletin Websites and Publications

Posted - August 21, 2011 - Manila Bulletin Websites and Publications

MANILA, Philippines — Amendments to the International Maritime Organization's (IMO) MARPOL Convention for the prevention of pollution from ships took effect on August 1, 2011, banning heavy fuel oil from the Antarctic and creating a new North American Emission Control Area (ECA).
MARPOL (Marine Pollution) Convention is the International Convention for the prevention of pollution from ships.
A new MARPOL regulation to protect the Antarctic from pollution by heavy-grade oils is added to MARPOL Annex I (Regulations for the prevention of pollution by oil), with a new chapter 9 on special requirements for the use or carriage of oils in the Antarctic area.
Regulation 43 prohibits both the carriage in bulk as cargo and the carriage and use as fuel, of: Crude oils having a density, at 15°C, higher than 900 kg/m3; oils, other than crude oils, having a density, at 15°C, higher than 900 kg/m3 or a kinematic viscosity, at 50°C, higher than 180 mm2/s; or bitumen, tar and their emulsions.
This means, in effect, that ships trading to the area, whether passenger or cargo ships, would need to switch to a different fuel type when transiting the Antarctic area, defined as “the sea area south of latitude 60°S.”
An exception is for vessels engaged in securing the safety of ships or in a search-and-rescue operation.
Amendments to MARPOL Annex VI (prevention of air pollution from ships) will formally establish a North American Emission Control Area, in which emissions of sulphur oxides (SOx), nitrogen oxides (NOx) and particulate matter from ships will be subject to more stringent controls than the limits that apply globally.

Complete Post at:
http://www.mb.com.ph/articles/331578/marpol-convention-amendments-start-august

Ship Operating Costs Under Immense Pressure - Marinelink.com

Posted August 19, 2011 - Marinelink.com -

If it wasn’t bad enough that demand in the shipping markets has not recovered, commodity price rises have put more than a little pressure on ship operating costs. Fleet owners and managers are certainly feeling the squeeze in 2011.
Drewry has just published its latest annual analysis of ship operating costs, covering 8 vessel sectors and over 35 different sizes of vessel plus detailed operating budgets for a range of oil tankers, chemical tankers, gas carriers, dry bulk vessels, container vessels, ro-ro, general cargo and reefer vessels; making it the most comprehensive survey of this crucial area of vessel management.
Paula Puszet, managing editor commented, “In 2010, vessel operating costs overall remained static. However, in 2011 commodity price increases will push up lube, repair and maintenance costs. With some owners having to take additional insurance cover for kidnap and ransom, overall costs are forecast to rise by between 4% and 6%, depending upon vessel sector.”
- Manning – the key change here is that low market demand has kept wage levels down across the globe. This has also had the effect of narrowing the gap between demand and supply for experienced seafarers... a continual problem over the last few years. However, as more new-builds come on stream, the gap will no doubt widen again forcing wages up.
With the next STWC round as well as ILO MLC regulations cutting in next year, owners and managers will come under wage and staff cost pressure – particularly in the areas of travel, training and victualing.
- Insurance - in H&M, premiums have barely risen. Vessel values have become more stable following the drop in recent years, the outlook points to premiums rising to reflect the pressures the insurance market will find itself under following non-marine related claims, such as the earthquakes in New Zealand and Japan.

Complete Post at:
http://www.marinelink.com/news/operating-pressure340042.aspx