Emission law will force freight onto roads
Maritime UK is concerned that the “net environmental benefits” of sulphur reduction will be lost under current proposals
Sulphur Emission Control Area (ECA) regulations may increase bunker fuel costs by 87%, forcing as much as half of the present freight that transits through these areas onto the roads.
In a submission to the Transport Select Committee Maritime UK warned of the potential side effects of plans proposed by the International Maritime Organisation (IMO) and the EU.
David Balston, director of Safety & Environment for the UK Chamber of Shipping told MJ the ECA regulations that will come into effect in 2015 will have a huge impact in the Baltic, North Sea and the Channel. “Costs could be dramatic,” he says, adding a number of studies put the burden at somewhere between €1bn and €4bn a year in total.
Mr Balston explains some of the likely major consequences of applying 0.1% low sulphur fuel include an average activity shift of 50% from sea to land in ECAs, increasing congestion and road pollution, raising fuel prices and undermining current efforts to reduce road freight by promoting short sea shipping.
Further, Maritime UK predicts an additional 12m tons of carbon emissions in Europe alone through hydro-treating heavy fuel oil to meet requirements. It is also concerned about an increase in people using less environmentally friendly air travel as longer ferry routes close and cruise prices rise, all of which could lead to job losses in UK ports and associated infrastructure. Mr Balston added: “The problem is it hasn’t been done holistically, which will lead to both a massive carbon and societal problem.”
Maritime UK requested an investigation into the effects of new legislation in ECAs in July and last week’s submission is in response to a call for evidence from the Transport Select Committee on the issue.
Studies cited in the submission agree that the 2015 application of 0.1% low sulphur fuel would see an average activity shift of 50% from sea to land in ECAs. Current efforts by shipping Minister Mike Penning to reduce road freight by promoting short sea shipping would also clearly be undermined by these fuel plans.
The submission also expresses concerns that the 'net environmental benefits' of sulphur reduction will be lost under current proposals, and not just from a resulting increase in road pollution. A physical lack of availability of the desired criteria of fuel means the cost of hydro-treating heavy fuel oil to meet the requirements could add the further 12m tons of carbon emissions within Europe alone.
The body highlights that the industry does recognise the sulphur problem, “Maritime UK fully acknowledges the need to reduce emissions of SOX from shipping for environmental and health reasons.” However, it stressed the need to avoid such likely impacts of the new regulations “that will impose considerable hardship, particularly on smaller companies with limited cash flow."
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