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Russian maritime executives and ministers have sat down to discuss solutions for illegal cargo operations and customs dodging at offshore transshipment facilities and ports around Russia.

What regulations are in place surrounding bunkering in Russia?

Currently in Russia, the bunkering and offshore cargo activities are covered under Order No. 68 from the Russian Federation Ministry of Transport. This order imposes regulations and requirements for transshipment activities such as bunkering and offshore cargo operations.

One major point of contention in the order is the imposition of customs' dues for bunkering of vessel calls. If a vessel were to call for an official bunkering operation, customs' dues would be owed on any fuel taken by the vessel. However, cargo operations do not impose the same dues.

Reports of shipping companies skirting bunkering regulations

Any ship that is carrying our a cargo operation may refuel at a transshipment facility or a port without having to pay for any customs' dues on the bunker service.

Mainly in the Primorsky Territory, vessels are said to have been making calls at port for 'staged' cargo operations to allow them to purchase bunker fuel without the customs' dues. In some cases, the vessel will declare a cargo operation of a very small number of goods – examples of 100kg of nails or 1 tonne of water bottles were given by Portnews – in order to get around the issue of customs' dues.

Other cases have been reported of ships declaring a cargo operation to customs officers while declaring a bunkering operation to the harbour master. In these cases, it is not discovered until the vessel owner provides the departure documents to the harbour master showing the discrepancy. Upon learning about the situation, a fine of 1000 rubles (About USD 15 or GBP 12) can be imposed, but this is hardly a hindrance from the same situation happening again in the future.

1000 rubles is far less than any fees and dues that would otherwise have been owed and no permanent record or action is currently taken against offending vessel owners.

Round-table discussion

To address these situations and others, IAA Portnews arranged a meeting with top maritime executives in Russia, including bunker companies, shipping legislation roles, and the media. Discussions were held on how to solve the issue of illegal cargo operations and 'staged' cargo operations for cheaper bunkering.

While suggestions have not been announced on how to solve the issue, Director of the Department of State Policy for Maritime and River Transport of Russia's Ministry of Transport, Vitaly Klyuev, suggested that a solution for illegal cargo operations is to impose a ban on any vessels that have two similar offenses. Rather than simply giving out the 1000-ruble fine to vessel owners, a record would be made and held against the vessel. If the same vessel committed an illegal operation twice, it would no longer be able to call at the port.

This regulation is not yet in place, but it is said that it could become part of the regular order in a few months' time. A policy of this type would help to keep illegal operations to a minimum in Russian ports while allowing customs offices to collect the full dues meant for them.