Thu 21 Apr 2011, 07:17 GMT

Shipping firms fined $161,000 for not switching fuels


European companies fined for failing to switch to cleaner-burning distillates in Californian waters.



The California Air Resources Board (ARB) has fined three Europe-based shipping companies a combined $161,000 for failure to switch engines on their cargo vessels to cleaner-burning low sulphur fuel upon entering regulated California waters, as required by state law.

In August 2009, prior to docking at the port of San Diego, the Beluga Recognition operated its main engines within state waters on higher sulphur intermediate fuel oil. The parent company, Beluga Fleet Management of Bremen, Germany, was fined $53,000.

In December 2009, after it docked at the port of Long Beach, Jumbo Shipping’s Daniella was also cited for failing to switch to the required cleaner fuel while operating within regulated California waters. Its parent company, Kahn Special Transport B.V. of Rotterdam, Netherlands, was fined $55,000.

Most recently, in April 2010, the Nova Galicia was fined after docking at the port of Long Beach for failing to properly complete switching over its engines to cleaner fuel. Lilienthal, Germany, the company that owns the ship was fined $53,000.

All three companies complied with ARB’s investigation, and in addition to making their payments to the California Air Pollution Control Fund to support air quality research, agreed to follow fuel switchover requirements and keep accurate records.

The ARB conducts an estimated 250 ship inspections each year, checking for proper fuel usage, record-keeping and other compliance requirements, and takes marine gas oil (MGO) or marine diesel oil (MDO) samples for submission to the ARB laboratory for sulfur quantity verification.

“California’s scenic shoreline and coastal breezes can be deceiving,” said ARB Chairman Mary D. Nichols. “Cargo ships and other vessels that are invisible from the shore send their air pollutants miles inland, endangering the lungs of millions of residents. The ARB’s regulation requiring use of cleaner fuel within 24 miles of our shore protects Californians from an air pollution source most of us don’t think about.”

The measure, adopted in 2008, eliminates 15 tonnes of diesel exhaust daily from ocean-going vessels, and is considered a vital tool in helping to reduce cancer rates and premature deaths associated with living near the state’s busy ports and trade corridors.

Diesel exhaust contains a variety of harmful gases and over 40 other known cancer-causing compounds. In 1998, California identified diesel particulate matter as a toxic air contaminant based on its potential to cause cancer, premature death and other health problems.

ARB's mission is to promote and protect public health, welfare, and ecological resources through effective reduction of air pollutants while recognizing and considering effects on the economy. The ARB oversees all air pollution control efforts in California to attain and maintain health based air quality standards.


MAmmoSS graphic. Mitsubishi Shipbuilding receives order for ammonia fuel handling system  

MAmmoSS system will support shop testing of ammonia marine engines from two licensors.

Neoliner Origin vessel. Kongsberg Maritime to lead EU Horizon project targeting wind-assisted propulsion at scale  

A 15-partner European consortium will use two full-scale vessel demonstrators to validate wind propulsion technology.

Petrobras logo. Petrobras warns of extended MGO and VLSFO supply suspension at Port of Itaqui  

Fuel distributor announces pipeline maintenance shutdowns affecting both MGO and VLSFO supply.

Richard Berkling, PowerCell Group. PowerCell secures SEK 50m marine fuel cell order for two liquid hydrogen cargo ships  

Swedish fuel cell maker wins contract to power two North Sea hydrogen vessels by 2028.

Wärtsilä hydrogen engine. MatH2 consortium launched to tackle hydrogen materials barriers  

New Finnish-led alliance targets materials compatibility challenges holding back hydrogen adoption.

CMA CGM Berenice vessel. CMA CGM takes delivery of fifth methanol dual-fuel boxship in series from Jiangnan Shipyard  

15,000-teu vessel is the penultimate ship in a six-vessel series due for completion in September.

VeriSphere logo. VPS launches VeriSphere Webshop in push to digitise marine fuel services  

Veritas Petroleum Services unveils self-service digital platform giving customers direct access to fuel data tools.

Titus vessel. ExxonMobil and Wallenius Wilhelmsen complete first trial of biofuel blend made from FAME distillation residue  

Vehicle carrier bunkered in Zeebrugge with B30 VLSFO blend.

Chimbusco and Shenergy green methanol agreement signing. 'China’s largest single-order green methanol procurement deal' announced  

Chimbusco and Shenergy seal agreement for 6,000 tonnes of methanol.

Moriond vessel. Exmar takes delivery of third dual-fuel LPG midsize gas carrier in newbuild programme  

Belgian shipping group Exmar takes delivery of the 41,000-cbm LPG carrier Moriond.