Shipping’s Switch to Cleaner Fuel Has Been Smooth Sailing -ING Bank

Seven months after the United Nations’ shipping agency brought in hotly anticipated new rules to curb emissions, the raft of technical issues and leap in fuel prices that were expected to result have failed to materialize, ING Bank said on Tuesday. Global shipping and oil firms had flagged major concerns over potential disruptions from International Maritime Organization (IMO) rules implemented at the start of 2020, which capped marine fuels’ sulphur content at 0.5% against 3.5% previously.

However, shipping and marine fuel suppliers say expected technical issues, such as damage to engines from blending different streams of very low sulphur fuel oil (VLSFO), have proved easier to resolve than previously thought. Meanwhile, as the coronavirus outbreak battered global oil prices and slashed demand, prices of VLSFO slid along with those of other products…