Bunker industry trade group says Port of Rotterdam “appears to be moving toward” mandating the use of mass flow meters (MFMs) and “hopes Antwerp” will follow
The International Bunker Industry Association (IBIA) has published a letter in support of public statements from the Port of Rotterdam saying mass flow meters on bunker barges would become mandatory at the port.
Multiple reports emerged in late October with the port’s PR department confirming it had “conducted research into quantity issues in the Rotterdam bunker port,” and Rotterdam “intends to make the use of mass flow meters mandatory on behalf of bunkering fuel for maritime shipping”.
No firm timeline has been announced, but the port authority said it expects to have more details by the end of 2022.
“IBIA welcomes news the Port of Rotterdam appears to be moving toward making the use of MFMs mandatory for bunker deliveries,” IBIA said.
“IBIA is very supportive of a move toward mandating MFMs not just in Rotterdam, but in all ports in the ARA region as well as other bunkering hubs around the world. It aligns with the goals of the Board of IBIA and the IBIA Bunker Licensing & MFM Working Group,” IBIA said.
A survey created by the IBIA Bunker Licensing & MFM Working Group, which BIMCO takes part in, found strong industry support for bunker supplier licensing and more use of MFMs, which are seen as key tools for improving market conditions and reducing disputes between bunker suppliers and buyers.
IBIA said the Harbour Master’s Division of Rotterdam and the Port of Antwerp have commissioned independent research consultancy CE Delft to investigate alleged problems with the quantity of fuel supplied in these ports and make recommendations for how to solve it.
“Both ports also received a letter in July 2021 from 40 shipowners, bunker barge /transporters and bunker suppliers requesting MFMs to be made mandatory. IBIA supported this research effort by sharing information and a link to the survey conducted by CE Delft with our members,” IBIA said.
“IBIA understands the final report from CE Delft will be ready soon and hopes Antwerp will also move toward mandating MFM on barges operating in the major Belgian port.”
While IBIA said it recognises the financial commitment a mandate for MFMs would pose to bunker suppliers in the region, the group cited cost estimates based on a per tonne calculation showing the added cost burden to be “minimal”. And IBIA highlighted the time saved through automated MFMs versus manual calculations would lead to higher turnover for the bunker operators, offsetting the cost of the metering technology.
The organisation also indirectly praised the government of Singapore, where the Maritime and Port Authority provided financial support covering half the cost of installing mass flow meters after the city-state made their use mandatory.
“In Singapore, they have estimated time savings ranging from one to four hours for each bunkering operation. These operational benefits and reduced manpower time, as well as time and cost savings thanks to less time and resources spent on dispute resolution, have the potential to make up for the cost of installing and certifying MFMs within a relatively short time,” IBIA director Unni Einemo said.
Figures from a study published by Enterprise Singapore in 2020 estimated the implementation of the precursor (TR 48) to Singapore’s current MFM regulations (SS 648) had resulted in an estimated potential annual saving of US$59M to US$146M for the Singapore bunkering ecosystem, mainly due to efficiency gains (66% -76%) but also savings on time and resources associated with quantity disputes (34% – 26%).