Bunker Disputes Can Cost Upto $100,000/Year Per Ship

By
Mfame Editor
-
1146

  • Veritas Petroleum Services produces white paper on quantity shortage prevention for bunker fuels.
  • Indicates an average financial loss relating to fuel delivery can be almost US $100,000 per vessel per year.
  • The cost of a VPS Surveyor to avoid such losses would be less than 15% of the potential losses.

VPS “white paper” indicates that the average financial losses relating to fuel delivery can be almost US $100,000 per vessel per year, says an article published in Manifold Times.

What is the “White Paper” about?

International fuel testing and inspection company Veritas Petroleum Services (VPS) has now written a “White Paper” reporting upon a VPS investigation into the quantity shortage risks and associated potential cost savings with these marine fuels, by evaluating the VPS Bunker Quantity Survey data.

Greater VLSFO supply

The initiative to produce this paper comes from VPS’s observation that transition of marine fuels to meet IMO 2020 Sulphur regulations has seen a greater supply of Very Low Sulphur Fuel Oil (VLSFO) and Distillate Fuel (MDO/MGO) to the shipping industry. 

VPS’s analysis of fuel quantity shortage risks was based on data gathered from over 10,000 bunkering operations undertaken in 2019.

The Bunker Quantity shortage risk potential for any bunker fuel delivery can occur for various reasons which may be categorized as follows:

  1. A difference between the ordered quantity & the Bunker Delivery Receipt quantity.
  2. A difference between the Bunker Tanker delivered quantity & Bunker Delivery Receipt quantity.
  3. A difference between the Bunker Tanker delivered quantity & the Vessel’s received quantity.
  4. The fuel density of the Bunker Tanker delivered quantity being different from the density of the Vessel’s received fuel.
  5. The ROB quantity on the vessel as measured by VPS Bunker Surveyor was different from that  declared by the vessel’s staff.

Financial losses noted in analysis

VPS noted that a final analysis of the VPS BQS data highlights the average financial losses relating to fuel delivery, per vessel per year, can be almost USD 100,000, even with low fuel costs at the time of writing. 

How to avoid such a loss?

The cost of a VPS Surveyor to avoid such losses would be less than 15% of the potential losses per vessel per year. 

Did you subscribe to our daily newsletter?

It’s Free! Click here to Subscribe!

Source: Manifold Times