Voyage Vessels Make a Switch Over To Low Sulphur Fuel

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AAL has migrated its entire fleet to use fuel with a sulphur content of 0.5% or less in accordance with the IMO 2020 regulation, reports Sea News.

A multitude of fuels

The low sulphur fuel comprises variants such as Low Sulphur Fuel Oil (LSFO), Ultra Low Sulphur Fuel Oil (ULSFO) and Low Sulphur Marine Gasoil (LS-MGO) – all currently more expensive than standard marine fuel.

In this respect, adoption of same has had profound implications on the economics of our daily operations,” AAL Shipping stated.

As a result of our increased bunkering costs, associated with the migration to low sulphur fuel, the BAF surcharge for breakbulk cargo booked on AUEC & AUWC liner sailings from 01st Jan 2020 will be raised by USD 6.00 per RT (new total BAF USD 16.00 per RT),” AAL Shipping added.

Uptrend in BAF prices

There will also be an increase in Container BAF Prices with 20BAF increasing to USD 480 per unit and 40/48`increasing to USD 960 per unit. The above will come into effect on AAL’s Liner Services as of the following Sailings:

Vessel Voyage

AAL Shanghai or sub: 01ES20
AAL Bangkok or sub: 01WS20

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Source: Sea News