Here’s an eye-catching headline: “Off-specification and non-compliant fuels can cost ship operators as much as US$50,000 per incident”. It comes from a press release issued by Lloyd’s Register (LR), and is absolutely accurate and is based on a report it has published in collaboration with marine innovation consultancy Thetius.

The report “Testing Times – The vital role of ship fuel oil testing and quantity verification in an uncertain era” estimated that in excess of one million tonnes of off-specification (off-spec) or non-compliant fuels are detected each year, costing ship operators US$27,000-50,000 per incident.

The report outlined why ship operators need dependable support in bunkering disputes along with independent testing and verification. It highlighted that the introduction of biofuel oils, growing prevalence of bunker licensing schemes along with upcoming changes to ISO standards for marine grade fuels make it more vital than ever that ship operators receive the correct advice and oversight on bunker procurement and refuelling operations.

The report also emphasised the number of contributing factors that have made the market prone to serious issues. These include the Russia/Ukraine crisis, fraud and corruption, lack of supply chain transparency and climate change.

These points are valid – and it just so happens that LR can help with “correct advice and oversight”.

Matthew Kenney, director of Research and Consulting at Thetius, said: “The evidence gathered in this report paints a worrying picture for ship operators who are facing increasing cost and risk from contaminated fuels while tackling a myriad of other challenges. Significant gaps remain where opportunities for poor quality and off-quantity bunker deliveries can gain and maintain a foothold.”

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Andrew Shaw, managing director of LR’s Fuel Oil Bunker Advisory Service (FOBAS) said: “This new research conducted by Thetius highlights the issues surrounding fuel quality and the importance of testing in an era of contamination and new blended products that put at risk the safety of crew, the environment and the protection of the vessel as an asset. Due to changing regulations, technologies and market movements caused by geopolitical events, there has never been a more important time for operators to ensure they are receiving trusted advice and oversight on bunker procurement and bunkering operations.”

You get the picture. There are bad bunkers around, and the situation is getting worse. Well yes, up to a point. However, a bunker that is off-spec does not necessarily mean the engine will be damaged or the ship will need to be debunkered.

As the Singapore shipping community will be aware, back in March this year, the Maritime and Port Authority of Singapore (MPA) was notified that a number of ships had been supplied with high sulphur fuel oil (HSFO) containing high concentration levels of chlorinated organic compounds (COC).

MPA carried out a textbook response. The source was identified as fuel supplied by two MPA-licensed bunker suppliers, and was traced back to a cargo loaded on to a tanker at Khor Fakkan in the United Arab Emirates. Forensic fingerprinting analysis of the fuel samples taken from the tanker showed a match with samples taken from several affected ships that had taken HSFO from both suppliers.

MPA found no evidence that either company had intentionally contaminated the HSFO. One stopped delivery of the contaminated fuel promptly once it received test results indicating contamination. Therefore, MPA decided not to take any action against the company. The other company continued to supply contaminated fuel for over a week after it had received test results showing the presence of COC. A total of 24 vessels were supplied with the affected fuel, and at least three vessels reported issues with their fuel pumps and engines. The MPA acted against this company.

This episode both demonstrates that there is a risk of taking on contaminated fuel and that prompt action is required when contaminants are detected.

There will always be risks with everything connected with bunkers. As the new Shipmaster’s Bunkering Manual from shipowners’ association Bimco and International Bunker Industry Association (IBIA) noted: “Bunkering operations are routine and critical high risk operations which require accurate planning from both the owner and supplier to ensure a safe and successful operation.”

The manual is described in a joint press release as a “unique result of cooperation between IBIA and Bimco to create insight and practical understanding of bunkering across the shipping sectors”. It is also said to be the first practical industry guide for both owners and suppliers providing practical guidance and advice for safe bunkering globally.

The publication consists of background information as well as checklists and key notes for the entire process for shipowners, masters and crew on how to prepare, execute and follow up on bunkering. Crucially, it also goes into what to do when it all goes wrong.

So, to return to the LR study, testing is one vital part of the risk mitigation which is required for bunkering. This is following the advice offered by IBIA and Bimco. But remember, the vast majority of bunker deliveries are on-spec and cause no issues.