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FUELLING THE FUTURE

FUELLING THE FUTURE. David Balston Director Safety & Environment UK Chamber of Shipping 20 June 2013. MINISTERIAL U TURN?. Retrofit scrubbers LNG and alternate fuels Use of low sulphur fuel. OPTIONS FOR MEETING THE REGULATIONS. Lower sulphur fuel costs more .

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FUELLING THE FUTURE

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  1. FUELLING THE FUTURE David Balston Director Safety & Environment UK Chamber of Shipping 20 June 2013

  2. MINISTERIAL U TURN?

  3. Retrofit scrubbersLNG and alternate fuelsUse of low sulphur fuel OPTIONS FOR MEETING THE REGULATIONS

  4. Lower sulphur fuel costs more ... • Range of values is $275-350 per tonne, with an average of $315 per tonne. • Assumes that fuel is available and can be imported. • Refinery capacity and competition for middle distillate could cause a general increase in the price faced by all users. • Effect on road diesel ~ 2.76p per litre = £720 Million in increased cost for drivers.

  5. Ticket prices increase... • Western Channel • Passengers; an average of 8% and 13%, • Lorries and unaccompanied trailers; between 8% and 29%, • North Sea and container routes • Passengers; between 5% and 20%. • Lorries; between 5% and 21%; • Unaccompanied trailers and containers between 5% and 17% • Unsurprisingly the longer the journey the greater the price increase

  6. Estimate of Km’s switched to road in UK North Sea Western Channel

  7. Route viability Western Channel

  8. Route viability North Sea

  9. Route closuresJob losses Loss of business activityNegative environmental impacts TRANSITIONAL ARRANGEMENTS TO AVOID:

  10. ANY QUESTIONS? UK CHAMBER OF SHIPPING

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