Authors: S.V. Ganeeva, M.I. Krupin, B.R. Ogly Novruzov, A.V. Safronov
Abstract
The article provides an assessment of the economic losses potentially incurred to shipowners, shippers, consignees and third parties in the event that the International Maritime Organization introduces the currently discussed ban on use, and carriage of heavy fuel oil as fuel by ships in Arctic waters. It is demonstrated that although the ban will not have a critical impact on the Arctic navigation, the losses from its introduction will reach about 5 billion rubles one time and 30 billion rubles annually (due to the rise in fuel price) and will not be compensated by the reduction of heavy fuel oil spills risk. This is due to the fact that owing to the already applied safety measures there have been no heavy fuel oil spills since at least 2006, and the annual share of ship accidents through the Northern Sea Route does not exceed 0,04 %, which is about 10 times less than the similar world fleet index. Moreover, the ban will enforce the specialization of the fleet and the transformation of the Arctic into a region more restricted for non-specialized vessels.
Keywords: IMO, International Maritime Organization, heavy fuel oil, Arctic navigation, the ban on heavy fuel oil, northern supply haul, shipping economic scheme.
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About authors:
S.V. Ganeeva - Analytical Center for the Government of the Russian Federation, Moscow, e-mail: ganeeva@ac.gov.ru
M.I. Krupin - Analytical Center for the Government of the Russian Federation, Moscow, e-mail: m.krupin@ac.gov.ru
B.R. Ogly Novruzov - Analytical Center for the Government of the Russian Federation, Moscow, e-mail: b.novruzov@ac.gov.ru
A.V. Safronov - Ph.D. Analytical Center for the Government of the Russian Federation, Moscow, e-mail: a.safronov@ac.gov.ru
Issue: 58/59 (2020)
For citation: S.V. Ganeeva, M.I. Krupin, B.R. Ogly Novruzov, A.V. Safronov. Economical assessment of financial losses resulting from the ban on use and carriage of heavy fuel oil for ships in the Arctic. Research Bulletin by Russian Maritime Register of Shipping. 2020, No. 58/59, pp. 11-18.
UDC 338.054.23
Pp: 11-18
Fr: 8:30 – 16:15 (msk)