Managament On Board (Tümü) PDF

IMO Train the Trainer (TTT) Course
on
Energy Efficient Ship Operation
Module 1 – Climate Change and the

Shipping Response
IMO
ACKNOWLEDGEMENTS
The “Train the Trainer” course presented herein is based on material originally
developed by WMU in 2013 under contract for the IMO. This current
edition represents a major upgrade of the training package by Dr Zabi
Bazari of Energy and Emissions Solutions, UK (EnEmSol) under contract for
the IMO.
IMO wishes to express its sincere appreciation for WMU and

EnEmSol expert assistance
Printed and published by the

International Maritime Organisation,
London, January 2016
M1 Climate Change and the Shipping Response Module 1 – Page 1

MODULE 1
Climate Change and the Shipping Response
Module Aims and Learning Objectives
This Module aims to provide an overview of air emissions and climate change issues as well as the
international response and frameworks. It also deals with international shipping response that highlights
the past and on-going IMO activities and the wider industry; including all the relevant debates leading to
the adoption and implementation of the Chapter 4 of the MARPOL Annex VI. The Module also aims to
describe IMO relevant activities beyond adoption of Chapter 4 including IMO debates and decisions on
“further energy efficiency measures”, “technical cooperation and technology transfer”, and “major
projects”.
Upon completion of this Module, you should be able to:
 Differentiate between the concept of air pollution and climate change;
 Identify the origins and issues related to air pollution and climate change;
 Describe the concept of climate change, its impacts and identify various types of GHG emissions;
 Describe the international response to the problem, the global framework and main bodies /
organisations involved in tackling climate change and their overall responsibilities;
 Explain IMO’s structure and its general working practices with regard to environmental
protection;
 Identify the main IMO activities and studies and describe the historical developments that led to
the adoption of Chapter 4 of MARPOL Annex VI;
 Explain the current IMO regulatory framework;
 Describe the current debates on “further energy efficiency measures” and “technical
cooperation and technology transfer” and progress so far; and
 Name typical IMO activities for promotion of ratification and implementation of MARPOL
Annex VI and specifically those related to energy efficiency and GHG control.
The material presented herein is current at the time of preparations of this

document. Because of the evolving nature of regulations, technologies and
future studies in area of MARPOL Annex VI and in particular energy efficiency
of ships, some aspects may require updating over time.
The views expressed in this document are purely those of the author(s) and
may not in any circumstances be regarded as stating an official position of the
organizations involved or named in this document.
This document is subject to change by the IMO.
Dr Zabi Bazari, EnEmSol, January 2016

CONTENT
1. AIR EMISSIONS – A LOCAL AND GLOBAL CONCERN ........................................................................................ 7
1.1 AIR EMISSIONS OVERVIEW ...................................................................................................................................7

1.2 ORIGINS OF AIR EMISSIONS ..................................................................................................................................7
1.3 AIR POLLUTANTS AND HUMANS ............................................................................................................................8
1.4 URBANISATION AND THE CONCENTRATION FACTORS .................................................................................................8
1.5 INDUSTRIALIZATION AND ITS IMPACTS ....................................................................................................................8
1.6 THE NEED FOR TRANSPORTS .................................................................................................................................9
1.7 JUSTIFICATION OF ACTION .................................................................................................................................10
1.7.1 The emergence of air pollution ..............................................................................................................10
1.7.2 The recognition of global warming ........................................................................................................10
2 FOSSIL FUELS AS MAIN SOURCE OF AIR EMISSIONS ..................................................................................... 11
2.1 FUELS’ OVERALL COMPOSITION...........................................................................................................................11

2.2 EVOLUTION OF COMBUSTION ENGINES .................................................................................................................11
2.3 BY-PRODUCTS OF COMBUSTION..........................................................................................................................12
2.4 OTHER NON-COMBUSTION RELATED AIR EMISSIONS ................................................................................................15
3 CLIMATE SYSTEM AND GLOBAL WARMING ................................................................................................. 17
3.1 OVERVIEW .....................................................................................................................................................17

3.2 GREENHOUSE GAS (GHG) EMISSIONS AND CLIMATE CHANGE...................................................................................18
3.3 MAIN GHG EMISSIONS.....................................................................................................................................19
3.4 CLIMATE CHANGE IMPACTS ON OCEANS................................................................................................................21
4 COMBATING AIR POLLUTION: THE ROLE OF INTERNATIONAL BODIES ......................................................... 22
4.1 GROWTH OF CONCERNS ON AIR POLLUTION ..........................................................................................................22

4.2 HISTORICAL DEVELOPMENTS ..............................................................................................................................23
4.3 THE UNITED NATIONS ENVIRONMENT PROGRAMME (UNEP) ..................................................................................25
4.4 INTERGOVERNMENTAL PANEL ON CLIMATE CHANGE (IPCC) ....................................................................................26
4.5 THE UNITED NATIONS FRAMEWORK CONVENTION ON CLIMATE CHANGE (UNFCCC)...................................................27
4.6 THE KYOTO PROTOCOL .....................................................................................................................................28
5 IMO RESPONSE: MARITIME ENVIRONMENTAL REGULATORY FRAMEWORK ................................................ 30
5.1 UNCLOS (UNITED NATIONS CONVENTION ON THE LAW OF THE SEA) REGULATIONS AND ENVIRONMENT .........................30
5.2 OVERVIEW OF THE IMO STRUCTURE ...................................................................................................................31
5.3 IMO COMMITMENT TO ENVIRONMENTAL PROTECTION ...........................................................................................33
5.4 MARPOL CONVENTION ...................................................................................................................................35
5.5 MARPOL ANNEX VI .......................................................................................................................................36
6 IMO RESPONSE TO CONTROL OF GHG EMISSIONS FROM INTERNATIONAL SHIPPING .................................. 39
6.1 SHIPPING GHG EMISSIONS CONTEXT AND IMO ROLE .............................................................................................39

6.2 FIRST IMO GHG STUDY 2000 ..........................................................................................................................41
6.3 SECOND IMO GHG STUDY 2009 ......................................................................................................................41
6.4 THIRD IMO GHG STUDY 2014 .........................................................................................................................47
6.5 HISTORY OF IMO GHG-RELATED ACTIVITIES .........................................................................................................52

6.6 CURRENT REGULATORY FRAMEWORK ...................................................................................................................57
6.7 IMO FURTHER ENERGY EFFICIENCY MEASURES ......................................................................................................58
6.8 IMPLEMENTATION AND ENFORCEMENT SUPPORT ...................................................................................................59
7 REFERENCES AND ADDITIONAL SOURCES OF INFORMATION ....................................................................... 62

LIST OF FIGURES
FIGURE 1.1: WORLD FLEET EVOLUTION FROM 1914-2007 [LLOYD'S REGISTER, STATISTICAL TABLES, WORLD FLEET STATISTICS 2000] ....9
FIGURE 2.1: STEAM GENERATOR PRINCIPLE ON SHIPS ...............................................................................................................11
FIGURE 2.2: DIESEL ENGINE WORKING PRINCIPLE AS AN INTERNAL COMBUSTION ENGINE ................................................................12
FIGURE 2.3: TYPICAL PRODUCTS OF COMBUSTION ...................................................................................................................13
FIGURE 2.4: CHANGES OF CO2 CONCENTRATION IN EARTH ATMOSPHERE [EARTH SYSTEM LABORATORY]...........................................13
FIGURE 2.5: TYPES AND RELATIVE IMPORTANT OF GHG EMISSIONS GLOBALLY [WIKIPEDIA WEBSITE] ................................................15
FIGURE 3.1: SCHEMATIC VIEW OF THE COMPONENTS OF THE CLIMATE SYSTEM, THEIR PROCESSES AND INTERACTIONS [IPCC FOURTH
ASSESSMENT REPORT, CLIMATE CHANGE 2007 (AR4) WG I] ..........................................................................................17
FIGURE 3.2: AN IDEALISED MODEL OF THE NATURAL GREENHOUSE EFFECT [SOURCE: IPCC AR4 WG I].............................................18
FIGURE 3.3: EVOLUTION OF ATMOSPHERIC CONCENTRATION OF A NUMBER OF GHG EMISSIONS [IPCC (2007A)] ..............................19
FIGURE 3.4: MAJOR CARBON POOLS AND FLUXES OF THE GLOBAL CARBON BALANCE [FAO WEBSITE]................................................20
FIGURE 5.1: IMO AND ITS SECRETARIAT STRUCTURES ..............................................................................................................32
FIGURE 5.2: IMO CONVENTIONS RELATING TO THE PREVENTION OF MARINE POLLUTION RELATING TO SHIP OPERATIONS ......................34
FIGURE 5.3: SHIP'S AIR EMISSIONS REGULATED BY MARPOL ANNEX VI ......................................................................................36
FIGURE 6.1: UNCTAD, REVIEW OF THE MARITIME TRANSPORT 2013 .......................................................................................39
FIGURE 6.2: IMO RESPONSIBILITY WITHIN THE INTERNATIONAL FRAMEWORK FOR CONTROL OF GHG EMISSIONS [REYNOLDS AND BAZARI,
2005] ...................................................................................................................................................................40
FIGURE 6.3: CO2 EMISSION EFFICIENCY CALCULATION [SECOND IMO GHG STUDY 2009] .............................................................45
FIGURE 6.4: TYPICAL RANGE OF SHIP CO2 EFFICIENCIES COMPARED TO RAIL, ROAD AND AIR FREIGHT [SECOND IMO GHG STUDY 2009] 45
FIGURE 6.5: EMISSIONS OF CO2 FROM SHIPPING COMPARED WITH GLOBAL EMISSIONS [SECOND IMO GHG STUDY 2009] ..................46
FIGURE 6.6: IMO POLICY APPROACHES OF THE GHG EMISSION REDUCTION .................................................................................46
FIGURE 6.7: GEOGRAPHICAL COVERAGE USING AIS DATA AND SHIPPING SATELLITE DATA [THIRD IMO GHG STUDY 2014] ..................48
FIGURE 6.8: CO2 EMISSIONS FROM INTERNATIONAL SHIPPING BY SHIP TYPE FOR 2012 [THIRD IMO GHG STUDY 2014] .....................49
FIGURE 6.10: EMISSIONS ESTIMATES FOR ALL SHIPPING FOR PERIOD 2007 TO 2012. GREEN BAR REPRESENTS THE SECOND IMO GHG
STUDY 2009 ESTIMATE [THIRD IMO GHG STUDY 2014] ...............................................................................................50
FIGURE 6.11: ANNUAL SHIPPING FUEL CONSUMPTION PER SHIP TYPE AND COMBUSTION SYSTEM [THIRD IMO GHG STUDY 2014] ........51
FIGURE 6.9: CO2 EMISSIONS PROJECTIONS FOR INTERNATIONAL SHIPPING [THIRD IMO GHG STUDY 2014] .....................................52
FIGURE 6.12: IMO GHG CONTROL RELATED ACTIVITIES IN CHRONOLIGAL ORDER ..........................................................................53
FIGURE 6.13: MAIN COMPONENTS OF THE IMO ENERGY EFFICIENCY REGULATIONS .......................................................................58

LIST OF TABLES
TABLE 2.1: BOTTOM-UP CO2E (CO2 EQUIVALENT) EMISSIONS ESTIMATES FOR INTERNATIONAL SHIPPING (THOUSAND TONNES) [THIRD
IMO GHG STUDY 2014] ..........................................................................................................................................15
TABLE 6.1: SUMMARY OF GHG EMISSIONS FROM SHIPPING IN 2007 [SECOND IMO GHG STUDY 2009] .........................................42
TABLE 6.2: INCREASE OF EXHAUST EMISSIONS FROM TOTAL SHIPPING 1990-2007 [SECOND IMO GHG STUDY 2009] .......................43
TABLE 6.3: REDUCTION IN ESTIMATED ANNUAL EMISSIONS (TONNES) OF REFRIGERANTS FROM SHIPS [SECOND IMO GHG STUDY 2009] 43
TABLE 6.4: ESTIMATED EMISSIONS (MILLION TONNES) OF SO2 (2008) [SECOND IMO GHG STUDY 2009] .......................................43
TABLE 6.5: ASSESSMENT OF POTENTIAL REDUCTIONS OF CO2 EMISSIONS FROM SHIPPING BY USING KNOWN TECHNOLOGY [SECOND IMO
GHG STUDY 2009]..................................................................................................................................................44
TABLE 6.6: ESTIMATED EMISSIONS OF CO2 (MILLION TONNES) FROM TOTAL SHIPPING AND INTERNATIONAL SHIPPING [THIRD IMO GHG
STUDY 2014] ..........................................................................................................................................................49

1. Air emissions – a local and global concern
1.1 Air emissions overview

Air emissions has emerged as a serious concern in the past few decades due to their impact on human
health and the wider eco-system including land and sea. Generally, the air quality / air pollution became
an issue for the regulators when:
 Air emissions impacted the public health;
 Air emissions had visible effects on the environment, sea, land, agriculture, etc.; and
 Air pollution was highlighted by the scientific community.
Thus the disturbances to human well-being, its living environment and civil/scientific activities formed
the first steps to recognize pollutions as a serious issue. The visibility factor associated with social
acceptance explains why some pollutants were regulated before others –e.g. oil pollution and garbage.
In this respect, the air pollution faced a clear lack of actual visibility. For this simple reason, in the
shipping industry, the regulation for air pollution was delayed due to more obvious aspects such as
water pollution. To best address the air emissions problems, it is important to distinguish between air
pollutants and those components that leads to climate change and or ozone hole due to alteration to
the earth’s atmosphere properties:
 Air pollutants are considered to be harmful substances for human beings. Generally, the impact
on communities decreases with the distance from the release point. NOx (Nitrogen Oxides), SOx
(Sulphur Oxides) and Particulate Matters (PM) are amongst this category.
 Other emissions are those that alter the constituents of the earth’s atmosphere via changes to
their atmospheric concentrations. Greenhouse Gases (GHG) and Ozone Depleting Substances
(ODS) are typical elements entering in this category.
Generally, the former (air pollutants) are considered emissions with significant local impacts while the
latter (GHG emissions and ODS) are considered as gases with significant global impacts.
1.2 Origins of air emissions

It is well established that the air contains a large variety of gas or vaporous components. Despite the
overwhelming presence of oxygen and nitrogen, the atmosphere contains various gases, vapours and
aerosols. Such substances originate from natural processes or as a result of human activities.
 Several natural processes release chemical and particulates matters into the atmosphere e.g.
volcanoes gas eruptions, forest fires, decaying dead animals, humans or plants, etc. These are
referred to as naturogenic emissions.
 Human activities, in particular industrial activities, produce a large amount of gases and
chemicals which are released into the atmosphere. In fact all industrial activities including
transport produce such emissions. These are man-made emissions and normally referred to
anthropogenic emissions.
Some of the substances present in the atmosphere remain physiologically and chemically inert but
others may affect human health, animals, plants, etc. However, most air emissions will have global
environmental impacts by affecting the properties of the atmosphere.

1.3 Air pollutants and humans
To survive, human beings need to breathe a mixture of oxygen and nitrogen. On a daily basis, our lungs
filter between 10,000 to 15,000 litres of air, and far more for sportspersons. Therefore, humans are
particularly sensitive to the air quality because the lungs constitute an open access route to the body for
substances contained in the air.
As a result, unexpected and harmful substances floating in the air may damage the respiratory system
and/or the body through the absorption of gases, vapours and aerosols by blood through the lungs. The
first effort to manage air quality was initiated due to observed negative impacts to humans by the air
pollutants (smell, smoke, particulate matters, etc.) in large cities.
1.4 Urbanisation and the concentration factors

Before the urbanization, the human populations were smaller and distributed across large territories.
Therefore, they had opportunities to escape from the natural exposure to air pollutants and their small
settlements were easily located away from pollutant release areas. The emergence of agriculture
established permanent settlements and allowed population growth and labour diversification. The cities
developed. They became centres of power and culture as well as trade and production activities.
Therefore, they attracted large populations in relatively confined areas.
The concentration of human beings in such restricted locations combined with the use of substances and
techniques implying the generation of gases, vapours and aerosols (e.g. open fire and non-organized
garbage disposal), increased the nuisances for the whole settlement. The air nuisance for the urban
population was the first concern in the field of air pollution. Only later, the effects on animals, plants,
buildings, clothing, and work of art as well as on the overall environment were to become a concern.
In short, the rise of industrialisation and urbanization created the issue of human-made air emissions.
This demonstrates the direct link between the population size, the economic activity types and the air
pollution. The explosion of the world population – less than 700 million in 1770 to about 7 billion today
and huge industrialisation exponentially increased the man-made air emissions by each individual
through the social activities. The ineffective or missing control measures created a condition that could
lead to damages to humans and destabilize their environments.
1.5 Industrialization and its impacts

Prior to 19th century most of the energy available to man was that derivable from his food, the labour of
domesticated animals and the use of wood for fuel. In addition, several sources of renewable energy
were available – i.e. water and windmills, noria, etc. But wind and water powered systems were highly
dependent on natural conditions. So, these systems were insufficiently reliable and predictable in their
power release. In the early 19th century, the “Industrial Revolution” required extensive use of reliable
and ready-to-use energy in order to operate engines and machinery. The discovery of fossil fuels and
their combustion fed the industry to the detriment of renewable energy sources and animal energy.
The coal formed the first source of power to the ever growing industries and was soon followed by the
oil and later on by the natural gas. While the coal served the industrialization of the 19th century and
supported the steam engines, the locomotives, the steamships and the steam power plants; the oil
fuelled the 20th century’s development by leading to the internal combustion engine, the automobile,
marine diesel engines, the aeroplanes, and various types of electric power plants (diesel, steam turbine,
gas turbines and combined systems).

Coal and oil provided high power capacities with almost instant availability. They are flexible to use,
transport and store, particularly the oil. They are available at low cost, especially during the first stage of
their exploitation. The handling of such fuels requires a relatively simple technical environment, contrary
to nuclear fuel.
These two sources of fossil energy formed the elementary materials which provided the power to launch
and develop the industrialized world. The industrialization of an increasing number of human activities
and the expansion of the transport network led to the increasing demand for energy which consequently
accelerated the fossil fuel consumption and the related air emission. Now, coals are mostly used in land-
based facilities for power generation while oil is, by far, the main source of transportation systems fuels.
All signs indicate that natural gas is about to act a serious contender to replace coal and oil in the future;
possibly as a bridge to future low carbon societies.
1.6 The need for transports

The establishment of an industrialized-urban world triggered serious socio-economic changes. Among
these changes, the massive developments of the trade and transport in connection with the rise of the
market society became evident. Market society and trade required the support and intensification of the
transportation needs at sea and on land.
The shipping fleet boomed internationally in an effort to connect the world and benefit from the
international trade. From 1840 to 2005, the world seaborne trade grew from 20 million tons to 7.122
billion tons with average yearly growth rate around 4.5% (Stopford, 2009). See also Figure 1.1 that not
only indicates this increase in terms of tonnage and number of ships but also is indicative that average
size of ships has also increased ever since.
The road transportation systems expanded throughout the 19th and 20th centuries in order to build,
strengthen, extend and unify inland markets. The railroad inaugurated the land transport era and, later,
the car industry followed. The air industry is the most recently developed transport system, and today
holds a predominant position in international passenger transportation.
Figure 1.1: World Fleet evolution from 1914-2007 [Lloyd's Register, Statistical Tables, World fleet statistics 2000]

1.7 Justification of action
1.7.1 The emergence of air pollution
The world industrial developments and corresponding transportation system growth were based (and
still is) on energy sources almost exclusively derived from fossil fuels. The massive extraction and
combustion of fossil fuels in combination with the release of related exhaust emissions caused not only
the air quality issues but also lead to evidence of climate change and global warming. As mentioned
before, the cities were first affected by the air pollution. The vicinity of industries and urban areas
amplified the issue of air quality.
The undeniable impacts of air pollutants triggered a regulatory process from 1970s aiming to mitigate
this issue while concurrently raising awareness among the public as well as enhancing research on
control of air pollution. Thus, through its deadly impacts, the air emissions and in particular its polluting
aspects acquired social visibility. The amounts of pollutants emitted in the air became so large that their
consequences could not be ignored either locally or globally.
1.7.2 The recognition of global warming
The issue of global warming linked to GHG emissions is also mostly linked to use of fossil fuels and has
received significant attention from 1992 when the first “Earth Summit” on the subject was organised in
Rio. According to the world accepted expert body IPPC:
“Warming of the climate system is unequivocal, as is now evident from observations of increases
in global average air and ocean temperatures, widespread melting of snow and ice and rising
global average sea level.” (IPCC, 2007)
Recognizing its impacts, it was decided that the changes to earth atmosphere properties needs to be
addressed and limited as much as possible in order to keep a balanced environment for human societies.
As this is a global problem, the response has to be international. Three justifications drive action:
 The price of the energy tends to increase with the scarcity of the resources. The Hubert peak oil
discussions illustrate this issue -“the amount which remains at any given time equals the amount
initially present less that which has been consumed” (Hubbert, 1949);
 The absence of action may seriously jeopardize the living conditions on earth for human beings.
‘One of the consequences of the current stage of industrialization and the demand for improved
quality of life has been increased exposure to air pollution coming from industrial activities,
traffic and energy production’ (WHO, 2007); and
 The power acquired by the humankind forces him to be responsible for the consequences of its
actions (H. Jonas, 1984).
In short, environmental and moral justifications nicely merge with an economic motivation.
“We stand at a juncture where our words need to be matched by actions, so that climate change
will not accelerate its adverse effect on everybody. And the decisions and actions we must take
without further delay, will be of paramount importance for generations to come. *…] That said,
mid-range scenarios show that, by 2050, those emissions could grow by a factor of 2 to 3 if no
regulations to stem them are enacted. Successfully addressing climate change will be far from
easy; but the consequences of failing to do so are too dire to contemplate.” (The then Secretary
General of the IMO, Mr Mitropoulos as cited in IMO, 2009)
But, before introducing the international response to climate change, we need to highlight the role that
fossil fuels and their usage play on the global warming.

2 Fossil fuels as main source of air emissions
2.1 Fuels’ overall composition

The fuel combustion produces energy but generates a certain number of by-products in the form of
exhaust emissions. Fossil fuels were created millions of years ago, most certainly from the compression
and chemistry occurring inside layers of organic matter accumulated and recovered. Because of their
origin, fossil fuels contain high levels of carbon. Coal usually contains up to 95% of carbon (average
90%), the rest being hydrogen, water and ash. The crude oil demonstrates proportion of carbon around
82-87% (average of about 84%) by weight.
While coal is predominantly made of carbon, crude oil is a complex mixture of hydrocarbons. In addition
to carbon and hydrogen, crude oil and coals may hold a large variety of chemical compounds trapped in
their structures. For example, coals contain mainly carbon but also sulphur and many other noxious
matters. An ‘average’ crude oil contains about 84% carbon, 14% hydrogen, 1%-3% sulphur, and less
than 1% each of nitrogen, oxygen, metals, and salts. (OSHA website)
2.2 Evolution of combustion engines

Following various experimentations during the 17th and 18th century, the steam engine became
operational on ships within the 19th century. Coal was the first fuel used to generate steam in order to
activate paddles and propellers. Turbine engines were introduced later. The early processes in steam
ships are depicted in Figure 2.1.
Exhaust GAS of Steam directed to the

combustion steam engines or
STEAM turbines
Paddle or propeller
Figure 2.1: Steam generator principle on ships

Coal produced thick smoke and the energy efficiency of steam systems remained low. These drawbacks
fostered the use of oil and encouraged technical innovation and particularly the modification that led to
wider use of diesel engines on board ships; that are much more efficient than steam plants.
The first diesel ocean-going ship, the MV Selandia, was launched in 1912. The novelty was the direct use
of the energy of combustion without passing through steam systems (a move from so called “external
combustion engines” to “internal combustion engines”); see Figure 2.2.
Figure 2.2: Diesel engine working principle as an internal combustion engine

The efficiency of the internal combustion engine in particular diesel engines is higher than the external
combustion engines. It was due to this high efficiency and economic advantage that after the oil crisis of
1973 and the rise of oil prices, diesel engines dominated the shipping industry (99%). However, some
narrow sectors of the industry (about 1%) still rely on other kind of heat engines such as steam turbines,
and gas turbines. Such uses including the use of nuclear energy in shipping is for operational/functional
reasons in particular in navy applications.
2.3 By-products of combustion

When fossil fuels are used, irrespective of type of engine, the exhaust emissions will mainly include
carbon dioxide (CO2), water vapour (H2O) and nitrogen (N2). Additionally, small amounts of other gases
such as NOx and SOx plus Particulate Matter would also be present (see Figure 2.3).

Fuel + Air
Carbon Dioxide + Water + Nitrogen

+ Various gas compounds + Particulate Matters
Figure 2.3: Typical products of combustion

Air is not made of pure oxygen but contains around 21% of oxygen (O2) and 78% of nitrogen (N2) and
small quantities of other gases. In addition, fuels are not made of pure carbon and hydrogen chains as
stated before. So, the outcome of the combustion produces a large combination of various gases and
compounds despite the clear dominance of carbon dioxide and water vapour in exhaust emissions as
indicated in Figure 2.3. The main components that are harmful to environment and human are as
follows:
CO2: Carbon Dioxide
This gas is naturally present in the air and mainly associated with the living. While the CO2 concentration
was 280 ppm (parts per million) prior to 1750, the present concentration in 2015 is just over 400 ppm by
volume. It has been observed that the amount of carbon dioxide in the atmosphere has steadily
increased since the industrial revolution (see Figure 2.4). Such level of CO2 in the air does not affect the
human health; however, the carbon dioxide participates actively in the global warming of the planet and
the oceans acidification.
Figure 2.4: Changes of CO2 concentration in earth atmosphere [Earth System Laboratory]

NOx: Nitrogen Oxides
NOx refers to many types of nitrogen and oxygen containing compounds; primarily Nitrogen Oxide (NO)
and Nitrogen Di-Oxide (NO2). Such compounds originate from the combustion process; where a small
quantity of nitrogen is oxidized to form various nitrogen oxides. The amount of NOx emitted by the
engine is “primarily a function of combustion temperature and, if present, the amount of organic
nitrogen available from the fuel” (NOx Technical Code, 2008). These by-products of the combustion have
detrimental effects on the environment and the human body:
 NOx is a reactive gas, at the presence of sunlight.
 Causes health problem; in particular on respiratory system.
 NOx together with other ground-level emissions reacting gases in the atmosphere could lead to
smog (smoky fog) phenomenon that is a major issue in many large cities.
 Additionally, NOx contributes to global warming and acid rain.
SOx: Sulphur Oxides
SOx refer to various compound containing sulphur and oxygen which is produced during the
combustion; primarily Sulphur Dioxides (SO2) and to a less extent Sulphur Trioxides (SO3). The amount of
SOx released is directly linked to sulphur content of the fuel used; as all the fuel sulphur changes to SOx
as follows:
S+O2  SO2
SO2 + 1/2 O2  SO3
So, the quality of the fuel determines the release of sulphur in the atmosphere. As a global trend, while
land-based sulphur releases from industry and road transport have declined, the amount of SOx emitted
by shipping have increased from 1970 to 2005, particularly before the entry into force of sulphur-related
regulations (Smith et al., 2011).
SOx causes: (1) Acid rain (2) Sea and soil acidification and (3) Human health issue. Additionally, PM
(Particulate Matters) that is produced due to non-complete combustion; its level generally increases
with higher fuel sulphur level. Thus reduction of fuel sulphur will reduce SOx but also PM.
PM: Particulate Matters
PM are tiny solid particles contained in exhaust gases and in suspension. They are mainly carbon and
represent the imperfect combustion of fuel originating from either bad quality fuel or poor quality of
combustion. The type and size of the PM released determine their effects on human health and the
environment. Sizes are generally less than 100 micrometre or micron and the smaller the size, the
impact on human health is expected to be more due to the ease of deeper travel of smaller particles in
the lung and respiratory system.
GHG emissions
Despite the existence of numerous substances released to the atmosphere which may impact the
climate and lead to global warming, the main problem is the CO2 because of volumes and amounts
emitted. Kyoto Protocol has identified six main gases as:
 Carbon dioxide (CO2);
 Methane (CH4);
 Nitrous oxide (N2O);
 Hydrofluorocarbons (HFCs);
 Perfluorocarbons (PFCs);
 Sulphur hexafluoride (SF6)
Figure 2.5 shows the relative impact of various gases on climate change with CO2 forming the main
constituent globally
Figure 2.5: Types and relative important of GHG emissions globally [Wikipedia website]
In the case of shipping the above picture changes with CO2 taking much more prominence role.
According to IMO Third GHG Study 2014, Table 2.1 shows the shipping GHG emissions relative
importance.
Table 2.1: Bottom-up CO2e (CO2 equivalent) emissions estimates for international shipping (thousand
tonnes) [Third IMO GHG Study 2014]
As can be seen, CO2 is the overwhelming shipping GHG emission (about 97.5% for 2012); and this is the
reason why IMO has concentrated on CO2 in order to address the shipping impact on climate change. As
shipping currently exclusively uses fossil fuel (with the exception of nuclear powered naval ships),
reduction of fossil fuel usage in shipping is the main route to control of GHG emissions from ships. This
control and reduction of usage of fossil fuels is normally referred to as “energy efficiency” within the
context of the IMO regulatory framework as will be discussed later.
2.4 Other non-combustion related air emissions

A large number of compounds emitted into atmosphere (other than those resulting from fuel
combustion above) may be regarded as air emissions. These are:
 Ammonia (NH3) and nitrous acids
 H2S as well as sulphuric acid

 Sulphates and nitrates aerosols
 Carbon monoxide (CO)
 Hydrocarbon compounds - such as CH4 and VOC (Volatile Organic Compounds)
 Ozone (O3) – Two kinds of Ozone coexist at lower and higher atmospheric layer; the
former is bad and the latter is good
 Fluorocarbon and Chlorofluorocarbon compounds - such as CFC, PFC, SF6 and HFC
 Halogen compounds - such as chlorides, fluorides and bromides
As indicated earlier, some of these compounds are regulated for safety or protection of ozone layer
within the shipping context as their contribution to global warming is relatively insignificant in shipping.

3 Climate system and global warming
3.1 Overview
The climate is usually defined as the average weather over long term periods. Or in a more scientifically
accurate way, the climate can be defined as “the statistical description in terms of the mean and
variability of relevant quantities over a period of time” (WMO Website definition). So, the climate differs
from the weather which is of chaotic nature and barely predictable; otherwise only on a short time basis.
The climate thus refers to an average image of the weather over time inside which the extreme short-
term events are obviously invisible.
The climate is a whole system which combines numerous interaction and retroactions between various
complex subsystems: the atmosphere, oceans, land, ice and snow, living creatures including human
beings and their activities (IPCC, 2007).
The dynamics of the earth climate are impacted by the alteration of each of the following system:
 The atmosphere (i.e. gases);
 The hydrosphere (i.e. the waters);
 The lithosphere (i.e. solid layer of earth);
 The cryosphere (i.e. frozen waters); and
 The biosphere (i.e. the living).
These intertwined elements form and influence the climate system which in return influences them. A
permanent retroactive feedback connects the whole and the parts of the climate system (Berkes et al.,
2003). In such complex and dynamic system of interactions, there is no permanent stability. Figure 3.1
shows such a complex interactions schematically.
Figure 3.1: Schematic view of the components of the climate system, their processes and interactions
[IPCC Fourth Assessment Report, Climate Change 2007 (AR4) WG I]

In such a complex system of interactions, the alteration of one system would affect the whole set
patterns. The modification of the atmospheric properties affects the other systems which by retroaction
influence again the atmosphere. As an example, the global warming increases the ice melting which
retroactively increases the warming effect by reducing the radiation reflection of the sun. It is this huge
impact of global warming that gives so much prominence and urgency to control of climate change.
3.2 Greenhouse Gas (GHG) emissions and climate change

The GHG emissions act as a blanket for the earth, leading to warming of the planet (see Figure 3.2). The
existence of GHG in the stratosphere is highly valuable because they reflect back the energy of the
infrared emitted by the earth surface. Without such effect, the planet would be too cold. The GHG
represent a tiny fraction of the atmosphere, less than 1%. Except purely man-made chemicals like CFCs
and HFCs, the GHG emissions naturally, and from natural sources, are present in the atmosphere.
The issue of GHG is not their presence in the atmosphere but their quantity and concentrations which
affects the level of temperature at the Earth’s lower atmospheric layers. Ideally and to sustain human
life on earth, not too much warming and not too much cooling is desirable.
Figure 3.2: An idealised model of the natural greenhouse effect [Source: IPCC AR4 WG I]
Presently and with support of scientific evidence, the man-made air emissions perturb the long-term
established atmospheric general equilibrium and the mechanisms which increase the warming effect on
the climate tend to overwhelm the others. With the rise of the anthropogenic sources of GHG and the
perturbation of the natural sinks – e.g. forests, sea and land; the amount of GHG present in the
atmosphere increases and, therefore, amplify the GHG effect and the warming of the planet.
“Global atmospheric concentrations of carbon dioxide, methane and nitrous oxide have
increased markedly as a result of human activities since 1750 and now far exceed pre-industrial
values determined from ice cores spanning many thousands of years (see Figure 3.3). The global

increases in carbon dioxide concentration are due primarily to fossil fuel use and land use
change, while those of methane and nitrous oxide are primarily due to agriculture.” (IPCC,
2007c)
Figure 3.3: Evolution of atmospheric concentration of a number of GHG emissions [IPCC (2007a)]
The impact of the industrial era on the GHG amount in the air shows an increment of around 25% for
CO2, 120% for CH4 and 9% for N2O (IPCC, 2007) as shown in Figure 3.3.
3.3 Main GHG emissions

The main GHG heat-trapping gases are:
Carbon dioxide (CO2): According to IPCC, this gas influences the most the global warming (IPCC, 2001)
because of the quantities released and its lifetime in the atmosphere. However, as a natural compound,
the carbon dioxide belongs to a large carbon circulation between land, atmosphere and oceans in which
carbon sources (release) and carbon sinks (capture) co-exists (see Figure 3.4).

Figure 3.4: Major Carbon pools and fluxes of the global carbon balance [FAO website]
Main sources of human-related CO2 emissions are fossil fuels burned for electricity generation,
transportation, and industrial and household uses, by-product during the manufacturing of cement, and
deforestation.
“Globally, over the past several decades, about 80 percent of human-induced carbon dioxide
emissions came from the burning of fossil fuels, while about 20 percent resulted from
deforestation and associated agricultural practices. The concentration of carbon dioxide in the
atmosphere has increased by roughly 35 percent since the start of the industrial revolution.”
(Karl T.L. et. al., 2009)
The fuel used releases CO2 in the atmosphere supplementing the existing carbon cycle and the CO2
present in the air. In addition, deforestation, land-use change and soil degradation are affected by
human activities which reduce their abilities to capture carbon as sinks. Moreover, there are serious
uncertainties in the capacity of the ocean to retain increasing amount of CO2.
Methane (CH4): Main sources of human-related CH4 emissions are: agriculture and livestock, mining,
transportation, and use of certain fossil fuels, sewage, oil and gas production and processing, and
decomposing garbage in landfills. Methane quantities in the air are far less than the CO2 but its warming
capacity is very high despite its short lifetime.
Nitrous oxide (N2O): The industrial farming using large quantities of fertilizers accounts for the majority
of the Nitrous oxide release. The second position is taken by the combustion of the fossil fuels.

Halocarbon (CFCs, HCFCs, ..): They are non-natural but manufactured compounds. They are extensively
used as refrigerants but may be found in other industrial processes. Despite their very low concentration
in the air, their radiative forcing effect is important and they may remain active for a very long time:
“Therefore, these compounds, even with relatively small emissions, have the potential to
influence climate far into the future. For example, Perfluoromethane (CF4) resides in the
atmosphere for at least 50,000 years.”(IPCC, 2001)
Their quantities seemed to have peaked in 1994, and are now declining slowly. The regulations on Ozone
Depleting Substances (ODS) contribute to this decay.
Other gases like ozone or water vapour have GHG properties. In addition, the particulate matters
emitted in the atmosphere may have varying properties and “depending on their type, aerosols can
either mask or increase the warming caused by increased levels of GHGs.” (Karl T.L. et. al., 2009)
3.4 Climate change impacts on oceans

The global warming and the air substances absorbed by the oceans deeply affect their health.
Ecosystems and habitats are disturbed by the modification of the ocean properties in relation with the
absorbing of air emitted compound and global warming. Another consequence of the warming is the
ocean dilatation and sea-level rise which endangers the coastal ecosystems and accelerates erosion.
In addition, the carbon dioxide combined with other atmospheric compounds possesses another
important impact: oceans acidification. As part of the natural carbon cycle, oceans absorb the CO2. While
the CO2 increases in the air, its amount dissolved in the oceans increases. In the sea water, the CO2
reacts with H2O and forms carbonic acid and the overall acidification process of the ocean begins.
“As pointed out by Hunter et al. (2011), “the acidification of the surface ocean by anthropogenic
carbon dioxide (CO2) absorbed from the atmosphere is now well-recognized and is considered to
have lowered surface ocean pH by 0.1 units” (corresponding to an approximately 25% increase
in the acidity of the surface oceans) since the mid-18th century.”(GESAMP, 2012)
The present rate of increase in ocean acidification has no precedent for the last 30 million years. The
high speed acidification may impair the ability of many organisms to cope with changing oceanic
properties.
“Ocean acidification is known to have significant impacts on ocean areas, including reduced
ability of many key marine organisms, including calcareous phytoplankton, the base of much of
the marine food chain, to build their shell and skeletal structures; increased physiological stress,
reduced growth and survival of early life stages of some species.”(IOC/UNESCO, 2011).
Despite the worrying effects of the global warming and atmospheric changes and alteration, there
remain a large number of uncertainties lying in the complexity of ecosystems and social world.
For example, the impact of the CO2 is particularly difficult to predict because it belong to the carbon
circulation system of the planet and; the land and ocean feedbacks to increasing concentration of CO2
remain uncertain. The future releases into the atmosphere are not completely predictable because they
largely depend on the evolution of the economic and social choices.

4 Combating air pollution: the role of international bodies
4.1 Growth of concerns on air pollution

One of the first international definitions of air pollution was developed in 1979 by the European
agreement on Convention on Long-Range Transboundary Air Pollution (1979 LRTAP). The Convention
evoked the geographical origins of the pollution and did not restrict the State’s responsibility to national
territorial limits. Through an open definition and broad fundamental principles, it was intended to
address the issue at a large scale and to encourage Parties (members of the Convention) to cooperate
for the control of harmful pollutants emitted into the atmosphere.
1979 LRTAP Convention:

Article 1: Definitions
(a) “Air Pollution” means the introduction by man, directly or indirectly, of substances or energy into the air
resulting in deleterious effects of such a nature as to endanger human health, harm living resources and
ecosystems, material property and impair or interfere with amenities and other legitimate uses of the
environment, and “air pollutants” shall be construed accordingly;
(b) “Long-range transboundary air pollution” means air pollution whose physical origin is situated wholly or
in part within the area under the national jurisdiction of one State and which has adverse effects in the area
under the jurisdiction of another State ……….
Article 2: Fundamental principles

The Contracting Parties, taking due account of the facts and problems involved, are determined to protect
man and his environment against air pollution and shall endeavour to limit and, as far as possible, gradually
reduce and prevent air pollution including long-range transboundary air pollution.
Article 3:
The Contracting Parties, within the framework of the present Convention, shall by means of exchanges of
information, consultation, research and monitoring, develop without undue delay policies and strategies
which shall serve as a means of combating the discharge of air pollutants, taking into account efforts already
made at national and international levels.
A later definition was established in 1985. The Vienna Convention for the Protection of the Ozone Layer,
introduced the idea that the adverse impacts of air pollutants may affect the global climate as well as
the ecosystems, their resilience and mechanisms.
1985/2002 Vienna Convention for the Protection of the Ozone Layer:

Article 1
2. “Adverse effects” means changes in the physical environment or biota, including changes in
climate, which have significant deleterious effects on human health or on the composition,
resilience and productivity of natural and managed ecosystems, or on materials useful to mankind.
In 1992, the United Nation Framework Convention on Climate Change (UNFCCC) adopted a very similar
definition which in fact extended the concept of air emissions to their effects on global climate and
ecosystems alterations.

1992 UNFCCC:
Article 1:
1. "Adverse effects of climate change" means changes in the physical environment or biota resulting
from climate change which have significant deleterious effects on the composition, resilience or
productivity of natural and managed ecosystems or on the operation of socio-economic systems or
on human health and welfare.
2. "Climate change" means a change of climate which is attributed directly or indirectly to human
activity that alters the composition of the global atmosphere and which is in addition to natural
climate variability observed over comparable time periods.
The next step was the clear identification of the main drivers of the air pollution. Such drivers are
established in many UN documents.
“Quantitatively, the three important life cycles, namely, the sulphur cycle, the nitrogen cycle and the
carbon cycle, play a big role in contributing to air pollutants and also as sinks of excess of these
gases.” (UNEP/UNDP/DUTCH, 1999)
The WHO, on its website, merges the definitions and focuses on the impact on human health.
“Air pollution is contamination of the indoor or outdoor environment by any chemical, physical or
biological agent that modifies the natural characteristics of the atmosphere. Household combustion
devices, motor vehicles, industrial facilities and forest fires are common sources of air pollution.
Pollutants of major public health concern include particulate matter, carbon monoxide, ozone,
nitrogen dioxide and sulfur dioxide. Outdoor and indoor air pollution cause respiratory and other
diseases which can be fatal. ”http://www.who.int/topics/air_pollution/en/
According to these definitions by various UN bodies, the climate change and air pollution forms the two
sides of a coin; representing the undesirable impacts of air emissions.
4.2 Historical developments

The great smog in UK and USA during the 1950s and 1960s, the groundings of Torrey Canyon (1967) and
Amoco Cadiz (1978), damages related to acid rain in the 1970s, the release of poisonous chemicals in
Bhopal (1982) and the nuclear accident of Chernobyl (1986), etc. demonstrate the rising “risk to society”
of modern industrial activities. The existence of such risks plus wider evidences of impacts of air
emissions on human health, global temperature and ecosystem have fully shifted the individual and
social perceptions of risks and particularly of those affecting the environment.
In global risks context, local and national regulations could be deemed ineffective and insufficient as this
needs a global response. The progressive recognition of this context offered opportunities to the United
Nations bodies to drive adequate international governance.
In the 1970s, the presence of acid rain led to realisation of the magnitude of air pollution and triggered
the necessity to build a cooperative agreement. Acid rain is formed when large quantities of NOx and
SOx released in the air, react with water vapour or rain water and form acids. The inability to control
when and where acid rain impacts the environment forced regulators to identify pollution sources
contributing to the creation of acid rain. Once identified, those sources could be controlled through the
regulatory process.
In 1972, the United Nations Conference on the Human Environment (UNCHE) adopted a body of
principles which would later support international instruments. Examples of these principles are:
 Principle 2 recalls the importance of preserving the present “resources of the earth” for
the future.
 Principle 21 sets out that States should “ensure that activities within their jurisdiction or
control do not cause damage to the environment of other States or of areas beyond the
limits of national jurisdiction.”
The latter principle 21 provided the grounds for governing the International responsibility of States with
regard to the environment (Zaelke, Durwood & Cameron, 1990). This principle is also echoed in U.N.
General Assembly Resolution 3281 , in Article 30 of the Charter of Economic Rights and Duties of States,
and in Article 194(2) of the 1982 UNCLOS (United Nations Convention on the Law of the Sea), which
provides:
“States shall take all measures necessary to ensure that activities under their jurisdiction or
control are so conducted as not to cause damage by pollution to other states and their
environment, and that pollution arising from incidents or activities under their jurisdiction or
control does not spread beyond the areas where they exercise sovereign rights in accordance
with this Convention.”
In 1982, the Third United Nations Conference on the Law of the Sea integrated some of the UNCHE
principles into the UNCLOS, particularly in Part XII (provisions on prevention of pollution of the marine
environment).
In parallel to the international law development, the first legally binding instrument to address air
pollution was adopted in 1979 under the auspices of the United Nations Economic Commission for
Europe (UNECE). The 1979 Convention on Long Range Transboundary Air Pollution (LRTAP) entered into
force in 1983.
In February 1979, the First World Climate Conference was organized by the World Meteorological
Organization (WMO) as a major scientific meeting. The international gathering made an appeal to
Nations: “*…+ the Conference finds that it is now urgently necessary for the nations of the world: *…+ (c)
to foresee and prevent potential man-made changes in climate that might be adverse to the well-being
of humanity” and recalled the importance of acting internationally for the climate:
“The climates of the countries of the world are interdependent. For this reason and in view of the
increasing demand for resources by the growing world population that strives for improved living
conditions, there is an urgent need for the development of a common global strategy for a greater
understanding and a rational use of climate. *…+ There is serious concern that the continued
expansion of man’s activities on earth may cause significant extended regional and even global
changes of climate. This possibility adds further urgency to the need for global co-operation to
explore the possible future course of global climate and to take this new understanding into
account in planning for the future development of human society.” (The Declaration of the World
Climate Conference, 1979).
The early 80s discovered the global consequences of the air emission through the development of the
Ozone Holes above poles. This global threat was directly addressed at an international level that lead to
Montreal Protocol on Ozone Depletion issues. Adopted in 1985, the Vienna Convention for the

Protection of the Ozone Layer is a framework Convention aimed to address the issue of the ozone
depletion.
The adoption of the Montreal Protocol on Substances that Deplete the Ozone Layer in 1987 (entered
into force on January 1, 1989) enabled binding implementation of the Convention’s provisions. These
instruments are considered the first action towards the control of substances impairing global
atmosphere balance. The Protocol banned man-made compounds known as stratospheric Ozone
Depleting Substances (ODSs). These substances increased ultraviolet radiation at Earth’s surface as a
result of damage to ozone layer; that was observed as “ozone hole” above the Earth’s polar regions.
ODSs have also significant global warming effect; thus their control also positively impacts the control of
climate change.
The Montreal Protocol has had lasting impact in both protecting the ozone layer and reducing climate
change.
“Since most ODSs are also potent greenhouse gases, actions under the Montreal Protocol have
had the very positive side effect of substantially reducing a main source of global warming.”
(UNEP, 2011)
Efforts during the 1970s and 1980 produced multiple international regulatory instruments to protect air
quality. These instruments aimed to control identified substances but did not intend to holistically
address the issue of climate change. In parallel to the creation of such instruments, several international
conferences were organized on climate change but no internationally binding instrument was adopted.
4.3 The United Nations Environment Programme (UNEP)

Another important outcome of the UNCHE was the creation of the United Nations Environment
Programme (UNEP), whose mandate is to coordinate the global response to established and emerging
environmental challenges. The need for such an organization is clearly expressed in the UN Resolution
2997. The mission statement of UNEP is:
“To provide leadership and encourage partnership in caring for the environment by inspiring,
informing, and enabling nations and peoples to improve their quality of life without compromising
that of future generations.”1
UNEP activities cover the atmosphere, marine and terrestrial ecosystems, environment governance and
green economy. After the Brundtland Report ‘Our Common Future’ and its validation during the ‘Rio
Summit’ in 1992, the concept of sustainable development took centre stage in the UNEP’s research and
policy activities.
In the field of climate change, the UNEP supports countries and, in particular, developing nations with
integrating the climate problem in their domestic development process. Four elements foster the
achievement of this objective:
 Adapting to climate change: The purpose is to reduce vulnerability and improve resilience.
 Mitigating climate change: The UNEP supports technologies, policies and investments designed
to reduce GHG emissions as well as energy efficiency and conservation programs.
 Reducing emissions from deforestation and forest degradation: The purpose is to valorize forests
and sinks as well as promoting sustainable management of forest ecosystems.
1
UNEP,http://www.unep.org/Documents.Multilingual/Default.asp?DocumentID=43
 Enhancing knowledge and communication: The UNEP support education and awareness
programs.
4.4 Intergovernmental Panel on Climate Change (IPCC)

Created under the auspices of the UNEP and the WMO, the Intergovernmental Panel on Climate Change
(IPCC) was endorsed by the UN in 1988. The objective was to build an internationally recognized
structure capable to regularly monitor and diagnose the evolution on the climate system and its
consequences. Its mission is to review [UN, 1988]:
a. The state of knowledge of the science of climate and climatic change;
b. Programmes and studies on the social and economic impact of climate change, including
global warming;
c. Possible response strategies to delay, limit or mitigate the impact of adverse climate
change;
d. Identification and possible strengthening of relevant existing international legal
instruments having a bearing on climate; and
e. Elements for inclusion in a possible future international convention on climate.
In other words, the purpose of the IPCC is to provide a clear scientific view on climate change and its
potential environmental and socio-economic consequences as well as propose control measures and
solutions. IPCC is thus the ultimate expert authority on environmental issues in particular those related
to climate change. The IPCC gathers the data published worldwide and produces assessments reports on
the situation of climate change. Thousands of scientists participate in the IPCC in order to provide
accurate, rigorous and reliable data to policy makers.
In 1990, the IPCC published its First Assessment Report (AR1-1990) with subsequent Assessment Reports
at planned intervals. The most prominent one was the Fourth Assessment Report 2007 (AR4-2007).
Assessment Reports are part of a series of reports intended to assess scientific, technical and socio-
economic information concerning climate change, its potential effects, and options for adaptation and
mitigation. The report is the largest and most detailed summary of the climate change situation ever
undertaken, produced by thousands of authors, editors, and reviewers from dozens of countries, citing
over 6,000 peer-reviewed scientific studies.
AR4-2007 supersedes the Third Assessment Report (2001), and in turn was superseded by the Fifth
Assessment Report 2014 (AR5-2014). The headline findings of the AR4 were:
"warming of the climate system is unequivocal", and "most of the observed increase in global
average temperatures since the mid-20th century is very likely due to the observed increase in
anthropogenic greenhouse gas concentrations."
The IPCC’s AR5-2014 (Fifth Assessment Report) was released in four principal sections that reflect the
contributions of the following IPCC’s Working Groups:
 Contribution of W/G I (WGI): The Physical Science Basis
 Contribution of W/G II (WGII): Impacts, Adaptation and Vulnerability
 Contribution of W/G III (WGIII): Mitigation of Climate Change
 Contribution of W/G I, II, and III: The Synthesis Report (SYR)
The AR5-2014 puts greater emphasis on assessing the socio-economic aspects of climate change and its
implications for sustainable development. Some new features of AR5 as a whole include:

 A new set of scenarios for analysis across Working Group contributions;
 Dedicated chapters on sea level change, carbon cycle and climate phenomena;
 Much greater regional detail on climate change impacts, adaptation and mitigation interactions;
inter- and intra-regional impacts; and a multi-sector synthesis;
 Risk management and the framing of a response (both adaptation and mitigation), including
scientific information relevant to Article 2 of the UNFCCC referring to the "...stabilization of
greenhouse gas concentrations in the atmosphere at a level that would prevent dangerous
anthropogenic interference with the climate system".
The reports issued by the IPCC have to be endorsed during its plenary session by the governments’
representatives which, subsequently, validate the scientific authority of the IPCC. However, despite its
policy relevance, the work completed by the IPCC is not prescriptive. In addition to these assessments,
the IPCC provides expertise to the Conference of the Parties (COPs) to the UNFCCC that is held annually,
and other bodies as requested.
4.5 The United Nations Framework Convention on Climate Change (UNFCCC)

After years of intensive negotiation through the Intergovernmental Negotiating Committee on Climate
Change, the United Nations Framework Convention on Climate Change (UNFCCC) was adopted and
opened for signature in 1992 in the Rio Summit (also known as Earth Summit). The UNFCCC entered into
force in March 1994.
This Convention was drafted in accordance with the format designed for the Vienna Convention for the
Protection of the Ozone Layer. The UNFCCC is another framework Convention which focuses on
promoting cooperation by means of systematic observations, research and information exchange on the
effects of human activities on climate, and adopting legislative or administrative measures against
activities likely to have adverse effects. This instrument does not set precise objectives. It is the reason
why such a framework Convention is followed by Protocols detailing obligations such as Kyoto Protocol.
The UNFCCC was adopted on the following grounds:
 Climate change is a common concern of human kind requiring a global response;
 Human activities increase GHG emissions;
 Historically, developed countries played the first role in GHG release and should act
immediately;
 Developing countries have a high degree of reliance on fossil fuels and may have difficulties
addressing GHG issues. In addition, sustainable social and economic development of these
countries may need additional energy consumption;
 Predictions have to deal with numerous uncertainties;
 States have the responsibility to make sure the activities under their jurisdiction do not harm
other areas (UNCHE, 1972 - Principle 21); and
 The protection of the climate must encompass the environmental, social and economic
impacts of the measures taken and be science-based.
The objective of the Convention (Article 2) is to prevent Climate System alteration by stabilizing GHG to a
harmless level in order to avoid ecosystem disruption and economic disturbance. Among the guiding
principles (Article 3) set in the UNFCCC, the following may be mentioned:
- The UNFCCC introduces the notion of “common but differentiated responsibilities (CBDR)” and
respective capabilities. Based on principle of CBDR, the available capacity and historical
contribution is linked to the evolution of a particular problem. Consequently, the Convention

defines obligations for all Parties and specific requirements for developed countries which are
listed in the Annex I & II (These are referred to Annex I and Annex II countries).
- The precautionary principle is highlighted by recalling that the lack of scientific data should not
inhibit action.
- Sustainable development remains a guiding principle.
- The open international economic system should be promoted and measures implemented to
combat climate change should not justify restrictions on international trade.
Despite these declarations, the commitment does not require imperative GHG release reduction. The
requirements imposed on States are limited to commitments (Article 4) and communication regarding
implementation (Article 12). In short, all Parties have to:
 Develop and communicate to the Conference of Parties a “national inventory of
anthropogenic emissions by sources and removals by sinks”.
 Commit to develop and communicate the measures related to GHG control.
 Promote “technology transfer and the sustainable management, conservation, and
enhancement of greenhouse gas sinks and reservoirs (such as forests and oceans).”
(UNEP/UNFCCC, 2002)
 Consider climate change in social, economic and environmental policy development.
 Cooperate in sciences, techniques and education as well as exchange information related to
climate change.
 Promote public awareness and education.
Following the CBDR principle, the developed countries have to commit to additional requirements:
 They must play a leading role and demonstrate their commitment by developing measures
and creating adequate strategies to reduce GHG emission.
 Their policies should aim at returning to their 1990’s GHG emission level.
 Several countries may join to pursue a common target.
 The countries in transition to market economy benefit from certain flexibility in the
implementation.
 The richest nations shall provide additional funding and facilitate technology transfer.
The UNFCCC “supreme body” is the Conference of the Parties (COP) which meets every year. The COP is
a large forum for debates and information exchange; beneficial for all participants. The COP plays an
important role in promoting, reviewing and supporting the Convention and its members that need
support to implement regulations. In addition to the normal discussion, the COP may develop and adopt
a protocol, like in 1997 during the 3rd COP in Kyoto for mandatory reduction of GHG emissions; this is
known as Kyoto Protocol.
4.6 The Kyoto protocol

The first COP held in 1995 in Berlin issued a decision emphasizing the need to continue the effort of GHG
reduction after 2000 and to determine stronger and more detailed commitment for developed
countries. The Kyoto Protocol concluded a first part of the negotiation process initiated in Berlin. The
completion of the discussions has been achieved during the COP 7 (2001) in Marrakesh when the detail
of the implementation measures rules for the Protocol was agreed.
The Kyoto Protocol set binding emission targets for the developed countries in Annex I in order to
pursue the ultimate objective of the UNFCCC: “with a view to reducing their overall emissions of such
gases by at least 5 per cent below 1990 levels in the commitment period 2008 to 2012.”(Article 3)

In addition, the Annex B of the Kyoto Protocol under the “quantified emission limitation or reduction
commitment” contains the targets to be reached by individual countries. The GHG emissions are
categorised as six main item including CO2, CH4, N2O, HFCs, PFCs and SF6.
To reach their targets, countries can reduce their emission and/or offset their emissions by investing in
carbon sinks which generates removal units. To facilitate this, the Kyoto Protocol introduces three
innovative mechanisms:
 Joint Implementation
 Clean Development
 Emission Trading
These mechanisms were designed to limit the cost of mitigation measures by permitting the investment
in other countries (both Annex I and non-Annex I) in which emission reduction can be achieved at
cheaper costs. However, such offset strategies of emission reduction in other countries must
supplement domestic actions and not being the main objective of the country.
International transportation (shipping and aviation) and Kyoto Protocol
The existence of specialized agencies in charge of air and sea transportation avoided the UNFCCC and
the Kyoto Protocol to establish specific rules or targets for these sectors. Instead, the Kyoto Protocol
clearly identifies the responsibility of relevant special agencies in dealing with the issue in its Article 2.2
by stating:
“2. The Parties included in Annex I shall pursue limitation or reduction of emissions of
greenhouse gases not controlled by the Montreal Protocol from aviation and marine bunker
fuels, working through the International Civil Aviation Organization and the International
Maritime Organization, respectively.” (Kyoto Protocol, Article 2.2)
Accordingly, the International Civil Aviation Organization (ICAO) and the International Maritime
Organization (IMO) are required to pursue the objectives and intentions defined by the UNFCCC. Both
ICAO and IMO have been heavily involved on issues relating to control of climate change and GHG
emissions from aviation and maritime respectively.

5 IMO Response: Maritime Environmental Regulatory Framework
International shipping is ruled by a set of international legal and regulatory frameworks. In this section,
such regulatory frameworks are defined with a focus in understanding the shipping impact on climate
change and the various provisions developed through the IMO to address this issue.
The marine related international regulations to address the consequences of air emissions can be found
in the UNCLOS and in the IMO MARPOL regulations. The UNCLOS regulations form the basis of the
international law regulating the seas, while the IMO specifically regulates the international shipping.
Both develop comprehensive regulatory regimes to be enforced by States.
5.1 UNCLOS (United Nations Convention on the Law of the Sea) regulations and
environment
As previously mentioned, the UNCLOS possesses extensive references to the protection of the
environment. In its preamble, the UNCLOS recalls the importance to:
“Promote the peaceful uses of the seas and oceans, the equitable and efficient utilization of
their resources, the conservation of their living resources, and the study, protection and
preservation of the marine environment.”
In addition to this statement, a complete part of the text is dedicated to the protection of the
environment. Part XII reflects the main objectives of the UN in terms of environmental protection which
occurred in parallel to the extensive negotiations to develop the UNCLOS. The most significant articles
demonstrating the importance of State responsibility to protect the environment are presented below:
Article 192: “General obligation
States have the obligation to protect and preserve the marine environment”
Article 194: “Measures to prevent, reduce and control pollution of the marine environment
*…]
2. States shall take all measures necessary to ensure that activities under their jurisdiction or
control are so conducted as not to cause damage by pollution to other States and their
environment, and that pollution arising from incidents or activities under their jurisdiction or
control does not spread beyond the areas where they exercise sovereign rights in accordance
with this Convention.”
Article 195: “Duty not to transfer damage or hazards or transform one type of pollution into
another
In taking measures to prevent, reduce and control pollution of the marine environment, States
shall act so as not to transfer, directly or indirectly, damage or hazards from one area to another
or transform one type of pollution into another.”
Article 197: “Cooperation on a global or regional basis
States shall cooperate on a global basis, an as appropriate, on a regional basis, directly or
through competent international organizations, in formulating and elaborating international
rules, standards and recommended practices and procedures consistent with this Convention,
for the protection and preservation of the marine environment, taking into account
characteristic regional features.”
Article 204: “Monitoring of the risks or effects of pollution
1. States shall, consistent with the rights of other States, endeavour, as far as practicable,
directly or through the competent international organizations, to observe, measure, evaluate
and analyse, by recognized scientific methods, the risks or effects of pollution of the marine
environment.
2. In particular, States shall keep under surveillance the effects of any activities which they
permit or in which they engage in order to determine whether these activities are likely to
pollute the marine environment.”
Article 212: “Pollution from and through the atmosphere
1. States shall adopt laws and regulations to prevent, reduce and control pollution of the marine
environment from or through the atmosphere, applicable to the air space under their
sovereignty and to the vessels flying their flag or vessels or aircraft of their registry, taking into
account internationally agreed rules, standards and recommended practices and procedures and
the safety of air navigation.
2. States shall take other measures as may be necessary to prevent, reduce and control such
pollution
3. States, acting especially through competent international organizations or diplomatic
conference, shall endeavour to establish global and regional rules, standards and recommended
practices and procedures to prevent, reduce and control such pollution.”
In addition, various articles deal with the enforcement mechanisms by Flag State (Article 217), Port State
(Article 218) and Coastal State (Article 220).
In short, the UNCLOS recalls:
- The States duties to protect the environment and responsibility not to harm others.
- The measures developed should not transfer the damage or risks.
- The global and regional cooperation are paramount in environmental protection.
- The risks and effects of pollution must be assessed scientifically.
- The air pollution is an established concern.
- Compliance Monitoring and Enforcement systems have to be developed to verify the
compliance of the activities.
UNCLOS demonstrates the importance of protecting the environment and developing proper
enforcement mechanisms which can be materialized through certification and inspection regimes.
5.2 Overview of the IMO structure

In 1948, a UN body in charge of maritime affairs was created. The International Maritime Organization
(IMO) acquired its final name in 1982. The IMO presently consists of an Assembly, a Council, a number of
Committees and a Secretariat.
The structures of the IMO and its secretariat can be simplified as shown in Figure 5.1:

The IMO structure A
ASSEMBLY
COUNCIL
MEPC MSC FAL LEG TC
MARINE ENVIRONMENT MARITIME SAFETY FACILITATION LEGAL TECHNICAL CO-OPERATION

PROTECTION COMMITTEE COMMITTEE COMMITTEE COMMITTEE COMMITTEE
The IMO secretariat

structure SECRETARY-GENERAL
Office of the Secretary-

General
MARITIME SAFETY MARINE ENVIRONMENT LEGAL DIVISION TECHNICAL CONFERENCE ADMINISTRATIVE

DIVISION DIVISION CO- DIVISION DIVISION
OPERATION
DIVISION
Figure 5.1: IMO and its secretariat structures

The aims of the IMO are summarized in the Article 1 of its constitutive Convention:
“(a) To provide machinery for co-operation among Governments in the field of governmental
regulation and practices relating to technical matters of all kinds affecting shipping engaged in
international trade; to encourage and facilitate the general adoption of the highest practicable
standards in matters concerning the maritime safety, efficiency of navigation and prevention
and control of marine pollution from ships; and to deal with administrative and legal matters
related to the purposes set out in this Article;
(b) To encourage the removal of discriminatory action and unnecessary restrictions by
Governments affecting shipping engaged in international trade so as to promote the availability
of shipping services to the commerce of the world without discrimination; assistance and
encouragement given by a Government for the development of its national shipping and for
purposes of security does not in itself constitute discrimination, provided that such assistance
and encouragement is not based on measures designed to restrict the freedom of shipping of all
flags to take part in international trade;
(c) To provide for the consideration by the Organization of matters concerning unfair restrictive
practices by shipping concerns in accordance with Part II;
(d) To provide for the consideration by the Organization of any matters concerning shipping and
the effect of shipping on the marine environment that may be referred to it by any organ or
specialized agency of the United Nations;
(e) To provide for the exchange of information among Governments on matters under
consideration by the Organization.”
For environmental purposes, the IMO have to support the enforcement of highest practical standards as
well as maintain a close link with other UN bodies on such matters. The IMO provides governing tools
and policies but the implementation and enforcement of IMO tools falls in the hand of the member

States and their governments. “The IMO’s role is thus primarily to adopt legislation, while enforcement
lies with the Contracting Governments (the flag States).”(IMO, 2009)
5.3 IMO commitment to environmental protection

Since 1959, the IMO has proactively taken responsibility for the issues related to pollution by shipping.
The Organization supports the development of regulations aiming to prevent pollution to the marine
environment and addresses the introduction of technologies and specifics as defined by the UNCLOS:
 Article 1. “(4) “pollution of the marine environment” means the introduction by man, directly or
indirectly, of substances or energy into the marine environment, including estuary, which results
or is likely to result in such deleterious effects as harm to living resources and marine life,
hazards to human health, hindrance to marine activities, including fishing and other legitimate
uses of the sea, impairment of quality for use of sea water and reduction of amenities;”
 Article 196 “States shall take all measures necessary to prevent, reduce and control pollution of
the marine environment resulting from the use of technologies under their jurisdiction or
control, or the intentional or accidental introduction of species, alien or new, to a particular part
of the marine environment, which may cause significant and harmful changes thereto.”
Maritime Environment Protection Committee (MEPC) is the IMO committee in charge of addressing the
environmental issues for the IMO (see Figure 5.1). This Committee is supported by Sub-Committees
sometimes shared with the Maritime Safety Committee. Also, the MEPC sets up working groups that
deal with various items of its agenda (e.g. ballast water, air pollution, GHG emissions, etc.). The
Committees and its working groups are supported by the IMO Secretariat that deals with all related
administrative aspects.
The MEPC may issue circulars and resolutions as well as draft resolutions to be adopted by the
Assembly. The MEPC meets three times over two years (twice 1st year and once second year). During
the MEPC sessions, various working groups or correspondence groups may be established to address
particular issues. All States represented at the IMO may participate to discuss the issues related to
pollution prevention and control as well as industry representatives and NGOs (Non-Governmental
Organisations). Decisions are normally reached through consensus but if there is a need for voting, only
Parties to relevant Convention (e.g. MARPOL Annex VI, Ballast Water Management) are eligible to cast
their votes.
The IMO’s Marine Environment Division supports the MEPC and deals on a daily basis with relevant
environmental issues but above all supports the working of MEPC and other IMO divisions in related
areas. Today, the IMO regulations cover the whole ship’s pollution risks as presented in Figure 5.2.
Specifically, IMO deals with the following Conventions:
 MARPOL Convention dealing with various types of pollutions (see Section 5.4 for details)
 Anti-Fouling System Convention, entered into force in 2008, prohibits the use of harmful
organotin compounds in anti-fouling paints used on ships and establishes a mechanism to
prevent the potential future use of other harmful substances in anti-fouling systems. Anti-
fouling systems to be prohibited or controlled are listed in the Convention.
 Ballast Water Management Convention entitled “International Convention for the Control and
Management of Ships' Ballast Water and Sediments (BWM)” was adopted in 2004 and awaits at
this point in time (2015) ratification by enough member states. It aims to prevent the spread of
harmful aquatic organisms from one region to another, by establishing standards and
procedures for the management and control of ships' ballast water and sediments.

 Hong Kong Convention entitled “International Convention for the Safe and Environmentally
Sound Recycling of Ships” was adopted in 2009 and awaits at this point in time (2015)
ratification by enough member states. It aims at ensuring that ships, when being recycled after
reaching the end of their operational lives; do not pose any unnecessary risk to human health
and safety or to the environment.
 London Convention entitled the "Convention on the Prevention of Marine Pollution by Dumping
of Wastes and Other Matter 1972", is dealing with dumping into marine environment and has
been in force since 1975. Its objective is to promote the effective control of all sources of marine
pollution and to take all practicable steps to prevent pollution of the sea by dumping of wastes
and other matter.
MARINE POLLUTION
Discharge of various types of
wastes, oil, chemical substances MARPOL Annex
I-Oil / II- Noxious subs. in bulk / III-
Harmful subs. in package / IV- Sewage /
AIR EMISSIONS / GLOBAL V- Garbage / VI- Air
WARMING SUBSTANCES
ODS, SOx, NOx, VOCs, GHG
Anti-fouling Systems Convention

DAMAGE TO ECOSYSTEMS
Harmful paints and coatings, alien
species carried by ballast water &
biofouling Ballast Water Management
Convention
PREVENTION OF DAMAGE AND

INJURIES RELATED TO THE Hong Kong Convention for the
USE OF HAZARDOUS safe and environmentally sound
MATERIAL IN SHIPBUILDING recycling of ships
Figure 5.2: IMO Conventions relating to the prevention of marine pollution relating to ship operations
As stated above, the latest Conventions adopted but not yet entered into force (in 2015 at the time of
writing this Module) are the International Convention for the Control and Management of Ships’ Ballast
Water and Sediments, 2004, and the Hong Kong International Convention for the Safe and
Environmentally Sound Recycling of Ships, 2009.
The 1973 International Convention for the Prevention of Pollution from Ships (MARPOL) integrated the
issue concerning the air pollution by ships in the Convention’s adoption of the 1997 Protocol creating
the MARPOL Annex VI.
The IMO and its member States recognize the importance of the environmental protection which
became over the years a major item of concern for the Organization. During his MEPC 63 speech on 27
February 2012, the IMO Secretary General Sekimizu stated:
“*…+ I see the promotion of sustainable shipping and sustainable maritime development as one
of the major priorities of my tenure. *…+Rio+20 is an opportunity to launch a vision for

sustainable maritime development that will underpin future maritime developments within a
green economy in which IMO should play a major and significant role.”
In addition, the IMO shows a strong willingness to address the issue of the climate change by promoting
innovative regulations in the framework of the UN discussion on GHG emissions. This disposition has
been demonstrated through the adoption of various instruments during MEPC 62 in 2011 and the
intensive discussions on developing further technical and operational measures such as data collection
system for ships as part of wider MRV (Monitoring, Reporting and Verification) debate.
“IMO will continue to make its contribution to global efforts to reduce greenhouse gas emissions
within the context of the ongoing UN-wide debate on climate change. We will continue to co-
operate closely with the United Nations Framework Convention on Climate Change and with
other relevant UN bodies, as appropriate. Also in this context, IMO will evaluate the
implications for shipping of any mechanism to be established for the envisaged Green Climate
Fund and impress upon the UNFCCC that any contributions must be proportionate to shipping’s
contribution to the global emission of greenhouse gases.
While participating in the Climate Change debate at the UN, IMO will proceed in parallel with its
own programme of work. In this respect, it is encouraging that last December’s Durban
Conference on climate change welcomed the progress made by IMO. “(IMO SG Mr. Sekimizu
speech, 27 February 2012)
5.4 MARPOL Convention

The International Convention for the Prevention of Pollution from Ships (MARPOL) is the main
international convention covering prevention of pollution of the marine environment by ships. It was
adopted on 2 November 1973 at IMO and subsequently amended by its Protocol in 1978. The combined
instrument entered into force on 2 October 1983. The Convention includes regulations aimed at
preventing and minimizing pollution from ships, both accidental pollution and that from routine
operations, and includes six technical Annexes:
Annex I - Regulations for the Prevention of Pollution by Oil (entered into force 2 October 1983): Covers
prevention of pollution by oil from operational measures as well as from accidental discharges. The 1992
amendments to Annex I made it mandatory for new oil tankers to have double hulls and brought in a
phase-in schedule for existing tankers to fit double hulls.
Annex II - Regulations for the Control of Pollution by Noxious Liquid Substances in Bulk (entered into
force 2 October 1983): Details the discharge criteria and measures for the control of pollution by noxious
liquid substances carried in bulk; some 250 substances were evaluated and included in the list appended
to the Convention; the discharge of their residues is allowed only to reception facilities until certain
concentrations and conditions.
Annex III - Prevention of Pollution by Harmful Substances Carried by Sea in Packaged Form (entered
into force 1 July 1992): Contains general requirements for the issuing of detailed standards on packing,
marking, labelling, documentation, stowage, quantity limitations, exceptions and notifications. For the
purpose of this Annex, the “harmful substances” are fully defined.
Annex IV - Prevention of Pollution by Sewage from Ships (entered into force 27 September 2003):
Contains requirements to control pollution of the sea by sewage; the prohibition of discharge of sewage
into the sea, approved sewage treatment plant, etc. with lots of details on the subject.
Annex V - Prevention of Pollution by Garbage from Ships (entered into force 31 December 1988): Deals
with different types of garbage and specifies the distances from land and the manner in which they may

be disposed of; the most important feature of the Annex is the complete ban imposed on the disposal
into the sea of all forms of plastics.
Annex VI - Prevention of Air Pollution from Ships (entered into force 19 May 2005): Sets limits on
sulphur oxide (SOx) and nitrogen oxide (NOx) emissions from ship exhausts and prohibits deliberate
emissions of ozone depleting substances; sets designated Emission Control Areas with more stringent
standards for SOx and NOx. A new chapter adopted in 2011 covers mandatory technical and operational
energy efficiency measures aimed at reducing GHG emissions from ships.
A State to become a Party to MARPOL must ratify MARPOL Annexes I and II. The rest of Annexes are
voluntary as far as membership to MARPOL Convention is concerned.
5.5 MARPOL Annex VI

MARPOL Annex VI is the latest added part to MARPOL Convention in 1997 that entered into force in
2005. Major modifications / amendments to MARPOL Annex VI occurred in 2008 on NOx Technical Code
and 2011 with the insertion of a new Chapter 4 which deals with energy efficiency regulations for ships
(effectively dealing with GHG emissions).
Therefore, today, the Annex VI encompasses air pollutants and GHG emissions combined. The
regulations include also elements like bunker fuels, incinerators, reception facilities, Emission Control
Areas, Ozone Depleting Substances, etc. The scope of MARPOL Annex VI is depicted in Figure 5.3.
Regulated by MARPOL ANNEX VI
Equipment related emissions (ODS

- refrigerants & fire extinguishing Engine related
systems, incinerators) emissions (NOx,
SOx, GHG) &
Cargo related emissions
incineration
(VOCs on tankers)
Fuel quality and
availability
Figure 5.3: Ship's air emissions regulated by MARPOL Annex VI

MARPOL Annex VI currently comprises of a number of chapters that are briefly described below with
their encompassing regulations.
Chapter 1 – General: Introduces some of the basics of the Convention as well as certain useful
definitions. Under this chapter, the following regulations are fully specified:
 Regulation 1 – Applications: This specifies the application domain of MARPOL Annex VI.
 Regulation 2 – Definitions: This provides definitions for terms that have regulatory significance.
 Regulation 3 - Exceptions and exemptions: This regulation describes the conditions under which
a ship or a marine platform could be exempted from complying with MARPOL Annex VI.
 Regulation 4 – Equivalents: This allows the use of alternative method of compliance and the
conditions under which they will be acceptable.
Chapter 2 – Survey, certification and means of control: describe the survey requirements, certification
system and control principles including port State control issues and violation detection and
enforcement. Under this chapter, the following regulations are fully specified:
 Regulation 5 - Surveys: This regulation describes the survey and inspection requirements.
 Regulation 6 - Issue of endorsement of certificate: The rules for issuance of certificates, forms of
certificates, etc. are specified under this regulation.
 Regulation 7 - Issue of a certificate by another party: This regulation allows another Party to
issue a certificate on behalf of a Party.
 Regulation 8 - Form of certificates: The forms of various certificates are specified here.
 Regulation 9 - Duration and validity of certificates: The duration and validity certificates are
discussed under this regulation.
 Regulation 10 - Port State control and operational requirements : The port State control aspects
and relevant rules are explained in this regulation.
 Regulation 11 - Detection of violation and enforcement : Specific aspects under which a ship
could be detained are described under this regulation.
Chapter 3 – Requirements for control of emissions from ships: this chapter details the measures to
address various air pollutants and important related issues as bunker management and incinerator.
Under this chapter, the following regulations are fully specified:
 Regulation 12 –Ozone-depleting substances (ODSs): This regulation prohibits deliberate release
of ODSs and sets timeline for phasing out of certain ODSs.
 Regulation 13 – Nitrogen oxides (NOx): This part of the Annex regulates the NOx emissions by
ship for engines installed on ships constructed after 2000. Three tiers describe the NOx limits to
be achieved after 2000, 2011 and 2016. In addition to the International Air Pollution Prevention
(IAPP) Certificate, the ship must comply with the NOx Technical Code 2008, have an Engine
International Air Pollution Prevention (EIAPP) Certificate and possesses NOx Technical File and a
record book of engine parameters.
 Regulation 14 – Sulphur oxides (SOx): This regulation sets maximum sulphur contents for fuels
used on ships (3.50% after January 2012) and the concept of SOx emission control area (SECA)
with the current designated SECAs as well as relevant sulphur limits.
 Regulation 15 – Volatile Organic Compounds (VOCs): The regulation emphasizes on the need to
reduce VOC releases occur during loading in oil ports and terminals. All oil tankers visiting such
regulated ports/terminals (ports/terminals that are designated as VOCs control ports/terminals
based on this regulations) must be equipped with collection systems and after 2010 a VOC
management plan must be implemented.
 Regulation 16 – Shipboard incineration: Incinerators have to be approved and meet the IMO
standards. Various substances are prohibited to incinerate.
 Regulation 18 – Fuel oil availability and quality: The regulation covers the availability, the quality,
the supervision of suppliers, the PSC aspects, fuel sampling and sample retentions, the bunker
delivery note, etc.

The NOx Technical Code and some other IMO Resolutions support the implementation of this part of
MARPOL Annex VI.
Chapter 4 – Regulation on energy efficiency for ships: This chapter 4 was developed to regulate energy
efficiency of ships. It came into force in January 2013. Under this chapter, the following regulations are
specified:
 Regulations 19 – Application: This regulation specifies the application domain and scope of the
Chapter 4 regulations.
 Regulations 20 – Attained Energy Efficiency Design Index (Attained EEDI): This regulation
specifies the requirements on Attained EEDI including the calculation processes and survey and
verification aspects.
 Regulations 21 – Required EEDI: This regulation deals with the Required EEDI, its calculation
using reference lines and reduction factors and its calculation processes. Regulation 21.5 also
makes provisions that the EEDI must not impair the safe maneuverability of the ships.
 Regulation 22 - Ship Energy Efficiency Management Plan (SEEMP): This regulation specifies the
requirement for ships to have a SEEMP on board and how the SEEMP should be developed.
 Regulation 23 - Promotion of technical co-operation and transfer of technology relating to the
improvement of energy efficiency of ships: This regulation emphasizes the importance to
enhance technical cooperation and transfer of technology to support energy efficiency
improvements on the world fleet, in particular for the benefit of developing countries.
A full description of Chapter 4 and supporting guidelines and processes are given in Module 2.

6 IMO Response to control of GHG emissions from international shipping
6.1 Shipping GHG emissions context and IMO role

Growth of shipping transport
Around 90% of world trade is carried by the international shipping industry. Without shipping the import
and export of goods for a modern and globalised world will not be possible. International shipping trade
continues to expand, bringing benefits for producers and consumers across the world through
competitive freight costs. There are over 50,000 merchant ships trading internationally, transporting
every kind of cargo.
Shipping, world trade and the economy are very well intertwined and linked as clearly shown in Figure
6.1.
“Given that for shipping, all stands and falls with worldwide macroeconomic conditions, the
developments in world seaborne trade mirrored the performance of the wider global
economy.”(UNCTAD, 2011)
Figure 6.1: UNCTAD, Review of the Maritime Transport 2013

While shipping, in comparison to other transport modes, is the most efficient mode of cargo transport
and was considered environmentally-friendly, the significant growth of seaborne trade and its
externalities and societal costs have modified this perception. The growth of transportation by ships
increased the energy consumed by shipping and, in spite of the improvement in the energy efficiency of
ship engines, the global shipping emissions amplified quantitatively. This number and volume growth
not only have implications for oceans as sea routes but also affects air quality in port areas and coastal
zones.

Finally, it should be noted that oceans cover 70% of our planet; and nearly 50% of the world’s population
live in coastal areas. Therefore protection of the marine environment not only has implications for each
country but also significant global benefits. This is especially true for environmental issues (in particular
the GHG emissions) which is truly global in nature; and any benefits accrued at national level will fully
contribute to the global benefits.
Responsibility under UN Framework Convention for Climate Change

As indicated before under UNFCCC and Kyoto Protocol (see Sections 4.5 and 4.6), the responsibility for
dealing with GHG emissions from international shipping and aviation are given to the IMO and the ICAO
respectively (see Figure 6.2).
Based on Article 2 of Kyoto Protocol:
“The Parties included in Annex I shall pursue limitation or reduction of emissions of greenhouse
gases not controlled by the Montreal Protocol from aviation and marine bunker fuels, working
through the International Civil Aviation Organization and the International Maritime
Organization, respectively”
Figure 6.2: IMO responsibility within the international framework for control of GHG emissions [Reynolds
and Bazari, 2005]
As such and after the adoption of Kyoto Protocol, shipping could not stay away from the international
efforts on GHG reduction. Work by IMO started in 1997, lead to a number of regulations and work still
continues on further regulatory measures. The full chronological story of IMO activities is given in
Section 6.5. Before that, IMO relevant studies will be introduced first. During the period 1997 till now,
IMO conducted three major studies on GHG emissions from international shipping as explained in the
following sections.

6.2 First IMO GHG Study 2000
As an outcome of the 1997 MARPOL Conference, the decision to study CO2 emission from ship led to the
launching of a complete study on the topic. Released in 2000, the first study constituted the initial step
of deliberations about the development of new rules to address the GHG controls in shipping. This study,
using data from 1996, estimated that ships emitted about 420 million tonnes of CO 2 per year and
thereby contributed about 1.8% of the world's total anthropogenic CO2 emissions that year.
The Study also stated that technical and operational measures have a limited potential for contributing
to reduced emissions from ships if the increase in demand for shipping services and market requirement
for increased speed and availability continued.
The main outputs of the study were:
 Shipping is considered an efficient means of transportation compared to others.
 It is difficult to assess with accuracy the overall impact of shipping - because of discrepancy in
data concerning bunker figures and the uncertainties in the fuel consumption models.
 The impact of air emission should include NOx, SOx and GHG emissions.
 Significant reduction of GHG emission can be achieved through operational and technical
measures. However, the increase in demand for shipping services may impede operational and
technical savings.
 Environmental indexing, market-based mechanisms and design standards may be appropriate
measures to implement in the future.
Despite its relevance, no immediate regulation followed after the presentation of this study. The
lengthy discussion on the IMO involvement and approach to the climate change necessitated an
updated study.
6.3 Second IMO GHG Study 2009

The second IMO GHG study was commissioned in 2007 and delivered in 2009. This study updated the
GHG emissions figures/inventory for shipping and estimated the potential for reduction of emission
according to the implementation of different technologies and operational energy efficiency measures.
In addition, cost effectiveness and policy evaluation options were considered. This second study initiated
a proposed framework to support the regulatory decision making process.
Presented during the Copenhagen UNFCCC’s COP discussions on climate change in December 2009, the
Second IMO GHG Study 2009 forms the scientific background for the present IMO policy and regulatory
frameworks that was developed soon thereafter. The intention of the document was to provide a solid
research-based data and information to the shipping community in order to help them for regulatory
decision making. Mr. Mitropoulos, the then Secretary General of the IMO recalled in a foreword to the
document its objectives:
“I trust that this Second IMO GHG Study will become the paramount reference for the
Organization’s Marine Environment Protection Committee in making well-informed and
balanced decisions towards the development and adoption of a robust regime to regulate
shipping emissions at the global level.” (IMO, 2009)
This study is documented under nine chapters as follows:
1. Executive Summary
2. Introduction to shipping and its legislative framework
3. Emissions from shipping 1990–2007

4. Reductions in emissions achieved by implementation of MARPOL Annex VI
5. Technological and operational potential for reduction of emissions
6. Policy options for reductions of GHG and other relevant substances
7. Scenarios for future emissions from international shipping
8. Climate impact
9. Comparison of emissions of CO2 from ships with emissions from other modes of transport
A large number of Appendices are also included in the report. Below, some of the chapters more
relevant to topic of this training course are further elaborated.
Chapter 3: Emissions from shipping 1990-2007
Before making the inventory of the GHG emission by shipping, the chapter begins with few introductory
comments on the scope and uncertainties. Accordingly, the scope of the emission included in the
inventory is taken the same as those in the UNFCCC guidance.
“In line with the above-mentioned guidelines for creating an inventory of emissions, the
following pollutants were considered for exhausts: NOx, SO2, PM10, CO, CO2, N2O, CH4 and
NMVOC.”(IMO, 2009)
The limitations on estimation of the emissions levels are then deliberated and the following
considerations are made:
 Exhaust gases uncertainties are the same as those of the previous study and are estimated to be
around +/- 20%.
 Emission of ODS are detailed by sources: Refrigerants, reefer ships & reefer containers;
calculation limits are presented.
 Limits and uncertainties in estimating the release of Methane (CH4) and Non-Methane Volatile
Organic Compound (NMVOC) are presented.
 Sulphur hexafluoride (SF6) and Fluorocarbon (PFCs) on board ships are not emitted to any
sufficient degree to be considered as significant issues.
Despite all these limitations, the emissions levels from international shipping were established. As Table
6.1 indicates, amongst various types of the GHG emissions, the GHG emissions from shipping are
overwhelmingly dominated by CO2. Thus, CO2 is established as the main GHG concern for shipping that
should be the subject of future regulations. All other GHG emissions by international shipping are
considered as negligible.
Table 6.1: Summary of GHG emissions from shipping in 2007 [Second IMO GHG Study 2009]
In addition, the data presented highlight that the emissions of GHG nearly doubled during the period
concerned by the study (1990-2007), see Table 6.2:
NOx SOx PM CO NMVOC CO2 CH4 N2O
Increase from 1990 to 78.6% 89.9% 80.0% 92.3% 100.0% 86.8% 100.0% 200.0%
2007
Table 6.2: Increase of exhaust emissions from total shipping 1990-2007 [Second IMO GHG Study 2009]
Chapter 4: Reduction in emissions achieved by implementation of MARPOL Annex VI

This chapter assesses the effectiveness of the existing regulations that existed at the time of study, to
reduce emissions. The increase of seaborne trade induces an increase in absolute volumes of emission.
Therefore, the calculations consider the emission reduction according to two scenarios: no-regulation
hypothesis and MARPOL Annex VI regulation.
Impact of Regulation 12 – Ozone-depleting substances. The MARPOL Annex VI plus the Montreal
Protocol demonstrate a serious efficiency in emission reduction (see Table 6.3).
Table 6.3: Reduction in estimated annual emissions (tonnes) of refrigerants from ships [Second IMO GHG
Study 2009]
Impact of Regulation 13 – Nitrogen Oxides (NOx): To address this element, typical emission levels before
and after 2000 had to be assessed because NOx emission depends on engine type, conditions and
settings but also on fuel quality. These numerous factors made the evaluation complicated. However, it
was estimated then that the reduction achieved with the new regulation is about 7%.
Impact of Regulation 14 – Oxides of Sulphur (SOx): The SOx emitted is directly correlated with the
sulphur content of the fuel burned. Therefore, the reduction of sulphur content from 4.5% to 3.5% is
estimated to have a small impact on Sox emissions because even before the enforcement of this control
limit, the fuel oil used by ships rarely contained more than 3.5% sulphur. So, in order to demonstrate the
impact of stringent regulation on such emissions, the SOx Emission Control Area were analyzed and
compared to the total. As Table 6.4 indicates, most of the reductions are due to ECA-SOx (or SECA).
Table 6.4: Estimated emissions (million tonnes) of SO2 (2008) [Second IMO GHG Study 2009]

Impact of Regulation 15 – Volatile Organic Compounds (VOCS): The study concludes that the regulation
addressing the issue seemed to have been properly implemented on tankers but not on shore terminals.
Overall, the analysis of NOx, SOx & VOCs demonstrated the effectiveness of the regulations to reduce
the rate of emission of these pollutants.
Chapter 5: Technological and operational potential for reduction of emissions

This chapter proposes a number of technological and operational techniques for reduction of shipping
CO2 emissions. This analysis supported the development of a comprehensive emission reduction policy
that later on led to the shipping energy efficiency regulations.
Four solutions for reduction of GHG emissions from international shipping were investigated:
 Improving shipping operational energy efficiency.
 Using renewable energy sources as alternative technologies/energy.
 Using fuels with less total fuel-cycle emission per unit of work done.
 Using emission reduction and abatement technologies.
The first item above, improving energy efficiency of shipping, remains the main and easiest target to
reduce GHG emissions. Table 6.5 highlights the main measures for improving the energy efficiency in
shipping and their probable impact on CO2 emission reduction based on this study.
Table 6.5: Assessment of potential reductions of CO2 emissions from shipping by using known
technology [Second IMO GHG Study 2009]
Two other ideas emerged from this part of report are the potential for use of renewal energy on board
as alternative power source; and LNG as alternative fuel; both of which in addition to CO2 reduction are
serious alternatives to achieve significant reduction NOx, PM and SOx and compliance to relevant
requirements.
Chapter 9: Comparison of emissions of CO2 from ships with emissions from other modes of transport

This part of the study investigates the energy efficiency in terms of CO2 emission efficiency of various
transportation means. The unit used to calculate and compare the modes of transport is CO2 emitted per
tonne*kilometers cargo carried as indicated in Figure 6.3; this is directly related to fuel consumption.
Figure 6.3: CO2 emission efficiency calculation [Second IMO GHG Study 2009]
Despite large variations and uncertainties in the emission assessments, ranges of efficiencies are
determined for sea, air, road and rail (Figure 6.4).
Figure 6.4: Typical range of ship CO2 efficiencies compared to rail, road and air freight [Second IMO GHG
Study 2009]
The benchmarking of sectors highlights the significantly higher energy efficiency of sea transport modes.
The historic trend toward efficiency is established and shows that the growing size enhances their
efficiency. In addition, the share of shipping emissions is presented in relation with the total emissions
(Figure 6.5).

Figure 6.5: Emissions of CO2 from shipping compared with global emissions [Second IMO GHG Study 2009]
Policy options for international shipping

The Second IMO GHG Study 2009 discuss policy options that include technical, operational and market
oriented approaches (see Figure 6.6). Among the several policies detailed in the Second IMO GHG study
2009, three groups of policies are intensively discussed at the IMO. The technical and operational
approaches focus on ships and ship management while the economical approach seeks to achieve a
global reduction of GHG by promoting incentives and penalties.
Policy approaches
Technical Operational Economical
Market-based
Command and control policy focus
instrument focus on
on Ships and management
Global objective
Figure 6.6: IMO policy approaches of the GHG emission reduction

Subsequently, the policy options on technical and operational measures were progressed and led to
relevant regulations. The debate on Marked-Based Measures (MBMs) for the international shipping
proved to be a particularly sensitive issue amongst IMO member States due to a number of reasons and

the sheer complexity of the proposed schemes. As such, this policy option is still on hold within the IMO
GHG control regulatory framework.
Main conclusions of report
The main conclusions reached by the Second IMO GHG Study 2009 include the following2:
 Shipping was estimated to have emitted 1046 million tonnes of CO 2 in 2007, which
corresponded to 3.3% of the global emissions during 2007. International shipping was estimated
to have emitted 870 million tonnes, or about 2.7% of the global emissions of CO2 in 2007.
 Exhaust gases were the primary source of air emissions and carbon dioxide was the most
important GHG emitted by ships. Both in terms of quantity and of global warming potential,
other GHG emissions from ships were less important.
 A significant potential for reduction of GHG emissions through technical and operational
measures had been identified. Together, if implemented, these measures could increase
efficiency and reduce the emissions rate by 25% to 75% below the current levels. Many of these
measures appeared to be cost-effective, although non-financial barriers may discourage their
implementation.
 A number of policies to reduce GHG emissions from ships were conceivable. The report
analysed options and concluded that a mandatory limit on the Energy Efficiency Design Index
for new ships was a cost-effective solution that could provide an incentive to improve the
design efficiency of new ships. However, its environmental effect was limited because it only
applied to new ships and because it only incentivized design improvements and not
improvements in operations.
 Shipping had been shown, in general, to be an energy-efficient means of transportation
compared to other modes.
If the climate was to be stabilized at no more than 2°C warming over pre industrial levels by 2100 and
emissions from shipping continue as projected in the scenarios that were given in the report (growth of
ship emissions by 200 to 300% by 2050 relative to 2007), then shipping would constitute between 12%
and 18% of the global total CO2 emissions in 2050. This would then require significant effort by shipping
between 2050 and 2100 to achieve the stabilization targets
6.4 Third IMO GHG Study 2014

Purpose of the study
MEPC 63 noted that uncertainty exists in the estimates and projections of emissions from international
shipping and agreed that further work should take place to provide the Committee with reliable and up-
to-date information to base its decisions. The Third IMO GHG Study 2014 was therefore commissioned
by the IMO in order to update the Second IMO GHG Study 2009, with the main objective of focussing on
the following topics:
 Development of the inventories of CO2 emissions from international shipping for 2007–2012
 Development of the inventories of other air emissions from international shipping for 2007–
2012
 Development of future shipping scenarios and projection of shipping emissions for 2012–2050
2
http://www.imo.org/en/OurWork/Environment/PollutionPrevention/AirPollution/Pages/Greenhouse-Gas-Study-2009.aspx

The study was performed in 2013-2014 by an international consortium with a foresight role by a
Steering Committee. The report of the study was approved by MEPC 67 in October 2014.
Methodology
Both bottom-up and top-down methods were used, but consortium concluded that the bottom-up
approach provides best-estimate. The bottom-up method used in this study, is similar to the Second
IMO GHG Study 2009, however, in this study instead of using ship type, size and annual average activity
for analysis purposes, the calculations of shipping’s activity, fuel consumption and air emissions (GHG
and pollutants) are performed for each in-service ship using detailed satellite information. The satellite
data on an hourly basis for the full period of 2007-2012 were used for estimation of emissions. The
hourly estimates are then aggregated to find the totals of emissions and fuel consumption, first per each
fleet or ship type and then for international shipping and total shipping (international, domestic and
fishing vessels combined) separately. Figure 6.7 shows an overview of satellite routes that represent the
data used for this study.
Figure 6.7: Geographical coverage using AIS data and shipping satellite data [Third IMO GHG Study 2014]
New CO2 estimates (inventory)
Using the methodology, the international shipping CO2 emissions estimates for 2007-2012 was
established. The consensus CO2 emissions estimate in tonnes and as a % share of global CO2 emissions is
shown in Table 6.6.

Table 6.6: Estimated emissions of CO2 (million tonnes) from total shipping and international shipping
[Third IMO GHG Study 2014]
The estimates in Table 6.6 indicate an overall reduction in CO2 emissions from international shipping in
both absolute terms and as a percentage of global CO2 emissions for period 2007 to 2012.
For the year 2012, total shipping emissions were approximately 938 million tonnes CO2 and 961 million
tonnes CO2e (CO2 equivalent) for GHGs combining CO2, CH4 and N2O. International shipping emissions
for 2012 are estimated to be 796 million tonnes CO2 and 816 million tonnes CO2e for total GHGs
emissions combining CO2, CH4 and N2O. Accordingly, international shipping accounts for approximately
2.2% and 2.1% of global CO2 and GHG emissions on a CO2 equivalent (CO2e) basis respectively.
Figure 6.8 shows the breakdown of CO2 emissions per ship type.
Figure 6.8: CO2 emissions from international shipping by ship type for 2012 [Third IMO GHG Study 2014]
This Figure indicates that container ships, bulk carriers and oil tankers dominate the international
shipping CO2 emissions.
Trend and overall emissions inventories
Figure 6.10 shows the summary estimates of the air emissions inventories under this study.

Figure 6.9: Emissions estimates for all shipping for period 2007 to 2012. Green bar represents the
Second IMO GHG Study 2009 estimate [Third IMO GHG Study 2014]
From Figure 6.10, the following conclusions may be made:
NOx and SOx: This study estimates multi-year (2007–2012) average annual totals of 20.9 million and
11.3 million tonnes for NOx and SOx respectively from all shipping. Annually, international shipping is
estimated to produce approximately 18.6 million and 10.6 million tonnes of NOx and SOx respectively.
Global NOx and SOx emissions from all shipping represent about 15% and 13% of global NOx and SOx
from anthropogenic sources reported in the IPCC Fifth Assessment Report (AR5), respectively.
International shipping NOx and SOx represent approximately 13% and 12% of global NOx and SOx totals,
respectively.
Fuel consumption: Over the period 2007–2012, average annual fuel consumption ranged between
approximately 247 million and 325 million tonnes of fuel consumed by all ships within this study,
reflecting top-down and bottom-up methods, respectively. Of that total, international shipping fuel
consumption ranged between approximately 201 million and 272 million tonnes per year, depending on
whether consumption was defined as fuel allocated to international voyages (top-down) or fuel used by

ships engaged in international shipping (bottom-up), respectively. The total fuel consumption of shipping
is dominated by three ship types: oil tankers, containerships and bulk carriers.
Figure 6.11 shows the breakdown of shipping fuel consumption per combustion system. As expected
most of fuel consumption occurs in main engines followed by auxiliary engines. Consistently for all ship
types, the main engines (propulsion) are the dominant fuel consumers while boilers use relatively
smaller amount of fuel compared to auxiliary engines.
Figure 6.10: Annual shipping fuel consumption per ship type and combustion system [Third IMO GHG Study
2014]
CO2 emissions: CO2 emissions from shipping are estimated to range between approximately 739 million
and 795 million tonnes per year in top-down results, and to range between approximately 915 million
and 1135 million tonnes per year in bottom-up results. International shipping CO2 estimates range
between approximately 596 million and 649 million tonnes calculated from top-down fuel statistics, and
between approximately 771 million and 921 million tonnes according to bottom-up results.
CO2 emissions projections for international shipping
As part of the study, scenario modelling was used to estimate the projected levels of the international
shipping CO2 emissions. A very large number of scenarios (altogether 16) were modelled that included
the following options:
 Low and high LNG uptake as marine fuel
 Constant ECAs and more future ECAs
 High transport efficiency and low transport efficiency
 Various RCPs (Representative Concentration Pathways) for future shipping demand based on
demand for commodities
 Various SSPs (Shared Socioeconomic Pathways) denoting economic activities and future
economic growth

Figure 6.9 shows the CO2 emissions projections for international shipping. The thick lines show the case
for closely related scenarios.
Figure 6.11: CO2 emissions projections for international shipping [Third IMO GHG Study 2014]
Accordingly and depending on future scenarios, international shipping CO2 emissions are projected to
increase by 50% to 250% in the period to 2050, despite fleet average efficiency improvements of about
40% (in some scenarios, an efficiency improvement of 60% have been assumed). This study shows that
under almost all the perceived scenarios, the CO2 emissions will not decline in 2050 relative to 2012.
Thus, further action on efficiency and emissions will be needed to stabilize GHG emissions from
international shipping or bring it below 2012 levels in 2050.
Emissions projections demonstrate that improvements in efficiency are important in mitigating the
emissions and reduce their rise. The scenarios also show that compared to regulatory or market-driven
improvements in efficiency, changes in the fuel mix have a limited impact on GHG emissions, assuming
that fossil fuels remain dominant.
6.5 History of IMO GHG-related activities

With a view to addressing the issue of air emissions from international shipping, IMO in its 1997
MARPOL Conference adopted MARPOL Annex VI on prevention of air pollution from ships and also
adopted Resolution 8 on "CO2 emissions from ships" as a starting point inviting:
 the IMO Secretary-General to co-operate with the Executive Secretary of UNFCCC in the
exchange of information on the issue of GHG emissions;
 IMO to undertake a study of GHG emissions from ships for the purpose of establishing the
amount and relative percentage of GHG emissions from ships as part of the global inventory of
GHG emissions; and
 the Marine Environment Protection Committee (MEPC) of IMO to consider feasible GHG
emissions reduction strategies.

This was the starting point for IMO debates and decisions on GHG emissions from international shipping
that still continues. Figure 6.12 provides the important chronoligical order of the IMO activities so far
since 1997.
Figure 6.12: IMO GHG control related activities in chronoligal order

Further details of the IMO activities are given below in chronological order.
1997-2003
As a follow-up to Resolution 8, the First IMO GHG Study 2000 was completed and presented to the forty-
fifth session of the MEPC (MEPC 45) in June 2000 (see Section 6.2 for details of this study).
2003-2008
In an effort to further address the issue of GHG emissions from ships, the IMO Assembly adopted, in
December 2003, Resolution A.963(23) on "IMO Policies and Practices related to the Reduction of
Greenhouse Gas Emissions from Ships." As follow-up to this resolution, MEPC 55 (October 2006)
approved the MEPC’s "Work plan to identify and develop the mechanisms needed to achieve the
limitation or reduction of CO2 emissions from international shipping," inviting Member Governments to
participate actively in the work plan.
MEPC 55 also agreed to update the “First IMO GHG Study 2000” to provide a better foundation for
future decisions and to assist in the follow-up to resolution A.963(23). MEPC 56 (July 2007) adopted the
terms of reference for the updating of the study. The report of this study prepared by a consortium and
was submitted to MEPC in 2009 under the title “Second IMO GHG Study 2009” (See Section 6.3 for full
details of this study).
MEPC 59 ( July 2009)
The MEPC work plan culminated at MEPC 59 with the MEPC agreeing to a package of technical and
operational measures to reduce GHG emissions from international shipping and also agreed on a plan
for further consideration and development of suitable and efficient Market Based Measures (MBMs) to
complement the technical and operational reduction measures and to provide economic incentives for
the shipping industry. The MEPC further agreed that any regulatory scheme to control GHG emissions
from international shipping should be developed and enacted by IMO as the most competent
international body
IMO's GHG / energy efficiency work plan at the time contained three distinct components:
 The technical measures that will mainly be applied to new ships. This was reflected in the
development of EEDI related regulations.
 The operational measures for all ships in operation (new and existing). This was reflected in the
development of SEEMP and EEOI.
 The MBMs providing market / competition incentives to the shipping industry by setting a sort of
cost item for CO2 emitters and incentives for those who reduce their CO2 emissions.
Technical and operational measures: MEPC 59 finalized a package of technical and operational measures
in the form of Guidelines for EEDI, SEEMP and EEOI. Relevant Guidelines developed and approved (in the
form of Circulars) for the then voluntary application.
Market Based Measures (MBMs): The agreed package of the above technical and operational measures
is a very important step in ensuring that the shipping industry has the necessary mechanisms to reduce
its GHG emissions. However, the MEPC recognized that these measures would not be sufficient to
satisfactorily reduce the amount of GHG emissions from international shipping in view of the growth
projections of world trade. Therefore, MBMs was considered as a market-driven option by the MEPC in
line with its GHG work plan. At the time, it was understood that a good MBM would serve two main
purposes: (1) Offsetting in other sectors of growing ship emissions and (2) Providing a fiscal incentive for
the maritime industry to invest in more fuel efficient ships and technologies and to operate ships in a
more energy efficient manner.
MEPC 60 (2010)
The main work accomplished during this session was the preparation of the “draft regulatory text” on
mandatory requirements for the EEDI for new vessels and on the SEEMP for all ships in operation. The
MEPC realised that to finalise the regulatory text, it is required to decide on issues concerning ship size,
ship types, target dates and reduction rate in relation to the EEDI requirements.
The MEPC agreed in principle on the basic concept that a vessel's Attained EEDI shall be equal or less
than the Required EEDI, and that the Required EEDI shall be drawn up based on EEDI reference lines and
reduction rates. This became the subject of additional work and use of concrete methods for calculating
the EEDI reference line using data from existing ships in the IHS Fairplay database.
With regard to MBM, the MEPC agreed to establish an Expert Group on the subject to undertake a
feasibility study and impact assessment of the various proposals submitted for a MBM instrument for
international maritime transport.
MEPC 61 (2010)
Technical and operational measure: Having considered means by which technical and operational
measures could be introduced in MARPOL Annex VI, there was further debates and agreement on how
these regulatory texts should be introduced. The debate concentrated for the IMO Secretary-General to
circulate proposed amendments to MARPOL Annex VI for mandatory application of EEDI and SEEMP
regulatory text and relevant Guidelines that have already been disseminated for voluntary use. The issue
of criculation by the Secretary General was the subject of much debate as some States did not consider
it appropriate.

Market-Based Measures: The scope of the work of the Expert Group was to evaluate the various
proposals on possible MBMs, with the aim of assessing the extent to which they could assist in reducing
GHG emissions from international shipping, giving priority to the maritime sectors of developing
countries, least developed countries (LDCs) and Small Island Developing States (SIDS). The MBM
proposals under review ranged from a GHG Fund or levy on all CO2 emissions from international shipping
or only from those ships not meeting the EEDI requirement, via emission trading systems, to schemes
based on a ship's actual efficiency, both by design (EEDI) and operation (SEEMP).
The MEPC agreed Terms of Reference for an intersessional meeting of the “Working Group on GHG
Emissions from Ships” to deal with relevant schemes and submissions and report back to MEPC 62.
MEPC 62 (July 2011)
The final breakthrough came at MEPC 62. As a result of lengthy deliberations, the amendments to
MARPOL Annex VI in the form of “energy efficiency regulations for ships” was added as a new Chapter 4
to MARPOL Annex VI as a result of which EEDI and SEEMP became mandatory for applicable ships. Other
amendments to Annex VI included addition of new definitions and the requirements for survey and
certification, including the format for the International Energy Efficiency Certificate.
MEPC 63 (2012)
An important series of guidelines to support the uniform implementation of mandatory measures for
ship energy efficiency (EEDI and SEEMP) was adopted by the MEPC in this session. During this session,
the MEPC also continued its intensive discussion on MBMs for application to international shipping.
MEPC 64 (2013)
The MEPC continued to refine relevant Guidelines on calculation and verification of EEDI. MEPC
additionally approved the following:
 A number of UIs (Unified Interpretations) on definition of "new ships" for various EEDI phases, on
timing of ships to have a SEEMP on-board and also on "major conversion" for energy efficiency
purposes.
 Decided on development of interim guidelines for determining minimum propulsion power to
maintain the manoeuvrability of ships in adverse conditions and draft Guidelines on treatment of
innovative energy-efficiency technologies.
 A debate on Regulation 23 of chapter 4 of MARPOL Annex VI on “promotion of technical co-
operation and transfer of technology” that led to a text of a draft resolution3 on issues relating to
technology transfer for the improvement of energy efficiency of ships.
 In principle endorsed and outline for an update of the previous GHG Studies including GHG
inventory. Finally, it decided to defer debates on MBMs to MEPC 65.
MEPC 65 (2013)
During this MEPC meeting, the following were accomplished:
 Resolution on MEPC.229(65) on Promotion of Technical Co-operation and Transfer of Technology
Relating to the Improvement of Energy Efficiency of Ships was adopted.
 Study to update the previous GHG Study approved: The MEPC approved the terms of reference and
agreed to initiate a study for an update of previous IMO GHG Studies.
3
Resolution MEPC.229(65) on Promotion of Technical Co-operation and Transfer of Technology Relating to the
Improvement of Energy Efficiency of Ships
 Development of energy-efficiency regulations continued: The MEPC continued its work on further
developing the EEDI and SEEMP framework. This included approval of draft amendments to MARPOL
Annex VI to extend the application of EEDI to ro-ro cargo ships (vehicle carrier), LNG carriers, cruise
passenger ships having non-conventional propulsion, ro-ro cargo ships and ro-ro passenger ships;
and to exempt ships not propelled by mechanical means, and platforms including FPSOs and FSUs
and drilling rigs, regardless of their propulsion; as well as cargo ships having ice-breaking capability.
 Adopted amendments to update a number of Guidelines on EEDI. Adopted those Guidlenes that
were approved under MEPC 64.
 Further measures to improve the energy efficiency of ships: The MEPC considered the importance of
enhancing the existing framework (EEDI and SEEMP) for further reduction of shipping GHG
emissions. As such the MEPC agreed to establish a sub-agenda item for discussion of further
technical and operational measures for enhancing energy efficiency for international shipping, and
to establish a working group under this sub-agenda item at MEPC 66.
MEPC 66 (April 2014)
The following aspects were discussed but no substansive decision made:
 Energy-efficiency measures for ships considered: The MEPC continued its work on further developing
guidelines to support the uniform implementation of the regulations on energy-efficiency for ships.
 Technical co-operation and technology transfer discussed: The MEPC discussed the implementation
of resolution MEPC.229(65) on Promotion of Technical Co-operation and Transfer of Technology
Relating to the Improvement of Energy Efficiency of Ships. The Ad Hoc Expert Working Group on
Facilitation of Transfer of Technology for Ships (AHEWG-TT), established in accordance with the
resolution, met during the session and agreed a work plan with the folloing terms:
o Assessing the potential implications and impacts of the implementation of the energy
efficiency regulations in chapter 4 of MARPOL Annex VI, in particular, on developing
States, as a means to identify their technology transfer and financial needs;
o Identifying and creating an inventory of energy efficiency technologies for ships;
o Identifying barriers to transfer of technology, in particular to developing States,
including associated costs, and possible sources of funding; and making
recommendations, including the development of a model agreement enabling the
transfer of financial and technological resources and capacity building between Parties,
for the implementation of the energy efficiency regulations.
 Further measures for improving energy efficiency of ship: The MEPC discussed various
submissions relating to proposals to establish a framework for the collection and reporting of
data on the fuel consumption of ships.
MEPC 67 (October 2014)
The following activities were carried out:
 Energy-efficiency measures for ships considered: During the session, the MEPC adopted a
number of changes to various Guidelines including:
o The 2014 Guidelines on survey and certification of the Energy Efficiency Design Index
(EEDI), updating the previous version to include, for example, identification of the
primary fuel for the calculation of the attained EEDI for ships fitted with dual-fuel
engines using LNG and liquid fuel oil.
o The MEPC also adopted amendments to the 2013 Interim Guidelines for determining
minimum propulsion power to maintain the manoeuvrability of ships in adverse
conditions.

o A correspondence group was established to review the status of technological
developments relevant to implementing phase 2 of the EEDI regulatory framework as
foreseen under Regulation 21.6.
 Further measures - Data collection system for fuel consumption of ships: The MEPC agreed, in
principle, to develop a data collection system for ships and, having agreed on the general
description of the data collection system for fuel consumption of ships, agreed to the re-
establishment of an intersessional correspondence group to develop full language regulatory
text so that it can be readily used for voluntary or mandatory application of the system. The core
elements of the data collection system included: (1) data collection by ships, (2) flag State
functions in relation to data collection including verification and (3) establishment of a
centralized database by the IMO.
 Third IMO GHG Study 2014 approved: The MEPC approved the Third IMO GHG Study 2014
providing updated estimates for GHG emissions from ships (see Section 6.3 for details of this
study).
MEPC 68 (May 2015)
In this session of the MEPC, the following were agreed:
 Further development of energy-efficiency guidelines for ships: The MEPC continued its work on
further develop and approved/adopted guidelines to assist in the implementation of the
mandatory energy-efficiency regulations in particular the EEDI.
 EEDI review work to continue: The progress of the Correspondence Group established to review
the status of technological developments relevant to implementing phase 2 of the EEDI
regulations, as required under regulation 21.6 of MARPOL Annex VI, was received and MEPC
decided to re-established the Correspondence Group to further the work.
 Text agreed for further development of a data collection system: On “further measures”, the
MEPC agreed that the full language text for the data collection regulations need to be enhanced.
The proposed text were preliminary agreed and the Correspondence Group was re-convened to
continue work on this text and report back to future MEPC meetings (see Section 6.4 for further
details on MRV).
All the above activities will be reported back to MEPC 69 in March 2016.
6.6 Current regulatory framework

As discussed in previous section, through extensive discussions within the IMO, mandatory measures to
reduce emissions of GHG from international shipping were adopted by Parties to MARPOL Annex VI at
MEPC 62 in July 2011. This provided the first ever mandatory global GHG reduction regime for an
international industry sector.
This amendments to MARPOL Annex VI Regulations for the prevention of air pollution from ships, added
a new chapter 4 on Regulations on Energy Efficiency for Ships to make mandatory the Energy Efficiency
Design Index (EEDI), for new ships, and the Ship Energy Efficiency Management Plan (SEEMP) for all
ships. Other relevant amendments to Annex VI included new definitions and the requirements for survey
and certification, including the format for the International Energy Efficiency Certificate. Additionally,
voluntary Guidelines for claculation of Energy Efficiency Operational Indicator (EEOI), that was
developed and agreed in 2009, can be used for operational monitring of ships energy efficiency
measures.
These technical and operational measures are collectively shown in Figure 6.13, which also indicates
how EEDI, SEEMP and EEOI will work collectively to cover both ship design and operation.
Figure 6.13: Main components of the IMO energy efficiency regulations
An important series of guidelines to support the uniform implementation of the above mandatory
measures are adopted, paving the way for the regulations to be smoothly and uniformly implemented
by Administrations and industry. Some examples of these Guidelines include:
 2014 Guidelines on the method of calculation of the attained Energy Efficiency Design Index
(EEDI) for new ships, as amended;
 2012 Guidelines for the development of a Ship Energy Efficiency Management Plan
(SEEMP);
 2014 Guidelines on survey and certification of the Energy Efficiency Design Index (EEDI), as
amended; and
 2013 Guidelines for calculation of reference lines for use with the Energy Efficiency Design
Index (EEDI).
Further details of the relevant regulations and Guidelines are given in Module 2.
6.7 IMO Further energy efficiency measures

A number of studies including IMO MEPC 63/INF.2 by Bazari and Longva (2011) and the Third IMO GHG
Study 2014 indicate that successful implementation of the shipping technical and operational energy
efficiency regulations could reduce shipping GHG emissions significantly, but on their own they are not
sufficient to prevent the rising trend in shipping GHG emissions under all existing growth scenarios.
Consequently, the IMO began working on further technical and operational measures including the
development of a global shipping data collection system for energy efficiency as a first step priority area.
Since April 2014 as a result of MEPC 67 and 68 meetings, IMO reached preliminary conclusions on a
general description of such a global data collection system. Based on results of the relevant MEPC
working group deliberations, the data collection and reporting requirements would apply to ships
involved in international shipping over a certain size threshold and regardless of their flag State.
The draft developed data collection system identifies three core elements including: (1) data collection
by ships, (2) flag State functions in relation to data collected including verification and (3) establishment
of a centralized database by the IMO. As it stands now (2015), the following features are under
considerations for the IMO data collection system:

• Applicable to ships of gross tonnage more than 5000 GT
• Annual reporting
• IMO number for ship identification
• Confidentiality of some data such as transport work will be observed.
• Guidelines will be developed to deal with various details of data collection and verification
activities.
• Registered owner will be responsible for submission of data to Administration
• Administration will be responsible for verification (can be delegated to Recognized
Organizations).
• A Statement of Compliance (SoC) will be issued by the Administration to each ship annually.
• PSC (Port State Control) will examine SoC for enforcement
• In addition to ship’s fuel consumption, other data may be collected such as transport work and
distance sailed. These will be discussed and decided later.
Thus in summary, beginning at a specific date, ships should annually submit their data to a centralized
database maintained and managed by the IMO. Flag States should put in place mechanism(s) to ensure
compliance by the ships entitled to fly their flag with the annual data collection requirements; and that
data included in annual reports is sent to the centralized database. The compliance system of the flag
State should have provisions for the transfer of ownership and change of flag.
The above is the current general agreement; however, this is a work-in-progress at the IMO that is
planned to be finalised in the future (expected by MEPC 70 in late 2016). It is worth noting that EU has
already legislated an MRV (Measurement, Reporting and Verification) system for shipping that has
similarities to IMO current work. The EU-MRV has been fully described in Module 6.
6.8 Implementation and enforcement support

IMO supports to extent possible the implementation aspects of its regulations in particular supporting
the developing countries. In this section, such activities are described further.
IMO Technical Co-operation (TC) programme
IMO through its Technical Cooperation Department and relevant budgets as well as through donor
country funds organises a number of activities mainly in area of capacity building in the form of training
workshops. In specific area of shipping GHG control, the following activities have been done so far:
 National and regional workshops on MARPOL Annex VI and GHG emissions from international
shipping with the main aim of raising awareness on the subject. A number of such workshops
have already been conducted in a number of countries and regions.
 Under the IMO's Integrated Technical Co-operation Programme, a sum of $400,000 was
allocated for the 2012 to 2013 biennium for various national and regional capacity building
activities. This sum financed regional training and seminars supporting capacity building and
information exchange and sharing..
 A further $400,000 has been allocated for the 2014 to 2015 biennium to sustain the level of
technical cooperation interventions in various regions, for the effective implementation and
enforcement of energy efficiency measures for ships.

 In addition, some IMO members made donations for capacity building activities/workshops to
support the implementation of the existing international energy efficiency rules and assess the
need for technology transfer. The IMO completed in 2013 a major technical cooperation project
on "Building capacities in East Asian countries to address GHG emissions from ships" with
$700,000 funding support of the Korea International Cooperation Agency (KOICA). Additionally,
funding received for other donors such as the Government of Canada in promoting adoption and
implementation of the MARPOL Annex VI with specific emphasis on GHG emissions from
shipping.
IMO-UNDP-GEF Initiative
In 2014, the IMO Secretariat submitted a proposal to Global Environment Facility (GEF) for funding a
two-year global project entitled 'Transforming the Global Maritime Transport Industry towards a Low
Carbon Future through Improved Energy Efficiency' to assist the developing countries in the
implementation of new energy efficiency measures adopted by IMO. This project was endorsed by GEF
in 2015.
The main activities under this project are foreseen to include the following components; all related to
promotion of low carbon shipping in the participating pilot countries:
1. Legal, Policy and Institutional Reforms (LPIR): This is the priority component within the project
and aims to improve the host country legal, policy and institutional frameworks. This will be
achieved via carrying out country status / baseline assessment, development of global guidance
and model legislations, support for customisation and finally the implementation.
2. Capacity building and knowledge exchange: The core of this activity includes the long-term
capacity-building for the accelerated implementation of IMO energy efficiency regulations. This
will be achieved via extensive set of training activities, workshops, participation in international
events as well as dissemination of information.
3. Public-private partnership for innovation and R&D: This activity primarily aims to catalyse
maritime sector energy efficiency innovation and R&D. To achieve this, the project aims to
promote partnerships such as (1) global forums to highlight best practices and R&D on maritime
energy efficiency and (2) formation of a Global Industry Alliance for industry, academia and ship
design and operation R&D community to promote debates and R&D.
10 developing countries are taking part in implementation of this project.

Technology transfer debate
The amendments to MARPOL Annex VI which introduced “the energy efficiency regulations for ships”
also included a new Regulation 23. Regulation 23 encourages the Parties to MARPOL Annex VI in co-
operation with the IMO and other international bodies:
 To promote and provide, as appropriate, support directly or through the IMO to States,
especially developing States that request technical assistance.
 Co-operate actively with other Parties, subject to its national laws, regulations and policies, to
promote the development and transfer of technology and exchange of information to States
which request technical assistance, particularly developing States, in respect of the
implementation of Chapter 4 of MARPOL Annex VI.
Moreover, it was agreed at the time of the adoption of energy efficiency regulations, to complement
them with a resolution on “promotion of technical co-operation and transfer of technology relating to

the improvement of energy efficiency of ships”, which was adopted in May 2013 as Resolution
MEPC.229(65). This Resolution provides a framework for the promotion and facilitation of capacity
building, technical cooperation, and technology transfer to support the developing countries in the
implementation of the EEDI and the SEEMP. Amongst others, it invites international and regional
organizations, non-governmental organizations and the industry to contribute in any manner possible
and as appropriate to enhancing the effective implementation of chapter 4 of MARPOL Annex VI.
An AHEWG-TT (Ad Hoc Expert Working Group on Facilitation of Transfer of Technology for Ships) was set
up by IMO MEPC to deal with implementation of the Resolution with terms of reference that include:
 Assess the potential implications and impacts of the implementation of chapter 4 regulations, in
particular, on developing States, as a means to identify their technology transfer and financial
needs;
 Identify and create an inventory of energy efficiency technologies for ships.
 Identify barriers to transfer of technology, in particular to developing States, including
associated costs, and possible sources of funding and make recommendations.
 Develop a model agreement enabling the transfer of financial and technological resources and
capacity-building between Parties.
The AHEWG-TT activities had so far had a number of meetings and produced a number of documents. At
the time of writing this Module (2015), the work of AHEWG-TT is in progress with completion date of
MEPC 70 (October 2016).

7 References and additional sources of information
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[Solomon, S., D. Qin, M. Manning, Z. Chen, M. Marquis, K.B. Averyt, M.Tignor and H.L. Miller
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Impacts in the United States. Cambridge University Press
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2008
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on the development and harmonization of environmental standards in East Africa,
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Environment Programme
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36. UNEP/UNFCCC (2002), Edited by Michael Williams. Climate Change information kit. Geneva:
Switzerland
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Germany: Climate Change Secretariat
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http://www.epa.gov/apti/course422/ap7a.html
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manual section IV: chapter 2 – Petroleum Refining Processes,
http://www.osha.gov/dts/osta/otm/otm_iv/otm_iv_2.html
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41. World Health Organization (1961), Air Pollution – monograph series No.46. WHO: Geneva.
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43. World Meteorological Organization (1979). The Declaration of the World Climate Conference.
Geneva: February 1979
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Overview of the International Legal Process." American University International Law Review 5,
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46. IMO Third GHG Study 2014, Refer to IMO website below:
http://www.imo.org/OurWork/Environment/PollutionPrevention/AirPollution/Pages/Relevant-
links-to-Third-IMO-GHG-Study-2014.aspx
47. Bazari, Z and Longva, T “Assessment of IMO Mandated Energy Efficiency Measures for
International Shipping”, IMO MEPC 63 / INF.2, 31 October 2011.
48. Reynolds, G and Bazari Z, “Sustainable Energy in Marine Transportation”, IMarEST Conference
on “Sustainable shipping: progress in a changing world”, February 2005, London, UK.
49. Earth System Laboratory, Global Monitoring Division website,
http://www.esrl.noaa.gov/gmd/ccgg/trends/.

on
Module 2 – Ship Energy Efficiency

Regulations and Related Guidelines
IMO
ACKNOWLEDGEMENTS
The “Train the Trainer” course presented herein is based on material originally
developed by WMU in 2013 under contract for the IMO. This current
edition represents a major upgrade of the training package by Dr Zabi
Bazari of Energy and Emissions Solutions, UK (EnEmSol) under contract for
the IMO.
IMO wishes to express its sincere appreciation for WMU and EnEmSol expert
assistance

M2 Ship Energy Efficiency Regulations and Related Guidelines Module 2 – Page 1

MODULE 2
Ship Energy Efficiency Regulations and
Related Guidelines
Module Aims and Objectives
This Module aims to provide an overview of IMO’s energy efficiency regulations for ships and related
guidelines. It describes Chapter 4 of MARPOL Annex VI in detail and then specifically explains the
EEDI (Energy Efficiency Design Index), SEEMP (Ship Energy Efficiency Management Plan) and EEOI
(Energy Efficiency Operational Indicator) in detail using their relevant IMO guidelines.
Upon completion of this module, you should be able to:
 Name and explain energy efficiency related MARPOL Annex VI regulations;
 Describe the concept of Attained EEDI, Required EEDI, reference lines, and reduction factors
and how they are related to each other;
 Calculate Attained EEDI and Required EEDI using ship data;
 Describe the main aspects of EEDI survey and verification and relevant processes and
organizations involved;
 Describe the main features of a SEEMP according to relevant guidelines;
 Calculate EEOI using relevant data for a ship; and
 Identify related guidelines and why they have been developed and their usage.
To support your learning process, a list of references and IMO guidelines are provided as references.
Referring to them will allow you to go deeper in areas that may be of most interest to you.

document. Because of the evolving nature of regulations, technologies and future
studies in area of MARPOL Annex VI and in particular energy efficiency of ships,
some aspects may require updating over time.
The views expressed in this document are purely those of the author(s) and may
not in any circumstances be regarded as stating an official position of the

CONTENT
1. INTRODUCTION ..................................................................................................................................... 7
1.1 INTRODUCTION ............................................................................................................................................ 7
1.2 CHANGES TO EXISTING MARPOL ANNEX VI REGULATIONS ............................................................................... 8
2. CHAPTER 4 OF MARPOL ANNEX VI ..................................................................................................... 10
2.1 OVERVIEW ................................................................................................................................................ 10
2.2 REGULATION 19 - APPLICATION ................................................................................................................... 10
2.3 REGULATION 20 – ATTAINED EEDI............................................................................................................... 10
2.4 REGULATION 21 – REQUIRED EEDI .............................................................................................................. 11
2.4.1 EEDI Reference line ...................................................................................................................... 12
2.4.2 EEDI reduction factor (X) ............................................................................................................. 14
2.4.3 Required EEDI calculation formula ............................................................................................. 15
2.5 REGULATION 22 - SEEMP .......................................................................................................................... 15
2.6 REGULATION 23 – TECHNICAL COOPERATION AND TECHNOLOGY TRANSFER ....................................................... 16
3. EEDI CALCULATION .............................................................................................................................. 17
3.1 CONCEPT OF EEDI ..................................................................................................................................... 17
3.2 EEDI FORMULA ......................................................................................................................................... 17
3.3 TERMS IN THE EEDI FORMULA .................................................................................................................... 18
3.4 EEDI CONDITION ....................................................................................................................................... 21
3.5 EEDI TECHNICAL FILE ................................................................................................................................. 22
4. EEDI SURVEY AND VERIFICATION ....................................................................................................... 23
4.1 OVERVIEW ................................................................................................................................................ 23
4.2 PRELIMINARY VERIFICATION......................................................................................................................... 23
4.3 FINAL VERIFICATION ................................................................................................................................... 24
4.3.1 Sea trials - Observation ............................................................................................................... 24
4.3.2 Speed Trial: Ship speed-power curve .......................................................................................... 25
4.4 VERIFICATION OF THE ATTAINED EEDI FOR MAJOR CONVERSIONS..................................................................... 26
4.5 VERIFIER SCOPE OF ACTIVITIES ..................................................................................................................... 27
4.6 SEEMP VERIFICATION ................................................................................................................................ 27
4.7 INTERNATIONAL ENERGY EFFICIENCY (IEE) CERTIFICATE AND ITS SUPPLEMENTS ................................................. 28
4.8 OTHER RELATED GUIDELINES ....................................................................................................................... 29
4.8.1 Interim guidelines for minimum power...................................................................................... 29
4.8.2 Draft Guidelines for innovative energy efficiency technologies ............................................... 30
5. SHIP ENERGY EFFICIENCY MANAGEMENT PLAN (SEEMP) DEVELOPMENT ....................................... 33
5.1 SEEMP PURPOSES ..................................................................................................................................... 33
5.2 SEEMP FRAMEWORK................................................................................................................................. 34
5.3 PLANNING................................................................................................................................................. 35
5.3.1 Identification of ship’s EEM......................................................................................................... 35
5.3.2 Goal Setting ................................................................................................................................. 35
5.3.3 Managing the stakeholders ........................................................................................................ 36
5.3.4 Human resources development .................................................................................................. 37
5.4 IMPLEMENTATION ...................................................................................................................................... 37
5.5 MONITORING ............................................................................................................................................ 37
5.6 SELF-EVALUATION AND IMPROVEMENT ......................................................................................................... 38
5.7 SEEMP FORMAT ....................................................................................................................................... 38
6. ENERGY EFFICIENCY OPERATIONAL INDICATOR (EEOI) ...................................................................... 40
6.1 INTRODUCTION .......................................................................................................................................... 40
6.2 BACKGROUND AND OBJECTIVES.................................................................................................................... 40

6.3 BASIC DEFINITIONS ..................................................................................................................................... 41
6.4 ESTABLISHING THE EEOI ............................................................................................................................. 41
6.5 FURTHER ASPECTS ...................................................................................................................................... 43
7. REFERENCES AND FURTHER READING ................................................................................................ 44

List of Figures
FIGURE 1.1: IMO GHG CONTROL RELATED ACTIVITIES IN CHRONOLIGAL ORDER ................................................................ 7
FIGURE 1.2: MAIN COMPONENTS OF THE IMO ENERGY EFFICIENCY REGULATIONS ............................................................. 8
FIGURE 2.1: CONCEPT OF REQUIRED EEDI, REDUCTION FACTOR, CUT OFF LIMITS AND EEDI PHASES .................................. 12
FIGURE 2.2: EEDI REFERENCE LINES AS DEVELOPED BY THE IMO USING TECHNIQUES IN RESOLUTION MEPC.231(65)....... 13
FIGURE 3.1: MAIN TERMS IN EEDI FORMULA.............................................................................................................. 17
FIGURE 3.2: SCOPE OF SHIP SYSTEMS INCLUDED IN EEDI FORMULA [RESOLUTION MEPC.245(66)] ................................. 18
FIGURE 4.1: EEDI VERIFICATION PROCESS ................................................................................................................... 23
FIGURE 4.2: A SCHEME OF CONVERSION FROM TRIAL CONDITION TO EEDI CONDITION ..................................................... 26
FIGURE 4.3: THE WAY VARIOUS CATEGORIES INFLUENCES THE EEDI [MEPC.1/CIRC.815] ................................................ 31
FIGURE 4.4: TECHNOLOGIES CURRENTLY COVERED UNDER THE INNOVATIVE TECHNOLOGY GUIDELINES [MEPC.1/CIRC.815]. 32
FIGURE 4.5: CONTENT OF GUIDELINES FOR CALCULATION AND VERIFICATION OF INNOVATIVE TECHNOLOGIES....................... 32
FIGURE 5.1: SEEMP CONTINUOUS IMPROVEMENT CONCEPT ........................................................................................ 34
FIGURE 5.2: SEEMP AS A 4-STEP SHIP ENERGY MANAGEMENT [ABS]............................................................................ 35
FIGURE 5.3: SHIP ENERGY MANAGEMENT STAKEHOLDERS ............................................................................................. 36
FIGURE 5.4: SAMPLE SEEMP TEMPLATE FROM IMO GUIDELINES .................................................................................. 39

List of Tables
TABLE 1.1 – EXISTING REGULATIONS AND THOSE AMENDED SHOWN IN RED ....................................................................... 8
TABLE 2.1 NEWLY ADDED REGULATIONS (MARKED RED) FOR ENERGY EFFICIENCY OF SHIPS................................................. 10
TABLE 2.3: EEDI REDUCTION FACTORS, CUT OFF LIMITS AND IMPLEMENTATION PHASES [RESOLUTIONS MEPC.203(62) AND
MEPC.251(66)] ........................................................................................................................................... 14
TABLE 3.1: PARAMETERS FOR EEDI FORMULA ............................................................................................................. 19
TABLE 3.2: STANDARD VALUES OF CF FOR MARINE FUELS [RESOLUTION MEPC.245(66)] ................................................ 20
TABLE 4.1: INNOVATIVE ENERGY EFFICIENCY TECHNOLOGIES CATEGORIES [MEPC.1/CIRC.815] ......................................... 31
TABLE 6.1: CARBON FACTOR OF MARINE FUELS ............................................................................................................ 42
TABLE 6.2:- EEOI DATA REPORTING SHEET (TEMPLATE) [MEPC.1/CIRC.684] ................................................................. 43

1. Introduction
1.1 Introduction
Figure 1.1 shows the IMO activities that led to the adoption of Chapter 4 of MARPOL Annex VI on
energy efficiency regulations for ships. This Figure and full chronological account of relevant IMO
activities have been described in detail in Module 1 (see Module 1, Section 6.5) and thus will not be
further addressed here. Instead this whole Module is devoted to describing details of the resultant
IMO regulations and guidelines.
Figure 1.1: IMO GHG control related activities in chronoligal order

Chapter 4 of MARPOL Annex VI introduces two mandatory mechanisms as energy efficiency
standard for ships; with the main objective of reducing international shipping’s GHG emissions via
improved ship design and operations. These regulatory mechanisms are:
 Energy Efficiency Design Index (EEDI), for new ships
 Ship Energy Efficiency Management Plan (SEEMP), for all ships.
The EEDI is an index that indicates the energy efficiency of a ship in terms of gCO2 (generated) /
tonne.mile (cargo carried); calculated for a specific reference ship operational condition. The
intention is that by imposing limits on this index, IMO will be able to drive ship technologies to more
energy efficient ones over time. EEDI is thus a goal-based technical standard that is applicable to
new ships. Ship designers and builders are free to choose the technologies to satisfy the EEDI
requirements in a specific ship design. Overtime, the EEDI level will reduce; this gradually leading to
more energy efficient ships.
On the other hand, SEEMP is a management tool and establishes a mechanism for ship operators to
improve the energy efficiency of a ship during its operation lifecycle. It works according to planning,
implementation, monitoring and review of a number of energy efficiency measures within a
continuous improvement management cycle.

Additionally, IMO has adopted a voluntary scheme for calculation of Energy Efficiency Operational
Indicator (EEOI) with the main objective of its future use as a monitoring performance indicator in
shipping, most likely in relation to SEEMP. Figure 1.2 shows the concept of how the above
instruments will work with each other to cover both ship design and ship operation.
Figure 1.2: Main components of the IMO energy efficiency regulations

In this Section, the regulatory framework will be described by giving details of related changes to
MARPOL Annex VI. These include changes to existing regulations as a result of energy efficiency and
then new regulations that are specifically for energy efficiency.
1.2 Changes to existing MARPOL Annex VI regulations

Following a significant debate at IMO on ship energy efficiency regulations, new major amendments
to MARPOL Annex VI were adopted in July 2011 [MEPC Resolution 203(62)]. As a result (1) Some of
the existing regulations were updated and (2) a set of new regulations were added.
Table 1.1 summarizes the existing regulations in Chapters 1 and 2 of MARPOL Annex VI and the ones
that were changed (in red color) to accommodate the energy efficiency regulations.
Table 1.1 – Existing regulations and those amended shown in red

A summary of the changes are given below:
Regulation 2: The amendments mainly include definitions for “new ship” as applicable to various
phases of EEDI regulations, “major conversion” and “ship types” for which EEDI regulations apply.
Since EEDI only applies to new ships and those ships that undergo major conversions beyond 1
January 2013, the exact definition of the above terms were required. Additionally, terms such as
“Attained EEDI” and “Required EEDI” have been defined.
Regulation 5: The requirement for surveys including an initial survey for newly built ships, a full or
partial survey in case of a major conversion of existing ships, survey for SEEMP to verify its existence
on board ship, etc. are specified in this regulation. This regulation states that EEDI survey and
verification shall be carried out according to relevant IMO guidelines (see Section 4 for full details).
Regulations 7 and 8: The changes to these regulations deal with energy efficiency certification,
making it mandatory for ships to have an International Energy Efficiency (IEE) Certificate; also
emphasizing the responsibility of flag State Administration.
“An International Energy Efficiency Certificate for the ship shall be issued after a survey in
accordance with the provisions of regulation 5.4 to any ship of 400 gross tonnage and above,
before that ship may engage in voyages to ports or offshore terminals under the jurisdiction
of other Parties.
The certificate shall be issued or endorsed either by the Administration or any organization
duly authorized by it. In every case, the Administration assumes full responsibility for the
certificate." [MEPC Resolution 203(62)]
Regulations 9: This regulation defines the validity aspects of the IEE certificate. It will be valid for the
life of the ship unless otherwise invalidated by a major conversion or change of flag or ship
withdrawal from service.
"The International Energy Efficiency Certificate shall be valid throughout the life of the ship
subject to the provisions of paragraph below:
An International Energy Efficiency Certificate issued under this Annex shall cease to be valid
in any of the following cases if the ship is withdrawn from service or if a new certificate is
issued following major conversion of the ship; or upon transfer of the ship to the flag of
another State…...." [MEPC Resolution 203(62)]
Regulation 10: This regulation specifies the requirement for Port State Control (PSC) for energy
efficiency. Accordingly, the IEE certificate is the starting point for any PSC inspection.
“In relation to chapter 4, any port State inspection shall be limited to verifying, when
appropriate, that there is a valid International Energy Efficiency Certificate on board, in
accordance with article 5 of the MARPOL Convention." [MEPC Resolution 203(62)]

2. Chapter 4 of MARPOL Annex VI
2.1 Overview
As a result of energy efficiency debate at the IMO and subsequent agreements, a new Chapter 4 was
added to MARPOL Annex VI. Table 2.1 shows (in red) the list of added new regulations.
Table 2.1 Newly added regulations (marked red) for energy efficiency of ships
In this section, a short description of the main aspects of these regulations is provided. Further
details on the subject can be found in relevant publications by IMO in particular the IMO book on
MARPOL Annex VI [IMO MARPOL Annex VI, 2013].
2.2 Regulation 19 - Application

This regulation specifies the domain of application of the energy efficiency regulations. Accordingly,
Chapter 4 of MARPOL Annex VI applies to all ships of 400 gross tonnage and above that are engaged
in international waters. It gives limited power to Administrations to waive the requirements for EEDI
for a new ship up to a delivery date of 1 July 2019; subject to informing the IMO and other Parties to
MARPOL Annex VI of this decision.
The “waiver” clause came about due to significant discussions at MEPC and stressing that some ships
may not be able to comply with IMO requirements whilst considered as good design ships. It is
important that waiver applied to specific ships and not the whole of flag State fleet. So far, there has
been no need for Administrations to use this option.
2.3 Regulation 20 – Attained EEDI

This regulation deals with the Attained EEDI and specifies the need for its calculation and
verification. Attained EEDI is the actual EEDI of a ship as calculated using EEDI formula (see Section
3). According to this regulation:

 The Attained EEDI must be calculated for each new ship, each new ship when undergoes a
major conversion, or existing ships that undergo so many changes as according to judgment
by Administration can be considered as a new ship.
 The Attained EEDI is only applicable to a large number of ship types but not all ships. For
example, fishing vessels are not required to have an Attain EEDI.
 The Attained EEDI must be calculated taking into account relevant IMO guidelines (see
Section 3 for details).
 The Attained EEDI must be accompanied by an “EEDI Technical File” that contains the
information necessary for the calculation of the attained EEDI and that shows the process of
calculation.
 The Attained EEDI must be verified, based on the EEDI Technical File, either by the
Administration or by any organization duly authorized by it (see Section 4 on details of
verification).
As indicated, some ship types (e.g. fishing vessels) are not yet part of the EEDI regulations.
Specifically, the following list provides the ship types that are currently required to comply with
Attained EEDI regulation.
 Bulk carrier
 Gas carrier (none LNG carriers)
 Tanker
 Container ship
 General cargo ship
 Refrigerated cargo ship
 Combination carrier
 Ro-Ro cargo ships (vehicle carrier)
 Ro-Ro cargo ships
 Ro-Ro Passenger ship
 LNG carrier
 Cruise passenger ships (having non-conventional propulsion)
Also, specific ship types such as those with turbine propulsion (with the exception of LNG ships) are
also excluded.
2.4 Regulation 21 – Required EEDI

This regulation specifies the methodology for calculation of the Required EEDI and all relevant
details. The Required EEDI is the regulatory limit for EEDI and its calculation involves use of
“reference lines” and “reduction factors”.
The basic concepts included in this regulation are:
 Reference line: A baseline EEDI for each ship type, representing reference EEDI as a function of
ship size.
 Reduction factor: This represents the percentage points for EEDI reduction relative to the
reference line, as mandated by regulation for future years. This factor is used to tighten the EEDI
regulations in phases over time by increasing its value.

 Cut-off levels: Smaller size vessels are excluded from having a Required EEDI for some technical
reasons. Thus, the regulatory text specifies the size limits. This size limit is referred to as cut off
levels.
 Implementation phases: the EEDI will be implemented in phases. Currently, it is in phase 1 that
runs from year 2015 to 2019. Phase 2 will run from year 2020 to 2024 and phase 3 is from year
2025 onwards.
Figure 2.1 shows the above concepts in diagrammatic format.
Figure 2.1: Concept of Required EEDI, reduction factor, cut off limits and EEDI phases
2.4.1 EEDI Reference line
This is a baseline EEDI for each ship type, representing reference EEDI as a function of ship size (see
graph for Phase 0 in Figure 2.1). The reference lines are developed by the IMO using data from a
large number of existing ships and analyzing these data as is shown in Figure 2.2.

Figure 2.2: EEDI Reference Lines as developed by the IMO using techniques in Resolution
MEPC.231(65)
Full details of how reference lines are developed including sources of data, data quality checks,
number of ships selected and year of build, ship sizes, etc. are fully described in relevant IMO
guidelines [see Resolution MEPC.231(65) and Resolution MEPC.233(65)]. As indicated, the above
reference lines are produced through regression analysis of a large number of data and the resultant
regression equation is shown on each diagram. These regression equations are then embodied in
Regulation 21 in the form of a formula:
Reference EEDI = a*b-c
Parameters a, b and c for some of the ship types are given in Table 2.2.
Ship type defined in regulation 2 a b c
2.25 Bulk carrier 961.79 DWT of the ship 0.477
2.26 Gas carrier 1120.00 DWT of the ship 0.456
2.27 Tanker 1218.80 DWT of the ship 0.488
2.28 Container ship 174.22 DWT of the ship 0.201
2.29 General cargo ship 107.48 DWT of the ship 0.216
2.30 Refrigerated cargo carrier 227.01 DWT of the ship 0.244
2.31 Combination carrier 1219.00 DWT of the ship 0.488

-0.7
(DWT/GT) ・780.36
2.33 Ro-ro cargo ship (vehicle where DWT/GT<0.3
DWT of the ship 0.471
carrier) 1812.63
where DWT/GT≥0.3
2.34 Ro-ro cargo ship 1405.15 DWT of the ship 0.498
2.35 Ro-ro passenger ship 752.16 DWT of the ship 0.381
2.38 LNG carrier 2253.7 DWT of the ship 0.474
2.39 Cruise passenger ship
having non-conventional 170.84 GT of the ship 0.214
propulsion
Table 2.2: Parameters for determination of EEDI Reference value [Resolutions MEPC.203(62) and
MEPC.251(66)]
2.4.2 EEDI reduction factor (X)

This represents the percentage points for EEDI reduction relative to reference line, as mandated by
regulation for future years. The value of “reduction factor” is decided by the IMO and is recorded in
Regulation 21. This is shown in Table 2.3.
Phase 0 Phase 1 Phase 2 Phase 3
Ship Type Size 1 Jan 2013 – 1 Jan 2015 – 1 Jan 2020 – 1 Jan 2025
31 Dec 2014 31 Dec 2019 31 Dec 2024 and onwards
20,000 DWT and above 0 10 20 30
Bulk carrier
10,000 – 20,000 DWT n/a 0-10* 0-20* 0-30*
10,000 DWT and above 0 10 20 30
Gas carrier
2,000 – 10,000 DWT n/a 0-10* 0-20* 0-30*
20,000 DWT and above 0 10 20 30
Tanker
4,000 – 20,000 DWT n/a 0-10* 0-20* 0-30*
15,000 DWT and above 0 10 20 30
Container ship
10,000 – 15,000 DWT n/a 0-10* 0-20* 0-30*
15,000 DWT and above 0 10 15 30
General Cargo ships
3,000 – 15,000 DWT n/a 0-10* 0-15* 0-30*
Refrigerated cargo 5,000 DWT and above 0 10 15 30
carrier 3,000 – 5,000 DWT n/a 0-10* 0-15* 0-30*
20,000 DWT and above 0 10 20 30
Combination carrier
4,000 – 20,000 DWT n/a 0-10* 0-20* 0-30*
LNG carrier*** 10,000 DWT and above n/a 10** 20 30
Ro-ro cargo ship (vehicle
10,000 DWT and above n/a 5** 15 30
carrier)***
2,000 DWT and above n/a 5** 20 30
Ro-ro cargo ship*** 1,000 –
n/a 0-5*,** 0-20* 0-30*
2,000 DWT
1000 DWT and above n/a 5** 20 30
Ro-ro passenger ship*** 250 –
n/a 0-5*,** 0-20* 0-30*
1,000 DWT
Cruise passenger ship*** 85,000 GT
n/a 5** 20 30
having and above
non-conventional
25,000 –
propulsion n/a 0-5*,** 0-20* 0-30*
85,000 GT
Note: n/a means that no required EEDI applies.
* Reduction factor to be linearly interpolated between the two values dependent upon ship
size. The lower value of the reduction factor is to be applied to the smaller ship size.
** Phase 1 commences for those ships on 1 September 2015.
*** Reduction factor applies to those ships delivered on or after 1 September 2019, as defined in
paragraph 43 of regulation 2.
Table 2.2: EEDI reduction factors, cut off limits and implementation phases [Resolutions MEPC.203(62) and
MEPC.251(66)]

2.4.3 Required EEDI calculation formula
Using the above concept, the following equations show the way Required EEDI is calculated for a
ship. First, for each ship a “reference EEDI” is calculated using the below equation:
Reference EEDI = a*b-c (1)
Where:
b: Ship capacity
a and c: Constants agreed for each ship type and included in the regulation.
Reference EEDI: Reference value for EEDI.
The next step is to establish the reduction factor (X) for the ship. This is dependent on year of ship
built and is specified within the regulation (see Table 2.3). Having established the Reference EEDI
and X, the Required EEDI is calculated from the following equation:
Required EEDI = (1-X/100)* (Reference EEDI) (2)
Where:
X: Reduction rate; agreed and included in Regulation.
Required EEDI: The regulatory limit of the ship’s EEDI, which the actual EEDI must not
exceed.
The Required EEDI applies only to ships named in column 1 and the ship sizes specified in column 2
of Table 2.2. For these ships, regulation 22 stipulates that Attained EEDI must always be less than or
equal to Required EEDI:
Attained EEDI < Required EEDI (3)
Where:
Attained EEDI: The actual EEDI of the ship, as calculated by the shipyard and
verified by a recognized organization.
This regulation additionally stipulates the following:
 “If the design of a ship allows it to fall into more than one of the above ship type definitions,
the required EEDI for the ship shall be the most stringent (the lowest) required EEDI”.
 “For each ship to which this regulation applies, the installed propulsion power shall not be
less than the propulsion power needed to maintain the maneuverability of the ship under
adverse conditions as defined in the guidelines to be developed by the Organization”. The
related guidelines are briefly introduced in Section 4.8.
 “At the beginning of Phase 1 and at the midpoint of Phase 2, the IMO shall review the status
of technological developments and, if proven necessary, amend the time periods, the EEDI
reference line parameters for relevant ship types and reduction rates set out in this
regulation”. This review process is currently underway at the IMO.
2.5 Regulation 22 - SEEMP

Regulation 22 is on SEEMP and states:
“1 Each ship shall keep on board a ship specific Ship Energy Efficiency Management Plan
(SEEMP). This may form part of the ship's Safety Management System (SMS).
2 The SEEMP shall be developed taking into account guidelines adopted by the
Organization.” [MEPC Resolution 203(62)]
Accordingly:

 Each ship more than 400 GT that is involved in international voyages should have a SEEMP
on board.
 There is no specific reference to a need for review and verification of a SEEMP’s content.
However, its existence on board must be verified.
 The SEEMP should be developed according to IMO guidelines.
Section 5 provides a full description of relevant IMO guidelines on SEEMP development and best
practice.
2.6 Regulation 23 – Technical cooperation and technology transfer

This regulation was developed at the request of developing countries following a significant debate
at IMO MEPC on role of various countries on GHG reduction efforts as well as the technological and
financial difficulties that developing countries may face as a result of energy efficiency regulations.
This regulation entitled “Promotion of technical co-operation and transfer of technology relating to
the improvement of energy efficiency of ships”. It stipulates that:
“1 Administrations shall, in co-operation with the Organization1 and other international
bodies, promote and provide, as appropriate, support directly or through the Organization
to States, especially developing States, that request technical assistance.
2 The Administration of a Party2 shall co-operate actively with other Parties, subject to its
national laws, regulations and policies, to promote the development and transfer of
technology and exchange of information to States which request technical assistance,
particularly developing States, in respect of the implementation of measures to fulfill the
requirements of chapter 4 of this annex, in particular regulations 19.4 to 19.6.". [MEPC
Resolution 203(62)]
In support of the implementation of the above regulation, IMO MEPC approved a new Resolution
MEPC.229(65). This Resolution provides a framework for the promotion and facilitation of capacity
building, technical cooperation, and technology transfer to support the developing countries in the
implementation of the EEDI and the SEEMP. As part of this, the Ad Hoc Expert Working Group on
Facilitation of Transfer of Technology for Ships (AHEWG-TT) was set up and IMO supported relevant
meetings and work items as has been fully described in Module 1, Section 6.8. Additionally, IMO has
carried out a significant amount of capacity building activities and implementing relevant project in
this area as was fully described in Module 1, Section 6.8.
1
Organisation in IMO documents refers to IMO itself.
2
A Party refers to a country who has ratified MARPOL Annex VI.

3. EEDI calculation
3.1 Concept of EEDI

The Attained EEDI is the actual value of EEDI for a ship and represents the amount of CO2 generated
by a ship while doing one tonne-mile of transport work. In simple term, it may be represented by
equation (1):
= (1)
It is argued that EEDI represents the ratio of a ship’s “cost to society” in the form of its CO2
emissions, divided by its “benefit to the society” represented by the transport work done by the ship
as shown in (1). The above concept then translated into a more vigorous calculation method as
represented by EEDI formula in equation (2) to account for diversity of ship types, ship sizes,
alternative propulsion technologies, alternative fuels and future renewable technologies.
3.2 EEDI formula

Attained EEDI is calculated using the “EEDI formula” as shown below:
(2)
Figure 3.1 shows the main terms of the formula indicating that all relevant ship technologies will
influence the EEDI level.
(2)
Figure 3.1: Main terms in EEDI formula
The items that primarily influence EEDI are:

 Main engine and energy needed for propulsion; this represented by the first term in the
nominator of the formula.
 Auxiliary power requirements of the ship; this is represented by the second term in the
nominator.

 Any innovative power (electric) generation devices on board such as electricity from waste
heat recovery or solar power. These are represented by the third term in the nominator.
 Innovative technologies that provide mechanical power for ship propulsion such as wind
power (sails, kites, etc.). This is the last term in the nominator.
 In the denominator of the formula, ship capacity and ship speed are represented that
together gives the value of transport work.
Figure 3.2 shows the scope of ship systems that are represented in equation (2). The items
contained within the red dashed-line box are included in EEDI formula while everything outside the
box is excluded.
Figure 3.2: Scope of ship systems included in EEDI formula [Resolution MEPC.245(66)]
As a general rule:
 All the cargo-related energy uses on-board are outside the scope of the EEDI calculations
(not included in the formula).
 Auxiliary boilers are also excluded from the formula; assuming that under normal sea-going
conditions, boilers will not be operating.
Therefore, electricity needed for cargo pumps, cargo handling equipment, ship thrusters, etc. are
out of scope of EEDI calculations.
3.3 Terms in the EEDI formula

Various terms in equation (2) are fully defined in the relevant IMO guidelines [Resolution MEPC.245(66)], a
summary of which is given in Table 3.1.

Term Unit Brief description
Capacity [Tonne] Ship capacity in deadweight or gross tonnage at summer load line
draught (for container ships, 70% of deadweight applies).
CFAE [gCO2/gfuel] Carbon factor for fuel for auxiliary engines.
CFME [gCO2/gfuel] Carbon factor for fuel for main engines.
feff [-] Correction factor for availability of innovative technologies.
fi [-] Correction factor for capacity of ships with technical/regulatory
elements that influence ship capacity.
fc [-] Correction factor for capacity of ships with alternative cargo types
that impact the deadweight-capacity relationship (e.g. LNG ships in
gas carrier segment).
fj [-] Correction factor for ship specific design features (e.g. ice-class ships).
fw [-] Correction factor for speed reduction due to representative sea
conditions.
neff [-] Number of innovative technologies.
nME [-] Number of main engines.
nPTI [-] Number of power take-in systems (e.g. shaft motors).
PME [kW] Ship propulsion power that is 75% of main engine Maximum
Continuous Rating (MCR) or shaft motor (where applicable); also
taking into account the shaft generator. This will be influenced by
alternative propulsion configurations.
PAE [kW] Ship auxiliary power requirements at normal sea going conditions.
PAEeff [kW] Auxiliary power reduction due to use of innovative electric power
generation technologies.
Peff [kW] 75% of installed power for each innovative technology that
contributes to ship propulsion.
PPTI [kW] 75% of installed power for each power take-in system (e.g. propulsion
shaft motors).
SFCAE [g/kWh] Specific fuel consumption for auxiliary engines as per NOx certification
values.
SFCME [g/kWh] Specific fuel consumption for main engines as per NOx certification
values.
Vref [knots] Reference ship speed attained at propulsion power equal to PME and
under clam sea and deep water operation at summer load line
draught.
Table 3.1: Parameters for EEDI formula

More details of the important parameters are given below:
 SFC (Specific Fuel Consumption): The specific fuel consumption (SFC) is for engines and
represents their fuel efficiency (fuel used) in g/kWh. The value for SFC is determined from
the results recorded in the engine’s NOx Technical File; determined as part of the engine
NOx certification. The SFC for main engine is generally taken at 75% load and for auxiliary
engines is generally taken at 50% load.
 CF (Carbon Factor): This factor specifies the amount of CO2 generated per unit mass of fuel
used. Table xx provides the standard value for marine fuels. The type of fuel used for the
NOx Certification test (to be taken from NOx Technical File) should be used to determine the
value of the CF conversion factor.

Table 3.2: Standard values of CF for marine fuels [Resolution MEPC.245(66)]
 Capacity: The Capacity of the ship is the deadweight or gross tonnage based on summer
load line draught. The calculation of the deadweight is based on the lightweight of the ship,
and the displacement at the summer load line draught. At the design stage, for EEDI
preliminary verification (see Section 4), the lightweight and the displacement may be
calculated using the provisional ship’s stability documentation. For containerships, capacity
is taken as 70% of the capacity at summer load line draught.
 Power (propulsion – PME)) : The term “P” for power is used in different places in the formula
for main engine, auxiliary power (electrical), shaft motor, shaft generator, renewable energy
devices, etc. Power for shaft propulsion PME, generally is calculated at 75% MCR (Maximum
Continuous Rating) of the main engine. Depending on various options of the propulsion line
(shaft generator, shaft motor, limited power, etc.) different formulas are used for this
purpose. For details, refer to the IMO guidelines (e.g. Resolution MEPC.245(66)).
 Power (auxiliary – PAE): For auxiliary power (electrical), also different formulation to
calculate the auxiliary power applies. PAE generally includes the power consumed by the
main engine pumps, navigational systems and equipment as well as accommodation but
excludes other power used not for propulsion machinery/systems, e.g. thrusters, cargo
pumps, cargo gear, ballast pumps, maintaining cargo, e.g. reefers and cargo hold fans (see
also Figure 3.2). In the IMO guidelines [Resolution MEPC.245(66)], there are specific
formulas for calculation of PAE. It should be noted that PAE is not linked to the actual installed
power of ship auxiliary engines.
 Reference Speed (Vref): The reference speed Vref is the ship speed as measured and verified
during sea trials and corrected to the following conditions:
o Deep water operation
o Calm weather including no wind and waves
o Loading condition corresponding to the Capacity
o Total shaft propulsion power at corresponding value of PME
 Weather factor fw: fw is a non-dimensional coefficient indicating the decrease of speed in
representative sea conditions of wave height, wave frequency and wind speed (e.g. Beaufort
Scale 6), and is taken as 1.0 for the calculation of the Attained EEDI. Efforts are underway to
define how this factor can be estimated for various ships but effort so far has not led to any
agreed solution.
 Ship design related correction factors that influence propulsion power fj: There are a host

of correction factors that are used to differentiate ships of same type and size if their basic
design requirements are different. For example a tanker with ice-class as against same
tanker without ice-class will have a correction factor to cater for their design differences.
Design related correction factor fj for the following ships are specified (see relevant IMO
guidelines [Resolution MEPC.245(66)] for calculation process, formula and values);
otherwise it is 1.0:
o Ice-classed ships
o Shuttle tankers with propulsion redundancy (80,000~160,000 DWT)
o Ro-Ro ships, all types
o General cargo ships
 Design factor that impact ship Capacity fi: These are a set of correction factors that are used
to differentiate ships of same type and size if their cargo capacity is influenced by design or
type of cargo. For example a tanker with ice-class as against same tanker without ice-class
will have a smaller capacity that needs to be taken into account. Other examples are when
an owner decides to voluntarily strengthen the ship structure via use of thicker still plates or
when a ship is classed according to Common Structural Rules. Capacity related correction
factors are (for details of calculation of each, see Resolution MEPC.245(66) and relevant
formulas for each factor below):
o Ice-class capacity factor fi: This is the factor used for ice-class ships.
o Voluntary Structural Enhancement fiVSE: For a ship with voluntary structural
enhancement, the fiVSE factor is to be computed according to according to
formulation provided in the IMO guidelines.
o Common Structural Rules fiCSR: For bulk carriers and oil tankers built in accordance
with the Common Structural Rules and assigned the class notation CSR, the fiCSR
factor is to be computed according to formulation provided in the IMO guidelines.
 Cubic capacity correction factor fc: This refers to correction factors that are used to
differentiate various types of cargos. Except in the cases listed below, the value of the fc
factor is 1.0.
o For a number of chemical tankers as defined under MARPOL Annex II, the fc
factor is to be computed according to formulation provided in the IMO
guidelines [Resolution MEPC.245(66)].
o For gas carriers as defined in certain regulation of IGC Code3 having direct diesel
driven propulsion. In such cases, the fc factor is computed according to
formulation provided in the IMO guidelines [Resolution MEPC.245(66)].
3.4 EEDI Condition

It is important to note that EEDI is calculated for a single ship’s operating condition. This single
operating condition is referred to as “EEDI Condition”. The EEDI Condition is as follows:
 Draught: Summer load line draught.
 Capacity: Deadweight (or gross tonnage for passenger ships, etc.) for the above draught
(container ship will be 70% value).
 Weather condition: Calm with no wind and no waves.
3
International Code for the Construction and Equipment of Ships Carrying Liquefied Gases in Bulk

 Propulsion shaft power: 75% of main engine MCR (conventional ships) with some
amendments for shaft motor or shaft generator or shaft-limited power cases, where
applicable.
 Reference speed (Vref): Is the ship speed when measured/estimated under the above
conditions.
To calculate EEDI, all the measurements and data used should be corrected to the above conditions.
3.5 EEDI Technical File

Calculation of Attained EEDI involves the determination / measurement / calculation of all the terms
as identified in Table 3.1 and their verification. Also, determination of Required EEDI is done via
formulations provided in Section 2.4.
For verification purposes and subsequent implementation and enforcement purposes by flag and
port States, it is a requirement that all the relevant terms and their values shall be recorded in an
“EEDI Technical File” (see Section 2.3) and then submitted to the verifiers (normally Recognized
Organization on behalf of flag State) that will carry out the certification on behalf of flag
Administration. Also, the “EEDI Technical File” needs to be kept on board and forms a supplement to
International Energy Efficiency Certificate.
IMO in its EEDI survey and verification guidelines [Resolution MEPC.254(67)] have provided a sample
“EEDI Technical File”. This sample indicates that all data necessary for verification purposes including
all the terms defined in Section 3.3 need to be recorded in this technical file.

4. EEDI Survey and Verification
4.1 Overview
EEDI verification is carried out by flag Administration (and most likely on their behalf by the by the
ROs4), using corresponding data and documents and observing the ship’s model tank tests and ship’s
commissioning sea trials. Full details of the EEDI verification are described in the relevant IMO
Guidelines [Resolution MEPC.254(67)]. Accordingly, the EEDI verification takes place in two stages:
 Pre-verification
 Final verification
Pre-verification is done at the ship’s design stage whereas final verification is carried out after
construction and as part of the ship’s commissioning sea trials; at the end of ship construction.
Relevant ship design data, tank test data and speed trial data will be subject to scrutiny and
verification by ROs. The aforementioned IMO guidelines on EEDI verification are developed to
ensure consistency of verification, although some important issues such as speed-power scaling
methods and unified approach for correction of the measured data has yet to be harmonised as part
of industry practices. A document entitled “industry guidelines” has been developed by the main
players for this purpose [Industry Guidelines (2015)].
Figure 4.1 shows the overall process diagram for EEDI verification.
Figure 4.1: EEDI verification process
4.2 Preliminary verification

For the preliminary verification at the design stage, the following should be submitted to the verifier:
 An application for an initial survey.
 An “EEDI Technical File” containing the necessary information.
 Other relevant background documents and information.
4
Class Societies will mainly act as ROs for this purpose.

The EEDI Technical File should be developed by the submitter (normally ship designer at this stage)
inclusive of all the data required. The content of an EEDI Technical File was discussed in Section 3.5
and will include all the required data for EEDI calculations.
In addition to the EEDI Technical File, the verifier may request additional information. Additional
information that the verifier may request includes but not limited to:
 Description of the tank test facility including test equipment and calibrations.
 Lines of the model and the actual ship for the verification of the similarity of model and
actual ship.
 Lightweight of the ship and displacement table for the verification of the deadweight. This
may require submission of available ship stability data for verification purposes.
 Detailed report of the tank test; this should include at least the tank test results at sea trial
condition and extrapolated values to the EEDI condition.
 Calculation process of the ship reference speed.
 Copy of the NOx Technical File and documented summary of the SFC correction for each
type of engine with copy of engines’ EIAPP certificate.
 Reasons for exempting a tank test, if applicable.
 Other specific data for specific ships: For example for ships using gas as primary fuel, the
verifier may request data on gas fuel and liquid fuel tank arrangement and capacities for CF
calculation purposes.
The most important element of preliminary verification is the ship’s model tank test. According to
IMO guidelines [Resolution MEPC.254(67)]:
“The speed power curve used for the preliminary verification at the design stage should be
based on reliable results of tank test. A tank test for an individual ship may be omitted based
on technical justifications such as availability of the results of tank tests for ships of the same
type. In addition, omission of tank tests is acceptable for a ship for which sea trials will be
carried under the “EEDI Condition”5, upon agreement of the ship-owner and shipbuilder and
with approval of the verifier. For ensuring the quality of tank tests, ITTC (International Towing
Tank Conference) quality system should be taken into account. Model tank test should be
witnessed by the verifier.”
4.3 Final Verification

Sea trails and verification of ship’s speed-power curve is an essential element of the final
verification. As part of the final verification, all relevant aspects of EEDI calculation will be re-visited
and verified. Aspects that need to be considered for sea trail are elaborated further here using the
relevant IMO guidelines [Resolution MEPC.254(67)]
4.3.1 Sea trials - Observation
In order to ensure accurate EEDI calculation, sea trial conditions should be set close to the “EEDI
Condition”, if possible. As part of sea trail verification and prior to the sea trial, the following
documents should be submitted to the verifier:
 Trial plan and test procedure: Description of the test procedure to be used for the speed
trial, with number of speed points to be measured and indication of PTO/PTI to be in
operation, testing area and method, etc.
5
See Section 3

 The final displacement table and the measured lightweight, or a copy of the survey report of
deadweight. Final stability file including lightweight of the ship and displacement table based
on the results of the inclining test or the lightweight check. This will form the basis for
verification of Capacity.
 A copy of engines’ “NOx Technical File” as necessary.
The test procedure should include, as a minimum, descriptions of all necessary items to be
measured and corresponding measurement methods. The verifier should attend the sea trial and
confirm the following:
 Propulsion and power supply system.
 Particulars of the engines, and other relevant items described in the EEDI Technical File.
 Draught and trim: Should be confirmed by the draught measurements taken prior to the sea
trial.
 Sea conditions: should be measured in accordance with ITTC Recommended Procedure 7.5-
04-01-01.1 Speed and Power Trials Part 1; 2014 or ISO 15016:2015 [MEPC.261(68)].
 Ship speed: should be measured in accordance with ITTC Recommended Procedure 7.5-04-
01-01.1 Speed and Power Trials Part 1; 2014 or ISO 15016:2015, and at more than two
points of which range includes the power of the main engine as specified in paragraph 2.5 of
the EEDI Calculation Guidelines [MEPC.261(68)].
 Shaft power of the main engine: Should be measured by shaft power meter or a method
which the engine manufacturer recommends and the verifier approves.
 Results of on-board simplified measurement method of SFC: Only if on-board measurements
are used for the calculation of SFC of an engine, copy of the measurements and documented
calculation of the SFC correction will need to be provided.
4.3.2 Speed Trial: Ship speed-power curve
The main output of the speed trial will be the actual measured ship speed-power curve and its
corrected/extrapolated equivalent for the EEDI Conditions. As most of the ships are normally tested
under ballast conditions, the speed trial to EEDI Condition need to be developed through a number
of corrections not only for sea and weather conditions but also extrapolated from ballast condition
to EEDI loading condition (summer load line draught).
The required corrections for sea and weather conditions will need to be based on ITTC
Recommended Procedure 7.5-04-01-01.2 Speed and Power Trials Part 2; 2014 or ISO 15016:2015
standard. The speed adjustment and correction from ballast condition to EEDI Condition plays and
important role in an accurate estimation of EEDI. An example of a simplified method of the speed
adjustment is given in Figure 4.2 as is included in IMO EEDI survey and verification guidelines.
Accordingly, Vref is obtained from the results of the sea trials at trial condition using the speed-power
curves predicted by the tank tests. The tank tests shall be carried out at both draughts: trial
condition corresponding to that of the speed-power trials and EEDI condition. For trial conditions the
power ratio αP between model test prediction and sea trial result is calculated for constant ship
speed. Ship speed from model test prediction for EEDI condition at EEDI power multiplied with αP is
Vref.

Figure 4.2: A scheme of conversion from trial condition to EEDI condition
The verifier is required to ensure that both correction and extrapolation of data to EEDI condition is
done correctly and accurately. For this purpose, it is required that the full report of sea trials with
detailed computation of the corrections allowing determination of the reference speed Vref to be
supplied to the verifier.
Additionally and to ensure consistency and accuracy, the submitter should compare the power
curves obtained as a result of the sea trial and the estimated power curves at the design stage. In
case of differences, the attained EEDI should be recalculated.
4.4 Verification of the Attained EEDI for major conversions

In case of a major conversion, the ship-owner should submit to a verifier an application for an
Additional Survey with the EEDI Technical File duly revised based on the conversion made and other
relevant background documents.
The background documents should include at least but are not limited to:
 Documents explaining details of the conversion.
 EEDI parameters changed after the conversion.
 Reasons for other changes made in the EEDI Technical File.
 Calculated value of the attained EEDI, with the calculation summary for each value of the
calculation parameters and the calculation process.

The verifier normally will make sure that as a result of the “major conversion”, EEDI has not
increased. In case of such an increase, the verifier will define the scope for sea trails, if any, and
other activities to ensure compliance with regulation.
4.5 Verifier scope of activities

Based on what described in previous sections, the scope of verification activieis may be listed as
below.
For preliminary verification, scope of the verifier work includes the following:
 Review the EEDI Technical File, check that all the input parameters are documented and
justified and check that the possible omission of a tank test has been properly justified.
 Check that the ITTC procedures and quality system are implemented by the organization
conducting the ship model tank tests. The verifier would possibly audit the quality
management system of the towing tank if previous experience is insufficiently demonstrated.
 Witness the tank tests according to a test plan initially agreed between the submitter and
the verifier.
 Check that the work done by the tank test organisation is consistent with the ITTC
recommendations. In particular, the verifier will check that the power speed curves at full
scale are determined in a consistent way between test condition and and fully loaded
conditions.
 Issue a pre-verification report inclusive, possibly in the form of a preminary statement of
compliance.
For final verification, scope of the verifier work includes the following:
 Examine the programme of the sea trial to check that the test procedure and in particular
that the number of speed measurement points comply with the requirements of the IMO
guidelines.
 Perform a survey to ascertain the ship principle and machinery characteristics to conform
with those in the EEDI Technical File.
 Attend the sea trial and notes the main parameters to be used for the final calculation of the
EEDI as discussed before.
 Review the sea trial report provided by the submitter and check that the measured power
and speed have been corrected according to ITTC Recommended Procedure 7.5-04-01-01.2
Speed and Power Trials Part 2; 2014 or ISO 15016:2015 standard.
 Adjust the reference ship speed Vref according to the simplified method and checks that the
difference between the value provided by the submitter and the one computed by the
simplified method don’t exceed the threshold value. If the threshold is exceeded, request
and review a complete justification from the submitter.
 Review the revised EEDI Technical File, if applicable.
 Complete relevant parts of the Record of Construction and endorse.
4.6 SEEMP verification

The verification of SEEMP is only limited to checking if a SEEMP is on board. As indicated in Section
2.5, there is no need for verification of a SEEMP content to establish if it complies with relevant IMO
guidelines. It is worth noting that this is the case at this point in time and may change in the future.

Upon verification of existence of SEEMP on board, relevant part of the Record of Construction will be
completed.
4.7 International Energy Efficiency (IEE) Certificate and its supplements

Upon a successful verification and EEDI and SEEMP, where applicable, the following sets of
documents will be issued to the ship by the verifier:
 An IEE Certificate
 A Record of Construction for Energy Efficiency will be attached to the certificate
Additionally, the following two documents that has already been used as part of verification are
considered as supplements to the IEE certificate:
 EEDI Technical file
 SEEMP
The “Record of Construction” is a checklist that contains the checkboxes with regard to availability of
the following information:
 Particular of ship
 Propulsion system details
 Attained EEDI
 Required EEDI
 SEEMP
 EEDI Technical File
 Endorsement that confirms that data are correct.
The verifier will endorse the “Record of Construction” to confirm that the above details have been
checked and verified. For samples of “EEDI Technical File” refer to reference *Resolution
MEPC.254(67)] and for format of IEE Certificate and the Record of Construction for Energy Efficiency
refer to Annex VIII of MARPOL Annex VI.
According to IMO regulations [MEPC 203(62)]:
“Upon successful verification of EEDI (for new ships) and verification of the existence of a
SEEMP on-board for all ships, an IEE Certificate will be issued to the ship. The Certificate shall be
issued or endorsed either by the Administration or any organization duly authorized by it. The
IEE Certificate shall be drawn up in a form corresponding to the model given in Chapter 4 of
MARPOL Annex VI.”
As indicated before, IEE Certification will have the following specifics:
 The IEE Certificate will be valid throughout the life of the ship unless:
o If the ship is withdrawn from service; or
o If a new certificate is issued following major conversion of the ship; or
o Upon transfer of the ship to the flag of another State.
 In relation to Chapter 4, any port State inspection shall be limited to verifying, when
appropriate, that there is a valid IEE Certificate on board, in accordance with Article 5 of the
MARPOL Convention.

4.8 Other related Guidelines
There are a number of additional guidelines that need to be used / consulted while conducting either
the EEDI calculations or verification. These Guidelines include the following:
 Resolution MEPC.232(65): 2013 Interim Guidelines for determining minimum propulsion
power to maintain the manoeuvrability (as amended by resolutions MEPC.255(67) and
MEPC.262(68)).
 MEPC.1/Circ.815: 2013 Guidance on treatment of innovative energy efficiency technologies
for calculation and verification of the attained EEDI for ships in adverse conditions.
A short description of the above guidelines follows.
4.8.1 Interim guidelines for minimum power
Introduction
One of the most effective ways of reducing a ship’s EEDI is to choose a smaller main engine or main
propulsion motor for the ship, thus reduce the ship’s design speed. Within IMO a debate took place
on how far speed reduction could be used for EEDI reduction? As a result, it was decided that there
is a need to limit the use of this method of EEDI reduction so that it does not lead to unsafe and
underpowered ships that may lose maneuvering capability under adverse weather condition. These
guidelines effectively define a methodology for estimating the minimum propulsion power for each
ship for safe maneuvering, thus ensuring that choice of the main propulsion engines/motors that
satisfies these minimum requirements.
Accordingly, the purpose of the guidelines is to assist Administrations and ROs in verifying that ships,
complying with EEDI, have sufficient installed propulsion power to maintain the maneuverability in
adverse conditions [Resolution MEPC.232(65), as amended by resolutions MEPC.255(67) and
MEPC.262(68)]. The guidelines currently apply to:
 Tankers
 Bulk carriers
 Combination carriers
Assessment methods
The methodologies proposed for estimating the minimum power are based on two assessment
levels or methods that are briefly described.
Assessment Level 1 – Minimum power lines assessment: This is a simple approach and involves
calculation of the minimum power from a specific line as a function of ship deadweight. For this
purpose, the verifier should check if the ship has an installed power not less than the minimum
power defined by the line represented by the following equation:
Minimum Power Line Value [MCR, kW] = a*(DWT) + b
Where “a” and “b” are constants and vary with ship type and given in the guidelines. As can be seen,
this is a very simple approach.
Assessment Level 2 – Simplified assessment: This is a more mathematically involved method of
assessment. The assessment procedure consists of two steps:
o Step 1: Definition of the required advance speed in head wind and waves, ensuring course-
keeping in all wave and wind directions.
o Step 2: Assessment whether the installed power is sufficient to achieve the above required
advance speed.

The required ship advance speed through the water in head wind and waves is decided first. Then
relevant calculation formulas are used to determine the required power to achieve this advance
speed. For details of relevant mathematics and equations, refer to IMO guidelines [Resolution
MEPC.232(65), as amended by resolutions MEPC.255(67) and MEPC.262(68)].
4.8.2 Draft Guidelines for innovative energy efficiency technologies
Introduction
The purpose of this guidance is to assist manufacturers, shipbuilders, ship-owners, verifiers and
other interested parties related to Energy Efficiency Design Index (EEDI) of ships to treat innovative
energy efficiency technologies for calculation and verification of the attained EEDI
[MEPC.1/Circ.815].
As indicated, the guidance document is in its preliminary stage and as such as time progresses:
 The guidance should be reviewed for the inclusion of new innovative technologies not yet
covered by the guidance.
 The guidance also should be reviewed, after accumulating the experiences of each
innovative technology, in order to make it more robust and effective, using the feedback
from actual operating data.
Categorization of technologies
Innovative energy efficiency technologies are allocated to category (A), (B) and (C), depending on
their characteristics and the way they influence the EEDI formula. Furthermore, innovative energy
efficiency technologies of category (B) and (C) are categorized to two sub-categories (category (B-1)
and (B-2), and (C-1) and (C-2), respectively).
 Category (A): Technologies that directly influence and shift the ship speed-power curve,
which results in the change of combination of Propulsion Power (PP) and Vref. For example,
such technologies at constant Vref can lead to a reduction of PP; or for a constant PP they
could lead to an increased Vref. All technologies that directly impact the ship hydrodynamics
could have such impacts.
 Category (B): Technologies that reduce the PP, at a Vref, but do not generate electricity. The
saved energy is counted as Peff .
o Category (B-1): Technologies which can be used at all times during the operation
(e.g. hull air lubrication) and thus the availability factor (feff) should be treated as
1.00.
o Category (B-2): Technologies which can be used at their full output only under
limited conditions and periods (e.g. wind power). The setting of availability factor
(feff) should be less than 1.00.
 Category (C): Technologies that generate electricity. The saved energy is counted as PAEeff
o Category (C-1): Technologies which can be used at all times during the operation
(e.g. waste heat recovery) and thus the availability factor (feff) should be treated as
1.00.
o Category (C-2): Technologies which can be used at their full output only under
limited condition (e.g. solar power). The setting of availability factor (feff) should be
less than 1.00.
Table 4.1 shows the current categories of technologies and typical examples.

Table 4.1: Innovative energy efficiency technologies categories [MEPC.1/Circ.815]
The way each category influences the EEDI is schematically shown in Figure 4.3. For example, “solar
power” and “waste heat recovery” for power generation are category C and influence via the term
shown by arrow as shown. Wind power is a category B and is influencing the last term in the
nominator. Category A mainly influences the speed power curve thus PME and Vref.
Figure 4.3: The way various categories influences the EEDI [MEPC.1/Circ.815]
The technologies that are currently covered in the guidelines are shown schematically in Figure 4.4.

Figure 4.4: Technologies currently covered under the innovative technology guidelines
[MEPC.1/Circ.815]
Calculation and verification of innovative technologies

The evaluation of the benefit of innovative technologies on EEDI is to be carried out in conjunction
with the hull form and propulsion system with which it is intended to be used. Results of model tests
or sea trials of the innovative technology in conjunction with different hull forms or propulsion
systems may or may not be applicable. An outline of calculation and verification aspects is given
here. Full details can be found in the relevant guidelines [MEPC.1/Circ.815].
Category A: Innovative energy efficiency technologies in category (A) affect PP and/or Vref and their
effects cannot be measured in isolation. Therefore, these effects should not be calculated nor
certified in isolation but should be treated as part of the vessel’s EEDI calculation and verification as
described before using EEDI calculation guidelines and EEDI survey and verification guidelines.
Category B: The effects of innovative energy technologies in category (B) are expressed as Peff which
would be directly used together with feff in the EEDI formula. The calculation and verification of the
above two parameters are described in Annex 1 of the guidelines (see Figure 4.5).
Category C: The effects of innovative energy technologies in category (C) are expressed as PAEeff and
feff which would be directly used in the EEDI formula. The details of calculation and verification of the
above two parameters are detailed in Annex 2 of the guidelines Figure 4.5.
Figure 4.5: Content of guidelines for calculation and verification of innovative technologies
The verification of innovative energy efficiency technologies is an involved process and is fully
documented in MEPC.1/Circ.815. This is an interim guidance document and will evolve over time as
experience is gained as a result of future use of these technologies.

5. Ship Energy Efficiency Management Plan (SEEMP) Development
According to MARPOL Annex VI Regulation 22, it is a requirement for ships of more than 400 GT
operating internationally, to have a SEEMP on board from 1st January 2013. The SEEMP should be
developed taking into account the relevant IMO guidelines. Existing ships will receive an IEE
Certificate when the existence of SEEMP on-board is verified. This will happen at the 1st
intermediate or renewal survey of the vessel after 1 January 2013, whichever is the first. It is
expected that all the existing ships by now have gone through this process and possess an IEE
certificate.
IMO has adopted guidelines for the development of SEEMP (Resolution MEPC.213(63)); from which
most of the main features of a SEEMP are described in this section. According to IMO guidelines, the
SEEMP establishes a mechanism for shipping companies to improve the energy efficiency of their
ships operations. The SEEMP also provides an approach for monitoring of a ship efficiency
performance over time. The SEEMP urges the ship owner and operator, that at each stage of the
operation of the ship, to review and consider operational practices and technology upgrade to
optimize the energy efficiency performance of a ship.
SEEMP development should follow the IMO guidelines. In this section, the main aspects of a SEEMP
are discussed with a view to understand the regulatory requirements and best practice. The content
of this section is mainly developed using the IMO guidelines [Resolution MEPC.213(63)]. The aim of
this section is to cover the SEEMP regulatory requirements, practical aspects of SEEMP planning and
development. The SEEMP implementation or best practice aspects are not included herein. Such
topics are further covered in Module 6 that deals with ship energy management systems.
5.1 SEEMP purposes

The purpose of a SEEMP is to establish a mechanism for a company and/or a ship to improve the
energy efficiency of the ship during its operation. Preferably, the ship-specific SEEMP is linked to a
broader corporate energy management system of the company that owns, operates or controls the
ship. The ship-specific SEEMP is needed since no two shipping companies or ship-owners are the
same, and that ships operate under a wide range of different conditions including geographical and
commercial.
Many companies normally have an environmental management system (EMS) in place under ISO
140016 which contains procedures for selecting the best measures for particular vessels and then
setting objectives for the measurement of relevant parameters, along with relevant control and
feedback features. Monitoring of operational environmental efficiency should therefore be treated
as an integral element of broader company environmental management systems. In addition, many
companies already develop, implement and maintain a Safety Management System7. In such cases,
the SEEMP may form part of the ship's Safety Management System.
The SEEMP is intended to be a management tool to assist a company in managing the on-going
environmental performance of its vessels and as such, it is recommended that a company develops
procedures for implementing the SEEMP in a manner which limits any on-board administrative
burden to the minimum necessary.
6
Also company’s may have ISO 50001 on “energy management system” that could be directly linked to SEEMP.
7
“Safety Management System” means a structured and documented system enabling company personnel to implement effectively the
company’s safety and environmental protection policy, as defined in the International Safety Management Code.

5.2 SEEMP framework
The SEEMP should be developed as a ship-specific plan by the ship-owner, operator or any other
party concerned, e.g., charterer. The SEEMP seeks to improve a ship’s energy efficiency through four
steps:
 Planning;
 Implementation;
 Monitoring; and
 Self-evaluation and improvement.
These are shown in Figure 5.1. These stages are similar to PDCA (Plan-Do-Check-Act) stages of any
other management system and the continuous improvement cycle.
Figure 5.1: SEEMP continuous improvement concept

The PDCA components play a critical role in the continuous cycle to improve ship energy
management. With each iteration of the cycle, some elements of the SEEMP will necessarily change
while others may remain as before. The above components are further described in the following
sections.
Figure 5.2 provides more detailed aspects of each stage of the cycle. Further description of each
stage of the SEEMP cycle follows with reference to Figures 5.1 and 5.2.

Figure 5.2: SEEMP as a 4-step ship energy management [ABS]
5.3 Planning
Planning is the most crucial stage of a SEEMP development. It involves activities such as
determination of both:
 The current status of ship energy usage; and
 The expected improvements.
Based on the above and via using further energy reviews or audits, a set of Energy Efficiency
Measures (EEMs) are identified and documented as part of the planning phase. The SEEMP planning
activities do not stop at identification of EEMs but includes dealing with all aspects of planning for
implementation, monitoring and self-assessment of the identified EEMs. Therefore, planning part for
ship energy management and SEEMP is crucial and it is essential to devote sufficient time to
planning.
5.3.1 Identification of ship’s EEM
The first step in energy management planning is to identify the EEMs for improving the energy
efficiency of a ship. It is important to note that there are a variety of options to improve a ship’s
efficiency; that the best EEMs for a ship to improve efficiency differs to a great extent for various
ship types, cargoes, routes and other factors, As such, it is recommended that the specific EEMs for
each ship needs to be defined.
To do this, there will be a need for carrying out activities such as energy audits or energy reviews8 for
the corresponding ship. SEEMP should be adjusted to the characteristics and needs of individual
companies and ships, thus each ship will have its own ship-specific plan.
5.3.2 Goal Setting
According to IMO guidelines, goal setting for SEEMP is voluntary and there is no need for
announcement to public nor are they subject to external inspection. Purpose of goal setting is to
increase commitment to improving energy efficiency; thus the IMO guidelines encourage companies
to set goals.
The goal should be measurable and easy to understand. It can take any form such as “annual fuel
consumption”, “EEOI targets” or other items.
8
For energy audit and review techniques, refer to Module 5.

On importance of goal setting, the following may be mentioned:
 Although IMO has made goal setting voluntary, a company with quantitative goals for their
ship’s energy efficiency would show more determination in this area.
 A goal will be a measureable indicator and will be used to evaluate if the set objectives are
met.
 Many good quality companies already have quantitative goals for their ship energy
management; primarily at corporate levels.
 Despite difficulty of goal setting at ship level, it is important that ways for making sure that
the continuous improvement is actually taking place could be evaluated.
 Current IMO debates on data collection for ships and future likely MRV (see Module 1) is
likely to deal with these aspects in the future. As such, SEEMP related regulatory framework
is likely to be enhanced in the future.
5.3.3 Managing the stakeholders
The improvement of energy efficiency of a ship does not necessarily depend on ship operator/owner
only. A number of stakeholders are involved as shown in Figure 5.3. These are:
 Port authorities who are in charge of port management and thus ships’ use of ports and
related delays and so on.
 Cargo owner and charterer that have ultimate authority for ship itinerary and commercial
activities of the ship.
 Ship owner could be different from operator/manager and thus will impact ship operational
efficiency via decision making on ship technical improvements and relevant investments.
Figure 5.3: Ship energy management stakeholders

More coordination between stakeholders is more rewarding and to do this, the company should do
the coordination rather than the ship. Therefore, IMO recommends that a company should also
establish a “company energy management plan” to manage its fleet and ensures stakeholders’
coordination. This will also reduce the work burden on ship-board staff.
On importance of company-level energy management plan/system, the following may be
mentioned:
 The overall ship energy efficiency is highly impacted by many industry stakeholders who
have influence on the way the ship is commercially operated.
 Main stakeholders are ship owner, ship operator/manager/ports, regulatory authorities,
charterer, cargo owner and so on.

 Management of the above stakeholder to ensure good ship operation and loading profile is
essential.
 Without effective stakeholders’ management, most of potential energy saving opportunities
will not be realized.
 The above could be realized as part of a “company energy management plan” as advocated
by the IMO or a “company energy management system” as advocated by ISO 50001. For
further details on this, refer to Module 5.
5.3.4 Human resources development
According to IMO guidelines, raising awareness and providing necessary training for personnel both
on shore and on board are an important element. Such human resource development is encouraged
and should be considered as an important component of planning as well as a critical element of
implementation.
Additionally, the company should implement procedures, which limit any onboard administrative
burden. The company management should define and communicate the companies’ values and
aspirations and detail how the company intends to achieve the objectives of their energy policy
including the identification of roles and responsibilities, the setting of targets and monitoring
performance.
5.4 Implementation
Two areas are of importance as far as planning for implementation is concerned:
 Establishment of an implementation system; and
 Record keeping.
Establishment of implementation system: A system for implementation of the selected EEMs needs
to be defined via developing the procedures, tasks and assigning roles and responsibilities. The
SEEMP should describe how each measure should be implemented and who the responsible
person(s) is. The implementation period (start and end dates) of each selected measure should be
indicated. The development of such a system can be considered as a part of planning, and therefore
may be completed at the planning stage.
Record keeping: According to IMO guidelines, the planned EEMs should be carried out in accordance
with the predetermined implementation system. Record-keeping for the implementation of each
EEM is beneficial for self-evaluation and should be encouraged.
On the importance of implementation system and record keeping, it can be mentioned that:
 Without proper implementation of EEMs, the energy management objectives could not be
completed.
 Assignment of responsibilities for various EEMs together with implementation process and
schedules are important indicators that EEMs implementation is managed properly.
 Record keeping is important for not only monitoring purposes but also for use during self-
assessment and the next planning phase of continuous improvement cycle.
5.5 Monitoring
In a SEEMP, the monitoring aspects also need to be clarified at the planning phase. Consistent data
collection is the foundation for monitoring. To allow for meaningful and consistent monitoring, the
monitoring system, including the procedures for collecting data and the assignment of responsible
personnel, should be developed. The development of such a system can be considered as a part of
planning, and therefore should be completed at the planning stage.

To avoid unnecessary administrative burdens on ships' staff, monitoring should be carried out as far
as possible by shore staff, utilizing data obtained from existing ship-board log books and data
systems. In this monitoring context, the ship’s EEOI that is introduced in Section 6 may be advocated
as the primary monitoring tool to ensure that the energy management cycle provides expected
outcomes.
On the importance of monitoring, the following may be mentioned:
 Monitoring is an essential element of any management cycle. It is well known that “if one
cannot measure, one cannot manage”. This applies to energy management system as well.
 Monitoring to a large extent relies on data collection and data analysis over long term. Thus
establishment of a data collection and analysis system is an essential part of any monitoring
system.
 To effectively analyse and make conclusions, a set of Key Performance Indicators (KPIs) need
to be defined for quantitative assessment of the gathered data. As indicated, the KPIs could
relate to overall ship performance (such as EEOI) or developed for each EEM.
 Data collection and analysis, performing internal audits, energy reviews, benchmarking, etc.
and so on forms the backbone of any good monitoring system.
5.6 Self-evaluation and Improvement

Self-evaluation and improvement is the final phase of the management cycle (see Figures 5.1 and
5.2). It should produce meaningful feedback for planning stage of the next improvement cycle.
The purpose of self-evaluation is to evaluate the effectiveness of the planned measures and of their
implementation. For this process, procedures for self-evaluation of ship energy management should
be developed. Furthermore, self-evaluation should be implemented periodically by using data
collected through monitoring.
On importance of self-evaluation and target setting for future improvements, the following may be
mentioned:
 Self-evaluation and improvement is the responsibility of the management team.
 The closer this “management team” is to top management of the company, the more
effective will be their decisions; thus is indicative of more corporate management
engagement.
 Developing an energy policy, setting quantitative goals and committing investment in energy
efficiency technologies and operations are main indications of the top management
commitment.
 Results of the self-evaluation form the basis for planning of the next improvement cycle.
 Self-evaluation is normally done periodically for example annually or bi-annually.
5.7 SEEMP Format

IMO guidelines [Resolution MEPC.213(63)] provide a sample template for development of the SEEMP
as shown in Figure 4.3.

Figure 5.4: Sample SEEMP template from IMO guidelines
Accordingly, the SEEMP will, as a minimum, include the following elements:
 Ship identification details
 Energy Efficiency Measures and how they should be implemented, responsible persons and
timeline
 Monitoring aspects
 Goals (optional)
 Evaluation aspects.
There are already typically developed SEEMPs in public domain. An example is given in Reference
[OCIMF 2011] for a tanker.

6. Energy Efficiency Operational Indicator (EEOI)
6.1 Introduction
As explained earlier (see Module 1), EEOI is one element of the IMO regulatory framework that is
intended to act as an “energy efficiency performance indicator” during the operational phase of the
ship and be used to monitor overall ship energy efficiency performance. IMO Guidelines
“MEPC.1/Circ.684”9 provide the methodology and basis for EEOI development and calculations. In
this section, extracts of these Guidelines are provided in order to further understand the EEOI
purpose and method of calculation. Additionally, information will be provided on the experience so
far in the use of EEOI.
The purpose of EEOI, according to IMO guidelines, is to establish a consistent approach for
measuring a ship’s energy efficiency for each voyage or over a certain period of time. The EEOI is
expected to assist ship-owners and ship operators in the evaluation of the operational performance
of their fleet. It is hoped that it will enable the monitoring of individual ships in operation and
thereby the results of any changes made to the ship or its operation. In fact The EEOI is advocated to
be used as a monitoring tool in the SEEMP as discussed in Section 3.
EEOI, similar to EEDI, represents the amount of CO2 emissions from a ship per unit of cargo-mile
transport service (with a unit of gCO2/tonne.mile). However as against the EEDI that is defined for
one operating point of a ship, EEOI represents the actual CO2 emission from combustion of all types
of fuels on board a ship during each voyage, which is calculated by multiplying total fuel
consumption for each type of fuel (distillate fuel, refined fuel or LNG, etc.) with the respective
carbon factor of each fuel. The performed transport work is calculated by multiplying the actual
mass of cargo (tonnes, number of TEU/cars, or number of passengers) and the corresponding actual
distance in nautical mile travelled by the vessel.
At this stage, IMO has developed the EEOI to encourage ship-owners and ship operators to use it on
a voluntary basis and to collect information on the outcome and experiences in applying it. So far,
the feedback received on effectiveness of EEOI as a monitoring tool has been mixed.
The rest of this section is taken mostly from IMO Guidelines [MEPC.1/Circ.684] with some textual
adjustments. The main aim of the section is to become familiar with the IMO guidelines and how
EEOI is calculated.
6.2 Background and objectives

The EEOI guidelines can be used to establish a consistent approach for the voluntary use of an EEOI,
which will assist ship-owners, ship operators and parties concerned in the evaluation of the
performance of their fleet with regard to CO2 emissions. As the amount of CO2 emitted from a ship is
directly related to its actual fuel consumption, the EEOI can also provide useful information on a
ship’s performance with regard to its operational fuel efficiency.
The objective of the IMO guidelines is to provide the users with assistance in the process of
establishing a mechanism to achieve the limitation or reduction of GHG emissions from ships in
operation. The EEOI guidelines are intended to provide an example of a calculation method which
could be used as an objective, performance-based approach to monitor the efficiency of a ship’s
operation.
The EEOI Guidelines are recommendatory in nature and present a possible use of an operational
indicator. However, ship-owners, ship operators and parties concerned may implement either the
9
IMO, Marine Environment Protection Committee, Guidelines for Voluntary Use of the Ship Energy Efficiency Operational Indicator,
MEPC.1/Circ.684, 2009. This is currently a voluntary guideline and not mandatory.

IMO guidelines or an equivalent method in their environmental management systems and consider
adoption of the principles therein when developing plans for performance monitoring.
6.3 Basic definitions

To help with consistent estimation of EEOI, the following definitions are provided in the EEOI
guidelines:
Fuel consumption: Fuel consumption is defined as all fuels consumed at sea and in port or for a
voyage or period in question (e.g., a day), by main, auxiliary engines, boilers and incinerators.
Distance sailed: Distance sailed means the actual distance sailed in nautical miles (deck log-book
data) for the voyage or period in question.
Ship and cargo types: The EEOI guidelines are applicable for all ships performing transport work. The
types of cargo are generic and include but not limited to: all gas, liquid and solid bulk cargo, general
cargo, containerized cargo, heavy lifts, frozen and chilled goods, timber and forest products, cargo
carried on freight vehicles, cars and freight vehicles on Ro-Ro ferries and passengers (for passenger
and Ro-Ro passenger ships).
Cargo mass carried or work done: In general, cargo mass carried or work done is expressed as
follows:
 For dry cargo carriers, liquid tankers, gas tankers, ro-ro cargo ships and general cargo ships,
metric tonnes (t) of the cargo carried should be used;
 For containerships carrying solely containers, number of containers (TEU) or metric tons (t)
of the total mass of cargo and containers should be used;
 For ships carrying a combination of containers and other cargoes, a TEU mass of 10 t could
be applied for loaded TEUs and 2 t for empty TEUs; and
 For passenger ships, including ro-ro passenger ships, number of passengers or gross tonnes
of the ship should be used;
In some particular cases, work done can be expressed as follows:
 For car ferries and car carriers, number of car units or occupied lane metres;
 For containerships, number of TEUs (empty or full); etc.
It should be generally noted that for specific cases, the choice of cargo definition should fit the
purpose of energy management and may vary from one company to the other.
Voyage: Voyage generally means the period between a departure from a port to the departure from
the next port. Alternative definitions of a voyage could also be acceptable.
Consistent implementation of the above definitions in a company is essential for subsequent
benchmarking of energy performance indicators such as EEOI across the fleet.
6.4 Establishing the EEOI

Calculation formula
The basic expression for EEOI for a voyage is defined as:
å FC j ´ CFj
EEOI = j
(1)
mc argo ´ D
The guidelines allow averaging of EEOI over a number of voyages. Where the average of the
indicator for a period or for a number of voyages is obtained, the EEOI is calculated as:

åå(FC ij ´ CFj ) (2)
AverageEEOI = i j
å(m c arg o,i ´ D)

i
Where:
 j is the fuel type;
 i is the voyage number;
 FCi j is the mass of consumed fuel j at voyage i;
 CFj is the fuel mass to CO2 mass conversion factor for fuel j;
 mcargo is cargo carried (tonnes) or work done (number of TEU or passengers) or gross tonnes
for passenger ships; and
 D is the distance in nautical miles corresponding to the cargo carried or work done.
The unit of EEOI depends on the measurement of cargo carried or work done, e.g., tonnes
CO2/(tonnes·nautical miles), tonnes CO2/(TEU·nautical miles), tonnes CO2/(person·nautical miles),
etc. It should be noted that Equation (2) does not give a simple average of EEOI among the number
of voyages; thus simple averaging of the voyages’ EEOI must be avoided. Instead, for using the
average value as a performance indicator, calculation of rolling average is used.
Rolling average
Rolling average, when used, can be calculated in a suitable time period, for example one year or a
number of voyages, for example six or ten voyages, which are agreed as statistically relevant to the
initial averaging period. The rolling average EEOI is then calculated for this period or number of
voyages by Equation (2) above using the following technique.
For a series of voyages (e.g. for 20 voyages), the first element of the rolling average (e.g. for a subset
of 4 voyages) is obtained by taking the average of the initial number of voyages (e.g. initial 4). Then
the subset is modified by "shifting forward"; that is, excluding the first voyage in the previous subset
(e.g. voyage 1) and including the next voyage (e.g. voyage 5). This new subset number two will give
the second rolling average element. This process continues until all voyages are covered.
Data sources
Primary data sources selected could be the ship’s log-book (bridge log-book, engine log-book, deck
log-book and other official records). It is important that sufficient information is collected on the
ship with regard to fuel type and quantity, distance travelled and cargo type so that a realistic
assessment can be generated.
Amount and type of fuel used (bunker delivery notes or other sources) and distance travelled
(according to the ship’s log-book or other sources) need to be documented by the ship on a
consistent basis. The whole process may be automated if possible.
Fuel mass to CO2 mass conversion factors (CF)
CF is a non-dimensional conversion factor between fuel consumption and CO2 emissions produced. It
is used in EEOI formula; see Equations (1) and (2). The value of CF according to IMO guidelines is
given in Table 6.1.
Carbon CF
Type of fuel Reference
content (t-CO2/t-Fuel)
Diesel/Gas Oil ISO 8217 Grades DMX through DMC 0.875 3.206000
Light Fuel Oil (LFO) ISO 8217 Grades RMA through RMD 0.86 3.151040
Heavy Fuel Oil (HFO) ISO 8217 Grades RME through RMK 0.85 3.114400
Propane 0.819 3.000000
Liquefied Petroleum Gas (LPG)
Butane 0.827 3.030000
Liquefied Natural Gas (LNG) 0.75 2.750000
Table 6.1: Carbon factor of marine fuels

Data collection template
For a voyage or period (e.g., a day), data on fuel consumption/cargo carried and distance sailed in a
continuous sailing pattern could be collected as shown in the reporting sheet below, Table 6.2.
Name and type of ship
Voyage or Voyage or time
Fuel consumption at sea and in port in tonnes
day (i) period data
Cargo (m) Distance
Fuel type Fuel type Fuel type
… (tonnes or (D)
( ) ( ) ( )
units) (NM)
1
2
3
4
Note: For voyages with mcagro=0, it is still necessary to include the fuel used during this voyage in the
summation above the line.
Table 6.2:- EEOI data reporting sheet (template) [MEPC.1/Circ.684]
The above template is from IMO guidelines; however alternative templates may be used for the
purpose if required.
6.5 Further aspects

Main calculation steps
The EEOI should be a representative value of the energy efficiency of the ship operation over a
consistent period which represents the overall trading pattern of the vessel. In order to establish the
EEOI, the following main steps will generally be needed:
 Define the period for which the EEOI is calculated10
 Define data sources for data collection
 Collect data
 Convert data to appropriate format; and finally
 Calculate EEOI.
Data recording and documentation procedures
Ideally, the data recording method used should be uniform so that information can be easily collated
and analysed to facilitate the extraction of the required information. The collection of data from
ships should include the distance travelled, the quantity and type of fuel used, and all fuel
information that may affect the amount of carbon dioxide emitted.
Monitoring and verification
Documented procedures to monitor and measure, on a regular basis, should be developed and
maintained. It is important that the source of figures established are properly recorded, the basis on
which figures have been calculated and any decisions on difficult or grey areas of data. This will
provide assistance on areas for improvement and be helpful for any later analysis.
Ship and shore responsibility
Based on IMO guidelines and in order to avoid unnecessary administrative burdens on ships’ staff, it
is recommended that monitoring of an EEOI should be carried out by shore staff, utilizing data
obtained from existing required records such as the official and engineering log-books and oil record
books, etc. The necessary data could be obtained during internal audits under the ISM Code, routine
visits by superintendents, etc.
10
Ballast voyages, as well as voyages which are not used for transport of cargo, such as voyage for docking service, should also be included.
Voyages for the purpose of securing the safety of a ship or saving life at sea should be excluded.

7. References and further reading
1. MEPC.1/Circ.684, “Guidelines for voluntary use of the ship EEOI”, MEPC.1/Circ.684, 17 August
2009.
2. Resolution MEPC.203(62) “Amendments to the Annex of the Protocol of 1997 to amend the
International Convention for the Prevention of Pollution from Ships, 1973, as modified by the
Protocol of 1978” relating thereto (Inclusion of regulations on energy efficiency for ships in
MARPOL Annex VI), IMO MEPC, adopted 15 July 2011.
3. Resolution MEPC.212(63): “2012 Guidelines on the Method of Calculation of the Attained EEDI
for new ships”, Adopted by IMO MEPC on 2 March 2012.
4. Resolution MEPC.213(63), “2012 Guidelines for the development of a ship energy efficiency
management plan (SEEMP)” IMO MEPC, Adopted on 2 March 2012.
5. Resolution MEPC.214(63): “2012 Guidelines on Survey and Certification of the EEDI”, IMO MEPC,
adopted on 2 March 2012.
6. Resolution MEPC.231(65): 2013 Guidelines for calculation of reference lines for use with the
energy efficiency design index (EEDI), adopted in 2013.
7. Resolution MEPC.232(65): 2013 Interim Guidelines for determining minimum propulsion power
to maintain the manoeuvrability.
8. Resolution MEPC.233(65): 2013 Guidelines for calculation of reference lines for use with the
Energy Efficiency Design Index (EEDI) for cruise passenger ships having non-conventional
propulsion.
9. ABS “Ship Energy Efficiency Measures, Status and Guidance”,
http://ww2.eagle.org/content/dam/eagle/publications/2013/Energy%20Efficiency.pdf, cited
September 2015.
10. IMO MARPOL Annex VI, 2013, “MARPOL Annex VI and NTC 2008 with Guidelines for
Implementation, 2013 Edition, IMO.
11. Resolution MEPC.229(65), “Promotion of Technical Co-Operation and Transfer of Technology
Relating to the Improvement of Energy Efficiency of Ships”, Adopted on 17 May 2013.
12. MEPC.1/Circ.795.rev1 Unified Interpretations to MARPOL Annex VI (2014).
13. MEPC.1/Circ.815: 2013 Guidance on treatment of innovative energy efficiency technologies for
calculation and verification of the attained EEDI for ships in adverse conditions.
14. Resolution MEPC.254(67): 2014 Guidelines on Survey and Certification of EEDI (one
amendments made in MEPC 68).
15. Resolution MEPC.245(66): 2014 Guidelines on the method of calculation of the Attained Energy
Efficiency Design Index (EEDI) for new ships, adopted 4 April 2014.
16. Resolution MEPC.251(66): Amendments to MARPOL Annex VI and the NOX Technical Code 2008
(Changes to Regs. 2, 13, 19, 20 and 21 and …. and certification of dual-fuel engines under the
NOX Technical Code 2008), Adopted on 4 April 2014.
17. Resolution MEPC.245(66): 2014 Guidelines on the Method of Calculation of the Attained EEDI for
new ships, Adopted on 2 March 2012.
18. Industry Guidelines (2015): 2015 Industry guidelines on calculation and verification of Energy
Efficiency Design Index, MEPC 68 / INF.30.

19. OCIMF “Example of a Ship Energy Efficiency Management Plan”, Submission to IMO, MEPC
62/INF.10, 8 April 2011.
20. Resolution MEPC.260(68) , Amendments to the 2011 Guidelines Addressing Additional Aspects
to the Nox Technical Code 2008 with Regard to Particular Requirements Related to Marine
Diesel Engines Fitted with Selective Catalytic Reduction (SCR) Systems (Resolution
MEPC.198(62)), adopted on 15 May 2015.
21. Resolution MEPC.259(68), 2015 Guidelines for Exhaust Gas Cleaning Systems, adopted on 15
May 2015.
22. Resolution MEPC.261(68), “Amendments to the 2014 Guidelines on Survey and Certification of
the Energy Efficiency Design Index (EEDI)”, (Resolution MEPC.254(67)), adopted on 15 May 2015.
23. Resolution MEPC.262(68), “Amendments to the 2013 Interim Guidelines for
24. Determining Minimum Propulsion Power to Maintain the Manoeuvrability of Ships in Adverse
Conditions”, (Resolution MEPC.232(65), as amended by Resolution MEPC.255(67)), adopted on
15 May 2015.
25. Resolution MEPC.263(68), “Amendments to the 2014 Guidelines on the Method of Calculation of
the Attained Energy Efficiency Design Index (EEDI) for New Ships, (Resolution MEPC.245(66)),
adopted on 15 May 2015.

on
Module 3 – From Management to

Operation
IMO
ACKNOWLEDGEMENTS
The “Train the Trainer” course presented herein is based on material

originally developed by WMU in 2013 under contract for the IMO. This
current edition represents a major upgrade of the training package by Dr
Zabi Bazari of Energy and Emissions Solutions, UK (EnEmSol) under contract
for the IMO.
IMO wishes to express its sincere appreciation for WMU and EnEmSol
expert assistance

M3 From Management to Operation Module 3 - Page 1

MODULE 3
From Management to Operation
This module aims to provide relevant information on ships’ operation management that have
significant impact on a ship’s energy efficiency. A number of topics are covered including:
 The legal frameworks and shipping contracts and their impacts on energy efficiency efforts;
 Fleet optimisation and slow steaming, barriers and best practice;
 Ship load lines, maximum ship capacity and planning to maximise fleet capacity usage;
 The concept of Just in Time operation, its fuel saving impacts and Virtual Arrival.
 E-Navigation and the move to digital charts and other support tools such as ECDIS, weather
routing, voyage analysers as enabling technologies for future optimal management of ships.
Upon completion of this module, you should be able to:
 Give an overview of how shipping industry works, in terms of ship types, cargo types and
shipping segments.
 Explain the importance of management-level activities such as fleet planning, maintenance
management and fuel procurement on overall energy efficiency and energy cost.
 Explain various types of shipping contracts and how the contracts influences ship operation
and energy efficiency.
 Explain the slow steaming, its impact on ship fuel consumption and relevant technical issues.
 Describe the importance of ship loading and ship capacity utilisation for energy efficiency.
 Discuss the issue of just in time operation, concept of Virtual Arrival, E-Navigation concept,
use of ECDIS and weather routing and how all these could be utilised to save energy.
To support your learning process, a list of references is provided at the end of each Section.

document. Because of the evolving nature of regulations, technologies and
future studies in area of MARPOL Annex VI and in particular energy efficiency
of ships, some aspects may require updating over time.
The views expressed in this document are purely those of the author(s) and
may not in any circumstances be regarded as stating an official position of the

CONTENT
1 SHIPPING OPERATIONS OVERVIEW ......................................................................................................... 7
1.1 INTRODUCTION .......................................................................................................................................... 7

1.2 SHIPPING COMPANY STRUCTURE ................................................................................................................... 7
1.3 SHIP TYPES ................................................................................................................................................ 8
1.4 CARGO TYPES AND CHARACTERISTICS.............................................................................................................. 9
1.5 PORTS...................................................................................................................................................... 9
1.6 SHIPPING SEGMENTS ................................................................................................................................... 9
1.6.1 Ship segments by geography of operation ..................................................................................... 10
1.6.2 Shipping segments by operation ..................................................................................................... 10
1.7 SHIP/FLEET PLANNING ............................................................................................................................... 11
1.7.1 Business planning............................................................................................................................ 11
1.7.2 Commercial planning ...................................................................................................................... 13
1.7.3 Routine (operation) planning .......................................................................................................... 14
1.7.4 Speed selection and cruising speed ................................................................................................. 14
1.8 MAINTENANCE MANAGEMENT.................................................................................................................... 15
1.9 BUNKER PROCUREMENT ............................................................................................................................ 16
1.10 ENVIRONMENTAL AND WEATHER ROUTING .................................................................................................... 16
1.11 SHIP LOADING ......................................................................................................................................... 16
1.12 REFERENCES AND FURTHER READINGS .......................................................................................................... 17
2 SHIPPING CONTRACTS AND ENERGY EFFICIENCY ................................................................................... 18
2.1 INTRODUCTION ........................................................................................................................................ 18

2.2 INDUSTRY PLAYERS ................................................................................................................................... 18
2.2.1 Ship operation stakeholders ........................................................................................................... 19
2.2.2 Need for incentives by all parties .................................................................................................... 20
2.2.3 Stakeholders’ legal aspects ............................................................................................................. 21
2.3 CONTRACT OF CARRIAGE ............................................................................................................................ 21
2.3.1 Common Law .................................................................................................................................. 22
2.3.2 Hague-Visby Rules .......................................................................................................................... 23
2.4 BILL OF LADING........................................................................................................................................ 24
2.5 CHARTER PARTY....................................................................................................................................... 25
2.5.1 Voyage charter................................................................................................................................ 25
2.5.2 Time charter .................................................................................................................................... 26
2.5.3 Demise charter ................................................................................................................................ 26
2.5.4 Contracts of affreightment ............................................................................................................. 27
2.6 SHIPPING CONTRACTS AND ENERGY EFFICIENCY .............................................................................................. 27
2.6.1 Slow steaming case examples......................................................................................................... 27
2.6.2 Virtual Arrival case example ........................................................................................................... 28
2.7 REFERENCES AND FURTHER READING ............................................................................................................ 29
3 FLEET OPTIMISATION AND SLOW STEAMING ........................................................................................ 33
3.1 INTRODUCTION ........................................................................................................................................ 33

3.2 SHIP SPEED AND ENERGY EFFICIENCY ............................................................................................................ 33
3.2.1 Ship speed terms ............................................................................................................................. 33
3.2.2 Power and speed relationship ......................................................................................................... 35

3.2.3 Ship fuel consumption versus speed ............................................................................................... 37
3.2.4 Port considerations ......................................................................................................................... 38
3.3 SLOW STEAMING ..................................................................................................................................... 38
3.3.1 Overview ......................................................................................................................................... 38
3.3.2 Slow steaming case study - Container ship example ...................................................................... 40
3.3.3 Slow steaming economics ............................................................................................................... 40
3.3.4 Advantages and disadvantages ...................................................................................................... 41
3.3.5 Ship-owner considerations .............................................................................................................. 43
4 SHIP LOADING AND CARGO MANAGEMENT .......................................................................................... 45
4.1 INTRODUCTION ........................................................................................................................................ 45

4.2 LOAD LINES............................................................................................................................................. 45
4.3 SHIP CAPACITY UTILIZATION ........................................................................................................................ 47
4.4 ENERGY EFFICIENT TECHNOLOGIES AND SHIP CAPACITY ..................................................................................... 47
4.5 LOADING ASPECTS, TRIM AND BALLASTING .................................................................................................... 48
4.6 CARGO EQUIPMENT UPGRADE FOR ENERGY EFFICIENCY .................................................................................... 52
4.7 ECONOMIES OF SCALE ............................................................................................................................... 53
5 JUST IN TIME (JIT) AND VIRTUAL ARRIVAL (VA) ..................................................................................... 55
5.1 DEFINITIONS ........................................................................................................................................... 55

5.2 CURRENT PRACTICES ................................................................................................................................. 55
5.3 JUST IN TIME (JIT).................................................................................................................................... 56
5.4 VIRTUAL ARRIVAL (VA) ............................................................................................................................. 57
5.4.1 Introduction .................................................................................................................................... 57
5.4.2 Virtual Arrival process ..................................................................................................................... 58
5.4.3 Virtual Arrival agreement ............................................................................................................... 60
5.4.4 Other benefits of Virtual Arrival ...................................................................................................... 60
5.5 POTENTIAL FOR ENERGY SAVING .................................................................................................................. 61
6 E-NAVIGATION AND WEATHER ROUTING .............................................................................................. 63
6.1 WHAT IS E-NAVIGATION? .......................................................................................................................... 63

6.2 E-NAVIGATION TOOLS AND GHG EMISSIONS ................................................................................................. 64
6.3 ECDIS (ELECTRONIC CHART DISPLAY AND INFORMATION SYSTEM) .................................................................... 66
6.4 ECDIS USE FOR GHG REDUCTION ............................................................................................................... 67
6.5 PASSAGE PLANNING .................................................................................................................................. 68
6.6 OPERATION IN CONGESTED ROUTES ............................................................................................................. 69
6.7 SHALLOW WATERS AND NARROW CHANNELS ................................................................................................. 69
6.8 WEATHER ROUTING .................................................................................................................................. 70

LIST OF FIGURES
Figure 1.1: Typical organisation of a shipping company ......................................................................... 8
Figure 2.1: Maritime industry players within regulatory and legal frameworks [2nd IMO GHG Study
2009] ..................................................................................................................................................... 19
Figure 2.2: Ship energy management stakeholders ............................................................................. 19
Figure 3.1 – Ship resistances [MAN Diesel & Turbo] ............................................................................ 35
Figure 3.2 – Typical speed-power curves .............................................................................................. 36
Figure 4.1 - Ship energy efficiency as a function of ship size [Bazari 2006] ......................................... 53
Figure 5.1 - Virtual Arrival processes [INTERTANKO and OCIMF 2010] ................................................ 58
Figure 5.2 - Voyage profiles for typical bulk carriers, tankers and containerships [Charlotte Banks et.
al.] ......................................................................................................................................................... 61
Figure 6.1: The IMO model of the principle outline and basic elements of the e-Navigation concept 64
Figure 6.2: Concept of ECDS and its integration with other system [Fredrik Larsson] ......................... 67

LIST OF TABLES
Table 6.1: Increase in fuel consumption (%) as a function of speed and water depth [Mariners
Handbook]............................................................................................................................................. 70
Table 6.2: Increase in fuel consumption due to wind from different directions [Mariners Handbook]
.............................................................................................................................................................. 71

1 Shipping operations overview
1.1 Introduction
This section provides an overview of fleet management issues and discusses how to implement
sustainable fleet management practices that leads to environmental protection and reduces
transport costs. The purpose of a sustainable management of a fleet is to:
• Reduce accidents and associated risks and costs through improved navigation performance,
and fleet health and safety responsibilities.
• Reduce overall fleet costs including fuel costs.
• Reduce fleet environmental impacts including reduction in air emissions such as carbon
dioxide (CO2) emissions.
• Adopt efficient voyage planning techniques to reduce distance sailed, minimise exposure to
adverse sea conditions and make more efficient use of the fleet.
• Adopt new, energy efficient ship technologies and low carbon fuels through fleet renewal
planning that are most appropriate for a sustainable operation.
• Support corporate sustainability goals, for example, under ISO 14001 and other
environmental best practice.
• Provide a competitive edge by demonstrating economics and environmental credentials of
the company’s ship operations to its clients.
The material presented herein is mainly those from Barnhart et al 2007 that has been reformulated
to suit the case for ship energy efficiency. Additional literatures are also provided for further reading
on the subject. The aim is not to provide a detailed account of shipping business and its operations
management aspects but to familiarise the trainee with main aspects of the industry that would
influence the energy efficiency of shipping operations. The topics discussed herein that directly
relate to ship energy efficiency and CO2 reductions are then further discussed in other sections of
this module.
1.2 Shipping company structure

The structure of a shipping company is determined primarily by the nature of the trade in which it
operates and by the size of its activities. For example, the structure of a tramp operator will
generally be different from that of a much larger liner company. Irrespective of the size of the
company, its structure should be designed to permit good and fast decision-making. An example of
typical departments that a shipping company may have is shown in Figure 1.1.

Board of
Directors
Managing
Director (CEO)
Operations Technical IT
Finance Human Marketing
Department Department Department Department
Resources Department
Department
Ships /Fleet
Figure 1.1: Typical organisation of a shipping company

Of the departments shown in Figure 1.1, the operations department and technical department are
relevant to this training course.
Operations department (fleet management): This is the most important department for a shipping
company. The main job of this department is to maximise the economic and safe deployment of the
ships via a number of activities including planning and scheduling, i.e. deciding where to send the
ships and when. A significant level of coordination is done by this department. Coordination is
essential, not only with other internal departments but also with the ships, charterers, ports, agents,
etc.
Technical Department: As the name implies, this department’s main responsibility is to keep the
ships in a seaworthy and good maintenance conditions. It is in charge of ships’ maintenance and
repairs including overhauls, technical repairs, routine maintenance, new building projects, etc.
1.3 Ship types

Ships come in a variety of sizes. The size of a ship is measured by its weight carrying capacity
(deadweight) and by its volume carrying capacity (gross tonnage). Cargo with low weight per unit of
volume fills the ship’s volume before it reaches its weight capacity. Deadweight (DWT) is the weight
carrying capacity of a ship in metric tons. That includes the weight of the cargo, as well as the weight
of fuels, lubricating oils, supplies, and anything else on the ship. Gross Tons (GT) is the volume of the
enclosed spaces of the ship in hundreds of cubic feet.
Ships come also in a variety of types. Tankers are designed to carry liquids in bulk. The larger ones
carry crude oil while the smaller ones usually carry oil products, chemicals, fruit juices and other
liquids. Bulk carriers carry dry bulk commodities such as iron ore, coal, grain, bauxite, alumina,
phosphate and other minerals. Some of the bulk carriers are self-discharging. They carry their own
unloading equipment and are not dependent on port equipment for unloading their cargo. Liquefied
Natural Gas (LNG) carriers carry refrigerated natural gas under very low temperatures.
Container ships carry standardized containers in which packaged goods are stowed. General cargo
vessels carry in their holds and above deck all types of goods, usually packaged ones. These vessels

often have multiple decks or floors. Since handling general cargo is labour intensive and time
consuming, general cargo has been containerized during the past decades, thus reducing the time
that these ships spend on port cargo operations from days to hours.
Refrigerated vessels or reefers are designed to carry cargos that require refrigeration or temperature
controlled cargos like fish, meat, etc. but can also carry general cargo. Roll-on–Roll-off (Ro–Ro)
vessels have ramps for trucks and cars to drive on and off the vessel. Other types of vessels are
ferries, passenger ships, fishing vessels, service/supply vessels, barges, research ships, dredgers,
naval vessels and other special purpose vessels. Some ships are designed as combination of the
above types, e.g., ore-bulk-oil, general cargo with refrigerated compartments, passenger and Ro–Ro
vessels and so on.
1.4 Cargo types and characteristics

Ships carry a large variety of cargos. The cargos may be manufactured consumer goods, unprocessed
fruits and vegetables, processed food, livestock, intermediate goods, industrial equipment,
processed materials and last but not least all different types of raw materials such as crude oil and
minerals.
These goods may come in a variety of packaging such as boxes, bags, drums, bales and rolls or may
be unpackaged or even in bulk. Sometimes cargoes are unitized into larger standardized units such
as pallets, containers or trailers. Generally and in order to facilitate more efficient cargo handling,
goods that are shipped in larger quantities are shipped in larger handling units or in bulk. During the
last decades, packaged goods that required multiple manual handlings and were traditionally
shipped by liners have been containerized into standard containers. Containerization of such goods
facilitates efficient mechanized handling of the cargo, and thus saves time and money.
In addition, goods that are shipped in larger quantities are usually shipped more often in larger
shipment sizes. Cargoes may require shoring on the ship in order to prevent them from shifting
during the passage and may require refrigeration, controlled temperature or special handling while
on board the ship. Different goods may have different weight density, thus a ship may be regarded
as full either by weight or by volume or by another measure of capacity.
1.5 Ports
Ships operate between ports. Ports are used for loading and unloading cargo as well as for loading
fuel, fresh water, other supplies and for discharging waste. Ports impose physical limitations on the
dimensions of the ships that may call in them (ship draft, length and width), and charge fees for their
services. Sometimes ports are used for trans-shipment of cargo among ships, especially when the
cargo is containerized. Major container lines often operate large vessels between hub ports and use
smaller vessels to feed containers to/from spoke ports. In many countries, ports authorities that are
in overall charge of regulating ports are different from those authorities that are in charge of
regulating shipping. The impact of port operation on ship energy efficiency is covered in detail in
Module 5.
1.6 Shipping segments

There are large numbers of ways by which the shipping business may be categorised or classified.
One obvious one is by ship types. Accordingly, the ships could be segmented into tanker, bulker,
container, etc. There are other methods of the shipping segmentation, two of which are briefly
described.

1.6.1 Ship segments by geography of operation
Shipping routes may be classified according to their geographical characteristics as deep-sea, short-
sea, coastal and inland waterways. Due to economies of scale in shipping, larger size vessels are
employed in deep-sea trades between continents whereas smaller size vessels usually operate in
short-sea and coastal routes, where voyage legs are relatively short. For example, smaller
containerships are used on short-sea routes that feed cargo to larger vessels that operate on long
deep-sea routes (referred to as feeders). Due to draft restrictions, inland waterways are used mainly
by barges. Barges are used to move cargoes between the inland and coastal areas; often for trans-
shipments to/from ocean-going vessels or to move cargoes between inland ports.
1.6.2 Shipping segments by operation
There are generally three basic modes of operation of commercial ships:
• Liner operations: Liners operate according to a published itinerary and schedule similar to a
bus line. The demand for their services depends among other things, on their schedules /
itineraries. Liner operators usually control container and general cargo vessels. Cruise
industry, although not referred to as liner operations, usually follow the same model of
operation.
• Tramp operations: Tramp ships follow the available cargoes similar to a removal van. Often
tramp ships engage in contracts of affreightment (see following pages for full description).
These are contracts where specified quantities of cargo have to be carried between specified
ports within a specific time frame for an agreed payment per unit of cargo. Tramp operators
usually control part of tankers and dry bulk carriers segments. Both liner and tramp
operators try to maximize their profits per time unit.
• Industrial operations: Industrial operators usually own the cargoes shipped and control the
vessels used to ship them either as owner or as a charterer. Their vessels may be their own
or on a time charter. Industrial operators aim to minimize the cost of shipping for their cargo
transport but generally operate within a wider company business framework, thus their
approach to ship management may be different from those of the liner or tramp operators.
Industrial operations relate to high volume liquid and dry bulk trades for large integrated
companies such as oil, chemicals and ores corporations.
In shipping and in cases of excess fleet capacity, vessels may be chartered out (to other operators),
laid-up or even scrapped. However, when liners reduce their fleet size, they normally would
reshuffle their itineraries / schedules, which may result in reduced service frequency or withdrawal
from certain markets. Industrial operators, who are usually more risk-averse and tend not to charter-
out their vessels, size their fleet below their long-term needs, and complement it by short-term
(time or voyage/spot) charters from the tramp segment.
Seasonal variations in demand and uncertainties regarding level of future demand, freight rates and
cost of vessels affect the fleet size decision. However, when the trade is highly specialized (e.g. LNG
carriers), no tramp market exists and the industrial operator must assure sufficient shipping capacity
through long-term commitments and contracts. The ease of entry into the maritime industry is
manifested in the tramp market that is highly private market and entrepreneurial. This market
condition results in occasional long periods of oversupply of shipping capacity. This then leads to the
associated depressed freight rates and vessel prices. However, certain market segments such as
container lines pose large economies of scale and are hard to enter by the smaller players.

1.7 Ship/fleet planning
Ship / fleet planning problems are relatively complex as ships operate under a variety of operational
conditions such as:
 A ship operates mostly in international trades which mean that they are crossing multiple
national jurisdictions, with their own relevant issues.
 A ship represents a large capital investment that translates into high daily costs of capital,
fuel costs, port dues, etc. Thus, it cannot remain idle and must be busy earning on a
continuous basis.
 Ships have higher uncertainty in their operations due to their higher dependence on
weather conditions and their operation in multiple jurisdictions and various ports.
 Although shipping may look to be the least regulated mode of transportation, there are
significant legal, political, regulatory and economic aspects involved in maritime
transportation.
Maritime transportation planning problems can be classified in the traditional manner according to
the planning horizon into business, commercial and operational decision making levels.
1.7.1 Business planning
At the business level, aspects that relate to overall industry structure, status and future are being
considered. These are cases such as:
 Market and trade selection,
 Network and transportation system design (including trans-shipment points),
 Fleet size and fleet mix decisions (type, size, and number of vessels),
 Port/terminal location, size, and design.
 Ship design and choice of ship technology.
The business planning aspect of shipping is not of direct interest in this course. At the commercial
levels, most of topics of interest are more relevant and includes for example aspects such as:
 Fleet deployment (assignment of specific vessels to various trade routes),
 Ship routing and scheduling,
 Port and berth scheduling,
 Cargo operation scheduling,
At the operational level, operation management is conducted to optimally achieve the commercial
requirements. These include for example:
 Voyage planning
 Ship speed selection and adjustments
 Ship loading operations
 Ship environmental/weather routing
Business decisions are long-term decisions that set the stage for commercial and operational ones.
In maritime transportation business (strategic) decisions cover a wide spectrum, from the design of
the transportation services to accepting long-term contracts. Most of the strategic decisions are on
the supply side and these are: market selection, fleet size and mix, transportation system/service
network design, maritime supply chain/maritime logistic system design and ship design. The above
decisions are based on operational information and use of a variety of models.
Choice of ship size

The ship design covers a large variety of topics that are addressed by naval architects and marine
engineers. They include structural and stability issues, materials, on-board mechanical and electrical
systems, cargo handling equipment, and many others. Some of these issues have direct impact on
the ship’s commercial viability. Obvious examples for GHG emissions reduction purposes are
decision making on ship size and ship speed.
The question of the optimal size of a ship arises when one tries to determine what is the best ship
for a specific trade? The optimal ship size is the one that minimizes the ship operator’s cost per ton
of cargo on a specific trade route with a specified cargo mix; within all regulatory constraints.
However, one should realize that in certain situations, factors beyond costs may dictate the choice
of the ship size.
Significant economies of scale exist at sea (i.e. use of larger vessels); where the cost per cargo ton-
mile decreases with increasing the ship size. These economies stem from the capital costs of the ship
(design, construction, and financing costs), from fuel consumption, and from the operating costs
(crew cost, supplies, insurance, and repairs). These costs per unit of cargo transport tend to reduce
as the ship size increases.
However, at port the picture is different and may not be in favour of economies of scale. Loading
and unloading rates are usually determined by the land-side cargo handling equipment and available
storage space. Depending on the type of cargo and whether the cargo handling is done by the land-
side equipment or by the equipment on the ship (e.g., pumps, cranes), the cargo handling rate may
be constant (i.e. does not depend on the size of the ship), or, for dry cargo where multiple cranes
can work in parallel, the cargo handling rate may be approximately proportional to the length of the
ship. Since the size of the ship is determined by its length, width, and draft, and since the
proportions among these three dimensions are practically almost constant, the size of the ship is
approximately proportional to the third power of its length. Therefore, in the better case, cargo-
handling rates will increase proportional to the one-third power of the ship size. However, when the
cargo is liquid bulk (e.g., oil) the cargo-handling rate may not be related to the size of the ship.
A ship represents a large capital investment that translates into a large cost per day. Port time is
expensive and presents dis-incentives for large ship scales. Thus the time of port operations may cap
the optimal size of ship. Generally, the longer a trade route is, the larger the share of sea-days in a
voyage, then the larger the optimal ship size will be. Other factors that affect the optimal ship size
are the utilization of ship capacity at sea, loading and unloading rates at the ports, and the various
costs associated with the ship. On certain routes there may be additional considerations that affect
the size of the ship, such as required frequency of service and availability of cargo.
Thus, the optimal ship size is a long-term decision that must be based on expectations regarding
future market conditions. During the life of a ship, a lot of market volatility may be encountered.
Freight rates may fluctuate over a wide range and the same is true for the cost of a ship. When
freight rates are depressed, they may not even cover the variable operating costs of the ship, and
the owner has very few alternatives. In the short run the owner may either reduce the daily variable
operating cost of the ship by slow steaming, that results in significant reduction in fuel consumption,
or the owner may layup the ship till the market improves.
Laying up a ship involves a significant set-up cost to put the ship into layup, and, eventually, to bring
it back into service. However, laying up a ship significantly reduces its daily variable operating cost.
When the market is depressed, owners scrap older ships. The value of a scrapped ship is determined
by the weight of its steel (the “lightweight” of the ship), but when there is high supply of ships for
scrap the price paid per ton of scrap drops.

In the shorter run, ship size may be limited by parameters of the specific trade, such as availability of
cargoes, required frequency of service, physical limitations of port facilities such as ship draft,
length, or width, and available cargo handling equipment and cargo storage capacity in the ports. In
the longer run, many of these limitations can be relaxed if there is an economic justification to do so.
In addition there are limitations of ship design and construction technology, as well as channel
restrictions in canals in the selected trade routes.
Modern cargo handling equipment that is customized for the specific cargo results in higher loading
and unloading rates, and shorter port calls. Such equipment is justified where there is a high volume
of cargo. That is usually the case in major bulk trades; under such circumstances the optimal ship
size becomes very large, far beyond the capacity of existing port facilities. In addition, with such
large ships the frequency of shipments drops to a point where inventory carrying costs incurred by
the shipper start playing a significant role. When one includes the inventory costs in the
determination of the optimal ship size, that size is reduced significantly. The resulting ship sizes are
still much larger than existing port facilities can accommodate, and thus the main limit on ship sizes
is the draft limitation of ports. However, for a higher value cargo or for less efficient port operations,
smaller vessel sizes are optimal. In short-sea operations, competition with other modes may play a
significant role. In order to compete with other modes of transportation more frequent service may
be necessary. In such cases frequency and speed of service combined with cargo availability may be
a determining factor in selecting the ship size.
Fleet size and mix
One of the main strategic issues for shipping companies is the choice of an optimal fleet. This deals
with both the type of ships to include in the fleet, their sizes and the number of ships of each size.
In order to support decisions concerning the optimal fleet of ships for an operator, very often
include routing decisions. The objective of the strategic fleet size and ship mix problem is usually to
minimize the fixed capital costs of the ships needed and the variable operating costs of these ships
when in operation. In a commercial routing and scheduling problem, one usually minimizes only the
operating costs of the ships. However, at the business (strategic) decision making level, the routing
decisions and minimisation of operating costs is combined with minimization of the capital costs
needed for the fleet.
Additionally, the fleet size and mix decisions have to be based on an estimate of demand for the
transportation services. This need to be included in decision making model despite the fact that the
demand forecast is highly uncertain.
1.7.2 Commercial planning
The commercial planning is concentrated on medium-term decisions and the focus of this level in
maritime fleet operation is primarily on optimal routing and scheduling. In industrial shipping the
cargo owner or shipper normally controls the ships’ operations. Industrial operators try to ship all
their cargoes at minimum cost. A tramp shipping company, on the other hand, may have a certain
amount of contract cargoes that it is committed to carry and tries to maximize the profit from
optional cargoes. During the last decades, there has been a shift from industrial to tramp shipping.
Perhaps the main reason is that many cargo owners are now focusing on their core business and
have outsourced other activities like transportation to independent shipping companies. From the
shipper’s perspective, this outsourcing has resulted in reduced risk.
Liner shipping differs significantly from the other two types of shipping operations; i.e. tramp and
industrial. However, the liner shipping involves significant commercial decisions at different planning
levels. The differences among the types of shipping operations are also manifested when it comes to

routing and scheduling issues. One main issue for liners on the commercial planning level is the
assignment of vessels to established routes or lines; this is referred to as “fleet deployment”.
A focus on a fleet deployment problem where the shipping company utilize the different cruising
speeds of the ships in the fleet is important. The routes are pre-defined, and each route will be
sailed by one or more ships several times during the planning period. Each route has a defined
common starting and ending port. A round-trip along the route from the starting port is called a
voyage.
The demand is given as a required number of voyages on each route without any explicit reference
to the quantities shipped. The fleet of ships is heterogeneous and it can be assumed that not all
ships can sail all routes. Such a specification can incorporate needed ship capacity together with
compatibilities between ships and ports. With information about the feasible ship-route
combinations and the company’s fleet mix, the relevant decisions on fleet deployment are taken. Of
course, minimisation of cost and maximisation of profits is one main factor; however and in
particular for liner operators, minimisation of fuel cost and thus reduction of fleet CO2 emissions
becomes an important decision making aspect at this level.
1.7.3 Routine (operation) planning
When the uncertainty in the operational environment is high and the situation is dynamic, or when
decisions have only short-term impact, one resorts to short-term operational planning. This could
happen in part of the tramp shipping segment that requires routine day to day decision making on
best method of fleet deployment.
In certain circumstances, it is not practical to schedule ships beyond a single voyage. This happens
when there is significant uncertainty in the supply of the product to be shipped, or in the demand for
the product in the destination markets. The shipped product may be seasonal and its demand and
supply may be affected by the weather. These factors contribute to the uncertainty in the shipping
schedule. The shipper has to assure sufficient shipping capacity in advance of the shipping season,
but does not know in advance the exact timing, quantities and destinations of the shipments. The
shipper normally does not have return cargoes for the ships, so the ships are hired under contracts
of affreightment or spot charters and generally do not return to load for a second voyage.
Based on product availability, demand projections, inventory at the markets and transit times, the
shipper builds a shipping plan for the short term and has to decide to assign the planned shipments
to the available fleet at minimal cost.
1.7.4 Speed selection and cruising speed
A ship can operate at a speed slower than its design speed and thus significantly reduce its fuel costs
(see for example slow steaming in subsequent sections). However, a ship must maintain a minimal
speed to assure proper steerage and safe operation of main engine, etc. For most cargo vessels the
bunker fuel consumption per time unit is approximately proportional to the third power of the
speed (the consumption per distance unit is proportional to the second power of the speed). Thus,
reducing the speed by 20% reduces the fuel consumption (per time unit) by about 36%.
When bunker fuel prices are high the cost of bunker fuel may exceed all other operating costs of the
ship. Thus there may be a strong incentive to steam at slower speed and reduce the operating costs.
A fleet operator that controls excess capacity (e.g. line operators), can reduce the speed of the
vessels and thus reduce the effective capacity of the fleet, instead of laying-up, chartering-out or
selling vessels.

Often cruising speed decisions may be an inherent part of such fleet scheduling / planning decisions.
Cruising speed decisions affect both the effective capacity of the fleet and its operating costs. Under
a contract of affreightment, a ship operator commits to carry specified amounts of cargo between
specified loading port(s) and unloading port(s) at a specific rate over a specific period of time for an
agreed upon revenue per delivered unit of cargo.
The term fleet deployment is usually used for ship scheduling problems associated with liners as
discussed earlier. In such cases and because the vessels are essentially assigned to routes that they
will follow repeatedly; the deployment decisions (including speeds) are medium to longer term
decisions. On the other hand, tramp and industrial operators usually face shorter term ship
scheduling problems. A set of cargoes has to be carried by the available fleet, and if the fleet has
insufficient capacity, some cargoes may be contracted out. The cruising speed of the vessels in the
available fleet can be an important factor in fleet scheduling decisions.
In addition to cost and schedules, short-term cruising speed decisions should take into account also
the impact of the destination port operating times. If the destination port is closed over the
weekend (or at night) there is no point arriving there before the port opens. Thus reducing the
cruising speed and saving fuel makes sense. In the case where cargo-handling operations of a vessel
that started when the port was open continue until the vessel is finished, even after the port closes,
it may be worthwhile to speed up and arrive at the destination port to start operations before it
closes. There are a variety of tactics that may be used to take advantage of more appropriate vessel
scheduling. These are covered in detail in Section 5 under just in time and virtual arrival operations.
1.8 Maintenance management

Numerous mechanical and electrical systems are installed on board a ship and they require
maintenance. Proper maintenance of a ship has significant impact on overall technical performance
and energy efficiency of the vessel.
A ship is usually scheduled once a year for maintenance in a port or a shipyard, and once every few
years a ship is surveyed by its classification society in a shipyard. However, some maintenance is
required between such planned maintenance periods. This includes both routine/preventive
maintenance and repair of breakdowns (at least temporary repair until the ship reaches the next
port). On-board maintenance is usually done by the crew, but the shrinking size of crews reduces the
availability of the crew for maintenance work. A large ship may have less than two dozen seamen on
board, and that includes the captain and the radio officer. This limited crew operates the ship
around the clock.
In order to facilitate maintenance, a ship must carry spare parts on board. The amount of spare parts
is determined by the frequency of port calls and whether spares and equipment are available in
these ports. Large and expensive spares that cannot be shipped by air, such as a propeller, may pose
a special problem and may have to be prepositioned at a port or carried on board the vessel.
To facilitate good ship maintenance despite the lowering number of crews over time, decision
support tools for condition monitoring are frequently used. Also, third party maintenance contracts
could be made so that external specialised organisations look after important ship-board assets (e.g.
engines). The increase in data communication between ship and shore is an enabling technology to
provide support to ship-board staff by the shoe-based staff. All these topics further discussed in
detail in Modules 4 and 6.

1.9 Bunker procurement
A ship may consume tens of tons of bunker fuel per day at sea and there may be significant
differences in the cost of bunker fuel among bunkering ports. Thus one has to decide where to buy
bunker fuel. Sometimes it may be worthwhile to divert the ship to enter a port just for loading
bunker fuel. The additional cost of the ship’s time has to be traded off with the savings in the cost of
the fuel. Bunker procurement is overall a commercial decision making process but nevertheless it
has large implications for routine operation decision making as well. Additional cost of ship diversion
may not occasionally come into perspective due to split-incentive issues relating to who pays for
what when it comes to ship costs. Bunker procurement not only involves operational considerations
but also technical considerations. The technical issues are covered under “fuel management” in
Module 4.
1.10 Environmental and weather routing

The terms environmental routing and weather routing are often used interchangeably although the
second one is a subset of the first. Weather is part of the environment in which ships operate, for
example weather affects the waves encountered by ships. Ships are exposed to prevailing sea
currents, tides, waves and winds. Recognizing these conditions is the first step toward selecting
routes that mitigate their effects or even take advantage of them. Generally, when a ship moves
between two ports, it has to select its route. However, such a choice is very limited in coastal and
inland waterway navigation. Proper selection of the route may assure on-time arrival at the
destination port or even shorten the time of the passage and reduce its cost.
Environmental routing is complicated by the complexity of the continuous dynamic environment in
which ship operates and the lack of the necessary timely reliable data. Due to these reasons
environmental routing seems to have still some way to go to make them accessible to every type of
shipping. More details of weather routing and its importance with regard to ship energy efficiency is
given in Section 6.
1.11 Ship loading

A ship must be loaded in a safe manner in order to prevent loss of the ship or damage to the cargo.
Ships are designed with certain types of cargo in mind. A ship operates in adverse weather and sea
conditions and its stability must be assured during passage as well as in port.
Ballast tanks are built into the hull in order to help maintain its stability by filling them with
seawater. When a ship is full with cargo of a uniform density for which it is designed, such as crude
oil or iron ore, usually there are no stability problems. Stability problems arise when:
 The ship is partially loaded. In this case, the weight distribution of the cargo must be
properly planned and monitored, both while sailing at sea and during loading or unloading
operations in port.
 When the cargo is not properly secured and may shift during passage, for example, liquid
bulk cargo may slosh in partially empty tanks.
 When the ship is fully loaded with non-uniform cargo, such as containers or general cargo. In
such a case an improper weight distribution of the cargo may result in excessive rolling or
pitching that may lead to loss of the ship. In extreme cases, improper weight distribution
may cause excessive structural stress that may lead to break up of the ship.
Ship stability has several dimensions. The trim of a ship is the difference between the forward and
aft draft and must remain within a narrow range. There should be a balance between weight of the

cargo on the port (left) side and the starboard (right) side of the ship so it will remain horizontal. The
centre of gravity of the ship should not be too high in order not to make it easy to roll, and not too
low so the ship will not snap back too fast from a roll which may cause on-deck cargo to break loose.
The more complex ship loading problems are encountered in loading containerships. Not only the
stability of the vessel has to be assured but also the efficiency of cargo handling operations in the
current and following ports must be taken into account. Containers have different weights and that
may affect the vessel stability. Due to the design of containerships access to a specific container may
be obstructed by other containers stowed on top of it. Therefore, in order to minimize future
container shifting operations, one has to take into account the destination port of the loaded
containers when one decides where to load them onboard the vessel. Moreover, one also has to
consider the destination ports of the containers that will be loaded in following ports of call, and
some of these containers may not even be booked yet. There may also be containers stuffed with
dangerous goods. Such containers impose additional constraints due to spatial separation
requirements.
The focus of research on ship loading has been on loading container ships including minimizing
container shifting, planning container stowage on board. Additional considerations are reduction of
the ballast required by the vessel and efficient use of cranes when loading and unloading. All these
aspects have impacts on a ship’s energy efficiency. More details of these aspects are covered in
Section 4.
1.12 References and further readings

The following list provides references for this section and additional publications that may be used
for more in-depth study of topics covered in this section:
1 C. Barnhart and G. Laporte (Eds.), “Handbook in OR & MS”, Vol. 14, Elsevier B.V. 2007, Chapter
4 written by Marielle Christiansen, Kjetil Fagerholt, Bjørn Nygreen andDavid Ronen.
2 “IMO train the trainer course material”, developed by WMU, 2013.
3 GL and Fraunhofer CML, “Best practice ship management study”,
http://www.cml.fraunhofer.de/content/dam/cml/de/documents/Studien/Best-practice-Studie-
2013.pdf accessed August 2015.
4 Rajesh Bajpaee, “What is the key to successful ship management”,
http://www.shippingstarnet.com/Bajpyee.pdf accessed August 2015.
5 UNCTAD 2014, “Review of Maritime transport”, annual publication of United Nations
Conference on Trade and Development, 2014.
6 Knickerbocker Maritime 2004, “Technical Ship Management’s Effect on Owner’s Profitability”,
http://www.knickerbocker-maritime.com/ShipManagementArticle.pdf.pdf accessed August
2015.

2 Shipping contracts and energy efficiency
2.1 Introduction
The management of a shipping company has the overall responsibility for reducing GHG emissions
from its fleet. Despite the ship-specific activities, the shipping company management must look at
the shipping company as a whole to achieve maximum benefits in reduction of fuel consumption and
fleet GHG emissions.
For this purpose, a company would develop policies and an energy management system. The
company will first target internal aspects such planning, implementation, monitoring and reviews.
The company management would define and communicate the companies’ values and aspirations
and detail how the company intends to achieve the objectives of their energy policy including the
identification of roles and responsibilities, the setting of targets and monitoring performance. The
company should look at ways of improving the utilization of its fleet’s capacity. The company would
implement procedures, which limit any onboard administrative burden.
Other strategies for energy saving could include for example:
 Avoiding long ballast voyages though improved planning
 Reducing down time alongside in port
 Reducing the time it takes to load or discharge by improved cargo handling capability
 Installing equipment so that the ships can use shore power
 Using weather routing services to plan which vessels to use on a particular route
The company may also operate a ‘fleet emissions trading’ system with the company goal linked to
the fleet rather than individual ships. The company may then consider buying new and more
efficient ships.
Having said all the above good items, there is one major aspect of shipping that normally acts as a
barrier to energy efficiency and at the same time has historically being overlooked. This includes the
constraints faced by ship managers from the complex business environment within which the
shipping operates. The fact is that the ship operation and shipping companies or ship
managers/operators are entangled with a number of industry players; and are bound by a number of
contractual and regulatory requirements that may restrict their overall control on various aspects of
ship’s operation management.
Thus, the process of management of the commercial operation of ships is a complex one involving
many players and a large number of legal and regulatory frameworks. This will impact the move to
ship operational energy efficiency and low carbon shipping. In this section, such aspects are further
detailed.
2.2 Industry players

Figure 2.1 provides an overview of the various players in the shipping/maritime industry mainly from
perspective of regulatory enforcement and legislative framework. Currently, the legislative
framework for international shipping consists of about 50 conventions and protocols created by the
IMO plus the relevant legislative measures of the International Labor Organization (ILO) for
seafarers. It is the Contracting Government’s (Parties to various Conventions) responsibility to
transpose international law into their national legislation and enforce it. The right-hand side of
Figure 2.1 presents the various other industry players around the ship-owner, such as banks who
finance ships, insurance companies who insure ships and a variety of companies who are involved in
the commercial and day-to-day operation of a vessel (ship operator, manager, charterer, shipper,

etc.). It is the interaction of these players that decides the overall operational profile of a ship.
Figure 2.1: Maritime industry players within regulatory and legal frameworks [2nd IMO GHG Study 2009]
The ship owners, operators and managers should be aware of how these elements interact and
manage these interactions if they are to formulate an optimum strategy for reducing GHG emissions
from their fleet. Looking at individual ships in isolation will not reap the highest results. To achieve
maximum reduction of GHG emissions, it is important that the company or operator has effective
procedures to improve the energy efficiency of the overall fleet it operates.
2.2.1 Ship operation stakeholders
As highlighted earlier under SEEMP (see Module 2), the management of stakeholders in ships
operation need to be given priority. Figure 2.2 presents the main stakeholders that are involved and
need to be managed.
Figure 2.2: Ship energy management stakeholders

A brief description of various stakeholders engaged in ship operation and some other terms is given
first.
Ship owner: A ship-owner is the owner of a commercial ship that ultimately equips and exploits a
ship, usually for delivering cargo transport services at a certain freight rate. A ship-owner can be a
company or an individual.
Ship operator: A ship operator is any company who operate the ship and is responsible for the
operating costs, repairs and earnings of vessels. The operator may or may not be the owner of the

vessel. Costs include crew wages, port charges and hull insurance.
Ship manager: Ship managers are those who, on behalf of ship-owners or charterers or the ship
operator, engaged in day to day management of the ship. In such a case, all commercial, rights,
obligations and consequences are undertaken by the ship-owners or charterers or ship operators.
Charterer: A person or organization that charters (hires) a ship.
Shipper: The owner or suppliers of goods who entrusts them on board a vessel for delivery using a
contract in the form of a charter-party or bill of lading or otherwise. These are individuals or
companies that send or receive goods for transportation; they are usually the suppliers or owners of
cargo to be shipped.
Carrier: Company that transports goods and/or people in its own or chartered vessels or equipment,
and is named as the carrier in the contract of carriage.
Port manager: Organizations in charge of port operations, dealing with all aspects of port activities
including the port-area movement of ships, the loading and unloading of ships, customs activities,
anchorages, channels, lighters, tugs, berths, warehouse, and other storage spaces, etc. The efficient
management of a port involves managing of all these activities.
Routing is the assignment of a sequence of ports to a vessel. Environmental routing or weather
routing is the determination of the best ship route should use taking into account all aspects of ship
environment including weather.
Scheduling is assigning times (or time windows) to the various events on a ship’s route.
Deployment refers to the assignment of the vessels in the fleet to trade routes.
Voyage: A voyage consists of a sequence of port calls, starting with the port where the ship loads its
first cargo and ending where the ship unloads its last cargo and becomes empty again. A voyage may
include multiple loading ports and multiple unloading ports. Liners may not become empty between
consecutive voyages, and in that case a voyage starts at the port specified by the ship operator
(usually a primary loading port).
It has long been established that an energy efficiency policy implemented and managed correctly
will not only reduce GHG emissions and other pollutants but will also reduce fuel costs which will in
turn reduce the operating cost and increase the company’s overall profits. This could also reduce the
cost of shipment, which may then be passed on to the charterer and the ultimate consumers.
However, this has not happened worldwide due to some aspects that will be highlighted in the
following sections.
2.2.2 Need for incentives by all parties
The overall incentives for reducing fuel consumption and GHG emissions are reduced costs and
environmental protection. While there are many opportunities to optimise and improve operational
efficiency, it will require the participation of several parties as indicated above. It is essential that
each of the parties has the incentives and flexibility to join the energy-saving efforts. As a minimum,
it is particularly important that they do not have incentives to contribute to ship operations that are
regarded as inefficient.
The following sections will highlight the many benefits there are to reducing GHG emissions. The
main benefits can include not only the reduction of operation costs but also because of better
maintenance that results in the ship being kept in service for longer period with decreased down
time both at sea and in port.

Some savings may not be directly passed on to the shipping company such as the reduction of fuel
consumption in a time charter but the ship will become more attractive to charters with the
possibility of demanding a higher freight rate for a particular charter. If a ship is properly maintained
to reduce fuel costs it will also have the effect of generally lower maintenance cost of the ship
machinery. However, in a large number of cases, the “split incentives” prevail.
A ‘split incentive’ refers to a situation where the ship owner or the shipping company does not
benefit from the energy efficiency because they are not paying for the fuel. In the shipping industry,
this mainly occurs when vessels such as bulk carriers, tankers and container ships are hired under a
time charter or a bareboat charter as outlined later. In this case, it is the charterer who pays for the
fuel, but the ship owner who is responsible for any investment in energy- efficiency equipment will
not benefit from energy saving.
This is in some part counter acted by the fact that more fuel efficient ships will have a higher charter
rate but is practice it is difficult to verify the energy saving levels in a straightforward way; thus
making it impossible to guarantee improved fuel consumption levels on a particular vessel. A
situation can arise where the ship is on time charter and operated by the owner who may tend to
minimise time in dry-dock and other maintenance costs such as anti-fouling; thus reducing the time
lost off-hire while at the same time handing the fuel bill to the time charterer. These are examples of
industry behaviours that may be regarded as incentives for inefficient operation. Such practices
should certainly be addressed. Thus in general, the issue of “split incentives” should be handled for
the benefit of all and actions regarded as dis-incentive to energy efficient practices eliminated.
2.2.3 Stakeholders’ legal aspects
Understanding the legal and contractual aspects of ship operation, that sets the tone for relationship
between various stakeholders, is thus essential to reduce the “split incentive” aspects. This will then
provide the business environment for facilitating a more incentivized and harmonious approach to
ship management by all parties involved. To support this process, some of the standard contractual
agreements between parties involved in ship operation need to be analysed and understood.
2.3 Contract of carriage

The purpose of this brief introduction to legal frameworks in relation to the carriage of goods by sea
is to make you familiar with the concepts rather than making you a maritime lawyer. It is to highlight
and provide some background on the importance of looking at the contract of carriage when
deciding on a GHG emissions reduction strategy for both the fleet and individual ships. This is
particularly true for measures that influence the overall operation of the ship including its itinerary
and voyage management. Without such high level considerations, it is likely that the planned energy
saving may not be successful or the ship owner may end up in legal cases for breach of relevant
contracts.
While it is easy to point to areas where the present industry arrangements and system fall short, it is
more difficult to find solutions that would resolve these issues to the satisfaction of all parties. For
example, when it comes to contacts, some may permit options like slow speed steaming and virtual
arrival and some may not. This means that the ship-manager and the chartering department of a
shipping company must work closely together to ensure that for a particular ship on a particular
voyage the terms of the contract are not breached, leaving the ship owner or ship operator open for
potential losses.
On the other hand, they could try also to find contractual solutions to allow more energy efficient
operation of a ship or a fleet. There may be the possibility for the ship owner to negotiate with the

charterer or shipper to have clauses inserted into the contract that will allow a particular GHG
emissions reduction strategy to be implemented. But it is important that all parties to the contact
are aware and has agreed to the changes and that the changes do not conflict with any relevant
national law.
A “contract of carriage” is a contract between a carrier (e.g. a ship in this case) of goods or
passengers and the shippers or passengers. Contracts of carriage typically define the rights, duties
and liabilities of parties to the contract, addressing topics such as terms and conditions, exceptions;
and clauses such as force majeure and jurisdiction. There will be “jurisdiction” and “arbitration”
clauses in almost all the contacts of carriage.
Most contracts of carriage will be subject to The Hague Visby Rules or Hague Rules, which
superseded the old “common law” rules. The ‘common law’ rules that are referred to are normally
based on ‘English/Welsh’ law but in other jurisdictions will have similar provisions in their national
legislation. The issue of jurisdiction is a very important consideration for any contract of carriage so
it should not be assumed that this is always the same.
The Hague Rules and the Hague Visby Rules are a set of internationally agreed rules for the carriage
of goods at sea and most maritime and non-maritime nations normally follow these rules. However,
there are some specific situations in which these internationally agreed rules do not apply and the
rights and obligations of the parties are still governed by “common law”. In this course it is not the
intention to go into these specific situations but for trainees that are interested, any good maritime
law book will give more details.
2.3.1 Common Law
Under common law, there are four basic obligations on the carrier and the latter two are of
particular interest to any ship manager considering either changing the voyage plan from the most
direct route or reducing the speed of vessels to reduce GHG emissions. The basic four obligations
under common law are:
1. The carrier must deliver the goods in the same condition as when they are shipped, and this
is a non-delegable duty. There is however four common law exceptions;
o Act of god
o Act of Queens/Kings enemies
o Loss or damage resulting from inherent vice of the goods.
o Loss resulting from jettison
2. The carrier has an absolute duty to provide a seaworthy ship. This is a much stricter
obligation than in the Hague Visby Rules which only require due diligence on the part of the
ship-owner and is one of the main reasons that the Hague Rules came about.
3. The carrier undertakes to proceed on a voyage without unjustifiable deviation. If there is a

“deviation”, the carrier is liable for any subsequent loss unless he can rely on a common law
exception (such as saving life), and can show that the loss or damage would have occurred in
the absence of the deviation. The question in relation to GHG is: would an alteration of the
voyage plan to take a different route to save fuel and reduce GHG emissions be regarded as
an ‘unjustifiable deviation’. In nearly most cases, the answer to this would be ‘no’ as the aim
would normally be to reduce the distance travelled and not increase it but there may be
examples where this is not the case.

4. The carrier must complete the voyage with reasonable dispatch. If there is undue delay, the
carrier is liable in damages for any loss caused by the delay, unless the loss falls within one
of the excepted perils, and the carrier can show that he has not been negligent. This clause
has implications for just in time operation as it could be argued that the cargo was not
delivered with ‘reasonable dispatch’1 if the ship slows down. This could particularly be the
case if the cargo is lost when the ship was operating at slower speeds and it could be shown
that if the ship proceeded to the discharge port at the normal speed the cargo would have
arrived safely.
At common law, the carrier may limit or exclude its liability under the contract, which can mean that
the buyer, who under common law has no right to dictate the terms of the contract, could end up
with nothing when the loss was totally the fault of the carrier. For this reason international
agreement was reached in the form of the Hague Rules as amended by the Hague-Visby Rules. These
rules preserve the four common law obligations in to contracts in a less strict form but protect the
buyer / shipper by ensuring there is no possibility of contracting out or reducing the carriers’ liability.
2.3.2 Hague-Visby Rules
The Hague–Visby Rules are a set of international rules for the international carriage of goods by sea.
They are an updated version of the original Hague Rules, "International Convention for the
Unification of Certain Rules of Law relating to Bills of Lading", which were drafted in Brussels in 1924
[Wikipedia 2015].
The premise of the Hague–Visby Rules is that, based on earlier English Common Law from which the
Rules are drawn, a carrier typically has far greater bargaining power than the shipper, and that to
protect the interests of the shipper, the law should impose some minimum obligations upon the
carrier.
Under the Rules, the carrier's main duties are to "properly and carefully load, handle, stow, carry,
keep, care for, and discharge the goods carried" and to "exercise due diligence to ... make the ship
seaworthy" and to "... properly man, equip and supply the ship". It is implicit (from the common law)
that the carrier must not deviate from the agreed route or from the usual route other than for
saving life or property at sea. The carriers and shippers duties may be summarised as below:
 Carrier’s duty: The carrier's duties are not "strict", but require only a reasonable standard of
professionalism and care; and the Rules allow the carrier a wide range of situations
exempting them from liability on a cargo claim. These exemptions include destruction or
damage to the cargo caused by: fire, perils of the sea, Act of God, and act of war. A
controversial provision exempts the carrier from liability for "neglect or default of the
master ... in the navigation or in the management of the ship". This basically covers the
carriers for navigation and negligence in ship navigation and management. There are other
Rules that could be used to avoid this aspect.
 Shipper's duties: By contrast, the shipper has fewer obligations (mostly implicit), namely: (i)
to pay freight; (ii) to pack the goods sufficiently for the journey; (iii) to describe the goods
honestly and accurately; (iv) not to ship dangerous cargoes (unless agreed by both parties);
1
The term “reasonable dispatch” is a common law term defining the customary and ordinary obligations of a carrier to transport
shipments. The term is found in most of standard bills of lading. The term generally means obligation to sail without unreasonable delay.
The practical implication of not acting with “reasonable dispatch” comes from an assumption adhered to by the courts in marine insurance
cases, that an unreasonable delay in performing the voyage insured is an equivalent to a “deviation”, which makes the policy void.

and (v) to have the goods ready for shipment as agreed. None of these shippers' obligations
are enforceable under the Rules; instead they would give rise to a normal action in contract.
The Rules, with only 11 Articles, have the virtue of brevity, but have several weaknesses in the rights
and obligations of the carrier and shipper relationships depending on who is seeking more cover in
the contract. Because of these, other Rules such as Hamburg Rules of 1978 and more modern
Rotterdam Rules, with some 96 Articles, have far more scope for covering multi-modal and complex
transport scenarios. However, these Rules remain far from general implementation.
2.4 Bill of Lading

A bill of lading is a document issued by or on behalf of the actual carrier of the goods to the person,
normally the shipper, with whom the carrier has contracted to transport goods. Thus the bill of
lading governs the relationship between the shipper and the carrier (who will be either a ship-owner
or a demise charterer).It will provide details of a shipment of merchandise and gives “title” of that
shipment to a specified party. A straight bill of lading is used when payment for goods has been
made in advance of shipment and requires the carrier to deliver the merchandise to the appropriate
specific party. An order bill of lading is used when the merchandise is shipped prior to payment by
importer of the goods, requiring a carrier to deliver the merchandise to the importer, and at the
endorsement of the exporter the carrier may transfer title to the importer. Endorsed order bills of
lading can be traded as a security or serve as collateral against debt obligations.
Therefore:
 A bill of lading is a standard-form document.
 It is transferable by endorsement (or by lawful transfer of possession).
 It is a receipt from shipping company regarding the number of packages with a particular
weight and markings and a contract for the transportation of same to a port of destination
mentioned therein.
Thus a bill of lading is a key document used in the transport of goods. As a document of title, it is
also an important financial instrument. The bill of lading therefore may perform 3 functions:
1 Evidence that the goods described in it has been received by the carrier (received for
shipment bill), and if a shipped bill that the goods are on-board the ship.
2 Evidence of or the actual contract of carriage.
3 Document of title to the goods.
The bill of lading will normally be either a ‘bearer’, ‘order’ or a ‘straight consigned bill’, which will
dictate who the goods can be delivered to. The ‘bearer bill’ is the most open type of bill that allows
the cargo to be released to anyone who holds the bill. There are two types of ‘order bills’ that
basically allow delivery ‘to order’ to allow transferability without naming the consignee. The ‘straight
consigned bill’ or ‘non- negotiable bill’ makes the goods only transferable to a named consignee and
no other; so is very restrictive in this respect. The type of bill will have important implications for the
shipper on what it can be used for; as it is only possible to raise cash from a bank on a shipped
“bearer or order bill” as they are fully negotiable documents even when still documents of title.
The functions of the bill of lading for a particular contract will depend on several things. For
example, how the goods are purchased. When the contract between the shipper and the buyer is a
classic ‘FOB’ (Free on Board), the buyer nominates the ship, procures the shipping space and is the
legal shipper. In the case of goods purchased on a ‘CIF’ (Cost, Insurance and Freight) basis, the seller
will ship the goods at his own expense and arrange for the insurance. Other issues will be whether
the “contract of carriage” is covered by just the bill of lading, a voyage or time charter and whether

the Hague Rules or Hague-Visby Rules or any other Rules will apply.
2.5 Charter Party

A “charter party” or “charter” is defined as a specific contract by which the owner of a ship lets the
whole or principal part of his/her ship to another person for the carriage of goods on a particular
voyage or many voyages until the expiration of a specified time. In short the charter party is the
contract for mere hiring of a ship with additional conditions on how generally the ship will be used
or operated. Thus a charter-party governs the relationship between the ship-owner and the
charterer.
When a ship owner agrees to carry goods by and receives freight usually between specified ports
with specifying a specific ship, the contract is called a “contract of affreightment” rather than a
charter party; this is discussed later. While it is possible to have a charter party of less than the
entire ship, as a general rule a charter party deals with the full reach of a ship while a contract of
affreightment deals with carriage of goods forming only part of the cargo and coming under a bill of
lading.
Charter parties are highly standardized and are grouped into three main types (1) voyage charter, (2)
time charter and (3) demise or bare boat charter. Because of the highly specialized field of charter
party law, most of the charter parties provide for arbitration. Because of arbitration clauses,
deviations from a charter party do not normally come before a court too frequently and normally
resolved at the arbitration phase.
Statements made as to the ship, her characteristics, speed, cargo capacity, classification, etc., or her
position and situation/location are generally regarded as warranties and charterer is entitled to
avoid the charter or sue for its breach if such warranties are broken by the owner or proved to be
misleading. Thus, if the charter party states the ship is to proceed to the port of loading with "all
possible dispatch" and all possible dispatch is not used by the ship, the warranty is breached and the
charterer can avoid the contract.
Without a “deviation” clause, which also appears in the bill of lading in some form or other, the ship,
if deviating, breaches the charter party. While the charter party may not mention "seaworthiness" of
the chartered ship, the general maritime law reads into every charter party a warranty of
seaworthiness as a basic requirement.
2.5.1 Voyage charter
A voyage charter is a contract of carriage for one voyage or a series of voyages. The ship remains
under the control of the owner as to manning and navigation. Cargo carried during a voyage charter
may also have a bill of laden so may also be covered by the Hague-Visby Rules but there is normally
no mandatory application of these rules in a voyage charter unless the goods are transferred to a
third person as explain in the section on bill of lading. The contract will normally have a ‘due
dispatch’ clause that requires all reasonable speed or a stated date and a ‘cancellation clause’ that
will allow the charterer to abandon the contract if the vessel has not arrived in a reasonable time;
the ship-owner is then liable to damages.
Under a typical voyage charter-party the ship operator decides what speed of the vessel during the
voyage so as to arrive at the port at the due date. There are also a number of days ‘lay days’ agreed
in the contract for the loading and discharge of the cargo. For the commencement of lay-time three
things are required;
- The vessel must be fit to load or unload.
- She must be an ‘arrived ship’.

- The ‘notice of readiness’ (NOR) to load or discharge must be given to the charterer.
For a ship to be an ‘arrived ship’ the master must tend his NOR; and where and how he can legally
do this will depend on whether the contract states ‘port’ or ‘berth’. Interpreting what ‘berth’ means
is quite clear but there have been several legal differences of option on what constitutes a ‘port’.
Common law only requires the NOR to be tended by the master at the loading port but most voyage
charter provide for NOR to be given at the discharge port.
If the ship arrives in good time to discharge or load the cargo and the port cannot provide cargo
once the agreed ‘lay days’ are used up, then the ship owner is also entitled to an economic
compensation called ‘demurrage’. If the ship arrives ready to load the cargo and port is not able to
load the ship due to port congestion the ship operator has the option to take on a new cargo if one is
available or wait for the port congestion to clear and be compensated by the ‘demurrage’. The
demurrage rate will depend on the particular contract but are often as high if not higher than the
freight rate that the ship owner would have received.
Based on the above arrangement, the incentive is therefore for the ship operator to sail the ship as
fast as it can so as to be sure the ship arrives in good time and become an “arrived ship” so that the
lay days start to count. The frequent outcome of this process is that ships will steam at full speed to
a port, wasting large amounts of fuel and producing extra GHG, to arrive at the port and be too early
to start cargo operations. This often results in the ship sitting at anchor or alongside for possible
weeks waiting for the cargo and wasting yet more fuel and producing more GHG.
2.5.2 Time charter
Here again similar to voyage charter, the ship is manned and navigated by the owner but her
capacity is let to the charterer for a specified time. The time charter permits the charterer to have
the ship under his control for a fixed period of time without undertaking the long term financial
commitments of a ship owner or the responsibilities of ship management and navigation to finance
or maintain various aspects of ship as an asset.
Time charters are set for a set period of time which may be in months or years. It is normal that the
charterer pays for the fuel and port costs but the ship owner must take care of the other operating
cost like maintaining the ships engine, hull, etc. and pay the crew and for insurance. Time charters
will normally have a speed and fuel warranty clause stating the speed and fuel consumption of a
ship. Despite its name, this term of the contract is usually an intermediate term and not a warranty.
Thus the charterer can only repudiate the contract if the statement as to the fuel and speed is
substantially incorrect.
The time charter is a good example of the ‘split incentive’ problem mentioned earlier, as the ship
owner will not pay for the fuel while will be responsible for operational and capital investments to
save energy. As the benefit of saving fuel goes directly to charterer, there is no incentive for ship-
owner to look at ways of reducing the fuel costs.
2.5.3 Demise charter
This is a charter party in which the charterer takes control of all aspects of a ship operation, puts his
own stores, fuel oil and other provisions on board and hires the crew. It is sometimes known as a
‘bare-boat’ charter party. In such a charter-party, the master and the crew are like the charterers
employees, and possession and control of the vessel rests with the charterer. The demise charterer
is for all practical purposes the temporary owner of the ship. The test to distinguish a demise charter
is “control”. If the charterer has full control as if the ship is his own, the charter is a demise charter-
party. Otherwise, it is a voyage or time charter or a combination of the two.

The “demise charter” arrangement is another good example of the ‘split incentive’ issue mentioned
earlier where there is no incentive for the actual owner of the ship to invest in energy saving
technology on the ship as he will not pay for the fuel cost or even in this case the maintenance of the
ship as the charterer will have that responsibility. However, in such cases the charterer will have
more control on ship, thus will have more incentive and control to achieve operational energy
efficiency.
The most important legal distinction between the demise versus the time and voyage charters is that
the demise charterer is regarded as the owner and as such qualifies as an owner for the benefit of
the limitation of liability statutes whereas the time and voyage charterers do not.
2.5.4 Contracts of affreightment
In a contract of affreightment a ship-owner agrees to move a specified quantity of cargo over a
specified period of time from one port to another without designating a particular ship. The ship
owner pays for the voyage costs and the vessel. Contracts of affreightment are often set for a period
of few or several years. As these contracts cover such long times, the contract will often have a
clause that will allow an increase in the freight rates to cover increased fuel and other costs. Such
contracts are often used in the bulk trade for cargos such as coal to supply a power station, of
Bauxite to supply an aluminium manufacturer, for supply of grain, etc. The contracts of
affreightment could include aspects of time or voyage charter party terms depending on type of
arrangement between carrier and the shipper.
2.6 Shipping contracts and energy efficiency

A ship may arrive in a busy harbour, only to wait for days or weeks to unload. The ship operator will
receive compensation from the charterer from a payment called ‘demurrage’ for each day of waiting
which will be already agreed in the contract of carriage. On the other hand, if the ship owner does
not arrive on time, it will face penalties under “due dispatch” clauses. This encourages the ship
owners to be more conservative in adjusting speed for energy efficiency. Instead, he will go faster to
reach the next port of call ahead of schedule. This is one example of the contractual arrangements
and the incentives of the different parties of the contract that may practically have a significant
influence on ship operations and hence on fuel in-efficiency of operation. This topic has been the
subject of debate within maritime industry in the last several years and some amendments to
standard contracts are proposes.
2.6.1 Slow steaming case examples
Slow steaming means operating the ship at lower speeds in order to reduce fuel consumption (see
Section 3 for details). Although slow steaming is very effective in reducing a ship’s fuel consumption,
its practical implementation may be problematic within the current shipping legal/contractual
framework, in particular for certain ship types and trades [Gard 2015].
Legal issues
In the absence of explicit statements to the contrary in prevailing contracts, under a voyage charter
party or bill of lading contract, the owners of a vessel undertakes that the vessel will proceed to the
loading or discharge port without unreasonable delay. Thus, the general rule is that the ship owner
bears the risk of any delays unless covered by an exception clause.
If the carrier intentionally proceeds with unreasonable delay by slow steaming the vessel, he may be
committing a “deviation”. Deviation is justified under common law only for saving life at sea and the
Hague-Visby Rules extend this somewhat to allow deviations to save life or property at sea. In such
cases, owners and operators would commit an unjustified deviation and risk losing the right to rely

on exclusions and exceptions as set out for example in the Hague-Visby Rules. As a result, ship
owners and operators will lose the insurance cover for any liabilities that may arise as a result of the
deviation.
In some cases a carrier may be able to rely on a deviation clause, if one is included in the charter
party and/or bill of lading, although this may not provide any protection in certain jurisdictions. It is,
therefore, important for a ship owner and a charterer to incorporate suitable clauses into the
applicable contracts if slow steaming is planned, in order to try to avoid the consequences described
above.
Under a time charter, the charterers may give the owners instructions to slow steam. The main legal
issues related to slow steaming in this case relate to the ship owners’ obligations to follow the
charterers’ slow steaming instructions, whilst at the same time ensuring the safety of the vessel,
crew and cargo and also taking into account their obligations towards third parties, such as bill of
lading holders. These aspects also need consideration for specific cases between owner/operator
and charterer, where applicable.
BIMCO clauses
Due to the above legal issues, BIMCO has undertaking to develop relevant clauses for the charter
party. After long discussions a time charter clause and a voyage charter clause for slow steaming
were published by BIMCO as shown in Appendix 1. These are suitable for the liner, tanker and dry
bulk trades. However, it is important to keep in mind that even where the owners and charterers
have an identical interest in slow steaming, the bill of lading holders must be taken into account as
well and the relevant contracts must be worded appropriately. The legal status of the BIMCO clause
and its practical application within existing charter parties is not yet clear.
2.6.2 Virtual Arrival case example
Virtual Arrival is a method used to reduce the ship idle times at ports and use the extra time for
reducing/adjusting ship speed en route in order to save fuel and reduce GHG emissions (see Section
5 for details). By reducing speed to meet a mutually agreed arrival time, the vessel can avoid
spending time at anchor awaiting a berth or port cargo space or cargo availability. It is a technique
for ensuring a ship’s just in time operation.
Similar to slow steaming, this would require adjustment to ship operation contracts such as charter
party or bill of lading as this type of operation will be more prone to possibility of late arrival by the
ship at port of call that may contractually interpreted as the unreasonable dispatch or deviation.
Thus, for such just in time ship operation, contractual aspects need to be sorted one of the main
barriers.
A virtual arrival clause in the charter party permits a charterer to request an owner to adjust the
speed of a voyage chartered vessel to arrive at a loading or discharging port at an agreed date and
time. In other words, the clause is designed to assist ship owners, charterers and ports to come to a
rational agreement regarding sailing speed and arrival time to avoid port congestion. Like the slow
steaming clauses, any reduction in the vessel’s speed, with charterers’ agreement, should not be
considered a breach of owners’ due dispatch obligations and should therefore not give rise to
interpretation as an unjustified deviation.
BIMCO has also drafted a virtual arrival clause [e.g. see Gard 2015], but has not yet published it
formally. Additionally, its practical application within existing charter parties is not yet clear.

2.7 References and further reading
1 “IMO train the trainer course material”, developed by WMU, 2013.
2 Gard 2015, “Slow steaming and virtual arrival”,
http://www.gard.no/ikbViewer/web/updates/content/20734104/slow-steaming-and-
virtual-arrival, cited November 2015.
3 Wikipedia 2015, “Hague–Visby Rules”,
https://en.wikipedia.org/wiki/Hague%E2%80%93Visby_Rules, cited November 2015
2015.
4 Wikipedia 2015, “Affreightment”, https://en.wikipedia.org/wiki/Affreightment, cited
November 2015.
5 IMO (2009); Buhaug, Ø., Corbett, J.J., Endresen, Ø., Eyring, V., Faber, J., Hanayama, S.,
Lee, D.S., Lee, D., Lindstad, H.,Markowska, A.Z., Mjelde, A., Nelissen, D., Nilsen, J.,
Pålsson, C., Winebrake, J.J., Wu, W., Yoshida, K.. Second IMO GHG Study 2009. London,
UK.

Appendix 1 – BIMCO Carter Parties Clauses for slow steaming
BIMCO Slow Steaming Clause for Time Charter Parties [Gard 2015]
(a) The Charterers may at their discretion provide, in writing to the Master, instructions to
reduce speed or RPM (main engine Revolutions Per Minute) and/or instructions to adjust
the Vessel’s speed to meet a specified time of arrival at a particular destination.
(i) *Slow Steaming – Where the Charterers give instructions to the Master to adjust the
speed or RPM, the Master shall, subject always to the Master’s obligations in respect of the
safety of the Vessel, crew and cargo and the protection of the marine environment, comply
with such written instructions, provided that the engine(s) continue(s) to operate above the
cut-out point of the Vessel’s engine(s) auxiliary blower(s) and that such instructions will not
result in the Vessel’s engine(s) and/or equipment operating outside the
manufacturers’/designers’ recommendations as published from time to time.
(ii) *Ultra-Slow Steaming – Where the Charterers give instructions to the Master to adjust
the speed or RPM, regardless of whether this results in the engine(s) operating above or
below the cut-out point of the Vessel’s engine(s) auxiliary blower(s), the Master shall,
subject always to the Master’s obligations in respect of the safety of the Vessel, crew and
cargo and the protection of the marine environment, comply with such written instructions,
provided that such instructions will not result in the Vessel’s engine(s) and/or equipment
operating outside the manufacturers’/designers’ recommendations as published from time
to time. If the manufacturers’/designers’ recommendations issued subsequent to the date of
this Charter Party require additional physical modifications to the engine or related
equipment or require the purchase of additional spares or equipment, the Master shall not
be obliged to comply with these instructions.
* Sub-clauses (a)(i) and (a)(ii) are alternatives; delete whichever is not applicable. In the
absence of deletions, alternative (a)(i) shall apply.
(b) At all speeds the Owners shall exercise due diligence to ensure that the Vessel is
operated in a manner which minimises fuel consumption, always taking into account and
subject to the following:
(i) The Owners’ warranties under this Charter Party relating to the Vessel’s speed and
consumption;
(ii) The Charterers’ instructions as to the Vessel’s speed and/or RPM and/or specified time of
arrival at a particular destination;
(iii) The safety of the Vessel, crew and cargo and the protection of the marine environment;
and
(iv) The Owners’ obligations under any bills of lading, waybills or other documents
evidencing contracts of carriage issued by them or on their behalf.
(c) For the purposes of Sub-clause (b), the Owners shall exercise due diligence to minimise
fuel consumption:
(i) when planning voyages, adjusting the Vessel’s trim and operating main engine(s) and
auxiliary engine(s);
(ii) by making optimal use of the Vessel’s navigation equipment and any additional aids
provided by the Charterers, such as weather routing, voyage optimization and performance
monitoring systems; and

(iii) by directing the Master to report any data that the Charterers may reasonably request to
further improve the energy efficiency of the Vessel.
(d) The Owners and the Charterers shall share any findings and best practices that they may
have identified on potential improvements to the Vessel’s energy efficiency.
(e) **For the avoidance of doubt, where the Vessel proceeds at a reduced speed or with
reduced RPM pursuant to Sub-clause (a), then provided that the Master has exercised due
diligence to comply with such instructions, this shall constitute compliance with, and there
shall be no breach of, any obligation requiring the Vessel to proceed with utmost and/or due
despatch (or any other such similar/equivalent expression).
(f) **The Charterers shall ensure that the terms of the bills of lading, waybills or other
documents evidencing contracts of carriage issued by or on behalf of the Owners provide
that compliance by Owners with this Clause does not constitute a breach of the contract of
carriage. The Charterers shall indemnify the Owners against all consequences and liabilities
that may arise from bills of lading, waybills or other documents evidencing contracts of
carriage being issued as presented to the extent that the terms of such bills of lading,
waybills or other documents evidencing contracts of carriage impose or result in breach of
the Owners’ obligation to proceed with due despatch or are to be held to be a deviation or
the imposition of more onerous liabilities upon the Owners than those assumed by the
Owners pursuant to this Clause.
** Sub-clauses (e) and (f) not applicable in the liner trade.

BIMCO Slow Steaming Clause for Voyage Charter Parties [Gard 2015]
(a) The Owners shall be entitled to give instructions to the Master to reduce speed or RPM
(main engine Revolutions Per Minute) provided that the Vessel’s speed, basis good weather
conditions, shall not fall below knots.
(b) Where the Vessel proceeds at a reduced speed pursuant to Sub-clause (a), this shall
constitute compliance with, and there shall be no breach of, any obligation requiring the
Vessel to proceed with utmost and/or due despatch (or any other such similar/equivalent
expression).
(c) The Charterers shall ensure that the terms of the bills of lading, waybills or other
documents evidencing contracts of carriage issued by or on behalf of the Owners provide
that the exercise by Owners of their rights under this Clause does not constitute a breach of
the contract of carriage. The Charterers shall indemnify the Owners against all consequences
and liabilities that may arise from bills of lading, waybills or other documents evidencing
contracts of carriage being issued as presented to the extent that the terms of such bills of
lading, waybills or other documents evidencing contracts of carriage impose or result in the
imposition of more onerous liabilities upon the Owners than those assumed by the Owners
pursuant to this Clause.
(d) This Clause shall be without prejudice to any other express or implied rights under this
Charter party entitling the Vessel to proceed at speeds below the minimum speed stated in
Sub-clause (a).

3 Fleet optimisation and slow steaming
3.1 Introduction
Fleet optimisation for energy efficiency seeks to achieve the following two main objectives:
 Increase the ships’ load capacity to as high as possible.
 Reduce the ships’ operational speed to as low as possible.
Off course the above two main objectives may not be compatible with the commercial and business
requirements, ship operation contracts as well as the way a ship is designed or operated. Also,
occasionally it may conflict with best technical management of the ship or contractual framework
under which the ship operates (for contractual aspects, see Section 2).
The topic of “ship load management”, that addresses the first bullet above, is covered in Section 4.
This section covers ship speed and its management for energy efficiency as one of the most
important operational measure for reducing ship fuel consumption.
The main barriers to achieving the best use of ship speed for energy efficiency are as follows:
 Lack of clarity on optimum or economic speed of a vessel.
 Commercial environment that may dictate the use of vessels in a non-optimal way.
 Contractual frameworks that may not allow for implementing certain measures as they may
constitute a breach of contract.
 Overall economics of ship operation when taking into account the commercial aspects that is
important to cargo owner or charterer (such as timing of cargo delivery) that may overshadow
the need for speed optimisation and adjustments for energy saving.
 Regulatory or safety requirements such as engine NOx compliance that dictates no major
changes to engine settings beyond certain limits. This limits the actions needed for engine
optimisation or engine adjustments for slow steaming.
In this section, various topics will be covered that not only explains the above subjects in detail but
also aims to provide information on best ways of resolving these apparently conflicting
requirements.
3.2 Ship speed and energy efficiency

Ship speed reduction can produce significant energy savings; this is agreed by all industry players as
the most influential parameter on a ship’s fuel consumption. To determine the optimum speed for a
particular vessel and the optimum number of vessels in the fleet, it is required not only a good
estimate of the cargo that need be transported but also the number of port calls and where they are
located. The aim should be to maximise the reduction of fuel consumption and GHG over the whole
fleet particularly if the ships are on set schedules that must be maintained. Also, it is often the case
that it may not be possible to maintain an optimum or a low speed for the whole trip, as operational
considerations may need to take priority to maintain a service.
3.2.1 Ship speed terms
Speed optimisation for fuel efficiency generally means to operate at a lowest ship speed that is
technically feasible. This is referred to as “slow steaming” that will be covered in a subsequent
section. Terminologies used for ship speed is often confusing, thus herein various definitions are
provided first:
 Design speed: Technically speaking, a ship is designed for a specific operating speed (design

speed). Generally, during ship design and choice of machinery, the engine and ship hull form and
main dimensions are optimised for this operating condition. Engine and hull-propeller
efficiencies normally tend to reduce beyond this technically-optimal design speed. The term
“design speed” has significance when relationship between ship-owner and ship-builder are
considered. It is part of the contractual requirements between the two parties; and is normally
assessed and confirmed during the initial speed trial (commissioning trial) of the ship.
 Slow steaming: This term refers to running a ship at a significantly lower speed than its design
speed. Generally slow steaming refers to ship speeds that are achieved when the main engine’s
load is less than 60% MCR. This is a type of agreed definition between the majority of industry
experts. This means that smaller levels of speed reductions achieved under voyage and port
management (as described in Sections 5) do not fall under the category of “slow steaming”.
Despite the technically optimised hull-propeller-engine for a ship’s design speed, it can easily be
demonstrated that as the ship speed reduces, the hull resistance reduces more significantly than
its corresponding impacts on various propulsion efficiencies; thus reducing the ship’s fuel
consumption per tonne-mile carried. This significant reduction in resistances makes the use of
slow steaming such an attractive preposition for the reduction of a ship’s fuel consumption.
From this perspective, generally the lower the ship speed, the lower will be the overall ship fuel
consumption. The minimum speed under which a ship could operate is dictated by the engine’s
capability to run at low loads. For engine’s integrity, it is not possible in all cases to reduce ship
speed very significantly.
 Ship economic speed: This term is frequently used in shipping and in fact is normally part of the
charter-party agreements. It generally means a speed at which the ship transport as a whole
yields the best financial results under the given constraints of engine power, sea conditions, port
and waterways dues, and other commercial/financial requirements of the charterer. In industry,
generally the ship economic speed is perceived as the optimal ship speed for energy efficiency.
This is not correct as explained above; under slow steaming, extreme speed reduction is always
beneficial for fuel consumption reduction.
 Service speed: The origin of this term is to do with relationship between charterer and ship
owner and refers to the average speed maintained by a ship under normal load and weather
conditions. This is normally equivalent to ship design speed as described above; however, it may
differ in cases where a ship’s design speed has been affected by its operation history.
 Maximum speed: This term defines the maximum speed of a ship that the ship-owner claims the
ship practically can achieve. It is normally the speed of the vessel under full engine MCR. As
such, ship maximum speed is higher than the ship design speed that is normally specified at 90%
MCR (taking into account relevant sea margins). The origin of this term is from the relationship
between charterer and ship owner and normally this term may appear in relevant contracts.
The above ship speeds would vary from one ship to the other and will be influenced by hull form,
engine design, age of the vessel, commercial and legal requirements and so on. For example, with
modern engines with electronically controlled fuel injection system, a wider range optimal
operation, as a function of load, is possible thus giving more flexibility in terms of slow steaming as
well as the choice of ship economic speed and so on. Thus, the engine fuel consumption
characteristics and ships propellers curves should be considered when deciding on the level of
optimum speed for a particular ship on a particular voyage.

In practice, the ship masters normally follow the speed orders given by the company or charterer; as
this mostly has legally binding obligations. In such a case, the question of “what speed the ship
should operate?” should be understood by all parties on-board so that there is no misunderstanding
in the interpretation by the different speed terms and their practical implications.
3.2.2 Power and speed relationship
The relationship between a ship’s speed and power can be developed from basic ship
hydrodynamics as detailed below. The total resistance of a ship in water consists of many types of
resistances which can be divided into the following groups:
 Frictional (water) resistance: Due to water friction against the ship’s wetted surface areas.
 Air resistance: Due to air friction against ship hull that is out of water and ship’s
superstructure.
 Wave making resistance: Due to formation of waves and energy used by ship in this process.
 Eddy-current resistance: This is the added resistance due to irregular flow of water around
the ship in particular in the aft end.
Figure 3.1 shows a schematic of these resistances.
Figure 3.1 – Ship resistances [MAN Diesel & Turbo]

The above resistances (R) are generally proportional to ship speed squared (Vs2) as shown in the
following formulas, where C represents various resistance coefficient.
S
Wave resistance RW : RW  CW   VS2  S S ( N ) ;
2
S
 Still  Air resistance RAA : RAA  C AA   VS2  S S ( N ); where :
2
SS  wetted surface area of the hull (m2 )
S
Friction resistance RF : RF  CF   VS2  S S ( N );and VS  ship speed (m / s), Note : 1 knot  0.514 444 4 m / s
2
 S  mass density of seawater ,  S  1,025.0 kg / m3
S
Eddy-making resistance :  C r CR  C AA  CF    V  SS ( N ) :
S
2

The above relationship between speed and power can be written in simpler forms as follows:
Resistance = c1* (ship speed)2
Propulsion power = Resistance * (ship speed)
Propulsion power = c1 * (ship speed)3
c1 is a proportionality factor that itself may somewhat change when ship speed changes.
Thus based on the above theory, a ship’s required power increases with the cube of the ship’s speed.
In practice, the above relationships will be somewhat impacted by the ship hull form and speed of
the vessel. Ship speed-power curve (see Figure 3.1 as a typical one) is derived either during sea trials
or by using the collected in-service data. At the same time, propeller’s shaft power versus shaft
speed can also be derived as shown in Figure 3.1.
(a) Shaft power versus ship speed (b) Shaft power versus shaft speed
Figure 3.2 – Typical speed-power curves
In deriving the above speed-power curves during sea trials, the following ideal conditions are used:
 Clean hull
 Polished propellers
 Calm sea and minimal wind
 Design draught and zero trim
Correction factors are applied, where necessary, if the actual conditions experienced during the ship
trials/testing are not as above. Under normal in-service operation, this curve may be derived by
performing dedicated speed trials, or simply measuring under actual conditions over an extended
period of time (extended period will minimise the impact of weather and sea conditions through
averaging). The ship speed-power curve plays an important role in identifying hull fouling and ship
performance. It is used as part of ship performance monitoring analysis system and monitored to
identify deviations due to poor performance.

3.2.3 Ship fuel consumption versus speed
It is well known that a ship’s fuel consumption generally increases with speed squared. Ship fuel
consumption is a function of both propulsion and non-propulsion (auxiliary) power. In passage
operation, the propulsion power is the dominant one and about 80% of commercial cargo ship’s fuel
consumption is due to the need for propulsion. From propulsion aspect, fuel consumption per unit
of distance travelled is a function of square of ship speed as shown below:
Propulsive power α (Ship speed)3
Fuel consumption α (Ship speed)3

Distance travelled α Ship speed
Fuel consumption per nautical mile α (Ship speed)2

Based on the above formulas, an increase in ship speed by 20% will result in an increase in
propulsion power by 73% and an increase in fuel consumption per nautical mile by 44%. In practice,
the above proportionality factors do change with ship speed as mentioned before. This cube power-
speed relationship could increase at higher speeds due to wave making resistance. For example,
increasing the speed by 1 knot from 14 knots requires more power than increasing the speed by 1
knot from 10 knots. Conversely, when slow steaming is started for higher speeds, one can gain very
large savings, for example from 14 to 13 knots, one saves more than the saving from 11 to 10 knots.
Also, the level of savings is impacted by ship size; normally larger ship sizes given better fuel
consumption reduction with slow steaming. The importance of this effect is shown in Figure 3.3,
which provides an estimate of daily fuel cost for a number of container ship sizes operating at
different speeds.
Figure 3.3 – Ship fuel consumption dependence on ship speed

[Geography of Transport System, adapted from Notteboom et al (2009)]

As Figure 3.3 indicates, fuel consumption by a container ship is mostly a function of ship size and
ship speed. While shipping lines would prefer consuming the least amount of fuel by adopting lower
speeds, this advantage is counter-balanced with longer shipping times as well as assigning more
ships to maintain the same port call frequency. For containerships, the main ship speed classes are2:
 Normal (20-25 knots): Represents the optimal operation speed as far as the engine design is
concerned. It also reflects the optimal hydrodynamic efficiencies of the hull and propeller to
perform within acceptable fuel consumption levels. Most container ships in the past 15 years are
designed to travel at speeds around 24 knots.
 Slow steaming (18-20 knots): Running ship engines below capacity to save fuel consumption, but
at the expense of an additional voyage time, particularly over long distances (compounding
effect). This is likely to become the dominant operational speed of containerships as more than
50% of the global container shipping capacity was operating under such conditions as of 2011.
 Extra slow steaming (15-18 knots): Also known as super slow steaming. A substantial decline in
speed for the purpose of achieving a minimal level of fuel consumption while still maintaining a
commercial service. Can be applied on specific short distance routes.
 Minimal cost (12-15 knots): The lowest speed technically possible. The level of service is however
commercially unacceptable, so it is unlikely that maritime shipping companies would adopt such
speeds.
3.2.4 Port considerations
As a part of speed optimisation process, due account should be given to the need to co-ordinate
arrival times with the availability of loading or discharge berths on a particular trade or route. This is
covered in more detail later on. Also, operation in shallow waters under slower speeds as well as a
gradual increase in speed when leaving a port or estuary whilst keeping the engine load within
certain limits, all contributes to optimal operation of the vessel. The case for port aspects are further
discussed in Module 5.
3.3 Slow Steaming

3.3.1 Overview
Based on the above analysis, it is evident that fuel consumption reduction can be gained when a
vessel is slow steaming, despite the fact that, the engine’s Specific Fuel Oil Consumption (SFOC) will
increase when a ship is no longer operating at its design speed. As shown by formulas before, if the
power consumption of individual ships is reduced by the third power, the net effect on fuel
consumption reduction is a second-power reduction; hence, a reduction of speed by 10% roughly
equates to a reduction in shaft power by 27% and an energy saving of 19% on a tonne-mile basis.
Generally slow steaming refers to ship speeds that are achieved with engine load of less than 60%
MCR; however, Figure 3.4 gives a more detailed definitions and terminologies appropriate for this
purpose.
2
Website: http://www.people.hofstra.edu/geotrans/eng/ch8en/conc8en/fuel_consumption_containerships.html

Figure 3.4 – Reduced speed range and slow steaming levels [Przemysław Kowalakx]
This means that smaller levels of speed reductions achieved under voyage (just in time) and port
management (see Sections 4 and 8) do not fall under the category of “slow steaming”. Despite the
technically-optimised hull-propeller-engine for ship’s design speed, it can easily be demonstrated
that as the ship speed reduces, the hull resistance reduces more significantly than corresponding
impacts on various efficiencies. This makes the use of slow steaming such an attractive preposition
for the reduction of a ship’s fuel consumption. From this perspective, the lower the ship speed is the
lower the overall ship fuel consumption per nautical mile cargo carried will be achieved.
The minimum speed under which a ship could operate is dictated by the engine capability to run at
low loads; thus not possible in all cases to reduce speed very significantly. For some trades and
shipping operations it may not be possible to implement a program of slow steaming because of
these technical limitations. As discussed earlier in the section on contracts of carriage or the charter
party, these contracts must be examined closely to ensure that slow steaming will not violate the
contract and leave the ship-owner open to litigation. This will particularly be the case if the vessel is
on a time or voyage charter party but may also apply if the contact of carriage is determined by the
bill of lading.
Reductions in scheduled speed (i.e. accepting longer voyage times) will increase fuel efficiency and
reduce its costs, but result in more ships being needed to maintain a particular service. The number
of ships on a particular trade will therefore need to be taken into account when deciding on a fleet
wide slow steaming policy. For example, slow steaming on a liner container run may require the use
of another ship to maintain the service and this may not be economically viable particularly if there
are only 2 or 3 ships presently on the run. Reductions in scheduled speed can be expensive, since
they directly affect the amount of freight carried and hence the income of a ship. However, there is a

trade-off between freight rates and fuel cost, as when freight rates are low and fuel prices are high it
may be more profitable to reduce speed and save fuel costs and live with a lower freight rate.
There are two main drivers for slow steaming:
 High fuel costs

 Over capacity of container ship capacity
The above two may not prevail over long term and thus the question is that what degree of slow
steaming will be exercised over the long term? Slow steaming is more applicable to faster ships such
as container ships, ferries and so on. It is normally used by those owners who pay for their own fuel.
A combination of high fuel prices, ship overcapacity and low charter rates gives significant economic
justification for slow steaming. In addition, emerging marine GHG emissions regulatory regime is
expected to encourage slow steaming.
The 2007-8 high fuel prices and subsequent economic downturn have persuaded the marine
community to look at the economics of fast ships in particular container ships. Although slow
steaming has been advocated for fast ships, all types of ships can benefit from this operation policy.
In the following, some aspects of slow steaming are discussed.
3.3.2 Slow steaming case study - Container ship example

A major container liner company introduced slow steaming as part of a cost saving response to a
down turn in business in 2008 - 2009 which resulted in surplus capacity. This strategy was so
successful that around half the world's fleets of container ships later on operated on slow steaming.
The shipping company concerned has managed to get savings of fuel and reduction of CO2 on
average of 14% per vessel and 10% per service. It was found that a ship that reduces its average
speed from 20.5 Knots to 19 knots can expect to release 16% less CO2 and when speed is reduced by
20%, fuel consumption is reduced by approximately 40% per mile. To compensate for lower average
speed an extra vessel (13 instead of 12) needed to be added to ensure the same frequency of
service. This has still resulted in an overall reduction of fuel consumption from 12,000 MT to 10,000
MT which means a 16% savings on fuel costs as well as reducing pollutants and CO2.
The flexibility offered by slow steaming can improve the fleet’s reliability as the lower average
speeds give the ships the flexibility to speed up when needed to make deadlines when other ships in
the fleet are experiencing delays. This shipping company also achieved an overall reduction in supply
chain CO2 with a cut of emissions per container by 12.5% from 2007 to 2009 with a further
reduction of approximately 7% over the next 2 year per moved container.
3.3.3 Slow steaming economics
Figure 3.3 shows an estimated fuel saving level due to slow steaming as a function of ship speed and
ship size. Assuming a fixed bunker fuel price, it is evident that ship fuel cost will follow the same
reduction trend as ship fuel consumption.
However when it comes to deciding on best speed for slow steaming, it is the overall ship costs that
need to be balanced against the fuel cost. Clarkson Research Services have generated Figure 3.4 for
a VLCC taking into account ship costs versus fuel cost when slow steaming.

Figure 3.4 – Optimal slow steaming speed for alternative fuel prices and charter rates3
[Shipping Intelligence Network 2015]
Figure 3.4 shows that:

 Slow steaming is highly effective in reducing a ship’s fuel cost when the fuel prices are high
(compare BC2 to BC1 trends).
 At higher fuel prices, more aggressive slow steaming is beneficial (compare points 1 and 3).
 For low charter rates, and at a fixed fuel price, more aggressive slow steaming is beneficial
(compare points 1 and 2).
 When fuel prices are high and charter rates are low, more aggressive slow steaming will be
beneficial.
Deciding how fast to operate a ship is complex, but the basic issue is balancing the fuel saving from
slow steaming against the extra charter cost of a longer voyage (this is a VLCC case; for other ships,
the cost of capital could be taken into account). For example, if slow steaming saves $37,000 in
bunkers but the voyage takes a day longer and the ship charter rate is only $20,000/day it makes
sense to slow down, because the bunker saving exceeds the increased ship cost. This simple analysis
suggests that low freight rates alone are not enough to trigger slow steaming – the fuel cost comes
into the equation too. But the combination of rising fuel costs and falling freight rates is bound to
encourage ships to go slower and slower.
3.3.4 Advantages and disadvantages
Slow steaming provides the owners/managers with the opportunity to create a balance between
commercial commitments and environmental responsibilities in particular at the time of low charter
rates and high oil prices. Slow steaming is one of the most effective ways of reducing ship fuel
3
Terms on the Figure: TC= Time Charter; BC: Bunker Cost

consumption. Slow steaming could provide various degrees of benefits and disadvantages as
included in the following lists.
Slow steaming benefits
Generally, those who benefit from slow steaming are:
 Charterer
 Lower fuel consumption per voyage
 Lower bunkering frequency per voyage
 Technical operator
 Lower average engine load
 Lower yearly cylinder oil consumption
 Ship’s crew
 Lower bunkering frequency
 Lower average engine load
 Longer time between ports
 Environment
 Lower NOx per voyage
 Lower CO2 per voyage
 Lower SOx per voyage
Slow steaming disadvantages

 Charterer
 Longer voyage time and consequently higher charter fees per voyage
 Higher auxiliaries fuel consumption per voyage
 More tendency for a ship’s hull fouling with subsequent fuel consumption penalties
 Engaging of additional ship in the line service to deliver the same amount of cargo
(unless the existing fleet is are not fully loaded; i.e. over-capacity).
 Technical operator
 Higher auxiliaries working hours per voyage
 Ship’s hull fouling and the need for more cleaning; this will have impact on durability of
hull coatings.
 Higher maintenance and cost of spares due to engine operation at low loads. Engine
operation at low load normally leads to more maintenance.
 Ship’s crew
 More frequent inspections, closely linked to engine low load operation
 More frequent servicing, closely linked to engine low load operation
 Higher auxiliaries working hours.

 Environment with more tendency (due to part or low load engine operation) for
 Higher CO impact
 Higher PM concentration
 Higher sludge
3.3.5 Ship-owner considerations

As mentioned earlier, slow steaming leads to main engine’s operation at low or very low loads. The
engine is not designed or optimised for such low load continuous operation and thus it could be
detrimental to engine health over the long term.
Therefore, for those owners contemplating to use slow steaming, it is recommended that the
following to be considered as part of their evaluation:
 Main engine limits and the minimum load that is operationally safe for engine to work
continuously.
 Economiser performance and reliability under engine’s part load conditions. Normally
under partial load, the economiser may not be able to generate enough steam and also its
fouling will accelerate.
 Turbocharger operation, performance and maintenance. This is also closely linked to lack
of energy in the exhaust during part load operation. At extreme slow steaming, there may
be a need to operate the electrically driven air blowers to provide enough air and
scavenging for main engine.
 Propeller performance.
 Hull paint type and fouling rate. As discussed before, the hull fouling will accelerate under
slow steaming, in particular in warmer waters, and this will increase ship’s fuel
consumption. Frequent cleaning may also damage the hull coating.
 Ship charter rate.
 Fuel price.
 Over-capacity aspects.
It will be necessary to analyse the above before committing to extreme slow steaming. It is
important to know why the above investigations are needed and how they should be carried out.
Difficulties with slow speed steaming and the main engine
It is to be borne in mind that prolonged running of mechanically controlled engines below its
optimum conditions (60 to 90% loads) would require engine adjustments for not only maintenance
aspects but also for improved engine efficiency. Under low load operation, if appropriate cleaning
and maintenance is not carried out it can lead to a build-up of soot deposits in the exhaust gas
economiser; increasing the risk of an exhaust uptake fire. In severe cases this may lead to the
meltdown of the economiser or in a worst-case to situation of an uncontrolled engine room fire.
Slow steaming can lead to increased engine vibration, carbon deposits in combustion chambers and
exhaust ports. Low load engine operation means a reduced exhaust gas waste heat to drive the
turbocharger resulting in reduced or lack of scavenge pressure. If proper care is not taken, the
excess cylinder oil can collect in scavenge box and exhaust trucking spaces with the possibility of fire
or explosion. The possibility of increased wear on the stern tube bearing should also be considered

as the reduced speed can lead to the loss of the dynamic oil wedge that is required for proper
lubrication. This issue is a particular problem for large slow speed engines.
Based on the above, use of slow steaming in certain market situations may be inevitable. Thus, it is
the ship’s technical manager who should ensure that the main engine and auxiliary units do not
suffer as a consequence of employing a particular slow steaming strategy. The technical manager
should liaise closely with the ship’s engine manufactures to establish the correct procedures and the
engine speed parameters that should be applied to take advantage of slow steaming potentials
without detrimentally impacting or damaging the main engine. It should be borne in mind that this
strategy may require an alternative or additional engine maintenance programs or changes to
turbochargers and fuel injection settings.

1. “IMO train the trainer course material”, developed by WMU, 2013.
2. Przemysław Kowalak, “Chief engineer's hands-on experience of slow steaming operation”,
http://www.baltic.org/files/2500/Chief_engineer_s_hands-
on_experience_of_slow_steaming_operation.pdf accessed August 2015.
3. MAN 2012, “Slow Steaming Practices in the Global Shipping Industry”,
http://www.swedishclub.com/upload/Loss_Prev_Docs/Machinery/MAN%20PrimeServ%20-
%20Slow%20Steaming%20Rapport%202012%5B1%5D.pdf MAN publication, accessed
August 2015.
4. Marine Insight, 2012, “The Guide to Slow Steaming on Ships”
http://www.marineinsight.com/wp-content/uploads/2013/01/The-guide-to-slow-
steaming-on-ships.pdf accessed August 2015.
5. Michael Maloni, Jomon Aliyas Paul and David M Gligor, “Slow steaming impacts on ocean
carriers and shippers”, Maritime Economics & Logistics Vol. 15, 2013.
6. Shipping Intelligence Network 2015:
http://www.clarksons.net/markets/feature_display.asp?section=&news_id=31165&title=T
houghts+about+Slow+Steaming+and+Rising+Oil+Prices accessed August 2015.
7. Notteboom, T. and P. Carriou (2009) "Fuel surcharge practices of container shipping lines: Is
it about cost recovery or revenue making?". Proceedings of the 2009 International
Association of Maritime Economists (IAME) Conference, June, Copenhagen, Denmark
8. Geography of Transport System, “Fuel Consumption by Containership Size and Speed”,
http://www.people.hofstra.edu/geotrans/eng/ch8en/conc8en/fuel_consumption_containe
rships.html accessed August 2015.
9. MAN Diesel & Turbo, “Basic Principles of Ship Propulsion”, Publication 5510-0004-01ppr,
Oct 2010.

4 Ship Loading and Cargo Management
4.1 Introduction
The objective of this section is to become familiar with issues relating to ship loading, use of ballast
water, use of loading or unloading equipment and their impacts on ship energy efficiency. The ship
loading management is regulated for safety purposes but it has implications for ship energy
efficiency as will be discussed.
4.2 Load Lines
4.2.1 Origins of the Load-Line Convention
It was Samuel Plimsol who first came up with the concept of a load line mark hence the load line
mark is often called the Plimsol line. Plimsol’s work on the load line was inspired by several major
accidents at sea. In 1867, Plimsol as a member of UK parliament endeavored in vain to pass a bill
dealing with the subject of a safe load line on ships. Cargo ships setting sail in the 1860s were very
likely to be unseaworthy, both badly maintained and overloaded. If these badly maintained and
badly loaded ships sank, their over-insured owners usually cashed in at Lloyd's insurance market.
Plimsoll rallied for regular enforced inspections and, in 1870, proposed an idea to parliament put
forward by ship-owner James Hall. The idea was a level of maximum ship submergence based on the
tonnage of the ship that would give a minimum freeboard to which the ship could load. This idea
was finally implemented worldwide by the International Load Line Convention.
4.2.2 The Plimsol line
The Plimsol Line or International Load Line is placed mid-way between the forward and after
perpendiculars of the ship and give the draft of the ship that is the legal limit to which a ship may be
loaded for specific water density and temperature so that the ship will have sufficient reserve
buoyancy to safely deal with any unforeseeable sea conditions. Temperature can influence the draft
of a ship because warm water provides less buoyancy as it is less dense than cold water but this
factor is not really taken into account in cargo calculations except by the use of Load Line Zones of
areas that have been defined in the International Load Line Convention.
The factor that is taken into account before every ships sail and must be entered in the ships official
log book so that it can be inspected by the ship’s Administration is the density of the water. Salt
water has a density of 1025 kg/m3 and fresh water 1000. As a ship will displace its own weight in
water it is clear that the ships draft will be deeper in fresh water which is often the case in ports and
reduce as it goes to sea. As the water density in different port around the world can vary widely
between 1025 and 1000, the ship must take the density of the water before cargo work is
completed. When the density is known a simple calculation is done using the ships stability book to
find the Dock Water Allowance. This allowance can then be applied to the Plimsol line and will allow
the ship to load to greater draft so that when it reaches salt water the ship will be fully loaded.
4.2.3 The International Load Line Convention
The requirements for an international load line certificate is quite interesting as it is really the
starting point for all international safety certificates on commercial vessels as it applies to all vessels
of over 24m length that go to sea. It is perhaps one of the main reasons that there is quite a few 23.9
meter small commercial vessels around. The requirement to have MARPOL certificates comes in at

400 GT and most of SOLAS at 500 GT unless they are passengers ships. This means that these
regulations have a significant impact on quite small vessels with regard to construction and safety
and some of these provisions will in turn have an impact on the amount of GHG emissions that the
vessel produces.
The International Load Line regulations require that every ship is surveyed and issued with a Load-
Line certificate every 5 years. The ship must also have an intermediate survey every 30 months with
a 3 month windows either way. The ship must also have an annual inspection and both the
inspections and the intermediate survey must be stamped on the certificate. If the ship does not
have its certificate up-to-date then it can be detained by the flag State or port State inspectors. The
survey mainly consists of checking the vessel to ensure that the watertight integrity of the structure
as a whole has been maintained. This will include watertight and weather tight doors, hatches, vents
air pipes and any other opening to outside that the sea water could get in. The survey will also check
that the ship’s draft marks and load lines are still in place and visible.
4.2.4 1966 Load Lines Convention
Cargo capacity is normally decided on most ships by it load-lines which are placed on each side of a
ship to show the ships maximum true mean draught that must not be exceeded. This is normally
taken as the summer load line in salt water when a ship is operating in the summer zone but can
vary for timber ships and ships operating in other zones. The locations of these different zones are
contained in the 'Load Lines Regulations' in the form of a small map but can also be found in any
good seamanship textbook. The measured load-lines on a ship is based on the freeboard and
watertight integrity requirements contained in the IMO's “International Convention on Load Lines
convention 1966 as amended”, and is defined as the measurement from the uppermost continuous
watertight deck to the ships waterline at its mid-point.
To decide on any of the watertight integrity of a particular ship, the regulations contain 7 basic
corrections or allowances that are applied to the initial freeboard to get the assigned freeboard.
There are two types of ship which are ‘type A’ mainly bulk liquid ships with small hatch opening
which are allowed a reduced freeboard and ‘type B’ with covers all other ships.
4.2.5 Multiple Load-Lines
A ship may have multiple load lines assigned that will result in the ship having assigned freeboards
that are greater than the minimum. This will result in the ship carrying less cargo when using this
freeboard. This increase in the maximum freeboard will have the effect of reducing the maximum
allowable true mean draught and the measured gross tonnage. The question is now of course why
would a ship want to have a reduced maximum true mean draft and a reduced measured gross
tonnage and the answers are in the 1969 Tonnage Convention
4.2.6 The 1969 Tonnage Convention
The IMO 1969 International Tonnage Convention is used to measure the gross tonnage of ships. The
measured tonnage of a particular ship is a cubic measurement. It is different from a measurement of
the deadweight, which is the maximum cargo in tonnes that the ship can carry when at her summer
load-line in sea water. The gross tonnage is normally used to calculate, amongst other things, the
amount of port dues that a ship has to pay. The cost of port dues can be very significant over the
lifetime of the ship so any ship manager will look to reducing them where possible.
The cost of port dues is the main reason that it can be advantageous to have several assigned

freeboard. The reduction of gross tonnage of the ship by claiming the larger freeboard can result in
lower port dues. If a ship is operating on a trade where there is a draught restriction in the port, lack
of transport demand or where the cargo has a high volumetric value and the ship does not need to
go down to its maximum assigned freeboard operating on the increased freeboard, then with a
reduced gross tonnage can reduce port dues and other taxes that use gross tonnage to charge the
ship.
4.3 Ship capacity utilization
4.5.1 Cargo load factor
Generally, a ship using more of its capacity during transportation will be more energy efficient when
measured in terms of fuel used per tonne of cargo transported. Thus ship capacity utilization
becomes an important element of overall ship/fleet energy management.
Ships may operate without utilizing their full cargo loading capacity. This may be for a number or
reasons from the poor design of the ship to lack of transport demand but the ship manager should
look at all options to increase the ship load factor4 if there is spare cargo capacity. If the load factor
of the ships in a fleet is increased, then the gross emissions of these ships will also increase
(assuming everything else remains as before). However, it is very simple to show that energy
efficiency of the ship in terms of gFuel/tonne.mile or gCO2/tonne.mile will reduce.
Savings can also be obtained by using fewer ships for the same operation that would outweigh any
increase due to the increased cargo carried on an individual ship. To remove unused cargo carrying
capacity, there must be the right ships in the right place at the right time. This means that it may not
be possible to fill the space cargo capacity all the time even with a large fleet. If the cargo carrying
capacity can be increased for certain voyages, this would have the effect of improving the overall
efficiency of the ship as calculated for example by the EEOI. To achieve a better ship load factor, the
whole issue of fleet planning and working relationship with shippers, ports and charterers will play a
role. It is not necessarily a simple thing to do but it is quite rewarding in terms of energy efficiency.
4.5.2 ‘Stowage Factor’ for bulk cargo
If a cargo is light for its volume, then the holds may be full but the ship may not be down to its load
line marks. The ratio of the volumetric area to the weight of a cargo is called the “stowage factor”
and is a very important factor when loading bulk cargos. If the ship’s master and chief officer get
their calculations wrong and either the ship is not full or they have to leave cargo that they have
ordered behind, it may become an expensive operation for the ship-owner. In such cases, the ship-
owner may be required to pay compensation to either the charterer or port operator. This also
means that the ship will run less efficiently due to lower load factor and produce more GHG
emissions. These calculations are the most important in the case of grain cargos where if the wrong
amount of cargo is ordered and the ship is not completely full and trimmed as required by the
stability book the cargo can shift, resulting in the ship listing and compromising the ship safety.
4.4 Energy efficient technologies and ship capacity

If new equipment is installed to improve ship energy efficiency of a ship and reduce GHG emissions,
4
Ship load factor is defined as the actual deadweight carried by the maximum design deadweight.

then the first questions need to be clarified are:
 Will this additional equipment alter the ship gross tonnage?
 Will this additional equipment alter the ship’s lightweight?
The tonnage regulations do give some allowances for the parts of the ship that do not carry cargo.
However, if a ship is designed with GHG reducing equipment (or in fact any other equipment in
general) that increases the gross tonnage, there will be a financial penalty over the whole of the life
time of the ship as port dues are often calculated on the gross tonnage of the ship. This situation
could be resolved by amending the 1969 Convention at the IMO so that allowances can be made for
installation of equipment that reduce GHG but this has proved to be very difficult to do even for
safety reasons. The ship-owner or manager must take these considerations into account when
deciding if it is viable to install any new equipment to reduce GHG emissions on a new or existing
ship if it is to be modified leading to an increase in the measured gross tonnage.
On the lightweight side and its increases due to installed new equipment including energy efficiency
technologies, it is important to note that based on Load Line Convention, this increase in lightweight
will equally reduce the summer load line deadweight, thus will reduce the ship capacity. This will
work against energy efficiency especially for ships that normally are operated at their maximum
capacity commercially. Despite the above two cautions, it is worth noting that the great majority of
energy efficiency technologies will not alter gross tonnage or maximum deadweight of a ship in any
significant way. However, the issue of installation of new equipment on board, if they are heavy or
add to gross tonnage, need to be taken cautiously for energy efficiency and port dues purposes.
4.5 Loading aspects, trim and ballasting
4.5.1 Overview
Ship such as bulk carriers that carry deadweight cargos such as grain do not have much scope for
changing trim without shutting out cargo and reducing the load factor as the holds are often full. So
it is very important in the design stage of the vessel that this is taken into account with regard to the
placement of the engines, fuel tanks and fresh water tanks as well as the shape of the hull. Where
the holds are not full the master and chief officer should consider carefully where the best place is to
keep fuel oil and fresh water so that the need for ballast water to maintain the correct trim is
minimized.
Container ships and general cargo ships will generally have a good deal of scope for improving
stability and changing trim using ballast tanks as they normally have more smaller tanks rather than
fewer large ones as in ships that carry bulk cargo. Ships on liner runs with several ports where they
may load or discharge cargo or do both in the same port will need to carefully consider the best way
to maintain stability and trim as well as maintain a high load factor as their draft may change several
times in a voyage. It is also very important to make sure that the propeller and rudder are
adequately submerged during the voyage for ship steering and safety purposes, particularly on
ballast voyages as well as reducing fuel costs and GHG emissions. The temptation to pump out the
ballast before a ship arrives alongside; particularly on a long river passage or before the ship reaches
port as there is pressure from the port to start loading on arrival, should be carefully considered.
In addition to wasting fuel as the propeller may be out of the out of the water, if the wind force
increases, the ship can start to roll violently putting the safety of the crew at risk and make it
extremely difficult to berth unless tugs are available; thus delaying the vessel and also wasting fuel
and increasing GHG. It should also be taken into account that over the life of a ship, the light ship

displacement will increase due to a buildup of paint and bio growth on the hull and mud in the
ballast tanks, thus leading to a reduced the cargo load capacity. Although not much can be done
about the buildup of paint on the accommodation, regular dry-docking to have the hull blasted and
the removal of mud and sand from the ballast tanks will help to reduce the problem.
4.5.2 Trim adjustment and loading
The distribution of cargo onboard and the amount of ballast needed to maintain adequate stability,
particularly with ships that carry a large amount of deck cargo is critical. Also information on the
ship’s optimum trim and optimum amount of ballast onboard for a particular voyage is needed.
Ships are designed to carry a certain amount of cargo at a certain speed for a certain fuel
consumption that generally results in a particular trim for the vessel when fully loaded and in ballast.
Trim has a significant influence on the resistance of the ship through water and of the effectiveness
of the rudder and propeller (for full details, see Module 4). The trim of the ship is important both to
carry the maximum amount of cargo safely and maximize the fuel efficiency of the ship. Optimized
trim can give significant fuel savings and for any draft there is a trim condition which will give
minimum resistance and increase the efficiency of the engine. There are two main factors that affect
the trim of the ship; one is the shape of the underwater form of hull/water plane area at particular
draft and the other is the distribution of weighs such as ballast water, cargo and fuel in the vessel.
The center of floatation of the hull is not normally at the center of the vessel and changes with a
change in draft. This also has a major impact on how the vessel trims and handles in a seaway.
The optimum trim for a particular ship at a particular draft will be computed at the design stage and
the ship builder should make reference to the ship design data provided. For bulk ships this normally
relatively simple as the ship is normally either fully loaded or in ballast. For ships on liner runs that
may visit many ports and often have different drafts the situation is more complex and careful
consideration must be taken when developing both the cargo and passage plan to ensure optimum
trim is maintained. In some ships it may be possible to access and apply optimum trim condition for
fuel efficiency throughout the voyage.
Trim can be adjusted and improved by arranging bunkers, by positioning cargo or by varying the
amount of ballast water but taking extra ballast more than needed can lead to an increased
displacement and therefore increased fuel consumption. However, it may not be possible to achieve
optimum trim at all times because of;
 Draft restrictions in a port
 Stability requirements
 Fully loaded condition
 Locations of fuel and ballast tanks as designed restricting their use for trim optimisation
 Carriage of deck cargo and cargo safety
Once a ship is fully loaded to her load-line marks, it is not possible to put in any more ballast to
change the trim. This may be a particular problem with ships carrying deck cargo such as timber deck
cargo that are required to leave a port with a minimum trim. If they load fully to their load line
marks, they will not be able to load any ballast to achieve optimum trim until they have used
sufficient fuel or fresh water. The trim optimization for fuel efficiency is further discussed in Module
4.

4.5.3 Cargo load factor and ballast
The ship may need to take on ballast either when loaded to take out a list and change the trim, or in
ballast to submerge the propeller and rudder. The position and weight of all cargo should be
included in the cargo and lashing plan before the ship sails from any port to ensure that adequate
stability is maintained.
Some other environmental restriction to ballasting or de-ballasting that will apply will be contained
in the ship’s ballast water management plan. The need to keep the ship seaworthy in the open sea,
protected waters and when berthing; must always be considered when both loading and ballasting a
ship takes place.
The use of ballast water will involve attention to the following considerations:
 Once a ship is down to its load-line marks no more ballast can be pumped on board.
 Ballast water management plan may contain some restrictions.
 Stability requirements particularly with regard to free surface effect and list.
 Requirement to keep a safe and efficient trim
 Minimum stability requirements under the load line rules
 Steering conditions
 Propulsion submersion to prevent cavitation and reduction of thrust.
 Cargo planning
 Ship too stiff or too tender
 Damage to ship due the panting, pounding and racking.
When a ship is on a ballast voyage, there is generally no problem with pumping and transferring
ballast as long as the ship remains upright with no list and the correct trim is maintained. This is
because ships in ballast tend to be very stiff anyway and any free-surface effect will have no or very
little impact on the ships minimum stability requirements. The case is different for ships that are
carrying ballast such as timber carriers or in some cases container ships. The main reason that these
ships need to carry ballast is to ensure that they comply with the minimum stability requirements
and any reduction of stability by pumping ballast from low down with the additional problem of free
surface effect before the tank is empty could result in the ship having negative stability and listing to
an angle of roll.
4.5.4 Case for container ships
It is very important to be fully aware of the cargo to be loaded and discharged so that the route,
cargo and ballast plan can be defined and calculated accurately before the ship sails. In the transport
of containers by sea, there is currently a problem with the accurate declaration of the weight of the
container before it arrives at the port from an inland location. This is a problem that is difficult to
address as the packing of the container is not under the control of the ship.
Container packing
A container will normally be packed in a warehouse some miles from the port and transported to the
dock by a truck. As the packing of the container is relatively low paid work, often the persons
packing the container will have little knowledge of the importance of lashing the cargo properly and
declaring the weight accurately. This leads to the situation where the container is often packed

poorly with little regard to the true weight of the cargo being packed. The container is then moved
to the docks by either truck or rail. When the container arrives at the dock with its manifest of cargo
containing the declaration of weights that were declared to the freight forwarder by the person
wanting the cargo shipped, there is not normally a check of the weight of the container before it is
removed from the truck or rail carriage. This has led to a situation where the declared weights on
the cargo declaration are often incorrect.
Accurate weight of the container

The weight of the container will often be measured by the equipment used to load the container on
to the ship but by then it is too late as the particular slot will already have been assigned and the
stevedores loading the ship may have little or no interest in the weight of the container unless it
exceeds the safe working loads of the equipment used to load it. Once on the ship and loaded and
secured, it is impossible to weight or in most cases even open the container to check that the weight
inside it are as declared.
In some occasions, the first the ship may know that there is a problem is when the cargo is
discharged and it is found that it is too heavy to be lifted by the ships crane or shore facilities. This
has led to a situation where it is difficult for the ships master to rely on the weights declared. This
means that the loading plan and the final cargo plan provided to the ship, which will have the
declared weights, are often inaccurate. This can lead to major problems particularly if the container
is carrying dangerous goods that have not been declared correctly in a poorly packed container with
incorrectly declared weights.
The other issue is that if the cargo weight is not declared correctly, loading heavy containers on top
of light container outside the requirements contained in the ships, cargo-securing manual can lead
to a failure of the structure of the containers on deck and the parting of the container lashings. Such
poor loading could and has led to containers collapsing on-deck in heavy weather.
Reefer containers using water-cooling systems for condenser

Reefer containers can be stored on deck or inside the cargo holds and a large amount of heat from
their condensers is removed from the inside of the container through the evaporative cooling
system. When reefer containers are stored on deck in the open air, heat from the condensers can be
discharged into the atmosphere, allowing air cooled condensers to be used. Heat given out by the
condensers from the reefer containers operating inside the cargo hold should be vented outside,
otherwise heat will build up inside the cargo hold and the refrigeration machinery will not function
efficiently.
The ship's cargo hold ventilation system should be designed to allow the required number of air
changes to maintain the temperature inside the hold within the pre-set limits. Water cooled reefer
plants have a much lower energy consumption so can lead to substantial reduction in the production
of GHGs emissions than current systems. When water-cooled condensers are used, the cargo hold is
equipped with a water circulating system. Pipelines running along the sides of the cargo hold can be
connected to the individual reefer containers through a pair of flexible pipes, one each for the inlet
and the outlet. Although reefer containers are usually equipped by default with air-cooled
condensers, some are designed to run as water-cooled units.
To improve the heat transfer across the condenser coil, all reefer units have a condenser fan. When
fitted with an optional water cooled condenser and running as a water cooled unit, a pressure switch
turns off the condenser fan once the water pressure is high enough, and turns it on again if the
pressure drops. Care should be taken that reefer containers are not positioned with their machinery

facing each other; otherwise the hot air discharged from the condensers will simply be cycled back
through, adversely affecting each condenser's performance. In addition, enough space should always
be left around condensers to allow air to flow freely to and from them, ensuring optimum
performance. The ship's power supply is usually designed to handle the power needed by the
maximum number of reefer containers the ship can carry. Each reefer container is estimated to
consume about 5KW of power and a 4,600 TEU Panamax container ship will typically have capacity
for 700 reefer plugs. With a full load, 18 tonnes of HFO per day will be consumed in powering these
reefer containers.
All the above including how best to cool down the reefer refrigeration system, how to optimally
ventilate the cargo holds and how to minimize electrical use by reefer containers could be the
subject of improve energy efficiency that relate to cargo operation and cargo carriage.
Pre calculation of cargo for stability and trim

The importance of knowing accurately the weight of each container is that if the ship’s officers do
not know exactly the weight and physical location of each cargo transport unit or container they
cannot accurately calculate the draft, trim and stability of the vessel. This means that it is not
possible to pre-set the optimum trim or optimum ballast so that the ship has adequate stability at
the start of the voyage. The ships master must therefore rely on the ship loading computers and
ships final drafts to ensure that stability is maintained throughout the intended voyage, taking into
account the consumption of fuel oil and any international load-line requirements. The master will
then ballast the ship to get the optimum trim for the actual draft. This situation does not normally
apply to general cargo ships with block stowage as such weights are normally accurately declared.
4.6 Cargo equipment upgrade for energy efficiency

The ship operator should consider all ships in the fleet when considering the upgrade of the ships’
cargo handling and stowage equipment to reduce GHG emissions but the methods that can be used
will depend on the type of ship, where it is operating and the cargo it intends to carry. The loading,
discharging and cargo care equipment that may be considered would include the following:
 Ventilation(all ships)
 Mooring (all ships)
 Cargo and hold lighting (all ships)
 Reduction of CFCs (reefer)
 Heating coils (tankers)
 Cooling system (reefer)
 Cooling system (container)
 Cargo temperature optimisation (tanker)
 Cargo vapour control procedures (crude carriers)
 Ballasting/de-ballasting (all ships)
 Water cooled reefer plant with lower energy consumption
 Insulation of heating pipes (tankers)
 Optimisation of reefer container stowage
 Use VOCs to power engine or process and send ashore (Norway shuttle tankers).
It may be possible in some situations to upgrade the cargo equipment either fitted to the ship or
used ashore to improve the energy efficiency of the operation. This will require the development
and installation of more advanced equipment which will be expensive, however, this cost may well

be offset by a more speedy as well as efficient loading or discharge functions as well as a reduction
in use of energy by the cargo-related equipment.
Both the owner and the ports concerned should consider such options. The port mainly dictates the
cargo handling equipment available for loading and discharge of the ship. The ship-manager and the
cargo handling facility in the port should look at the ship shore interface and formulate and decide
ways of optimizing the facilities to match the ship with the port. Small changes in the way the
operation is carried out can reap benefits in terms of ship fuel consumption. It may be possible in
some situations to upgrade the cargo equipment either fitted to the ship or used ashore to improve
the energy efficiency of the operation.
4.7 Economies of scale

Ship overall efficiency is a function of ship size. The larger the ship, it will have a lower fuel
consumption per unit cargo transported and lower CO2 generated (see Figure 4.1).
NOTES:
Ship Fuel Consumption Index, FCI_dis
From the figure, the ship fuel
4 consumption index based on
displacement indicates the
following values for two types
3
FCI_dis [g/t-nm]
of tankers:
VLCC: ~ 0.65 g fuel/t-nm
2 Aframax: ~ 1 g fuel/t-nm
1
Thus, carrying crude oil with a
VLCC could be about 35%
0 more energy efficient is the
100,000 200,000 300,000 400,000 business requirement is ready
to deploy the larger (VLCC)
Displacement [tonne] ship.
Figure 4.1 - Ship energy efficiency as a function of ship size [Bazari 2006]
Operationally, energy efficiency can be increased by concentrating the transportation of cargo on
larger ships that can reduce the energy consumption of the shipping industry as a whole. However,
few practical considerations should be taken into account. These large ships will be limited to a few
deep-water hub ports; this means that the cargo will still need to be trans-shipped to its final
destination. This can result in the overall door-to-door logistical performance of the movement of
the cargo being reduced unless smaller ships that can take the cargo to smaller ports to support
these large vessels could perform their part efficiently. These smaller feeder ships will be less
efficient anyway than the large ships and there will also be some extra GHG emissions penalties in
the additional discharging and loading operation for trans-shipment.
So, the use of economies of scale is effective but clearly a balancing act as it may in-fact turn out that
on a particular trade it is more GHG efficient to use medium size ships that can take the cargo
straight to the final destination. It goes without saying that larger ships are not efficient if not
enough cargo is available and sail partly loaded (i.e. with low load/capacity factor) due to lack of
transport demand. This means that overall energy efficiency may also be improved for smaller ships

with access to more ports and cargo types and able to fill cargo holds to full capacity.

1 “IMO train the trainer course material”, developed by WMU, 2013
2 Martin Stopford, “Maritime Economics” (Routledge).
3 Alan E Branch, “Economics of shipping practice and management”, Chapman and Hall.
4 C B Barrass & D R Derrett Ship “Stability for masters and mates”.
5 Bazari 2006, “Ship energy performance benchmarking /rating: methodology and
application” Presented at: World Maritime Technology Conference (WMTC), ICMES 2006,
6-10 March 2006, London.

5 Just in Time (JIT) and Virtual Arrival (VA)
5.1 Definitions
Just In Time (JIT): Just in Time (JIT) concept and practices originate from the manufacturing industry
where it is used to improve business performance via reducing the inventory levels and associated
costs. This concept then moved to other industries and today normally refers to process
improvements for the reduction of the unnecessary and idle periods of capital assets. In the case of
shipping, JIT normally refers to process improvements that reduce the unnecessary waiting and idle
periods of ship operations.
Itinerary optimisation: A ship itinerary optimisation refers to deciding on the best ship operation
schedule/profile for a certain purpose via adjustments to voyage durations; thus voyage average
speeds. Itinerary optimisation for energy efficiency normally means the choice of ship schedules that
would yield an overall lower ship average speed and fuel consumption. Itinerary optimisation for
energy saving may conflict with the commercial aspects of shipping as dictated by the market
dynamics and the wishes of shipping clients (cargo owners or passengers).
Voyage management: Voyage management refers to all ship management activities that lead to the
optimal planning and execution of a voyage. To ensure best-practice voyage management, all
aspects of planning, execution, monitoring and review of a voyage are included in this concept.
5.2 Current practices

It is well known that ship speed reduction leads to fuel economy (see Section 3). Speed can be
reduced during the voyage, if the amount of time in passage can be increased or the ship itinerary
could be optimised. Thus improved itinerary and optimal voyage management are regarded as two
major areas that could be used for this purpose.
A ship's movement commercially is influenced by many factors, some of which are listed below:
 The requirements of the “cargo owner” (mainly shipper or charterer) on when and where
the cargo should be loaded and discharged. This is normally mentioned as the most likely
reason for changes to the ship operation plan, schedules and time tables.
 The slotting issue in ports in terms of berth or cargo storage availability. Early arrival and
competing for early loading/discharge is common industry practice.
 Regulatory issues that may lead to delays, prevention of entry to certain ports or ship
detention for some period of time. The lost time normally recovered later via over-speeding.
 Technical failures that require fixing while in port or at anchor (reduces ship availability).
 Lack of business (cargo), resulting in short or long idle periods.
Itinerary optimisation, proper voyage planning and voyage execution are areas of interlink between
shore managers and ship’s masters. As such, the link between the shore managers (charterer and
ship operator) and the ship’s master is critical for optimal ship operation management.
In practice, the simplest models of working relationship are normally established between the above
parties. For example, the shore-based managers specify the ports of call and timings. In some cases,
they change their orders and ship itinerary while the ship is underway. The master then decides how
to move and at what speed in order to meet the above timings. Normally, the master tries to reach
the port of destination as soon as possible within the contractual limits.
The above processes generally lead to the following anomalies:

 Ship voyage speed is normally maximised with an early arrival at the next port.
 Total ship stay in ports and waiting in anchor is normally maximised.
This practice is not energy efficient. To make it efficient, the shore-based manager and the vessel’s
master should be given the responsibility to do the opposite; maximise the sailing periods and
minimise the waiting periods. Unfortunately, itinerary optimisation and voyage management could
easily be sacrificed by either poor planning or poor execution due to commercial and other non-
technical pressures.
The improvement to ship itineraries requires efforts to be made by all the parties involved. For this
purpose, the collaboration and coordination of the following bodies are essential:
 Charterer operation department: The charterer is ultimately responsible for decision making
on the ship itinerary and overall steaming speed. Orders issued by the charterer to the ship
are normally the basis for master’s decision on ship movement.
 Ship master: The master, based on the orders received, operates the ship and ensures that
the designated dates and times are achieved; within the terms of the charter party. The
master can play a major role in improving the ship itinerary via more interaction with the
charterers/owners decision makers.
 Port authorities: The Port authorities influence the plans drawn up by both the commercial
department and master through the management/planning of the port operation.
It is the interaction between the above parties that leads to the actual (achieved) ship itinerary.
Better communications, coordination and awareness of the impact of their decisions on ship fuel
consumption could improve operations.
5.3 Just in Time (JIT)

Contrary to the current practices as described above, Just-In-Time (JIT) operation represents the
optimal ship’s operation management from the perspectives mentioned. The JIT operation differs
from slow steaming as the aim of JIT is not to go for drastic slow steaming but use all the measures
possible within the voyage constraints (e.g. weather, charter party contracts, etc.) to reduce the
voyage speed and thereby save fuel.
The main purpose of the JIT operation is to ensure that the ship’s operations are performed
according to a “planned and optimised itinerary” with minimal time deviations. This means that
vessels should never leave ports late or arrive in port of destination earlier than the planned
itinerary. This will lead to the overall efficiency of the ship and port operations and to significant ship
energy efficiency. The JIT operation benefit arises from the ship’s less waiting times and more
passage time; thereby scope for speed reduction and thereby fuel efficiency.
5.3.1 Best Practice

To approach the JIT operation, there is a set of good practices that ships and ship managers could
follow. It is proposed that the following sets of guidelines should be observed for this purpose:
 Avoid waiting periods in all phases of a voyage or modes of operation (loading, discharging,
bunkering, early arrival, late departure, etc.).
 Aim for early communications with the next port in order to give maximum notice of berth
availability and facilitate the use of optimum speed.

 Encourage good communications between fleet department, master and charterer in
support of JIT operation.
 Improve cargo handling operation and avoid delays at berth to the extent possible. Cargo
handling in most cases is under the control of the port and optimum solutions matched to
ship and port requirements should be explored.
 Operate at constant shaft RPM while en-route and avoid sprint-loiter phases.
 When leaving ports or estuaries, increase the shaft rpm gradually in harmony with increases
in ship speed.
 Avoid going fast in shallow waters. Reduce speed in shallow water if possible.
 Measure, monitor and report the “ship duty cycle” in terms of time duration in various
phases of operation, including period of times in passage, port, waiting, bunkering, etc.
 Perform benchmarking of the “ship duty cycle” against the fleet and similar ships; this will
help with continuous improvement.
5.3.2 Barriers to JIT
The JIT operation is hampered by a significant number of major constraints. The following gives the
list of constraints put on the master as far as the execution of the voyage is concerned:
 Contract of carriage (e.g. charter party) constraints: These include clauses on various
aspects of ship operation that practically restrict some aspects of voyage management for
energy efficiency. Charter party contracts, for example, normally put most of the power for
ship speed management in the hands of the charterers. Financial impacts of deviation from
charter party can be significant; thus ship managers would do everything possible to avoid
for example late arrival.
 Weather constraints: The weather along the route has impacts on the voyage management
and vessel itinerary. To limit this impact, weather information and weather routing can be
used.
 Route constraint: The route of the vessel may involve channel crossings, passing through
pirate areas and the need for operations such as bunkering.
 Port constraints: Various ports impose various constraints on vessels. One major aspect is
the competition between ships to arrive at port of destination in order to beat the queue.
The system that dominates now is that most ships try to arrive early to the port in order to
give their notice of readiness and stay in the berth queue.
 Other ship/owner/charterer specific constraints: These are specific constraints that may
apply to various parties involved in ship operations including for example unexpected
failures, delay in bunkering, etc.
All the above basically work against the JIT operation. They need to be avoided via improvement to
the ship operation, charter party terms and conditions, staff culture, use of modern information
technologies (e.g. see Section 6 on e-navigation) and systems such as weather routing and voyage
monitoring systems.
5.4 Virtual Arrival (VA)

5.4.1 Introduction
One major initiative for the removal of some of the Just-In-Time barriers that were explained in the
previous section, is the adoption of the “Virtual Arrival (VA)” concept that has been introduced in
recent years, mainly in the tanker segment. VA aims to reduce waiting times and achieve longer

passage times and thereby reducing the ship’s voyage average speed. A significant level of energy
saving is expected with virtual arrival [Intertanko and OCIMF 2010]. It is worth mentioning that port-
related air emissions are also reduced significantly via this initiative.
The justification for VA is that it is not efficient for a vessel to steam at full speed to a port where
known delays to cargo handling / transfer have already been identified. By mutually agreeing to
reduce speed to make an agreed arrival time, the vessel can avoid spending time at anchor, awaiting
a berth, tank spaces or cargo availability. Emissions can thus be reduced, congestion avoided and the
safety improved in port areas.
For VA to succeed, there is a need to establish an “agreement or contract” between the parties
involved in ship operations (e.g. ship operator, ship owner, charterer, port, etc.). The contract aims
to remove the barriers that are currently in place by existing charter party contracts and also
facilitates the sharing of any financial benefits that result from VA implementation. As part of the
agreement, all the parties will commit to reduce a vessel’s speed during the voyage in order to meet
a revised arrival time when there is a known delay at the destination port, cargo delivery date, etc.
The reduction in speed will result in reduced fuel consumption, thereby reducing GHG and other
exhaust emissions.
The VA agreement, by virtue of reducing emissions and costs, is of mutual benefit to vessel owners
and charterers. Furthermore, by minimising vessel waiting times, a reduction in emissions and
improved safety within the port areas are also realised.
5.4.2 Virtual Arrival process
Figure 5.1 shows the steps that are involved when VA processes are agreed [Intertanko and OCIMF
2010]. The implementation of these steps is essential to the success of VA objectives.
Figure 5.1 - Virtual Arrival processes [INTERTANKO and OCIMF 2010]

Accordingly, the processes may be described as below:
 Identification of a change in itinerary: The main part of the process is to identify a delay at
the next port of destination, for example, due to congestion at the berth or lack of receiving
cargo spaces.

 Agreement to new itinerary: The next step is for parties involved including the vessel
owner/operator and the charterer and possibly port to agree on the change of itinerary. In
particular the port, charterer and owner/operator agree to a new “Required Time of Arrival”
at the destination port.
 Speed adjustment: As a result of the newly agreed Required Time of Arrival (or itinerary),
the ship’s speed or the engine RPM is reduced.
VA is intended to be a dynamic and flexible process and, thus if conditions change during a voyage,
the orders can be revised to enable the ship to achieve, for example, a new arrival time. Therefore,
the above processes are best supported by ship scheduling software systems accessible to all parties
to VA agreement in order to facilitate better control and monitoring.
The following summarizes the steps that are typically involved when implementing the Virtual Arrival
process [Intertanko and OCIMF 2010]:
1. Before a vessel’s departure from the load port, or while en route to the destination port, a
delay is identified at the destination port, for example, due to congestion at the berth or lack
of receiving space.
2. In view of the known delay, the vessel owner/operator and the vessel charterer may agree
to consider entering into a Virtual Arrival agreement for the voyage.
3. The ship owner/operator is requested to provide ship performance information to enable an
initial assessment of the voyage to be made based on the service speed of the ship.
4. The charterer and owner/operator agree a Required Time of Arrival5 at the destination port
and agree on the methodology for calculating voyage data and the associated reporting
requirements, or alternatively agree on a WASP6 to be used for calculating voyage data and
to provide supporting reports.
5. An agreement to undertake Virtual Arrival is implemented using an agreed charter party
clause.
6. The initial report should include:
a. The methodology to be used to determine speed and consumption calculation
b. The calculated Estimated Time of Arrival (ETA7), based on normal service speed
c. The calculated ETA, based on normal service speed and anticipated weather, the
“Virtual Arrival” ETA
d. The Required Time of Arrival (RTA)
e. The speed or RPM to achieve RTA
f. The bunkers on board at the Virtual Arrival decision point
7. The vessel reduces speed in order to make the RTA.
8. On completion of the voyage, if agreed, a WASP or an entity that specializes in weather and
or vessel performance analysis produces a final report providing the post-voyage analysis
and data to support confirmation of the vessel’s Virtual Arrival time and the calculations of
the fuel saved and emission reductions.
9. In finalizing the Virtual Arrival time8, an assessment is to be made of the impact of the
weather, sea and current conditions on the voyage by comparing the actual weather
encountered with that anticipated when establishing the provisional Virtual Arrival ETA.
5
A mutually-agreed time for a vessel to arrive at a named destination
6
Weather Analysis Service Provider
7
The date and time a vessel is expected to arrive at a named destination based on a stated speed.

10. The agreed time of Virtual Arrival, the “Deemed Arrival” time9, is used as the time when
considering demurrage exposure.
Based on the above process and for VA to work, significant level of activities is required and
uncertainties in various estimation processes exist. This makes use of VA a difficult process in
practice; however, industry should make all it could to resolve relevant barriers to VA.
5.4.3 Virtual Arrival agreement
To facilitate the implementation of the VA, there is a need for contractual arrangements either as
part of the current charter party agreement or a new agreement. This new arrangement is referred
to as “VA agreement”. As part of the VA agreement, the charterer and owner/operator will be able
to change the “Required Time of Arrival” at the destination port (or new ship itinerary) and also
agree on the methodology for calculating voyage data and the associated reporting requirements.
For estimation purposes, the parties to a VA agreement may choose service providers such as the
weather routing service providers to support the implementation.
At the end of the voyage, or based on the terms of the VA agreement, the voyage estimates are
made and the financial and contractual arrangement is settled. To reduce post-voyage disputes, it is
important that there is a clear understanding of, and agreement to, the method of calculation of the
vessel's voyage performance, the speed and other data to be used, the reports to be issued and the
timing of these reports.
Therefore, the charter party agreement (see Section 2) will need amending to allow for the
additional VA agreement. It should be noted that VA aims to create win-win scenarios for all parties
that have influence/impact on the ship itinerary and operation via creating not only workable
methodologies but also shared financial incentives.
5.4.4 Other benefits of Virtual Arrival
The adoption of VA has benefits beyond those associated with fuel savings. Its effective
implementation requires good cooperation and a dialogue between the vessel owner/operator and
the charterer; this serving to remove many of the commercial obstacles in reducing emissions that
have hampered some past initiatives. Such obstacles have been associated, for example, with third
party and contractual implications; the fact that the party paying for the fuel may not be the
technical operator of the ship and the lack of flexibility for speed adjustment.
The improved cooperation between vessel owners/operators and charterers also has benefits
associated with overall voyage planning. For example, parties can agree that some of the available
time may be used for planned maintenance activities, statutory surveys, crew changes or vessel
storing.
The improved planning of in-port activities that is possible through the early identification of an
agreed arrival time may also assist in reducing crew fatigue. Operations can be planned well in
advance and uncertainties associated with waiting time and periods at anchor are reduced.
Just in Time operation heavily depends on improved port operations. When it comes to port
operations, among others, the berth operation is closely related to the schedules of ship’s arrivals
8
An estimation of a vessel’s time of arrival at a named destination at normal service speed, taking into account the
anticipated weather
9
An Arrival Time that takes into account the actual weather experienced on a passage. The “Deemed Arrival Time” may be
used as the time laytime starts when considering demurrage exposures.

and the next major concern is the turnaround time of ships in port. The best operation will include
the provision of on-arrival berthing services to shipping lines; thus minimizing ship’s waiting times.
As discussed earlier the JIT operation will help port with reduced air pollutants from ships, thus
improved local air quality. Further aspects of port operation are given in Section 8.
5.5 Potential for energy saving

For a review of the current ship operational profiles and their analysis, refer to Reference [Charlotte
Banks et. al.] that presents a research in this area. According to work done by these researchers, the
percentage of time spent in port and sailing in either ballast or laden each year are calculated for a
number of ship types and ship sizes and documented. An overview of the findings is given here.
Figure 5.2 shows the “time loaded”, “time in ballast” and “time in port” for a number of ship types.
It demonstrates that in the case of bulk carriers, they spend the least amount of time in port (similar
to that of the case for container ships). They also have a comparatively high loaded utilization levels
compared to the case of Handysize tanker ships which only spend around 40% of the year under
loaded conditions.
Figure 5.2 - Voyage profiles for typical bulk carriers, tankers and containerships [Charlotte Banks et. al.]
The same reference shows that the larger tankers spend less time in port: the average is 54% for
Handysize, 42% for Aframax and 32% for Suezmax over the years. The proportion of time spent
loaded also increases for the Suezmax case vessels with an average of 33.8% over the years,
compared to 30.5% for Handysize and 30.6%, for Aframax tankers. The Handysize tankers
demonstrate reduced time in ballast (average of 12.5%) compared to Aframax (average 26.7%) and
Suezmax (average of 33%) case tankers. These trends are expected with the type of operation for
each ship. For example, Handysize tankers tend to offer services for transporting refined products;
generally on shorter and more costal routes.
It can be shown that normally a Handysize tanker makes more voyages in one year resulting in more
port stops and the voyage days are shorter in comparison to the Suezmax tankers. Dependent on the
geographical location of the ports and the availability of products to transport, this may be the
reason for the Handysize tankers being able to reduce the amount of time they operate in ballast
condition. On the contrary, the Aframax and even more so the Suezmax tankers tend to make longer
voyages. Whilst this means that they spend a lesser proportion of time in port, the ballast leg
appears to increase: this will particularly be the case when operating between locations with high oil
production and no oil production.

The first difference between the containers vessels and the tankers and the bulk carriers, is that they
do not operate with a ballast leg. Also, evidence shows that Post-Panamax plus container vessels
spend less time in port and a larger percentage of time sailing: a likely influence of operational route.
It can be argued that the amount of port time varies and this will greatly depend on many logistical
issues, such as: ship arrival, berthing availability, unloading/loading resources and personnel, cargo
readiness, commercial voyage agreements, ship inspections and certificates, etc.
Despite certain delays being inevitable due to the long and complicated logistic chains, there are
certainly elements that can be improved to increase the utilization (days sailing laden, cargo loaded)
of ships. This includes the installation of efficient port resources as well as early and good
communication and resource management between all stakeholders involved. For example, where
an inevitable inefficiency is observed (such as a port delay), then good communication and
management can allow for alternative operational energy efficient measures to be implemented,
such as just in time arrival as advocated by VA. This piece of research clearly shows a significant
potential for improvements.

1. “IMO train the trainer course material”, developed by WMU, 2013
2. INTERTANKO and OCIMF 2010 “Virtual Arrival“, a 2010 publication,
http://www.intertanko.com/upload/virtualarrival/virtualarrivalinformationpaper.pdf accesses
August 2015.
3. Jussi Pyörre, 2012 “Overcoming the challenges in vessel speed optimization”,
http://www.eniram.fi/wp-content/uploads/2013/10/2012-10-Hansa-Overcoming-the-
challenges-in-vessel-speed-opt.pdf accesses August 2015.
4. Charlotte Banks, Osman Turan, Atilla Incecik, G. Theotokatos, Sila Izkan, Catherine Shewell,
Xiaoshuang Tian “Understanding ship operating profiles with an aim to improve energy
efficient ship operations”, Low Carbon Shipping Conference, London 2013. Available on:
http://www.lowcarbonshipping.co.uk/files/ucl_admin/LCS%202013/Banks_et_al.pdf. accesses
August 2015.

6 E-Navigation and Weather Routing
6.1 What is e-navigation?

It has long been recognized that there was a clear need to provide the master of ships and those
responsible for the safety of the vessels ashore with modern proven tools to make marine navigation
and communication more reliable and hence reduce errors, especially those with the potential for
loss of life, injury, environmental damage and undue commercial costs.
It was also noted from information disclosed over time that navigational errors and failures had
been significant in overall incidents that required a full investigation. This inspired the development
of new technologies such as Automatic Identification System (AIS), Electronic Chart and Information
System (ECDIS) Integrated Bridge and Navigation Systems, Automatic Radar Plotting Aids (ARPA),
Long Range Identification and Tracking (LRIT) systems, Vessel Traffic Services (VTS) and the Global
Maritime Distress Safety System (GMDSS). The aim was to develop a strategic vision for the
utilization of existing and new navigational tools, in particular electronic tools, in a holistic and
systematic manner. The proposed solution was named e-navigation.
As a result of proposals made to IMO MSC (Marine Safety Committee) on the subject, a Strategy
Implementation Plan (SIP) was developed in the past and five solutions were agreed to provide a
basis for this purpose that are;
 S1: Improved, harmonization and user friendly bridge design;
 S2: Means for standardised and automatic reporting;
 S3: Improved reliability, resilience and integrity of bridge equipment and navigational
information;
 S4: Integration and presentation of available information in graphical displays received via
communication equipment; and
 S5: Improved communication of VTS service portfolio.
The solutions S2, S4 and S5 are designed to improve communication between ship and shore for safe
ship management purposes. These same initiatives may have the highest potential to reduce GHG
emissions from ships as any reduction in the waiting time to enter port or a delay in the passage of a
river or estuary can have a positive impact on reducing fuel consumption of a voyage and thus its
GHG emissions.
IALA10 defines the e-navigation as “e-navigation is the harmonised collection, integration, exchange,
presentation and analysis of maritime information onboard and ashore by electronic means to
enhance berth to berth navigation and related services, for safety and security at sea and protection
of the marine environment”. The implementation of e-navigation involves the development of
onboard navigation systems that integrate all relevant ships sensors and supporting information.
ECDIS is the main item of the broader e-navigation initiative that has evolved as a result of IMO
activities. There are currently over 40 different approved ECDIS systems installed on ships and most
if not all have different user interfaces using different methods of implementing requirements and
alarms. The IMO considers the implementation of e-navigation in the world’s fleet as a long term
objective rather than a short term fix. It should also be noted that the on-board e-navigation system
will have a shore based e-navigation to support it that will require other challenges. It is hoped that
10
International Association of Marine Aids to Navigation and Lighthouse Authorities

e-navigation will be an enabling technology that would facilitate more efficient ship scheduling and
routing, thus leading to more energy efficient shipping and a reduction in the amount of GHG
emissions it produces.
The IMO and IALA have provided the following e-navigation model (see Figure 6.1) to describe the
overall concepts and outline the basic elements of the system.
Figure 6.1: The IMO model of the principle outline and basic elements of the e-Navigation concept
It can be seen that this model implements many other shipboard and shore side management
elements and not just navigation with the aim of ensuring the highest standard in environmental
protection and safety.
The system intends to combine measures like passage planning with dynamic real time monitoring
to ensure that the pre-planned under-keel clearance is maintained during the whole passage. There
could be on-line monitoring of ships' routes that could be analyzed in relation to GHG emissions to
look for ways to reduce fuel consumption and cost. The system would have built-in decision support
system to assist both the masters and officers on navigational watch. The system would be berth-to-
berth management including route monitoring, pilotage and berthing.
6.2 E-navigation tools and GHG emissions

It is clear that any reduction in collision and grounding will lead to the reduction of ship generated
pollution. The IMO and IALA are also looking at the possibility of using e-navigation to reduce
carbon, sulphur and nitrogen emissions from ships. This would be done through more efficient
vessel route handling at sea and also while on pilotage and berthing. It has also been proposed to
use e-navigation data to audit the measurement of emissions data if and when they need to be

reported. The main and fundamental change with the introduction of e-navigation will be the closer
relation between the “officer of the watch” on the bridge and the assistance provided from shore-
based stations in carrying out the safe navigation of the ship.
There are of course still many legal obstacles to this particularly with regard to who will be
responsible for the navigation of the ship if directed by shore side, particularly in a collision
avoidance situation in open sea. The developments of centralized shore-based traffic organizations
that have the authority to modifying voyage plans and make dynamic route changes from ashore for
the purpose of safety and efficiency of the overall traffic in a monitored coastal area, are the subject
of several research projects. These are currently under discussion but still some way off from
introduction. It is still difficult to predict what the technological developments will be in the future to
allow the development of e-navigation so the potential impacts on efforts to reduce GHG emissions
are still difficult to estimate. However, the ship navigational information (GPS data) has successfully
been used to estimate shipping fuel consumption and GHG emissions for example under Third IMO
GHG Study 2014 as discussed in Module 1.
There is currently equipment or systems either in use or at an advance state of development that
will form part of a shipboard e-navigation system that may be used to reduce GHG emissions.
Examples are:
 Voyage performance analysis: This system can measure ship speed, shaft propulsion power
and external environmental situation such as wind and waves that could be used for
monitoring voyage performance and to identify performance deviations. These performance
deviations that may be positive as well as negative could be used to improve the ships
environmental performance. Such a system could rely on data collected as part of e-
navigation system.
 ECDIS (Electronic Chart Display and Information System): The electronic chart and
information system has the potential for improving navigational practices and reduce GHG
emissions. In this respect, weather routing may become a more effective tool than is today.
 Autopilot precision and effectiveness: A new generation of autopilots is under development

that can automatically adapt the steering actions to prevailing weather conditions and sea
state. These systems include dedicated functions such as 'precision' and 'economy' modes
depending on the requirement of the ship. If the autopilot is operating in economy mode it
would reduce rudder movements, thus reducing the drag of the rudder that will save fuel. If
the ship is in restricted waters where very accurate course and position is required, the auto
pilot will be put in precision mode providing for the better accuracy and ensuring safe
navigation.
 Maneuvering assistance tools: With the introduction of modern information and
communication technologies, more and more assistance tools have been introduced
additionally to standard mandatory navigational bridge equipment. Among those integrated
systems there are tools for planning and monitoring purposes on the macro and micro level.
Macro planning deals with waypoint planning for the sea trail of any voyage from point A to
B. Micro planning is dedicated to the planning of detailed steering sequences for complex
maneuvers in harbor areas, even including berthing operations. Once the planning process is
completed and approved, the bridge team can follow the steering sequence using any
dedicated display to check the plan is being kept. The use of sophisticated planning and

monitoring tools optimizes the number of elementary maneuvers in order to meet the
requirements for the safety of navigation while also meeting the requirements for the
minimum use of the steering equipment and saving fuel and time and simultaneously reduce
GHG emissions when operating in coastal and harbour areas.
 Integrated navigational systems: This can achieve fuel savings by keeping cross track error to
a minimum while in passage. This technology has been brought about by extremely accurate
GPS position information, which can calculate the ships position down to a few meters with
the capability of giving accurate heading information. With this system, better course
control is achieved by requiring less frequent and smaller corrections to minimize rudder
resistance. Generally a ship is most efficient with regard to rudder position, when the rudder
is mid-ships and not carrying any helm in either direction due to wind or sea conditions. The
superstructure and hull form designs above the water can affect the amount of helm the
ship needs to carry for a particular wind direction. Advances in the shape of the above water
profile of the hull and superstructure to reduce the effects of wind resistance could have a
positive effect in this area.
 Computerized maneuvering assistance tools: This takes into account the prevailing
environmental conditions such as wind and current, ship condition, current course, speed,
draught and the trim of the vessel. The systems can adapt the manoeuvring characteristics
to the external environmental condition to ensure efficient use of energy and resources and
minimise emissions of GHG. The intended passage is split into a number of pre-planning
manoeuvres called elementary manoeuvres. Elementary manoeuvres are defined as each
single manoeuvre or command of rudder, engine and thrusters or other steering equipment.
Once the planning process is completed and approved, the bridge team can follow the
steering sequence using any dedicated display to check the plan is being followed. The use
of these sophisticated planning and monitoring tools optimises the number of manoeuvres
for safe navigation while maintaining minimum use of the steering equipment to saving fuel
and time reducing GHG emissions when operating in coastal and harbour areas.
As can be seen, e-navigation provides significant new opportunities for optimizing navigation actions
in favour of safety and environmental protection.
6.3 ECDIS (Electronic Chart Display and Information System)

The international convention for safety of life at sea SOLAS will require in the near future that the
paper charts to be replaced by approved electronic charts that must be used in conjunction with an
approved ECDIS. Paper charts will only be able to be used as a backup or on small ships of less than
500 GT. These electronic charts are currently in two formats the main one being “vector charts”
which can be scaled up or down and not lose any definition, as the information on them is purely
digital. The other type which should only be used where there is no “vector chart” available is the
“raster chart” which is a copy of the paper chart and cannot be scaled up in too much without losing
definition.
The ECDIS takes the information from the approved electronic chart and reproduce an image on a
display system. The ECDIS can however do much more as it also has, as a minimum, the speed, water
depth and position input from sensors so these other ship’s information are accessible by it and can
be seen at all times. Many ECDISs also have the capability of showing radar, ARPA and AIS data so
other ships can also be seen on the ships ECDIS display unit but this in not mandatory. Figure 6.2

shows a concept of how ECDIS as linked to other ship-board systems.
Figure 6.2: Concept of ECDS and its integration with other system [Fredrik Larsson]
The ECDIS should however not be used for collision avoidance as an ECDIS is not approved as a radar
so such information can only be used as an aid to navigation. The ECDIS is used to include the ships
passage plan on and it has the ability to analyse the ships route and provide alerts for better ship
course control. The ECDIS will also alert the “officer of the watch” of deviations from any pre-
programs safety zones set by the officer or master. All the above capabilities are relevant to some
important energy efficiency measures such as weather routing and route planning, course control
and so on.
With ECDIS, the latest navigational information is introduced automatically, saving companies a
significant amount of time that would otherwise be spent researching and gathering. In terms of
communication, electronic data has far more advantages than paper-based information. It is easy for
updates to be transmitted electronically to several recipients, which is vital for shipping companies.
6.4 ECDIS use for GHG reduction

The ECDIS main advantage over the traditional paper plot method of getting from A to B is that it is
capable of accurately plotting and monitoring the ships position in real time to ensure that the ship
follows the optimum course to the destination. In the old systems, the ships position was normally
plotted between every 15 minutes to an hour in coastal situations and every watch when in open
oceans. Course adjustments were then made, where necessary, to make the next alter course
position. An ECDIS fitted to the ship has the ability to be linked to an advanced automatic pilotage
system called a track pilot that can improve the vessels ability to keep on track and alter course at
just the right time to minimise the distance travelled this will ensure that the ship take the minimum
distance between the departure and destination port, thus reducing GHG emissions.
There are however at present dangers to altering the course of a ship without the knowledge of the
“officer of the watch”, particularly in restricted waters with lots of ships around. These systems as
yet fully cannot take into account other ships and the requirements of the International Regulations
For the Prevention of Collision at Sea commonly known as the ‘Rules of the Road’ but when the

principles of e-navigation are fully implemented the possibility is there. An ECDIS can give a quick
method of calculating estimated time of arrivals (ETAs) at the port of arrival taking into account the
current position of the ship, the distance to go and the tidal rates and directions without doing a
complicated calculation. This information gives the officer of the watch the information to accurately
adjust the speed of the vessel so that it arrives at the pilot station or start of the pilotage passage at
exactly the right time when on coastal passages or approaching the port taking into account the
height of tide for entry or any other environmental factors.
This tool can also be used when slow streaming on ocean passages to adjust the speed for better
fuel efficiency and more convenient time of arrival but as mentioned in previous section on shipping
law any reduction of speed to reduce fuel consumption when on charter should be verified. The
ECDIS has the potential to improve voyage planning and fuel efficiency of a vessel on an ocean
passage when the ship is operating at her full service speed. For example, as the ECDIS can
continually monitor the ships position to ensure that it is on the intended track. The ECDIS can follow
a Great Circle curved track that requires the ship to constantly alter the ship’s course, as the ship will
be following a circular path. The Great Circle path which is the shortest distance between two points
on the earth’s surface will always be curved unless the ship is travelling due North, South, East or
West when the ship is following the same latitude or longitude.
6.5 Passage planning

The passage plan is the most important part of the voyage plan. Careful planning and execution of
the passage plan can achieve an optimum route and improved efficiency. The ECDIS can be an
important part of any passage planning and implementation. The stages of a passage plan are as
follows [IMO Resolution 893(21)]:
1. Appraisal: An overall assessment of the intended voyage will be made by the master, in
consultation with the navigating officer and other deck officers who will be involved, after
all relevant information has been gathered. This appraisal will provide the master and his
bridge team with a clear and precise indication of all areas of danger and safe navigation
taking into account the calculated draught of the vessel and planned under-keel clearance.
2. Planning: Once a full appraisal has been carried out the navigating officer carries out the
planning process. The detailed plan would cover the whole voyage, from berth to berth, and
includes all waters where a pilot will be on board. The plan would be completed and include
all the relevant factors listed in the IMO guidelines. The appropriate charts should be
marked clearly showing all areas of danger and the intended track plus all other safety
related information. The main details of the voyage plan should also be recorded in a bridge
logbook used specially for this purpose to allow reference to details of the plan at the
conning position without the need to consult the chart. Supporting information relative to
the voyage, such as times of high and low water, etc. will also be recorded in the logbook.
3. Execution: The execution of the finalised voyage plan would be carried out taking into
account the factors listed in the IMO guidelines. The master would take into account any
special circumstances which may arise, such as changes in weather, which may require the
plan to be reviewed or altered.
4. Monitoring: This is where the passage plan is monitored to affirm that the vessel follows the
intended route. Monitoring of the vessel’s progress along the pre-planned track is a
continuous process. The officer of the watch, whenever in any doubt as to the position of
the vessel should immediately consult the master to ensure safety of the vessel.

Information on passage planning is contained in the IMO resolution 893(21) ‘Guidelines for voyage
planning” that describes in detail what needs to be done under the above 4 stages and the ISF11 /
ICS12 publication “Bridge Procedures Guide”. It should be noted that the above IMO guidelines
address the voyage planning from the safety of navigation purposes rather than energy saving. For
energy saving purposes, the route planning needs to take extra dimensions such as avoiding shallow
waters, avoiding sea currents, etc. thus will be combined with overall voyage planning using weather
routing and so on. Thus, a fuel-efficient operation should be part of the ‘passage planning’ and taken
into consideration at the appraisal stage above.
6.6 Operation in congested routes

When operating in areas of high traffic density, it may be necessary to deviate substantially from the
intended track by an alteration of course to comply with the collision regulations. There may also be
a need to slacken speed, stop or reverse the means of propulsion. In cases such as this, any
considerations to reduce CO2 emissions are outweighed by an international obligation to comply
with the international regulations for the prevention of collision at sea.
It is very difficult to include such requirements in any GHG reduction plan. Ships are required to
proceed at a safe speed in restricted visibility waters. This will require the master to reduce the
speed of the vessel and if necessary stop the vessel until all danger of a collision is over. The
international regulations for prevention of collision at sea require all ships to comply with its
regulations. It may be necessary to ignore energy saving measures when operating in such areas and
again navigational safety and good seamanship must always take priority.
Ships may operate in an area of restricted visibility for several days which may require them to
reduce speed significantly or even wait with subsequent need for over steaming that overall will
result is a significant increase in fuel consumption but yet again navigational safety must take
priority. The main questions answered is weather with e-navigation systems and ECDIS and weather
routing information, such areas of operations that lead to significant increase in fuel consumption
could be avoided? These are certainly issues that may be tackled once the relevant data are mature
and e-navigation is fully in place.
6.7 Shallow waters and narrow channels

In shallow water both frictional and wave making resistances increase. The reasons are:
 Flow velocities under the hull increase as well as the wetted surfaces increase. Both of these
increase the ship’s frictional resistance in shallow waters.
 The waves created under shallow water take more energy from the ship than those in deep
water for the same speed. This increases the wave making resistance.
Because of the above, shallow water can have a significant impact on ship resistances. Table 6.1
shows the fuel consumption increase (%) for different water depths D in meter and speeds X in
knots.
11
International Shipping Federation
12
International Chamber of Shipping

Table 6.1: Increase in fuel consumption (%) as a function of speed and water depth [Mariners
Handbook]
In shallow water, the deep draft vessels can experience “squat”13 which, depending on the hull form
of the vessel will generally increase ship draft and increase the trim either by the head or the stern.
This can result in the ship virtually dragging itself along the bottom. Signs of squat are erratic
steering, large amount of helm required and a trail of muddy water from the stern. Squat can
seriously increase fuel consumption. The solution to the problem is simply slow down where
possible.
It has to be realised that a ship in a narrow channel making for a tidal port with a draft restriction,
may have to increase speed to make the tide even if it results in a significant increase in the use of
fuel. So, there are exceptions to the above general rules. However, in the future with the increased
planned accuracy of satellite navigational systems, improved tidal information and the use of ECDIS
the ships will have the capability of resolving the above issues in a better way. If a ship is operating
on a trade where tide heights and depth of water in the channel or on berth is a major
consideration, the operator may need to look for other ways to reduce the ships energy use as some
of these limitations cannot be overcome.
The use of ECDIS capability plus weather routing services can provide savings via avoiding
inappropriate operations in shallow water, restricted areas and narrow channels.
6.8 Weather routing
6.8.1 History
Weather routing has been around for a long time and was originally developed by the shipmasters in
the time of sailing ships that often develop their own weather charts. The ship would also take their
own weather observations of temperature, pressure, wind direction, wind force, direction of swell
and cloud type and cover; all of which were recorded in the ship’s log book as is still done today. In
13
The squat effect is the hydrodynamic phenomenon by which a vessel moving quickly through shallow water creates an area of lowered
pressure that causes the ship to be closer to the seabed than would otherwise be expected. This phenomenon is caused when water that
should normally flow under the hull encounters resistance due to the close proximity of the hull to the seabed. This causes the water to
move faster, creating a low-pressure area with lowered water level surface. This squat effect results from a combination of (vertical)
sinkage and a change of trim that may cause the vessel to dip towards the stern or towards the bow [Wikipedia]

the 19th and early 20th century this information was collected nationally by such organizations as
the predecessors of the United Kingdom Hydrographic Office. From this information, publications
such as ‘Ocean Passages of the World’, Mariners Handbook (particularly for ice navigation) and
weather routing charts were developed and have become mandatory publications on ships of many
Flag states.
At the turn of the 20th century, the development of radio enabled ships to transmit weather data
over long distances using ‘Morse Code’ giving ships advance warning of storms and hurricanes. Long
wave low frequency radio communication was also used to transmit to the shore up-to-date
weather data. Morse code was still used for ship radio communication right up to 1999 when the
GMDSS (Global Maritime Distress and Safety System) was fully implemented and the use of long
wave and similar low frequency radio frequencies that could only be sent by experienced radio
officers was no longer required. All radio communication could then be sent in plain language via
satellites with little training.
These data enabled shore side forecasters to develop and send up-to date weather forecasts and
charts to all ships in a particular sea area. It was not until the late 60s and early 70s that weather
routing as we know it today was developed. This major change was happened because of the
increased accuracy of weather information that could be provided by the various met offices using
satellite technology viewing from space in real time on various aspects of weather developments.
6.8.2 Fuel consumption and weather

The fuel consumption for a ship not only depends on speed, but also on water depth and weather
conditions. The impact of shallow water operation on fuel consumption was discussed in the
previous section. The weather condition includes wind and wave. To demonstrate the typical impact
of wind on a ship’s fuel consumption, Table 6.2 provides a typical and approximate relation between
increased wind strength, direction, and increased fuel consumption for each unit of Beaufort unit.
Accordingly, a one Beaufort increase in sea state would result in 4% increase in fuel consumption
due to the head wind.
Table 6.2: Increase in fuel consumption due to wind from different directions [Mariners Handbook]
Waves may have a significant impact on route selection. In order to take waves into account one has
first to know their height and direction along the contemplated route as a function of location. Such
knowledge may allow selection of the route and of power setting that minimize the transit time.
However, the waves’ height and direction may change over time and may not be known in advance.
In most oceans, there are regular currents that ships may be able to exploit for faster passage.
Ocean currents are not constant but change over time. Thus getting reliable timely information
regarding the ocean current at the location of a vessel poses a major obstacle. Satellite may provide
timely reliable estimates of dynamic current patterns that are necessary for routing a vessel through
such currents. The major question is whether there is a sufficient market to justify development of a
system for collection of the necessary data.

Based on the above, the ship speed and route is best not only to be decided by commercial and
contractual considerations but also using data on sea condition, sea currents, water depth and wind
characteristics. The optimal speed distribution along the route can be calculated in advance, if a
weather forecast is available. These techniques are used by weather routing service providers as
part of their ship modeling and analysis.
The advantages of including weather routing in a ships passage plan is that a ship on an ocean
passage can significantly reduce its fuel used by reducing the time taken for a particular voyage,
even if the route taken is longer. Weather routing is mainly applicable to ocean going vessels that
have some flexibility in which route they take. The abatement potential is quoted at between 1 and
4% but some providers do quote much higher for individual ships on particular routes of up to 8%. A
significant proportion of the world’s fleet already use weather routing and often included in the
charter party so the possible abatement potential worldwide is believed to be less than the above.
Some weather routing services also provide advance and accurate current and tidal predictions
which can also be used on coastal routes. There are many weather routing providers throughout the
world so there is plenty to choose from. Owners may wish to look at providers that specialise in the
type of trade and area they operation in.
6.8.3 Use of weather routing

If a ship is operating in a sea area which has a high occurrence of bad weather, the owner may
consider using weather routing services to reduce fuel cost and ship and cargo damage. For
example, ships that are fine-lined and are fast often suffer from panting and pounding14 at the
forward section of the ship when the wind and sea is ahead. Panting and pounding can result in
significant damage below the waterline forward on the hull plating and it may be necessary to
reduce the ships speed to save both fuel and expensive dry-dock bills repairing or renewing hull
plating. These fast ships are often container ships or reefers or LNG ships and are on a set schedule
and slowing down because of bad weather can mean that fleet management will suffer.
Weather routing service can direct the ship away from sea areas where such weather conditions are
exist with the likelihood of damage and increased fuel costs. Heavy rolling with a beam sea can
result in significant damage to both the ship (racking stresses) and the cargo, particularly if it is
carried on deck so it may be necessary to alter course lengthening the distance. The ship may not be
going exactly the right way, but at least it will be safer and may be using the minimum level of fuel
for the distance travelled.
Weather routing service can use long-range weather forecasts to route the ship away from these
heavy beam sea conditions, optimising the distance and time travelled. In the case of extreme heavy
weather conditions such as Tropical Revealing Storms (TRS) or hurricanes, it may be necessary to
make substantial changes to the intended track resulting in a much larger distance travelled.
Weather routing services with their up-to-date and accurate information of the direction of the
storm can direct the ship on the safest and shortest route to avoid dangerous sea conditions.
In some cases the weather routing service may advise delaying the ships departure until the weather
improves by either staying in port or finding a safe anchorage until a storm passes; saving fuel and
avoiding damage to the ship and cargo.
14
“Pounding” is a term which describes the heavy contact of the ship’s fore body with sea water when pitching due to bad weather. It is
sometimes referred to as slamming and may cause ship damage. The effect of pounding can usually be reduced by a reduction of the ship
speed.

6.8.4 Weather routing services
Weather routing services can help to optimise the route a ship takes given the prevailing weather
conditions. It was primarily used for avoiding rough seas and for ship safety purposes. Weather
routing can be effectively used for a reduction in travel time and a reduction of fuel consumption.
Weather routing depends on the accuracy of the data provided by the various met offices around
the world.
The types of weather routing services offered are;
 Own ship using current and wind charts.
 Weather routing software onboard that is kept up to date by weather routing services ashore
with the route being planned by the master of the ship.
 Shore based weather routing where the shore based weather routing service provider advises
the master on a regular basis of what rout to take.
If the owner or in some case charterer of the ship decides to use external vessel weather routing
service providers, they will have to decide which category of route the ship should follow. The owner
will be aided to choose one of the following routes, as examples:
 Fastest route.
 Fastest route least fuel.
 Fastest route least damage
 Fastest route least fuel and least damage
The route that the owner requests from the weather routing provider will depend on a number of
factors including the type of cargo, the type of ship, the area of operation, the conditions of the
charter party. If for example the ship is carrying an expensive cargo that is very susceptible to
damage from heavy rolling and pitching, the owner may decide to ask for he least damage route and
accept that the ship may take longer and use possibly more fuel to reach its destination. If there is
no time constrains because the port of discharge or loading is blocked with traffic the owner or
charterer may choose the least fuel route. If there are no such constraints and it is of utmost
importance that the ship arrives at the port in time the owner or charter may decide to ask for the
fastest route.
It should of course be recognised that the navigation of the ship is ultimately the master’s decision
and he can at any time ignore the advice given by the weather routing services if he believes that
following that particular advice would threaten the ship, its cargo or crew. For example, if the ship
enters thick fog area, the International Regulations for the Prevention of Collision require the master
to slow down and if the ship gets a distress message, the ship is obligated to go to help the ships
under distress.
6.8.5 Data used for weather routing

Weather routing service providers play more and more a stronger role in voyage planning and choice
of route. They rely on information about ship, sea and weather to provide their service. They would
normally do this via building a computer-based ship model in their system. If possible, the weather
routing service provider will visit the ship and collect the ship data from the master. They would look
in particular for characteristics of the vessel so that it can be built into their model for best route
planning. If the ship visit is not an option, the service providers will either request the data from the
ship owner or use data from a sister ship.
The weather routing service providers will require ship specific information such as:

 Ship type
 Ship dimensions
 Ship summer load line and ballast passage draft
 Ship draft for the planned voyage
 Carriage of deck cargo
 Service speed
 Max speed
Additionally, weather routing service providers will take into consideration the following data when
putting together a plan for ship on a particular voyage;
 Historic data on currents, wind, pressure, temperature, water temperature, paths of
depressions, Tropical Revealing Storms (TRSs) and wave heights.
 The latest information on wind, waves, wave heights, temperature, pressure, cloud cover and
type provided by national and private weather meteorological data suppliers. This information is
gained from ships at sea, satellites, and shore observations.
The weather routing services provider use advanced computer-modeling tools to predict the
weather pattern and how this will affect the ship at a particular course and speed. From this
information, the model can then produce a voyage route or routes that will reduce the fuel
consumption or voyage time for these conditions taking into account the safe navigation aspects. It
should however be kept in mind that these predictions still rely on the accuracy of the data for both
the ship and assumption that “the weather pattern will do as it did in the past”. These models are
getting better but the weather is such a complicated system that mistakes in forecasting are always
possible; but much less than before.

2. ‘Ocean Passages of the World’ (HMSO)
3. Mariners Handbook (HMSO)
4. Bridge procedures guide (International Shipping Federation)
5. Meteorology for Mariners (HMSO)
6. IMO resolution 893(21) ‘Guidelines for voyage planning”, see
https://mcanet.mcga.gov.uk/public/c4/regulations/safetyofnavigation/annexes/Annex25.h
tm accessed August 2015.
7. Fredrik Larsson, “Marine Issues”, Intertanko presentation to Northern European Panel –
HAMBURG 2009.

on
Module 4 – Ship Board Energy

Management
IMO
ACKNOWLEDGEMENTS

current edition represents a major upgrade of the training package by Dr
Zabi Bazari of Energy and Emissions Solutions, UK (EnEmSol) under
contract for the IMO.
IMO wishes to express its sincere appreciation for WMU and EnEmSol
expert assistance

M4 energy management onboard final Module 4 - Page 1

MODULE 4
Ship-Board Energy Management
This module is intended to provide the awareness, knowledge, skills and motivation required of ship-
board and office-based staff on ship-board energy management techniques and activities. It aims to
provide the trainees with relevant information on the main ship-board Energy Efficiency Measures
(EEMs), technical aspects including engines, auxiliary machinery and steam system, fuel
management and technology upgrades. A number of topics are covered including:
 Typical ship-board organisational charts and role of various individuals and departments;
 Overview of main ship-board EEMs, their significance and potential saving levels;
 Trim optimisation, its impact and best practice;
 Ballast water exchange and management and its relevant EEMs;
 Hull and propeller roughness, fouling and its monitoring;
 Engines and machinery performance and use management;
 Fuel management aspects including storage, treatment and purification;
 Ship maintenance aspects and their impact on energy efficiency;
 Steam system and boilers;
 Ship-board machinery technology upgrades for energy efficiency.
Upon completion of this module, you will:

 Be able to talk about main ship-board staff and their role and responsibilities;
 Be able to provide a list of the main ship-board energy efficiency measures (EEMs);
 Explain what is trim, trim optimisation, its energy saving impacts and best practice;
 Be familiar with general aspects of ballast water management and its relevant EEMs;
 Explain issues of hull and propeller roughness, fouling, level of impacts on energy efficiency
and options for monitoring;
 Explain engines and machinery efficiency characteristics and method of their utilisation
management;
 Describe a typical ship-board steam system, relevant EEMs, and best practice for fuel saving;
 Discuss the fuel management aspects for energy efficiency;
 Describe a number of technology upgrades for energy efficiency for existing ships.


CONTENT
1 INTRODUCTION TO SHIP-BOARD ROLES AND RESPONSIBILITIES ............................................................. 8
1.1 INTRODUCTION .......................................................................................................................................... 8

1.2 SHIP-BOARD ORGANIZATIONAL STRUCTURE ..................................................................................................... 8
1.3 DECK DEPARTMENT .................................................................................................................................... 9
1.4 ENGINE DEPARTMENT ................................................................................................................................. 9
1.5 STEWARD'S DEPARTMENT .......................................................................................................................... 10
1.6 SHIPBOARD ACTIVITIES FOR ENERGY EFFICIENCY .............................................................................................. 10
1.7 IMPORTANCE OF COMMUNICATIONS BETWEEN DEPARTMENTS .......................................................................... 11
1.8 REFERENCE AND FURTHER READING ............................................................................................................. 11
2 SHIP-BOARD ENERGY EFFICIENCY MEASURES ........................................................................................ 12
2.1 INTRODUCTION ........................................................................................................................................ 12

2.2 OPTIMIZED SHIP HANDLING ........................................................................................................................ 12
2.3 OPTIMISED PROPULSION CONDITION ............................................................................................................ 12
2.4 OPTIMISED AUXILIARY MACHINERY .............................................................................................................. 13
2.5 FUEL MANAGEMENT ................................................................................................................................. 13
2.6 MAINTENANCE AND ENERGY EFFICIENCY ....................................................................................................... 13
2.7 TECHNICAL UPGRADES AND RETROFITS.......................................................................................................... 13
2.8 BOILERS AND STEAM SYSTEM ...................................................................................................................... 14
3 TRIM OPTIMISATION ............................................................................................................................. 15
3.1 INTRODUCTION ........................................................................................................................................ 15

3.2 ECONOMIC BENEFITS................................................................................................................................. 15
3.3 DEFINITIONS ........................................................................................................................................... 16
3.4 PHYSICS OF TRIM ...................................................................................................................................... 17
10.5.1 Impact of trim on powering requirement ................................................................................... 17
10.5.2 Impact of trim on ship powering ................................................................................................ 19
10.5.3 Impact of sea conditions............................................................................................................. 20
10.5.4 Impact of ship speed ................................................................................................................... 20
3.5 OPERATION GUIDANCE .............................................................................................................................. 21
3.6 TOOLS FOR SUPPORT ................................................................................................................................. 21
3.7 BARRIERS TO TRIM OPTIMISATION................................................................................................................ 22
3.8 FREQUENTLY ASKED QUESTIONS .................................................................................................................. 22
4 BALLAST WATER MANAGEMENT (BWM) AND ENERGY EFFICIENCY ....................................................... 25
4.1 INTRODUCTION ........................................................................................................................................ 25

4.2 PORT AND VOYAGE PLANNING ASPECTS......................................................................................................... 26
4.3 TYPICAL BALLAST WATER SYSTEMS WITHOUT TREATMENT ................................................................................. 26
4.4 BALLAST WATER MANAGEMENT PLAN (BWMP)........................................................................................... 27
4.5 METHODS OF BALLAST EXCHANGE ............................................................................................................... 28
4.6 ENERGY EFFICIENCY ASPECTS ...................................................................................................................... 29
5 HULL AND PROPELLER CONDITION ........................................................................................................ 31
5.1 SHIP RESISTANCE AND HULL ROUGHNESS ....................................................................................................... 31

5.2 CAUSES OF SURFACE ROUGHNESS ................................................................................................................ 32
5.3 HULL ROUGHNESS REDUCTION .................................................................................................................... 34
5.4 HULL COATINGS ....................................................................................................................................... 34
5.5 HULL CLEANING ....................................................................................................................................... 35
5.6 PROPELLER ROUGHNESS AND ENERGY EFFICIENCY ........................................................................................... 37
5.7 CONDITION-BASED HULL AND PROPELLER MAINTENANCE.................................................................................. 38
6 ENGINES AND MACHINERY LOAD AND UTILISATION MANAGEMENT .................................................... 40
6.1 INTRODUCTION ........................................................................................................................................ 40

6.2 ENGINE LOAD MANAGEMENT...................................................................................................................... 40
6.2.1 Rational ........................................................................................................................................... 40
6.2.2 Load management for main engine ................................................................................................ 41
6.2.3 Load management for auxiliary engines ........................................................................................ 42
6.2.4 Method of analysis.......................................................................................................................... 42
6.2.5 Method of improvements ............................................................................................................... 43
6.3 ELECTRICAL LOAD REDUCTION ..................................................................................................................... 43
6.4 AUXILIARY MACHINERY USE REDUCTION VIA SYSTEM PLANNING ......................................................................... 44
6.5 AUXILIARY FLUID MACHINERY...................................................................................................................... 44
6.6 ELECTRIC MOTORS ................................................................................................................................... 46
7 FUEL MANAGEMENT ............................................................................................................................. 49
7.1 INTRODUCTION ........................................................................................................................................ 49

7.2 FUEL OIL PROCUREMENT AND BUNKERING ..................................................................................................... 49
7.3 FUEL QUALITY AND QUANTITY ASSURANCE..................................................................................................... 49
7.4 FUEL STORAGE AND TRANSFER .................................................................................................................... 50
7.5 BUNKER MEASUREMENTS .......................................................................................................................... 51
7.6 FUEL CONSUMPTION MEASUREMENT AND REPORTING ..................................................................................... 51
7.7 FUEL OIL TREATMENT – SETTLING AND PURIFICATION ...................................................................................... 52
7.7.1 Settling tank(s) ................................................................................................................................ 52
7.7.2 Fuel purification .............................................................................................................................. 52
7.8 FUEL VISCOSITY CONTROL........................................................................................................................... 53
7.9 FUEL OIL ADDITIVES .................................................................................................................................. 55
7.10 ENERGY EFFICIENCY MEASURES ................................................................................................................... 56
8 SHIP MAINTENANCE AND ENERGY EFFICIENCY ...................................................................................... 58
8.1 REQUIREMENTS, RULES & REGULATIONS ....................................................................................................... 58

8.2 MARITIME MAINTENANCE MANAGEMENT ..................................................................................................... 58
8.3 TYPE OF MAINTENANCE ............................................................................................................................. 58
8.4 MAINTENANCE AND ENERGY EFFICIENCY ....................................................................................................... 60
9 TECHNICAL UPGRADE AND RETROFIT .................................................................................................... 64
9.1 DEVICES FORWARD OF PROPELLER .............................................................................................................. 64

9.1.1 Mewis Duct ..................................................................................................................................... 64
9.1.2 Wake-equalizing duct ..................................................................................................................... 65
9.1.3 Pre-swirl stator................................................................................................................................ 65

9.2 DEVICES AFT OF PROPELLER ....................................................................................................................... 66
9.2.1 Propeller Boss Cap Fin (PBCF) ......................................................................................................... 67
9.2.2 Integrated propeller and rudder units ............................................................................................ 68
9.3 DUCTED PROPELLER ................................................................................................................................. 68
9.4 FORE-BODY OPTIMISATION AND BULBOUS BOW ............................................................................................ 69
9.5 WASTE HEAT RECOVERY ............................................................................................................................ 71
9.6 AUXILIARY MACHINERY AND SYSTEMS ......................................................................................................... 71
9.6.1 High efficiency electric motors ........................................................................................................ 71
9.6.2 Fuel oil homogenisers ..................................................................................................................... 72
9.6.3 Other technologies .......................................................................................................................... 73
9.7 REFERENCES AND FURTHER READING ........................................................................................................... 73
10 BOILERS AND STEAM SYSTEM ............................................................................................................... 75
10.1 INTRODUCTION ........................................................................................................................................ 75

10.2 OVERVIEW OF A SHIP’S STEAM SYSTEM ......................................................................................................... 76
10.3 BOILER ENERGY EFFICIENCY MEASURES ......................................................................................................... 77
10.3.1 Fouling of surface ....................................................................................................................... 78
10.3.2 Optimum hot well temperature and blow-down levels .............................................................. 78
10.3.3 Excessive combustion air ............................................................................................................ 78
10.3.4 Exhaust gas economiser efficiency ............................................................................................. 79
10.3.5 Boiler efficiency and load factor ................................................................................................. 79
10.4 STEAM DISTRIBUTION SYSTEM ENERGY EFFICIENCY MEASURES ........................................................................... 80
10.5 STEAM END-USE ENERGY EFFICIENCY MEASURES ............................................................................................. 81
10.5.1 Cargo heating planning and optimisation .................................................................................. 81
10.5.2 Steam for cargo discharge or ballast water operation ............................................................... 83
10.5.3 Inert Gas Generation (IGG) ......................................................................................................... 83
10.6 SHIPBOARD BEST PRACTICE GUIDE................................................................................................................ 84

LIST OF FIGURES
Figure 1.1 - Typical ship-board organizational chart .............................................................................. 8
Figure 3.1: Concept and definition of trim............................................................................................ 16
Figure 3.2: Schematic of parameters measured under model self-propulsion tests [Rod Sampson
2008] ..................................................................................................................................................... 18
Figure 3.3: Typical prediction of flow field and impact of trim using CFD method *Lloyd’s Register
2011] ..................................................................................................................................................... 19
Figure 3.4: Trim guidance at different drafts [Force Technology 2011] ............................................... 19
Figure 3.5: Impact of waves relative to calm waters [Force Technology 2011] ................................... 20
Figure 3.6 - Propulsion power as a function of trim [Nikolaj Lemb Larsen 2012] ................................ 20
Figure 4.1: Transfer of bio-species due to ballast operations [Wikipedia] ........................................... 25
Figure 4.2: Typical ballast and bilge pump arrangement [Machinery Spaces.com] ............................. 27
Figure 4.3: Ballast water exchange using flow-through method [Wikipedia] ...................................... 29
Figure 5.1 – Typical increase in power/fuel required to maintain vessel speed of a fast fine ship vs
increasing hull roughness [International Paint 2004] ........................................................................... 31
Figure 5.2 – Changes in ship resistance with time [Monk and Kane] ................................................... 32
Figure 5.3 - Example of fouling [International Paint]............................................................................ 33
Figure 6.1 - Engine SFC as a function of load factor ............................................................................ 41
Figure 6.2 - Periods for 1-DG and 2-DG operation .............................................................................. 43
Figure 6.3 – Load profile for a typical pump ......................................................................................... 45
Figure 6.4 – Main types of flow control ................................................................................................ 45
Figure 6.5 – Impact of Variable Speed Drive method of flow control on power demand ................... 45
Figure 6.6 – Typical characteristic of electric motors [6] ...................................................................... 47
Figure 7.1 - Clogged fuel pipes due to very poor quality fuels ............................................................. 50
Figure 7.2 – Compatibility test procedure [ExxonMobil] ...................................................................... 51
Figure 7.3 – Typical purifier systems on-board..................................................................................... 53
Figure 7.4 – Typical fuel oil heaters ...................................................................................................... 54
Figure 7.5 – Viscosity controller and fine filter units ............................................................................ 54
Figure 7.6 – Damage to engine piston and cylinder liner [Gard 2014] ................................................. 55
Figure 8.1 – Types of maintenance policy ............................................................................................ 59
Figure 8.2 – Ship maintenance by location ........................................................................................... 60
Figure 9.1 – Mewls Duct [Becker Marine Systems] .............................................................................. 64

Figure 9.2 – Typical wake equalising duct [Scheneekluth] ................................................................... 65
Figure 9.3 – Pre-swirl stator .................................................................................................................. 66
Figure 9.4 – Typical propeller efficiency and losses.............................................................................. 67
Figure 9.5 – PBCF at the back of propeller............................................................................................ 67
Figure 9.6 - Integrate propeller rudder ................................................................................................. 68
Figure 9.7 - Ducted propeller ................................................................................................................ 69
Figure 9.8 – Concept of bow waves and bulb waves that cancel each other [Soumya Chakraborty] .. 70
Figure 9.9 – Bulbous bulb retrofit on Maersk ships [Jonathan Wichmann] ......................................... 71
Figure 9.10 – Example of energy efficiency rating of electric motors .................................................. 72
Figure 9.11 – Typical homogeniser ....................................................................................................... 73
Figure 10.1 – Overall annual fuel consumption and boiler share [Bazari 2012]................................... 75
Figure 10.2 - Annual shipping fuel consumption per ship type and combustion system [Third IMO
GHG Study 2014]................................................................................................................................... 75
Figure 10.3 – A typical auxiliary boiler steam system configuration [Machinery Spaces.com]............ 76
Figure 10.4 – Overall ship-board steam system [Alfa Laval] ................................................................. 77
Figure 10.5 – Boiler efficiency characteristics ...................................................................................... 77
Figure 10.6 – Boiler efficiency as a function of CO2 level in the exhaust gas [Mohit Sanguri] ............. 79
Figure 10.7 – Impact of load factor on efficiency ................................................................................. 80
Figure 10.8 - Example of a cargo heating process [OCIMF 2011] ......................................................... 82

1 Introduction to Ship-Board Roles and Responsibilities
1.1 Introduction
In this section, information is provided on ship-board management structure and organisational
chart, main roles, main departments. It also highlights the main roles and responsibilities in
particular for those that have significant impact with regard to ship-board energy management.
Training of ship-board staff on energy management activities are highlighted in various IMO
guidelines and thus the initial effort by companies will include awareness raising and change of ship-
board culture with regard to energy efficiency.
1.2 Ship-board organizational structure

The ship’s crews are the personnel who sail on board a ship and are responsible for its operation,
primarily when the ship is at sea (with some responsibility when at port). For the purpose of ship
operation and traditionally, the crew of a commercial ship is divided into three departments
[Wikipedia 2015]:
 Deck department
 Engine department
 Catering (steward’s) department.
Figure 1.1 shows some typical ship-board management organizational charts. A brief description of
the important roles is given below.
[Maritime Profession Promotion Foundation]

[Reference 2]
Figure 1.1 - Typical ship-board organizational chart

The Captain or Master is the ship's highest responsible officer, acting on behalf of the ship's owner /
operator or manager. The Captain/Master is legally responsible for the day-to-day management of
the ship. It is his/her responsibility to ensure that all the departments perform legally to the
requirements of the ship's owner /operator or manager. The ship has a number of deck officers that
assist the master. Master also usually has the advice of pilots while the ship is navigating in
restricted waters, such as narrow or shallow channels. Also, each shipboard department has a
designated head who reports to the master. The deck department is headed by a Chief Officer. The
engine department is headed by a Chief Engineer. He has other licensed engineers to assist him with

engine room watch and the performance of maintenance and repair activities in the engine room.
The Chief Steward is the head of the catering department. He assists the captain in dealing with
embarkation (entering a port) and disembarkation (leaving a port) formalities and other
administrative tasks, if necessary. Additionally, in ports, he will take care of ordering and supervising
the delivery of provisions and galley supply and distribution and is in charge of crew wages, etc. The
above roles and their level of engagement will vary from one ship type to another.
1.3 Deck Department

Chief Officer1: The Chief Officer is the head of the deck department. He is second-in-command after
the ship's master. The Chief Officer's primary responsibilities are the vessel's cargo operations, its
stability and supervising the deck crew. The Chief Officer is responsible for the safety and security of
the ship, as well as the welfare of the crew on board. The Chief Officer typically stands the 4-8 hours
of navigation watch. Additional duties include ensuring good maintenance of the ship's hull, cargo
gears, accommodations, the lifesaving and firefighting appliances. The Chief Officer also trains the
crew and cadets on various aspects like safety, firefighting, search and rescue and various other
contingencies.
Second Officer2: The Second Officer is usually in charge of ship navigation with a position below
Chief Officer and above Third Officer. He/she is the third-in-command, after the Master and Chief
Officer. The second officer typically stands watch from 1200 to 1600 at noon and again from 0000 to
0400 in the nights.
Third Officer3: The third officer primarily charged with the safety of the ship and crew. The Third
officer generally serves as the ship's chief safety officer. The Third Officer is the next licensed
position on board the vessel, as fourth-in-command.
1.4 Engine department4

The engineers on board ships are also called technical officers. They are responsible for keeping the
machinery maintained and operational. Today, ships are complex systems that combine a lot of
technology within a small space. This includes not only the engines and the propulsion system, but
also for example, the electrical power supply, devices for loading and discharging, garbage
incineration and fresh water generators. Additionally, more and more environmental protection
technologies, fuel treatment systems and cargo conditioning devices are used on board ships. The
upkeep of all these are in the hands of engine department staff.
Chief Engineer: The Chief Engineer on a commercial vessel is the official title of someone qualified to
manage and oversee the engine department. The qualification for this position is colloquially called a
"chief's ticket". The Chief Engineer is responsible for all operations and maintenance of all
engineering equipment throughout the ship.
Second Engineer5: The Second Engineer is the officer responsible for supervising the daily
maintenance and operation of the engineering systems. He or she reports directly to the Chief
Engineer. The Second Engineer is second in command in the engine department after the ship's
Chief Engineer. The person holding this position is typically the busiest engineer on-board the ship,
due to the supervisory role this engineer plays and the operations duties performed. Operational
1
Also called Chief Mate or First Mate
2
Also called Second Mate
3
Also called Third Mate
4
Also referred to as Engineering Department
5
Also referred to as First Assistant Engineer

duties include responsibility for the refrigeration systems, main engines and any other equipment
not assigned to the third or fourth engineers.
Third Engineer: The Third Engineer is junior to the second engineer in the engine department and is
usually in charge of boilers, fuel, auxiliary engines, condensate, and feed systems. This engineer is
typically in charge of bunkering, if the officer holds a valid certificate for fuel transfer operations.
Fourth Engineer: The Fourth Engineer is junior to the third engineer in the engine department. The
most junior marine engineer of the ship, he or she is usually responsible for electrical, sewage
treatment, lube oil, bilge, and oily water separation systems. Depending on usage, this person
usually stands a watch. Moreover, the fourth engineer may assist the third officer in maintaining
proper operation of the lifeboats.
1.5 Steward's department

Chief Steward: The Chief Steward directs and assigns personnel that do functions such as preparing
meals, cleaning and maintaining officers' quarter, and managing the stores. The Chief Steward also
does other activities such as overtime and cost control records, and may requisition or purchase
stores and equipment. Other additional duties may include taking part in cooking activities. The
Chief Steward is assisted by a chief cook and his/her assistant cooks, mess men and assistant
stewards.
1.6 Shipboard activities for energy efficiency

Based on the above description, all ship staffs have roles to play on ship energy efficiency. However,
the role they could play would be different and its effectiveness will vary. For example:
 The Master, being overall in command of the ship, has a significant impact on all aspects of
ship operation including planning, execution, controls and evaluations. The Master in
particular could influence significantly all ship operational issues. Without Master’s full
awareness and drive, ship energy management is unlikely to succeed on-board ships. Areas
that Master could significantly impact are those related to ship operational aspects such as
voyage management, weather routing, just in time arrival and so on (those covered in
Module 3); all of which has significant implications for ship energy efficiency. So, a ship’s
Master could have the highest influence for an energy efficient ship operation than any
other ship-board staff.
 The Chief Officer (2nd in command) plays significant roles on the cargo and loading/unloading
operations, ballast management operations, trim optimisation and aspects of hull and
propeller condition and maintenance, etc. In this regard, all detailed operational issues are
handled by Chief Officer and in this way he/she exerts a lot of influence on various ship
activities including energy and environmental management. Good communications between
Chief Officer and Chief Engineer would provide a more optimised operation between deck
department requirements and engine department efficiency and maintenance
requirements. Based on this, the Chief Officer is the second most important person on board
ship that could influence the overall ship energy efficiency or inefficiency.
 The Chief Engineer being in overall charge of technical aspects of ship engineering systems
and machinery operations, could play a major role on technical issues including the
condition and performance of engines and various machinery and the way they are utilised.
The Chief Engineer normally carries out most of the machinery condition assessment
activities, engine record logs and reporting and communications with Master and Chief
M4 energy management onboard final Module 4 - Page

10
Officer. By virtue of having the full picture of all engineering system, Chief Engineer is the
third most important person on-board in terms of energy efficiency after the Master and
Chief Officer.
 The Second Engineer, by virtue of being the most engaged person in the engine department
on day to day operation and maintenance of various systems, has the second most
important role in engine department in ensuring that all machinery are in optimal working
condition and performance as well as their usage are limited to requirements.
The above list does not negate the importance of all ship-board personnel in impacting the ship-
board energy efficiency activities. It only highlights those that could have more influence. In fact, all
personnel could play their role and without their buy-in the task of ship-board energy management
will not be successful. Building up a culture of care for environment and fuel saving between staff is
a prerequisite for any successful ship-board energy management.
1.7 Importance of communications between departments

One of the issues observed most of the time is the lack of optimal organisational communications
between various departments that lead to waste of energy. For example, communication between
deck and engine departments is essential for machinery use optimisation. In an effective ship-board
energy efficiency programme, the collaboration and communications between all departments need
to be enhanced. This may be achieved via consideration of energy efficiency at daily meetings and
relevant ship-board work planning for reduction of electricity, compressed air, fresh water, etc. use.
1.8 Reference and further reading

1. Wikipedia 2015, “Seafarer's professions and ranks”,
http://en.wikipedia.org/wiki/Seafarer's_professions_and_ranks accessed August 2015.
2. http://maritime.org/doc/merchant/prelim/part3.htm, accessded August 2015
3. Maritime Profession Promotion Foundation,
http://www.seagoinghk.org/eng/default.asp?deckofficer, accessed August 2015.
4. “STCW: A guide for seafarers, taking into account the 2010 Manila amendments”,
International Transport Workers’ Federation publication, available on www.

11
2 Ship-board Energy Efficiency Measures
2.1 Introduction
In Module 3, the energy efficiency measures relating to ship’s operation/commercial management
were covered. It was widely argued and shown that these kinds of measures are not fully under the
control of ship staff, thus the issue of communication and coordination between ship, shore office,
charterer, shipper, etc. were highlighted.
In this module, energy efficiency measures are covered that to a large extend and primarily are in
the hand and under control of the ship-board staff (although not all of them by 100%). They could be
the subject of ship’s in-passage activities for energy efficiency. An overview of major aspects of ship-
board activities that impacts the ship’s fuel consumption coming under this category are briefly
introduced first and then fully described in other sections of this module.
2.2 Optimized ship handling

Optimum trim: Most ships are designed to carry a designated amount of cargo at a certain speed for
certain fuel consumption. The same applies to ballast operations. Whether loaded and unloaded, for
such conditions, normally there exists a ship trim that minimises the propulsion power, thus main
engines’ fuel consumption. In fact, for any given draft there is one optimum trim that gives minimum
ship resistances. In some ships, it is possible to assess optimum trim conditions for fuel efficiency
continuously throughout the voyage. Setting the ship trim is to a large extent in the hand of ship-
board staff although loading, operational and navigational constraints may limit the full extent of
proper use of this energy efficiency measure. The trim optimisation aspects are covered in detail in
Section 3.
Optimum ballast: Ships normally carry ballast water to ensure ship’s stability and safety. Normally,
ballast levels should be adjusted taking into account the requirements to meet ship stability,
steering aspects of the ship and optimum trim. This does not necessarily mean carrying lots of
ballast water all the time. This unnecessarily increases the ship displacement that directly increases
fuel consumption. Thus there is an optimum ballast condition that needs to be achieved through
good cargo planning as well as voyage planning. Therefore optimising the ballast levels for energy
efficiency within the framework of ship stability, safety, steer-ability and optimum trim can be
regarded as an energy efficiency measure. The energy efficiency aspects of ballast water
management are covered in Section 4.
Optimum use of rudder and autopilot: There have been large improvements in automated heading
and steering control systems technologies. Whilst originally developed to make the bridge team
more effective, modern autopilots can achieve much more. An integrated navigation system can
achieve significant fuel savings by simply reducing the distance sailed “off track”. The principle is
simple; better course control through less frequent and smaller corrections will minimize losses due
to rudder resistance. In some cases, retrofitting of a more efficient autopilot to existing ships could
be considered. This subject has already been covered under e-navigation in Module 3 and will not be
further discussed in this module.
2.3 Optimised propulsion condition

Hull maintenance: Hull fouling always happens in ships. The rate of hull fouling will depend on a
number of factors such as quality of paint, ship service speed, periods of idle /waiting and ship
geographical area of operation. Hull resistance can be optimized by new advanced coating systems,
possibly in combination with hull cleaning at certain intervals. Regular in-water inspection of the
condition of the hull is recommended. Consideration may be given to the possibility of timely full

12
removal and replacement of underwater paint systems to avoid the increased hull roughness caused
by repeated spot blasting and repairs over multiple dry dockings.
Propeller cleaning: Propeller cleaning and polishing or even appropriate coating may significantly
increase fuel efficiency. The need for ships to maintain efficiency through in-water hull and propeller
cleaning should be recognized and facilitated by port States. The topics of hull fouling and
monitoring together with propeller cleaning and polishing are further described in Section 5.
Main engine maintenance: Marine diesel engines have a very high thermal efficiency (~50%). This is
the best efficiently currently available on the market and is the main reason why diesel engines are
unrivalled in shipping. The high efficiency is due to the systematic minimization of heat and
mechanical loss of such engines and improved performance parameters that has taken place over
many decades. In particular, the new breed of electronic controlled engines can provide efficiency
gains with wider flexibility for example for slow steaming. To keep these engines in optimal
condition and performance, they need to continuously undergo on-board condition and
performance monitoring. Maintenance in accordance with manufacturers’ instructions in the
company’s planned maintenance schedule will also maintain efficiency. The use of engine’s
condition monitoring can be a useful tool to maintain high efficiency. The topic of engines and how
to improve their condition and performance for optimal efficiency is covered in Section 6.
2.4 Optimised auxiliary machinery

There is a significant number of auxiliary machinery on board ships that use electrical power to
function. Such machinery has a number of redundancies for safety and operational purposes so that
if one fails, the redundant one could take over and ensure continuous safety and operation of the
ship. There aspects to choice of such machinery as well as their operation that impact a ship’s energy
efficiency. For example, the way such machinery is used could lead to poor maintenance as well as
high energy use. Such topics are further covered in Section 6.
2.5 Fuel management

Shipping normally uses Heavy Fuel Oil (HFO) that is of lowest quality amongst marine fuels and could
be of poor quality, if care is not exercised during procurement and use. Control of quality and
quantity of fuels purchased and also on-board fuel treatment can provide significant benefits for
safeguarding the machinery from damage but also in terms of energy efficiency. This topic is covered
in Section 7.
2.6 Maintenance and energy efficiency

Ship maintenance operations and management are fundamental for energy efficient operation of its
machineries and systems. Deterioration of ship systems’ condition takes place due to normal wear
and tear, fouling, mis-adjustments, long periods of operation outside design envelopes, etc. As a
consequence equipment downtime, quality problems, energy losses, safety hazards or
environmental pollution may result. The end outcome is a negative impact on the operating cost,
profitability, customer satisfaction and probable negative environmental impacts. Thus good
maintenance is in line with good performance and energy efficiency. This topic is further discussed in
Section 8.
2.7 Technical upgrades and retrofits

There are a whole host of technologies that may be used to improve the energy efficiency of an
existing ship. Although a decision to choose and install such technology upgrades is outside the hand

13
of ship-board staff, nevertheless this topic will be covered in this module. Typical technologies could
include the following.
Optimum propeller and propeller inflow considerations: Selection of the propeller is normally
determined at the design and construction stage of a ship but new developments in propeller design
have made it possible for retrofitting of later designs to deliver greater fuel efficiency. It is important
to know that such changes should be decided by looking at the ship as a whole from hydrodynamic
points of view taking consideration for all elements of a ship’s duty cycle. Additionally,
improvements to the water inflow to the propeller using arrangements such as fins and/or nozzles
could increase propulsive efficiency power and hence reduce fuel consumption.
Efficient auxiliary machinery and electrical motors: Technology could help in this area via a host of
initiatives such as energy saving lamps, energy efficient electrical motors, energy efficiency pumps,
etc.
Waste heat recovery: Waste heat recovery is now a commercially available technology for some
ships. Waste heat recovery systems use thermal heat losses from the exhaust gas for either
electricity generation or additional propulsion with a shaft motor. It may not be possible to retrofit
such systems into existing ships. However, they may be a beneficial option for new ships. Waste heat
recovery technologies to reduce the need for hot water or steam may be considered for existing
ships where such requirement dictates longer operation of the auxiliary boilers.
All the above technology upgrades and retrofit options that are of immediate interest to existing
ships are discussed in Section 9.
2.8 Boilers and steam system

In some ship types, boilers and steam are using significant amount of energy for either propulsion
turbines or for other auxiliary services such as operation of cargo and ballast pumps, cargo heating,
fuel oil treatment and conditions and so on. The associated energy efficiency measures related to all
aspects of steam generation and use are covered in Section 10.

1. ABS 2013 “Ship Energy Efficiency Measures, Status and Guidance“,

http://ww2.eagle.org/content/dam/eagle/publications/2013/Energy%20Efficiency.pdf,
accessed August 2015.
3. Resolution MEPC.213(63), “2012 Guidelines for the development of a ship energy efficiency
management plan (SEEMP)” IMO MEPC, Adopted on 2 March 2012.

14
3 Trim Optimisation
3.1 Introduction
Most ships are designed to carry a certain amount of cargo at a designated speed, consuming a
certain amount of fuel under a specified trim condition. Loaded or ballast, trim has a significant
influence on the resistance of the ship through water. Therefore, optimizing the trim can deliver
significant savings.
For any given draft and speed, there is a trim condition that gives minimum resistance. Therefore,
the vessel optimum trim is a function of draft and speed. A ship’s optimum trim may be established
as part of routine operations or through tank testing or use of computational methods. Nowadays,
Computational Fluid Dynamics (CFD)6 methods are extensively used to estimate optimal trim settings
for energy efficiency. However, these may require information from ship model tests and /or full-
scale measurements.
Operationally, design or safety factors may preclude the full use of trim optimization. The possibility
of trimming a ship should be seen in relation to stability, maneuverability and other safety and
operational aspects. It is the master or chief officer of the vessel that will ultimately ensure all
situations are considered. To ensure best practice, the concern of masters with regard to loading
and ballasting aspects needs to be taken into account.
3.2 Economic benefits

Trim optimisation has significant economic benefits in terms of fuel savings. These economic
benefits will vary from one ship size and type to others. It should be emphasised that even small trim
changes can have a large impact on vessel performance. A 2% to 4% reduction potential in fuel
consumption is generally referred to in most literatures. However, depending on ship type and
operation draft, this number may be higher or lower. Therefore, for energy saving, all possible
measures should be tried to help with ensuring that this potential is realised. Sailing just 5-10
centimetres off optimal trim might cause ships to operate at higher fuel consumption levels than
normal [Tero Illus, 2012].
There is a bulk of evidences on significant fuel saving potentials due to trim. Ship resistance is
altered due to the trim of a vessel through viscous resistance which is a function of the wetted hull
surface area. When trim changes, wetted surface area and thereby hull resistance will be affected.
By definition, if resistance increases, fuel consumption and emissions also increase.
Thus to reduce fuel consumption and emissions, trim needs to be optimised before and during a
ship’s voyage through a proper loading of the ship or use of ballast water in order to achieve a
floating position that consumes the least propulsion power. Ships normally record their trim before
the voyage by directly reading the draft marks. So, considering that the weight distributions on the
ship allow trim adjustment, finding the appropriate and optimal floating position before voyage
becomes possible (this is referred to as “static trim” when ship is not sailing). However, knowing the
exact trim and draught during a ship’s voyage is important. The trim under operational condition is
normally referred to as “dynamic trim” and is different from “static trim” due to the impact of ship
6
Computational Fluid Dynamics (CFD) is a branch of fluid mechanics that uses numerical methods and software systems to solve and
analyse problems that involve fluid flows including liquids and gases. In shipping, it is widely used for estimating ship resistances and
improves ship design via reduction of number of trial and errors experimentations such as ship’s model tank testing. CFD methods involve
significant level of numerical calculations; thus high computer powers that is readily available. On-going research and development has
yielded much more accurate estimation of a ship’s resistance and powering using this technique; including its use for establishing a ship’s
optimal trim.

15
motion. Its measurement requires real-time readings through sensors and relevant on-board data
systems.
A vessel with high trim and draught fluctuations (more changes of dynamic trim) during its voyage
might benefit more from trim adjustments than the one with small fluctuations. The following are
two real examples of proven savings by trim optimisation:
 Containership Example [Tero Illus, 2012]: This case is for a 5,500 TEU container ship over
136 sea days crossing. It was found that the average percentage of propulsion power loss
due to non-optimal trimming was 5%, whilst the vessel was on long, trans-oceanic legs,
although lower on shorter and more coastal routes. The trim-related saving potential was
calculated at 350 tons of HFO for the crossing. Even if operational constraints meant that the
ship was only able to follow an optimum trim 80% of the time, 280 tonnes of fuel would still
have been saved. Such a saving translates into more than US$ 100,000 reduction in bunker
costs for the vessel operator in less than five months.
 VLCC Example [Melvin Mathew, 2012]: The results of a study on the impact of trimming on
a VLCC showed that VLCCs can benefit significantly from trim optimisation due to their size
and rate of daily consumption. The saving is dependent on the rate of use of the suggested
optimum trim by the crew. This can be influenced by external conditions, such as extreme
weather, as well as the crew’s commitment to apply the trim guidance given to them. This
study showed that proper use of trim adjustments, translates into propulsion energy savings
of 1.8%, which equates to about 505 tonnes of fuel consumption reduction with saving
levels of more than US$ 200,000 annually.
3.3 Definitions
Trim: Trim is normally defined as the difference between the aft draft and the forward draft:
Trim = TA-TF
Where:
TA Aft draft (m)
TF Forward draft (m)
When the trim is positive, it means that the stern of the vessel is more inside the water than
forward. Accordingly, positive trim means trim to aft and negative values of trim means trim to
forward. The concept of trim is shown in Figure 3.1.
Figure 3.1: Concept and definition of trim

Optimum trim: Optimum trim refers to a ship’s trim under which the required propulsive power is
minimal for the specific operational speed and draft of the vessel.
Load planning: The ship loading plan specifies the loading levels and how the loads should be
distributed in different cargo spaces. The load planning should be done by consideration of
corresponding regulations (e.g. load line convention) but above all the ship stability. The process of

16
loading of a ship is with port’s staff and loading superintendents but the master or chief officer is
ultimately responsible for all the loading and unloading operations.
Loading computer: A loading computer system is a computer-based system for the calculation and
control of ship loading conditions for compliance with the applicable stability requirements and
longitudinal and local strength requirements. The ship-board loading computer system consists of
software (calculation program) and an appropriate computer (hardware).
Even keel: This refers to ship condition when the draft of a ship fore and aft is the same. In other
words, even keel refers to zero trim.
Static trim: This refers to a ship’s trim when the ship is in still water (not moving). In this case, it is
the difference between aft and forward drafts; mainly dictated by the ship’s cargo, ballast, fuel on
board, etc. distributions.
Dynamic trim: This refers to a ship’s trim when the ship is underway and moving. It is different from
static trim due to the ship sinkage phenomena. The ship sinks down relative to the still water level
when it is underway, due to its forward movement and environmental effects. The level of sinkage is
characterized by a dynamic sinkage at the forward and a dynamic sinkage at the aft of the ship.
Normally, the forward sinkage is more than the aft sinkage and is a function of ship speed as well.
Dynamic trim thus is static trim plus trim changes due to ship sinkage while underway.
3.4 Physics of trim

A ship’s resistances and its trim are closely related to each other. This is due to the fact that trim
could change parameters that impact the hydrodynamic performance of a ship. The high impact of
trim on ship performance is well known in particular for container ships and RoRo vessels. Large fuel
savings are claimed due to changes to the ship trim.
The possible explanations for the relatively large dependencies of ship performance on the trim
could be attributed to the following impacts of trim [Force Technology 2011]:
 Changes to wave resistance
 Changes to wetted surfaces and thereby the frictional resistance.
 Changes to form resistance due to transom submergence
 Changes to various propulsion coefficients including:
o Resistance coefficients
o Thrust deduction
o Wake fraction
 Changes to propulsive efficiencies including:
o Relative rotative efficiency.
o Propeller efficiency
On fast container ships and RoRo vessels, there is much to be gained by introducing the correct
(optimum) trim. However, a reduction in fuel consumption due to changes to trim might be achieved
even on tankers and bulk carriers [Force Technology 2011].
10.5.1 Impact of trim on powering requirement
There are different methods of determining a ship’s optimum trim. The best results are obtained
from self-propulsion tests using a scale model (model tank testing). In self-propulsion tests, not only

17
the changes in hull resistance are investigated and the choice of propeller is examined but also the
propulsion coefficients are normally measured. These tests, if performed over a sufficient range of
speed and draft, could provide input in identifying optimum trim. Figure 3.2 shows the parameters
that are normally measured under self-propulsion tests.
Figure 3.2: Schematic of parameters measured under model self-propulsion tests [Rod Sampson 2008]
Alternatively, with today’s accuracy, trim tables based on use of CFD software tool calculations can
be comparable to resistance model tests. However, both resistance tests and CFD methods tend to
ignore the impact of the propeller; this may have a significant impact on evaluations of vessels with
light drafts.
To determine the optimum trim, the vessel’s loading conditions need to be investigated in order to
find the extreme operational speeds and drafts. A test matrix is then set up; with drafts evenly
divided in the test matrix. Typically, the ship is tested at both forward and aft trims depending on
the feasibility of the vessel to undergo those trims. Normally, forward trim is often not possible for
the lighter drafts due to restrictions in the propeller's submergence. Also, a simple resistance test
under light drafts with aft trim, will not give the correct trim indication as the effects of the propeller
inflow and submergence that makes a positive contribution to performance are not present.
Figure 3.3 by Lloyd’s Register shows an example of such trim guidance table developed using CFD. As
indicated, the ship is converted into a digital model with consideration of both ship hydrodynamics
and aerodynamics. This digital model that resembles the full scale ship model is then trimmed at a
variety of ship speeds and drafts and corresponding fuel consumption is estimated. The fuel
consumption is then normalised relative to optimum values to show trims that would lead to high
fuel consumption.

18
Figure 3.3: Typical prediction of flow field and impact of trim using CFD method [Lloyd’s Register 2011]
Nowadays, the use of CFD for generation of trim guidance matrices is common practice in the
industry.
10.5.2 Impact of trim on ship powering
Figure 3.4 shows the impact of trim on powering for a number of drafts for a fixed speed. As can be
seen, there are large differences in the impact of trim at different drafts. In this case, at the deeper
drafts, forward trim is better and the opposite is the case for the light drafts. Optimum trim is often
seen relative to the even keel condition. Here it is important to mention that masters often trim
their ships aft for increased manoeuvrability.
Figure 3.4: Trim guidance at different drafts [Force Technology 2011]

19
Referring back to Figure 3.3 indicates similar trend. Normally, the ship trim is optimal when trimmed
by the head.
10.5.3 Impact of sea conditions
A frequently asked question is how optimum trim changes with rough sea conditions as compared to
calm water? In Figure 3.5, a vessel has been evaluated in both calm water and waves. Waves A and B
are irregular sea states and the ship’s heading is into a head sea. It can be seen that sea condition
has no significant impact and the results for two waves is the same – i.e. optimum trim is at forward
trim of -1.2 m. Ship real case experiences also show similar observations.
Figure 3.5: Impact of waves relative to calm waters [Force Technology 2011]
10.5.4 Impact of ship speed
Figure 3.6 shows the variation of propulsive power as a function of trim and vessel speed
represented by Froude number. This has been developed for a large cargo vessel that represents
most of large car-carriers, Ro-Ro vessels and container ships [Nikolaj Lemb Larsen 2012]. These ships
normally have a pronounced bulbous bow, slender hull, centre skeg and one propeller.
Figure 3.6 - Propulsion power as a function of trim [Nikolaj Lemb Larsen 2012]

20
In this case at lower speeds (Froude numbers), trim by forward gives the best results. As the speed
increases, the optimal trim gradually moves closer to even keel (no trim).
3.5 Operation guidance

The current industry practice points to the fact that in the great majority of cases, even keel
operation (zero trim) is the normal practice. This generally may represent the optimal trim for ships
with high block coefficients and non-pronounced bulbous bow (e.g. bulkers and tankers). These
ships are not normally operating at very high speeds; thus having a relatively lower wave making
resistance.
In ships with a slimmer body and higher speed, the impact of trim on performance could be
significant. In particular, the trim may have impact on performance of the bulbous bow, and thereby
wave making resistance. This will signify that these types of ships are more sensitive to trim and
therefore greater care should be exercised with trim optimization.
With the recent development in energy efficiency regulations, more companies have opted out to
establish their ships’ optimum trims; with the extensive use of CFD capabilities for this purpose. The
issue, however, is that all the saving levels given are based on analytical forecasts and it is extremely
difficult to do actual in-operation measurements to confirm the level of fuel savings.
Based on the above facts and for best practice, it is not sufficient to develop a trim matrix and then
assume that the specified trim guidance is going to lead to energy efficiency. Practical tests and trials
will be required to refine the trim tables. The best way is to use these trim guidance tables but also
at the same time gather feedback from masters on their judgement of trim table and its impact on
ship powering requirements. The feedback by masters on best trim for ship handling and powering
requirements can help to refine the company best practice in this important area.
In using trim optimization, the following ship types would be given greater consideration:
 Container ships
 RoRo cargo and passenger ships
 RoRo car carriers
As indicated above, in addition to identifying and documenting the optimum trim as a function of
ship speed and draft, it is proposed that the experience gained by ship staff on the impact of trim on
a vessel’s fuel consumption should be gathered in order to improve the ship’s “trim matrix”. Also,
the effective use of the loading computer's capabilities is important to ensure safe trimming of the
vessel with an optimal level of ballast water.
3.6 Tools for support

There are a number of tools that could be used for this purpose:
CFD methods for trim matrix: The effect of trim on fuel consumption can be measured at the model
scale in a towing tank, or simulated at full scale using CFD. Many different speed and draft
combinations can be simulated in a time efficient manner using fully viscous flow description
analytical techniques. As a result, a trim matrix or map similar to that shown previously can be
specified, where the optimum trim as a function of ship speed and draft are specified. The ship
master or deck officer would normally follow this as a guide for setting the trim.
Dynamic trimming systems: These systems rely on a number of signals that are recorded whilst the
ship is underway. The signals provide an indication of the ship's actual trim and some performance
aspects of the vessel. Then the system uses analytical or artificial intelligence methods to forecast an

21
optimum trim. Similar to “trim matrix” as explained above, this makes a good deal of theoretical
sense but the actual effectiveness has yet to be established. Dynamic trim optimization includes
collecting and monitoring real-time data of propeller thrust and manoeuvring rudder angles,
weather conditions and sea-state. These data are then analysed constantly and the optimal trim
value is calculated and displayed on a real time basis to give advice to the crew on-board.
Loading computers: The change in ship trim is achieved via cargo load planning and a ballasting plan
when in port. When underway, the shift of ballast water and fuel between their relevant tanks may
be used to adjust trim. During loading, occasionally there are limitations for achieving optimum trim
due to the level of cargo and loading limitations that may not allow additional ballast for a proper
trim. Nowadays, loading computers provide additional functionality for the representation of trim,
optimal trim and also loading options to achieve the optimal trim. Trim linked to a loading computer
helps the deck officers to achieve a better loading plan and optimal trim.
3.7 Barriers to trim optimisation

The good application of trim optimisation can be affected by the following constraints:
Ship loading: The weight distribution on board must be determined in order to allow trim
optimization. Therefore, adequate communication between ship and port is paramount. As stated
above, the loading computers may be effectively used for safe loading as well as for setting the
optimal trim.
Operational risk challenges: This includes the oversight of bending moments and shear forces when
practicing trim optimization. In this respect, it should be noted that not all vessels have real time
stability assessors or calculators on-board. Additionally, danger to cargo in particular for those ships
with deck cargos, is also another constraint.
Real-time bunker and water transfers on-board: The officers on the watch might have incomplete
knowledge of the bunker and water (grey/fresh water) transfers on-board. Therefore, they may not
be aware of the effects of such activities on the trim. Again this highlights the importance of ship-
board communications between deck department and engine department.
Watch changeover: Sometimes the information regarding ballast operations is not passed on during
the watch changeover between the crew.
Removing of the above barriers requires not only good understanding of the subject and training of
ship-board crew and their dedication on best practice but also a continuous improvement approach
to the problem for long-term sustainable culture of best practices.
3.8 Frequently asked questions

In this section, a number of frequently asked questions are raised and a summary of the discussion
in this section is provided.
How much trim impacts fuel consumption?
There is no clear cut answer to this important question. Whilst the impact of trim is known to be
significant under some conditions or for some ship types, there are no hard facts from ships' actual
operations on the exact level of savings that may be made using perceived optimal trim. This is due
to the fact that the measurement of savings under real operational conditions is quite difficult to
assess. There is ample evidence from model tank tests and CFD analytical methods that show trim
has a significant impact on ship fuel efficiency performance.
How does the optimal trim change with ship speed?

22
The change in optimal trim with ship speed and draft is through its impact on various types of ship
resistances. It is quite reasonable to find that the optimal trim varies with ship speed and ship draft
but this relationship will vary from ship type to ship type.
Is in-passage ship trim different from the trim set when in port?
It is well known that when the ship trim is set to zero during loading (even keel), the ship will give
trim by bow due to the impact of ship speed (due to the ship sinkage phenomena). This means that
the trim of the vessel while underway is different from its trim while at berth or waiting.
How in practice is trimming done while a ship is underway?
This is done via a shift of ballast water, and in some cases bunker fuel, between alternative tanks and
possibly shift of water.
Is optimum trim different for loaded versus ballast conditions?
A ship's hydrodynamic performance under loaded and ballast conditions could be significantly
different due to changes in draft and wetted surface area and performance of the bulbous bow. The
same is true for trim under loaded and ballast conditions. Therefore, there is a need to have the
optimal trim established for various draft levels. Also for ships operating in a variety of loading, and
therefore variety of draft conditions, the optimal trim needs to be established for all the working
drafts.
How is the trim set / changed?
The change in ship trim is achieved via the proper cargo load planning and ship ballasting plan. The
combination is used to achieve the desirable trim. After the loading is complete, ballast water
shifting and to some extent bunker fuel shifting between tanks can be used to aid trimming. In any
case, it is better that load planning is done by considering the optimal trim as otherwise it may not
be possible to trim the ship properly with the use of ballast water only.
Based on what has been described in this section, the following may be stated:
 Trim could influence ship fuel consumption significantly, with the evidence showing up to 4%
of savings.
 Trim impact is the result of changes to ship hydrodynamics and thereby ship resistances.
 For every ship, there is an optimal trim that will give minimal ship resistances and maximise
fuel efficiency.
 The optimum trim is a function of ship speed and draft.
 For certain ship types, in particular those with higher design speed, slimmer body,
pronounced bulbous bow and flat stern design, trim will provide more impact.
 Optimal trims are established either through extensive model testing or CFD analytical
methods.
 To achieve optimal trim, due consideration should be given to ship loading and its load
planning.
 Ballast water, and to some extent bunker fuel, may be used to trim the vessel.
 Most loading computers on-board provide functionalities and trim tables to achieve the
desirable ship trim.
 It is difficult to measure the actual saving levels due to trim while the ship is underway due
to impact of other operational conditions (speed, draft, weather and sea impacts).

23
1. Tero Illus, 2012 “Taking the guesswork out of trim”, BIMCO bulletin, V107, August 2012.
http://www.eniram.fi/wp-content/uploads/2013/10/2012-08-BIMCO-Taking-guesswork-
out-of-trim.pdf accessed August 2015.
2. Melvin Mathew, 2012 “Trim Optimisation”, MarinLink 2012, http://www.eniram.fi/wp-
content/uploads/2013/06/News-2013-03-Marine-Link.pdf accessed August 2015.
3. Force Technology 2011, “Understanding of the physics of trim”, Ship and Offshore Green
Tech, 2011.
4. Rod Sampson 2008, “Self propulsion tests”, lecture presentation, Newcastle University, April
2008. http://research.ncl.ac.uk/cavitation/archive/Lecture%2014%20-
%20Self%20propulsion%20test.pdf accessed August 2015.
5. Lloyd’s Register 2011, Company factsheet May 2011, www.lr.org accessed August 2015.
6. Nikolaj Lemb Larsen 2012, “Understanding the physics of trim”, presentation to Green Ship
Technology Conference, March 2012.

24
4 Ballast Water Management (BWM) and Energy Efficiency
4.1 Introduction
Ballast water (BW) is essential to control trim, list, draught, stability and stresses of a ship. Ballast
water activities are largely regulated not only because of the above ship’s safety implications but
also since they have been recognized to be a pathway for the movement of undesirable and alien
bio-species from their natural habitat to other ecosystems (Figure 4.1).
Figure 4.1: Transfer of bio-species due to ballast operations [Wikipedia]

Today, a full IMO Convention is devoted to ballast water management7. In this Convention, two main
methods are highlighted: ballast water exchange (Regulation D-1) and achievement of ballast water
standards (Regulation D-2).
The impact of Ballast Water Management (BWM) on a ship’s fuel consumptions is not normally
considered despite the evidence that, regardless of the management method established, the
overall energy efficiency of a ship is affected by ballast water because:
 The ballast exchange requires the additional use of the ballast water handling equipment
and in particular pumps.
 Treatment systems developed to reach D-2 standards require the installation of additional
energy consuming equipment on board ships.
In addition to the increased use of ship-board power due to additional ballast treatment equipment,
ballast water impacts the ship’s energy efficiency in two additional ways:
 The change in ship displacement; thus wetted surfaces and ship resistance. Generally, the
more ballast water or ballast sediments are carried around, the bigger the ship displacement
will be and the higher ship’s energy consumption is expected.
7
Refer to IMO website (www.imo.org) for regulatory details

25
 The change in ship trim: Trim optimisation via the effective use of ballast water could lead to
gains in energy efficiency as has been discussed in the previous section.
In ballast water operations and management, one should use considerable foresight in choice of
regulatory compliance methods due to the fact that many variables such as type and size of ship,
ballast tank configurations and associated pumping systems, trading routes and associated weather
conditions, Port State requirements and manning would impact the choice of the system.
4.2 Port and voyage planning aspects

The amount of ballast water discharge/uptake in a port depends on type of vessel, amount cargo
loaded/un-loaded and ship loading planning. The need to counterbalance the detrimental effects of
weight distribution during and after loading/unloading must be addressed in ports. The cargo
distribution should be considered as having an impact on the quantity of ballast as well as on the
ability to optimize the trim without jeopardizing the ship’s strength and stability.
Therefore, the port and ship responsible persons must develop plans and procedures to optimize the
ballast water intake through the establishment of the cargo loading/unloading process and the final
cargo plan.
In addition to the anticipated ballast plan, the dynamics of the voyage should be taken into account
especially when ballast water exchange has to be carried out. Ballast water and trim optimisation
and adjustments while in passage should be pre-planned relative to the port operations that
normally give and even-keel no trim. Sediment uptake and removal should be controlled as part of
voyage planning to ensure the minimal level of sediments. As part of voyage and daily activity
planning, the case for these two should be included and discussed. The voyage should be planned
taking into account when ballast water exchange or adjustments are to be carried out. Also, trim
optimisation and adjustments, while in passage, should be pre-planned relative to the port even-
keel operation.
4.3 Typical ballast water systems without treatment

Figure 4.2 shows a typical ship’s ballast water engineering system. It is comprised of ballast pumps,
relevant piping system and flow control methods. This system is normally installed according to IMO
guidelines and is operated in accordance with the system design criteria and the manufacture’s
operational and maintenance instructions.

26
Figure 4.2: Typical ballast and bilge pump arrangement [Machinery Spaces.com]
The ship-board use and operation of such a system is normally described in the ship’s Ballast Water
Management Plan (BWMP). All failures and malfunctions of the system are recorded in the Ballast
Water Record Book (BWRB) according to IMO requirements.
4.4 Ballast Water Management Plan (BWMP)

As soon as the Ballast Water Management Convention enters into force, it will be a requirement for
each applicable ship to have a BWMP that specifies requirements for this purpose (most ships
currently have such a BWMP in different formats). The following are normally included in the
BWMP:
 Acceptable methods for ballast exchange and relevant procedures.
 Details of the procedures for the disposal of sediments at sea and to shore. Method of the
use of port reception facilities for sediments.
 Designation of the on-board officer-in-charge of the implementation of BWMP. The
identification of a responsible person should enhance the planning of BWM operations. In
this respect, adequate training of such crew members should encompass awareness on the
energy efficient operation of the BWM equipment and optimization for deadweight
management and trim optimization.
 Method of the sediment removal or reduction at sea, and when cleaning of the ballast tanks
takes place.
Principle of sediment management: To reduce the sediment levels, the following general advice is
provided by the IMO:
 All practical steps should be taken during ballast uptake to avoid sediment accumulation.
 When sediment has accumulated, consideration should be given to flushing tank bottoms
and other surfaces when in suitable areas.

27
 The volume of sediment in each ballast tank should be monitored on a regular basis.
 The frequency and timing of removal will depend on factors such as sediment build up,
ship’s trading pattern, availability of reception facilities, work load of the ship’s personnel
and safety considerations.
 Removal of sediment from ballast tanks should preferably be undertaken under controlled
conditions in port, at a repair facility or in dry dock.
 The removed sediment should preferably be disposed of in a sediment reception facility if
available, reasonable and practicable. Disposal should take place in areas outside 200 nm
from land and in water depths of over 200 m.
Officer-in-charge: Basic tasks and responsibilities held by the officer-in-charge according to IMO
guidelines include:
 An officer should be made responsible to ensure the maintenance of appropriate records
and to ensure that ballast water management procedures are followed and recorded.
 When carrying out any ballast water operation, the details need to be recorded in the Ballast
Water Record Book.
The officer-in-charge of ballast water management should perform the following duties:
 Ensuring that the ballast water operations follow the procedures in the BWMP.
 Ensuring that the Ballast Water Record Book and any other necessary documentation are
maintained.
 Being available to assist the inspection officers authorized by a Party8 for any sampling that
may need to be undertaken.
Since the Ballast Water Management Convention has not yet entered into force, the management of
BW is not a worldwide obligation. However, an increasing number of countries require proper BWM
before arriving in their waters. Currently, a small amount of the world’s fleet carries BW treatment
systems. Thus, the present dominant technique to manage BW is through the “ballast water
exchange”.
4.5 Methods of ballast exchange

There are three methods of ballast water exchange which have been evaluated and accepted by the
IMO. The three methods are the sequential method, the flow-through method and the dilution
method.
 Sequential method – A process by which a ballast tank is first emptied and then refilled with
replacement ballast water to achieve at least a 95 per cent volumetric exchange.
 Flow-through method – A process by which replacement ballast water is pumped into a

ballast tank, allowing existing ballast water to overflow from the tank (see Figure 4.3). For
effective ballast exchange, the volume of flow through water should be at least 3 times the
volume of the water in the tanks.
8
A Party, in IMO terminology, refers to a state that has ratified a Convention (in this case the Ballast Water Management Convention).

28
 Dilution method – A process by which replacement ballast water is supplied through the top
of the ballast tank with simultaneous discharge from the bottom at the same flow rate and
maintaining a constant level in the tank throughout the ballast exchange operation.
Figure 4.3: Ballast water exchange using flow-through method [Wikipedia]

For ballast water exchange, particular care should be taken of the following:
 Stability, which is to be maintained at all times as regulated by the IMO or flag or port
authorities.
 Longitudinal stress and torsional stress values, not to exceed permitted values with regard to
prevailing sea conditions, where applicable.
 Sloshing9 impact reduction due to water movement should be considered in order to
minimise the risk of structural damage, in particular at non-favourable sea and swell
conditions.
 Wave-induced hull vibrations when carrying out ballast water exchange.
 Limitations of the available methods of ballast water exchange in respect of sea and weather
conditions.
 Forward and aft draughts and trim adjustment, with particular reference to bridge visibility,
slamming, propeller immersion and minimum forward draft; and energy efficiency (optimum
draft).
 Additional workloads on the master and crew.
As explained, the ballast water exchange process has implications for both safety and energy use.
Also, it is shown that trim optimisation has a significant impact on ship energy efficiency.
4.6 Energy efficiency aspects

In general, observing the following will lead to energy efficiency:
 Carrying less ballast water: The displacement of a vessel is a function of lightweight, fuel,
cargo and ballast weights. As such, less ballast water means lower displacement and lower
resistances (or more cargo). Therefore, it is generally desirable to have less ballast from an
9
Sloshing in ships refers to the movement of liquid inside a tank due to ship motion. Strictly speaking, the liquid must have a free surface
(tank partial fill) to create a slosh dynamics problem

29
energy efficiency point of view. Of course this should not contravene any of the regulations
nor compromise ship safety.
 Optimizing use of the equipment: This item relates to the use of ballast water equipment
via management of the amount of ballast water to uptake, discharge, correct method of
uptake/discharge and so on. The aim would be to reduce or optimise the usage of relevant
ship-board equipment.
 Efficient ballast management operations: This means performing ballast exchange or
ballasting and de-ballasting in a way that is more energy efficient. For example:
o Gravity assisted ballast exchange is preferred to simple pumping in/out processes.
When the gravity-assisted method is used, there is less need to run the ballast
pumps.
o Sequential ballast exchange method, where tanks are first de-ballasted and then
ballasted again is more energy efficient than the “flow-through ballast exchange”
method, where the thanks are allowed to overflow. Again, this is for reasons of the
amount of water that needs to be displaced; thus the number of hours for ballast
pumps to operate.
o Trim optimisation: Ballast water is used to adjust the ship trim as discussed before.
Trim optimisation using ballast water leads to significant energy savings on some
ships.
o Steam driven ballast pumps: In some ships, ballast pumps are steam driven. The use
of a boiler for this purpose is extremely inefficient. Therefore, minimisation of the
use of steam-driven ballast pumps by better planning of the ballast water operations
can lead to energy savings.
o Sediment removal: It is usual to take in sediments as part of ballast water
operations. These sediments could be heavy and thus causes higher ship fuel
consumptions when they are carried around. Thus, sediment removal leads to better
cargo capacity and better energy efficiency.

1. Wikipedia “Ballast water discharge and the environment”,
https://en.wikipedia.org/wiki/Ballast_water_discharge_and_the_environment accessed
August 2015.
2. Machinery Spaces.com “Bilge and ballast systems for general cargo ships”,
http://www.machineryspaces.com/bilge-and-ballast-system.html accessed August 2015.
3. For more information on ballast water management equipment and development, see
“Guide to ballast water treatment systems 2013” by IHS
http://www.rwo.de/rwo/ressources/documents/1/25412,Ballast-Water-Guide-2013.pdf
4. For information on regulatory framework, convention, guidelines, etc., refer to IMO
website at:
http://www.imo.org/OurWork/Environment/BallastWaterManagement/Pages/Default.a
spx
5. For more information on ballast water regulatory aspects and best practice, see:
American Bureau of Shipping “Guide for Ballast Water Exchange”, July 2010 (Updated
October 2010”,

30
https://www.eagle.org/eagleExternalPortalWEB/ShowProperty/BEA%20Repository/Rule
s&Guides/Current/171_BallastWaterExch/Guide.

31
5 Hull and propeller condition
5.1 Ship resistance and hull roughness

As discussed earlier, the ship resistances due to wetted surface areas are composed of frictional and
wave making resistance. Frictional resistance, in particular for slower speed ships, is the primary
component of total resistance. A tanker at its design speed will use the majority of its fuel
overcoming frictional resistance when sailing in calm water. When the hull moves through the
water, water will be dragged along, creating a body of water following the ship and forming what is
referred to as a “boundary layer”. In the forward part of the ship this boundary layer will be
comparatively thin, but it grows in thickness along the sides of the hull. A boundary layer will form
even on completely smooth hull surfaces. Increasing the roughness of the hull surface tends to
increase the boundary layer, consequently increasing the frictional drag of the hull.
In ship resistance, another major player is the ship speed relative to water close to hull surface. The
effect of surface roughness on the resistance depends on the effective speed of the water relative to
the hull, and this varies over the hull surface. For example increased surface roughness in the bow
area will cause greater resistance than in the aft areas or under the hull bottom because the
effective speed of the water will be less. So in reducing the roughness, different part of the ship will
have different level of impacts even if their original roughness is the same.
The smother the hull, the less resistance the ship will have and thus the faster it will go for the same
power output, saving fuel and reducing GHG emissions. Fouling will reduce the smoothness (increase
roughness) of the hull and even may add weight to the vessel reducing the cargo carrying capacity.
These impacts make the hull roughness and fouling a major issue of control for energy efficiency.
Figure 5.1 shows this relationship between increase in required propulsion power or fuel
consumption and hull roughness. It has been suggested that each 10 μm to 30 μm of additional
roughness can increase total hull resistance by about 1 percent for full form ships (of course the
increase in resistance will be influenced by ship speed as well).
Figure 5.1 – Typical increase in power/fuel required to maintain vessel speed of a fast fine ship vs
increasing hull roughness [International Paint 2004]
It is not uncommon for a new ship to be delivered with surface roughness as low as 75 μm and later
in life enter dry-dock with a roughness of 250 μm. Historical records have shown that even with
good maintenance practices average hull roughness can increase by 10 to 25 μm per year,
depending on the hull coating system, even when fouling is not included [ABS 2013]. Figure 5.2

32
shows typical ship increased resistance as a function of time and impact of hull surface
improvements due to maintenance efforts.
Figure 5.2 – Changes in ship resistance with time [Monk and Kane]
5.2 Causes of surface roughness

Hull surface roughness comes in many forms and from many sources which can be broadly
categorized as physical or biological. These sources are further grouped based on size as either micro
roughness (less than 1 mm) or macro-roughness (greater than 1 mm). The physical micro-roughness
can be increased in service by mechanical damage, failure of the applied coating and even improper
preparation of the surface and/or improper application of a new coating. Biological roughness
(fouling) also has a significant impact on resistance, even at the micro level (slime, algae, etc.). See
Figure 5.3 for some types of fouling. Predictions based on model tests of a light displacement fine-
form ship indicate that a light slime covering the entire wetted surface can increase total resistance
by 7 to 9 percent. A heavy slime results in a total increase on the order of 15 to 18 percent. Small
barnacles and weeds push this up to a 20 to 30 percent increase in total resistance [ABS 2013].

33
Figure 5.3 - Example of fouling [International Paint]
Biological fouling is a very complex process that depends on factors such as the ship’s loading
condition, its operating zones, the effectiveness of anti-fouling paint and environmental conditions.
If a ship is constantly moving it will not gather as much marine growth as one that spends long
periods in port or at anchor. If a vessel is left static for extended periods it will allow the marine
growth, that cause fouling, to attach itself to the hull and propeller which will reduce the speed of
the ship and increase the fuel consumption. Hull cathodic protection also tends to work better when
the ship is moving.
The main factors that influence hull fouling rates are:
 Initial roughness of the hull
 Quality of hull coating
 Robustness of the coating with respect to mechanical damage
 The areas of the hull where there is sunlight, along the sides of the hull and near the
waterline.
 Temperature of water (colder water generally means less fouling)
 The salinity of the water (performance coating will be a function of salinity of water)
 Amount of algae in the water
 Ship speed and its operation profile (hull moving, speed, at berth, at anchor, layby, etc.). or
static)
 Hull maintenance
During the operation of the ship, surface roughness can increase due to cracking and damage to the
coating as well as due to corrosion which can also attract marine growth. The growth of organic
species will include slime, weed fouling, and barnacles as examples shown in Figure 5.3. Current
antifouling paints tend to last for a maximum period of 3–5 years when the self-polishing coating

34
must be renewed however its performance is reduced gradually over time as explained later. The
hull will also require cleaning / brushing that can either be performed by divers or automatically with
either the whole hull or just critical parts being targeted. Having a shorter interval between the
applications of coatings may therefore reduce energy consumption but there are some problems as
the ship will require an additional dry-docking that is very costly.
5.3 Hull roughness reduction

Taking care of the underwater portions of the hull is all about minimizing roughness. This can be
achieved via smooth surface finish, more appropriate paint, more appropriate operation and more
appropriate hull and propeller maintenance. In order to minimize a ship’s frictional resistance, the
owner must address both physical and biological roughness. There should be a smooth surface to
start with and it should be maintained at proper intervals. Mechanical damage and coating failures
have to be addressed and fouling has to be controlled. Regardless of what system is selected to
manage roughness, care should be taken to make sure the cleaning methodology is compatible with
and compliments the coating system. Regardless of the type of coating, it is also worth noting that
the amount of fouling can vary greatly with trading pattern and operational profile.
5.4 Hull coatings

There are currently three different coating types in wide usage and they offer different resistance to
fouling, have a different impact on hull roughness and have different requirements for cleaning
frequency. These are [ABS 2013]
 Controlled Depletion Polymer (CDP) – A traditional antifouling type based on water soluble
natural or synthetic pine rosin mixed with a biocide. An insoluble reinforcing polymer resin is
added to create a skeleton to give the rosin better mechanical properties. The controlled
dissolution of the rosin matrix releases the biocides. Over time a build-up of insoluble
materials at the surface in a leached layer slows the release of biocide and makes recoating
difficult. Moving water (or cleaning) is required to wear off this resin skeleton and release
the next layer of coating and biocide. Typical life before recoating is 3 years, but because of
the build-up of this leached layer and reduced biocide release micro fouling (green slime or
weeds) can become a problem in less than two years. The average hull roughness increase is
estimated at about 40 μm per year in surface profile, but this can vary greatly.
 Self-Polishing Copolymer (SPC) – An insoluble metallic or organic synthetic polymer (e.g.
copper-acrylate or silyl-acrylate) that contains a biocide. Through a chemical reaction –
hydrolysis – the polymer becomes soluble. Its subsequent dissolution releases the biocide.
The chemical reaction provides good control of the rate of dissolution and results in a much
thinner leached layer and smoother surface profile than possible with CDPs. No ship
movement is required as there is no residual ‘skeleton’ and the surface is actually self-
smoothing. Five years of service for high quality systems can be achieved. Average hull
roughness increase is estimated at about 20 μm per year.
 Foul-release Coating – A biocide-free coating that uses non-stick properties to control
fouling. It is usually silicone or fluoro-silicone based and designed to shed any micro or
macro growth when the vessel is underway. For slower vessels (less than 15 knots) this is a
challenge for even the best coatings so some ‘soft’ cleaning is usually required to remove
the micro fouling. If the vessel is stationary for some time, barnacles and other macro-size
biota can become attached. Achieving a full release of all fouling through ship speed impact
has proven to be a challenge in some cases. The coating gains some of its effectiveness from
its extremely smooth surface and this must be maintained for best performance. Roughness

35
in a foul-release coating will reduce its ability to discourage adhesion and slime/ micro
fouling can take hold. Mechanical damage from example from tugs is especially critical for
these types of coatings requiring special care in operations as the damaged parts has no
fouling protection. Average hull roughness increase is estimated at 5 μm per year, but this is
based on a very limited service experience.
The factors that govern the type of underwater hull coating that may be applied to a ship are;
1. Cost: The more effective anti-fouling coatings tend to be more expensive.
2. Speed of vessel: Fast vessels such as HSC tend to have harder coatings.
3. Fresh-water or salt-water: The coating quality should be chosen accordingly.
4. Compatibility: Some coatings cannot be used on top of others due to adverse physical and
chemical interactions
5. National regulations: Some types of anti-fouling paints are banned in certain countries.
6. Area of operation: Severity of fouling in area vessel is trading, some sea areas are much
worse than others.
When searching for the best hull coating, it is important to consider a coating that provides a
smooth surface that can be reasonably maintained in its smooth state, and that prevents adhesion
of fouling organisms. Also, the coating must be applied properly, monitored and managed to
maintain its best qualities.
If done correctly, the right coating upgrade can offer significant fuel saving improvement. In general,
application of a good high-quality coating can yield an average reduction of up to 4% in propulsion
fuel consumption. Reducing an already rough hull to smoother one (via getting rid of fouling, surface
blasting, etc.) and applying advanced coating even can provide 10-12% decrease in fuel cost. A full
blast to remove surface roughness and application of prime, anti-corrosive and high quality anti-
fouling coating can cost about US $10/m2. This converts for a VLCC to about US $300,000 [ABS 2013]
Since the banning of TBT (Tributyltin) based on “The International Convention on the Control of
Harmful Anti-fouling Substances on Ships, 2001”, most anti-fouling coatings are self-polishing copper
and tin based paints but it should be borne in mind that some countries are either banning or
considering banning the use of copper based paints in certain areas particularly in inland waters.
Biocide-free silicon-based coatings are also available but their market share is very small due to their
high cost. These coatings are commonly referred to as “foul-release coatings” as they have a soft
surface onto which it is difficult for most organic growth to hold. Research has shown that these new
coatings are equally as effective as TBT-based systems but there is still some debate and not
everyone is totally convinced.
In general the more advanced products do yield better results, however if a particular ship operating
in a particular area, is getting fouled up faster with one product, it is worth considering changing to a
different one. It is also worth talking to other ship operators in the same area and asking which
produce works best for them, as they can give unbiased advice which one may not get from an
original vendor.
5.5 Hull Cleaning

Regular in-service cleaning to remove fouling organisms is clearly beneficial unless it is carried out in
a way that results in a damaged coating or a ‘roughed’ up surface. From a fuel efficiency point of
view, the emphasis should be on hull and propeller “roughness” management and not just on the
control of “fouling”.

36
In the case when only partial cleaning is possible due to operational circumstances, the hull areas
should be cleaned in the following order to provide the best performance enhancement:
• Forward third of hull
• Remainder of hull working from forward to aft with emphasis on areas which have more exposure
to light
A proactive approach that pre-empts any type of widespread macro fouling is always recommended
simply because the cost of having such fouling present outweighs the cost of cleaning by a very large
margin. Regular cleaning of micro-fouling is also often cost effective if the proper cleaning technique
is used so that the surface roughness is not degraded and coating material is not removed.
For best results, the scheduling of cleaning should be based either on monitoring of performance
indicators (like power versus speed) or on regular pre-cleaning inspections. In both cases a threshold
is established that identifies when cleaning is economically justified. For visual inspections the
threshold includes the percentage of the hull surface that is fouled and the type of fouling. Regular
inspection, photographs and roughness measurements would be a prudent way to monitor the
impact of cleaning and the condition of the coating.
Use of underwater cleaning techniques and equipment should be done with care and with due
consideration to original coating as well as amount of fouling. For example, removal of macro size
fouling is difficult to be done without removing a significant amount of paint. If the antifouling is
applied in different colour layers then these colours can be used to monitor paint removal during
cleaning. In general, SPCs have a thinner leached layer than CDPs so the cleaning should use a less
aggressive technique. Cleaning of foul-release coatings should only be done with a light touch and
soft pads. In all cases, the advice of paint manufacturer should be followed, cleaning aspects should
be reviewed with the cleaning company and condition before and after documented with good
underwater photography of the cleaned surface.
Cleaning a light slime can yield up to 7-9% reduction in propulsion fuel consumption. Cleaning a
heavy slime could give 15-18% and cleaning of a macro heavy fouling up to 20-30%. Hull cleaning by
divers can cost about US $1.5 to 2.5 in the Far East. This could convert to US $50,000 for a full hull
cleaning for a VLCC based on ABS’s guide written in 2013. Of course, there is always no need to do a
full hull cleaning, thus reduce the time and cost of hull cleaning but everything must be carried out
with due care for the preservation of the coat system; otherwise things may give negative results.
Other aspects
Regulations: When planning for hull cleaning, it is also important to be aware of other regulatory
instruments that govern the coating system. The IMO at its MEPC meeting in July 2011 adopted, as a
voluntary instrument, the MEPC.207(62) resolution on “Guidelines for the Control and Management
of Ships’ Biofouling to Minimize the Transfer of Invasive Aquatic Species”. This asks for a Bio-fouling
Management Plan and a Bio-fouling Record Book to be on-board. It is clear that while the proposed
regulations undoubtedly will lead to added cost for ship maintenance and operation, it can also
reduce the hull drag and fuel consumption if it is well managed with consideration for selection and
maintenance of best coatings, and as such result in reduced total cost. Also, as indicated, there are
local regulations that ban certain type of anti-fouling coatings that also need to be taken into
account.
Area of operation: Anti-foul hull coatings used on seagoing vessels are generally designed for
saltwater and ships that spend extended periods in fresh water or brackish water will tend to foul
quicker. If a vessel is going to operate in fresh water on a particular charter for some time it will be
worth considering reducing the hull cleaning period or changing the type of anti-foul paint used. In
winter when the temperature of the water drops below a certain level, fouling of the hull is reduced

37
but will increases in the summer months when the temperature of the water rises. In temperate
zones the maximum fouling occurs in late spring though to early autumn. An in-water inspection of
the hull in the summer month may be beneficial for ships operating in such conditions such as short
sea passenger ships.
In water inspections: Regular in water inspections of the hull or dry-docking is the only certain way
of assessing what the condition of the hull coating is. The speed and power output of the vessel
should be continually monitored to establish if fouling is reducing the vessels performance. This can
help the ship operator decide what the in- water cleaning or dry docking interval should be. The
condition on the hull should be assessed regularly in line with the period detailed by the company
and this period my need may need to be reduced if substantial fouling is evident. If a ship is laid up
for any period of time an in-water survey of the hull is advisable and if the fouling is significant the
ships hull should be cleaned and the anti-foul reapplied.
Hull cathodic protection system: The installation of a hull cathodic protection system should also be
considered and as it can reduce the corrosion of the hull. Corrosion will increase the hulls friction
and resistance to the water flow past the hull and thereby increase fuel consumption. It has the
added benefit of reducing pitting of the hull plating which reduces the strength of the hull.
Lay-up: If a ship has been in lay up in a high fouling area for a long time it may need to be taken to
dry dock to be cleaned before it can be put into service. When laying up a ship for any period of time
it is worth considering where the ship is going to be moored and if possible avoid an area that is
subject to high fouling.
5.6 Propeller roughness and energy efficiency

Similar to the hull surface, propellers suffer degradation in performance due to surface roughness.
The absolute magnitude of the reduction in ship efficiency due to propeller roughness is less than
those experienced with a rough hull surface, but it still has been estimated that it could cause an
increase of as much as 6 percent of total fuel consumption. Further, the efficiency loss per unit of
affected area is greater, making the economics of cleaning and polishing the propeller very
compelling.
The effect will be greatest for propellers with large area aspect ratios and for propellers running at
high rates of rotation. Polishing will mainly reduce the frictional loss of the propeller but will in many
cases also reduce the rotational loss.
On a propeller, physical surface roughness is created by corrosion (on both sides of the blades and
heavier in the outer half region); cavitation erosion (concentrated near the tips and back of blade);
and impingement attack (on the leading edge and closer to the tips). Improper maintenance can also
increase roughness; this could be overspray from hull coatings, grinding/polishing that is too
aggressive or nicked edges.
Propeller coatings and polishing / cleaning
There have been important advances in foul-release coatings for propeller blades made in the last 15
years. These new coatings can have better surface properties than the polished propeller surface.
Even though they have evolved with very good adhesion properties, the coatings are subject to
damage by cavitation erosion and leading edge impingement. The cause of the damage to the
coating also prevents any fouling and so the localized coating damage does not affect performance
to any significant degree. The propeller coatings also offer protection against corrosion-induced
roughness and fouling.
In service, regular underwater cleaning and reconditioning of the surface of a propeller is done with
a small rotating disk that can easily conform to the complex shapes of the blades without gouging

38
the surface. This tool removes all fouling and produces a fine surface scratch pattern in the range of
1 to 2 μm. This is similar to what would be expected of a newly manufactured blade surface. Any
large deformation or damage, especially to the leading edges or tips, should also be repaired and
smoothed out [ABS 2013].
The importance of the propeller being clean with a polished smooth surface cannot be over
emphasised as the efficiency of any propeller can fall off rapidly if it becomes pitted and covered in
marine growth. If the propeller is constantly rotating, there should not be a problem with marine
growth but if there is not sufficient cathodic protection or the propeller is allowed to operate close
to the surface, then cavitation pitting can be caused as a major problem. Marine growth will tend to
accumulate much more when the propeller is not moving such as when the vessel is in port or at
anchor. Running the engine every day for a short period can reduce this build-up if this is possible
with not so much excessive fuel use. Preventive maintenance can be taken by polishing and applying
coating to the propeller to reduce the build-up of marine growth and regular in-water surveys to
inspect the propeller for damaged, pitting and marine growth.
It has been estimated that polishing a roughened propeller surface may result in a decrease in fuel
consumption of up to 3%. Cleaning and polishing of the propeller can generally lead up to 6%
improvement in fuel consumption. Divers can clean a 5 bladed and 10 m diameter propeller in about
3-4 hours for a cost of about US $3,000 in the Far East. In Europe the cost could be double as high.
These numbers are quoted from ABS guidelines that are written in 2013, thus subject to inflation
and market forces.
5.7 Condition-based hull and propeller maintenance

Maintaining a clean hull and propeller as advised above lead to significant fuel consumption
reduction. The major questions are:
1. What are the optimal timing for hull and propeller cleaning?
2. What the best routine for cleaning to safeguard the integrity of existing paint system.
3. What is the time to apply a new coating and which one?
Condition-based hull and propeller maintenance tries to give an answer for item 1. Knowing when to
clean the hull and the propeller is the goal of condition-based surface maintenance. This can be
done in two ways:
 Measure/observe actual hull and propeller roughness/fouling and compare with baseline
values that indicate when cleaning should be done.
 Use performance analysis packages that track changes in fuel consumption, shaft power
and main engine power to identify degrading surface conditions.
The first method is based on a direct assessment of the actual surface condition which must be done
by divers in port. By correlating the roughness and degree of fouling to losses in efficiency and
increases in fuel consumption, the owner can make an economic decision on when hull cleaning
and/or propeller polishing should be done.
For second method and a proper ship performance assessment, it is necessary to evaluate the speed
power curve and for this purpose, the ship’s speed though the water without the effects of weather,
tides or currents should be established. This is very difficult to calculate accurately, particularly on an
actual voyage, as these environmental factors may vary significantly a bit over the duration of the
voyage. In such a condition, the best option would be to conduct performance monitoring in the
form of periodic speed trials over a set distance, in both direction and in calm water. However, this is
not always possible and thus limits the use of analytical methods.

39
The use of performance monitoring systems is attractive because it measures fuel consumption
directly and while underway without the need for special arrangements in port. As stated, the
impact of environmental condition on fuel consumption can be significant, thus it is necessary to
isolate the effects of these parameters on fuel consumption. This is most reasonably done by
collecting records of fuel consumption in controlled or at least repeatable voyage conditions. The
data then has to be either normalized to remove effects of draft, trim, wind and waves, or compared
with similar conditions in earlier tests. These approaches to performance monitoring have been in
use for many years and there are quite a few vendors and products that endeavour to perform this
function (see Module 5).
Nevertheless, it remains difficult to use these methods to reliably discern the small gains or losses in
efficiency due to light fouling that are now often the threshold for cleaning decisions. With these
methods it is also not possible to separate the propeller condition from the hull condition. In
summary, the use of performance monitoring tools is generally recommended along with accurate
fuel consumption measurement techniques, but these should not be relied on exclusively to indicate
when hull cleaning and propeller polishing are necessary.
Thus, on a more practical aspect of condition monitoring, regular visual inspections that is
supplemented by long-term records of coating types that has been applied, records of past
roughness and fouling patterns. These added to performance data can be used to choose the best
way to confidently maintain the condition of these critical surfaces. This is an all-inclusive approach
to hull and propeller condition monitoring, as none of the above techniques on its own can provide
the full answer to this important question.

3. International Paint 2004, “Hull Roughness Penalty Calculator”, publication 2004,
http://www.international-marine.com/literature/hrpc_folder_paper.pdf
4. Munk, T and Kane D, “Technical Fuel Conservation Policy and Hull And Propeller
Performance”, Royal Institute of Naval Architects Design and Operation of Tankers
Conference, June 2011.
5. International Paint “Coatings Technology: What Is Fouling?”,
http://www.international-marine.com/PaintGuides/WhatIsFouling.pdf accessed August
2015.
6. MEPC.207(62) resolution on “Guidelines for the Control and Management of Ships’
Biofouling to Minimize the Transfer of Invasive Aquatic Species”, 2011.

40
6 Engines and Machinery Load and Utilisation Management
6.1 Introduction
Ship operation involves a variety of activities and tasks. Some aspects are listed below:
 Loading
 Unloading
 Ballasting and de-ballasting
 Inner gas generation and top ups for crude oil and product tankers
 Bunkering
 Manoeuvring
 Stand-by
 Normal passage operation
 Waiting and anchorage
 Fresh water generation
 Potable water generation
 Etc.
The nature of the above operations will vary from one ship type to the other. Also, they may vary
with area of operations and ports of calls. To improve fuel consumption, the requirements of various
operations need to be carefully examined and ship machinery/resources are then used accordingly.
Planning of the above require good coordination between deck and engine departments.
In this section, examples of ship-board planning activities are examined with main reference to
engine load management, electrical load reduction and minimisation of use of auxiliary boilers.
These activities are advocated under “system planning” as improvements require significant level of
ship-board systems-use planning, good communication between staff and in particular between
deck and engine departments as stated above.
6.2 Engine load management

6.2.1 Rational
It is well know that the efficiency of a diesel engine is a function of its load level or its load factor10.
Figure 6.1 shows the engine Specific Fuel Consumption (SFC) as a function of the load factor.
10
Load factor: The engine load factor is defined as the actual power output of the engine relative to its Maximum Continuous Rating
(MCR). The Load factor is normally specified in percent. An engine working at 50% of its maximum load has a load factor equal to 50%.

41
Engine load-BSFC characteristics (rated speed)
1.20 BSFC (Rated speed) BSFC (Prop law)

1.18
1.16
BSFC [rel to min.]
1.14
1.12
1.10
1.08
1.06
1.04
1.02
1.00
0 10 20 30 40 50 60 70 80 90 100 110
Load [% of MCR]
Figure 6.1 - Engine SFC as a function of load factor

In Figure 5.1, the curve for constant engine speed operation (rated speed) represents operation of
electric generation engines (such as auxiliary engines, e.g. diesel generators) and the curve for
propeller law shows the main engine operation characteristics. As can be seen there is no significant
difference and for both types of application, the engine’s SFC varies with the engine load. SFC is a
minimum (i.e. efficiency is a maximum) for a certain load level; typically for engines it is in the range
of 70 to 90% of an engine’s Maximum Continuous Rating (MCR).
The above diagram also shows that under low load conditions, the SFC of the engine will increase
(engine efficiency will reduce). Although the load on the main engine is primarily dictated by ship
speed, the load on the auxiliary engines depends on the ship-board electrical loads that are a
function of the number of machines, machinery and equipment being used at each point in time plus
the number of engines used to satisfy the requirements.
In this Section, it is argued that engine loads should be managed, where possible, so that the engine
fuel consumption is minimised. This will effectively mean operating the engines at 70 to 90% load
range as discusses above with reference to Figure 6.1.
6.2.2 Load management for main engine
For the main engines in a direct-drive or gear-drive configurations (mechanically linked to propeller),
there is not much that can be done as far as load management is concerned as normally ships have
one main engine and load management normally applies to cases with more than one engine.
It should be noted that it is easy to show that the slow steaming leads to the main engine’s
operation at low loads at a less efficient load factor (see Module 3, Section 2 on slow steaming).
Overall, this low-efficiency operation of main engine has been accepted by industry since the impact
of reductions in ship resistances on a ship’s fuel consumption is much more effective than increases
in the main engine’s SFC for slow steaming cases. Therefore in main engines, non-optimal operation
may be allowed due to slow steaming because of slow steaming greater benefits. However, in such
conditions and if slow steaming is going to continue for long term, changes to engines performance
characteristics are recommended via changes to turbochargers, injection system and other engine
settings (engine adjustments for slow steaming optimised operation).
No matter what load the main engine is operating under, it is mostly recommended that the main
engine load should be kept at a reasonably steady level under normal operation. This is achieved by
keeping the engine speed (RPM) constant. Frequent changes to the shaft rpm, thus engine load, are
not efficient and must be avoided

42
6.2.3 Load management for auxiliary engines
There is ample evidence that shows that load management for auxiliary engines is an effective way
of reducing the engines’ fuel consumption as well as their maintenance costs. Each ship normally has
three or more auxiliary engines; each connected to one electric generator. The engine and generator
as a combined system are normally referred to as diesel-generator (DG).
On-board ships, and often in order to assure against black out, two DGs are operated for long
periods at less than 50% load factor. The periods for which these conditions are sustained can
include all discharge ports, standby periods, tank cleaning periods, movement in restricted waters
and ballast exchange periods.
This often leads to unnecessary simultaneous usage of multiple engines; at low load factors and
beyond requirements. As a result, low load factor leads to poor energy efficiency performance.
Additionally, the operation of diesel engines at low loads causes poor piston ring seal, sub-optimum
turbocharger performance, low specific fuel consumption, elevated thermal stresses and increased
specific lube oil consumption. In short, it leads to more maintenance and higher fuel consumption.
6.2.4 Method of analysis
In order to evaluate the prevailing practices on use of auxiliary engines, the following areas need to
be investigated:
 The load factor of various ship’s DGs needs to be established via collection and analysis of
data. As the DGs’ power output is normally measured and presented in the Engine Control
Room, this measurement is quite straightforward.
 Alternatively, the engines utilisation factors11 can be estimated. This can easily be estimated
from the records of engine run hours that are available on a monthly basis. From utilisation
factors for all the engines, it can then be established the time periods that one DG (1-DG),
two DGs (2-DGs) or more DGs have been simultaneously operated.
 The next step is to evaluate if the utilisation of engines are excessive. This will require the
evaluation of ship operation profile versus number of DGs that is actually required for
operational or safety purposes. Benchmarks will need to be developed for this purpose.
 Final phase is to identify methods by which the run hours of the engines could be reduced;
thus save fuel.
As an example of such analysis, Figure 6.2 shows the periods for running 1-DG and 2-DG for a tanker.
For this specific tanker, an analysis of the operational profile indicated that the period for 2-DG
operation is excessive and it may be reduced from 48% of the total time to a lower number. This will
result in improved energy efficiency and maintenance (see case study for an estimation of the
benefits at the end of this section).
11
Utilisation factor refers to % of time that a machinery is operated (relative to total time).

43
Figure 6.2 - Periods for 1-DG and 2-DG operation
6.2.5 Method of improvements
There are two ways of improving engine load factors and reducing the engine utilisation factors:
 Avoid use of multi-engine parallel operation when not needed. To achieve this, careful
planning of ship-board activities that require electric power and its implementation is need.
Also, there is a need to keep number of operating engine to a minimum as per requirements
and avoid deliberate operation of multi engines when not need.
 As discussed in the following section, it is important that the demand side is also managed
via better system planning for load reduction. Reduction of loads in this way helps to provide
a better load management on DGs and avoids the running of two engines at low loads. As
part of this, proper management of a ship’s electrical demand including load reduction and
load scheduling, could be used for reducing the number of DGs in use and also for optimising
the DGs’ performance via a better load level.
6.3 Electrical load reduction

It is often possible to reduce energy consumption on board by working towards more conscious and
optimal operation of ship machinery and systems. These could be achieved more effectively if
planned for each mode of operation. Examples of measures that can be considered include:
 Avoidance of unnecessary energy use via switching off the machinery when not needed. All
non-essential and not-required machinery and equipment that do not affecting the ship and
personnel safety should be stopped whilst in port and at sea to reduce the load on diesel
generators. Such items should be identified first and then procedures for the execution of
tasks to be developed and implemented.
 Avoidance of parallel operation of electrical generators; when one is sufficient for the
purpose. This aspect is covered and fully discussed under “engine load management”.
 Optimized HVAC (Heating, Ventilation and Air Conditioning) operation on board. The HVAC
system operation should be aligned to outside weather conditions either via automatic
settings or manual operations (more important for cruise ships).
 A proper coordination should be maintained on board between deck and engine
departments especially for use of machinery/equipment items such as steering gear motors,

44
bilge and fire pumps, winches and mooring equipment, deck cranes and service and deck
compressed air usage, etc. so that to reduce loads on generators.
The above activities will lead to reduced electrical power demand. Moreover jobs could be co-
ordinated and bundled together so that two generators could be run more effectively and for a
shorter period of time. This could be achieved via system planning and more coordinated actions.
6.4 Auxiliary machinery use reduction via system planning

There is a significant number of redundant machinery on board ships; this allows ship operation
when one fails as well as for safety-critical situations where two machinery needs to simultaneously
operate. In practice, redundant machinery is normally used more than necessary. This could include
any type of machinery in particular fans and pumps. Any reduction in use of such machinery can lead
to energy efficiency.
Proper planning of the use of number of machinery versus operation mode is an effective way of
achieving this objective. Use of simultaneous use of multi machinery in parallel could be reduced via
advanced planning and decision making on the number of machines to be used; taking into account
the actual operational requirements. For example, when ship is in port, the plan should include
switching off one or two engine room ventilation fans as main engine is not operating any more.
Another example is the mooring equipment. When mooring equipment is not needed, the related
pumps and machinery could be switched off.
To ensure safe operation, all these need to be proactively planned and executed. Without daily
planning and establishment of relevant processes, the task of reduction in energy use cannot be
accomplished. As emphasized before, coordination between deck and engine departments are of
paramount importance for an effective and at the same time safe action to avoid mis-understanding
or unexpected consequences.
6.5 Auxiliary fluid machinery

This refers to pumps, fans, compressors, etc that are extensively used on-board ships. There are a
number of opportunities to save energy with these machineries that are briefly discussed. The main
areas of evaluation include:
Sizing: The sizing of machinery against the actual operation requirements needs to be checked in
order to identify cases of over sizing. This can be carried out by monitoring of the machinery
operational performance against manufacturer’s specification. In addition, the following may be
indicative of oversized machinery:
 Continuous throttling of flow in order to match supply with demand (e.g. permanently fixed
valve or damper positions).
 Short periods of operation when the machinery is used in on-off mode. For example, in a
compressed air system, an oversize compressor will supply air to tank in a shorter period of
time than a rightly sized compressor.
For each machinery, a “capacity factor” can be defined that is indicative of over-sizing or under-
sizing. Capacity factor may be defined as the “operational capacity” divided by “design nominal
capacity”. A capacity factor significantly below or above unity is indicative of poor sizing or system’s
operational anomalies.
Operation profile: The operation profile of machinery represents the machinery’s load versus time.
Continuously operated machinery at a certain load will represent a steady operation profile.

45
Machinery with highly variable load will represent a non-steady load profile. Load and operation
profiles are normally presented in histogram format, an example of which is shown in Figure 6.3.
Figure 6.3 – Load profile for a typical pump

From operation profile, operation management strategy of the machinery could be decided. In
particular, method of control and choice of on-off or Variable Speed Drive (VSD) modes can be
established. For variation of flow, two methods of flow control could be used (see Figure 6.4):
 Valve system modulation (changes to valve open area) is the traditional way of flow control.
This method of control is energy inefficient.
 Variable Speed Drive (VSD) is used to control flow without throttling. This is the most
efficient way of flow control for fluid rotating machinery (see Figure 6.5).
Figure 6.4 – Main types of flow control

Power-flow characteristics
Outlet control Inlet control Variable speed drive

120
100
Motor power [%]
80
60
40
20
0
0 20 40 60 80 100 120
Flow rate [%]
Figure 6.5 – Impact of Variable Speed Drive method of flow control on power demand

46
The load profile for a multi-machinery setup could provide valuable information on method of load
sharing strategy and management between machinery.
Operational aspects
Based on the above evaluation and basic characteristics of fluid machinery, the main opportunities
for energy saving are:
Fouling reduction: Fouling in fluid machinery is a common cause of performance deterioration.
Fouling can be controlled via best-practice maintenance activities. For examples, fans are very
sensitive to inlet fouling.
Mulit-machinery management: In general in a multi-machinery configuration (e.g. chiller plant
compressors), the minimum number of machinery running for a particular duty represents the best
machinery management strategy and ensures minimum overall machinery energy consumption.
Reducing idling mode of operation: In addition to operation of the machinery at optimal efficiency,
it is prudent to reduce the none-productive operating hours of all machinery especially during port
stays and also change over from on to off modes and vice a versa. In general the following policies
should be implemented:
 Each machinery should be operated at its optimum efficiency.
 The none-productive hours of operation must be minimised by on-off controls. In particular,
late turn-off and early turn-on of machinery should be avoided.
Flow control and management: As discussed earlier, control of flow is an area where significant
savings may be made:
 Throttle flow control: A pump with variable flow requirements that is controlled by
throttling could save energy by:
o Replace the constant speed drive to variable speed drive (level of saving depends on
the pump duty cycle).
o Replace throttle control with on-off control, if feasible (switch on and off according
to demand), especially if some storage capacity can be added to the system.
 Excessive flow: For example, pump flow rates in excess of system requirements, lead to
increased energy losses. To avoid:
o Ensure that pump flow is controlled according to process requirements.
o Review and adjust control settings.
 Demand control and demand reduction: The need for flow should be investigated at the
demand side. Every effort should be made to reduce demand by:
o Preventing all leakages.
o Conservation policies in compressed air, water, conditioned air, etc. lead to reduced
energy consumption by corresponding systems.
6.6 Electric Motors

Electric motors provide the drive system for the majority of ship auxiliary and hotel systems. In
electric propulsion, electric motors are used for driving the propellers. There are a number of ship
auxiliary systems that support the operation of main power plant or required hotel services. Some of
these are:

47
 Engine cooling system.
 Engine fuel system.
 Engines lub oil system.
 Compressed air system.
 Chiller plant for hotel HVAC system.
 Chiller plant for provision area.
 Steam system for hotel services and fresh water generation.
 Fresh water generation systems.
The main components of all the above systems are a number of rotating machinery, all driven by
electric motors. Electric motors, excluding propulsion motors, consume the majority of the ship
auxiliary electrical loads. Their efficient operation, therefore, is an important element of the overall
ship energy management.
Basic characteristic
Electric motors used in ships are invariably of AC (alternative current) type. The typical
characteristics of the electric motors are shown in Figure 6.6.
Figure 6.6 – Typical characteristic of electric motors [6]

According to Figure 6.6 and other relevant information on electric motors, the followings are
applicable:
 Electric motor efficiency is highest at its rated power. However, the efficiency does not
reduce significantly up to about 40%. Below 40% of rated power, efficiency reduces
significantly. This threshold of 40% is lower for larger motors.
 Electric motor efficiencies are usually below 80-90% depending on its size, denoting that
there are losses associated with such motors. The loss is dissipated in the form of heat.
Main energy efficiency aspects associated with electric motors are as follows:
Sizing: The sizing of electric motors against actual performance needs to be checked in order to
identify cases of over sizing. This can be identified via monitoring the performance data against the
manufacturer’s specification.

48
Operation profile: The operation profile of machinery is indicative of its load versus time.
Continuously operated machinery at nominal load will represent a steady operation profile.
Machinery with highly variable load will demonstrate a non-steady load profile.
Power factor: In electric motors, power factor is defined as the ratio of the actual power in kW
divided by power directly derived using current and voltage of machinery in kVAR. A low power
factor means added electric network losses.
In dealing with ship-board electric motors, the above needs to be analysed to find out about their
relative efficiency and if there is a need for changing any motors during technical upgrades in order
to improve efficiencies. Technical upgrades should be normally considered within the ships’
machinery maintenance programmes.

2. OCIMF “Example of a Ship Energy Efficiency Management Plan”, Submission to IMO, MEPC
62/INF.10, 8 April 2011.
4. MARSIG SEEMP Example, “Ship Energy Efficiency Plan, MARSIG mbH, Revision 0, 2012,
http://www.marsig.com/downloads/MARSIG%20-%20SEEMP%20Template.pdf Accessed
August 2015.
5. Bazari Z, 2012, “Ship Energy Efficiency – Developments and Lessons Learnt”, Lloyd’s Register,
LRTA publication, November 2012.
6. “How to determine the efficiency of an electric motor using prony brakes”,
http://electricalengineering-access.blogspot.co.uk/2015/03/how-to-determine-efficiency-of-
electric.html, accessed August 2015.

49
7 Fuel management
7.1 Introduction
Fuel quality has significant impact on engines’ and boilers reliability and performance. When
ordering a fuel, qualities in terms of grade of fuel, its specification, calorific value and suitability for
engines and boilers need to be considered. It is well known that higher density fuels and higher
water and sulphur contents all reduced calorific value that represents the energy content of fuel.
Also, high sulphur contributes to undesirable air emissions of SOx and high metallic impurities put
the engines and boilers at risk.
The limits for fuel quality parameter as set out in International marine fuel standard, ISO 8217, are
based on the understanding that the fuel will be treated on-board the vessel to meet specific
requirements for particulars of engines and boilers fitted on-board the vessel. On-board treatment
systems are therefore vital in ensuring that fuel is purified effectively in order to ensure it complies
with the necessary specifications of the relevant combustion system.
This section covers aspects of fuel management which includes bunkering, fuel quality analysis,
storage and treatment. It starts at bunkering point and ends at the point where fuel is supplied to
various combustion systems including engines, boilers, etc.
7.2 Fuel oil procurement and bunkering

The first major step in fuel management is to ensure that the right quality of fuel is ordered for the
vessel. While requesting bunkers for a specific vessel, any limitations of ship’s machinery
capabilities, limitations on storage, operation profile, trading area for environmental compliance and
giving enough time to get analysis before the fuel is put into use, should be considered.
The on-board fuel management starts first with the bunkering operation. During the bunker
operation, safe handling and pollution prevention controls measures, correct measurements before,
during and after bunker operations, loading in empty tanks (to avoid mixing of incompatible fuels)
and collection of representative samples are the most critical issues. Quantity (by weight) of fuel
bunkered should be established and recorded along with the on-board storage locations, and
tracked to ensure selection of good subsequent heating or purification characteristics.
Quantity calculations aside, taking representative sample(s) of the fuel delivered to the vessel is a
regulatory requirements as well as of paramount technical and commercial importance for safety of
engines and boilers. Without adherence to correct sampling procedures, which give real insight into
the quality of fuel loaded by the vessel, the analysis results provided may be flawed. Analysis of fully
representative samples of each bunker batch serves as first line of defence against poor quality
fuels. Such an analysis should be performed in order to assure the quality of fuel supplied and to
identify potential problems at the earliest opportunity which helps to identify mitigating
actions/claims that may arise due to the supply of poor quality fuels.
7.3 Fuel quality and quantity assurance

Bunkers come in a wide variety of quality levels and to meet the international quality standards (ISO
8217) and statutory requirements (mainly sulphur), the marine residual fuels are generally blended
by manufacturers or suppliers with different components. Using better quality fuel and /or a higher
grade of fuel can lead to an improvement in engine efficiency, safety of combustion systems and / or
prevent degradation. On the other hand, to meet the regulatory requirement to reduce the sulphur
level in bunker fuel, more and more refinery processes and also blend components are being used
which could results in an increase in the levels of highly abrasive particles of Aluminium and Silicon
(also called catalytic fines) or fuel’s chemical stability over the long term. This has also raised

50
concerns about the ignition and combustion quality of fuels along with the issues related to the
stability and compatibility of the fuels.
Thus analysis of the representative sample(s) of the bunkered fuels should be carried out to ensure:
 Appropriate storage, handling and treatment actions are taken beyond bunkering up to
consumption.
 The use of fuel in a most safe and efficient way.
 Compliance to environmental legislation.
 Maximise combustion performance.
 Appropriate actions are taken to avoid any adverse effects and mitigating disputes.
 Reduce commercial, technical and operational risks associated with using varying quality
fuels.
The same applies to quantity measurement as discussed in Section 7.5.
7.4 Fuel storage and transfer

It is important that all precautions to be made to try to avoid co-mingling (i.e. loading on top of each
other) of different batches of fuels. Incompatible fuels are the most common problem with the
bunker fuel mixing that leads to clogged filters and in the worst case scenarios, complete paralysis of
the fuel system lines as shown in Figure 7.1. This also helps in case the fuel supplied is of undesired
quality then co-mingling makes it difficult to de-bunker the fuel if such situation arises.
Figure 7.1 - Clogged fuel pipes due to very poor quality fuels
If due to bunker planning and/or operational reasons mixing of the fuels is unavoidable then this
should be done after performing the compatibility test between the fuels to be mixed that would
indicate their stability after mixing. Ideally such a test should be carried out under lab conditions
however this test can be carried out on-board the vessel as illustrated in Figure 7.2.

51
Figure 7.2 – Compatibility test procedure [ExxonMobil]
Fuel should be consumed in a first in, first out fashion. Avoid carrying or use fuels that are over a few
months old. The longer a fuel is kept on-board, the chances of sediments in the fuel to drop out and
stratification of the fuels increase. This then leads to more potential for filter clogging and other fuel
issues and problems. Fuel that cannot be used for any reasons should be de-bunkered off the ship as
soon as possible in consultation with vessel’s technical superintendent.
7.5 Bunker measurements

Bunker measurement is normally carried out before and after bunkering by the chief engineer or
his/her representative to ensure that the actual quantity of lifted bunkers is accurate. The method of
measurements includes:
 Manual gauging of all the fuel tanks before and after bunkers: This together with making
corrections for the trim/heel of the vessel gives the volume of the fuel in the tanks which is
then subtracted from the pre-bunker readings. Using the fuel volume, temperature and the
density of the fuel as provided by the fuel supplier and by applying correction factor for the
observed temperature, the weight of the fuel is calculated. This calculation is based on the
understanding that the density of the fuel given by the supplier is correct and that there is
no excess water in the fuel. This weight is adjusted accordingly upon receipt of the analysis
of the bunker drip sample if density of the fuel varies considerably from the reported values
or the amount of water in the fuel is excessive.
 Use of the mass flow meters: Based on the performance of the available technologies,
Coriolis mass flow meters are advocated to be a good choice for mass flow metering of the
fuel during bunkering because of the direct mass measurement by this device.
Manufacturers claim that such measurements are not affected by fuel temperature,
pressure, and composition. Meter size and location of the meter plays an important role
therefore proper installation and operation practices are critical for these meters.
Of the above methods, the use of Coriolis flow meters are still being investigated and tested in the
field to ensure optimal performance and benefit these types of flow meters. Currently, option 1
above that involves fuel inventory check is the common practice in industry.
7.6 Fuel consumption measurement and reporting

Fuel consumption of main engines, auxiliary engines and boilers is normally measured and recorded
on a daily basis. These are recorded in the engine logbook and reported to the company through

52
noon reports and voyage reports. Method of daily fuel consumption measurement is done as
follows:
 By the use of mass flow meters fitted for main engines, auxiliary engines and for the boilers.
 By manual gauging of the tanks and measuring the amount of fuels transferred to the
specific machinery type.
Accuracy of fuel flow meters is of great importance. For energy efficiency monitoring, the vessel
should be able to accurately measure the amount of fuel consumed on-board by the main
consumers. This includes a thorough understanding of the fuel system and the placement of
accurate fuel flow meters on the system, which must have a reasonable accuracy. Furthermore, the
fuel oil temperature at the flow meters should be measured and related correction made from
normally measured volumetric flow rate to mass flow rate. It is best if the accuracy of the fuel flow
meters is regularly verified.
7.7 Fuel oil treatment – Settling and purification

7.7.1 Settling tank(s)
The role of settling tank is to separate heavy residues and water from the fuel through the natural
settling process. In this way, these items are expected to settle gradually at the bottom of the
settling tank. To provide best performance:
 Settling tank temperature should normally be maintained between 60-70C for HFO to
reduce the density and viscosity of the fuel to facilitate gravitational separation.
 Transfer of fuel to the settling tank to be controlled automatically to top up in small
quantities at frequent intervals. This is to help minimise the temperature drop and quantity
of dirty/unsettled fuel in the tank immediately after the transfer.
 It is important to drain off water and sludge at the settling tank bottom drains at regular
intervals. Frequent / low volume – “flash blowing” is the most effective way of removing
settled contaminants.
 Some settling tanks are fitted with high and low outlets. In normal service conditions, it is
always preferable to use the lower outlet to minimise the space available for sludge
accumulation and give early warning of contamination issues. The high outlet should only be
used when there are major issues such as when the tank is subject to a significant water
contamination.
7.7.2 Fuel purification
Purifiers are almost invariably used in ships. The main task of purifiers is to separate water and other
impurities from fuel. The purification process is based on centrifugal motion principle and the fact
that materials with different densities will be subject to different centrifugal forces and thereby will
separate from each other. Figure 7.3 shows the typical arrangement of fuel oil purifiers on board
ships.

53
Figure 7.3 – Typical purifier systems on-board
The efficiency of a centrifugal separator is affected by several factors such as composition of the fuel
(nature, quantity and size of undesired components), unstable process fluid dynamics
(homogenisation of the fuel before the separators, turbulence within the fuel, poor temperature
stability of the process fluid), cleanliness of the separator (the gap between individual discs in the
disc stack, fouling of the clean fuel centripetal pump, fouling of the control water system or sliding
bowl parts) and general operation (separator throughput, incorrect discharge interval).
For good purifier performance, the following operating controls should be observed:
 Operate purifiers / clarifiers in an optimum manner with purification level dependent on
contaminant levels.
 Where applicable, ensure correct gravity disc fitted to purifiers. Manual de-sludge cycle time
should be set with regard to fuel contaminant levels.
 In order to optimise the volume available within the bowl the interface line should be as
close to the edge of the separating disc as possible.
Sludge (oil residue) is considered to be the residual waste oil products generated during the normal
operation of a ship, such as those resulting from the purification of fuel or lubricating oil for main or
auxiliary machinery, separated waste from oil filtering equipment, waste oil collected in drip trays
and waste hydraulic and lubricating oils.
Excessive sludge from the fuel oil system such as purifiers is a parameter that reduces the fuel
efficiency of the ship via increased fuel waste. As a result, the monitoring of the fleet’s sludge
production in relation to the fuel consumption, with the aim of promptly identifying cases where
corrective actions are needed is quite important. Some ships will benefit from use of fuel
homogenisers to reduce sludge (see Section 8)
7.8 Fuel viscosity control

For use of fuels in engines it is very important to ensure that the fuel is heated to the correct
temperature to maintain the required injection viscosity at the engine inlet. Incorrect injection
viscosity results in poor atomisation which affects the efficiency by which the fuel is burnt.

54
Figure 7.4 shows the fuel oil steam heater for control of fuel oil temperature. The arrangement of
viscosity controller and fuel filters are shown in Figure 7.5.
Figure 7.4 – Typical fuel oil heaters
Figure 7.5 – Viscosity controller and fine filter units

It is best to put the viscosity controller on auto viscosity control mode than on the fixed temperature
control mode. The correct function of the viscosity controller should be ascertained specifically
when changing over from high viscosity fuels to low viscosity fuels and vice versa.
Due to the complex nature of marine residual fuels, it is difficult to predict the ignition and
combustion performance of two fuels even if their standard quality parameters are the same. Poor
quality fuels may lead to significant damages to the engine (see Figure 7.6). In view of this, it is good
practice to monitor the engine’s cylinder combustion performance through available diagnostic tools
on-board, particularly at the start of the use of a new bunker. In case of any issues with the ignition /
combustion of the fuels, appropriate actions should be taken to keep the engine parameters within
the specified limits. Engines fitted with VIT (Variable Injection Timing) or similar arrangements can
be adjusted accordingly to enhance the ignition / combustion efficiency.

55
Figure 7.6 – Damage to engine piston and cylinder liner [Gard 2014]
7.9 Fuel oil additives

Fuel additives are chemical compounds formulated to enhance the quality and efficiency of the fuels
used. Environmental legislation to reduce emissions and improve fuel economy is having a
significant impact on fuel formulations and engine system design. As a result of low sulphur
regulations, the composition, long term stability, lubricity, combustion quality, etc. of fuels are
evolving due to either de-sulphurisation of heavy fuel oil or blending. Fuel contaminations with bio-
related products mixed with fuels adds a new dimension to fuel’s long term stability.
Typical types of additives are metal deactivators, corrosion inhibitors, oxygenates and antioxidants.
Fuel additive suppliers advocate them as delivering flexible and advanced solutions to the ever-
changing fuel market environment and fuel quality issues. Over many years, additive products have
demonstrated benefits in some specific areas of marine applications.
The fuel additive technology could provide benefits for marine fuels mainly in areas of enhancing the
fuel combustion and preventing the formation of particulates (combustion enhancing additives).
Same additives also help prevent fouling of exhaust systems and economisers as well as provide a
cleaner combustion system altogether. Therefore, it may be stated that additives have proven
records with regard to:
 Improvement of fuel combustion and reduction of particulate matter and visible smoke.
 Overcoming soot build-up in the exhaust system, thus ensuring the efficiency of exhaust
system including economiser via keeping them clean, foul free with a reduction in risk of fire.
 Reduction and inhibition of deposit build-up on piston rings, injector nozzles and valves.
 Reduction and prevention of cylinder liner lacquering build-up.
 Protection against fuel pump and injector needle seizures commonly associated with ultra-
low sulphur fuels.
 Extension of engine maintenance intervals and less engine downtime; saving both time and
money.
The impact of fuel additives on engine fuel efficiency has not been proven despite some significant
claims made by some suppliers. However and in view of the better combustion efficiency and

56
cleaner engine and exhaust system, some improvement in engine thermal efficiency is expected; but
not significant.
Various fuel oil additives are available on the market. Use of additives, being chemicals, should take
place with care and after full testing and consultation with engine manufacturers. Also, right dosage
at well-defined periods should be observed. Also, treatment of fuel oil should be carried out in
accordance with manufacturer’s advice so as to ensure optimum performance from the combustion
of fuel.
7.10 Energy efficiency measures

There is a number of energy efficiency measures directly related to fuel management aspect. These
measures include:
 Vessels should carry the most economical amount of bunker in inventory. Carrying too much
bunker fuel is not energy efficient as they have weight and any transport of extra weight will
cause extra fuel consumption.
 Energy is also used for temperature control of fuel and its transfer. To ensure energy
efficient storage and transfer, fuel temperature in storage tanks needs to be controlled to
lowest temperature feasible in order to retain it in a fluid condition and also suitable for
transfer. In the latter case it is only the fuel to be transferred which is to be heated. Steam
heating and trace heating should only be applied as required and not be left running
unnecessarily.
 Ensure tank fittings (manhole covers, vent pipes, etc.) do not allow water, cargo or other
material to get into the fuel. Ensure heating coils are tight.
 Ensure that tank wall condition is in good order thus avoiding corrosion or other material
being entrained with the fuel which then has to be removed.
 Maintain settling tanks at a temperature which will enable the purifier heaters to achieve
the required treatment temperature.
 When a service tank is not in use it is not necessary to maintain usual high temperatures.
 Heater controls should be checked to ensure correct operation. Accumulations on heater
elements should be minimised.
 Periodically verify that the viscosity controller is working correctly.
 Monitor fuel oil sludge levels and ensure that sludge levels are not high due to poor
maintenance of the purifiers. As advocated, homogenisers can be used to reduce the sludge
levels.
 Fuel measurement and metering is the first step for subsequent performance analysis of
various engines and boilers. The more accurately fuel consumption is measured and
reported, the more will be the chances for identifying inefficiencies and making
improvements.
Although all aspects of fuel management have a close association with energy efficiency, most of the
ship-board activities are done to safeguard the engines and boilers from damage. Therefore, fuel
management for safety of assets marries well with its aspects of energy saving and there is no
conflict between the two objectives.

57
2. ExxonMobile Newsletter, “Fuel stability and compatibility - best practise top tips”
http://www.exxonmobil.com/MarineLubes-En/learning-and-resources_voyager-
newsletter_2015_may.aspx accessed August 2015.
3. Dimitrios V. Giannakouros, “Technical Aspects of Identifying and Managing Bunker
Problems”, Presentation to the Marine Club (West England), November 2012,
http://www.westpandi.com/globalassets/loss-prevention/loss-prevention-
seminars/121108-technical-aspects-of-identifying-and-managing-bunker-problems.pdf
4. Gard 2014 “Bunkers and Bunkering”, A selection of articles previously published by Gard AS,
http://www.gard.no/ikbViewer/Content/72669/Bunkers%20and%20bunkering%20January%
202014.pdf published, January 2014, accessed August 2015

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8 Ship Maintenance and Energy Efficiency
8.1 Requirements, rules & regulations

International Safety Management Code (ISM) specifies the rules and regulations for maintenance
management that influence the shipping industry. The ISM Code stipulates that each ship operator is
responsible for the safe and pollution free operation of the ship and that the ship’s hull, machinery
and equipment should be maintained and operated in accordance with applicable rules and
regulations.
The part of the ISM Code on “maintenance of the ship and its equipment” describes in general how
ships should be maintained, inspected, non-conformities be reported and corrective actions are
taken. Accordingly, the ISM Code states that the shipping company should establish procedures to
ensure that the ship is maintained in conformity with the provisions of the relevant rules and
regulations and with any additional requirements which may be established by the company. Based
on ISM Code, it is a requirement that “the company should identify equipment and technical
systems that through sudden operational failure might result in hazardous situations”.
When implementing a maintenance management system on-board a vessel as part of the shipping
company’s safety management system, it is imperative to define the critical systems and equipment.
Maintenance instructions according to manufacturers or other policies should be issued to ensure
the uninterrupted and safe operation of them at all times.
On the same issue of ship safety, the classification societies are a big player within their classification
rules. The major classification societies gradually support more advanced routines for non-intrusive
inspections such as condition-based maintenance where equipment and machinery systems can
receive a specific class certificate of alternative survey arrangement, if maintained according this
alternative method. This approach simplifies classification routines for certain specific ship-board
equipment and systems and thus leads to more flexible operation and reduced inspection costs.
8.2 Maritime maintenance management

Like any other continuous improvement activity, the senior management has to be committed to
provide required resources, competent crew and a well designed and implemented maintenance
management system in order to achieve the above objectives on-board.
The fundamental part of the maintenance management system is normally a database that contains
a register of all equipment on-board that need to be maintained. This database then populated with
maintenance plans, maintenance activities carried out, etc. thus providing not only the requirements
and plans for maintenance but also the fully history of maintenance activities performed.
Effective maintenance planning is essential for ship operation due to its complexity and the
obligations on shipping organisations to comply with certain regulations and requirements including
ISM. Poor maintenance management could reduce the ship‘s availability, which may in turn, be
reflected in the revenue of the company. Another issue that requires attention is the impact of
maintenance on ship’s fuel consumption that is highlighted in this section. It is argued and shown
that good maintenance leads more energy efficient ship operation, thus the requirement for
maintenance and energy efficient operation fully overlaps with each other.
8.3 Type of maintenance

Maintenance has different forms and its practice may vary from one company to other depending
on their different requirements. The shipping company usually chooses the most appropriate
maintenance type for various ship’s equipment based on its maintenance policy or strategy.

59
Figure 8.1 indicates different maintenance types and policy options with an outline description that
follows.
Maintenance
Planned Unplanned
Maintenance Maintenance
Preventive/period Predictive planned Corrective

Planned Maintenance maintenance Maintenance
Condition-based Reliability-Centred
Maintenance (CBM) Maintenance (RCM)
Figure 8.1 – Types of maintenance policy

Unplanned Maintenance: This type of maintenance is basic and simple as it is defined as breakdown
maintenance. In this maintenance policy, the repair or replacement is performed only when failure
occurs. In this type of maintenance policy, however, basic preventive maintenance routines such as
lubrication and machine adjustment are applied to the system at regular intervals.
Planned Maintenance: Maintenance scheduling or planning embraces all activities necessary to
plan, control, and record all maintenance activities. Planned maintenance is based on a defined
schedule of equipment maintenance. This maintenance policy is normal practice today in the
majority of shipping companies. The planned maintenance schedule is decided based on
manufacturers’ recommendation or use of analytical techniques such as analysis of mean time
between failures (MTBF) and reliability analysis. This approach is based on a model of the time that
elapses between maintenance periods that takes into account the mechanisms of failures.
Therefore, planned maintenance schedule is not necessarily based on fixed-time schedules but could
be based on an analysis method that takes into account a number of factors such as reliability
characteristics of the equipment.
Preventive Maintenance: This is a subset of planned maintenance (see Figure 8.1). Preventive
maintenance usually depends on the manufacturer‘s recommendations and past experience for
scheduling repair or replacement time. In this policy, the maintenance is performed on a planned
basis within normally fixed scheduled intervals. Preventive maintenance is thus time-driven in that
maintenance is performed based on elapsed time or hours of operation. The preventive planned
maintenance is still the main strategy for shipboard maintenance. The intervals were based upon the
manufacturers’ recommendations in addition to past company’s or ship-board experience.
Predictive Maintenance: This is a subset of planned maintenance (see Figure 8.1). This is generally
based on what is referred to as condition-based maintenance (CBM) or reliability-based
maintenance (RCM). The maintenance decision is based on the current condition or reliability of the
system or equipment. This policy stipulates the monitoring of the machinery and acting upon its
condition. Usually, engineers record the system parameters, do condition/performance analysis and
use their senses or equipment to hear, sight, and smell the equipment in order to assess the

60
condition of the system. Different techniques are used in condition monitoring, such as visual
inspection, performance monitoring, trend monitoring, vibration monitoring, lubricant monitoring,
thermograph monitoring, and acoustic monitoring. The advantages of such a policy are that
unnecessary maintenance work can be avoided. In this way, the loss of production during scheduled
machine downtime can be reduced and components can remain in service if the machine is in good
working condition. The industry is gradually moving from preventive maintenance to predictive
maintenance.
Reliability Centred Maintenance (RCM): This could be regarded as a subset of predictive
maintenance. RCM is a structured way to determine the maintenance requirements of complex
systems and assets. It was first developed in the late 1960s, and the approach was derived from the
aircraft industry. RCM focuses on the effect of failure with the consequences of a failure being more
important than its technical characteristics. The main objective of RCM is to reduce the maintenance
costs by focusing on the most important functions of the system and avoiding or removing
maintenance actions that are not strictly necessary.
Corrective maintenance: The corrective maintenance may be defined as maintenance which is

carried out after failure detection. Corrective maintenance can be subdivided into "immediate
corrective maintenance" (in which work starts immediately after a failure) and "deferred corrective
maintenance" (in which work is delayed in conformance to a given set of maintenance rules).
Corrective maintenance is thus a subset of the unplanned maintenance policy.
The ship maintenance and repair activities can be completed in two different ways.
 They can be undertaken in the ship repair yard when the ship is due for dry docking for
regulatory or class surveys. Certain type of maintenance activities are carried out at shipyard
when the ship is at berth.
 Maintenance can be conducted during the ship‘s day-to-day operations of the ship; either
while at sea or when in port.
Figure 8.2 shows this way of dividing the maintenance and repair activities.
Ship Maintenance
Shipyard Repairs Ship-board in

operation
Dry dock At Berth In Ports At Sea
Figure 8.2 – Ship maintenance by location
8.4 Maintenance and energy efficiency

Maintenance operations are fundamental for energy efficient operation of machineries and systems.
Deterioration of ship systems’ condition takes place due to normal wear and tear, fouling, mis-
adjustments, long periods of operation outside design envelopes, etc. As a result, equipment

61
downtime, quality problems, energy losses, safety hazards or environmental pollution may results.
The end result is a negative impact on the operating cost, profitability, customer satisfaction and
probable environmental impacts if maintenance is not properly done.
The major challenge of maintenance optimization is to implement a maintenance policy which
maximizes availability and efficiency of the equipment, controls the rate of equipment deterioration,
ensures the safe and environmentally friendly operation and minimizes the total cost of the
operation which includes energy cost. Fortunately, most of the machinery maintenance activities are
simple adjustments, cleaning, part replacement, or elimination of adverse conditions which means
preventive maintenance.
Studies by a variety of industries and companies have shown that a company can cut energy
consumption at its facility by about 5% to 10% by focusing on its preventive maintenance effort
[Terry Wireman 2011]. As indicated earlier, the main strategic aim of a maintenance programme is
to safeguard the safety of ship and its assets and increase the ship’s availability for highest
operational returns. Luckily, the good maintenance of a ship generally leads to improved
performance of the hull, propeller and machinery, thus provides a more energy efficient operation
as well.
In this section, various aspects of benefits of good maintenance for energy efficiency are further
demonstrated.
Hull and propeller cleaning
The impact of hull or propeller fouling and roughness on ship energy efficiency has been discussed in
Section 5, demonstrating the significant negative impacts. Thus keeping hull and propeller in clean
good condition can lead to major energy saving. The techniques for improving hull and propeller
conditions are discussed in Section 5.
Engines’ adjustments and tuning
Engines are the subject of frequent maintenance actions for a variety of reasons; one of the main
reason being the impact of burning low quality fuel and its impact on engines. Engine condition
monitoring is normal practice on-board ship and engine adjustments and tuning could lead to energy
saving. This topic has further been discussed in Section 6.
Mechanical transmission systems
On board ships, a variety of mechanical transmissions systems are used. The most complex and
important one is the propulsion shafting and the simpler ones include all the mechanical linkages
between drives / motors and the machinery. The energy savings in mechanical transmission systems
would be influenced by the type of maintenance performed and adjustments made. For example,
the following would influence the energy efficiency of the mechanical transmissions systems
depending on the type:
 Shaft and couplings alignment: Any shaft misalignment will not be good for machinery
maintenance as well as for transmission energy efficiency. This would lead to extra losses in
the system in the form of heat.
 V-belt slippage: Improved tension in belt-driven transmissions would prevent slippage
during loading on the belt as well as during high loading. This would reduce frictional losses
due to slippage.
 Chain and gear misalignment: In chain-driven systems, any misalignment will lead to loss of
energy and at the same time will not be good for upkeep and maintenance of the system.
 Proper bearing lubrication: Over-lubrication and under-lubrication are not good for energy
efficiency. If bearings have excessive lubrication, it may need to churn more of the lubricant,

62
increasing the fluid friction in the lubricant and thus energy losses. The opposite is definitely
not desirable as the lack of enough lubrication not only will increase energy use but also will
lead more maintenance due to extra wear and tear due to metal to metal contact.
Electrical systems
Similar to mechanical systems, the energy losses in electrical systems can also be influenced by state
of maintenance of the system. Typical energy losses occur in poor operating conditions for electric
motors. For example, when a motor is fouled with dirt and moisture, this would inhibit the thermal
heat transfer process. This condition results in increased resistance of the wiring which further
increases the temperature of the motor and subsequently its energy consumption. This could lead
also to early failures as compared to a better maintained electric motor. For electric motors,
improper or insufficient maintenance on mechanical transmission system (as explained above) will
also increase the amount of energy required by the motor to drive the system.
Steam system
Steam generation systems (boilers) have long been recognized as having potential to produce
substantial energy savings for most plants. There are a number of EEMs (energy efficiency measures)
in this area as covered in Section 10. Most of the relevant EEMs are directly influenced by state of
the steam system maintenance. Examples of such cases are:
 Steam trap maintenance and inspection programs
 Reduced fouling of boilers with direct improvement in its energy efficiency.
 Adjustment of combustion air in relation to fuel flow in boilers (so called control of excess
air). This is part of the performance-related maintenance activities that could yield
significant energy saving.
 Leak detection programs for hot water and steam. All leak reductions directly will support
the energy efficiency aspects as well.
 Insulation inspection programmes to reduce heat losses from the system due to loss of
insulation.
 End-use steam optimisation via improved cleaning of the heat transfer surfaces, etc.
All the above measures can be only achieved by an effective maintenance programme.
Compressed air system
Compressed air systems can experience similar problems as steam system such as air leaks,
excessive end-use air consumption and air compressor conditions. Maintenance not only will look at
compressed air production (air compressors) but also the compressed air distribution and end-use
areas. Aspects to cover include:
 Compressors: Poor maintenance of compressors or incorrect pressure settings would lead to
extra running hours and thus more energy use.
 Air leaks: Any air leakage in the system would require the compressors to run more than
necessary. This would lead to additional energy use by the need for compressors to operate
for longer periods.
 End use devices maintenance: The compressed air is used for end-use devices that may have
a poor state of maintained. This will lead to extra need for compressed air generation.
The above examples are part of a longer list where proper maintenance could support energy
efficiency. All of the above require planned or condition-based approaches to maintenance of the
compressed air system.

63
1. Darabnia B and Demichela M, 2013 “Maintenance an Opportunity for Energy Saving” Chemical
Engineering Transactions, Vol. 32, 2013.
2. Terry Wireman 2011, “Tips on saving energy using preventive maintenance techniques”,
http://www.pem-mag.com/Features/Tips-on-saving-energy-using-preventive-maintenance-
techniques.html#sthash.F31kH9iP.dpuf accessed August 2015
3. Gösta B. Algelin 2010, “Maritime Management Systems - A survey of maritime management
systems and utilisation of maintenance strategies”, Department of Shipping and Marine
Technology, Chalmers University Of Technology, Gothenburg, Sweden, 2010.
4. Yousef Alhouli 2011 “Development of Ship Maintenance Performance Measurement
Framework to Assess the Decision Making Process to Optimise in Ship Maintenance Planning”
PhD Thesis, School of Mechanical, Aerospace and Civil Engineering, University of Manchester,
2011.

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9 Technical Upgrade and Retrofit
One effective way of improving the energy efficiency of a ship is to upgrade ship-board technologies
to more energy efficient ones. Upgrading of technologies is not a ship-board activity but
nevertheless, the ship-board staff could always engage in proposing such technologies. For this
reason, this topic is covered under this module.
A number of technology upgrades can be considered for energy efficiency. It should be noted that
applicability of such technologies will depend on ship type, ship size, operation profile and other
factors. Thus the decision making for each technology will need to go through the normal process of
technical feasibility aspects and economic cost-effectiveness analysis for the specific ship that is
under consideration. The technologies described here only shows a good sample, but the list is not
comprehensive as there are other potential technologies that may be included.
9.1 Devices forward of propeller

9.1.1 Mewis Duct
The Mewis Duct12 and other similar devices are designed for installation forward of the propeller as
appendages. They have successfully been adapted for the larger scale commercial vessel. Figure 9.1
shows such devices.
Figure 9.1 – Mewls Duct [Becker Marine Systems]

Since its introduction to the market in 2010, the Mewis Duct has gained acceptance by both ship
owners and ship builders. A large number of vessels of the order of few hundreds are currently fitted
with this sort of duct. They are mainly used on tankers and high block coefficient ships.
It is claimed that the Mewis Duct produces energy saving through three major impacts:
 Wake field equalisation: The installed duct straightens and accelerates the hull’s wake into
the propeller and also produces a net forward thrust.
 Reduction of propeller hub vortex: An improved flow behind the duct significantly reduces
the propeller hub vortex with corresponding thrust deduction, leading to improved thrust
and better inflow to the rudder.
12
Developed by Becker Marine System

65
 Contra-rotating swirl: Due to individually placed fins, a pre-swirl in counter direction could
be generated, reducing the rotational flow losses of the propeller.
The way it improves the propeller efficiency is via a better streamlined and directed flow into the
propeller thus reduces the propeller losses. The level of energy saving is claimed to be about up to
8%; however this maximum potential may be applicable to certain ship types and designs. The
potential saving for each vessel will depend on a number of factors and thus any decision should be
made on a ship-specific basis after performing a good deal of ship hydrodynamic analysis and model
tests.
9.1.2 Wake-equalizing duct
The wake-equalizing duct consists of one half-ring duct with foil-type sections attached on each side
of the after body forward of the propeller (see Figure 9.2). The half-ring duct accelerates the flow
into the propeller in the upper quadrant on each side and retards the flow in the lower quadrants.
This results in a more homogeneous wake field in front of the propeller, while the average wake is
almost unaltered. The improved power consumption that is obtained from well-designed wake-
equalizing ducts can be attributed to the following:
a. Improved efficiency because of more axial flow and a more homogeneous wake field;
b. Reduced resistance because of reduced flow separation at the after body;
c. Orientation of duct axes so that the inflow to the propeller is given a small pre-rotation;
d. Improved steering, due to straightened flow over the rudder and more lateral area aft.
Similar to Mewis Duct, it is placed to the fore of the propeller with the aim of accelerating water in-
flows. This device is ideally suited to vessels with full hull forms (such as tankers) and containers
operating at lower speeds (under 19 knots).
Figure 9.2 – Typical wake equalising duct [Scheneekluth]

9.1.3 Pre-swirl stator
These are stators located at the fore of propellers as shown in Figure 9.3; acting like guide vanes for
the flow into the propeller. The aim of guide vanes is to eliminate or reduce the cross-flow that is
often observed in front of the propeller. These vanes are fitted in front of the propeller on both sides

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of the sternpost. The vanes straighten the flow in the boundary layer in front of the propeller,
thereby improving its efficiency. Cross-flow appears mostly in ships with stern bulbs and full hull
forms that operate at relatively low speed. The benefit is therefore largest for tankers and bulk
carriers. The improvement decreases with decreasing fullness of the hull form.
Thus pre-swirl stators (guide vanes) aim to provide a favourable pre-rotation of the water flow into
the propeller. They are alternatives to ducts as explained above.
[Fathom] DSME system [SPPA]
Figure 9.3 – Pre-swirl stator

As shown in Figure 9.3, in general:
 This arrangement enhances propeller efficiency via fitting of the bladed stators on the hull
immediately forward of the propeller.
 The stator improves propeller efficiency via better adjusting the flow into propeller as the
same happens in in normal pumps with guide vanes.
 A gain of 4% in propulsion power is claimed by proper tuning of stator blade angle.
 Better cavitation performance and supress of cavitation generated pressure pulses on the
propeller is the other advantage.
As with the ducts, the device is especially suitable for the larger ships and hull forms. Its first
installation on a 320,000 DWT VLCC has resulted in a 4% reduction in fuel consumption with more
installations afterwards.
9.2 Devices aft of propeller

The propeller operation involves flow losses that appear at the rear of the propeller in the form of
axial flows and rotational flows. The typical levels of such losses are shown in Figure 9.4. These flow
losses mostly appear in the slipstream at the back of the propeller.

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Figure 9.4 – Typical propeller efficiency and losses
There are devices that can be placed at the aft of the propeller to recover some of the lost energy
thus increase the overall efficiency of the propeller. These devices are normally cost effective as a
retrofit option with a short payback period, provided they can be fit correctly. A number of devices
belong to this category. Some of them involve modifications to the rudder. The most important
among these devices are described below.
9.2.1 Propeller Boss Cap Fin (PBCF)
One of such devices is the Propeller Boss Cap Fin (PBCF) (see Figure 9.5) that can be added to the
propeller’s rear in place of the normal boss cap. This performs the function of recapturing some of
the rotational energy lost by the propeller.
[Fathom] [MOL Techno-Trade]
Figure 9.5 – PBCF at the back of propeller

PBCF consists of small fins attached to the propeller cap. It was first developed and manufactured at
the end of 1980s and so far has had some few thousands installed on ships worldwide. Therefore,
there is significant experience with this device. The PBCF is relatively low-cost and non-complicated
additions to a propulsion system. The return on investment of one year or so has been claimed and
with installation time of only few days without the need to dry-dock.

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The following are to a large extend the agreed benefits of using such a device:
 PBCF eliminates or reduces the hub vortices generated. As a result, PBCF can play an
important role in reducing propeller generated noise and vibration.
 It is suitable for slow speed vessel.
 PBCF boost propulsive efficiency by about 5% and ship fuel efficiency by about 2%.
 PBCF can be retrofit easily to an existing ship.
9.2.2 Integrated propeller and rudder units
As the name implies, the propeller and rudder are designed as an integral unit. Part of the design is a
bulb behind the propeller that is fitted to match similar configuration on the rudder. There are a few
patented designs for such an arrangement (see Figure 9.6 as main examples). The effect of these
units has been reasonably well documented in tests on models and in full-scale trials. A reduction of
about of 5% in required power of the vessel for design speed can by typical savings. The units are
applicable to general cargo vessels, RoPax vessels and container vessels operating at relatively high
speed. As with all other devices that impact ship hydrodynamic and resistances, the choice must be
done after significant flow analysis and testing as the claimed savings are not universal. However,
the potential for such a savings always exists for certain ship types and sizes.
Promas efficiency rudder [Ship Technology] [VICUSdt 2015]
Figure 9.6 - Integrate propeller rudder
9.3 Ducted propeller

The ducted propellers, as the name implies, refer to a two-component propulsor consisting of a
propeller located inside a nozzle (duct) as shown in Figure 9.7.

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[Chatterjee 2012] Kort Nozzle [FathomShipping 2012]
Figure 9.7 - Ducted propeller

Compared to the conventional propeller of the same diameter and thrust, the ducted propeller
arrangement allows a larger mass of water to be supplied to the propeller, improving the operating
conditions around the propeller, thus its improved efficiency leads to corresponding potential for
reduced power and fuel used by the ship propulsion.
Although, the reported benefits claim of the range of 5–20% is generally high, similar to Mewis Duct,
it may have significant positive impact on certain ship types and designs. On the negative side, use of
additional appendix in the form of a duct will increase the skin frictions thus flow resistances.
Additionally, ducted propellers are prone to fouling of the system that may lose some of the
advantages. As a result, there may be more need for propeller and duct underwater cleaning. This is
regarded as one of their main weaknesses.
Ducted propellers are suited for ships operating at high propeller loadings, such as tankers, bulk
carriers, tugs and different offshore supply and service vessels. The advantages of the ducted
propellers in addition to fuel efficiency, could also include aspects such as reduction of propeller
cavitation, vibrations and noise, better manoeuvrability if used with azimuthing thrusters and more
safety for the propeller for example in ice operation or while grounding.
9.4 Fore-body optimisation and bulbous bow

Fore-body optimization includes consideration of the bulb design, waterline entrance and so on. The
reason is that when a ship sails, the fore-body generates waves. These waves then hit the front side
and increase the ship resistance and thus required power. The faster the ship sails, the more is the
wave making resistance and the more energy it needs to overcome the waves.
A properly designed bulbous bow thus reduces wave resistance by producing its own wave system
that is out of phase with the bow wave from the hull, creating a cancelling effect and overall
reduction in wave making resistance (the concept is shown in Figure 9.8). A bulbous bow works best
at a certain speed range and is sensitive to ship draft as well. If the ship sails at a different speed and
draft ranges than the ones the bulbous bow is designed for, the bulbous bow has no, or in the worst
cases even a negative effect.

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Figure 9.8 – Concept of bow waves and bulb waves that cancel each other [Soumya Chakraborty]
Design of the bulbous bow involves significant level of flow and hydrodynamic analysis. A bulb with a
reverse pear shaped section is primarily effective at the design condition; pear-shaped bulbs work
best for drafts below the design draft (i.e. ballast draft or partial load draft) and cylindrical shaped
bulbs offer a compromise solution [ABS 2013].
A V-shape may be introduced at the base of the bulb to mitigate slamming impact loads. Faster and
more slender vessels favour larger volume and forward extension of the bulb (more pronounced
bulbs). Fuller ships such as tankers and bulk carriers are often arranged with bulbs having a large
section area and V-shaped entrance, such that it behaves as a traditional bulb at loaded draft and
acts to extend the waterline length at ballast draft [ABS 2013].
Commercial vessels normally do not operate solely at the design draft, thus, compromises in the
bulb design are needed to provide good performance over the expected range of operating drafts
and speeds. Depending on operation profile of a ship, retrofitting a new bulbous bow could be quite
attractive from energy efficiency point of view. Maersk Lines has reported fuel savings of over 5% by
modifying the bulbous bow from the original shipyard design that was optimized to the design draft
[Jonathan Wichmann]. This change took place because of the reduction in operating speed of the
vessels relative to their design speed for slow steaming. This provided more favourable performance
over the anticipated actual operating profile compared to design assumptions.
Retrofit of bulbous bow simply involves the cutting off of the old one and replacing it with the new
design. This takes place in shipyard and during dry dock (sees Figure 9.9). As mentioned, this has
practiced by major liner operators due to the need for changes to ship operation profile.

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Figure 9.9 – Bulbous bulb retrofit on Maersk ships [Jonathan Wichmann]
9.5 Waste heat recovery

Waste heat recovery can be carried out to produce hot water, steam or electricity from the hot
exhaust gases or hot water from engines cooling system. The main candidate areas of waste heat
recovery are from exhaust of the engines where the temperature is high. Also, low grade heat
recovery from engine cooling system is possible and need to be considered for specific ship
applications.
Exhaust gas economisers are the usual waste heat recovery system currently used on many ships.
This is a shipbuilding issue and not subject to retrofit. It has been covered as part of discussion on
“steam system” in Section 10. Also, more sophisticated exhaust gas steam system with steam
turbine is used in larger ships; this is not normally a subject of retrofit but mostly applicable to new
buildings. For ships in operation, the scope for extra heat recovery needs to be reviewed, and
generally if lower grade heat is needed on-board, then waste heat recovery system could be used.
9.6 Auxiliary machinery and systems

9.6.1 High efficiency electric motors
Electric motors are not 100% energy efficient but generally have energy efficiency that could be
anything from 75% to 95%. Thus choice of energy efficient electric motors for a ship will make
energy saving over the long term. These days, there are standards for energy rating of electric motor
and efforts are made to make these motors more energy efficient. Figure 9.10 shows an example of
rating practiced by Europe.

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Figure 9.10 – Example of energy efficiency rating of electric motors
In choice of electric motors for ship, the idea of energy efficiency needs to be taken into account
early and during the shipbuilding stage. For existing ships, when an electric motor needs to be
replaced due to maintenance requirement, procurement of an energy efficient electric motor should
be considered.
9.6.2 Fuel oil homogenisers
Fuel sludge may constitute up to 1% of fuel used on board. The sludge disposal is normally done
either via burning on board (incinerator) or transfer ashore. The whole process is waste of energy
and money. Finding ways of reducing sludge thus could be desirable.
A homogenizer assists the process of fuel homogenizing and thereby a reduction is sludge level. It
also helps with the supply of more uniform fuel to combustion systems. The main job of a
homogenizer is to create a uniform structure of all solid and non-solid materials present in heavy
fuel oil. A homogenizer also breaks down large water elements into small homogenous structure,
resulting in an emulsion consisting of water molecules spread evenly throughout the whole fuel.
A homogenizer mainly works by agitating and milling of the fuel. Agitation can be done by using a
mechanical arrangement which pumps the liquid through an orifice plate. Such a system is shown in
Figure 9.11. Agitation can also be done by an acoustic medium which uses ultrasonic frequency to
agitate a surface over which the liquid is pumped.

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Figure 9.11 – Typical homogeniser
A conventional homogenizer is like a milling machine which churns the liquid as it passes through it.
The design consists of fixed stator housing with a rotor which is generally driven by a motor. The
mating surface of stator and rotor has specially designed channels. Both rotor and stator are conical
in shape and have a specific clearance between them through which the fuel is passed.
Moreover, the design is made in such a way that the liquid accelerates as it moves through the
channel, making the dissolved components uniform in nature. It should be noted that although the
unit looks like a pump, it doesn’t have a pumping unit. A separate pump needs to be installed to
pump the fuel through the system.
The operation of a homogeniser has the following advantageous effects:
 Reduction in sludge production (up to 75% has been claimed but a number of 40% is more
realistic). This causes an increased amount of burnable fuel, thereby fuel saving and fuel
cost. Also, this reduces the cost of disposing of the sludge.
 Influence on purifier efficiency.
 Less wear and tear of engine components.
In case, a homogeniser is used for some water emulsification into fuel, it could positively impact
exhaust pollutants as well. Both NOx and smoke reduction can be achieved if the system is used for
water-fuel emulsification.
9.6.3 Other technologies
There are other technologies that may be used for upgrade and retrofit that includes:
 Energy saving lamps.
 Card controlled or occupancy sensors lighting system for accommodation.
 Variable speed drives for pumps, fans and compressors.
 HVAC system control upgrade and also pre-cooling of incoming air using outgoing cold air.
 Engine de-rating: This is a significant area and only applies for extreme slow steaming.

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1. FathomShipping 2012, “Propeller Technology to Make Your Ship More Efficient”, Article in
http://gcaptain.com/propeller-technology-ship-efficient/, July 17, 2012 accessed August
2015.
2. Ajoy Chatterjee 2012 “Technical energy efficiency measures for ships”, lecture notes
prepared for IMO, June 2012.
3. SPAA, “The ideal flow will save energy” http://www.sspa.se/ship-design-and-hydrodynamics
accessed August 2015
4. Becker Marine Systems, “Becker Mewis Duct® – simply saving power” http://www.becker-
marine-systems.com/03_products/products_mewis.html accessed August 2015.
5. MOL Techno-Trade “PBCF”, http://www.motech.co.jp/en/business/ship_pbcf.html, accessed
August 2015.
6. VICUSdt 2015, “Wake Adapted High Efficiency Rudders”,
http://vicusdt.com/products/rudders/ accessed August 2015.
7. Ship Technology website, http://www.ship-
technology.com/contractors/propulsion/rolls/rolls2.html accessed 2015.
8. Scheneekluth, “Schneekluth Wake Equalizing Duct”, http://www.schneekluth.com/en/,
accessed 2015.
9. Jonathan Wichmann, “The nose job: Why 10 of our ships are getting a new bulbous bow”,
http://maersklinesocial.com/nose-job/, access August 2015
10. Soumya Chakraborty, “What’s The Importance Of Bulbous Bow Of Ships?”,
http://www.marineinsight.com/marine/marine-news/headline/why-do-ships-have-bulbous-
bow/ accessed August 2015.

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10 Boilers and Steam System
10.1 Introduction
The steam system plays a major role in energy efficiency of certain ship types (such as steam driven
LNG ships) and a medium role in ships such as oil tankers carrying liquid cargo that require cargo
heating or there is a need for cargo transfer using steam driven pumps but also need to generate
Inert Gas for cargo tank cleaning, purging or tank top ups. Figure 10.1 shows typical level of fuel use
in boilers as compared to main and auxiliary engines for a VLCC vessel.
Diesel Vessel's fuel consumption by system

generators Boilers
1748 MT/year 1949 MT/year
6% 7%
Propulsion
24022 MT/year
87%
Figure 10.1 – Overall annual fuel consumption and boiler share [Bazari 2012]
Figure 10.2 from IMO 3rd GHG Study 2014 also reveals the level of energy use in marine boilers for
the whole of international fleet.

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Figure 10.2 - Annual shipping fuel consumption per ship type and combustion system [Third IMO GHG
Study 2014]
It can generally be stated that an overall average number of up to a maximum of 6% of shipping fuel
consumption could be attributed to the use of boilers. As stated, for steam turbine propulsion ships
such as steam LNG ships, more than 80% of energy use is due to boilers.
10.2 Overview of a ship’s steam system

In commercial ships, the steam system normally includes the following equipment:
 Auxiliary boilers
 Exhaust gas economisers
As the names imply, the exhaust gas economiser is a waste heat recovery system that recovers heat
from exhaust of main or auxiliary engines and thus does not use fuel. The more the second system is
used, the less will be a need for use of the auxiliary boilers, thus good maintenance and operating
conditions of exhaust gas economiser should always be regarded as part of energy saving in the
steam system. Figure 10.3 shows a typical steam system for a ship.
Figure 10.3 – A typical auxiliary boiler steam system configuration [Machinery Spaces.com]
For the sake of presenting the energy efficiency case, the ship-board steam system will be divided
into the following parts:
 The auxiliary boilers: This is where the steam is produced using fuel.
 The exhaust gas economiser: This is where the steam is produced via waste heat
recovery.
 The steam distribution system: This refers to steam piping system and relevant
instruments and devices used for steam controls.

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 Steam end-use: This refers to all the steam consuming systems such as steam turbines,
fresh water generators, steam heaters, etc.
Figure 10.4 shows a typical arrangement for such components.
Figure 10.4 – Overall ship-board steam system [Alfa Laval]
10.3 Boiler energy efficiency measures

Figure 10.5 shows typical energy efficiency characteristics of a boiler that is normally specified by
boiler manufacturer. As can be seen, the boiler efficiency is a factor of its load.

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Figure 10.5 – Boiler efficiency characteristics
In operation, the efficiency tends to be lower than the above design values. There are a number of
major areas that need to be managed in order to keep the auxiliary boiler at its highest energy
efficiency levels as signified by Figure 10.5.
10.3.1 Fouling of surface
The boiler main function is to generate steam at correct pressure and temperature and with best
energy efficiency. Optimal energy efficiency means optimal transfer of fuel energy to boiling water
via various boiler pipes and heating surfaces. Aspects that could lead to a reduced rate of this heat
transfer include:
 Fouling of boiler tubes and heat transfer surfaces on the gas side
 Fouling or scaling of boiler tubes on the water side.
The above will normally translate into a less heat transfer from gas and more heat retention by the
exhaust gases as they leave the boiler. Thus high boiler outlet exhaust gas temperature could be a
good indication of such fouled conditions. To remedy the case, maintenance practices should include
boiler’s soot blowing, de-scaling, good water, combustion adjustments (to reduce soot formation)
and son on.
For this purpose, the heat transfer areas of the boiler must be monitored. The soot blowing of the
boiler must be done regularly as build-up of soot acts like an insulator and reduces the heat transfer
rate. The same goes for the buildup of scale in the water tubes. The stack temperature must be
monitored regularly and any increase in it means that heat recovery is not optimum. High increases
of exhaust gas temperature beyond those experienced after the last cleaning would indicating build-
up of fouling and would require another cleaning action.
10.3.2 Optimum hot well temperature and blow-down levels
There is a hot well (see Figure 10.3) that collects all the condensates from steam system end-users
plus where water treatment and cleaning may take place. It is from hot-well that the feed water is
supplied to the boiler. Hot well temperature must be maintained at temperature specified by
manufacturers. A low temperature (e.g. below 80-85 C) will cause colder feed water to enter the

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boiler thus increasing the fuel cost due to the need for more heating for evaporation. An overheated
hot well may cause evaporation of water at the suction of feed pump (e.g. cavitation) and cause
vapor lock in the feed pump and loss of suction. For heat retention in the hot well to keep
temperature higher, heat losses due to poor insulation can be reduced. Also, control of make-up
water is important as excessive need for make-up water will be indicative of leak in the steam
system as well as more heating for make-up water that is normally at low temperature.
The blow down of the boiler is required for controlling the amount of dissolved solids as a result of
evaporation and impurity of make-up water or addition of other chemical. Blow down must be
calculated and done after measuring the level of dissolved water. In some cases, the engineers blow
down the boiler excessively, thus not only loose hot water, but also increase the need for make-up
water and make-up water generation.
10.3.3 Excessive combustion air
In order to burn the fuel, air needs to be supplied to the boiler. The excess air unused in the
combustion gets heated and then discharged through the chimney. This is waste of energy. Thus,
any excess air that is not needed for combustion will cause energy loss as it will take away heat from
boiler and discharge to the atmosphere, thus normally should be avoided.
Boilers normally have certain amount of optimal excess air and the air input must be adjusted to this
level. It signifies a balance between combustion efficiency and amount of air supplied. Excessive
“excess air” is identified in the form of either high O2 concentration or low concentration of CO2 in
the boiler exhaust gas. These two parameters thus need to be monitored as part of controlling boiler
excess air thus its energy efficiency. Figure 10.6 shows the boiler efficiency as a function of CO2
concentration. As can be seen, it is desirable to maximise the CO2 concentration in the exhaust gas
for best efficiency. As indicated, the optimum level would normally be specified by the
manufacturer.
Figure 10.6 – Boiler efficiency as a function of CO2 level in the exhaust gas [Mohit Sanguri]
10.3.4 Exhaust gas economiser efficiency
The Exhaust gas economiser in a ship is like a huge heat exchange that exchanges heat between
exhaust gas from engines to water and produces steam for the same purpose that auxiliary boilers

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produce steam. The revered energy and amount of steam generate by exhaust gas economiser is
normally sufficient for routine ship-board steam requirements, thus normally a ship with exhaust gas
economiser does not need to fire the boiler while in passage. As far as improving efficiency by
avoiding the fouling on the gas side and water side, the same principles discussed under boiler
applies.
The efficiency of an exhaust gas economiser can be improved by increased soot blowing frequency
(once or twice a day while at sea). Recording the exhaust gas temperature difference and pressure
drop can provide an indication of economiser cleanliness. Water washing should be scheduled into
major repair periods. The exhaust gas economiser maintenance will not only improve energy
efficiency but also reduce maintenance overall costs and reduce safety risks associated with soot
fires. Occasionally use of fuel additives may improve the cleanliness of the economiser (see Section
7 on fuel management).
As for ship design, the maximum waste heat recovery is desirable. For exhaust gas economisers, the
funnel stack temperature must be as low as possible but with sufficient margin to be above the dew
point to avoid sulphur corrosion. Generally a funnel temperature of 165 to 195 deg C when using
fuel oil is considered optimum.
10.3.5 Boiler efficiency and load factor
Like any other devices, the boiler energy efficiency is a factor of its load factor. Figure 10.5 and also
Figure 10.7 show typical of such efficiencies.
Figure 10.7 – Impact of load factor on efficiency

Accordingly, for this boiler the efficiency is highest at certain point and then drop off with changes in
load. Thus boiler load management could be considered as one aspect of energy efficiency. Figure
10.7 shows that at 70% load, the efficiency is 80% and at 30% load, the efficiency is 63%; a significant
drop.
Operating the boiler at low load is thus inefficient. Avoiding low load boiler operation will depend on
ship type, number of boilers and where the steam is used. Generally, if there are two auxiliary
boilers on a ship, they must not run in parallel if one can supply the whole steam demand; unless
safety issues dictates the need for such a parallel operation case.

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10.4 Steam distribution system energy efficiency measures
The steam distribution system maintenance makes a significant contribution to energy efficiency in
steam system. Measures to consider include:
 Steam loss through open bypass valves
 Steam loss through failed open steam traps
 Heat loss through un-insulated or improperly insulated piping and equipment.
To determine if your ship could benefit from a steam distribution system maintenance program,
normally steam lines and steam traps surveys need to be done at regular intervals. The inspection
activities will include steam pipes, insulation, traps, steam supply/discharge on or around heat
exchange devices etc. Fundamental to such inspections is the collection of good data. Aspects to
consider include:
Reduce steam leakage: As part of day routines, checks should be made for steam leaks. The steam
leaks should be rectified as soon as observed.
Heat loss due to inadequate insulation: The boiler and steam lines along with condensate return to
the hot well must be well insulated. Over a period of time insulation is damaged or worn out. Any
analysis by thermography or any other thermal measurement system could identify the hot spots.
Improvement of damaged insulation due to repair work must be done. All these will reduce the heat
losses from the system thus improve energy efficiency.
Steam trap losses: Steam traps are used to discharge condensate once it is formed, thus the main
function is to prevent live steam from escaping and to remove air and non-condensable gases from
the line. However it is a largely neglected part of the steam distribution system. Steam traps that are
stuck open allow live steam to escape thus resulting in loss of heat and also increasing the load of
the condenser. Steam trap that is stuck shut results in reduced capacity of the equipment it is being
supplied to. Overall, steam traps must be checked at planned intervals to show their good working
conditions.
10.5 Steam end-use energy efficiency measures

Steam end-use could vary according to ship types. The main users of steam include:
 Steam-driven cargo pumps in tankers.
 Steam driven ballast pumps
 Cargo heating
 Fuel storage, treatment and condition system
 Fresh water generation especially in cruise ships
 HVAC system in particular in cruise ships
Every efforts should be made to economies on steam-end use as this would eliminate the need for
extra steam generation thus very effective in energy saving.
10.5.1 Cargo heating planning and optimisation
In some ships, the cargo requires cooling to maintain quality; e.g., refrigerated or frozen cargo. With
other cargoes such as special oil products, special crude oils, heavy fuel oils, etc. may require heating
in particular in winter and cold climate regions. Some of this heat required can be supplied by
exhaust gas economiser. However, in many cases an additional auxiliary boiler is needed to supply
sufficient steam. Steam from exhaust gas is generally sufficient to heat the heavy fuel oil that is used
on most ships; in port, however, steam from an auxiliary boiler may be needed.

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For cargo heating purposes and in order to reduce fuel consumption and the heating costs, a voyage-
specific cargo heating plan should be developed by the shipboard team with support from operation
department at head office. For a proper plan, the following should be considered:
 Vessel tank configuration.
 Whether deck heater or tank heating coils are provided.
 Number of heating coils and surface areas.
 Cargo details including specific heat, pour point, cloud point, viscosity, and wax content.
 Weather en route including ambient air and sea water temperatures.
 Estimated heat loss and drop in temperatures.
 Recommended return condensate temperatures.
 Estimated daily heating hours and consumption.
Various parameters such as daily air/sea temperatures, weather, cargo temperatures at three levels,
steam pressures, return condensate temperature, actual against estimated consumptions and
temperatures are discussed between shipboard team and head office. The heating plan should be
reviewed and revised appropriately throughout the voyage.
The optimum temperature to which cargo should be heated for carriage and discharge largely
depends on the following factors:
 Pour point: It is the lowest temperature at which the liquid will pour or flow under
prescribed conditions. It is a rough indication of the lowest temperature at which cargo is
readily pump-able. General principle is to carry cargo at 10 0C above pour point
temperature.
 Cloud point: It is the temperature at which dissolved solids are no longer completely soluble,
precipitating as second phase and is synonymous with wax appearance temperature. Once
separated, it requires temperature over 80 0C to dissolve the wax. Cargo temperature should
not be allowed to fall below the cloud point.
 Wax content: High wax crude tends to deposit sludge, and therefore require to be
maintained at a higher temperature to prevent wax fall out.
 Viscosity: High viscosity oils do not necessarily deposit sludge and may be carried at lower
than the discharge temperatures. However, for discharge purposes, the heating will be done
to reduce the viscosity to acceptable levels for cargo pumps.
 Ambient weather and sea conditions: This will also influence the cargo carriage and
discharge temperatures as these impacts the level of heat transfer from cargo tanks or fuel
tanks.
The cargo heating plan would need to take into account the above parameter. As part of cargo
heating planning, relevant instructions will be developed. Heating instructions should be reviewed
after loading cargo, based on charterer requirement. Permission to carry and discharge the cargo at
optimum temperatures should be requested from charterer or cargo owner. The heating plan should
be made soon after loading cargo and reviewed/updated on daily basis considering the various
factors that affect the heating and customer requirements.
A review of the heating log abstract with the following will help with better future planning and
identifying the gaps:

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 Actual vs. planned temperature
 Actual vs. planned fuel oil consumption
 Actual vs. planned heating hours
Vessels should complete the heating abstract (daily basis) after completion of each voyage and send
it ashore along with the Cargo Heating Log, also identifying any gaps.
Figure 10.8 shows a typical cargo heating patterns graph.
Figure 10.8 - Example of a cargo heating process [OCIMF 2011]

Operational control and best practice
For best practice cargo heating planning, the following should be noted:
 Vessels should have a greater understanding of the voyage manager/charterer's heating
instructions.
 Seek the receiver/charterer's permission for allowable range of cargo temperatures.
 Avoid heating during adverse weather period.
 Create and follow the proper cargo heating plan to verify the effectiveness of actual heating
progress.
 Closely monitor and analyse cargo heating reports. Monitor heating daily to address
deviations from the heating plan.
 Do not heat for short frequent periods and running boiler at low loads.
 Follow the recommended condensate temperature and optimum boiler settings for efficient
cargo heating. Heating instructions, accompanying the heating plan, should further highlight
these points.
 Maintain efficient and good communication between the vessel and the voyage
manager/charterer about the plan and execution.
Cargo heating may also benefit from the use of effective insulation. For example, using lagging on
heating coil water / condensate return pipes as well as steam, thermal oil and hot-water lines on
deck area. This could be significant energy saving option as it has been observed that some ships lack

84
insulation of branch lines and cargo tanks. It is important that the insulation material is of good
quality. A poor quality of insulation material is likely to rot or lose its effectiveness.
10.5.2 Steam for cargo discharge or ballast water operation
Certain ships such as large crude oil and product tankers as well as ships for the need for large
ballast pump may use steam-driven turbines to drive the cargo and ballast pumps.
In these ships, extra boilers are operated to drive the cargo pump steam turbines as well as for inert
gas generation. Cargo pump driven steam turbines are highly inefficient (with an overall efficiency of
about 10-15%) and care should be exercised in their usage level.
During cargo discharging operations, vacuum should be maintained properly in the vacuum
condenser. This will ensure better work transfer across the steam turbine thereby increasing output
at the same boiler load. During cargo discharging operation, better coordination and planning must
be maintained with the terminal personnel (loading master, terminal representative(s)) as also on
board with deck and engine department so as to reduce idle firing period of main boilers; reducing
unnecessary / prolonged cargo oil pumps’ warm up period, idle running of inert gas plant etc.
10.5.3 Inert Gas Generation (IGG)
In various type of crude oil and product tankers, IG is needed for cleaning, purging and top of the
cargo tanks for safety reasons. The IGG (Inert Gas Generation) system produces exhaust gas with
minimal O2 concentration for this purpose. The IGG operation resemble that of boilers and
consumes fuel thus its management is required for saving energy. The IGG usage needs to be
monitored to ensure that it is not used excessively. Also, optimising of the cargo tank cleaning, gas
freeing and inspection intervals will reduce the usage of IGG system. When IGG system is used, the
level of discharge to atmosphere (blow off of not needed IG) should be minimised via optimal
operation of the system.
10.6 Shipboard best practice guide

The need to maintain clean surfaces on all exhaust gas economiser and auxiliary boilers is
emphasised. The differential pressure across the economiser and its gas inlet and exhaust
temperatures should be constantly monitored and appropriate action taken if measurements are
out of optimum range.
Additionally, steam traps are to be checked regularly for functionality and steam leaks are to be
identified and stopped. Boiler control settings such as burner start/stop and water level setting for
feed pump start/stop shall be chosen in a way to reduce energy consumption.
Cargo tank heating (if applicable) shall be carried out according to the specification of the cargo and
control temperatures shall be set as low as possible. Also, fuel oil temperature in various storage
tanks must be monitored and kept within acceptable limits.
For evaluation of insulation and steam traps, thermal imaging may be used as a tool.
To demonstrate compliance to the above guidelines, the following need to be carried out:
 Steam pipes insulation should be kept in good condition.
 Boiler insulation should be kept in good condition.
 Steam traps are to be checked regularly for functionality.
 Steam leaks are to be identified and stopped.
 Boiler pressure setting for burner start/stop is to be as wide as practicable.

85
 Cargo tank heating (if applicable) shall be carried out according to the specification of cargo
and control temperatures shall be set as low as practicable.
 Fuel temperature in storage, settling ad supply tanks shall be monitored and kept at
acceptable lower limits.
Other activities will include:
 Steam trap maintenance should be carried out regularly. Steam traps which are not working
correctly may lead to the loss of an excessive amount of additional energy.
 All steam leakages to be minimized.
 Auxiliary boiler is to be used during anchorages and other relevant opportunities.
 Starting of auxiliary boilers too far in advance of intended use is to be avoided.
 Steam dumping when possible is to be avoided.
 Pipe/ valve lagging is to be maintained in good order to minimize heat loss.
 Steam tracing is to be used judiciously.
 Bunker tank heating is to be optimized.

1. Mohit Sanguri, “Energy Conservation in Boilers and Making an Audit Report”
http://www.marineinsight.com/marine/marine-news/headline/energy-conservation-in-
boilers-and-making-an-audit-report/ accessed August 2015.
2. Bazari Z, 2012, “Ship Energy Efficiency – Developments and Lessons Learnt”, Lloyd’s Register,
LRTA publication, November 2012.
3. Machinery Spaces.com “Feed systems for auxiliary boilers and steam turbines - operating
principle”, http://www.machineryspaces.com/feed-system.html, accessed August 2015.
4. Carbon Trust, 2012, “Steam and high temperature hot water boilers”, Carbon Trust UK
publication, 2012.
5. Alfa Laval, “Efficiency in boilers and beyond”,
http://www.alfalaval.com/globalassets/documents/industries/marine-and-
transportation/marine/whr.pdf, Alfa Laval document, accessed August 2015.
7. OCIMF 2011, “Example of a Ship Energy Efficiency Management Plan”, submitted to IMO by
Oil Companies International Marine Forum (OCIMF), MEPC 62/INF.10, April 2011.

86
on
Module 5 – Ship Port Interface for

Energy Efficiency
IMO
ACKNOWLEDGEMENTS

current edition represents a major upgrade of the training package by
Dr Zabi Bazari of Energy and Emissions Solutions, UK (EnEmSol) under


M5 Ship-Port Interface for Energy Efficiency Module 5 - Page 1

MODULE 5
Ship-Port Interface for Energy Efficiency
The aim of this module is to deal with ship-port interface and how ship in-port operation can
influence the ship energy efficiency and port air quality. It includes all aspects of ship operation in
ports and relevant technologies, fuels and operational measures for reducing the ship-in-port fuel
consumption and air pollutants.
Apart from introductory section on port structure and services, the main operational aspect of ship-
port interface in terms of just-in-time operation is covered in detail first. Next, a full review of
various technological, fuels and operational measures for reduction of ships’ emissions to ports are
investigated. The concept of Onshore Power Supply (OPS) or cold ironing is discussed as the main
way of reducing air pollutant in ports. Finally, port-related green initiatives and port environmental
programs are introduced and sample initiatives are introduced.
By the completion of this module, the trainees will be able to:
 Explain the main activities of a port and the ports’ significance in maritime industry;
 Recognise the importance of “ship port time” in the energy efficient ship operation
context;
 Describe the way that a ship’s just-in-time operation in a port may be realised;
 Identify factors in port-side management that affect efficient ship operations;
 Explain why onshore power supply can reduce the ship’s port-related pollutions;
 Discuss the requirements at port-side and ship-side for OPS and the barriers for its
implementation;
 Be able to analyse the impact of OPS on ship-at-berth air emissions and energy efficiency;
 Become familiar with port-related green initiatives and port environmental programs;
 Explain in general term, the Environmental Ship Index and how it works; and
 Be able to name and give a brief explanation of other green port specific initiatives.
To support your learning process, a list of references is provided at the end of each section.


CONTENTS
1 INTRODUCTION TO PORTS AND PORT-AREA EMISSIONS ......................................................................... 7
1.1 PORT ROLE AND FUNCTIONS ......................................................................................................................... 7

1.2 COMPLEXITY OF PORT OPERATION ................................................................................................................. 8
1.3 PORTS AND AIR EMISSIONS ........................................................................................................................... 9
1.4 METHOD OF REDUCTION OF PORT AREA EMISSIONS ......................................................................................... 10
1.5 PORT NON-SHIP RELATED EMISSIONS REDUCTION............................................................................................ 11
1.5.1 Port-land based side ....................................................................................................................... 11
1.5.2 Port harbour crafts.......................................................................................................................... 11
1.6 PORT SHIP-RELATED EMISSION SOURCES ....................................................................................................... 12
1.7 HOW TO DEAL WITH SHIP-PORT INTERFACE .................................................................................................... 15
2 SHIP TIME IN PORT AND JUST IN TIME OPERATION ............................................................................... 17
2.1 INTRODUCTION ........................................................................................................................................ 17

2.2 ACTIVITIES IN PORT OPERATIONS ................................................................................................................. 17
2.3 IMPACT OF SHIP’S PORT TIME ON EFFICIENT SHIP OPERATION ............................................................................ 18
2.3.1 Ship’s (voyage) time: time at sea and time in port ......................................................................... 18
2.3.2 Time in port ..................................................................................................................................... 19
2.4 JUST-IN-TIME ARRIVAL/DEPARTURE AND IMPROVED CARGO HANDLING ............................................................... 21
2.5 PORT OPERATION MANAGEMENT ................................................................................................................ 22
2.6 MEASURES FOR AVOIDING SHIP’S WAITING TIME IN PORT ................................................................................. 26
2.6.1 Virtual Arrival .................................................................................................................................. 26
2.6.2 Improved cargo handling ................................................................................................................ 26
2.7 IMPLICATION OF JUST IN TIME ..................................................................................................................... 27
3 TECHNOLOGIES FOR PORT AIR QUALITY AND GHG EMISSIONS REDUCTION .......................................... 30
3.1 INTRODUCTION ........................................................................................................................................ 30

3.2 ICCT STUDY ON PORT AIR QUALITY .............................................................................................................. 30
3.3 IMO SHIP-PORT INTERFACE STUDY .............................................................................................................. 31
3.3.1 Measures categories ....................................................................................................................... 32
3.3.2 Symbols used .................................................................................................................................. 32
3.3.3 Study outcomes on existing technology measures ......................................................................... 33
3.3.4 Future innovative technologies, fuels and operation processes ..................................................... 36
3.3.5 Study key findings ........................................................................................................................... 37
4 SHIP IN-PORT OPERATIONAL ENERGY EFFICIENCY MEASURES ............................................................... 39
4.1 INTRODUCTION ........................................................................................................................................ 39

4.2 OPERATION OF AUXILIARY MACHINERY ......................................................................................................... 39
4.3 USE OF AUXILIARY ENGINES ........................................................................................................................ 40
4.4 OPERATION OF BOILERS IN PORT.................................................................................................................. 40
4.5 SHIP OPERATIONAL EFFICIENCY MEASURES..................................................................................................... 41

5 ONSHORE POWER SUPPLY (OPS) ........................................................................................................... 43
5.1 INTRODUCTION ....................................................................................................................................... 43

5.2 THE CASE FOR OPS .................................................................................................................................. 44
5.3 INFRASTRUCTURE REQUIREMENTS............................................................................................................... 45
5.3.1 Shore-side requirements ................................................................................................................. 45
5.3.2 Ship-side requirements ................................................................................................................... 46
5.4 STANDARDIZATION .................................................................................................................................. 46
5.5 PORT RELATED INITIATIVES ........................................................................................................................ 47
5.6 IMO REGULATIONS .................................................................................................................................. 48
5.7 OPS EFFECTIVENESS ................................................................................................................................. 49
5.8 OPS AND ENERGY EFFICIENCY .................................................................................................................... 50
5.8.1 Energy efficiency ............................................................................................................................. 51
5.8.2 Energy cost ...................................................................................................................................... 51
5.9 REFERENCES AND FURTHER READING ........................................................................................................... 51
6 GREEN PORT INITIATIVES AND PORT ENVIRONMENTAL PROGRAMS .................................................... 53
6.1 INTRODUCTION ........................................................................................................................................ 53

6.2 PORT RELATED VOC MANAGEMENT............................................................................................................. 53
6.3 DIFFERENTIATED PORT DUES ....................................................................................................................... 55
6.4 DIFFERENTIATED SHIP REGISTRATION FEES ..................................................................................................... 55
6.5 ENVIRONMENTAL SHIP INDEX (ESI) ............................................................................................................. 56
6.6 PORT CLEAN AIR PROGRAM ........................................................................................................................ 57
6.7 NORWAY NOX TAX AND NOX FUND ............................................................................................................ 57
6.8 GENERAL DISCUSSION ............................................................................................................................... 57

LIST OF FIGURES
Figure 1.1 – A simplified schematic of a logistic chain [Voorde & Elsander] .......................................... 7
Figure 1.2 – The main activities of a marine port [Voorde & Elsander] ................................................. 7
Figure 1.3 – Principal port activities [Voorde & Elsander] ...................................................................... 8
Figure 1.4 – Schematic of major players in port-related activities [Meersman, Van de Voorde and
Vanelslander] .......................................................................................................................................... 9
Figure 1.5 - Energy demand example: Trans Pacific transit from Shanghai to Los Angeles [Starcrest
Consulting Group] ................................................................................................................................ 14
Figure 2.1 - Schematic diagram of a container terminal operations .................................................... 18
Figure 2.2 - Composition of ship's voyage time in container shipping line .......................................... 19
Figure 2.3 - Breakdown of ship's time in port ....................................................................................... 20
Figure 2.4 - Schematic diagram of container terminal operations with activities................................ 22
Figure 2.5 - Application of berthing request in a typical port management system ............................ 23
Figure 2.6 - MPOS and port services coordination ............................................................................... 23
Figure 2.7 - Ship’s times in passage, port and manoeuvring ................................................................ 28
Figure 3.1 – Port air emissions reduction measures according to ICCT December 2012 report .......... 31
Figure 3.2 – Summary of engine technologies [MEPC 68 INF.16] ........................................................ 34
Figure 3.3 – Summary of engine exhaust gas scrubbing systems [MEPC 68 INF.16]............................ 35
Figure 3.4 – Summary of alternative fuel options [MEPC 68 INF.16] ................................................... 35
Figure 3.5 – Summary of alternative power systems [MEPC 68 INF.16] .............................................. 36
Figure 3.6 – Summary of innovative and emerging technologies [MEPC 68 INF.16] ........................... 37
Figure 4.1 – Summary of ship operational measures [MEPC 68/INF.16] ............................................. 41
Figure 5.1 – Typical OPS arrangement [Wikipedia] .............................................................................. 44
Figure 5.2 – Typical shore-side requirements....................................................................................... 46
Figure 6.1 – Schematic of an oil tanker’s VOC emissions control system............................................. 54

LIST OF TABLES
Table 2.1 – Estimated ship fuel consumption and emissions reductions ............................................. 28
Table 5.1 – Ports with OPS at 9 October 2012 [IMO MEPC.1/Circ.794] ............................................... 48
Table 6.1 – Designated ports with VOC emissions control ................................................................... 54
Table 6.2 – NOx reduction incentives in port of Gothenburg ............................................................... 55

1 Introduction to Ports and Port-area Emissions
1.1 Port role and functions

Ports are part of a wider international and national network of transport and logistics. They
significantly contribute to the cargo logistic network. The success of ports in the logistics chain
depends on their strengths as well as the strength of other players in that chain including shipping. A
similar reasoning applies to the other maritime transport players including ship owners, port
operators and the land-based transport service providers. Accordingly, the function of a port like
other major maritime stakeholders (e.g. ship owner) does not depend exclusively on its own facilities
and management processes but also affected by a variety of other stakeholders. Figure 1.1 shows a
simple view of the basics of a logistic chain.
Figure 1.1 – A simplified schematic of a logistic chain [Voorde & Elsander]

As Figure 1.1 indicates, the maritime logistics chain consists of three large sections:
 The purely maritime aspects (at the centre above) that mainly relates to ship operation;
 The cargo handling and storage in the port; and
 The land-based (hinterland) transport services.
Depending on the cargo category concerned and the type of chain management applied, this
structure may become more complex and possibly involve different players as well as other ports of
call. Considering only the port-related activities in the above overview, one of the core and most
important function of ports relate to the ships’ cargo loading and unloading. Specifically focussing on
ports, Figure 1.2 shows the main activities of a marine port in a schematic form.
Figure 1.2 – The main activities of a marine port [Voorde & Elsander]
Over the time, ports have engaged in a large number of so-called value-added services in addition to
cargo loading and unloading plus other core services. These could include a variety of marine

services such as bunkering, to repair and real estate activities in ports as shown in Figure 1.3. This
evolution of port activities is indicative of the increasingly complex nature of ports of modern times.
Figure 1.3 – Principal port activities [Voorde & Elsander]
1.2 Complexity of port operation

A port encompasses more than the port authority as the top governing body but also other players
such as shipping companies as its principal customer and terminal operating companies as the main
suppliers of services. There are numerous other, often smaller players to take into account and
typical examples of such players are fuel trading and dredging. The former plays a big role in ship
operations, whereas the latter has its role in the construction of shipping and port facilities. The
availability of efficient fuel provision can convince a shipping company to call at the port and even
make a longer stay, in both cases resulting in more cargo loading and unloading capacity. Dredging
activities are an important element of capacity creation and maintenance.
From a different perspective, port management is a complex process as this is normally made up of a
variety of links. Often different part of the chain are controlled or managed by different players, but
some activities are also integrated across links. So, ports could have a relatively complex
management and decision making structure.
No two ports are physically and economically the same. Therefore, their operations will depend on
the port as a physical entity, taking into account the various activities such as facilitating the
loading/unloading of vessels, freight handling and storage and access to land-based transportation.
Clearly these are quite diverse activities, which combine to make port services quite diverse and
complex.
Port operations involve a great many players, both at management level and at operational level.
The management of ports also varies from one country to the other. The port as a physical entity is
managed by a port authority in which the public authorities may or may not be a stakeholder. In
addition, depending on the size of the port, any number of enterprises may be located within its
perimeter. Figure 1.4 offers an overview of the various market players within a port, indicating who
provides services to whom. The diagram confirms that shipping companies rely on services provided
by third parties (e.g. pilots, towage services, ship repairers, provisioning, waste reception facilities,
and bunkering companies) that are somehow but not fully associated with a port.

Figure 1.4 – Schematic of major players in port-related activities [Meersman, Van de Voorde and Vanelslander]
The large number of parties involved in port activities, each of which pursues its own objectives,
gives rise to a considerable degree of diversity, both within the port and between ports. Hence, a
generalised comparison between ports may not be fully possible. Moreover, the situation is further
complicated by the fact that different ports often work under different economic, legal, social and
tax regimes just because they are regarded as part of national entities in each country. Thus ports
are to a large extent different from international shipping that is mostly regulated by IMO rather
than by national-specific regulations that applies to ports [Hilde Meersman, et al].
The issues of governance, control and ownership are critical to any discussion of environmental
management in ports. The vast majority of harbours are characterized by privately owned dock
facilities and in these instances, control of property and operations lie with each private property
owner.
1.3 Ports and air emissions

On the environmental side, one of the main issues that ports are facing is local air quality. This is
caused due to air pollutants; rather the CO2 emission that is the main topic of this training course. As
most of activities relating to reduction of air pollutants have impacts on CO2 emissions, in this
module, the emphasis will be on all air emissions rather than simply CO2.
In port areas, air emissions and energy consumptions are primarily due to ships. However, there are
other equipment and facilities that use energy or contribute to air emissions to port areas. These are
for example:
 Cargo loading and unloading devices.
 Trucks and other land-based transportation units such as locomotives.
 Buildings and energy needed for these building.
 Harbour crafts that provide additional services to port and shipping companies.
Emissions in port areas are mainly those due to diesel engines and boilers. These air emissions
include:
 Nitrogen Oxides (NOx): The main sources of NOx are diesel engines both for ships and other
land-based trucks.
 Particulate Matters (PM): Again diesel engines are the main source of such emissions.

 Sulphur Oxides (SOx): These are due to burning of sulphur content of fuel.
 Some carbon monoxide and unburned hydrocarbons could also be emitted from ship
engines if they are not properly tuned.
The amount and level of such emissions will depend on not only technologies used but also
operational aspects of ships, the time they stay in port and other energy using machinery and
facilities in port itself.
Emission reductions in the port area are typically focused on PM, SOx and NOx due to air quality
health impacts. Controlling NOx, PM and SOx is the central focus for most national and regional
regulatory agencies and therefore the same applies for ports as does to the shipping industry. GHGs
emissions have recently been seriously addressed by regulatory agencies such as IMO, although in
the port area, health effects and thus pollutants typically take the priority over GHG emissions.
In a discussion paper by International Transport Forum [Olaf Merk], it is claimed that shipping
emissions in ports are substantial, accounting for 18 million tonnes of CO2 emissions (this is
equivalent to burning of about 6 million tonnes of fuel oil), 0.4 million tonnes of NOx, 0.2 million
tonnes of SOx and 0.03 million tonnes of PM10 (PM with size of less than 10 microns) in 2011.
Around 85% of emissions come from containerships and tankers. Containerships have short port
stays, but high emissions during these stays.
The same paper states that most of CO2 emissions in ports from shipping are in Asia and Europe
(58%), but this share is low compared to their share of port calls (70%). European ports have much
less emissions of SOx (5%) and PM (7%) than their share of port calls (22%), which can be explained
by the EU regulation to use low sulphur fuels at berth. Future forecasts indicate that most of
shipping emissions in ports are estimated to grow fourfold up to 2050. This would bring CO2-
emissions from ships in ports to approximately 70 million tonnes in 2050 and NOx-emissions up to
1.3 million tonnes. Asia and Africa will see the sharpest increases in emissions, due to strong port
traffic growth and limited mitigation measures.
The above indicates that various initiatives are needed to combat air pollution in ports. These will be
discussed in this module with specific reference on CO2 emissions. Various ports have developed
infrastructure, regulation and incentives that mitigate shipping emissions in ports. These
instruments would need wider application in order for ship emissions in ports to be significantly
reduced.
1.4 Method of reduction of port area emissions

Numerous and diverse measures and strategies are available to effectively reduce emissions and
improve energy efficiency for ships in the port area. Experience with addressing ship emissions and
implementing measures in the port area dates back to the late 1990’s and is becoming more
prevalent over the past decade There are initiatives underway by various stakeholders to evaluate
and demonstrate emerging and innovative measures that could be effective both at-sea and in the
port area.
Although the direct control of ports/terminals on ships’ emissions is limited, they can have an impact
on the reduction of ship emissions in the port area in a number of ways [MEPC 68/INF.16]:
 Ports/terminals can facilitate the just in time ship operations in ports that substantially
reduces the ship’s port time, thus emissions.
 Ports/terminals can directly or indirectly provide incentives for the ship owners to
implement emission abatement measures on-board.

 Ports/terminals can facilitate port area ship emissions reductions by providing certain
infrastructure themselves, like OPS facilities.
To deal with the above, one could deal with port related emissions for ship sources and non-ship
sources.
1.5 Port non-ship related emissions reduction
1.5.1 Port-land based side

If the land-based side of marine transport operations is taken into account, it would include cargo
handling equipment, stationary power sources, locomotives and heavy-duty trucks operating within
the port area. These are non-vessel related emissions from ports. To reduce emissions in such cases,
the following may be considered [Corson et al]:
• Clean Fuel: Change to advanced clean diesel fuel, such as low or ultra low sulphur diesel
(LSD) (ULSD), emulsified diesel, bio-diesel, compressed natural gas, liquefied natural gas,
liquefied petroleum gas (propane, which requires a dedicated engine) and so on. All of these
will provide direct benefit to port air quality and at the same time some reduction in GHG
emissions.
• Technology Retrofit: Installation of “after treatment” devices on existing diesel engines such
as diesel particulate filters, oxidation catalysts, closed crankcase ventilation, selective
catalytic reduction, lean NOx catalyst, exhaust gas recirculation and so on. Trucks could be
retrofitted with some of these technologies.
• New technologies: Use of hybrid-electric technologies as replacements for pure diesel

engine vehicles and equipment.
• Operation management: This could include a large number of measures that helps to reduce
fuel consumption and emissions including:
o Implementation of policies that would reduce the idle operation of vehicles such as
reduction of port congestion and start-stop technologies.
o Include incentives for emissions reduction in leases and contracts with tenants,
contractors and transportation service providers;
o Expand operating hours to reduce truck queuing, idling and traffic congestion;
o Promote other aspects that would reduce port area traffic congestion and
emissions.
The above include a summary of the important pollution reducing measures. For reduction of energy
consumptions, port need to follow energy management system and develop energy management
plan that could be applied to all aspects of port operation. ISO 50001 (see Module 6) can be used for
this purpose and energy review and audit will form a part of energy planning for the port.
1.5.2 Port harbour crafts

Apart from ships calling a port, there are a significant number of harbour crafts that provide support
services to ships and port. Although not directly related to international shipping emissions, such
crafts contribute to port air quality as they are mostly powered by diesel engines.

For harbour crafts and in order to save fuel and reduce pollutants to port, similar general measures
as larger ships are applicable. Measures that can be applied to address emissions from harbour
crafts are often adapted from those developed for on-road and non-road equipment. These
measures include. Some of the measures that may apply for harbour crafts are:
 Engine Replacement: Replacement of a harbour craft engine is not an easy option as it
normally will require all sort of different auxiliary machinery, space and fuel requirements.
However, retrofit of engine can be an important consideration for harbour crafts in view of
changing technologies, move to hybrid electric options as well alternative fuels. Replacing
main-propulsion engines with cleaner engines will provide great emission benefits that
compound over the remaining life of the equipment. For harbour craft, this can be
significant because the total operating life can be up to 30-40 years. Cleaner engines are,
however, costly and capital costs may be a major barrier [ICCT June 2012].
 Clean Fuels: The second option that may require less capital cost but will have implications
on operating costs is the use of cleaner alternative fuels. The most obvious one is the use of
low sulphur fuel in a similar fashion as road transport that uses ultra-low sulphur fuels these
days. Additionally, other options could include emulsified diesel fuels and biodiesel. The
more promising alternative fuel is natural gas in the form of LNG as LNG fuelling infra-
structure is being developed. Move to LNG will require capital investments but the longer
term the return could be via cheaper fuels, and a reduction of all types of air emissions. Use
of biofuels, CNG or LNG would benefit the climate change as they would reduce overall
discharge of CO2 to atmosphere.
 Technology upgrade: This option relates to retaining the engines but opting for more
advanced available engine controls, fuel additives and after-treatment emission control
technologies such as diesel oxidation catalyst, diesel particulate filter and selective catalytic
reduction (SCR).
 Hybrid electric systems: The harbour crafts are good candidates for use of more advanced
technologies such as hybrid technologies to include batteries and electric motor / generators
in the same way that land-based vehicles are moving into hybrids domain. Also, these
vessels can be connected to onshore power when at berth for on-board electrical generation
for hoteling functions. Hybridization is best for harbour crafts when they are away from the
berth and have fluctuating energy demands. Hybridizing for harbour crafts has become
much more feasible in the past several years as several demonstration projects have
illustrated the feasibility and benefits of the technology. In Long Beach, Foss tugboats
retrofitted an existing tug with lithium ion batteries and advanced drives for a total project
cost of $2.1 million [ICCT June 2012].
The above discussion about port-side emissions including those from cargo handling equipment,
buildings, ground transportation services, etc. plus those coming from harbour craft will not be
further discussed in the following sections. Instead the full attention will be on ship-port interface
and ship-related emissions from now on.
1.6 Port ship-related emission sources

The emission sources directly associated with ship operations in port include those due to
propulsion engines, auxiliary engines and auxiliary boilers plus Volatile Organic Compound (VOC)
that is associated with bulk liquid cargos and various Ozone Depleting Substances (ODS) due to

refrigeration system. From an air pollutant perspective, vessels can produce significant amount of
NOx, SOx and PM from burning fuel in the propulsion engines, auxiliary engines and auxiliary
boilers/steam plants. Depending on the geographical configuration of the port area and type of
vessels, these three combustion systems can have varied level of emissions. It is important to know
for the vessel in question, which of these plays a more important role in ports when it comes to
emissions and energy efficiency reduction measures [MEPC 68/INF.16].
Most emissions from ships in ports are the result of diesel engines burning heavy fuel oil. Compared
to land-based transport, the marine engines are not as strictly regulated as their land-based
counterparts. National and regional regulatory authorities have limited control over international
ships other than on their own flagged ships and to some extent ships visiting their ports. Reducing
emissions from ship-board diesel engines is therefore one of the significant challenges and
opportunities related to improving air quality in port areas.
The unique challenge associated with the port area, with regard to reducing ship emissions, is how
the emission sources listed above associated with various modes of ship operation in the port area.
Generally a ship in port area has two general modes of operation [MEPC 68/INF.16]:
Transit and manoeuvring: During this mode, a ship is typically operating within confined channels
and within the harbour approaching or departing its assigned berth. The distance associated with
this mode is unique for each port and varies depending on geographical configuration of the port.
During this mode of operation:
 The ship is moving at its lowest speeds, thus propulsion engines are operating at low loads.
 Auxiliary engine loads are normally at their highest compared to other modes because of the
need for running additional machinery on-board, such as thrusters (for manoeuvring), air
scavengers/blowers (due to low main engine load), etc.
 An additional auxiliary engine (diesel generator) is online for safety reasons in case one
auxiliary engine’s trip/failure does not lead to dangerous situations or blackouts.
 Auxiliary boilers are on because the economizers are not producing enough steam due to
low propulsion engine loads and resultant lower engines’ exhaust temperatures (this does
not apply to large diesel-electric ships with central electric power generation).
In such a mode, still most of fuel consumption will happen in main propulsion engines but boilers
and auxiliary engines will consume fuel more than the normal sea going levels. The other aspect is
that all the above combustion systems are working off-design at part loads. This is not good as such
systems tend to be less efficient and more polluting under such low-load operating conditions.
At berth or anchored: During this mode, a ship is secured and not moving. Typically under this
condition:
 Propulsion engines are off.
 Auxiliary engine loads can be high if the ship is self-discharging its cargo, as with general
cargo vessels, auto carriers and roll-on roll-off (RoRo) vessels and oil tankers.
 Auxiliary boilers are operated to keep the propulsion engine and fuel systems warm in case
the ship is ordered to leave port on short notice and also for other purposes. In some
tankers, steam is used for discharge of cargo through the use of steam turbine driven
pumps.
Vessel fuel consumption can be low, medium or high for auxiliary engines and can be low, medium
to very high for boilers (for example for tankers when discharging), depending on ship types and if it
uses energy for cargo operations. Again, both auxiliary engines and boilers will be operating at part
load with low efficiency and high specific levels of emissions.

The majority of ship owners, operators and engine manufacturers as well as the regulators to some
extent focus their efforts in reducing emissions and increasing energy efficiency for normal at-sea
conditions as opposed to the port area. Typically, most ships move from one port area to another
and for these ships, a majority of the ship’s energy consumption over the life of the ship occurs at
sea. Ship emissions estimation studies show total ship carbon dioxide (CO2) emissions in the port
area range from 2% at the Port of Los Angles [Starcrest Consulting] as compared to the entire voyage
of the ship, to 6% at the Port of Rotterdam [MEPC 68/INF.16] as compared to greater North Sea
area. Figure 1.5 emphasizes this point by illustrating the magnitude of time and energy spent at sea
versus time and energy spent during the modes that.
Figure 1.5 - Energy demand example: Trans Pacific transit from Shanghai to Los Angeles [Starcrest
Consulting Group]
It is not uncommon for most vessels to be operating at propulsion loads below 50% in the port area
and even at loads below 25% for significant portions of the time in the port area. In the transit and
manoeuvring modes, the propulsion engine is operating with variable loads and is even turned
off/on depending on the specific area the ship is manoeuvring through. The emission factors1 of an
engine will vary according to engine load and generally becomes worse (higher) at lower loads as
both pollutants and CO2 emissions factors will increase at lower loads per unit of power production.
Thus in port and harbour areas, it can be stated that:
 Ship engines are operating with lower and varying loads.
 Propulsion and auxiliary engines are operating below their optimal performance loads.
 Auxiliary boilers are also for most of the time below their normal operating loads
 Various emissions factors for engines and boilers are higher than design values due to low
load factor.
The main question is that whether one could avoid the above situations via use of alternative
technologies, fuels and operational processes. These questions will be answered in various sections
of this module.
1
Emissions factor refers to emission produced per unit of energy produced or fuel used and for engines it is specified as g/kWh or g per kg
of fuel.

1.7 How to deal with ship-port interface
Based on discussion about the ship-related and non-ship related emissions in port, it is clear that the
emissions in port areas can be dealt with by measures to be implemented at ship level and port level
via analysis of the following:
 Non-ship related air emissions
 Ship-related air emissions.
The “none-ship related air emissions from port’s infrastructure, facilities, its land-based transport,
and harbour crafts” and main aspects of dealing with them was introduced and summarily covered
in Section 1.5. As this is not the main focus area of this course, no further discussion will be
provided. The readers could refer to list of references for further information on this subject in
particular the ICCT reports.
The ship-related emissions to port as indicated above can be divided to those related to ship
manoeuvring and transit in port area plus those when ship is at berth. To reduce them, a number of
main measures could be followed:
 Reducing the time of ship stay / operation in port: No matter how low or high a ship emits,
the absolute total amount of exhaust emissions to the port area will be a function of total
time of ship manoeuvring and stay in port area. Thus staying in ports for an extra 50% of the
time is expected to increase the ship emissions to port area by approximately an extra 50%.
For this reason, reducing a ship’s time in port could be regarded as one major strategy for
improving air quality in ports. This at the same time would help the ship save fuel
significantly by running slower due to extra time in passage. This strategy can be achieved
via a policy of operating just in time in port. This is covered in Section 2 in more detail.
 Use of alternative ship technologies and fuels: As discussed, current diesel engines burn
heavy fuel oil that is not a clean and low carbon fuel. Additionally, the conventional diesel
engines technology on-board ships can be improved to more efficient engines with lower
fuel consumption and pollutants. There are options to move away from these technologies
and fuels to more energy efficient and clean technologies and fuels. This strategy, in
particular new and alternative technologies, may be more applicable to new ships rather
than existing ships. Further debates on such technologies and alternatives are given in
Section 3.
 Ship in-port technical operation management: When a ship in port at berth or at anchor,
various engines, boilers and machinery still need to be operating and thereby will use
energy. Off course, the way these operations take place would impact a ship’s in-port fuel
consumption and exhaust emissions. In Section 4, this topic is discussed and best practice is
introduced to save with energy use and reduction of emissions.
 Switching off the engines in port via shore connection: The next strategy could be to switch
of the ship-board engines when in port. This is subject to availability and supply of power
from port to ship. This is an important development and requires investment both by port
and ship and may result in some extra operational complexities. This policy is achieved via
on-shore power supply system (cold ironing). This topic is covered in detail in Section 5.
 Ship loading with due consideration for ship energy efficiency: The subjects of ship loading,
trim optimisation, ballast optimisation were covered in previous modules. Some of these will

not be achieved unless the cargo handling aspects of the ship are done properly. Although
this may not have impact on port area fuel consumption and emissions, but is an important
measure for a ship’s energy efficiency that is impacted by its port operations.
 Environmental oriented incentives: To encourage ship-owners and operators to do their

best to reduce emissions, regulations and market incentives could be used to encourage use
of the above measures. IMO and regional initiatives have already regulated ships to some
extent; for example with switch over to low sulphur fuel in certain areas and ports. There are
financial incentives from certain ports to encourage use of environmentally friendly ships
and so on. Section 6 on green port initiatives and port environmental program cover some
of these aspects.
Overall, there are significant opportunities for ship-port interface improvements to reduce air
emissions from ships to port area and enhance overall energy efficiency of shipping. Although ports’
core attention is on air quality and pollutions, nevertheless, there is a strong link between air
pollutants and GHG emissions and this will be the subject of detailed discussion throughout this
module.

2. Eddy VAN DE Voorde and Thierry Van Elsander “Market Power and Vertical and Horizontal
Integration in the Maritime Shipping and Port Industry”, Discussion Paper No. 2009-2,
December 2008, University of Antwerp, Belgium.
3. Hilde Meersman, Siri Pettersen Strandenes, and Eddy Van de Voorde “Port Pricing:
Principles, Structure and Models”, a discussion paper, Institutt for Samfunnsøkonomi,
Department Of Economics, April 2014.
4. Starcrest Consulting Group “The Port of Los Angeles 2010 Expanded Greenhouse Gas
Inventory”, Report published December 2011.
5. Lynn A. Corson, and A. Fisher “Manual of Best Management Practices For Port Operations
And Model Environmental Management System”, a report of study by the American Great
Lakes Ports Association and the Purdue University.
6. ICCT December 2012, “Workshop brief: Technologies and operational strategies for best
practices in port clean air programs” A report prepared for the International Workshop on
Reducing Air Emissions from Shipping, Shanghai, China, December, 2012.
7. ICCT June 2012, “Developing Port Clean Air Programs: A 2012 update to the International
Association of Ports and Harbor’s Air Quality Toolbox”, June 2012
8. MEPC 68/INF.16, “Study of emission control and energy efficiency measures for ships in the
port area”, MEPC 68/INF.16, 4 March 2015, report prepared by Starcrest Consulting Group,
LLC CE Delft and Civic Exchange.
9. Olaf Merk “Shipping Emissions in Ports”, Discussion Paper No. 2014-20, International
Transport Forum, December 2014.

2 Ship Time in Port and Just in Time Operation
2.1 Introduction
International shipping is the most energy efficient mode of cargo transport in world trade but
unfortunately is also a major producer of NOx, SOx and CO2 emissions. The level of such emissions
were explained and quantified in Module 1. The IMO regulations on ship energy efficiency were
extensively discussed in Module 2; the existing measures being EEDI (Energy Efficiency Design Index)
for new ships and SEEMP (Ship Energy Efficiency Management Plan) for all ships. With the current
debates on further measures and fuel consumption measurement and reporting, new regulations in
this area are forthcoming.
When it comes to ports, there have been limited studies on port operation / management and its
contribution to ship energy efficiency. The main reason for this may be the lack of IMO’s regulatory
authorities on ports because the IMO’s main focus is on ships and international shipping rather than
ports that are mainly regarded as national entities. Despite this lack of regulatory focus, marine
ports are important for shipping energy efficiency and in particular they play a major role in
delivering an energy efficient ship operation. Thus, their roles and responsibilities and what they
could do need to be understood.
As discussed before, there are few effective ways of reducing a ship’s fuel consumption. Two main
examples are:
 Operating the ship at a reduced speed during passage via Just-in-Time operation (Module 4).
It was shown that speed reduction can bring about significant energy savings.
 Trim optimisation and ballast water management can contribute to significant energy saving
as discussed before in Module 4.
Port operation has impacts on both of the above cases. For example, when it comes to the energy
efficient ship operations, reduced ship speed at sea is closely related to the minimisation of a ship’s
time in port. A ship’s time in port will be referred to here as ship’s “port time”. Reduction in port
time through the high quality port operations allows shipping lines to improve the operational
efficiency via reduced ship speed and thus fuel consumption. This calls for examination of all aspects
of port operation in order to find practical ways to cut down on ship port time.
One possible way is to make a ship to operate Just-in-Time that involves getting rid of the waiting
times in port. This will not only help shipping lines to get the maximum notice of berth availability,
but also facilitate the use of optimum ship speed at sea. Further, reduction of berth time by
improved cargo handling could be another way to reduce ship time in port. Few studies, however,
have been done to identify the relationship between ship time in port and efficient ship operation at
sea.
The main goal of this section is to investigate the operational issues on how time in port affects the
efficient ship operation in terms of operating costs, GHG emissions and other externalities and
methodologies for reducing not only the ship-in-port time but also improve other aspects of ship
handling that could reduce a ship’s fuel consumption.
2.2 Activities in port operations

As shown in Figure 2.1, activities in port operations are largely divided into 2 parts: ship related
activities and cargo related ones. In the case of import cargoes, the latter consists of activities that
are cargo handling in the apron area, transfer to storage, yard storage and gate processing. This

diagram is representative of a container ship terminal; however, similar diagrams could be
constructed for other ship types to define the activities in port operations.
Figure 2.1 - Schematic diagram of a container terminal operations

When a ship arrives at the entrance buoy of a port, the pilot comes aboard the ship to help the
master in maneuvers to the designated place. If no berth is available on arrival, the ship is assigned
an anchorage area. If the berth is available, the ship is berthed with the help of tug(s), depending on
ship size and port’s rules and regulations. At this point, line handling services are provided at the
berth. In particular, the time when a first line is connected to the pier (or dock) is very important
since it is the starting point of the so-called ‘berthing time’. The berthing time stops when the last
line from the ship let’s go of the bollard as it leaves the berth.
When berthed, the Custom, Immigration and Quarantine (CIQ) authorities may board the ship.
Usually cargo handling is not made until the authorities have completed their inspections, with the
exception of the container shipping business.
In dedicated container terminals, container boxes2 are unloaded and loaded usually using a gantry
crane3 at the apron where containers are moved to or from storage by In-terminal Movement
Vehicles (IMV). Once the container cargoes are unloaded, they are transferred to an assigned slot;
this is a space in the yard where storage operations occur. The containers are stored until they are
inspected and claimed by the consignee (importers). The containers, then, are moved from the yard
onto trucks (or railcars) for their final destinations through the gate operation.
Gate processing includes weighing the container, reviewing paperwork, and conducting a security
check. All the above are shown in Figure 2.1.
2.3 Impact of ship’s port time on efficient ship operation
2.3.1 Ship’s (voyage) time: time at sea and time in port

Tough competition in the last couple of decades has caused container shipping, in particular, to be
able to achieve profit only through economies of scale4. This has led to larger ships and ever shorter
2
Container size is measured in terms of 20-foot equivalent unit (TEU). A typical container is one TEU (20 footer) or 1 FEU (40 footer) that is
two TEUs.
3
Some ships, referred to as “geared” vessels, have their own cranes, but these are not as productive as gantry cranes.
4
It is well-known that cost of production depends on the number of products being produced; normally cost per unit produced reducing
with size of production. Thus economies of scale (larger production units) is one effective way to reduce unit cost due to size, output, or
scale of operation, with cost per unit of output generally decreasing with increasing scale as fixed costs are spread out over more units of

cargo handling times and demurrage5. Today, new potential for economization can only be achieved
by reducing operating and fuel costs. Two ways out of this predicament are either to use "slow
steaming", meaning a ship's speed is reduced to save fuel, or to deploy even bigger ships, allowing
the higher fuel costs to be spread over the additional tonnage. However, increasingly strict
environmental requirements in harbors and en-routes limit the engine size and thus the size of the
ships.
When it comes to the operation of container shipping lines, the timetables of the routes are
normally fixed. If the ships are delayed in port at some points, they are forced to make up for the
lost time by increasing their speeds at sea. As illustrated in Figure 2.2, a ship’s (voyage) time is
composed of ‘time at sea’ and ‘time in port’.
Figure 2.2 - Composition of ship's voyage time in container shipping line
2.3.2 Time in port6

Ports are essentially providers of service activities, in particular for vessels, cargo and inland
transport as discussed in Section 1. The degree of satisfaction that is obtained on the basis of pre-set
standards will indicate the level of port performance achieved. It is obvious that port performance
levels will be different depending on the ships, cargoes or inland transport vehicles that are used or
served. Port performance cannot be assessed on the basis of a single value or measure. In fact, a
meaningful evaluation of a port’s performance will require sets of measures; one of which will be
the ships’ time in port.7
output. This principle applies to shipping as well and with larger ships and more ships under management control; the cost of
transportation per unit cargo is reduced. This is one main reason why shipping has moved to larger and larger ships.
5
Demurrage, by definition, refers to 1) the delay of a ship at mooring beyond the time stipulated for unloading or other purposes and 2)
the charge levied for such delays.
6
Otherwise called as ‘port time’ or ‘ship turnaround time (in port)’
7
G. De Monie (1987). Measuring and evaluating port performance and productivity. UNCTAD Monographs on Port Management. A series
of monographs prepared for UNCTAD in collaboration with the International Association of Ports and Harbours (IAPH).

Figure 2.3 shows the times at which each step of ship’s port operation starts and stops as
documented in the port, allowing for the calculation of a variety of parameters (or indicators) that
the shipping industry uses to calculate performance.
Figure 2.3 - Breakdown of ship's time in port

The ship’s time in port of a given vessel on a given call is an important concern in an efficient ship
operation for shipping lines. The shorter it is, the better it is economically8. Port time (or a ship’s
time in port or ship turnaround time) is the time duration between a ship’s arrival at the entrance
buoy and ship’s departure from the same buoy (see Figure 2.3). It can be categorised as the
following times:
 Waiting time: The period the ship waits for berth availability.
 Manoeuvring time: periods of manoeuvring in port either to reach anchorage or to reach
berth or too leave the port.
 Berthing time: Actual time at birth. Berthing time normally consists of two parts: productive
time and idle times (preparation time and arrangement time). The preparation time is the
time before starting cargo handling after the ship is berthed, while the arrangement time is
the time after finishing cargo handling until the ship is un-berthed. To increase the
productivity at the berth9, these non-production times must be minimized. Further, to make
productive time more efficient, there should be no stoppage time that is related to
breakdown, maintenance, etc.
 Productive time: Actual time from start of cargo handling operation to end of cargo handling
operation.
 Idle time: Times in berth where there is no cargo handling operations.
8
From the viewpoint of transport economics, this is true. Whatever the transport mode, e.g. ship, airplane, train, taxi, etc, the vehicle
must move to make operating profits; when standing still no income is generated!
9
Shipping lines calculate the so-called gross berth productivity (GBP) that is “the number of container moves or tons of cargo (for break-
bulk and bulk cargoes) divided by the vessel’s total time at berth measured from first line to last line”.

A reduction of any of “these times” will improve the overall productivity of the ship in port. Among
these times, in particular ‘waiting time’ and ‘berthing time’ must be emphasised since they are
crucial criteria in ports facing latent or acute port congestion.
In a nutshell, measures of the duration of a ‘ship’s stay in port’ are key indicators of the service
quality that is offered by ports to shipping lines.
2.4 Just-in-time arrival/departure and improved cargo handling

The search for efficiency across the entire transport chain takes responsibility beyond what can be
delivered by the owner/operator alone. A list of all the possible stakeholders in the efficiency of a
single voyage is long; obvious parties are designers, shipyards and engine manufacturers for the
characteristics of the ship, and operators, charterers, ports and vessel traffic management services,
etc., for the specific voyage. All the involved parties should consider the inclusion of efficiency
measures in their operations both individually and collectively.
When it comes to efficient port operations that aim to reduce ship’s time in port, as discussed and
shown in Figure 2.3, ‘waiting time’ and ‘berthing time’ are two key components to consider in more
detail.
If the ship involved gets a berth on-arrival, there will be no waiting time. In this regard, just-in-time
arrival and departure is very important for shipping lines to operate their fleet efficiently. According
to “2012 Guidelines for the development of a Ship Energy Efficiency Management Plan (SEEMP)” 10,
good early communication with the next port of call should be an aim in order to give maximum
notice of berth availability and facilitate the use of optimum speed where port operational
procedures support this approach. Optimised port operation could involve a change in procedures
that are engaged in different handling arrangements in ports. Port authorities should be encouraged
to maximise efficiency and minimise delay.
Regarding the just-in-time arrival/departure of ships, from the viewpoint of ship operators, the
reliability of the berthing window is another issue to be looked at. In another words, on-arrival
services for ships have to be guaranteed between port authorities and shipping lines. Otherwise,
even though ships are already in port, they might have to wait until the berths are available. This will
definitely make the time at sea shorter than anticipated, thus increased ship speed in passage will be
used to counter act the lost time. This will be counterproductive in terms of efficiency of total
voyage time or fuel consumption.
In this sense, the relationships between ship operators and ports must be kept close and their
operations harmonised in order to enhance reliability for securing on-arrival services in port. Having
a contract for a dedicated (exclusive) terminal with shipping companies on a long-term basis is an
exemplary case of resolving this kind of reliability issue.
Just-in-time arrival and departure
Figure 3.4 shows that the main activities of the whole container terminal operation can be divided
into three operations:
 Berth operation,
 Yard operation
 Gate operation.
10
IMO MEPC 63/23, ANNEX 9, Resolution MEPC.213(63), Adopted on 2 March 2012.

This diagram lists specific operations/activities that take place in each phase.
Figure 2.4 - Schematic diagram of container terminal operations with activities

The berth operation mainly concerns the schedules of arriving vessels and the allocation of berth
space and quay crane resources to serve the vessels. The key concern of the berthing operation is
the turn-around time of vessels. It also involves the unloading and loading of containers on-board
the vessel that is handled by gantry cranes. To achieve high crane rates (number of containers
moved per hour), the planner has to optimise the crane working sequence (a detailed list of crane
moves).
The yard operation is perhaps the busiest of all the activities in the terminal. The operation involves
the unloading of containers from the ships, the loading of containers onto vessels, the shuffling of
containers that are out of sequence in the yard block, the redistribution of containers to other blocks
(yard shifting) for more efficient loading onto the second vessels and the inter-terminal haulage
where containers are moved to other yards in another terminal.11
The gate operation deals with external freight forwarders. Two activities are involved, namely export
delivery where the freight forwarders bring in export containers to the yard or wharf to be loaded
onto the vessels, and import receiving, where the freight forwarders receive containers from the
yard or wharf to bring into the country.
2.5 Port operation management

Each port (or terminal) has its own port management system for the efficient and effective
operation of port, which will be referred to as Maritime and Port Operation System (MPOS) as an
example to be explained here. This is a customized management tool that focuses and optimizes the
work of “agents”, “entities” and “port services on ships” by coordinating the actions, controlling
them and allowing them to analyze how best to reduce the cost/time.
All the parties concerned, including the ships, must participate in the MPOS from prior to the ship’s
arrival in the port to the ship’s departure from the port. Whenever the ship wishes to enter a port,
11
Iris F.A. Vis and Ren_E De Koster (2003) “Transshipment of Containers at a Container Terminal: An Overview”, European Journal of
Operational Research. 147. 1–16.

‘the Request for Berth’ is made through Communication Services (normally internet) well before
arrival and is confirmed by the MPOS, against the ISPS (International Ship and Port Facility Security)
and Dangerous Goods Codes, before issuing the Preliminary Authorization to Berthing. (See Figure
2.5)
Figure 2.5 - Application of berthing request in a typical port management system

After issuing the Preliminary Berthing Authorization, the MPOS compares it with information from
the anchoring area and with activities of any anchored or berthed ships, nautical activities inside the
harbor, status of maritime signals, maintenance status of berths, and informs the berthing operation
to the ship and to the pilot service. It supervises at all times compliance with the Operating
Procedures.
The MPOS informs and coordinates all Port Services regarding berthing maneuvers, informing also
the other agents. Furthermore, throughout this phase, the MPOS is capable of performing the
control actions and coordination tasks with other agents as shown in Figure 2.6.
Figure 2.6 - MPOS and port services coordination

Generally, the MPOS controls port activities relating to maritime safety and the protection of the
marine environment. Typically, the MPOS is part of the port authority organisation and is
responsible for ensuring the efficient flow of traffic through port and coastal waters (including
allocation of vessels to berths) and—on behalf of the government or port authority—for
coordinating all marine services.
Major port services that are related to MPOS can be as follows:
 Pilotage services: These are services given by maritime pilots that provide an essential and
unique service to the shipping industry.Their principal role is to provide critical independent
local knowledge and navigational information to vessels and to bring the highest level of
ship-handling skills to manoeuvre vessels within their port. The prime obligation of pilots is
to provide a critical public safety service by ensuring the careful management and free flow
of all traffic within their pilotage area, thus protecting the environment.12
 Towage services: These are services provided by a small, strongly built powerful tugboat
that is used to guide large ships into and out of port and to tow barges, dredging and salvage
equipment, and disabled vessels. Tugboat operations are typically carried out by private
firms. If the volume of vessel traffic is not sufficient to support a tugboat service on a
commercial basis, a port authority may be obliged to provide such a service itself.
 Line handling services by line boats: These are the services given by line boats that help the
ship to be berthed. When berthing, once the lines from the ship are given to line boats, they
approach a berth and try to throw a line to someone on land who ties off the lines at the
dock.
 Mooring services: These are the services that secure a ship to the designated place, i.e. a
berth or a dock or a buoy, or anchoring with two anchors. Mooring services in smaller ports
can be provided by the local stevedore. In larger ports, a mooring service is usually
performed by a specialised private firm. Especially in a complicated nautical situation (for
example, single point mooring buoys, specialised piers for chemicals or gases, or ports with
large tidal differences), mooring activities require expert skills and equipment. A port
authority may choose to regulate this activity when only one specialised firm exists.13
 Vessel traffic services (VTS) and aids to navigation: This is a marine traffic monitoring
system established by port authorities. VTS is a service designed to improve vessel traffic
safety and efficiency and to protect the environment; it offers the potential to respond
appropriately to traffic situations emerging in an area. VTS is usually part of a port or a
maritime authority. Such services are provided in port areas and in densely used maritime
straits or along a national coastline. VTS should be regulated by the competent authority.
Responsibility for aids to navigation usually rests with the national maritime authority in port
approaches and in coastal areas, and with the port authority in port areas. Often, provision
and maintenance of buoys and beacons are contracted out. Because aids to navigation are
generally part of an integrated maritime infrastructure, the costs of providing these services
are included in the general port dues.
12
http://www.impahq.org
13
World Bank (2008). Port Reform Tool Kit, 2nd Edition, Washington D.C., United States, p.127.

 The control of dangerous goods: This is usually performed by a specialised branch of the
port authority. The same goes for the handling of dangerous goods in port terminals. The
oversight and regulation of the land transport of dangerous goods is normally the
responsibility of government.14
 Waste management services: These are privatised under the strict control of a port
authority or another competent body. Proper waste management can be expensive for
shipping lines. With high costs, ship masters might be tempted to dump waste into the sea
or into port waters. The control of such dumping practices is extremely difficult, especially
for chemical cargoes. To spread waste management costs, ports can include all or part of the
waste management costs in the general port dues. The transport of waste from the ship to a
reception facility also poses a challenge, especially in larger port areas. Port authorities
should directly provide or organize the provision of transport barges or trucks for this
purpose. The entire waste management system, including personnel and facilities, should be
closely controlled by the competent authority. When private firms are engaged in waste
handling, the authority should employ experts from its organisation to ensure compliance
with all relevant laws, rules, and regulations.15
 Emergency response services: These are carried out by a variety of public organisations such
as the port authority, fire brigade, health services, and police. Some ports have sophisticated
tools available to aid in crisis management, such as prediction models for gas clouds. Such
tools are often integrated in a traffic centre of the local vessel traffic management system
(VTMS). Private firms (for example, tugboat companies) may play a subsidiary role in crisis
management in the event that they are equipped with fire-fighting equipment. Larger ports
use patrol vessels and vehicles for a variety of public control functions. In some ports, such
patrol vessels also have fire-fighting equipment on board. When a port does not have patrol
vessels available, a contract with a tugboat company should be arranged to guarantee the
availability of floating fire-fighting capability.16
 Control of dredging operations: These are normally given by a port authority. Often, the
port authority or the competent maritime administration does not have enough expertise to
exercise sufficient control over both maintenance and capital dredging. Port authorities with
large water areas under their control should employ sufficient competent personnel to
prepare dredging contracts and oversee dredging operations. Sounding is an activity that
should preferably be carried out (or contracted out) by the port authority itself. Dredging is
usually carried out by private firms. It might be cost effective for some ports to use their
own dredgers, especially when continuous and important maintenance dredging is
required17.
As the above list of services, ships may need to use the above services in addition to cargo handling
service. This then may have impacts on port time of the ships.
14
15
16
17

2.6 Measures for avoiding ship’s waiting time in port
2.6.1 Virtual Arrival

Virtual Arrival is a concept for a ship’s just in time operation. The main focus is to avoid early arrival
and resultant waiting. This topic has been fully covered in Module 3.
2.6.2 Improved cargo handling

Cargo handling is, in most cases, under the control of the port and the optimum solutions matched
to the ship and port requirements should be explored. Whatever solutions that might be thought of,
they should contribute to increasing the gross berth productivity, meaning faster cargo handling that
can lead to reduce the berthing time.
When it comes to container terminal optimization, for example, the integrated planning and
scheduling of all the activities of a terminal could be suggested to increase moves per hour and
reduce costs18. To improve cargo handling, the following planning needs to be improved:
 Berth planning
 Quay crane scheduling
 Prime mover scheduling
 RTG (Robber Tyre Gantry) /RMG (Rail Mounted Gantry) cranes scheduling
 Operational planning, typically day(s) ahead
These activities are closely connected to cargo handling in port where efficient operations can bring
about the reduction of ship’s time in port as well as giving environmental benefits.
Efficient cargo handling in port can definitely be helpful for the environment19. A well-planned cargo
operation, both in port and on board can reduce the level of emissions from the ship’s machinery
that leads to reduced energy consumption per transported unit. Ways to improve cargo handling
resulting in environmental benefits include:
 The use of an internal movement vehicle that has less fuel consumption per cargo unit
 The introduction of high capacity loading and unloading operations with lower emissions to
reduce the ship’s time in port
 Safer and easier cargo operations and monitoring
 The application of new technology with advanced software tools
 The use of eco-friendly and user-friendly cargo handling products
 Well trained shore-staff and ship- staff who are keen on safety and environment matters
Quick ship turnaround time in port will ensure slow steaming at sea and this will again contribute to
reduce emissions.
18
QUINTIQ (2012) “Advanced Planning, Scheduling and Supply Chain Optimisation Solutions for the Container Shipping Industry”.
19
http://www.marineinsight.com/marine/environment/how-efficient-cargo-handling-can-be-helpful-for-the-marine-environment/

2.7 Implication of just in time
It is not difficult to make an economic analysis of just in time in relation to various ship costs
including fuel costs as well as ship air emissions during passage and in port. Numerous analyses
including the one carried out by INTERTANKO and OCIMF on virtual arrival shows the benefits. Based
on this study [INTERTANKO and OCIMF (2010)] for a typical ship, Virtual Arrival gives a 43%
reduction in the ship’s voyage fuel consumption. Off course this number will depend on ship type,
size, voyage characteristics and current port times. Nevertheless all indications are that if just in time
is realized, the saving levels will be in double digit numbers.
Firstly, the fuel consumption and the amount of CO2 emissions are sensitive to the changes of port
time. As port time decreases, the fuel consumption and the amount of CO2 emissions are sharply
reduced (assuming total voyage time is fixed). This result means that port time has a big impact on
efficient ship operations. The reduction of port time, or minimization of waiting time through just-in-
time arrival and departure, improvement of berth productivity and simplification of the
administration process, lead not only to the reduction of the operating cost but also to the
improvement of the environmental performance of the shipping industry. In particular, this result
tells us why port selection (or choice) is important to shipping lines. In other words, when a shipping
line establishes and/or improves their service loop based on the calling ports that have high
productivity and efficiency, they can improve their ship operational efficiency by minimizing their
operating cost and the amount of CO2 emissions.
Secondly, as vessel size increases, the impacts of the changes of port time on the operating cost and
the amount of CO2 emissions also increase. This result implies why port time is more important to a
shipping line that operates larger vessels. Moreover, this result tells us why shipping lines have been
focusing on the development of their own container terminals on the major routes. Namely, the
larger vessel is more sensitive to unstable port operations and non-production times in port, and this
leads to an increase in operating costs and acceleration in the amount of CO2 emissions.
In summary, terminal operators have to improve their operational efficiency. This is because the
improvement of operational efficiency leads not only to strengthen their own competitiveness but
also to contribute to the reduction of costs and the amount of CO2 emissions in the liner shipping
industry. A simple exercise is provided in the next section to demonstrate the benefits of port
operation improvements.
A simple estimated level of fuel saving and CO2 reductions
Figure 2.7 show the actual operation times for a specific ship, denoting that 23.3% of her time is
spent in ports (combined berth and anchorage).

Vessel's duty cycle
Port
Manoeuvring
23.3%
1.5%
Passage
75.2%
Figure 2.7 - Ship’s times in passage, port and manoeuvring

The same ship was analysed for number of port calls and just-in-time operations and the required
time for just in time operation was estimated. If operated according to port just-in-time, the ship
time in port will reduce from 23.3% to 16% (a reduction of about 30% of port time). For calculation
purposes, it is assume that the ship would in practice get partial just-in-time operations and thus
port time could be reduced from 23.3% to 20.3% in a real feasible scenario.
It is further assumed that the extra time gained from better port operation will be used in passage,
thus increasing the in-passage periods from 75.2% to 78.2%. This extra time will then be used to
proportionally reduce the in-passage ship speed, assuming that the total annual number of port calls
will remain the same. The reduced ship speed is then converted to fuel consumption reduction using
the well-known cubic relationship between ship speed and required propulsion power. CO2
Emissions reduction is estimated using fuel consumption reduction and relevant emissions factors.
Table 2.1 shows the result of this simple calculation in terms of ship fuel consumption reduction;
denoting a reduction of more than 1,000 tonnes of fuel consumption per year. This exercise shows
how effective the port times could be on overall energy efficiency of a ship and how large gains
could be achieved via better port related operations.
Passage operation time in passage, current 75.2% of annual
Passage operation time with less port time (see above) 78.2% of annual
Fuel consumption reduction for same distance (estimated) 7.5%
Fuel consumption and emissions reduction
Main engine fuel consumption reduction 1,065 MT/year
Boilers and auxiliary engines fuel consumption reduction Assumed negligible
Net fuel consumption reduction 1,065 MT/year
Net CO2 reduction 3,400 MT/year
Table 2.1 – Estimated ship fuel consumption and emissions reductions


2. De Monie, G. (1987). Measuring and evaluating port performance and productivity. UNCTAD
Monographs on Port Management. A series of monographs prepared for UNCTAD in
collaboration with the International Association of Ports and Harbours (IAPH).
3. INTERTANKO and OCIMF (2010). Virtual Arrival: Optimising Voyage Management and
Reducing Vessel Emissions – an Emissions Management Framework. Oil Companies
International Marine Forum, Bermuda.
4. IMO (2012). 2012 Guidelines for the development of a ship energy efficiency management
plan (SEEMP), Resolution MEPC.213(63), Adopted on 2 March 2012.
5. IMO (2009). Guidelines for voluntary use of the ship energy efficiency operational indicator
(EEOI), MEPC.1/Circ.684, 17 August 2009.
6. IMO (2011). Amendments to the annex of the protocol of 1997 to amend the international
convention for the prevention of pollution from ships, 1973, as modified by the protocol of
1978 relating thereto (Inclusion of regulations on energy efficiency for ships in MARPOL
Annex VI), RESOLUTION MEPC.203(62), Adopted on 15 July 2011.
7. Imakita, J. (1979). A Techno-Economic Analysis of the Port Transport System. Saxon House.
8. QUINTIQ (2012). Advanced Planning, Scheduling and Supply Chain Optimization Solutions for
the Container Shipping Industry. Solution paper.
9. Samsung Heavy Industry. (2011). The comparison of the operating costs at different types
of container vessel. Sam-Sung Heavy Industry (internal data).
10. The World Bank (2007). Port Reform Toolkit. Second Edition.
11. Vis, Iris F.A. and Koster, Ren_E De (2003). Invited Review. Trans-shipment of Containers at a
Container Terminal: An Overview. European Journal of Operational Research. 147. 1–16.
12. Dan Johnson, “Alternative RMG applications in container ports”, Port Technology
International, http://www.porttechnology.org/images/uploads/technical_papers/PT35-
17.pdf, cited August 2015

3 Technologies for Port Air Quality and GHG Emissions Reduction
3.1 Introduction
Port operations involves not only ship operation but a lot of other activities such as cargo loading
and unloading, ground-level port related transportations and activities of harbour crafts for
provision of various services to ports or ships (e.g. dredging, tugs, bunkering, etc.). The main prime
mover for most of these vessels, vehicles, cargo handling equipment are diesel engines although
move to electrification and use of other technologies are underway. In this section, technological
solutions for port area emissions reduction and GHG emissions reductions are discussed. A number
of studies has been carried out in the past, the most prominent ones are those by ICCT20 and the
IMO. These studies are used as the basis of material in this section and the main outcomes of these
studies are highlighted.
3.2 ICCT study on port air quality

Most of the studies performed on port related emissions concentrate on port air quality and not
energy efficiency. One of these is reported by ICCT in December 2012. In this report, the ICCT
highlights the technologies that could be used in diesel engines as the prime mover for ships and
port-side trucks. The main focus is on pollutants including PM (Particulate Matters), carbon
monoxide, SOx, NOx and VOC. The types of technologies identified for reduction of emissions are21:
 Diesel oxidation catalysts: This is a device installed at the back of the engine on the exhaust
gases path to oxidize such pollutants as CO, PM and HC.
 Diesel particulate filter: This is the devise used at the back of diesel engines on the exhaust
gases path to trap the particulates and prevent them from leaving the engines.
 SCR (Selective Catalytic Reduction): This is a very well know technology for significant
reduction of NOx emissions. As the name implies, it work via use of agents at the presence
of a catalyst to covert NOx beck to N2 and O2.
 Exhaust Gas Scrubbers: Again this is a very well-known technology for the back of engines on
the exhaust gases path to capture the SOx and prevent them from leaving the engine
exhaust.
 Exhaust Gas Recirculation (EGR): This is a well-known technology that aims to reduce the
engine’s combustion temperature and thus reduce NOx via circulating part of the exhaust
gas back into cylinder.
 Shore power: This refers to ship connection to port electricity so that the ship-board engines
could be completely switched off. Full description in given in Section 5.
 Clean fuels: These include a variety of options such as ultra-low sulphur fuel, LNG, CNG,
water-emulsified fuels, biofuels and so on. Most of these options not only reduce SOx but
also NOx as well.
Figure 3.1 summarizes various options, itemises potential applications for use at ports, provides
estimates for the reduction potential for various pollutants and provides basic cost estimations of
20
International Council for Clean Transportation
21
Description of these technologies is beyond the scope of this training course. The reader could refer to the internet for general
information for each of these technologies.

each option. This shows a significant potential for alleviating air quality issues from ports but they
mostly are considered as options for CO2 reduction directly. In fact, most of these options may lead
to a small increase in overall fuel consumption as for example NOx control methods most of the time
makes engines less efficient. The description of these technologies is beyond the scope of this course
but general information on each can easily be found on the internet.
Figure 3.1 – Port air emissions reduction measures according to ICCT December 2012 report
3.3 IMO ship-port interface study

The MEPC 68/INF.16 document presents the results of an IMO commissioned study that deals with a
broad range of topics on ship-port interface including a large number of existing and future
innovative technologies that ship owners and operators, ports, and other stakeholders can consider

and evaluate for reducing emissions in the port area. A number of technology classification has been
done in this study including for example “existing technologies” that are considered to be readily
implement-able to reduce emissions from various operational modes of ships associated with the
port area. This IMO commissioned study’s focus is ship-port interface thus is not dealing with port-
side measures.
3.3.1 Measures categories

Existing measures22 are grouped into three major categories:
 Equipment measures
 Energy measures
 Operational measures
Equipment measures: Equipment measures consist of the following groups that are applicable
mainly to diesel engines and boilers:
 Engine technologies
 Boiler technologies
 After-treatment technologies
Energy measures: The “energy” measures relate to energy sources used by a ship, whether they are
physically located on board or on land (e.g., shore power). Energy measures include the following
groups:
 Alternative fuels
 Alternative power supply
Operational measures: The operational measures refer to those that primarily affect and focus on
the operation of the ship, terminal, or port and can be implemented for reduction of emissions of
ships in the port area. This can take the form of operational efficiency improvement on board, at the
terminal, and/or at the port. Operational measures include the following groups:
 Ship operational efficiencies
 Port/terminal operational efficiencies
 VOC working losses
3.3.2 Symbols used

The IMO commissioned report then provides a brief description of each measure including summary
information about the measure, followed by discussion on how these considerations relate directly
to the port area. The report then, in systematic way, summaries the findings using the following
symbols as shown in brackets below:
 Applicable emission sources – describes which emission sources can be affected by the
“measure” and include:
o Propulsion engines (P)
o Auxiliary engines (A)
o Auxiliary boilers (B)
o Applicable to propulsion engines, auxiliary engines, and auxiliary boilers (all)
22
In the original report, the term ECEEM (Emission Control and Energy Efficiency Measures) is used. In this course notes, the term
“measure” has mostly replaces the ECEEM to simplify the text.

o Working VOC cargo tanks (Tank).
 Retrofit-able: This provides information if the measure can be retrofitted on existing ships
with three options; (Yes – Y) or limited to only new builds (No – N), and not applicable (na).
 Terminal/vessel: The port/terminal operational efficiencies measures are sub-categorised as

below:
o Terminal (T)
o Vessel (V)
 Applicable operational modes: This specifies the ship operational mode category in which
the measure is effective. This operational modes are sub-categorised as:
o Open water or sea conditions (S)
o Transition (T)
o Manoeuvring (M)
o At-berth (B)
o At-anchorage (A)
o All modes (all)
 Emissions and energy efficiency: This lists the pollutant specific emission changes anticipated
by the measure and provides a relative potential reduction. The IMO commissioned report
highlights that emission reduction impacts are based on public data and published values,
which do not necessarily represent verification by appropriate authority. For case where
information have been available, the following symbols on impact of measure on emissions
are used:
o ↑ for increases in emissions
o ↓ for decreases in emissions
o ↕ for either increase or decrease depending on various factors
If a percentage value is provided it represents the potential maximum value. If published levels or
limited data are such that the reductions cannot be quantified at this time, then the symbol“to be
determined” (tbd) denotes this case.
It should be noted that emission reduction levels are dependent on applicable modes, engine loads,
ship power configuration, fuels, operational parameters, equipment parameters, and other factors.
Typically, each application of a measure needs to be evaluated on a case-by-case (cbc) basis such
that specific parameters and conditions are considered to determine the most appropriate reduction
level. Energy consumption is included as an indicator for energy efficiency.
3.3.3 Study outcomes on existing technology measures

For each category, the IMO commissioned study presents a summary table within which the list of
measures (first column) is given together with the applicability, retrofit-ability, applicable modes,
and emission reduction potential for NOx, PM, SOx and HC and last but not least the “energy
consumption” that denotes energy efficiency of some form. IN the following, a brief description of
findings on various categories and measures are given.
Engine technologies
Figure 3.2 shows the engine related technologies that are to a large extent comparable to items
covered under ICCT report (Section Figure 3.1).

Figure 3.2 – Summary of engine technologies [MEPC 68 INF.16]
As can be seen, many technologies are judged to be retrofit-able, they apply mostly to both
propulsion and auxiliary engines, and their impacts on energy consumption and GHG emissions
could not be quantified. Some of the measures could have negative impacts on energy efficiency.
After-treatment technologies
Figure 3.3 shows the after-treatment technologies that are mainly related to diesel engines exhaust
gas after treatment systems. These technologies include scrubbers, SRC, etc. and the main aim for
their use is to reduce exhaust pollutants rather than CO2 emissions.

Figure 3.3 – Summary of engine exhaust gas scrubbing systems [MEPC 68 INF.16]
As can be seen, many technologies are judged to be retrofit-able and they could significantly reduce
ship exhaust pollutants. Unfortunately, these technologies will generally increase the ship’s energy
consumption, thus the level of GHG emissions. The level of increase of energy consumption could
not be quantified and will also depend on case by case.
Alternative fuels options
Figure 3.4 shows the alternative fuels that includes a large list of options such as natural gas, low
sulphur fuel, bio fuels, methanol and so on.
Figure 3.4 – Summary of alternative fuel options [MEPC 68 INF.16]

As can be seen, many of alternative fuels are judged to be useable with current technologies
(retrofit-able). Some demonstrates significantly reduction potential for exhaust gas pollutants. They
may lead to reduced energy use or GHG emissions depending on a case by case analysis. The case for
alternative fuel is well known to industry, regulations on ECA (Emissions Control Area) forces
industry to use low sulphur fuel or other relevant alternatives in designated areas and the move to
natural gas in the form of LNG is underway in some parts of the world.
Alternative power system technologies

Figure 3.5 shows the alternative power technology options where on-shore power, barge power
supply and solar power systems are highlighted.
Figure 3.5 – Summary of alternative power systems [MEPC 68 INF.16]

As can be seen, the on-shore power system is the most effective system for reducing ship air
pollutants. On other technologies, the level of reductions is not clear and will be case by case
dependent. Also, on energy consumption and GHG emissions, the impact is not clear cut and the
number for on-shore power only refers to ship-board fuel consumption reduction since same
amount of energy will be used but this time in the form of electricity from onshore.
3.3.4 Future innovative technologies, fuels and operation processes

The measures included are those innovative technologies, fuels and operation methods that:
 Possess a clear theoretical potential for emission reductions or efficiency improvements that
is either not yet tested in real-world application or exists primarily in a prototype phase of
development.
 Are available and ready to deployed and is in limited or niche use, but with a substantial
potential for expansion if certain key barriers like cost can be overcome.
 Are being used at land-side facilities or in other applications from which it can be adapted
and re-engineered for application in the maritime sector.
Figure 3.6 shows a large number of alternatives in this area, some relating to existing technologies
but some are purely new measures.

Figure 3.6 – Summary of innovative and emerging technologies [MEPC 68 INF.16]
As can be seen, many of these measures are judged to reduce not only air pollutants (NOx and PM)
but also improve (increase) the energy efficiency of the ship and reduce costs.
3.3.5 Study key findings

From the above technical and operational measures identified and studies, the following key
findings relevant to this section are reported by the MEPC 68/INF16 report:
 Numerous technical measures are available to effectively reduce emissions and increase
energy efficiency, and experience with some of the measures implemented in the port area
goes back over ten years and is growing. The range of available technical measures is quite

extensive including engine and boiler technologies, after treatment technologies, fuel
options, alternative power systems, operational efficiencies, and cargo vapour recovery.
 There are no “one size fit all” technical measure solution for ships and ports. Due to
numerous variables such as pollutant(s) targeted, port configuration, cargos handled,
drivers, barriers, vessels servicing the port area, vessel configurations, operational
conditions and the nature of technical measures, each measure needs to be analysed on a
case-by-case basis in advance of implementation.
 Several emerging and innovative technologies and measures potentially could provide
additional options to reduce emissions from ships in the port area. There are initiatives
underway from various stakeholders that are focused on the demonstration of emerging
technologies and measures, with the ultimate goal of bringing them to the market in an
expedited fashion.


4 Ship in-port operational energy efficiency measures
4.1 Introduction
When the ship arrives at a port, there are some limited scope for the ship to reduce its fuel
consumption while at anchor or at berth. Despite the fact that such reduction in fuel consumption
may not have significant impact on a ship’s overall annual fuel consumption; the impact on port air
quality could be significant. Therefore the question “if ship-board staff could do anything to support
a more efficient ship-in-port operation” is main topic of this section.
A number of measures could be identified that if implemented would reduce fuel consumption for
the benefit of ship’s energy efficiency and port air quality. These measures are analysed by assuming
that ship will not be connected to shore power or a major switch in terms of fuel type will not take
place as these changes may make some of the arguments put forward herein redundant.
The aspects covered in this section are simple day to day ship-board operational measures that can
be undertaken by all ships. In fact, some of them could be implemented also by harbour and port
support vessels.
The main ship-board systems working when ship is at anchor or at berth include:
 Auxiliary machinery and equipment
 Diesel generators,
 Boilers
Additionally and on some ships, cargo handling equipment may be in operation that would provide
extra opportunities and further measures for energy saving. However, in this section, the above
three items are only investigated.
4.2 Operation of auxiliary machinery

The ship’s diesel generators operate in port in order to produce electricity for operation of a large
number of machinery and systems in engine room, deck and accommodation areas. Amongst them
are the engine room auxiliary machinery like fans, pumps and other devices. On the accommodation
side, the need for lighting, HVAC and galleys exists in port. In order to save energy and reduce
emissions, auxiliary machinery utilisation in port should be minimised with consideration for safety.
There are practical evidences showing that such machinery are normally over-utilised in ports. Ship
staff may follow the same processes as sea-going condition and keep the machinery running in the
same way as during sea going conditions. This could also be considered as a way of avoiding
additional processes, remain ready to leave the port without the need to re-start some of the
machinery and for simple reasons that the company may not have plans and procedures on how the
port operations with regard to machinery utilisation need to be handled.
This should not be the case and it can be changed via specific planning for the engine room
machinery operations for at-berth/at-anchor operation to ensure energy efficiency while safety is
taken into account. The main aim of the plan will be to save energy via switching off the unnecessary
machinery. As examples, the following may be undertaken:
• Minimising the number of running auxiliary machinery based on port operation
requirements. There are a large number of pumps on board such as sea water cooling
pumps, steering pumps, engine water circulating pumps, engine lubricating oil pumps, etc.
All these need to be investigated and a plan for their port-operation should be devised
based on port requirements.

• Minimising the number of A/C units operated or switch them off when conditions permit.
• The number of engine ventilation fans should be reduced in port or brought to slower speed.
Since main engine(s) is not working in ports, there is no need to run all the engine room
ventilation fans.
• The fuel treatment machinery need to be reviewed if they all needed to run in the same way
as sea-going condition in view of the significant reduction of ship fuel consumption because
of main engine being switched off.
• Minimisation of use of compressed air and its use where required. Compressed air is an
expensive commodity and for example should not be used for ventilation purposes.
As indicated, these measures will provide less demand for electric generation and thus will lead to
reduced fuel consumption. Additionally, the machinery run hours will reduce and this will be
beneficial from maintenance point of view.
There are opportunities for reduction of energy needed in the accommodation area when in port.
Although these measures are applicable to sea going conditions as well, it will be more effective
under port condition. Some aspects include:
 Lighting system: The lights in spaces when not in use can be switched off and deck lighting
during day hours can be avoided.
 Galleys: The galley area also provides some opportunities. For example lighting and electric
equipment can be switched off after use.
 Deck lighting: No need for lighting during day time.
These measures also help to reduce demand for electric power.
4.3 Use of auxiliary engines

In ports, many ship staff run two auxiliary engines (diesel generators) in parallel to safeguard
security of electric power supply. This is not needed for most of normal berth activities or when at
anchor. When two engines operate in parallel, each run at very low loads thus give higher pollutant
levels, consume more energy (they operate less efficiently) and the operation mode not good for
engine components and maintenance.
Therefore, it is best practice if unnecessary cases of operation of two diesel generators can be
minimised. In Module 4, this topic was covered in detail with an example showing how reducing this
aspect could lead to energy saving. This would equally reduce air pollutants to port as well.
To do this safely, the communication between deck department and engine department is crucial. If
such communications are effective, then the engine room control engineers could pre-plan diesel
generator operations in ports.
4.4 Operation of boilers in port

Boilers form a major part of ship-board energy consumption in ports in particular for certain types of
ships such as oil tankers. Although boilers emit less harmful emissions than diesel engines (e.g. less
NOx), nevertheless the control of their energy use will be beneficial for the port area emissions. This
is the case as the ship auxiliary boilers mostly operate at low loads while in port. At low loads, the
energy efficiency reduces and emissions factors increase that is not helpful.
The following ship board measures could potentially reduce the usage of boilers in ports:

 Use of parallel operation of two boilers should be avoided. This not only improves the
efficiency of the working boiler but also gets rid of electrical requirements for the second
auxiliary boiler.
 Planning and optimisation of cargo discharge operation is another area if it relies on steam
driven cargo pumps (e.g. larger oil tankers). In some of the ships, there may be provisions for
a mix of electric and steam driven pumps. Proper planning could be done to avoid excessive
use of boilers.
 Plan and optimise ballast operation if it relies on steam driven ballast pumps. In many ships,
the ballast pumps are now electric driven or a mix of steam and electric drives are used for
this purpose.
 All aspects covered in relation to steam system maintenance in Module 4 on reducing the
ship-board steam demand will also help the port operation. In other words, steam users
need to be investigated and their operations decided based on port requirements.
In some ships such as oil tankers, auxiliary boilers may be used for inert gas generation (IGG). The
whole process of generating inert gas and its use can be part of optimisation; as for inner gas
generation, the boiler would normally run at very low load (normally a dedicated IGG system is used
to avoid use of large boilers).
4.5 Ship operational efficiency measures

The IMO commissioned study on ship-port interface [MEPC 68/INF.16] was discussed in detail in
Section 3 of this module, also provide a list of operational measures as shown in Figure 4.1.
Figure 4.1 – Summary of ship operational measures [MEPC 68/INF.16]

Of the measures listed above, the optimisation of ship reefer system and other cargo conditioning
systems need to be also considered as a case by case basis.



5 Onshore Power Supply (OPS)
5.1 Introduction
During the ship’s port operations and at berth, auxiliary engines are run in order to generate
electricity for supply to ship-board systems as well as to the cargo loading or loading/unloading
machinery, where applicable. Today, this power is generally provided by auxiliary engines that emit
carbon dioxide (CO2) and air pollutants, affecting local air quality and ultimately the health of both
port workers and nearby residents.
As an alternative to on-board power generation, vessels can be hooked up to an onshore power
supply, i.e. connected to the local electricity grid. In this way ships’ operations can proceed
uninterrupted, while eliminating negative side-effects. The amount of power generated and fuel
consumed is dependent on type of ships and could be anything from a few hundred kW to several
MW of electric power. The operation of auxiliary engines is a major source of SOx, NOx and
Particulate Matters (PM) emissions to ports. The amount of emissions is generally proportional to
the amount of fuel used. The longer the ship stays at berth or at anchor, the higher the ship fuel
consumption will be and thereby the more the exhaust pollutants emitted to the port.
Concern over air quality in ports has led to growing pressure on port operators to reduce exhaust
emissions; in particular pollutants of SOx, NOx and PM. The supply of power from onshore (port) to
ship is one system that has been advocated for this purpose. Use of this system allows ships to turn
off their auxiliary engines when in port and plug into a shore-side electricity supply. As a result, not
only air emissions to port are reduced but also it helps positively with other aspects of the ship and
port operations. It is claimed that this system, in addition to the environmental and social benefits,
could provide economical savings to all stakeholders. However, this last point has yet to be validated.
Onshore Power Supply (OPS), as defined above, has been known for a long time in particular for
naval ships, where the ship normally stays at berth for a long period of time. Under such conditions,
it is cost effective to run the vessel via a supply of electricity from shore. This was used by the US
Navy originally and the term “cold ironing” originates from this naval application. Over the years,
other terms have also been used for OPS; some of which are listed below:
 Alternative Maritime Power (AMP)
 Shore side electricity
 Shore power
In this section, the term Onshore Power Supply (OPS) will be used throughout. Figure 5.1 shows a
typical OPS system.

Figure 5.1 – Typical OPS arrangement [Wikipedia]
5.2 The case for OPS

Ships normally use some base-load electricity levels for essential services all the time, including
while at berth. For a case of a typical mid-size tanker, this could be about 400 kW (excluding the
electricity needed for cargo operations and ballast operations). For such a tanker staying at port for
30 hours, it would require 12 MWh of electricity; the longer the vessel stays at berth, the larger this
figure will be. For an average cruise ship, the electrical requirement could be about 8 MW. For such
a cruise vessel, staying at berth for 12 hours will require 96 MWh of electric power. Generating this
power on-board generates NOx, SOx, PM and CO2 emissions that could be significant if the number
of ships at berth, and/or their duration of stay, or number of calls increase.
The environmental profile of electricity generated by power plants on land versus ships’ diesel
electric generators running on bunker fuels, is one of the main advantages of OPS technology. In
land-based power plants, electricity can be generated at high energy efficiency in large efficient
power plants with the use of either clean fuel or exhaust gas cleaning systems. Also, electricity is
generally generated in remote areas beyond population centres with minimal air quality impact on
population centres. On the contrary, ship-board generation is not as energy efficient as land-based
plants and also any exhaust emissions from engines directly pollutes the port and surrounding areas.
The reason that ship board generation is less efficient is due to smaller engines23 used (with an MCR
of up to 2,000 kW) as well as part-load operation (engine load factors24 at berth barely go beyond
50% for most of the time).
OPS will substantially but not completely reduce SOX emissions as the steam generated by the on-
board boiler is still needed for some ship’s operation at berth. Nevertheless, OPS have been widely
used as a viable way to reduce ship-based local polluting emissions. The California Air Resource
Board, for example, requires a fleet operator to reduce at-berth emissions from its vessels’ auxiliary
engines at each California port by approximately 80 percent by 2020 either through connecting the
vessel to shore power or through alternative control technique(s) that achieve equivalent emission
reductions. Major ports in Europe, such as Antwerp and Gothenburg, are also engaged in provision
23
As a general rule, the smaller the engine, the lower its energy efficiency is. Thus larger power plants and engines are generally more
energy efficient.
24
Engine load factor is the ratio of actual load to MCR in percentage.

of shore power to ships. Shore power is also being developed in some ports in China, such as
Shanghai and Lianyungang. It is expected that lowered cost resulting from the economy of scale and
standardization will make the OPS more attractive in the future [ICCT December 2012].
The use of OPS thus could be seen primarily as a green port initiative in order to improve the port air
quality. For ports, the ability to supply power to ships at berth enables them to establish a more
efficient overall electrical supply and also act as a utility; i.e. as an organisation that sells electricity
to ships. For the port and ship staff closely linked to ships while at berth, there is an additional
benefit of reduced noise and vibration in harbour areas. For ship staff, when the system is fully
operational, more time will be available to deal with maintenance and other aspects of port-related
activities.
OPS are best for ships that make multiple calls at a particular terminal for multiple years. The best
candidates for OPS are container ships, reefer ships, and cruise ships because they tend to operate
in these types of regular services and require substantial electricity while at berth.
5.3 Infrastructure requirements

Installing new shore power systems requires shore-side infrastructure and can be expensive, but can
also result in major reductions in port emissions. The infrastructure is typically constituted of power
connection to utility, power transformation, conditioning and switching equipment, and land for
these facilities, cabling, synchronization equipment, and berth side infrastructure. Shipside
infrastructure is also expensive, but the cost has been declining with more streamlined and
standardized designs. The cost difference between the grid power, especially the high demand
charges, and price of bunker are key factors in business case for OPS. Low price differential of
electricity over HFO can provide a strong incentive to the use of the shore power.
To use OPS, there will be a need for extra investment both at shore-side (port) and ship side. As the
responsibility for supply of electricity to ship is with port, the capital investment of ports will be
more significant. Additional investments stem from construction and installation of electricity supply
conditioning/safety systems at the quay and potential needs related to strengthening the port’s
electricity grid.
5.3.1 Shore-side requirements

Power supply in ports is typically equivalent to that of a small size factory, with electricity needed for
shore-side loading and unloading infrastructure such as cranes, belts and gantries, cooling, heating,
buildings as well as incidentals. Most ports have access to enough power to run these consumers.
Given that a vessel’s at-berth power needs may be as much as 10 MW, depending on the type of
vessel, (this high value is for cruise ships; for cargo ships it will be up to a maximum of 3 MW), the
electrical infrastructure at many ports will be insufficient to handle significant shore-to-ship power
connections without a major improvement to their grid. This may involve investing in a new
substation or installing new incoming power lines with the associated costs for the port and power
supplier.
Within ports, OPS solutions often comprise the entire chain from the incoming substation and
include transformers and frequency converters to match the grid voltage and frequency to the ship’s
required voltage and frequency. A typical port-based system is shown in Figure 5.2:

Figure 5.2 – Typical shore-side requirements
Accordingly, the shore side system requires the following:
Transformer for voltage reduction: The transformer steps down the power supply from a voltage
level optimized for distribution (eg, 20 kV) to one of the two voltage levels standardized for shore-
ship power connections (e.g. 11 or 6.6 kV) as required by the ship.
Switchgear for electrical safety: Each shore-based power connection point requires some sort of
medium-voltage switchgear with an automated earthing switch. In essence, the switchgear
interrupts the power supply and ensures that there is absolutely no power in the cables between the
ship and shore while they are being handled and connected.
Frequency converter: The majority of ships operate with a 60 Hz supply, whereas local power grids
in many parts of the world use 50 Hz. As a result, most shore-based power connections will require a
frequency conversion. Static frequency converters provide an economical solution to connect any
ship to any grid independent of the required frequency.
Automation system: The shore side infrastructure for a shore-to-ship power connection must
include an automation and communications system that allows personnel to coordinate the
connection of cables and synchronize the ship’s electrical load to the shore side supply.
5.3.2 Ship-side requirements

To use power from the shore-side electricity grid, ships must be either built or retrofitted with
equipment that enables the connection to shore to synchronise the power change-over from shore
to ship and connects the incoming power supply to the ship’s auxiliary power system.
Ships can be safely retrofitted with such devices in a relatively short time while in operation or
during dry docking, without major interruption to normal operations. Currently, the majority of ships
equipped with the equipment to receive shore-side power are container vessels and to some extent
cruise ships that are mainly the retrofitted equipment.
5.4 Standardization
In order for OPS to become widespread among various ports and ship-owners, the nature and
arrangement of power connections must be standardized. Neither a port owner nor a ship-owner

can justify investment in expensive equipment to enable a shore connection system without
assurance that such a system will be functional across many countries with alternative electrical
characteristics in terms of voltage, frequency and other aspects.
Work on a common standard for OPS for ships at berth began early in 2005. Major players in this
effort have included technology suppliers, governments, port authorities, ship-owners (particularly
cruise line, tanker and container ship companies), classification societies and others. The IEC, ISO
and IEEE have joined forces and developed the international standard " ISO/IEC/IEEE 80005-1:2012
ISO/IEC/IEEE 80005-1 Utility Connections in Ports - Part 1: High Voltage Shore Connection (HVSC)
Systems -- General requirements". This standard revised the "IEC/PAS 60092-510:2009 Electrical
installations in ships -- Special features – High Voltage Shore Connection Systems (HVSC-Systems)"
and addresses the connection between ship and shore and the procedures for safe operation.
The full content list of the ISO/IEC/IEEE 80005:2012 can be seen here25.
5.5 Port related initiatives

The International Association of Ports and Harbours has provided information to IMO on the World
Ports Climate Initiative and also established a website26 to provide practical information about OPS
for seagoing vessels and shore installations. The website provides information on numerous issues
connected with OPS such as power generation, voltage and frequency, safety and health, costs,
implementation, ports utilizing OPS, etc.
The latest list of ports with some degree of OPS capability is given in Table 5.1.
25
https://www.iso.org/obp/ui/#iso:std:iso-iec-ieee:80005:-1:ed-1:v1:en
26
http://wpci.iaphworldports.org/onshore-power-supply/environment-and-health/climate.html

Table 5.1 – Ports with OPS at 9 October 2012 [IMO MEPC.1/Circ.794]
5.6 IMO regulations

Currently and at the time of writing this document, there is no IMO regulation on OPS. In fact, IMO
has developed minimal regulations on ports development/operation other than those that may
directly be required for ship operation (such as reception facilities). Thus, there have been proposals
to add some new regulations to MARPOL Annex VI on introducing some ships’ requirements for the
future wider use of OPS. For example, it is proposed that ships should undertake an assessment of
the environmental benefits as well as cost-benefit of addressing emissions from ships at berth. As
part of this, it should be taken into account how the supplied electrical power is generated, and if
similar environmental benefits could be achieved by other more cost-effective means.

As part of the proposed darft regulation27, submitted by Seden to MEPC 55 in 2006, it is suggested:
 Ships that can document that their on-board power production has lower total emissions
than the supplied shore side electricity should, if no other local circumstances dictate
otherwise, be exempted from the requirement to connect to shore-side electrical power.
 No ship should be required to connect to OPS when the planned port stay at the actual berth
is less than a couple of hours (e.g. 2 hours).
 The port or terminal shall provide sufficient electrical power to sustain all normal operations
during the port call, including calculated peak consumption.
 The costs for the ship to connect to shore power at berth should not exceed the average
comparable costs of port services in general and the cost of supplied electricity to shore-
based consumers within the vicinity of the port or terminal.
The apparent aim of the above proposals seems to be to protect ship owners from undue pressures
by ports to force them to use OPS without good and reasonable business or environmental
justifications.
Subsequently, IMO reviewed the situation in MEPC 64 meeting in 2012 and while considering
various views including the above proposal concluded that:
“The majority was of the view that ports equipped with on-shore power supply are
limited and mandatory requirements for the on-shore power supply should not be
developed at this stage. The MEPC agreed to request the IMO Secretariat to
disseminate the information relating to the on-shore power supply, e.g. lists of relevant
standards and ports providing onshore power supply as MEPC.1/Circ.794” *IMO MEPC
64/23].
5.7 OPS effectiveness

There are a number of items and issues to be considered when opting for OPS as detailed in ICCT
report [ICCT June 2012] from which most of the text of this section are taken. These include
infrastructure development and source of electricity and cost effectiveness. In order to provide OPS
infrastructure on-berth and on-board vessels, first the necessary power needed should be estimated
and ensure adaptability. It is important to consider the local power company that is providing the
electrical power to the port and environmental characteristics of the supplied electricity plus
transmission losses. A local power company that uses a cleaner source of energy with use of
emission control technologies will optimize the overall benefits of shore power.
OPS is not universally effective for all ships and ship types. OPS works best when ships operate in
liner-type services that have the same vessels calling frequently over a number of years to the same
terminals. Liner-type services typically include cruise ships, containership, some bulk liquid and
chemical/product tanker operations, LPG tankers, LNG tankers, and some general cargo operations.
In addition to frequency of calls by the same ships to the same terminal, another key factor is the
amount of energy the ship uses while at berth. Energy is the product of ship power demand while at
berth and duration at berth. Cruise ships represent one extreme as they have short times at berth,
27
http://www.sjofartsverket.se/pages/9333/55-4-13.pdf

however their power demand at berth is high, as are their berthing frequencies. Other vessel classes
have lower power demand at berth; however they are at berth for longer periods. In addition to
frequent calls per year, it is important to note that these same vessels need to continue to call for
several years in a row to make the OPS cost effectiveness in terms of cost versus tonnes of emissions
reduced.
The most expensive part of OPS infrastructure is shore-side infrastructure. Converting an existing
port to OPS capabilities can be significant and the cost varies by each port. One of the most
expensive container terminal retrofit projects actually built was the China Shipping berth at Port of
Los Angeles which cost ~$7 million. Based on the range of feasibility studies done by ports in the US
and Canada, a normal range of costs to provide shore power at a berth can be between about US $1
- $15 million. These costs vary significantly depending on the extent of terminal rebuilding, the
proximity to adequate electricity supplies, and the ability to locate the shore-side infrastructure.
There are also less expensive temporary approaches that use large, portable LNG generators placed
on the dock near the front of the ship and connect to a ship’s bow thruster electrical circuit. These
systems require about $200,000 to refit each ship and approximately $1,000 per hour for the
generator. The Port of Oakland, whose shore-side infrastructure for standard cold ironing was
estimated at $90 million, has successfully demonstrated this system and intends to make it available
to all of its customers in the near future.
The ship-side OPS retrofit capital cost can range from $400,000 to $2 million per ship due to the
wide variety of ship designs. These costs have been coming down as more retrofits have led to more
streamlined and standardized designs. Many new ships currently being built are including OPS
systems or implementing designs that would make future retrofits less costly.
The cost of grid power is another key factor when estimating cost effectiveness. Also, the bunker
price makes a significant role in cost effectiveness. The higher the bunker price and the lower the
electric grid price, the more cost effective will be the shore power investments. In USA, the shore
power projects in California have been awarded grants under the Carl Moyer Grant Program. The
first was to the Port of San Francisco and the second was to the Port of San Diego. These awards
demonstrate that OPS can be a cost effective strategy under the right conditions. Cost effectiveness
estimates vary significantly by terminal, by port, and by region. A detailed cost effectiveness analysis
needs to be completed on a project-by-project basis to determine what the real cost impacts would
be.
Without a full-blown analysis, it is possible to estimate the potential costs and benefits of a cold
ironing system using three key pieces of information: 1) energy cost; the costs of the fuel ships use
at berth and the cost of on-shore provided electricity, 2) the cost of retrofits both to ships and to
port terminal facilities providing the electricity, and 3) the frequency and duration with which the
system will be used. Such an analysis was performed and is documented in reference.
5.8 OPS and energy efficiency

There is no doubt that OPS leads to significant reduction in air pollutants in ports and areas at their
vicinity. However, the case for overall energy efficiency of the OPS in terms of power used while
including all the transmissions losses and overall CO emissions to atmosphere is not clear. Although
both have been advocated by OPS enthusiast as justification for OPS and reduction of ship-owners’
energy cost, this topic is not certain and most likely will vary case by case.

5.8.1 Energy efficiency
The energy efficiency of OPS relative to ship-board generation needs to take into account all the
various forms of energy transfer and transformation losses along the transfer route. In addition, the
thermal efficiency of a land-based power plant versus ship-board systems needs to be taken into
account.
In general, it is estimated that transmission losses from a land-based power plant to the ship will be
around 10 to 25% depending on the supply transmission network (i.e. an average value of about
17.5%). This means that from the energy efficiency and CO2 reduction points of view, the land-based
power plant needs to be generating less CO2 by at least 10 to 25% compared to ship-board
generation. As indicated above, this will vary from case to case and needs specific studies for various
ports.
On the other hand, the case in favour of OPS is the operating condition of auxiliary diesel engines
while at berth. This should be borne in mind while at berth, since the auxiliary engines normally
work at a part load of about 40 to 50%. Under this loading condition, the engine efficiency is lower
than the optimum value and the emissions are higher.
There is occasionally discussion on future low-carbon electricity that could be supplied to ports (or
generated by a port itself) for supply to ships. There are a number of solutions, such as the use of
greener energy in ports. As an example, there have been cases where LNG-based power plants are
advocated for port-side power generation. Such cases yield a significant reduction in both CO2 and
pollutants and get rid of transmission losses over the grid. The drawback is port self-generation that
is not the core expertise of shipping ports. For ports deciding on self-generation, there is a case to
help the grid when they have excess electricity and thereby impose less overall load on the grid.
5.8.2 Energy cost

The issue of energy cost is important for ship-owners. There is evidence that the overall cost of OPS
electricity may be higher than the on-board generation for the following reasons:
 A tax on electricity will normally be applied if it comes from OPS. The tax level may change
from case to case and country to country.
 The base cost of electricity as supplied to ports may be high.
 The port charges which are intended to cover the investment and running costs will be
added to electricity price.
All the above require detailed studies for each port. To reduce the cost of pollutants on society and
port areas, there may be a need to transfer the burden of cost to ships as they represent the main
source of pollutant. However, since this may vary from port to port, it will have an impact on port
business as well.

2. Wikipedia, “Cold ironing” https://en.wikipedia.org/wiki/Cold_ironing, cited August 2015.
3. IMO MEPC.1/Circ.794, “On-Shore Power Supply”, MEPC 63, 9 October, 2012

4. WPCI, “On-Shore Power Supply”, http://wpci.iaphworldports.org/onshore-power-
supply/environment-and-health/climate.html Cited August 2015.
5. WPCI,”World Port Climate Initiative website on on-shore power”,
http://www.ops.wpci.nl/what-is-ops-/what-is-ops--1/, Cited September 2015.
6. MEPC submission by Sweden “Standardization of On-Shore Power Supply”, MEPC 55/4/13 ,
August 2006, http://www.sjofartsverket.se/pages/9333/55-4-13.pdf, Cited August 2015.
Association of Ports and Harbor’s Air Quality Toolbox”, June 2012.
15. IMO MEPC 64/23, “Report of the Marine Environment Protection Committee on its Sixty-
Fourth Session”, 11 October 2012.

6 Green Port Initiatives and Port Environmental Programs
6.1 Introduction
Apart from Onshore Power Supply (OPS) that could lead to improved air quality in port areas and
likely reduction of GHG emissions, various ports are promoting green initiatives that aim to reduce
air emissions from ships. Green port initiatives are in place in particular in USA, Europe and to some
extent Asia. In the majority of cases, reduction of air pollution and improving the port area air
quality are at the core of the green port initiatives.
Green port initiatives could take many forms and shapes, but the main purpose as indicated to
reduce port-area emissions. Example activities could be reduced port dues for clean ships,
investment in port infrastructure to improve port operations, providing OPS facilities, reducing or
exemption from taxation for clean ships, etc.
In this section, a number of port related green activities that relate to air emissions are presented
and discussed.
6.2 Port related VOC management

Volatile Organic Compounds (VOCs) are the lighter parts of crude oil, or their products. They
normally vaporise during the ship loading process in the loading tanks. This is then normally vented
to the atmosphere causing air pollution in port areas.
IMO MARPOL Annex VI regulations allow the Flag state to designate ports that intend to control and
reduce VOC from tankers. This is embodied in Annex VI Regulation 15 on VOC. The regulation
enables ports and terminals to implement VOC controls.
For compliance purposes, these ports should be able to receive such gases and collect and safely
dispose of them. Tankers that visit such ports should also have a Vapour Emissions Control System
(VECS) to be compliant with IMO MSC/Circ. 585 on Standards for VECS system. Figure 6.1 shows a
schematic of such a ship-board VECS. Further information on technical information on systems and
operation to assist development of VOC management plans can be found in the relevant IMO MEPC
Circular (MEPC.1/Circ.680, 27 July 2009)28.
28
MEPC.1/Circ.680, 27 July 2009 “Technical information on systems and operation to assist development of VOC management plans”

Figure 6.1 – Schematic of an oil tanker’s VOC emissions control system
Additionally, crude oil tankers are required to have an approved VOC manual. This should contain
procedures for minimizing VOC emissions during loading, sea passage and discharge and additional
VOC during washing.
Currently, a number of ports have been assigned as VOC control ports; see the list below (Table 6.1).
Table 6.1 – Designated ports with VOC emissions control29
29
IMO MEPC.1/Circ.774, 21 December 2011 on regulated VOC emissions control ports

6.3 Differentiated port dues
If ports/terminals give ship owners and operators of relatively clean ships a port due advantage, they
give a direct incentive for reducing ship port emissions. Thus port dues advantages for relatively
clean ships can be put into practice by two options:
 Reducing port dues for relative clean ships while keeping port dues for the other ships
unchanged and thus reducing a port’s income.
 To apply the ‘polluter pays principle’, raising the port dues for those ships that have
relatively high port emissions.
In the first case, where discounts are given, the funding of the incentive scheme could turn out to be
a problem for a port. In the second case, where port dues are raised based on ship emission level,
the port runs the risk of losing business to competing ports, which have not introduced such a
penalty-based scheme. Another potential barrier in this context is the presence of privately owned
quays in the port area that may hamper the introduction of the polluter pays principle, as this also
may affect the level playing field within the port [MEPC 68 INF.16].
Some of the existing ports provide incentives for efficient and clean shipping via reduced port dues
based on their regulated emissions levels. Examples are the Swedish ports that currently provide
differentiated port dues based on environmental criteria. About 20-25 of the bigger ports in Sweden
have differentiated port dues on the basis of the sulphur content of the fuel used and the NOx
emissions from the engines on-board. For example, in Gothenburg, Sweden the port dues used to
increase if the sulphur content of the fuel exceeded 0.2% (currently, the regulatory limits for
Swedish ports are 0.1% due to the IMO Emissions Control Area regulations, thus the above is
irrelevant).
For ships with a NOx emission level lower than 10 g/kWh, a discount is applied that increases
progressively30 as shown in below Table 6.2.
Table 6.2 – NOx reduction incentives in port of Gothenburg
6.4 Differentiated ship registration fees

The EEDI (Energy Efficiency Design Index) is part of the energy efficiency regulations under MARPOL
Annex VI that aims to improve shipping CO2 emissions via enforcing future targets for ship designs
that will provide major reductions to EEDI (see Module 2 for details). Some administrations have
taken, or are evaluating, to use this index for differentiated registration fee or tonnage taxation. An
30
http://cleantech.cnss.no/policies-and-instruments/voluntary-instruments/clean-shipping-index/

example of such an initiative is the one by Singapore MPA (Maritime Port Authority) in 2011 that
was undertaken under the Singapore Green Ship Programme31.
The Green Ship Programme targets Singapore-flagged ships. The MPA provides incentives to ship
owners who adopt energy efficient ship designs that will reduce fuel consumption and carbon
dioxide emissions. Accordingly, Singapore-flagged ships registered on or after 1 July 2011, which go
beyond the requirements of the International Maritime Organization’s EEDI, will enjoy a 50%
reduction on the Initial Registration Fees under both the normal registration and the Block Transfer
Scheme during the registration of the ship. They will also enjoy a 20% rebate on Annual Tonnage
Tax payable every year for a number of years based on a scheme that uses EEDI.
Existing ships which utilise energy efficient ship designs that meet the requirements for the Green
Ship Programme can also take part in this programme, but will only enjoy the 20% rebate on Annual
Tonnage Tax payable every year until the ship ceases to exceed the requirements of IMO EEDI
reference lines.
6.5 Environmental Ship Index (ESI)

A large number of the world’s key ports have committed themselves to reducing the port-related
GHG. This commitment is called the World Port Climate Initiative (WPCI)32. One aspect of this
initiative is to give incentives to ships that visit such ports as a way of reducing port-related
emissions.
One of the projects within WPCI is the development of an Environmental Ship Index (ESI). The ESI
identifies seagoing ships that perform better in reducing air emissions than the levels required by
the IMO MARPOL Annex VI. The ESI evaluates the amount of nitrogen oxide (NOx), sulphur oxide
(SOx) that is released by a ship and includes a reporting scheme on the GHG emission of the ship.
The ESI aims to identify cleaner ships in a general way. The index is intended to be used by ports to
reward ships when they participate in the scheme for promoting clean shipping. Also, WPCI
encourages the shippers and ship owners to use the index as their own promotional instrument. ESI
is a voluntary scheme designed to improve the environmental performance of sea going vessels. It
can be applied to all types of seagoing ships. It is easy to calculate and simple in its approach.
ESI relies on various formulas for the calculation of various parts for NOx, SOx and CO 2. It
additionally awards a bonus for the presence of OPS. The ESI Score ranges from 0 for a ship that
meets the IMO environmental regulations that is already in force and 100 for a ship that emits no
SOx and no NOx and reports or monitors its energy efficiency. In other words, a ship with a score of
0 point is actually in full compliance with the applicable regulations while a ship with 100 points has
zero air emissions. In reality, the best performing ships currently score at around 40 points.
For further information on ESI and current ship ranking, refer to Environmental Ship Index website33.
For the ESI calculation formula, refer to ES web site34.
31
http://www.mpa.gov.sg/sites/maritime_singapore/msgi/green-shipping-programme.page
32
www.wpci.nl
33
http://www.environmentalshipindex.org/Public/Home
34
http://www.environmentalshipindex.org/Public/Home/ESIFormulas

6.6 Port clean air program
A port clean air program is a comprehensive initiative used by some ports to address air emissions
from shipping and port operations. Such a program is generally established and implemented by a
port authority with input from other stakeholders. Such a program normally sets specific emission
reduction targets for a port and develops a roadmap to achieve those targets. To ensure success, the
management would follow continuous improvement cycle and success is measured and monitored
and target revised periodically based a Plan – Do – Check – Act (PDCA) process cycle [ICCT December
2012].
As any other management continuous improvement cycle, the port clean air program will be
successful where the management and staff of port authorities and regulatory agencies are
committed to the improvement of air quality in the region. In addition, the participation from other
stakeholders and port relate organisations give the clean air team more influence and authority over
the air quality improvement in the port.
A successful port clean air program is dependent on the identification, evaluation, and use of
appropriate technologies and operational strategies. During the “Plan” stage, it is required to
determine emission mitigation measures and coordinate with different stakeholders to implement
these measures. After choosing the right measures and during other parts of the cycle, the measures
need to be executed and their effectiveness monitored. Finally, the overall achievements need to be
reviewed and assessed against the initial targets and objectives. So far, a number of ports have been
developing and implementing the “port clean air programme” as documented in ICCT reports given
in the references.
6.7 Norway NOx tax and NOx fund

This is a NOx tax applicable mainly to national industries including shipping. The NOx tax is collected
from participating industries and is fed into a NOx fund. The participating companies could include
oil and gas producers, fishing and offshore supply vessels, ferries, airlines, cargo, railways, land
based industry, etc. The NOx fund then provides financial incentives for those participating
organisations that want to implement NOx reduction measures including shipping industry.
This incentive system in Norway is only applicable to domestic shipping around Norway. It is an
example of an effective local program that tries to create a finical scheme and business case for NOx
reduction from shipping. These funds are generated by gathering revenue from companies that emit
NOx emissions by making them subject to a NOx tax. On the basis of the scheme, a large number of
ships have so far been equipped with NOx reduction technologies.
As for shipping, this started from 1st January 2007 and tax level is 1.9 €per kg NOx. It is applicable to
propulsions engines exceeding 750 kW. This fund has so far widely funded major Norwegian
initiatives such as the move to LNG as fuel for ships operating in Norwegian water.
6.8 General discussion

IMO commissioned a study on ship-port interface in 2014 [MEPC 68/INF.16] that is widely looking at
many aspects of ship-port interface including the green initiatives. Based on this study a survey of
stakeholder was conducted. These stakeholders included representatives from port authorities and
terminals, ship owners and operators, equipment manufacturers as well as governmental and
regulatory authorities. This section mainly taken from this study discussed some the issues raised.
All stakeholders indicated that air pollution is a major environmental challenge. On international or
regional regulations, these have specific and high impacts on ship owners and operators but not

necessarily ports. When it comes to port-ship interface green initiatives, the lack of a sound business
case was widely reported by the stakeholders as the largest barrier to the implementation of various
initiatives. This lack of business case issue is closely related to the reason that regulation is reported
in the survey as the most effective driver.
On the other hand, voluntary and financial instruments leave room for individual decisions and
evaluations regarding the use of advanced technologies or other measures, but also require a
business case to be driven by factors beyond direct return on investment.
The availability of energy infrastructure, for example with LNG bunkering or connection to OPS, was
also reported as a barrier, and is closely connected to the problem of having an insufficient business
case. Subsidies may be needed to address this barrier, followed by fine-tuned regulation that
considers local circumstances and cost effectiveness of the measures on the basis of clear criteria.
In addition to regulations, it is cited that the number of voluntary and financial incentive schemes
has grown significantly in recent years. Various schemes have been implemented in Asian ports
(Hong Kong, Shenzhen, Singapore), providing discounted port dues to visiting ships using low sulphur
fuel. The ESI as explained is the most widely implemented and is still growing from its current
participation involving over 3,000 ships and 24 ports. However, compared to the overall number of
cargo ships in operation worldwide, the share of ships joining such voluntary schemes is estimated
to be around 5%. As a consequence, the effectiveness of voluntary schemes is limited on the world-
wide level. It can however be effective at smaller scale, such as the port level, where a smaller
portion of the overall fleet can be targeted and incentives can be tailored in a way that incrementally
enhances (without entirely satisfying) the business case for adoption of measures.
Maintaining a level playing field among ports when implementing financial incentives schemes or
regulations is a challenge. Partnering with other regional stakeholders by harmonizing the
requirements for ships may increase the effectiveness of instruments, while the regional level
playing field is maintained. There are ship owners implementing voluntary measures and
participating in voluntary and incentive-based programs set up mainly by port authorities.

2. IMO, MEPC 61/INF.12, full report of the work undertaken by the Expert Group on Feasibility
Study and Impact Assessment of possible Market-based Measures, 13 August 2010
3. For further information on OPS refer to: http://wpci.iaphworldports.org/onshore-power-
supply/environment-and-health/climate.html, cited August 2015.
4. Green Ship Programme in Singapore
http://www.mpa.gov.sg/sites/maritime_singapore/msgi/green-shipping-programme.page,
cited August 2015.
5. Lean Shipping Technology website, http://cleantech.cnss.no/policies-and-
instruments/voluntary-instruments/clean-shipping-index/, cited August 2015.
6. “Environmental Ship Index”, http://esi.wpci.nl/Public/Home, cited August 2015.
7. MEPC.1/Circ.774 on “Information on designated ports at which VOC emissions are
regulated”, IMO, 21 December 2011.

8. Port tariff for the port of Gothenburg valid from 1st January 2012 until further notice,
http://www.portofgothenburg.com/Documents/PDF-bank/tariff_111216.pdf, cited August
2015.
9. A Guide to Good Practice on Port Marine Operations Prepared in Conjunction with the Port
Marine Safety Code, July 2013,
https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/79296/gui
de-good-practice-port-marine.pdf, cited August 2015.
10. Jenny Hill, MSc Thesis “Executive Summary: Unlocking the capacity for CO2 abatement in
ships arriving and departing from UK ports”, Centre for Environmental Policy, Imperial
College London.
https://workspace.imperial.ac.uk/environmentalpolicy/Public/Executive%20Summaries%202009-
2010/Global%20Environmental%20Change%20and%20Policy%20Option/Hill%20J_10_Executive_Sum
mary.pdf, cited August 2015.
11. Port of Gothenburg, “Examining the commercial viability of cold ironing,
http://www.ops.wpci.nl/_images/_downloads/_original/1265119200_greenshippingonshor
epowersupply19nov2009asawilskeportofgothenburgfinal.pdf, cited August 2015.

on
Module 6 – Energy Management Plans

and Systems
IMO
ACKNOWLEDGEMENTS

current edition represents a major upgrade of the training package by
Dr Zabi Bazari of Energy and Emissions Solutions, UK (EnEmSol) under


M6 Energy Management Plans and Systems Module 6 - Page 1

MODULE 6
Energy Management Plan and System
This module is intended to provide awareness, knowledge and skills required of ship-board and
office-based staff on ship energy management systems and plans and their implementation. It aims
to provide general information on shipping management systems, details of IMO 50001 on Energy
Management System (EnMS), ship and company related management systems and plans and
specific tools for monitoring of ship energy performance including energy reviews and audits,
performance monitoring, data collection, monitoring and reporting including the IMO data collection
and EU Monitoring, Reporting and Verification (MRV).
The overall learning objectives and outcomes of this module are to enable you to appreciate, discuss
and explain the following topics:
 Broad aspects of management systems and their main features including the continuous
improvement cycle and plan-do-check-act aspects;
 General aspects of ISM code and ISO 140001 as typical shipping management systems;
 Energy management systems, main elements and details of ISO 50001 approach to energy
management;
 A shipping Company Energy Management Systems (CEnMS), its differentiation with IMO
SEEMP, and main features such as energy policy, energy review and so on;
 IMO data collection system, status and experience together with EU MRV system and their
comparisons;
 Techniques for conducting a ship energy audit or review; and
 Ship performance monitoring and its application techniques for hull, engines and voyage
performance evaluation.
To support your learning process, a list of references is provided at the end of each Section.


CONTENTS
1 OVERVIEW OF MANAGEMENT SYSTEMS ................................................................................................. 6
1.1 INTRODUCTION .......................................................................................................................................... 6

1.1.1 Main aspects of a management system ........................................................................................... 6
1.1.2 PDCA cycle of continuous improvement ........................................................................................... 6
1.1.3 Management systems and shipping ................................................................................................. 7
1.2 ISM CODE ................................................................................................................................................ 8
1.3 STANDARDS OTHER THAN ISM...................................................................................................................... 9
1.3.1 ISO 9001: Quality Management System (QMS) ................................................................................ 9
1.3.2 ISO 14001: Environmental Management System (EMS) ................................................................... 9
1.3.3 OHSAS 18001: Occupational Health and Safety Assessment Specification .................................... 10
1.3.4 ISO 50001: Energy Management System (EnMS) ........................................................................... 10
1.4 COMMONALITIES BETWEEN MANAGEMENT STANDARDS ................................................................................... 10
1.4.1 On “objectives and policies” ........................................................................................................... 11
1.4.2 On “system management”.............................................................................................................. 11
1.4.3 Continual improvement aspects ..................................................................................................... 11
1.4.4 Human resources/personnel ........................................................................................................... 12
1.4.5 Ship maintenance system ............................................................................................................... 12
1.4.6 Verification and inspections ............................................................................................................ 13
1.4.7 Performance monitoring ................................................................................................................. 13
1.4.8 Management reviews ..................................................................................................................... 13
1.5 CERTIFICATION AND OTHER ASPECTS ............................................................................................................ 14
2 ISO 50001 ENERGY MANAGEMENT SYSTEM .......................................................................................... 16
2.1 OVERVIEW .............................................................................................................................................. 16

2.2 TARGET SETTING AND PERFORMANCE CRITERIA .............................................................................................. 18
2.3 SCOPE OF ENMS ..................................................................................................................................... 18
2.4 CERTIFICATION ........................................................................................................................................ 18
2.5 RESPONSIBILITIES ..................................................................................................................................... 19
2.6 ENERGY POLICY ........................................................................................................................................ 19
2.7 PLANNING .............................................................................................................................................. 20
2.8 MONITORING .......................................................................................................................................... 21
2.9 MANAGEMENT REVIEW ............................................................................................................................. 21
2.10 SUMMARY POINTS .................................................................................................................................... 21
3 SHIPPING COMPANY ENERGY MANAGEMENT ....................................................................................... 23
3.1 OVERVIEW .............................................................................................................................................. 23

3.1.1 Introduction .................................................................................................................................... 23
3.1.2 Fuel (energy) cost ............................................................................................................................ 23
3.1.3 Climate change ............................................................................................................................... 24
3.1.4 Scope for energy saving .................................................................................................................. 24
3.1.5 Shipping companies approach ........................................................................................................ 25
3.1.6 CEnMS and SEEMP scope of application ......................................................................................... 26
3.2 SHIP-LEVEL ENERGY MANAGEMENT PLAN (SEEMP) ........................................................................................ 26
3.2.1 EEMs at the core of a SEEMP .......................................................................................................... 26
3.2.2 Implementation of EEMs................................................................................................................. 27

3.2.3 Continuous improvement approach ............................................................................................... 27
3.3 COMPANY-LEVEL ENERGY MANAGEMENT SYSTEM (CENMS)............................................................................. 28
3.3.1 Company “energy policy”................................................................................................................ 29
3.3.2 Energy review.................................................................................................................................. 30
3.3.3 Energy efficiency monitoring and reporting ................................................................................... 30
3.3.4 Energy efficiency training of staff ................................................................................................... 31
3.4 SUMMARY MAIN FEATURES OF COMPANY ENERGY MANAGEMENT SYSTEM ........................................................... 31
4 ENERGY AUDIT AND REVIEW ................................................................................................................. 34
4.1 INTRODUCTION ........................................................................................................................................ 34

4.2 TYPES OF ENERGY AUDIT ............................................................................................................................ 35
4.3 SHIP ENERGY AUDIT PROCESS ...................................................................................................................... 36
4.3.1 Overview ......................................................................................................................................... 36
4.3.2 Ship energy audit phases ................................................................................................................ 37
4.4 TYPICAL DATA ANALYSIS ............................................................................................................................. 38
4.4.1 Ship operation profile...................................................................................................................... 38
4.4.2 Fuel consumption profile................................................................................................................. 38
4.4.3 Hull performance assessment ......................................................................................................... 39
4.4.4 Engine performance assessment .................................................................................................... 39
4.5 TECHNO ECONOMIC ANALYSIS .................................................................................................................... 40
4.5.1 Technical feasibility assessment ..................................................................................................... 40
4.5.2 Economic cost-effectiveness assessment ........................................................................................ 41
4.5.3 MACC and its development ............................................................................................................. 42
5 SHIP PERFORMANCE MONITORING AND REPORTING ........................................................................... 46
5.1 INTRODUCTION ........................................................................................................................................ 46

5.2 BENEFITS OF SHIP PERFORMANCE MONITORING .............................................................................................. 46
5.3 PERFORMANCE MONITORING SYSTEM DESIGN ................................................................................................ 47
5.4 TYPES OF PERFORMANCE MONITORING SYSTEMS ............................................................................................ 49
5.5 HULL PERFORMANCE MONITORING .............................................................................................................. 51
5.5.1 Introduction .................................................................................................................................... 51
5.5.2 Methodology................................................................................................................................... 52
5.6 ENGINE PERFORMANCE MONITORING ........................................................................................................... 54
5.6.1 Introduction .................................................................................................................................... 54
5.6.2 Methodology................................................................................................................................... 55
5.7 AUXILIARY MACHINERY MONITORING ........................................................................................................... 56
5.8 VOYAGE PERFORMANCE ANALYSIS ............................................................................................................... 57
5.9 MONITORING AND REPORTING TO EXTERNAL BODIES ....................................................................................... 58
5.9.1 IMO data collection system ............................................................................................................ 58
5.9.2 EU MRV ........................................................................................................................................... 59

LIST OF FIGURES
Figure 1.1 – PDCA cycle of continuous improvement............................................................................. 7
Figure 2.1 – ISO 50001 energy management cycle [ISO 50001] ........................................................... 17
Figure 2.2 – Structure of ISO 50001 [Bazari 2012] ................................................................................ 17
Figure 2.3 – ISO 5001 energy planning process [ISO 50001] ................................................................ 20
Figure 3.1 – Typical ship costs and fuel costs ....................................................................................... 23
Figure 3.2 – The concept of step-by-step approach to energy management ...................................... 27
Figure 3.3 – Cost and payback for measures under step 1 to step 3 .................................................... 28
Figure 4.1 – Energy audit or review process [Bazari 2012]................................................................... 36
Figure 4.2 – Ship energy audit – Example areas to be assessed [DNV 2011] ....................................... 37
Figure 4.3 – Typical ship’s operation profile by operation mode ......................................................... 38
Figure 4.4 – Ship fuel consumption profile by system .......................................................................... 39
Figure 4.5 – Speed-power curve analysis [Bazari 2012] ....................................................................... 39
Figure 4.6 – Typical on-board cylinder pressure measurement [Bazari 2012] ..................................... 40
Figure 4.7 – Typical MACC for international shipping [DNV 2010] ....................................................... 43
Figure 5.1 – The general concept for a ship performance monitoring [Hideyuki Ando , NYK]............. 48
Figure 5.2 – Performance monitoring data collection, analysis and presentation concepts ............... 48
Figure 5.3 – Automatic systems using satellite navigation [Kongsberg] .............................................. 51
Figure 5.4 – Development of added resistance normally expected as a function of time [Torben
Munk] .................................................................................................................................................... 52
Figure 5.5 - Fuel consumption penalty of hull fouling and benefits of condition-based cleaning
[Torben Munk] ...................................................................................................................................... 52
Figure 5.6 – Example of speed-power curve development [Bazari 2012] ............................................ 53
Figure 5.7 – Added resistance method used by Propulsion Dynamics [Torben Munk] ........................ 54
Figure 5.8 - Typical engine indicator diagram ....................................................................................... 55
Figure 5.9 – Typical on-board in-cylinder measurement [Bazari 2012]................................................ 56
Figure 5.10 - Machinery utilisation [Bazari 2012] ................................................................................. 57
Figure 5.11 - Overview of a ship operation from one port to next port using performance monitoring
[Hideyuki Ando, NYK] ............................................................................................................................ 58
Figure 5.12 – MRV scheme overview *Lloyd’s Register 2015+ .............................................................. 61

1 Overview of Management Systems
1.1 Introduction
1.1.1 Main aspects of a management system
The cornerstone of good management is commitment from the top management and dedication
from the operating personnel. In matters of safety, pollution prevention and energy saving, it is the
commitment, competence, attitudes and motivation of individuals at all levels that determines the
end result. The foundation of the ISM1 Code is largely based on the philosophy of quality
management, the key fundamentals of which include:
• Management commitment;
• Staff/personnel empowerment; and
• Continuous improvement.
The role of the top management is crucial when improving the quality or safety or environmental
protection or conservation of resources of a company is concerned. Firstly, the management is
responsible to set a company policy which describes where and how the company should aim and
perform in terms of quality, safety, environmental and energy conservation issues. Secondly, the
management is responsible for providing adequate resources and tools in order to ensure that the
company policy could be successfully implemented. Also, the management is responsible for setting
realistic and achievable targets for the company’s quality, safety, environmental and energy
performance. The performance should be reviewed on a regular basis and the previous targets
should be updated on the basis of actual performance.
The involvement of the personnel is a pre-requisite for a successful management system. Employees
should have a feel of ownership in this regard. This is normally achieved by providing an opportunity
for them to participate in establishing, implementing and operating the management system at
various organisational levels. In many organisations, it is not necessarily lack of knowledge and
awareness that is responsible for poor performance but it is the lack of this feel of ownership and
motivation to act and commitment that leads to poor performance in various areas.
1.1.2 PDCA cycle of continuous improvement
The concept of “continuous improvement” requires that a company improves the quality of its
products and services on a continuous basis and at all organisational levels. A common approach to
continuous improvement is the PDCA (Plan – Do – Check – Act) process as shown in Figure 1.1.
1
ISM stands for International Safety Management

[Wikipedia]
Figure 1.1 – PDCA cycle of continuous improvement

The 4 major phases of the continuous improvement cycle are:
• Plan: During this first phase of the PDCA cycle, an action plan of the activities that need to be
done is prepared together with all relevant implementation details. For this purpose, the
company need to have a policy statement and should define the objectives and targets, plan
on how to achieve these targets and identify how to implement and how to monitor various
activities when the plan is implemented.
• Do: In the second phase, the implementation of the selected and documented measures
should be carried out in a systematic way. In other words, this is the execution phase of the
action plan developed. To be successful, project management of various measures under
implementation is very important and the action plan should be executed within the
schedule and budget.
• Check: In the third phase, one should measure or analyse the results of the implementation
via effective monitoring and checking. This is the step under which the results of
implementations are measured and monitored to ensure that the perceived objectives are
achieved. Without this step, there is no way to know if the implementation has been
satisfactory or not. Data collection and analysis plus various aspects of audits and surveys
could be used for this purpose.
• Act: In in last phase the assessment of the effectiveness of plan is done. The plan is reviewed
against the achievements and new targets are set for next cycle of PDCA. If the check shows
that the plan that was implemented led to improvements, then new standard or baseline or
targets for future cycle of PDCA activities are set. Otherwise, the reasons for not meeting the
objectives need to be evaluated and the plan adjusted according and the new cycle to be
started.
The above PDCA cycle principles apply to any management system irrespective of area of
application. In this module, it will be shown frequently that various shipping related management
systems also follow the above generic principles.
1.1.3 Management systems and shipping
The concept of “management system” is not new to the shipping industry. One of the most
prominent management system that is already mandatory in shipping is the ISM Code that as the
name implies deals with shipping safety at its core. There are other management systems that
although not mandatory, are widely adopted by the shipping companies including the following:

• Quality management system, mainly known as ISO 9001
• Environmental management system, mainly known as ISO 14001
• Health and safety systems such as those based on OHSAS 18001.
• Energy management system such as those specified under ISO 50001.
In the following parts of this section, a brief overview of these standards together with their
similarities and overlapping aspects will be given.
1.2 ISM Code

According to IMO, the main objective of the ISM code is to provide an international standard for the
safe management and operation of ships and for their pollution prevention [IMO Website].
Accordingly:
 Governments are required to take the necessary steps to safeguard the shipmaster in the
proper implementation of his/her responsibilities with regard to maritime safety and the
protection of the marine environment.
 Recognised the need for the shipping companies to set up appropriate management system
to enable them to respond to the need of those on board ships to achieve and maintain high
standards of safety and environmental protection.
The ISM code is effectively a shipping-specific International rules and regulations with the ultimate
objectives:
 To ensure safety at sea
 To prevent human injury or loss of life
 To avoid damage to the environment and to the ship.
The ISM code is based on some general principles and objectives. These are expressed in broad
terms so that ISM code can have a widespread application to all different type of organisations
involved in shipping despite their diverse business. Clearly, different levels of management, whether
shore-based or ship-board, will require varying levels of knowledge and awareness of the items
outlined.
SOLAS2 adopted the ISM code in 1994 and incorporated it into its chapter IX. By 2002 almost all of
the international shipping community was required to comply with the ISM code. In order to comply
with the ISM code, each ship must have a working Safety Management System (SMS). Each SMS
would consist of the following elements:
 Commitment from top management
 A top level defined policy manual
 A “procedures manual” that documents what is done on board the ship, during normal
operations and in emergency situations
 Procedures for conducting both internal and external audits to ensure that the ship is doing
what is documented in the “procedures manual”
 A designated person ashore to serve as the link between the ship and shore staff and to
verify the SMS implementation
2
SOLAS stands for the International Convention for the Safety of Life at Sea.

 A system for identifying where actual practices do not meet those that are documented; and
the associated corrective actions.
 Regular management reviews.
Another requirement of the ISM code is for the ship to be maintained in conformity with the
provisions of relevant rules and regulations and with any additional requirements which may be
established by the shipping company itself. As part of ISM code, compliance verification should be in
place. Each ISM compliant ship is audited, first by the company itself (internal audit) and then each
2.5 to 3 years by the flag State “maritime administration” to verify the effectiveness of the SMS.
Once SMS is verified and it is working and effectively implemented, the ship is issued with a Safety
Management Certificate (SMC).
It should also be noted that a ship’s planned maintenance scheme is a statutory requirement of the
ISM code. The ISM code requires that the ship’s management provide sufficient resources to
maintain the ship safely and the company must supply the necessary resources in the way of parts or
shore-side assistance to do this. Poor maintenance can mean that either the ship cannot meet its
commercial obligations (for example unable to meet the minimum speed requirements defined in
the contract) or can pose a potential safety or environmental hazard. The management should
ensure regular audits of ships to verify that the maintenance required by the planned maintenance
system is being carried out. This inspection of the ship should be part of the internal audits required
by the ISM code and should not be left for statutory or class surveys at a later stage.
1.3 Standards other than ISM

There are a number of management system standards developed mainly by the ISO that have been
extensively used. These are standards and not rules and regulations and as such their use is mostly
voluntary. However, some of these well-known standards are widely used by most industries
including shipping and will be briefly introduced.
1.3.1 ISO 9001: Quality Management System (QMS)
The ISO 9000 series of standards are related to quality management systems and designed to help
organizations ensure that they meet the needs of their customers / clients and other stakeholders
while meeting statutory and regulatory requirements related to their delivered products or services.
The ISO 9001 certification is highly oriented towards “process improvements” taking into account
the customer needs.
ISO 9001 is the most commonly utilised standard for quality management. Its wider application
started initially in manufacturing companies in 1980s. Later on, its application expanded into service
business and public administration mainly in the middle of the 1990s. In shipping, many companies
so far have adopted the ISO 9001 quality standard as the basis for their company’s “quality
management system”.
1.3.2 ISO 14001: Environmental Management System (EMS)
ISO 14000 series of standards relate to environmental management and has been developed to help
organizations to minimize the negative impacts of their operation on the environment via ensuring
compliance to prevailing applicable laws, regulations, and other environmentally oriented
requirements as well as best practice. ISO 14001 requires the organization to assess all of its
environmental aspects related to the company’s activities, products and services. So, in a nutshell,
ISO 140001 main requirement is that the significant environmental aspects of a company should be
identified, documented and managed.

The first international version of ISO 14001 was published in 1996. Like any other of widely used
management system standard, ISO 14001 has evolved over time and the current version of the ISO
14001:2015 includes the concept of continuous improvement process approach.
In a shipping company, the company policy may include the implementation of ISO 14001 on its
vessels which contains procedures for selecting the best environmental measures for a particular
vessel and then sets objectives for the measurement of relevant parameters along with relevant
control and feedback features. The implementation of ISO 14001 has the main advantage of
reducing a company’s environmental impacts.
As many ships and companies already have an ISM code related management system that should
include environmental protection, it would make sense for these companies to have an ISO 14001
compliant environmental management system; however as discussed before this is not mandatory
and care should be exercised not cause complications with regard to ISM related Flag State and Port
State Control inspections. Once an environmental procedure becomes part of the ship’s SMS, it is
mandatory to follow the processes even if the requirements are not mandatory in other statuary
legislation.
1.3.3 OHSAS 18001: Occupational Health and Safety Assessment Specification
OHSAS3 18001 is a British Standard (BS) that is used globally and provides a specification for
occupational health and safety management in any organization. The OHSAS 18001 is widely used
internationally and is intended to help organizations to control occupational health and safety risks.
OHSAS 18001 focuses on the need to identify all occupational health and safety hazards for
personnel related to the company’s activities and facilities and do relevant risk assessment. The
result of these assessments is then used to identify the hazards that have to be eliminated or
controlled.
The OHSAS 18001 has been harmonized with the ISO 9001 and ISO 14001 standards so that to help
organizations to integrate the quality, environmental and safety management systems easier into
one common management system.
1.3.4 ISO 50001: Energy Management System (EnMS)
ISO 50001 is an international standard for an energy management system. The standard specifies
the requirements for establishing, implementing, maintaining and improving an energy management
system (EnMS). The purpose of EnMS is to enable an organization to follow a systematic approach in
achieving continual improvement of energy performance in their organisation. ISO 50001 establishes
systems and processes to improve energy performance and as a result, enable reductions in energy
costs, GHG emissions and other environmental impacts. ISO 50001 is the subject of detailed
description in the next section.
1.4 Commonalities between management standards

Although the above categories of standards deal with different management aspects, their overall
requirements, processes and procedures have similarities and overlap. Understanding of their
similarities and overlaps helps with an integrated approach to their implementation. In this section,
some of these aspects are clarified such that if a trainee is familiar with one of these management
systems or standards, he/she could relate the other standards to this one as an aid for quicker and
deeper understanding. Also, this section aims to provide more information on the requirements of
each standard, complementing what mentioned about them in previous section.
3
OHSAS stands for Occupational Health and Safety Assessment Specification

The commonalities of these standards are so much that there are many publications that compare
them and there are many companies who offer an integrated service in dealing with their
implementation and certification. In shipping, for example, ABS guidelines for such services [ABS
2012] are written as a unified one that includes all of the above standards in one guideline. DNV also
in its publication [DNV 2013] offers a good and systematic comparison of these standards in terms of
their common aspects and also their complementary aspects. The following comparisons are mainly
a shortened version of the DNV comparisons in this regard [DNV 2013] that is hereby acknowledged.
1.4.1 On “objectives and policies”
This aspect relates to the role that top-management of the company must play. Many aspects of the
requirements for top management roles in the ISM code and the other management standards are
similar. Accordingly, the top management shall define policies relevant to the nature of the business
and as a framework for objectives and targets. As a minimum, objectives and targets should
demonstrate the company’s goals for health and safety protection, environmental concern, energy
performance and so on. In addition to the above, specific objectives and targets are required by the
various standards for compliance purposes.
1.4.2 On “system management”
The “system management” refers to management procedures and assignment of roles and
responsibility. Instructions and procedures are required to be in place in order to operate ships
safely, protect the environment, control its occupational health and safety risks and comply with
relevant international and flag State legislation. Defined levels of authority, responsibility, lines of
communication, resources and support, plans for key shipboard operational procedures, risk
assessments, accidents and nonconformity reporting procedures, emergency procedures, internal
audits and management reviews are all part of the system requirements. For this purpose:
 The ISM code requires designated person(s) to be appointed.
 For ISO 9001, it is required to identify a quality management representative and describe
elements in the ISO 9001 standard that not already addressed in the existing safety
management system. The customer should be defined and a system for measuring and
monitoring the service provided to satisfy the customer’s needs have to be put in place.
 For ISO 14001, it is a requirement for top management to appoint an environmental
management representative and provide resources to manage and control the
environmental system. All environmental aspects shall be assessed, by considering normal
and abnormal operations and potential emergency conditions. The significant aspects shall
then be identified and managed. Procedures for receiving, documenting and responding to
communication from external interested parties shall be established.
 For OHSAS 18001 and similar to ISO 14001, all occupational health and safety hazards must
be identified and assessments of risks carried out. A safe system of work must be
established, employing a hierarchy of controls. Employee consultation and participation is
required.
 As for ISO 50001, the main goal of the standard is a reduction in energy use. This is achieved
through continual improvement in energy performance. The organization is required to
conduct and document energy planning via an energy review, establish an energy baseline,
performance indicators, objectives, targets, action plans etc.
1.4.3 Continual improvement aspects

The following could be related to ISM code and other standards:

 As part of ISM code, objectives to continually improve safety management skills ashore and
on-board via analysis of nonconformities, accidents and hazardous situations need to be
achieved. Procedures for maintenance of the ships in the fleet are required. Use of risk
assessment techniques is necessary.
 As for ISO 9001, customer needs, expectations and requirements have to be taken into
account. A procedure for analysis of data to improve the quality effectiveness of the
management system is required. Procedures for eliminating the causes for potential non-
conformities are also required.
 For ISO 14001, the company should establish an environmental management programme
that addresses all of its objectives and targets including schedules, resources and
responsibility for achieving them. The environmental programme helps the company
improve its environmental performance and meet its commitment to continual
improvement.
 For OHSAS 18001, the company should establish an occupational health and safety
programme that addresses all of its objectives and targets, including schedules, resources
and responsibilities for achieving them.
 For ISO 5001, the company is required to plan its energy use when working to achieve its
energy targets. This means to develop and carry out an energy review and establish energy
baselines. The company is required to use performance indicators. Checking and monitoring
is done against the indicators.
1.4.4 Human resources/personnel
On human resources and staff, all the management systems give significant priority to train and
motivate the staff in related areas:
 For ISM code, the company should ensure that seafarers are qualified, certified and
medically fit.
 As for ISO 90001, the organization shall assign personnel to ensure that those who have
defined responsibilities are competent. The company should also evaluate the effectiveness
of training.
 As for ISO 14001, all employees shall be trained in and be aware of their roles and
responsibilities and the significant environmental impact of their work etc.
 As for OHSAS 18001, all employees shall be aware of their roles and responsibilities, the
occupational health and safety consequences of their work activities etc.
 As for ISO 15001, employees should be familiar with their roles and responsibilities. Training
in energy management system, benefits of energy management etc. is required. This
extends to contractors and third parties working on-board that may be affecting energy use.
1.4.5 Ship maintenance system
The ship maintenance management is also part of the management standards including:
 For the ISM code, maintenance procedures covering at least all items that are subject to
class, statutory and additional company requirements are required.
 For ISO 90001, planning and control of appropriate procedures are required, as are
purchasing procedures. The maintenance must extend to include care for customer
property, including where work on-board affects customer property indirectly.

 For ISO 50001, maintenance plans extends to areas identified and considered as significant
energy users in order to avoid a failure affecting the energy performance.
1.4.6 Verification and inspections
Measurement, monitoring, verification and inspections are part of all the management systems.
 Based on ISM code, regular on-board verifications and inspections are required.
 In ISO 14001, the company must have a systematic approach to measure, monitor and
evaluate its environmental performance.
 In OHSAS 180001, the company must have a systematic approach to measure, monitor and
evaluate its occupational health and safety performance.
 For ISO 50001 compliance, the company should define and regularly review energy
measurement needs. An energy measurement plan is required. Measurement equipment
must be calibrated with records retained. Standard gives minimum requirements to be
considered.
1.4.7 Performance monitoring
Common to all standard, effective procedures for reporting non-conformities and hazardous
situations are required. New requirements for e.g. energy management should be reflected in the
company management system. Data analysis, implementation of preventive actions and continual
improvement procedures are required.
 For ISM code purposes, there is a requirement to have a designated person ashore to
monitor safety and pollution prevention aspects.
 For ISO 90001, ways of measuring and monitoring operational performance are required.
This includes establishing data analysis processes, improving system effectiveness and
continual improvement.
 For ISO 140001, procedures for regular monitoring and measuring key operations that have
significant environmental impacts are required. Evaluating compliance with relevant
environmental legislation and regulations is also required.
 For OHSAS 180001 compliance, procedures for monitoring and measuring occupational
health and safety performance on a regular basis. Evaluating compliance with relevant
legislation and regulations is also required.
 As ISO 50001, the company should identify energy performance indicators based on the
energy review and the energy baseline. Measurement will be carried out against these
performance indicators.
1.4.8 Management reviews
Common to all, the company should verify compliance and evaluate the efficiency and effectiveness
of the management system. Management reviews covering all of the company’s systems at defined
intervals, are required, including input from master.
 For ISO 90001, monitoring and measurement of management system performance including
customer satisfaction is a requirement.
 For ISO 14001, the organisation shall evaluate the environmental performance and the
conformance with the environmental policy, objectives and targets. Evaluating compliance
with relevant environmental legislation and regulations.

 For OHSAS 18001, the organisation shall evaluate the health and safety performance and the
conformance with the policy, objectives and targets. Evaluating compliance with relevant
legislation and regulations.
 For ISO 50001, the management review will evaluate the energy performance, the suitability
of the performance indicators and whether or not targets have been met. It will also look at
projected energy performance. Outcomes may include changes in baseline, performance
indicators, resource allocation etc.
1.5 Certification and other aspects

As indicated above, all the shipping related management systems, whether mandatory such as ISM
or voluntary such as ISO 140001 and ISO 50001, have general features that are common between
them. This is despite the fact that different systems focuses on different aspects of safety,
environment or energy efficiency. Management certification is one way of demonstrating, in
particular to external parties, that the company is complying with the above standards.
In shipping the main bodies that provide management system certification services to the industry
are classification societies. As indicated by two examples [ABS 2012 and DNV 2013], class societies
use integrated processes and guidelines to deal with all the above standards. For example, ABS has
published a marked-up version of their guidelines on “Guide for Marine Health, Safety, Quality,
Environmental and Energy Management” that shows how for example “energy management” has
been added to the previously used guidelines that have been dealing with “Marine Health, Safety,
Quality and Environmental” only.
Some class societies have published dedicated rules for certification of “ship energy management”
that only deals with SEEMP aspect of energy management. Chinese Classification Society (CCS), in
2011, published their “Rules for Certification of Ship Energy Management” that deal with all aspects
of certification including system requirements, data requirements, certification and energy audit for
ship-board energy management.
On energy efficiency side, all classification societies provide services in “energy management system
certification” and a number of companies have been certified so far. Being a new standard (i.e. ISO
50001), the number of certified shipping companies are not many yet. However, it is expected that
with time and due to the significance on climate change debates, more and more companies will
allocate resources to deal with energy saving and energy efficiency over the time.

2. Wikipedia, “PDCA “, https://en.wikipedia.org/wiki/PDCA, cited September 2015.
3. ABS 2012, “Guide for Marine Health, Safety, Quality, Environmental and Energy
Management (The ABS Guide for Marine Management Systems), APRIL 2012 (Updated
February 2014), American Bureau of Shipping publication ……. Cited September 2015.
4. China Classification Society 2011, “Rules for Certification of Ship Energy Management”,
2011, Bijing, website, cited September 2015.
5. DNV 2013, “Seamless Guidelines for Implementing and Auditing Management Systems -
Integrating ISO And ISM Certification”, Rev, 1.3-2013

6. Jouni Lappalainen “Transforming Maritime Safety Culture - Evaluation of the impacts of
the ISM Code on maritime safety culture in Finland”, Turku, 2008.
7. IMO website “ISM Code and Guidelines on Implementation of the ISM Code 2014”,
http://www.imo.org/en/OurWork/HumanElement/SafetyManagement/Pages/ISMCode.
aspx, cited September 2015.
8. ISO 50001:2011 “Energy management systems -- Requirements with guidance for use”,
ISO publications.
9. ISO website, “ISO 14000 - Environmental management”,
http://www.iso.org/iso/home/standards/management-standards/iso14000.htm, cited
September 2015.

2 ISO 50001 Energy Management System
2.1 Overview
ISO 500014 is a voluntary international standard developed by the International Organization for
Standardization (ISO) to provide various organizations with an internationally recognized framework
to manage and improve their energy performance. The standard addresses the following:
 Energy use and consumption evaluation via conducting energy reviews and development of
energy policies.
 Measurement, documentation and reporting of energy use and consumption.
 Design and procurement practices for energy-using equipment, systems, and processes.
 Development of an energy management plan and other factors affecting energy
performance that can be monitored and influenced by the organization.
ISO 50001 applies to all different types of companies and industry sector. It provides a framework
for an “Energy Management System (EnMS)” through which each organization can set and pursue its
own goals for improving energy performance. From the ISO 50001 perspective, an EnMS is a series
of processes that enables an organization to use data and information to maintain and improve
energy performance, while improving operational and energy efficiencies and reducing
environmental impacts.
Using the ISO 50001 framework provides a systematic approach to managing energy within a
company. Conformance to the standard provides proof that a company has implemented
international energy management systems, completed and developed a baseline of its energy use
and is committed to continual improvement in energy performance. ISO 50001 is designed for
widespread use by all industries (power, oil and gas, manufacturing, transport, etc.), buildings and
other organizations; thus it is applicable beyond shipping. The use of ISO 50001 is expected to be
driven by factors such as regulatory/legislative developments, corporate social responsibility (CSR),
environmental management programs as well as the economic benefits of energy and CO2
reductions.
As discussed in previous section, ISO 50001 is based on a standard management system model
based on the Plan-Do-Check-Act approach already employed in ISO 9001, ISO 14001 and IMO
SEEMP. Figure 2.1 shows the continual improvement process of the ISO 50001.
4
Most of the material in this section are from ISO 50001:2011

Figure 2.1 – ISO 50001 energy management cycle [ISO 50001]
The Plan-Do-Check-Act features of the IMO 50001 are best shown in Figure 2.2 where various
sections of ISO 50001 are shown together with the standard relevant headlines.
Figure 2.2 – Structure of ISO 50001 [Bazari 2012]

In order to develop and implement the ISO 50001, normally some level of preparatory work needs to
be undertaken. These include, inter alia, aspects such as:
 Development of an energy policy that includes commitment to the EnMS from top
management
 Assignment of a management representative to lead the implementation of the EnMS
 Establishment of a team from various departments that have influence on ship fuel
procurement, treatment, storage and use.

Upon completion of the preparatory work, the steps towards planning for implementation of an
EnMS could include aspects such as:
 Undertaking an energy review to identify significant energy users, their energy consumption,
and opportunities for improvement
 Establishment of energy baselines for the company and various facilities
 Identification of energy performance indicators and benchmarks for tracking energy
performance improvement against the baseline.
2.2 Target setting and performance criteria

ISO 50001 does not prescribe specific performance criteria or target levels with respect to energy
efficiency performance; however, it requires the organization to continually improve energy
performance. For a shipping company this practically implies that it should select key performance
indicators in order to demonstrate improved energy performance. IMO has developed the Energy
Efficiency Operational Indicator (EEOI), see Module 2, that may be used as a performance indicator
for a company when applying the EnMS to shipping. Off course, other indicators may be used for this
purpose.
2.3 Scope of EnMS

A shipping company EnMS will include features that need to be undertaken both at head office and
on-board ships. The ship-related aspects include:
 Defining each ship’s energy efficiency measures (EEMs).
 Documenting each ship EEMs and their implementation, monitoring and improvement
processes.
 Implementation of energy saving projects on-board ships.
The above will normally be included in a ship’s SEEMP (See Module 2). The shipping company’s
EnMS should also include provisions for activities at shore-based offices. These include, but not
limited, to the following activities:
 Planning improvement and management of the whole fleet energy efficiency.
 Gathering of fleet (all ships) information with a view to benchmarking and data sharing.
 Analysis and evaluation of actual state of energy use by ships in a fleet.
 Preparation of the SEEMP for each ship and its implementation and monitoring activities.
 Fleet benchmarking, monitoring and reporting to top management.
As will be argued in the following Section 3, the application of EnMS in a shipping company should
be fully in harmony with ship-board SEEMP and vice a versa.
2.4 Certification
There are a large number of companies who offer ISO 50001 certification. These are normally
accredited certification bodies via their national standardisation agencies (e.g. British Standard in the
case of UK) that are competent to certify organizations for conformance to ISO 50001. These
companies normally employ certified ISO 50001 auditors to assess an organization's or company's
compliance to ISO 50001. As discussed earlier, in shipping, normally classification societies provide
these services.
It should be noted that ISO 50001 certification is voluntary and companies are free to take action to
start improving energy management without becoming certified. However, certification to ISO
50001 provides a structured approach that incorporates energy management into company culture,
resulting in sustained energy savings and continual improvements in energy performance over time.

This can help justify initial investments in energy projects and ensure return on investment. Without
a structured approach, there is no guarantee that energy savings will be sustained or that return on
investment will be maximized. As such, the certification is a useful exercise and is highly
recommended.
2.5 Responsibilities
Within ISO 5001, definition of roles and responsibilities for various activities are foreseen. Amongst
these, the responsibility of top management is crucial. Within ISO 50001, a significant responsibility
is given to top management. Accordingly, top management shall demonstrate its commitment to
support the EnMS and to continually improve its effectiveness by:
 Defining, establishing, implementing and maintaining an energy policy;
 Appointing a management representative and approving the formation of an energy
management team;
 Providing the resources needed to establish, implement, maintain and improve the EnMS
and the resulting energy performance;
 Identifying the scope and boundaries to be addressed by the EnMS;
 Communicating the importance of energy management to those in the organization;
 Ensuring that energy objectives and targets are established;
 Ensuring that “energy performance indicators” are appropriate to the organization;
 Considering energy performance in long-term planning;
 Ensuring that results are measured and reported at determined intervals;
 Conducting management reviews.
Top management should also appoint a management representative(s) with appropriate skills and
competence with responsibility and authority to:
 Ensure the EnMS is established, implemented, maintained, and continually improved;

 Identify person(s), to work with the management representative in support of energy
management activities (energy team);
 Report to top management on the actual and the performance of the EnMS;
 Ensure that the planning of energy management activities is designed to support the
organization's energy policy;
 Define and communicate responsibilities and authorities in order to facilitate effective
energy management;
 Determine criteria and methods needed to ensure that both the operation and control of
the EnMS are effective;
 Promote awareness of the energy policy and objectives.
Other roles and responsibilities needs to be defined according to the requirements.
2.6 Energy policy

ISO 50001 requires that a company should have an “energy policy”. Accordingly, the energy policy
shall state the organization's commitment to achieving energy performance improvement. This
energy policy shall be defined and endorsed by top management and ensure that it:
 Is appropriate to the nature and scale of the organization's energy use and consumption;
 Includes a commitment to continual improvement in energy performance;
 Includes a commitment to ensure the availability of information and of necessary resources
to achieve objectives and targets;

 Includes a commitment to comply with applicable legal and other requirements;
 Provides the framework for setting and reviewing energy objectives and targets;
 Supports the purchase of energy-efficient products and services, and design for energy
performance improvement;
 Is documented and communicated at all levels within the organization;
 Is regularly reviewed, and updated as necessary.
The energy policy is one of the first documents that need to be prepared as it will show the
intentions of the top management. All other planning activities then will be based on energy policy.
2.7 Planning
ISO 50001 requires that the company shall conduct and document an “energy planning” process.
Accordingly:
 Energy planning shall be consistent with the energy policy and shall lead to activities that
continually improve energy performance.
 Energy planning shall involve a review of the organization's activities that can affect energy
performance.
A concept diagram illustrating energy planning processes is shown in Figure 2.3 that at its heart
requires an “energy review” of the company.
Figure 2.3 – ISO 5001 energy planning process [ISO 50001]

ISO 5001 stipulates that based on this, the company shall develop, record and maintain an energy
review. The “energy review” advocated by ISO 50001 is similar to an “energy audit”; that is fully
covered in Section 4. The output of energy review will include the following:
 Energy baseline(s)
 Energy performance indicators
 Objectives,
 Targets
 Energy efficiency measures
The above outputs will be directly used for the design and implementation of the EnMS.

2.8 Monitoring
ISO 50001 stipulates that the company shall ensure that the key characteristics of its operations that
determine energy performance are monitored, measured and analysed at planned intervals. A
combination of methods such as performance monitoring, etc. is advocated by the ISO 50001. The
ship performance monitoring techniques are discussed in detail in Section 5 together with relevant
methods and technologies.
ISO 5001 also advocates the effective use of internal audits as a monitoring method. Accordingly, an
audit plan shall be developed taking into consideration the importance of the processes and areas to
be audited as well as the results of previous audits. Records of the audit results shall be maintained
and reported to top management
2.9 Management review

Within ISO 50001, the management review has been clarified and is a requirement. For the review
purposes, some inputs to management review meetings are required and some output is expected
to be generated.
Inputs to the management review include:
 Follow-up actions from previous management reviews;
 Review of the energy policy;
 Review of energy performance and related indicators;
 Results of the evaluation of compliance with legal and other requirements;
 The extent to which the energy objectives and targets have been met;
 The EnMS audit results;
 The status of corrective actions and preventive actions;
 Projected energy performance for the following period;
 Recommendations for improvement.
Outputs from the management review are expected to be items such as:
 Changes in the energy performance of the organization;
 Changes to the energy policy;
 Changes to the energy performance indicators;
 Changes to objectives, targets or other elements of the EnMS.
 Changes to allocation of resources.
Based on the above outputs, a new cycle of continual improvement will begin.
2.10 Summary points

In this section, the main aspects of the ISO 50001 standard on “energy management system” are
described. It was advocated that a company EnMS is a useful, structured and systematic way for
improving the corporate energy performance. Although the development of an EnMS is a voluntary
undertaking by a company, its implementation by shipping companies will help them with more
effective compliance with the IMO energy efficiency regulatory framework, environmental (climate
change) protection and energy (fuel) cost savings.
For the development of the company EnMS, ISO 50001:2011 provides the best-practice available
framework. ISO 50001 requirements include development of an energy policy, performing energy
reviews, identification of energy performance indicators and baselines, defining various energy
efficiency projects and action planning and effective use of monitoring techniques and internal
audits and management reviews. Also, ISO 50001 require full commitment by the top management
that will be reflected in a written “energy policy” and effective review of the system in formal EnMS

performance review meetings. Certification for ISO 50001 is not mandatory but having a certificate is
part of best-practice and a way of demonstrating to external organisations that company’s EnMS is
fully in place.

1. ISO 50001:2011 “Energy management systems -- Requirements with guidance for use”, ISO
publications.
2. ISO website, “ISO 50001 - Energy management”,
http://www.iso.org/iso/home/standards/management-standards/iso50001.htm, cited
September 2015.
3. ISO brochure “Win the energy challenge with ISO 50001 “,
http://www.iso.org/iso/iso_50001_energy.pdf, cited September 2015.

3 Shipping Company Energy Management
3.1 Overview
3.1.1 Introduction
Energy management includes planning and operation of corporate activities including all aspects of a
company’s production, transport and service aspects with the main aim of reducing the energy use.
The wider objectives of energy management are resource conservation, environmental (mainly
climate global warming) protection and cost savings, while ensuring the security of supply of energy.
As such, energy management is closely linked to environmental management, production
management, logistics and other related business functions. Within this context, energy
management may be referred to as “the proactive, organized and systematic coordination of a
company’s (and its ships) use of energy to meet the requirements, taking into account
environmental and economic objectives”.
The translation of the above for a shipping company will mean planning and operation of a fleet of
ships with the aim of reducing the total ships’ fuel consumption or CO2 emissions with due
consideration for the company’s quality delivery of services to customers (under ISO 9001), safety
and environmental objectives (under ISM code and ISO 14001) and risk avert and safety of personnel
(under for example OHSAS 18001). Reduced fuel consumption is part of a two prong strategy of
reducing GHG emissions from shipping as well as reducing fuel cost to shipping companies; thus it is
a win-win strategy for environment and business profitability.
3.1.2 Fuel (energy) cost
In shipping, fuel management is an important part of a shipping company’s activities since a
significant proportion (more than 30%) of a ship’s operational costs are related to fuel costs. Figure
3.1a shows typical costs for a tanker; showing high percentage of fuel cost in the overall ship’s
operational costs. Figure 3.1b shows similar data for containerships but includes total cost inclusive
of capital costs. Both show high percentage of fuel cost in the overall ship’s operational or total
costs. The numbers presented are typical and percentages are a function of the ship type, ship size,
bunker fuel prices as well as mode of operation of the ships.
% Operation cost components for VLCC
15% Manning
12%
R&M
61% 9%
Fuel
3% Insurance
Admin/others
(a) VLCC operational cost breakdown (b) Containerships total cost breakdown
Figure 3.1 – Typical ship costs and fuel costs

3.1.3 Climate change
Apart from ship costs, the issue of environmental impact of shipping has been under scrutiny for a
number of years. As discussed under Module 1, an estimate of the total emissions of exhaust gases
from ships that can be attributed to international shipping was made by the IMO and indicated to be
at 2.2% of global man-made GHG emissions in 2012 accordingly to IMO Third GHG Study 2014. Also,
it was shown if no action takes place, the shipping GHG emissions will increase by 50% to 250% by
2050. This level of growth in shipping GHG emissions is not acceptable by the international
community. Thus a way must be found to reduce shipping GHG emissions much below current day
levels.
3.1.4 Scope for energy saving
The question of feasibility of reducing shipping fuel consumption has been the subject of numerous
studies in the past 15 years. All studies show that on a wider scale, it is possible to significantly
reduce the shipping fuel consumption and GHG emissions. Table 3.1 shows an example of such
studies.
Table 3.1 – Potential for shipping fuel consumption reduction [IMO Second GHG Study 2009]
There are a large number of operational energy efficiency measures for existing fleet that would
yield the above mentioned energy savings. Examples are:
Enhanced ship’s technical and operational management: Measures include:
• Enhanced weather routing.
• Optimized trim and ballasting.
• Hull and propeller cleaning.
• Better main and auxiliary engine maintenance and tuning.
• Enhanced voyage execution and performance measurement.
• Monitoring and reporting.
• Efficient operation of major electrical consumers.
• Deployment of cost effective propulsion, engines and auxiliary technology upgrades.
Enhanced logistics and fleet planning: Measures include:
• Combining cargoes, where possible, to achieve a higher utilisation rate,
• Use of combination carriers’ (to reduce ballast voyages).
• Optimisation of logistic chains.

• Enhanced routing and itinerary.
• Fewer/shorter ballast legs.
• Larger cargo batches (better ship load factor).
• Just in time operation and slow steaming.
• Changes to charter-party contract formats between charterer and ship-owner to facilitate
the above.
As an example of well-researched results, Table 3.2 shows the potential for reduction of fuel
consumption and GHG emissions from existing ships (operation) based on a study commissioned by
IMO; indicating that a big potential for shipping energy use reduction.
Bulk carrier Gas tanker Tanker Container ship General cargo/Reefer
Energy Efficiency Measure Handymax Capesize LNG LNG Panamax VLCC Panamax NPX
30-40k DWT >100k DWT 125-155k m3 >175k m3 60-85k DWT >200k DWT (4-5k TEU) (12-14k TEU) ~3.5k DWT ~10k DWT
Engine tuning and monitoring 2.5 1.8 1.8 1.8 2.2 1.6 1.6 1.6 2.9 2.9
Hull condition 3.5 3.5 3.5 3.5 3.5 3.5 3.5 3.5 3.5 3.5
Propeller condition 1.1 0.8 1.1 0.8 1.1 0.8 0.8 0.8 1.1 1.1
Reduced auxiliary power 0.6 0.9 0.7 1 0.6 1.7 0.8 1 2.6 1.1
Speed reduction (increased port efficiency) 15 15 12 10 13 12 10 11 21 13
Trim/draft 0.7 0.7 1 1.4 0.7 0.7 1.7 1.7 0.7 0.7
Voyage execution 2.5 3.4 2.5 3.4 2.5 3.4 1.4 1.4 2.5 2.5
Weather routing 0.1 1 0.1 1 0.2 1 1 0.8 0.1 1
Advanced hull coating 3 3 3 3 3 3 3 3 3 3
Propeller upgrade and aft body flow devices 3 3 3 3 3 3 3 3 3 3
SEEMP potential taking into acc. Overlaps 28.7 29.6 25.9 26.0 26.8 27.7 24.3 25.2 36.0 28.4
Table 3.2 – Operational energy saving potentials in % [LR and DNV]

The above energy efficiency measures and how they lead to energy saving and reduction of GHG
emissions, have been explained in detail in other modules (see Module 3 and Module 4 for
examples). The important point to make here is that without having a proper regulatory framework
and a good management system in place, the above measures cannot be systematically and
successfully implemented on existing ships. In this module, the topic of application of energy
management system to a shipping company and its fleet will be discussed further in order to clarify
how the above mentioned systematic approach may be pursued in a shipping company.
3.1.5 Shipping companies approach
The central aim of shipping energy management is to reduce energy costs and GHG emissions
without compromising the operational and technical aspects of ships operations in particular the
safety, availability and service life of the equipment and their reliable and ease of use.
The regulatory framework for shipping energy efficiency for new ships is to a large extent in place.
For existing vessels, the SEEMP regulations are in place and work on “further operational measures”
is underway and has progressed well so far. For existing vessels, there will be more regulations on
data collection and reporting in the future. The regulatory framework for shipping energy efficiency
for existing ships was fully discussed in Module 2. Accordingly, each ship should have a SEEMP on
board. These regulatory aspects will not be discussed anymore here.
Within the IMO guidelines on SEEMP, the shipping companies are encouraged to have a “company
energy efficiency management plan” in order to do the overall fleet optimisation and management
of the relevant stakeholders. Although the company energy efficiency management plan is not a
mandatory requirement, a question is normally raised that how a company energy efficiency
management plan should be developed, documented and implemented. In this course, it is
advocated that a company is best to develop such a company-level plan under the name of a
Company Energy Management System (CEnMS). Also in this course, it is advocated that the CEnMS is
best to be developed using principles as described within ISO 50001 as fully described in Section 2.
As the requirements for SEEMP (by IMO guidelines) and CEnMS (by ISO 50001) have already been
presented and discussed, the aim of this section is to deal with more detailed and practical aspect of

application of SEEMP and CEnMS to a shipping company and its fleet to ensure that the company
achieves what it has planned.
For a shipping company to succeed, it needs to implement SEEMP effectively at ship-level and
CEnMS at the company-level. The SEEMP and CEnMS should work hand in hand to manage the
overall processes.
3.1.6 CEnMS and SEEMP scope of application
Although CEnMS and SEEMP may be assumed to be similar by readers, in fact they are different and
will have different scope. Some complementary aspects of the two are highlighted here:
• SEEMP is only applicable to a “specific ship” and is used mainly on-board ships. CEnMS is not
for a specific ship but for a “specific company”. The CEnMS will be mainly implemented at
shore office. Thus CEnMS will include more generic and higher-level activities than the
SEEMP.
• SEEMP contents are primarily implementation oriented. This means that the strength of a
SEEMP should be on how to implement the EEMs at the ship-level together with a good
definition of what to be done and ship staff’s roles and responsibilities. Although aspects of
planning, monitoring and self-assessment are included in the SEEMP, they are not normally
the responsibility of the ship-board staff to implement.
• The CEnMP on the other hand is more oriented to planning, monitoring and self-assessment
of the fleet’s SEEMPs effectiveness and other high level management activities relating to
energy such as bunkering, provision of third party services to ships and so on. Thus it should
provide company-wide and fleet-wide activities that ensure a better planning and energy
management activities and a better monitoring and assessment of the results of
implementation of these activities along with the external stakeholder management aspects.
Along this scope of work, the following are mainly should be reflected in the CEnMS:
o Energy planning activities for improvement of both CEnMS and SEEMPs.
o Energy policy development for the company as a whole inclusive of ships in the
fleet.
o Definition of monitoring system and relevant KPIs, baselines, data collection and
data analysis systems. Establishment of a monitoring and reporting system for
energy efficiency data.
o Methods for the self-evaluation (company level) of the effectiveness of various
SEEMPs plus the CEnMS itself.
o Coordination and collaboration with the major external stakeholders that influence
fleet’s operation.
Based on the above, the scope of the CEnMS and ship-level SEEMPs will be different and they will be
more complementary rather than overlapping. This is important for ensuring that the company does
all elements of activities that are foreseen under IMO SEEMP and ISO 50001 in a harmonious way.
3.2 Ship-level energy management plan (SEEMP)

3.2.1 EEMs at the core of a SEEMP
In this section, ship-level energy management is discussed with specific reference to SEEMP. As
discussed in Module 2, the methodology for the development of a SEEMP should be based on the
IMO MEPC guidelines. Accordingly, the SEEMP development involves all aspects of planning
including:
 Identification of current status of the ship in terms of energy use and performance.
 Target setting for energy use or energy performance of the ship (voluntary).

 Identification of EEMs (Energy Efficiency Measures).
 For each selected EEM for implementation, the following should be done:
o Definition of implementation method,
o Definition of monitoring method
o Definition of assessment method
 Documentation of all the above in the SEEMP.
Under IMO SEEMP development guidelines, there is no requirement for the development of an
“energy policy” and setting target for energy saving is also voluntary. Monitoring at the overall-level
is advocated via use of the EEOI or another indicator but no references are made to the monitoring
of individual EEMs. Additionally, it is mentioned that monitoring should be done by shore-based staff
rather than ship-board personnel. Also, the SEEMP is ship-specific, thus for every ship a separate
SEEMP that is compatible with ship systems, its operation pattern, etc. need to be developed.
3.2.2 Implementation of EEMs
The implementation of a SEEMP could take a variety of forms. It is argued here that each of the
EEMs within a SEEMP needs to be implemented as if it is a form of a “technical and operational
project”. The term project is used here to emphasise that each EEM need to have a starting date and
end date, it would have a budget and responsible person(s), it would have criteria for monitoring
and measuring success and so on. This approach is different from those currently practiced that just
provide a listing of a number of EEMs in a SEEMP and leave them to goodwill of relevant managers
and personnel to implement. Development of a CEnMS could help to organise this process.
As far as a shipping company’s energy management activities are concerned, the ship-board
activities are mostly devoted to the implementation side. This means that various identified EEMs
need to be implemented by ship staff. Planning, monitoring and self-assessment of ship-board
activities are mainly done by the head-office staff and should be the subject of significant work
within the CEnMS framework.
3.2.3 Continuous improvement approach
To include continuous improvement, the energy management systems will be done in steps through
a number of cycles (see Figure 3.2).
Figure 3.2 – The concept of step-by-step approach to energy management

As indicated above, typical steps could be:
 Step 0 (initial planning): Understand where the ship/company is, analyse potential for
improvements and decide where the ship/company wants to save energy and start define
the target and develop the energy management action plan.
 Step 1 (low cost measures): These are normally referred to EEMs that can be implemented
at zero or very low cost. They are the so-called “low hanging fruits”. In this step, the
concentration will be on these EEMs that may largely include aspects such as improvement
to daily operations and maintenance activities. This implementation may require significant
effort of cultural change on how things should be done as against how they are done now.
 Step 2 (medium cost measures): When step 1 targets are achieved, then EEMs that would
involve some cost expenditure for implementation will need to be handled. These are
measures that could offer a good return on investment and typically have payback periods
of less than 2 years.
 Step 3 (high cost measures): These are measures that may have significant cost of
implementation (e.g. technology upgrade) or commercial implications (e.g. slow steaming or
itinerary changes). These measures need significantly more analysis, deliberations with
stakeholders (e.g. charterers) and so on. In fact, the longer term potential for financial
return for these measures may be higher compared to other measures but elements of risks
are also higher.
The above step-by-step approach to the issue of energy management is compatible with continuous
improvement cycle approach that is built in the SEEMP and ISO 50001. Figure 3.3 shows the
associated costs and payback related to the above three steps. As mentioned, latter steps will
include measures that could be more costly as well as return on investment (payback) will not be
necessarily in the short term.
Figure 3.3 – Cost and payback for measures under step 1 to step 3
3.3 Company-level energy management system (CEnMS)

As advocated under IMO SEEMP in Module 2, a company needs to have a company energy
management system in order to coordinate not only the fleet SEEMPs but also provide company-
level coordination with external stakeholders such as charterer, shipper, shipbuilder, and other
service providers. To do this, the best option will be to develop a CEnMS based on ISO 50001
principles.

The development of company-level CEnMS based on ISO 50001 would need to be defined by the
company. As indicated before, the following areas need to be dealt with in a shipping company
CEnMS:
• Energy policy, its communication and awareness raising on the subject.
• Monitoring system and its implementation inclusive of KPIs, baselines, data collection, data
analysis and so on.
• Self-evaluation methods and how to evaluate the performance of various SEEMPs at top
management level
• Training of staff at company-wide level. Increasing motivation and competence to deal with
energy saving aspects.
• Reporting to external stakeholders including major clients and regulatory authorities
The above topics will be further discussed with a view to understand that a CEnMS is the home for
delivery of the all the above in an integrated fashion while ship-level SEEMPs are exclusively devoted
to implementation of EEMs.
3.3.1 Company “energy policy”
The company energy efficiency policy is of vital importance in determining and setting the agenda
for GHG emissions and fuel cost reductions in the fleet. It must be recognised that the policy not
only will give the top-level management endorsement and support for relevant activities but also
will be a significant document for communicating company values and targets, awareness raising
and securing commitment by other staff. The policy would include various important aspects
including for example stakeholders’ management in particular the clients with whom the company
intends to work most closely and effectively to achieve the objectives.
The energy policy will need to be prepared for the company as a whole. To achieve maximum
reduction of GHGs, it is important that the management has a policy to improve the energy
efficiency of all the ships it operates. Looking at individual ships in isolation will not reap the highest
benefits. The company management should define and communicate the companies' values and
aspirations in the policy and provide details of how they intend to achieve these objectives.
The content of the policy will be influenced and dictated by the company’s nature of business, the
types of ships, the area of operation, the trade the ships are on, the size of the fleet and overall
company strategies. The list below provides some aspects that could be included in the company’s
energy policy:
 Commitment at the highest level: Creation of policy provides a significant signal by the company
management, at the highest level, to demonstrate commitment to a GHG reduction and energy
saving policy. This is very important as otherwise it will imply that top management is not taking
this issue seriously. If the commitment of top management is not expressed clearly to staff, then
it is very unlikely that the operational shore staff or ship’s crew will take energy saving activities
seriously. One of the best ways to demonstrate the companies' commitment to energy efficiency
is by including this commitment in the policy statement right from the beginning.
 Company targets: The policy would need to include targets, if any, to give credibility to the
policy statement. Although a policy could be developed without specific targets, it would be
much more effective to have targets and monitor progress at a later stage against the target.
However, targets should be easy to understand and feasible to be achieved with foreseen
workforce and financial resources.
 Communication to staff: The dissemination of information to internal workforce and wider
international community is important for motivation of staff and branding of the company. The
communication aspects need to be included in the policy statement.
 Monitoring methods: There have to be provisions in the policy how the monitoring of

achievements will be made. The company policy should clearly state how the company intends
to monitors the energy efficiency activities. The company may decide to implement energy
audits or other means for this purpose, it is best that these are mentioned in the policy
document.
 Reporting and communication to external stakeholders: The policy document should detail
how it intends to measure, monitor and report the energy efficiency activities to external bodies.
The reasons/basis for sharing this information need to be mentioned to strengthen the policy
statement.
 Importance of ship specific SEEMPs: The policy should also stress the importance of the ship
specific SEEMPs for ship-level energy management activities and endorse management
commitment to their full implementation.
 Other specific aspects: The policy is best to contain the strategic aspects for improving the
utilisation of its fleet's capacity and stress the need for planning. This could include the reduction
of long ballast voyages, port times, time it takes to load or discharge or the use of shore power
or weather routing services. The policy could also include the replacement of older tonnage with
new more efficient ships or technology upgrade aspects that would show financial commitment
to future improvements. In short, anything important from top management point of view
needs to be included.
The policy document, when developed and endorsed by top management, should be available to all
of the employees. The document should be written clearly and unambiguously and set achievable
and understandable objectives. The content of CEnMS and SEEMPs should be compatible with the
policy statement.
3.3.2 Energy review
As part of SEEMP and also CEnMS developments, energy planning and reviews or audits need to be
carried out (see Section 2 on energy planning). Energy reviews can be used either as part of planning
or monitoring phases of the energy management activities. For planning phase purposes, the end
result of energy review or audit would be a set of recommendations on best ways of saving energy in
the form of a prioritized list of Energy Efficiency Measures (EEMs).
For monitoring phase purposes, the main aim of using energy review or audit would be to check if
the implementation of various EEMs or overall reduction in energy performance indicators has
undergone according to plan and if any quantitative savings have been accrued. Thus, for the two
purposes, two different approaches may be used but techniques used for identifying the potentials
will be the same.
The energy review involves a number of activities such as definition of energy baseline(s), energy
performance indicators, energy objectives and targets and most of all the energy efficiency
measures. The final choice of measures to be implemented will be decided by technical feasibility
study as well as economic-cost-effectiveness assessment. The methodology and techniques for
conducting an energy review or audit are described in detail in Section 4.
3.3.3 Energy efficiency monitoring and reporting
Energy efficiency performance monitoring should be done as part of SEEMPs or CEnMS for the
company’s internal purposes to ensure that various EEMs are properly implemented. Monitoring
should be part of both SEEMPs and CEnMS with main emphasis on activities to be carried out at the
head office. For monitoring of major EEMs and dealing with a large number of fleet wide EEMs, the
monitoring could be more of a technical challenge and would involve provision of KPIs and their
trends to identify how various ships are performing in relation to energy efficiency. In most cases,
one or each set of EEMs (e.g. hull maintenance) will have its own methods and KPIs for monitoring

purposes. These technical aspects of ship performance monitoring are discussed in detail in Section
5 and thus will not be further discussed here.
3.3.4 Energy efficiency training of staff
Increasing the energy efficiency awareness of the shore-based and ship-board staff by means of
training can lead to a change in behaviour that has positive impacts on the reduction of ship-board
energy use and fuel consumption. For effective implementation of the company's energy efficiency
policy it is necessary to raise awareness and providing the necessary training both for shore based
and shipboard personnel.
The company should ensure that as part of each crew member’s initial on board familiarisation, they
are instructed on the part that they each can play in reducing on-board ship fuel consumption. The
company may also consider the implement ‘Computer Based Training (CBT)’ program and poster
campaign to increase crew awareness of GHG emissions issues. There should be regular on board
meetings with all the crew to discuss the effectiveness of the shipboard energy efficiency plan. Ideas
of best practice received from the seafarers should be documented and passed back to shore so that
they can be evaluated for use on other vessels and perhaps included in a company-wide energy
efficiency bulletin.
It is often a good policy for officers and in particular senior officers joining company vessels to be
briefed in the shore office by the superintendent responsible for implementing the energy efficiency
plan. The senior officers should be asked to study the documented energy policy, relevant SEEMP
and be familiar with CEnMS, if applicable. This familiarisation should be assessed and verified prior
to joining the vessels. If this is not practical for officers at operating level, then they should be
required to study the policy document on board and confirm that they have read and understood it.
The designated on board environmental officer may consider regular on-board awareness and
training programs for shipboard personnel which could form part of the on-board Safety
Management System (SMS) training program. The results of these training sessions should be
reported back to shore office for information.
Company management should also provide regular updates to explain how well the company is
performing and if practical provide incentives for those ships or employees that demonstrate both
results and commitment to the company’s energy policy and objectives. The company magazine or
other publicity documents could contain regular articles on not only the company’s policies and
objectives but general articles of the causes and effects of GHG emissions is a global problem that
requires input and efforts by all.
3.4 Summary main features of company energy management system

A good energy management system will have the following main characteristics
 Corporate leadership:
o Management understanding and commitment via a written energy efficiency policy.
o Allocation of resources (man-power, funding etc.) for implementation.
o Review of energy management performance and setting targets for continuous
improvement.
 Planning aspects:
o A documented energy efficiency plan is in place.
o Energy efficiency plan is linked to policy, programme and targets on energy
efficiency.
o Energy efficiency measures are fully documented and ready for implementation.

 Human resources and training:
o Energy management roles and responsibilities and team are defined and
operational.
o Increasing awareness through communication and training have created the
personnel’s commitment and support.
o Recognition system for energy management achievements is in place.
 On technical and operation management

o This includes considering energy efficiency in ship design, purchasing of material and
equipment, maintenance and ship operation.
o Accurate analysis of the energy use in all processes and equipment is in place.
o Best-practice performance monitoring for assessment of success level.
o Best-practice maintenance of equipment for energy efficiency.
o Operation profile controls and ship itinerary (activity) management are important
aspects in this regard.
 Information gathering and management

o Company collects and keeps history of accurate energy use and performance data.
o Clear and effective communication procedures are in place to keep the staff and
external stakeholders informed of progress.
o A proper information management system is implemented.
 Reviews and assessment

o The organisation monitors and controls the energy management system
performance on a continuous basis.
o The organisation has in place appropriate KPI’s for checking the energy management
performance.
o The organisation conducts management review on a regular basis to track the
achievements and identify opportunities for further improvement.

2. IMO Third GHG Study 2014, MEPC 67/INF.27, published 2014.
3. IMO Second GHG Study 2009, published by IMO 2009.
4. LR and DNV, “Estimated CO2 emissions reduction from introduction of mandatory
technical and operational energy efficiency measures for ships”, Report by Bazari Z and
Tore Longva , IMO MEPC 63/INF.2, 31 October 2011.
5. “Estimated CO2 emissions reduction from introduction of mandatory technical and
operational energy efficiency measures for ships”, IMO MEPC 63/INF.2, 31 October
2011.
6. IMO MEPC Resolution MEPC.213(63), “2012 Guidelines for the development of a ship
energy efficiency management plan (SEEMP)” Adopted on 2 March 2012.
7. ISO 50001:2011 “Energy management systems -- Requirements with guidance for use”,
ISO publications.

8. IMO MEPC Resolution MEPC.203(62): Inclusion of regulations on energy efficiency for
ships in MARPOL Annex VI, Adopted on 15 July 2011.
9. Lloyd’s List, “CMA 2013: GL Eco Study Finds 4,500 TEU Boxships Deliver Biggest Savings”,
http://www.lloydslist.com/ll/sector/ship-operations/article419461.ece, cited September
2015
10. Lloyd’s Register 2015, “European Union Regulation on Monitoring, Reporting and
Verification of Carbon Dioxide from Ships”, Lloyd’s Register Summary – EU MRV, Version
4.0 – May 2015.
11. Regulation (EU) 2015/757 on “the monitoring, reporting and verification of carbon
dioxide emissions from maritime transport”, and amending Directive 2009/16/EC,
adopted by the European Parliament and the Council of 29 April 2015

4 Energy Audit and Review
4.1 Introduction
Energy audits or reviews are key to a systematic approach to an effective planning for energy
management. It represents a quantitative assessment of a company/facility/ship energy inputs and
outputs and attempts to balance the total energy inputs, output and losses at top level as well as for
major energy using systems and equipment. As such, it is used to assess all the energy streams in a
facility (such as a ship) with the main objective of identifying ways to reduce its energy consumption,
energy baselines and so on.
As discussed earlier, the main operational expenses of a ship is found to be fuel cost plus other costs
such as maintenance and repair and crew wages. If a choice is made to reduce the operational costs
via improving performance amongst the above three main cost items, energy would invariably
emerge as a top preposition and thus energy management constitutes a strategic area for cost
reduction.
Energy audit or review helps to understand in detail about the ways energy and fuel are used in any
industry, thus helps in identifying the areas where waste can occur and where scope for
improvement exists. The scope of an energy audit or review varies from industry to industry but
generally could include supporting the corporate aspects such as reducing energy costs, reducing
environmental impacts, ensuring availability and reliability of supply of energy, use of appropriate
energy mix, identify energy conservation technologies, retrofit for energy conservation equipment
etc. Energy audit or review seeks to identify the technically feasible energy conservation solutions
taking into account economic and other organizational considerations within a specified time frame.
Energy audit and reviews are mandated activities in some of the existing management standards.
For example, in development of a CEnMS based on ISO 50001, carrying out energy review is a
requirement, see Section 2. Another example is the EU Directive on Energy Efficiency [Directive
2012/27/EU] that makes energy audit of enterprises a requirement unless they are certified for ISO
50001 that implies they have already undertaken an energy review.
So, in terms of requirement, various standards may have a varied level of requirements on how
energy audit or review should be done or documented. For example, on the need for documentation
and certification, ISO 50001 advocates the following:
• The methodology and criteria used to develop the energy review shall be documented.
• The energy review shall be updated at defined intervals, as well as in response to major
changes in facilities, equipment, systems, or processes.
However, technically speaking, energy audit and review are not that much different. As such, in this
section, the techniques for carrying out an energy audit is described, assuming that same techniques
could be used to perform energy reviews.
Energy audit is defined in EU Directive 2012/27/EU as:
“Energy audit means a systematic procedure with the purpose of obtaining adequate
knowledge of the existing energy consumption profile of a building or group of buildings, an
industrial or commercial operation or installation or a private or public service, identifying
and quantifying cost-effective energy savings opportunities, and reporting the findings.”
EU has also developed European standards for energy audits. EN 16247:2012 series of standards
provide more formal techniques for energy audits. An abstract of EN 16247-1:2012 states that [CEN
website]:

“This European standard specifies the requirements, common methodology and deliverables
for energy audits. It applies to all forms of establishments and organisations, all forms of
energy and uses of energy, excluding individual private dwellings. This European standard
covers the general requirements common to all energy audits. Specific energy audit
requirements will complete the general requirements in separate parts dedicated to energy
audits for buildings, industrial processes and transportation.”
4.2 Types of energy audit

The types of energy audit to be performed depend on:
• Function and type of industry (for example for shipping it will be somewhat different from a
production factory).
• Depth and details to which the final audit is needed. This defines the scope of audit and
what sort of output is expected from it.
• Potential and magnitude of cost reduction desired.
As a result, energy audit can have varied scopes; however in general terms energy audits are
classified into the following two types.
• Preliminary energy audit
• Detailed energy audit
Preliminary Energy Audit: A preliminary energy audit is a relatively quick review of energy
performance of facility that aims to:
• Establish overall energy consumption and its profile in the organization/facility.
• Estimate the scope for energy saving.
• Identify the most likely and the easiest areas that could provide saving potentials.
• Identify immediate (especially no or low-cost) improvements/ savings.
• Set a 'reference point' or establish a baseline for the organisation/facility.
• Identify areas for more detailed study/measurement for subsequent assessments.
For preliminary energy audit, normally existing or easily obtainable data are used and does not
include any independent measurement campaign. A preliminary energy audit is sometimes referred
to as a “walk-through energy audit” as it does not involve significant level of data analysis.
Detailed Energy Audit: A detailed energy audit provides a more comprehensive approach to the
issue with detailed data gathering and data analysis for identifying and analysing the EEMs. It aims to
provide enough information to enable decision making process or development and planning of
energy saving projects. It effectively evaluates all major energy using systems. This type of audit
offers the most accurate estimate of energy savings and cost. It considers the interactive effects of
all energy saving measures, accounts for the energy use of all major equipment and includes
detailed energy cost saving calculations and project costs.
In a detailed energy audit, one of the key elements is to establish the energy balance for the facility
or organisation. This is based on an inventory of energy using systems, assumptions of current
operating conditions and calculations of energy use. This estimated energy use together with some
degree of system modelling that compares well to the actual fuel and energy used; can provide
insight into the way energy is procured and consumed.

4.3 Ship energy audit process
4.3.1 Overview
A ship energy audit is considered as a specific energy audit that is tailored made for evaluation of a
ship energy performance and identification of a ship’s Energy Efficiency Measures (EEMs). It is
therefore a review and assessment of the overall fuel/energy consumption and efficiency of a ship
with the main objective of identifying a set of EEMs5 that when implemented would lead to reduced
ship’s fuel consumption. Identification of EEMs is the first step for development and implementation
of a ship-specific energy saving programme as well as developing an organisations’ energy
management system (i.e. CEnMS) and a ship’s energy management plan (i.e. SEEMP).
In ship energy audit, the focus is on identifying the existing status of a ship’s operational processes
and technical activities, and their comparison to best-practice or benchmarks. The analysis,
depending on scope of the energy audit, involves some level of data collection and data analysis. As
a result, areas of energy savings are identified, analysed and documented. Figure 4.1 shows the
generic process diagram for such an energy audit / review.
Figure 4.1 – Energy audit or review process [Bazari 2012]

In Figure 4.1, each “item” (see green triangle) could be a ship engineering system, machinery /
equipment or operational activity that needs to be systematically analysed for energy efficiency. For
each “item”, relevant data need to be collected and relevant benchmarks defined. Table 4.1 and
Figure 4.2 show examples of main areas and aspects of a ship that should be investigated one by one
as part of the ship energy audit.
Hull condition and performance
Ship’s operation and fuel consumption profiles
Ship voyage management and weather routing
Main engine’s condition and performance
Auxiliary engines’ condition and performance
Ship’s auxiliary electrical loads reduction
Auxiliary machinery utilisation and performance
5
The ship’s EEMs refer to those operational, technical and technology upgrade aspects of a vessel that if implemented, would lead to
improved energy performance of a ship.

Fuel quality and fuel treatment system
Lighting system and types of lamps
Steam boilers
Steam system and piping condition
Technology upgrade potential (equipment retrofit)
Personnel training needs
Etc.
Table 4.1 – Ship energy audit – Example areas to be assessed
Figure 4.2 – Ship energy audit – Example areas to be assessed [DNV 2011]
4.3.2 Ship energy audit phases
Generally, a ship energy audit involves a ship-board survey and thus the audit as a whole may be
carried out in three phases:
 Phase I – Pre-audit: This relates to all activities before the ship visit and survey. Activities under
this phase could include:
o Preliminary data gathering: The data would include ship’s design data, speed trials data and
operational data.
o Initial data review: The preliminary data gathered are reviewed, preliminary candidate areas
for further investigation are identified, some benchmarks are developed and the ship-board
“energy audit” plan is prepared.
 Phase II - Audit: This includes ship survey, data analysis and reporting. Activities under this
phase could include aspects such as:
o Ship energy survey: The ship is visited and the planned survey activities are carried out,
facilitated by ship personnel. This stage consists of a number of activities that involve
walkthrough of ship engine room, deck and cargo control room, brainstorming and
discussion with relevant personnel in particular the master and chief engineer and detailed
investigations and data gathering from relevant record books, manuals, digital archives, etc.

o Data analysis: Final data analysis is performed with the objective of identifying the final list
of EEMs, their relevant energy saving level and the techno-economic feasibility analysis of
each EEM.
o Energy audit report: A report inclusive of findings and supporting evidences is prepared.
 Phase III – Post-audit: This refers to activities that may be needed to support the post audit
implementation by the client.
4.4 Typical data analysis

A ship energy audit/review involves a significant level of data analysis. The depth and breadth of
data analysis depends on type of investigation and level of detail agreed. In this section, examples of
such types of analysis are given.
4.4.1 Ship operation profile
For improved voyage management and itinerary optimisation, evaluation of ship operation profile is
an important area. The objective of this evaluation is to make sure that the itinerary and voyage
management are planned and performed according to best practise. The assessment of ship
operation profile will normally give an indication of excessive waiting periods or lack of ship activity.
For this purpose, the ship duration of stay in ports, anchorage, etc. is an important factor that needs
to be evaluated. Figure 4.3 shows an example of such a profile for an oil tanker.
Figure 4.3 – Typical ship’s operation profile by operation mode

Analysis of the above timings for this tanker then need to be carried out against ideal cases with no
waiting by considering time for loading, unloading and bunkering, etc. As a result, it could be
decided if there are opportunities for improvement or not.
4.4.2 Fuel consumption profile
The ship fuel consumption profile represents the balance of fuel used by different combustion
systems (e.g. main engines, auxiliary engines and boilers). It can give an indication if any of the ship
systems consume relatively higher fuel compared to expected best-practice levels. This then could
be a good lead for further investigations of the causes of excessive fuel consumption and thereby
identification of energy efficiency measures.
Figure 4.4 shows an example of a ship’s fuel consumption profile; indicating percentages of fuel used
by various systems. Comparing these with industry benchmarks and other ships in the fleet will
indicate if any of the system may have been used inefficiently.

Figure 4.4 – Ship fuel consumption profile by system
4.4.3 Hull performance assessment
Analysis of a ship’s speed-power or shaft rpm-power is the main analytical way for identification of
hull and propeller fouling (see Figure 4.5). Under-water inspection of hull and propeller is an
alternative technique. The data analysis techniques used for this type of investigations are similar to
those performed under “ship performance monitoring” that is covered in Section 5.
Figure 4.5 – Speed-power curve analysis [Bazari 2012]

4.4.4 Engine performance assessment
The methodology used for engine performance assessment (for both main and auxiliary engines) is
based on what is normally used on-board for engine’s condition and performance monitoring.
Almost all ships perform engine cylinder pressure measurement (see Figure 4.6 as example). The
system used normally analyse the cylinder pressure diagram and fuel injection profile (if measured)
that would indicate anomalies with fuel injection system, cylinder liners, piston rings od engine
valves. This test and its analysis are normally carried out on a monthly basis as part of the ship’s
planned maintenance system.

Figure 4.6 – Typical on-board cylinder pressure measurement [Bazari 2012]
Such monthly data are normally available on board ships and can be gathered and analysed for this
purpose. Additionally, data such as turbocharger speed, scavenge pressure and temperature can be
used to re-enforce if the engine is optimised or not. The techniques used during energy audit to
assess the performance of the engines are similar to those used for engine performance monitoring
as described in Section 5.
4.5 Techno Economic Analysis

Identification of EEMs and their potentials for energy saving does not warrant that the saving
potential could be realised in practice. Technical aspects and/or economic aspects could act as
barriers. Therefore, each EEM needs to be assessed both technically and economically to find out if
they are feasible and cost-effective. As part of the energy audit, such preliminary techno-economic
analysis of each identified measure may be carried out.
For a company who is serious about energy saving and efficiency, the techno-economic feasibility
will be very important to be carried out correctly. The reason for this is that:
 The choice of EEMs for implementation purposes should be based on a sound technical
feasibility assessment by the company. The barriers for proper implementation needs to be
identified and planned to be resolved if the EEMs are going to be included in SEEMP and
CEnMS.
 Implementation of any measure for energy saving will involve cost either in the form of
additional capital or operating expenditures plus additional staff time that can be converted
to money as cost.
 Taking these costs in relation to energy saving and cost saving will indicate the cost-
effectiveness of the adopted measure.
4.5.1 Technical feasibility assessment
The technical feasibility aspect focuses on mainly design, operation and technical aspects as well as
ship board details such engineering changes needed, space availability, etc. The extent of technical
feasibility study depends on the type of the measure. The preliminary feasibility can be assessed as
part of the energy audit during ship survey; however, for major investment EEMs, the ship owner
would normally carry out further technical feasibility studies before implementation.
For a specific case of slow steaming or virtual arrival, as suggested in the section on contract of

carriage a particular ship on a particular voyage on a particular contact may or may not be able to
slow steam or apply virtual arrival techniques, which is why both the ship managers and chartering
department must be involved in any policy decision or feasibility analysis of the proposal. Efficiency
is also dependent on ships being of a suitable design and size for trade. There must however be
sufficient transport demand. Use of large ships may be constrained by port, canal, lock, berth
dimensions, cargo gear capacity and the depth of the approach channel. If this is the case the cargo
may have to be trans-shipped from a hub port by feeder ships which are smaller and less efficient so
negating the gain of using the larger ships particularly with the extra energy and cost of discharging
and loading on to another vessel. So these are the aspects that need to be taken in the technical
feasibility of this specific proposal.
4.5.2 Economic cost-effectiveness assessment
Perhaps the most important factor when considering energy management is the cost of fuel that
can either make or break a GHG strategy particularly when it involves buying expensive equipment
to reduce fuel costs. Some approaches to reduce GHGs emissions are only financially viable when oil
prices reach a specific level and are expected to stay above that level long enough to provide an
adequate financial return on the investment in the particular energy efficiency improvement
method. There will therefore always be an element of financial risk or reward when deciding on such
policies especially when the price of fuel is volatile. When the price of oil is high, many measures are
becoming cost effective and return on investment is proportionally linked to fuel price and is higher.
The economic assessment of the measures is required to show if the measures are economically cost
effective. For economic evaluation, capital costs and running costs (energy use, maintenance,
manning, etc.), and fuel price need to be considered. Economic data is normally difficult to find and
they are changing from one ship to another. The extent of economic assessment depends on the
type of measure. Economic assessment could be based on simple pay-back period calculations or
somewhat more involved methods such as Net Present Value (NPV) techniques. For preliminary
feasibility analysis, simple pay back is sufficient. The main techniques are described below [MEPC
62/INF.7].
Payback period
The simplest method to evaluate investments is by estimating the payback period. The payback
period is simply the investment divided by the net savings per period. The investment will include
cost of technology plus installation. The net saving will include saving due to fuel cost minus any
additional operating costs (personnel, maintenance, etc.). For example, an investment of $1000 that
saves $400 annually has a payback period of 2.5 years. While the payback period is often used as a
rule-of-thumb evaluation of investments, it has some disadvantages. First, it does not properly
account for the time value of money as it has no discount rate. Second, it gives no information on
the total profits over the life of the investment.
Net Present Value (NPV)
A more sophisticated way to evaluate new investments is the Net Present Value (NPV). It is an
indicator of the value of an investment. By definition, this is the difference between the capital costs
of an investment and the present value of the future flow of profits. The formula for NPV is:
Where:
 Ro – the investment at t=0; to be given a negative number.
 T – the lifetime of the investment
 Rt – the net cash flow (cash inflows minus expenditures) at time t

 i – the discount rate
When calculating the NPV, assumptions must be made on the lifetime of the investment and the
discount rate must be determined. The discount rate can be based on the company’s borrowing rate
or cost of capital or any other rate the company uses for such investments.
For example, an investment of $500,000 today is expected to return net $100,000 of cash each year
for 10 years. The $500,000 being spent today is already a present value. However, the future cash
receipts of $100,000 annually for 10 years need to be discounted to their present value. Let's
assume that the receipts are discounted by 14% (the company's required return). This will mean that
the present value of the future receipts will be approximately $522,000. The $522,000 of present
value coming in is compared to the $500,000 of present value going out. The result is a NPV of
$22,000 coming in.
Investments with a positive NPV would be acceptable and those with negative NPV value would be
unacceptable.
Internal Rate of Return (IRR)
Another way to evaluate investments is to calculate the internal rate of return (IRR). It is an indicator
of the yield of an investment, not of its value. By definition, the IRR is the discount rate for which the
NPV is zero. Therefore the above formula for NPV can be used but this time NPV=0 and T that is the
lifetime of investment is assumed to be known (e.g. 5 years). The term “i” here is referred to as IRR
and needs to be calculated. This is a more sophisticated way of appraisal of investment than the pay-
back period that does not consider any discount rate at all.
NPV is the most accurate approach to evaluate investments as it gives information on the total
expected profits, and requires the cost of capital as an input in addition to the assumption on the
lifetime of the investment. It is not the intention of this course to evaluate the differences between
the above economic assessment methods. For those engaged in energy saving activities and not the
economic decision making, the simplest method of pay-back period calculation will suffice.
4.5.3 MACC and its development
For overall presentation of cost effectiveness of results as well as potential CO2 reductions for a ship
or a fleet and for management purposes, development of MACC (Marginal Abatement Cost Curves)
for the company fleet or ships will be a useful way of communicating the results and priorities on the
basis of each EEM and as a whole.
Additionally and apart from ship energy audit, the economic assessment of the EEMs is of utmost
importance in CO2 reduction activities. Many organisations including IMO have carried out studies in
this area. The basic requirement is that how much it costs to reduce CO2 emissions when different
measures are implemented. Off course the answer will be specific for each ship.
To answer the above quest, calculation of the Marginal Abatement Cost (MAC) is advocated. Also
presentation of results in the form of MAC Curve (MACC) is commonplace. In shipping, SNAME and
IMarEst collaboratively have conducted a comprehensive study of MAC. Some of the material in this
part is taken from this report [MEPC62/INF.17].
What a MACC shows
Marginal Abatement Cost Curve (MACC) is used to show potential CO2 reduction of various EEMs
versus associated costs/benefits in a very visual and simple way. The MACC shows the reduction
potential (tonne/year) and abatement cost ($spent/tonne CO2 reduction) on one diagram. A typical
one developed for international shipping as a whole is shown in Figure 4.7 as example. The X axis
represents CO2 reduction potential and Y axis shows the relevant costs per unit of CO2 abatement.

Figure 4.7 – Typical MACC for international shipping [DNV 2010]
How to develop a MACC
To develop the MAC curve as in Figure 4.7 but for a single ship, the following steps need to be taken:
1. Step 1 – Identify EEMs and their energy saving potentials in terms of for example percent
reduction in the ship’s fuel consumption. This is best to be done via an energy audit or
review as explained above. From fuel consumption reduction, one can calculate the CO2
reduction level using relevant emission factor and normalise to an annual value. This will
provide a number that later on could be used for X axis.
2. Step 2 - Calculation of the cost-effectiveness of individual measures: Cost-effectiveness is
by definition the ratio of costs to saving levels both measured financially. There are various
financial methods to estimate the cost effectiveness including payback period, IRR and NPV
as discussed earlier. However, and for CO2 studies, a far more better method is use of
Marginal Abatement Costs (MAC). The relevant calculations can be done as outlined below.
The MAC calculation per unit of CO2 reduction will be used for Y axis.
3. Step 3 – Ranking and putting in order the EEMs from lowest MAC to highest MAC (i.e.
lowest cost EEM to highest cost EEMs).
4. Step 4 – Plotting the MACC. Use the ranking system, each EEM represented by a rectangle
where its vertical side is the MAC and the horizontal side is the CO2 reduction level. These
rectangles will be next to each other as shown in Figure 4.7.
Thus MACC is formed by plotting of the cost effectiveness of measures against the resulting
cumulative reduction in CO2 emissions. For each combinations of ship type, size and age, there are a
suite of technical and operational measures that can be applied, thus MACC for ships will change
depending on their circumstances.
Simple formula for MAC development
The following formulas can be used to estimate the X and Y axis value for the MACC
[MEPC62/INF.17].
(1)
Where:

 ΔCj is the change of annual cost of for the implementation of EEMj, estimated as per
equation (1)
 Kj is the capital cost of the EEMj, discounted by the interest rate and written down over the
service years of the technology or the remaining lifetime of the ship, whichever is shortest;
 Sj is the service or operating costs related to the application of EEMj.
 ΣOj is the opportunity cost related to lost service time and/or space due to the installation of
the EEMj such as the cost of days off hire for the vessel; and
 Ej is the fuel cost savings as a result of the EEMj, which is a product of the price of fuel and
the saving of fuel as described in Equation (2).
(2)
Where:
 αj is the fuel reduction rate of EEMj (% reduction in ship fuel consumption);
 F is the pre-installation or original fuel consumption for a ship,
 P is the fuel price.
The MAC value is then calculated as the ratio of change in annual cost divided by the relevant
reduction in CO2 emissions as shown in equation (3).
(3)
Where:
 CF is the carbon factor of fuel that shows the tonne CO2 generated per tonne of fuel burnt.
 F is total annual fuel consumption.
As the above formulas indicate, the main inputs to formulas are the estimated fuel saving potential
in percent, the capital and operating costs associated with implementation of the EEM, the total fuel
consumption of the ship (or any other system under consideration) and most important of all, the
fuel price. Any uncertainty in the input data will make the result uncertain. For this reason, in
developing MACC, evaluation of the sensitivity to input parameters should be considered. As some
of the parameters are uncertain in particular the future fuel prices, this sensitivity analysis will
provide a way to making a better financial decision.

1. Bazari Z, 2012 “Ship Energy Efficiency – Developments and Lessons Learnt”, Lloyd’s Register
Technical Association presentation, October 2012.
2. DNV 2011 “Energy efficiency in operations”, Presentation to the Baltics Roadshow 2011,
http://www.dnv.ee/binaries/Presentation%20EEDI,SEEMP,%20SEA%20and%203E%20Baltic
%20Roadshow2011v1a_tcm172-477641.pdf, cited September 2015.
3. Wayne C. Turner (editor), “Energy Management Handbook Sixth Edition”, April 2012,
http://www.serviciilocale.md/public/files/Energy_Management_Handbook.pdf, accessed
September 2015.

4. A Sarasquete, A Juandó, A Caldas, , F Zapata “Energy efficiency audits on ships:
Hydrodynamic aspects for energy efficiency improvements”, Congreso Internacional de
Diseño e Ingeniería Naval Cartagena de Indias, Colombia, March 2011.
5. Directive 2012/27/EU, “Energy Efficiency”, amending Directives 2009/125/EC and
2010/30/EU and repealing Directives 2004/8/EC and 2006/32/EC, 25 October 2012.
6. CEN website, “European Standards for Energy Audits: helping companies to comply with
requirements of the EU Energy Efficiency Directive”
http://standards.cen.eu/dyn/www/f?p=204:110:0::::FSP_PROJECT:35014&cs=149DEEE2629
98D2F15F2B882FFD9DDEE2, accessed September 2015.
8. DNV 2010, “Pathways to low carbon shipping - Abatement potential towards 2030”,
http://www.dnv.com/binaries/Pathways_to_low_carbon_shipping_tcm4-420472_tcm4-
428628.pdf, cited September 2015.

5 Ship Performance Monitoring and Reporting
5.1 Introduction
In shipping industry, there has been a continuous demand and interest in ship performance
monitoring (SPM) overall and also the monitoring of ship’s major operations or machinery systems.
When high fuel prices and air emissions control take centre stage in the marine industry, the urge to
increase a ship’s energy efficiency using SPM is normally higher. Additionally, the more sophisticated
engines with their recent developments in the combustion process (with thermal efficiencies
reaching up to 52%), waste heat recovery systems (with reported benefits of 10% extra energy
efficiency), use of emission reduction technologies such as SOx scrubbers and the persistent issues
of variable quality fuel; all dictate a closer monitoring on the fuel engine itself, and exhaust system
as a matter of best practice. The propulsive (hull and propeller) efficiency can be improved
significantly by reducing hull and propeller surface roughness. Frictional resistance forms about 70-
90% of the total resistance of a ship for bulk carriers and tankers (approx. 50% for cruise liners and
container vessels) and is directly affected by hull roughness, which in turn is affected by fouling.
Keeping the hull and propeller smooth and free from fouling is therefore essential for optimal ship
energy efficiency.
Hull fouling is affected by type of paints. In the past, hull fouling has been combated by antifouling
coatings for example Tributyltin (TBT) that is now regarded as environmentally toxic. The complete
ban on TBT in marine antifouling systems by the IMO in 2008 resulted in an increased use of biocide-
free foul-release coatings. There is not extensive experience on the effectiveness and performance
of new paint systems in terms of long-term frictional resistance and fouling in service. The
effectiveness of the coatings can be assessed by doing SPM over a long period and comparing speed
and power capabilities with clean-hull performance.
As a result of energy efficiency regulations (see Module 2), a large number of energy efficient
technologies has been identified that could be used on board ships. However, uncertainty in level of
savings due to each technology, and inaccuracies associated with measurement and verification of
saving level are major barriers for use of such technologies. An effective SPM would support the
uptake of these technologies.
In this section, various aspects of ship performance monitoring (SPM) are discussed. Various
methods are proposed and main components of such systems are identified. The analysis methods,
practical systems and scope of applications are discussed. The intention is to show that performance
monitoring is a key technology for ensuring an effective ship energy management campaign that
aims for a reduction in ships’ fuel consumption and environmental pollutions.
5.2 Benefits of ship performance monitoring

Knowledge and understanding of a ship’s performance and condition in terms of a ship’s speed and
power, engines’ condition, voyage performance, port operation performance, etc. are useful both
from economic and environmental points of views. The following overall capabilities and benefits
may be attributed to an effective and integrated SPM system [Thijs Willem Frederik Hasselaar]:
 Assessment of hull condition: If a proper hull performance analysis system can be
developed, it could be an invaluable tool for assessment of hull roughness, hull fouling, the
quality of coatings and paints. Also, it could be very effective in determination of the
economically optimum intervals for hull cleaning or dry-docking with due consideration for
economic penalties and delays due to fouling, etc.
 Assessment of engine condition: With a proper engine performance monitoring, the effects
of any adjustments in the timing of injection system, valve timing changes or important

engine faults such as worn or damaged piston rings, faulty injection, burned valves, fouled
turbochargers, air filters, air coolers etc. can be evaluated and diagnosed. Such a system is
needed for protection of the engines themselves that are high value costs and safeguards
the safety of ships in addition to economics benefit of having the highest engine efficiency
possible.
 Feedback to a better ship design: When the actual performance of a ship in service is known
and the degradation after a number of years is evaluated, the correct service and engine
margins can be estimated for definition of design point, definition of ship-propeller-engine
matching as well as more informed choice of propeller and engine for future ships.
 Improved commercial aspects for chartering and technology upgrade: A more accurate
estimate of the ship performance is essential not only for improvement to charter party
agreements but also for use of energy efficient ships, and decision making on use of energy
efficient technologies. When it is feasible to determine a ship’s performance accurately with
due consideration to operational environmental and loading conditions, agreements
between charterers and ship-owners or technology supplier and owners (for technology
upgrade activities) can be defined more precisely.
 Long term operational optimisation: When the ships’ performance and process parameters
are measured simultaneously at frequent intervals and over time, a large database could be
organised which facilitates more effective monitoring of a ship’s or fleet’s performance.
Trim, draft, autopilot and engine settings in different environmental conditions are examples
of areas that can be optimised. Moreover, with the availability of reliable information of the
vessel’s sailing performance, the ship’s crew would be able to obtain a better understanding
of the impact of their actions.
 Environmental assessment: As a response to global pressures caused by environmental
concerns on ship GHG emissions and the introduction of CO2 indexing schemes such as the
IMO Energy Efficiency Operational Indicator [MEPC.1/Circ484] and Ship Energy Efficiency
Management Plan [MEPC.203(62) and MEPC.213(63)], and current debate at IMO on data
collection system; all in all, the requirements for continuous performance monitoring and
benchmarking of fuel consumption, ship energy efficiency and exhaust emissions have
increased. An effective SPM will support this process.
5.3 Performance monitoring system design

To assess the performance of a ship and provide the benefits outlined above, tools that would
provide simple but would provide technically robust results need to be established. In an ideal case,
the tool will be a total-ship integrated performance monitoring system that would provide not only
an overall performance assessment of the ship but also specific assessment results for the
propulsion system, engines, machinery and voyage optimisation. Figure 5.1 shows the basic concept
of a ship performance monitoring system.

Figure 5.1 – The general concept for a ship performance monitoring [Hideyuki Ando , NYK]
At the heart of a ship performance monitoring system is the data gathering, data analysis and data
presentation aspects. This is conceptually shown in Figure 5.2.
Figure 5.2 – Performance monitoring data collection, analysis and presentation concepts
A SPM, depending on its design and purpose, could provide various functionalities. Generally, a SPM
may include modules that provide capabilities in performance monitoring of the below aspects of a
ship:
• Ship voyage and operation
• Hull and propeller
• Engines
• Auxiliary machinery
• Etc.
For an integrated performance monitoring system, detail information by using automatic data
collection and analysis are necessary. There is a need to go through feedback loops for operation
performance improvement as indicated in Figure 5.1. The combined system, especially the
combination between voyage performance, weather routing and performance monitoring is
important. An integrated SPM provides organisational improvement process for energy efficient
fleet operation that is in-line with IMO activities with regard to SEEMP, EEOI and future data
collection and reporting.

The issue of design and development of such a system is out of scope of this section; suffice to say
that a good design for a condition or performance monitoring will include [Hideyuki Ando, NYK]:
• Interface to existing on-board equipment and data systems is essential as already most of
the required data are measured on-board ships.
• Automatic data processing and transferring to shore.
• Least additional work load on crews.
• High reliability and 24/7 operation.
• Low cost of implementation.
• Flexibility of customization to existing ship-board systems.
5.4 Types of performance monitoring systems

Broadly speaking, the SPMs can fall into the following three main categories based on their method
of data collection and analysis:
• Manual: Systems with manual data logging, data analysis and reporting (for example once
every 24 hours)
• Automatic: Systems with automatic data logging, data analysis and reporting (sampling can
be every 1 sec or above and analysis can be either scheduled, continuous or on demand).
• Hybrid: Hybrid systems with some manual and automatic elements.
In practice, most of the systems are of hybrid nature with some elements of manual data logging or
actions on data. Some are significantly on the manual side and some are significantly on the
automatic side.
5.4.1 Manual systems

The manual systems normally rely on data that are gathered manually from various measurement
devices or logbooks. On-board most merchant ships, daily logbooks are used to record the engine,
fuel, navigation and cargo parameters for monitoring and regulatory purposes. Engine-logs are
mainly of interest for engine maintenance and provide technical data to assess the condition of the
engine and machinery. Deck- or navigation logbooks are used for voyage planning, insurance/safety
and ship handling analysis, while loading logbooks are used for stability assessment, cargo planning
etc. Additionally, there is significant additional ship-board information such as fuel oil analysis
records, engine condition analysis records, etc. that could be utilised.
Engine and deck logbooks are traditionally filled-in either once a day (noon-noon logs) or every
watch (4 hours) and averaged over 24 hours to form so-called ‘abstract logs’. The number of
variables that are logged depends on the requirements from the shipping company, the available
instrumentation and the motivation and training of the crew [Thijs Willem Frederik Hasselaar]. A
typical deck log contains information about the ship’s position, speed, propeller revolutions, slip,
draft, and sea state. A typical engine log book will include engine-related data such as power, rpm,
temperatures, fuel oil consumption, etc.
Because logbooks are used on all ships, they are often used for performance and condition
monitoring; primarily by the chief engineers. Their wider application for ship performance
monitoring is limited since ship performance monitoring requires a higher level of data resolution
and accuracy than what logbooks can provide. Also, the details in the logbook are average values for
a long period of time (e.g. 24 hours) that hides some of issues from observation. The following
shortcomings of manual data logging can be named [Thijs Willem Frederik Hasselaar]:
• Uncertainty in the used instrumentation. To increase redundancy, critical sensors for ship
performance are often duplicated. Experience indicates however that duplicate instruments
often show differences. Unless well described, this causes confusion in which instrument

indicates the best true representation and should be used for performance monitoring.
Furthermore if the source of the instrument is unknown, the reliability of the logged data is
low.
• Wrong data collection timing: A time lag of an hour in sampled data may represent two
completely different performance conditions if environmental or sailing conditions have
changed in this period. Most parameters, such as torque, are affected by even the smallest
change in environment, and require therefore that all parameters are logged at the same
time
• Insufficient training: If parameters cannot be measured using dedicated instruments, for
example for measurement of sea wave characteristics, visual observations must be made.
They can be accurate, if done by highly experienced officers, but change of shifts and quick
changing vessel crew causes inconsistent observations.
• Inaccurate data collection: Certain parameters (wind, speed, torque etc.) must be averaged
over a time period to be meaningful. Spot measurements result in errors. Furthermore, it is
normal practice for officers to enter higher sea states than actually experienced in order to
cover the vessel if delays are experienced (due to engine problems, strong currents, course
alterations etc.). This may be done to avoid claims from the charterer on the level of a
vessel’s capabilities.
• Limited logging frequency: The high workload of the officers on duty limits the logging
frequency for performance monitoring. With the recent increase in regulations, the number
of administrative tasks and safety checks has increased dramatically with many officers
complaining that there is little time left for watch keeping and optimal ship operation.
• Errors in data entry: Experience indicates that abstract logbooks frequently contain data
inconsistencies, e.g. wind, water and ground speeds are mixed up, unrealistically high or low
parameters are entered or relative wind instead of true wind speed is logged. The errors
may be the result of unclear logging protocols, inaccurate sensors or insufficient training. In
such cases, error tracking is difficult.
On the positive side, with the developments in satellite communication, internet and email,
electronic logbooks have emerged and are used more and more. They replace paper abstract
logbooks and enable logs to be send via email or web to shore, allowing ship performance to be
analysed on a daily basis. Furthermore, with electronic communications, it is easier to identify
anomalies directly at source and, if applicable, daily feedback of the ship’s operation can be send
back to the vessel. The data however still represents manual spot measurements with relevant key
weaknesses.
5.4.2 Automatic system

With the introduction of electronic remote measurement and wireless data transmission from ships,
it is now possible to collect many ship performance parameters electronically. A central data
acquisition system interconnected to all necessary instrumentation can monitor and store data for
either instantaneous or offline analysis (see Figure 5.3 for the concept).

Figure 5.3 – Automatic systems using satellite navigation [Kongsberg]
The automation of data collection has the following advantages:
• Contributes significantly to the improvement of data quality.
• Allows signal validation, filtering and averaging for increased accuracy and reliability
• The source and characteristics of each sensor can be described and documented accurately,
which reduces the uncertainty and errors in data entry
• Automatic data collection allows real-time data analysis, which can be used for monitoring
for alarm in extreme operating conditions or real time feedback on vessel operation
An example of automatic data logging systems is a ship’s Voyage Data Recorders (VDR). A VDR is an
automatic data logging system for accident investigation collecting information concerning the
position, speed, physical status, command and control of a vessel over the period leading up to and
following an incident [Thijs Willem Frederik Hasselaar]. Based on IMO regulations, use of VDR (that is
like a black box) is mandated on certain ship types and sizes. Many parameters logged by a VDR are
required for performance monitoring. The use of the VDR data for performance monitoring is not
advocated here; however, an automatic performance monitoring system will provide similar type of
data collection functionality.
5.5 Hull performance monitoring

5.5.1 Introduction
It is well known that ship resistance increases with service life. Figure 5.4 shows the ship resistance
caused by degraded hull and propeller conditions, at design draft and design speed, as a percentage
of the total ship resistance “as-new”.

Figure 5.4 – Development of added resistance normally expected as a function of time [Torben Munk]
The addition of added resistance would lead to higher power required from the propulsion engine
and thus higher fuel consumption. Typical increases reported is shown in Figure 5.5 as example that
indicates reduction of fuel consumption before and after hull brushing and cleaning.
Figure 5.5 - Fuel consumption penalty of hull fouling and benefits of condition-based cleaning
[Torben Munk]
Based on the above, the need to justify the importance of assessment of hull and ensuring that it
remains clean during ship operation is self-evident. The main question to be answered is how the
monitoring can be done and if current technologies and systems are effective.
5.5.2 Methodology
A variety of methods have been proposed for assessment of hull surface condition including:
• Assessment of ship speed-power curve relative to a baseline.
• Assessment of level of added resistance relative to a baseline (e.g. Figure 5.5)
• Use of divers to visually inspect the hull and propeller conditions and decide on the best
course of action.
• Etc.
As an example, the 1st methodology above is described here. To monitor the propulsion
performance of the vessel, a reliable and accurate speed – power curve should be developed. This

curve should then be compared to its counterpart as developed under commissioning speed trial6
(as baseline) to evaluate deviations from base line conditions. To enable this process the following
data should be collected under a number of ship speeds (to cover full range of ship speed):
• Propulsion data
o Propulsion shaft power and rpm
o Ship speed both over ground and through water
o Main engine fuel consumption and relevant properties.
• Environmental conditions
o Wind (speed, direction, etc.)
o Sea state (wave force, direction, etc.)
o Etc.
The above list is only a guide and need to be more detailed for data collection purposes.
Additionally, and for analysis purposes, some of the hull and superstructure data and ambinet
pressure and temperature will also generally be needed.
To collect the required data, ideally, the actual tests should be done in a way that the impact of sea
currents is eliminated (using double run tests where the ship is sailed in opposite direction and then
results are averaged). However, in practice, this is not commercially feasible; thus trials under clam
sea conditions in areas with little currents are recommended.
To determine the actual speed – power performance of the ship in a changing ambient conditions an
analysis method is required. To be effective, this method should eliminate the effect of wind and
waves. Currently, evaluation of hull fouling is difficult due to unavailability of proper environmental
correction methods.
Based on this methodology, ship speed power curves can be developed as show in in Figure 5.6.
M/E Power - ship speed curve (design draft)
Speed trials Audit trial

21
19
M/E Power (MW)
17
15
13
11
9
7
5
10 12 14 16 18
Ship speed (knots)
Figure 5.6 – Example of speed-power curve development [Bazari 2012]

This method is highly influenced by ship’s ambient conditions; and data correction methods are still
evolving. However, the use of this technique has been successful when tests are done under
controlled conditions, well-defined test procedure and good sea conditions.
Propulsion Dynamics7 uses the notion of added resistance for their performance monitoring services.
Figure 5.7 shows example of their results and the way they predict hull fouling.
6
Speed trials here refer to initial trial of the vessel during commissioning tests that verifies the performance of a ship in attaining the
contractual requirements between owner and builder. As part of these tests, the ship speed power cure under clean hull, no wind and
calm sea conditions are developed.
7
http://www.propulsiondynamics.com/our-service.html

Figure 5.7 – Added resistance method used by Propulsion Dynamics [Torben Munk]
5.6 Engine performance monitoring

5.6.1 Introduction
The main purpose of a diesel engine performance monitoring system can be defined as “the
monitoring, indication and subsequent assessment of the operational efficiency and performance
levels of the diesel propulsion engine and its respective subsystems”. The objectives of this form of
performance monitoring are:
• To facilitate the efficient, economic and optimal operation of the diesel engines.
• To reduce the possibility of "off design" operation that generally leads to degradation of
both the individual components and the overall system reliability and service life
Diesel condition monitoring has longer history of application in marine diesel engines. It is regarded
as “the monitoring of component or system wear and degradation in order to predict scheduled
maintenance or at least to avoid catastrophic failure”. When dealing with condition monitoring, a
number of techniques are normally used such as:
• Vibration monitoring
• Thermography monitoring
• Lube oil monitoring
• Performance process monitoring
Referring to the definition of performance monitoring, the last item of condition monitoring on
“process parameter monitoring” closely ties up with performance monitoring. While in condition
monitoring, the aim is to identify degradation in order to prevent failures and improve maintenance,
in performance monitoring the constant strive is for economic or environmental efficiency of the
system; thus it goes beyond simple condition monitoring or maintenance management.
It is important to note that when a process parameter monitoring system is to be applied, the
success rate is determined by choosing the right parameters to monitor, select accurate sensors and
signal processing systems and implement the output of the processing system.

5.6.2 Methodology
Engine performance monitoring mainly relies on monitoring of engine’s in-cylinder conditions in
particular the cylinder pressure diagram (or “indicator diagram” as commonly known historically). A
very good indication of engine health as well as its energy efficiency is the maximum cylinder
pressure. Lower than expected cylinder pressure generally means that engine settings are not
optimal or its components may be faulty. Thus, use of measured cylinder pressure data forms the
core of engine performance monitoring systems (as well as condition monitoring systems). Figure
5.8 shows a typical cylinder pressure diagram, with important characterising parameters marked on
it.
Figure 5.8 - Typical engine indicator diagram

The above diagrams can be measured digitally/electronically these days on the majority of
commercial vessels (this is normally done on a monthly basis). Using the measured diagram as
above, the following information can be extracted (automatically):
• Maximum cylinder pressure (Pmax)
• Angle of Pmax– The angle at which Pmax occurs.
• Cylinder compression pressure (Pcom) – Pressure when piston is at Top Dead Centre
position.
• Ignition angle – The angle at which combustion starts.
• Indicated power - Engine power as measured on top of the piston. Due to mechanical
frictional losses, this indicated power is higher than the brake power that is measured at
output shaft of the engine.
• Etc.
In addition to cylinder pressure diagrams, current day systems collect other data such as:
• Engine rpm
• Engine brake power
• Scavenge pressure
• Fuel injection pressure diagram and relevant information such as injection timing.
• Turbocharger rpm
• Etc.
Following the measurement of the above process data, they need to be corrected, if applicable, and
compared to benchmark levels to identify if they are within the acceptable range. The benchmarks

are normally extracted from the engine shop test data. The engines’ shop test8 results are generally
measured and corrected for standard environmental conditions. Therefore to enable comparison of
measured values against earlier corrected results, the parameters may need to be corrected to shop
trial conditions. To calculate the engine’s BSFC (Brake Specific Fuel Consumption), a correction for
the density and heating value of the fuel will be required.
When the data have been collected and corrected, the relevant graphs are constructed in order to
monitor and evaluate the engine’s condition and performance. The following comparisons could
form the basis for performance deviation diagnostic purposes:
Cylinder pressure: Low maximum combustion pressure relative to baseline is indicative of retarded
injection timing or low scavenge pressure, provided that injectors, valves and rings conditions are
evaluated as satisfactory.
Turbocharger speed: Higher turbocharger speed relative to reference data will indicate that engine
settings may not be optimised. A high turbocharger speed may indicate the following:
• A retard injection with more energy going to exhaust rather than conversion to work in
cylinder.
• A fouled turbine casing that may result in slightly higher engine back pressure.
Exhaust gas temperature: A higher than normal exhaust gas temperature could be due to few
reasons such as high ambient temperature and high scavenge temperature (possibly due to charge
cooling issues) or a retarded injection.
Figure 5.9 shows a sample of cylinder pressures monitored, showing anomaly with one of the
cylinders (red line).
Figure 5.9 – Typical on-board in-cylinder measurement [Bazari 2012]
5.7 Auxiliary machinery monitoring

The monitoring of auxiliary machinery may be carried out in a variety of ways. For energy efficiency
purposes, one way is to monitor the level of utilisation of machinery that is represented by their run
hours. This will demonstrate if the ship’s redundant parallel machineries are used too much beyond
8
Tests carried out originally by engine manufacturers and normally as part of engines’ performance and emissions certification.

requirements. This is done via evaluation of utilisation factor and their comparison to benchmark
values (see Module 4 form more information).
Figure 5.10 shows an example of such an analysis for a number of auxiliary machinery; where the
actual and reference utilisation factor for some major energy consuming machinery are shown.
Figure 5.10 - Machinery utilisation [Bazari 2012]

Presentation of the above data over time will ensure optimisation and reduction of ship’s auxiliary
machinery run hours that would lead to not only lower energy use but less need for maintenance.
5.8 Voyage performance analysis

To improve the ship’s itinerary and voyage management, a rigorous process that examines all
aspects of the ship’s operations needs to be in place. Data that could be used to evaluate the ship’s
operations should be collected and compared against developed benchmarks/baselines. The
important data elements for voyage analysis will include analysis of ship operation events and their
time durations (e.g. cargo loading, cargo unloading, port waiting, port berth times, passage
operation, etc.).
To acquire such data, a computerised system will be required. However, such data are also available
manually from deck logbooks as well as port reports that are available on-board ships. Additionally,
full and continuous recording capability of voyage information as shown in Figure 5.11, inclusive of
detailed propulsion system data, would support to optimise voyage operational performance.

Figure 5.11 - Overview of a ship operation from one port to next port using performance
monitoring [Hideyuki Ando, NYK]
For voyage performance analysis, these days, the weather routing service providers offer voyage
performance analysis. In such a case, comparison between voyage plan and actual including ship
performance (rpm, speed, fuel consumption) as a function of weather condition (wind and ship
motion) are estimated and compared.
5.9 Monitoring and reporting to external bodies

The other aspect of energy performance monitoring mainly relates to obligation of the company to
report to external stakeholders. The stakeholders could be the commercial clients or shippers or
could be regulatory authorities. On the regulatory authority side, two initiatives are important for
further consideration:
 IMO data collection system
 EU MRV (Monitoring and Reporting and Verification)
The above are further described in this section.
5.9.1 IMO data collection system
IMO MEPC Working Group on “further energy efficiency measures” has been working on the subject
for some time and still continuing this work at the time of writing these texts. The approach
advocates “data collection” as applied to ship fuel consumption and possibly other parameters. The
system will have three main elements: (1) Data collection by ships (2) Flag State functions (data
verification and submission) and (3) Establishment of a centralised database by the IMO and annual
submissions.
The regulatory aspects of the IMO data collection and reporting system was introduced in Module 1
together with progress so far in its development and adoption. The reader should refer to module 1
for details; however the main features of the scheme are summarily mentioned below as9:
 It will be applicable to ships greater than 5000 GT.
 The reporting period will be annually with no need for voyage data declaration.
 IMO number for ship will be part of the data for ship identification purposes.
 Ship’s registered owner will be responsible for submission of data to Administration.
Responsibility of reporting remains with the ship.
 Flag Administration will be responsible for verification of the data; this can be delegated
to Recognized Organizations (e.g. Class Societies).
 A Statement of Compliance (SOC) will be issued to the ship annually.
 Port State Control will examine the validity of SOC for enforcement.
Main aspects that have yet to be decided by the IMO MEPC in its future meetings are:
 Confidentiality of the data and who will have access to collected data.
 Guidelines will be developed to deal with various aspects of relevant regulations
detailing main features of data collection method and data verification.
 The need for transport work data or energy efficiency indicator and other relevant data
has yet to be debated and decided.
9
At the time of writing this course material, the IMO data collection were under debate at Imo and some of the features is expected to
change until final decisions are made in future IMO MEPC meetings.

5.9.2 EU MRV
EU has for long worked as an advocate of reducing GHG emissions from international shipping.
Because of this, EU not only supported the IMO regulatory developments but also has kept one step
ahead in pushing forward the GHG reduction agenda. Generally, the EU plan of action is a phased
approach to regulating CO2 emissions as follows:
 Phase 1: Establish an agreed global energy efficiency standard as part of the IMO regulatory
framework.
 Phase 2: Implement an MRV scheme to establish the fuel consumption and CO2 emissions
from international shipping, preferably within the IMO framework.
 Phase 3: Identify whether the efficiency standards are achieving the EU’s desired absolute
CO2 emissions reductions from shipping, and if not, determine what else should be done,
e.g. introduction of a Market Based Measure (MBM).
Phase 1 has already been accomplished and is in place in the form of IMO energy efficiency
regulations for ships (fully covered in Module 2). It is phase 2 that is the subject of the IMO data
collection system and EU-MRV. EU for some time have advocated that any plan to reduce shipping
CO2 emissions in the long term would have to be based on representative and accurate data on
shipping fuel consumption and GHG emissions inventories. Within EU MRV, a reporting system is
regulated that is going to provide such data. In effect, EU has developed and adopted its MRV
legislation force certain ships to report their fuel consumption, energy efficiency performance and
related data.
The EU MRV will be described in some detail in the following texts. Lloyd’s Register in its summary
publication in May 2015 entitled “European Union Regulation on Monitoring, Reporting and
Verification of Carbon Dioxide from Ships” provides a succinct but comprehensive introduction to
the EU MRV. The material in this section is mainly taken from this publication with some
amendments; this is acknowledged here.
Applicability
EU legislation for the EU-MRV regulations was approved by the European Council in 29 April 2015 via
amending the Directive 2009/16/EC [Regulation (EU) 2015/757]. Accordingly, the EU-MRV will be
implemented in the EU regions and the ships that operate solely in this region or those travelling in
and out of the region. The system will work according to the following:
 Irrespective of flag, the regulation applies to ships greater than 5,000 GT (with some
exceptions10) undertaking one or more voyages into, out of and between EU ports.
 It requires per-voyage and annual monitoring of CO2 emissions, as well as other parameters
including energy efficiency indicators and amount of cargo carried.
 Annually, shipping companies must provide an emissions report for the previous calendar
year’s activity. In addition, this will include the technical efficiency of the ship for example
in the form of its EEDI.
 Ships are exempted from the obligation to monitor this information on a per-voyage basis if
they undertake more than 300 voyages within the reporting period or if all their voyages
during the period either start or end at a port under the jurisdiction of an EU member state.
Implementation schedule
The following timescales have been set as part of the regulation for its implementation:
10
The exceptions are warships, naval auxiliaries, fish catching or processing ships, wooden ships of a primitive build, ships not propelled by
mechanical means and government ships used for non-commercial purposes

 Preparation and adoption of supporting technical legislation in 2015/2016 including broad
stakeholder and expert involvement.
 Accreditation of verifiers in 2017.
 31st August 2017 – Monitoring plan for each ship to be prepared and submitted for
approval by an accredited verifier.
 1st January 2018 – Commence per-voyage and annual monitoring by applicable ships.
 2019 onwards – By 30th April each year, submit a verified emission report to the EC and
relevant flag State
 30th June 2019 onwards – Ships will need to carry a valid Document of Compliance (DOC)
relating to the relevant reporting period.
 30th June each year – The EC will make each ship’s emissions reports publicly available
including information specific to that ship, its fuel consumption, CO2 emissions, technical
efficiency (e.g. EEDI) along with other parameters.
Data collection
Each company will be required to produce a monitoring plan which will be used to monitor data on a
per-voyage basis. This data will be aggregated annually and reported for all voyages conducted into,
out of and between EU ports. The differing requirements for monitoring and reporting on a per-
voyage basis and on a yearly basis are shown in Table 5.1.
Annual reporting requirements Per voyage reporting
requirements
Aggregated annual CO2 emissions from all voyages between, from Port of departure and
and to ports under a Member State’s jurisdiction during the reporting period arrival including the date
and times in and out.
Aggregated annual CO2 emissions from all voyages between, from
and to ports under a Member State’s jurisdiction during the reporting period
Details of the method used for emissions monitoring
Technical efficiency of the ship (EEDI or EIV as applicable)
Vessel identification
Total annual amount/weight of cargo carried
Annual average efficiency (e.g. EEOI, fuel consumption per distance and cargo
carried)
Total annual fuel consumption
Total CO2 emitted CO2 emitted
Total distance travelled Distance travelled
Total time spent at sea and at berth Time spent at sea
Table 5.1 – EU MRV monitoring requirements [Lloyd’s Register 2015]
CO2 emissions measurement
The most critical data in Table 5.1 is CO2 emissions measurement and reporting. The overall EU MRV
processes are shown in Figure 5.12 schematically.

Figure 5.12 – MRV scheme overview [Lloyd’s Register 2015]
As indicated in Figure 5.12, CO2 emissions will be calculated based on:
 Either fuel consumption measurement (by (1) bunker delivery notes or (2) use of tank sounding
or (3) use of fuel flow meters) and use of appropriate fuel related CO2 emission factor for the
fuel type being consumed,
 Or by direct emissions monitoring/measurement, with a back-calculation of the fuel
consumption using the relevant emissions factor.
The above options are detailed in Annex I of the EU Directive [Regulation (EU) 2015/757]. As part of
the monitoring plan, companies will be able to choose one or more of four methods shown in Figure
5.12 for CO2 calculations. Use of a combination of these methods is also permitted if it would
improve the accuracy of the CO2 emission measurement.
The EU MRV regulations also refer to energy efficiency as part of the monitoring and reporting
requirements, including ‘transport efficiency’ and ‘average energy efficiency’. These are defined
within the Annex II to the EU Directive [Regulation (EU) 2015/757] and have similarities to the
methodology for calculating the IMO’s Energy Efficiency Operational Indicator (EEOI).
Verification
Tasks related to the check of monitoring plans, emission reports, communication with ship owners
and operators and the issuance of Document of Compliance (DOC) will be done by accredited third
party verifiers which most likely include classification societies. The EU Directive [Regulation (EU)
2015/757] sets out guidance on the requirements for verification and the main such requirements
are summarised as follows:
 Verifying conformity of the monitoring plan against the requirements laid out in the regulation;
 Verifying conformity of the emission report with the requirements laid out in the regulation and
issuance of verification report;
 Ensure that emissions and other climate-related data have been determined in accordance with
the monitoring plan;
 Determining and making recommendations for improvement to the monitoring plan.
Certification
Upon satisfactory verification of the emission report, the verifier will then issue a Document of
Compliance (DOC) to the company. The EU MRV regulations will not be a flag State requirement;
instead it will be enforced through Port State Control within European ports.

1. IMO MEPC.1 Circ.684, “Guidelines for voluntary use of the ship energy efficiency operational
indicator (EEOI)”, 17 August 2009.
2. IMO, MEPC Resolution MEPC.203(62) “Amendments to the Annex of the Protocol of 1997 to
amend the International Convention for the Prevention of Pollution from Ships, 1973, as
modified by the Protocol of 1978” relating thereto (Inclusion of regulations on energy
efficiency for ships in MARPOL Annex VI)”, Adopted on 15 July 2011.
3. IMO MEPC Resolution MEPC.213(63), “2012 Guidelines for the development of a ship
energy efficiency management plan (SEEMP)” Adopted on 2 March 2012
4. Hideyuki Ando (NYK Group), “Performance Monitoring and Analysis for Operational
Improvements”, International Conference on Ship Efficiency Conference, September 2011,
Hamburg
5. Thijs Willem Frederik Hasselaar, “An investigation into the development of an advanced ship
performance monitoring and analysis system”, PhD Thesis, December 2010, School of
Marine Science and Technology, Newcastle University, UK.
6. Kongsberg, “Ship Performance System”, Kongsberg Maritime AS publication, 2013,
http://www.km.kongsberg.com/ks/web/nokbg0397.nsf/AllWeb/AB963D5AB36A752DC1257
AF50041E9D4/$file/376812.pdf?OpenElement, cited September 2015.
7. Torben Munk (Propulsion Dynamics), “A CO2 Maintenance Index (Hull and Propeller
Performance)”, Ship Efficiency Conference, September 2009, Hamburg.
8. Bazari Z, 2012 “Ship Energy Efficiency – Developments and Lessons Learnt”, Lloyd’s Register,
LRTA paper, September 2012.
9. Lloyd’s Register 2015, “European Union Regulation on Monitoring, Reporting and
Verification of Carbon Dioxide from Ships”, Lloyd’s Register Summary – EU MRV, Version 4.0
– May 2015.
10. Regulation (EU) 2015/757 on “the monitoring, reporting and verification of carbon dioxide
emissions from maritime transport”, and amending Directive 2009/16/EC, adopted by the
European Parliament and the Council of 29 April 2015

ENERGY MANAGMENT ONBOARD FOR SHIPS
Assoc. Prof.Dr. M.Ziya Söğüt
Module 1:
Climate Change and

the Shipping
Response
IMO Train the Trainer Course
Name of the Presenter Energy Efficient Ship Operation

Affiliation of the presenter,
City, Country
Venue, City, Country
Day xx to Day yy, Month, Year
http://www.imo.org/en/OurWork/Environment/PollutionPrevention/AirPollution/Pages/IMOTr
ain-the-Trainer-Course.aspx
Content
 Origins of the air pollution and climate change
 Climate change and GHG emissions
 International (global) response
 International shipping response
 Main IMO instruments and historical developments

- The population / social factors
The origins
- The energy / technical choices
Air Pollution and social factor

After the 19th century, air pollution developed as a social problem
 Air pollution initially was
Urbanization /
identified in large cities. Concentration
 Numerous sources in
restricted areas.
Growth
 Closely linked to: in Use of
Energy
 Industrialization Market
society and
Industrialization
transportation
 Urbanization linkage
 Growth in energy use

Energy choices and impact on air pollution
Main energy source of the pre-
industrialized world
- Man & animal

- Wind
- Water
- Wood
Main energy source of the
industrialized world
FOSSIL FUELS
(reliable, flexible, controllable,
easy to use, etc.)
(unfortunately generate
significant level of air emissions)
Energy use and combustion principle
COMBUSTION
Fossil fuel case:
Combustion + AirEngines and emissions
Carbon Dioxide + Water +
Nitrogen
+ Various gas compounds +
Particulate Matters
Sources of air emissions
Shipping air emissions and their impacts
IMO 2 GHG study 2009
Why energy efficiency matters?

Context Benefit of energy efficiency as a
 Energy resources scarcity strategy/policy:
 Environmental damages  Avoids major destabilizing
 Sustainability changes.
 Leads to economic benefits
Possible policies
 Support innovation and
 Energy efficiency growth
 Renewable energy
 Secures less use of scarce
 Alternative energy sources resources.
 Societal changes
 Leads to lower
environmental damage.
Air pollution and the Issue of GHG
- Air Pollution
- Climate system
- GHG emissions & impacts
Main air emissions
 Nitrogen Oxides: NOx

 Sulphur Oxides: SOx
 Particulate Matters or organic aerosols
 Oxides of carbon: CO and CO2
 Carbon compounds - such as CH4 and VOC
 Ozone (O3)
 Fluorocarbon and Chlorofluorocarbon compounds - such as CFC,
PFC, SF6 and HFC
 Halogen compounds - such as chlorides, fluorides and bromides
 Etc.
Homework
Main air emissions structural features Basic resources in maritime Measures and solutions
applications
Climate system dynamics
Earth as a whole includes:
 The atmosphere (i.e. gases);
 The hydrosphere (i.e. the

waters);
 The lithosphere (i.e. solid layer

of earth);
 The cryosphere (i.e. frozen

waters); and the
 Biosphere (i.e. the living).

 All the above are changing with time, influenced by a variety of things
including human Schematic view of the components of the climate system, their
processes and interactions. IPCC Fourth Assessment Report,
activities. Climate Change 2007 (AR4) WG I
GHG emissions
 Carbon dioxide: Most of the atmospheric GHG emissions
are CO2.
 Other gases to consider?
 Methane: Agriculture and livestock,
mining, transportation, and use of certain
fossil fuels, sewage, and decomposing
garbage in landfills.
 Nitrous oxide: The industrial agriculture
and use of fertilizers accounts for the
majority of the Nitrous oxide release.
 Halocarbon: They are non-natural but
manufactured compounds. Extensively
used as refrigerants.
 Other gases like ozone or water vapour
have GHG properties.
Man-made GHG emissions
Kyoto Protocol has identified six
main gases as:
 Carbon dioxide (CO2);
 Methane (CH4);
 Nitrous oxide (N2O);
 Hydrofluorocarbons
(HFCs);
 Perfluorocarbons (PFCs);
 Sulphur hexafluoride (SF6).
GHG warming effect
An idealised model of the natural greenhouse effect. [IPCC 2007 AR4 WG I]

Evolution of GHG emissions in the atmosphere over time
 The link between air emissions and

industrial activities are unequivocal.
 All types of GHG emissions show a

sharp rise since industrialisation
The International Response
- Rational
- Various steps
Triggers for action
 Local pollution
 Visibility of the consequences of air pollution
 Global disturbance
 Visibility of climate change
GLOBAL ISSUES NEED GLOBAL APPROACHES
CLIMATE CHANGE IS A TRULY GLOBAL ISSUE
Organizations and instruments

 United Nations Environmental Program (UNEP)
 Intergovernmental Panel on Climate Change (IPCC)
 United Nations Framework Convention on Climate Change
(UNFCCC)
 Kyoto Protocol
 Vienna Convention & Montreal Protocol on Ozone-Depleting
Substances
 IMO for international shipping
 Etc.
United Nations Environmental Program (UNEP)

 UNEP established in 1972
 Mandate is to coordinate the global response to environmental
challenges.
 In the field of climate change, the UNEP
supports countries in the following areas:
 Adapting to climate change
 Mitigating climate change
 Reducing emissions from deforestation
and forest degradation
 Enhancing knowledge and communication
Intergovernmental Panel on Climate Change (IPCC)

 Created under the auspices of the UNEP and the WMO
(World Metrological Organization) The IPCC was endorsed by the
UN in 1988.
 Its mission is to:
 Review the state of knowledge of the science of
climate change;
 Carry out studies on the social and economic
impact of climate change, including global warming;
 Propose possible response strategies to delay, limit
or mitigate the impact of adverse climate change;
 Acts as a major knowledge-organisation on climate change.
IPCC assessment reports
 IPCC have produced 5 major assessment
reports so far.
 The IPCC’s AR5-2014 (Fifth Assessment
Report) was released in four principal
sections:
 Contribution of W/G I (WGI): The
Physical Science Basis
 Contribution of W/G II (WGII):
Impacts, Adaptation and
Vulnerability
 Contribution of W/G III (WGIII):
Mitigation of Climate Change
 Contribution of W/G I, II, and III: The
Synthesis Report
United Nations Framework Convention on Climate Change (UNFCCC)
 The UNFCCC is a framework Convention which aims
to limit the level of climate change.
 It focuses on promoting cooperation on

understanding and reducing the effects of
human activities on climate
 It adopts legislative or administrative

measures against activities likely to have
adverse effects.
 This instrument does not set precise

objectives/targets.
 For target and limits, Kyoto Protocol later on was

adopted.
UNFCCC requirements
 As indicated, despite UNFCCC declarations, it does not set quantitative targets.
 In requires that all Parties:
 Develop and report “national inventory of anthropogenic emissions by sources and
removals by sinks”.
 Commit to develop measures related to GHG control.
 Promote “technology transfer and the sustainable management, conservation, etc. ….”
on climate change
 Consider climate change in social, economic and environmental policy development.
 Cooperate in sciences, techniques and education as well as exchange of information
related to climate change.
 Promote public awareness and education.
Kyoto Protocol
 The Kyoto Protocol (1997) concluded a first part of efforts to create stronger commitment for
the developed countries.
 Annex I countries accepted binding reduction targets.
 Non-Annex I countries accepted to support the process within CBDR
(Common But Differentiated Responsibility) framework.
 The GHG emissions are categorised as six main items including CO2, CH4, N2O, HFCs,
PFCs and SF6.
 To reach their targets, Annex I countries can reduce their emission and/or offset their
emissions via:
 Joint Implementation
 Clean Development
 Emission Trading
Post Kyoto
 Kyoto Protocol commitments are extended to 2020.
 Currently, climate change negotiations are underway for post-Kyoto arrangement.
 Paris (December 2015) may make new binding decisions for post-Kyoto.
Montreal Protocol – Prevention of Ozone Depletion
 The Montreal Protocol is designed to protect the ozone layer by phasing
out the production of ODS (Ozone Depleting Substances).
 Entered into force 1 January 1989
 Gases considered in terms of Ozone Depletion Potential (ODP):
 The ODP is based on the amount of chlorine which is released by

the refrigerant as it degrades.
 Reference ODP is for CFC R11 (also known as Freon-11, CFC11,

or R-11) which is taken as 1.
 Most of refrigerants are strong GHG emissions and thus limitation of ODS
will help climate change as well.
GHG and Shipping
- (United Nations Convention on the Law Of the Seas

(UNCLOS) and pollution
- Emissions from shipping
- MARPOL Annex VI & its chapter 4
GHG and Shipping
Climate change impact on oceans
justification
Ocean water properties changes as a
result.
Oceans are a major sink
for air emissions. Ecosystems and marine habitats are
disturbed by the modification of the ocean
properties.
 Oceans acidification: Due to absorption

Effects of CO2 and acid rains. A lower pH by 0.1 units
already in place.
 The high speed acidification may impair

the ability of many organisms to cope with
changing water properties.
 Ocean dilatation (sea-level rise) endanger the coastal ecosystems
and accelerates erosion.
United Nations Convention on the Law Of the Seas (UNCLOS)
 The UNCLOS possesses extensive references to

the protection of the environment.
 In its preamble, the UNCLOS recalls the
importance to:
“Promote the peaceful uses of the seas
and oceans, the equitable and efficient
utilization of their resources, the
conservation of their living resources, and
the study, protection and preservation of the marine environment.”
 UNCLOS demonstrates the importance of
protecting the environment via developing proper
enforcement mechanisms.
UNCLOS Principles
The UNCLOS reaffirms:
 State duty to protect the environment and responsibility not to harm
others.
 The measures developed should not transfer the damage or risks.
 The global and regional cooperation are paramount in environmental
protection.
 The risks and effects of pollution must be assessed scientifically.
 The air pollution is an established concern.
 Compliance Monitoring and Enforcement systems have to be
developed to verify the compliance of the activities.
Why IMO energy efficiency regulation?
Within Kyoto Protocol, IMO is
mandated to deal with
international shipping GHG
emissions.
“The Parties included in

Annex I shall pursue
limitation emissions of GHG
from marine bunker fuels,
working through the
International Maritime
Organization”
[Extracts from Article 2.2 of

the Kyoto Protocol]
IMO structure
IMO Conventions relating to environmental protection
MARINE POLLUTION
Discharge of various types of wastes, MARPOL Annex
oil, chemical substances I-Oil / II- Noxious subs. in bulk / III
- Harmful
subs. in package / IV- Sewage / V- Garbage
AIR EMISSIONS / GLOBAL WARMING / VI- Air
SUBSTANCES
ODS, SOx, NOx, VOCs, GHG
Anti-fouling SystemsConvention
DAMAGE TO ECOSYSTEMS
Harmful paints and coatings, alien
species carried by ballast water &
biofouling Ballast WaterManagement
Convention
PREVENTION OF DAMAGE AND

INJURIES RELATED TO THE USE OF Hong Kong Convention for the safe
HAZARDOUS MATERIAL IN and environmentally sound
SHIPBUILDING recycling of ships
MARPOL Convention
 Annex I - Regulations for the Prevention of Pollution by Oil (entered into force 2 October
1983)
 Annex II - Regulations for the Control of Pollution by Noxious Liquid Substances in Bulk
(entered into force 2 October 1983)
 Annex III - Prevention of Pollution by Harmful Substances Carried by Sea in Packaged
Form (entered into force 1 July 1992)
 Annex IV - Prevention of Pollution by Sewage from Ships (entered into force 27 September
2003).
 Annex V - Prevention of Pollution by Garbage from Ships (entered into force 31 December
1988).
 Annex VI - Prevention of Air Pollution from Ships (entered into force 19 May 2005).
MARPOL Annex VI scope
Regulated by MARPOL ANNEX VI
Equipment related emissions (ODS

- refrigerants & fire extinguishing Engine related
systems , incinerators ) emissions (NOx,
SOx, GHG) &
Cargo related emissions
incineration
(VOCs on tankers )
Fuel quality and
availability
MARPOL Annex VI
 Chapter 1 – General: introduces some of the basics of the Convention as well as certain
useful definitions.
 Chapter 2 – Survey, certification and means of control: describe the Survey

requirements, certification system and control principles including Port State Control issues
and violation detection and enforcement.
 Chapter 3 – Requirement for control of emissions from ships: this chapter details the
measures to address various air pollutants and important related issues as bunker
management and incinerator.
 Chapter 4 – Regulation on energy efficiency for ships: the purpose of the chapter is to
regulate some operational and design aspects. Some elements of this new part of the Annex
VI enters into force in January 2013
MARPOL Annex VI - Chapter 4
IMO developed framework
Regulations 19, 20, 21, and 22 deal with EEDI and SEEMP.
Overview of IMO Activities on GHG Emissions

IMO major studies
 1st IMO GHG Study 2000.
 2nd IMO GHG Study 2009.
 3rd IMO GHG Study 2014.

2nd IMO GHG Study 2009 content
 Introduction to shipping and its legislative framework

 Emissions from shipping 1990–2007
 Technological and operational potential for reduction of emissions
 Policy options for reductions of GHG emissions …
 Scenarios for forecast of future shipping emissions
 Climate impact
 Comparison of emissions of CO2 from ships with emissions from
other modes of transport
3rd IMO GHG Study 2014
 The Third IMO GHG Study 2014 aimed to update the 2nd IMO GHG Study 2009.
 The main objective was to focus on the following topics:
 Development of the inventories of CO2 emissions from international shipping for 2007–
2012
 Development of the inventories of other air emissions from international shipping for
2007–2012
 Development of future shipping scenarios and projection of shipping emissions for 2012–
2050
Activities leading to Chapter 4 of MARPOL Annex VI
Developed current regulatory framework
Will be fully described under Module 2

IMO Further measures
 All studies shows that absolute level of shipping emissions and its global share will increase
despite the current agreed measures.
 Thus further measures for energy efficiency are being debated.
 Currently, it is on a “data collection system” that primarily aim to regulate the ship’s fuel
consumption measurement.
 Since April 2014, IMO reached preliminary conclusions on a general description of such a
global data collection system.
 The draft developed data collection system identifies three core elements including:
1. data collection by ships;
2. flag State functions in relation to data collected including verification; and
3. establishment of a centralized database by the IMO.
IMO Further measures
 The main features of the IMO data collection system are:
 Applicable to ships of gross tonnage more than 5000 GT
 Annual reporting
 IMO number for ship identification
 Confidentiality of data such as transport work will be observed.
 Guidelines will be developed to deal with various details of data
collection and verification activities.
 Registered owner will be responsible for submission of data to
Administration
 Administration will be responsible for verification (can be
delegated to Recognized Organizations).
 A Statement of Compliance (SoC) will be issued by the
Administration to each ship annually.
 This work still under progress.
Summary of learning points

 Consequence of combustion outcome
 Global impact on ecosystems International actions:
 UNEP
 IPCC
 UNFCC and Kyoto Protocol International shipping and
IMO
 UNCLOS
 MARPOL Convention
 IMO GHG studies and their findings
 MARPOL Annex VI
 Overview of IMO activities leading to energy efficiency regulations
and further measures.
Thank you for your attention
ANY QUESTIONS?
For more information please see:

www.imo.org
Module
2:
Ship Energy Efficiency
Regulations and Related
Guideline
s

City, Venue, City,
Country Day xx to
Country y , Month,
Day y Year
Content
 IMO regulatory framework for ship energy efficiency.
 Chapter 4 of MARPOL Annex VI regulations
 Guidelines for calculation of Attained EEDI
 Guidelines for verification of Attained EEDI
 Guidelines for development of SEEMP
 Guidelines for calculation of EEOI
IMO energy efficiency regulatory activities
IMO framework for GHG emissions control
from
ships
E Shipy
E ard
D
I
IMO
M Efficie
Energy
Regulat SE
MR ncy
Frame
ory EM
BV
Owner work P
M
charter
s /s
ers
Ship
EEDI and SEEMP: Mandatory from 2013 E /
owner
E operat
EEOI:
EEDI, EEOI and SEEMP links
Source: IMO presentation on Technical measures

EEDI, EEOI and SEEMP processes
PART 1 – MARPOL Annex VI Regulations on Energy
Efficiency for Ships
• Amendments to existing Annex VI regulations

• Chapter 4 regulation
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st
On sr t
ry
ff -e e
Introduction
 MARPOL is the International Convention for the
Prevention of Pollution from ship and other
Environmental Regulations
 Signed in 1973, in force 1983 MARPOL
contains six Annexes:
 Oil
 Engine room waste from oil
 Noxious Liquid Substances in Bulk
Noxious liquid substances carried in large
quantities
 Harmful Substances in Packaged Form
International Maritime Dangerous Goods (IMDG) Code
 Sewage from Ships
Requirements to control pollution of the sea by sewage from ships)
 Garbage from Ships
Materials may be disposed of and subdivides different types of garbage and marine debris
Air Pollution from Ships
HSSC-11, Cape Town, South Africa,

6- 9 May 2019
Amendments to Existing Annex VI
Regulations
Res.MEPC.203(62) vs Res.MEPC.176(58)
Regs with RED has changed as a result of Chapter 4
Resolution MEPC.176(58) Resolutions MEPC.203(62) & MEPC251 (66), …..
Chapter Ⅰ Chapter Ⅰ
Reg. 1 Application Reg. 1 Application
Reg. 2 Definitions Reg. 2 Definitions
Reg. 3 Exceptions and Exemptions Reg. 3 Exceptions and Exemptions
Reg. 4 Equivalents Reg. 4 Equivalents
Chapter Ⅱ Chapter Ⅱ
Reg. 5 Surveys Reg. 5 Surveys
Reg. 6 Issue or endorsement of a Certificate Reg. 6 Issue or endorsement of a Certificate
Reg. 7 Issue of a Certificate by another Party Reg. 7 Issue of a Certificate by another Party
Reg. 8 Form of Certificate Reg. 8 Form of Certificate
Reg. 9 Duration and Validity of Certificate Reg. 9 Duration and Validity of Certificate
Reg. 10 Port State Control on Operational Reg. 10 Port State Control on Operational Requirements
Requirements Reg. 11 Detection of Violations and Enforcements
Reg. 11 Detection of Violations and Enforcements
New ship (Reg. 2.23)
"New ship" means a ship:

1. for which the building contract is placed on or after 1 January 2013; or
2. in the absence of a building contract, the keel of which is laid or which is at a similar
stage of construction on or after 1 July 2013; or
3. the delivery of which is on or after 1 July 2015.
In the UI (Unified Interpretation), MEPC.1/Circ.795.rev2 , the above is further clarified for other phases of
EEDI implementation.
Major conversion (Reg. 2.24)
"Major Conversion" means in relation to chapter 4 a conversion of a ship:

 which substantially alters the dimensions, carrying capacity or engine power of the ship; or
 which changes the type of the ship; or
 the intent of which in the opinion of the Administration is substantially to prolong the life of the
ship; or
 which otherwise so alters the ship that, if it were a new ship, it would become subject to
relevant provisions …Convention not applicable to it as an existing ship; or
 which substantially alters the energy efficiency of the ship and includes any modifications
that could cause the ship to exceed the applicable Required EEDI as set out in Regulation 21.
In the UI (Unified Interpretation), MEPC.1/Circ.795.rev2 , the term “major
conversion” is further clarified.
Ship types definitions (part of Regulation 2)

 Ship types are defined under these Regulations: 2.25
Bulk carrier
 2.26 Gas carrier (none LNG carriers)
 2.27 Tanker
 2.28 Container ship
 2.29 General cargo ship
For Chapter
 2.30 Refrigerated cargo ship
4
 2.31 Combination carrier
 2.32 Passenger ship
 2.33 Ro-Ro cargo ships (vehicle carrier)
 2.34 Ro-Ro cargo ships
 2.35 Ro-Ro Passenger ship
 2.38 LNG carrier
 2.39 Cruise passenger ships
 A number of other clarifications are made under Regulations 2

(ice breaking cargo ship, conventional and non-conventional
propulsions ..)
Surveys and certification (Reg. 5.4)
 An initial survey before a new ship is put in service …

 A general or partial survey, after a major conversion of a
ship ... to ensure that the attained EEDI is recalculated as
S o cha 4 necessary……
sh f apter b
su
h
i l t te  For major conversions regarded as a newly constructed
surv
bje
a
p sa ob h : ship, the Administration shall decide the necessity of an initial
eys
ct
ls os el e survey …
l o
w  For existing ships, the verification of having a SEEMP on
board … shall take place at the first intermediate or renewal
survey whichever is the first, on or after 1 January 2013."
Survey and verification for EEDI shall be according to IMO’s “EEDI survey and verification
Guidelines”.
IEE (International Energy Efficiency) Certificate (Reg. 6)
 An IEE Certificate … issued to any ship of 400 gross tonnage and above before that ship may
engage in voyages to ports or offshore terminals under the jurisdiction of other Parties.
 The certificate shall be issued or endorsed either by the Administration or any organization duly
authorized by it.
International Energy Efficiency Certificate
 No IAPP (International Air Pollution Prevention) Certificate or IEE Certificate shall be issued to
a ship which is entitled to fly the flag of a State which is not a Party (Reg. 7).
 The IEE Certificate shall be drawn up in a form corresponding to the model given in appendix
VIII to this Annex (Reg. 8)
Duration of validity of IEEC (Reg. 9)
 The IEEC shall be valid throughout the life of the ship subject to the provisions of paragraph 11
below.
 11 An IEEC issued under this Annex shall cease to be valid in any of the following cases:
 If the ship is withdrawn from service or
 If a new certificate is issued following major conversion of the ship; or
 Upon transfer of the ship to the flag of another State …..
Port State Control on operational requirements (Reg. 10)
In relation to chapter 4, any Port State inspection shall be limited to verifying, when appropriate,
that there is a valid IEEC on board, in accordance with article 5 of the Convention.
Article 5 - Certificates and special rules on inspection of ships
1. Subject to …. a certificate issued under the authority of a Party to the Convention … shall be accepted
by the other Parties …
2. . … Any such inspection shall be limited to verifying that there is on board a valid certificate, unless
there are clear grounds for believing that …
3. . ……..
4. With respect to the ship of non-Parties to the Convention, Parties shall apply the requirements of the
present Convention as may be necessary to ensure that no more favourable treatment is given to such
ships.
New Chapter 4 of MARPOL Annex VI
Regulations
Res.MEPC.203(62) vs Res.MEPC.176(58)
Resolution MEPC.176(58) Resolution MEPC.203(62)
Chapter Ⅲ Chapter Ⅲ
Reg. 12 Ozone Depleting Substances Reg. 12 Ozone Depleting Substances
Reg. 13 Nitrogen Oxides(NOx) Reg. 13 Nitrogen Oxides(NOx)
Reg. 14 Sulphur Oxides(SOx) and Particular Reg. 14 Sulphur Oxides(SOx) and Particular Matter
Matter
Reg. 15 Volatile Organic Compounds Reg. 15 Volatile Organic Compounds(VOCs)
(VOCs) Reg. 16 Shipboard Incineration
Reg. 16 Shipboard Incineration Reg. 17 Reception Facilities
Reg. 17 Reception Facilities Reg. 18 Fuel Oil Availability and Quality
Reg. 18 Fuel Oil Availability and Quality
Chapter Ⅳ
Reg. 19 Application
Reg. 20 Attained EEDI
Reg. 21 Required EEDI
Reg. 22 SEEMP
Reg. 23 Promotion of technical co-operation and transfer of
technology relating to the improvement of energy efficiency of ships
Appendix Ⅰ~Ⅵ Appendix Ⅰ~Ⅵ
Appendix Ⅷ Form of International Energy Efficiency(IEE)
Certificate
Regulation 19 - Application
Regulation 19 - Applications
 This chapter shall apply to all ships of 400 gross tonnage and above.
 The provisions of this chapter shall not apply to:
 Ships solely engaged in voyages within waters of Flag State.
 However, each Party should ensure …that such ships are constructed and act in a
manner consistent with chapter 4, so far as is reasonable and practicable.
 Regulations 20 and 21 shall not apply to ships which have non-conventional propulsion,
except cruise passenger ships and LNG carriers having conventional or non-conventional
propulsion, delivered on or after 1 September 2019.
Regulation 19 – Application (Waiver)
 …….. the Administration may waive the requirement for a ship … from complying with
regulation 20 and regulation 21.
 The provision of the above shall not apply to ships with:
 Contract date 1 January 2017.
 Keel laying 1 July 2017
 Delivery date of 1 July 2019.
 The above implies that waiver is only for 4 years.
 The Administration of a Party … which allows application of waiver … to a ship …. shall
communicate this to the Organization for circulation to the Parties ……….
Regulation 19 – Application (Waiver)
 This regulation specifies the domain of application of the energy efficiency regulations.
 Accordingly, Chapter 4 of MARPOL Annex VI applies to all ships of 400 gross tonnage and
above that are engaged in international waters.
 It gives limited power to Administrations to waive the requirements for EEDI for a new ship
up to a delivery date of 1 July 2019; subject to informing the IMO and other Parties to
MARPOL Annex VI of this decision.
 The “waiver” clause came about due to significant discussions at MEPC (Marine
Environment Protection Committee) and stressing that some ships may not be able to
comply with IMO requirements whilst considered as good design ships.
 It is important that waiver applied to specific ships and not the whole of flag State fleet.
So far, there has been no need for Administrations to use this option.
Regulation 20 – Attained EEDI
 The attained EEDI shall be calculated for:
 each new ship;
 each new ship which has undergone a major conversion; and
 each new or existing ship which has undergone so extensive major conversion, that is regarded
by the Administration as a newly constructed ship
 The above are applicable to ships defined in Regulations 2.25 to 2.35, 2.38 and 2.39.
 The attained EEDI shall be specific to each ship ……… and be accompanied by the EEDI Technical
File ….
 The attained EEDI shall be calculated taking into account guidelines developed by the Organization
(Resolution MEPC.245(66))
 The attained EEDI shall be verified either by the Administration or by any organization duly
authorized by it.
The Attained EEDI must be calculated for each new ship,
The Attained EEDI is only applicable to a large number of ship types but not all ships.
 The Attained EEDI must be calculated taking into account relevant IMO guidelines (see
Section 3 for details).
The Attained EEDI must be accompanied by an “EEDI Technical File”
The Attained EEDI must be verified,

Regulation 21 – Required EEDI
Regulation 21.1 – Required EEDI
 1 For each:
 new ship;
 new ship which has undergone a major conversion; and
 each new or existing ship which has undergone so extensive major conversion, that
is regarded by the Administration as a newly constructed ship
 For ships defined in Regulation 2.25 to 2.31, 2.33 to 2.35 and 2.39:
 Attained EEDI ≤ Required EEDI ; and
 Required EEDI = (1-X/100) x reference line value
 Where
 X is the reduction factor
 Reference line value is estimated from EEDI Reference line.
Regulation 21 – Required EEDI details Cut-off levels, phases and
reduction rates
Phase 0 Phase 1 Phase 2 Phase 3
Ship Type Size 1 Jan 2013 – 1 Jan 2015 – 1 Jan 2020 – 1 Jan 2025 and
31 Dec 2014 31 Dec 2019 31 Dec 2024 onwards
20,000 DWT and above
0 10 20 30
Bulk carrier
10,000 – 20,000 DWT n/a 0-10* 0-20* 0-30*
0 10 20 30
Gas carrier
2,000 – 10,000 DWT n/a 0-10* 0-20* 0-30*
0 10 20 30
Tanker
4,000 – 20,000 DWT n/a 0-10* 0-20* 0-30*
0 10 20 30
Container ship
10,000 – 15,000 DWT n/a 0-10* 0-20* 0-30*
General Cargo 0 10 15 30
ships
3,000 – 15,000 DWT n/a 0-10* 0-15* 0-30*
Refrigerated cargo 5,000 DWT and above 0 10 15 30
carrier 3,000 – 5,000 DWT n/a 0-10* 0-15* 0-30*
0 10 20 30
Combination carrier
4,000 – 20,000 DWT n/a 0-10* 0-20* 0-30*
LNG carrier*** n/a 10** 20 30
Ro-ro cargo ship

(vehicle carrier)*** 10,000 DWT and above n/a 5** 15 30
2,000 DWT and above n/a 5** 20 30

Ro-ro cargo ship*** 1,000 –
n/a 0-5*,** 0-20* 0-30*
2,000 DWT
1000 DWT and above n/a 5** 20 30
Ro-ro passenger 250 –
n/a 0-5*,** 0-20* 0-30*
ship*** 1,000 DWT
Cruise passenger 85,000 GT and above
ship*** having non- n/a 5** 20 30
conventional
propulsion
25,000 –
n/a 0-5*,** 0-20* 0-30*
85,000 GT
Reference lines
 Reference
are
lines
spec
ship
ific.
 Dependent
ship
on type
sand
i
z
 Calculated
e
data
ship from
.HIS
Fairp
databa
lay
se:
For details of how reference lines are developed, see Resolution MEPC.231(65):
2013 Guidelines for calculation of reference lines ……
Regulation 21.3 – Reference line
Reference line = a*b-c

Ship type defined in regulation 2 a b c
2.25 Bulk carrier 961.79 DWT of the ship 0.477
2.26 Gas carrier 1120.00 DWT of the ship 0.456
2.27 Tanker 1218.80 DWT of the ship 0.488
2.28 Container ship 174.22 DWT of the ship 0.201
2.29 General cargo ship 107.48 DWT of the ship 0.216
2.30 Refrigerated cargo 227.01 DWT of the ship 0.244
carrier
2.31 Combination carrier 1219.00 DWT of the ship 0.488
Ro-ro cargo ship (DWT/GT)-0.7・780.36
2.33 DWT of the ship 0.471
(vehicle carrier) where DWT/GT<0.3
1812.63 where
DWT/GT≥0.3
2.34 Ro-ro cargo ship 1405.15 DWT of the ship 0.498
2.35 Ro-ro passenger 752.16 DWT of the ship 0.381
ship
2.38 LNG carrier 2253.7 DWT of the ship 0.474
2.39 Cruise passenger
ship having non-
170.84 GT of the ship 0.214
conventional
propulsion
Reg. 21 - Reduction factor and cut-off limits
• Reduction factor is the %

reduction in Required EEDI
relative to Reference Line.
• Cut off levels:

• Bulk Carriers: 10,000 DWT • Gas
carriers: 2,000 DWT
• Tankers: 4,000 DWT • Container
ship: 10,000 DWT
• Gen./ref. Cargo: 3,000 DWT
Technology review for EEDI Phase 2
 Corresponding Group was established at MEPC 67.

 Purpose: To review the status of technological developments relevant to
implementing Phase 2 of EEDI regulation via:
• Data collection and analysis
• Use of information in IMO EEDI database (established at MEPC 66)
• Publicly available and verifiable information from all stakeholders.
 Report on the following:
• The range of technologies that may be used to comply with the
EEDI Phase 2.
• The current use of these technologies and the progress needed for
EEDI Phase 2.
 Progress report to MEPC 68, interim report to MEPC 69.
Regulation 22 - SEEMP
Regulation 22 - SEEMP
SEEMP and IEE Certificate
For existing ships, a Record of Construction needs to be filled and
an IEE Certificate issued when the existence of SEEMP on-board
is verified.
Verification that a SEEMP is on-board
The verification will be done as part of first intermediate or renewal
survey, whichever is the first, after 1 January 2013.
Regulation 23 - Promotion of technical

cooperation and technology transfer
Regulation 23 - Promotion of technical cooperation
and transfer of technology
 Administrations shall, in co-operation with the Organization and
other international bodies, promote and provide, as appropriate,
support directly or through the Organization to States, especially
developing States, that request technical assistance.
 The Administration of a Party shall co-operate actively with other
Parties, …, to promote the development and transfer of technology
and exchange of information to States which request technical
assistance, particularly developing States, for implementation of …
the requirements of chapter 4 of this annex, in particular regulations
19.4 to 19.6."
Supplement to IEEC – Record of construction
 The records of construction contains the following information:

 Particular of ship
 Propulsion system
 Attained EEDI
 Required EEDI
 SEEMP
 EEDI Technical File
 Endorsement that provided data are correct.
PART 2 – Guidelines on EEDI Calculation and
Verification
• Guidelines for Attained EEDI calculation

• Guidelines for Attained EEDI verification
Guidelines on the Calculation of the Attained
EEDI
Resolution MEPC.245(66): 2014 Guidelines on the Method

of Calculation of the Attained EEDI for new ships, Adopted
on 4 April 2014
Attained EEDI: Formula

The Attained EEDI is the actual value of EEDI for a ship and represents the amount of CO2
generated by a ship while doing one tonne-mile of transport work. In simple term, it may be
represented by equation (1):
Attained EEDI: Formula
 EEDI (gCO2/tonne.mile) =
 Not applicable to a ship having diesel-electric propulsion, turbine

propulsion and hybrid propulsion except for:
 Cruise passenger ships and
 LNG carriers
Attained EEDI: Calculation formula
Innovative Energy Eff. Innovati
Main A Power Energy
ve
Engine(s) Engin
u Technologi
Gen. Propulsi
Eff.
e(s)x es Technologi
on
es
E
E f c.
[gCO2/(tonne.n )
mDI ]
=
Boilers are excluded from EEDI
Scope of Attained EEDI (dashed red line)
Attained EEDI: Parameters
Ship Shaft Waste

design Energy
specific Motor Heat
factor Saving
EE
[DI
gCO2/(tonne. ) fc
nm ]
= Main
Wave Carbon
Ppower:
M = M Capacity
factor factor
E 0 C factor
. R
Auxiliary
Ppower: 7K ： Capaci
M >=1
5M W＋2 D Bulk carriers, Containers,
PAE ＝000
0 ty:
Tankers, Gas carriers, cargo ships,etc.
Refere W
PME <0. e ：5 GT : Passenger
S
nce
PAE ＝01000
0 M 0 T: Ship
p
E .2 e
0KW e R
05 e
5 d
EEDI condition
 EEDI is calculated for a single operating condition of the ship.

This will be referred to as EEDI Condition.
 The EEDI Condition is as follows:

 Draft: Summer load line draft.
 Capacity: Deadweight (or gross tonnage for passenger ships)
for the above draft (container ship will be 70% value).
 Weather condition: Calm with no wind and no waves.
 Propulsion shaft power: 75% of main engine MCR
(conventional ships) with some amendments for shaft motor or
shaft generator or shaft-limited power cases.
 Reference speed (Vref ): is the ship speed under the above
conditions.
Main Parameters
Capacity
 Deadweight for cargo ships:
 70% of deadweight for

Containerships.
 Gross tonnage for passenger

ships
Main (engine) power – PME (options)
Power for propulsion M M
 (PME) main engine C E

M M R
C E
R ☞ PME = 0.75 x MCRME
 (PPTO) Shaft (M M - PP )
generator PP C E T
M T O
 PPTO(small) M
O R
C E
R ☞ PME = 0.75 x (MCRME - PPTO)

 Main engine (big)
(M L )
PP C i
 PPTO(big) M M T
R
m
O it
C E
R ☞ PME = 0.75 x MCRLimited

e
d
Main engine power (options)
Power for propulsion – Electric ship type
(PPTI) shaft motor PPTI(i),shaft (PPTI(i) PTI(i)) Gen
Gen PP PTI(i),
shaft
A (. ηG ) (ηTP )
E
u I
Sete T
P
n
n
x I
gi
. ☞ PPTI = 0.75 x PPTI
n
e
Measurement of Vref (main engine + shaft motor)
M M
C E i M + P
R . E PT
ii. LimitedIPower
P
Ge PP ☞ Total propulsion power =
A 0 x (Limited Power)
n. T
E
u
n
Set I .
x
gi
. 7
n 5
Reference speed - Vref
e
Measured under EEDI Condition using the PME as propulsion

shaft power.
Auxiliary (engine) power - PAE
 PAE is the required auxiliary engine power to supply normal maximum
sea load ship’s (excluding cargo) requirements.
 PAE is calculated as follows:
 PAE calculations has specific rules for LNG carriers where

reliquefaction plant involved.
 For cases where calculated PAE is significantly different from actual
PAE, the ship Electric Power Tables should be used to estimate PAE .
Engine Specific Fuel Consumption - SFC

 For engines certified to the E2 or E3 test cycles of the NOx Technical
Code 2008, the engine SFCME(i) is … at 75 per cent of MCR power.
 For engines certified to the D2 or C1 test cycles of the NOx Technical
Code 2008, the engine SFCAE(i) is … at 50 per cent of MCR power.
 There are more details on SFC for cases:
 When there is no certified value (manufacturer value …)
 For pure gas or dual fuel engines (conversion to standard 48000 MJ/kg
base).
 For LNG ships with steam turbines
 CF and SFC shall be compatible
Factors and Correction Factors

Factors in EEDI formula
 CF is the carbon factor to take into account the type of fuel
 fw : Weather factor indicating the decrease of speed due to representative
sea conditions of wave height, wave frequency and wind speed (e.g.,
Beaufort Scale 6).
 feff(i) is the availability factor of each innovative energy efficiency
technology.
 Correction factors: There are a number of correction factors including
fi, fi, fc, etc.
CF (carbon factor) [Clause2.1]
 CF: Conversion factor between fuel consumption and CO2 emission.
 CF corresponds to the fuel used when determining SFC listed in the NOx
Technical File (part of EIAPP certificate).
Availability factor feff(i)
 feff(i) is the availability factor of each innovative energy efficiency
technology.
 Guidelines for estimation of availability factor for wind power, solar
power, etc. has been developed in the relevant Guidelines.
 Currently availability factor of 1.0 is used for waste heat recovery.
Correction factors
 Power correction factor (fj)
 Ice-classed ships (fj)
 Shuttle tankers with propulsion redundancy(80,000~160,000 DWT) (fj)
 Ro-Ro ships, all types (fjRoRo)
 General cargo ships
 Capacity factor (fi)
 Ice-classed ships (fi)
 Ship specific voluntary structural enhancement (fiVSE)
 Bulk carriers and oil tankers, built in accordance with Common Structural
Rules (fiCSR)
 Cubic capacity correction factor (fc)
 Chemical tanker’s (fc)
 Gas carriers having direct diesel driven propulsion system
(fcLNG)
fj design correction factor for propulsion power
 fj for ice-class ships: the greater value of fj0 and fj,min:
 fj = 0.77 for shuttle tankers of with propulsion redundancy between
80,000 and 160,000 deadweight.
 fjRoRO an fj for general cargo ship according to specific formulas Fj =
1.0 for all other ships.
fi correction factor for ship capacity for technical/regulatory
limitations (1)
 fi for -cl
ships:
ice a
greater
the value
ss of
f a fi,
i n ma
0 d x:
 fi for
speci
V ship
S
Volunta
fic
E
Structur
ry
Enhancement
al
:
fi correction factor for ship capacity for
technical/regulatory limitations (2)
 for bulk carriers and oil tankers, built in accordance with Common
Structural Rules (CSR)
 fi = 1.0 for all other ships.

fc : Cubic Capacity correction factor
 For chemical tankers:
 For RoRo Passenger ship:
 For diesel electric LNG ship:

Summary on Attained EEDI calculations
 Attained EEDI is calculated for “EEDI Condition” that represents:
Capacity at summer load line draft
Ship speed at 75% of main shaft power MCR and the above
capacity.
 Required engine data are derived from engine NOx Technical File.
 A large number of “correction factors” are included in the formula.
 Method of calculation of correction factors are defined within the
Guidelines.
Guidelines on Survey and Verification of EEDI
2014 Guidelines on survey and certification of the

energy efficiency design index (EEDI), Resolution
MEPC.254(67), as amended by Resolution
MEPC.261(68)
Content
 Introduction
 Verification process
 Preliminary verification
 Final verification
 Verification of major conversions
 Summary
Verification stages
Survey and certification of the EEDI should be conducted on two
stages:
 Preliminary verification at the design stage, and
 Final verification at the sea trial.

Verification process (Clause 4.1)
P
-vr
e
e
r
i
f
i
c
F
a
ti
in
oa
nl
v
e
Preliminary Verification
Preliminary verification
For the preliminary verification at the design stage, the following should be submitted to the
verifier:
 An application for an initial survey
 An EEDI Technical File containing the necessary information
 Other relevant background documents
Tank test aspects

 The power curves used for the preliminary verification should be based on results of tank
test.
 A tank test for an individual ship may be omitted based on technical justifications such as
availability of the results of tank tests for ships of the same type.
 In addition, omission of tank tests is acceptable for a ship for which sea trials will be carried
under the EEDI Condition ….
 Model tank test should be witnessed by the verifier.
Additional information
The verifier may request the submitter for additional information such as:
 Descriptions of a tank test facility.
 Lines of the model and the actual ship for the verification of the similarity of model and actual ship.
 Lightweight of the ship and displacement table for the verification of the deadweight;
 Detailed report … the tank test; this should include at least the tank test results at sea trial
condition and under the EEDI Condition.
 Detailed calculation process of the ship speed ….
 Reasons for exempting a tank test, if applicable; … plus relevant information ….

Final Verification
Sea trials
 Sea trial conditions should be set as EEDI Conditions, if possible.
 Prior to the sea trial, the following should be submitted to the verifier:
 Test procedure to be used for the speed trial,
 Final displacement table and the measured lightweight, or a
copy of the survey report of deadweight, NOx Technical File as
necessary.
 The test procedure should include, as a minimum, descriptions of all

necessary items to be measured, measurement methods….
Sea trials
The verifier should attend the sea trial and confirm:
 Propulsion and power supply system,
 Particulars of the engines, and other relevant items described in
the EEDI Technical File;
 Draught and trim;
 Sea conditions;
 Ship speed; and
 Shaft power and RPM of the main engine.
Parameters to be checked
 Draught and trim: should be confirmed by the draught measurements
taken prior to the sea trial.
 Sea conditions: Sea conditions should be measured in accordance
with ITTC Recommended Procedure 7.5-04-01-01.1 Speed and
Power Trials Part 1; 2014 or ISO 15016:2015.
 Ship speed: Should be measured in accordance with ITTC
Recommended Procedure 7.5-04-01-01.1 Speed and Power Trials
Part 1; 2014 or ISO 15016:2015, and at more than two points of
engine power …...
 The main engine output: Should be measured by shaft power meter
or a method which the engine manufacturer recommends and the
verifier approves.
Speed trial – Power curve
 The submitter should develop power curves …. from results of sea
trial.
 The effect of wind, current, waves, shallow water, displacement,
water temperature and water density in accordance with ITTC
Recommended Procedure 7.5-04-01-01.2 Speed and Power Trials
Part 2; 2014 or ISO 15016:2015.
 The submitter should compare the power curves obtained as a result
of the sea trial and the estimated power curves at the design stage.
 In case differences, the attained EEDI should be recalculated.
Verification of the attained EEDI for major conversions
 In case of a major conversion, the ship-owner should submit to a

verifier an application for an Additional Survey with the revised EEDI
Technical File and relevant background documents.
 The background documents should include at least but are not

limited to:
 Documents explaining details of the conversion;
 EEDI parameters changed after the conversion …;
 Reasons for other changes made in the EEDI Technical File.
 Calculated value of the attained EEDI, with the calculation
summary for each value of the calculation parameters and the
calculation process …
Other EEDI Relevant Guidelines
Guidelines on Ship Minimum Power
 Resolution MEPC.232(65) as amended by 225(67) and 262(68): the
2013 Interim Guidelines for determining minimum propulsion power to
maintain the manoeuvrability of ships in adverse conditions.
 Purpose: To assist Administrations and ROs in verifying that ships,

complying with EEDI, have sufficient installed propulsion power to
maintain the manoeuvrability in adverse conditions, as specified in
Regulation 21.5.
 Adverse conditions
 Currently applicable to:

 Tankers
 Bulk carriers
 Combination carriers
Minimum power: Assessment method
 Assessment Level 1 – Minimum power lines assessment
Check if the ship has an installed power not less than the minimum power
defined by line below:
Minimum Power Line Value [MCR, kW] = a*(DWT) + b
• a and b are constants and varies with ship type.
 Assessment Level 2 – Simplified assessment
 The assessment procedure consists of two steps:

1. Definition of the required advance speed in head wind and waves, ensuring
course-keeping in all wave and wind directions.
2. Assessment whether the installed power is sufficient to achieve the above

required advance speed .
Further details on Assessment Level 2 are given in the Guidelines
Guidelines on Innovative EE Technologies

MEPC.1/Circ.815: 2013 Guidance on treatment of innovative energy
efficiency technologies for calculation and verification of the attained EEDI
for ships in adverse conditions.
The technologies covered so far
Waste Heat Recovery

Hull Air Lubrication
Solar
Wind Power Electricity
Categories of Innovative EE Technologies
Details on how to deal with the above technologies for EEDI calculations
are given in the Guidelines.
Summary on EEDI verification
 EEDI verification will be performed in two stages: Preliminary verification at design
stage
Final verification at commissioning sea trials.
 Pre-verification is based on model tank test results.
 Final verification is based on actual speed trial results.
 Verifier is required to witness both tank test and sea trials.
 Development of speed power curve for EEDI Condition will involve use of tank test
data, speed trial data, + use of ISO standard for data correction.
 EEDI Technical File should be developed as part of the process.
PART 3 – Guidelines on SEEMP and EEOI
Content
 SEEMP Guidelines
 SEEMP main features
 Implementation aspects
 EEOI Guidelines
 EEOI calculation process Discussion
EEOI calculation process

Discussion
Guidelines for Development of SEEMP
Resolution MEPC.213(63): 2012 Guidelines for the

Development of a SEEMP, Adopted on 2 March 2012
Introduction
 The SEEMP Guidelines have been developed to assist with the
preparation of the SEEMP that is required by Regulation 22 of
MARPOL Annex VI.
 A SEEMP provides:
 A possible approach for improving ship and fleet efficiency
performance over time; and
 Some options to be considered for optimizing the performance
of the ship.
 SEEMP purpose
 The purpose of a SEEMP is to establish a mechanism for a
company and/or a ship to improve the energy efficiency of a
ship's operation.
SEEMP for ship OR company?

 The SEEMP should be developed as a ship-specific plan by the
company.
 … SEEMP should be adjusted to the characteristics and needs of

individual companies and ships.
 … it is recommended that a company also establishing an “energy

management plan” to improve fleet energy performance and
stakeholders’ coordination.
SEEMP Framework and Main Elements

SEEMP framework
 The SEEMP works through four
steps:
 Planning, ImprovementContinual Plan

 Implementation A
c
 Monitoring, and t
Plan
 Self-evaluation Evalu
ning
a
ation
Improve
n
mentd
 These components play a
critical role in the
continuous cycle to
improve ship energy Monito Implementa
management. ring tion
C D
h o
e
c
k
SEEMP framework
Planning
Planning - Importance
 Planning is the most crucial stage of the SEEMP.
 It primarily determines both Continual the current status of ship
Improvemen Plan energy
t
usage and the expected A
c
improvements. t Evalu Plan
a
ation ning
Improve
n
 Therefore, it is encouraged mentd
to devote sufficient time to

planning.
Monito Implementati
ring on
C D
h o
e
c
k
Planning – Identification of ship-specific “energy
efficiency measures”
 Recognizing that:
 There are a variety of options to improve efficiency.
 That the best measures differs to a great extent for ship type,
cargoes, routes and other factors,
 The specific measures for the ship to improve energy efficiency

should be identified in the first place.
 After identification of the EEMs (Energy Efficiency Measures), they

should be listed as a package for implementation.
Planning – Company energy management plan
P Ship operator
o
Cargo
r
Owner
t Ship Ship Charterer
s
Shi Manageme
Energy
pya Stakeholde
nt
rd rs
Ship
Owner
 The improvement of energy efficiency of a ship does not necessarily depend

on ship management only. A number of stakeholders are involved.
 More coordination between stakeholders is more rewarding … Company
should do the coordination rather than the ship.
 … a “company energy management plan” is recommended to manage the fleet
and make stakeholders’ coordination.
Human resources development
 Raising awareness and providing necessary training for personnel

both on-shore and on-board are an important element.
 Such human resource development is encouraged and should be

considered as an important component of planning as well as a
critical element of implementation.
Planning - Goal setting
 Goal setting is part of planning.
 Goal settings are voluntary and there is no
need for announcement to public nor are they
subject to external inspection.
 Purpose of goal setting is to increase

commitment to improving energy efficiency.
 The goal can take any form:

• Annual fuel consumption
• EEOI targets
 The goal should be measurable and easy to understand.

Implementation
Implementation – Establishment of
implementation system
 A system for implementation of the selected

measures by developing the procedures,
tasks and responsibilities ...
Con
Improv
tinu P
 The SEEMP should describe how each A ement
al
l
measure should be implemented and who cEva
P a
tlua a n
the responsible person(s) is. Imp
tio n
n dn
rov l
em t
e a
 The implementation period (start and end n
Imple
Moni
dates) of each selected measure should torin an
ment
g t
be indicated. C ii
D
h on
o
 The development of such a system can be
considered as a part of planning, and
therefore may be completed at the planning
stage.
Implementation – Record keeping
 The planned measures should be implemented in

accordance with the predetermined implementation
system.
 Record-keeping for the implementation of each

measure is beneficial for self-evaluation and
should be encouraged.
 If any identified measure cannot be implemented for any
reason(s), the reason(s) should be recorded for internal
use.
Monitoring and Evaluation
Con
Improv
tinu P
A ement
al
l
c a
Eva
t lua a P n
Impro
tio n
veme
n d
l
nt
a
Moni
n
Imple
torin an
ment
g t
C ii
D
h on
o
e n
c
g
k
Monitoring tools
 Consistent data collection is the foundation of monitoring.
 The monitoring system, including the procedures for collecting data

and the assignment of responsible personnel, should be developed.
 The development of such a system can be considered as a part of

planning, and therefore should be completed at the planning stage.
 … to avoid … burdens on ships' staff, monitoring should be carried

out as far as possible by shore staff, …..…
Self-evaluation and improvements
 Self-evaluation and improvement is the final phase of the

management cycle.
 This phase should produce meaningful feedback for the next

improvement cycle.
 The purpose of self-evaluation is to evaluate the effectiveness of the

planned and implemented measures.
 For this process, procedures for self-evaluation of ship energy

management should be developed.
 Furthermore, self-evaluation should be implemented periodically by
using data collected through monitoring.
SEEMP format
 A proposed format is included in the Guideline.
Summary on SEEMP Guidelines
 SEEMP framework is based on Plan-Do-Check-Act continuous
improvement cycle.
 When developing SEEMP, all the above elements needs to be

defined at the planning phase.
 At its core, SEEMP has a number of EEMs together with their:

 Implementation methods
 Monitoring and checking
 Self assessment
 Roles and responsibility
 Processes and procedures.
Guidelines for Calculation of the

EEOI
MEPC.1/Circ.684 Guidelines for Voluntary use of

the Ship Energy Efficiency Indicator (EEOI), 17
August 2009
Content on EEOI
 EEOI Guidelines purposes

 EEOI formula and data requirements
 Calculation aspects Typical calculations
EEOI Guidelines: IMO Circular MEPC.1/Circ.684
EEOI Guidelines: Some extracts from Circ.684
 These Guidelines present the concept of an indicator for the energy
efficiency of a ship, ……..
 These Guidelines can be used to establish a consistent approach for

voluntary use of an EEOI.
 It will assist ship-owners/operators …… in the evaluation of the

performance of their fleet with regard to CO2 emissions.
 These Guidelines are recommendatory in nature and present a

possible use of an operational indicator.
 Ship-owners …. are invited to implement either these Guidelines or an
equivalent method in their environmental management systems.
EEOI Formula
 j is the fuel type
 i is the voyage number;
 FCj is the mass of consumed fuel j at voyage I
 CFj is the fuel mass to CO2 mass conversion factor for fuel j
 mcargo is cargo mass (tonnes) or work done (number of TEU ,
passengers, etc.) depending on ship type.
 D is the distance in nautical miles corresponding to the cargo carried or

work done
Definitions (1)
 Fuel consumption (FC)

 Fuel consumption, FC, is defined as all fuel consumed at sea and in
port or for a voyage or period in question, by main and auxiliary engines
including boilers and incinerators
 Distance sailed (D)

 Distance sailed means the actual distance sailed in nautical miles
 Voyage
 Voyage generally means the period between a departure from a port to
the departure from the next port. Alternative definitions of a voyage
could also be acceptable
Definitions (2)
Cargo mass carried (mcargo)
 For cargo ships (dry, wet, etc.):
 Metric tonnes (t) of the cargo carried.
 For containerships (carrying solely containers):

 Number of containers (TEU) or metric tons (t) of the total mass of cargo
and containers.
 Ships carrying a combination of containers and other cargoes

 A TEU mass of 10 t could be applied for loaded TEUs and 2 t for empty
TEUs.
 Passenger ships, including Ro-Ro passenger ships Number of
passengers or gross tonnes of the ship.
 Etc.
Establishing the EEOI
 Main steps for establishing an EEOI are:
1. Define the period for which EEOI is calculated (or the voyage)
2. Define data sources for data collection
3. Collect data
4. Calculate EEOI
 Port operation and ballast voyages, as well as voyages which are
not used for transport of cargo, such as voyage for docking service,
should also be included
 Voyages for the purpose of securing the safety of a ship or saving

life at sea should be excluded.
EEOI Calculation
Calculation of the EEOI - Formu
la
 Basic expression of the EEOI
 Average EEOI (rolling average)
j is the fuel type

 i is the voyage number;
 FCij is the mass of consumed fuel j at voyage i
 CFj is the fuel mass to CO2 mass conversion factor for fuel j
 mcargo is cargo carried (tonnes) or work done (number of TEU or passengers) or gross tonnes
for passenger ships
 D is the distance in nautical miles corresponding to the cargo carried or work done.
Calculation of the EEOI – Rolling average
 EEOI is normally calculated for one voyage.
 Average EEOI for a number of voyages can be carried out.
 Rolling average, when used, can be calculated in a suitable time period, for example:
 One year or
 Number of voyages, for example six or ten voyages.
 For calculation of rolling average for three voyages, the average for the following voyages need to
be calculated:
 Average of voyages 1,2 and 3 will give the 1st rolling average
 Average of voyages 2, 3 and 4 will give the 2nd rolling average Average of voyages 3, 4
and 5 will give the 3rd rolling average And so on.
Calculation of the EEOI – Data sources
 Data sources
 Bridge log-book
 Engine log-book
 Deck log-book
 Other official records
 Fuel mass to CO2 mass conversion factors (CF)

Calculation of the EEOI – Data sheet template
Calculation of the EEOI (example)
 Example (includes a single ballast voyage)
 unit: tonnes CO2/(tons x nautical miles)

Measurement errors
For more information please see: www.imo.org

Module 3:
From Management to
Operation

City, Country
Content
 Overview of ship management and operations
 Shipping legal frameworks and energy efficiency
 Fleet optimisation and slow steaming
 Ship loading and ship capacity utilisation
 Just-in-time operation and Virtual Arrival
 E-navigation developments and weather routing
Shipping Management and Operations Overview
Shipping company organisation
 A shipping company have a number of departments; two are important to
our subject.
Board of
Directors
 Operations department (fleet management): Main
role Managing
Director (CEO)
 Maximise the economic and Finance Human Marketing

Operations Technical IT
Department Department Department
safe deployment of the ships Department Resources
Department
Department
Ships /Fleet
(planning, scheduling, etc.)
 Coordination with other
departments, ships, charterers, ports, agents, etc.
 Technical Department: Main role
 To keep the ships in a seaworthy conditions.
 Ships’ maintenance and repairs New building projects, etc.
Characteristics of shipping companies

 Not all shipping companies are the same from:
 Business aspects
 Ship types and cargo carried,
 The way they are managed, etc.
 Business characteristics: Liner, tramp, industrial, owner, operator, manager, etc.
 Fleet characteristics: Ship types and sizes.
 Cargo characteristics: Liquids, bulk material, containers, packaged, etc.
 Ports they use and their impacts on ships
Shipping segments
 Shipping segments by geography of operation:
 Deep-sea shipping Short-sea shipping
 Coastal shipping
 Inland waterways.
 Shipping segments by operation
 Liner operations: Liners operate according to a published itinerary and schedule similar to
a bus line.
 Tramp operations: Tramp ships follow the available cargoes similar to a removal van.
 Industrial operations: Usually own the cargoes and control the vessels used. They operate
within a wider company business framework, thus differ from other two segments.
Ship/fleet planning
 Planning takes place at a number of levels.
 Business planning:
 Longer term planning / decisions
 What shipping segment? Which area of operation? What type of cargos? Partnership with
other players? etc.
 Choice of ship types and sizes Commercial planning:
 Medium-term planning / decisions
 Focus is primarily on optimal routing, scheduling, operations, etc.
 Routine (operational) planning:
 Deals with a variable operational/commercial environment.
 Decisions have only short-term impact
 This could happen in part of the tramp shipping segment.
Speed selection and cruising speed
 Choice of ship speed is a crucial commercial and operational decision
 Ships normally are not operated above design speed and also have a minimum speed to
ensure safety.
 The term fleet deployment refers on how best a fleet could be used.
 Selection of speed is part of the deployment aspects.
 Speed selection is normally a main issue for liner and industrial operators.
 It impacts their level of service, number of ships deployed, etc. with consequences on the
profitability of the business.
Other important operational aspects

 Regulatory compliance:
 Fleet must comply with regulatory requirements.
 Maintenance management:
 Scheduled maintenance in a port or a shipyard
 Surveys by classification society in a shipyard.
 Unplanned maintenance
 Shrinking size of crews and how to deal with maintenance Fuel procurement:
 A significant cost of the ship operation
 Depending on who pays for fuel, a variety of activities takes place for procurement of fuel
with correct quality, quantity and price levels.
Other important operational aspects

Ship port visits and operations
 A major operation of the ship.
 Significant level of coordination needed with ports.
 Choice of ports are part of business or commercial planning but port calls coordination is part
of routine planning.
The role of the management in reducing GHG emissions
 Shipping company
management have the biggest
impact and responsibility for
reducing GHG within the fleet
Fuel saving a win-win scenario for ship operation
economy and the environment
 Reducing ship generated GHG

can be a win-win situation for all
involved.
 It can reduce operational costs
as well as protecting the
environment.
Incentives for operators to save fuel
 The incentives for reducing

GHG will include reduced fuel
costs, maintenance costs and
down-time in port.
 There is an issue referred to as
“split incentives” that impacts
efforts for GHG reduction.
 This will be discussed later.
Shipping Contracts and Energy Efficiency

Questions on shipping contracts and their impact on GHG emission
Main questions: Are these true or false?

 What are the main types and  The current shipping
features of shipping commercial framework has
contracts? not been developed to
facilitate GHG reduction
 How contract-type may
policies; but to facilitate trade
influence ship owner /
and establish fair contractual
operators incentive to
relationship between
reduce GHG emission?
partners.
 How contract-type may
 Ship and fleet management
influence shipmaster
is constraint by the above
behavior in managing the
shipping framework
ship?
The main types of shipping legal frameworks and
contracts of carriage
 Common Law
 Hague Visby Rules
 Bill of Lading
 Charter party
 Reasonable Dispatch
 Deviations
 Jurisdiction
Common law
Under common law, there are four basic obligations on the carrier:
1. The carrier must deliver the goods in the same condition as when they are shipped. Four
exceptions;
– Act of god
– Act of Queens/Kings enemies
– Loss or damage resulting from inherent vice of the goods.
– Loss resulting from jettison (through away cargo for ship safety)
2. The carrier has an absolute duty to provide a seaworthy ship.

3. The carrier undertakes to proceed on a voyage without
unjustifiable “deviation”. If so, the carrier is liable for losses.
4. The carrier must complete the voyage with “reasonable dispatch”. If there is undue delay, the
carrier is liable.
Common law
 The term “reasonable dispatch” defines the normal obligations of a carrier to transport
shipments.
 The term is found in most of standard bills of lading. The term

generally means obligation to “sail without unreasonable delay”.
 This is the area that could have impact on efforts for saving energy or
reducing GHG emissions as will be discussed later.
Hague-Visby Rules
 With contracts under common law:
 The carrier may limit or exclude its liability
 The buyer/shipper may end up with no right to dictate other terms.
 To remedy this, the Hague Rules as amended by the Hague-Visby Rules

were agreed internationally.
 These rules preserve the four common law obligations in a less
strict form and protects the buyer / shipper by ensuring carriers’ liability.
Hague-Visby rules
 The Hague–Visby Rules are for the international carriage of goods by sea.
 They are an updated version of the original Hague Rules.
 The premise of the Hague–Visby Rules is that, to protect the interests of the shipper, the law
should impose some minimum obligations upon the carrier.
 Under the Rules, the carrier's main duties are to:

 "properly and carefully load, handle, stow, carry, keep, care for, and discharge the goods
carried“; and to
 "exercise due diligence to ... make the ship seaworthy“; and to "... properly man, equip
and supply the ship".
Bill of Lading
 The bill of lading is a legal document that governs the relationship between the shipper and the
carrier
 There are a number of bill of lading types; for example:
 “Endorsed order bills of lading” can be traded as a security or serve as collateral against
debt obligations.
 Therefore a bill of lading is:
 A standard form document.
 Could be transferable by endorsement.
 Is a receipt from the shipping company.
 The bill of lading therefore may perform 3 functions:
 Evidence that the goods has been received by the carrier.
 Evidence of the actual contract of carriage.
 Document of title to the goods.
Contracts of carriage or charter parties – topics
Topics to discuss
 Voyage Charters
 Arrived Ship
 Demurrage
 Time Charters
 Speed and fuel warranties
 Demise Charters
 Contracts of Affreightment
Charter party
 “Charter party” or “charter”: Is a contract by which the ship owner lets the ship to another
person.
 The content will include legal and commercial aspects plus additional conditions on how the
ship will be used or operated.
 Thus a charter-party governs the relationship between the shipowner and the charterer.
 Charter party normally deals with the hiring of full ship while a “contract of affreightment” deals
with carriage of goods forming only part of the cargo and coming under a bill of lading.
 Charter parties are highly standardized and are grouped into three main types
1. Voyage charter
2. Time charter
3. Demise or bare boat charter
Voyage charter
 A voyage charter is a contract of carriage for one or more voyages.
 The ship remains under the control of the owner including manning, maintenance and
navigation.
 Fuel cost is normally paid by the owner (could be other ways).
 Cargo carried may also have a bill of lading; thus may be covered by the Hague-Visby Rules.
 The contract will normally have a ‘due dispatch’ clause.
 There are also a number of days ‘lay days’ agreed in the contract for the loading and discharge
of the cargo.
 For the commencement of lay-time three things are required; The vessel must be fit to load
or unload.
 She must be an ‘arrived ship’.
 The ‘notice of readiness’ to load or discharge must be given to the charterer.
Voyage charter
 Under a typical voyage charter-party the ship operator decides on cruising speed so as to arrive
at the port at the due date.
 For a ship to be an ‘arrived ship’ the master must tend his/her “notice of readiness”.
 When arrived and once ‘lay days’ are used up, from then the ship owner is entitled to
‘demurrage’.
 Based on the above arrangement, the incentive is for the ship owner to sail the ship fast to be
sure the become an “arrived ship” early so that the lay days start to count.
 The frequent outcome of this process is that ships will steam at unnecessary high speed to
arrive as early as possible.
 This often results in the ship sitting at anchor or alongside for long periods.
 This process works against energy efficiency.
Time charter
 The ship is manned and navigated by the owner but her capacity is let to the charterer for a
specified time.
 Charterer has:
 No ownership responsibility.
 No ship management responsibility.
 No ship maintenance responsibility.
 It is normal that the charterer pays for the fuel and port costs but the ship owner must take care
of the other operating costs.
 Time charters will normally have a speed and fuel warranty clause stating the speed and fuel
consumption of a ship.
 Under time charter, the charter can exercise control on the way ship is used or operated.
Demise charter
 This is a charter party in which the charterer takes control of a ship as if it is his own ship.
 It is sometimes known as a ‘bare-boat’ charter party.
 In such a charter-party, the master and the crew are like the charterers employees.
 The demise charterer is for all practical purposes the temporary owner of the ship.
 The “demise charter” arrangement is another good example of the ‘split incentive’ as the owner
will not be willing to invest for energy efficiency.
 However, in such cases the charterer will have more control, thus will have more incentive to
achieve operational energy efficiency or press the owner to invest.
Charter party and split incentives

 The charter party in any form (time, voyage or demise) is a good example of the ‘split incentive’
problem.
 The owner:
 Due to the contractual requirements, will tend to over steam during the voyage.
 Normally does not pay for fuel, thus will have no incentives to save fuel.
 The charterer:
 Pays for the fuel but has no investment control on ship; so no incentives to invest in
somebody’s else ship.
 Has no significant operational speed controls especailly for voyage charter due to nature of
contracts.
 The above act as a major barrier for energy efficiency activities.
Contract of affreightment
 In this type of contract, a ship-owner agrees to move a specified quantity of cargo over a
specified period of time from one port to another without designating a particular ship.
 The ship owner pays for the voyage costs and the vessel.
 Contracts of affreightment are often set for a period of few or several years.
 Such contracts are often used in the bulk cargo trades.
 The contracts of affreightment could include aspects of time or voyage charter party terms
depending on type of arrangement between carrier and the shipper.
 Depending on the contract, these types of contract may lead to split incentives.
Impact of shipping contracts of carriage and possible
conflicts of interest
 When the charter party and bill

of lading are different
 Jurisdiction
Shipping contract and energy efficiency

 To save energy, it is well known that reducing ship speed is very effective.
 As indicated under charter party, current shipping contracts leads to:
 Split incentive.
 Provides incentives for fast steaming
 Act as barrier to upgrading ship technologies
 Act as a barrier to improving ship operations
 A case example of slow steaming and related legal issues follows.

Legal case example: Slow steaming
 Slow steaming is very effective in reducing a ship’s fuel consumption

 Its practice may be problematic within the current shipping legal / contractual framework, in
particular for certain ship types and trades Legal issues:
 Any “unreasonable delay” could lead to a legal case against carrier.
 The general rule is that the ship owner bears the risk of any delays unless covered by an
“exception clause”.
 If the carrier intentionally proceeds by slow steaming, he may be committing a “deviation”.
 By law, this “deviation” is not allowed for fuel saving.
 It is, therefore, important for a ship owner and a charterer to incorporate suitable clauses to
the charter party.
Slow steaming case examples
 Under a time charter, the charterers may give the owners instructions to slow steam.
 The main legal issues relate to slow steaming in this case are:
 The ship owners’ obligations to ensuring the safety of the vessel, crew and cargo.
 The ship owner obligations towards third parties, such as bill of lading holders.
 There have been some efforts by industry to deal with all these legal issues.
BIMCO Clause
 BIMCO has been developing relevant clauses for the charter party.
 In the past, a time charter clause and a voyage charter clause

for slow steaming were published by BIMCO.
 These are suitable for the liner, tanker and dry bulk trades.
 The legal status of the BIMCO clause and its practical use within
existing charter parties is not yet clear.
Fleet Optimisation and Slow Steaming

Ship speed terms commonly used
 Design speed: Technically speaking, a ship is designed for a specific operating speed (design
speed).
 Slow steaming: This term refers to running a ship at a significantly lower speed than its design
speed.
 Ship economic speed: It generally means a speed at which the ship transport as a whole
yields the best financial results under the given constraints of engine power, sea conditions,
port and waterways dues, and other commercial / financial requirements of the charterer.
 Service speed: The origin of this term is to do with relationship between charterer and ship
owner and refers to the average speed maintained by a ship under normal load and weather
conditions.
 Maximum speed: This term defines the maximum speed of a ship that the ship-owner claims
the ship practically can achieve.
Power and speed relationship
 Resistance α (ship speed)2
 Propulsion power = Resistance * (ship speed)
 Propulsion power α (ship speed)3
Typical ship speed-power curve

S
Wave resistance RW : RW CW V S NS2 S ();
2
Still Air resistance RAA : RAA CAA

S
V S NS2
;
S( ) 2
Friction resistance R RF : F CF S
V S NS2 S ( );and where:
2
SS wetted surface areaof the hull(m2)
VS ship speed m s Note( / ),:1knot 0.5144444 m s/
Eddy-making resistance : C C Cr R AA CF S
V S NS2 S ( S mass density of seawater, S 1,025.0kg m/ 3
):
2
Ship fuel consumption versus speed
 Propulsive power α (Ship speed)3

 Fuel consumption α (Ship speed)3
 Distance travelled α Ship speed
 Fuel consumption per nautical mile α (Ship speed)2
Impact of speed on
fuel consumption
Different levels of
slow steaming
Impact of ship size on

fuel consumption
Source: Geography of Transport System, adapted from Notteboom et al (2009)
Economics of slow steaming

 What is the optimal speed for slow steaming?
 Answer should be based on overall ship costs versus speed.
 The diagram by Clarkson is for a VLCC.
 Slow steaming is highly effective in reducing a ship’s fuel cost;
more so at high fuel prices (compare blue BC2 to BC1 trends).
 At higher fuel prices, more aggressive slow steaming is beneficial
(compare points 1 & 3).
 For low charter rates, and at a fixed fuel price, more
aggressive slow steaming is beneficial
(compare points 1 and 2). In the calculations,

the need for
When fuel prices are high and charter rates are deployment of
low, more aggressive slow steaming will be more ships are
beneficial. included.
Slow steaming advantages and disadvantages
Slow steaming benefits Slow steaming disadvantages
 Charterer  Charterer
 Lower fuel consumption  Longer voyage time and higher
 Lower bunkering frequency charter fees per voyage.
 Need for additional ship to deliver
 Technical operator the same amount of cargo
 Lower average engine load  Technical operator
 Lower yearly cylinder oil  Higher machinery working hours
consumption  Tendency for faster ship’s hull
fouling.
 Higher maintenance costs due to
 Ship’s crew engine operation at low loads.
 Lower bunkering frequency  Ship’s crew
 Longer time between ports  More maintenance work linked to
engine low load operation
 Environment  Longer periods away from ports.
 Lower NOx per voyage
 Lower CO2 per voyage  Environment
 Lower SOx per voyage  Likely to have higher CO
 Likely to have higher PM
Ship owner technical considerations
 Main engine operational limits (minimum load for safe engine operation).
 Economiser performance and reliability (economiser fouling, not enough steam production)
 Turbocharger operation, performance and maintenance (fouling, lack of energy for turbo
operation, possible need for operation of auxiliary air blowers, …)
 Propeller performance (not optimal condition).
 Hull paint type and fouling rate (increase in fouling, impact on performance of hull coating, …)
Ship Loading and Capacity Utilisation
International load line convention
 The International Load Line regulations require that every ship is issued with
a LoadLine certificate every 5 years.
 The certificate is subject to annual and intermediate surveys.
 The Load Line is placed mid-way between the forward and after
perpendiculars.
 It gives the draft of the ship that is the legal limit to which a ship may be
loaded.
 A ship may have multiple load lines.
 This will result in the ship carrying less cargo when using lower draft
load lines.
 Depending on load line chosen, amount of cargo carried and port
dues will vary.
International load line convention
 The IMO 1969 International Tonnage Convention is used to measure the gross tonnage of
ships.
 The gross tonnage is normally used to calculate, amongst other things,
the amount of port dues that a ship has to pay.
 The cost of port dues can be very significant over the ship’s lifetime.
 If a ship is operating on the following condition, then it may use lower
certified GT to reduce its port dues:
 Visit to ports with a draught restriction
 Lack of transport demand
 Where the cargo has a high volumetric value
Ship loading: Importance of ship capacity utilization
 Ship Load (capacity) Factor: Actual cargo load divided by design deadweight (for bulk
cargo).
 The above definition will be based on cargo TEU for containership or meter-lane for ro-ro
ships.
 Ship must operate with a high load factor to be energy efficient.
 High load factor means lower fuel consumption per unit of cargo.
 Ships may operate without utilizing their full cargo loading capacity because of:
 Poor design
 Lack of transport demand
 Loading aspects and other operational aspects.
Ship loading: Proper cargo weight and cargo arrangement on-board
The importance of accurate weight declaration and cargo arrangement on-board

 Route and ballast plan
 Container packing
 Accurate weight of the container
 Pre calculation of optimum trim and ballast
 Distribution of cargo on board
Ship stowage factor
 ‘Stowage Factor’ for bulk cargo: If a cargo is light for its volume, then the holds may be full
but the ship may not be down to its load line marks.
 The “stowage factor” indicates how many cubic metres of space is needed for one metric
tonnes of cargo.
 In other words, stowage factor is the volume to weight ratio of a cargo.
 This is very important factor when loading bulk cargos.
 In such a case, the ship’s master and chief officer calculations are important for full utilization of
ship capacity if the cargo is light.
Technology upgrades and ship capacity
 In case of ship technology upgrade, the following questions need to be clarified are:
 Will this additional equipment alter the ship gross tonnage?
 Will this additional equipment alter the ship’s lightweight?
 If the equipment increases the gross tonnage, there will be a financial penalty over the whole of
the life time of the ship with port dues.
 If the lightweight increases, this increase in lightweight will equally reduce the ship deadweight
capacity.
 This is not good for ship energy efficiency.
 In summary, new equipment must not increase ship lightweight or gross tonnage significantly.
Ship loading aspects

 The distribution of cargo onboard and the amount of ballast needed to maintain adequate
stability, particularly with ships that carry a large amount of deck cargo is critical.
 Also information on the ship’s optimum trim and optimum amount of ballast onboard for a
particular voyage is needed.
 Trim adjustment is impacted by ship loading practices.
 Ballast aspects: Ballast water is needed for stability, trim, or to keep the propeller and rudder
submerged. Optimization of the amount is important for energy efficiency.
In summary, ship capacity utilisation and loading of the vessel with due consideration for energy
efficiency provides good opportunities for energy saving.
Just In Time and Virtual Arrival
Just in Time and Virtual Arrival - Definitions
 Just in Time (JIT): Concept and practice originate from manufacturing industry. In that industry, it
is used as the main method to reduce the inventory levels and associated costs.
 In case of shipping, JIT normally refers to process for reducing the waiting and idle periods of ship
operations.
 JIT applies to both ship’s passage and port operations.
 For voyage optimisation, all aspects of planning, execution, monitoring and review of a voyage are
included in this concept.
 Virtual Arrival is a new operational concept that aims to remove barriers to JIT operation and
reduce port-level delays.
Just in Time and Virtual Arrival – Why ship’s waiting / inactivity?
 The commercial ships’ movement is influenced by many factors (below bullets).
 The requirements of “cargo owner” (mainly charterers) on when and where the cargo should be loaded and discharged.
 The slotting issue in ports in terms of berth availability or cargo space availability. Early arrival and competing for early
loading/discharge is common industry practice.
 Regulatory issues that may lead to prevention of entry to certain ports or detention for some periods of time. The lost time
is later on normally recovered via over-speeding.
 Technical failures that leads to loss of ship availability.
 Lack of business (cargo), resulting in short or long idle times.
Just in Time and Virtual Arrival – Main players?

 The improvement to ship itinerary requires efforts by all parties involved.
 Charterer (operation department): The charterer is ultimately responsible for decision making on ship itinerary and overall
steaming speed. Orders issued by the charterer to ship are normally the basis for ship movement.
 Ship master: The master, based on orders received, will operate the ship and will ensure that the designated dates and
times are achieved, within the terms of the charter party.
 Port authorities: They would influence the plans drawn by both charterer and master through planning of the port operation.
 It is the interaction between the above parties that leads to the actual (achieved) ship itinerary.
Just in Time and Virtual Arrival
– Best practice
for
improvements
 Avoid waiting periods in all phases of a voyage or modes of operation.
 Aim for early communications with the next port in order to give
maximum notice of berth availability and facilitate the use of optimum
speed.
 Encourage good communications between fleet department, master
and charterer.
 Improve cargo handling operation and avoid delays at berth to the
extent possible.
 Operate at constant shaft RPM while en-route.
 When leaving ports or estuaries, increase the shaft rpm gradually in

harmony with increases in ship speed.
 Avoid going fast in shallow waters. Reduce speed in shallow waters, if
possible.
- Barriers
 Charter party constrains: These include clauses on various aspects

of ship operation that practically restricts efforts for energy efficiency.
 Weather constraints: The weather impact is well known. To limit this
impact, weather information and weather routing can be used.
 Route constraint: The route of the vessel may involve channel
crossing, passing through pirate areas and also need for operations
such as bunkering.
 Port constraints: Various ports impose various constraints on vessels.

One major aspect is the competition between various ships to arrive at
port of destination in order to beat the queue.
 Other ship/owner/charterer specific constraints: These are specific
constraints that may apply by various parties involved in ship operation.
– Why Virtual
Arrival?
 Virtual arrival aims to reduce waiting times and achieve longer passage
time and thereby reduced ship’s voyage average speed.
 A significant level of energy saving is expected with virtual arrival.
 This could also reduce the port-area emissions significantly.

Just in Time and Virtual Arrival – VA
Processes
 Identification of change in itinerary: Mainly with port of destination.
Agreement to new itinerary: The next step is for all parties to agree
on change of itinerary. This will give the new “Required Time of Arrival” at
the destination port.
 Speed adjustment: As a result of the newly agreed Required Time of
Arrival (or itinerary), the ship’s speed or the engine RPM is reduced.
Just in Time and Virtual Arrival – Need for
Agreement on VA
 To facilitate the VA, there is a need for new contractual arrangements
either as part of the current charter party or a new one (VA
Agreement).
 As part of the VA Agreement, charterer and
owner/operator will be able to change the Required Time of Arrival or
ship itinerary.
 They can also agree on the methodology for calculating voyage data
and the associated reporting requirements.
 At the end of the trip or based on terms of VA Agreement, the voyage
estimates, financial and contractual aspects will be settled.
 To reduce post-voyage disputes, agreement should be in place for:
 The method of calculation of the vessel's voyage performance
 The speed and other data to be used,
 The reports to be issued and by whom and the report’s timing.
Just in Time and Virtual Arrival – Other
benefits
 Fuel saving is the main purpose. Other benefits listed below.
 Pollutants reductions: In proportion to fuel consumption reduction.
 Releasing ship for other activities: For exampled additional time can
be used for planned maintenance activities, statutory surveys, crew
changes or vessel storing.
 The improved planning of in-port activities: Operations can be
planned well in advance and uncertainties associated with waiting time
and periods at anchor are reduced.
 Port benefits: Virtual arrival, by virtue of reducing waiting in port area,
has many benefits to ports including less port congestion, less
emissions, reduced noise and enhanced safety.
Just in Time and Virtual Arrival – Tools for
support of VA
 Weather routing: Weather routing service providers can play a verifier
role for route related coordination and calculations.
 Voyage performance analyser: There are systems that can routinely
measure ship speed, shaft propulsion power and environmental
conditions. These systems could be used for monitoring voyage
performance.
 ECDIS (Electronic Chart Display and Information System): The
electronic chart and information system could be used by means of
integrated information for voyage management purposes.
 System communications: Integration of port and ship management
systems for communications for port slotting.
E-Navigation and Weather Routing
E-Navigation
 IMO MSC (Marine Safety Committee) has set a strategy on five
solutions to provide a basis for supporting e-navigation:
 S1: Improved, harmonization and user friendly bridge design;
 S2: Means for standardized and automatic reporting;
 S3: Improved reliability, resilience and integrity of bridge
equipment and navigational information;
 S4: Integration and presentation of available information in
graphical displays received via communication equipment; and
S5: Improved communication of VTS service portfolio.
 The solutions S2, S4 and S5 are designed to improve
communication between ship and shore for safety purposes.
 These initiatives will have implications for ship energy efficiency
through better routing and reducing delays.
E-Navigation
 IALA (International Association of Marine Aids) defines the
enavigation as:
“The harmonised collection, integration, exchange, presentation
and analysis of maritime information … by electronic means to
enhance berth to berth navigation ….. for safety and security at
sea and protection of the marine environment”.
 The implementation of e-navigation involves the development of
onboard navigation systems that integrate all relevant ships sensors
and supporting information.
 ECDIS is the main item of the broader e-navigation initiative that has
evolved as a result of IMO activities.
 The IMO considers the implementation of e-navigation in the world’s
fleet as a long term objective rather than a short term fix.
E-Navigation model
The IMO and IALA have provided the following e-navigation
model to describe the overall concepts and outline the basic
elements of the system.
E-Navigation related tools
 Voyage performance analysis: This system measures ship speed, shaft propulsion
power and external environmental situation and help with voyage management.
 ECDIS (Electronic Chart Display and Information System): The electronic chart and
information system has the potential for improving navigational practices.
 Autopilot precision and effectiveness: A more adaptive autopilots that can provide
better automatic steering actions to prevailing weather conditions and sea state.
 Maneuvering assistance tools: With the introduction of modern information and

communication technologies, more and more assistance tools have been introduced
additionally to standard mandatory navigational bridge equipment.
 Integrated navigational systems: This can achieve fuel savings by keeping cross track
error to a minimum while in passage. This technology has been brought about by
extremely accurate GPS position information.
 Computerized maneuvering assistance tools: This takes into account the prevailing
environmental conditions such as wind and current, ship condition, current course,
speed, draught and the trim of the vessel.
 As can be seen, e-navigation provides significant new opportunities for optimizing

navigation actions in favour of safety and environmental protection.
ECDIS purpose
 The core functionality of ECDIS is the
move to electronic charts.
 The ECDIS uses the approved
electronic charts and reproduces an
image on a display system.
 Through e-navigation, ECDIS could
support additional features if need be
for example:
 Passage planning with dynamic
real time monitoring
 On-line monitoring of ships' routes.
 Built-in decision support system to
assist both the masters and
officer.
 Berth-to-berth management
options, etc.
Concept of ECDS and its integration with other system

[Fredrik
Larsson]
ECDIS and GHG emissions??
 The ECDIS main advantage over the traditional paper plot method of
getting from A to B is that:
 It is capable of accurately plotting and monitoring the ships
position in real time.
 An ECDIS has the ability to be linked to an advanced automatic
pilotage system.
 This combined system can improve the vessels ability to keep on
track and alter course to minimize the distance travelled.
 An ECDIS can give a more accurate and quick method of calculating
estimated time of arrivals (ETAs). This information can help with
better voyage management.
 This tool can also be used when slow streaming or for weather
routing.
 In summary, the ECDIS within an e-navigation framework can
improve route planning and execution and reduce delays, thus impact
fuel consumption.
Weather Routing and other Tools in Support of
Enavigation for Energy Efficiency
Tools to support energy efficient ship
operations at sea
Weather routing: http://www.enav-international.com/issues/articles/id1252 -Strategic_Weather_Routing.html ECDIS [Fredrik Larsson]

Ship and voyage analyser http://www.nauticexpo.com/prod/navitron/product Advanced autopilot system-25387-331404.html
[http://www.km.kongsberg.com/ks/web/nokbg0397.nsf/AllWeb/AB963D5AB36A752DC1257AF500
41E9D4/$file/376812.pdf?OpenElement
Impact of weather on ship performance
 The following table shows the fuel consumption increase (%) for
different water depths D and speeds x.
X D Increase (%)
10 8 5
10 10 3
10 100 0
17 8 20
17 15 10
17 100 0
20 8 30
20 15 20
20 100 0
 The following table describes a typical and approximate relation

between increased wind strength, direction, and increased fuel
consumption for each unit of Beaufort.
wd Type Increase (%)
315-360, 0-45 Head wind 4
45-135, 225-315 Side wind 2
135-225 Tail wind 1
Weather Routing
 The fuel consumption for a ship not only depends on speed, but also
on water depth and weather conditions.
 The optimal speed distribution along the route can be calculated in
advance, if a weather forecast is available.
 Weather routing develops an optimum track for ocean voyages based
on weather forecasts, sea conditions, and a ship’s individual features
for a particular transit.
 Within specified weather limits and sea conditions, weather routing
aims to maximize safety and crew comfort, minimize time underway
and minimize fuel consumption.
 To provide the above, “weather routing service providers” are now
supporting ship operations.
Ship and voyage performance analysers
 Ship and voyage performance analyzer:
 There are systems that can routinely measure ship speed, shaft
propulsion power and environmental conditions. These systems
could be used for monitoring various aspects of ship and voyage
performance.
 They could also help to identify reasons for poor performance,
deviations in speed and so on.
Ship and voyage analyser
[http://www.km.kongsberg.com/ks/web/nokbg0397.nsf/AllWeb/AB963D5AB36A752
DC1257AF50041E9D4/$file/376812.pdf?OpenElement
Advance autopilots
 Autopilot – new generation
 The new generation of Autopilots is under development or
already available on the market.
 Sophisticated autopilot systems provide technical facilities to also
adapt the steering actions to prevailing weather conditions and
especially the sea states, even automatically.
 Those systems are providing dedicated functions such as
'precision' and 'economy' modes:
 An Autopilot operating in Economy mode reduces rudder
movements and consequently contributes to fuel savings.
 On the other hand, using Autopilot in the Precision mode allows
for the best accuracy and ensures safe navigation.
Summary learning points
 As a result of this module, the following was fully reviewed with specific reference to shipping
energy efficiency:
 Ship management and operations
 Shipping legal frameworks and energy efficiency
 Fleet optimisation and slow steaming
 Ship loading and ship capacity utilisation
 Just-in-time operation and Virtual Arrival
 E-navigation developments and weather routing
 All the above areas provide big opportunities for reduction of ship operations fuel consumption
and GHG emissions

www.imo.org
Module 4:
Ship-Board Energy
Management

City, Country
Content
 Ship-board organisation, roles and responsibilities.
 Overview of main ship-board EEMs.
 Trim optimisation, its impact and best practice.
 Ballast water management.
 Hull and propeller roughness and fouling.
 Engines and machinery utilization management.
 Fuel management: storage, treatment and purification.
 Technology upgrade.
 Steam system and boilers.

Ship-board Roles and Responsibilities
Ship-board organisation and
responsibilities
 The Master is in full control and has ultimate responsibility.

 Deck department (Operation and Cargo)
 Chief Officer
 Second Officer, etc.
 Engine department (Technical)

 Chief engineer
 Second engineer, etc.
 Catering (steward’s) department.

 Chief Steward and his/her staff
 Food and all aspects of provisions. [Maritime Profession Promotion Foundation]
 Cleaning and maintaining officers' quarter Managing the stores, etc.
Main ship-board staff impact on energy
saving
 The Master: His/her commitment to ship-board energy efficiency is

vital; otherwise it will not succeed.
 The Chief Officer (2nd in command): Plays significant roles on the

cargo and loading/unloading operations, ballast management
operations, trim optimisation, etc.
 The Chief Engineer: Plays a major role on technical issues

including the maintenance, condition and performance of engines
and various machinery and the way they are utilised.
 The Second Engineer: By virtue of being the most engaged person

in the engine department on day to day operation and maintenance
of various systems, has the second most important role in engine
department.
Importance of communications
between departments
 Main issue: Lack of optimal communications between
departments leads to waste of energy.
 For example, communication between deck

and engine departments is essential for
machinery use optimisation.
 To increase communications and collective planning,

some policies may be put in place:
 Set up daily meetings.
 Plan ship-board work activities for reduction
of electricity, compressed air, fresh water,
etc. use together.
 Plan cargo operations for saving energy.
Ship-board energy efficiency measures

 Optimized ship handling
 Optimized trim
 Optimized ballast
 Optimum use of rudder and autopilot
 Optimized propulsion condition

 Optimized hull
 Clean propellers
 Optimized main engines
 Optimized auxiliary machinery

 Fuel management
 Boilers and steam system
 Maintenance and energy efficiency
 Technical upgrades and retrofits
Trim Optimization
Definition of trim
 Trim: Trim is normally defined as the difference between the aft

draft and the forward draft:
 Trim = TA-TF (Aft trim – Forward trim)
 Diagram shows trim to aft.

Trim Optimisation – Physics of trim
 The large dependencies of ship performance on the trim is
because trim causes:
 Changes to wave resistance
 Changes to wetted surfaces (thus frictional resistance).
 Changes to form resistance due to transom submergence
 Changes to various propulsion coefficients including:

 Resistance coefficients
 Thrust deduction
 Wake fraction
 Changes to propulsive efficiencies including:

 Relative rotative efficiency. Propeller efficiency
Trim optimisation - Impact of Trim
 Trim impact depends on ship speed and draft.

 The impact of trim
either is estimated by:
 Model test or
 Use of CFD
 Guidance table for trim
is normally prepared
for ship-board use.
 As indicated, the
impact of trim could be
significant.
Source: Lloyd’s Register

Trim Optimisation – Operation best
practice
 Currently, the majority of ships use even keel operation (zero trim) as
normal practice.
 This generally represents the optimal trim for ships with high block
coefficients and non-pronounced bulbous bow (e.g. tankers).
 In ships with slimmer body and higher speed, the impact of trim on
performance could be significant.
 In use of trim optimization, the following ship types would be given

higher considerations:
 Container ships
 RoRo cargo and passenger ships
 RoRo car carriers
 Effective use of the loading computers capabilities is
important for safe trimming of the vessel.
Trim Optimisation – Impact of draft and sea
condition on optimum trim
 Impact of draft on optimum
trim?
 Optimum trim is a function
of ship draft.
 Impact of sea conditions on

optimum trim
 Sea conditions does not
change the optimum trim
significantly
* Diagram are from Force Technology
Trim Optimisation - Summary
• Trim influences ship fuel consumption significantly, with evidence
showing up to 4% savings.
• Trim impact is via changes to ship hydrodynamics and resistances.
• For every ship, there is a range of optimal trim;
• The optimum trim is a function of ship speed and draft.
• For certain ship types in particular those with higher speeds, slimmer
body, pronounced bulbous bow and flat stern, trim will have more
impact.
• Optimal trim are established either through extensive model testing

or CFD analytical methods.
• To achieve optimal trim, due consideration should be given to ship

loading and its load planning.
• Ballast water and to some extent bunker fuel may be
used to trim the vessel.
Ballast Water Optimization

Ballast Water Optimisation
Why ballast water?
• Ballast water is essential to control trim, list,
draught, stability and stresses of the ship.
Ballast water regulations?

• Ballast water activities on board ship is
heavily regulated.
• The regulations mainly relate to prevention
of specifics from their natural habitats to
other ports.
Ballast water operations?

• Ballast water exchange
• Loading ballast water
• Discharging ballast water
How ballast water impacts energy efficiency?
In a number of ways:
• Amount of ballast water: Changes ship displacement, thus wetted

surfaces and ship resistance.
• Generally, the more ballast water or ballast sediments are carried, the
bigger will be ship displacement and higher fuel consumption.
• Change in ship trim: Trim optimisation via effective use of ballast

water could lead to gains in energy efficiency.
• Ballast exchange process: Energy is used for exchange of ballast.

Therefore process optimisation could lead to reduction of energy use.
Ballast Water Optimisation: Ballast Water
Management Plan (BWMP)
A BWMP specifies all aspects of ballast operations including:
• Acceptable methods for ballast exchange and relevant procedures.
• Details of the procedures for the disposal of sediments at sea and to

shore and reception facilities.
• Designation of the officer on board in charge of the implementation of

BWMP.
• Method of the sediment removal or reduction at sea, and when cleaning
of the ballast tanks take place.
Ballast Water Optimisation
Methods of ballast exchange?

 Sequential method – Emptying and filling in
sequence.
 Flow-through method – Continuous supply of

water to tank with overflow from the top; water
in should be at least 3 times the volume of the
water in the tank.
 Dilution method – A process by which
replacement ballast water is supplied through
the top with simultaneous discharge from the bottom at the same flow
rate and level in the tank during the operation.
Method of ballast exchange has implication for energy use

Ballast Water Optimisation: Reduction of tank
sediments
Sediments in ballast tanks?
• IMO regulations stipulate that all ships shall remove and
dispose of sediments from ballast tanks in accordance with
the their Ballast Water Management Plan.
• To reduce the sediment levels, the following general aspects should be

observed:
• All practical steps should be undertaken not to uptake sediments.

• Dispose of sediments in a safe way.
• Removal of sediments is good for energy efficiency.
Ballast Water Optimisation – Energy efficiency

methods
• Carrying less ballast water:
• To save fuel, it is generally desirable to carry less weight.
• Less ballast should not contravene any of the regulations and
compromise the ship safety.
• Also, this should not cause non-optimal trim.
• Efficient ballast management operations: This means

performing the operation in a way that is more energy efficient.
For example:
• Gravity assisted ballast exchange is preferred to simple
pumping in/out processes.
• Sequential ballast exchange is more energy efficient than the
flow-through method as less water needs to be displaced.
• Trim optimisation: Ballast should be used for trim optimisation.

• Sediment removal: Sediment removal leads to more cargo
capacity and energy efficiency.
Ballast Water Optimisation – Voyage
management aspects
 The voyage should be planned taking into account when ballast
water exchange can be carried out.
 Also, trim optimisation and adjustments while in passage should be

pre-planned relative to the port normally even-keel operation.
 Sediment uptake and removal should be controlled as part of voyage

planning to ensure minimal level of sediments.
Hull and Propeller Condition and Cleaning
Speed-power
relationship
 From flow
theories:
Resistance
Power:
 Actual values
differ:
 For large
high speed
ships
(containerships)
 For medium speed ships

(RoRo, feeders, etc.)
 For slow speed ships (tankers,

etc.)
Hull Coating
 For lower speed ships skin friction resistance dominates;

 For a VLCC at full load condition 90% of resistance is from hull
friction;
 Strategy: Reducing hull friction
resistance.
 There are advanced hull coating
that may be used for this purpose.
 Application of advanced coatings
will be more expensive but return
on investment could be short.
Evidence of impact of hull condition
 There are ample

evidence showing the
significant impact of
hull condition on fuel
consumption
Source: International Paint 2004
Changes in ship resistance with time [Monk and
Kane]
Main factors that influence hull fouling rates:

 Initial roughness of the hull
 Quality of hull coating
 Robustness of the coating with respect to mechanical damage
 The areas of the hull where there is sunlight
 Sea water temperature
 The salinity of the water (performance of coating will be
a function of salinity of water)
 Amount of algae in the water
 Ship speed and its operation profile
 Hull maintenance
Main types of hull coatings
 Controlled Depletion Polymer (CDP) – A traditional antifouling:
 Based on water soluble natural or synthetic pine rosin mixed with a
biocide.
 Typical life: 3 years.
 The average hull roughness increase: 40 μm per year.
 Self-Polishing Copolymer (SPC)

 An insoluble metallic or organic synthetic polymer that contains a
biocide. No ship movement is required for self polishing.
 Typical life: Five years for high quality systems
 Average hull roughness increase: 20 μm per year.
 Foul-release Coating
 A biocide-free coating with non-stick properties to
control fouling.
 Full release of all fouling due to ship speed is a challenge in some
cases. Also, mechanical damage is especially critical
 Average hull roughness increase: 5 μm per year, limited data.
Hull cleaning
 Regular in-service cleaning is beneficial if damage to coating is

avoided.
 For partial cleaning, the priorities:

 Forward third of hull.
 Remainder of hull working from forward to aft with emphasis on
areas which have more exposure to light.
 Regular cleaning of macro-fouling is highly recommended.
 For best results, the scheduling of cleaning should be
based either on performance monitoring or on regular
under-water inspections.
 Regular inspection, photographs and roughness measurements

would be a prudent way to monitor the impact of cleaning and the
condition of the coating.
Other aspects for hull cleaning
 Regulatory Guidelines: IMO MEPC.207(62) resolution on

“Guidelines for the Control and Management of Ships’ Biofouling to
Minimize the Transfer of Invasive Aquatic Species”. This asks for a
Bio-fouling Management Plan and a Bio-fouling Record Book to be
on-board. This may limit the locational scope for cleaning of the hull.
 Area of operation: Anti-foul hull coatings are generally designed for
salt water and area of operation will have impacts on choice of
coating.
 Hull cathodic protection system: The installation of a
hull cathodic protection system should could reduce the
corrosion of the hull.
 Lay-up: If a ship has been in lay up in a high fouling area for a long
time it may need to be taken to dry dock to be cleaned before it can
be put into service.
Propeller aspects
 Similar to the hull surface, propellers suffer degradation in

performance due to surface roughness.
 Polishing will mainly reduce the frictional losses of the propeller but
will in many cases also reduce the rotational losses.
 Corrosion and cavitation erosion and impingement attack can cause

roughness.
 Improper maintenance can also increase roughness.
 It has been estimated that polishing a roughened propeller surface

may result in a decrease in fuel consumption of up to 3%.
 Divers can clean a 5 bladed and 10 m diameter propeller in about 34

hours for a cost of about US $3,000 in the Far East (Europe is more
expensive).
Condition based hull and propeller cleaning
 Major questions:
 What are the optimal timings for hull and propeller cleaning?
 What is the best routine for cleaning whilst safeguarding the
existing paint system.
 What is the time and cost to apply a new coating and which one?
 Condition-based hull and propeller maintenance tries to
give an answer for bullet 1. This can be done in two
ways:
 Measure/observe actual hull and propeller roughness/fouling and
compare with baseline values that indicate when cleaning should
be done. Use of divers.
 Use performance analysis packages that track changes in fuel
consumption, shaft power and main engine power to identify
degrading surface conditions.
Engines and Machinery Load and Utilisation
Management
Machinery load and operation profile
 The concept of “machinery load” optimisation and “parallel
operation” reductions can be used for energy saving purposes.
 On-board ships, there are numerous instances that two machinery

may be used in parallel; both at low loads.
 The load profile for a multi-machinery setup could provide

valuable information on method of load sharing strategy and
management between machinery.
 In such cases, there are always scope for reduction of
machinery usage via reducing their parallel operations.
Engine load management Engine fuel
consumption characteristics
 Load factor: The engine load factor is defined the actual power
output of the engine relative to its Engine load-BSFC characteristics (rated speed)
Maximum Continuous Rating (MCR). 1.20 BSFC (Rated speed) BSFC (Prop law)
BS 1.18
FC 1.16
 Load factor is normally specified in [re

l to 1.14
mi
1.12
percent. n.]
1.10
1.08
1.06
 It is well know that the efficiency of a 1.04
1.02
diesel engine is a function of its load 1.00
level or its load factor. 0 10 20 30 40 50 60 70

Load [% of MCR]
80 90 100 110
 Load management aims to operate engines at a more
optimal load.
Main engine load management?
• For main engine, there is not much that could be done as far as
load management is concerned. Reason:
• Normally ships have one main engine and load management
applies to cases with more than one engine.
Auxiliary engines load management
• Load management for auxiliary engines is an effective way of reducing

the engines’ fuel consumption and maintenance.
• On-board ships, normally two Diesel Generators are operated for long
periods.
• This leads to engine operation at low load factor.
• The periods for which these conditions are sustained can include:
• All discharge ports,
• Standby periods,
• Tank cleaning periods,
• Movement in restricted waters and ballast exchange periods.
• Operation of diesel engines at low loads causes poor engine
maintenance
Auxiliary engines load management
• How to establish if engine load is properly
managed?
• Answer:
• The load factor or utilisation factor
of engines needs to be
established.
• Benchmarking of this information
could indicate if engines are used
optimally.
• Methods to reduce two-engines simultaneous

operations are:
• System planning for reduction of electrical load,
thus switch off one engine.
• Use of “Power Management System (PMS)” to
reduce the use of two engines at low loads each.
Pumps / compressors / fans
 Fouling reduction:
 Fouling in fluid machinery is a common cause of performance
deterioration.
 Fouling can be controlled via best-practice maintenance activities.
For examples, fans are very sensitive to inlet fouling.
 Mulit-machinery management: In general in a multi-machinery

configuration (e.g. chiller plant compressors), the minimum number of
machinery running for a particular duty represents the best machinery
management strategy
 This also ensures minimum energy use and maintenance.
 Reducing idling mode of operation:

 Each machinery should be operated at its optimum efficiency.
 The none-productive hours of operation must be
minimised by on-off controls.
 In particular, late turn-off and early turn-on of machinery should be
avoided.
Pumps / compressors / fans flow control
 Method of flow control is an important aspect of machinery energy

saving.
 Throttle flow control: A pump with variable flow requirements that is

controlled by throttling could save energy by:
 Replace the constant speed drive to variable speed drive.
Replace throttle control with on-off control, if feasible.
 Excessive flow: For example, pump flow rates in excess of system
requirements, lead to increased energy losses. To avoid:
 Ensure that pump flow is controlled according to process needs.
Review and adjust control settings.
 Demand control and demand reduction: For example
by:
 Conservation policies on use of air, water, etc.
 Preventing all leakages.
Electric motors
 Electric motor efficiency is highest at high loads, dropping

below 40% load factor.
 Electric motors efficiencies are usually around 60 to 95%

depending on their size.
 Main energy efficiency aspects associated

with electric motors are as follows:
 Sizing: Oversize may not be efficient.
 Operation profile: Steady profile
versus variable.
 Good maintenance
 Power factor: Actual power in kW divided by electrical
kVAR. A low power factor means added electric network
losses.
System Planning for Energy Use Reduction
System planning – Areas to cover
• Ship operation involves a variety of activities and tasks
including:
• Loading / Unloading
• Ballasting / de-ballasting
• Inner gas generation and top ups (oil/product tankers)
• Bunkering
• Manoeuvring
• Stand-by
• Normal passage operation
• Waiting and anchorage, Etc.
• How many machinery do we need for each of the above
modes?
• System planning helps use of less machinery for doing the

same job.
System planning – For electrical load

reduction
 Avoidance of unnecessary energy use via switching off the machinery

when not needed.
 As a general rule, all non-essential and not-required machinery that

do not affect the ship and personnel safety should be stopped.
 Such items should be identified first and then procedures
for the execution of tasks to be developed and implemented.
 Avoidance of parallel operation of electrical generators; when one is

sufficient for the purpose.
 Optimized HVAC operation on board. The HVAC system operation

should be aligned to outside and inside weather conditions.
 A proper coordination should be maintained on board between deck

and engine departments especially for use of machinery/equipment.
System planning – For auxiliary
machinery use reduction
• There are a significant number of redundant machinery on board ships.
• In practice, they are normally used more than necessary.
• This could include many fans and pumps.
• Proper planning of use of the number of machinery versus operation

mode is an effective way of achieving this objective.
• For example, when ship is in port, the plan should include switching off
one or two engine room ventilation fans as main engine is not operating
any more.
• To ensure safe operation, all these need to be proactively planned and

executed.
• Coordination of deck and engine departs are essential.
System planning – For auxiliary boiler use

reduction
 In the majority of ships, under normal sea going conditions, the exhaust
gas economiser is sufficient to produce enough steam for ship
services.
 To avoid additional use of auxiliary boilers:

 The requirement for steam need to be examined and planned in
such a way that firing of the auxiliary boilers are minimised.
 Also, the steam system maintenance should be done properly.
 Cargo heating plan

 For ships with cargo heating requirements, it is prudent to have
and follow a proper cargo heating plan.
 A heating plan should be made soon after loading
cargo and reviewed/updated on a daily basis.
 It is also part of best practice for vessels to complete the heating
abstract (daily basis) after completion of each voyage.
Cargo Heating Plan

The following figure shows two typical cargo heating pattern graphs.
Fuel Management
Typical fuel oil system
 Storage tanks
 Transfer
pumps
 Settling tank
 Purifiers
(centrifuge)
 Service tanks
 Flow meter
 Heaters
Typical fuel oil system for a cargo ship [Source:
 Viscosity http://www.machineryspaces.com/fuel-oil-treatment.html] regulator
Fuel management aspects

 Fuel quality has significant impact on engines’ and boilers reliability
and performance.
 The limits for fuel quality parameter as set out in International

marine fuel standard, ISO 8217.
 The standard specifications are based on the understanding that

the fuel will be treated on-board.
 Fuel management relates to:
 Bunkering
 Storage
 Transfer and treatment Combustion Etc.
Fuel bunkering main activities
 Handling: Safe handling and pollution prevention
 Quantity: Correct measurements before, during and after bunker

operations,
 Storage of delivered fuel: Use of correct storage tanks (to avoid

mixing of incompatible fuels)
 Samples: Collection of representative samples for regulatory

purposes
 Quality: Analysis of fully representative samples as first line of

defence against poor quality fuels.
Fuel quality and quantity assurance
Importance of knowing your fuel helps with:

 Appropriate ship-board storage, handling, treatment and
combustion.
 The use of fuel in a most safe and efficient way.
 Compliance to environmental regulations.
 Maximise combustion performance.
 Reduce commercial, technical and operational risks associated with

using varying quality fuels.
Fuel storage and transfer
Avoid co-mingling:
 Do not mix different batches of

fuels to the extent possible.
 Incompatibility is the most

common problem with the
bunker fuel mixing that leads
to clogged filters, engine
damage, etc.
Clogged fuel pipes due to poor quality of fuel

Bunker quantity measurement
 Manual gauging of all the fuel tanks before and after bunkers
 Ship-board fuel inventory analysis:
 This is normally done through tank sounding and is currently the

most widely used practice.
 Use of the mass flow meters:
 Based on the performance of the available technologies.

 A number of options are available (volumetric, Coriolis,
ultrasound).
 All require varied degrees of correction for fuel density and
temperature.
Fuel treatment - Settling tank
 The role of settling tank is to separate heavy residues and water

from the fuel through the natural settling process.
 To provide best performance:
 Settling tank temperature should normally be maintained

between 60-70C for HFO.
 Transfer of fuel to the settling tank for top up to be in small
quantities at frequent intervals not to cause major change in
temperature or settling disturbances.
 Drain off water and sludge at the settling tank bottom drains at
regular intervals.
 It is always preferable to use the lower blow-down outlet to
minimise the space available for sludge accumulation and give
early warning of contamination issues.
Fuel treatment - Purification
 Centrifugal separators are used to separate sludge,
water, cat fines, etc.
 The efficiency of a centrifugal separator is affected

by:
 Composition of the fuel

 Quantity of fuel
 Temperature of fuel
 Cleanliness of the separator and its
general working conditions.
 For good purifier performance:
 Operate purifiers in an optimum manner.

 Make sure purification system and its disks are
correctly working.
Fuel treatment – Viscosity control
 For use of fuels in engines, an optimal injection viscosity is required.
This is achieved via fuel temperature control.
 Incorrect injection viscosity results in poor atomisation which affects

the engine efficiency and emissions.
Fuel steam heating for viscosity control
Fuel additives
Additives could provide benefits for marine fuels mainly in areas:

 Improvement of fuel combustion
 Reduction of particulate matter and visible smoke.
 Overcoming soot build-up in the exhaust system
 Economiser improvements via keeping them clean, foul free with

a reduction in risk of fire.
 Reduction and inhibition of deposit build-up on piston rings,

injector nozzles and valves.
 Reduction and prevention of cylinder liner lacquering build-up.
 Protection against fuel pump and injector needle seizures
Summary of fuel management energy

efficiency measures
 Economical amount of bunker to be carried around.
 Proper temperature control of fuel at various stages of
treatment.
 Ensure tank fittings (manhole covers, vent pipes, etc.) do not allow
water, cargo or other material to get into the fuel.
 Ensure heating coils are tight.
 Ensure that tank wall condition is in good order
 Maintain settling tanks at a correct temperature
 Periodically verify that the viscosity controller is working correctly.
 Monitor fuel oil sludge levels and ensure that sludge levels are not
high due to poor maintenance of the purifiers.
 Fuel measurement and metering is the first step for subsequent

performance analysis of various engines and boilers.
Ship Maintenance and Energy Efficiency
Requirements for maintenance
management
 International Safety Management Code (ISM) specifies the

regulations for ship maintenance for safety
 The ISM Code stipulates that each ship operator is responsible for the
safe and pollution free operation of the ship.
 The part of the ISM Code on “maintenance of the ship and its
equipment” describes in general how ships should be maintained,
inspected, non-conformities be reported and corrective actions are
taken.
 From ISM Code perspective, efforts should be directed at safety and

environmental protection.
 Fortunately, energy efficiency is compatible with good
maintenance and improves accordingly.
Types of maintenance
Maintenance
Planned Unplanned
Maintenance Maintenance
Preventive/period Predictive planned Corrective

Planned Maintenance maintenance Maintenance
Condition-based Reliability-Centred
Maintenance (CBM) Maintenance (RCM)
Types of maintenance
 Unplanned Maintenance: (breakdown maintenance).
 Corrective maintenance: The corrective maintenance may be

defined as maintenance which is carried out after failure detection.
 Planned Maintenance: Maintenance according to a defined schedule
 Preventive Maintenance: (a subset of planned maintenance).

Preventive maintenance usually depends on the manufacturer‘s
recommendations and past experience for scheduling repair or
replacement time.
 Predictive Maintenance: This is a subset of planned maintenance.

This is generally based on what is referred to as:
Condition-based maintenance (CBM); or
Reliability-based maintenance (RCM).
Maintenance and energy efficiency
 Good maintenance is fundamental for energy efficient operation of
machineries and systems.
 Maintenance of the hull, propeller and main engine are very effective
for energy efficiency as discussed before.
These items will not be discussed further.

Maintenance for energy efficiency
Mechanical transmission systems
 Shaft and couplings alignment
 V-belt slippage reduction
 Chain and gear alignment
 Proper bearing lubrication

Steam system maintenance
 Steam trap maintenance and inspection programs.
 Reduced fouling of boilers
 Adjustment of combustion air in relation to fuel flow (excess air

control)
 Leak detection programs for hot water and steam.
 Insulation inspection programmes to reduce heat losses from the

system
 End-use steam optimisation via improved cleaning of the heat
transfer surfaces, etc.
 Compressed air systems can be treated similar to steam system:
 Air leaks prevention,
 Excessive end-use air consumption reduction
 Optimal condition of air compressors
 Compressors: Poor maintenance of compressors or incorrect

pressure settings would lead to extra running hours and thus more
energy use.
 Air leaks: Any air leakage in the system would require the
compressors to run more than necessary.
 End use devices maintenance: The compressed air is
used for enduse devices that may have a poor state of
maintenance. This will lead to extra need for compressed air
generation.
Technical Upgrade and Retrofit

Overview
 There are a good number of “Energy Efficient Technologies (EETs)
that if used can lead to ship-board energy saving.
 The EETs are normally candidates for new ship constructions as

their use on existing ships may not be cost effective.
 However, there are a number of technologies that could be used on

existing ships.
 This is referred to as “technology upgrade”
 A number of such technologies are reviewed in this section.

Devices forward of propeller - Ducts
 A number of designs exists
 Wake field equalisation: The

installed duct provides a more
uniform wake field for the
propeller.
Mewis duct
 Reduction of propeller hub
vortex: An improved flow behind
the duct significantly reduces
the propeller hub vortex.
 More suitable for the larger

ships and hull forms.
Wake equalizing duct
Devices forward of propeller – Pre-swirl

stator
 Enhanced propeller efficiency via fitting of the bladed stators on

the hull immediately forward of the propeller.
 The stator fins adjusts the flow into

propeller as the same happens in in normal
pumps with guide vanes.
 A gain of 4% in propulsion power is

claimed.
 As with the ducts, the device is especially

suitable for the larger ships and hull forms.
DSME system [SPPA]
 Its first installation on a 320,000 DWT VLCC has
resulted in a 4% reduction in fuel consumption with more
installations afterwards
Propeller Boss Cap Fins (PBCF)
 Propeller has some flow losses that is

recovered by PBCF.
 PBCF eliminates or reduces the hub

vortices generated.
 As a result, PBCF can play an

important role in reducing propeller
generated noise and vibration.
 It is suitable for slow speed vessel.
 PBCF boost propulsive efficiency by

about 5% and ship fuel efficiency by
about 2%.
 PBCF can be retrofitted easily to an

existing ship. Fathom
Integrated propeller and rudder units
 An integrated system of propeller and

rudder from fluid flow points of
views.
 The effect of these units has been

reasonably well documented in tests
on models and in full-scale trials.
 A reduction of about 5% in required

power of the vessel for design speed
can by typical savings. Rolls Royce PROMAS
 The units are applicable to general cargo

vessels, RoPax vessels and container
vessels operating at relatively high speed.
Ducted propellers
 Compared to the conventional propeller, the ducted propeller
arrangement allows a larger mass of water to be supplied to the
propeller.
 It provides higher efficiencies due to

improved flow pattern.
 Similar to Mewis Duct, it may have more

positive impact on certain ship types and
designs.
 On the negative side, the duct:

 Additional flow resistances.
 Prone to fouling
 Ducted propellers are suited for ships operating at high propeller
loadings, such as tankers, bulk carriers, tugs, etc.
Fore-body optimization and bulbous
bow
 Fore-body optimization includes

consideration of for example bulb
design.
 A properly designed bulbous bow

reduces wave resistance by
producing its own wave system that
is out of phase with the bow wave from the hull, Soumya Chakrabortv
creating a cancelling effect

A
Maersk ship doing a “nose job”!
Maersk, Jonathan Wichmann

Boilers and Steam System
Energy use in boilers
Diesel Vessel's fuel consumption by
 For some ship types, fuel consumption generator system Boiler
s
174 s
194
by boilers can be significant. 8 MT/year
6% 9 MT/year
7%
Propulsio
n
2402
2 8MT/year
%
7
Overview of steam system
 The main boilers (steam ships)
 The auxiliary boilers.
 The exhaust gas economiser
 The steam distribution system.
 Steam end-use: This refers to

the the steam consuming
machinery and equipment
Boiler energy efficiency measures
For good operation and maintenance,

avoid:
 Fouling of all heat transfer surfaces
 Fouling of boiler tubes and heat transfer surfaces

on the gas side
 Fouling or scaling of boiler tubes on the water side.
 Low hot well temperature
 High blow-down levels
 Excess air in the boiler
 Low load factor operation

Steam system energy efficiency measures
 Steam distribution system energy efficiency measures

 Reduce steam leakage
 Reduce heat loss due to inadequate insulation
 Reduce steam trap losses
 Steam end-use energy efficiency measures
 Steam end-use could vary according to ship types. The main users of steam include:
• Steam-driven cargo pumps in tankers.
• Steam driven ballast pumps
• Cargo heating
• Fuel storage, treatment and condition system
• Fresh water generation especially in cruise ships
• HVAC system in particular in cruise ships
Steam end use optimisation
 Cargo heating planning and optimisation
 Steam for cargo discharge or ballast water operation
 Inert Gas Generation (IGG)

Steam system: Ship-board best practice
 Steam pipes insulation should be kept in good condition.
 Boiler insulation should be kept in good condition.
 Steam leaks are to be identified and stopped.
 Boiler pressure setting for burner start/stop is to be as wide as practicable.
 Cargo tank heating according to the specification of cargo.
 Fuel temperature in storage, settling ad supply tanks shall be monitored and kept at acceptable
lower limits.
 Steam trap maintenance should be carried out regularly.
 Starting of auxiliary boilers too far in advance of intended use is to be avoided.
 Steam dumping when possible is to be avoided. Pipe/ valve lagging/insulation is to be
maintained Bunker tank heating is to be optimized.
ANY QUESTIONS?

www.imo.org
Module 5:
Ship-Port Interface
and Energy
Efficiency

City, Country
Content
 Introduction to ports and port-area emissions
 Ship time in port and just-in-time operation
 Technologies for port air quality / GHG reductions
 Ship in-port operational energy efficiency measures
 Onshore power supply (OPS)
 Green port initiatives and port environmental programs
Introduction to Ports and Port-area Emissions

different players.
 Thus decision making structure is complex. Source: Voorde & Elsander

Port management and activities
 Port management is a
complex process
 There are a number of chains.
 Often different part of the

chain are controlled by
 No two ports are physically and economically the same.

 Ports provide:
 Core services
 Added value services
Port operation players
 Port management varies:

 From port to port
 From country to country
 Shipping companies in ports

rely on many players:
 Port itself
 Pilots,
Source: Meersman, Van de Voorde and Vanelslander
 Towage services,
 Ship repairers, provisioning,
 Waste reception facilities
 Bunkering companies
Port’s air emissions

 Sources:
 Cargo loading and unloading processes/devices.
 Trucks and other land-based transportation units.
 Buildings and
building facilities.
 Harbour
crafts/vessels. Ships
calling at port.
 Main emissions of concern:

 Nitrogen Oxides (NOx):.
 Particulate Matters (PM):
 Sulphur Oxides (SOx): http://www.nrdc.org/air/pollution/ports1/overview.asp
 VOC (Vloatile Organic Compounds) - Some ports Ships to port

emissions are
 Some carbon monoxide and unburned hydrocarbons only part of the
total
Ship-related port
emissions reduction
Main measures include:
 Just in time operations of ships.
 Ship’s cleaner fuels.
 Ship’s emissions abatement

technologies.
 Ship-board energy efficiency

when in port.
 Use of OPS.
Land-based
operation emissions
reductions
 Clean Fuel:
 Low or ultra low sulphur diesel (LSD) (ULSD),
 Emulsified diesel
 Bio-diesel,
 CNG, LNG, LPG
 Electric systems
 Technology Retrofit: On port trucks with emissions abatement

technologies.
 New technologies: Use of hybrid-electric technologies as

replacements for pure diesel engine vehicles and equipment.
 Operation management: This could include a large
number of measures that helps to reduce fuel
consumption and emissions in devices used in ports.
Port’s harbour craft

policies for emissions
reduction
 Engine replacement: Move to more energy efficient and low
emissions engines.
 Clean fuels: Natural gas, low sulphur fuel, biofuels, etc.
 Technology upgrade: This option relates to retaining the engines

but opting for more advanced available engine controls, fuel additives
and after-treatment emission control technologies.
 Hybrid electric systems: The harbour crafts are good
candidates for use of more advanced technologies such
as hybrid technologies to include batteries and electric motor /
generators.
Port ship-related emission sources

 Ship transit and manoeuvring Ship slow
speed operation.
 High auxiliary engine loads (safety, thrusters, air
scavengers/blowers, etc.
 An additional auxiliary engine is online (safety).
 Auxiliary boilers are on.
 At berth or anchored
 Propulsion engines are off.
 Auxiliary engine loads can be high if the ship is self-
discharging its cargo.
 Auxiliary boilers are operated to keep the propulsion engine and
fuel systems warm in case the ship is ordered to leave the port on
short notice.
The Impact of Ports Operations on the ‘Efficient Ship
Operation’
How ports could
reduce ship-in-port
emissions
 Reducing the time of ship stay in port
 Provision of cleaner fuels to the ship

 Provision of shore connection to ships
 Ship loading with due consideration for air emissions
 Environmental oriented incentives

Ship Time in Port and Just in Time Operation
Container terminal operation
 Diagram shows chain of ship-related activities/processes.
 Mainly two parts: (1) ship related activities (2) cargo related
ones.
Ship voyage time and time in port
 Port time may be assumed to

be insignificant compared to
overall voyage time.
 This varies with ship type,
ship size, cargo type, and port
facilities.
 A good understanding of the
ship port time can help with
energy management and
emissions reduction activities
of both ships and ports.
Ship’s time = Sea time + Port time

Time in
port (port
time)
 Manoeuvring time:
Manoeuvring to
reach
anchorage or berth
or leave.
 Waiting time: The

period the
ship waits for
berth availability.
 Berthing time:
Actual time at birth.
Port
Berthing time time
Source: Charlotte Banks et. al
consists of two parts:
 Productive time: Actual time from start of cargo handling

operation to end of cargo handling operation.
 Idle time: Times in berth where there is no cargo handling
operations.
Does “port in time matters?

Case impact on a ship’s fuel consumption
Vessel's duty cycle
 A typical tanker operation profile.

23.3Port% Manoeuvring1.5%
 Port time” is normally about 25% of

the ships’ operation time.
 What is the impact on ship’s fuel
consumption if “port time” is reduced?
Passage
75.2%
Passage operation time in passage, current 75.2% of annual
Passage operation time with less port time (see above) 78.2% of annual
Fuel consumption reduction for same distance (estimated) 7.5% Fuel
consumption and emissions reduction
Main engine fuel consumption reduction 1,065 MT/year
Boilers and auxiliary engines fuel consumption reduction Assumed negligible
Net fuel consumption reduction 1,065 MT/year
Net CO2 reduction 3,400 MT/year
Just-in-time port operation

 Refers to any action that reduces the idle time in ports
via minimizing delays.
 ‘Just-in-time’ requires good early communication with

port and harmonization amongst parties concerned.
 Give maximum notice of berth availability -> Tug and
pilot services -> Berthing window
 Just in time port operation will facilitate the use of
optimum speed.
 Optimized port operation:

 Improved cargo handling. Directly under the control of
port.
Measures for avoiding ship’s waiting
time in port
 Improved port management
 Virtual Arrival
 Improved cargo handling

Improved Port Management
Port related services other than ship
loading and unloading
 Pilotage services: Using services given by maritime pilots.
 Towage services: Using tugboats services
 Line handling services by line boats: For berth operation.
Mooring services: To secure a ship to the designated place
 Vessel traffic services (VTS) and aids to navigation: Marine
traffic monitoring and controlling.
 Control of dangerous goods: To ensure safe handling.
 Waste management services: Control of ships’ waste aspects.
 Emergency response services: Like services by fire brigade, etc.
 Control of dredging operations: Dredging is usually carried out
by private firms.
Managing of the above services plus ships when in
port is complex and require a good management system
MPOS for port services coordination
MPOS is customised port management system that focuses and optimizes
the work of “agents”, “entities” and “port services on ships” by coordinating
the actions and controlling them and allowing to analyze how to reduce its
Case example: Use of MPOS for a
ship’s in-port just-in-time operation
 Ships must participate in the MPOS.

 “The Request for Berth” is received through MPOS Communication
Services and is verified by MPOS against ISPS and Dangerous Goods,
before issuing the Preliminary Authorization to Berthing.
 After issuing the Preliminary Berthing Authorization, MPOS compares it
with information from the anchoring area and with activities of any
anchored or berthed ships, nautical activities inside the harbour, status
of maritime signals, maintenance status of berths, and informs the
berthing operation to the ship and to the pilot service.
Maritime ISPS Code
Terminals
Berthing Maritime and Port Preliminary

Shipping Communicatio
Request Operations System Berthing
Companie n
(MPOS) Authorisation
s Services
Customs Dangerous
Goods
Cargo handling improvement

 Operational planning; typically in good time ahead
 To improve cargo handling, improve the following:
 Berth planning
 Cargo handling equipment scheduling (all different types of cranes).
 Ways to improve cargo handling for less emissions:

 Cleaner and efficient internal movement vehicles
 The introduction of high capacity loading and
unloading operations
 The use of eco-friendly and user-friendly cargo handling products
 Well trained shore-staff and ship-staff
Cargo handling: Upgrade of cargo
equipment
 This could improve the time

of cargo loading and
unloading.
 Upgrade of cargo handling

equipment can lead to less
time in port.
 Energy efficiency of cargo

equipment is also important
and will depend on their
source of power.
Technologies for Port Air Quality and GHG
Emissions Reduction
ICCT (International Council on Clean
Transportation) study on port air quality
 A study conducted and reported in in December 2012.
 In this report, the ICCT highlights the technologies that could be

used in diesel engines as the prime mover for ships and port-side
trucks.
 The main focus is on pollutants considered:
 PM (Particulate Matters), carbon monoxide, SOx, NOx and

VOC.
 The types of technologies identified for reduction of emissions are:
 Diesel oxidation catalysts; Diesel particulate filter; SCR

(Selective Catalytic Reduction); Exhaust Gas Scrubbers;
Exhaust Gas Recirculation (EGR):
 Other options studies:
 Shore power
 Clean fuels
ICCT Study
outcome
 Summary of
technologies
 Their application
to various port-
operated prime
movers.
 Potential
emissions
reduction
 Associated costs
IMO ship-port interface
study
 The MEPC 68/INF.16 presents the results of an IMO commissioned
study that deals with a range of topics on ship-port interface.
 A systematic approach is used to analyse a number of measures.
Measures categories
 Equipment measures
 Energy
measures
Operational
measures
Equipment
measures:
 Engine
technologies
 Boiler
technologies
 After-treatment technologies Energy measures:
 Alternative fuels
 Alternative power supply
IMO Study outcomes:
Engine technologies
IMO Study outcomes:
After-treatment technologies
IMO Study outcomes:
Alternative fuels measures
IMO Study outcomes:
Alternative power
system measures
Key findings of the
report
 Numerous technical measures are available for ship-port emissions
reduction and energy efficiency.
 Experience with some of them is over ten years.
 The technical measures are quite extensive including engines, boilers,

after treatment technologies, fuel options, etc.
 There are no “one size fit all” technical measure solution for ships and
ports.
 Case by case studies are needed due to numerous variables such as

pollutant(s) targeted, port configuration, cargos handled, drivers,
barriers, and ships calling the port.
 There are initiatives underway that focuses on the
demonstration of emerging technologies and measures.
Ship In-port Operational Energy Efficiency
Measures
Overview
 Limited scope for the ship to reduce its in-port fuel consumption.
 Despite this fact , the ship’s impact on port air quality could be
significant.
 Main question:
 Can ship-board staff do anything to support a more efficient
shipin-port operation?”
 Answer:
 To some extent and a number of measures exists for this
purpose.
 The aspects covered in this section are simple day to day shipboard
operational measures.
 In fact, some of them could be implemented also by
harbour crafts and port support vessels.
Machinery usage in port

 The main ship-board systems working when ship is at anchor or at
berth include:
 Auxiliary machinery and equipment
 Diesel generators,
 Boilers
 Cargo handling equipment (only on some ships).
 The main activity will constitute on how to reduce their usage?

Usage of auxiliary machinery - Examples
 Minimising the number of running auxiliary machinery based on port
operation requirements and ship safety.
 Examples are:
 Minimising the number of A/C units operated or switch them off
when conditions permit.
 The number of engine room ventilation fans should be reduced in
port or brought to slower speed.
 The fuel treatment machinery need to be reviewed if they all
needed to run in the same way as sea-going condition.
 Minimisation of use of compressed air and its use where
required.
 Minimisation of lighting loads. Etc.
 The above will reduce the need for auxiliary power and
number of auxiliary engines running.
Use of boilers
 Use of parallel operation of two boilers should be avoided.
 This improves the efficiency of the working boiler and reduces

electrical requirements for the second auxiliary boiler.
 Planning and optimisation of cargo discharge operation if it relies on

steam driven cargo pumps.
 Plan and optimise ballast operation if it relies on steam driven ballast

pumps.
 If boilers are used for Inert Gas generation, this aspect need to be
managed.
Cargo holding equipment upgrade for energy

efficiency
 This is not an in-port measure but applies to passage as well.
 For upgrade of ships’ cargo holding equipment to reduce GHG

emissions. For example:
 Ventilation (all ships)
 Mooring (all ships)
 Cargo and hold lighting (all ships)
 Reduction of CFCs (reefer)
 Heating coils (tankers)
 Cooling system (reefer)
 Cooling system (container)
 Cargo temperature optimization (tanker)
 Insulation of heating pipes (tankers)
 Optimization of reefer container stowage
Onshore Power Supply (OPS)

– What?
What is OPS?
• Supply of power from onshore
(port) to ship.
• Allows ships to turn off their
engines when in port.
OPS is known in industry by a

variety of names including:
• Cold ironing system
• Alternative Maritime Power (AMP)
• Shore side electricity
• Shore power
– Why?
Why OPS is advocated?

• Reduce exhaust emissions in
port.
• Reduce overall GHG emissions.
• Some additional energy saving

and economic saving are also
claimed?
A simple calculation: – The case?
• A ship uses its own generated
power • The environmental profile of
electricity generated by land-
• A typical mid-size tanker would based power plants vs. ships’
consume 400 kW. diesel electric generators are
• For a 30h port stay, This means 12 different:
MWh of electricity.
• In land-based power plants:
• High energy efficiency • Use
• An average cruise ship consumes
of clean fuel or scrubber.
about 8 MW. • Renewable energy
• For a 12 hours port stay, This • Remote from population
means 96 MWh of electric. centres.
• These power generations are • For ports:

accompanied by NOx, SOx, PM and • Electricity supply to ships
(utility function).
CO2 emissions.
• Port air quality improvement.
• Longer term economic benefits.
• The above are the main

justifications for OPS.
Onshore Power Supply (OPS) – Shore-
side infrastructure
• Transformer for voltage reduction
• Switchgear for electrical safety
• Frequency converter
• Automation system
Source: http://www.cruisecritic.co.uk/
Onshore Power Supply (OPS) – Other
aspects
Need for standardisation:

• The IEC, ISO and IEEE have
joined forces.
• International standard
"ISO/IEC/IEEE 80005-1 Cold
ironing -- Part 1: High Voltage
Shore Connection (HVSC)
Systems -- General
requirements" is in final
preparation.
Pioneering ports
• Some ports have been
pioneering this technology. Ports with OPS at 6 June 2012
Source: http://wpci.iaphworldports.org/onshore-power-supply
Onshore Power Supply (OPS) – Regulatory

aspects?
 No IMO regulations on OPS yet.
 There have been proposals to add some new regulations to

MARPOL Annex VI; but mainly on the following topics:
• Exemptions:
• For ships with low emissions or high ship-board energy efficient
power generation as compared to OPS.
• Period in port: Not required to connect to OPS when the berth

stay is less than some hours.
• Availability of OPS: The port shall provide sufficient electrical

power to sustain all operations including peak consumptions.
• Cost of OPS electricity: The electricity costs for the ship to

connect to shore power at berth should not exceed the cost of
supplied electricity.
Onshore Power Supply (OPS) and energy
efficiency?
 The overall energy efficiency of the OPS and also the cost of
energy to ship-owner is not yet clearly established.
 The OPS is likely to be beneficial from CO2 perspective if:

 Land based power generation is quite efficient.
 Low carbon fuel such as LNG are used.
 The above will vary from ship to ship and from port to port.
For each case, there is a need for further investigation.
 There is evidence that the overall cost of OPS electricity may be

higher:
 Tax on OPS electricity.
 Base cost of electricity as supplied to ports may be high.
 Port charges in order to recover its CAPEX and OPEX of OPS.
Green Port Initiatives and Port Environmental
Programs
Green Port Initiatives - Introduction
 Green port initiatives aim to reduce air emissions from ships (plus
other environmental aspects).
 Green port initiatives are in

place in particular in USA,
Europe and to some extent
Asia.
 In the majority of cases, air

pollution is at the core of the
green port initiatives.
Green Port Initiatives –
Volatile Organic Compounds (VOC)
 IMO MARPOL Annex VI regulations allows the Flag State to designate

ports that intend to control and
reduce VOC from tankers
(Regulation 15).
 For compliance purposes:
 The port should be able to

safely collect, use or dispose
of these gases).
 Tankers that visit such ports
also should have Vapour
Emissions Control System (VECS).
 Additionally, crude oil tankers Ship-board
VECS are required to have an approved
Vapour Emission Control Management

Plan.
Green Port Initiatives – Differentiated

port dues
• Some ports provide incentives for efficient and clean ships.
• This is done via a reduced port dues based on their regulated

emissions levels.
• For example in Gothenburg, Sweden:

• The port dues are reduced if the NOx emission level is
lower than 10 g/kWh.
NOx reduction incentives in port of Gothenburg
Green Port Initiatives – Differentiated

flag administration fees
 Some administrations have taken or are evaluating the use of EEDI for
differentiated registration fees or tonnage taxation.
 Example - Singapore MPA initiative (2011)

Singapore-flagged ships registered on or after 1 July 2011,
which go beyond the requirements of the IMO’s EEDI, will
enjoy a 50% reduction on the Initial Registration Fees and a
20% Annual Tonnage Tax rebate. ….
Green Port Initiatives – Environmental

Ship Index (ESI)
 Some ports have committed themselves to reducing the port-related

GHG within an initiative called the World
Port Climate Initiative (WPCI)).
 Ships receive incentives, via calculation

and reduction of WPCI’s Environmental
Ship Index (ESI).
 The ESI identifies seagoing ships that http://www.environmentalshipindex.org/Public/Home
perform better the IMO requirements.
 ESI relies on various formulas to cater for NOx, Sox, CO2 and OPS
elements.
2 x ESI NOX+ ESI SOX + ESI CO2 + OPS
The formula for the ESI Score is:
3.1
Green Port Initiatives – Environmental Ship Index (ESI)
 ESI gives a bonus for use OPS and reporting / monitoring of energy efficiency.
 The ESI Score ranges from 0 (for a ship meeting IMO

regulations) and 100 (for a ship that emits no SOx and no
NOx and reports or monitors its energy efficiency).
 Currently the best performing ships
score at around 40 points. http://www.hafen-hamburg- 2025.de/en/Green_port/Seiten/Environmental-objectives.aspx
Port clean air program

 A comprehensive initiative used by some ports to address
air emissions from shipping and port operations.
 Mainly advocated and implemented by a port authority with input from other stakeholders.
 Program normally includes:
A set of specific emission reduction targets A roadmap to achieve
those targets.
 To ensure success, the management system style continuous improvement is applied during
implementation
 Commitment by the management and staff of port authorities and regulatory agencies are
essential for success.
 Monitoring and benchmarking will be part of the implementation process.
 This could be comparable to another management plans (e.g. SEEMP) but a different scope
(port environment)
Norway NOx Tax and NOx Fund

 This is a NOx tax applicable mainly to national industries including shipping.
 The NOx tax is collected from participating industries and is fed into a NOx fund.
 The NOx fund then provides finances to those organisations that want to implement NOx
reduction measures including shipping industry.
 This scheme is only applicable to domestic shipping around Norway.
 It is an example of an effective local program that tries to create a financail scheme and
business case for NOx reduction.
 On the basis of the scheme, a large number of ships have so far been equipped with NOx
reduction technologies.
 This fund has also widely finaced major Norwegian initiatives such as the move to LNG as fuel
for ships operating in Norwegian water.
ANY QUESTIONS?
www.imo.org
Module 6:
Energy Management
Plan and System

City, Country
Content
 Overview of management systems
 ISO 50001 on Energy Management System (EnMS)
 IMO SEEMP
 Company Energy Management System (CEnMS)
 Ship energy audit and review
 Ship performance monitoring
 IMO data collection and EU MRV
Overview of Management Systems

Role of top management
 The cornerstone of good management is:
 Commitment from the top management; and
 Dedication from the operating personnel.
 The ISM Code foundation is also based on this paradigm and

requires:
 Management commitment.
 Staff/personnel empowerment.
 Continuous improvement.
PDCA and continuous improvement
 PDCA is the most basic framework for any
management system.
 Plan: An action plan of the activities that

need to be done together with all relevant
implementation details.
 Do: The implementation of the selected

improvement measures.
 Check: Monitor the results of the

implementation via effective data analysis
and assessments.
 Act: The effectiveness of the plan is reviewed
and new targets are set for next PDCA cycle.
Management systems in
shipping
 ISM Code: The most prominent management
system that is already mandatory in shipping.
Safety is at its core.
 ISO 9001: Quality Management System
 ISO 140001: Environmental management

system
 OHSAS 18001: Health and safety systems.

 ISO 50001: Energy management system.
ISM Code
A shipping-specific international
regulations with the ultimate objectives:
 To ensure safety at sea.
 To prevent human injury or loss of

life.
 To avoid damage to the

environment and the ship.
ISM Code
In order to comply with the ISM code, each
ship must have a working Safety
Management System (SMS) to ensure:
 Commitment from top management.
 A “policy manual”.
 A “procedures manual” that documents
the ship-board activities.
 Procedures for conducting both internal
and external audits.
 A designated person ashore to make sure
the SMS implementation.
 A system for checking actual practices versus planned.
 Regular management reviews.
ISO 9001: Quality Management System (QMS)
 The ISO 9000 series are related to quality
management systems.
 Designed to help organizations ensure

that:
 They meet the needs of their
clients/customers; and while
 Meeting relevant statutory and
regulatory requirements.
 The ISO 9001 is highly oriented

towards “process improvements” .
 In shipping, many companies so far have adopted the

ISO 9001.
ISO 14001 - Environmental Management
System (EMS)
 ISO 14000 series of standards relate to EMS (Environmental
Management System).
 Designed to help organizations to minimize the

negative impacts of their operations on the
environment.
 ISO 14001 requires the organization to assess

all of its “environmental aspects”.
 ISO 140001 main requirement is that the “significant environmental

aspects” should be identified, documented and
controlled/managed.
 The latest version is ISO 14001:2015 includes the concept of

“continuous improvement” approach.
OHSAS 18001: Occupational Health and
Safety Assessment Specification
 OHSAS 18001 is a British Standard (BS)
that is used globally.
 It deals with occupational health and safety

risks and their control.
 OHSAS 18001 focuses on:

 The need to identify all occupational
health and safety hazards
 Carry out their relevant risk
assessment.
 The OHSAS 18001 has been
harmonized with ISO 9001 and ISO
14001 to help organizations to integrate
the quality, environmental and safety
management systems. http://www.imteqsolution.com/v3/ohsas.php
Commonalities
 It can be demonstrated that all the
management standards have common
features in areas of:
 Need for defining objectives and policies
 Need for top management engagement
and commitment.
 PDCA cycle approach for continuous
improvement
 Need for training of human resources
 Need for monitoring and inspection
 Etc.
- 50001
 Based on the above commonalities,

certification bodies provide an integrated
approach to their verification and
certification.
ISO standards and ISM Code

 ISM code is mandatory.
 Anything included in a ship’s SMS will be regarded as mandatory.
 ISO standards (9001, 14001, etc.) are not mandatory.
 Care should be exercised not to cause complications with regard to

ISM related Flag State and Port State Control inspections.
 Once an environmental / energy management procedure becomes

part of the ship’s SMS, it will become mandatory to follow the
processes even if the requirements are not mandatory.
ISO 50001 on Energy Management
System
ISO 50001 energy management processes
 Energy policy
 Energy
planning
 Implementation
 Checking
 Management review
Source: ISO 50001:2011
ISO 50001 EnMS requirementsContinuous cycle

and content of ISO 50001
 This shows the overall content of the standard.

 ISO 50001 sections and clauses.
 Continuous improvement
cycle.
 The starting point is the

“energy policy”.
Company Energy Policy
Energy efficiency
policy and commitment
Company energy policy set

the agenda for control of GHG
emissions and fuel cost.
Main questions:
 What to be included?
 Whose responsibility?
 Objectives and targets?
 Stakeholders coordination?
 Employee training?
 Self evaluation and
improvement?
 Investment aspects?
Energy efficiency
policy and
commitment
Commitment from the top

management:
 Commitment from the

management at the highest
level should be
demonstrated via energy
policy endorsement and
communication.
Energy efficiency policy and
targets
Setting targets and aims
 Commitment is best to be
demonstrated by setting
energy efficiency targets.
 Quantitative to extent
possible.
communications
Communication of energy
efficiency policy
 Energy policy should be

used to communicate the
company’s top-level
requirements to staff at all
levels.
training
Awareness and training and

the provision of guidance
and advice to ship and shore
staff:
 Energy policy should show

commitment to staff’s
training.
investment
Policy on alternative fuels and

alternative technologies
 Any investment plan will be

good to be clarified in the
policy statement.
NYK Super Eco 2030 future technologies

Energy efficiency policy and link to other
corporate activities
The company energy

policy:
 Should show how energy

policy links to other
policies (e.g.
environment)
 How relates to IMO

regulations and ISO
standards?
Energy efficiency policy and fleet
management
Adjusting the company

operations regarding fleet and
its trades:
 Policy should refer to major

operational management
aspects that company will http://www.bmtsmart.com/fleet - and -vessel -performance -monitoring/the -importance - of -fleet -vessel - performance -management/
undertake to save energy.
 Fleet deployment.
 Slow steaming
 Just in time operation
Energy efficiency policy and maintenance
Adequate resources for

maintenance, repairs and
energy efficiency projects
 Poor maintenance means

inefficient ship and
machinery
 The technology upgrade is

part of energy efficiency
activities.
 Resources for these

activities should be provided.
Summary on energy efficiency policy content
Includes the following for energy performance:
 A commitment to continual improvement
 A commitment to ensure the availability of resources to achieve
objectives and targets;
 A commitment to comply with applicable legal and other
requirements;
 A framework for setting and reviewing energy objectives and
targets; A commitment to training staff and engaging other
stakeholders.
 Supports the purchase of energy-efficient products and services,
 Is documented and communicated at all levels within the
organization;
 Is regularly reviewed, and updated as necessary.
Energy Planning, Implementation, Monitoring and
Reviews
ISO 50001:
Energy planning process
ISO 50001:
 Energy planning shall be consistent with the energy policy.
 Energy planning should lead to activities that continually improve
energy performance.
 Energy planning shall involve a review of the organization's
activities that can affect energy performance.
 Energy review forms the core of the planning activities.
Energy review
 ISO 5001 stipulates that a company shall develop, record and
maintain an energy review.
 Inputs to energy review are the past performance and relevant

information
ISO 50001:
 The outputs of energy review will include
the following:
 Energy baseline(s)
 Energy performance indicators
 Objectives,
 Targets
 Energy efficiency measures
 The above outputs will be directly used for
the design and implementation of the
EnMS.

Target setting
The “energy review”
 ISO 50001 does not prescribe specific process is similar to an
energy performance criteria or target levels. “energy audit” and will be
discussed later
ISO 50001:
 However, it requires the organization to
continually improve its energy
performance.
 For a shipping company this practically

implies that it should select some key
performance indicators in order to
demonstrate improved energy performance.
Top management responsibility

 Defining, establishing, implementing and maintaining an energy
policy;
 Appointing a management representative and the formation of an

energy management team;
 Providing the resources for implementation purposes.

ISO 50001:
 Communicating the importance of energy management to those in
the organization;
 Ensuring that energy objectives and targets are established;
 Ensuring that “energy performance indicators” are appropriate to

the organization;
 Conducting management reviews.

ISO 50001:
Management representative responsibilities
 Top management should also appoint a management
representative(s).
 Responsibilities:
 Ensure the EnMS is established, implemented, maintained, and

continually improved;
 Report to top management on implementation of the EnMS;
 Ensure that the planning complies with energy policy;
 Define and communicate roles and responsibilities
 Determine criteria and methods needed to ensure that both the
operation and control of the EnMS are effective;
 Promote awareness of the energy policy and objectives.
ISO 50001:
Monitoring
 ISO 50001 stipulates that the company shall ensure that the key
characteristics of its operations that impact energy performance are
monitored, measured and analysed at planned intervals.
 Some methods such as performance monitoring, etc. are advocated

by the ISO 50001.
 ISO 50001 also advocates the effective use of internal audits as a

monitoring method.
 Records of the audit results shall be maintained and reported to top

management.
Management reviews
 Within ISO 50001, the management review is a requirement.
 For the review purposes, some inputs and outputs are expected.
ISO 50001:
 Inputs to the management review include:
 Follow-up actions from previous management reviews;
 Review of the energy policy;
 Review of energy performance and related indicators;
 Evaluation of compliance with legal and other requirements;
 The extent that energy objectives and targets have been met;
 The EnMS audit results;
 The status of corrective actions and preventive actions;
 Projected energy performance for the following period;
Recommendations for improvement.
Management reviews
Outputs from the management review are expected to be items
such as:
ISO 50001:
 Changes in the energy performance of the
organization;
 Changes to the energy policy;
 Changes to the energy performance indicators;
 Changes to objectives, targets or other elements of the EnMS.
 Changes to allocation of resources.
 Based on the above outputs, a new cycle of continual
improvement will begin.
Shipping Company Energy Management
System (CEnMS)
Why energy management?
 Ship fuel cost Question: How best a
company can organise
 Climate change
itself for energy
 Existence of big potentials for saving, etc. management?
% Operation cost components for

VLCC
15% Manning
12%
R&M
9%
3% Insuranc
e
Admin/other
s
61%
Fuel (a) VLCC operational cost breakdown (b) Containerships total cost breakdown
SEEMP framework
 The SEEMP works through four

steps:
 Planning,
 Implementation Monitoring, and
 Self-evaluation
 The main
features of the
IMO SEEMP
development
was given
under Module
2.
 Thus the
subject of how
SEEMP is
developed,
documented
and
Includes a Implemen
implemented Ship- number of tation
will not be specific EEM oriented
discussed
further.
Shipping company approach to energy
management
 Two tier approach:
 SEEMP for ship-level energy management (IMO Guidelines)

 CEnMS (Company Energy Management System) for fleet-level
energy management. (ISO 50001).
 A CEnMS needs to deal with both shore-based and ship-based

energy efficiency aspects.
 As such, SEEMP will be a sub-set of the EnMS.
 Thus, application of CEnMS in a shipping company should be fully

in harmony with ship-board SEEMP and vice a versa.
Scope of a shipping CEnMS
 The ship-related CEnMS scope includes:
 Defining the ship’s energy efficiency measures (EEMs).
 Documenting EEMs in the form of SEEMP for ship-board
implementation.
 Conducting monitoring and management review; as applied to
individual SEEMP.
 The shore-based CEnMS scope of activities include:

 Policy development
 Planning for ships and overall fleet.
 Gathering fleet data, monitoring and benchmarking.
 Managing the investment on energy efficiency.
 Training
 Coordination with all stakeholders, Etc.
Scope of SEEMP and CEnMS

 Application domain:
 SEEMP is “ship specific “.
 CEnMS is “company specific” and includes the fleet.
 Main scope of activities:

 SEEMP content is primarily implementation oriented.
 The CEnMS on the other hand is more oriented to planning, monitoring
coordination, training and evaluation of the fleet and company.
 High level activities relating to energy such as bunkering, provision of
third party services to ships and so on will be in the scope of CEnMS.
 Based on the above, the scope of the CEnMS and ship-level
SEEMPs will be different and they will be more complementary rather than
overlapping.
CEnMS:
Stakeholders
management
 Stakeholder for energy

management is shown in the
diagram
 Management of the company

relation with the stakeholders is
an important element of the
CEnMS
All the above
stakeholders have impact on a ship’s
fuel consumption and its environmental
footprint
CEnMS:
Company energy policy content
 Commitment at the highest level
 Company targets
 Communication to staff
 Monitoring methods
 Reporting and communication to external stakeholders
 Importance of ship specific SEEMPs
 Other specific aspects: The policy is best to contain the strategic

aspects for:
 Improving the utilization of its fleet's capacity
 The need for planning, targets,
 Replacement of older tonnage
with more efficient ships
 Technology upgrade aspects
and financial commitment.
How to develop CEnMS

CEnMS development and
implementation is best to follow
the ISO 50001 processes.
 Energy policy
 Energy review
 Performance indicators
 Monitoring Etc.
ISO 50001 structure and content
Summary on CEnMS scope

As discussed, the following aspects should be reflected in the
CEnMS:
 Energy policy development for the company (inclusive of ships).
 Energy planning activities for both CEnMS and SEEMPs.
 Definition of monitoring system and relevant KPIs, baselines,
data collection and data analysis systems.
 Establishment of a reporting system for energy efficiency data.
 Methods for the self-evaluation of both all the SEEMPs plus the
CEnMS itself.
 Coordination and collaboration with the major external
stakeholders that influence fleet’s operation.
 All aspects relating to training and investment projects.
Practical Aspects of Implementation
Step by step approach to energy management
 Step 0 (initial planning)
 Step 1 (low cost measures)
 Step 2 (medium cost measures)
 Step 3 (high cost measures)
Technical challenges of energy performance
monitoring
 Performance monitoring is a difficult area and need particular

attention.
 For monitoring of major EEMs and dealing with a large number of
fleet wide EEMs, the monitoring could be more of a technical
challenge
 It would involve provision of KPIs and their trends to identify how
various ships are performing in relation to energy efficiency.
 In most cases, one or each set of EEMs (e.g. hull maintenance)
will have its own methods and KPIs for monitoring purposes.
Training, raising awareness: How?

 Increasing awareness and incentives of staff are key to successful
implementation of management systems.
 This can be done in a number of ways:

 Training on ship energy efficiency.
 The company may consider distance-learning, ‘Computer
Based Training (CBT)’ programs Poster campaign.
 Regular on-board meetings on the subject.
 Ideas of best practice to be received from the seafarers,
documented, highlighted and implemented.
 Develop competition for energy efficiency, e.g. between ships..
 Familiarisation with energy policy via effective communications
 Use of company magazine or other publicity documents for
raising awareness and interest .
Ship Energy Audit and Review

Energy review / energy audit
 As part of SEEMP and CEnMS developments, there is a need to
do energy reviews or audits.
 These techniques are useful for both planning and monitoring

phases.
 For planning, the end result of energy review / audit would be a set
of Energy Efficiency Measures (EEMs).
 For monitoring, the main aim would be to check if the

implementation of various EEMs have been successful.
 Conducting an energy review and audits involves a number of

activities.
 In this part, energy audit techniques are described. The
same methodology may be applied to energy reviews.
Types of energy audits
 Preliminary (walk through) energy

audit.
 Detailed (investment grade) energy
audit.
Preliminary energy audit purposes
 Establish overall energy consumption and its profile.
 Estimate the scope for energy saving.
 Identify energy efficiency measures and their priority ranking.
 Identify areas for more detailed study/measurement or subsequent

assessments.
 For preliminary energy audit, normally existing or easily obtainable

data are used and does not include any independent measurement
campaign.
Detailed energy audit purposes

 Same as the preliminary energy audit but more detailed, PLUS
 It aims to provide enough information to enable decision
making process or development and planning of energy
saving projects.
 It effectively evaluates all major energy using systems.
 This type of audit offers the most accurate estimate of energy

savings and cost. Detailed energy cost saving calculations and
project costs.
 Establish energy baselines
 The analysis will involve system modelling for various estimations.
Ship energy audit/review

 Could be used as part of planning or monitoring.
 Main objective is to identify energy efficiency measures.
 For a ship, various aspects (items) could include:
 Hull and
propeller
 Engines
 Machinery utilisation
 Lighting
 Voyage
 Trim
 Training, etc.
Ship energy audit: Example assessment areas
Source: DNV
Ship energy audit phases
 A ship energy audit may involve a number of phases.
 Phase I – Pre-survey activities:
 Preliminary data gathering
 Initial data review
 Phase II - Survey:
 The ship is visited and the planned survey activities are carried
out, facilitated by ship personnel.
 Phase III – Analysis and reporting

 Data analysis
 Energy audit report
Ship energy audit
Typical data analysis – Examples
 Ship operation (voyage) profile
 Ship fuel consumption profile
 Hull performance assessment
 Engine performance assessment
Bazari 2012
Techno-economic feasibility
 Energy audit should identify EEMs and make concrete
recommendations
 It is essential to come up with EEMs that are:
 Technically feasible
 Economically cost effective
 Cost effectiveness can be measured using:

 Pay back period
 Net Present Value (NPV)
 Internal Rate of Return (IRR)
Source: DNV 2010
Thus to generate a MACC:

• A full analysis of energy saving
levels and cost of implementation
for each EEM is required
What about cost-effectiveness of
technologies?
 Marginal Abatement Cost
Curves (MACC).
 A simple and effective

presentation of cost
effective analysis results.
 MACC shows:
 The reduction
potential (tonne/year)
- X axis
 Abatement cost ($cost/tonne CO2 reduction) – Y axis
MACC development
 Step 1 – Identify EEMs and their energy saving levels.
 Step 2 – Calculate the cost of implementation of the EEMs.
 Step 3 - From fuel consumption reduction, estimate annual CO2

reductions (X axis).
 Step 4 - From steps 2 and 3 calculate, the cost-effectiveness that is

the MAC ($cost per tonne CO2 reduced) (Y-axis).
 Step 5 – Rank the EEMs from lowest MAC to highest MAC (i.e.
lowest cost EEM to highest cost EEMs).
 Step 6 – Plotting the MACC. Use the ranking system, each EEM
represented by a rectangle where its vertical side is the MAC and
the horizontal side is the CO2 reduction level.
Ship Performance Monitoring and Reporting
Why performance monitoring: Main benefits
 Assessment of hull condition: For assessment of hull roughness,
hull fouling, the quality of coatings and paints.
 Assessment of engine condition: For assessment of engine

tuning options or identification of engine faults
 Feedback to a better ship design
 Improved commercial aspects for chartering and technology

upgrade: A more accurate estimate of the ship performance for
charter party agreements.
 Long term operational optimisation: Historical data are great for

long term performance optimisation.
 Environmental assessment: For regulatory data
reporting and MRV purposes.
Performance monitoring system design
 Scope of monitoring could include

one or all:
 Ship voyage and operation

 Hull and propeller
 Engines
Auxiliary machinery
Emissions and environmental features Etc.
 Big data analysis capability
 Ship-shore communication
 Advanced sensors and data

communication technologies.
Types of monitoring systems

 Division mainly on the basis of data
collection and analysis methods.
 Manual: Systems with manual data logging, data analysis and

reporting (for example once every 24 hours)
 Automatic: Systems with automatic data logging, data analysis and

reporting:
 Sampling every 1 sec or above

 Analysis can be either scheduled, continuous or on
demand.
 Hybrid: Hybrid systems with some manual and automatic elements.
 In practice, most are hybrid with some level of manual or automatic

features.
Manual: Relies on more traditional logbook data:

Issues
 Uncertainty in the used instrumentation:
 Redundant sensors with differing outputs.
 General aspects of sensors’ reliability, maintainability and
accuracy.
 Wrong data collection timing:

 Normally time lag exist with manual data collection.
 These may lead to data for different set of conditions.
Some data are very to operating conditions.
 Human errors in observations:

 Human factor for manual data collection is an issue
 Some parameters (e.g. state of sea condition) will require
observation.
 Accuracy depends on experience of officers and engineers.
Manual: Relies on more traditional logbook data:

Issues
 Inaccurate data collection:
 Average versus spot measurement may get mixed.
 Tendency to enter higher or lower observations
 For example, it is normal practice to enter higher sea states.
 Limited logging frequency:
 Due to high workload it is not possible to do frequent
manual measurement on board.
 Errors in data entry:

 Experience indicates that logbooks frequently contain data
inconsistencies;
 Wrong manual entry
 Mixing up of parameters, for example ship speed through water
and over ground.
Automatic systems advantages

 Contributes significantly to the improvement of data quality.
 Allows signal validation, filtering and averaging for increased

accuracy and
reliability
 Real time and synchronous data collection
 Allows real-time data analysis in support of decision making, e.g.:

Kongsberg
 Alarm system
 Routine vessel operation
 Issue: The amount of data could be
daunting; thus require good data
management.
Hull performance monitoring
 Various techniques are used.
 Assessment of ship speed-power

curve relative to a baseline.
 Assessment of level of added

resistance relative to a baseline
 Use of divers to visually inspect the

hull and propeller conditions
Engine performance monitoring
 Based on analysis of cylinder pressure data plus
other process data.
 Maximum cylinder pressure (Pmax) Angle
of Pmax.
 Cylinder compression pressure (Pcom)
 Ignition angle – The angle at which
combustion starts.
 Indicated power as measured on top of the
piston.
 In addition, current day systems collect other data such

as:
 Engine rpm
 Engine brake power
 Scavenge pressure
 Fuel injection pressure diagram and relevant
information such as injection timing.
 Turbocharger rpm, etc.
Auxiliary machinery monitoring
 Mainly through monitoring of machinery load factors and utilisation
factor.
 Relatively simple using the

machinery run hours.
 Benchmarking is part of the process
Machinery utilisation facto calculation and benchmarking [Bazari 2012]
Voyage monitoring
 All the timing of ship operation needs to be monitored.
 Analysis of ship operation profile.
 Continuous recording and demonstration of the ship data as below.

Hideyuki Ando, NYK
Data Collection and Reporting to External Bodies
- IMO Data collection - EU MRV
Monitoring and reporting to external bodies
For a variety of reasons.

 Regulatory compliance to future IMO data collection.
 Regulatory compliance to EU MRV
 Part of company’s reporting on social corporate responsibility.
 Environmental reporting.
IMO data collection system
 Currently under development by the IMO MEPC Working Group
on “further energy efficiency measures”.
 The approach advocates “data collection” as applied to ship fuel

consumption and possibly other parameters.
 The system will have three main elements:
 (1) Data collection by ships
 (2) Flag State functions of data verification

 (3) Establishment of a centralised database at the
IMO.
IMO data collection system: Some features
Main aspects of IMO data collection was introduced in Module 1

including:
 Applicable to ships greater than 5000 GT.
 Annual reporting with no need for voyage data.
 IMO number for ship identification
 Registered owner responsible for submission of data.
 Flag Administration responsible for data verification.
 Compliance through having a Statement of Compliance (SOC)

EU MRV
overview
 EU advocates for a major reduction in GHG emissions from
international shipping.
 In this area, the EU plan of action is a phased approach:
 Phase 1: Establish a technical IMO regulatory

framework.
 Phase 2: Implement an MRV scheme to establish the MRV
fuel consumption and CO2 emissions from
international shipping.
 Phase 3: Identify whether the efficiency standards are achieving
the EU’s desired absolute CO2 emissions reductions and what
else should be done, e.g. (MBM).
 Within EU MRV, a reporting system is regulated that aims to provide

accurate data for subsequent policy making.
EU MRV
applicability
 Applicable to ships >> 5,000 GT; with voyages into, out of and
between EU ports.
 It requires per-voyage and annual monitoring of CO2 emissions.
 Other parameters including energy efficiency indicators and amount

of cargo carried, etc. are included.
 Annually emissions are reported (for the previous year).
 Ships are exempted from the obligation to monitor:
 If they operate in EU ports all the time

 Or if they have more than 300 voyages within the reporting
period.
 The exceptions are warships, naval auxiliaries, fish catching or
processing ships, etc.
EU MRV
- Data reporting requirements
Annual reporting requirements Per voyage
reporting
requirements
Aggregated annual CO2 emissions from all voyages between, from Ports dates and times in
and to ports under a Member States’ jurisdiction and out.
Details of the method used for emissions monitoring
Technical efficiency of the ship (EEDI or EIV as applicable)
Vessel identification
Total annual amount/weight of cargo carried
Annual average efficiency (e.g. EEOI, fuel consumption per distance and
cargo carried)
Total annual fuel consumption
Total CO2 emitted CO2 emitted

Total distance travelled Distance travelled
EU MRV
Total time spent at sea and at berth Time spent at sea

EU MRV monitoring requirements [Lloyd’s Register 2015]
Further guidelines/procedures will be developed to clarify how

various activities should be done.
overview
 Plan is needed.
EU MRV
 Fuel
consumption
measurement: 4
methods are
acceptable.
 Annual
emissions reports
must be verified
 Reports will be collected

in a database.
 Verification must be carried

out. EU MRV monitoring requirements [Lloyd’s Register 2015]
EU MRV Verification and certification
 Verification and certification is a requirement.
 Tasks will be done by accredited third party verifiers.
 A Document of Compliance (DOC) will be issued.
 The EU Regulation (EU) 2015/757 sets out guidance on the requirements for verification:
 Verifying conformity of the monitoring plan. Verifying conformity of the emission report.
 Ensure that emissions and other climate-related data have been determined according to
planned.
 Making recommendations for improvement to the monitoring plan.
 The EU MRV regulations will not be a flag State requirement; instead it will be enforced through
Port State Control within European ports.

ANY QUESTIONS?

www.imo.org

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IMO Train the Trainer (TTT) Course

Module 1 – Climate Change and the

IMO wishes to express its sincere appreciation for WMU and

Printed and published by the

M1 Climate Change and the Shipping Response Module 1 – Page 1

The material presented herein is current at the time of preparations of this

M1 Climate Change and the Shipping Response Module 1 – Page 2

1.1 AIR EMISSIONS OVERVIEW ...................................................................................................................................7

2 FOSSIL FUELS AS MAIN SOURCE OF AIR EMISSIONS ..................................................................................... 11

2.1 FUELS’ OVERALL COMPOSITION...........................................................................................................................11

3 CLIMATE SYSTEM AND GLOBAL WARMING ................................................................................................. 17

3.1 OVERVIEW .....................................................................................................................................................17

4 COMBATING AIR POLLUTION: THE ROLE OF INTERNATIONAL BODIES ......................................................... 22

4.1 GROWTH OF CONCERNS ON AIR POLLUTION ..........................................................................................................22

5 IMO RESPONSE: MARITIME ENVIRONMENTAL REGULATORY FRAMEWORK ................................................ 30

6 IMO RESPONSE TO CONTROL OF GHG EMISSIONS FROM INTERNATIONAL SHIPPING .................................. 39

6.1 SHIPPING GHG EMISSIONS CONTEXT AND IMO ROLE .............................................................................................39

M1 Climate Change and the Shipping Response Module 1 – Page 3

7 REFERENCES AND ADDITIONAL SOURCES OF INFORMATION ....................................................................... 62

M1 Climate Change and the Shipping Response Module 1 – Page 4

M1 Climate Change and the Shipping Response Module 1 – Page 5

M1 Climate Change and the Shipping Response Module 1 – Page 6

1.1 Air emissions overview

1.2 Origins of air emissions

M1 Climate Change and the Shipping Response Module 1 – Page 7

1.4 Urbanisation and the concentration factors

1.5 Industrialization and its impacts

M1 Climate Change and the Shipping Response Module 1 – Page 8

1.6 The need for transports

M1 Climate Change and the Shipping Response Module 1 – Page 9

M1 Climate Change and the Shipping Response Module 1 – Page 10

2.1 Fuels’ overall composition

2.2 Evolution of combustion engines

Exhaust GAS of Steam directed to the

Figure 2.1: Steam generator principle on ships

M1 Climate Change and the Shipping Response Module 1 – Page 11

Figure 2.2: Diesel engine working principle as an internal combustion engine

2.3 By-products of combustion

M1 Climate Change and the Shipping Response Module 1 – Page 12

Carbon Dioxide + Water + Nitrogen

Figure 2.3: Typical products of combustion

M1 Climate Change and the Shipping Response Module 1 – Page 13

2.4 Other non-combustion related air emissions

M1 Climate Change and the Shipping Response Module 1 – Page 15

M1 Climate Change and the Shipping Response Module 1 – Page 16

M1 Climate Change and the Shipping Response Module 1 – Page 17

3.2 Greenhouse Gas (GHG) emissions and climate change

M1 Climate Change and the Shipping Response Module 1 – Page 18

3.3 Main GHG emissions

M1 Climate Change and the Shipping Response Module 1 – Page 19

M1 Climate Change and the Shipping Response Module 1 – Page 20

3.4 Climate change impacts on oceans

M1 Climate Change and the Shipping Response Module 1 – Page 21

4.1 Growth of concerns on air pollution

1979 LRTAP Convention:

Article 2: Fundamental principles

1985/2002 Vienna Convention for the Protection of the Ozone Layer:

M1 Climate Change and the Shipping Response Module 1 – Page 22

4.2 Historical developments

M1 Climate Change and the Shipping Response Module 1 – Page 24

4.3 The United Nations Environment Programme (UNEP)

4.4 Intergovernmental Panel on Climate Change (IPCC)

M1 Climate Change and the Shipping Response Module 1 – Page 26