OceanScore has launched a new planning, simulation and budgeting tool for optimising compliance with FuelEU Maritime from a commercial standpoint.
The release follows on from the introduction last year of the company’s ETS Manager, geared towards the EU Emissions Trading System (EU ETS), and the completion of a recent €5 million funding round.
The FuelEU Planner is a web-based system that allows shipping companies to evaluate the various options for reducing GHG intensity, vessel optimisation and managing remaining compliance balances. It is able to simulate different operational and investment decisions and compare these simulations from a total cost of ownership perspective.
“FuelEU adds another layer of regulatory complexity for the industry beyond the EU ETS as it entails difficult choices for shipping companies related to fuel selection and low-carbon technology investments, as well as management of compliance balances,” said OceanScore Managing Director Albrecht Grell.
“FuelEU’s commercial impact also differs significantly from the EU ETS based on the decisions taken by the shipping company – all the way to actually creating additional revenue and cost-saving opportunities.”
The latest regulation will require progressive reductions in the average well-to-wake GHG intensity of energy used by ships above 5000GT versus a 2020 baseline of 91.16 gCO2e per MJ, rising from 2% next year to 80% by 2050, with a penalty of €2400 per tonne of VLSFOe for non-compliance.
OceanScore has calculated that shipping would face total FuelEU penalties of €1.345 billion in 2025, based on data on trading patterns and fuel mix from 2022 for some 13,000 vessels over 5000gt that would be subject to the regulation. However, the company is forecasting that the current rapid uptake of biofuels will lead to a balanced compliance market, where compliance surpluses will balance compliance deficits.
The FuelEU Planner is able to simulate the effect of different fuel and investment strategies on a per-vessel and per-fleet basis to determine the impact on compliance balance and total cost so that companies can plan bunker procurement and future operations for budgeting purposes and charter parties.
