Work starts on new energy efficiency clauses

Published: 04 March 2024

We have set up a subcommittee to further support decarbonisation efforts. Recognising the crucial role of reliable data and energy efficiency, we are drafting two clauses: a Data Sharing and Energy Efficiency Performance Clause and a Retrofit Cost/Benefit Clause.

The Data Sharing and Energy Efficiency Performance Clause has been considered with the primary aim of enhancing vessel efficiency through systematic sharing of data between owners and charterers.

A key focus of this initiative is ensuring transmission of accurate data, with the intention of creating technical performance benchmarks. These benchmarks are expected to facilitate more efficient vessel operations leading to a reduction in fuel consumption, emissions, and maintenance costs. This initiative is particularly significant in the maritime industry, where reliable data is a key factor for incentivising energy efficiency through investments in innovative technologies.

Simultaneously, BIMCO acknowledges the potential disincentives resulting from traditional cost/benefit structures for retrofitting initiatives. In response, the Retrofit Cost/Benefit Clause is intended to encourage investments in energy-saving technologies by both owners and charterers. The clause aims to create a cost/benefit sharing scheme that will incentivise retrofit projects, leading to increased vessel value, lowered maintenance costs for owners, and reduced fuel expenses for charterers.

These two projects are naturally linked. Retrofitting initiatives, aimed at enhancing energy efficiency, require robust monitoring facilitated by effective sharing of data. This interrelation has prompted BIMCO's decision to task a single subcommittee with the drafting of both clauses.

The subcommittee, composed of industry experts, will initially focus on the Data Sharing and Energy Efficiency Performance Clause before proceeding to the Retrofit Cost/Benefit Clause. This team of professionals represents different stakeholders in the maritime industry and includes Sanjay Relan from Pacific Basin, Mattias Kjellberg from Stena Rederi, Giannis Webster from Costa Mare, Heather Johnson from Chevron, Ann Shazell and Keith Dawe from Cargill, Joanna Meadows from Skuld, and Helen Barden from NorthStandard.

The clauses are scheduled for publication later in 2024 and will be freely accessible for industry use. Progress updates on these projects can be tracked in the "What We Are Working On" section of the BIMCO website.

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