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Large Vessel Demand Rises as Boxships Queuing for Scrubber Retrofits

23 January 2020

More than 100 containerships aggregating 950,000 TEUs were in yards for scrubber retrofits last month before the International Maritime Organization (IMO) sulphur cap entered into force on January 1, 2020, according to Alphaliner.

Many of these retrofits combined routine dry dockings for planned maintenance and classification surveys deadlines.

Even after the deduction of the routine maintenance/class work component, the scrubber retrofits have been freezing the equivalent of 90 standard ships of 8,500 TEU, the shipping analyst estimated.

Furthermore, another 15 ships totaling 130,000 TEUs were lying at anchor in December while awaiting their yard slots as retrofits have been plagued by delays due in particular to a lack of trained manpower and of yard capacity.

As a result, the IMO 2020 regulation and their consequences have become a major driver for the charter market, Alphaliner explained. This was driven by two main factors — the need to find substitute ships to fill the gaps left by vessels immobilized for scrubber retrofits and the vessel scarcity created by this extra demand has boosted charter rates.

On the other hand, the long line of boxships waiting to enter repair yards for the installation of scrubbers with extended yard stays are coasting shipowners dearly in vessel downtime. Among the top twelve carriers, Mediterranean Shipping Company (MSC) has been the most badly affected by the retrofit delays, with at least 15 vessels clocking yard stays of over 80 days, Alphaliner’s data showed.

At the end of 2019, ships with exhaust gas cleaning systems reportedly accounted for some 5.9% of the total number of containerships or 11.8% of the total TEU capacity of the fleet.

As informed, more scrubber fitted containerships are expected to be delivered in the next two years, including both newbuildings and retrofitted units, that could possibly bring their total number to some 1,000 ships for 10 million TEU by the end of 2022.

Source: World Maritime News

 

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Today
8:03am
Hi Jenna! I made a new design, and i wanted to show it to you.
8:03am
It's quite clean and it's inspired from Bulkit.
8:12am
Oh really??! I want to see that.
8:13am
FYI it was done in less than a day.
8:17am
Great to hear it. Just send me the PSD files so i can have a look at it.
8:18am
And if you have a prototype, you can also send me the link to it.

Monday
4:55pm
Hey Jenna, what's up?
4:56pm
Iam coming to LA tomorrow. Interested in having lunch?
5:21pm
Hey mate, it's been a while. Sure I would love to.
5:27pm
Ok. Let's say i pick you up at 12:30 at work, works?
5:43pm
Yup, that works great.
5:44pm
And yeah, don't forget to bring some of my favourite cheese cake.
5:27pm
No worries

Today
2:01pm
Hello Jenna, did you read my proposal?
2:01pm
Didn't hear from you since i sent it.
2:02pm
Hello Milly, Iam really sorry, Iam so busy recently, but i had the time to read it.
2:04pm
And what did you think about it?
2:05pm
Actually it's quite good, there might be some small changes but overall it's great.
2:07pm
I think that i can give it to my boss at this stage.
2:09pm
Crossing fingers then

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