Stena Line says that the new Sulphur Emission Control Area (SECA) coming into force in Northern Europe on 1 January 2015, will have a significant economic impact on its business.
The new sulphur directive will mean a significant increase in fuel costs for Stena – a direct increase of more than £100,000 per day, or around £41m per year as a result of having to use the more expensive low sulphur fuel.
One of the key objectives of Stena’s Change Programme over the last few years has been to improve the operator\'s performance by £100m to help put the company on a more secure financial footing post-implementation.
It has resulted in a number of steps being taken including the reduction from two vessels to one on the Trelleborg-Sassnitz route. Stena has also been forced to increase its prices to freight customers by 15% as a direct result of the change in legislation.
"Ultimately, the resultant increase in fuel costs negatively impacts on North European export and import trade because a significant proportion of these trades are facilitated by sea transport", said Stena Line\'s CEO, Carl-Johan Hagman.
Since 2005, Stena Line said it has worked diligently to reduce its environmental impact successfully reducing vessel energy consumption by around 2.5% every subsequent year.
In early 2015 it will be start a trial with methanol as a potential fuel on one of its ferries. It will also be taking a closer look at deploying scrubber technologies and looking at LNG as a possible fuel alternative.
motorship.com
New SECA to hit Stena hard
Date of publication: 30.09.2014