On September 30th, under the joint promotion of Xiamen Maritime Bureau, Xiamen Port Authority, Xiamen Customs and other departments and units, China Ship Bunker Company Limited’s bunker ship “Hongxin 106” successfully refueled 800 tons of B24 marine biofuel oil on board the vessel “Xin Chiwan” of COSCO Shipping Container Lines Co. successfully refueled 800 tons of B24 marine biofuel oil for the vessel “Xin Chiwan” of COSCO Shipping Container Lines Co. This marks the completion of the first refueling of bonded biofuel oil for international vessels in Fujian Province, and the whole refueling took about 3 hours.

The B24 marine biofuel oil used this time is made of 24% sustainable biodiesel made from waste and 76% traditional low-sulfur fuel oil physically blended. It is estimated that this fuel can reduce carbon emissions by about 20%.

Biofuel oil (B24) can be directly applied to ship engines without the need to retrofit existing ship power equipment, and has excellent combustion and emission characteristics, with a wide range of renewable raw material sources, and is known as a “ready-to-use green marine fuel”.

Indonesia’s Ministry of Energy and Mineral Resources (MEMR) has officially set the biodiesel market index price for October 2024 at 12,633 rupiah per liter.

In a statement in Jakarta on Wednesday (October 2), the price has been effective since October 1, said Agus Adi, Director General of Public Communication, Public Information Service and Cooperation of the Ministry of Energy and Mineral Resources. The biodiesel market index price calculation is based on the average of crude palm oil prices sold by the Combined Marketing Office (CPO KPB) plus US$85 per ton multiplied by 870 kilograms per cubic meter, plus transportation costs.

For the period from August 25 to September 24 this year, the average price from the Joint Marketing Office was 13,211 dong per kilogram. The $85 per ton is the conversion value of raw materials into biodiesel and 870 kilograms per cubic meter is the unit conversion factor from kilograms to liters.

The exchange rate used is the average middle rate of Bank Indonesia for the period of August 25 to September 24 this year, which is 15,408 rupiah per dollar.

The European Community Shipowners’ Association (ECSA) has recently released a Draghi report supporting the use of cleaner fuels in the shipping industry, according to a UK shipping-related website.

The report analyzes that the shipping industry is one of the most difficult industries to decarbonize, requiring about 40 billion euros of investment annually, and that the establishment of an alternative fuel supply chain is crucial for the EU to achieve its climate goals.

According to the report, the ‘Fit for 55’ program and the recent historic IMO Greenhouse Gas Strategy Agreement set clear targets for shipping to achieve net zero emissions by 2050 – prioritizing access to cleaner fuels and adequate resources. The report identifies the development of a green fuel supply chain as a priority for the European Union, and the costs of not doing so to meet climate targets will be significant.

The report emphasizes the huge price gap between conventional and clean fuels, and the fact that the shipping industry faces stiff competition from other modes of transport for access to clean fuels, especially advanced biofuels and e-fuels.

Singapore-based Arkas Bunker has begun supplying B24 bunker fuel to Turkey, marking the country’s first use of biofuel in the maritime industry. The fuel, which is used to bunker Arkas Line’s container ship Matilde A at Marport, is a blend of 24% ISCC-certified used cooking oil and 76% fuel oil.

Seckin Gul, Managing Director of Arkas Bunker, said: “About three years ago, we started researching and developing bio-constituents, taking a closer look at marine biofuels. In February this year, we achieved our 2024 target by obtaining ISCC certification, becoming the first fuel supplier in Turkey to receive ISCC certification.

The launch of Bio24F is part of Arkas Bunker’s efforts to comply with international regulations and to help shipowners achieve their sustainability goals,” said Can Atalay, CEO of Arkas Line. ”Turkey’s first biofuel, B24, was supplied for the first time by Arkas Bunker to Arkas Line ships. Our trials have shown that we can reduce carbon emissions without any modifications to the ship’s fuel system.

European Union (EU) imports of biodiesel from China fell by 91% in July compared to the previous month following the European Commission (EC)’s introduction of anti-dumping duties, according to Eurostat data reported by Palm Oil Magazine.

According to the analysis, Chinese biodiesel exports to the EU dropped from 109,457 tonnes in June to 9,835 tonnes in July – the lowest level since April 2021.

In July, the EU imposed temporary anti-dumping duties ranging from 12.8% to 36.4% on biodiesel and hydrotreated vegetable oil (HVO) imports from China, the 27 September report said citing Quantum Commodity Intelligence data.

However, China’s export data did not correspond with EU import figures, with China reporting exports of 74,343 tonnes in May and 43,412 tonnes in June, Palm Oil Magazine wrote.

The discrepancies had raised concerns about potential gaps in sustainable certification, which traders claimed could be used to bypass anti-dumping duties, the report said.