The Documentary Committee of BIMCO has adopted a Methanol Annex to its Bunker Terms 2018; this is the latest addition to the BIMCO portfolio of contracts and clauses that support the maritime industry’s transition towards alternative fuels and decarbonisation.
The annex introduces new definitions to reflect ongoing developments in the bunkering landscape. It targets the increasing importance of sustainability certification which is intended to verify the source and environmental credentials of the fuel under regulations such as the FuelEU Maritime.
Nicholas Fell, Chair, BIMCO Documentary Committee, said: “The methanol annex has been developed in close consultation with industry stakeholders and technical experts to ensure that it meets the practical and legal requirements of methanol as a marine fuel. It reflects on current industry practices and anticipates future developments in the regulatory area.”
The annex enables parties to specify GHG intensity limits, fossil comparators and methodologies for calculating emissions via the election sheet. The flexible approach ensures that the annex can be adapted to future regulations and allow parties to agree and specify the parameters relevant to their particular contract.
Considering the toxic nature of methanol and the safety hazards involved, sampling and measurements of methanol has been carefully considered by the subcommittee. Additionally, the annex mandates the use of closed or remote sounding procedures for methanol bunkering to enhance the safety of the crew involved in the bunkering operation.
Stinne Taiger Ivø, BIMCO Deputy Secretary General and Director of Contracts, said: “Building on the momentum of the LNG annex adopted in 2023, the methanol annex was a natural next step. We’re continuing to develop and standardise supply terms for new fuels, with an ammonia annex to follow when the timing is right. A biofuels clause for time charter parties is also underway and expected later this year.”
