Maersk expects bunker price spike to raise surcharge
Containership company AP Moller-Maersk has changed the way it calculates its bunker fuel surcharge and expects to charge its customers more for fuel from March because of more expensive and volatile bunker fuel prices.
Maersk previously reviewed its bunker surcharge on a quarterly basis, but as the price of 0.5pc sulphur marine fuel oil (0.5pc fuel oil) has been volatile recently, the shipowner announced it could adjust the surcharge on a monthly basis if the price of 0.5pc fuel oil moves sufficiently.
A monthly price move of more than $50/t compared with the previous quarter will warrant an "exceptional trigger" of the fuel surcharge to Maersk's customers, which could be adjusted by between $50/t and $200/t.
When the 0.5pc fuel oil price rose above $700/t in Singapore at the end of December, it was an increase of more than 20pc on the price used by Maersk in its previous bunker adjustment factor. Maersk expects the price change between its calculating periods to be greater than $50/t and so trigger an upward adjustment of the bunker surcharge effective from 1 March.
Most shipowners' fuel costs have risen sharply as a result of tighter sulphur limits on bunker fuels implemented globally from 1 January by the International Maritime Organisation (IMO).
Maersk is the world's largest shipowner and its fleet will mainly comply with the sulphur cap by burning compliant fuels with less than 0.5pc sulphur. The company has said the higher cost of compliant fuels compared with high-sulphur fuel oil could increase its yearly fuel bill by $2bn.
Maersk introduced its previous Bunker Adjustment Factor (BAF) surcharge calculation from 1 January 2019 to let its customers familiarise with the calculation before 2020. The BAF is separate from the company's freight rate.
By Erik Hoffmann
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