By January next year, cargo vessels will have to switch to cleaner burning bunker fuel, a transition for which ports in some parts of the world are poorly prepared. The International Maritime Organization (IMO) has issued a ruling which says that from January 1, 2020 vessels will no longer be allowed to use bunker fuel that has a high sulphur content. Emissions must be reduced from the current 3.5% global limit to 0.5%.

The new rule, known as ‘Sulphur 2020’, will demand that cargo vessels use compliant low-sulphur fuel or else an approved abatement technology such as a scrubber – essentially a filter to remove particles from engine exhaust – or an alternative fuel like hydrogen. Meeting the new regulations will profoundly change the economics of shipping, and may affect patterns of imports and exports.