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BIMCO publishes EEXI Transition Clause ahead of IMO efficiency regulation

Amendments to The International Convention for the Prevention of Pollution from Ships (MARPOL) Annex VI are due to enter into force on 1 November 2022, with the requirements for the EEXI certification coming into effect from 1 January 2023.

The new regulation will require existing ships to improve their efficiency roughly to be in line with the EEDI requirement for new ships today. For a large part of the global fleet, getting the EEXI certification for a ship may mean applying technical modifications, primarily through engine power limitation (EPL) or shaft power limitation (SHAPOLI).

The new EEXI Transition Clause can be used in both existing and future time charter parties. It addresses the relationship between shipowners and charterers in the context of compliance with the new regulation where technical modifications and logical amendments to charter party descriptions and warranties are required.

As the shipping industry is facing more regulation aimed at reducing shipping’s CO2 emissions going forward, the need for new contracts and clauses is increasing.

“The upcoming regulatory changes will impact the way ships can be operated in the future and require a new approach to the contractual relationship between owners and charterers,” says Peter Eckhardt of German shipowner F. Laeisz, who heads the drafting team.

Bimco Deputy Secretary General moving to Singapore | Seatrade Maritime

“In addition to EEXI, we are also developing clauses for emissions trading systems (ETS) and the carbon intensity indicator (CII) regime to meet the future challenges for the industry,” says Søren Larsen, Deputy Secretary-General at BIMCO.

The EEXI Transition Clause for Time Charter Parties has been developed by a team of experts and can be found together with accompanying explanatory notes here.

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on another side, BIMCO has appointed Niels Rasmussen as its new Chief Shipping Analyst.

“I am excited to join BIMCO and look forward to contributing to the industry’s understanding of market developments – from supply chain issues to challenges caused by the pandemic. I also look forward to working with the rest of the BIMCO team,” says Rasmussen.

BIMCO’s mission

Two-minute film from Bimco to raise shipping awareness – Robban Assafina – MENA Maritime Shipping, Ships & Marine Technology Magazine – مجلّة ربّان السفينة

BIMCO’s mission is to be at the forefront of global developments in shipping, providing expert knowledge and practical advice to safeguard and add value to our members’ businesses and our vision is to be the chosen partner trusted to provide leadership to the global shipping industry.

BIMCO has NGO status with offices in Copenhagen, Singapore, Shanghai, Athens, and London and our members range from the largest shipowners in the world to small local port agents and law firms.

As the largest direct entry shipping organization with 1,900 members in more than 130 countries, the BIMCO membership represents 60% of the world cargo fleet (measured by tonnage – the weight of the unloaded ships). Our ambition is to help build a resilient industry in a sustainable future whilst protecting world trade through helping manage the risk to our members, and therefore shipping, in a changing world.

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