BIMCO publishes new biofuel clause for time-charter parties
- BIMCO
- Jun 19
- 1 min read
The Baltic and International Maritime Council (BIMCO) announced June 11 the publication of its new biofuel clause for time-charter parties to address legal and operational challenges as the use of low-carbon fuels in shipping increases.
As the shipping industry decarbonizes, regulatory frameworks reshape companies’ fuel strategies.
The integration of biofuels into charter-party agreements is complex, however, and often raises questions around fuel quality, engine compatibility and liability.
The clause provides clear definitions, agreed fuel specifications aligned with International Organization for Standardization (ISO) standards and a structured process for sampling, testing, storage and handling of biofuels.
It also offers mechanisms for performance adjustments when fuels with different calorific values are used and ensures fair adjustment of existing speed and consumption warranties under the charter party.
To view BIMCO’s new biofuel clause for time-charter parties, click here.
