In this short video, Valuation Analyst Oliver Kirkham introduces his latest whitepaper where he uncovers new insights into how CII and EEXI regulations are shaping bulker fleet efficiency amid strong market conditions. As the shipping industry strives to meet more stringent carbon emissions standards, Oliver examines some of the key strategies ship owners are adopting to stay compliant and competitive.
The whitepaper identifies a 6% improvement in average AER figures among bulk carriers from 2019-2023, the most recent complete reporting year. This appears to be driven largely by reduced vessel speeds and more efficient energy use. Despite longer voyages and high demand, bulker fleets are finding ways to cut emissions and improve ratings. With the enforcement of financial penalties for excess emissions, many operators are also upgrading their vessels with Energy Saving Devices (ESDs) and Engine Power Limitations (EPLs) to stay ahead.
Oliver also takes a view on the future for the bulk sector, questioning whether older vessels can keep up as more eco-efficient ships take the lead, further reinforced by other regulatory instruments like the EU Emissions Trading Scheme.
About Oliver Kirkham
Oliver is a Valuation and Efficiency Analyst at Veson Nautical. He is a qualified Master Mariner and holds an MSc in Shipping and Logistics from Newcastle University, UK. Before working for Veson Nautical, Oliver was a seafarer, working onboard various passenger and cargo ships as a navigation officer over the course of 9 years.
Dr Alex Adamou