With new IMO regulations on Energy Efficiency Existing Ship Index (EEXI) and Carbon Intensity Indicator (CII) taking effect in 2023, BSM’s Fleet Performance Centre is supporting ship owners’ efforts in reducing their vessels’ carbon impact.
Published on 27 Jul 2022
To meet ambitious decarbonisation targets set out for the shipping industry, the International Maritime Organization (IMO)’s Marine Environment Protection Committee (MEPC) passed two regulations aimed at minimising the sector’s carbon emissions and environmental impact last year – the Energy Efficiency Existing Ship Index and the Carbon Intensity Indicator.
What does this mean for shipowners worldwide? They are now finding that they must take urgent action or face operational restrictions or financial consequences. This is where ship managers like BSM can play a part in global carbon reduction efforts. Through a holistic process of vessel performance monitoring, decarbonisation management, data collection and data analytics managed out of BSM’s own Fleet Performance Centre (FPC), we are helping our clients navigate the complexities of these requirements that will come into force in 2023.
Anil Jacob, BSM’s Head of Fleet Performance says: “These new regulations call for a more proactive approach towards managing carbon intensity while encouraging data transparency. Our aim is to enable our crew, shipowners and charterers to make data driven decisions for most efficient vessel operations that reduces their environmental impact and comply with or even go beyond the requirements of international regulations. As a ship manager of choice, we want to be a trusted partner in our clients’ journey towards compliance, decarbonisation and even competitive agility.”
To meet these aims, BSM is rolling out a series of technical consultancy services and solutions to help owners in complying with EEXI and CII requirements. In addition, BSM has strengthened vessel performance capabilities at its FPC to include a state-of-the-art, central Fleet Monitoring Centre (FMC). At this 24/7 real-time performance monitoring facility, major fuel consumption contributors such as the hull, machinery, route, and weather are tracked to ensure voyage optimisation, CII compliance and increase vessel energy efficiency.
The EEXI is a measure introduced by the IMO to reduce the greenhouse gas emissions of in-service vessels over 400 gross tonnage and is related to the technical design of the ship.
To attain EEXI compliance, many shipowners and operators are now assessing their vessels’ energy consumption and carbon emissions and generating preliminary technical files in preparation of surveys for its International Energy Efficiency Certificate (IEEC) after 1 January 2023.
To help our clients determine their EEXI compliance status, BSM developed an in-house EEXI calculator to compute the required and attained EEXI values of our managed fleet and generate the corresponding EEXI Technical Files. BSM also offers consultancy services for clients who wish to improve their EEXI status, by working with them to review compliance gaps and identify suitable solutions specific to the vessel, based on data collected across the fleet and experience with other vessels. Our data-backed recommendations centre around technical and operational improvement methods for their ships.
The CII ratings scheme, on the other hand, determines ships’ operational carbon intensity on a performance scale of A, B, C, D or E. Under this mandatory measure, a ship rated D or E for three consecutive years will need to submit a corrective action plan to show how the required index rating (C or above) will be obtained. CII compliance improvement options could include voyage optimisation, just in time arrival management, continuous hull performance monitoring, speed optimization, switching to low-carbon fuels and retrofitting vessels with energy-efficient technology.
With this in mind, BSM developed a CII calculator adapted from MEPC guidelines and is integrated into its in-house ship management system, smartPAL. In 2021, BSM conducted preliminary assessments into the CII ratings of its entire fleet. This year, the FPC will release new tools to offer clients CII performance monitoring services. BSM will also be able to assist owners with vessel CII improvement investigations.
Jacob adds: “Ultimately, the EEXI and CII measures seek to develop a mindset of continuous benchmarking and improvement, such that it provides a case for vessel or operational modifications to bring down onboard carbon emissions. We believe that our capabilities at the Fleet Performance Centre will be of value to any ship owner, regardless of their fleet size.”
As part of our FPC, the Fleet Monitoring Centre monitors vessel operations and compliance 24/7. This state-of-the-art facility is supported by nautical and technical experts, and fleet performance analysts. The FMC offers decision support to crew, technical staff on shore and keeping the vessels operational. A dedicated fleet performance team models ships and builds a unique digital twin that enables comparison of ships’ actual performance to its ideal performance.
The FMC acts as a central support team for BSM fleet teams by aiming to improve the navigational and commercial aspects of vessels through three key areas:
Energy Efficiency: Increasing energy efficiency and ensuring CII compliance by monitoring major consumption contributors, such as the main engine, auxiliary engines, boilers and cargo equipment.
Operational Risk Mitigation: Assisting fleet teams to prevent any emergencies through weather warnings and routing, emissions area monitoring, canal transits and piracy area monitoring.
Voyage Optimization Support: The FMC can enhance the commercial performance of managed vessels through voyage planning and tracking and post-voyage analysis.
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