Environmental Regulation

Environmental regulations will be strengthened sequentially in the future in the international shipping industry.The NYK Group ensures compliance with regulations and furthermore pursues a variety of initiatives to simultaneously realize safe vessel operations and environmental preservation.

Three Issues to Address

Three Issues to Address

Environmental Regulation Trends

To ensure compliance with the various environmental regulations in effect, the NYK Group also works to research, develop, and adopt cutting-edge technologies, make the most of vessel IoT and big data, and thereby make operations and allocation procedures more efficient.

Timeline: Environmental Regulations

Timeline: Environmental Regulations
  1. *1GHG : Greenhouse gases (GHGs) including carbon dioxide (CO2), methane (CH4), nitrous oxide (N2O), hydrofluorocarbons (HFCs), perfluorocarbons (PFCs), sulphur hexafluoride (SF6), etc.
  2. *2EEDI : The Energy Efficiency Design Index is a formula for measuring a ship's CO2 emissions per ton-mile, based on the design of the ship being built, incorporating various parameters.
  3. *3SEEMP : The Ship Energy Efficiency Management Plan (SEEMP) is an operational plan for improving energy efficiency on a voyage-specific basis.
  4. *4DCS : Shipping firms use a data collection system (DCS) to report to the IMO on fuel consumption, distance traveled, and time spent at sea for all vessels of 5,000 gross tonnage or above operating internationally.
  5. *5SOx regulations : Regulations for the percentage of sulfur content in fuel oil, in order to reduce SOx volume in exhaust gas
  6. *6NOx regulations : Staged regulations for NOx volume in engine exhaust gas
    Tier I regulations: Regulations for emissions based on rated speed of engines for ships constructed between 2000 and 2010.
    Tier II regulations: Mandates 20% reductions from Tier I regulations for ships constructed after 2011.
    Tier III regulations: The start year for these regulations differs by covered sea area and they come into effect in two stages, the first in 2016 and the second in 2021.
  7. *7Ballast Convention : After it came into effect in September 2017, this convention mandated that ballast water-processing equipment should be installed on ships by a certain deadline, depending on the type of ship, to prevent the spread of living organisms and some pathogenic bacteria from one region to another.
  8. *8Ship recycling : This convention aims to control labor accidents and environmental pollution when ships are dismantled (scrapped). It is effective 24 months after conditions are met.

Preventing Air Pollution

SOx

The burning of fuel that contains sulphur results in the emission of sulphur oxide compounds (SOx).
IMO regulations aimed at reducing SOx emissions from vessels have come into force over the past several years.
In emission control areas in Europe, the U.S., and Canada - which are subject to even stricter regulations - the upper limit on sulphur concentration was lowered from 1.0% to 0.1%. The IMO has decided to apply stricter regulations, and is lower upper limits on sulphur concentration to 0.5% at sea.

To comply with these regulations, the Group considered the optimal method for each vessel of three options: using oil that complies with the regulations (low-sulphur fuel oil), installing an SOx scrubber (system for desulphurizing exhaust gas), or converting to LNG or other fuels. To ensure a safe and smooth switch to low-sulphur fuel oil beginning in January 2020, the Group done an internal project for sharing information on the timing and key points to note during the switch while also verifying the impact the compliant fuel oil. Our operating ships are operated well and no confused fuel oil supply.

NOx

Bunker oil, when burned, generates nitrogen oxide (NOx) compounds, which are greenhouse gases.
International Maritime Organization (IMO) regulations aimed at reducing vessels' NOx emissions have been in effect for several years, with the Tier II requirements becoming effective from 2011.
Furthermore, in the ECAs of the U.S. and Canada, vessels constructed on or after 1 January 2016 must comply with Tier III requirements. And in the ECAs of Europe, vessels constructed on or after 1 January 2021 must comply with Tier III requirements.

Preventing Global Warming

SEEMP (Ship Energy Efficiency Management Plans)

This requirement related to reducing the greenhouse gas emissions from ships was adopted in July 2011 and requires all vessels to retain a SEEMP on board.
Every vessel makes Ship Energy Efficiency Management Plans before the start of each voyage.
Vessels operate accord to the SEEMP and review the plan after completing the voyage.
A SEEMP is one of the tools to carry out the PDCA cycle for efficient operation.

DCS (Data Collection System)

A data collection system (DCS) for the reporting and certification of data, such as fuel consumption, has been adopted, and will include existing ships.
The collection and reporting of related data will be obligatory from 2019.

Environmental Preservation

Ballast Water Management Convention

"The International Convention for the Control and Management of Ships' Ballast Water and Sediments (Ballast Water Management Convention)" entered into force on 8 September 2017 by the IMO (International Maritime Organization). To prevent harmful aquatic organisms and pathogens from cross-border transfer, each vessel will be required to have a Ballast Water Management System installed.

Ship Recycling

To minimize industrial accidents and environmental pollution when ships are dismantled, the IMO adopted a ship-recycling convention in 2009.
With a view to the convention's entry into force, countries worldwide are progressing towards ratification.
When this regulation enters into force, all vessels will be required to keep the Inventory of Hazardous Materials (IHM) on board. The IHM indicates the location and volume of hazardous materials on the vessel.