The Baltic and International Maritime Council (BIMCO) is developing a new clause to support biofuel use in time charters.
The new clause would address the challenges of integrating biofuels into time charters at a time of their increasing usage in the sector, the international shipping association said on 4 June.
A new subcommittee - comprising shipowners, charterers, P&I representatives and technical experts - would define the scope and standards of biofuels, clarifying how they would be supplied and handled, and ensuring their use was in line with performance expectations and regulatory obligations, BIMCO said.
The association said the new clause would also cover the practical realities of biofuel use, such as blending with conventional fuels, onboard storage, and the implications for speed and consumption warranties. By addressing these issues, BIMCO said it aimed to provide a flexible, yet robust, contractual solution that supported compliance without compromising vessel reliability.
The association said it expected to present a draft clause at its Documentary Committee meeting in October, adding that, once adopted, it would “offer much-needed clarity for charterers and owners navigating the transition to low-carbon operations”.
To ensure the clause reflected the practical needs and perspectives of the wider maritime community, BIMCO said it would also set up a forum comprising industry stakeholders to review and comment on the draft clause as it developed.
