First FuelEU Maritime Exchange Platform Launched in Singapore for Efficient Compliance Trading

Hecla Emissions Management, a collaboration between Wilhelmsen Ship Management and Affinity Shipping LLP, has introduced the FuelEU Maritime Exchange (FME) platform in Singapore on September 26, 2024. This platform is the first of its kind in the shipping industry, designed to facilitate secure trading of FuelEU Maritime compliance balances to promote the adoption of alternative fuels. By tokenizing and transferring compliance balances on a digital ledger based on blockchain principles, users can trade balances on a ‘per voyage’ basis, eliminating the need to wait until the end of the compliance period.

The FuelEU Maritime regulation, effective from January 1, 2025, mandates that vessels over 5,000 GT calling EU ports report the carbon intensity of their fuels. Vessels exceeding the fuel carbon intensity target will face compliance deficits and potential penalties, requiring them to borrow balances or pool with compliant vessels. The FME aims to address the lack of infrastructure for trading compliance balances, providing a solution for companies seeking compliance surplus externally to avoid penalties.

Established in 2023, Hecla Emissions Management has emerged as a leader in environmental compliance, managing EU ETS compliance for numerous clients and vessels across the shipping industry. With the launch of the FuelEU Maritime Exchange, Hecla continues to pioneer solutions that assist the shipping industry in navigating complex regulations.

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