The BIMCO Documentary Committee has introduced a FuelEU Maritime Clause and an ETS Clause for inclusion in Memoranda of Agreements (MoAs) related to ship sales and purchases. These clauses are designed to address the complexities of the FuelEU Maritime Regulation and the EU Emissions Trading System (EU ETS), providing clarity and certainty for both buyers and sellers throughout the transaction process.
Stinne Taiger Ivø, BIMCO’s Deputy Secretary General and Director of Contracts, emphasized the importance of contractual clarity in light of evolving regulations that are reshaping the maritime industry. The new clauses clearly outline the responsibilities, costs, and data-sharing obligations under existing regulatory frameworks, while also accommodating future emission trading schemes.
The FuelEU Maritime Clause establishes seller responsibilities to ensure compliance at the time of ship delivery. It includes provisions for disclosing verified compliance balances and mechanisms for price adjustments based on compliance outcomes. Buyers take on full FuelEU compliance responsibilities upon delivery, including rights related to compliance balances.
Similarly, the ETS Clause outlines responsibilities regarding greenhouse gas emission allowances during transactions. Sellers must fulfill reporting requirements and submit a verified emission report post-delivery, while buyers assume responsibility for allowances from that point onward. This clause also includes indemnity provisions to protect buyers from liabilities arising from sellers’ non-compliance, ensuring fairness in the transaction.
Share it now
