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A broad tightening of international standards for marine bunkers “has the potential to significantly lighten the demand barrel” by 2020, the International Energy Agency (IEA) says in its Medium Term Oil Market Report 2015, released on 10 February. The IEA says new rules will require up to 2.2mn b/d of residual fuel oil demand to switch to lower sulfur marine gasoil.
From the start of 2015 a cap of 0.1% has been set for the sulfur content of vessel emissions in a number of coastal emission control areas (ECAs) in the Americas and Europe. From the start of 2020 the International Maritime Organization (IMO) plans to reduce the sulfur limit worldwide to 0.5% from the current 3.5%.
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