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Shippers fined $440K for violating fuel regulation.  

Release #:13-47
Date:8/12/2013

ARB PIO: (916) 322-2990
CONTACT:

Karen Caesar
626-575-6728
kcaesar@arb.ca.gov

Shippers fined $440K for violating fuel regulation 

Ocean-going vessels must use cleaner diesel within Regulated
California Waters

SACRAMENTO - The California Air Resources Board has fined three
international shipping companies a combined $440,250 for failure
to switch from dirty “bunker” fuel to cleaner, low-sulfur marine
distillate fuel upon entering Regulated California Waters, as
required by state law.

“Ships en route to California ports emit thousands of tons of
diesel exhaust each year,” said ARB Enforcement Chief Jim Ryden.

“Our regulation requiring ocean-going vessels to switch to
cleaner fuel within 24 nautical miles of our shoreline protects
all California residents, especially those in port communities,
from this air pollution.”

An ARB investigation showed that on 17 visits to California ports
between November 6, 2009 and July 18, 2011, the vessel Hoegh
Inchon operated its main engines within Regulated California
Waters on bunker fuel, a dirtier fuel oil that contributes to
onshore pollution levels of diesel particulate matter, sulfur
oxides and nitrogen oxides.  The parent company, Hoegh Autoliners
Shipping AS Co. of Oslo, Norway, was fined $299,500.

In February 2013, prior to docking at the Ports of Stockton and
Long Beach, the Ikan Bawal was cited for failing to switch its
engines over to the required cleaner fuel while operating within
Regulated California Waters. Its owner, N.C.N Corporation Panama,
was fined $87,750.

In August 2012, after it docked at the Port of Los Angeles, the
vessel K-Pluto was also cited for failing to switch to the
required cleaner fuel while operating within Regulated California
Waters.  Its parent company, Twin Phoenix Shipping S.A. of
Singapore, was fined $53,000.

All three companies complied with ARB’s investigation and agreed
to abide by all pertinent ARB regulations, follow fuel switchover
requirements, and keep accurate records. The fines go to the
California Air Pollution Control Fund to support air quality
research,

The ARB conducts over 500 ship inspections each year, checking
for proper fuel usage, record-keeping and other compliance
requirements, and takes marine gas oil or marine diesel oil
samples for submission to the ARB laboratory to ensure they meet
California standards for sulfur. 

Compliance rates with ARB’s Ocean-going Vessel Regulation,
adopted in 2008, is very high, hovering around 95 percent. The
measure eliminates 15 tons of diesel particulate matter– a known
carcinogen - daily from ocean-going vessels’ exhaust.  The
regulation is considered a vital tool in helping to reduce cancer
rates and premature deaths for those who live near the state’s
busy ports and trade corridors. 
 
Diesel exhaust contains a variety of harmful gases and over 40
other known cancer-causing compounds. In 1998, California
identified diesel particulate matter as a toxic air contaminant
based on its potential to cause cancer, premature death and other
health problems.

ARB's mission is to promote and protect public health, welfare,
and ecological resources through effective reduction of air
pollutants while recognizing and considering effects on the
economy. The ARB oversees all air pollution control efforts in
California to attain and maintain health based air quality
standards.