Growing armada shipping sanctioned oil burns dirty fuel in a setback for clean-up efforts | The Business Standard
Skip to main content
  • Latest
  • Economy
    • Banking
    • Stocks
    • Industry
    • Analysis
    • Bazaar
    • RMG
    • Corporates
    • Aviation
  • Videos
    • TBS Today
    • TBS Stories
    • TBS World
    • News of the day
    • TBS Programs
    • Podcast
    • Editor's Pick
  • World+Biz
  • Features
    • Panorama
    • The Big Picture
    • Pursuit
    • Habitat
    • Thoughts
    • Splash
    • Mode
    • Tech
    • Explorer
    • Brands
    • In Focus
    • Book Review
    • Earth
    • Food
    • Luxury
    • Wheels
  • Subscribe
    • Get the Paper
    • Epaper
    • GOVT. Ad
  • More
    • Sports
    • TBS Graduates
    • Bangladesh
    • Supplement
    • Infograph
    • Archive
    • Gallery
    • Long Read
    • Interviews
    • Offbeat
    • Magazine
    • Climate Change
    • Health
    • Cartoons
  • বাংলা
The Business Standard

Thursday
July 24, 2025

Sign In
Subscribe
  • Latest
  • Economy
    • Banking
    • Stocks
    • Industry
    • Analysis
    • Bazaar
    • RMG
    • Corporates
    • Aviation
  • Videos
    • TBS Today
    • TBS Stories
    • TBS World
    • News of the day
    • TBS Programs
    • Podcast
    • Editor's Pick
  • World+Biz
  • Features
    • Panorama
    • The Big Picture
    • Pursuit
    • Habitat
    • Thoughts
    • Splash
    • Mode
    • Tech
    • Explorer
    • Brands
    • In Focus
    • Book Review
    • Earth
    • Food
    • Luxury
    • Wheels
  • Subscribe
    • Get the Paper
    • Epaper
    • GOVT. Ad
  • More
    • Sports
    • TBS Graduates
    • Bangladesh
    • Supplement
    • Infograph
    • Archive
    • Gallery
    • Long Read
    • Interviews
    • Offbeat
    • Magazine
    • Climate Change
    • Health
    • Cartoons
  • বাংলা
THURSDAY, JULY 24, 2025
Growing armada shipping sanctioned oil burns dirty fuel in a setback for clean-up efforts

World+Biz

Reuters
29 May, 2024, 11:55 am
Last modified: 29 May, 2024, 11:58 am

Related News

  • EU's new Russia sanctions aim for more effective oil price cap
  • Oil tanker train back on track after 11 hours of derailment in Ctg
  • Body of missing oil tanker driver recovered from Ctg coast, family claims murder
  • US offers to ease sanctions on Russia in Ukraine peace proposal
  • White House seeks plan for possible Russia sanctions relief: sources

Growing armada shipping sanctioned oil burns dirty fuel in a setback for clean-up efforts

Hundreds of tankers that are transporting sanctioned oil are posing a challenge since they are hard to track because of their opaque ownership and use of non-Western insurance and other marine services, and they have little incentive to follow cleaner shipping standards

Reuters
29 May, 2024, 11:55 am
Last modified: 29 May, 2024, 11:58 am
A view shows oil pump jacks outside Almetyevsk in the Republic of Tatarstan, Russia June 4, 2023. Photo: REUTERS/Alexander Manzyuk/File Photo
A view shows oil pump jacks outside Almetyevsk in the Republic of Tatarstan, Russia June 4, 2023. Photo: REUTERS/Alexander Manzyuk/File Photo

The growing shadow fleet of tankers transporting sanctioned Iranian, Venezuelan and Russian oil is filling up with the cheapest fuel available, hindering industry efforts to use cleaner fuel to cut shipping emissions, according to shipping data and sources.

The global shipping industry is under increasing pressure to use cleaner fuel to reduce both carbon and sulphur dioxide emissions and other pollutants and meet broader green targets.

Hundreds of tankers that are transporting sanctioned oil are posing a challenge since they are hard to track because of their opaque ownership and use of non-Western insurance and other marine services, and they have little incentive to follow cleaner shipping standards.

The Business Standard Google News Keep updated, follow The Business Standard's Google news channel

"You're seeing greater numbers of ships that have found ways to circumvent sanctions by operating outside Western jurisdiction," said Michelle Wiese Bockmann, principal analyst with maritime data group Lloyd's List Intelligence.

"The dark fleet has gone on steroids. And the deceptive shipping practices that they're engaging in are getting more and more complex and sophisticated."

Those include dangerous ship-to-ship transfers of oil in international waters to avoid port state control scrutiny, falsifying ship identification numbers, tankers sending false information about their position, and the use of flag registries with lower standards of technical oversight and expertise, Bockmann said.

Lloyd's List Intelligence estimates the shadow fleet had grown to around 630 tankers from 530 a year ago, to make up 14.5% of the overall global tanker fleet.

Some industry estimates put the number even higher, at over 800 tankers. 

The numbers mark further rapid expansion following Moscow's invasion of Ukraine in 2022 and Western curbs on Russian energy exports, which has led to ships being hit with sanctions. 

Before the war, the shadow tanker fleet totalled around 280-300 vessels, according to Lloyd's List Intelligence.

Such growth has raised concerns about its environmental impact as well as safety and the effectiveness of sanctions, including a Western ban on shipment and trading of Russian oil priced above a $60 per barrel limit.

Under the so-called IMO 2020 convention adopted by the United Nations' International Maritime Organization (IMO), ships have to switch to low sulphur fuel from the higher sulphur fuel diesel the industry has used for decades.

NO 'SCRUBBERS'

Enforcement of these regulations designed to lower emissions is up to IMO member countries, which can levy fines or detain ships for non-compliance. In April, the IMO called on its members to increase inspections on vessels deemed to be shadow ships and toughen fines for any irregularities.

The IMO rules say ships can only burn high sulphur fuel if they have exhaust gas cleaning systems, known as scrubbers.

Shadow fleet tankers, however, can run on higher sulphur diesel - that is estimated to cost 20% less than the greener fuel - without checks unless they are stopped at ports enforcing the regulations, people familiar with the matter said.

"A lot of shadow vessels have no scrubbers but they buy high sulphur fuel oil when they are in Russia," one industry source said. "So, they are breaching the IMO's sulphur limit."

It is difficult to gauge the extent of non-compliance with IMO 2020 across the shadow fleet, but there has been a rise in cases of ships detained because of sulphur-related breaches. 

Port authorities in Europe and Asia detained at least 10 ships in the first five months of 2024 in connection with the convention, up from six in the same period last year and five for the whole of 2022, according to Reuters analysis based on data from port enforcement authorities. Of the 10 tankers detained, nine had made previous calls to Russia.

RUSSIAN, IRANIAN FUEL SUPPLIES

Russia and its partners in the Eurasian Economic Union, which includes Kazakhstan, Kyrgyzstan, Armenia and Belarus  agreed in December they would continue using high sulphur fuel until the end of 2026.

This means that ships can still get high sulphur fuel at ports servicing those countries, people involved in the fuel shipping trade say. 

Iran, another producer of high sulphur fuel, has supplied ships in the Middle East Gulf, the sources say. 

In one such operation, the Casinova tanker loaded such fuel at Iran's Bandar Imam Khomeini port in recent months, said Claire Jungman, chief of staff at UN advocacy group United Against Nuclear Iran, which tracks Iran-related tanker traffic via satellite data. The Casinova later transferred some of the fuel onto smaller ships waiting around the Basra Anchorage in southern Iraq, Jungman said. 

The vessel's Liberia based owner Le Monde Marine Services could not be reached for comment.

Casinova's ship insurer West P&I said it was in the process of cancelling the vessel's coverage after Reuters requested comment. 

Ship certifier ABS, which has provided safety cover for the Casinova, was investigating its activity, a spokesperson for the UN-headquartered company said.

"ABS treats every allegation and the subject of sanctions very seriously," the spokesperson said. "We remain committed to compliance with UN and UN sanctions regimes and all other applicable laws."

Agriculture

Oil Tanker / Sanctioned oil / Sanctions on Iran / sanctions on Russia

Comments

While most comments will be posted if they are on-topic and not abusive, moderation decisions are subjective. Published comments are readers’ own views and The Business Standard does not endorse any of the readers’ comments.

Top Stories

  •  ABM Khairul Haque. File Photo: Collected
    Former chief justice Khairul Haque detained
  • Infographics: TBS
    Stay orders won’t shield defaulters: BB governor 
  • Representational image/Reuters
    Dollar gets upward push as BB buys $10m more in auction at even higher rate

MOST VIEWED

  • Photo: Collected
    Bangladeshi man jailed for life in UK for murdering wife in front of their baby
  • Ctg port authority halts contractor recruitment for Kamalapur ICD operations for two months
    Ctg port authority halts contractor recruitment for Kamalapur ICD operations for two months
  • Fire at Cosmo School in Mirpur on 23 July 2025. Photo: TBS
    Fire breaks out at Cosmo School in Mirpur following generator explosion
  • Representational image. File Photo: Rajib Dhar/TBS
    Debate arises as edu adviser says postponed HSC exams of 22 and 24 July will be held on same day
  • The Government Seal of Bangladesh
    Govt mulls allowing trade unions with 20 workers, industry leaders warn of disorder
  • Photo: CA Press Wing
    Stronger stance needed on maintaining law and order: Political parties to CA

Related News

  • EU's new Russia sanctions aim for more effective oil price cap
  • Oil tanker train back on track after 11 hours of derailment in Ctg
  • Body of missing oil tanker driver recovered from Ctg coast, family claims murder
  • US offers to ease sanctions on Russia in Ukraine peace proposal
  • White House seeks plan for possible Russia sanctions relief: sources

Features

Photo: Collected

24 July: More than 1400 arrested, 3 missing coordinators found

10h | Panorama
Photo: Mehedi Hasan/TBS

Aggrieved nation left with questions as citizens rally to help at burn institute

1d | Panorama
Photo: Mehedi Hasan/TBS

Mourning turns into outrage as Milestone students seek truth and justice

1d | Panorama
Illustration: TBS

Uttara, Jatrabari, Savar and more: The killing fields that ran red with July martyrs’ blood

2d | Panorama

More Videos from TBS

Coca-Cola is launching a 'Trump version' made with cane sugar

Coca-Cola is launching a 'Trump version' made with cane sugar

1h | Others
ISPR reports 31 dead, official tally 29

ISPR reports 31 dead, official tally 29

11h | TBS Today
13 political parties meet with chief advisor; urge to announce election date

13 political parties meet with chief advisor; urge to announce election date

12h | TBS Today
Bangladesh and Pakistan unite to fight drugs

Bangladesh and Pakistan unite to fight drugs

12h | TBS Today
EMAIL US
contact@tbsnews.net
FOLLOW US
WHATSAPP
+880 1847416158
The Business Standard
  • About Us
  • Contact us
  • Sitemap
  • Advertisement
  • Privacy Policy
  • Comment Policy
Copyright © 2025
The Business Standard All rights reserved
Technical Partner: RSI Lab

Contact Us

The Business Standard

Main Office -4/A, Eskaton Garden, Dhaka- 1000

Phone: +8801847 416158 - 59

Send Opinion articles to - oped.tbs@gmail.com

For advertisement- sales@tbsnews.net