NNPC Claims has recently seen an increase in bunker quality disputes. The disruption to normal bunker supply arrangements following the situation in and around the Strait of Hormuz has further highlighted the importance of careful bunker procurement, clear contractual arrangements and proper handling of suspected fuel quality issues.
Bunker quality disputes can become particularly complex where several parties and charterparties are involved. For Shipowners, these considerations remain relevant even where Charterers are responsible for supplying the bunkers. Members acting as Time Charterers should in particular ensure that, where possible, the bunker provisions in any head and sub-charter parties are consistent, as differences between these provisions may create uncertainty when a quality dispute arises.
Before bunkers are ordered, Members should identify the agreed fuel specification, the applicable edition of ISO 8217 and the contractual requirements concerning sampling, testing and dispute resolution. The bunker supplier’s terms and conditions should also be reviewed carefully, as these may contain separate and sometimes short time bars for notifying or pursuing quality claims.
If a bunker quality issue is suspected, Members should act promptly and notify the relevant parties in accordance with the applicable contractual requirements. Representative bunker samples, BDNs, laboratory results and relevant onboard records should be preserved. Where appropriate, joint sampling or testing by an independent laboratory may help establish a common factual basis between the parties.
The crew should follow the vessel’s bunker procedures and carefully record any abnormal engine or fuel-system behaviour. Any decision to continue using suspected off-specification bunkers should be approached cautiously and, where appropriate, based on technical advice, taking into account the potential risk to the vessel and her machinery.
Bunker quality disputes may develop into wider claims involving machinery damage, loss of propulsion, off-hire or delays. Early involvement of the Club can assist Members in preserving evidence, complying with contractual requirements and coordinating appropriate technical or laboratory assistance.
NNPC continues to monitor developments in bunker quality and related claims. Members with questions regarding bunker procurement, contractual arrangements or a suspected bunker quality dispute can contact the NNPC Claims team 24/7 at claims@nnpc-marine.com or +31 (0)50 5343211.
