ROI estimation for SOx scrubber projects (10Jul2016)

As SOx scrubber installation and operation are costly projects requiring heavy investment, knowing what to spend and what to save. For this purpose, STI provides ROI (Return of Investment) estimation for the SOx scrubber installation project for clients. There are some parameters to be given from the client. Following is the list,

  • Bunker price (especially the difference between LSF and HSF matters)
  • Annual fuel consumption (to be divided by the time spent within and outside of SECA)

 

Once above parameters are given,  estimation for the scrubber sizing and related project cost can be made. From the sizing and system configuration, estimation of operating cost including consumables and additional power consumption can be made. For the general maintenance cost for the scrubber system, STI usually sets as 5% of the initial equipment cost, but this is purely superficial number that can clients can adjusted based on the experience or company guidelines.

 

STI has generated lots of ROI estimations for various clients, and usual ROI is 1~2 years from installation. For some big ships, the ROI is less and ships with small engines has longer ROI period.

 

Please feel free to contact STI to get initial project estimation for SOx scrubber installation and operation on your fleet.

 

10 July 2016, STI

Bunker price vs. ROI estimation for SOx scrubbers (30Jun2016)

Bunker price between high sulfur fuel and low sulfur fuel has been always significant.

  • Price difference was USD150 in Jan 2016, and is USD200 at the end of June 2016.
  • The ratio (=(LS-HS)/HS) was 100% when the price level the lowest in Jan 2016, and is 80% at the end of June 2016.

 

Whether the bunker price is low or high, price difference between HSF and LSF always exists. Installation of scrubber systems has been always an option for ship owners operating in SECA. The only difference is the Return of Investment (ROI) period that is set by the “Fuel Price Difference” and “Equipment/Installation/Maintenance Cost”.

 

SOx scrubber system from STI has always been a practical option for shipowners to stick to burning HSF in SECA while complying with the MEPC requirements, which has been due to the competitive equipment cost and lower installation cost.

 

STI welcomes any inquiries for ROI estimation for ships operating fully or partially in SECA. STI can generate ROI estimation for specific ships when we are given with some information from shipping companies like,

 

  • Engine power (kW)
  • Time spent in SECA per year (hour)
  • Voyage time per year (hour)

 

Please feel free to contact STI for above inquiries as well as inquiries for scrubber systems in general. scrubber@simulationtech.co.kr

 

30 June 2016. STI