Matson says on schedule to meet IMO 2020 emission regulation
Matson has begun the installation of state-of-the-art exhaust gas cleaning systems on six vessels deployed in its Hawaii and China-Long Beach Express services as part of its strategy to reduce fleet emissions in line with new worldwide regulations established by the International Maritime Organization that take effect on January 1, 2020. Three of the vessels will receive the new equipment in 2019 and the remaining three in 2020. While new low-sulfur fuels designed to meet the new IMO emission standard have been in development for years in anticipation of the change, there is still uncertainty about their costs and availability. Liquefied Natural Gas is an alternative, but the infrastructure for production and distribution remains insufficient to support Matson's operations in the Pacific. With the deployment of dual-fuel engines in new ships and scrubbers in additional vessels, Matson will be able to meet or exceed the IMO 2020 emission standard while mitigating the expected higher cost of low-sulfur fuel over more than half of its current fleet.