SMM 2024: Lloyd's Register unveils EU ETS risk manager

Lloyd’s Register’s (LR) OneOcean has introduced Risk Manager, which supports shipowners, operators and charterers in ensuring they remain compliant with the European Union’s Emissions Trading System (ETS).

This digital platform can be used to calculate, simulate, plan and monitor exposure to EU ETS and future environmental regulations.

LR OneOcean vice president for product and technology development, Barry Hooper, told Riviera at the SMM exhibition that this platform can simulate voyages using different operational profiles and parameters for ships over 5,000 gt to estimate ETS allowances.

"Charterers and owners can agree EU allowances before the start of the voyage, then as the ship sails, monitor the fuel consumption," he said.

Owners, operators and charterers can see their EU ETS exposure in advance and buy futures to mitigate the risk. When the voyage is completed, they can verify emissions and settle within the charterparty the EU allowance.

Risk Manager can also aggregate multiple voyages within an organisation and has the ability to transfer historical transactions, said Mr Hooper. It will soon support wider Fit for 55 requirements, including FuelEU compliance.