STOCKS | Rotterdam Marine Biodiesel Falls Below Conventional Ship Fuel

Marine biodiesel prices for shipping fell to a record low this week and are now below most conventional marine fuels. According to Sina Finance, Argus data showed the alternative fuel in Rotterdam dropped to as low as $985 per metric ton on Monday, while marine gas oil rose to $1,528.50 per metric ton this week. Argus said that when EU marine fuel carbon compliance costs and maritime carbon allowance prices are included, biodiesel is cheaper than nearly all conventional marine fuels. Analysts said the rare price reversal could accelerate shipping's adoption of cleaner biofuels as emissions rules tighten. Madeline Jenkins, Argus' European biofuels pricing specialist, said the new development would prompt shipowners to rethink fuel strategies. Jason Stefanatos, global decarbonization director at DNV, said biofuels are essentially a plug-and-play solution and that most modern marine engines need little modification to burn them.