World Bunkering > News > Winter 2009 > Challenges and opportunities

Chris Fisher

For most IBIA members the Convention at the Rasa Sentosa Resort took just up two or, if they stayed for the golf, three days of their working schedules. For the team that put IBIA 2009 together it has accounted for a much bigger chunk of the past 12 months or so. IBIA Chairman Chris Fisher was not only a key member of the team that organised the event but he also spent a full five days working hard during the Convention week itself.

Well before most delegates had arrived he was busy delivering a two-day IBIA Advanced Bunker Course to a packed lecture room. Then he chaired most of the Convention itself and presented the results of a membership survey on qualifications during the final session. World Bunkering spotted him taking a breather before the last afternoon’s Board meeting and pounced with a list of questions.

DH: You are now roughly halfway through your chairmanship. What did you set out to achieve and how do you see IBIA progressing?

CF: Actually, as vice chairman, I was working closely with the then chairman Fritz Fredriksen to push the major changes that have taken place in the way IBIA is run a whole year before I became chairman. Working with him for a year was a great advantage. I was able to gain a good understanding of where we should be going as an association.

So there was a consensus that IBIA needed to change?

Yes, but the devil was in the detail. There were lots of issues to work through. We took a lot of advice and care in designing the new governance structure. This all took a lot of time but under Fritz we put together a package of changes that can take the association forward.

So what do you see as your main role now as chairman?

It is to support Ian Adams, who has become chief executive in the new structure, with more authority over day-to-day matters. Council has had to ensure the secretariat has the means to carry out its various tasks. For example, we have arranged for somebody with experience of IMO to assist Ian there. Often Ian needs to be in a working group but something that effects IBIA may arise in plenary and we need somebody to monitor that.

And sometimes Ian’s duties mean he has to be somewhere else entirely. We can now cover that. Our consultative status at IMO has already proved invaluable. On a number of occasions we have been able to ensure new regulations did not harm the bunkering industry. Another area where the secretariat has taken on additional responsibilities is running the Annual Convention, with Anne Chambers becoming events manager.

Are you happy with the way this first in-house organised Convention at Singapore has worked out?

Yes, it has been a very successful event. There were of course things said for and against taking on the running of our Convention. It has meant a lot of effort by all involved in putting everything together. Inevitably there have been lessons learnt that will help next year in Connecticut. Overall, though, there is no doubt our first in-house run Convention has been a major success. IBIA 2009 was very well supported.

You only needed to look at the packed hall. And I was particularly pleased to see that the speakers were addressing a full house right to the very end. Most delegates attended all sessions. That is a sign of a good event and shows that the programme was what delegates wanted. A lot of effort went into getting the programme right. All involved in this event deserve a vote of thanks.

What else do you wish to see IBIA achieve under your chairmanship?

Education and training is an area that we have been very involved in for a long time. We have now been told clearly by the membership that they want IBIA to provide qualifications. Now we have a lot of work to do it. It is a big project. You could tell that from some of the comments from the floor at this Convention.

What we are planning is that IBIA will work with existing training establishments to ensure that the proper examination material subjects are included, to the level required. IBIA would then recommend appropriate training programmes for students wishing to take the examinations. And IBIA would select an existing, professional third party to provide facilities on a global basis for students to sit the examinations under controlled conditions.

We want to keep the cost of the examination and qualification process as low as possible by providing examination facilities in as many locations around the world as we can. This will keep student travel costs down. The examination fee should be modest; sufficient to cover venue costs, invigilation and certification. We know what we need to do in general terms. Now we have got to get something that works up and running.

Difficult times: ships lying off (and laid up) in Singapore

IBIA may have just enjoyed a good Convention but these are very difficult times for the shipping and bunkering industries and most of the presentations on economic and commercial issues were decidedly gloomy. What is your take on the situation?

Well, clearly this is not a happy situation. The bunker industry is driven by the shipping industry and the slowdown in consumer demand means we have too many ships and not enough cargo. That has to impact on the bunkering industry and indeed in most bunkering ports volumes are down sharply.

What do you see as being the biggest challenge facing bunker suppliers?

It has got to be managing credit risks. With many owners under great pressure, that has become a very difficult area. But we must remember that bunkering is a relationship-based industry. As mentioned during the Convention, I believe that if you look after your good customers during the bad times they will be even better customers when the good times return.

Do you see this as a time of major consolidation in the industry?

I wouldn’t go as far as that, but clearly some large independents might see opportunities for expansion.

During the Convention you mentioned your experiences of laying up VLCCs in an earlier global downturn and you noted other similarities to the situation then, with many of the same problems being debated. So have we been here before?

This time is worse. We have a seriously full newbuildings orderbook now and the prospects for scrapping are limited. And everybody seems to agree that there won’t be a marked increase in consumer demand.

And of course environmental issues will not go away.

Environmental considerations will continue to be top of the agenda and IBIA will continue to be closely involved, particularly at IMO, and also to engage with the European Commission on environmental issues. We want to see consistent international regulation. IBIA will need to keep a close watch on developments on emission control, for example, over the next few years.

So a tough time ahead?

Yes, but I think we can take away a positive message from Singapore. The bunker industry is resilient and working hard to improve even in the difficult times. True, there are a lot of challenges ahead but also many opportunities.