Skip Vaccarello

In this issue of AWT Insights, our experts address two very important questions:

1) What is the best way for vessels to attain maximum fuel efficiency, and

2) What are the implications for charterers and owners with regard to the charter party term "without guarantee"?

The question of fuel efficiency is written by George Schlinkert, AWT's VP of Operations, who has 30 years experience in the industry. He specifically addresses the assertion that "fixed RPM" is the best way for a master to save fuel.

In the second article, Jim Sigafoose, AWT's marine claims expert, discusses the charter party term, "Without Guarantee" and its implications for owners and charterers in negotiating and arbitrating claims. In this article, Jim draws on presentations by London arbitrators and legal experts at a recent AWT-sponsored conference in Beijing.

Enjoy reading these insightful articles! We welcome your feedback.

Thank you,
Skip Vaccarello

George Schlinkert

Does Fixed RPM Actually Deliver Reduced Fuel Consumption? by George Schlinkert

Attaining optimum fuel consumption on a voyage is a complex issue. In liner shipping, vessels are, ideally, to maintain the schedule with minimum fuel consumption. Is this attained by setting a fixed RPM for a voyage? Or, is it most favorable to consider a full set of parameters? AWT offers a service that provides both the optimum route and speed setting in combination to realize reduced fuel consumption, as both depend on each other.

AWT takes into consideration the full set of parameters to determine the speed setting, including the season and sailing area, weather forecast, remaining voyage time and the vessel's speed reserve. Furthermore, AWT accounts for potential power reductions in unavoidable heavy weather conditions ahead.

The AWT solution lets ship Captains know the speed-loss to be expected during the voyage and suggests a calm sea speed setting. AWT updates the speed suggestion on a regular basis. As a result, ship Captains and Chief Engineers can then operate their vessel in the most safe and efficient manner.

What is the advantage of the approach adopted by AWT? read more >

Jim Sigafoose

Without Guarantee by Jim Sigafoose

The term "Without Guarantee" (WOG) often has been used in charter party agreements in relation to the duration of the charter period. A previous arbitration award decided that this term meant that the party making that duration description was not offering a promise or a commitment, but was merely presenting a statement made in good faith. Good faith is ruled to mean simply that the party had an honest belief in the statement at the time it was made.

However, this WOG term is now also being increasingly seen in charter parties in connection with the vessel's description. For example, at the end of the list of ship's particulars there will be a qualifying statement "all details about without guarantee." While it can be argued that this qualifier would not apply to specific terms such as the number of holds in the vessel, how does it apply to less definite terms such as speed and consumption?

This question was posed to a panel of renowned London arbitrators and maritime legal experts that was assembled in Beijing at the recent AWT-hosted workshop on "Shipping Operational Disputes."
read more >

BonVoyage System

Marine voyage optimization system provides 24/7 on-board weather…
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BonVoyage System & Ship Routing

The combination of BonVoyage System & AWT's ship routing services…more >

Fleet Management

Quickly monitor your fleet & ensure they are operating efficiently & safely…
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Ship Routing – Earliest Arrival

Our weather routing experts recomend the optimum route analyzing… more >

Ship Routing – Fuel Optimization

Improve schedule integrity & minimize fleet's fuel consumption… more >

Tracking/Polling

Tracking & automated satellite position polling service locates vessels…
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Offshore Support

Pre-departure route planning & forecasting en-route… more >

Arbitration Support &
Forensic Studies

AWT has prepared numerous reports for use in arbitration & legal venues…
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AWT (www.awtworldwide.com) is the leading provider of fleet optimization services, ship routing services and onboard voyage management software to ship owners, operators and charterers seeking the safest and most efficient routes for their fleets. Unlike companies that provide weather services for multiple industries, or companies which only offer onboard weather software, AWT is staffed by world-renown experts in ship routing, meteorology, IT, maritime science and former mariners who are focused solely on the maritime industry. Using the most sophisticated technology available, AWT routes more ships per month than any other company. Its superior customer service and integrity have made AWT the most trusted fleet optimization provider in the maritime industry. Founded in 1996, AWT is privately held and headquartered in Sunnyvale, California with worldwide offices located in the UK, Hong Kong, Shanghai, Korea, Germany, New York, and New Jersey. More information is available at www.awtworldwide.com or by calling 1-408-731-8600.