The long-postponed bunkering service, touted by the Mohamed Muizzu administration to expand the Maldives economy by US$400 million annually, finally launched on Thursday. The service was inaugurated by Minister of Economic Development and Trade Mohamed Saeed, and five Members of Parliament representing the region, during an event at Hoarafushi Island in Haa Alifu (HA.) Atoll.
The service launched with the refuelling of YC Barrier, a vessel operated by State Trading Organization (STO) subsidiary Maldives State Shipping (MSS). The vessel, which has a carrying capacity of 1,100 containers and consumes 200 tonnes of fuel per month, had previously obtained bunkering services at Colombo.
The Maldives’ floating bunkering service has been launched through the use of two Bunkering Tankers; the 3,258-tonne MT Angel and the 3,939-tonne MT Marine Bella. According to STO, these vessels are purpose-built for bunkering, and both tankers have been deployed under a bareboat charter—a bareboat charter is typically an arrangement for the hiring of a vessel without crew or provisions included as part of the agreement.
In addition to bunkering, the operation will provide crew change services, procurement and installation of spare parts for ships, and clean drinking water.
The main backbone of the services will be provided by Vitol and STO. Vitol, a Switzerland-based Dutch multinational energy company with a proven track record in the sector, also provides bunkering services out of Singapore, the United Arab Emirates (UAE), and Mauritius. Vitol will be responsible for supplying fuel to the bunkers and promoting the Maldives as a bunkering hub.
According to STO, the channel where the services have been established is a waypoint for over 300 vessel crossings per month through the Maldives’ waters on their way to various destinations across the globe. Even if one percent of the traffic through the channel is served, the economy could stand to reap huge rewards, the company said.
When initially announced that the state-owned STO would be expanding its ventures to include bunkering, services were touted to launch in February. The launch was then pushed back to July when it was again delayed until August.
According to Saeed, the proposed August launch date was not met due to bad weather delaying the arrival of two tankers essential for service deployment. The launch was eventually rescheduled to 12 September, with services finally launching today.