A haulier fears customers will be hit by a hike in ferry costs when a more green-friendly fuel oil is brought in.

From January, all ships operating anywhere in the world will be required to reduce their sulphur emissions to just 0.5%.

This will significantly increase fuel costs, part of which is likely to be passed onto customers. Seatruck, for example, has announced it is introducing a low sulphur surcharge.

John Quaye, chairman of Manx Independent Carriers, says he is awaiting confirmation from the Steam Packet Company so he can calculate the impact on his customers’ rates.

But he believes the switch to low sulphur Marine Gas Oil, which is 61% more expensive than the fuel currently used on the Ben-my-Chree, could add £54 to the round trip cost for a standard trailer.

He said: ’The information we have been given is that the low sulphur cost will be added to the existing fuel surcharge and is likely to be in the region of a £2 per metre addition.

’This will fluctuate with world markets. We will have no alternative but to apply this increase across the board to our customers. At £2 per metre it will add about £54 to a 13.6 metre trailer load, round trip.’

He said once the Packet applies its annual inflation increase on January 1, the total extra cost could be in the region of 4-5%.

The Steam Packet said the Manannan fast craft already uses low sulphur fuel.

It said it expects no change to passenger fares and hopes the impact to freight customers can be minimised by absorbing some of the extra cost.

In a statement, it said: ’All Irish Sea shipping companies will have to use low sulphur fuels from January 2020 to comply with new environmental requirements.

’Manannan already uses low sulphur fuel and no change in passenger fares is expected. The impact on freight will be minimised as the company will be absorbing an increased proportion of fuel costs in 2020.

’Variable fuel surcharges on freight will simply reflect delivered costs once finalised and invoiced.

’Delivery prices can fluctuate on a daily basis depending on world fuel costs and exchange rates.’

In addition, it said, winter weekend surcharges on passenger fares will be removed in 2020 as per the Sea Services Agreement.

Mr Quaye said when he last checked, Marine Gas Oil was 61% more expensive than the Intermediate Fuel Oil which the Ben currently uses.

But he said there is work being done to produce a blended fuel which complies with the regulations but is slightly cheaper.

’There is a possibility that the higher grade fuel may produce better fuel consumption but that will only be found out by experience with the vessel,’ he said. ’We are currently awaiting information from the Steam Packet as to how much the low sulphur surcharge will be and what effect it will have on freight rates. We hope to advise our customers well in advance of January 1.’