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The world's largest container shipping company and bunker buyer, Maersk Line, has revealed that the energy efficiency drive for its container vessels has helped it to achieve bunker fuel savings and a reduction in emissions during the second quarter of 2014.

Average bunker consumption per forty-foot equivalent unit (FFE) fell by 7.2 percent in the second quarter of 2014 compared to the corresponding period in 2013.

Maersk Line's total bunker expenses of USD 1.3 billion were 2.8 percent lower than the same quarter last year due to 1.0 percent lower total bunker consumption and a 1.7 percent decrease in the average bunker price. This was despite a 6.6 percent increase in volume growth.

The average bunker price paid in the second quarter fell by $10, or 1.7 percent, to $579 per tonne, down from $589 per tonne in the prior year period.

During the first six months of the year, the average bunker price paid was $28, or 4.6 percent lower at $580 per tonne, compared to $608 in the first half of 2013.

In its financial results for the second quarter, Maersk Line reported a net operating profit after tax of $547 million compared to $439 million in 2013. During the first six months of this year, net operating profit after tax rose to $1001 million, up from $643 million in 2013.

Revenue of USD 6.9 billion increased 3.8 percent compared to the second quarter of 2013, mainly driven by a volume increase of 6.6 percent, partly offset by a decrease in the average recognised freight revenue of 2.0 percent.

Unit costs (US$ per FFE including vessel sharing agreement (VSA) income) were 4.4 percent lower during the second quarter of 2014 compared to last year and 6.7 percent lower than 2013 during the first six months.

Container volumes were up by 6.6 percent in the second quarter and 6.9 percent during the first six months. Slow steaming and the introduction of more economical Triple-E vessels, which consume an average 15 percent less fuel than older ships, helped contain Maersk Line's fuel expenses.

By the end of the second quarter, Maersk's fleet consisted of 271 owned vessels (1.6 million twenty-foot equivalent units (TEU) ) and 306 chartered vessels (1.1m TEU). Maersk Line also owns five and charters five multipurpose vessels. The company also took delivery of three Triple-E container vessels (54,000 TEU) and total fleet capacity has increased by 4.7 percent since the same quarter last year.

Maersk Line said it continued network optimisation and capacity management through idling, super slow steaming and blanked sailings and at the end of the second quarter of 2014 idle capacity was 19,000 TEU (four vessels), corresponding to around 8 percent of total idle capacity in the market.

11 Triple-E vessels totalling 198,000 TEU are on order for delivery during 2014-2015. No newbuilding orders were placed during the second quarter of 2014.

As part of its strategy to improve network efficiency and profitability, on 10 July 2014 Maersk Line entered into a long-term vessel sharing agreement (VSA) with Mediterranean Shipping Company S. A. (MSC) on the Asia-Europe, Transatlantic and Transpacific trades.

The VSA is expected to benefit customers through increased port coverage and service frequency and also improve the network efficiency and allow for lower slot costs through improved utilisation of vessel capacity and economies of scale. Subject to approval from relevant authorities the VSA is expected to start in early 2015.

Image: Alexander Maersk.