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The NSW Environment Protection Authority (EPA) has fined Carnival Plc A$15,000 (US$10,800) after one of its P&O Cruises ships, the Pacific Jewel, breached new low sulphur fuel regulations in Sydney Harbour.

A fuel sample taken by the ship's crew and provided to EPA officers while the ship was berthed at the White Bay Cruise Terminal on February 26, 2016, is said to have contained a sulphur level of 0.293% - nearly three times the 0.1% sulphur limit.

The fine is the first to be issued under the new regulations which came into force from 1 October 2015. The regulations require cruise ships berthed in Sydney Harbour to use low sulphur fuel within one hour of berthing until one hour before departure.

EPA Acting Director Metropolitan Greg Sheehy said that the EPA had also issued an official caution to the ship's master.

"The ship's crew had started changing over from using high sulphur fuel shortly after the ship had berthed at White Bay, but the sample showed that the fuel being used in the ship's engine during the EPA's inspection did not meet the low sulphur fuel requirements," Sheehy said.

Sheehy stated that Carnival PLC had advised the EPA that its P&O Cruises Australia ships will start their changeover from high sulphur fuel earlier to address the problem.

"The EPA has taken a further three samples from the Pacific Jewel since the 26th of February and all have complied," he remarked.

Since the October 1, 2015, the EPA says it has inspected over 140 cruise ships, taken 78 fuel samples from engine fuel lines, inspected log books and changeover records, and also observed stack emissions.

"Figures before the regulation came into force showed that cruise ships produce around 40% of total fine particle emissions from shipping in Sydney Harbour. Therefore it's vital that cruise ship operators adhere to the new regulation to protect Sydney's air quality and the health of the community," Sheehy commented.

"The EPA is running an extensive compliance campaign to ensure cruise ships are complying and the inspections will continue," he added.

The EPA has issued three official cautions to cruise ship operators, including one to Carnival Plc for a non-compliance by one of its other P&O Cruises ships.

"We are also investigating the results of samples from some other ships which may require regulatory action," Sheehy said.

Penalty notices are one of a number of tools the EPA can use to achieve environmental compliance; others include formal warnings, official cautions, licence conditions, notices and directions, mandatory audits, enforceable undertakings, legally binding pollution reduction programs and prosecutions.