HomeCalculatorsBIMCO CII Operations Clause Cost Allocation

BIMCO CII Operations Clause Cost Allocation

Model owner / charterer cost allocation under the BIMCO 2022 CII Operations Clause. Charter instructions that cause a rating downgrade create owner exposure to future SEEMP Part III corrective-plan costs - this calc splits the liability.

LifecycleCharter

Baseline compliance path

Charter-party planned CIIg/(dwt·nm)The Attained CII the ship would achieve on the owner's warranted operating profile.Required CII for yearg/(dwt·nm)

Actual charter outcome

Actual Attained CIIg/(dwt·nm)Based on fuel + distance under charterer's voyage instructions.

Cost consequence

Estimated SEEMP Part III corrective costUSDClass survey + operational plan preparation + follow-up audits.

Baseline margin

0.957–

Below target - good

Actual margin

1.109–

Above target - rating risk

Charterer allocation

200,000USD

Owner retained

0USD

Formula, assumptions, and limits

$$\text{Share}_\text{charterer} = \min\!\left(1,\ \max\!\left(0,\ \frac{I_\text{actual} - I_\text{planned}}{I_\text{actual} - I_\text{required}}\right)\right)$$

The BIMCO clause attributes the rating slippage between "what owner warranted" and "what actually happened" to charterer instructions. The calculation here is a simplified proxy; real clauses include notice periods, safe-speed carve-outs and bunker-quality caveats.

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