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Fuel Total Cost of Ownership

Contents

Live calculator

All-in per-GJ cost of delivered fuel energy, including bunker and EU ETS overlay.

Formula

$$ \text{Cost/GJ} = \frac{P_\text{bunker}}{\text{LCV}} + \frac{C_f \cdot P_\text{EUA} \cdot f_\text{ETS}}{\text{LCV}} $$

Symbol legend

SymbolMeaningUnitSource
$P_\text{bunker}$Bunker priceUSD / tbunker index
$\text{LCV}$Lower calorific valueMJ / kg (= GJ / t)MEPC.364(79) / ISO 8217
$C_f$Fuel-to-CO₂ factort CO₂ / t fuelMEPC.364(79)
$P_\text{EUA}$EUA spot priceUSD / t CO₂EEX spot
$f_\text{ETS}$Scope × phase-in fraction-50/100 % × 40/70/100 %

For the FuelEU penalty overlay (€2,400 per VLSFO-equivalent tonne short of target), pair with the FuelEU Penalty calculator - adds another line to the per-GJ cost for fuels with high WtW intensity.

Sources

  • IMO MEPC.364(79) - Cf conversion factors.
  • ICCT - Alternative fuel pathways for shipping.