Platts proposes to launch two-stroke global LNG freight route cost assessments and parallel carbon-inclusive rates

Platts, part of S&P Global Commodity Insights, proposes to launch global LNG freight route costs for two-stroke carriers and parallel carbon-inclusive assessments.

Platts publishes daily spot charter rates for Tri-Fuel Diesel Electric (TFDE) and two-stroke (MEGI or X-DF) LNG carrier assessments under the benchmark name Atlantic LNG Day Rates (ATDR) and Asia Pacific LNG Day Rates (APDR).

At present, Platts publishes global LNG freight route cost assessments ($/MMBtu) solely for TFDE carriers. Platts understands that two-stroke (MEGI or X-DF) carriers account for a significant portion of trading.

Hence, Platts proposes to publish two-stroke carrier freight route cost assessments ($/MMBtu) for all currently assessed global LNG freight routes.

Furthermore, the phased-in inclusion of shipping in the EU Emissions Trading System (EU ETS) has increased the costs associated with visiting ports within the European Union and Platts understands that a significant portion of trading activity in the LNG freight markets is being conducted as carbon-inclusive.

To provide transparency, Platts proposes to publish separate carbon emission charge assessments ($/MMBtu) and parallel carbon-inclusive freight route costs for both TFDE and two-stroke carriers for all currently assessed global LNG freight route costs that are within scope of the EU ETS.

The existing TFDE global freight route cost assessments will remain carbon exclusive under the existing symbols.

Please send any feedback, comments, or questions by Jan. 31, 2025 to shipping@spglobal.com and pricegroup@spglobal.com.

For written comments, please provide a clear indication if comments are not intended for publication by Platts for public viewing. Platts will consider all comments received and will make comments not marked as confidential available to the public upon request.