IDEAS home Printed from https://ideas.repec.org/a/tpe/jtecpo/v45y2011i1p41-61.html
   My bibliography  Save this article

Ship Speed and Fuel Consumption Quotation in Ocean Shipping Time Charter Contracts

Author

Listed:
  • Albert W. Veenstra
  • Jan Van Dalen

Abstract

This paper presents an exploration of the process of setting warranted ship speed and fuel consumption in ocean shipping time charter contracts. We formulate a conceptual model in which warranted ship speed and fuel consumption are related to an underperformance claim. We test hypotheses concerning the explanation of warranted and fuel consumption from various contract terms, ship characteristics, and market variables based on an empirical model for warranted ship speed and fuel consumption and time charter fixture data. The analysis shows that although there are some obvious reasons for differences in warranted and design speed and fuel consumption, such as the age of the ship, there is also evidence that shipowners engage in strategic behaviour by quoting warranted speed and fuel consumption in time charter contracts that reflect the development of the market. © 2011 LSE and the University of Bath

Suggested Citation

  • Albert W. Veenstra & Jan Van Dalen, 2011. "Ship Speed and Fuel Consumption Quotation in Ocean Shipping Time Charter Contracts," Journal of Transport Economics and Policy, University of Bath, vol. 45(1), pages 41-61, January.
  • Handle: RePEc:tpe:jtecpo:v:45:y:2011:i:1:p:41-61
    as

    Download full text from publisher

    File URL: http://www.catchword.com/cgi-bin/cgi?ini=bc&body=linker&reqidx=0022-5258(20110101)45:1L.41;1-
    Download Restriction: Access to full text is restricted to subscribers.

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Rehmatulla, Nishatabbas & Smith, Tristan, 2015. "Barriers to energy efficiency in shipping: A triangulated approach to investigate the principal agent problem," Energy Policy, Elsevier, vol. 84(C), pages 44-57.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:tpe:jtecpo:v:45:y:2011:i:1:p:41-61. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Christopher F. Baum). General contact details of provider: http://www.bath.ac.uk/e-journals/jtep .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.