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ticularly steel, has had an effect on the cost of M. But rising oil prices has meant more expensive lubes, paints and coatings. In a difficult market, owners and managers have been looking for the best prices and increases in yard capacity, mainly in China, have helped this cause. Stores & lubes once again there is a concern that lube pricescould become disconnected from oil prices and so a significant increase in lube prices could be on its way. Those owners and managers that had pinned down lube prices with forward con- tracts may find those agreements run out this year and so the cost benefit will likely disappear. Manageent & Adinistration regulatory issues loom largest in this cost area. SOAS Chapter V stipulates that Elec- tronic Chart Display and Information System (ECDIS), alongwith Bridge Navigational Watch Alarm System (BNWAS) must be fitted to all new vessels immediately and will affect all ships in time. Tighter Sulphur Emission Controls for vessels sailing within SECA areas came into effect last year. This raises fuel costs and has made record keeping on oone depleting substances on board mandatory. Fleet operators know that the many conventions that abound on safety, emissions and manning will result in increased costs. ike low demand and high commodity prices, regulation is a bru- tal fact of maritime life. ANALYSIS  Evolution of total operating costs (Index: 2000=100): total operating costs    
 90110130150170190210199019952000200520102015 24Maritime Reporter & Engineering News Ship Operating Costs 2011/12is an Annual report by Drewry Shipping Consultants td is available for purchase. E-mail: [email protected]