Lloyd’s Register (LR) Advisory has been appointed by Geneva-based LPG trader and shipowner Geogas to help develop a multi-year emissions compliance plan and operational approach to FuelEU Maritime pooling.

LR Advisory will guide the commercial impact of current and upcoming emissions rules and support Geogas Trading in setting up its own FuelEU pooling structure, it said in an email statement on Tuesday.

The project will also cover operational steps needed to implement pooling and manage associated risks.

The pooling mechanism under FuelEU Maritime allows shipping companies to comply with the regulation by selling their surplus carbon reduction to others.

LR Advisory will also assist in mapping and mitigating commercial exposure linked to FuelEU requirements as the European regulatory framework tightens.

“Charterers and shipowners are now directly exposed to incentives and penalties that influence day-to-day operational, chartering decisions and P&L,” Luke Shu, Technical Advisory Manager – Maritime Commercial Markets at LR Advisory, said.