The BAF (Bunker Adjustment Factor) surcharge for each route is adjusted each month based on the fuel mix per line and the rates for MGO, HFO, BIO fuel and the exchange rate for USD vs NOK.

The current energy crisis in Europe and the Middle East is affecting supply and prices of marine fuels. The extraordinary pressure is mainly caused by energy sanctions against Russia & Iran as well as the blocking of the Strait of Hormuz. Consequently, Europe needs to import expensive fuels and crudes from other parts of the world, triggering additional transport cost. The price of fuel including extraordinary transport costs are basis for calculating bunker adjustment (BAF).