Demurrage – Definition and Pronunciation
What is Demurrage?
Demurrage is the compensation paid by the Charterer under the voyage charter party, or compensation paid by the cargo supplier/receiver under a contract as liquidated damages for delaying a ship beyond a contractually agreed time (lay time) for loading and / or discharging.
Examples of Demurrage
The log’s purpose is to provide an agreed statement of facts relating to the timing of events and delays during the ship’s port call and it is used to facilitate demurrage claims.
From “Record Keeping and Planning”.
As well as ensuring that unsafe conditions and situations are avoided, this type of analysis study also improves the availability of the ship at all times and reduces the downtime, and possible demurrage costs.
From “History and Future Predictions of the Liquefied Natural Gas Shipping”.
For ship loading, the loading rate is driven by keeping the ship loading time as short as possible due to the high cost of ship demurrage (Coyle et al., 2003). Two or three liquid loading arms are required depending on the loading rate and capacities of the loading arms.
From “Fundamentals of Liquefied Natural Gas”.
Pronunciation of Demurrage
