Aerial view of a tanker's deck and helideck

Key takeaways

  • Ask for a complete delivered proposition against a defined purchase requirement.
  • Distinguish delivery by barge from a land-based proposal where relevant.
  • Identify whether fixed service costs are included, separate or conditional.
  • Treat a change in location or method as a reason to reconfirm affected terms.

Start with a specifically local service question

A 2018 official APBA notice describes non-fixed fuel supply by tanker truck or barge within its port service area. Spanish official notice

This historical scope does not confirm that either method is available or appropriate for a particular vessel today. Check the current applicable text and obtain the responsible parties' confirmation of the actual delivery arrangement.

For a current transaction, the enquiry's delivery basis is not provided; obtain current verified information. State the proposed location, method, required grade and quantity, and the status of service-charge inclusions. A generic reference to Algeciras is insufficient where the offer depends on a specific arrangement.

Ask for the price of the purchase you can execute

The enquiry should carry the approved product description and quantity requirement, together with the vessel's expected availability. Suppliers can then explain what they can offer against that scope.

If the response proposes a different method, keep it as a separate alternative. Do not silently insert its unit price into the original delivery plan. The relevant team must assess feasibility, and procurement must identify the changed commercial conditions.

A useful response distinguishes confirmed elements from those still subject to the location, supplier allocation or final timing. Those conditions should remain visible when the offer is circulated internally.

Separate fuel price from service-cost structure

Some fictional offers can be represented as a fuel unit price plus fixed delivery expense; others may include the service within the quoted total. The important point is to establish the actual offer structure, not assume that a local convention applies.

Ask whether the proposed quantity attracts a minimum billed quantity or fixed service amount. A small purchase can be particularly sensitive to such terms because the fixed cost is spread across fewer delivered tonnes.

Where several grades are requested, confirm whether the service charge covers the whole accepted package or each separate delivery. The answer can materially change the comparison even when individual fuel prices look attractive.

Do not buy unnecessary quantity to dilute a charge

A lower effective cost per tonne at a larger quantity does not establish that the vessel should buy more. The responsible requirement, available capacity and intended employment determine which quantity alternatives may be assessed.

Procurement can compare authorised quantities and explain how the cost structure changes. It should not expand the purchase merely to make a fixed fee appear smaller in the spreadsheet.

Likewise, a supplier's minimum commercial parcel is an offer condition, not a statement of the vessel's fuel need. If it does not fit, obtain an acceptable alternative rather than disguising the mismatch.

A delivered-price enquiry matrix

Enquiry fieldWhy it changes the offerResponse to require
Delivery location and methodDefines the proposed serviceExplicit acceptance or scoped alternative
Grade and specificationDefines the product being pricedExact description and proposed deviations
Required quantityAffects total and possible minimum termsDelivered and billed quantity basis
Multiple gradesMay change service structurePackage inclusions and separate charges
Availability windowDefines timing conditionsConfirmed scope and remaining dependencies
Extra movements or servicesCan change the delivered totalIncluded, excluded or conditional items
Price validityLimits the commercial propositionClear expiry and amendment treatment

Fictional case: the low indication assumes another method

A fictional vessel asks for an Algeciras supply at its intended berth. The buying desk receives one complete offer and a lower fuel indication from another source.

The lower indication assumes a different delivery arrangement and leaves the service charge open. The desk initially treats the difference in unit price as a saving available to the vessel.

A proper enquiry asks the second supplier to price the actual approved arrangement or state an alternative that the responsible team can assess. The resulting comparison includes its service scope. If the alternative remains unconfirmed, it stays conditional rather than displacing the complete offer solely on price.

Preserve the commercial basis through acceptance

The accepted order should refer to the complete proposition, including any separately agreed service expense. If the vessel's location changes, identify which terms need reconfirmation rather than assuming every element remains valid.

After delivery, compare the invoice with that accepted structure. A separately charged service may be correct if it was excluded from the fuel price, but duplication should be investigated where the accepted package already included it.

Common mistakes

Avoid asking for only a port-wide fuel price, mixing delivery methods in one comparison or treating an open service charge as zero. Other errors include enlarging the quantity solely to dilute a fee and assuming an old official notice confirms present call-specific availability. The enquiry should produce a proposition the vessel can actually assess.

Where Zeaclub fits

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Educational information only; not legal, financial or trading advice. Contract wording and applicable rules control. Verify current requirements and obtain qualified advice before acting.

Frequently asked questions

Is a unit price enough for an Algeciras enquiry?

No. Establish the product, quantity, delivery basis and service inclusions needed to understand the total purchase.

Can procurement choose a different delivery method on price alone?

The responsible parties must first assess whether the alternative is appropriate and feasible.

Should a larger parcel always reduce the purchase cost?

It may change unit economics while increasing total expenditure. Compare only quantities the vessel is authorised to consider.

What belongs in the delivery-price slot?

Record the proposed method, location, product requirement and confirmed or outstanding charge inclusions.

Primary sources