HCB Magazine March 2024

MONTHLY MARCH 2024

LINE IN THE SAND

LOGISTICS PLAYERS MUST COLLABORATE IF SUSTAINABILITY TARGETS ARE TO BE MET

LATEST RULE CHANGES FROM GENEVA

GAS TANKER MARKET BREAKS RECORDS

MAKING TERMINALS FIT FOR TOMORROW

CIMC

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CIMC

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CIMC SAFE WAY TANK SERVICE (Jiaxing) CO., LTD.

No. 318 , Washan Road, Port Authorities, Jiaxing, Zhejiang Province, China 314201

Tel: +86 15806290956

E-mail: ning.li@cimc.com

CIMC SAFEWAY TANK SERVICE (Lianyun gang) CO., LTD. Safety and Environmental Management Center, Xuwei New Chemical Park, Lianyungang, Jiangsu, China 222047

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EDITOR’S LETTER

I was very saddened to hear recently of the death of Frank Andreesen, former logistics vice-president at Bayer and then Covestro. Frank was a regular at chemical logistics events, always with a valuable insight to give and with his perennial plea for industry to work together to solve its common problems and realise the efficiency gains that were (and, for the most part, still are) out there.

Frank would, I am sure, have been at this month’s LogiChem conference in Rotterdam, even though he retired from Covestro last July. But looking at the agenda and line-up of speakers, it is clear that he is still there in spirit. There has been a gradual realisation within the industry that greater collaboration will be needed, not just to improve efficiency for all, but also to help meet regulatory demands for information (particularly as regards sustainability, emissions and ESG metrics) and to cope with the tight labour market that is affecting industries across the mature markets.

To a large extent, increasing digitalisation is forcing partners up and down chemical supply chains to collaborate more extensively, since it is all about providing and sharing information – it was always the ‘sharing’ that proved to be a stumbling block to increasing collaboration but industry does now seem to be coming to terms with the idea. In fact, going back a bit further, it used to be impossible to even mention the word ‘collaboration’, as this would immediately excite the attention of antitrust authorities.

Today, there is an acceptance that the sustainability imperative can only be achieved with full transparency on an end-to-end basis and throughout product lifecycles. To get

there will take commitment and a lot of investment, though there will be benefits at the end of it.

The extent of that necessary investment is particularly noticeable in Europe’s ports, especially those that handle chemicals and other liquid bulk products. Rotterdam, Antwerp, Hamburg and other ports are having to re-engineer their infrastructure to handle different products and/or to get cargo in, through and out as swiftly as possible, with due regard to sustainability in transport operations. That too is calling on new digitalised (and, potentially, AI-supported) systems that collect and disseminate information as needed.

It has been said (and I forget by whom) that, for most of human history, there have been too few calories and too little information; nowadays there are too many calories and too much information. Getting to understand how humanity must adapt to thrive in this sort of world is going to take time and the transition may be messy. One major problem is knowing which information is relevant and reliable – and the standard approach to that in an industrial setting has been to require audits and independent assessments. We have plenty of those already and a whole new bunch have arrived in recent years, to keep track of how companies’ sustainability and ESG performance is matching up to expectations, and we are surely going to see many, many more in the near future. The EU’s planned Packaging and Packaging Waste Regulation alone will call for dozens of new audit programmes.

There used to be two things that are inevitable in life: death and taxes. Now it is death, taxes and audits (though not necessarily in that order).

Peter Mackay

30 YEARS AGO

A LOOK BACK TO MARCH 1994

THOSE WHO HAVE come into the dangerous goods business in the past twenty years might well believe that this is how it has always been. That belief is a surprisingly common error in many walks of life but, looking back with the benefit of hindsight, there were some important novelties being introduced three decades ago that we now think of as permanent fixtures. But if you want to know why you do what you do, you need to know a bit of history.

For instance, in the early 1990s tank cleaning providers in the UK, France, Belgium and the Netherlands had each moved forward with the establishment, for the first time, of representative national associations. In May 1993, those four associations joined forces to form the European Federation of Tank Cleaning Organisations (EFTCO), which held its first official meeting in August, chaired by Hugo Kerkhofs of ADPO. The prime objective of the new association was to introduce a Europe-wide standard cleaning certificate, the document (or electronic version) we know today as the ECD.

The French association, APLICA, had already been trying out the concept, in collaboration with associations representing other aspects of the transport chain in France, and was to play a large role in EFTCO’s work. Other trade bodies, including Cefic and EPCA, were supportive of the plan and Cefic itself was looking at developing an auditing programme for tank cleaning stations under the SQAS umbrella – though not without some opposition from the UK and French tank cleaning associations. At the time, Germany, Sweden and Italy were also in the process of setting up national associations,

which would in turn expand EFTCO’s reach.

In the US, the Chemical Manufacturers Association (CMA) was on a similar path to Cefic, developing safety assessment protocols for road and rail transport. It had also spotted that Cefic’s work was taking in the maritime sector, via CDI, and CMA members felt that they should join CDI rather than make the effort to develop their own programme.

Meanwhile in Geneva, the UN experts had been busying themselves in bringing the various dangerous goods transport regulations up to date. One big project was a wholesale revision of the UN Manual of Tests and Criteria, a major undertaking that was due to be completed during 1994. At its session in November 1993, the UN Sub-committee of Experts had agreed several changes, including the deletion of the (much missed) small-scale cook-off bomb test.

A second major project was the revision of the packing methods for Class 1 materials, although the decisions made at that 1993 session have not survived. The revision of the provisions for multimodal tanks also proved quite difficult to resolve, although work on quality standards for gas cylinders and new generic entries for Class 2 gases were simpler to bring to a conclusion.

At the same time, the RID/ADR experts, already busy with the development of ADN, were wrestling with the restructuring of their provisions along the lines of the UN Model Regulations. In addition, WP15 was having to work out how to manage the approval of motor vehicles used in dangerous goods transport. This was becoming an urgent matter, as the EU was threatening to take the job on itself.

LEARNING BY TRAINING

by Arend van Campen STORYTELLING FOR SUSTAINABILITY

WHAT IF THE profound sciences and ideas taught by Dr Fritjof Capra and others were told and packed in a thrilling story? A thriller about people struggling and rising up against corrupt politicians and business? I wrote The Brussels Lobby, an ecothriller that was released last month.

A thinktank in Brussels named ‘Sustenance4all’ helps the world with the energy transition despite the opposition of lobbyists in Brussels. A product named Hydrogen Solar Plasma, discovered and developed by two French engineers, would make oil and gas obsolete, but 75 countries’ GDP, hedge funds, banks and oil companies depend on hydrocarbons, chemicals, oil and gas.

The fight to protect this abundant new energy source (copying the sun on earth in a Tokamak) takes place in the urban jungle of Brussels. This is not just a thriller but also based on the systems view of life, cybernetics, physics and biology, because the think tank designs an alternative society based on systems thinking and clean, renewable energy. A must-read for everyone concerned with life and wellbeing.

I have written many times in this magazine about the importance of and for non-harmful functionality of man-made things, including our industries. The book offers a solution and a new design for a functional society that benefits everyone, all living systems. The sciences and common sense to re-design that which was harmful into non-harmful are here; it is called information.

The race for limitless energy takes a dramatic turn. The International Thermonuclear Experimental Reactor (ITER), under construction in France, aims to replicate the sun’s helium fusion process using a Tokamak. However, the project faces significant delays. Amidst these delays, a French start-up achieves a ground-breaking feat by successfully

fusing hydrogen and solar heat. This innovation leads to the creation of Hysoplasm, or HSP – a cheap, abundant and sustainable energy source.

But this development doesn’t sit well with those invested in traditional energy sectors. Key players in the oil, gas and finance industries in Brussels are alarmed. To counter this emerging threat, they turn to Chris Towers, a formidable and unscrupulous lobbyist. Towers finds himself in a clandestine meeting with EU Commissioner Manuel Rojas, responsible for Climate Action and Energy Union, in an obscure café in Brussels.

This is a story about the high stakes world of energy politics, where technological breakthroughs clash with entrenched interests, while the future of global energy is at play.

“Which interests stand in the way of real climate solutions? This ecothriller tells a story of the fight of a start-up against the fossil industry. It introduces HSP as an abundant, renewable energy for a cleaner future.” Pim van Galen, journalist at Dutch Public Television

“A fascinating and well timed story.” Ton van Uffel, energy and chemistry expert

“This book convinces with the sincerity of the plot and the richness of the details. It deserves a wider audience than just environmental geeks. Captive reading.” Jochem Visser, lawyer

“Fighting injustice is tempting and honourable but not easy.” Roberto Bastida Caracuel, port development manager

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This is the latest in a monthly series of articles by Arend van Campen, founder of TankTerminalTraining, who can be contacted at arendvc@ tankterminaltraining.com. More information on the company’s activities can be found at www.tankterminaltraining.com.

TALL TALES OF HAZMAT

By Grahame Moody

NEVER TRUST A FART

Reading this back before releasing it into the wild, the era of the author’s experience is in evidence. Also, this epistle does go around the houses a bit and would not be immune to accusations of verbosity. However, this is not intended to be a scholarly dissertation, just somewhere to discuss the meaning of the word ‘compliance’ - the holy grail of safety.

Ready or not, here we go…

Have you ever played the ‘what if’ game?

The title of this piece could come into play when you feel a rumble but instead of doing something about it you gamble on staying where you are and just letting nature take its course. That’s you playing the ‘what if’ game. It is because you will have been forced to consider the consequences by thinking ‘what if I’m wrong?’ as you make the decision. Considering those words will definitely have the effect of concentrating the mind on getting the decision correct.

The following points are some of the factors that constitute the process of decisions: identifying the choices; analysing them and the thinking behind them; consideration of the consequences of a wrong decision; and – way down the list – the making up of minds, otherwise known as making a (yes that’s right) decision. All that in a heartbeat.

When you are faced with (say) a decision based on price, as an exercise begin by choosing a cheaper option, then go on to ask yourself: what if that option goes wrong and it turns out to be an unmitigated disaster?

Let us now turn to the general pursuit of compliance. In its purest form, this can come from the simple human desire of an individual to ‘do the right thing’. It can also come from playing the game of ‘what if’ it goes wrong’.

Compliance can be augmented by parental guidance or natural societal/peer-group pressures (carrot) but it must originate from within the essential nature of the individual. Whilst it is possible to augment the internal desire to comply with rules and regulations, sometimes it requires either fear of public retribution or financial punishment (or a combination of both) to be truly effective (stick).

But the concluding decision can only be finalised from within the mind of the person making the decisions.

All that looks to me suspiciously like a glutinous mix of ‘carrot and stick’ methodologies (that is a silly word, but useful describing wokeist wishy-washinessisms).

Either way, compliance starts with ‘desire’ or ‘will’ and the search for inner peace. It is not for achieving recognition or praise. Justification may be the only achievable reward. That and no adverse ‘what if’ it goes wrong events actually going wrong along the way; but that in itself is not a reward, it’s just things not going wrong.

However, compliance will always be a ‘hard sell’ as it is almost certain that it will not be among the cheaper options. But there are ways of winning over hearts and minds and collective consciences to highlight the path leading to safer ways of transporting hazardous

shipments. And yet, whatever drives the inner self down the road to compliance, it will only lead down the (by now well-lit) path of least resistance and that almost always involves the price that’s paid.

Almost always, but not always always.

For example, when the time comes to choose transport options for a shipment of dangerous goods, human nature will hopefully dictate the choice of a path that glides easily over but sticks closely to the rails of legislation. That option is unlikely to be the cheapest but it will be the one that will lead to a clear conscience.

How to choose between them, we ask ourselves? It would be fairly easy to examine transport options to assign simple cost/benefit levels of safety to every available option. You should find that when you calculate the benefits versus the costs, you will invariably find that the more expensive the option is, the more likely it is that it will be a safer and therefore better decision.

This is because you will be able to satisfy yourself that the decision was made with higher ethics than just basing it on filthy lucre. Also, in front of 12 good citizens of a jury you can prove that the decision was not taken for simple cost saving reasons, just the opposite in fact and your decision will (should) ‘justify’ itself.

Let us now examine whether the most expensive option is always the safest and therefore best option and what do we find? To play the pedant role, the correct answer should be that it is usually the safest

and best option. The best decisions should never ignore commercial considerations, even if that aspect of the decision will never be questioned by anyone other than members of the judiciary.

So then, the internal wrangling of the deciding mind must weigh up parental guidance, peer group pressures, fear of public retribution and financial sanctions. All that versus the desire to ‘do the right thing’ and the high cost of doing that.

All these brain synapses firing in different directions all at the same time and coping with pressure to come to the correct decision very quickly comes naturally to some, but not to others. Of course, compliance can be inculcated into company policy, operational procedures, and training, but it really needs to be in the heart and soul of company management and steeped in its ethical scope.

Compliance relies on personal values fighting against financial pressures and winning. In other words, compliance is not just doing the right thing - that’s efficiency. Doing things right is effectiveness*.

This is part of a regular series of articles by Grahame Moody, senior analyst (technical services) of Hazmat Logistics, who can be contacted at sales@hazmatlogistics.co.uk. More information on the company’s activities can be found at www.hazmatlogistics.co.uk.

*Paraphrased from Peter Drucker’s book The Effective Executive, mentioned here for transparency and compliance with copyright laws (see what I did there?).

VEHICLE FOR CHANGE

ROAD • ADR HAS TO KEEP UP WITH TECHNICAL CHANGES BUT ALSO REFLECT NEW WAYS OF TRANSPORTING DANGEROUS GOODS. HOW MANY WHEELS DOES IT TAKE?

THE UN ECONOMIC Council for Europe’s (ECE) Working Party on the Transport of Dangerous Goods (WP15) held its 114th session in Geneva this past 6 to 10 November with Ariane Roumier (France) as chair. It was attended by representatives from 22 contracting parties as well as from Algeria, Egypt, Iran, Jordan, Lebanon, Morocco and Saudi Arabia. The EU and Intergovernmental Organisation for International Carriage by Rail (OTIF) were also represented, as were seven non-governmental organisations and the EuroMed Transport Support Project (TSP).

The main task of the Working Party’s session was to make progress on agreeing the amendments to the Annexes to the ADR

Agreement that will enter into force next year. Much of the groundwork had been done by the Joint Meeting of RID/ADR/ADN Experts, although WP15 read closely through the decisions taken by that body to ensure that the changes that had been agreed would be appropriate for road transport operations.

The first part of this two-part report on the November session (HCB February 2024, page 8) covered issues relating to electric vehicles, the changes agreed by the Join Meeting, and several road-specific proposals for amendment.

TWO WHEELS GOOD?

The Secretariat provided a document summarising the situation vis-à-vis two- and

three-wheeled vehicles and discussing whether they fall within the scope of ADR. The topic had been raised at WP15’s 112th session in 2022, bearing in mind that such vehicles are increasingly being used, notably by parcel delivery firms and particularly in urban areas. WP15 is also mindful of the UN Sustainable Development Goals and the potential for micro-mobility vehicles and cycles to contribute to cleaner and more sustainable cities. While most of the activities undertaken by such vehicles are local in nature, there is the potential for them to be international, particularly in border towns.

Bearing in mind Article 1 of ADR and Article 4 of the Convention on Road Traffic, the Secretariat concluded that cycles with an engine of 50 cm 3 or more, and cycles with no means of propulsion other than an engine, are ‘motor vehicles’; as such, when carrying dangerous goods in international transport, they must comply with the provisions of ADR. However, some provisions of ADR have never been intended to cover transport by scooters, motorcycles, etc and therefore the interpretation of the current

provisions may vary. The Secretariat suggested that WP15 might wish to clarify ADR by specifying which of its requirements should apply to these vehicles.

The Secretariat also noted that the EU’s ‘Framework Directive’, 2008/68/EC, which requires EU member states to apply the provisions of ADR to the carriage of dangerous goods both domestically and internationally, defines a ‘vehicle’ as “having at least four wheels”. This means that two- and threewheeled vehicles are not subject to the Framework Directive, though member states may wish to include domestic legislation to cover them.

Furthermore, the 1993 Protocol to ADR, which is not yet in force, also specifically states that a ‘vehicle’ has at least four wheels. It had already been noted that, when the Protocol was drawn up, the use of vehicles other than regular trucks or vans to deliver dangerous goods was not foreseen. Most delegations had been of the opinion that some regulations should be put in place to make sure that transport by two- and three-wheeled vehicles are done safely when carrying dangerous goods. For international transport, some delegations offered the idea of extending the scope of ADR through a new protocol of amendment. However, some delegations wondered whether it would be possible to modify the scope of ADR before the 1993 Protocol of amendment enters into force, particularly in the light of article 18 of the Vienna Convention on the Law of Treaties (1968).

The Secretariat’s paper finished with the suggestion that competent authorities might wish to inform WP15 as to whether the transport of dangerous goods by vehicles outside the scope of ADR are regulated in their territory and, if so, how.

The Working Party noted that the International Civil Aviation Organisation (ICAO) had held similar discussions regarding the use of remote-controlled aircraft (drones) to carry dangerous goods. In December 2020 it published a new model regulation to help countries establish and refine their national guidelines for the operation of drones and developed an advisory circular to provide guidance to its member states on the transport of dangerous goods by drone. A similar approach might work in this case.

After further discussion, the Working Party agreed to work on developing provisions for the transport of dangerous goods by road using vehicles or bicycles not currently regulated under ADR, which would help in harmonising of the requirements applicable to such means of transport.

Separately, the World Bicycle Industry Association (WBIA) and the Confederation of the European Bicycle Industry (Conebi) expressed their interest in participating in sessions of the Working Party. The two bodies had submitted an application to the Secretariat, which will be discussed at the next session of WP15.

MORE PLEAS FOR INTERPRETATION

Hungary raised an interesting question relating to 4.1.1.15, which places a five-year life on plastics drums and jerricans, rigid plastics intermediate bulk containers (IBCs) and composite IBCs with plastics inner

receptacles. The provision also includes the phrase “unless otherwise approved by the competent authority” and a specific indication that the five-year period of use may be shortened because of the nature of the substances to be carried. In summary, Hungary said, this means that:

• The ‘normal’ period of use for plastics packaging is five years

• A period of use shorter than five years shall be prescribed if the nature of the substance to be carried requires.

• A period of use longer than five years may be authorised by the competent authority, if it deems it appropriate.

Some delegations confirmed that derogations for use beyond five years in accordance with 4.1.1.15 had been granted by the competent authorities that issued the type approvals in their countries, subject to certain conditions. Other delegations indicated that they didn’t grant such derogations.

The question arose as to whether such derogations are the responsibility of the competent authority in the country where the type approval had been issued, or that in the country of use. The representative of Switzerland recalled that the matter would be discussed by the Joint Meeting’s informal working group on references to competent authorities, and invited delegations interested in participating in that work to contact her.

Finland continued with its attempts to clarify the requirements for the carriage of the transport document and related information in vehicles consisting of more than one unit. Its paper said that, in general, it is understood that the documentation carried on a transport unit relates to the dangerous goods carried on that transport; however, 5.4.1.4.2 does not clearly require this. Indeed, it seems that if a load consisting of several packages needs to be divided for carriage on different transport

units it is sufficient that a copy of the single document covering the whole load is on each transport unit without specifying which goods are on each transport unit. Separate transport documents are required for each vehicle only in the case of prohibition on mixed loading.

In particular, Finland queried the first sentence of 5.4.1.4.2: “If, by reason of the size of the load, a consignment cannot be loaded in its entirety on a single transport unit, at least as many separate documents, or copies of the single document, shall be made out as transport units loaded.” Do the words “or copies of the single document” mean that each transport unit can carry an identical copy? If not, the paragraph needs to be amended. Alternatively, to correspond to the text in RID, the first sentence could be deleted.

The Working Party noted that the provisions in 5.4.1.4.2 were carried over from marginal 2002 (4) when ADR was restructured. It also

felt it would be worth checking whether the provisions of the first sentence of 5.4.1.4.2 are still being used and, if so, in what circumstances. They may be appropriate for, say, transport units carried in convoys, particularly for the transport of explosives.

Finland said it would work up a revised proposal for the next session; the International Road Transport Union (IRU) volunteered to look at how its members apply the requirement.

Malta sought clarification of 9.1.3.2, which states that a certificate of approval issued by the competent authority of one contracting party shall be accepted, so long as it is valid, by the competent authorities of other contracting parties. Being a small island nation, most of Malta’s trucks are bought secondhand and imported, being re-registered at that point. Do they then also require a new certificate of approval?

The chair confirmed that a transfer of ownership is not relevant for the application of 9.1.3.2 but those delegations that spoke confirmed that, when a used approved vehicle is imported into their country, it must be re-registered and, in accordance with 9.1.3.1, that means a new certificate of approval must be issued by the competent authority of the new country of registration.

ADMINISTRATIVE ISSUES

To address its remit to take into account the UN Sustainable Development Goals when amending the provisions containers in ADR, WP15 adopted an amendment to the rules concerning the documents to be submitted; in future, delegations will need to include a section titled ‘Justification’ and identify a link with those Goals and the circular economy.

The Working Party noted that its work at the 114th session was guided in particular by the UN Sustainable Development Goals 3 (Ensure healthy lives and promote well-being for all at all ages), 11 (make cities and human settlements inclusive, safe, resilient and sustainable) and 13 (Take urgent action to combat climate change and its impacts).

The Working Party also amended its rules concerning the submission of informal documents, clarifying the possible scope of such documents and inviting delegations to

submit informal documents in any of its working languages.

Periodically, the Working Party also looks at its schedule of meetings. It confirmed that it wished, for now at least, to maintain the schedule of its sessions (two per year) as it seems there is plenty of work coming along, particularly with regard to the dematerialisation of documents and information; the monitoring of the implementation of the new amendments concerning battery electric vehicles, fuel cell vehicles and hydrogen vehicles; and the drafting of provisions concerning the carriage of dangerous goods by road with vehicles or cycles not currently regulated in ADR.

The next session of WP15 is scheduled to take place in Geneva from 2 to 5 April 2024.

The Secretariat has prepared for that session a consolidated list of the amendments adopted thus far for entry into force on 1 January 2025 so that they can be made the subject of an official proposal. This has now been published and can be consulted on the UN ECE website at https://unece.org/transport/ standards/transport/dangerous-goods/ adr-2023-agreement-concerning-internationalcarriage. As there are still opportunities at the March session of the Joint Meeting and the April session of WP15 for further amendments, HCB will take a close look at the list of changes in a future issue.

Meanwhile, it has been confirmed that Ariane Roumier will continue to act as chair for the two 2024 sessions, with Alfonso Simoni (Italy) as vice-chair.

HEAVY LIFTING

MULTIMODAL • AS IS OFTEN THE CASE, THE UN SUBCOMMITTEE’S SECOND SESSION OF THE BIENNIUM WAS FACED WITH A MASSIVE AGENDA BUT MANAGED TO MAKE A LOT OF HEADWAY

THE UN SUB-COMMITTEE of Experts on the Transport of Dangerous Goods (TDG) held its 63rd session this past 27 November to 6 December. Duane Pfund (US) continued as chair and Claude Pfauvadel (France) took the vice-chair position for the last time prior to his retirement in 2024. The session was attended by representatives from 22 countries, the Intergovernmental Organisation for International Carriage by Rail (OTIF), the Food and Agriculture Organisation (FAO), the International Civil Aviation Organization (ICAO), the International Maritime Organisation (IMO), the UN Institute for Training and Research (Unitar), the World Health Organisation (WHO) and 23 nongovernmental organisations. An observer from Luxembourg also took part.

This was the second of four planned sessions to be held in 2023 and 2024 to agree

and adopt the changes that will appear in the 24th revised edition of the UN Recommendations on the Transport of Dangerous Goods – the ‘Model Regulations’ – and, as is often the case, it was this session where a lot of matters were addressed, and many settled. It is indicative of the breadth of the Sub-committee’s discussions that, in the 20-page report on the session, the first four pages are taken up with the agenda.

At the time of the meeting, the 23rd revised edition of the UN Model Regulations and the tenth revised edition of the Globally Harmonised System of Classification and Labelling of Chemicals (GHS) had already been published in English, French and Chinese. Versions in Arabic, Russian and Spanish were also in preparation and have been published since then. Similarly, the eighth revised edition of the UN Manual of

Tests and Criteria has also now been published in all six official languages.

START WITH A BANG

The session began fittingly with discussion of matters relating to explosives of Class 1. Germany had taken it upon itself to investigate the reliability of the Koenen test, a bursting pressure test that uses steel tubes. For the test to give reliable results, it is vital that these steel tubes are consistent but, as Germany’s Federal Institute for Materials Research and Testing (BAM) has found, there is considerable variation in the mean bursting pressure of tubes. This confirms concerns expressed by the UK and US in 2022 and by others since then.

Germany queried whether there is a need for an additional description of the busting pressure test method, which has been used since the 1950s, and whether there is a need to identify and validate possible alternatives.

The Sporting Arms and Ammunition Manufacturers’ Institute (SAAMI) followed up on the round-robin testing work that had been carried out in response to the UK/US concerns, under the eye of the Working Group on Explosives (EWG), noting that this was prompted by the realisation that the steel alloys originally specified for the manufacture of the tubes are not longer available on the

market. SAAMI highlighted the fact that, despite some changes to the specifications for the tubes in the Manual of Tests and Criteria, there are currently no Koenen tubes available that meet all the specification, which can lead to incorrect test outcomes.

The Sub-committee welcomed the extensive information provided by Germany and SAAMI in their respective informal documents. It acknowledged that this is a complex subject and invited all interested stakeholders to contact SAAMI, which will coordinate an inter-sessional discussion on the outcome of the round-robin tests and develop a proposal to be submitted to EWG for a more detailed consideration at its next meeting. This topic is also on the agenda of the GHS Sub-committee.

The European Chemical Industry Council (Cefic) raised the idea of including a new section on energetic samples in 2.0.4.3. Cefic made the point that R&D units in industry and academia frequently need to transport substances for testing and that many of these substances consist of organic molecules that are building blocks, intermediates or active ingredients for pharmaceutical or agricultural chemicals. Although not designed to be explosives of Class 1, many of these substances carry functional groups listed in tables A6.1 or A6.3 of the Manual of Tests and Criteria, indicating that they have potentially explosive or self-reactive properties. However, it is often the case that the volume of these substances during the research phase – generally below

100 g – is inadequate to allow the required tests to be carried out to determine their physical or chemical properties.

Cefic had previously succeeded in getting simplified provisions for the transport of very small amounts of samples adopted in 2.0.4.3 but these provisions are not adequate for moving the volumes needed when shipping material for proper transport classification.

Certain untested energetic samples can theoretically be transported as potentially new explosives with special approval from a competent authority but, Cefic says, the process would be challenging for institutions with little experience in dangerous goods regulations. Furthermore, there are many thousands of instances per year where such approvals are needed, which would represent a burden on both shippers and competent authorities, with an inevitable scientific delay at all levels.

Cefic now proposed to take its earlier approach a step forward by introducing ways of consigning samples in larger amounts than permitted under 2.0.4.3. It had already worked on the subject with EWG and with the International Group for Unstable Substances (IGUS) and had developed a flowchart to determine an initial classification. It now sought to open a discussion with the TDG Sub-committee, with a view to putting forward an official proposal at a later date.

There was some support for Cefic’s proposal but other experts felt that further data and work was needed. The Sub-

committee agreed to continue discussion of the subject at its next session on the basis of an official document from Cefic that would take into account comments received.

SAAMI sought to open up a completely different discussion, seeking the inclusion of an acceptable level of risk in the classification criteria. Its paper noted that the Guiding Principles specify that the aim of the regulations is to “make transport feasible and safe by reducing risks to a minimum”; however, ‘risk’ is not defined in the Model Regulations. For many classes and divisions in the transport regulations, substances are assigned to a packing group to indicate their level of danger; this is not the case for explosives, though there is a categorisation into different divisions and Division 1.4S is effectively equivalent to Packing Group III. However, even here an incident is capable of causing ‘minor’ injury to an unprotected human body. The scope of ‘minor’ in this instance is not well defined but may be regarded as something that can be dealt with by first aid or characterised by the “walkaway factor”.

In GHS, low-hazard explosives are assigned to sub-category 2C; GHS states: “An explosive in this sub-category can cause minor damage to objects and moderate injuries to persons. Injuries would not normally result in permanent impairment.” SAAMI believes it would be helpful if the Guiding Principles to the Model Regulations included a similar explanation, and also that any criteria that seek to eliminate rather than manage risk may inordinately hamper commerce, which is not the goal of the regulations.

The Sub-committee welcomed that reminder but some experts were of the opinion that the Model Regulations and Guiding Principles are already clear enough on the matter. SAAMI may return with a more specific document at the next session.

The Council on Safe Transportation of Hazardous Articles (COSTHA) presented a

detailed paper on the classification of 1,4-benzoquinone dioxime (QDO), usually classified as UN 1325, Division 4.1, Packing Group II, although classified on occasion as non-regulated. The European Chemicals Agency (ECHA) had determined that a re-evaluation of this classification was warranted and subsequent testing has indicated that QDO’s thermal flux characteristics support classification in Division 1.4. Indeed, some countries have accepted this reclassification, leading to complications in international transport.

COSTHA proposed a new entry for QDO in Division 1.4C, as well as a Division 4.1 entry for desensitised material, along with a new special provision to explain the difference. The Sub-committee, though, was not convinced, offering some comments and concerns.

COSTHA said it would revise the proposal and submit it for discussion by EWG at its next meeting.

Spain followed up on earlier amendments adopted to revise some of the units used in the Model Regulations, including the deletion of the use of kg as a unit of force. As a consequential amendment, it was also proposed to delete the term ‘net explosive

weight’, though this was more problematic, since it is widely used in industry, particularly in the US. At present, the definition for ‘net explosive mass’ in 1.2.1 states that other terms, including ‘net explosive quantity’, ‘net explosive contents’ and ‘net explosive weight’ are often used to convey the same meaning. This implies an equivalence between ‘mass’ and ‘weight’ that is scientifically incorrect.

This issue certainly seems to be contentious for some but, on a vote, the Sub-committee agreed to the change requested by Spain, deleting “or net explosive weight (NEW)” from the definition of ‘net explosive mass’ in 1.2.1.

Cefic opened a discussion on its idea to introduce screening procedures to allow the self-acceleration decomposition temperature (SADT) to be estimated. One of the criteria used in the Manual of Tests and Criteria is that substances should be considered self-reactive if they have an SADT of 75°C or less for a 50 kg package. Four tests methods are offered but, Cefic said, each of these requires specialised equipment and a significant amount of substance to be tested. This presents a barrier for groups with limited experience in the classification of dangerous groups, as well as for situations where only

CHINA RAISED SOME CONCERNS OVER THE CLASSIFICATION OF HYDRAZINE, WHICH HAVE RESULTED IN REVISED REQUIREMENTS

limited amounts of substance are available, such as in the R&D phase.

On the basis of detailed technical reasoning, Cefic offered a proposal for further discussion that would, it said, close a gap in the current screening rules. The proposal included a potential text to be added as a new subparagraph to Section A6.5.1 of the Manual of Tests and Criteria. Cefic invited comments on the paper with a view to presenting an updated proposal in an official document at the next session.

An informal document from China sought agreement of a new special provision and special packing provision for UN 2029 Hydrazine, anhydrous following an examination of its classification by the Nanjing University of Science and Technology (NUST). China had raised the issue at the 60th session

Do you consign Dangerous Goods?

information had been requested; this was now

Explosives Industry Safety Group (AEISG) and objections and adopted the changes proposed, which are to add special provision 132 against UN 2029, as well as PP5, slightly reworded to reflect that it now applies to UN 2029 and well

Germany proposed an amendment to 2.0.5.5, which was introduced recently to state that the ‘articles containing dangerous goods’ (UN

appropriate, by reference to the precedence of hazards tables in 2.0.3.3. Its paper pointed out that this table does not cover all classes and divisions and, therefore, the assignment of an provisions in 2.0.3. Addition of a reference to

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FROM A TRANSPORT PERSPECTIVE, IT SEEMS LOGICAL TO TREAT HEAT PUMPS IN THE SAME WAY AS REFRIGERATING MACHINES

that paragraph would make things clearer, Germany contended.

The Sub-committee was not convinced; while some experts felt that a reference to 2.0.3 would be helpful, others believed the current text is clear enough. Germany offered to revise the proposal and bring it back for discussion at the next session.

Cefic brought its regular list of new organic peroxide formulations to be listed in the table in 2.5.3.2.4 and in packing instruction IBC 520 in 4.1.4.2. There were only two this time and they were adopted with a slight amendment. One small amendment was also adopted as a correction to the 23rd revised edition of the Model Regulations.

Another paper from Germany related to UN 2863 Vanadium pentoxide, non-fused form, which is currently assigned to packing group III. However, according to recent test results, and in accordance with the 18th Adaptation to Technical Progress (ATP) of the EU Regulation on the Classification, Labelling and Packaging of Chemicals (CLP), the acute toxicity of the substance warrants assignment to packing group II. Germany’s paper noted that, as such

a change would have consequences for the limited and excepted quantity values, packing instructions, special packing provisions and, most significantly, tank codes, a transitional period ought to be allowed.

There was general support for Germany’s proposal but some concern about the idea of a transitional provision. Germany will consider the feedback and return with an revised proposal at the next session.

Yet another paper from Germany addressed the emerging need to transport heat pumps, a subject that had already been discussed by the RID/ADR/ADN Joint Meeting, where it was considered sensible to treat heat pumps in the same way as refrigerating machines, since they work on the same principle and use the same refrigerant gases. Amendments to the relevant special provisions, 119 and 291, were adopted for inclusion in the 2023 editions of RID, ADR and ADN and the Sub-committee had already taken a look at the issue.

Germany now arrived with some concrete proposals for amending the Model Regulations by creating two additional entries specifically for heat pumps.

There was a divergence of opinion. Some experts supported the idea of separate UN entries and special provisions, while others preferred a similar approach to that already taken by RID/ADR/ADN. An alternative might be to group refrigerating machines and heat pumps under the same UN number but with the proper shipping name changed to ‘machines containing refrigerating gas’. Germany offered to prepare a new document, taking into account the comments received.

The Netherlands opened discussion on the transport of magnetic resonance imaging (MRI) scanners, which typically contain significant quantities of liquefied helium; these are transported under UN 1963 Helium, refrigerated liquid. Technical development has led to a new type of MRI scanner, which contains no more than 1.5 kg of compressed helium; several bodies have discussed these models, for which UN 1963 may no longer be appropriate. Some experts have suggested that these MRIs should be transported as UN 2857 Refrigerating machines while others felts UN 3538 Articles containing nonflammable, non-toxic gas, nos would be m ore appropriate.

The Netherlands proposed either a new entry and special provision for MRI scanners or the assignment of MRI scanners to UN 3538 with an explanatory special provision. The Sub-committee could see the need for a solution but could not agree what it might be; one option would be to include MRI scanners under the mooted ‘machines containing refrigerating gas’ entry. The Netherlands and Germany will work on this ahead of the next session.

Germany also followed up on earlier work around the need to reflect the corrosivity hazard of UN 1040, 1041 and 3300 Ethylene oxide mixtures, following a reclassification in the 14th ATP to the CLP Regulation. The Sub-committee had already taken a look at

this and agreed the need for change and Germany’s paper offered a reasoned proposal for amendments. On a vote, and with some amendment, the proposals were adopted.

In the Dangerous Goods List (Table A of Chapter 3.2), ‘8’ is added as a subsidiary hazard in column (4) against UN 1040, 1041 and 3300. In the Guiding Principles, table 4.3, in the entry for Division 2.1, in the ‘Notes’ column, “Nos. 1041,” is added after “UN”. This is to reinforce the assignment of portable tank instruction T50 to both UN 1040 and 1041.

Sweden proposed an amendment to the classification of UN 1727 Ammonium hydrogendifluoride, solid (also known as ammonium bifluoride), which is currently assigned to Class 8, PG II. However, a recent incident during loading indicated that the substance also presents an oral toxicity hazard sufficient to meet the Division 6.1 criteria. Indeed, a registration dossier for the substance held by the European Chemicals value of 130 mg/ kg, which meets the criteria for Division 6.1, PG III. Sweden proposed to reflect this in the Dangerous Goods List, with a new special provision to provide a transitional period.

Dangerous Goods?

Since 1st Jan 2023, all UK consignors must have an appointed DGSA

change is to enter ‘6.1’ in column (4) of the Dangerous Goods List against UN 1727.

Italy introduced the Sub-committee to the concept of the wearable airbag, designed primarily for motorcyclists but with plenty of other existing or potential markets. These are similar to avalanche rescue backpacks, but

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substance, together with a small lithium battery and one or two canisters containing non-flammable pressured gas (argon or helium). Lacking more precise indications, such wearable airbags are usually shipped either as UN 2990 Life-saving appliances, self-inflating, or UN 3268 Safety devices, electrically initiated. Italy was interested to hear the experts’ opinion on which of these options is preferable or, indeed, if other action

The Sub-committee agreed to the change of classification but felt there was no need for a transitional period. As a result, the only

The Sub-committee welcomed Italy’s paper and agreed on the need to include such lifesaving systems within the provisions of the Model Regulations. It was noted that the classification of dangerous goods should be hazard-based and not based on their use. The chair invited all experts to send their comments to the expert from Italy, who offered to prepare an official document for the next session and to take account of the feedback received.

NEW ENERGIES

Germany had also been looking at the emerging potential for liquid organic hydrogen carriers (LOHCs) to be used as a way of transporting hydrogen safely and relatively cheaply, given the increasing demand for hydrogen as a decarbonised fuel in industrial and transport applications. One of the substances identified as a suitable carrier is benzyl toluene, which is currently transported under UN 3082 as an environmentally hazardous liquid. To examine how the presence of physically dissolved hydrogen in benzyl toluene affects the substance’s hazard characteristics during transport, the Physikalisch Technische Bundesanstalt (PTB) was commissioned to carry out some tests, including looking at the potential for the creation of potentially explosive atmospheres above the liquid phase of the hydrogenated and dehydrogenated material due to the release of physically dissolved hydrogen during transport. This work indicated that an upper limit for the volume of dissolved hydrogen in the carrier is needed, which

Germany proposed as 0.5 L(H2)/kg(LOHC). It also offered a text for a new special provision to be assigned to UN 3082.

The Sub-committee welcomed the information but some experts felt that further research and a more detailed study were needed. It was also noted that benzyl toluene is only one possible LOHC and it may be necessary to take a more generic solution so as to take other possible carriers into account. Germany offered to lead inter-sessional discussions and submit a more detailed document for the next session.

The World LPG Association followed up on discussions at the previous session on changes in the LPG industry to meet renewable and sustainability goals and, most specifically, the growing use of dimethyl ether (DME) as a blending component to reduce the carbon intensity of LPG. According to the regulations as they stand, such blends should be assigned to UN 3161 Liquefied gas, flammable, nos. However, its is the Association’s belief that, for effective hazard communication, a separate UN number is needed.

The Sub-committee did not wholly agree, with some experts seeking more justification and others feeling that the transport conditions may need to be varied according to the ratio of DME in the blends. It was agreed that further work is necessary and the Association offered to work on risk-based evidence to justify a new UN number, with a new proposal planned for the next session.

The World LPG Association also reported that bio-LPG is becoming more commonplace and, while this is in all respects identical to the LPG derived from petroleum refining, it is not based on petroleum. LPG is assigned to UN 1075 Petroleum gases, liquefied; bio-LPG derived from biological or recycled carbon feedstock does not ostensibly meet this description. In an informal document, the Association raised the idea of adding a new special provision for UN 1075 and 1965 to clarify that non-petroleum gases may also be carried under those entries. While there was general support, the Sub-committee did not accept the text offered and discussion will resume at the next session.

PACKAGING PROBLEMS

At the previous session, the Netherlands had reported on cases where dangerous goods had been found to have leaked from hermetically sealed packagings; discussion at that meeting identified that the term “hermetically sealed” is not defined in the Model Regulations and that those packing instructions that require hermetically sealed packagings do not give any specific requirements or criteria. Since then, the Netherlands had gone through the Model Regulations and identified places where other terms, such as ‘gas-tight’, ‘air-tight’ and ‘leak-tight’, are used; some variation reflects the various possible phases (liquid, vapour or gas) but that does not account for all of the differences. Furthermore, it is not clear whether these terms refer to packagings being leak-tight from the inside out or from the outside in, or both.

In order to clear up the confusion, the Netherlands offered two versions of a definition for ‘hermetically sealed’, both specifying that the packaging is designed and constructed “in such a way that there is no

egress from or ingress into the package under normal conditions of transport”. The Sub-committee agreed that there was a need for clarification but that might involve addressing the different wordings used on a case-by-case basis. The Netherlands offered to return with a more detailed document at the next session.

The World Coatings Council (WCC) in an informal document reported on the outcome of discussions at a lunchtime working group at the previous session, looking at the transport provisions for small quantities of environmental hazardous paints, printing inks and related materials. The work was prompted by WCC’s concern over the availability (or rather lack of) suitable UN-approved plastics packaging in sizes between 5 and 30 litres, as commonly used by the industry. WCC made it clear that it was not aiming to change the requirements relating to classification, marking/labelling and documentation; rather, it wished to provide an

exception to allow paints and printing inks to be transported in non-UN-approved packagings in these sizes. There had been some suggestions as to how this could be achieved, with the most widely supported idea being an amendment to the existing packaging provision PP1 in Packing Instruction P001.

The Sub-committee remained hesitant to accept such an exemption for paints and printing inks but not for other substances. WCC invited all experts to send comments and suggestions, prior to developing a formal proposal for the next session.

INFORMAL GROUP WORK

Cefic reported on the discussions of the informal correspondence group on polymerising substances and selfaccelerating polymerisation temperature (SAPT), established by EWG at the previous session to evaluate industry best practice for ensuring stabiliser is present and effective

during transport. The correspondence group quickly concluded that SAPT is not the correct safety parameter to be used and, in any event, cannot be determined for stabilised polymerising substances. There was, though, general support to focus on the so-called polymerising induction time (PIT) as the parameter to be used to guarantee safety during transport; this can also be used in relation to SP386.

A second round of correspondence will be held in spring 2024, with the aim of picking up on the discussion by EWG at the 64th session of the Sub-committee in June/July 2024.

Germany proposed an amendment to the classification of chlorophenolic substances. Currently these are assigned to UN 2020 (solid) or 2021 (liquid), Division 6.1, PG III. Both the UN Model Regulations and the International Maritime Dangerous Goods (IMDG) Code also reference dichlorophenols under these entries.

However, it has emerged that 2,4-dichlorophenol presents a corrosive hazard as well as its toxic hazard, which should be reflected in its classification. It may be that there are other chlorophenols that also have additional hazards and these are not addressed under UN 2020 or 2021. IMO’s Editorial & Technical Group (E&T), on the basis of a paper from Germany, proposed allocating 2,4-dichlorophenol to UN 2923 Corrosive solid, toxic, nos and felt it appropriate for Germany to take the proposal to the TDG Sub-committee, which it now did, recalling that it had raised the issue during the previous biennium.

Germany proposed two options, firstly to introduce a new special provision for UN 2020 and 2021 specifying that chlorophenols presenting an additional hazard should be transported under the appropriate nos entry, or secondly to create two new UN entries for chlorophenols that have a corrosive hazard.

There was no clear preference among the Sub-committee, though it was agreed that action was needed. Following discussion, and on the basis of an additional informal document from German with more data, it was decided to go with a revised version of the second option. As a result, the existing proper shipping names will change slightly, with UN

2020 becoming “Chlorophenols, toxic, solid, nos” and 2021 becoming “Chlorophenols, toxic, liquid, nos”. It has been suggested that reference to special provision 274 be added in column (6) against these two entries but there was some opposition and that has been kept in square brackets pending confirmation.

In addition, two new entries have been adopted:

UN 3561 Chlorophenols, corrosive, toxic, solid, nos, Class 8, Division 6.1 subsidiary risk, PG II.

UN 3562 Chlorophenols, corrosive, solid, nos, Class 8, PG II.

Both the two new entries are given a limited quantity value of 1 kg, excepted quantity code E2, and are assigned packing instructions P002 and IBC08, special packing provisions B2 and B4, portable tank instruction T3 and special tank provision TP33. In addition, special provision 274 is also tentatively assigned to UN 3561.

All these changes are also reflected in Table B of Chapter 3.2.

A tripartite proposal arrived from COSTHA, FAO and the Dangerous Goods Trainers Association (DGTA), which sought a reasoned revision of the transport regulations for infectious substances, noting that the Sub-committee had addressed the issue numerous times over the past 20 years in response to challenges experienced in fitting the regulations to reality. The three bodies asked for a lunchtime working group to address a list of topics.

That session resulted in a plan of action, which is likely to lead to several proposals for amendment:

• WHO shared its experience of the challenges in moving infectious substances in Central Asia, which has created barriers to timely transport; this could be ameliorated by reviewing and revising the Indicative List of pathogens in 2.6.3.2.2.1, developing particular provisions for quality assurance samples, and identifying ways to speed up the determination of Category A/B assignments to deal with regional health issues. WHO will lead this work

• COSTHA and DGTA noted that some regional health organisations consider the inclusion of pathogen names on shipping

documents represents a security risk and require the technical name to be replaced with a more general phrase; it is important, from an emergency response point of view, that the pathogen name is available.

• Packing instructions P650 and P620 do not adequately address when it is permitted for lithium batteries to be included in equipment or devices that must be shipped as Category A or B infectious substances. Similarly, the exception in 2.6.3.2.3.9 for used medical devices lacks a provision for lithium batteries. COSTHA and DGTA will lead this work.

• P650 also makes it difficult to use ‘dry shippers’ (below)’, which are designed to transport biological specimens at cryogenic temperatures. FAO and Belgium will work on a proposal for presentation to the Sub-committee.

• The group proposed that it should continue to work on these topics and any others that arise, by means of an intersessional working group. The Sub-committee

encouraged this approach and looked forward to receiving formal proposals for amendment at future sessions. Canada noted that the practice of reclassifying existing entries for dangerous goods has become more prevalent in recent years but that each reclassification involves a case-by-case revision to the applicable packaging provisions. Canada believes that a more systematic approach is needed and offered a framework for possible discussion by an informal working group. After a short meeting during a coffee break, Canada offered to lead an intersessional informal working group to review the Guiding Principles and the factors that should be taken into consideration when looking at amending the packing requirements. The Sub-committee welcomed the initiative.

The second part of this two-part report on the TDG Sub-committee’s 63rd session in next month’s HCB will cover discussions relating to energy storage devices, the transport of gases, miscellaneous proposals for amendment, global harmonisation issues and other business.

PACKAGING PLASTICS

MARITIME • IMO IS CLOSE TO AGREEING RECOMMENDATIONS FOR THE TRANSPORT OF PLASTICS PELLETS. IT HAS YET TO BE DECIDED IF THESE RECOMMENDATIONS CAN

BE MADE MANDATORY

THE INTERNATIONAL MARITIME Organisation’s (IMO)

Sub-committee on Pollution Prevention and Response (PPR) agreed draft recommendations for the carriage of plastic pellets by sea at its 11th session in London last month. The new recommendations were developed in response to growing international concern over the amount of plastics waste in the world’s oceans and the awareness that a significant proportion of this plastics waste derives from the accidental release of plastics pellets being carried as cargo.

Plastics pellets are small plastics granules widely used as a raw material in the creation

of plastic products. Normally transported by the tonne in freight containers, spills in the ocean can harm marine life and impact fishing, aquaculture and tourism activities. The most recent major incident occurred off the coast of Galicia in Spain, when millions of pellets washed ashore after accidental release from a ship.

The draft recommendations are quite general in scope, stating that:

• Plastic pellets should be packed in good quality packaging that should be strong enough to withstand the shocks and loadings normally encountered during transport. Packagings should be

constructed and closed to prevent any loss of contents that may be caused under normal conditions of transport, by vibration or acceleration forces.

• Transport information should clearly identify those containers that contain plastics pellets. In addition, the shipper should supplement the cargo information with a special stowage request.

• Freight containers containing plastic pellets should be properly stowed and secured to minimise the hazards they present to the marine environment without impairing the safety of the ship and persons on board. Specifically, they should be stowed under deck wherever reasonably practicable, or inboard in sheltered areas of exposed decks.

These recommendations were forwarded for urgent consideration and approval by IMO’s Marine Environment Protection Committee (MEPC) at its 81st session this month. The draft had already been reviewed by IMO’s Sub-committee on Carriage of Cargoes and Containers (CCC) at its ninth session this past September, where some constructive comments were made; CCC had no objection to PPR finalising the work.

AFTER THE SPILL

PPR has also drawn up some guidelines on cleaning up spills of plastics pellets from ships. These offer practical guidance for government authorities and other entities involved in development large-scale national strategies as well as smaller scale, sitespecific response plans. The guidelines cover contingency planning, response, post-spill monitoring and analysis, and intervention and cost recovery. These will be updated as the industry gains more experience with their application. These draft guidelines will be discussed by MEPC at its 82nd in October 2024, though PPR also invited IMO member states to start using the guidelines at their earlier convenience, pending formal approval. PPR also held extensive discussions on possible amendments to other IMO instruments that would allow its recommendations on plastics pellets to be made mandatory; these discussions will continue at future sessions.

PUT A CORK IN IT

EMISSIONS CONTROL • CANADA IS CATCHING UP WITH OTHER JURISDICTIONS IN SPECIFYING VOC EMISSIONS LIMITS FOR PETROLEUM STORAGE AND TRANSFER FACILITIES

CANADA’S

DEPARTMENTS

OF the Environment and Health have published proposals to introduce national provisions covering the release of volatile organic compounds (VOCs) from the storage and transfer of petroleum liquids. The proposed regulations would replace the current patchwork of voluntary and mandatory measures across the country.

The proposed Reduction in the Release of Volatile Organic Compounds (Storage and Loading of Volatile Petroleum Liquids) Regulations would require petroleum liquid storage tanks and loading racks to be equipped with emissions control equipment. Operators of these facilities would be required to install, inspect, maintain and repair equipment to ensure adequate emissions control performance. The proposed Regulations would also include recordkeeping and reporting requirements for operators. Facilities that would be subject to the proposed Regulations include petroleum

liquid terminals and bulk plants, petroleum refineries and petrochemical facilities

The proposed Regulations would establish equipment-based requirements for new and existing volatile petroleum liquid storage tanks and loading operations at regulated facilities. The proposed Regulations define criteria for the time permitted for regulated facilities to bring equipment into compliance and these criteria are based on the equipment’s prior condition and emissions risk. The implementation of the proposed Regulations would follow a phased-in approach, requiring regulated facilities to prioritize highest-emitting equipment.

WHY THE NEED?

Canada’s regulatory authorities say that petroleum liquid storage and loading operations are among the largest sources of uncontrolled VOC releases from the petroleum and petrochemical sectors. However, the voluntary and mandatory measures currently

in place do not sufficiently address the health and environmental risks associated with VOCs as smog precursors, nor do they adequately address the health risks of specific carcinogenic VOCs, such as benzene. It is common for multiple large facilities to be located near each other in and around urban areas, increasing the local population’s risk of exposure to elevated levels of benzene. Ambient air monitoring near some facilities has measured benzene levels that may pose a risk to human health.

Following screening assessments under the Chemicals Management Plan that identified risks to human health, the Department of the Environment, working jointly with the Department of Health, developed regulations to control fugitive emissions of VOCs from the petroleum and petrochemical sectors. The Reduction in the Release of Volatile Organic Compounds Regulations (Petroleum Sector) were finalised in November 2020. These Regulations limit fugitive emissions, including carcinogenic substances such as benzene, from equipment leaks at petroleum refineries, upgraders, and petrochemical facilities that are integrated with a petroleum refinery or upgrader.

It was argued by some indigenous peoples and non-governmental organisations that further action was needed to address additional sources of VOCs, including the storage and loading of petroleum liquids. The proposed Regulations would address these additional emission sources.

Initial consultations on the proposed Regulations began in May 2021 and further consultations were carried out with indigenous groups and other interested parties, prior to the publication of the proposed regulations in Canada Gazette Part I on 24 February. There is a 60-day consultation period due to end on 25 April.

The proposed Regulations and supporting material comprise an extensive document containing a lot of detail on what the regulatory bodies will expect from industry and the timeline they are proposing, as well as details of the required testing and inspection. It can be found in full at https://gazette.gc.ca/ rp-pr/p1/2024/2024-02-24/html/reg1-eng.html.

NEWS BULLETIN

REGULATIONS

PHMSA AMENDS CLASS 1 RULES

The US Pipeline and Hazardous Materials Safety Administration (PHMSA) has issued a notice of proposed rulemaking (NPRM) under docket HM-257A containing proposals to amend the Hazardous Materials Regulations in respect of: the classification and approval process for low-hazard fireworks; the classification of small arms cartridges (to include tracer ammunition); use of the PHMSA portal to submit applications for explosives approvals; and voluntary termination of explosives approvals.

The proposed changes aim to streamline procedural requirements for fireworks manufacturers and shippers and also to address classification and packaging inconsistencies.

The comment period closed on 28 February; PHMSA will now work towards finalising the rulemaking.

OSHA GIVES PSM GUIDANCE

The US Occupational Safety and Health Administration (OSHA) has issued a directive setting out its enforcement policy as regards its standard for process safety management (PSM) of highly hazardous chemicals, found at 29 CFR 1910.119. The directive provides its enforcement personnel with OSHA’s interpretation of the standard but will also be of use to facilities that are required to comply with the PSM standards.

The new directive replaces a document issued by OSHA in 1994. Since then, the agency has been instructed to update the PSM rule and it has conducted a number of reviews over the past ten years but it appears that it has decided that better enforcement is needed rather than any rule changes.

The directive itself is mainly presented in a question and answer format, based on the questions OSHA has received and the interpretations it has made since the PSM standard was first promulgated in 1992.

The directive can be downloaded from the

OSHA website at https://www.osha.gov/sites/ default/files/enforcement/directives/CPL_02-01065.pdf.

FRA ASKS FOR BA

The US Federal Railroad Administration (FRA) has published a final rule amending its occupational noise exposure provisions to include a requirement to provide train crews and certain other employees with “an appropriate atmosphere-supplying emergency breathing apparatus” when in the cab of a train carrying a hazardous material that poses a toxic inhalation hazard.

The change harks back to a number of derailment incidents in 2004 and 2005, where railroad workers died after inhaling chlorine released from damaged tank cars. The National Transportation Safety Board (NTSB) issued a recommendation that FRA require railroads to provide emergency escape breathing apparatus (EEBAs) to crew members, which was backed up by the Rail Safety Improvement Act (RSIA) in 2008. FRA responded with a proposed rulemaking in 2010 but, in light of comments received and a cost-benefit analysis, issued instead a guidance document to help railroads develop EEBA programmes. NTSB was not happy with this but it has taken another 13 years for FRA to put the recommendation into effect. The new requirements will become effective on 26 March.

ADR NOW IN ARABIC

Euromed, the EU’s Euro-Mediterranean Partnership, has completed an Arabic language version of ADR 2023. The former lack of an Arabic language version was seen as a shortcoming as ADR is becoming more widely used, particularly in Africa, where some Arabicspeaking countries have already acceded to the Agreement.

The Arabic language version, as with the three official languages (English, French,

Russian), can be downloaded at https://unece. org/transport/standards/transport/dangerousgoods/adr-2023-agreement-concerninginternational-carriage.

The UN Economic Commission for Europe (ECE) has also published a consolidated list of the amendments agreed thus far that will appear in the 2025 edition of ADR. The lengthy document has been put together by the UN ECE Secretariat for review and adoption by the Working Party on the Transport of Dangerous Goods (WP15) at its next session in the first week of April.

It should be noted that there are still opportunities for further amendments to be adopted both at that session and at the Joint Meeting session in the last week of March, so this is not the final list of changes. Nevertheless, it does contain most of the significant amendments that dutyholders will need to comply with once ADR 2025 takes full effect in July 2025.

ADG REVIEW MOVES ON

Australia’s National Transport Commission (NTC) has published a tenth working group discussion paper as part of its full review of the Australian Dangerous Goods (ADG) Code. This latest paper examines the special provisions assigned to specific dangerous goods in chapter 3.3 and the provisions for safe carriage, loading, unloading and handling of dangerous goods and compares them to the current code. This paper should be read in conjunction with the draft Part 3 and draft Part 7 of the Code.

NTC has included 54 specific questions in the Executive Summary of the paper and is seeking stakeholder views by 22 April. The comment periods for the nine earlier papers have now closed. NTC’s website includes links to all ten discussion papers and the drafts currently available of the new Code at https://www.ntc.gov. au/transport-reform/ntc-projects/comprehensivereview-australian-dangerous-goods-code.

SEE, HERE

PREVIEW • STOCEXPO RETURNS ONCE MORE TO ROTTERDAM THIS MONTH, PROMISING TO BE BIGGER AND BUSIER THAN EVER. WHAT CAN VISITORS EXPECT TO SEE AND HEAR?

IT IS ALARMING to think that it is now almost 20 years since the first StocExpo exhibition, which took place in 2005. Originally moving each year between the main Benelux ports of Rotterdam (representing the oil storage sector) and Antwerp (for chemicals), StocExpo has now settled into the Ahoy exhibition centre in Rotterdam as its home.

Each year – barring pandemics – since then, thousands of industry personnel from all sides of the bulk liquids storage business have gathered to see the latest innovations on the exhibition stands and hear from leading industry speakers in the conference area. This year there will be more than 200 exhibitors at

the Ahoy and two conference streams running alongside, providing the best opportunity to keep up to date with the latest developments.

It should come as no surprise that, alongside the twin imperatives of safety and efficiency, the topic of sustainability (in all its forms) has come to the top of the agenda at StocExpo in recent years. This will be reflected in papers during the conference and on various booths around the show hall.

AT THE EDGE

Part of that coverage will include a look at how leading-edge IT systems are transforming the storage terminal; indeed,

according to portfolio director at StocExpo, Margaret Dunn: “This year, more than any previous year, StocExpo is shining a light on AI and robotics both in our two-stream conference and on the exhibition floor. If you’re a terminal operator looking to modernise your processes and improve your ability to protect the welfare of your team, StocExpo is the place to be.”

Reflecting the tank storage industry’s efforts to digitise and automate, StocExpo’s show floor will feature tech demos from AI and robotics specialists from all over the world. Delegates will have the opportunity to see live demos and learn more about cutting-edge equipment and software from the likes of Terra, Gerotto Flyability, Square Robot, AIS, Voliro, Cliin and many more.

The Terminal Operations & Safety Conference alongside the show will also feature a number of talks on the various applications of robotics and AI from cyber security to tank inspection, damage detection, and document management.

“Tank storage is a foundational industry, one of tight margins and high processing risk. As such, any tools to improve efficiency and health and safety through digitisation and automation are going to be critical,” Dunn adds.

DO THE ROBOT

One of those IT-based companies, Square Robot, has something interesting to bring to the local audience. Last month it appointed its first every vice-president for Europe, Chris Carlston. This will open up the company’s storage tank inspection robots to a wider audience, not least its SR-3 sidelaunched robot that was launched in the US this past September. Having completed more than 20 successful operations since then in the US and Middle East, the SR-3’s technology and side manway launch capabilities enable the inspection of tanks containing both high and low flashpoint products. “Completion of SR-3 opens up a world of new tanks for us to be able to inspect and keep from going out-of-service,” says David Lamont, CEO of Square Robot. With Carlston in place, Square Robot intends to establish a regional office and

The quarterly magazine from the Tank Storage Association

Tank storage provides an essential interface between sea, road, rail and pipeline logistics.

THE EUROPEAN TANK STORAGE SECTOR AND DYNAMIC CHANGES WITHIN THE GLOBAL CONTEXT

Also in this issue, we explore the value of digital technology in a training environment and the many innovations and initiatives that are taking place in the bulk storage and energy infrastructure sector.

Insight is published by the Tank Storage Association, the voice of the UK’s bulk storage and

To contact the editorial team, please email info@ tankstorage.org.uk

TSA Insight Team

CONNECT WITH US

@UK_TSA

Tank Storage Association

TSA

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CONTACT

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Telephone: 01462 488232

Welcome to the spring issue of Insight. The intensification of systematic competition and signs of fragmentation of the global economic and trade order, climate change and the Covid-19 pandemic among others, have highlighted vulnerabilities of the UK’s essential supply chains. Against this backdrop, the UK government has recently published its first critical imports and supply chain strategy, which aims to build resilient supply chains and safeguard critical imports. In this issue of Insight, we explore what’s next for the European tank storage sector amid dynamic changes within the global context and reflect on COP28 where discussions have once again amplified the importance of the role of the private sector in helping meet the 1.5°C target. I hope you enjoy this new edition of the magazine and don’t forget to follow us on social media for all our latest news.

Peter Davidson Executive Director, TSA

Peter Davidson, Jamie Walker, Nunzia Florio

Contents

04 Addressing the growing threat of PFAS (or ‘forever chemicals’) in the UK

In recent years, the pervasive use of per- and polyfluoroalkyl substances (PFAS) has emerged as a significant environmental and public health concern.

07 UK Government announces plan to introduce carbon border adjustment mechanism

The UK government has announced its plan to introduce a UK carbon border adjustment mechanism (CBAM) by 2027.

08 The European tank storage sector and dynamic changes within the global context

Growing global strategic competition has been reflected in a wider move toward protectionism and increased state support for strategic sectors.

11 UK critical imports and supply chain strategy

The UK government has recently published its first critical imports and supply chain strategy.

12 Managing process safety through a project life cycle in high hazard industry

Risk assessment is both a legal requirement and an essential tool for ensuring that your risks are properly understood and managed.

14 Advancing petrochemical safety and efficiency: Dantec composite hoses and the development of PTFE coated hose fittings

Dantec, a world leader and pioneering force in composite hose solutions, has now made advancements in PTFE coated hose fittings.

16 Petroleum Driver Passport scheme celebrates its 10th anniversary

2024 marks ten years of the Petroleum Driver Passport (PDP) scheme.

18 COP28 – How ambitious should the private sector be?

The discussions at COP28 have once again amplified the importance of the role of the private sector in helping meet the 1.5°C target.

22 UM Group launches global wellbeing campaign

UM Group has launched a major fundraising campaign as part of its global wellbeing initiative for 2024.

24 The value of digital technology in a training environment

Virtual training helps ensure that learners are wellequipped to handle real world emergencies and can, therefore, make informed decisions in high-pressure situations.

27 Introducing Paul Symons, Managing Director of Teamwork Security and Training Services Ltd.

Paul Symons joined Teamwork Security and Training Services Ltd. in 2023 after a successful career in various security roles.

28 Enhancing sustainability in industrial operations and maintenance by reducing hazardous emissions

ETS Group and its companies ENDEGS and SIS offer innovative and sustainable greentech solutions.

ADDRESSING THE GROWING THREAT OF PFAS (OR ‘FOREVER CHEMICALS’) IN THE UK

IIn recent years, the pervasive use of perand polyfluoroalkyl substances (PFAS) has emerged as a significant environmental and public health concern.

Bill Atkinson, Chief Scientific Advisor, Adler and Allan

n recent years, the pervasive use of perand polyfluoroalkyl substances (PFAS) has emerged as a significant environmental and public health concern.

The World Health Organisation has just reclassified one such compound – PFOA – that was widely used in nonstick pan coatings and firefighting foams – as a known carcinogen. As Chief Scientific Advisor and head of the company’s pollutant advisory group, it’s my role to be aware of these emerging issues and to advise and assist our clients in meeting the challenges that these issues may pose to them. This ranges from an increased understanding of the complexities surrounding PFAS and the risks that they pose, to taking proactive steps to combat this growing threat.

Understanding PFAS: a persistent menace

PFAS are a group of many thousands of man-made organofluoride compounds consisting of multiple fluorine atoms attached to a carbon

chain (which is attracted to oil) and with a ‘head’ that is attracted to water. It is this combination of attraction (and repulsion) to both oil and water, as well as their chemical stability, that makes PFAS compounds ideal for their many applications. They do not metabolise or break down into much simpler compounds very easily, and under typical soil conditions, it can take over 1,000 years for some PFAS to degrade. It is hence why they are known as ‘forever chemicals’.

It is because they do not break down in the environment naturally that leads to PFAS contaminating soils and drinking water as they migrate through both. It has been recently reported that PFAS has been detected in 17 of England’s 18 water companies. The persistent build-up of PFAS in the environment then leads to PFAS entering the local wildlife and aquatic life, which then moves up the food chain (a process called bioaccumulation) and can potentially lead to human contamination through consumption of contaminated food.

Why phase-out is not making the problem go away

As more data has emerged on their persistence and toxicity, some ‘longer chain’ PFAS compounds like perfluorooctanoic acid (PFOA) and perfluorooctane sulfonate (PFOS) have been subject to global regulations restricting or banning their use.

They have been typically substituted

with shorter-chain alternatives, but this has given rise to new concerns.

Short-chain PFAS may have lower performance, leading to increased quantities being used and emitted. Their widespread use intensifies environmental and human exposure, possibly perpetuating the issues posed by their long-chain counterparts. In addition, the longerterm toxicity of the vast majority of these newer alternatives is still largely unknown. They may also be more difficult to remove using existing technologies.

One of the most significant challenges posed by PFAS is their persistence in the environment. Even with a halt in their release, PFAS will persist for generations, necessitating ongoing efforts to address contamination and its far-reaching effects. The socioeconomic costs of PFAS contamination, including irreversible damage to natural resources, are considerable and difficult to quantify (one NGO even estimates the societal cost as high as €16 trillion per year).

Regulatory frameworks and future initiatives

The concerns about PFAS are leading to several increasing restrictions or proposed changes.

The European Chemicals Agency (ECHA) published its EU REACH restrictions for PFAS in February 2023. This proposal aims to place limits on more than 10,000 per- and

Adler and Alla won the Innovation of the Year category at the prestigious UK & Ireland Spill Association Annual Awards 2023. In a remarkable case study, Adler and Allan demonstrated its exceptional capabilities, ingenuity, and unwavering commitment to safeguarding the environment and critical infrastructure.

polyfluoroalkyl substances. In the US, the EPA have been developing their definition of PFAS and, in October 2023, they released a final rule that eliminated an exemption that allowed facilities to avoid reporting information on PFAS when those chemicals were used in small concentrations.

In 2022, the UK Drinking Water Inspectorate (DWI) published an updated information letter and guidance for PFAS compounds in drinking water, requiring water companies in England and Wales to monitor for a wider range of PFAS and update their risk assessments accordingly. The DWI guidance follows a tiered approach with a guideline value of 0.1 micrograms per litre, which is equivalent to 0.1 parts per billion. However, dedicated legislation - or even guidance - on soil quality is lacking.

Our commitment and innovations

We are at the forefront of tackling PFAS-related challenges, working with our clients to implement solutions that are innovative in terms of how existing technology like the use of granular activated carbon (GAC), reverse osmosis, and ionic exchange is applied, or takes in newer and more innovative processes like flocculation.

One such recent and ongoing project won the Innovation of the Year category at the prestigious UK & Ireland Spill Association Annual Awards 2023. In a remarkable case study, Adler and Allan demonstrated its exceptional capabilities, ingenuity, and unwavering commitment to safeguarding the environment and

critical infrastructure. The project began with an electrical fault that led to the release of over 14 million litres of PFAS-containing firefighting foam and water at a major energy infrastructure site. The emergency presented a daunting challenge due to the presence of PFAS (Perand Polyfluoroalkyl Substances). Given the potential ecological and financial consequences of a massive environmental incident, Adler and Allan stepped in and within hours of the incident, trained incident responders and a range of ground and marine recovery equipment were deployed to contain the spill and prevent further contamination.

An innovative solution to PFAS disposal Adler and Allan developed a pioneering end to end solution to rapidly contain, treat, and process the escaped pollutants. This innovative approach effectively reduced PFAS levels to below the stringent lower limits set out by the Environment Agency, making the cleaned water safe for discharge and averting a significant amount of asset downtime.

This case study underscores Adler and Allan’s commitment to protecting the environment and nationally critical infrastructure. In addition to its market-leading emergency response capabilities, the company called upon its considerable knowledge and expertise in hazardous chemical management and consultancy to deliver a complete turnkey solution, from emergency response to ongoing asset care, ensuring the minimisation of environmental, financial, and reputational costs.

Data-driven cleanup

Adler and Allan’s consultancy division conducted comprehensive data analysis to track the exact route of contamination across the site, enabling precise targeting of affected areas. Adler and Allan remains committed to pushing the boundaries of what is possible in pollution management, control and response, setting a new industry standard in the process.

A call to collaborate and innovate

The PFAS issue reinforces our commitment to effective environmental stewardship. Collaboration between industries, governments, and research communities is imperative. Together, we can drive innovation, develop sustainable practices, and address the multifaceted challenges posed by PFAS. The journey to a PFAS-free future starts with increased awareness of the problem. This hopefully leads to collective action. We are committed to creating better environmental outcomes for our clients and society in general. This includes tackling the PFAS issue, so that together, we can safeguard our environment, protect public health, and build a more resilient and sustainable future for all.

To learn more about Adler and Allan’s award-winning case study and commitment to environmental excellence, please visit www. adlerandallan.co.uk.

Author Bill Atkinson, Chief Scientific Advisor, Adler and Allan

UK Government announces plan to introduce carbon border adjustment mechanism

On 18th December 2023, in its response to the consultation on policy measures to address the risks of carbon leakage, the UK government announced its plan to introduce a UK carbon border adjustment mechanism by 2027.

The consultation, titled “Addressing carbon leakage risk to support decarbonisation”, ran from 30th March 2023 to 22nd June 2023, and received over 160 responses. It sought views on a carbon border adjustment mechanism (CBAM), mandatory product standards (MPS) and other policy measures to help grow the market for low carbon products, It further sought views on emissions reporting which could support future carbon leakage and decarbonisation policies. A summary of responses received during the consultation has been published.

While most details will be decided following a further government consultation in 2024, the announcement envisages for the UK CBAM to apply to imports of iron and steel, aluminium, cement, fertiliser, hydrogen, ceramics and glass “by 2027.” However, it is not clear as yet whether there will be a transitional period similar to the EU CBAM. Goods imported into the UK from countries with a lower or no carbon price will have to pay a “comparable price” to equivalent goods produced in the UK. The CBAM’s charges will depend on

both the amount of carbon emitted from the imported good’s production, as well as the “gap between the carbon price applied in the country of origin - if any - and the carbon price faced by UK producers.” The UK CBAM will apply to Scope 1 (emissions relating to the direct activities owned or controlled by an organisation), Scope 2 (emissions relating to an organisation’s consumption of purchased electricity) and selected precursor emissions embodied in importer products.

The design and delivery of the UK CBAM, including the precise list of products in scope, will be subject to further consultation this year.

Alongside a CBAM, the government has also announced its intention to work with industry to establish “voluntary product standards that businesses could choose to adopt to help promote their low carbon products to customers; and to develop a framework which measures the carbon content of goods, that could support other decarbonisation policies in future.” To that end, a technical consultation on voluntary product standards and embodied emissions reporting will be carried out in 2024.

THE EUROPEAN TANK STORAGE SECTOR AND DYNAMIC CHANGES WITHIN THE GLOBAL CONTEXT

TGrowing global strategic competition has been reflected in a wider move toward protectionism and increased state support for strategic sectors.

Peter Davidson, Excutive Director, Tank Storage Association

he bulk storage and energy infrastructure sector plays a vital role in providing services that are critical to UK, European and global consumers. The sector supports an essential interface between sea, road, rail and pipeline logistics for a diverse range of products that are essential to our daily lives, including transport and heating fuels, chemicals, animal feed and foodstuffs. Terminals also provide greater resilience within the supply chain by ensuring flexibility to meet demand, particularly in periods where domestic supplies of stored products cannot be guaranteed. Around twenty-two of the terminals operated by our members in the UK are designated by the Government as Critical National Infrastructure due to their importance in providing energy to industrial, transport and defence markets. Storage capacity also includes strategic reserves held for emergencies and supply disruptions. Most recently, the “energy trilemma” of security, affordability and sustainability has come into sharper focus owing to recent shifts across energy markets - driven largely as a

consequence of Russia’s war in Ukraine - and in the wider geopolitical landscape.

These shifts have also resulted in greater volatility and fragmentation and in some nations taking steps aimed at minimising dependencies on ‘non-aligned blocs’. And it is against this backdrop, that a study by The Hague Centre for Strategic Studies (HCSS)1 undertaken as part of a series of papers analysing the role of European tank storage in the global energy system, examines changing geopolitical landscapes and the evolving role of terminals. In this study, titled “European tank storage and changing geopolitical landscapes”2 and published in summer 2023, the HCSS delves deeper into the impact of the war in Ukraine on European energy security and decarbonisation, with a specific focus on the bulk storage and energy infrastructure sector.

The HCSS report highlights the fact that while international trade remains essential for the supply security of a range of strategic industrial and energy products, it is taking place under increasingly challenging conditions. And growing global strategic competition, accelerated by the Covid-19 pandemic and the Russian invasion of Ukraine in early 2022, has been reflected in a wider move toward protectionism and increased state support for strategic sectors. Indeed, the report notes that China, the US, Japan and the EU

have all introduced plans to increase self-sufficiency, for example, in digital technologies, such as chips and artificial intelligence, energy - critical minerals and green tech - as well as space and defence. Most recently, the US Inflation Reduction Act (IRA)3 signed into law on 16 August 2022, commits, among other measures, $370 billion4 to improve energy security and promote innovative technologies through a mix of tax incentives, loan guarantees and grants,5 while in the EU the Critical Raw Materials Act (CRMA) and Net Zero Industry Act (NZIA), widely seen as a response to IRA 2022, are aimed at accelerating the move toward a competitive green economy.

There are other examples too. Japan’s Green Transformation Promotion Act, known as ‘GX’, aims to mobilise over 150 trillion yen (well over $1 trillion) through cooperation between the public and private sectors over the next 10 years to ensure a stable supply of energy, strengthen industrial competitiveness and promote decarbonisation efforts.6 Australia has also established the A$15 billion National Reconstruction Fund to support supply chains and bolster the development of strategically important industries. The report, in its analysis, is clear as regards the impact of renewed great power competition and the race for technological leadership on Europe’s supply security concerns and carbon neutrality plans. It also points out that, currently, Europe more generally,

remains dependent on imports, for example, of oil and natural gas from the US, Norway, and OPEC+, with storage companies active in energy logistics playing a critical role in energy security and resilience.

Against this backdrop, the study is also clear that, with regard to the short term, Europe will need resilient infrastructure and supply chains, as well as strategic reserves of oil and natural gas to mitigate price shocks and supply shortages. In the long term, the report concludes, similar interventions may be necessary to secure supplies of future energy carriers. Indeed, with Europe increasingly dependent on longer and more volatile supply chains – that may be impacted, for example, by geopolitical developments, weather events or logistics bottlenecksreadily available domestic storage capacity will continue to be critical in mitigating potential market shocks. This also highlights the need for sufficient available storage capacity and strategic stocks across a range of current and future energy carriers and industrial inputs. For example, the report notes that, currently, European oil comes from a variety of different sources including the US and Saudi Arabia, and must cross large distances to arrive in European ports. Similarly, with regard to natural gas, this is primarily sourced as LNG and the competition with other markets is expected to remain dominant going forward, particularly in the absence of long-term contracts.

In the UK, more specifically, latest data by the Department for Energy Security and Net Zero (DESNZ) shows that in 2022,7 the US overtook Norway as the UK’s largest crude import source and accounted for over a third of all crude oil imports during that year. With regard to petroleum products, these were sourced from a large mix of countries, across that year, including India, Kuwait, Saudi Arabia, the US and Belgium. In 2022, according to DESNZ,8 LNG imports to the UK reached a record high of 25.6 bcm, rising 74 per cent on the previous year. They accounted for 45 per cent of natural gas imports, and 35 per cent of demand, with the US accounting for half of total imports. Most crucially, UK LNG infrastructure was utilised to allow the UK to act as a land-bridge to increase natural gas imports to mainland Europe as it pivoted away from Russian gas.9

At the same time, the HCSS report points out to the possibility of industrial actors moving their operations away from Europe in the event of energy prices remaining high over the coming years and a lack of mitigating responses, thus eroding competitiveness, and reducing investment attractiveness. This would result in increased import dependency on the bulk liquid storage sector. With much uncertainty going forward and against a complex background, it is clear that the bulk storage and energy infrastructure sector will continue to be pivotal in mitigating risks by providing resilient

infrastructure and supply chains and by holding sufficient buffers of critical products to mitigate price shocks and shortages both for current products and for future energy carriers and industrial outputs. Indeed, on the journey towards carbon neutrality, European infrastructure will go through significant changes and will require significant investment and planning to ensure the import, production, storage and transport of new energy carriers.

Looking to the future, energy carriers used across sectors and industries will vary and more types of fuels and carriers will likely need to be stored in strategic reserves. For example, stockholding obligations may extend to synthetic aviation fuels for the aviation sector, green ammonia or methanol for shipping, or critical minerals. Adaptations as regards infrastructure for new fuels and energy carries, and the transportation of these, will also have to form part of considerations.

The complex journey ahead will therefore undoubtedly require a framework that engenders investor confidence and partnership with the bulk storage and energy infrastructure sector to help reach the solutions that will mitigate risks amidst geopolitical shifts, but also deliver on future opportunities.

References

1. The Hague Centre for Strategic Studies, ‘Energy Storage in Transition’ <https://hcss.nl/ energy-storage-in-transition/>

2. Irina Patrahau, Lucia van Geuns and Michel Rademaker, The Hague Centre for Strategic

Studies, ‘European tank storage and changing geopolitical landscapes’ (22 June 2023) <https://hcss.nl/report/ european-tank-storageand-changing-geopoliticallandscapes/>

3. H.R.5376 - Inflation Reduction Act of 2022, Congress.gov

4. The White House, ‘Inflation Reduction Act Guidebook | Clean Energy’ <https://www. whitehouse.gov/cleanenergy/ inflation-reduction-actguidebook/>

5. Irina Patrahau, Lucia van Geuns and Michel Rademaker, The Hague Centre for Strategic Studies, ‘European tank storage and changing geopolitical landscapes’ (22 June 2023)

6. It aims to reduce greenhouse gas emissions by 46% by 2030 compared to 2013 levels and make Japan carbon neutral by 2050

7. Department for Energy Security and Net Zero, ‘Digest of UK Energy Statistics (DUKES)’ <https://www.gov.uk/ government/collections/digestof-uk-energy-statistics-dukes>

8. Department for Energy Security and Net Zero, ‘Special feature article from the March 2023 edition of Energy Trends statistical publication’ <https:// www.gov.uk/government/ publications/energy-trendsmarch-2023-special-featurearticle-supply-of-liquefiednatural-gas-in-the-uk-2022>

9. Ibid.

Author

Peter Davidson is TSA’s Executive Director and is responsible for all

aspects of advocacy and lobbying on behalf of the sector, and for promoting process safety leadership, helping members achieve excellence in this area and work toward becoming high reliability organisations. Peter works in close collaboration with the UK Government and Regulators and is a leading member of a number of cross-industry committees, Process Safety groups and the Federation of European Tank Storage Associations.

About the Tank Storage Association

The Tank Storage Association (TSA) represents the interests of over 70 member companies engaged in the storage of bulk liquids and the provision of products and services to the sector. Collectively, its members operate 309 terminals and distribution hubs in the UK and have over 11 million cubic metres of storage capacity in the United Kingdom (UK) and Republic of Ireland (ROI). TSA’s members provide and support an essential interface between sea, road, rail and pipeline logistics for many different substances including transport and heating fuels, chemicals, animal feed and foodstuffs.

About the Hague Centre for Strategic Studies

The Hague Centre for Strategic Studies (HCSS) is a knowledge institute that conducts independent research. HCSS’s goal is to offer factbased analysis of the challenges that our societies face in order to inform public discourse, public and private strategic decision making and contribute to international and national security in accordance with liberal democratic values.

UK critical imports and supply chain strategy

The UK government has recently published its first critical imports and supply chain strategy, which aims to build resilient supply chains and safeguard critical imports. The strategy is the first of its kind and builds on the 2023 integrated review refresh, published in March 2023, the advanced manufacturing plan and the recent semiconductors, batteries and critical minerals strategies. The ‘Critical Imports and Supply Chains Strategy’ sets out how government will work with business and international partners across five priorities:

1. Making the UK government a centre of excellence for supply chain analysis and risk assessment.

2. Removing critical import barriers to support the UK’s businessfriendly environment.

3. Building the UK’s response to global supply chain shocks.

4. Ensuring the UK can adapt to long-term trends.

5. Expanding collaboration between government, business and academia.

The strategy notes that dynamic changes within the global context, the intensification of systematic competition and signs of fragmentation of the global economic and trade order, climate change and the Covid-19 pandemic among others, have highlighted vulnerabilities of the UK’s essential supply chains. It therefore focuses on the reliable

access to the critical imports and goods needed now and in the future. The strategy defines critical imports as ‘those goods imported into the UK which are critical to the UK security and prosperity’, further noting that ‘[t]his primarily refers to goods which are essential for the operation of the UK’s designated Critical National Infrastructure (CNI) sectors and / or to the success of the government’s five growth sectors’. CNI currently encompasses the chemicals, civil nuclear, communications, defence, emergency services, energy, finance, food, government, health, space, transport and water sectors. The five growth sectors, as set out by the Chancellor in January 2023, are creative industries, digital technology, green industries, life sciences and advanced manufacturing. A new Critical Imports Council is expected to be set up in the next few months to bring together businesses in critical and growth sectors and government to identify risks to critical imports and develop an action plan. In addition to the Critical Imports Council, new structures within government will be set up to manage and assess delivery of the strategy and a progress update, setting out the steps that have been taken to manage the delivery of the strategy and plans for further work, will be published in due course.

The UK Critical Imports and Supply Chain Strategy can be found on the UK government’s website.

MANAGING PROCESS SAFETY THROUGH A PROJECT LIFE CYCLE IN HIGH HAZARD INDUSTRY

DRisk assessment is both a legal requirement and an essential tool for ensuring that your risks are properly understood and managed.

ecarbonisation is a subject at the forefront of everyone’s mind and the goal of decarbonisation in high hazard industry is a pivotal one. The pressure is on for organisations to decarbonise their infrastructure, assets, and business models but this does not come without its challenges; whether that be cost, a lack of clear regulation and policy, logistical challenges, stakeholder resistance, or the pressures to meet targets. But what about the need to integrate process safety management as early as possible in the project life cycle of emerging technologies? Whilst there is no difference between the need for early identification and mitigation of safety risk in this growing sector to that of more traditional industry, with growing levels of public awareness, the stakes might be just that bit higher.

Let’s take hydrogen. It’s a hot topic. Hydrogen is an ideal source of clean energy but it’s a very small molecule, making it prone to find ways out of equipment, and it has a wide flammability range in air, a low ignition

energy, and can be explosive even when unconfined, making it harder to manage, factors that must be considered when designing hydrogen systems. If we fail to acknowledge these and other safety considerations at the design stage, the potential for large safety consequences and, indeed publicity, could be catastrophic and delay if not derail the progress to achieving the goal of high hazard industry decarbonisation.

The preliminary stages of the project life cycle are where most of your preparation should be done - you should be looking for ways to achieve inherent safety. Returning to hydrogen and its inherently unsafe properties as an example, where substitution for a safer material isn’t possible, you need to look for inherently safer options elsewhere. Can you reduce stored volumes, reduce pressures, or minimise process steps?

Next, look at separation distances between equipment, layout and configuration of plant units, and distances between occupied areas. Checklists exist that can help with these considerations; for example, the IChemE Safety Centre guidance ‘Applying process safety during a concept select phase of a project’ or the Energy Institute’s guidance on ‘Applying inherent safety in design: Reducing process safety hazards whilst optimising CAPEX and OPEX.’ Whilst the importance of inherent safety is clearly recognised, our experience is that it is not often given

the attention it deserves. All projects have pressures, whether it be from the multitude of teams involved in the concept vs detailed design phases, to a lack of documented processes, and this often means that safety is not given enough focus and is rarely documented. Using a stagegated project system which includes confirmation that appropriate studies have been conducted to inform the project’s feasibility decisions is, therefore, crucial to ensuring that safety has remained one the main priorities. It also makes good business sense. Looking to minimise risk at the initial stages of a project will de-risk the project overall. Without considering process safety at this point, there is the potential for the design to progress only to be found that when the risks are finally assessed they are found to be unacceptable.

As the detail of the design develops, so too will the detail of the risks. Whether you are a COMAH establishment or not, a risk assessment is both a legal requirement and an essential tool for ensuring that your risks are properly understood and managed. The starting point in any risk assessment is hazard identification and techniques will differ depending on the project. The essential reference for anyone considering a risk assessment in a process industry is Lees’ ‘Loss Prevention in the Process Industries,’ and it does an excellent job of summarising the numerous techniques available to us. Another valuable reference is hySafe’s HIAD

database which provides research into past incidents and enables us to learn from past mistakes. Remember, it’s essential to keep in mind the reasons why you are conducting a risk assessment.

Risk assessment can take many forms and is made of many parts so it’s important to understand the toolbox that is available to you and to pick the right tool for your situation. Once again, we return to the example of hydrogen. With projects appearing in populated areas, the stakes are higher and a larger amount of quantification is likely to be required. Consequence modelling is one such approach that will assist with this, and with the extensive levels of research into the outcomes of hydrogen releases currently underway, especially as we move to handling and storing it in large volumes, the Fire and Blast Information Group (FABIG) are an essential reference.

About RAS Safety Consultants

Established in 1993, RAS is an independent company of Risk Management Consultants which has grown from a handful of specialists in the North West to a continually evolving team working with leading companies in the energy,pharmaceuticals, and specialist chemical sectors across the world.

For more information, please visit www.ras.ltd.uk

ADVANCING PETROCHEMICAL SAFETY AND EFFICIENCY: DANTEC COMPOSITE HOSES AND THE DEVELOPMENT OF PTFE COATED HOSE FITTINGS

Dantec, a world leader and pioneering force in composite hose solutions, has now made advancements in PTFE coated hose fittings.

In the dynamic and challenging landscape of the petrochemical industry, the quest for innovative solutions to enhance safety, durability, and efficiency has never been more critical. Dantec, a world leader and pioneering force in composite hose solutions, has now made advancements in PTFE coated hose fittings and is reshaping the way industries address challenges in applications where traditional metal fittings are not suitable.

Dantec composite hoses: a foundation of reliability

Dantec composite hoses have earned a distinguished reputation for being a reliable and robust solution in the petrochemical industry. The unique construction of these hoses involves layers of diverse materials strategically combined to create a resilient and versatile product. Let’s delve into the key attributes that make Dantec composite hoses an integral component in the petrochemical sector.

1. Chemical resistance and corrosion protection: One of the standout features of Dantec composite hoses is their exceptional chemical resistance. In petrochemical processes where a myriad of corrosive substances is encountered, these hoses act as a formidable barrier, preventing the permeation of hazardous materials. The multi-layered composition ensures longevity and protects against corrosion, making them an ideal choice for transporting aggressive chemicals.

2. Flexibility and versatility: Dantec composite hoses are engineered to be highly flexible, facilitating easy installation even in complex layouts. This flexibility, coupled with their versatility, allows these hoses to be deployed across a spectrum of applications within the petrochemical industry. From bulk transfer operations to vapour recovery, Dantec hoses provide a comprehensive solution, adapting to the diverse needs of petrochemical processes.

3. Safety assurance: Safety is paramount in the petrochemical industry, and Dantec composite hoses are manufactured to EN 13765:2018 and are designed with an unwavering commitment to this principle. The multi-layered construction minimizes the risk of leaks, spills, and accidents, contributing significantly to a safer working environment for personnel. This safety assurance

also protects valuable assets, preventing potential damage and downtime.

The evolution of PTFE coated hose fittings: enhancing petrochemical ppplications

Building upon the robust foundation laid by Dantec composite hoses, the petrochemical industry has witnessed a recent breakthrough with the development of PTFE coated hose fittings. These fittings, when integrated with composite hoses, offer a synergy of advantages that address challenges in applications where traditional metal fittings may not be the optimal choice.

1. Enhanced chemical compatibility: PTFE coated hose fittings introduce an elevated level of chemical compatibility to the hose assembly. Petrochemical operations often involve the transfer of various corrosive substances, and the superior chemical resistance of PTFE ensures the longevity and reliability of the entire assembly. This advancement extends the range of chemicals that can be safely conveyed, providing a versatile solution to meet diverse industry needs.

2. Temperature stability and electrical insulation: PTFE’s remarkable temperature stability aligns seamlessly with the demands of the petrochemical industry, where elevated temperatures are commonplace. When used as a coating for hose fittings, PTFE

ensures the assembly’s durability and functionality under harsh conditions.

3. Non-stick surface and easy maintenance: The non-stick nature of PTFE is a gamechanger in applications where product purity is paramount. The coating on hose fittings prevents the adherence of substances, reducing the risk of contamination and ensuring the integrity of the conveyed products. Furthermore, the non-stick surface facilitates easier maintenance and cleaning, contributing to the overall efficiency of petrochemical operations.

Dantec composite hoses, combined with the recent advancements in

PTFE coated hose fittings, represent a formidable leap forward in enhancing safety, reliability, and efficiency in the petrochemical industry. The integration of these technologies addresses the unique challenges posed by corrosive substances, elevated temperatures, and the need for product purity. As the petrochemical sector continues to evolve, the development by Dantec of PTFE coated fittings is poised to play a pivotal role in shaping a safer, more resilient, and efficient future for the industry. The combined benefits of Dantec composite hoses and PTFE coated fittings underline their significance in addressing the evolving needs of petrochemical processes.

For further details, see Dantec.com

PETROLEUM DRIVER PASSPORT SCHEME CELEBRATES ITS 10TH ANNIVERSARY

T2024 marks the 10th anniversary of the Petroleum Driver Passport (PDP) scheme, an industry initiative backed by government.

his year marks the 10th anniversary of the Petroleum Driver Passport (PDP) scheme, an industry initiative backed by government designed to ensure that all tanker drivers in the UK are trained and assessed to a consistent standard in loading, transporting and offloading petroleum fuel products from road tankers.

The PDP scheme was developed by the Downstream Fuel Distribution Forum (DFDF) - formerly known as the Downstream Oil Distribution Forum - a partnership of employers, industry bodies and trade unions. The DFDF was first established in 2012 to provide an on-going platform for the discussion and resolution of issues relating to health and safety as well as training in the downstream oil industry. Its current membership ranges from hauliers, to trade associations, government departments - namely the Department for Transport and the Department for Energy Security and Net Zero - and trade unions. As part of its early collaborative work, in 2014, the DFDF launched the PDP scheme to improve safety standards

and training in the petroleum product distribution area of the road haulage sector. The scheme established a common standard for the training of all petroleum tanker drivers, which importantly, was backed by a system of approval and enforcement. Since its inception, the PDP has been managed by Scottish Qualifications Authority (SQA) in conjunction with the PDP Management Group, a subgroup of the DFDF. UK terminals began using the PDP as a requirement of entry from 1st January 2015 and continue to act as the primary point of enforcement. The PDP scheme is not only a guarantee of consistent, externally verified training but also an important example of effective collaboration between employers, unions, trade associations, regulatory bodies, sector skills councils and Government, working in partnership toward a common aim.

The PDP is a driver card demonstrating to terminal operators, hauliers, customers and the wider public that petroleum tanker drivers have been trained to the same consistently high and externally verified standard in all aspects of tanker driving from prevehicle checks to loading, driving and discharging. At the heart of this voluntary scheme is an industry training standard which specifies all the required knowledge and practical skills for a petroleum tanker driver. The driver card is renewed on a five-year cycle, in line with a driver’s ADR (Agreement concerning the International Carriage of Dangerous

Goods by Road) licence, and has an annual practical assessment and an annual classroom training requirement to maintain validity and ensure that standards are upheld throughout the cycle. The DFDF also successfully negotiated with the Joint Approvals Unit for Periodic Training (JAUPT) –now part of the Driver and Vehicle Standards Agency (DVSA) and called the DVSA Training Accreditation team - that the annual training requirement could count towards Driver Certificate of Professional Competence (CPC) hours. Therefore, the annual PDP training provides highly relevant CPC training and no additional training burden on employers. Indeed, when developing the training standard and syllabus, the DFDF aimed to ensure that these were not only fit for purpose and of good quality but also that they did not overlap with existing measures already established. In addition, the scheme is supported by a comprehensive suite of documentation, including the industry training standard, the PDP syllabus and a scheme manual, as well as a website containing all relevant information and a host of useful resources for drivers, employers and trainers. The DFDF reviews all documentation annually as part of its commitment to maintaining and improving the scheme.

Ten years on from its introduction, the scheme has gone from strength to strength and today over 11,000 tanker drivers in the UK hold a PDP card. The success of the PDP is testament

to the commitment and dedication of all DFDF members whose core focus continues to be centred around the promotion of high levels of safety and competency across the fuel distribution sector. To mark this important milestone, the DFDF is inviting everyone, from card holders to members, partners and founders to take part in the scheme’s digital celebration throughout 2024 using the hashtag #PDP10. It has also created a dedicated 10th Anniversary page on the Petroleum Driver Passport’s website (www.pdpassport.com) containing a number of downloadable resources. This site also features a video containing statements from members, partners, and a range of stakeholders to reflect on progress to date and the road ahead needed to address the training and competency needs of the industry well into the future.

As it looks ahead to the next ten years and beyond, the DFDF looks forward to continuing to work collaboratively on issues relating to health and safety and training in the downstream fuel distribution sector and will continue to engage in important discussions in relation to future training, safety and competency needs for net zero. Marking this milestone provides an important opportunity to recognise the growth of the scheme and positive achievements over the last ten years while also strengthening and extending multi-stakeholder dialogue and co-operation as the sector continues to evolve.

COP28 – HOW AMBITIOUS SHOULD THE PRIVATE SECTOR BE?

TThe discussions at COP28 have once again amplified the importance of the role of the private sector in helping meet the 1.5°C target.

he tumultuous two weeks of COP28 negotiations have come to an end with countries agreeing on a deal to transition away from fossil fuels. Fossil fuels were the main topic of conversation at the conference, as the host country, the United Arab Emirates, is an oil-rich nation. Following on from COP27, there was an expectation from many participants and the public that COP28 would make a more pronounced commitment to combat climate change and meet the 1.5°C target set at 2015’s COP21 in Paris.

But what changes has COP28 really made?

We expect to see a finalised version of the COP28 deal highlighting the actions and targets necessary to tackle the climate emergency. The initial outcomes of the COP28 include:

1. Transition away from fossil fuels: After several countries refused1 to sign the initial drafts of the agreement due to its weak, non-committal nature - stating the initial draft needed to send

a clearer message on the future use of fossil fuels - on Wednesday 13th December, countries agreed on a deal to transition away from fossil fuels in “a just, orderly and equitable manner, accelerating action in this critical decade, so as to achieve net zero by 2050 in keeping with the science”.2 Multiple countries have already criticised the deal for its language on ‘transitioning away from fossil fuels’3 rather than including strong and direct language to stress the importance of action to reduce emissions.

2. Countries had varying levels of support for the deal: COP28 saw nearly 200 countries4 agreeing to the deal; however, some were more on board than others. Over 100 of the 200 countries5 present in Dubai asked for the first draft to be modified to include mention of fossil fuels phase-out. Large oilrich economies were supportive of the more flexible relaxed language and proposed actions included in the deal, whilst small island states that are severely impacted by climate change were disappointed and claimed they “weren’t in the room”6 while the decision was made to approve the final text loopholes that “leave the door open for false solutions like carbon capture and storage and nuclear”.

3. Science refresh: The scientific backdrop to COP28 was hardhitting. The United Nations Framework Convention on

Climate Change expressed severe concern 2023 is set to be the warmest year on record,7 and accelerated action is necessary to meet targets. To achieve a 1.5°C goal,8 the parties were reminded it would need a 43% cut of global emissions by 2030 and 60% by 2035 relative to 2019 levels. Enabling this would require a major increase in targets and policies when countries submit new commitments in 2024.

4. Loss and damage fund: As an update to last year’s agreement, the loss and damage fund was operationalised on the first day of COP28, garnering $700 million in pledges.9 UAE and Germany pledged $100 million each towards the fund. However, the UK and US only committed $75 million and $17.5 million, respectively, falling short of expectations. The sum of $700 million represents only 0.2% of the irreversible losses that developing nations are grappling with, due to the impacts of a changing climate.

5. Nature-based climate action: 18 countries endorsed the Joint Statement on Climate, Nature and People10 to accelerate the Kunming-Montreal Global Biodiversity Framework11 (GBF) adopted at COP15 (read our article on the GBF)12 therefore, emphasising the goal of conserving 30% of the Earth’s land and sea by 2030. In addition, the Mangrove Breakthrough

goal13 of protecting and restoring 15 million hectares of mangroves globally gained traction as 21 countries officially endorsed it.

But what does this mean for business in the near future?

The discussions at COP28 have once again amplified the importance of the role of the private sector in helping meet the 1.5°C target. There is a need for businesses to understand their impact on the climate and how climate impacts business. It is now considered the bare minimum to adapt and mitigate the changes ahead.

Commitment to reducing emissions

Businesses should focus on setting near-term and long-term emission reduction goals that align with the latest climate science15 and global emission targets. Stakeholders and investors are becoming increasingly aware of the challenges business may face regarding emissions and climate, therefore, setting ambitious targets is a first step in showcasing commitment to the global 1.5°C target. Disclosing a climate action plan or transition plan that shows the actions management will take to reach the target provides the opportunity for a business to demonstrate its credibility and communicate successful implementation – when achieved - to its customers and shareholders.

Regulation

Climate has become a regular agenda item in boardrooms due to

the ongoing shift in voluntary and mandatory climate reporting. Below are two key reporting frameworks that have been developed and issued in 2023 that are expected to become mandated for private companies in the near future.

1. Transition plans

The Transition Plan Taskforce (TPT)16 finalised its gold standard for private sector climate transition plans in October 2023. As companies set public commitments to reach net zero, climate action plans are crucial for stakeholders to assess their credibility. In line with the Taskforce for Climate-Related Disclosure (TCFD) recommendations, climate transition plans are expected to become mandatory, with the UK Financial Conduct Authority (FCA) announcing it is consulting on expectations for listed companies.

2. ISSB

The new International Sustainability Standards Board (ISSB)17 framework had support from the TCFD, Climate Disclosure Standards Board (CDSB) and the Value Reporting Foundation (which consolidated the Integrated Reporting Framework and SASB Standards before itself falling under the ISSB) on its release in June 2023. The ISSB is not currently mandated, but there is speculation that businesses will be legally required to adopt the framework as it brings multiple reporting standards (IFRS S1 and IFRS S2) into one framework. Currently, TCFD is mandated by the

FCA18 and the UK Government19 for large UK companies.

Where next?

As with any negotiation, not every attendee got what they wanted, but most will have left Dubai with some sense of partial achievement. Where the UN goes from here (as it now sets its sights on COP29, scheduled to be hosted next November in Azerbaijan) is perhaps best summed up by its climate chief Simon Stiell who claimed “genuine strides forward”20 were made, but the initiatives announced are “a climate action lifeline, not a finish line”. He stated that, “while we didn’t fully turn the page on fossil fuel, this is clearly the beginning of the end”, expressing that “this agreement is an ambitious floor, not a ceiling. So, the crucial years ahead must keep ramping up ambition and climate action”. And companies’ own visions, commitments and activities should be seen in that same context or, to paraphrase the poet Robert Browning, what they can reach for needs to exceed what they can merely grasp at.

References

1. Adam Morton, ‘Cop28: Australia, US and UK say they won’t sign agreement that would be ‘death certificate’ for small islands’, The Guardian (11 December 2023)

2. UNFCC, Outcome of the first global stocktake. Draft decision -/ CMA.5. Proposal by the President, 13 December 2023 <https:// unfccc.int/sites/default/files/ resource/cma2023_L17_adv.pdf>

3. Adam Morton, Patrick Greenfield, Fiona Harvey and Nina Lakhani in Dubai, and Damian Carrington, ‘Cop28 landmark deal agreed to

‘transition away’ from fossil fuels’, The Guardian (13 December 2023)

4. Areesha Lodhi, ‘COP28 Dubai is over: Four key highlights from the UN climate summit’, Al Jazeera (13 December 2023)

5. ‘COP28 draft deal slammed for dropping call to phase out fossil fuels’, Al Jazeera (11 December 2023)

6. Natasha Turak, ‘Pacific Islands lash out at COP28 presidency: ‘We weren’t in the room’ when deal was announced’, CNBC (13 December 2023)

7. UNFCC, Outcome of the first global stocktake. Draft decision -/CMA.5. Proposal by the President, 13 December 2023 < https://unfccc.int/sites/default/ files/resource/cma2023_L17_ adv.pdf>

8. Damian Carrington, ‘Good Cop, bad Cop: what the Cop28 agreement says and what it means’, The Guardian (13 December 2023)

9. Nina Lakhani, ‘$700m pledged to loss and damage fund at Cop28 covers less than 0.2% needed’, The Guardian (6 December 2023)

10. Convention on Biological Diversity, COP28 Joint Statement on Climate, Nature and People, 9 December 2023 <https:// www.cbd.int/article/climatenature-people-statementclimatecop28-2023>

11. Kunming-Montreal Global Biodiversity Framework, Decision 15/4, U.N. Doc. CBD/COP/ DEC/15/4, 19 December 2022 <https://www.cbd.int/doc/ decisions/cop-15/cop-15-dec04-en.pdf>

12. Ida Bailey, Nature and Natural Capital Lead – Europe, SLR, ‘The

evolving relationship between farmland and biodiversity’ (13 December 2023)

13. Global Mangrove Alliance, ‘The Mangrove Breakthrough, A call to Action’

14. COP28, Press Release, ‘United for Nature: COP28 mobilizes action to protect and restore forests, mangroves, land and ocean’ (10 December 2023)

15. Science Based Targets initiative (SBTi), ‘Understand the methods for science-based climate action’ (25 February 2021)

16. Transition Plan Taskforce (TPT) <https://transitiontaskforce.net/ about/>

17. International Sustainability Standards Board <https://www. ifrs.org/groups/internationalsustainability-standardsboard/issb-frequently-askedquestions/>

18. Financial Conduct Authority (FCA), Press Release, ‘FCA welcomes launch of ISSB standards’ (26 June 2023)

19. Department for Business, Energy and Industrial Strategy, ‘Consultation response: Mandatory climate-related financial disclosures by publicly quoted companies, large private companies, and LLPs’, (October 2021)

20. United Nations, Press Release, ‘COP28 ends with call to ‘transition away’ from fossil fuels; UN’s Guterres says phaseout is inevitable’ (13 December 2023)

Authors

Lucy Dugdale-Moore (Specialist Consultant) and Bipasha Ray (ESG and Sustainability Senior Consultant)

In focus

2024 Tank Storage Conference & Exhibition

The Tank Storage Association’s Conference & Exhibition will return to the Coventry Building Society Arena on Thursday 19 September 2024. The UK’s flagship event for the bulk storage and energy infrastructure sector continues to provide one of the best opportunities for anyone interested in effective and safe bulk liquid storage operations to come together to share knowledge and network.

The conference programme will once again feature top keynote speakers from government, regulators and industry, as well as subject experts offering delegates thought-provoking discussions and thorough analyses on a range of key industry issues.

Delegates will get the chance to delve deeper into up-to-the-minute topics relevant to the bulk storage and energy infrastructure sector, including the energy transition, net zero priorities, demand trends and supply infrastructure, and much more.

Peter Davidson, Executive Director of the Tank Storage Association, said: “This year’s event allows us to consider latest innovations and developments in the bulk storage and energy infrastructure industry, while also highlighting our focus on the future of the sector in the journey to climate neutrality. The tank storage industry is an essential part of the UK’s energy infrastructure, providing resilient,

innovative and flexible solutions to the energy, industrial, transport and defence sectors. Our industry is also firmly focused on seizing the growth opportunity that net zero presents as it looks to the import, production, storage and transport of new energy carriers including renewable energies, hydrogen or synthetic fuels among others. The Conference & Exhibition will once again provide us with an opportunity to hear from a panel of renowned experts about the challenges and opportunities for our sector against a complex and evolving landscape.”

Registration will open shortly for delegates. Exhibitors can book a stand by visiting the Tank Storage Association’s website at www. tankstorage.org.uk/conferenceexhibition.

For those looking to elevate their presence further, sponsorships packages are also available.

The Tank Storage Association looks forward to welcoming members, exhibitors and delegates on 19 September 2024. To stay connected until then, please schedule a call with our conference organisers on 01462 488232 or write to tsa@tankstorage. org.uk.

UM GROUP LAUNCHES GLOBAL WELLBEING CAMPAIGN

UThe Great Molasses Challenge will see colleagues across UM Group join forces to raise tens of thousands of pounds for the charity Farm Africa.

M Group, which includes bulk liquid storage specialist UM Terminals, has launched a major fundraising campaign as part of its global wellbeing initiative for 2024.

The Great Molasses Challenge will see colleagues across the Group join forces to raise tens of thousands of pounds for the charity Farm Africa.

The unique challenge aims to cover the distance of the first ever UM molasses shipment in 1912 – a total of 4820 miles (7712 km) from the Dominican Republic to Hull. Between April 24th and June 9th colleagues can do their bit by running, walking, swimming or cycling. With around 200 employees, this works out at an average of 24.10 miles each.

The intention is to finish the challenge in Hull on June 9th when a number of colleagues will be taking part in the Hull 10K.

Colleagues have already signed up to take part in various other activities including the London and Edinburgh

Marathons, Liverpool and Bristol halfmarathons, Battersea Park 5K and 10K. There will also be lunchtime walks in London and other locations around the Group.

While the fundraising campaign will raise as much money as possible for Farm Africa, it also forms part of the Group’s wider wellbeing initiative which seeks to promote the importance of physical and mental wellbeing. This initiative will run across the Group throughout 2024.

To coordinate activities, a Great Molasses Challenge committee has been established comprising Geraldine Carroll, Mark Few, Simon Markham, Nigel Jones and Louisa Brown. There will also be champions across the Group to further promote awareness and encourage as many colleagues as possible to get involved.

Farm Africa is working to reduce poverty by helping farmers in eastern Africa to grow more, sell more and sell for more. Thanks to the work of the charity and its supporters, rural families are growing their incomes while also protecting their local environment for future generations.

Simon Markham, UM Group’s Head of Molasses (GB), said: “We are really excited about the Great Molasses Challenge and the role it can play not only in helping to raise vital funds for Farm Africa, but also for promoting the importance of physical and mental

wellbeing within the UM Group. We have deliberately made it easy for everyone to get involved whether you are able to find time for a short walk at lunchtime or whether you want to sign up for a marathon. It could be as simple as taking your dog for a stroll, a light jog or a forest walk. Every mile helps us get a step closer to our target. Alongside the Great Molasses Challenge, UM Group will be running a series of smaller activities and events as part of our global wellbeing initiative, details of which will be made available during the year. We want the initiative to demonstrate the value of physical wellbeing and, in the case of mental wellbeing, to show that it’s important to talk to each other and to know that it’s fine to ask for help or support when you need it most.”

Phil McEvoy, UM Terminals’ Managing Director, said: “The team at UM Terminals is looking forward to playing a full part in making this initiative a huge success. Colleagues from across our seven UK terminals will be taking part in many of the fundraising activities. We will also be extremely active in raising awareness of the importance of a robust and engaging approach towards physical and mental wellbeing in the workplace.”

Among those from UM Terminals taking part in events are Phil, who is running the London Marathon and Liverpool Half Marathon, Jake Ellis, Maintenance Manager, who is taking part in the Liverpool Half Marathon and Hull 10K, and Karl Pass, National

Operations Manager, who is also running the Hull 10K along with other members of the operations team.

UM Terminals offers customers a range of bulk liquid storage solutions out of its strategically located terminals in Liverpool, Hull and Portbury. The company maintains a broad portfolio of around 40 products that it stores including vegetable oils, industrial, food and feed, chemical, fertiliser, fuels, biofuels and base oils. Value-added services include biofuel feedstock pre-treatment, blending, water dilution, product packing, HMRC bonded warehouse and COMAH compliance. UM

Terminals entered 2024 off the back of a sustained period of growth in the previous 12 months with several notable successes including the ongoing expansion of its operations in the biofuels sector.

The company prides itself on the ability to meet customer requests, often technically challenging, providing robust and sustainable solutions that enable customers to achieve their objectives. During 2023, UM Terminals continued to invest in building a highly skilled in-house team across engineering, project management, customer service and integrity management.

Simon Markham, UM Group’s Head of Molasses (GB)

THE VALUE OF DIGITAL TECHNOLOGY IN A TRAINING ENVIRONMENT

Virtual training helps ensure that learners are well-equipped to handle real world emergencies and can, therefore, make informed decisions in high-pressure situations.

John Reynolds, Managing Director, Reynolds Training Services

In the fast-paced and high-hazard world of bulk liquid and gas storage, training is a critical aspect of operational success. At Reynolds Training Services, we understand the importance of equipping professionals with the skills, knowledge and experience they need to navigate these potentially hazardous work environments safely.

In order to train effectively and to reflect the working environments our learners will be finding themselves in - we know that we need to accommodate the latest digital technology which is transforming our sector and must, therefore, transform the way we train.

ISGOTT goes digital

One key example is in the implementation of ‘The International Safety Guide for Oil Tankers and Terminals’ - or ISGOTT. The safety of operations within ports, terminals and onboard vessels depends on the effective application of the ISGOTT standards and particularly on the use of the structured

document referred to as the ‘Ship Shore Safety Checklist’ - or SSSCL.

The launch of ISGOTT v6 provides a wider focus on human factors and the potential risks they pose. There is an emphasis on the wider communication process, which has led to a need to adapt in the way tanker crews and terminal personnel engage and collaborate. The traditional paper-based system has now evolved to a digital app pioneered by Smartflow. This digital solution helps to ensure the relevant sections of the SSSCL are completed and coordinated between both parties clearly and in a timely manner, but also provides a digital record that is easily accessible by all the relevant parties. At Reynolds Training, we’ve had the privilege of partnering with Smartflow as their revolutionary digital solution evolves, so we know that this shift to a digital platform doesn’t in any way diminish the effectiveness of the Checklist, in fact, it enhances it.

Effects of digital technology on learning styles

Digital technology has already revolutionised the way students at school engage with learning materials, it would be the acme of foolishness if we didn’t continue that into adult training. Doing so also allows us to accommodate a range of individual learning styles. Whether it’s through visually engaging graphics, interactive

‘hands on’ simulations or gamified learning platforms, digital tools help to maximise engagement and knowledge retention.

Importantly, the incorporation of gamification elements such as quizzes, challenges and leader boards uses the mechanisms learners recognise from their freetime gaming to help make learning more familiar and more enjoyable, but also reinforces key concepts in a memorable way.

Benefits of safety training in virtual reality

Virtual Reality (VR) has emerged as a game-changer (pun intended)

in training, offering unparalleled opportunities for realistic and immersive learning experiences. VR simulations allow learners to step into virtual replicas of hazardous environments, where they can conduct risk and hazard recognition exercises as well as practise emergency procedures in a safe and controlled setting.

This is exactly why we have been investing heavily in developing Virtual Reynolds - a revolutionary immersive learning environment where learners from anywhere in the world can set foot in our stateof-the-art tank farm (the NCPM - National Centre for Process &

Manufacturing), without having to leave their own site. This immersive 3D environment will enable learners to develop critical decisionmaking skills and confidence in handling complex operations. Moreover, VR bridges the gap between theoretical knowledge and practical application, ensuring that learners are well-prepared to tackle challenges in the actual work environment.

Bringing the virtual and actual together

Learners can gain valuable prior knowledge and familiarity with high hazard environments through virtual simulations, before they are ever

expected to navigate potentially hazardous real-world scenarios.

For example, when a learner turns a valve in VR, we could open the valve up to show them exactly what is happening inside it. That’s not something that can be replicated on site, but it greatly enhances the learner’s understanding of what they’re doing when they are actually on site!

Virtual “hands-on” activities like this provide learners with practical experience and exposure to potential hazards in a safe and controllable way, helping prepare them for the challenges they may encounter in their actual day-to-day work. Virtual training helps ensure that learners are well-equipped to handle real world emergencies and can, therefore, make informed decisions in highpressure situations.

Cost benefits of virtual training

Aside from its educational benefits, VR training also offers significant cost savings. Building a custom virtual training environment will be a quicker and more affordable proposition than constructing a physical facility. Furthermore, virtual training can eliminate at least some of the expenses related to travel, accommodation, subsistence and logistics because learners can participate in our training programs from anywhere in the world without leaving their own site. This can save both money and time whilst also maximising the physical time spent on plant training, as learners will have already gained core underpinning knowledge as they (virtually) practise some skills.

Enhancing not replacing real-world skills

Here at Reynolds Training, we are at the very beginning of this journey into VR training, but we know that it will quickly develop into an essential part of our blended learning offering. It’s important to make clear that we aren’t suggesting VR learning will replace real world hands-on experience. There is no substitute for getting your hands ‘dirty’ in a real bulk storage facility.

So, while virtual training - and the other digital tools we use - offer numerous benefits, it is essential to recognise that these complement hands-on training with time-served experienced trainers, they certainly don’t replace it!

Digital technology provides learners with additional resources and opportunities for practice. But it is only by combining virtual training with real-world experience that we can ensure our workforce is equipped with the knowledge, skills, experience and competence necessary to perform their duties safely and effectively.

Conclusion

Digital technology is revolutionising the high hazard sector, so it is only right that it also revolutionises the way we train people for that sector. From personalised learning styles to realistic VR simulations, digital tools can enhance engagement, improve learning outcomes and, ultimately, contribute to overall safety and efficiency in the workplace. And for us at Reynolds Training Services, that’s the point of the game!

If you’d like to know more about our

pioneering work taking training into the virtual world, just pop over to stand M24 at StocExpo 2024 for a demo, or visit our website: https:// reynoldstraining.com/virtual-reynolds.

Author

John Reynolds, Managing Director, Reynolds Training Services

About Reynolds Training Services

Reynolds Training Services creates and delivers health & safety training and process training, as well as competency management, to build future-focused career pathways for the high hazard industries, covering everything from plant, through logistics, to tank storage. Our courses are underpinned by internationally recognised awarding bodies including NEBOSH, IOSH and GQA.

As a registered Apprenticeship Training Provider, we founded the UK’s first Bulk Liquid Storage Apprenticeship. We also provide bespoke training to meet the needs of our sector today and into the future of energy transition. Always keen to drive forward digital transformation in our sector, we are pioneering the use of 3D VR technology in our training delivery.

Introducing Paul Symons, Managing Director of Teamwork Security and Training Services Ltd.

Paul started at Teamwork Security and Training Services Ltd. in February 2023 after a successful career in various security roles.

Paul’s career started in the British Army at the tender age of 16, Paul served with 29 Commando Regiment and passed out of Army training a day before his 17th birthday and went on to undertake the Commando course. He served in Northern Ireland, Bosnia, Sierra Leone, Afghanistan and Iraq. A very kinetic time which Paul felt privileged to have experienced.

From leaving the military Paul has worked in various security positions, from an offshore security consultant, where he provided security to platforms, ships and port facilities in some of the worlds hotspots, to Head of Training for a renowned security risk management company.

For nearly a decade, Paul was in a busy role of Head of Training & Development at Securewest International. This is where Paul found his passion for ISPS and became the company ISPS Expert. Undertaking Ship & Port Facility Security Assessments globally, writing Ship & Port Security Plans, engaging with flag states on behalf of client (which could be challenging), and was responsible for the development and day to day running of all of all the companies ISPS courses. Further to this, Paul was also ensuring the 170+ maritime staff (at the highest level) were compliant to the ISPS code when deployed on

Shipping sailing through troubled waters.

Prior to starting at Teamwork Security and Training Services Ltd. Paul took a short break out of the security arena and worked for the Ambulance Service, as he is medically trained, and was a security manager at Babcock in Plymouth, concerned with the security of HM Submarines when in dock. Phrases like ‘Continuous at sea deterrent, nuclear reactor and dosimetry’ were a normal part of the working day.

Since joining Teamwork Security and Training Services Ltd., the business has doubled in size, both in staff and client base. The business has also diversified and is now not only providing high quality ISPS consultancy, training, and support, but now has several ‘boots on the ground’ security contracts with Government clients at various Port facilities.

Speaking with Paul about the diversification to provide physical security he commented: “We’ve decided to only recruit military or police veterans for this role, and seeing as all the feedback, performance and reports are nothing but 100% positive, I feel this is the correct decision to push this project forward. Another thing we now do is make the management team ‘work from home’. This not only allows a great working culture for the team but also enables us to keep costs to a minimum, thus allowing the savings

to be passed onto our client base giving us a competitive edge and commercial advantage.”

When Paul was asked what his favourite part of the role is, he commented: “It’s the satisfaction of seeing our clients, some of which were under pressure to become compliant, sail through ISPS audits and inspections because of our teams’ efforts. I feel privileged to have been asked to not only join Teamwork, but to take over the helm from Chris Amos, who, over the past 20 years has done an incredible job creating a sterling reputation for the company, if I can do half as good as he has, I know the company will go from strength to strength.”

Find out more about Teamwork Security and Training Services Ltd. at www.teamwork-security.co.uk

Paul Symons, Managing Director, Teamwork Security and Training Services Ltd.

ENHANCING SUSTAINABILITY IN INDUSTRIAL OPERATIONS AND MAINTENANCE BY REDUCING HAZARDOUS EMISSIONS

TETS Group and its companies

ENDEGS and SIS offer innovative and sustainable greentech solutions.

David Wendel, Managing Director ENDEGS GmbH, Managing Director & CCO ETS Group GmbH

he awareness for environmental protection and sustainability is constantly growing in the industry. Over the last years, many actions have been taken to implement alternative and more environmentally-friendly processes and technologies in the workstreams. A major factor for global warming are greenhouse gas (GHG) emissions that harm both the environment and human health and that are created during many industrial processes.

Thus, it is important for industrial facilities to reduce the hazardous gases, gas mixtures and vapors that are emitted during their operations or during downtimes, revisions and turnarounds. By mitigating the release of hazardous emissions, industry can contribute to reducing the global carbon footprint. Industrial decarbonisation is therefore a useful tool for reaching the ambitious, yet highly necessary, climate goals such as climate-neutrality by 2050 and net-zero emissions. While many good actions have already been taken, more still needs to be done.

Innovative Environmental Technology Services

As part of the ETS Group, ENDEGS and SIS offer a broad portfolio of services for the reduction of industrial emissions. As experienced experts that have been operating for over 17 years now in the fields of degassing, emissions reduction and environmental technologies, the companies of the ETS Group offer a broad range of innovative solutions for industries such as oil and gas, chemical and petrochemical, marine, shipping and logistics as well as food and fertilizer.

Applying the innovative ETS Group technologies for mobile emissions reduction contributes to decarbonisation and helps industrial facilities to significantly mitigate hazardous emissions. The services of ENDEGS and SIS are environmentallyfriendly, sustainable and specialise in the effective elimination of hydrocarbons, VOC (volatile organic compounds) and HAP (hazardous air pollutants) emissions from venting and flaring. The innovative ETS emissions reduction services include mobile degassing, mobile vaporizers with nitrogen tanks, mobile ATEX Zone 0 blowers and the ATEX Zone 0 robot as a rental service.

Mobile degassing and backup services

The mobile vapor combustion units of ENDEGS and SIS are ideally suited for the degassing of all components that are applied in industrial facilities

such as tanks, containers, pipelines, vacuum trucks, vessels, ships and much more. ETS mobile incinerators can also be used for the temporary replacement of stationary emissions reduction systems like vapor recovery units (VRU) during downtimes due to maintenance or repair. This way, daily operations can continue as usual during the downtime, as facilities without a functioning are not allowed to operated, saving customers time and money.

The ETS fleet consists of around 50 mobile vapor combustor units in four different combustion capacities – 3, 4, 5, 10 and 20 MW. The units with lower combustion powers can be applied for short-term projects and emergencies, whereas the high combustion capacity units are suited for longer deployments and projects that involve more complex products requiring higher combustion powers. ETS mobile incinerators are capable of destroying all kinds of gases, gas mixtures and vapors from the explosion groups IIA, IIB and IIC with an efficiency of more than 99.99 % and no open flame. The ETS Group brand company ENDEGS did in fact enable mobile emission treatment for the very first time world-wide in 2007 by developing the world’s first portable and autonomously operated mobile vapor combustion unit.

Mobile nitrogen services for liquified substances

As mobile degassing and emissions reduction have become a standard

The mobile vapor combustion units of ENDEGS and SIS are ideally suited for the degassing of all components that are applied in industrial facilities such as tanks, containers, pipelines, vacuum trucks, vessels, ships and much more.

ETS Group offers two technologies that enhance occupational health and security in industrial facilities and that are certified for use in the highly dangerous ATEX Zone 0, ensuring that workers no longer have to expose themselves to high health risks despite wearing extensive safety equipment.

nowadays, the challenge now is to further adapt the existing technologies. To contribute to environmental protection and more sustainability in the industry, many new technologies and processes are introduced that are more sustainable. For example, the importance of LNG, green ammonia or hydrogen is constantly rising. As liquified gases under pressure, these products are complex to work with as they are highly flammable and have a high risk of explosion. As this example shows, it is important to optimize existing technologies to make sure that they can be applied to new use cases.

The ETS fleet of nitrogen vaporizers enable the work with systems and system components that contain highly flammable liquified substances. As nitrogen is an inert gas that does not react with other substances, it can be used to render inert the containers and safely flush the substance outside where it can be destroyed in combination with a mobile vapor combustion unit. This makes the ETS nitrogen services perfectly suited for maintenance work, degassing or emergency projects involving containers filled with liquified products that need to be cleaned or emptied.

Enhancing safety in the ATEX Zone 0

Ensuring the safety of employees in industrial facilities as well as the security of the people living in surrounding communities from dangerous gas emissions is as important as protecting the environment. Therefore, ETS Group offers two technologies that enhance occupational health and security in industrial facilities and that are certified

for use in the highly dangerous ATEX Zone 0, ensuring that workers no longer have to expose themselves to high health risks despite wearing extensive safety equipment.

The mobile ATEX Zone 0 blower skid enables the safe extraction of vapors from components such as plants, tanks and vessels. The blowers are available in different capacities – depending on the customer’s requirements – and are easy to use due to their small and compact size. Additional equipment such as piping networks, flame arrestors and liquid separators are available as well.

The companies of the ETS Group also offer the ATEX Zone 0 robot as a rental service. The robot enables the remote-controlled cleaning of industrial tanks and can be operated via two joysticks from a safe distance. A monitor shows every movement in real-time. Due to its small size and mobility, the robot can be used in many industries and for a wide range of materials.

Helping customers world-wide to reduce their emissions

With offices in Germany, the Netherlands, France and the Middle East, the ETS Group companies work world-wide and have successfully completed more than 3,000 projects all over Europe and in Northern Africa. Some of these projects have of course been in the United Kingdom, too.

Recently, for example, SIS has deployed a 5 MW mobile vapor combustion unit to the UK for a tank degassing project. For the degassing of the propane tank, the Flying Combustor was applied, a

versatile, flexible and safe mobile vapor combustion unit. The unit has integrated power generation, propane vaporizing and storage, Zone 0 blowers and automatic stack erection. Furthermore, it has four internal and four external gas detectors as well as numerous other integrated safety features.

Another UK project carried out by ENDEGS involved the ATEX Zone 0 robot. Over several weeks, the team presented the robot to different companies in the entire United Kingdom. Besides showing all features and advantages of the ATEX Zone 0 robot in exemplary tank cleanings, the project also included training the on-site operators in the use of the robot and answering any questions the customers had.

For more information, please contact: David Wendel, Managing Director ENDEGS, Managing Director & CCO ETS Group, at d.wendel@e-t-s-group. com

Find out more at www.endegs.com and www.s-i-s.com

Author David Wendel, Managing Director ENDEGS GmbH, Managing Director SIS GmbH, Managing Director & CCO ETS Group

operations support centre this year, assigning robots and their associated support equipment permanently to those regions, and developing a pool of domestic talent to support the long-term growth of the business both in Europe and beyond. Square Robot’s decision to globalise its operations highlights a strategic move to profoundly impact above-ground storage tank maintenance and inspections across the continent. And Carlston is keen to get going, saying: “I am excited about introducing our robotic inspection technology and services to the European market. With a dedicated office and robots stationed in Europe, we are poised to meet the specific needs of the region, while promoting the adoption of our robotic inspection technology.”

TALKING TRANSITION

Alongside StocExpo’s own conference sessions, the Federation of European Tank Storage Associations (FETSA) has recently adopted the event for its own conference – a move that makes a lot of sense as its members’ members will be in attendance in any case. This year it has lined up an interesting two days of presentations covering the role of tank storage in the changing geopolitical landscape, and what that might mean for changing trade patters; the energy transition; carbon capture and storage/ utilisation; alternative energies, including cryogenic products; and project financing. Alongside these topics, naturally, the conference will consider safety in terminal operations.

The FETSA conference programme reflects its response to the European Commission’s recommendation in February this year that the EU reduce its net greenhouse gas emissions by 90 per cent from 1990 levels by 2040. FETSA says it is committed to supporting the achievement of this goal, but it will not be easy.

Speaking after the Commission’s announcement, FETSA’s executive director Ravi Bhatiani said: “In seizing the opportunities necessary to succeed, energy access and security will also be key. In a competitive world, more prone to sanctions and weaponisation of strategic products,

storage terminals will be critical in safeguarding supplies of Renewable Fuels of Non-Biological Origin (RFNBOs), advanced biofuels as well as feedstocks used for the decarbonisation of industry, such as ammonia. Storage infrastructure used for carbon capture, usage and storage (CCUS) will also play an important part in helping industry achieve net-zero emissions in line with EU goals. We have also commissioned a research project exploring regional approaches to the energy transition and assessing future storage business models’ suitability across regions to inform debate and discussion at a transformational time for the sector.”

During the FETSA conference, Vopak’s senior engineer Martin Reuvers will discuss the revisions to the PGS-12 series of standards on the storage of ammonia in the Netherlands, which have been worked on by industry, regulatory authorities, the fire service and other interests. Given the large number of ammonia projects being developed in the country, and in the absence of any clear international standards for the large-scale storage of ammonia, it was felt that there was a need to update existing national standards to ensure the lowest possible risk at these facilities.

Looking more broadly at the energy transition and its potential impact, Jannes Elgen, head of port energy solutions at the Hamburg Port Authority is lined up to speak

on how the port itself and its tenant businesses are transitioning to the handling and use of new fuels. All companies in the port are doing something, Elgen says – there are plans for new or repurposed import terminals, electrolysers, hydrogen pipelines, biofuels production and other infrastructure, with a lot of demolition work to be done to find space, especially as most of the projects are due for completion by 2027.

As the port sits in the heart of the city of Hamburg, safety is paramount and the Hamburg Port Authority also has to consider the public acceptability of developments.

Furthermore, the business case for the energy transition is, Elgen says, “still challenging” as the level of demand and the market price for green hydrogen remain unknowable. However, the port is confident that the market will evolve over the coming years.

All players in the European storage market are faced with a similar set of challenges right now. These presentations and others lined up for the two days of the conference will provide delegates with plenty of information to help them navigate those challenges – but make sure your alarm clock is set to ‘early’ as the FETSA conference starts promptly at 09.30 on the first day.

StocExpo 2024 takes place on 12 and 13 March at the Rotterdam Ahoy; full details and registration can be found at www.stocexpo.com.

PEOPLE GET READY

PORTS • ROTTERDAM EXPERIENCED A FALL IN TRAFFIC LAST YEAR BUT IT IS MORE KEENLY AWARE OF THE NEED TO ADAPT ITS OPERATIONS TO HELP MANAGE THE FUTURE ENERGY TRANSITION

TOTAL CARGO THROUGHPUT at the Port of Rotterdam last year amounted to 438.8m tonnes, a fall of 6.1 per cent compared to 2022. The decline was largely in terms of coal, other dry bulks and containers. Liquid bulk throughput was also down, by 3.4 per cent, with particularly sharp falls in the volume of mineral oil products – largely fuel oil and naphtha – and ‘other’ wet bulk (chemicals, renewables and vegoils), primarily as a result of low demand and stock drawdowns.

Despite the decline in throughput, revenues for the Port of Rotterdam Authority rose by 1.9 per cent to €841.5m, with an increase in land lease contract revenue more than compensating for the fall in port dues. Net profit dropped by 5.6 per cent to €13.7m after two one-off items were recognised. The Port Authority also increased its investments by nearly 15 per cent to €295.4m.

“2023 saw ongoing geopolitical unrest, low economic growth due to higher interest rates

and faltering global trade, all of which had a logical effect on throughput in the port of Rotterdam,” says Boudewijn Siemons, CEO of the Port of Rotterdam Authority. “However, the year also saw many major investment decisions and milestones in the transition to a sustainable port.

“We made the final investment decision for the construction of the CO2 transport and storage project, Porthos,” Siemons enumerates. “Construction work also began on the national hydrogen network in the port of Rotterdam. And we celebrated a number of significant developments in the logistics segment this year, such as the announcement of the expansions of the APMT and RWG container terminals, and the opening of the Container Exchange Route (CER). All these developments will take us a step closer to a successful and future-resilient port and industrial complex.”

FOCUS ON GREENERY

Those investment projects focus very much on the port’s role in creating social value, most especially in terms of helping to progress the energy transition. The Port of Rotterdam Authority has been looking in detail at what is needed, both from its own point of view and from its tenant industries, in order to meet future needs, especially as the Netherlands has the twin ambitions of being CO2-neutral by 2050 and of having a fully circular economy. Last month, in collaboration with the Institute for Sustainable Process Technology, it held a conference on the topic of raw materials transition.

The Social and Economic Council of the Netherlands (SER) defines a circular economy as one in which “we deal radically more efficiently with raw materials, other materials and products in order to limit the use of natural resources and environmental pressure caused during production, use and waste phase”. In addition, this approach can reduce dependency on unstable or unreliable countries.

In a circular economy, products are recycled at the end of their lifespan. In addition, there are renewable raw materials such as biomass and green hydrogen. The result is that there are (almost) no new raw materials that will have to be extracted from the earth. “The raw

materials transition is not a new topic for the port of Rotterdam. The carbon transition, as it’s called, is already up and running,” says Nico van Dooren, director of new business at the Port of Rotterdam Authority. “In Rotterdam, there are already several factories producing biofuels and another two large ones are being built. A few years ago, the Port of Rotterdam Authority set the goal of producing in Rotterdam, by 2030, bio or other renewable fuels equivalent to 20 per cent of the volume of fossil fuels that was produced in 2019. That goal (6.3 million tonnes) is now within reach, with the current production capacity, factories already built or those for which there are concrete plans.”

The Port of Rotterdam Authority is taking a much broader look at making production chains circular. The production chains for metals, minerals, food and agriculture, wood, electronics and chemical products look very different in a circular economy to how they look now. There will be more clarity later this year about which opportunities and consequences will be created for the port of Rotterdam.

“The efforts in the port of Rotterdam, Europe’s largest energy and raw materials hub, can make a significant contribution to the ambitions of the EU, central government and Municipality of Rotterdam in the field of circularity,” van Dooren adds.

GIVE SOME SUPPORT

There is clearly a will and a plan within the Port of Rotterdam itself and the wider industry to play a leading role in the decarbonisation of Europe; what is needed for that planning to be effective is political support. It is essential, the port authority says, that the next Dutch government devote enough attention to related factors such as adequate capacity on the electricity grid, an accessible port, a decisive nitrogen policy, and enough well-trained technical personnel to keep the transition going and strengthen the investment climate for industry (including the chemical industry) in the Netherlands. This requires active and supportive policy from The Hague in terms of both measures and resources.

With future-resilient decisions and a focus on policy implementation, the port of Rotterdam will be able to continue developing

its position in international chains, to make an important contribution to achieving national and European climate goals, and to strengthen Europe’s strategic autonomy.

“We are very concerned about the deteriorating investment climate and competitive position of industry in the Netherlands, including the chemical industry. The sector makes a crucial contribution to the transition to a sustainable economy,” says Boudewijn Siemons. “To maintain the pace of the energy and raw materials transition, the government needs to make difficult decisions. Companies need to know where they stand, and the Netherlands must once again become the location for the innovative and sustainable chemical industry.”

Against the backdrop of geopolitical developments and upcoming elections in several countries, 2024 is also expected to be

an unpredictable year. For the Port of Rotterdam, then, it is all the more important in these turbulent times to maintain a steady course and to implement plans that will further the transition. Construction work will begin on Porthos in 2024 and the development of the second conversion facility will continue. Investment decisions are expected for hydrogen plants, bio-refineries, the Maasvlakte-Zuid rail yard and the Princess Alexia Viaduct on the Maasvlakte.

Furthermore, new steps are being taken to establish shore power facilities for cruise vessels, container vessels and ro-ro vessels, among others. Work will also continue in 2024 on the deployment and availability of new, renewable fuels, and investments will be made in charging infrastructure for electric trucks to meet the expected demand for sustainable road transport.

PLANET AND PROFIT

RESULTS • VOPAK IS MAKING GOOD PROGRESS WITH ITS STRATEGY TO REPOSITION ITS ASSET BASE TO HANDLE THE NEW ENERGY ENVIRONMENT. THAT HAS NOT STOPPED IT MAKING GOOD MONEY

ROYAL VOPAK HAS reported strong financial results for 2023 as it continues to make progress with executing its strategy. Top-line results include a 4.3 per cent increase in revenues to €1.43bn, an 8.6 per cent improvement in EBITDA (excluding exceptional items) to €963.5m, and a 40 per cent rise in net profit to €412.9m. Vopak now also reports its sustainability performance in its top line, noting that it has now reduced its CO2 footprint by 25 per cent compared to its 2021 baseline and has also further improved its safety performance.

“I am proud to look back on a successful 2023,” says CEO Dick Richelle (oppposite).“Our

team at Vopak delivered on our strategic priorities and, with our well-diversified terminal portfolio, we are supporting the world’s need for energy security and the ongoing energy transition. We made good progress on our strategy to improve our financial and sustainability performance. Organic growth across most of the business units led to a healthy proportional occupancy of 91 per cent and EBITDA of €964m, which is a record result for Vopak. We were able to also increase the EBITDA margin by 2 percentage points. On safety, our first priority, we further improved our personal safety and maintained a very good process safety performance.”

The increase in revenues was driven by favourable demand for storage capacity in all markets, Vopak says; this more than compensated for the impact of divestments during the year in Rotterdam and Savannah, Georgia, which reduced income by €37m.

BETTER BY DESIGN

Those strategic priorities mentioned by Richelle derive from a thorough examination of Vopak’s existing business and a clear plan to reconsider its portfolio of assets and services to be able to continue to thrive as a provider of storage capacity as its main customers – in particular the energy and chemical industries – go through their own transition on the way to net-zero. The strategy consists of three main pillars: Improve, Grow and Accelerate. More specifically, this means:

• Improve financial and sustainability performance

• Grow the asset base in industrial and gas terminals, and

• Accelerate towards new energies and sustainable feedstocks.

Improving the company’s financial position can mean both divesting unwanted assets and investing in new assets to improve the contribution of existing terminals, and Vopak has done both over the past year. In particular, it sold its three chemical terminals in Rotterdam this past November for a total sales price of €407m; that has reduced earnings but the net proceeds of €370m will compensate for a while and allow investment in other projects.

Vopak has decided not to go ahead with the sale of its two wholly owned chemical terminals in Colombia but, last month, signed an agreement to sell its 60 per cent stake in the 183,800-m3 chemical distribution terminal in Shandong Lanshan, China. “This divestment is in line with Vopak’s commitment to reduce exposure towards chemical distribution terminals,” the company says. The sale is likely to generate proceeds of some €15m.

There are, meanwhile, three investment projects currently in hand designed to reap the benefits of growing demand. Vopak is adding 41,000 m 3 of new capacity at its 263,400-m 3 Eurotank multipurpose terminal in Antwerp at a cost of €70; the new tankage

is due onstream by the end of this year. In the US, the Deer Park terminal in Texas is being expanded with an ongoing project that will ultimately delivery 75,000 m3 of new tank capacity; a first phase is due onstream in the first half of this year. And in Australia, new pipeline connections are being added at the wholly owned Sydney terminal to improve efficiency, with work due to be completed in the fourth quarter of this year.

INDUSTRIAL SCALE

Much more activity falls under Vopak’s definition of growing its asset base, with projects under way around the world, often in joint ventures. In India, for instance, Aegis Vopak Terminals, in which Vopak has a 49 per cent stake alongside its local partner Aegis Logistics, is investing in expanding its chemical and LPG terminals around the country’s coast. It also has a new facility under construction in Jawaharlal Nehru Port, Mumbai, due to be commissioned in the fourth quarter of 2024, which will provide 102,000 m3 of storage capacity for LPG.

In the US, Vopak Industrial Infrastructure Americas, a joint venture with investment manager Blackrock, is revamping the 101,009-m3 Freeport chemical terminal in Texas in a project that will provide 14,000 m3 of capacity to support Dow’s propylene oxide processing unit nearby. The new capacity is due in service in the second half of 2025 and is contracted under a long-term agreement with Dow Chemical.

In China, Vopak and its local partners have taken the decision to expand the 906,000-m3 Haiteng terminal, in which Vopak has a 30 per cent interest, with 20,000 m3 of new tankage and pipelines to a customer’s new flexible feed cracker due to enter service in the second quarter of 2026. The investment is underpinned by a 20-year commercial agreement.

In Colombia, Vopak and its joint venture partner Promigas are spending some €20m to install a boil-off gas compressor at the SPEC LNG terminal. This will reduce CO2 emissions from the facility by around 50 per cent, which will make a significant difference to Vopak’s carbon footprint as current Scope 1 and 2 CO2 emissions from the SPEC represent some 20 per cent of its total emissions. Vopak has also

increased its exposure to the LNG sector in the Netherlands, taking a 50 per cent holding in the EemsEnergy Terminal this past November.

GO FOR GREEN

In terms of the shift to renewable energies, Vopak has several projects on the go. In Brazil, it is currently repurposing 30,000 m3 of existing tankage at the Alemoa terminal to handle renewable feedstock, with a long-term commercial arrangement with a customer that is producing renewable road fuels and jet fuel. A similar project in Singapore involves the repurposing of 40,000 m3 of existing tankage at the Sebarok terminal to allow the blending of biofuels into marine fuels.

Vopak has also decided to repurpose six tanks, totalling 34,000 m3 capacity, at the Vlaardingen terminal in the Netherlands to handle sustainable biofuel feedstocks. This €10m project is due for completion in the fourth quarter of 2024, taking total biofuel feedstock capacity at the site to some 190,000 m3. “The terminal is well positioned to capture opportunities in a rapidly growing market,” Vopak says.

More generally, the massive Europoort oil terminal in Rotterdam is being developed for the future, with Vopak gradually taking oil

capacity out of service and exploring opportunities to repurpose that land for new energy opportunities with a focus on marine, aviation and petrochemical feedstocks. Work is also underway at site it acquired in Antwerp last year, where most of the existing refinery has now been demolished. The land is expected to be cleared by the end of this year, after which Vopak will redevelop the site to support renewable energy.

Perhaps the biggest shift in energy storage is represented by a projects in the US, where Vopak is investing €9m in new infrastructure for electricity, comprising two lithium ion battery energy storage systems near Houston. The first, a 10 MWh system, is expected to be in service by the end of this month with the second, of 20 MWh, due for commissioning in the fourth quarter. Vopak sees this as an important development in its strategy to accelerate towards new energies.

All in all, Vopak is predicting total growth investments this year of around €300m, consistent with its commitment to invest €1bn in industrial and gas terminals by 2030 and another €1bn in new energies and sustainable feedstocks. www.vopak.com

BONDING OVER BIO

BUNKERING • ORIM ENERGY AND VARO ENERGY HAVE ANNOUNCED A PARTNERSHIP TO SCALE UP THE PROVISION OF BIO-BLEND MARITIME FUELS IN ROTTERDAM AND THE WIDER ARA ZONE

ORIM ENERGY, AN independent oil trading company based in the Netherlands and Malta, which specialises in the blending and bunkering of marine fuels, has established a strategic partnership with Varo Energy, a Switzerland-based private company that focuses on the production, storage, distribution and trading of both conventional and bio-fuels. Between them, the two companies are aiming to accelerate the decarbonisation of Europe’s largest maritime shipping hub – the Amsterdam-Rotterdam-Antwerp (ARA) range – and help their customers to comply with incoming greenhouse gas emissions reductions targets set by the International Maritime Organisation (IMO).

While there are plenty of options for reducing emissions, there is a general understanding that many of those options will have to be applied at the same time. So, while there is high profile interest in alternative fuels such as ammonia and methanol, and others are looking at increasing fuel efficiency, there is also keen interest in ‘drop-in’ fuels that have a lower carbon footprint, such a biofuels.

Orim says that the current demand for fuel oil in the ARA ports is some 14m tonnes per year. Some of this is already being met by B30, a blend of 70 per cent conventional fuel oil and 30 per cent biofuels; given the IMO regulations as well as EU expectations under the Green Deal, Orim expects demand for B30 to grow rapidly between now and the end of the decade. By working together, Orim says, Orim and Varo will be well positioned to meet this increased demand and support their customers’ decarbonisation plans.

“Upcoming EU and IMO regulations drive the need to scale up with biofuels and ensure quality assurance going forward,” says Edwin Coppens, managing director of Orim Energy.

“Partnering with Varo allows us to do just that, using each other’s strengths to optimise our blending expertise and network. We will benefit from Varo’s extensive experience with biofuels, which includes joint testing with leading ship engine suppliers. Together, we can increase our sourcing and supply capabilities, extending our reach and further strengthening our position in the ARA region.”

COMPLEMENTS ALL ROUND

Orim’s extensive distribution, storage and bunkering capabilities in ARA will complement Varo’s significant biofuels trading capabilities and growing biofuel manufacturing asset base. Under the agreement, Orim will source the fuel and gas oils for blending and deliver the final biofuel blends to customers’ vessels. Varo will source, produce, and blend various waste and advanced bio feedstocks to high quality bunker specifications.

Varo has a long track record in this area; for the past five years it has been supplying the Port of Rotterdam with hydrotreated vegetable oil (HVO) for use in its service fleet and last year signed a supply contract with Höegh Autoliners for 100 per cent advanced biofuels. The partnership with Orim is aligned with its strategy of becoming the partner of choice in the energy transition.

Dev Sanyal, CEO of Varo Energy, says: “Meeting rising demand for blended biofuels is critical to achieving the EU and IMO’s decarbonisation targets for shipping. Our experience in biofuels, combined with Orim’s logistics and bunkering operations, will help meet this demand at Rotterdam, Europe’s largest port facility. I am delighted to be entering into a strategic partnership with Orim and to further build on Varo’s longestablished presence in Rotterdam. This is another step in our journey to enable the decarbonisation of the maritime sector.”

www.orim-energy.com

www.varoenergy.com

TRIED, TRUSTED.

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NEWS BULLETIN

GES SELLS UP IN UAE

Global Energy Storage Group (GES) has sold its Hamriyah Terminal in the UAE to Paragon Capital, an investment firm specialising in the energy sector. GES subsidiary GPS Innova Singapore built the 180,000-m3 terminal on a greenfield site and commissioned it in 2020, making it an important facility for the storage of refined products and petrochemicals.

GES says the sale of the terminal aligns with its strategic focus on optimising its core business operations to facilitate the energy transition, particularly through cryogenic storage of gases such as LNG, LPG, ammonia and hydrogen. It also reflects GES’s commitment to enhancing shareholder value.

“Having built the terminal from scratch, we have once again proven our world-leading capability to develop strategic assets on greenfield sites,” says GES CEO Peter Vucins. “We are pleased to have concluded this sale to

Paragon Capital and are confident that they will do a great job as the new owners.”

www.gesgroup.global

STOLTHAVEN IMPROVES DAGENHAM

Stolthaven Terminals reports that the renovation and upgrade work on the jetty at its Dagenham facility in the UK (below) is nearing completion. Work started in 2022, with the aim of improving discharge rates and turnaround times for vessels, enhancing safety and reducing environmental impact and, ultimately, delivering a superior service to customers. The main jetty structure was completed in October 2022 and the final engineering and mechanical work is now expected to be finalised in the first quarter.

Steve Walker, general manager of the Dagenham terminal, says: “This is a major milestone for Dagenham and for Stolthaven Terminals. It has been a great team effort to

coordinate this project and keep the berth operational for our customers during these complex works.”

www.stolt-nielsen.com

RUBIS SELLS CPA

Rubis Terminal has finalised the sale of its wholly owned subsidiary CPA to Dyneff. CPA is involved in the wholesale distribution of refined products, with depots in Rouen, Brest, Dunkirk and Vatry; Dyneff is a supplier of energy and services in France and Spain and, as such, is a much better fit for the CPA business. The divestment by Rubis Terminal is in line with its strategy to focus on the storage of sustainable, low-carbon products (chemicals, biofuels and agrifood) in best-in-class terminals located in the main import and trading hubs in Western Europe.

www.rubis-terminal.com

SUNOCO TO SWALLOW NUSTAR

NuStar Energy LP has agreed to be acquired by Sunoco LP in an all-stock deal that values the company at some $7.3bn. The transaction has been unanimously approved by the board of directors of both companies and is expected to close in the second quarter of 2024 on the satisfaction of closing conditions, including approval by NuStar’s unitholders and customary regulatory approvals.

The deal is expected to improve stability by diversifying Sunoco’s business, which is primarily engaged in the distribution of motor fuels to retail and commercial outlets in 40 states in the US, along with some refined product transport and terminalling assets. The deal will also add scale and vertical integration. Sunoco says it expects the deal to be immediately accretive and that at least $150m of run-rate synergies will be achieved within three years.

NuStar Energy has meanwhile announced full-year revenues for 2023 of $1.63bn, just shy

of 2022’s $1.68bn. Operating income increased from $408.8m in 2022 to $510.2m, boosted by lower costs and a one-off gain, as well as an impairment loss taken in 2022. The net result came in at $273.7m, up 23% on the $222.7m achieved in 2022.

NuStar’s Storage Segment generated operating income of $88m and EBITDA of $163m for the full year, compared to operating income of $61m and adjusted EBITDA of $180m in 2022. While West Coast region revenues continued to increase, an amendment and an extension of a customer contract at the Corpus Christi North Beach terminal combined with customer transitions and required tank maintenance at the St James terminal contributed to the decrease in adjusted EBITDA.

www.nustarenergy.com

EXOLUM AWARDED CDG FUEL GIG

Exolum has been awarded a 20-year contract to operate and maintain the fuel terminal at Paris-Charles de Gaulle International Airport. The project also includes an investment of more than €200m for the maintenance and renovation of the current facilities, and the development of new infrastructures to support the growing integration of Sustainable Aviation

Fuels (SAF) at the airport.

“Our entry in Paris-Charles de Gaulle Airport is a milestone in the growth strategy of Exolum,” says Jorge Guillén, Spain region lead at Exolum. “As an independent leader in aviation logistics, our aim is to provide an excellent service at Paris-Charles de Gaulle, with sustained investment to maintain first class international infrastructures and operational standards at an airport equipped to supply SAF.”

Exolum sees the award of the concession in Paris as consolidating its international presence in the management of aviation fuel distribution infrastructures, a sector in which it has built extensive experience in six countries in Europe and Latin America.

exolum.com

ODFJELL BUILDS FOR THE FUTURE

Odfjell Terminals has reported gross revenues of $81.7m for the full year 2023, with EBITDA of $38.3m and a net profit of $8.3m. Although there was something of a decline in activity, which impacted throughput in the later part of the year, largely as a result of weak end consumer demand, financial performance was not significantly impacted. The company maintained high occupancy rates, with the terminals in

Antwerp and Charleston at full capacity and increasing occupancy in the Houston and Ulsan terminals in the final quarter.

During the year, the Noord Natie Odfjell Antwerp Terminal completed its new Tankpit-U ahead of schedule in November and below budget; this has added six duplex stainless steel tanks with a combined capacity of 36,000 m3; preparatory work has now started on the next construction project, which will add another 27,500 m3 of tankage in ten stainless steel tanks, scheduled for commissioning in first quarter 2025.

At Odfjell Terminals Houston, the construction of the new Bay 13 is essentially complete and all tanks have been hydrotested. The new tankage, comprising six carbon steel and three stainless steel tanks with a combined capacity of more than 32,000 m3, is now due in service in the first quarter, which will take capacity up to more than 410,000 m3. There are also expansion projects in hand at related terminals in South America, with 22,000 m3 of new carbon steel tankage due in service at the Terquim terminal in Mejillones, Chile during the first quarter.

www.odfjell.com

BIO-BUNKERS FROM VOPAK

Vopak has commissioned 40,000 m3 of tankage at its Sebarok terminal in Singapore (left), dedicated to blending biofuels into marine fuels. The work, which is underpinned by a customer commitment, also involved the conversion of existing pipework. The Sebarok terminal is close to Singapore’s eastern anchorage, where a lot of bunkering takes place.

“Our vision for Sebarok terminal is to be a sustainable multi-fuels hub to strengthen Singapore’s position as the top bunkering hub,” says Rob Boudestijn, president of Vopak’s Singapore business unit. “As a storage and critical infrastructure services provider, this development can facilitate the entry of more biofuels companies to diversify the supply chain for marine biofuels and accelerate the decarbonisation of the shipping industry.”

www.vopak.com

BULL BY THE HORNS

GAS TANKERS • INCREASING LPG TRADE, ADDITIONAL INTEREST IN AMMONIA AND DISRUPTIONS IN TRADE ROUTES UNDERPINNED A STRIKING IMPROVEMENT IN LPG TANKER RATES LAST YEAR

MANY GAS TANKER operators have reported rocketing profits in the latter half of 2023, particularly those operating very large gas carriers (VLGCs). The reasons are not hard to find: cost-advantaged natural gas production in the US has allowed the development of a large-scale transmission and fractionation network, with exports limited only by terminal capacity; buyers in Asia have been eager to take advantage of the prices offered and, while China’s economy has been subdued over the past year, the continued increase in propane dehydrogenation (PDH) capacity has fuelled demand for LPG; and delays in Panama Canal transits have prompted rerouting of US Gulf

exports to Asia to take the long way round, adding to tonne-mile demand for vessel capacity and more than compensating for the significant number of newbuildings that arrived in the fleet in 2023.

Some of those trends have continued into 2024, with the added disruption to Suez Canal traffic as a result of the Israel-Palestine conflict and the not unrelated action by Houthi rebels in Yemen, attacking vessels they consider to be linked to Israel-friendly interests. On the other hand, a cold winter in parts of the US added to local consumption of LPG, causing prices to rise and eating into the US-Asia arbitrage. The big VLGC operators

note that this led to a slump in spot rates in January, though conditions improved once more in February.

Looking further ahead, the newbuilding backlog is beginning to dwindle. According to BW LPG, the largest VLGC operator, 40 new VLGCs joined the fleet last year; there are 22 scheduled for delivery during 2024, of which nine had already arrived by the end of February; and only 13 are listed for 2025 delivery. Shipyards are now mostly booked up through to late 2027 so there is little opportunity for additional ordering in the near term.

One new factor to be taken into consideration is the emergence of a specialist fleet of ammonia carriers. Traditionally, ammonia has been traded in large volumes, primarily for use in the manufacture of fertilisers, and carried by sea in medium-size carriers; now that ammonia has been identified as the simplest way of shipping hydrogen, there are many projects being developed that will involve the movement of ammonia in much larger quantities. Shipowners have been responding by ordering very large ammonia carriers (VLACs), which are not simply copies of VLGCs but are optimised for maximum cargo, given that ammonia has a higher specific gravity than propane and butane, with added steel work to allow the ships to carry ammonia at 98 per cent capacity. They are, in the main, also designed to be able to be converted to use ammonia as fuel, once the technology has been proven. Avance Gas calculates that VLACs account for 40 per cent of the current VLGC orderbook.

VIEW FROM THE BIG BOYS

One effect of the bull market in 2023 was to propel BW LPG to reach its highest ever annual net profit figure of $493.0m, just over twice the $238.6m posted for 2022, and generating an annualised return on equity of 42 per cent.

Avance Gas, another major player in the VLGC sector, saw a similar rise in net profit to $163.6m for the year, with both companies reporting a very strong fourth quarter – BW LPG enjoyed its best quarter on record, with a daily timecharter equivalent (TCE) average of $75,000 and utilisation of 97 per cent.

“In 2023, the freight market was fuelled by 13 per cent US export growth, very favourable product price arbitrage between US Gulf Coast and Far East Asia which averaged $257/ tonne and congestion issues in Panama driving up sailing distances,” comments Øystein Kalleklev, CEO of Avance Gas. Data from Gibson indicate an average of 96.5 VLGC loadings per month in fourth quarter 2023, up from 82.5 the previous year, with most of the additional liftings heading east. China remains the primary destination for VLGC liftings from the US Gulf, accounting for almost one quarter and increasing imports by 22 per cent year-on-year in the final period.

Avance Gas also provides an update on the pinch points in global trade. The ongoing situation in the Red Sea/Gulf of Aden and particularly around the Bab el-Mandeb strait have effectively closed the Red Sea for VLGCs either in transit to load cargoes out of Yanbu or to sail through in laden or ballast passage. Although the time impact of increased sailing distances by going via Cape of Good Hope rather than Suez is approximately 3.5 days (ballast), the real impact on VLGCs is coming from the disappearance of Yanbu cargoes which, combined with Opec production cuts, are further reducing cargo availability in the Arabian Gulf, providing employment for longer-haul cargoes from the US.

The narrative of Panama Canal as the ‘go-to’ short-cut for VLGCs heading from the US Gulf to north-east Asia has been and is still challenged by changes to the booking system and the drought that Panama has experienced, severely limiting the number of transits. As a result, the fourth quarter of 2023 saw auction fees skyrocketing, peaking at near to $4m on top of ordinary canal fees of $0.4m.

TRICKLE DOWN EFFECT

Although US Gulf liftings are a relatively small part of the trades for smaller tankers, the

benefits of the market have also been felt in these segments. Stealthgas, one of the major operators in this market, reported revenues of $143.5m for the full year 2023, down 6 per cent year-on-year as a result of the contraction of its fleet. Net income came in at $51.9m, a record figure for the company and 51 per cent up on the 2022 profit. “So it gives me great pleasure that not only has the company managed to sustain its record profitability but drastically improve it successively,” says board chairman Michael Jolliffe.

“Obviously the main driver of such results is the lasting recovery of the LPG markets that hopefully will continue. But markets are volatile, and sound policies as well as opportunistic plays need to also guide decisions,” Jolliffe continues. “As such the company did not focus on growth for 2023, it rather focused on taking advantage of the market and securing more period charters,

currently having over $200m in contracted revenues, selling vessels as asset prices were rising, paying down debt as interest rates were rising; over $150m was repaid in 2023.”

Stealthgas has also been renewing its gas tanker fleet, divesting older and smaller ships and investing in newer, larger vessels up to medium gas carrier size. Over the course of the year it sold seven ships, booking a net gain of $7.6m. Those sales included Eco Dream and Eco Green (both 4,990 m3, built 2015), which were concluded after the turn of the year last month. Also in January, Stealthgas took delivery of the 40,550-m3 newbuildings Eco Oracle and Eco Wizard, both of which have now gone onto period charters.

“So far, the beginning of 2024 looks promising as the market for our vessels remains firm and barring any extraordinary events we should expect solid revenues in the current quarter,” Jolliffe says.

PLENTY OF NEW SHIPS HAVE BEEN ADDED TO THE VLGC FLEET BUT CONTINUING INCREASES IN TRADE VOLUMES, TOGETHER WITH DISRUPTIONS TO CANAL TRANSITS, HAVE PUSHED UP EARNINGS

BLOWN AWAY

WIND POWER • EASTERN PACIFIC IS TO GAUGE THE EMISSIONS REDUCTION POTENTIAL OF WIND-ASSISTED PROPULSION WITH A PILOT PROJECT USING BOUND4BLUE’S ESAILS SYSTEM

EASTERN PACIFIC SHIPPING (EPS) has signed a contract for its first ever windassisted propulsion system, partnering with bound4blue to install three 22-metre eSAILs® onboard the MR tanker Pacific Sentinel. The turnkey ‘suction sail’ technology, which drags air across an aerodynamic surface to generate exceptional propulsive efficiency, will be fitted later this year, helping the 50,000-dwt oil and chemical tanker reduce overall energy consumption by approximately 10 per cent, depending on vessel routing.

José Miguel Bermudez, CEO and co-founder at bound4blue, believes the contract with EPS marks a significant milestone for the company. “Signing an agreement with an industry player of the scale and reputation of EPS not only highlights the growing recognition of windassisted propulsion as a vital solution for maximising both environmental and commercial benefits, but also underscores the confidence industry leaders have in our proven technology,” he says.

Working in tandem with existing propulsion systems on Pacific Sentinel, the three eSAILs® will use an autonomous control system to

optimise power and reduce engine load and fuel consumption, with no need for crew input and low maintenance requirements. It is a simple, mechanically robust solution, making it an ideal fit for the needs of the EPS fleet, which comprises more than 250 vessels with a combined capacity of 25m dwt.

PART OF THE SOLUTION

“EPS is committed to exploring and implementing innovative solutions that improve energy efficiency and reduce emissions across our fleet,” comments Cyril Ducau, CEO of EPS. “Over the past six years, our investments in projects including dual-fuel vessels, carbon capture, biofuels, voyage optimisation technology and more have allowed us to reduce our emissions intensity by 30 per cent and achieve an Annual Efficiency Ratio (AER) of 3.6 CO2g/dwt-mile in 2023, outperforming our emission intensity targets ahead of schedule. The addition of the bound4blue groundbreaking wind assisted propulsion will enhance our efforts on this path to decarbonise.”

“With this project, we are confident that the

emission reductions gained through eSAILs on Pacific Sentinel will help us better evaluate the GHG reduction potential of wind assisted propulsion on our fleet in the long run.” The technology will help ships to comply with existing and upcoming regulations like improving EEDI and EEXI, enhancing its CII rating, and contributing to saved allowances within the EU Emissions Trading Scheme.

Once the eSAILs® are installed, Pacific Sentinel will gain a ‘wind assisted’ notation from class society ABS, whose CEO, Christopher J Wiernicki, says: “Wind-assisted propulsion is an energy efficiency technology with a significant role to play in helping the global fleet swiftly improve its carbon intensity. As we wait for global alternative fuel infrastructure to mature, utilising a readily available and truly zero emission solution such as the wind, is a smart move. ABS is proud to support early adopters of this technology such as EPS, who are blazing a trail with this technology for the rest of the industry to follow.”

bound4blue is gaining significant industry traction for the eSAIL technology, which is suitable for both newbuilds and retrofit projects across a range of vessel types. The company, based in Cantabria, Spain, was founded in 2014 to focus on renewable energy in the maritime sector. It has so far fitted eSAILs on three ships and has signed additional agreements with Marubeni Corp, Odfjell, Louis Dreyfus and other owners.

www.bound4blue.com

www.epshipping.com.sg

A TIGHT GRIP

RESULTS • ODFJELL FELT THE BENEFIT OF A TIGHT MARKET LAST YEAR, WITH EARNINGS ENDING 2023 ON A HIGH. THE CHEMICAL TANKER MAJOR IS CONFIDENT ABOUT THIS YEAR TOO

ODFJELL TANKERS HAS reported a solid fourth quarter 2023 that rounded off a record year for the Odfjell Group, with net profits hitting $203.4m, its highest ever and 44 per cent up on 2022. The final part of the year saw a rise in volumes under contracts of affreightment (COA), which accounted for 60 per cent of cargo moved. Odfjell said that, during its peak renewal season either side of the turn of the year, COAs were being renewed at rates on average 5 per cent higher than the previous year.

The spot market also improved through the fourth quarter, driven by disruptions in Panama Canal transits. Odfjell says the Red Sea situation did not have any material impact on the market in the fourth quarter but did result in some additional costs as some vessels had to be re-routed.

“Our solid performance continued in 4Q23, rounding off a record year for Odfjell,” says CEO Harald Fotland. “Our main concern will always be the safety of our people. Since early December, we have not been sailing through the Red Sea. The market balance is tight, and added inefficiencies from the restrictions in the Panama and Suez canals will likely contribute to even higher fleet utilisation.”

SHIFTING SANDS

Odfjell says the global economic outlook is more promising than it seemed a few months ago, though there are some serious

geopolitical instabilities. Most major countries have avoided going into recession, while declining inflation points to a soft landing for the global economies. In Europe, the manufacturing sector is still struggling and the spectre of recession hangs over some countries. Chemical production levels have, Odfjell says, “moved sideways”, with a continued decline in European output being countered by increasing activity in China.

On the supply side, the chemical tanker orderbook remains at a low level, despite recent orders from Odfjell, Stolt and others. There may be some overall fleet growth this

year but it is likely that the ageing fleet profile will lead to a reduction in vessel numbers in 2025 and/or 2026, the company says. The current deepsea chemical tanker orderbook is equivalent to 6.1 per cent of the existing fleet, while 20 per cent of chemical tankers currently operating are of 20 years of age or more.

During the fourth quarter, Odfjell entered into agreements with Japanese owners to take six newbuildings under timcharter and pool arrangements during 2026 and 2027; Kitanihon Shipbuilding will build two super-segregators, while Fukuoka and Asakawa will each build two medium stainless steel vessels. These are in addition to the six ships already due to join the fleet under timecharter this year and next, largely for the purposes of fleet renewal.

All in all, Odfjell says, the supply/demand balance looks strong in the short and medium terms, with sound fundamentals in the clean product trades keeping swing tonnage out of the chemicals market. “There is reason to believe that cycle will remain at healthy levels in 2024,” it says.

www.odfjell.com

GOTHIC REVIVAL

COASTAL SHIPPING • FURETANK’S VINGA TANKERS HAVE SO FAR PROVEN POPULAR WITH CHARTERERS. THE SWEDISH COMPANY IS NOW TO REPLACE ITS ENTIRE FLEET

FURETANK HAS ADDED

another two 17,999-dwt Vinga-class tankers to its newbuilding programme, which it says will complete its fleet replacement. On delivery, the new ships, which take the Vinga series to 21 vessels, will replace older tonnage, at which point the fleet will consist entirely of environmentally advantaged, high specification tankers with an average age of two years.

Furetank says the Vinga ships have been very well received in the market and that the new technology they feature has proven to be robust and efficient. These new orders will continue that trend, adding two methane slip reduction technologies developed by Wärtsilä and Furetank that will also be retroffited to existing ships and included on others under construction.

“We are very happy to reach this point on our journey, operating only ships with the latest emission-saving technology,” says Lars Höglund, CEO of Furetank. “We have done our homework. When these vessels arrive, the

average age of our fleet will be less than two years. Since the introduction of the Vinga series in 2018, Furetank has developed into a substantially larger shipping company with our focus set on environmental progress. It has been an amazing journey.”

SHIPS FOR THE JOB

The Vinga series has been developed and designed for the intense and demanding trade in the North Sea and Scandinavia, well suited to meet the growing European demand for biofuels and renewable feedstocks. Höglund explains: “Our customers are becoming more environmentally conscious and placing greater importance on reducing the climate footprint of their entire supply chain. With a large fleet of energy efficient vessels, we can offer better service to customers and optimise the fleet trading pattern, reducing our climate impact even further.”

The two latest orders will be built by China Merchants Jinling Shipyard in Yangzhou,

China, with delivery expected in the end of 2026 and beginning of 2027. They will be entered into the Gothia Tanker Alliance and operated by Furetank out of Gothenburg, flying the Swedish flag. Of the 21 Vinga tankers once delivery is complete, Furetank will be commercial manager of 19 and full operator of 14.

The Vinga ships are ice class 1A product tankers, designed by Furetank together with FKAB Marine Design. They all have dual-fuel capability, run on LNG/LBG or gasoil and are fully equipped for shore power. They are designed with a battery hybrid solution and several innovative features that reduce fuel and energy consumption, resulting in extensively lowered emissions of CO2, sulfur oxides, nitrogen oxide and hazardous particles. The ships have scored the best Energy Efficiency Design Index (EEDI) value in their segment globally, meaning that they are the most energy efficient vessels according to the International Maritime Organisation (IMO).

The Gothia Tanker Alliance is a group of small tanker owning companies based in and around Gothenburg, Sweden, along with two Canadian participants, Algoma Central and Desgagnés. Together the alliance provides a significantly increased tonnage capacity and range of vessel sizes, from 5,000 dwt to 20,000 dwt, offering safe and sustainable cargo transport in European coastal trades. www.furetank.se

MADE TO MEASURE

COATINGS • APC’S NEW DIGITAL PLATFORM AIMS TO GIVE TANK COATING USERS ALL THE INFORMATION THEY NEED WHILE ALSO FEEDING BACK TO APC ON HOW COATINGS ARE PERFORMING

ADVANCED POLYMER COATINGS (APC) is launching its first digital platform for shipping line customers to help seafarers and vessel operators more safely manage chemical cargoes. The new ‘MarineLINE® Customer Care’ platform has been created to enable vessel operators to better understand how to maintain APC’s MarineLINE tank coating and the aggressive cargoes it enables them to carry. The portal is the result of a year-long collaboration with some of the biggest chemical tanker operators in the world, including APC customer Bahri and many others.

MarineLINE® Global Customer Care Manager Stephen Jarvie explains that the

platform, accessed via the APC website, is designed to tackle the primary pain points of cargo tank maintenance. “The performance of the protective coating on a chemical or product tanker is one of the most important elements of the ship’s operations and profitability. Working closely with shipping lines we saw a big need to radically improve how the vessel operators access information. For example, often the crew or charterer will be unsure which chemicals can be swopped between voyages and how to best clean the tanks after unloading.

“The portal gives tank cleaning advice tailored to which chemical cargoes follow each other,” Jarvie continues. “This is a big

area of uncertainty as tank cleaning is complex. However, by maximising cleaning techniques shipping lines can more confidently switch between a wide variety of aggressive chemicals. This enables the fleet to be much more versatile and pick up more spot business.”

ESTABLISH FEEDBACK

Jarvie says the new system also enables APC to keep a closer eye on how the coatings are performing while giving shipping lines a more personal service and market intelligence.

“Historically we have installed the coating and had intermittent contact with the shipping line on how to manage it,” he says. “As a result, the performance of the coating was not being fully monitored and optimised. Much more help is needed so we are making advice sheets available 24 hours a day online and offline and we are encouraging the vessel operator - be it charterer, ship manager, owner or crew - to actively contact our Customer Care team by phone or email with queries.

“In addition, vessel operators said they wanted more information about the history of the vessel coating,” Jarvie continues. “For example, where and when was the coating first applied and if a drydocking is required for an inspection or a recoat which shipyards worldwide are best equipped to do this. The MarineLINE Customer Care portal creates a much more dynamic relationship between APC and the vessel operators. We feel this is a massive step forward for us and the tanker industry.”

The MarineLINE Customer Care portal features details on more than 2,000 chemicals and 700 vessels worldwide that have been coated with MarineLINE, representing around 12 per cent of the global tanker fleet.

To cater to the growing demand for MarineLINE in shipyards in Asia, Europe and America APC is doubling the size of its US factory with a multi-million dollar expansion project. The new factory will extend the company’s R&D facilities and quadruple production capacity with a new automated manufacturing system. The expanded factory is expected to begin operations in fourth quarter 2024.

www.adv-polymer.com

www.oiltanking.com

NEWS BULLETIN

TANKER SHIPPING

STOLT ORDERS MORE

NYK Stolt Tankers (NST), the joint venture between Stolt Tankers and NYK Line, has signed a contract with Nantong Xiangyu Shipyard in China to build six 38,000-dwt stainless steel chemical tankers for delivery between late 2026 and 2029. These vessels will be sisterships to the six ordered by Stolt Tankers at Wuhu Shipyard this past November, arranged with 30 cargo tanks to offer a range of cargo flexibility. They are designed to maximise fuel efficiency using a wide range of energysaving devices and shore power connection. They can also be retrofitted for battery and methanol propulsion, supporting Stolt Tankers’ commitment to the energy transition. On delivery, the newbuildings will replace ships retiring from the fleet from 2026.

Udo Lange, CEO of Stolt-Nielsen Ltd, parent of Stolt Tankers, says: “This order reflects our strategy to maintain scale of our core 38,000 dwt fleet by adding newbuildings not otherwise available in the second-hand market in a capital efficient way through our NST joint venture. I would like to thank and congratulate the team at Stolt Tankers, our partners at NYK Line and the Nantong Xiangyu Shipyard for completing this important transaction.”

Hironobu Watanabe, NYK Line’s managing executive officer and chief executive of the company’s Energy Division, adds: “I am pleased to have reached this newbuilding order with Stolt Tankers, our long-time partner for over 30 years. By replacing the vessels with ones that are more fuel efficient, we can provide stable

transportation services to our customers while promoting an energy transition. The cooperation of concerned parties for the completion of vessels is needed, and I am confident that the teams of Stolt Tankers, NYK and Nantong Xiangyu Shipyard will be able to accomplish this task.”

Stolt-Nielsen Norway, a subsidiary of Stolt-Nielsen Ltd, has increased its shareholding in Odfjell to 13.6 per cent of voting shares, making it the second-largest shareholder after Norchem, which is controlled by Odfjell chairman Laurence Odfjell. Sources suggest that at least part of Stolt-Nielsen’s new interest came from Johan Odvar Odfjell, whose Farvatn II fund has sold its 5.3 per cent stake.

Stolt-Nielsen has long been a minority shareholder in Odfjell and increased its holding to more than 5 per cent in March 2022; at the time both companies assured the market that there was no plan to merge.

www.stolt-nielsen.com

PERTAMINA ON A SPREE

Pertamina International Shipping (PIS) has contracted for 15 MR product/chemical tankers from Hyundai Mipo; five will be used for carrying refined products, five for crude oil and five for petrochemical products. Ten of the 15 will be optimised for international operations through its subsidiary PIS Asia Pacific.

“Fleet rejuvenation is a crucial step to strengthen reliability in meeting the needs of the continuously growing market,” says Yoki Firnandi, CEO of PIS. “This is an effort in business development and seizing new opportunities in the market. Some similar ships deployed in Singapore have successfully been utilised for the international third-party market.”

PIS is also investing in expanding its LPG tanker fleet, placing an order with Hyundai Mipo for two dual-fuel 23,000-m3 carriers for delivery in May and October 2026. The new

ships will be used to transport LPGs and ammonia, PIS says.

Firnandi says that the company is targeting average annual revenue growth of 11 per cent. “Therefore, we are very aggressive in expanding and adding fleets both with the construction of new ships and the purchase of existing ships,” he says.

PIS currently operates 12 gas carries, including three VLGCs. Last month, trader BGN took delivery of two new VLGCs which were ordered in partnership with PIS. pertamina-pis.com

KIRBY ENDS STRONGLY

Kirby Corporation has reported fourth-quarter net earnings of $61.9m, up from $37.3m a year earlier, on revenues up 9.4 per cent at $799.2m. For the full year 2023, net earnings came in at $222.9, compared to $122.3m in 2022, on revenues that rose from $2.8bn to $3.3bn.

Commenting on the results, David Grzebinski, Kirby’s president/CEO, says: “During the fourth quarter, continued strong fundamentals in both our businesses resulted in significant year-over-year growth in our revenues and earnings. In marine

transportation, pricing on spot and term contracts benefited from strong demand and limited availability of barges while the onset of winter weather conditions proved to be a headwind to efficiency in the quarter.

“In inland marine, we continued to experience strong demand and high barge utilisation in the low 90 per cent range. Spot market prices continued to push higher and were up in the low to mid-single digits sequentially and in the mid-teens range year-over-year. Pricing increases on term contract renewals were up year-over-year on average in the high-single digits during the quarter. While the efficiency of our operations was challenged during the quarter, with delay days up 86 per cent sequentially, strong pricing and utilisation mostly offset this, allowing for inland marine margins to remain flat sequentially with operating margins in the high-teens on average.”

kirbycorp.com

SUCCESS FOR STAINLESS

Stainless Tankers has reported net income of $3.2m for the quarter to end December 2023 on net revenues of $13.5m, representing

increases of 68.7 per cent and 20.1 per cent, respectively, compared to the previous period.

“We are pleased to report a solid quarter and further increase of our dividend,” says CEO Alex Karakassis. “While our pool TCE performance fell somewhat short of our target, this was mainly due to a short-term impact from logistical issues related to the ongoing Panama Canal disruptions. Market earnings have remained at very attractive levels, and we expect the positive earnings environment to continue for the foreseeable future.”

Stainless Tankers has a fleet of nine stainless steel chemical tankers, each of around 20,000 dwt, managed by Tufton Management Ltd. Eight of the fleet are currently deployed in Womar’s Stainless Tankers pool. stainlesstankers.com

NEW GAS BARGE FOR HGK

HGK Shipping has taken delivery of another low-water gas tank barge, Gas 95, which is now on service on the Rhine. Like its predecessor Gas 94, the new barge has a diesel-electric drive system to reduce emissions and is prepared to cope with alternative fuels in the future. The hull is also optimised to be able to operate even in very low water conditions, which also allows it to navigate on canals.

“Gas 95 meets the highest environmental and safety standards. As a result, we can offer our customers the next building block for a more sustainable and more reliable supply chain on inland waterways,” says Anke Bestmann, managing director of HGK Gas Shipping. “We’re doing our very best to further improve our business and expand our gas fleet in a sustainable way. We’ve already had some of our vessels certified with the Green Award as the evidence of our efforts to promote clean and safe inland waterway shipping. We’re planning this for the Gas 95 too during the next few months.”

HGK Shipping has already placed an order for another diesel-electric gas barge, Gas 96, already chartered to LyondellBasell, and is planning further fleet expansion. hgkshipping.de

WE ALL STAND TOGETHER

SUSTAINABILILTY • IT WILL TAKE UNDERSTANDING, INVESTMENT AND COLLABORATION IF THE EUROPEAN CHEMICAL LOGISTICS SECTOR IS TO PLAY ITS PART IN THE ENERGY TRANSITION

THIS YEAR’S LOGICHEM EU conference, which takes place in Rotterdam over three days beginning 12 March, comes at a time when all players in the chemical supply chain are under pressure to improve their sustainability scores, enhance efficiencies, and keep their businesses running and profitable at a time of unpredictable geopolitical developments and tight labour supply. These themes run through the agenda for the event, with high-level speakers and panellists lined up to talk about digitalisation and data management; creating sustainable,

efficient and customer-centric supply chains; the circular economy and sustainable growth; planning and business resilience; and new ideas in supply chain design.

LogiChem’s organiser, WBR Insights, always takes a lot of time and effort to understand exactly what challenges the chemical supply chain is facing as it prepares the conference agenda, and it also identifies the thought leaders who can provide value to delegates to the annual conference. Late last year, WBR Insights undertook a survey of 100 supply chain leaders from across Europe to find out

more about those challenges and the innovative solutions being brought to the table. The results of that survey, which informed the conference agenda, were also written up as a report, available via the LogiChem website, that sets out the main theme of this year’s conference: Sustainability through Collaboration.

The survey generated three key findings:

1.Chemical supply chain leaders face tough challenges around sharing data with key stakeholders in their efforts to reduce carbon emissions; 46 per cent of respondents said data silos remain their biggest challenge. With so many incompatible systems stretched across all functions, chemical manufacturers are struggling to access data in a standardised format that permits accurate and timely sharing.

2.In their efforts to reduce waste and minimise carbon emissions, many companies are implementing circular business models. Once successfully integrated, circular business models will be key value creators, lowering the costs of materials through recycling and decreasing energy consumption. According to the research, 84 per cent of organisations surveyed are either developing a circular business model or plan to implement one in the next two to five years.

3. A lack of proper infrastructure, tracking emissions and a reluctance to share data are just some of the challenges chemical manufacturers face in their collaboration efforts. Effective collaboration in this space requires total buy-in from all stakeholders, transparency, and a willingness to work together for future thinking. According to the research, this is something the industry is struggling with, and further progress is an absolute must.

SHARE NICELY

Fundamental to the issue of collaboration is the readiness of all players in the chemical logistics chain to share information. The arrival of methods to track sustainability performance through the measurement of emissions both within the organisation and by partners up- and downstream also means that individual operators are now being tasked with making information regularly available to

others. Chemical manufacturers, for example, are under stakeholder pressure to implement decarbonisation strategies and one critical factor in their success in this respect will be their ability to share accurate and timely environmental, social and governance (ESG) data.

“Collaboration, with or without circular value chains, is the way to reduce carbon emissions in the future,” says Kristof de Coster, vice-president, supply chain at management consultant Efeso, which was one of the sponsors of the survey. “Improved collaboration across the value chain, breaking down silos can however only be achieved with higher supply chain maturity than today. It will require improved processes, organisations, and system setups to enable sharing and jointly reducing carbon footprint in a win-win state of mind.”

The survey found that 78 per cent of participants have seen an improvement in their organisation’s ability to collect, analyse and share accurate ESG data. “ESG is still a relatively new concept for the industry, with there being no legal requirement to focus on the area for things such as ESG auditing,” comments Gabriela Martins da Silva, content director of LogiChem 2024. “So, the fact that so many have told us they have improved in the data management area of ESG is great, and shows that the industry is getting ahead by broadening the reach of sustainability beyond just emission reduction.”

Despite the progress made so far, 46 per cent of respondents complained about data silos and 36 per cent said data privacy concerns are an issue. A lack of standardisation is also a hurdle to be overcome. Sabine Schultes, head of dangerous goods transportation at Henkel, who took part in the survey, comments: “I think the industry, generally speaking, has improved somewhat in recent years in our ability to accurately collect, analyse and share ESG data. That being said, what it involves is such a huge amount of data which needs to be filtered, and there are still lots of questions about ESG data. So, it is encouraging to see that for many respondents their ability in this area has improved, however I think many in the industry would be far from their end goals.”

To make progress in this area, organisations must embrace a cultural shift towards open data sharing across all stakeholders.

According to the survey respondents, this shift will help to increase transparency, measuring and reporting progress, enabling the alignment of sustainability goals within core business areas.

“We are really pushing sustainability across our whole business portfolio, but it is difficult to accurately measure emission data,” remarks Justin Lanyon, global supply chain director at Arkema. “I think there is definitely a lack of standardisation, and a lot of the data that is reported is not entirely accurate. For us, we have implemented eco transit, which we think is the best software solution out there, and will become the standard in the industry for carbon emission data on transportation. Once we have fully implemented the solution, it will allow us to report and share emission data knowing that our data is as accurate as possible.”

WASTE MEASUREMENT

Waste management has long been a central concern for the chemicals industry and will continue to be of paramount importance in the years to come. Circular business models have become increasingly popular due to their ability to minimise waste generation. Additionally, recycling initiatives embedded into circular business models are not only reducing costs for organisations, but also mitigating their dependence on raw materials and associated price volatility.

Some 84 per cent of survey respondents said their organisation is either actively developing or planning to implement a circular business model. The main drivers for this are sustainability targets, legal requirements and cost reduction. “I am perhaps unsurprised to see that legal requirements and sustainability targets are the top two answers here,” Schultes comments. “I think for many though, their sustainability targets are based on their legal requirements, as it informs their ESG reporting.”

Implementing an effective circular supply chain is a complex endeavour and does not come without significant upfront costs. The primary challenge appears to lie in establishing a clear benefit case and securing the necessary investment. Lanyon explains some of the challenges in implementing a circular business model: “While everyone in the industry is interested in them, they are expensive, and there is not much desire to pay the premium it would cost. So, by using things like mass balance, we are trying to find alternative ways to offer more circularity in our products without increasing the cost. It is hard, but we have begun to transition a portion of our portfolio in that direction, and already have products that are circular. Going forward, I think investing and focussing on this area as we strive to achieve our sustainability goals will be key, and organisations looking to do it over the next 5-10 years will be ahead of the curve, and the competition.”

EYES IN THE SKIES

Implementing a company-wide approach coupled with a collaborative culture with all stakeholders is paramount for successful decarbonisation progress. Collaborating with transport solution providers, in particular, has been highlighted as a key focus, and heads of supply chain are facing challenges in these efforts, in part due to a lack of infrastructure for reporting data, increased costs and an unwillingness to share emission-based data from their transport providers. Upcoming EU legislation is likely to make manufacturers responsible for Scope 3 emissions but, as things stand right now, the chemical industry has no means by which to calculate those emissions accurately.

A new project, hosted by the European Space Agency (ESA) and involving a consortium led by Ovinto, is trying to gather data on ‘real’ emissions and to develop a user-friendly, emissions/primary data monitor

for the different freight transport modes. Fausto Vieira, technical officer of ESA, explains more: “The really interesting thing about this project is that space technologies are everywhere. This project is using a variety of space technologies, including satellite communications, GPS, and Earth observation data. These technologies are being used to develop a digital twin of the railway industry, which will be used to model emissions and identify opportunities for efficiency improvements. Moreover, satellite communications are utilised in tracking devices installed in rail tank cars, particularly those transporting chemical products. This connectivity helps transmit essential telemetry and sensor data, ensuring efficient and safe transportation.”

The project is being carried out under the guidance of the European Chemical Industry Council (Cefic), the European Chemical Transport Association (ECTA) and the European Petrochemical Association’s (EPCA) Supply Chain Programme Committee. The project is currently at the stage of integrating contributing users, which will provide user requirements regarding the development of the emission monitor. They will also be able to test the developed modules and validate the generated data, whilst giving feedback on how they see further development of the tool.

Ovinto has helped to develop the Smart Emission Calculator to provide visibility of the ecological footprint of the logistic flow of goods, across different transport modes and transport providers. It allows organisations to choose the route to go from A to B, not only based on time and cost, but also based on its ecological footprint.

The project firmly believes that upon completion of the demonstration phase, it will be able to present the EU with a comprehensive case study showcasing how this can be effectively achieved. This success hinges on the collective efforts of industry stakeholders and will flourish through the collaborative endeavours of all parties involved.

To download a full copy of the report or to find out more about this year’s LogiChem conference, go to https://logichem.wbresearch.com.

RED RIDING GOOD

RESULTS • LIKE ITS PEERS IN THE CHEMICAL LOGISTICS SECTOR, DEN HARTOGH SAW A DROP IN EARNINGS LAST YEAR. IT HAS NOT ALLOWED THAT TO DERAIL ITS GROWTH STRATEGY

DEN HARTOGH HAS reported revenues of €603m in 2023, a sharp fall from €741m in 2022, with EBITDA falling from €98m to €67m. “After two successful and recordbreaking years, we had to take a step back in 2023,” the company says. “The economic and geopolitical turmoil has dealt a severe blow to the chemical industry, and this has had a direct impact on our revenue. With overcapacity in the market, margins started to come under pressure in the second half of the year.”

Den Hartogh reduced its investments in line with the fall in earnings but still spent nearly €59m; some of this went on new tank containers for its Liquid Logistics and Global Logistics units, partly to replace leased tanks, with an overall decline in the fleet. Den Hartogh has continued to order new T-75 gas tanks and also ordered almost 800 new 30-foot dry bulk containers; it also added 20-

and 40-foot bulk containers for use in the Asia-Pacific region.

“The current decrease in demand and increased supply of tank containers in the market provides the industry with a challenge in right-sizing their fleets,” the company says. “This always has been a focus for Den Hartogh, however, one it will continue to focus on in 2024 and beyond.”

WORD FROM THE TOP

Speaking about the past year, group managing director Pieter den Hartogh says: “The impact of geopolitical agendas and macro-economic headwinds in 2023 have resulted in global challenges. High inflation and lower ocean freight rates have changed the cost dynamics in the industry. It is for this reason that we have continued developing our analytics, processes and global network design to consolidate our strong position as global logistics service provider, but also to enhance our cost-effectiveness and efficiency.

“We are always committed to finding the most optimal logistics solution for our customers, which was reflected in our

continued record low levels of customer complaints,” den Hartogh continues. “It shows that our service level and communication were both performing optimally, a result of our conviction that the Den Hartogh team is the key to success.”.

Further investment has been made in digital technologies, which involved the replacement of the existing transport management system to transition to a more adaptive hub-andspoke architecture, as well as the upgrading of the supply chain visibility portal to allow the sharing of relevant information in real time.

New driver communication software has been developed to improve and enhance the communication process, giving drivers more accurate action-based instructions and a better workflow. Mission Planner had been implemented in close to half of the company’s European trucks by the end of 2023.

Implementation in the remaining European trucks within the scope of the project will take place in early 2024.

Nevertheless, Pieter den Hartogh warns that the worst of the market is not yet over, though he remains optimistic. “A downturn in our financial results is expected to continue into the first half year of 2024, but a more favourable economic situation is forecasted for our industry in the second half. Fortunately, responding to the changing demands of a volatile market is in our DNA and this, in combination with our great team, makes me look forward to 2024 with confidence.”

www.denhartogh.com

DESPITE A DROP IN BUSINESS LAST YEAR, DEN HARTOGH IS CONFIDENT ABOUT THE FUTURE

SPOT THE DIFFERENCE

EQUIPMENT • COUNTERFEIT PRODUCTS HAVE LONG BEEN A PROBLEM IN THE OIL AND GAS SECTOR BUT THINGS ARE GETTING MUCH WORSE, AS FORT VALE’S GRAHAM BLANCHARD EXPLAINS

LAST OCTOBER, A scandal broke in the global aviation industry after an investigation into a company by the UK’s Serious Fraud Office showed that it had allegedly supplied jet-engine parts to airlines using forged paperwork. The ramifications were obvious - if you fit sub-standard or unapproved parts to a machine that will undergo severe operational stress over the course of its working life, and those parts then fail, you will have a disaster on your hands.

This is precisely what happened to Partnair Flight 394 - a chartered flight that crashed in September 1989 off the coast of Denmark - three of the four bolts needed to hold the tailplane in place were counterfeit. The fake bolts and sleeves wore down excessively, causing the tail to vibrate for 16 completed flights and the accident flight, which killed all 55 people onboard when the tail fell off.

But it couldn’t happen in our industry, could it? Well, it does and, what’s more, it happens all the time - it doesn’t attract as much attention because the stakes are lower, but it is still a problem that refuses to go away.

In the past, seals and gaskets were (and are) particular targets. At Fort Vale, we have been seeing the after-effects of this dubious trade for many years. In a way, it’s understandable - valves are expensive pieces of kit, and you might be tempted to buy cheaper seals for that particular valve to save a few pennies - but when the seal fails, and

therefore your valve fails as well, is it really much of a saving?

BUYER BEWARE

We sell OEM seals and gaskets, but we invest time, money and plenty of R&D to ensure that they are perfect for the job they are designed for, but what we have noticed is that some unscrupulous third-party manufacturers not only make claims for their equipment that don’t stack up, they will put our (and others) logos on their shoddy goods!

However, we have also noticed that there are companies out there that are not only selling counterfeit seals and gaskets, but valves as well - which is a much more serious matter. They are reverse-engineering components that they have no hand in developing so, in the short term, the parts are identical (as we have seen, sometimes down to the logo on the casing) but

in the long term, if that part fails, it’s the customer who has the problem.

Because the part has been reverseengineered, there will be no-one at that company that understands why the valve has been engineered in that way in the first place, there will be no spares network, and there will be no technical support - and you, the customer, will be stuck with failed valves, failed seals and a rapidly increasing set of bills.

We operate in a safety-critical industry that uses high-value products - so if anything goes wrong along the line, that safety is compromised and those valuable products go to waste. This is not a situation where we, as an industry, can afford to sit back and be complacent - this is dangerous.

We don’t manufacture seals and gaskets for the enormous profits - we do it because we want to support our products with the best accessories, enabling those products to perform in the way they have been designed to, with a long, trouble-free lifespan - anything less is a false economy.

What to do about the problem? It’s easy, stick with tried and trusted suppliers, if you do enter into a relationship with a company online, do some due diligence first - check if they have technical support, check if they have a spares network, check if all their claims stack up - because if you don’t, you will be the one footing the bill. www.fortvale.com

SHIFT WORK

COMBINED TRANSPORT • PERSISTENT PROBLEMS ON EUROPE’S RAIL NETWORK ARE PREVENTING THE DESIRED SHIFT OF FREIGHT OFF THE ROADS, WITH HUPAC REPORTING A FALL IN TRAFFIC IN 2023

HUPAC MOVED SOME 975,000 road consignments in combined road/rail and maritime hinterland transport last year, a decline of 11.7 per cent compared to 2022. The fall in demand for transport in Europe, price increases in the rail system that are not in line with the market, and considerable quality deficits in the German rail network are putting environmentally friendly combined transport under pressure, the company states.

All transport segments of Hupac’s Europe-wide network were affected by this negative development to varying degrees. In the core market of transalpine transport through Switzerland, Hupac recorded a comparatively moderate decline of 7.6 per cent to 540,000 road consignments. The recessionary trend started in the autumn of 2022 in connection with the Russian invasion

of Ukraine and the energy crisis and affected large parts of the world economy in the course of 2023.

To make matters worse, a number of factors are putting increasing pressure on the rail system. First and foremost is the poor quality of the rail network, especially in Germany, due to neglected maintenance and inadequate national and international construction planning. Capacity bottlenecks, delays and cancellations are the order of the day on many corridors.

A serious accident in the Gotthard base tunnel in August was an additional exceptional factor. The complete closure of one of the two tunnel tubes until September 2024 significantly reduces the capacity of the line.

“Fortunately, the impact on rail freight transport is limited, as good solutions have been found together with SBB,” says Michail

Stahlhut, CEO of the Hupac Group. “We expect that the forthcoming necessary general overhaul of the German rail network will be organised in a market-compatible manner so as not to nip the politically desired turnaround in transport in the bud.”

Massive double-digit cost increases in the rail system are also counterproductive. High track and traction costs are out of all proportion to the service provided. “We must do everything we can to stop the trend of shifting traffic back from rail to road,” Stahlhut demands. Instead, the system is being deprived of the support it urgently needs, especially in times of crisis. The current, unplanned significant reduction in track access charge subsidies in Germany is worsening the framework conditions for combined transport and, given the current margin situation, will inevitably lead to the additional costs being passed on to the market.

STICK TO YOUR GUNS

Despite the current difficult economic situation, Hupac is sticking to its strategy for the further development of climate-friendly combined transport. The European network is being adapted to market demand as the situation requires. “In some cases we have temporarily consolidated departures”, explains Alessandro Valenti, director of Shuttle Net. “Other services have been expanded, such as the Benelux-Italy corridor with additional departures between Zeebrugge and Novara and Busto Arsizio and a new service to Piacenza from February 2024.” Another new development is an increase in frequency on the RotterdamWarsaw/Brwinów route.

In addition, Hupac is continuously working on factors that will strengthen the productivity and competitiveness of combined transport in the long term.

“Longer, heavier trains, efficient terminals, strengthening competition by promoting private railway companies and digital transformation are the most important keywords for the success of combined transport,” says Michail Stahlhut. The company is also making investments in terminals in Italy, Germany and Spain. www.hupac.ch

NEWS BULLETIN

AUTOMATED AIREDALE

Airedale Group has commissioned an automated filling, packing and palletising line at its UK facility, investing £1.8m to increase productivity and capacity. “Previously, we were fulfilling this area of the business manually, which was labour-intensive,” explains managing director Richard Ward. “We can now increase our small pack filling and packing production rates from 100 to 480 units per hour and re-deploy those resources to other areas of the business.

“The quality of our finished product will be greatly enhanced with consistent fill levels and uniform labelling and packaging,” Ward adds. “It also frees up manufacturing capacity and we can now pack products to order rather than holding stock on site which opens up valuable storage space.”

The project also involved the installation of six 30,000-litre storage vessels, each standing

over six metres tall, which feed products into the filling line. “This is a hugely important milestone in our five-year plan, continuing our push to increase efficiency and quality through automation and modernisation of the site. It also forms an important part of our on-going ESG strategy,” Ward adds. airedale-group.com

MORE SPACE FOR DINGES

Dinges Logistics has opened another site in its home base of Grünstadt, north-west of Ludwigshafen, Germany. “This expansion marks a significant step in the company’s growth strategy and reinforces its commitment to further strengthen its market position and provide first class services to its customers,” the company states.

The new site adds 5,000 m2 of logistics space and there is also a 1,300-m2 warehouse to handle future customer requirements. Michael Klopp,

COO of Dinges Logistics, explains: “We are already in constructive discussions with our customers in order to integrate the latest facilities into our existing service portfolio in the best possible way. Our aim is to offer a comprehensive value-added service and we believe the new site will strengthen our position in this respect. In addition, the proximity to the other sites in Grünstadt will create synergies and enable us to make our internal processes and services even more efficient,” dinges-logistics.com

BRENNTAG BUYS IN BARI

Brenntag has agreed to acquire a chemical logistics site in Bari, Italy from Chimica d’Agostino. The site is located in an industrial area with good road links and close to the port. It will increase Brenntag’s position in southern Italy and allow Brenntag Essentials to serve its regional customers along both the eastern coast (from Bari) and western coast (from its existing site at Anagni).

The site in Bari has a total surface area of some 35,000 m2 and offers automated facilities for dilution, filling and packaging. The site includes an operating area with a tank farm and a powder warehouse, a solvent tank farm, possibilities for mixing and blending, a loading/ unloading area, the packed warehouse and dilution plants.

Brenntag explains that its Brenntag Essentials unit combines a cost-efficient network of last mile service operations with regional sourcing and supply chain services, and global sourcing. This acquisition will expand Brenntag’s last mile operation options in the region and add specific regional tollgate functions. “The new site perfectly fits to our strategy of being the most trusted supplier with an ever-growing service offering for our customers. The location in Bari offers potential to grow further and supports our effort of

serving across all industries,” says Ignazio Vullo, president of Brenntag Essentials EMEA South. corporate.brenntag.com

EUROTAINER SUPPLIES THE OIL PATCH

Eurotainer has introduced a specially designed tank container and chassis set for oilfield applications in North America. The unit is designed to meet the specific operational and safety needs, including ground-level controls of product loading and air/vent lines, a collapsible rail on top of the tank for fall protection, and extended ladder for safe access, and other components that comply with US workplace safety regulations for the sector.

The new 6,340-gal (24,000-litres) tanks are also fitted with explosion-proof telemetry systems for remote monitoring and alerting. www.eurotainer.com

MORE TANKERS FOR CSG

CSG, a leading UK waste management company, has acquired a new 44-tonne road tanker specifically designed for the transport of acids. The fibreglass-lined, 30,000-litre barrel was supplied by RTN Clayton Vallely. CSG has now invested more than £1m in new vehicles, following the arrival of two high performance rigid vacuum tankers and a long-distance articulated liquid ring tanker, along with a

KOKS CycloVac HVAM (Disab tanker).

“We are delighted to add this specialist fibreglass-lined tanker to our ever-expanding fleet,” says Jen Cartmell, treatment director at CSG. “We are able to process a wide range of complex industrial chemical substances, including acids and alkalis. This includes fuming acids such as oleum, chlorosulfonic acid and acidic solvents, as well as strong oxidising agents such as chromic acid, potassium permanganate and sodium hypochlorite. Some of these substances could cause severe corrosion to regular steel tankers so a fibreglass lining is required to ensure safe transportation as the material is highly-resistant to most acids and does not corrode.”

www.csg.co.uk

GATX GOES FOR GAS

GATX Rail Europe (GRE) has celebrated doubling the size of its gas tank car fleet in the space of two years, with its 1,000th unit being delivered this month from the company’s in-house workshop at Ostróda. The latest arrival, specially painted to celebrate the milestone, has gone into service for GRE’s client Dow Europe.

“With our 1,000th multi-purpose champion gas railcar, we have doubled our 119-m³ railcar fleet in just a little over two years and are ready to meet the demand for it,” says Elisabeth Jilli,

head of sales and service at GRE. The GATX ‘Zags’ tank car is fully optimised and has a low tare weight, crash buffers and a strong tank head. It is simple and safe to load and unload and its reduced tare weight allows a payload increase. As with all GRE’s leasing fleet, the new unit is equipped with GRE’s standard telematics solution, which can be upgraded as required.

www.gatx.eu

ESSERS BUNDLES BRANDS

H Essers has renamed its recently acquired operations in the Netherlands, bringing them into the Essers fold. The acquired businesses include the chemical logistics activities of the Meeus Group, as well as infrastructure logistics companies Gebroeders Hoefnagels Transport and Verheul Transport.

In particular, H Essers is keen to establish the former Meeus site in Bergen op Zoom as a logistics hub, given its strategic position between the global ports of Rotterdam and Antwerp, along with its direct access to the Schelde-Rijn Canal. Consequently, the company is now building a new, expanded Markiezaat Container Terminal in this area to replace the existing inland terminal. The terminal is expected to be operational in 2026.

The new terminal, with a capacity of 250,000 TEU/year, will be easily accessible for larger ships due to its off-dock location and will therefore serve as a consolidation hub. By bundling freight, as well as by using renewable energy and battery containers, H Essers is further committed to sustainability. In addition, 220,000 m2 of warehouse space will be built.

“Within our growth strategy, we are looking for sustainable solutions that fit our synchromodal vision of transport,” says Pascal Vranken, CCO of H Essers. “We want to transport freight in the most efficient way possible and make optimal use of different modes of transport. By focusing more on transport by water, we contribute to a more sustainable logistics network in the Netherlands, with fewer containers unnecessarily transported by road.”

www.essers.com

CONFERENCE DIARY

MARCH

IATA World Cargo Symposium

MARCH 12-14, HONG KONG

Annual global conference on air cargo www.iata.org/en/events/wcs/

LogiChem

MARCH 12-14, ROTTERDAM

Chemical supply chain and logistics conference

http://logichem.wbresearch.com/

StocExpo 2024

MARCH 12-14, ROTTERDAM

The main annual exhibition and conference for the European tank terminal industry www.stocexpo.com/en/

Dangerous Goods Operations & Hazardous Substances ANZ

MARCH 13-15, MELBOURNE

Ninth annual conference on chemical safety and dangerous goods compliance

www.marcusevans.com/conferences/dangerousgoods

WPC 2024

MARCH 18-22, HOUSTON

39th World Petrochemical Conference wpc.ihsmarkit.com/index.html?/summary

ACD Regulatory and RD Workshops

MARCH 19-21, ARLINGTON, VA

Meeting on compliance issues for North American chemical distributors www.acd-chem.com/education-meetings/ meetings/2024-spring-regulatory-and-responsibledistribution-workshops/

International Transport & Logistics Week (SITL)

MARCH 19-21, PARIS

Annual transport event, including hybrid and in-person conferences and workshops www.sitl.eu/en-gb.html

BADGP

MARCH 21, COVENTRY

Annual AGM and seminar of the British Association of Dangerous Goods Professionals

www.badgp.org/

AFPM IPC

MARCH 24-26, SAN ANTONIO

AFPM’s annual International Petrochemical Conference

www.afpm.org/events/IPC24

APRIL

Hydrogen & Fuel Cells Energy Summit

APRIL 3-4, VALENCIA

7th annual conference to discuss innovations in hydrogen and fuel cell technology, production and transport

www.wplgroup.com/aci/event/hydrogen-fuel-cellsenergy-summit/

NISTM

APRIL 3-5, ORLANDO

National Institute for Storage Tank Management’s 26th annual international aboveground storage tank conference and trade show

www.nistm.org

UKIFDA Expo 2024

APRIL 10-11, LIVERPOOL

Annual exhibition and conference for the fuel distribution sector in the UK and Ireland

https://ukifda.org/ukifda-events/

CVSA Workshop

APRIL 14-18, LOUISVILLE

Meeting for industry, regulators and enforcers to improve commercial vehicle safety www.cvsa.org/events/cvsa-workshop/

LogiPharma

APRIL 16-18, LYON

Conference on the end-to-end pharmaceutical supply chain logipharmaeu.wbresearch.com

AFPM Security Conference

APRIL 18-19, NEW ORLEANS

Conference on security at fuel refining and petrochemical plants

www.afpm.org/events/SC24

Cryogenic Storage Tanks

APRIL 18-19, MUNICH

Third technical conference on liquefied gas storage

www.tuvsud.com/de-de/store/akademie/ tagungen-kongresse/gewaesser-undexplosionsschutz-flachbodentanks/1611005

COSTHA 2024

APRIL 21-24, FORT MYERS

Annual forum and expo of the Council on Safe Transportation of Hazardous Articles www.costha.com

International Chemical & Product Tanker Conference

APRIL 23-24, LONDON

Conference on tanker markets and trade

https://www.rivieramm.com/events/internationalchemical-and-product-tanker-conference-2024

Asia Pacific LNG & Energy Summit

APRIL 23-25, SINGAPORE

13th annual meeting for the LNG, gas and hydrogen value chain www.asiaenergysummit.com/

CV Show

APRIL 23-25, BIRMINGHAM

Annual commercial vehicle exhibition https://cvshow.com/

ILTA

MAY 6-8, HOUSTON

43rd annual operating conference and trade show of the International Liquid Terminals Association https://ilta2024.ilta.org/

INCIDENT LOG

ROAD/RAIL/AIR INCIDENTS

1/2/24 Nairobi, truck LPG

At least six people were killed, 280 injured by explosion of truck carrying gas cylinders at unlicensed gas BBC Kenya bottling plant in residential part of Embakasi district; site operator was arrested

5/2/24 Nashville, truck radioactive Semi-truck carrying radioactive waste caught fire on I-40; both lanes of highway closed while fire crews WSMV Tennessee, US waste dealt with blaze; responders determined there was no loss of containment of low-grade waste

6/2/24 Iba, road tankers LPG Gas tanker caught fire while delivering LPG to filing station; two other LPG tankers at the location caught Vanguard Lagos, Nigeria fire, exploded; one man killed, three injured; area evacuated in case of further blasts

7/2/24 Kannur, road tanker LPG Gas tanker heading from Mangaluru to Karnataka overturned after colliding with three other vehicles; driver The Kerala, India said to be speeding, lost control; no gas leak reported; nine people injured in crash Hindu

8/2/24 Village Falls, freight train cooking oil Ten cars of 94-car NS train derailed in Rensselear County; two cars fell into Hoosic River, leaking small AP New York, US amount of cooking oil and plastic pellets; nearby road closed to help response; no injuries reported

10/2/24 nr Port Matilda, road tanker glycerine Tank truck with glycerol crashed over embankment on US 322 between Port Matilda and Philipsburg; driver Centre Pennsylvania, US was trapped in cab for two hours as the cab was pinned down by fallen trees; small leak of cargo from tanker Daily Ts

13/2/24 Toyin, road tanker LPG Gas tanker struck electricity pole while turning to enter filling station to deliver product; broken cable fell The Lagos, Nigeria onto tanker, causing spark that ignited leaking gas; fire, explosion destroyed nearby shops; no injuries Eagle

16/2/24 Udaipur, road tanker fuel Driver lost control of speeding tanker on Udaipur-Pindwara National Highway; truck ran off road, fell into Times of Rajasthan, India deep trench, killing driver and causing spill of unspecified fuel India

16/2/24 Summit, truck hydrogen Part of I-55 had to be closed after truck was found to be leaking hydrogen peroxide from trailer; leak was MSN Illinois, US peroxide reacting with other chemicals onboard; cleanup crews had to offload trailer before road could be reopened

17/2/24 Quetta, road tanker diesel Fire broke out, reportedly due to short-circuit, on road tanker with 15,000 litres diesel on Jamkay-Silver Star Urdu Balochistan, Pakistan Road; fire crews were quickly on the scene to stop fire spreading; no injuries reported Point

20/2/24 Sturgeon Bay, road tanker propane Propane tanker overturned after accident with van on SR 42; crash damaged lines on tanker, causing leak of Green Bay Wisconsin, US gas; driver made sure all valves were closed; no injuries reported; road closed for several hours Press-Gaz

21/2/24 nr Chikhli, road tanker flammable Road tanker with unspecified highly flammable liquid overturned, caught fire between Wagaldhara and Times of Maharashtra, India Chikhli on NH 48; driver, cleaner both killed; other vehicles were caught up in fire but their drivers escaped India

23/2/24 Tigbao, Zamboanga road tanker sodium Road tanker crashed, overturned trying to negotiate downhill bend; two people onboard were killed in crash; Inquirer del Sur, Philippines hydroxide no reports of leaking product; locals advised to avoid area until wreck was cleared

24/2/24 nr Moni, road tanker unknown Road tanker overturned on Nicosia-Limassol highway, causing overnight closure of road; not clear if tanker Cyprus Cyprus had any load but photos showed open manlids, puddles on ground; driver hospitalised; cause unknown Mail

25/2/24 Benton, truck sodium Responders were called to spill from truck outside Goodyear Tire Store off I-30; truck was heading for MSN Arkansas, US hydroxide Mexico, carrying several IBCs with sodium hydroxide, one of which was compromised; no injuries

28/2/24 Kolkata, road tanker oil Driver lost control of tanker with unspecified oil load, reportedly due to burst tyre, in Mohammed Ali Park Times of W Bengal, India area; tanker collided with parked car, exploded; driver was trapped in cab, died in fire; nearby shops damaged India

MARINE/INLAND WATERWAY INCIDENTS

MISCELLANEOUS INCIDENTS

31/1/24 St Petersburg, oil refinery oil Drone was shot down over St Petersburg, fell into Nevsky Mazut refinery; explosion, fire in refinery but Moscow Russia no major damage; fire was put out by site crew; second such attack on St Petersburg in a month Times

1/2/24 Cabuyao, fireworks fireworks

Fire broke out in small fireworks factory south of Manila, killing two workers and injuring six others; Xinhua Laguna, Philippines factory locals reported hearing several loud explosions before fire; police investigating

3/2/24 Volgograd, oil refinery oil

Ukrainian drone attack on Volgograd oil refinery caused fire in crude oil processing unit, cutting production Interfax Russia of fuels; Ukrainian authorities said more attacks on refineries and fuel infrastructure would follow

6/2/24 Harda, fireworks fireworks

Nine killed, some 200 injured after explosion, fire at firecracker factory in Bairagarh district; videos on social The MP, India factory media showed fire, intermittent explosions, people running in all directions; severe damage to buildings Tribune

7/2/24 Kwigillingok, fuel depot diesel

Nearly 6,500 gal (24.6 m3) diesel spilled from Kwik Inc fuel storage facility during tank-to-tank transfer; KYUK Alaska, US fuel spilt to frozen tundra and nearby pond but did not reach river or sea; human error suspected

9/2/24 Kwinana Beach, warehouse sulphur

Fire broke out on conveyor carrying sulphur from ship to Nutrien Ag warehouse; shelter-in-place advisory ABC WA, Australia for 40,000 people in 12 Perth suburbs; fire was brought under control same day; wind dissipated smoke

9/2/24 Tololotlán, pipeline gasoline

Ruptured pipeline sent fountain of gasoline, fuel cloud into the air; some 2,100 locals evacuated; Pemex Mexico Tonalá, Mexico stopped flow to allow leak to be dealt with; reports said thieves had tapped into the line Ns Daily

15/2/24 Alipur, paint chemicals

Seven killed, others missing after explosion at paint factory in Dayalpur market, thought to have been caused PTI Delhi, India factory by chemicals; blast led to fire that was brought under control after four hours

17/2/24 Vembakottai, fireworks explosives

Ten people killed by sudden explosion in chemical mixing room of firecracker factory in Kundayiruppu The Tamil Nadu, India factory village; plant was properly licensed; mixing room was crowded at the time; human error suspected Tribune

18/2/24 Viviez, recycling lithium

Massive fire broke out in warehouse of SNAM recycling facility, with some 900 t lithium batteries ablaze; France24 Aveyron, France plant batteries thick cloud of black smoke above the site; authorities said there was no risk to local residents

NOT OTHERWISE

SPECIFIED

LET MY PIGEON GO!

We are not sure whether to laugh or cry: a pigeon has been released after eight months in captivity, accused of being a spy. The bird was captured in May 2023 in Mumbai and it was suspected that two rings attached to its legs, both bearing Chinese writing, indicated that it was on a covert mission.

Yes, it’s quite a leap – but bear with us.

Detectives detained the pigeon and took it to a local animal hospital where it was looked after under the beady eyes of other feathered felons. It was only in January that it emerged that the rings on its legs were those of a racing bird from Taiwan; it is now assumed – though whether this assumption is any more reliable is not clear – that the bird had escaped from its owner and flown to India.

Whatever; happily, the police allowed the pigeon to be transferred to the Bombay Society for the Prevention of Cruelty to Animals, which set it free – again, it is not clear if it knew the way home. It will need to be careful, as India clearly has form in this area – another pigeon was detained in 2016 after it was found with a note threatening the prime minister.

WHAT’S THAT SMELL?

Residents of Cape Town began complaining last month of a foul stench, prompting city authorities to launch an investigation and inspect sewage facilities for leaks. It emerged fairly quickly that the smell was coming from a livestock carrier with 19,000 cattle being shipped from Brazil to Iraq; the ship had moored in the bay to load feed for the cattle.

Finding the source of the stench was of little use to locals, though. “We are in hell,” one resident wrote on X, with another pointing out that the city reeked even though the ship was 8 km offshore. Animal welfare charities were alerted and vets were taken out to the ship to see what conditions were like onboard. The NSPCA reported that the smell was “indicative of the awful conditions the animals endure, having already spent two and an half weeks on board, with a build-up of faeces and ammonia”. Five animals had to be destroyed as a result of injuries sustained during the voyage.

WAITING FOR THE MAN

Strange goings on in the town of Don Benito in Spain’s western Badajoz province. Last month the local priest, Alfonso Raul Masa Soto, was arrested in his rectory on suspicion of illegally selling Viagra from his home. Another man, described as the cleric’s partner, was also detained while the house was searched by the Guardia Civil and has subsequently been jailed; the priest was released on bail.

The house search is said to have turned up not just Viagra but also some other drugs described as “powerful aphrodisiacs”. The diocese of Plasencia, under which Don Benito falls, said it regretted the priest’s detention, not because it reflected badly on the clergy but because of the pain and suffering it might cause the two men – and potentially others in the town.

The priest’s lawyer insisted there was no incriminating evidence against him, adding: “What is being said about my client is totally false.” Other reports said the priest was a “very popular” man in the town. You don’t say…

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