BC Shipping News - Volume 1, Issue 2 - May, 2011

INSIDE: BC FERRIES FULL FLEET VESSEL GUIDE

BC SHIPPING NEWS

Volume 1 Issue 2

www.bcshippingnews.com

May, 2011

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Prince Rupert welcomes namesake ship

The MV COSCO PRINCE RUPERT makes her maiden voyage and her first stop at Prince Rupert Container Terminal.

Industry Insight

Captain Jamie Marshall and BC Ferries: Staying ahead of the curve.

Tanker Traffic

Fact versus fiction: Captain Stephen Brown sheds light on the debate.

Plus: Special focus on marine engineering May, 2011 BC Shipping News 1

May 2011

Volume 1 Issue 2

Contents Cover Story - P. 22

The MV COSCO PRINCE RUPERT

The new Seaspan vessel chartered by China Ocean Shipping Company Containers begins plying the West Coast shores.

Cover shot and all photos of the MV COSCO Prince Rupert supplied by Lonnie Wishart: www.lonniewishart.com.

Photo credit: Lonnie Wishart

10 Industry insight Captain Marshall, Vice President, Fleet Operations and Training, BC Ferries Corporation, provides an inside look at the largest carrier of passenger traffic in Canada.

26 BC Ferries vessel guide Full fleet roster

This handy reference guide provides a visual guide to all BC Ferries vessels as well as key details, including LOA, beam, capacity, propulsion and much more.

52 Technology / New Products Emerging trends: E-Navigation and On-board Management Systems First global E-nav system now on the market.

D E P A R T M E N T S

F E A T U R E S

Captain Jamie Marshall

6

Industry traffic

17

Cruise

21

Ports & terminals

32

History lesson

34

Marine engineering

40

Government

42

Arctic shipping

45

Tanker traffic

50

Legal Affairs

54

Events

News briefs.

Cruise briefs followed by a look at the cruise industry’s recycling ingenuity.

Feature port: Port Alberni.

Vancouver Maritime Museum looks at the construction of Ben Franklin.

Jeff Smith: Think global, act local plus a CIMarE primer and what it takes to become a marine engineer.

Where the parties stand on shipping industry issues.

Joe Spears on the rapidly changing Arctic Ocean Basin.

Fact versus fiction by Captain Stephen Brown.

Courts say “No” to Carbon Tax. Upcoming events in May and June.

May, 2011 BC Shipping News 3

May, 2011 Volume 1 / Issue 2 Publisher McIvor Communications Inc. President & Editor Jane McIvor Contributing Writers Captain Stephen Brown Carrie Schmidt Thomas Hawkins Jeffrey Smith Captain Jamie Marshall Donna Spalding Simon Robinson Joe Spears Advertising & Subscriptions Jane McIvor / 604-893-8800 ANNUAL SUBSCRIPTION One Year $37.50 Cdn* Two Years $69.95 Cdn* USA One Year $60.00 US Other Countries One Year $75.00 US Canada

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Contents copyrighted 2011 McIvor Communications Inc. 300 - 1275 West 6th Avenue, Vancouver, British Columbia Canada V6H 1A6 Phone: 604-893-8800 / Fax: 604-708-1920 E-mail: contact@bcshippingnews.com International Standard Serial Number ISSN: 1925-4865 Published 10 times per year.

Sponsored by the Council of Marine Carriers 4 BC Shipping News May, 2011

The opinions expressed by contributing writers are not necessarily those of the Publisher. No part of this magazine may be reproduced in any form without written permission of the publisher.

EDITOR’S NOTE

So who was the Chief Engineer on the Love Boat?

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uring the development of articles for this issue, I was asked: “Who was the Chief Engineer on the Love Boat?” I answered Isaac.

Turns out that Isaac was the bartender...

The point was not lost on me though — there was no Chief Engineer on the Love Boat. The ship never had a breakdown, was always with power, and technical malfunctions were never part of the storyline. For a TV series focusing on romance and adventure, you never really expected to see a powerless vessel adrift at sea. Especially with a Princess Cruises’ logo and branding ever present in the background.

Now, ask yourself this: who was the Chief Engineer on the Starship Enterprise? Scotty, of course. But engine breakdowns on the Enterprise were a normal part of almost every episode and it was often Scotty who came to the rescue. Working with unreasonable deadlines, intense life or death situations that called for extreme creativity under pressure, and often with the Captain demanding more and more power, Scotty proved to be the ultimate Chief Engineer.

This is art reflecting real life — if the Chief Engineer does his/her job and keeps the ship moving, chances are he/she will be ignored. But as soon as there’s a problem, who better to turn to than a marine engineer?

This issue of BC Shipping News takes a look at the marine engineering profession and gives credit where credit is due: namely, that without marine engineers, we’d still be standing on five logs tied together with a long pole for propulsion.

Our feature on marine engineering begins with a bit of history and a look back at an impressive early engineering feat — the construction of the Ben Franklin submersible in 1968. We then jump forward to 43 years later and hear

...without marine engineers, we’d still be standing on five logs tied together with a long pole for propulsion. from Jeffrey Smith, Chair of the National Council of the Canadian Institute of Marine Engineering, who takes an optimistic view of the future of Canada’s shipbuilding industry. We also look at what it takes to become a marine engineer — tough training but well worth the effort.

First up though, we continue our new-found tradition of Industry Insight.

This month, BCSN was very fortunate to be able to interview Captain Jamie Marshall, Vice President of Fleet Operations and Training with BC Ferries Corporation.

We couldn’t have chosen a more knowledgeable person within BC Ferries for a look at the fleet — the vessels, plans for rebuilds and refits and, most importantly, how BC Ferries has implemented a number of initiatives this past decade that have moved them closer to their goal of being one of the world’s leading ferry corporations.

This, the second edition of BC Shipping News, also tackles some of the more controversial issues facing BC’s shipping industry today. Captain Stephen Brown’s article on tanker traffic and Joe

Spears’ article on Arctic shipping routes should provoke great discussion from readers. Both, in their own ways, address the bigger picture of the impact of our current “environment” — not just the “environment” as in the climatechanging variable that has been the catalyst for exploration as Spears’ article points out, but also the “environment” as in the current attitude of the “green movement” that can sometimes be extreme and uninformed. Captain Brown rightly points out that environmentalists today continue to point to the Exxon Valdez accident of 22 years ago and think nothing has changed in terms of ship design, technological developments and best practices. BC Shipping News is pleased to be able to provide a vehicle for the opinions and voices of both Captain Brown and Mr. Spears.

Back to the Chief Engineer on the Love Boat: While a total of four Princess ships were used for filming the series — the Sun Princess (for the pilot), Pacific Princess, Island Princess and Royal Princess — it was the Pacific Princess that was most well known as the Love Boat although most filming was done on the Island Princess. There were five Chief Engineers between 1977 and 1986 on these two ships: David Montieth (who is still with Princess Cruises), Bruce Waller, John Heslop, Charlie Newby and Bill McAndless (all of whom have since retired).

Since this issue is all about giving credit where credit is due, we salute these and other ignored engineers who, on a daily basis, allow the rest of us to take shipping, ship design and shipbuilding for granted. BCSN May, 2011 BC Shipping News 5

INDUSTRY TRAFFIC First Tier-III-compliant, two-stroke engine unveiled in Japan

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AN Diesel & Turbo confirms that the MAN B&W 6S46MC-C8 engine with integrated SCR fulfills the IMO’s strictest emission standards. The engine was constructed in the Fall, 2010 by Hitachi Zosen Corporation at its Ariake works in southern Japan and is bound for a general cargo carrier to be built at the Nakai shipyard. It is scheduled to enter active service later this year. The vessel was ordered by BOT Lease Co. Ltd. and operated by Nissho Shipping Co. Ltd. The first engine-start took place in January, 2011. MAN Diesel & Turbo confirmed that, in a world-first, the engine meets all emission requirements as stipulated by the International Maritime Organization’s Tier-III legislation due to come into force in 2016.

When bringing two-stroke engine performance up to a Tier-III standard, MAN Diesel & Turbo considered both

Selective Catalytic Reduction (SCR) and Exhaust Gas Recirculation (EGR) techniques. Based on a general evaluation of two-stroke MAN B&W engines, a highpressure, urea-based SCR configuration was chosen as the optimal SCR solution.

The SCR system features more than 80% NOx reduction based on the load cycle; more than 70% NOx reduction on each point in the load cycle; and easy switching between on/off modes for optimal emission performance on high seas and coastal waters.

To achieve the desired higher exhaust-gas temperature and maximize NOx removal, the different elements of the emissions package are laid out in series, with the SCR system placed before the turbocharger.

MAN Diesel & Turbo holds patents for methods which ensure the correct, exhaust-gas temperature on enginecontrol systems.

First FLNG vessel planned for 2014

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LEX LNG has come to an agreement with InterOil, Pacific LNG, LNGL and Samsung Heavy Industries (SHI) to develop what is likely to become the first ever floating facility to produce LNG. The project would liquefy natural gas from the onshore Elk and Antelope gas fields in the Gulf Province in Papua New Guineau. Commencement of operations is targetted for 2014.

FLEX LNG already completed the generic front-end engineering and design (FEED) in 2009 and the project specific FEED is targetted to start in May, 2011 with the parties working towards reaching a final investment decision before the end of 2011.

FLEX LNG and Samsung Heavy Industries will be responsible for the design, engineering, construction and commis6 BC Shipping News May, 2011

sioning of the vessel. FLEX LNG will also be joint operator of the FLNG unit together with LNGL, which is a joint venture between InterOil and Pacific LNG. The FLNG vessel is expected to be moored alongside a jetty, which will be shared with LNGL’s land-based LNG facilities, and have a nominal production capacity of close to two million tonnes of LNG per annum and process an estimated 2.25 trillion cubic feet of gas over a firm 25-year period.

The FLEX LNG announcement comes just a few short weeks after ABS announced it was in the advanced stages of design review for a number of floating LNG concepts. According to ABS, FLNG offers a number of advantages over land-based terminals, including lower overall project costs and a reduced environmental footprint.

First Incat LNG ship to operate in South America

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ustralian shipbuilder Incat Tasmania PY Ltd. recently announced that South American company Buquebus has ordered the world’s first high speed passenger RoRo ship powered by Liquified Natural Gas (LNG). The 99-metre ship will operate between Buenos Aires, Argentina and Montevideo in Uruguay.

Incat Chairman, Rober Clifford says “Incat is excited about this project as it represents a significant step in the global move for natural gas powered ships to replace those operated with less environmentally friendly fuels.”

The yet to be named vessel is under construction at the Incat shipyard at Prince of Wales Bay at Hobart in Tasmania, Australia. Delivery is anticipated to be in Spring of 2012.

With capacity for over 1,000 passengers and 153 cars, the vessel has a projected lightship speed of 53 knots and an operating speed of 50 knots. The passenger cabin will include tourist, business and first class seating and over 1,000 square metres of an extensively fitted out duty free shop, the largest shopping area ever installed on a fast ferry.

Unitor Chemicals now Wilhelmsen Chemicals Unitor Chemicals AS, part of Wilhelmsen Ships Service, is changing its name to Wilhelmsen Chemicals AS. Wilhelmsen Ships Service acquired Nalfleet earlier this year. In future, Wilhelmsen Chemicals AS will supply both the Unitor range of chemicals as well as the new Nalfleet marine chemicals portfolio. Existing company agreements will not be affected by the name change.

NEWS BRIEFS Joint venture formed to pursue marine application for H2Omaxx

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escorp Energy announced a joint venture with Allied Holdings Group to pursue certification of Wescorp’s H2Omaxx clean water technology for international maritime vessel operations.

Allied specializes in the adaptation, certification and marketing of marine equipment to the US Navy, US Coast Guard and commercial marine industry.

Through the joint venture, Allied will use its industry expertise and relationships to position Wescorp’s H2Omaxx technology as the leading solution for oil-water separation on seagoing ships and in-port facilities.

Wescorp Energy will provide to the joint venture the H2Omaxx technology and technical support and Allied will focus on international and US certification for H2Omaxx as well as market development and funding.

The company said that oil and water separation, whether for normal ship operations or to meet the increasingly stringent bilge water and ballast discharge regulations, is a major challenge for the marine industry.

“We are committed to bringing Wescorp’s H2Omaxx technology to the marine industry. Its unique aeration technology for oil-water separation can assist the industry with one of its most difficult and expensive compliance obligations — bilge and ballast water discharge,” said Tim Gale, president and CEO of Allied.

The joint venture, known as Wescorp Marine, Inc. will be a Delaware corporation owned 65% by Wescorp Energy and 35% by Allied. Wescorp Marine will have the exclusive rights to develop the H2Omaxx technology for the US and Canadian marine markets and will act as a lead entity in identifying additional strategic partners and customers throughout the world.

“From Wescorp Energy’s perspective, we could not have found a more capable partner than Allied. Allied clearly is the best of breed when it comes to expertise with seagoing oil-water technologies and has well-established relationships with the US Coast Guard, Navy, regulators and the shipping and cruise industries,” said Robert G. Power, executive chairman of the Wescorp Energy Board.

“Additionally, by achieving international marine certification for H2Omaxx, Wescorp Energy will be able to pursue off-shore oil and gas platforms, an important global market for Wescorp’s technology,” he said.

OSI Geospatial announces board changes Mark Rivers has been appointed to the Board of Directors of ISO Geospatial Inc. and will assume the Board Chair position. OSI also announced that, effective April 11, 2011 it had terminated the services agreement with P&H Marine Australasia PLC, under which Walter Purio was contracted to act in the capacity of Interim President and CEO. Jim Girard, the current Vice President Finance and Corporate Secretary is assuming the role of Interim President and CEO until a permanent replacement is found. Girard has also been appointed to the Board of Directors.

Wilhelm Wilhelmsen resigns from the Board of Wilh.

Wilhelmsen Holdings

“

Wilhelm Wilhelmsen has, with his broad knowledge, been pivotal in the development of the company for about 50 years,” said Diderik Schnitler, Chair of Wilh. Wilhelmsen Holdings (WWH). “We understand his wish to step down, but are also pleased to know that he continues as an advisor to the Board and the company.”

At the general meeting to be held on April 29, 2011 the nomination committee, chaired by Wilhelm Wilhelmsen, will propose Carl Erik Steen as a new member. Steen was, until recently, head of the Shipping, Oil Services and International Division at Nordea Bank ASA and has extensive experience in shipping and banking.

May, 2011 BC Shipping News 7

INDUSTRY TRAFFIC Final First Marine International reports released to short-listed shipyards

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he five short-listed Canadian shipyards invited to submit bids in connection with the National Shipbuilding Procurement Strategy (NSPS) Request for Proposal received their final First Marine International (FMI) reports. FMI is an independent third party retained by the NSPS Secretariat to assess the capability and benchmark performance of the short-listed shipyards.

FMI conducted visits to the short-listed shipyards between October and December, 2010 and again in early 2011 to discuss its draft reports. The independent reports will be used as one of the inputs in the selection of the two Canadian shipyards to build large vessels.

The short-listed shipyards will also use their respective reports as inputs toward the development of plans to upgrade their facilities and improve their shipbuilding practices. These plans will be submitted to the government as part of their bids.

The result of the initial benchmarking will also be used to measure the two selected shipyards’ productivity improvements over time and to ensure value for money over the duration of the long-term strategic sourcing relationship.

The NSPS is a government strategy that will invest over $40 billion to build some 50 large vessels over the next 30 years.

Wartsila and Aker Solutions jointly develop turbine installation vessel

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artsila and Aker Solutions have agreed to combine their fields of expertise to develop a new and environmentally sound concept for off-shore wind farm installation vessels. According to the contract, Wartsila will provide the new installation vessels with the ship design, electrical power generation, propulsion machinery and high-end automation, while Aker Solutions will supply the jacking system. Wartsila, together with Aker Solutions, will also offer a 24/7 global support service for maintenance, repairs and component supply to the vessels.

The two companies have selected the best technologies for this custom designed installation vessel, which enables a highly efficient way of setting up off-shore wind power generation. The three Wartsila 6L34DF and two Wartsila 9L20DF dual-fuel engines, that will provide the main and auxilliary power for the vessel, can operate on liquefied natural gas (LNG) with low emissions.

Simarly, heat from the engine cool8 BC Shipping News May, 2011

ing system will be utilized to generate drinking water and to supply hot water for use by the crew. The accommodation heating on board will also use the same heat source while absorption chiller units will provide air conditioning during the summer.

Aker Solutions has applied its indepth knowledge of the off-shore drilling market to develop a continuous hydraulic jacking system for truss legs, which has been customized for high performance turbine installation vessels. This jack system has great benefits in regard to redundancy and has a robust design for operations in harsh environments.

The new vessel concept will be marketed as a complete package. It will fulfill the industry’s requirements for large deck space, sufficient crane capacity, year-round and all-weather operational capability and cost-efficient operating systems. It is designed for operating in the International Maritime Organization’s emission control areas.

Government delivers Advanced Technology to Navy and Coast Guard

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he Government of Canada has awarded a contract for an Interdepartmental Maritime Integrated Command, Control and Communications (IMIC3) system to Thales Canada.

Thales’ IMIC3 system will provide to the government a national network with 70 COMMANDER C3 nodes, integrated through a satellite communications network to provide coverage of all areas of operation, including the Arctic. The system will provide seamless near real-time sharing of the consolidated maritime picture including contact data, messages, and geo-referenced map overlays between vessels and shore installations and will integrate into the existing government national network to provide maritime domain awareness to anywhere in Canada, both on-shore and at sea.

Through the $11 million contract, the IMIC3 system will be integrated into the 12 Kingston-Class ships, 44 Coast Guard vessels, seven on-shore stations (Maritime Security Operations Centres and Canadian Coast Guard Regional Operations Centres) and be available through seven portable systems for use on other vessels.

This integration will take place between early 2011 and Spring 2014.

The IMIC3 system is a state-of-theart technology that will enhance maritime safety and allow commanding officers of government fleets to better coordinate operations such as search and rescue, environmental reponses and fisheries patrols.

Thales is a global technology leader with 68,000 employees in 50 countries, including 22,500 engineers and researchers.

NEWS BRIEFS Japan’s nuclear threat: mariners encouraged to get the latest updates before travel

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ince the March 11th earthquake and tsunami in Japan, the International Maritime Organization (IMO) has been actively monitoring and providing updated information for the marine community.

As late as April 15, 2011, radiation monitoring around airports and seaports in Japan continued to confirm that levels remained well within safe limits from a health perspective. In addition, monitoring of passengers, crew and cargo from Japan carried out to date in other countries, in accordance with their national policy, did not suggest any health or safety risk.

Japan recently announced a ninemonth plan to reduce levels of radiation.

In the first three months of the plan,

they hope to steadily reduce the level of leaking radiation. Three to six months after that, they hope to get the release of radioactive materials firmly under control.

Mariners are encouraged to monitor the latest NAVAREA warnings for the most up to date information on developments at ports in Japan. The relevant NAVAREA XI coordinator is Japan. Navigational warnings can be downloaded by visiting: http://www1.kaiho.mlit.go.jp/TUHO/ tuho/html/tuho/keiho_eg.html On March 15, vessels were advised to keep a 30 kilometre distance from the Fukushima nuclear plant. This warning remained in effect at the time of publication.

EXAMINATION FOR APPRENTICE MARINE PILOTS – COASTAL Examinations for Apprentice Marine Pilots will be conducted by the Pacific Pilotage Authority, in February 2012, to establish a list of applicants eligible to become Apprentice Pilots in Areas 2, 3, 4 and 5 (COASTAL WATERS) of the Pacific Pilotage Region.

Each applicant must be a Canadian citizen and be willing to undergo a medical examination to determine mental and physical fitness to perform the duties of a Pilot.

For information on Certification and Sea-time requirements, please refer to the Pacific Pilotage Regulations at: http://laws-lois.justice.gc.ca/eng/regulations/C.R.C.,_c._1270/, Sections 4 and 5.

Applicants who believe they are qualified should submit a written request for an application form prior to 1530 hrs on Wednesday, June 15, 2011 to: Examination - President and CEO Pacific Pilotage Authority 1000 - 1130 West Pender Street Vancouver, BC V6E 4A4

IMO continues to provide briefings on the situation. For the most recent briefing, please visit: http://www.imo.org/MediaCentre/ PressBriefings Further related to the crisis, Health Canada has developed guidelines in response to the situation with the Fukushima nuclear power station. On April 4, Health Canada advised marine operators to avoid transitting the evacuation zone and to adopt precautionary measures around the evacuation zone.

Canada’s Nuclear Safety Commission website also provides regular updates on the situation and mariners are encouraged to visit the following website for more information: http://nuclearsafety. gc.ca/eng/

MARINE PILOT FAMILIARIZATION PROGRAM The Pacific Pilotage Authority is accepting applications from qualified mariners interested in participating in a Marine Pilot Familiarization Program prior to examination as apprentice pilots.

Applicants must be Canadian citizens and willing to undergo a medical examination. For information on Certification and Sea-time requirements, please refer to the Pacific Pilotage Regulations, Sections 4 and 5, at: http://laws-lois.justice.gc.ca/eng/regulations/C.R.C.,_c._1270/.

Qualified applicants who are interested in this program should apply in writing prior to 1530 hrs on Friday, May 13, 2011 to: Director, Marine Operations Pacific Pilotage Authority 1000 - 1130 West Pender Street Vancouver, BC V6E 4A4

An information session on “BECOMING A COAST PILOT” will be held at BCIT Marine Campus (265 West Esplanade, North Vancouver, BC) on Monday, June 13, 2011 at 1000 hrs. Anyone considering this exciting vocation should attend this free session to get an understanding of the process.

May, 2011 BC Shipping News 9

INDUSTRY INSIGHT

Staying ahead of the curve As one of the largest employers of seafarers in Canada, the largest carrier of passenger traffic in Canada (51%) with 186,000 sailings and 21 million passengers per year, 35 vessels and 47 terminals, it’s hard to ignore the significance of BC Ferries in the West Coast shipping industry. BC Shipping News had the pleasure of sitting down with Captain Jamie Marshall, Vice President, Fleet Operations and Training, to learn more about the organization’s current activities and future plans for both fleet and terminal operations.

B

CSN: What are some of the changes you’ve seen within BC Ferries over the past decade?

JM: First and foremost, I would have to say the improvements that have been made around safety. In 2007, we introduced a new program – SailSafe – which has encouraged a very positive shift in how safety is considered at BC Ferries.

SailSafe is a unique program developed jointly by BC Ferries and the BC Ferry and Marine Workers’ Union that provides for direct employee engagement at every level of risk assessment and safety. In fact, since implementing SailSafe, we’ve seen almost a 40% drop in employee injuries (from 367 in 2007 to 10 BC Shipping News May, 2011

215 in 2010) and a significant reduction in days of work lost. Importantly, all employee injuries have been reduced as well. Experts tell us this is a seven to 10 year process and we’re only four years into it but basically there has been a cultural change in our employees and we’re starting to see the benefits of this. It’s the kind of things you can’t see visually – attitudes, values and beliefs – that have been changing in our employees, including management and the union.

Part of what makes SailSafe so successful is the ALERT Process (All Learning Events Reported Today). We developed a handbook that went out to all 4,500 employees who now have the

ability to incorporate risk assessment into their daily operations and activities. Their reports are shared with the rest of the fleet so we can determine whether a hazard exists and then work to mitigate it. It also allows us to identify whether the same hazard exists on other ships or terminals and we can address all at the same time.

Over the past two years, we’ve had over 2,200 ALERTs submitted and we have a closure rate of over 80% on those. Teams get together on a regular basis and review routines and we’re able to flag issues and determine solutions or additional safeguards. Teams and crews are looking at things in a different

INDUSTRY INSIGHT light and the key to the success of the program is that the workforce is much more engaged. Before, we were more top down driven but SailSafe is more about employees taking ownership and responsibility.

Another change over the past 10 years has been in the area of technology which has certainly had an impact on operations. On the bridge of the vessels, we’ve seen the advent of the Automatic Identification System (AIS) and the Electronic Chart Display and Information System (ECDIS) and we use those,

...the key to the success of the program is that the workforce is much more engaged. particularly in places like Active Pass, so we can see other vessels well in advance.

This has reduced incidents and gave our fleet the ability to be even more proactive in narrow channels.

We’ve also introduced fuel monitoring systems and have seen substantial decreases in fuel consumption. Other fuel saving initiatives have provided efficiencies — different hull or propeller arrangements as well as different underwater coatings, for example, paint coatings that reduce drag. Paired with the fuel is on-time performance which is now at the highest level it has ever been — 89% of all departures leave within nine minutes of departure time. This is based on approximately 186,000 sailings per year and about 500 sailings per day. With increased on-time performance, we don’t have to push the ship as hard which contributes to better fuel efficiencies.

BCSN: Looking at three of the newest ships, the Coastal ships, there is a departure from the rest of the fleet by using a diesel-electric hybrid for propulsion. Is this a trend for the future of new builds?

JM: The diesel-electric hybrid is the newest and most efficient technology.

The Coastal-Class ships have a lot of

redundant systems built into them so they can actually have routine maintenance done without being taken out of service. For example, one engine can be completely isolated while the other three operate the two main drive motors. We can’t do that with our older vessels.

With our Vessel Replacement Program (VRP), we are developing strategies to replace the Queen of Nanaimo, Queen of Burnaby and North Island Princess by 2015 - 2016. Whether they will use this new hybrid system will be something that the design team will determine. For the Coastal ships, we wanted all three vessels to be inter-operational on the three high volume routes: Route 1 (Tsawwassen to Swartz Bay), Route 30 (Tsawwassen to Duke Point) and Route 2 (Horseshoe Bay to Departure Bay).

The debate centred around whether to have single or double-ended propulsion.

On short ferry routes with a travel time of 1.5 to two hours per trip, it made more sense to operate a double-ender.

To back out of and turn around from the Tsawwassen terminal with a Spirit vessel takes six minutes. With double-

ender vessels, you don’t have to do that and you take about four minutes off the voyage. If you translate that to fuel consumption, that’s four minutes less fuel to burn and four minutes off travel time

The ships are very different...it’s almost like going from an abacus to a computer, it’s that kind of comparison. so you don’t have to increase your speed which also helps with fuel efficiency.

Part of the decision-making process also looked at maneuverability and wanting to make sure they were highly maneuverable in Active Pass, which they are.

We’re still having discussions on the propulsion systems and general arrangements of future newbuilds. We’re also looking at alternative fuels, for example, operating with LNG which is a much cleaner fuel alternative. It’s a readily available fuel source here so that is an option that will be considered.

There are quite a few options that we’ll provide to the bidding shipyards so they can give us different configurations for consideration.

Official ribbon cutting at the Grand Opening of BC Ferries Vacations Centre — May, 2010 Left to right: Janet Carson, BC Ferries’ VP of Marketing and Travel Services; Captain Jamie Marshall, BC Ferries’ VP of Fleet Operations and Training; Donald Hayes, BC Ferries’ Chair of the Board of Directors; Suzanne Anton, Deputy Mayor of the City of Vancouver; and David Hahn, BC Ferries’ President and CEO. May, 2011 BC Shipping News 11

INDUSTRY INSIGHT BCSN: How has BC Ferries managed the knowledge base of staff and the need for skills upgrade to work with the new system?

JM: We’ve done a couple of things: First, key captains, chief engineers and officers went over to the shipyard in Germany (Flensburger SchiffbauGesellschaft (FSG) who, by the way, did an excellent job) and participated in all aspects of the build program of all three

ships. They learned the systems and were there for testing and trials so they became fully familiar with the operation of the vessel. We also developed, as part of the construction project, a comprehensive training and familiarization package which provides for a series of checks and balances in the learning and evaluation process. Benchmarks are established and those need to be cleared by staff before going onto the next level.

From hull to launch...the stages of building the Coastal Renaissance at the FSG Shipyard in Germany.

12 BC Shipping News May, 2011

The ships are very different — if you compare the Queen of Nanaimo to one of the Coastal ships, you see the benefits of 45 years of technological advancements. It’s almost like going from an abacus to a computer, it’s that kind of comparison. The Coastal-Class vessels utilize an advanced monitoring and control system. This system is integrated by SAM Electronics into the Integrated Bridge System (IBS), which, unlike the Queen of Nanaimo, enables the operator to control many of the ships systems from the bridge. Items such as remote operation of fire suppression and deluge, and ventilation systems and trim tank operation to name a few. This also enables monitoring of all tanks, voids, machinery, propulsion, electrical and ancillary systems from the bridge.

BCSN: How does BC Ferries manage staff training and skill development overall?

JM: Overall, we have about 95 programs and 150 part-time internal trainers for safety and operational training.

Additionally, we have a strong relationship with BCIT’s Marine Campus and have a five year partnership which allows us to leverage both their educational expertise and their facilities and equipment. This includes training on their new and state-of-the-art simulators as well as securing facilities to train officers and crews. BC Ferries partnered with a number of other stakeholders to provide funding for the BCIT Simulator Renewal Project and we are pleased that the project went so well.

We’re also in the process of launching three of our own simulators, one in Swartz Bay, Tsawwassen and at Departure Bay. They are designed to train officers in individual technical skills, Bridge Team Training, as well as event re-creation curricula, and will be commissioned in September, 2011.

In concert with the Bridge Team Simulation project, a Standardized Education and Assessment (SEA) program is being developed and rolled out across

INDUSTRY INSIGHT all Operational Departments. This program is web-based and provides a consistent training process across the company as employees progress to sitespecific clearances. The SEA program replaces the traditional job-shadowing approach to familiarization, which did not include trainers dedicated solely to

All of the major and minor vessels have gone through an extensive upgrade program on all life-saving appliance systems. the delivery of training. In this old approach, a person undergoing training would shadow a colleague for a designated period in order to understand the responsibilities and routines they would soon be undertaking. Now, that same employee goes through a structured program with a full evaluation process at the end which they either pass or fail before being cleared to work.

The SEA program is into its third year and we’re continuing to progress in a measured and sustainable manner through the remaining lines of business.

To date, programs for the deckhands, watch-keeping officers, terminal attendants/ramp operators for our minor terminals and equipment operators for our major terminals have been developed and are rolling out. This year, we’re developing SEA programs for our captains, chief officers, terminal attendants for our major terminals and engine room assistants for subsequent roll-out next year.

As a third component of the recent training changes, we have also developed best operating practices with respect to Bridge Resource Management (BRM), which will be incorporated into both the SEA and Simulation curricula.

BCSN: Beyond the three new replacement vessels you mentioned earlier, are there additional plans in place for vessel replacements?

JM: Yes, if we look out even further, say, to the end of this decade, we’re looking at replacing the C-Class ships — Queen of Coquitlam, Queen of Cowichan, Oak Bay and Surrey. This will be a major program which will likely start in the next five to seven years.

BCSN: What about maintenance and upgrade priorities?

JM: Over the past year, we did an extensive $19 million refit on the Quinsam.

She’s a 29 year old vessel and we’ve increased her operational capability for another 17 years of service. We did the same thing on the Quadra Queen II which we just finished — that was a $15 million project. We basically went down to bare steel. The bridge was redesigned and a brand new structure was installed; the engines were completely over-hauled and built as new; and we upgraded all of the life-saving appliance systems on board.

All of the major and minor vessels have gone through an extensive upgrade program on all life-saving appliance systems. There is quite a change in technol-

In the past five years, BC Ferries has spent approximately half a billion dollars in BC on these important investments in its fleet. ogy in this area, for example, we’ve gone from davit launched life rafts to marine evacuation chutes and now the latest technology is marine evacuation slides.

These are on all the Coastal ships and we have been fitting many of the ships with this system as well.

We’ve got plans to upgrade the Spiritclass ships in 2015/16, both the Spirit of British Columbia and the Spirit of Vancouver Island will undergo extensive refits — around $50 million each — for complete passenger accommodation upgrades, life-saving appliances, upgrades to the technology on the bridge and the control systems for the four main engines.

We’ll also look at fuel saving initiatives such as hull coatings and propeller design. The Spirits for example, burn one million litres a month, so if we can save 5%, that’s 50,000 litres a month.

We found when we improved our performance on Route 30 — this was a few years ago when we started putting in fuel monitors — our on-time performance went from 81% to 89% in that one year and that saved over one million litres in fuel. It was directly tied in to not having to run ships as hard. One million litres of fuel will run the Spirit for a month or run the MV Mill Bay for 14.5 years.

All refits are done locally — we just finished the Quadra Queen II in Point Hope Shipyards — that was a total project budget of $15 million. Both the Queen of Cumberland and Queen of Capilano just went through a $2 million upgrade to passenger areas. BC Ferries spends between $80 to $120 million in a year in BC on maintenance, refit and major capital projects. In the past five years, BC Ferries has spent approximately half a billion dollars in BC on these important investments in its fleet.

BCSN: Have you seen any shifts in passenger volumes or changes in route traffic that would affect current operations?

JM: We’ve seen a decline of about 1.5% over last year. The recession seemed to produce a latent response, so we didn’t see a drop in passenger volumes in the 07/08 time frame but more into 08/09.

Forecasts for the next year call for flat or static traffic. We’re seeing fewer American tourists, in part because of the strong Canadian dollar but also because of the cost of fuel. We started seeing a shift when the cost of gasoline started to increase a couple of years ago, as many of our customers have less disposable income.

In terms of route changes, we had put forward a proposal with the Northern Expedition to run out of Tsawwassen to Port Hardy and then up to Prince Rupert every two weeks during the summerMay, 2011 BC Shipping News 13

INDUSTRY INSIGHT time. The idea was that there was a larger demographic base in Vancouver and we could get people up to Port Hardy and Prince Rupert easier than driving.

The trip would be about 15 hours from Tsawwassen to Port Hardy and then another 15 hours from Port Hardy to Prince Rupert. So you could elect to do one or both parts of the trip. We weren’t successful in getting the local communities on-side with this initiative, but we still want to explore options around it in the future.

...during the recent tsunami warning from the Japan earthquake, we were able to alert ships immediately and keep them up to date on developments.

BCSN: How does BC Ferries manage its security and emergency planning?

JM: On the emergency response side, our Operations and Security Centre (OSC) is staffed 24 hours a day, seven days a week. We have over 700 closed circuit tv cameras at our terminals that are monitored and the OSC is the single point of reference for any reporting — anything from a passenger injury to mechanical problems or weather delays — and they have a distribution procedure to make sure everyone knows. They also monitor the overall security of our ships and terminals during silent hours, i.e., off-operation hours. The OSC is linked to our Emergency Operation Centre which would be activated in an emergency or significant event in the fleet. For example, during the recent tsunami warning from the Japan earthquake, we were able to alert ships and terminals immediately and keep them up to date on developments.

From a security standpoint, we see everything from drunk driving to fare evasions to accidents. We work closely with police who will contact us to track someone of interest travelling on the ferry system. While the threat of ter14 BC Shipping News May, 2011

rorism is low here on the coast, we do have security plans at our terminals and on our ships. This was all done as part of the Domestic Ferry Security Regulations that came into force a couple of years ago and includes access control for all key points in terminals and ships as well as fencing, increased lighting, and even canine security used for bomb detection. The dogs have prompted an interesting reaction from some members of the public who think we’re searching for drugs when in fact the dogs are only trained to sniff out explosives.

BCSN: Let’s turn to the shore side — what sort of projects have been done or are planned for maintenance and upgrade to the terminals?

JM: We’re just completing a multiyear, multi-million dollar project at the Tsawwassen Terminal. We’re upgrading infrastructure at Berths 3, 4 and 5 and completely redesigned and rebuilt Berth 4 which will be operational very soon. We are replacing 13 dolphins, the port holding wall and the entire ramp structure as well as seismic upgrades to Berths 3, 4 and 5.

The sewage treatment plants are being taken out and holding facilities are being installed so they can pump directly ashore...

Other projects have included the introduction of an overhead pedestrian walkway at Horseshoe Bay, a foot passenger walkway at Campbell River and a waste water facility at Langdale. All were done with infrastructure stimulus funding under the federal government’s Stimulus Program.

We are also in the process of upgrading shore side terminals with pump-ashore facilities. Currently, we have sewage treatment on all ships, however 20 of our vessels are now being fitted with holding tanks. The sewage treatment plants are being taken out and holding facilities are being installed so they can pump

directly on shore into the municipal systems. That will mean zero discharge of sewage effluent to the environment, which we view as a real positive. That program should be finished within the next year, we’re about halfway through right now.

BCSN: Looking to the future, what sort of goals have been set within BC Ferries and how do you determine priorities?

JM: We have a rolling strategic five-year plan. Our operating budget is roughly three-quarters of a billion dollars per year and we also have an extensive multimillion dollar capital plan. Each year we analyze what we’re going to spend year by year for the next five years. Our goal is to become a world-class ferry company which we are getting closer to achieving.

With that goal, we want to open up job opportunities and be the employer of choice.

Establishing priorities within BC Ferries is typically done as part of an ongoing engagement with industry and community stakeholders, colleagues and regulators. We are members of the Canadian Ferry Operators Association (CFOA) and meet on a regular basis to compare initiatives — see what they’re doing and share what we’re doing. We work with regulators such as Transport Canada and classification societies to make sure we’re providing input into the development of regulations and to increase our awareness of upcoming regulations. One thing we’ve recently done is to participate in Transport Canada’s Delegated Statutory Inspection Program (DSIP) where Transport Canada has bestowed the status of “Recognized Organization” to seven companies (for example, Lloyd’s Registry, ABS) that can administer hull machinery and safety inspection regimes.

Transport Canada then takes on more of an audit role. Now, we don’t have to undergo two inspections, increasing efficiency in this area.

We also started voluntary compliance in 1997 of the International Safety

INDUSTRY INSIGHT Management Code (ISM) established by the International Maritime Organization (IMO). Our Safety Management Systems (SMS) are audited on an annual basis by an independent classification society. This allows us to review and set priorities for the system. We are in the process of reviewing and improving our SMS, which has a multi-phase approach and involves many employees both ashore and onboard.

Measuring customer satisfaction is another way which helps us determine priorities. Since 2003, our customer satisfaction surveys (we do three a year) have been very helpful in identifying priorities for passengers. In 2003, our overall rate of satisfaction was 82%.

In 2010, we reached 91%. We’ve seen a huge increase over the last seven to eight years mostly because we were able to look at the issues raised by customers — for example, washroom cleanliness and on-time performance — and act on them. We introduced free wireless service on the Tsawwassen / Swartz Bay route and at both terminals and soon to the Horseshoe Bay / Departure Bay route as a direct result of the surveys.

We implemented a Coastal Naturalists Education Program as well — local students give talks about the wildlife and the environment the ships travel through. Tourists love it. Kids especially love it. Another thing we did was install self ticketing kiosks at terminals to cut down on foot passenger waits. All of these initiatives were things that were identified through the customer satisfaction survey.

There has been a changing focus within BC Ferries since David Hahn came on board in 2003, he and the senior executive team have provided strong leadership. Also, the Board of Directors are business-oriented, strategic thinkers who encouraged us to focus on things like customer satisfaction. On something like upgrading the terminals, it’s no surprise that this was a priority.

You look at Tsawwassen and Departure

About Captain Jamie Marshall

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orn and raised in the Okanagan Valley, Jamie moved to Salt Spring Island in Grade Eight. “Eventually, I fell in love with the island but it was hard as a teenager to move from Kelowna to a small island,” Jamie recalls. “I lived there for five years before going to Chilliwack to train in the Navy Regular Officer Training Program (ROTP).”

Under the RCN Training Program, Jamie received his Bachelor of Science at the University of British Columbia as well as his Naval Operations Certificate of Competency.

After extensive travelling with the Navy on the Asia-Pacific Route and a five month backpacking trip through Europe, he joined BC Ferries in 1990: “I started off as a deckhand at Horseshoe Bay and did my training for commercial qualifications as Master at BCIT. I knew, even then, that if I stuck with it, there was a promising career ahead of me at BC Ferries.”

Rising through the ranks at BC Ferries for the past 20 years, Jamie has held such posts as Second Officer, Chief Officer, Master, Marine Superintendent at Deas Dock and also of South Coast Operations. He became Executive Director Safety, Security and Environment in 2006 which led to his current position of Vice President, Fleet Operations & Training which he obtained in 2009. “This is where I wanted to land,” he notes. “I always had it in my mind that operations and training was my dream job.”

Circa 1988... Sub-Lieutenant Among his many accomplishments at BC Ferries, Marshall in Sasebo, Japan dursome of the more notable ones include leading the ing deployment in the Canadian security enhancement and funding program; over- Navy. seeing Local Risk Assessment training and implementation on all vessels; restructuring the Emergency Operations Centre; and Developing the corporate Ferry Academy, including a partnership agreement with BCIT Marine Campus as a major component of the program. But his most notable success has come in the form of SailSafe. “I’m very passionate about SailSafe and the successes we’ve seen since implementing this program. There has been buy-in at every level, from management to our front line employees, and the process has been a true catalyst of change for the organization.”

Jamie currently sits on the boards of the Pacific Marine Advisory Board, the Western Marine Community Coalition, and the Nautical Institute. He has been a Canadian delegate on the IMO-Maritime Safety Committee.

Jamie and his wife, Deborah, live in Victoria, Captain Marshall during a MV BC and enjoy skiing, golfing and sailing. Jamie Northern Adventure life boat drill in has two teenage daughters who are involved in Prince Rupert. competitive cheerleading.

May, 2011 BC Shipping News 15

INDUSTRY INSIGHT Bay terminals and the change over the past 10 years. They’re first-class facilities now where people can enjoy the full ferry experience.

The overall vision of the company and our strategic direction have changed.

We have been able to navigate under our own power and determine our capital investment choices. We have the ability now to independently allocate funds for priorities we see based on our dialogue with many users. This is the difference between being a Crown corporation versus an independent organization — it has worked extremely well. In my mind, if we hadn’t moved to this structure, we wouldn’t have been able to get the Coastal ships which were delivered on time and way under budget. It has given us flexibility and independence to make the right business decisions instead of decisions made for other reasons.

BCSN: What about future leadership now that David Hahn has indicated he will be stepping down?

JM: The board is working through its succession plan and David will be here for another two years so we will have the opportunity to undergo a thorough transition period. Before David, we had six CEOs over 10 years. David brought stability to BC Ferries.

BCSN: Looking at government regulations and specifically those that deal with environmental issues, how is BC Ferries managing…

BCSN: Emission Control Area (ECA) regulations?

JM: BC Ferries uses very low sulphur fuel and we are already well below the upcoming requirements so that regulation is not an issue for us. They do apply to us but we already comply. We don’t burn any bunker fuel and if we go with LNG, it will be even cleaner further reducing CO2, NOx and SO2 emissions with newbuilds.

BCSN: Pacific North Coast Integrated Management Area (PNCIMA)?

JM: We participate in the stakeholder meetings for PNCIMA — and hold an 16 BC Shipping News May, 2011

alternate position to Captain Stephen Brown at the Chamber of Shipping. We are actively engaged in the discussions and wait to see the direction that PNCIMA will go in. We share the concerns of other industry stakeholders on issues like process, funding sources and greater participation from Transport Canada and Canadian Coast Guard.

BCSN: Pollution prevention regulations?

JM: We’re always trying to stay ahead of the curve on regulations that affect air and water quality and incorporate modifications into our existing vessels as well as new vessel design. As I mentioned earlier, our multi-million dollar pump ashore program, which will send sewage from our vessels to a shore-

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based treatment facility for processing, will meet the upcoming sewage regulations as outlined under the Regulations for the Prevention of Pollution from Ships and for Dangerous Chemicals.

One thing that we’ve introduced recently is 5 % bio-fuel — B5 blended with our already low sulphur diesel fuel. Most of the fleet is burning this B5 blend, although it’s not currently available for the northern fleet. It doesn’t improve efficiencies or operating conditions, but it’s better for the environment.

Also, the IMO is currently discussing requirements for Ship Energy Efficiency Management Plans and we’re closely monitoring developments such as these so we’re ready to act on them quickly.

About BC Ferries

ritish Columbia Ferry Services Inc., or BC Ferries, began in 1960 as a two vessel, two terminal operation and has grown into one of the world’s largest and most sophisticated ferry transportation systems. With 35 vessels and 47 terminals, BC Ferries provides service on 25 routes and is the primary provider of coastal ferry transportation in British Columbia.

In 2003, BC Ferries was transformed from a Crown corporation to an independent, commercial organization and is governed by the BC Ferry Authority, a no-share-capital corporation created under the Coastal Ferry Act of BC. The Authority is the owner of the single-issued voting share of BC Ferries.

BC Ferries routes and service levels are defined in the Coastal Ferry Services Contract between the Province of British Columbia and BC Ferries. The contract, originally signed in 2003, is a binding 60-year agreement that is reviewed and updated at regular intervals. Property on which terminals sit fall under 60-year lease agreements with the provincial government.

BC Ferries participates in 12 community advisory committees around the Province to discuss issues such as service and traffic management. They are also members of the Chamber of Shipping of British Columbia and the Western Marine Community Coalition and work closely with industry partners such as BC Coast Pilots and BCIT and government agencies such as Transport Canada.

BC Ferries mission statement: To provide safe, reliable and efficient marine transportation services which consistently exceed the expectations of our customers, employees and communities, while creating enterprise value.

For more information, contact BC Ferries Communications Department: Suite 500 – 1321 Blanshard Street, Victoria, BC V8W 0B7 Phone: 250-978-1267 / E-mail: Deborah.Marshall@bcferries.com Website: www.bcferries.com

Turn to Page 26 for a full fleet vessel guide.

CRUISE BRIEFS Holland America increases guest capacity for 2012 Alaska season

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eginning in May, 2012 Holland America Line will feature four Alaska cruise itineries on seven of its mid-sized vessels, totalling 130 departures from May 2 to September 23.

The extensive itinerary offerings will increase the line’s guest capacity in the region by nearly six percent.

Guests can choose from a selection of seven-to-14-day cruises that sail round-

trip from Seattle, Washington, and Vancouver, BC, and also between Vancouver and Seward, Alaska.

Guests will have the opportunity to visit some of the region’s most popular ports of call and scenic surroundings, including Alaska’s Inside Passage and Glacier Bay National Park, a glaciercrowned maritime wilderness that stretches over 3.3 million acres.

Disney announces new itineraries Not only will Disney Wonder change homeports from Vancouver to Seattle in 2012, she will also, for the first time, be offering a cruise to Hawaii. The Wonder will arrive in Hawaii in May, 2012 as part of a 15-day cruise originating in Los Angeles. The ship will make stops in Hilo, Kahului, Honolulu and Nawiliwili before heading to Ensenada, Mexico, then back to California.

Disney also announced that the Disney Magic is scheduled to stop in Hali-

fax, Nova Scotia, nine times in 2012.

The cruises will be part of a five-day New England package out of New York City that will also include stops in Saint John, New Brunswick.

It is estimated that the calls to Halifax will bring an additional 20,000 passengers to the Port of Halifax which will account for an approximate 10% increase in passenger traffic through the Port in 2012 over 2011 numbers (estimated at roughly 235,000).

Princess Cruises launches daily video journal to watch Grand Princess drydock

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s the Grand Princess began the most significant transformation ever in Princess Cruises history, viewers were invited to follow along with a daily video journal chronicling the 24-day drydock.

Hosted by Grand Princess Cruise Director Martyn Moss, the videos, as well as photos, are available at www.princess. com/granddrydock and on YouTube and Flickr. The journal includes daily updates through May 4.

During the makeover, approximately 1,400 workers will be busy adding many of Princess’ trademark features, including the signature Piazza atrium. Several new spaces will also be created including

a unique tea lounge and library called “Leaves”; “Alfredo’s,” a full-service pizzeria showcasing this renowned Princess dish; and a new nightclub called “The One5”.

Also part of the renovation will be the addition of seven new suites; remodelled casino, boutiques and art gallery; enhancements to the Horizon Court, Lotus Spa, and wedding chapel; and the addition of Crooner’s Martini Lounge.

The newly renovated ship will debut on May 5 in Ft. Lauderdale where she will depart on a trans-Atlantic crossing for her summer and fall homeport of Southampton from which she will cruise on a variety of European itineraries.

Princess Cruises releases details of new ship

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rincess Cruises has provided new details about their new ship on order. Debuting in spring of 2013, the new 141,000-ton, 3,600-passenger Royal Princess is the first of two new-generation ships for Princess which are being built by Fincantieri at their Monfalcone, Italy shipyard. The prototype design is an evolution of the line’s classic style of ships, while including some new features and expanded signature spaces.

A new design element revealed today is an over-water SeaWalkSM, a topdeck glass-bottomed enclosed walkway on the ship’s starboard side extending more than 28 feet beyond the edge of the vessel. From here passengers can enjoy dramatic views, including to the sea 128 feet below. On the ship’s port side, passengers will find a similarlyunique cantilevered SeaView bar.

Also on her top decks, Royal Princess will feature a new adults-only pool surrounded by seven plush private cabanas that appear to be floating on the water.

Two additional pools will flank a tropical island that will offer pool seating by day, and by night will become an outdoor dance club, complete with a dazzling water and light show.

Inside the ship, one of the line’s hallmark venues, the Piazza atrium, will be significantly expanded.

All outside staterooms on Royal Princess will have balconies, which means that 80 percent of the ship’s staterooms will include this desirable feature.

Royal Princess will include 260,000 square feet of inside public space with multiple dining and entertainment venues, as well as other special features and amenities which will be revealed over the coming months.

A sister ship to Royal Princess will be launched in Spring 2014.

May, 2011 BC Shipping News 17

CRUISE

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or many of us, recycling has become a part of everyday life; it is a simple matter of separating trash and setting it on the curb or dropping it at a local collection site. For cruise ships, it is nowhere near as simple. The cruise line industry is wholly committed to environmental sustainability and has adopted rigorous programs to tackle waste disposal in an eco-friendly manner.

REDUCE It starts with reducing the amount of waste coming on board, produced by passengers and in ports of call, as well as the waste generated through the course of ship operations.

Cruise ships are remarkably efficient at reducing packaging and waste. They

By Donna Spalding, Director Administration also minimize and prevent waste generation through North West and Canada Cruise Association product purchasing pracPhoto courtesy of Tourism Vancouver tices that emphasize products with the ultimate goal being to recycle less recycled content and less packaging. RE-USE Royal Caribbean has begun cleaning because less waste is produced. This Holland America uses recycled paper for and re-using plastic pails, for holding includes policies to minimize potenall onboard printed materials. tial waste starting with what comes on In some cases, packaging is eliminat- items such as laundry soap, using them board. ed before products are even brought on as tote buckets for tools or for collecting Recyclable items include: paper, glass, board, or replaced with re-usable pack- spent batteries for recycling. Disney proplastics, aluminum, scrap metal, fluoraging materials. Some of the cruise lines vides all guest staterooms with re-usable escent lamps, batteries, toner carcotton bags instead of plastic, effectively have eliminated plastic cups, straws, tridges, and cooking oil, among others. removing more than 20,000 plastic bags stir-sticks, and packaging and have Additional programs also exist for speintroduced bulk dispensers in place of from their waste stream to date. cial wastes such as chemicals, including individually packaged condiments.

RECYCLE those from photo processing equipTo minimize the use of plastics, P&O While on the one hand, cruise is ment, which are collected and disposed Princess has worked closely with sup- proud of how much the lines recycle, through licensed contractors ashore. All pliers to replace plastic with other bio- on the other hand, its continued aim is hazardous waste receives special treatdegradable materials or eliminate or to minimize the waste generated with ment, it is carefully separated from reduce packaging materials. The company has been able to reduce plastic One NWCCA member line has a fleet-wide average of offloading about 1.5 pounds waste by approximately one third — or of waste per person per day, whereas the average US household produces 4-5 seven million pieces of plastic — each pounds of waste per person per day. year over the last few years.

Reduce — Re-use — Recycle

18 BC Shipping News May, 2011

CRUISE other waste, kept under lock and key and disposed of with licensed operators ashore.

On board a ship, recyclable material is separated by below deck equipment designed to handle different waste products. For example, aluminum, such as cans, is compacted into bricks, and sent ashore for recycling. Plastics are also compacted and glass goes through crushers; they are then also sent to on-shore recycling facilities. Paper and cardboard are shredded and may be incinerated if the volume is too great to store. Incineration is used primarily for food waste, contaminated cardboard, some plastics, trash, and wood. Incinerator ash is tested for toxicity and, if it is determined to be non-hazardous, can be disposed of at sea in accordance with international regulations. Hazardous ash must be disposed of ashore.

Royal Caribbean Cruises Ltd. and Carnival Cruise Lines send all ash ashore and test it regularly to ensure that hazardous substances are not present.

Members of North West and Canada Cruise Association (NWCCA) have adopted rigorous programs for both on board ships and within company structures ashore; this ensures that the highest standards are maintained while tackling waste disposal in the most ecofriendly manner possible.

A relatively new approach to treating solid waste is the use of plasma energy, pioneered by a Canadian company called PyroGenesis Inc. Through their Plasma Arc Waste Destruction System, waste is pulverized, converted to a gas consisting of carbon monoxide and hydrogen, and then combusted in a secondary chamber and fully treated before being released.

All NWCCA member cruise lines subscribe to Cruise Lines International Association (CLIA) Waste Management Practices and Procedures, which are incorporated into their legally-enforceable Safety Management Systems; it covers the disposal of certain wastes, including solid waste and hazardous waste. On-

NWCCA lines recycle approximately 80,000 tons annually, comprised largely of paper, plastic, aluminum cans and glass. board environmental officers make sure that all staff and crew are fully trained in the organization of waste disposal.

With a zero discharge policy for trash, all cruise lines have signs in place reminding passengers not to throw anything into the sea. Collection bins are situated throughout the ships to encourage passengers to separate waste into glass/cans, plastic/paper and food.

On average, each cruise ship passenger generates at least two pounds (about one kg) of solid waste per day and disposes of two bottles and two cans.

Carnival’s recycling program achieves a recycling rate of nearly 65%, which is much higher than most land-based communities. An average of 170,000 pounds (77,111 kg) of cardboard, aluminum cans, plastics, glass and steel are recycled each month from Carnival’s fleet. Prior to sending waste to a facility, each vendor is audited to ensure that they are in full compliance with local, state, and federal environmental regu-

lations. Royal Caribbean’s Vision-Class ships sort, crush, and off-load about 450 pounds (204 kg) of aluminum cans for recycling per week-long trip.

Each cruise line has comprehensive programs with specially-trained crew members, who are responsible for sorting, processing, storing and recycling of garbage for final disposal.

Photo courtesy of Holland America

Photo courtesy of Carnival

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May, 2011 BC Shipping News 19

WASTE MANAGEMENT Tymac Launch – more than just water taxi’s

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here are few companies within the marine industry that can boast of a successful 80-year track record — Tymac Launch Services is one of them. And while best known for their launch, barge and ramp service, Tymac’s expertise in marine waste management has provided opportunities of growth over the last 20 years for the company, making them much sought after in this modern era of environmental sustainability.

“With the ability to supply services on either water or dock side, Tymac’s marine waste management services have allowed us to develop an inventory of equipment that is diverse and provides a comprehensive and economical waste removal service for clients visiting the Port of Vancouver,” said Mike Phillipson, Vice President of Marine Operations. “Clients, such as cruise ship lines and deep sea vessel lines, are able to use Tymac as a single point of contact for all of their waste management needs.”

Tymac is set up to handle every class of waste, including garbage, hazardous waste and recycling. Tymac is also able to facilitate the removal of grey and black water, bunker oil sludge and bilge water. “In 2010, we recycled over one million kilograms of waste for our clients,” says Phillipson. “And our clients can rest easy that the waste removed from their vessel is done in a way that complies with all current regulations — both environmental and safety.”

Noting that safety plays a key role in all aspects of Tymac’s operations — from properly documented procedures and contingency plans to emergency response, oil boom deployment and man overboard training, Phillipson says that customers appreciate the professionalism, hard work ethic and efficiency that Tymac employees have always shown.

“We have been the supplier of choice for waste management services in the Port of Vancouver for 20 years,” said Phil-

20 BC Shipping News May, 2011

lipson. “And as environmental sustainability and best management practices continue to be priorities for companies operating on the waterfront, Tymac will continue to grow to ensure they can all be accommodated.”

And yes, if you still need a water taxi to take a crew member or pilot out to

a ship; tow a drifting vessel; deliver fresh water or supplies to ships in the harbour, Tymac still does all of that too.

To prove that launch services are still an integral part of their operations, Tymac recently announced the order of three new, state-of-the-art water taxi’s slated for deliver in early June. BCSN

In action: Tymac unloads waste from one of the first vessels to visit Vancouver in the 2011 cruise season.

Launch of the Tymac Pilot Six...Tymac Launch Services’ newest vessel.

PORTS / TERMINALS Port Alberni Port Authority explores opportunities

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While Port Alberni Port Authority (PAPA) recently made news by announcing two port calls from Holland America cruise ships, additional initiatives are underway that promise to diversify and grow operations and activities at the Port Alberni Port Authority (PAPA). From revitalization of Fishermen’s Harbour, to the development of a quarry which will require a new terminal loading facility, to new initiatives that focus on movement of oil and gas, lumber and coal, PAPA has been busy preparing the groundwork for new developments.

Cruise Port Alberni is set to host Holland America’s Statendam on May 19, en route from Victoria to Astoria, and the Amsterdam on September 25, en route from Victoria to Seattle. Both vessels are expected to arrive in the harbour at 0900 hours and depart at 1700 hours of the same day. Passengers will have a number of opportunities to explore the Alberni Valley through a series of shore excursions that have been coordinated directly between Holland America Lines’ Shore Excursion Manager and local tour providers. These shore excursion packages provide unique experiences not usually available to the general public.

Port Alberni Terminals Port Alberni Terminals currently has two wharves with three berths (two at 320 metres and one at 183 metres) that can provide deep-sea accommodation for three Panamax-size vessels. There are also three deep-water anchorages approximately one kilometre from the waterfront installation. The terminal area consists of four warehouses with a total or 4,645 square metres located on the shipping berths and a storage capacity of up to 9,000 tonnes. With mostly wood product cargo, volumes handled through the Port were hit hard by the recession in 2008 but have seen a resurgence over the past two years.

In 2010, lumber cargo reached levels not seen since 2006 at just over 80,000 metric tonnes. Log cargo, however, has outstripped previous performances of the last five years and now stands at five times the volume seen in 2006 (growth from 82,272 metric tonnes in 2006 to 456,404 metric tonnes in 2010). In part due to a resurgence in the economy, PAPA also attributes the growth to government initiatives borne out of recommendations and actions from the BC Ministry of Forest’s Working Roundtable on Forestry.

Despite this increase in activity, the Port continues to pro-actively investi-

Holland America confirmed two cruise ship visits to Port Alberni in 2011.

gate additional opportunities that would provide growth to the City of Port Alberni, its residents, and the region.

Construction aggregates — Currently, Polaris Minerals Corporation (Eagle Rock Materials) is working to develop a quarry in the region. When complete, the quarry will produce approximately six million metric tonnes of aggregate for export each year.

Oil and gas development — In recent years, there have been increased efforts by the provincial government to facilitate oil and gas exploration on the West Coast. If exploration and development do occur, Port Alberni will be in a position to take advantage of opportunities through servicing deep sea drilling operations in the area.

Coal shipments — PAPA is prepared to work with the Compliance Energy Corporation to develop a coal shipping terminal for their Raven Coal Mine project at the port pending the outcome of government environmental assessments. It is estimated that approximately 1.3 million tonnes of metallurgical coal will be shipped annually to Asian markets for steel production through this project. Pending a final feasibility study and regulatory approvals, operations could begin by as early as 2013.

Recreational marine opportunities Port Alberni Port Authority operates four successful marinas: Clutesi Haven, Harbour Quay, China Creek and Fishermen’s Harbour. An extensive plan has been developed to implement improvements to Fishermen’s Harbour that would bring an investment of over $7 million.

Port Alberni Port Authority continues to generate positive annual cash flows from its shipping, marine and property portfolios and this trend is likely to continue in the foreseeable future as the Port continues to actively seek out new opportunities for expansion. BCSN May, 2011 BC Shipping News 21

What’s in a name?

W

hat’s in a name? For COSCO Container Lines Co., Ltd. (COSCON) and the Port of Prince Rupert, a lot — 8,500 TEUs to be exact.

On April 8th, the MV COSCO PRINCE RUPERT docked at the Prince Rupert Container Terminal for the first time.

COSCON deployed the vessel on its Trans-Pacific SEA route, sailing from Hong Kong, its Port of Registry, to the Canadian and US West Coast.

“Naming the vessel MV COSCO PRINCE RUPERT recognizes the growing importance of the Port of Prince Rupert in the Asia-Pacific trade route,” said David Bedwell, Executive Vice President for COSCO Canada Inc. “We 22 BC Shipping News May, 2011

have been very pleased with the services at the Port and look forward to an on-going relationship that will continue to grow as their capacity increases.”

Seaspan Corporation took delivery of the MV COSCO PRINCE RUPERT on March 21, 2011. This is the seventh of eight 8,500 TEU sister ships built by Hyundai Heavy Industries (HHI) in South Korea since May, 2007

Photo credit: Lonnie Wishart

MAIDEN VOYAGE and the third to be delivered in 2011. It is the ninth of a total of 18 vessels to be chartered by Seaspan to COSCON and is on a long-term charter of 12 years, extendable by up to three more years.

Seaspan’s total operating fleet in charter now totals 58 container ships plus an additional 11 vessels scheduled for delivery through March, 2012, all of which are already committed to fixedrate time charters of 12 years in duration from delivery.

“This is a significant event for the Port and illustrates the close working relationship between the Port of Prince Rupert and COSCO,” said Don Krusel, President and CEO of Prince Rupert Port Authority. “We are honoured to be recognized in this manner by our partners at COSCO, in particular as they approach their 50th anniversary.”

Prince Rupert’s Container Terminal is the first dedicated intermodal container terminal in North America with the design capacity to move 500,000 TEUs per year. The Terminal is serviced by CN Intercontinental Railway and is operated by Maher Terminals under a 30year agreement with the Port of Prince Rupert.

Photo credit: Lonnie Wishart

Left to right: Dave Bedwell, EVP COSCO Canada; Mr. Liang Bo, President COSCO Canada; Mr. Mark Schepp, VP and General Manager, MAHER Terminals Prince Rupert; Mr. Russ Perdue, CN Rail Account Manager; Peter Ladouceur, AVP Sales & Marketing CN Rail.

5,182 metres of train capacity serviced directly by CN Intercontinental Railway.

Plans for the Phase II Expansion of the Prince Rupert Container Terminal are underway.

About the Port of Prince Rupert The Port of Prince Rupert’s Container Terminal has one berth just over 360 metres in length and with a depth of 18.7 metres. The container yard is built to handle 9,000 TEUs with 72 reefer plugs and its intermodal yard has 6,100 metres of trackage.

Equipment includes: • Three 1,800 tonne super post Panamax cranes; 22 container wide reach • 17 reach stackers/toplifts • 27 multi-trailer systems (triples); 50 single chasses and extensive mobile equipment • 72 reefer plugs at 480 V/60 AMP • Four radiation portals • Rail services include seven working tracks, six storage tracks with May, 2011 BC Shipping News 23

MAIDEN VOYAGE About COSCO The China Ocean Shipping Company was founded in 1961 as the pioneer of the international shipping carrier industry in China. Following a reconstruction of national transportation resources in 1993, China Ocean Shipping (Group) Company (COSCO) has grown into a $17 billion corporation. It is an international giant, specializing in shipping and modern logistics, serving as a shipping agency and providing services in freight forwarding, shipbuilding,

ship repairs, terminal operation, trade, financing, real estate and the IT industry.

Today, COSCO has a fleet capacity of some 800 vessels with total carrying capacity of up to 56 million DWT, achieving annual traffic volumes of more than 180 million tonnes. COSCO ships operate in 1,300 ports in more than 160 countries and regions around the world.

With over 70,000 staff, COSCO is concentrating on a new image of “Commitment Orientation Seriously Carried Out”.

COSCO 50

ON ITS ANNIVERSARY

AND ON THE MAIDEN VOYAGE OF THE

MV COSCO PRINCE RUPERT

About Seaspan Seaspan is a leading independent charter owner of container ships, which it charters primarily pursuant to longterm fixed-rate time charters to major container liner companies. Since their initial public offering in 2005, the company has grown from an operating fleet of 10 vessels with another 13 vessels on order aggregating 116,950 TEUs. Seaspan’s contracted fleet of 69 container ships consists of 58 container ships in operation and 11 container ships scheduled for delivery through March, 2012. Seaspan’s operating fleet of 58 vessels has an average age of ap-

HEARTY CONGRATULATIONS TO

TH

COSCO Canada Inc. started operations for its Canadian liner and bulk agency business in 1994. In addition to headquarters in Vancouver, wholly-owned and operated offices now extend right across the country in Toronto and Montreal. COSCO Canada itself is a wholly-owned subsidiary of the COSCO Group, headquartered in Beijing, and reports directly to the regional headquarter of COSCO North America Inc. located in New Jersey, US.

PROUD TO BE OF SERVICE TO COSCO

Key statistics MV COSCO PRINCE RUPERT Gross tonnage weight: 91,051 tonnes Net tonnage weight: 55,451 tonnes Length overall: 334 metres Beam: 42.87 metres Draft: 24.8 metres Maximum speed: 25.6 knots

Maher Terminals LLC 1210 Corbin Street Elizabeth, NJ 07201 908-527-8200 www.maherterminals.com

24 BC Shipping News May, 2011

Propulsion: Equipped with a MAN main engine of type 11K98ME7 with 68,530 Kw and an endurance of 23,600 nautical miles

MAIDEN VOYAGE proximately five years and an average remaining charter period of approximately seven years. All of the 11 vessels to be delivered to Seaspan are already committed to fixed-rate time charters of 12 years in duration from delivery. Seaspan’s customer base consists of eight of the world’s largest liner companies, including A.P. Moller-Maersk A/S, China Shipping Container Lines (Asia) Co., Ltd., Compania Sud Americana de Vapores S.A., COSCO Container Lines Co., Ltd., Hapag-Lloyd USA, LLC, Kawasaki Kisen Kaisha Ltd., Mitsui O.S.K. Lines, Ltd., and United Arab Shipping Company (S.A.G.).

Seaspan’s common shares are listed on the New York Stock Exchange under the symbol “SSW”. Seaspan’s Series C preferred shares are listed on the New York Stock Exchange under the symbol “SSW PR C”.

Photo credit: Lonnie Wishart

Did you know?

COSCO’s Antwerp was the first vessel to arrive at Prince Rupert’s new Container Terminal on October 31, 2007.

Left to right: Dave Bedwell, EVP COSCO Canada; Mr. Russ Perdue, CN Rail Account Manager; Louis Fidele, Retired CN/COSCO Account Manager; Mr. Liang Bo, President COSCO Canada; Peter Ladouceur, AVP Sales & Marketing CN Rail; Mr. Mark Schepp, VP and General Manager MAHER Terminals Prince Rupert; Captain Charles Lau , Marine Operations Manger COSCO Canada.

There’s A New Girl In Town MV COSCO Prince Rupert Joins the COSCO Fleet with First Call at Namesake Port The Prince Rupert is just one more example of how COSCO continues to upgrade its fleet and facilities to offer the finest and most efficient service to shippers worldwide.

And, through one of the industry’s strongest environmental initiatives COSCO is setting standards for clean and green operations everywhere they sail. There’s more to know about COSCO’s superior service. Call your local representative today!

Ship with Confidence. Ship with COSCO.

COSCO Container Lines Americas, Inc. • 100 Lighting Way, Secaucus, NJ 07094 • www.cosco-usa.com • (800) 242 7354

May, 2011 BC Shipping News 25

BC FERRIES FLEET GUIDE FACTS & FIGURES:

Date of Incorporation: June 15, 1960 as the British Columbia Toll Authority Ferry System Fleet size: 35 Terminals: 47 Routes: 25 Number of employees: 4,500 Passengers per year: over 21 million (over 700 million since 1960) Cars per year: 8.3 million Sailings per year: 186,000 Sailings per day: 500 On-time performance: 89% of all departures leave within nine minutes of departure time. The highest it’s ever been.

Customer satisfaction: 91%. The highest it’s ever been.

Total revenue (2010): $732.3 million Operating expenses (2010): $660 million

M.V. BOWEN QUEEN LOA: 84.963 metres Max. Beam: 18.593 metres Gross Tonnage: 1,475.68 tonnes Car Capacity: 70 Passenger & Crew Capacity: 400 Maximum Speed / Service Speed: 14.5 knots Horsepower: 3,600 Propulsion: 4 high speed diesel engines with 4 right angle drive units Built / Shipyard: 1965 - Victoria Machinery Depot

M.V. COASTAL INSPIRATION

M.V. COASTAL RENAISSANCE

LOA: 160.00 metres Max. Beam: 28.20 metres Gross Tonnage: 21,777 tonnes Car Capacity: 370 (incl. 32 semi’s) Passenger & Crew Capacity: 1,604 Maximum Speed / Service Speed: 23 knots / 21 knots Horsepower: 21,444 Propulsion: MAK 8M32C Prime Movers 4x4000Kw / Electric Drive Motors 2x11000Kw Built / Shipyard: 2007 - FSG Shipyard, Germany

LOA: 160.00 metres Max. Beam: 28.20 metres Gross Tonnage: 21,777 tonnes Car Capacity: 370 (incl. 32 semi’s) Passenger & Crew Capacity: 1,604 Maximum Speed / Service Speed: 23 knots / 21 knots Horsepower: 21,444 Propulsion: MAK 8M32C Prime Movers 4x4000Kw / Electric Drive Motors 2x11000Kw Built / Shipyard: 2007 - FSG Shipyard, Germany

26 BC Shipping News May, 2011

M.V. COASTAL CELEBRATION LOA: 160.00 metres Max. Beam: 28.20 metres Gross Tonnage: 21,777 tonnes Car Capacity: 370 (incl. 32 semi’s) Passenger & Crew Capacity: 1,604 Maximum Speed / Service Speed: 23 knots / 21 knots Horsepower: 21,444 Propulsion: MAK 8M32C Prime Movers 4x4000Kw / Electric Drive Motors 2x11000Kw Built / Shipyard: 2007 - FSG Shipyard, Germany

M.V. HOWE SOUND QUEEN LOA: 73.64 metres Max. Beam: 18.44 metres Gross Tonnage: 855 tonnes Car Capacity: 70 Passenger & Crew Capacity: 300 Maximum Speed / Service Speed: 12.5 knots / 10 knots Horsepower: 1,400 Propulsion: 2x650 hp Diesel Built / Shipyard: 1964 - Napoleon L, Quebec Refits to date: 1968 - McKenzie Barge and Marine Ways, North Vancouver 1988 - Esquimalt Graving Dock, Point Hope Shipyard, Victoria and 2004 (re-power)

BC FERRIES FLEET GUIDE

M.V. ISLAND SKY LOA: 102.40 metres Max. Beam: 27.00 metres Gross Tonnage: 4,313 tonnes Car Capacity: 125 Passenger & Crew Capacity: 462 Maximum Speed / Service Speed: 15.5 knots Horsepower: 4,416 Propulsion: 4 Niigata 6 cylinder engines of 1,323 Kw each Built / Shipyard: 2008 - Vancouver Shipyards, North Vancouver

M.V. KUPER LOA: 52.21 metres Max. Beam: 16.77 metres Gross Tonnage: 537 tonnes Car Capacity: 32 Passenger & Crew Capacity: 269 Maximum Speed / Service Speed: 10.5 knots / 9.5 knots Horsepower: 2x475 Propulsion: 2x474 hp Diesel Built / Shipyard: 2006

M.V. KAHLOKE LOA: 54.75 metres Max. Beam: 13.56 metres Net Tonnage: 370.56 tonnes Car Capacity: 30 Passenger & Crew Capacity: 200 Maximum Speed / Service Speed: 10 knots Horsepower: 640 Propulsion: 2x320 hp Diesel Built / Shipyard: 1973 - Vancouver Shipyards, North Vancouver

M.V. KWUNA LOA: 71.64 metres Max. Beam: 14.17 metres Gross Tonnage: 347.49 tonnes Car Capacity: 26 Passenger & Crew Capacity: 150 Maximum Speed / Service Speed: 9.5 knots Horsepower: 2x450 Propulsion: 2x365 hp Diesel Built / Shipyard: 1975 - Victoria

M.V. KLITSA LOA: 47.46 metres Max. Beam: 12.04 metres Gross Tonnage: 345.56 tonnes Car Capacity: 26 Passenger & Crew Capacity: 200 Maximum Speed / Service Speed: 10.5 knots / 9.5 knots Horsepower: 600 Propulsion: 2x350 hp Diesel Built / Shipyard: 1972 - Vancouver

M.V. MAYNE QUEEN LOA: 84.96 metres Max. Beam: 18.593 metres Gross Tonnage: 1,475.68 tonnes Car Capacity: 70 Passenger & Crew Capacity: 400 Maximum Speed / Service Speed: 14.5 knots Horsepower: 3,600 Propulsion: 4 high speed diesel engines with 4 right angle drive units Built / Shipyard: 1965 - Victoria Machinery Depot, Victoria

May, 2011 BC Shipping News 27

BC FERRIES FLEET GUIDE

M.V. NIMPKISH LOA: 33.93 metres Max. Beam: 12.496 metres Gross Tonnage: 266.24 tonnes Car Capacity: 16 Passenger & Crew Capacity: 125 Maximum Speed / Service Speed: 11 knots / 10 knots Horsepower: 680 Propulsion: 2 high speed diesel engines with reduction gears and conventional propellers Built / Shipyard: 1973

M.V. NORTHERN EXPEDITION LOA: 151.78 metres Max. Beam: 23.00 metres Gross Tonnage: 17,729 tonnes Car Capacity: 130 Passenger & Crew Capacity: 638 Maximum Speed / Service Speed: 21 knots / 20.5 knots Horsepower: 9,000 Propulsion: Main: 2xMAK 9M32C x 4500Kw / Aux: 3xMAK x 1315Kw Built / Shipyard: 2008 - FSG Shipyard, Germany

28 BC Shipping News May, 2011

M.V. NORTH ISLAND PRINCESS

M.V. NORTHERN ADVENTURE

LOA: 61.04 metres Max. Beam: 17.98 metres Gross Tonnage: 841 tonnes Car Capacity: 49 Passenger & Crew Capacity: 150 Maximum Speed / Service Speed: 13 knots / 11 knots Horsepower: 1,350 Propulsion: 2 high speed diesel engines driving 2 individual propellers, one unit in each hull Built / Shipyard: 1958 - Allied Shipyards, North Vancouver Refits to date: 1971 - Vancouver Shipyards, North Vancouver

LOA: 117.00 metres Max. Beam: 20.0 metres Gross Tonnage: 9,844 tonnes Car Capacity: 101 Passenger & Crew Capacity: 640 Maximum Speed / Service Speed: 20.5 knots Horsepower: 16,000 Propulsion: MAK 16M32C, 2x8000Kw, 2 Kamewa variable pitch propellers Built / Shipyard: 2004 - Atsalakis Shipyard, Greece

M.V. POWELL RIVER QUEEN

M.V. QUADRA QUEEN II

LOA: 84.96 metres Max. Beam: 18.593 metres Gross Tonnage: 1,486.15 tonnes Car Capacity: 68 Passenger & Crew Capacity: 400 Maximum Speed / Service Speed: 14.5 knots / 14 knots Horsepower: 3,600 Propulsion: 4 diesel engines; 4 right angle drive units Built / Shipyard: 1965 - Victoria Machinery Depot, Victoria Refits to date: 1980 - Burrard Dry Dock 1999 - Deas Dock (re-powered)

LOA: 49.64 metres Max. Beam: 14.63 metres Gross Tonnage: 865.32 tonnes Car Capacity: 30 Passenger & Crew Capacity: 150 Maximum Speed / Service Speed: 13 knots / 11.3 knots Horsepower: 1,700 Propulsion: 2x365 hp Diesel Built / Shipyard: 1969 - Allied Shipbuilders, North Vancouver Refits to date: 1976 (sponsons); 1988 (accomodations); 1991 (sponsons)

BC FERRIES FLEET GUIDE

M.V. QUEEN OF ALBERNI

M.V. QUEEN OF BURNABY

LOA: 139.29 metres Max. Beam: 27.076 metres Gross Tonnage: 5,863.22 tonnes Car Capacity: 290 (incl. 24 semi’s) Passenger & Crew Capacity: 1,200 Maximum Speed / Service Speed: 21.7 knots / 21 knots Horsepower: 11,840 Propulsion: 2 variable pitch propellers with KaMeWa controllers Built / Shipyard: 1976

LOA: 129.97 metres Max. Beam: 23.96 metres Gross Tonnage: 4,903 tonnes Car Capacity: 192 Passenger & Crew Capacity: 904 Maximum Speed / Service Speed: 16.5 knots / 16 knots Horsepower: 6,000 Propulsion: 2 Mirlees National 4-stroke diesel engines driving 2 KaMeWa controllable pitch propeller; Bowthruster: Mitsubishi MAR S6R2 MPTK, KaMeWa thruster 710hp@1400RPM Built / Shipyard: 1965 - Victoria Machinery Depot, Victoria

M.V. QUEEN OF CHILLIWACK

M.V. QUEEN OF COQUITLAM

LOA: 114.58 metres Max. Beam: 18.30 metres Gross Tonnage: 5,618.06 tonnes Car Capacity: 115 Passenger & Crew Capacity: 400 Maximum Speed / Service Speed: 12.5 knots Horsepower: 5,880 Propulsion: 4 Bergen 6 cylinder engines of 1150 BHP each Built / Shipyard: 1978 - A/S Framnes Mek Verksted, Norway Refits to date: 1991 and 1996

LOA: 139.294 metres Max. Beam: 27.075 metres Gross Tonnage: 13,646 tonnes Car Capacity: 360 (incl. 12 semi’s) Passenger & Crew Capacity: 1,494 Maximum Speed / Service Speed: 20.5 knots Horsepower: 11,860 Propulsion: Twin MAK 12 M 551 AK Built / Shipyard: 1976 Refits to date: 2003

M.V. QUEEN OF CAPILANO LOA: 96.00 metres Max. Beam: 21.20 metres Gross Tonnage: 2,884.82 tonnes Car Capacity: 85 Passenger & Crew Capacity: 457 Maximum Speed / Service Speed: 12.5 knots Horsepower: 7,305 Propulsion: 4xRolls-Royce, Aquamaster US 175 CP Built / Shipyard: 1991 - Vancouver Shipyards, North Vancouver

M.V. QUEEN OF COWICHAN LOA: 139.29 metres Max. Beam: 27.08 metres Gross Tonnage: 6,551 tonnes Car Capacity: 360 (incl. 12 semi’s) Passenger & Crew Capacity: 1,494 Maximum Speed / Service Speed: 20.5 knots Horsepower: 11,840 Propulsion: Twin MAK 12M551AK Built / Shipyard: 1976 - Yarrow Ltd., Victoria

May, 2011 BC Shipping News 29

BC FERRIES FLEET GUIDE

M.V. QUEEN OF CUMBERLAND LOA: 96.00 metres Max. Beam: 21.20 metres Gross Tonnage: 2,884.82 tonnes Car Capacity: 127 Passenger & Crew Capacity: 462 Maximum Speed / Service Speed: 12.5 knots Horsepower: 7,305 Propulsion: 3 high speed diesel/ generators driving 4 right angle steerable propulsion drive units Built / Shipyard: 1991 - Vancouver Shipyards, North Vancouver

M.V. QUEEN OF OAK BAY LOA: 139.294 metres Max. Beam: 27.534 metres Gross Tonnage: 6,968 tonnes Car Capacity: 360 (incl. 12 semis) Passenger & Crew Capacity: 1,494 Maximum Speed / Service Speed: 21 knots Horsepower: 11,840 Propulsion: Twin MAK 12M551AK Built / Shipyard: 1981 - Burrard Dry Dock Refits to date: 2005

30 BC Shipping News May, 2011

M.V. QUEEN OF NANAIMO

M.V. QUEEN OF NEW WESTMINSTER

LOA: 129.97 metres Max. Beam: 23.96 metres Gross Tonnage: 4,938.75 tonnes Car Capacity: 192 Passenger & Crew Capacity: 1,004 Maximum Speed / Service Speed: 16.5 knots / 16 knots Horsepower: 6,000 Propulsion: 2 Mirlees National 4-stroke diesel engines driving 2 KaMeWa controllable pitch propeller Built / Shipyard: 1964 - Victoria Machinery Depot, Victoria Refits to date: 1969 - Victoria Machinery Depot; 1975 - Burrard Dry Dock

LOA: 129.90 metres Max. Beam: 23.96 metres Gross Tonnage: 8,786 tonnes Car Capacity: 270 Passenger & Crew Capacity: 1,332 Maximum Speed / Service Speed: 20.3 knots Horsepower: 16,800 Propulsion: 4 Wartsila VASA 32 9 cylinder @4000 HP each; 2 Lufkin gearboxes; 2 Berg CPP; Twin screw with twin Tenfjord steering arrangement; 2 Becker rudders Built / Shipyard: 1964 Refits to date: 1973; 1991

M.V. QUEEN OF SURREY

M.V. QUINITSA

LOA: 139.3 metres Max. Beam: 27.5 metres Gross Tonnage: 6,968 tonnes Car Capacity: 360 (incl. 12 semi’s) Passenger & Crew Capacity: 1,494 Maximum Speed / Service Speed: 21.5 knots / 20.5 knots Horsepower: 11,840 Propulsion: Twin MAK 12MU551AK Built / Shipyard: 1981 - Burrard, Yarrows Shipyard

LOA: 74.52 metres Max. Beam: 18.72 metres Gross Tonnage: 1,107 tonnes Car Capacity: 50 Passenger & Crew Capacity: 300 Maximum Speed / Service Speed: 11 knots / 9.75 knots Horsepower: 1,600 Propulsion: 4 high speed diesel engines; drive 4 individual right angle drive units Built / Shipyard: 1977 - Vancouver Shipyards, North Vancouver

BC FERRIES FLEET GUIDE

M.V. QUINSAM LOA: 89.84 metres Max. Beam: 20.50 metres Gross Tonnage: 1,458 tonnes Car Capacity: 70 Passenger & Crew Capacity: 400 Maximum Speed / Service Speed: 12 knots / 11.5 knots Horsepower: 2,080 Propulsion: 4 high speed diesel engines; drive 4 individual right angle drive units Built / Shipyard: 1982 - Vancouver Shipyards, North Vancouver

M.V. SPIRIT OF VANCOUVER ISLAND LOA: 167.00 metres Max. Beam: 26.60 metres Gross Tonnage: 18,747 tonnes Car Capacity: 410 (incl. 34 semi’s) Passenger & Crew Capacity: 2,100 Maximum Speed / Service Speed: 21 knots / 19.5 knots Horsepower: 21,394 Propulsion: 4 medium speed MAN 4-stroke diesel engine into 2 FALK reduction gearboxes driving 2 shafts having LIPS controllable pitch propellers Built / Shipyard: 1994

M.V. SKEENA QUEEN LOA: 110.00 metres Max. Beam: 23.45 metres Gross Tonnage: 2,652 tonnes Car Capacity: 100 Passenger & Crew Capacity: 450 Maximum Speed / Service Speed: 14.5 knots Horsepower: 5,040 Propulsion: 4 medium speed diesel engines direct driving 4 right angle steerable propulsion drive units Built / Shipyard: 1997 - Vancouver Shipyards, North Vancouver

M.V. TACHEK LOA: 49.56 metres Max. Beam: 14.63 metres Gross Tonnage: 797.17 tonnes Car Capacity: 30 Passenger & Crew Capacity: 150 Maximum Speed / Service Speed: 13 knots Horsepower: 1,700 Propulsion: 2x850 hp Diesel Built / Shipyard: 1969 - Allied Shipbuilders, North Vancouver Refits to date: 1990 (sponsons)

M.V. SPIRIT OF BRITISH COLUMBIA LOA: 167.00 metres Max. Beam: 26.60 metres Gross Tonnage: 18,747 tonnes Car Capacity: 410 (incl. 34 semi’s) Passenger & Crew Capacity: 2,100 Maximum Speed / Service Speed: 21 knots / 19.5 knots Horsepower: 21,394 Propulsion: 4 medium speed MAN 4-stroke diesel engine into 2 FALK reduction gearboxes driving 2 shafts having LIPS controllable pitch propellors Built / Shipyard: 1992

M.V. TENAKA LOA: 47.09 metres Max. Beam: 13.106 metres Gross Tonnage: 651 tonnes Car Capacity: 30 Passenger & Crew Capacity: 150 Maximum Speed / Service Speed: 12.5 knots / 11.3 knots Horsepower: 1,700 Propulsion: 2 medium speed diesel engines with 2 shafts and 2 rudders Built / Shipyard: 1964 - Victoria Machinery Depot, Victoria

May, 2011 BC Shipping News 31

HISTORY LESSON

Marine engineering feats: The Ben Franklin submersible

By Carrie Schmidt Librarian and Archivist, Vancouver Maritime Museum

O

ne of the 20th century’s most impressive examples of marine engineering found a permanent home at the Vancouver Maritime Museum in 1999: the mesocaphe, or medium-depth submersible, Ben Franklin (code name PX-15), the largest of its kind.

The PX-15 was specifically designed for use in Dr. Jacques Piccard’s Gulf Stream Drift Mission: a 30 day voyage along the Gulf Stream, with its six member crew conducting a variety of oceano-

graphic and acoustic studies.

Piccard and Donald Terrana of the Grumman Aircraft Engineering Corporation oversaw its two year construction in Switzerland, at a cost of $2.5 million — somewhat more than the original estimate of $1 million. Forty-eight feet long and weighing 147 tons, the vessel was shipped to Florida, and christened as Ben Franklin in August, 1968 — named for the famed scientist, inventor, and American Founding Father Benjamin Franklin who is credited with charting and naming the Gulf Stream in 1770 while serving as the US Postmaster.

The National Aeronautics and Space Administration (NASA) was keenly interested in the mission and supplied an observer to evaluate crew reactions to a long stressful voyage in a completely enclosed environment. The studies con-

ducted provided valuable data that NASA still uses today, in preparation for manned flights to Mars.

Ben Franklin began its mission on July 14, 1969 off the coast of Palm Beach, Florida and concluded August 14, off the coast of Halifax. It travelled 1,400 nautical miles at an average depth of 650 feet, with a maximum depth of 1,800 feet. Some of the data collected includes: • Over 900,000 temperature, salinity and sound velocity measurements • 500 temperature vs depth profiles of the Stream • 50 miles of gravitational anomalies • 60,000 photographs of crew activities in support of the NASA study The crew emerged from the 3,700 cubic foot vessel quite a few pounds lighter — crew members had rations of 3,158 calories per day, but only consumed about 2,300 calories. The captain on board, Don Kazimir says “Actually, we ate pretty good on the mission. We

Before and after...the Ben Franklin on display outside the Vancouver Maritime Museum now restored.

32 BC Shipping News May, 2011

VANCOUVER MARITIME MUSEUM had freeze-dried meals that were reconstituted with hot water. I brought a lot of pantry type items like peanut butter, crackers, etc. that made the trip ok. Music using cassette tapes helped a lot.”

The scientific and psychological significance of the Gulf Stream Drift Mission was overshadowed wed by the

fact that only six days after the mission began, man walked on the moon for the first time — the media was much more interested in space travel than deep sea travel. After its original mission,

the vessel participated in other oceanographic studies, but was seriously damaged after striking a coral reef in 1970.

The Vancouver-based Horton Trading Ltd. purchased it in 1971 with the intention of adding a “lock-out” diving chamber and using it for commercial work, but this was never completed.

Since its 1999 1 donation, the Ben Franklin has been bee on public view just outside the Vanco Vancouver Maritime Museum, and much of tthe research material generated on board boar is housed in the Leonard G. McCann A Archives within the museum.

All photos courtesy of Vancouver Maritime Museum

Original photographs taken during the construction and testing of the Ben Franklin, circa 1968.

May, 2011 BC Shipping News 33

MARINE ENGINEERING

Think global, build local The role of the International Maritime Organization in Canada’s shipbuilding industry Jeffrey J. Smith Chair, National Council Canadian Institute of Marine Engineering

C

anada’s shipbuilding industry is poised for a return to the global stage. The innovation of our shipyards, with their experience in building a variety of vessels, and a federal government about to embark on sustained, major new construction programs, offers much promise.

The Canadian industry’s ability to compete in the global shipbuilding market will turn on technical innovation and compliance with

now universal standards for the design and construction of ships. The years of national and classification society specific building of ships have come to an end. Recognizing this has been vital to the industry’s reemergence. The design and construction of ships has never been more complex. The naval architect, shipyard project manager and marine engineer each do business in a sea of complex regulation and policy.

The regulation of ship design and construction has many “stakeholders”, those persons with an interest in the commerce

of the industry and how a ship will be employed. They range from national and local governments, to maritime insurance underwriters, to classification societies and shipowners. It is uniquely the International Maritime Organization (the IMO) that plays a pivotal role among regulatory bodies with an interest in how ships are created. That role is coordinating and, increasingly, a superintending one. Understanding the IMO’s role in ship design and construction is vital.

Rebuilding Canadian Coast Guard and navy fleets will keep two Canadian shipyards busy for the next 30 years.

34 BC Shipping News May, 2011

MARINE ENGINEERING The International Maritime Organization The International Maritime Organization is a constituent body of the United Nations, created under the 1958 Inter-Governmental Maritime Consultative Organization (“IMCO”) Convention. With its headquarters in London,

The work of the IMO can be traced back to the 1914 Safety of Life at Sea Conference which followed the 1912 sinking of the RMS Titanic. the IMO has the goal of being the “machinery for co-operation among Governments in the field of governmental regulation and practices relating to technical matters of all kinds affecting shipping engaged in international trade [and] to encourage the general adoption of the highest practicable standards in matters concerning maritime safety, efficiency of navigation and prevention and control of marine pollution from ships; and to deal with [related] administrative and legal matters …”

The IMO has three main bodies: (i) the Assembly (the plenary meeting of member States); (ii) the Council, consisting of delegates from 40 member States (particularly those with significant shipping and maritime trade interests) and (iii) the Marine Safety Committee. The IMO has no power or jurisdiction to control or legislate the construction of vessels or how they operate.

That responsibility lies with other stakeholders.

Nevertheless, the IMO has an increasingly per-

suasive and standard setting in almost all aspects of ship construction and operation.

The work of the IMO can be traced back to the 1914 Safety of Life at Sea Conference which followed the 1912 sinking of the RMS Titanic. As with the development of standards and regulations in other industries, safety and technical initiatives are often “remedial”: they result from lessons learned in an accident or loss at sea. It has been difficult for regulatory agencies (governments, classification societies and the IMO) to individually arrive at prescriptive or forward-looking standards to systemically prevent accidents. Serious marine accidents and a determined, collective effort have brought the IMO to where it can offer systemic measures that are not reactive to only a single perceived problem. The IMO’s standardssetting role can be seen in its “Voluntary IMO Member State Audit Scheme”, in which member States (including Can-

ada) may carry out an “assessment of how effectively [they] administer and implement the key IMO technical treaties…”

The modern approach to “whole ship” safety being pursued by the IMO is demonstrated by the 1993 International Safety Management Code (the “ISM Code”). The ISM Code was adopted unanimously by the IMO’s then 155 member States, with the goal of providing a single international standard for the safe management of ships and pollution prevention, as follows: (1) providing for safe practices in ship operation and a safe working environment; (2) establishing safeguards against all identified risks; and (3) continuously improving safety management skills of personnel, including preparing for emergencies.

It is the second of these which prompts consideration of the ship maintenance and repair under a “Safety Management

May, 2011 BC Shipping News 35

MARINE ENGINEERING

System” to be implemented by the person or corporation owning a vessel. The ISM Code entered into force on July 1, 1998 and applies to passenger ships, oil and chemical tankers, other cargo ships, MODUs, bulk carriers, gas carriers and cargo high speed craft of 500 gross tonnes and above. It is important to note that the ISM Code does not contain technical standards. The Code contains standards to establish safety

systems. Specific technical regulations are found in SOLAS and other conventions and resolutions of the IMO.

Canada and the IMO Canada is theoretically free to regulate the construction and repair of ships as it considers necessary. Nevertheless, in common with almost all other maritime States, Canada has chosen to agree to international conventions providing

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Naval architecture, marine engineering, electrical engineering, production and implementation engineering, shipyard support and welding engineering.

Our clients’ projects include: work and supply boats, research vessels, ferries and terminals, floating platforms, environmental assessments (green passports), escape, evacuation and rescue facilities and operational risk management.

for standard regulations. These regulations, after being adopted as part of Canadian law, apply to Canadian flag vessels and, in a more limited way, to foreign vessels in Canadian waters.

The regulation of ship construction in Canada is something almost exclusively regulated by the federal government.

(Section 91(10) of the British North America Act, 1867 makes regulation of “navigation and shipping” in Canada exclusively a matter for Parliament.

Legislatures of the provinces are not “competent”, that is, do not have the required jurisdiction to regulate in respect of marine matters.)

The principal legislation for regulation of ship construction in the Twentieth Century was the Canada Shipping Act. Transport Canada is nearing the completion of extensive changes to the Act through a program known as “CSA reform”. While the Canada Shipping Act 2001 (CSA 2001) became law on November 1, 2001, its final regulations are just now being issued. Some borrow heavily from IMO standards, including SOLAS. An example is the Hull Construction Regulations which needed to be amended to reflect improved international standards. Canadian law, then, can be expected to increasingly adopt IMO standards and coordinating principles. These standards will continue to apply to ship construction and repair.

IMO regulation of ship building and repair Vancouver, B.C. 1-604-253-0955 Victoria, B.C. 1-250-598-5150 www.fleetech.com fleet@fleetech.com

36 BC Shipping News May, 2011

The IMO’s development of technical standards for ships is a constant ex-

MARINE ENGINEERING ercise. In almost every aspect of safe design and operation, the IMO has continued to improve how ships are built and repaired. A recent meeting of the IMO’s Marine Safety Committee illustrates. Several matters were addressed: revisions to standards for damage stability and sub-division in passenger and cargo ships, side shell failure prevention in bulk carriers, towing and mooring equipment, and construction drawings. The IMO’s “systems approach” to achieving maritime safety can be seen in standards for new con-

It is the “goal-based standards” adopted by the IMO’s Marine Safety Committee that are most significant for ship construction in the years ahead. struction — the “guiding philosophy” of how the IMO regulates “should place more emphasis on the prevention of a casualty from occurring in the first place and that future passenger ships should be designed for improved survivability so that, in the event of a casualty, persons can stay safely on board as the ship proceeds to port.”

It is the “goal-based standards” adopted by the IMO’s Marine Safety Committee that are most significant for ship construction in the years ahead. These are standards for construction with a five-fold approach to define the eventual or “performance” requirements in newbuildings. The IMO set out to implement a system to allow designers and constructors of ships to measure safety against ship standards. The underlying principles of goal-based standards are to: (1) offer broad, over-arching safety, environmental and/or security standards for ships to meet during their lifecycle; (2) specify the required level to be achieved by the requirements applied by class societies and other

recognized organizations, national administrations and the IMO; (3) be clear, demonstrable, verifiable, long standing, implementable and achievable, irrespective of ship design and technology; and (4) be sufficiently specific so as to not be open to differing interpretations.

These principles are to be met through a “five-tier system”: goals; functional requirements; verification of compliance criteria; technical procedures and guidelines, classification rules and industry standards; and codes of practice and safety and quality systems for shipbuilding, ship operation, maintenance, training, crewing, and so forth.

The Tier I and II criteria can be considered as examples. Tier 1 goals suggest that new “ships are to be designed and constructed for a specified design life and to be safe and environmentallyfriendly, when properly operated and maintained under the specified operating and environmental conditions, in intact and specified damage conditions, throughout their life”. Structural safety and accessibility are central. “The ship should be designed and constructed, and subsequently operated and maintained, to minimize the risk for the safety of life at sea, pollution of the marine environment or total loss of the vessel due to structural collapse and consequent flooding, loss of watertight integrity or sinking.”

Tier II “functional requirements” are more specific, providing for the good design and maintenance of ship structures, for example: “ship construction quality [control] procedures should include specifications for material manufacturing, assembling, joining and welding procedures, steel surface preparation and coating.

It should be noted that the goal-based standards are meant to apply in the short term to hull construction. They do not yet encompass all ship systems and equipment, such as lifesaving appliances, machinery and utility services.

Building locally: Canada enters the global stage The work of the IMO in the past half century has not been without controversy. Many interested in the building of ships would prefer less regulatory control. However, the growth of international maritime commerce and shipbuilding made a common and increasingly universal approach inevitable. Much of the IMO’s early work was necessarily limited to specific safety issues. To read SOLAS from cover to cover is to understand the cumulative lessons of past ship design, construction and operation.

The more deliberate approach to ship design and construction will result in ships being considered to be the “intellectual property” that they are. The increased capital cost in ship construction that results from regulations will pay a dividend through reduced life-cycle survey and maintenance costs, and diminished losses of life and cargo. This trend is most apparent in the construction of ro-ro passenger vessels, double-hulled tankers and bulk carriers.

The Canadian shipbuilding industry stands ready to bring together the disciplines needed to achieve the complexities of commercial and government vessels which can safely and reliably compete in the global marine business.

The era of sophisticated ship design and construction has arrived. The experience of Canadian shipyards, together with a government that has done the complex work of matching Canadian legislation with IMO standards, augurs well for the future.

Jeffrey Smith is the National Council Chair of The Canadian Institute of Marine Engineering. A marine engineer and lawyer, he practises law in Vancouver and Ottawa, and has advised the United Nations on seabed petroleum development as well as classification societies in their Canadian domestic business.

May, 2011 BC Shipping News 37

MARINE ENGINEERING

CIMarE: Working for the interests of marine engineering and the industry

A

lmost 30 years ago, several Canadian marine engineers recognized the need for a professional society with a distinctive national identity that would serve to advance the interests of marine engineers, provide a platform for the exchange of technical and operating information, advocate for members and the profession, and serve as a basis for members to interact.

So was born the Canadian Institute of Marine Engineers (later to be called the Canadian Institute of Marine Engineering) – CIMarE. “The Institute is entirely memberfunded and provides a non-partisan platform for advocating high standards within the profession,” said current National Council Chair Jeffrey Smith. “We have the goal of serving marine engineers and those in the marine technical field, with an eye to their professional excellence and the competitiveness of

Canada’s marine industry generally among nations.”

Now, with more than 680 members across Canada, CIMarE continues to be an influential force within the marine industry. CIMarE is sectioned into seven different branches across Canada (Vancouver Island, Vancouver, Great Lakes, Ottawa, St. Lawrence, Atlantic and Newfoundland), some having been in operation prior to the formation of a national organization. The Vancouver Branch, for example, was established in 1949. All branches adhere to the same principles as the National Council but are more easily able to provide networking and professional development programs at a local level.

Each year, one branch takes on the responsibility of hosting Mari-Tech, a major technical conference that brings members together from across the country to hear and discuss presenta-

tions on “big picture” issues. This year’s Mari-Tech, hosted by the Vancouver Island Branch, takes place in Victoria on May 5 to 6, 2011. This year’s theme provides attendees with an opportunity to consider the vision of Canada’s marine industry in the year 2020. From government procurement strategies to Defence research and development to new energy-efficient technologies, speakers cover a wide range of topics, each as relevant as the next in its impact on changes taking place in the industry.

In addition to the annual conference, CIMarE serves as the voice of the marine engineering profession and has often been sought out to provide input on government regulations as well as training and certification standards.

“The most recent example of how CIMarE works in the interests of the marine engineering community would be our input into the federal government’s National Shipbuilding Strategy,” notes Smith.

CIMarE also undertakes a number of professional development initiatives, including financial assistance for marine engineers skills upgrades and scholarships for students looking to pursue a career in Naval Architecture or Marine Engineering. “We recognize that, as with other marine industry trades, there is an aging workforce,” says Smith.

“We actively try to encourage young people, including women, to enter into the profession. Marine engineering is an engaging and very rewarding career path in so many ways with many opportunities for growth.”

To learn more about the Canadian Institute of Marine Engineering, please visit www.cimare.org.

Photo credit: Jeff Otto

With an aging workforce, CIMarE recognizes the need to entice new students.

38 BC Shipping News May, 2011

Links to all seven Branch websites can also be found here.

MARINE ENGINEERING

Tough training but well worth the effort

W

anted: Recruit for Marine Engineering Program: must have an affinity for mathematics and physics; possess a mechanical aptitude and a love of tinkering with engines; be willing to leave home and family for months on end; and successfully undergo marine medical examinations.

If this sounds highly specific, it is. It takes a special kind of person to fit all of these qualifications, but that doesn’t mean candidates are hard to find. And students who successfully complete the training requirements go on to rewarding, life-long careers.

“Our Marine Engineering program provides for 16 spaces annually,” notes Jeff Otto, Co-operative Education Coordinator at the BCIT Marine Campus.

“There is always more demand than space so our recruitment process calls for tight screening to ensure candidates possess qualifications that are conducive to the discipline of marine engineering before entering the program.”

As one of the four main institutions in Canada that offer a Marine Engineering (ME) Program, BCIT Marine Campus sets a high standard for their students. (The other three main institutions are Georgian College in Ontario, Memorial University in Newfoundland and Rimouski Maritime Institute in Quebec.) “The BCIT program exceeds the standards set out by Transport Canada,” says Russell Oye, Instructor in Practical Skills Training for Marine Engineers, and Chairman, Canadian Institute of Marine Engineering, Vancouver Branch. “In addition to a very detailed and in-depth curriculum, students at BCIT have the benefit of access to our training simulators highlighted in Volume 1 Issue 1 of BC Shipping News.

They provide much more realistic and challenging exercises. The industry has come to regard BCIT graduates as highly qualified and they are usually wellsought after by employers.”

The ME Program at BCIT is a fouryear Co-operative Diploma Program which provides students with a solid

background in the principles of construction, operation, and maintenance of diesel engines, gas turbines, operating systems and propulsion plants on ships. The course is accredited by Transport Canada and includes four terms of classroom instruction interspersed with three co-op terms. After the third year of study, students write Transport Canada examinations for a Fourth Class Marine Engineering Certificate of Competency. Upon successful completion of the fourth year, students receive exemption from Part A of the Second Class certificate and may challenge Part A of the First Class Certificate. Eligibility to sit for the remaining examinations depends on Transport Canada’s assessment of acquired sea time.

And this is just the start. “We often see cadets back to upgrade their skills.

A lot of graduates opt to go on and take their Bachelor of Maritime Studies,” says Otto. “This provided greater career opportunities ashore as they pursue their Chief Engineering certificate.”

The BCIT Marine Engineering Program was initiated in 1998 and has placed candidates all over the world on cruise vessels, oil tankers, dry cargo and

container ships. On-shore positions are also available in organizations such as Transport Canada or classification societies. Russell Oye points out that, while typically a male-oriented career, more and more women are signing up for the program. “We just recently placed one of our female cadets with Royal Caribbean Cruise Lines, Oasis of the Seas,” said Oye. “On average, we see one to three women enroll and take on very successful roles in the industry. BCIT offers a Women in Trades Course which provides an introduction to various fields that are available and we have found this works quite well in recruiting more women to the Program.”

BCIT also offers customized courses for different companies. Courses, for companies such as BC Ferries or Transport Canada upgrader courses, will often include specific training tailored to a company’s needs, technology or type of ship.

For more information about BCIT’s Marine Engineering Program or to discuss placing a graduate within your company, please contact Russell Oye (Russell_Oye@bcit.ca) or Jeff Otto (Jeff_Otto@bcit.ca).

Chief instructor Sanjeev Sarwal with a marine engineering cadet.

Photo credit: Jeff Otto

May, 2011 BC Shipping News 39

GOVERNMENT

Federal election: Where the parties stand on BC shipping industry issues.

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s soon as the federal election was called on March 25, 2011, BC Shipping News contacted the Conservative Party, the Liberal Party and the NDP to request responses to a list of questions covering five issues relevant to the shipping industry in British Columbia.

The questions and instructions provided to each party were identical. The Liberal Party returned direct responses to the questions; the New Democrats provided a one-page general response; and the Conservatives sent back their 67-page platform document suggesting that all of the answers to the questions were contained within. It is with this background that BC Shipping News set about to draft the following article.

Because of the tight timing between the release of this issue and the May 2 election, we have summarized responses here but have placed the full article on-line at www.bcshippingnews.com. Because the NDP provided a general response, this can be found in its entirety on-line.

Issue #1: Canada’s Shipbuilding Industry BCSN: Would the National Shipbuilding Procurement Strategy change in any way if your party formed the new government and what do you see as the most pressing need for Canada’s fleets at this time?

Liberals: Liberals understand that Canada’s shipbuilding industry needs a predictable and long term program of federal procurement in order to provide cost effective and high quality shipbuilding and ship repair that is such a proud tradition in Canada.

A well-resourced military will be essential under a Liberal government.

Procurement decisions will flow from mission needs in a straightforward and 40 BC Shipping News May, 2011

transparent manner. They also need to secure the best value for money and industrial benefits. A Liberal government will have a very different vision of Canada’s role in the world. Naturally, the entire procurement programme in the Department of National Defence will have to be reviewed in the context of that changing role. Our aim is not to cause unnecessary delays but to ensure that our armed forces are well equipped to fulfill the roles that they will be required to perform.

Outside of military procurement, Liberals will take a responsible, pragmatic, and well managed approach to the procurement of essential vessels for the Canadian Coast Guard and other federal departments and agencies.

A Liberal government would move as quickly as possible to ensure that the federal fleet is renewed and remains capable of supporting Canada’s objectives at home and abroad.

Conservatives: Stephen Harper’s Government has taken strong action to provide the Canadian Armed Forces the equipment they need to protect and defend our country — and in so doing we are supporting and creating well-paid, highly skilled jobs across the country.

In 2010 we announced the National Shipbuilding Procurement Strategy, to re-equip the navy and the Canadian Coast Guard. The strategy will: • bring predictability to federal ship procurement and eliminate cycles of boom and bust; • help revitalize Canadian shipyards; and • support the broader Canadian marine industry and its suppliers.

Stephen Harper’s Government has already taken action to begin re-equipping the navy and the Coast Guard. For example, we have:

•

committed to invest in new Arctic patrol ships; and • started planning for the launch of a new polar-class icebreaker, the John G. Diefenbaker.

We will complete the implementation of the National Shipbuilding Procurement Strategy to ensure our men and women in uniform have the tools they need to do their job, and to create good jobs in hightech industries across Canada.

Issue #2: Asia-Pacific Gateway and Corridor Initiative (APGCI) BCSN: Do you feel the APGCI is adequately funded and has a realistic action plan to achieve the goal of tripling port capacity by 2020? What additional federal initiatives might be considered by your party to increase support for the APGCI? Conservatives: Stephen Harper’s Government has worked hard to open new markets for Canadian businesses, to help create jobs and long-term economic growth.

At the same time, we are ensuring Canada is ready to make the most of these new opportunities, and to take advantage of our position in global supply chains, by investing in trade and transportation infrastructure. We are developing strategic gateways and trade corridors in Canada to provide the best links between North America and Asia, South America, Europe, and South Asia, and within the North American market itself.

Liberals: It was a Liberal government that initiated the original Pacific Gateway Strategy (later Asia-Pacific Gateway and Corridor), so Liberals know well how important the APGCI is to Canada’s economy and international trade.

A Liberal government would be committed to the future success of the AsiaPacific Gateway and Corridor.

GOVERNMENT Liberals are committed to increasing Canada’s trade with Asia, particularly with China and India, and will seek out new agreements with key emerging economies.

Issue #3: Pacific North Coast Integrated Management Area BCSN: Please provide your comments, and how your party would address each of the following industry concerns related to PNCIMA: a. Perceived conflict of interest in funding source for consultation. b/c. The lack of federal funding to support the stakeholder consultation process has been perceived as disinterest in stakeholder feedback; and a perception that stakeholder input, while received, will not be acted upon. d. The BC Marine Conservation Analysis Atlas and Marxan Model that is being used as one of the bases to determine use of the coast has many flaws.

Liberals: Around the world, charitable organisations provide funding to valuable projects outside the organization’s home country. One of the most famous foundations is the Bill and Melinda Gates Foundation that looks to support health initiatives in developing countries. Ultimately, it is up to the recipient of the funds to identify whether or not conditions of the funding will restrict the group’s ability to achieve all of their goals.

The Liberal Party’s 2011 Platform underscores our commitment to stewardship of Canada’s oceans. A Liberal government will work to ensure a more effective approach to ocean management in Canada.

A Liberal government will engage with stakeholders to review and assess their concerns.

Conservatives: Stephen Harper’s Government is strongly committed to the conservation of Canada’s magnificent natural heritage.

In collaboration with the provinces and territories, Aboriginal peoples, civil society, and private landowners, we have increased the size of our marine protected areas, and created eight new federal protected areas.

We also expanded Nahanni National Park Reserve to six times its previous size — the greatest conservation achievement in a generation.

In the past four years alone, we have taken steps that will add more than 133,000 square kilometres to the existing lands and waters administered

by Parks Canada – a 48-percent increase, or an additional protected area equivalent in size to a country such as Greece.

Issue #4: Bill C-16: Environmental Enforcement Act BCSN: What is your party’s current stance on Bill C-16?

Liberals: While the Liberal Party of Canada supported the stated goal of Bill C-16: An Act to amend certain Acts that relate to the environment and to enact provisions respecting the enforcement of certain Acts that relate to the environment, we had and maintain strong reservations about the effectiveness of this Conservative bill as they failed to provide clear evidence that a new fine structure would achieve the intended results.

Conservatives: Party Platform does not contain reference to Bill C-16.

Issue #5: Bill C-606: Prohibition of Tanker Traffic on Canada’s Pacific North Coast BCSN: Please explain your party’s position on Bill C-606?

Liberals: Michael Ignatieff announced the Liberal Party’s position on the existing British Columbia crude oil tanker moratorium in June, 2010 and we have repeated it in the 2011 Liberal Platform. In 1972, the Liberal government put in place a moratorium prohibiting crude oil tanker transit through BC’s northern coastal waters. Fully opening BC’s coast to crude oil tankers

now would heighten the risk of a major spill, endangering wildlife and the livelihoods of dozens of communities that live in and around the coastline. To prevent an oil spill from occurring in the coastal waters of the ecologically sensitive Pacific North Coast, a Liberal government will formalize the moratorium on crude oil tanker traffic in these waters, including the Dixon Entrance, Hecate Strait, and Queen Charlotte Sound, through regulation, legislation or both.

Conservatives: Party Platform does not contain reference to tanker traffic however, the following information was reported in The Province, April 18, 2011 (page A8): Conservative Leader Stephen Harper says a re-elected Tory government will not impose a legally binding ban on oiltanker traffic on the West Coast...

“I think we have been very clear on this,” said Harper. “We will only allow tanker traffic if we can be sure that tanker traffic is safe. But will we ever say that we cannot have the same kind of commerce on the West Coast as the East Coast? Of course we’re never going to rule out those opportunities for our country.

“We’re not going to create artificial bans on the West Coast that don’t exist in other parts of the country.”

The Conservatives have resisted pressure from opposition MPs and environmentalists to give the voluntary ban some teeth. The opposition parties teamed up in December to pass an NDP motion calling on the government to legislate a ban on tankers near the rich ecosystem of Haida Gwaii, formerly the Queen Charlotte Islands.

For the full article and verbatim responses of all three parties, the Conservatives, the Liberals and the NDP, please visit: www.bcshippingnews. com.

May, 2011 BC Shipping News 41

ARCTIC SHIPPING

A Rapidly Changing Arctic Ocean Basin: An Opportunity for British Columbia and Canada

By K. Joseph Spears 42 BC Shipping News May, 2011

ARCTIC SHIPPING

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he effects of climate change, whatever the cause, are being seen first-hand in the Arctic.

The sea-ice is continually melting and diminishing in its seasonal and winter cover, breaking all previous historical records, and we are seeing less and less multi-year ice in the Arctic Ocean Basin.

Scientists studying the Arctic believe that the lack of sea-ice creates a positive feedback loop. What happens is, the lack of sea-ice cover allows the Arctic Ocean to absorb the sun’s energy leading to increasing warming water. (The sea-ice, when present, causes the sun’s solar energy to be reflected back into the atmosphere.) The warming temperatures also lead to the potential release of methane which is found in a permafrost and in the upper levels of Arctic Ocean bottom sediment. Methane is a warming agent when released into the earth’s atmosphere. The predictive global climate models are lagging behind. There are new reports and studies coming out daily. Change is happening now.

The rapidly changing climatic conditions are also changing the way the world looks at the Arctic Ocean Basin and will have a significant impact on Canada’s West Coast and the diverse elements of the maritime industries that are central to the British Columbian and Canadian economy. These elements include shipping, marine technology, ship design, ship construction and repair, marine training, consulting, marine surveying, marine science and space-based companies to name just a few within this important economic sector which operates domestically and globally.

Physically and geopolitically, the Arctic Ocean Basin is rapidly changing as the sea-ice continues to retreat. There is renewed interest in the Arctic and its resources which the United States Geological Survey indicates holds 25% of the world’s undiscovered hydrocarbon resources. This resource scramble has led to increased interest in boundary

Trans-polar routes will become more sought out as the sea-ice continues to thaw. disputes around the Arctic Ocean. Many commentators have called it the new “Cold War” as the arctic coastal nations scramble for hydrocarbon and other natural resources. The reality is the Arctic Ocean Basin, the new Mediterranean of the northern half of the planet, could see massive changes as sea-ice retreats and some researchers have indicated that we may start to see an ice free Arctic during the summer months as soon as 2015 or sooner.

It is critical for Canada, a major Arctic nation and leader, to have the necessary sovereignty infrastructure to deal with Arctic issues. When it comes to a changing Arctic, the marine component — given the lack of land-based infrastructure — is going to be central to the question of whether this is for international or domestic use. This is not a new phenomena but part of Canada’s long and rich Arctic maritime history. British Columbia’s marine industry

will take on critical importance in a changing world that is beginning to see the first direct effects of climate change.

This will arguably impact shipping routes and trends in the longer term.

For example, the United States Navy is looking closely at how an ice-free Arctic will affect global trade routes and how they can ensure security and stability.

Trans-polar shipping routes save considerably more time and distance than current shipping routes. For example, on a voyage from South East Asia to North Europe a distance saving of up to 4,300 kilometres may be realized. When time is money this is a significant saving. In a world of increasingly high energy costs we are likely to see changing patterns in world shipping once the Arctic Ocean Basin opens up.

Ice-free does not necessarily mean there is no ice and, in fact, with more icebergs breaking off the Greenland ice cap there may be more risks to commer-

The Canadian Coast Guard Research Icebreaker Amudsen.

May, 2011 BC Shipping News 43

ARCTIC SHIPPING cial shipping. Some commentators have argued that the increased costs will diminish the importance of potential trans-polar routes but the underlying principle of marine insurance markets has always been to embrace and underwrite new risks. It is the history of international shipping and marine insurance to embrace change. We can no longer view world trade patterns and routes in the same way that we have traditionally done. A changing Arctic may revolutionize global shipping trade as the Panama Canal did when the 77 kilometre canal was completed in 1914. (We can also not discount the impact of a newly enlarged Panama Canal on global shipping patterns.)

Over 90% of the world’s trade is carried by approximately 80,000 deep-sea vessels. Shipping has allowed for globalization and Canada’s West Coast is an important component of a worldwide shipping network. That is at the heart of the Asia-Pacific Gateway and Corridor Initiative and its infrastructure strategy which seeks to strengthen Canada’s port infrastructure, making them more efficient and competitive in a global context. Shipping is not static and seeks the least cost alternative subject to stability. We have seen the impact of piracy on certain shipping routes. For example, China is investigating the possibility of trans-polar container shipping with a trans-shipment facility in

Iceland. China maintains the largest embassy in Iceland’s capital, Reykjavik and is positioning itself as a major player in the Arctic. The waters outside the 200nm exclusive economic zone (EEZ) of the countries that border the Arctic Ocean basin — commonly referred to as the Doughnut Hole — are subject to high seas and the resources contained therein are the common heritage of mankind that is defined at a future date.

This has been clearly set out in the Law of the Sea Convention, of which Canada is a signatory.

While a lot of attention has been focused on the legal status of Canada’s Northwest Passage as an international strait, with diminishing ice there is the opportunity of going across the top of the North Pole on the trans-polar route by-passing Canadian internal waters.

That does not mean that Canada can turn a blind eye to the Arctic. We need the capability for ocean management and governance to have a strong presence in the Arctic Ocean Basin and within our internal Arctic waters. That is why British Columbia’s maritime industries are so critical to Canada’s future position and leadership in the Arctic. While talk is relatively easy, Canada needs to take action to develop marine capability and capacity in the Arctic. This requires an investment of Canada’s sovereignty infrastructure, much of which can be provided by British Columbia companies.

The Reduta Ordona in drydock after striking an iceberg (July, 1996).

44 BC Shipping News May, 2011

Canada is the largest coastal nation in the world with 244,000 km of coastline and 9.3 million square kilometres within its ocean space, much of this being in the North. Canada cannot afford to ignore a changing Arctic. Canada as a trading nation needs to carefully examine its position in a changing Arctic Ocean Basin. There are many issues in the Arctic that have a maritime component. In fact, all of these issues have arisen through the diminishing sea-ice.

Canada recently signed an agreement on search and rescue through the Arctic Council which requires it to have Search and Rescue (SAR) capacity within a SAR region that stretches to the North Pole.

This is not voluntary but is required by binding international agreement to provide search and rescue services. This will require Canada, with a relatively small population to provide an integrated SAR response of ships, space-based and airborne sensors, dedicated SAR aircraft, trained personnel, training and governance to make this a reality. It is estimated that approximately $10 billion in search and rescue infrastructure is required in the coming years in the Arctic Ocean Basin by all of the coastal Arctic nations. This is just one Arctic marine opportunity for Canada and British Columbia if we seize it. This is an exciting opportunity for British Columbia’s marine industry.

The Port of Vancouver is no stranger to the Arctic as it was the jumping-off point for the Hudson Bay Company and the re-supply of the HBC’s network of Arctic trading posts of the Western Arctic for many years. Vancouver was also the homeport of the RCMP Patrol vessel St. Roch 2 which plied Canadian Arctic waters for many years before and during World War 2 to re-supply remote RCMP outposts and exercise Canadian sovereignty. North Vancouver shipbuilders knew then and continue to have the expertise to build sturdy ships. During oil and gas development in the Beaufort Sea in the 1980s, the West Coast

ARCTIC SHIPPING was the centre of marine expertise in ice-breaking design technology and in the development of state-of-the-art icebreakers that are still in operation today. One sturdy vessel that has seen active service in the private sector and now in Canadian Coast Guard, is the icebreaker CCG Terry Fox. Many of the components of oil exploration in northern waters were designed and built here on the West Coast for Arctic operations.

We are seeing the first signs of these impacts in a melting Arctic Ocean. This does not mean ice-free waters. Canada needs the ability to operate year round in a harsh environment. The Canadian marine and shipbuilding industry needs to ensure, with a public / private approach, that we have the technological and industrial capacity to realize these opportunities. Canada needs to seize this opportunity and assume a leadership role in the Arctic. To do that Canada needs the capability and capacity in its marine industries.

The issues arising in the Canadian Arctic with respect to jurisdiction and a perceived threat to Canada’s sovereignty from increased international shipping presents both a challenge and opportunity for Canada.

Canada can lead the world in Arctic Ocean management and this can become a cornerstone of a robust Canadian Northern Strategy — one which will lead to an invigorated robust maritime industry on Canada’s West Coast.

How Canada responds to a changing Arctic will take a combination of domestic and international responses and, dare I say, a creative approach, which is a Canadian trait when it comes to the Arctic. Canada has played, and continues to play, a key role in the Arctic Council and the International Maritime Organization (IMO). Canada does not need to shy away from leading the development of international law as it relates to the regulation of Arctic shipping. We have the

full weight of international law behind us. Canada sought support from other coastal nations during the negotiations for a new Law of the Sea Convention in the 1970 and it was accepted that Canada had a plan and it worked. We need to take the same visionary and leadership approach today when it comes to our marine industries and the changing Arctic. We need to have the foresight and vision to look to the future and lay the necessary foundation for public and private partnerships to ensure Canada’s place as an Arctic world leader. Canada needs to match its actions to its words.

We need to apply the same thinking to the Arctic as we have done to the AsiaPacific Gateway Initiative to bring all the parties together and work toward a common goal. Our British Columbia marine industries are ready for this exciting challenge. In future articles, we will explore these opportunities.

Joe Spears is a Principal of the Horseshoe Bay Marine Group and has been involved in Arctic issues and shipping since 1980 when the sea-ice was much thicker. Joe can be reached at kjs@oceanlawcanada. com

May, 2011 BC Shipping News 45

TANKER TRAFFIC

Enbridge Northern Gateway Project Tanker traffic: fact versus fiction

By Captain Stephen Brown President, Chamber of Shipping of British Columbia

Photo credit: Mike Bernard

I

t will not have escaped anyone’s attention that there is a great deal of discussion underway with respect to existing and proposed tanker traffic on the coast of British Columbia.

For now, the primary focus of Environmental Non Governmental Organization (ENGO) attention is the Enbridge Northern Gateway. Alberta has developed deposits in the oil sands that hold an estimated 170 billion barrels of recoverable oil, second only to

Saudi Arabia’s 265 billion barrels, according to the Canadian Association of Petroleum Producers. Those deposits have spurred several ongoing and proposed investments.

The Enbridge Northern Gateway is a $5.25 billion proposal consisting of two parallel pipelines between an inland terminal at Bruderheim, Alberta, and a proposed export terminal in Kitimat.

Each pipeline would be 1,177 kilometers in length with crude oil produced

from oil sands flowing west and condensate flowing east. The crude oil pipeline would have a diameter of 36 inches and a capacity of 525 thousand barrels per day whilst the condensate pipeline would have a diameter of 20 inches and a capacity of 193,000 barrels per day.

Condensate is used to decrease the viscosity of heavy crude oil and to make it easier to pump.

From an economic perspective, it is estimated that the project would gener-

Route of the Northern Gateway Pipeline: from Bruderheim, Alberta to Kitimat, British Columbia 46 BC Shipping News May, 2011

TANKER TRAFFIC

The Tanker Exclusion Zone on the West Coast and an example of a double-hulled tanker.

Alaska in March, 1989. There is not a single meeting whereby opponents to the Enbridge Northern Gateway fail to take this example as representative of today’s situation.

Nothing could be further from the truth. The marine industry is no different to any other form of transportation in the sense that we learn from our errors and we apply lessons learned. This is equally the case for the marine industry as it is for the airline, railway and auto industries. So what has changed since 1989?

•

ate approximately 62,700 person years of construction employment and require at its peak a workforce of approximately 3,000 persons. In terms of taxation,

Regretfully,...the marine industry, and specifically the tanker sector, is a Trojan horse for the true ENGO objectives and the source of flagrant misrepresentation... revenue to governments is estimated at $2.6 billion over the life of the project.

Opposition to the project is fierce from three sources, namely from a number of First Nations, ENGOs and genuinely concerned citizens. At this point

it must be recognized that for ENGOs, the end game is to constrain the growth of the Alberta oil sands and several of these groups make no secret of this fact.

Regretfully therefore, the marine industry, and specifically the tanker sector, is a Trojan horse for the true ENGO objectives and the source of flagrant misrepresentation with respect to the safe movement of oil by sea.

Class Deadweight tons Product 10,000 - 60,000 Panamax 60,000 - 80,000 Aframax 80,000 -120,000 Suezmax 120,000 - 200,000 VLCC 200,000 - 320,000 ULCC 320,000 and above Criticism of our industry continues to originate with the grounding of the Exxon Valdez in Prince William Sound,

•

• • •

Oil Pollution Act 1990 (OPA 90).

The intent of this law was, in part, to minimize oil spills through improved tanker design, operational changes, and greater preparedness.

Section 4115 of OPA 90 focuses on changes in ship design, notably double hulls, to prevent or minimize spillage when an accident occurs. Most countries, Canada included, have essentially replicated OPA 90 into their national legislation Pre-charter comprehensive vetting — worldwide database of vessel history Extensive use of designated escort tugs Tanker specific routing INTERTANKO developed Tanker Officer Training Scheme (TOTS)

Exxon Valdez grounding and oil spill May, 2011 BC Shipping News 47

TANKER TRAFFIC •

British Columbia specific: - Simulator based tanker specific marine pilot training - Development of Personal Pilotage Units (PPUs) • Sharing and adoption of best practices • An industry culture of safety and respect for the environment In addition to the above, Enbridge has committed to working with the Canadian regulatory authorities to significantly upgrade coastal radar, communications and oil spill response coverage.

Throughout the life of the project, there are four major processes: • Engineering process • Regulatory review and approvals • Environmental and Socio-economic Assessment (ESA) and planning • Technical Review Process of Marine Terminal Systems and Transshipment Sites, commonly referred to as the TERMPOL review process (TRP).

The federal government has established a Joint Review Panel (JRP), an independent body, mandated by the Canadian Environmental Assessment

The

TERMPOL

Review

Process

(TRP)...is a distinct and separate process from the federal environmental assessment process.

Agency and the National Energy Board.

The Panel will assess the environmental effects of the proposed project and review the application in detail.

Members of the panel are: Ms. Sheila A. Leggett, a member of the National Energy Board since 2006 and currently its vice-chair. Before joining the National Energy Board, Ms. Leggett was a board member with the Natural Resources Conservation Board, which conducts hearings into natural 48 BC Shipping News May, 2011

resource development projects in Alberta.

Mr. Hans Matthews, a professional geologist with more than 25 years experience in the mining, minerals and resource management industries. Mr. Matthews has extensive experience in Aboriginal community development and consultation within the mineral exploration industry in Canada and abroad. Mr. Matthews is Tanker route from Kitimat to Asia. also a member of the Wahnapitae First Nation, Ontario, where he The TERMPOL Review Process (TRP), resides. led by Transport Canada, refers to the Mr. Kenneth M. Bateman, a Canadian Technical Review Process of Marine energy lawyer and former senior execuTerminal Systems and Trans-shipment tive in the Canadian energy sector. He Sites. The TRP is a distinct and separate has been a member of the National process from the federal environmental Energy Board since 2006. In addiassessment process. It is an internal government process that conducts a techEven more alarming is the decision of a nical review focused on ship operations, number of elected politicians...to jump terminal systems, trans-shipment sites and their waterways. Marine terminal on the bandwagon in the hope of scor- proponents ”voluntarily” undertake the TRP as part of their project review. ing points that may translate to votes.

Studies and surveys are conducted to assess operational, safety, management tion to expertise in the energy sector, and environmental issues associated Mr. Bateman has extensive experience with tanker routes, marine terminal with major sustainable energy projects location, construction, and operation. including wind farms and biowaste faThere are 17 studies in total, which incilities. He is chair of the NEB’s Regulaclude: tory Policy Committee.

• A survey of the origin, destination As part of an environmental assessand volumes of marine traffic ment related to a project of this di• A survey of fishing vessel operations, mension, proponents are required to including fish and fish habitat develop a suite of environmental pro• Route analysis, approach charactertection and mitigation measures to proistics and navigability survey tect natural resources and associated human uses throughout the life of the • Underkeel clearance project. As detailed engineering design • An assessment of transit times, including vessel speeds and potential and route selections are finalized, these delays are intended to evolve into a directive • A statistical analysis of human casand site-specific guidance manual of ualties in the event that a ship’s methods that the proponents have cargo containment system or hull is committed to apply. Based on the enbreached vironmental assessment and prelimin• An assessment of ship specifications ary project design, an Environmental Protection Plan is developed for sub- • Provision of detailed site plans for the terminal mission as part of the filing to the JRP.

TANKER TRAFFIC Even more alarming is the decision of a number of elected politicians, who should really know better, to jump on the bandwagon in the hope of scoring points that may translate to votes.

In international circles, there is disbelief that the conversation we are having is even taking place.

• • • •

•

• •

A description of cargo transfer and trans-shipment systems An assessment of the suitability of existing channels for shipping A description of berth procedures and provisions An analysis of risks associated with uncontrolled releases of cargoes such as oil and condensate, and intended methods of reducing risks Development of a Port Information Book documenting details on the route to, and about, the marine terminal Development of a Terminal Operations Manual Preparation of a contingency plan for potential accidents and malfunctions, including spills, fire, and other events

Whiffen Head Oil Terminal, Newfoundland

•

Assessment of the oil handling facilities to ensure that they comply and conform to regulations under the Canada Shipping Act A team of representatives from Transport Canada, the Department of Fisheries and Oceans and Environment Canada along with other stakeholder

It is against this background that philanthropic organizations...have chosen to finance...First Nations and ENGO[s]... agencies is required to review the results of the TRP and identify measures to be taken to address navigational, safety and environmental issues. As part of the review, the government team is expected to provide Northern Gateway with recommendations on how the proposed marine terminal system will be operated.

It is against this background that philanthropic organizations based south of the border have chosen to finance active First Nations and ENGO opposition to the project. The significant level of disinformation related to the safety of modern pipelines and modern tanker traffic that is regularly promulgated in the media does nothing for the credibility of the parties electing to go down this road.

Whilst Bill C-606, An Act to amend the Canada Shipping Act, 2001 (prohibition against the transportation of oil by oil tankers on Canada’s Pacific North Coast), is no longer on the agenda on account of the dissolution of parliament for the General Election, it is truly concerning that we as an industry have not been more successful in educating some of our legislators.

Of equal concern is the notion that there should be a policy related to oil tanker traffic on the East Coast of Canada which is diametrically opposed to the proposed policy of the West Coast.

This lacks any reasonable credibility.

Were Canada to implement a ban on tanker traffic in any part of the country, this would be a global precedent. In international circles, there is disbelief that the conversation we are having is even taking place. Let us not be complacent. Were opponents of the oil sands, pipelines, tanker traffic, and pretty much anything that moves, be successful, they and their wealthy supporters will build on that success with an onslaught against oil shipments through the Port of Vancouver.

The Chamber of Shipping will continue to argue forcibly that the JRP and TERMPOL processes should be respected and not circumvented. We will also continue to support industry presentations of facts to the many audiences seeking to be better informed. At the end of the day, everyone is entitled to an opinion but let us hope that opinion is based on objective consideration of facts rather than fiction.

May, 2011 BC Shipping News 49

LEGAL AFFAIRS

Courts says “No” to Carbon Tax

By Thomas S. Hawkins A Vancouver Lawyer with Bernard & Partners

commenced in BC and ended in Tacoma.

Carbon Tax Regulation

L

ast month this column reviewed the Coasting Trade Act and the circumstances where non-Canadian ships could operate in the Canadian coasting trade. The Coasting Trade Act was considered by the court in a recent decision in the context of considering when and which vessels may be exempted from paying carbon tax. There, the BC Supreme Court ruled in favour of a local tug and barge company in regard to the BC Government’s refusal to refund carbon tax paid on fuel used by tugs on voyages to and from the USA in July of 2008.

The facts of the case were straightforward. The BC tug boat company towed US barges from Washington State to three different ports in BC laden with calcium carbonate. After the cargo was discharged to the BC ports, the barges were towed back to Washington empty or loaded with lime rock which was discharged in Tacoma. No cargo loaded at a BC port was discharged at another BC port. Each of the voyages either commenced in Tacoma and ended in BC or 50 BC Shipping News May, 2011

The Carbon Tax Act requires the tug company to pay carbon tax at the time of purchase on all of the fuel used by its tugs to conduct the voyages. The tug company is however permitted under Section 29 of the Carbon Tax Regulation to request a refund of tax paid on fuel used by tugs that provide interjurisdictional marine services. The tug owner submitted an application for a refund of carbon tax paid on the fuel used on the international voyages between Washington State and British Columbia. The Ministry of Small Business and Revenue allowed a refund of tax paid on fuel used on the portion of the voyages between the US and the first discharge port in Canada and from the loading port in Canada back to the US. However, any fuel claimed in relation to movement between BC ports was removed from the tug company’s claim. The government argued that the fuel used for portions of trips that are from one location in BC to another location in BC are not interjurisdictional legs and therefore the fuel consumed is not exempt from carbon tax.

Section 29 of the Regulation provides that the government must pay the applicant a refund of the tax paid on the fuel used on the interjurisdictional leg.

An “interjurisdictional leg” is defined in the Regulation to mean that portion of a trip that: • begins at a port…. in a foreign state and ends at a location in BC, or • ends at a port… in a foreign state and begins at a location in BC. The court noted that this was a case requiring the interpretation of tax legislation. Of importance was the application of the ordinary rules of interpretation, that is, that the words in the Act were to be read in their ordinary sense harmoniously with the scheme of the Act. The context and purpose of the Act necessarily will be considered where there may be more than one reasonable interpretation of the wording.

The court observed that the purpose of the Act is to collect carbon tax on fuel used in BC. However the carbon tax is not to apply to exports or international aviation or marine use. Therefore carbon tax is not collected on all fuel used in BC.

A “Trip” or “Leg” The court was required to consider what is meant by a “trip” and what is meant by a “leg” as both terms are used in Section 29 of the Regulation. The government argued that in order to give Section 29 meaning a leg must be something different from the entirety of the trip. For instance, the government suggested that the trip between two stops in BC would be a leg. The tug company responded by saying that a tug may stop

LEGAL AFFAIRS for numerous reasons such as refueling, emergency, weather or mechanical breakdown and therefore the government’s position would result in a new leg of the trip beginning once the tug started moving again. In interpreting Section 29, the court concluded that Section 29 starts from the proposition that there is a marine service provided within BC that has a foreign component. It does not mean the reverse, that is, an interjurisdictional trip that has some activity in the province. Therefore, the trip from Tacoma to Port Alberni or return to Tacoma would be viewed as a journey beginning in one country and arriving in another while one or more stops at ports in BC would still be regarded as part of such a journey. Only where goods are loaded at one BC port and unloaded at another port within the province would those legs not be considered interjurisdictional.

tion would lead to an absurd result where the entire trip, if considered an interjurisdictional leg, would make the distinction between “leg” and “trip” meaningless. The court stepped around this objection by finding that the commercial element of such stops cannot be ignored. The voyage that occurred between the port of unloading and the port of pick-up within BC before proceeding to Tacoma was not commercial in nature. Therefore it cannot be a “leg” as defined under the Regulation.

In the result, the court held that the term “interjurisdictional leg” when read in the context of the Act and the Regulation means, on departure from the US port, an outbound leg until the last discharge port for the foreign cargo, and the inbound leg from the last discharge port to the US home port, or US port of loading. Therefore, the entire

trips were interjurisdictional legs within the Regulation and the tug company was entitled to receive the balance of the carbon tax that had been withheld.

Interestingly, in respect to aircraft, the definition of “flight” used in the Regulation means that there is no issue that when an aircraft lands and takes off in BC, even if part of an interjurisdictional flight, the fuel for the portion so defined is taxable. It will be interesting to watch whether the government appeals this decision or amends the Regulation to provide a similar definition with respect to marine services.

Thomas S. Hawkins is a partner and maritime lawyer with Bernard & Partners and can be reached at hawkins@ bernardpartners.com Counsel for the tug owner is David McEwen, Q.C. and can be reached at dmcewen@ahbl.ca

Coasting Trade The court also noted that the Regulation specifically provides that ships prohibited from the coasting trade under the Coasting Trade Act are exempted from paying carbon tax. The voyages in question were not in the coasting trade.

It was not lost on the court that if the same voyages had been carried out by a US tug or non-duty paid tug they would be exempt from paying carbon tax under the Regulation. The fact that a Canadian tug was used should not be inconsistent with the overall scheme of the Act and Regulation.

The court held that the trip began in Tacoma and ended when the tug and barge completed the unloading at the final destination in BC all of which was consistent with the definition of interjurisdictional trip. The trip back to Tacoma likewise began after the unloading and ended in Tacoma. The fact that the tug stopped to pick up further product on its return to Tacoma did not change the interjurisdictional nature of the trip according to the court. The government suggested that such an interpretaMay, 2011 BC Shipping News 51

TECHNOLOGY

Emerging trends: E-navigation and on-board chart management E-navigation and on-board chart management systems are two trends in the shipping industry that have seen significant development and growth over the past decade. A catalyst for the development of these systems has been International Maritime Organization (IMO) requirements for ships to meet a certain level of safety standards.

I

n June, 2009 the International Maritime Organization (IMO) approved amendments to the International Convention for the Safety of Life at Sea (SOLAS) mandating the installation of Electronic Chart Display and Information Systems (ECDIS). The fitting of ECDIS will become mandatory on a rolling timetable that comes into force in July, 2012. The legislation will be phased in by vessel type and size and will eventually apply to the majority of large merchant vessels and passenger ships. The timetable for new builds is based on the date the vessels keel is laid. Existing vessels will be required to install ECDIS in advance of the first survey after the implementation date.

There are currently no requirements for existing cargo vessels of less than 10,000 gross tons. Depending on flag state requirements, vessels due to be taken out of service within two years of the implementation date maybe exempt.

SOLAS also requires ships to be compliant under the International Safety Management (ISM) Code and ensure that there is an established and main-

tained procedure to control all documents and data relevant to a Safety Management System (SMS). With an average vessel carrying 1,500 charts and 500 books, on-board chart management systems are a logical and practical solution to ensure compliance.

Offering solutions for both e-navigation and on-board chart management systems, is Maritime Services, a Vancouver-based company that has been catering to the West Coast marine community since 1979. It is a highly diversified company with a strong technical background in nautical charts, publications, marine electronics and safety products. To bring a greater array of the latest navigational products to the North American shipping community, the charts division of Maritime Services Ltd. has joined forces with Thomas Gunn Navigation Services Ltd. out of Aberdeen, Scotland, to form a new joint venture — Thomas Gunn Maritime Services Inc. The new venture company has the distinction of being one of the principal distributors of the United Kingdom Hydrographic Office, offering the first global system of e-navigation IMO Regulations for mandatory ECDIS will be implemented on a rolling timetable beginning July, 2012.

52 BC Shipping News May, 2011

that combines official vector and raster charts for safe, accurate and easy to manage electronic navigation.

For on-board chart management systems, Thomas Gunn Maritime Services offers TGT e-Data, a fully editable system that provides a personalized database of charts, publications and Notices to Mariners organized in a convenient folio system. An additional on-board chart management system — TGNS Voyager 3 with capabilities to manage Electronic Chart Updates — has been recently launched at Seatrade Asia.

E-nav solutions: First global system now on the market As the first global system of navigation, the Admiralty Vector Chart Service (AVCS), brings together all available Electronic Navigation Charts (ENCs) from national hydrographic offices around the world and new ENC coverage produced by the United Kingdom Hydrographic Office (UKHO) on behalf of Foreign Governments to provide comprehensive and official worldwide vector chart coverage for SOLAS compliant use within ECDIS. AVCS contains more directly relevant ENC data than is currently available in any other service. It provides for fast and efficient worldwide chart maintenance. Weekly updates can be done remotely on-line or via a weekly update CD. AVCS is sold in a series of Folios — geographic collections of ENCs selected for a specific purpose (e.g. transiting an area) — and are designed to make ordering, maintenance and licensing as easy and flexible as possible. Each Folio is automatically maintained for any relevant changes to ENC coverage. Folios are available in three defined types:

TECHNOLOGY Transit Folios — designed to provide all the coverage needed for a vessel to pass safely through a region when not engaging in local trade.

Regional Folios — designed for local and coastal trade, where more detailed coverage of complex coastal waters is required.

Port Folios — typically comprised of Approach, Harbour and Berthing cells grouped together into a single sales unit.

AVCS also provides very flexible licensing to minimize chart costs. AVCS customers need only buy the ENCs they need when they need them. Chart permits can be requested at any time via an Admiralty chart agent and supplied on board in minutes.

On-board Chart Management Systems Thomas Gunn Maritime Services offers TGT e-Data to manage on-board chart systems. It is fully automated and provides the mariner with a personalized database of charts, publications and Notices To Mariners (NTMs) organized in a convenient folio system.

TGT e-Data service provides weekly updates to a ship’s index and NTMs and Tracings via e-mail. The service incorporates advanced “state of the art” file compression technology to achieve a 60% file size reduction, making it the most technically advanced digital NTM service available.

The TGT e-Data database is designed to work in a disconnected environment, which means that the data required by the mariner is stored locally. The chart database can also be fully edited onboard and provides access to British Admiralty, United States, Japan, New Zealand and Australia chart databases with the ability to add, edit or remove any chart and view all relevant NTMs immediately. All charts can be organized in a convenient folio system with the ability to create and amend personalized folios. Collections of various countries are divided using tab bookmarks to allow for easy access to any chart.

Sumita Roy, Maritime Services Ltd., demonstrates E-navigation systems carried by MSL. TGT e-Data is a fully functional correction log auditing system which produces a summary of index specific weekly corrections and highlights any outstanding corrections to apply. When the corrections have been applied, the correction log is updated and saved automatically.

Detailed index and correction list reports are available through a “Reports” menu and can be printed or exported to PDF format.

The TGT e-Data software includes full backup and restore functionalities and can be installed on a second computer which can be used as a Backup system compliant with SOLAS requirements for a dual system.

To learn more about both the Admiralty Vector Chart Service and the TGT e-Data service, please visit www.maritimeservices.ca.

May, 2011 BC Shipping News 53

EVENTS MAY Mari-Tech 2011 — 20/20 Looking to the future: A vision of Canada’s marine industry in the year 2020 May 5 - 6, 2011 Delta Ocean Point Resort, Victoria, BC www.cimare.org/Maritech Port Secure The 2011 Port Security Conference of Canada’s Port & Maritime Security Conference and Expo hosted by Port Metro Vancouver May 25 - 27, 2011 Fairmont Pacific Rim Hotel, Vancouver, BC www.portsecure.ca

Association of Canadian Port Authorities (ACPA) 10th Annual Port/Government Interface May 30-31 Delta Ottawa City Centre, Ottawa, ON www.acpa-ports.net International Association of Ports and Harbours (IAPH) — 27th World Ports Conference May 23-27 Busan Exhibition & Convention Center Busan, Korea www.iaph2011.kr Tugboat Industry Conference: The Next Generation sponsored by the Council of Marine Carriers May 26 - 28, 2011 Fairmont Chateau, Whistler, BC www.comc.cc

JUNE The Nautical Institute: Vessel Management On-Board and Ashore June 2-3, 2011 Marriott Victoria Inner Harbour, Victoria, BC www.niseminar.com Baltic and International Maritime Council (BIMCO) General Meeting sponsored by Chamber of Shipping of British Columbia June 6 - 9, 2011 Fairmont Waterfront Hotel, Vancouver, BC www.bimcogeneralmeeting2011.ca

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