BC Shipping News - March 2015 by McIvor Communications

INSIDE: LOWER FRASER RIVER — ECONOMIC POWERHOUSE

BC SHIPPING Commercial Marine News for Canada’s West Coast.

Volume 5 Issue 2

www.bcshippingnews.com

NEWS March 2015

Industry Insight Captain Fred Denning, President BC Coast Pilots Ltd.

Pilot Boats Introducing Tymac Crest and Tymac Wave

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2015

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MARITIME ENERGY TRANSPORT: Today and Tomorrow in the Pacific Northwest Victoria, British Columbia, Canada

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EXPLORING THE SUBJECT OF MARITIME ENERGY TRANSPORT

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The subject of energy transport by sea grows ever more topical in BC. Numerous proponents are aggressively pushing plans for LNG export from different locations on the coast, aided by a provincial government that is eager to realize economic gains from this new industry. Proposals to increase oil tanker traffic through Vancouver Harbour, and to introduce this business to Kitimat, have raised a host of questions and some considerable public opposition due to environmental concerns. Meanwhile, the continued growth of coal exports from BC ports looks for new ways in which to ship this much-maligned but bu still highly-demanded commodity. The fierce opposition of political, environmental and commercial interests in these cases makes it timely for the NIBC to explore this subject from a professionally-informed base of subject matter experts.

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Contents

NEWS

March 2015 Volume 5 Issue 2

Cover Story

Energy transport

Marine engineering

30 7 8 12

Editor’s note

By Jane McIvor

In brief

Industry traffic and news briefs

Industry insight

Above all else, safety Captain Fred Denning, President, BC Coast Pilots Ltd. Captain Denning offers BC Shipping News readers a glimpse into the world of pilotage.

History lesson

Outbreak onboard Gunboat diplomacy and the spread of smallpox By Lea Edgar

Introducing Tymac Crest and Tymac Wave Daigle delivers new vessels to Tymac

AAL expands its West Coast service

Fraser River

Lower Fraser proving an economic powerhouse these days By Ray Dykes

Fraser River profile

Experience and innovation — keys to progress. A look at Fraser River Pile & Dredge (GP) Inc.

Barges

Barges 101 It’s still like pushing a brick through water but there have been some interesting developments By Mark J. Mulligan, P. Eng., FEC

Exciting program in store for Mari-Tech 2015 attendees in Vancouver

45 Environment

Environmental insight Green Marine expands its membership and scope By Manon Lanthier

26 Shipping

Pilot boats

Planning Eldorado TERMPOL — Hoops and hurdles, or battle of facts? By RAdm Nigel Greenwood, RCN (Ret’d), Vice-Chair, NIBC

Cargo logistics

Legal affairs

Another successful Cargo Logistics Canada conference Cross-border oil pollution By Thomas S. Hawkins

52 Surveyors

Surveyors’ diary A review of notable events By Tim Ellis

On the cover: The Tymac Wave (photo by Tremain Media Inc.); above: Fraser River with Fraser Surrey Docks in the foreground (photo courtesy Port Metro Vancouver); right: Simulation screen shot of an LNG tanker docking (photo courtesy Pacific Northwest LNG); left: Captain Fred Denning, President, BC Coast Pilots Ltd. (photo: Dave Roels — www.daveroels.com).

March 2015 BC Shipping News 5

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International Sailor’s Society Canada

EDITOR’S NOTE Photos by Dave Roels, www.daveroels.com

There’s a reason pilots have a good safety record

t was fortuitous timing that I was invited to be an observer for a pilot candidate’s oral exam with the Pilotage Training and Examination Committee — a joint committee of the Pacific Pilotage Authority and the BC Coast Pilots Ltd. Having just wrapped up an interview with Captain Fred Denning, President of the BCCP, his words were fresh in my mind as I watched the committee pose questions to the slightly nervous candidate. Having previously gone through preparatory sessions, and written examinations, the candidate had already proved he was a capable mariner with knowledge of the coast. However, this final leg of the process to become an apprentice pilot would demonstrate, without a doubt, that he could guide a vessel through the waters of B.C.’s coast safely — identifying and watching out for landmarks and obstacles that only years of familiarity could provide. A few observations: First, I was struck by the in-depth and intimate knowledge that a pilot needs to confidently travel any area of B.C.’s coast from south to north and back again. Whether it was inside channels with tricky turns or areas with strong currents, the candidate was required to know every step of the journey, every moment when a new sighting would set them on a correct course, and every protocol in place that would ensure a safe passage. Think about it — the coast is over 25,700 kilometres long with over 40,000 islands of varying size. This is not knowledge you gain by looking at a map. It comes from years of experience. Second, talk about pressure! With five sets of eyes (six, including mine) on him at all times, the candidate doesn’t have much time to think about his answers. Questions came quickly and responses were expected to be just as quick. While the committee was a friendly bunch, you

could see that they expected this knowledge to be right at the tip of one’s tongue. Third, questions reflected the need to be intimately knowledgeable not just of the coast’s geography but also of the rules and regulations covering shipping and, most importantly, safe shipping. This is a theme that came through strongly in Captain Denning’s interview. The important tasks and responsibilities pilots have to ensure a ship gets safely to and from its berth are not taken lightly and knowledge of geography isn’t enough. It was plain to see — both from Captain Denning and the Committee asking questions of the candidate — that safety was paramount. Period. From all of the initial testing done to gain entry into this elite group, to ongoing professional development and refresher training, it was plain to see that

pilots value safety above all else and is always a top-of-mind consideration. The take-aways for me this month are fairly straightforward — I was impressed by the knowledge and experience it takes to become a pilot on B.C.’s coast. And I am reassured (and even proud) to see that B.C. has such dedicated and professional people integrated into all aspects of vessel movements in and around the province. Given their input into the many projects and proposed developments taking place in B.C., I can see we’re in good stead when it comes to safe shipping. And a word to the younger readers of BC Shipping News: if your career plans include ultimately joining up as a pilot, you would be wise to start planning now. It’s a good goal to keep in mind. — Jane McIvor

Local traffic...

Thanks to Rod Logan, who sent in this shot (quite some time ago!) of the St. Eval, a Falmouth, U.K.-registered yacht, owned by Dennis Wasington. This shot was taken from Prospect Point in 2013. The St. Eval was built in 1930 by Scott & Sons,, Bowling, U.K. It is just under 115 feet in length with a beam of 24.11 feet and a draft of 10.79 feet (and gross tonnage of 209). It has a maximum speed of 12 knots and a cruising speed of eight knots. Of the vessel, Logan notes that “the St. Eval is a real beauty and was originally built as a working tug. According to a person I know who has been on the vessel a few times, it is just gorgeous and sumptous as you might expect.”

Got a great photo? Send it to jane@bcshippingnews.com to be included in our feature on ships visiting our local waters.

March 2015 BC Shipping News 7

INDUSTRY TRAFFIC Greater Victoria Harbour Authority welcomes six new directors

reater Victoria Harbour Authority is welcoming six new directors to its Board. Two of the six, Starr McMichael and Gordon Tweddell, are Independent Directors selected from the community through a competitive process. The remaining four candidates, Nicholas Banks, Ben Isitt, Nils Jensen and David Schinbein, were appointed by GVHA from nominees provided by four of its member agencies. The nominations process focused on the skills and experience required by the Board, and the six new directors will join seven others on GVHA’s 13-person Board. “We’ve appointed experienced individuals who will serve the interests of the region and add strength to GVHA’s Board,” said Bill Wellburn, Board Chair. “With the addition of the six directors, we have a strong Board of Directors to move GVHA forward.” The selection and appointment process was guided by the Board’s skills and experience matrix which identifies the overall skills and experience currently required for effective governance of the organization.

New directors welcomed are: • Nicholas Banks — nominated by the Victoria/Esquimalt Harbour Society • Ben Isitt — nominated by the City of Victoria • Nils Jensen — nominated by the Capital Regional District • Starr McMichael — Independent Director from the community • David Schinbein — nominated by the Township of Esquimalt • Gordon Tweddell — Independent Director from the community GVHA’s retiring Directors Barbara Desjardins, Shellie Gudgeon, Graham Hill and Paul Ridout are recognized for their hard work and commitment in advancing GVHA’s mandate. The new directors join existing board members Bill Wellburn (Chair), Doug Crowder (Treasurer), Christina Clarke, Dave Cowen, Pete Hartman, David Marshall and Chief Andy Thomas. Rick Crosby, former Chief Executive and Operating Officer of the Provincial Capital Commission, continues on as interim CEO following the departure of Curtis Grad in November 2014.

Nigel S. Greenwood

MA, BSc, Master Mariner, FRIN, MNI Rear-Admiral, RCN (Ret’d)

www.greenwoodmaritime.com nsg@greenwoodmaritime.com / 250-507-8445

Container trucking commissioner appointed

he Province has appointed BCMEA President Andy Smith to the position of container trucking commissioner to support better working conditions for container truckers and to ensure efficient and reliable operations at Port Metro Vancouver. Andy Smith, in his role as president and chief executive officer of the BC Maritime Employers Association, has been integral to advancing B.C. and Canada’s economic interests in the Asia Pacific Gateway by building productive relationships between the shipping lines, terminals and their unions. Mr. Smith has previously concluded two historic eight-year collective agreements on the waterfront, which have greatly improved Canada and B.C.’s Asia Pacific Gateway’s international reputation for reliability. When appointed, Mr. Smith will support the mandate of ensuring long-term stability in the sector by: • Assuming responsibility for all Truck Licencing System licences in place following the licence reform undertaken by Port Metro Vancouver. • Establishing, and then consulting with an Industry Advisory Committee on issues relevant to the sector, • Setting any future rates moving forward based on consultations with industry and the Industry Advisory Committee, • Having oversight of the Whistle-blower line, investigations and enhanced auditing and enforcement. Mr. Smith will remain as CEO of the BCMEA while acting as Commissioner.

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NEWS BRIEFS

New Marine Hall of Excellence honours industry leaders

he bi-national Chamber of Marine Commerce is pleased to announce the new Marine Hall of Excellence to honour those who have made significant contributions to advance marine trade and commerce in Canada and/or the U.S. Both countries owe a large amount of their success as trading nations to the vital role of marine commerce, from their emergence as prosperous economies and democracies to the present day. While the exploits of our early marine pioneers are documented in many museums, the Marine Hall of Excellence will provide an opportunity to promote the accomplishments of more recent leaders whose direction and accomplishments sometimes go unrecognized, especially outside of industry. Stephen Brooks, President of the Chamber of Marine Commerce, explains: “Just like our athletes, entertainers and aviators, this ‘hall of fame’ will recognize talented leaders who have helped shape the success of shipping and our two great nations. The Marine Hall of Excellence

will lend voice and personality to an industry that has some amazing stories that have remained under the public radar for far too long.” The Chamber is now accepting nominations for potential inductees who can come from any profession but who must have demonstrated vision, leadership and direction resulting in important impacts and significant tangible results for the world of marine commerce. The first inductees into the Marine Hall of Excellence will be honoured at a ceremony later this year after a selection process

undertaken by the Chamber of Marine Commerce Board of directors. Inductees receive a prestigious, hand-crafted award as well as a lapel pin, featuring one of the most recognizable marine symbols, the compass rose. Inductee profiles and achievements will also be showcased at the Marine Hall of Excellence’s virtual home (http://marineexcellence.com/) and through other marketing efforts. Those interested in following news and progress on the Marine Hall of Excellence can subscribe to updates at http://marineexcellence.com/contact/.

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March 2015 BC Shipping News 9

INDUSTRY TRAFFIC

Klein Systems Group proving popular with ports Photo: Lonnie Wishart (www.lonniewishart.com)

lein Systems Group announced that it has entered into an agreement with the Prince Rupert Port Authority to install the KleinPort Port Management Information System. The Port Authority will be using KleinPort to manage and track its operational activities and cargo data, generate billing for services and charges, and perform indepth data analysis and reporting. Pete Behrendt, Managing Director of Klein Systems stated: “As a B.C. company, we are very pleased to welcome Prince Rupert Port Authority as our first B.C. port customer, joining our community of over 35 clients that are running Klein software around the world.” Don Krusel, President & CEO of the Prince Rupert Port Authority, said: “We selected Klein for its port industry experience and its proven ability to deliver comprehensive port management solutions.” KleinPort is one of the most advanced port management systems available today and is expected to significantly increase the efficiency of the Port Authority.

Prince Rupert Port Authority is one of the latest ports to sign up to use KleinPort Port Management Information Systems.

Klein Systems Group Ltd. (KSG), is a wholly owned subsidiary of the Saab Group, and a leading provider of Maritime Enterprise Software. They have 30 years of experience delivering software solutions to ports, vessel traffic and coastal surveillance organizations, pilotage authorities and tug operators among others.

More recently, Klein Systems announced additional agreements with Belfast Harbour in Northern Ireland as well as the Papua New Guinea Ports Corporation Limited, and Port Saint John in New Brunswick, Eastern Canada’s largest port by tonnage with a diverse cargo base, including dry and liquid bulk, break bulk, containers, and cruise.

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Global expansion drives continued growth

lassNK (Chairman and President: Noboru Ueda) has announced its registration totals for 2014. Over the course of the year, 833 new vessels with a combined total of 21,466,272 gt joined its register, marking the fourth straight year that the leading classification society registered over 20 million in new tonnage. ClassNK’s growth in 2014 comes in spite of a global downturn in the market which has seen newbuilding deliveries fall by an estimated 15 per cent according to Clarkson Research Services. Led by continued strength in the newbuilding markets, ClassNK registered a total of 548 newbuildings with a combined total of over 16 million gt, or more than 25 per cent of all newly built tonnage in 2014 based on Clarkson’s figures. Growth was also driven by transfers from other societies which reached a record 285 vessels in 2014, including ClassNK’s first U.S.-flagged and Germanflagged vessels. These successes follow ClassNK’s establishment of new Survey

Operations Headquarters in New York and Hamburg to complement its existing survey headquarters in Tokyo and better serve clients in Europe and North America. Continuing trends from previous years, European shipowners, led by German and Greek owners, accounted for roughly half of all transfers to the NK register in 2014. ClassNK Chairman and President Mr. Noboru Ueda spoke on the recent success: “At ClassNK, we strive to deliver the highest level of service as the only classification society offering 24/7 assistance 365 days a year and ClassNK’s growing register reflects our ability to meet the changing needs of the industry. In addition to the establishment of our Survey Operations Headquarters in Hamburg and New York last year, the acquisition of software leaders NAPA and Helm Operations has enabled us to widen the scope of our activities throughout Europe and North America to better serve the global maritime industry.”

At the end of December 2014, ClassNK had a total of 8,872 vessels on its register with a combined total of 232,871,435 gt. Of the 833 vessels added, 548 were newbuildings totalling 16,158,319 gt and 285 vessels were existing vessels with a total of 5,307,953 gt. In additional news from ClassNK, the society has been busy. In early February, they granted type approval of the new 28AHX-DF dual-fuel engine built by Niigata Power Systems Co. Ltd. and also issued approval for Nippon Steel & Sumitomo Metal Corporation’s newly developed corrosion resistant steel for use on the upper deck and/or inner bottom of crude oil tanker cargo oil tanks. ClassNK has also announced the release of Version 2.0.0 of its PrimeShip HULL ship design software. The new version reflects all rule amendments of the IACS Common Structural Rules adopted in December 2014. More information about the new version can be found at www.classnk.or.jp.

March 2015 BC Shipping News 11

INDUSTRY INSIGHT

Above all else, safety Captain Fred Denning President, BC Coast Pilots Ltd.

ith an average safety performance record of 99.98 per cent, the BC Coast Pilots Ltd. (BCCP) is one of the most successful pilotage companies in the world. This doesn’t happen, pardon the poor choice of words, by accident. From tough entrance exams that require intimate knowledge of both vessel operations and the geography of Canada’s West Coast, to mandatory refresher and professional development training programs, to fitting in to a culture that is strong on professionalism and conscientiously committed to ensuring safe passage for ships in our waters, the BCCP is an asset to British Columbia’s coast that makes the marine industry proud. Representing the BCCP as President (on and off) for the last 10 years, Captain Fred Denning offers BC Shipping News readers a glimpse into the world of pilotage. BCSN: To start, I’d like to understand the structure of the BCCP a bit better. FD: Under the Canadian Pilotage Act, the Pacific Pilotage Authority (PPA) is mandated to provide pilots for the West Coast of Canada. To do this, they have two options: either by having employees, like the Fraser River pilots, or with “contract” pilots like the BCCP. The BC Coast Pilots Ltd. was formed in 1973 when the Act was changed based on recommendations from the Bernier Report on pilotage. There are five areas with the PPA’s mandate. The Fraser River pilots cover

12 BC Shipping News March 2015

Photo credit: Dave Roels (www.daveroels.com)

>>> Pilots are a valuable commodity and it takes a lot of time, money and resources to get a pilot up to an unrestricted level, so we have to protect that asset. Area 1 and we cover the remaining four areas that span over 15,000 miles of coast from Washington to Alaska. The BCCP is set up so that each licensed pilot is an equal shareholder in the company and every pilot has a vote in company business, including the selection of the board of five directors. The directors chose amongst themselves the officer positions — President, Vice President and three directors at large. Each position comes with specific responsibilities, including participation on the Pilotage Training and Examination Committee (a joint committee with the PPA) which looks after training programs as well as examinations for candidates. BCSN: Could you describe the separation of responsibilities between yourselves and the PPA? FD: As a private company, we pay our own wages and benefits as well as our own office and overhead. We have six employees including Paul Devries, our General Manager, and just over 100 pilots. As the regulator, the PPA provides the infrastructure for the operation of a safe and efficient pilot system. They own and crew the boats, provide dispatching

services, a pilot’s transportation to and from the ship, and they also pay for training. Basically, anything to do with the operation of the pilot system is the PPA’s responsibility. In addition to working together on pilot training and examinations, we also work together on the Pilot Launch and Transportation Safety Committee which ensures that all forms of transportation used in day-to-day pilot operations meet very high standards. Pilots are a valuable commodity and it takes a lot of time, money and resources to get a pilot up to an unrestricted level, so we have to protect that asset. Pilotage can be a hazardous profession, especially at that moment when you step from the pilot boat to the ladder. I’m one of the few who have ended up in the water and walked away to tell about it. BCSN: You mentioned you have about 100 pilots — is that a fairly constant number? FD: We have been increasing our numbers in the past couple of years. Last year we brought on 12 new pilots and the members have approved the start of eight more this year. As in a lot of sectors

INDUSTRY INSIGHT of the marine industry right now, we have somewhat of an aging group. Our average age is around 54 and we are cognizant of that and it is motivating us to actively recruit. The average age of those entering into piloting is between 35 and 45. The road to becoming an unrestricted pilot takes about seven years so it’s important to take that into account when we consider the number of pilots we have and the number of retirements looming. We average about four retirements per year but expectations are that we may see a little more than that. It’s difficult to predict what retirements will look like from year to year because there’s no mandatory retirement — so long as he passes the medical standards, he can keep working. BCSN: How much of that increase addresses an increase in business? FD: For the last few years, we’ve been seeing a slow increase in the number of assignments and that is expected to increase but my crystal ball is no better than others. We can only measure what has already happened but it can change in an instant — in 1999, for example, all looked very positive until the Japanese economy collapsed and then our numbers dropped dramatically. BCSN: Describe the actual activities a pilot will undertake when he’s onboard a vessel. You don’t take physical control of the ship, do you? FD: There are occasions where a pilot will take control of the thrusters but in general, no, we don’t. We give verbal commands to the ship’s crew for engine speeds; to the helmsmen for rudder angle or course (we use both); and to the tugboats. We’re very fortunate in both Vancouver and Prince Rupert that we have a

EXAMINATION FOR

APPRENTICE MARINE PILOTS – COASTAL Examinations for Apprentice Marine Pilots will be conducted by the Pacific Pilotage Authority, in September 2015, 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 Sections 4 and 5. These regulations can be found on our webpage: www.ppa.gc.ca (under Corporate Information). Applicants who believe they are qualified should submit a written request for an application package prior to 1530 hrs on Friday, March 20, 2015 to: Examination Director of 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 the offices of the Pacific Pilotage Authority on Tuesday, March 24, 2015 at 1000 hrs. Anyone considering this exciting vocation should attend this free session to get an understanding of the process. Please pre-register by emailing your name and phone number to infosession@ppa.gc.ca or calling 604-666-6771, extension 0.

Fred boards a ship to begin pilot duties — that moment between the pilot boat and the ladder is often the most hazardous.

>>> The BCCP has been at the leading edge in the use of tethered tugs to increase tanker safety. The risk mitigation offered by tethered escort tugs is extremely high.

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INDUSTRY INSIGHT Photos: BC Shipping News

Collaboration with the marine industry is an important part of the BCCP’s mandate. Clockwise from top left: Fred with Doug Towill (Seaspan ULC), John Armstrong (Saam-Smit), Kaity Arsoniadis-Stein (International Ship-Owners Alliance of Canada), and Dave Bedwell (China Ocean Shipping (Canada) Inc.).

14 BC Shipping News March 2015

very good fleet of tug assist ships. The new tugs from both Seaspan and SaamSmit are great. BCSN: In terms of assignments, what are the regulations around vessels requiring pilots? FD: All foreign-registered vessels that are over 350 gross tonnes require a pilot. We are seeing an increase in the size of vessel coming to the West Coast — PPA stats indicate that ship size is increasing at a rate of about six per cent per year. As a result, we’re seeing more and more Capesize and Panamax ships and fewer Handysize or smaller. That creates a bit of an issue when it comes to ensuring we have unrestricted pilots available. For loaded oil tankers, we are required to have two fully qualified pilots onboard. While they’re both not on the bridge for some parts of the voyage, within the constrained portions of the transit, both pilots must be on the bridge. Plus, there’s a clearly defined tethered escort tug requirement. The BCCP has been at the leading edge in the use of tethered tugs to increase tanker safety. The risk mitigation offered

by tethered escort tugs is extremely high. We worked with local tug companies and an internationally recognized tug expert named Greg Brooks to develop escort procedures that are very effective. BCSN: I’d like to look at trends within the industry and how they impact on pilotage. You mentioned that ship sizes are increasing — are there other trends, especially with technology? FD: One change that is fairly new is the expansion into the use of helicopters to get pilots on and off ships. We’re currently developing a training program for wire-hoist helicopter operations for pilots and the PPA is putting out a request for proposals to helicopter service providers. There’s a good safety argument for this. Not to say that pilot boats will disappear but a number of groups have been doing hoist operations for a few years and their safety records are one of the things that makes this interesting to us. It also makes sense in terms of efficiency — where it can take an hour and a half to a get a pilot out to a station by boat, it takes about 15 minutes by helicopter. Regarding trends in technology — it’s a double-edge sword. Pilots are, first and foremost, visual navigators. We pride ourselves in being able to look out the window to determine, without any doubt, that the ship is in a safe position. It’s very much a sensory profession but with the increase in ship size and the desire of industry to move ships without interruption, we do incorporate technology into the process to give us additional information that can allow us to expand our window of operation. Obviously, the fundamental piece of technology is radar and radios for communication but now you’ll see pilots using cell phones to communicate pilot to pilot — that was something you would never see in years gone by. As for shipboard equipment, obviously radar is the primary tool and ECDIS systems have become another significant tool but we are very cognizant of not only the advantages we get from these technologies but the pit falls as well. We also now have Personal Pilotage Units (PPUs) that the BCCP developed in conjunction with revised Second Narrows regulations for the movement of tankers. While the technology was developed as a risk mitigation for the movement of tankers, it was very quickly realized that it would be beneficial coast-wide. Each pilot has his own PPU — a tablet computer with custom-made software.

March 2015 BC Shipping News 15

INDUSTRY INSIGHT >>> We need to be able to understand where technology works in our favour and can give us an added layer of safety, but we also need to know when it’s time to look out the window.

Photos: BC Shipping News

Our Technical Committee worked with NavSim Technology, a Canadian company, to develop very sophisticated navigational hardware which integrates Canadian Hydrographic Services’ electronic charts with a highly sensitive, highly accurate GPS receiver and a rate-of-turn generator which was originally designed for cruise missile technology. The system allows for a predictor — basically, it gives you ship heading and ship track over the ground information. It’s highly specialized technology that required a special training course for pilots. But, as I said, technology is a double-edge sword. A concern that has been expressed worldwide in the marine industry is

Captain Denning and B.C. industry representatives, including Tom Corsie (Port Metro Vancouver), Captain Stephen Brown (Chamber of Shipping of British Columbia) and Captain Kevin Obermeyer (Pacific Pilotage Authority), hosted a contingency of pilots from China in 2012.

16 BC Shipping News March 2015

overreliance on technology and our pilots see it on a daily basis — young officers will sit on a fine sunny day, staring into a screen. BCCP apprentice pilots are not allowed to use PPUs until they’ve been apprentices for several months. We focus on teaching the basics — the art of visual piloting. That is who we are and what we do. We need to be able to understand where technology works in our favour and can give us an added layer of safety, but we also need to know when it’s time to look out the window. Another initiative we have underway that goes hand in hand with advancements in technology is the development of a system of safe navigational corridors which will show up on electronic charts. We’ve stayed away from the simplistic one-line track into a much more pilot-friendly process that allows us to have the ability to use the entire safe waterway depending on circumstances. It allows us to offer a better decision-making process. These electronic corridors will show up in our PPU systems. We’re in the process of making them available to other users but are still working on issues with compatibility with other computers. There are some sectors that want us to limit our activities to specific track lines and if the ship falls off the track line by more than 50 yards an alarm rings in an office onshore and they want to know what’s happening. The problem we have with that is that it falls right into overreliance on technology. Young officers that come out of training processes in other parts of the world are focused on electronic gadgetry. If the power goes out and the technology fails, for us, it’s really important that we maintain our basic piloting skills and knowledge gained from looking out the window and knowing that, without electronic assistance, we can keep a ship safe. BCSN: Have you ever had the technology fail you? I know concerns have been expressed about GPS vulnerabilities. FD: As a matter of fact, we had a case here in Vancouver Harbour summer before last where there was interference with the GPS signal for about a week. Our pilots would get into the middle of the harbour and the GPS signal would disappear – it was impacting the sea planes as well. Our Technical Committee has advised that it’s possible to buy GPS-jamming devices online for about $60. Based on their recommendation, the next generation of GPS receiver in our PPUs will have the ability to receive signals from four different spacebased position-fixing systems. The receiver will choose the best signal and if it loses that one, it automatically jumps to the next. There have been times when I’ve turned away from the technology just because I can gain more knowledge by looking out the window. More to the point, it’s really important that we’re able to provide safe transit without electronic assistance. It’s the cornerstone of our training. BCSN: The Transportation Safety Board report on the Cape Apricot incident has been out for a while now. Were there lessons learned that are changing practices or training programs? FD: There is still litigation ongoing but we don’t know a whole lot more than what you read in the report. We always take these kinds incidents seriously (rare as they are). In this case, it appears that communication and bridge resource management – i.e., the interaction between the ship’s crew and the pilot – played a significant role. While all pilots and all mariners are required to take a BRM course, we’re in the process of going even further and developing a BRMP course specific to pilotage. It drills much deeper into cultural and language differences. Not related to the Cape Apricot incident but still relevant to the discussion is that our training — from apprentices to

INDUSTRY INSIGHT unrestricted pilots — is comprehensive and ongoing. Every five years, it’s mandatory that we take refresher courses. These will include simulators and manned models for specialized training. For example, simulators are used to train pilots in the use of azipod-propulsion systems which involve a different way of moving a ship versus conventional propulsion. We also have the option for unrestricted pilots to take that sort of training to refresh some basic skills but also to try, for example, new maneuvers that you wouldn’t even think of trying with a real ship. It allows us to hone our skills. BCSN: Do pilots ever get involved in vetting vessels? FD: Absolutely. A pilot is going to be, invariably, the first Canadian onboard that ship when it comes into our waters. Very quickly, we have to assess a lot of things when we board the ship — our ability to communicate with the crew; the ship’s mechanical condition; the equipment, etc. If there are serious lapses, we will inform Transport Canada that the ship is deficient. It doesn’t happen often, but it does happen. If the deficiencies are serious enough, we will take the ship to Publication anchor rather than take it into the pasBC sage. Shipping It’s veryNews rare but it has happened. What’s more common is that we’ll identify deficiencies and pass that informaIssue tion onto Transport Canada so when the March ship 2015 gets to its berth, an inspector will be waiting. For oil tankers, vetting standards have actually been incorporated into our Size tethered escortpage tug process. For tankers Island (half vertical) coming into the Westridge Terminal, the hard points of a ship — i.e., the bollards and leads that the tug escort lines have to Deadline use — must minimum standards or February 8, meet 2015 the ship will not be accepted. BCSN: Regarding oil tankers, I understand the BCCP worked on risk mitigation Features that was incorporated into the recommenPilots / Vessel Safety dations by the Tanker Safety Expert Panel. FD: Our recommendations were taken almost verbatim and used for the omnibus budget document, specifically for the section on risk mitigation for tankers on the North Coast. It detailed relevant points that we had determined after simulator studies we had done on behalf of Enbridge. What we recommended was common sense mitigation pieces to make that process as safe as you can humanly make it. Two tug escorts of a specific size, improvements to navigational aids, radar coverage, operational parameters. These recommendations will make that

process, if it goes ahead, as safe as anything can possibly be. We’ve also done a lot of work with TransMountain for the Westridge Terminal and again, brought very high levels of risk mitigation into their operations. BCSN: We didn’t touch on this earlier when we talked about trends in technology but I’d assume there have been great strides made in navigational aids. FD: Yes, with new technology that’s available for nav-aids, there is quite a bit of work that can be done. We identified 36 actions — for example, changing

from old-style lights to new LEDs that are much more visible or implementation of some real-time data gathering equipment along the site. Improvements in technology mean that equipment can be installed at various sites along the coast that show up on our electronic charts with details like current tides and weather for a specific place. More and more of these real-time data stations are being installed all along the coast – there is one in Second Narrows and another is going in at First Narrows; there’s one in Nanaimo Harbour; a weather station in

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INDUSTRY INSIGHT Squamish; and a weather and tide station in Prince Rupert with another five datasets to be installed within the limits of Prince Rupert’s harbour. That real-time data is a huge benefit and allows us to be better informed about what we’ll find when we get to that section of the trip. BCSN: Another trend the marine industry has seen is the proliferation of government regulations related to the environment. How have they changed practices for pilots? FD: It’s interesting how environmental rules and regulations can have an impact

on pilots. The Migratory Bird Act has increased our concern about liability because of the extent of the penalties discussed and the powers given to conservation officers. It was probably the first piece of legislation that really started to create a different outlook on how we do what we do. There was a time — 20 years ago — where you might push the envelope a little to get the ship in or out of berth under difficult circumstances. If you happened to bump a pile or rub up against something and scrape some paint, no one

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worried about it. That world has changed — it does not exist anymore. It’s frustrating for some stakeholders to accept delays while we wait for conditions to change but pilots are risk “mitigators”, not risk takers. Sometimes it’s a difficult to position to be in when you have to say no, knowing full well that there’s a lot of money at stake but we have to think safety first and usually, they will understand that. The way the Pilotage Act is structured in Canada, we’re able to make those judgements without commercial influence.

About the BCCP he BC Coast Pilots Ltd. work with the marine industry to deliver safe and efficient pilotage by providing local knowledge and expertise to foreign ships in order to protect environmental, economic and public interests. Incorporated in 1973, the BC Coast Pilots Ltd. is a private company consisting of approximately 105 licensed marine pilots who contract their services to the Pacific Pilotage Authority, the federal crown corporation mandated with ensuring a safe and efficient pilotage system on the B.C. coast. Approximately 60 pilots are based in the Vancouver area; 40 are based in the Victoria area; and five pilots are based in the Nanaimo area. Three BC Coast Pilots are also stationed each week in Prince Rupert to address local traffic in the area. The BC Coast Pilots Ltd. also play an important part in ensuring the balance between safe marine transportation and environmental stewardship. When a new project is proposed for the B.C. coast, the BCCP works closely with the Pacific Pilotage Authority and industry stakeholders to ensure fundamental safety standards are considered and adhered to for the safe movement of ships.

For more information about the BC Coast Pilots Ltd., visit: www.bccoastpilots.com

INDUSTRY INSIGHT Having said that, the safety culture within the industry is very evident. We work very closely with many partners and I’m proud of the BCCP’s level of engagement, not just locally but nationally and internationally as well. There are tremendous benefits for everyone involved. Locally, we sit on a number of committees through the Chamber of Shipping of British Columbia as well as the Shipping Federation of Canada. We’re also very active with the West Coast Pilots — we’re hosting the WCP conference here in Vancouver in April in which pilot groups from up and down the West Coast, including Hawaii, participate on an annual basis. We’re active members in Canadian Marine Pilots’ Association — I’ve been the Vice President for five or six years and our CMPA President, Captain Simon Pelletier was recently elected as president of the International Marine Pilots’ Association, so through

CMPA, we are active in IMPA as well and through our participation with IMPA, we’ve come to know pilots from all over the world. The pilotage profession is very much a brotherhood and we’re happy to work with one another and share our knowledge. When you consider pilots as a group — there are about 400 pilots in Canada and 7,500 pilots in IMPA – that doesn’t represent every pilot in the world but it is quite a few. For pilots, our primary concern is safety. There’s nothing more important to us than the safe movement of ships. This is our home — our families live here. I’m the third generation of my family who has lived on the West Coast and my kids and grandkids live here. I want to keep this place as beautiful as it is now for generations to come and every pilot feels the same way. Our focus is to have a vibrant, thriving marine industry but not at any cost. BCSN

About Captain Fred Denning aptain Denning began his sea-going career in 1969 with Armour Salvage, a small Prince Rupertowned tug boat company (acquired by Rivtow-Straits Ltd. in 1971). In 1974, he went to Camosun College in Victoria where he obtained his 350-ton Tug Masters Certificate. Over the next several years, Captain Denning continued his career in the towboat industry as well as the Canadian Coast Guard and teaching in the Marine Department of Northwest Community College. Also during this time, he upgraded his certification, first to an ONII level, then to an ONI. While working on upgrading his certification, he began to think about piloting as a career and by the time he had completed his ONI, it became obvious that he would need to work on the south coast of B.C. for a period of time in order to complete the required coastal experience to qualify for the Pilot’s exam. In late 1986, he was hired within the tug industry working out of both Port Alberni and Vancouver. In 1987, he moved his family to Vancouver Island, settling in Nanaimo where they still reside. By mid-1988, he had passed the BC Coast Pilot’s exam and in November 1989, he began his piloting career as an apprentice pilot. In June 1990, he was issued a Coast Pilot’s licence and has served with the BCCP ever since. In 2004, Captain Denning was elected as a Director of the BCCP and selected to serve as Vice President. In 2005, he moved into the President’s chair. Upon completion of his two-year term in office, Captain Denning returned to piloting but in 2009, was again elected for a two-year term as a Director, serving as Vice President then President. He was recently elected for a third consecutive two-year term, alternating between the Vice President and President positions over this period. He is currently in his fourth term as President of the BCCP and also in his fourth term as Vice President, Pacific Region, of the Canadian Marine Pilots Association (CMPA). Fred and Nora have raised two children, son Geoff and daughter Katie and are enjoying their three grandchildren, Owen (6), Photos: BC Shipping News Fred and Nora Denning. Mara (3) and Weston (almost 2).

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HISTORY LESSON Outbreak onboard: Photo credit: Dave Roels (www.daveroels.com)

n 1862, a vicious and deadly virus was brought to the shores of Victoria and subsequently spread across British Columbia’s coast by boat. This is a sad and largely untold story of B.C. history. The Brother Jonathan, a vessel sailing from San Francisco, started the 1862 smallpox outbreak when it arrived in Victoria carrying “patient zero” on March 12. With its arrival came a death sentence for many, particularly the First Nations population. This story calls attention to the roles various vessels played as a vehicle for disease, much like air transportation today, as well as demonstrates a typical technique used by Europeans in the 19th century — gunboat diplomacy. There were large numbers of First Nations people living in Victoria at the time of the epidemic. Various nations were there mainly to trade, including the Haida, Tsimshian, and Stikine. The gold rush was on and there were countless economic opportunities. Numerous prospectors arrived in Victoria from San Francisco in 1862, which, unbeknownst to many, was having a smallpox outbreak

Gunboat diplomacy and the spread of smallpox By Lea Edgar

Librarian/Archivist, Vancouver Maritime Museum

>>> Numerous prospectors arrived in Victoria from San Francisco in 1862, which, unbeknownst to many, was having a smallpox outbreak of its own. of its own. The British Colonist newspaper reported the first case of the disease on March 18 with two more cases reported on March 26. The illness quickly spread to the temporary First Nations settlements in the town. The smallpox vaccine was available in Victoria at the time but that did not stop the fear, disdain and, later, general acceptance of the natives’ fate by the colonists. By analyzing the newspaper reporting, one can see that the only accepted approach to dealing with the outbreak was expulsion of the First Nations population in order to keep them away from colonists. Although some responses to the outbreak were heartfelt, many were at best unhelpful and at worst contemptuous. Van Rijn in his paper on the subject states, “The colonial population may not

HMS Grappler, Shearwater and Malacca, c. 1860. City of Vancouver Archives A-6-84. Photographer: George Fowler Hastings.

20 BC Shipping News March 2015

have consciously attempted to devastate the First Nations populations, but their frequently negative attitudes towards them ensured that actions to prevent this occurrence were sporadic, poorly planned, counterproductive, or simply minimal.” An example of the colonists’ attitude is revealed in the March 26th edition of the British Colonist, “Imagine for a moment what fearful calamity it would be were the horde of Indians on the outskirts of the town to take the disease. Their filthy habits would only perpetuate the evil; keep it alive in the community, sacrificing the lives of all classes.” Two weeks after the initial cases were reported, smallpox began to appear among children at the Songhees village. The Songhees (now referred to as Lekwungen) were local to Victoria and as a gesture of goodwill, and for the sake of saving their people, they soon decided to quarantine themselves on Discovery Island. This decision was what likely protected them from annihilation. However, this did not stop the spread of the illness to other First Nations in the area, and later, far up the coast. For some reason, the top physician at the time, Dr. Helmcken, decided that quarantining colonists would be “alarmist.” At that point, politicians did not even think about quarantining natives, let alone systematically vaccinating them. By April 30, HMS Grappler was on hand to “escort” First Nations people away from Victoria. On May 1, the police started raiding native settlements. They

VANCOUVER MARITIME MUSEUM forced people to leave the settlements and burned their houses to the ground. But this move just dispersed the infected people, spreading the infection even further. When it became clear that this approach was not working, and white colonists were increasingly convinced that the disease would spread to them, natives were rounded up and forced to leave Victoria. They left by canoe and were escorted by gunships such as HMS Grappler and HMS Forward to ensure they did not cause any trouble as they left. First the Tsimshian, then the Stikines, Haida and Kwakiutl all fled. On May 13, the remaining Northern peoples were driven away. This is a prime example of a common tactic used at the time called gunboat diplomacy. This method uses a show of naval force in order to pursue a foreign policy, often over less powerful states. Essentially, it is a form of intimidation by a demonstration of naval power. One individual who was especially concerned with the natives’ wellbeing and took immediate action was Reverend Alexander Charles Garret. As soon as he realized there was an outbreak he started vaccinating the native peoples. He arranged for a smallpox hospital to be built on the reserve and when the First Nations were finally expelled, he followed them up the coast, immunizing as many as he could and likely saving countless lives. With the arrival of the Brother Jonathan on that fateful day, the colonists brought death and disease to our shores. They failed to protect native peoples living amongst them (whether purposefully or not is still debated), and managed to spread the illness by forcing the various Northern groups home. These actions not only devastated the First Nations population, but also paved the way for the rapid spread of colonists across the

HMS Forward c. 1860. City of Vancouver Archives A-6-85. Photographer: George Fowler Hastings.

province. It is estimated that one third of the native population died as a result of the epidemic being spread across the coast. Remember this sad and preventable event, as well as the souls who lost their lives and those that failed to help them, when next visiting Victoria’s inner harbour. Lea Edgar started her position as Librarian/Archivist for the Van-couver Maritime Museum in July 2013. She can be contacted at archives@vancouvermaritimemuseum.com.

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March 2015 BC Shipping News 21

PILOT BOATS Introducing Tymac Crest and Tymac Wave…

Daigle delivers new vessels to Tymac Photo: BC Shipping News

Drew Hemmingson (Tymac Launch Service) and Steve Daigle (Daigle Welding and Marine) with Tymac’s newest acquisition.

>>> “The maneuverability...fuel efficiency, safety, durability, and flexibility of the HamiltonJet provide for better performance, greater control and a longer lifetime...” maintenance or risk of damage,” said Choich. HamiltonJet first started waterjets in the 1950s and has manufactured more than 50,000 waterjets that are serving on

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ob well done! Daigle Welding and Marine (DWM) delivered two new pilot boat/passenger vessels to Tymac Launch Service in early February and, based on demonstration runs for guests at the launch event in Campbell River, the boats will be the envy of the harbour when they’re put into service on the West Coast. What sets these boats apart from other vessels in Tymac’s fleet is the use of HamiltonJet waterjet propulsion systems. “It was a great team effort,” said Michael Gardiner from Jastram Technologies, Canadian representatives for the New Zealand-based HamiltonJet. “Working with Daigle Welding and Marine, Tymac, and HamiltonJet’s factory in New Zealand has been a real pleasure. I think we can all be extremely proud of the results.” Gardiner also gave a shout-out to the RCM-SAR Unit 2 , North Vancouver, who lent one of their response vessels to give Tymac operators a chance to try the HamiltonJet waterjet propulsion. Chris Choich, Area Sales Manager for HamiltonJet, spoke highly of the experience in working with all involved and gave an overview of the benefits of waterjets over conventional propeller systems. “The maneuverability at both high and low speeds, the fuel efficiency, safety, durability, and flexibility of the HamiltonJet provide for better performance, greater control and a longer lifetime with less

The Tymac Wave in action...the vessel can “turn on a dime.”

22 BC Shipping News March 2015

vessels around the world. Their expertise allows them to understand the wide range of conditions, situations and tasks a modern vessel needs to be able to carry on operations on a daily basis. With good reason to have a big smile on his face, Steve Daigle, owner of Daigle Welding and Marine, described some of the process that led to today’s launch. “In the fall of 2013, Mike Phillipson of Tymac Launch in Vancouver expressed interest in a waterjet propulsion pilot boat/passenger vessel,” he said. “Our naval architect drafted up some preliminary drawings and we sent these to HamiltonJet along with specifications such as speed, weight, intended use and weather conditions. Over the next couple of months, we worked together to come up with the design for a 37-foot vessel with twin 500 HP engines and Hamilton 322 Jets that meets Tymac’s needs for performance, comfort and lifecycle expectations.” From order date to delivery, the builds took 11 months. On February 5, 2015 the New Zealand Consulate General and New Zealand Trade and Enterprise hosted a

PILOT BOATS reception at the Quay West Restaurant in Campbell River to celebrate the launch of the Tymac Crest and the Tymac Wave. Business Development Manager Rod McDonald congratulated Tymac and praised the work and collaboration between HamiltonJet and Daigle. “We are very honoured to be here today to witness the launch of these two vessels,” McDonald said. “HamiltonJet is a wellestablished, global company whose New Zealand roots make us proud.” Drew Hemmingson, Operations Manager, Tymac Launch Service, was especially pleased with his two new vessels — the fourth and fifth boat to be built for Tymac by Daigle. “We’ve had a great relationship with Steve for many years and we were confident he was going to be able to deliver on all the specifications we wanted,” Hemmingson said. Features such as comfort, speed, stability and maneuverability were important for the vessels that will be used to take pilots out to and from ships as well as crew transport in Vancouver Harbour. “It’s almost like a helicopter the way it maintains its stability and hovers at a gangway,” he added.

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Untitled-1 1

24 BC Shipping News March 2015

2/7/2013 1:14:42 PM

Hemmingson also noted that there would be some transition to bring the boats into the fleet. “They do handle differently from our other vessels and each operator will go through some additional training before they’re able to put the vessel to use.” Following the launch, Steve Daigle said: “This was a very happy ending to a great project. The customer was very pleased with not only the performance but the quality of workmanship and attention to detail. I love happy endings!” BCSN

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SHIPPING

AAL expands its West Coast service

iven the success of its entry into the West Coast market for multipurpose heavy-lift liner and tramp services , Austral Asia Line (now branded as ‘AAL’) has been busy expanding its activities between Canada, the U.S. and Asia. Operating out of Fraser Surrey Docks and working with key service providers in the gateway since the spring of 2013, AAL’s vessels can now also be seen discharging cargo at Lynnterm and then picking up pulp at Squamish Terminals. “AAL’s strategy all along has been the expansion of our liner service to capture westbound backhaul to achieve efficiencies,” said Managing Director Christophe Grammare. “We started with a tramp service for heavy-lift because we saw a gap in the Canadian market for this and we built up a critical mass to the point where we are able to offer liner service on a regular monthly schedule.”

Background

AAL started 20 years ago offering a liner service between Australia and Asia which was then expanded to include tramps to “pretty much” anywhere in the world. AAL and its fleet of 14 vessels are actually part of the larger Schoeller Holdings Ltd. — a Cyprus-based private

The AAL Hong Kong loading logs at Fraser Surrey Docks.

26 BC Shipping News March 2015

>>> With one of the largest multi-purpose fleets in the world, in excess of 500,000 dwt, AAL is also known for having one of the youngest fleets in the world. investment company with holdings in ship owning, ship management and liner services. The sole shareholder, Heinrich Schoeller, spent many years at sea before assisting in the setup of Hanseatic Shipping in 1972. In 1978, he incorporated Columbia Shipmanagement (CSM), today, one of the largest shipmanagement companies in the world with over 300 vessels under management. CSM also has extensive experience in the shipbuilding sector having built around 274 newbuildings for clients worldwide. Schoeller Holdings has a fleet of 57 vessels, which include containers, multipurpose / heavy lift vessels, product tankers, chemical tankers and bulk carriers. Schoeller Holdings’ full portfolio includes non-marine industries such as aviation, financial services, and hotels and restaurants. Since 1995, AAL has grown from its original operations between South East Asia, Papua New Guinea and Queensland,

Australia to further expand into the Asian markets of Singapore, Shanghai, Korea, Thailand, Indonesia, as well as India, the East Coast of South America, the U.S. (Houston, Everett and Vancouver, WA), Germany (Hamburg) and New Zealand. Most recently, AAL announced AAL Japan, a new operation with offices in Tokyo, offering transportation and logistics services, including transportation solutions on sea, land and air, related agency services, financing and temporary staffing and logistics consultancy.

World’s youngest fleet

With one of the largest multi-purpose fleet in the world, in excess of 500,000 dwt, AAL is also known for having one of the youngest fleets in the world. “Our oldest ship was built in December 2010,” said Grammare. “While we also take on long-term charters, our own tonnage is very new and very efficient.” Grammare further noted that AAL just completed

Photo courtesy AAL

SHIPPING Photos courtesy AAL

The AAL Melbourne with a heavy load of wind turbine equipment.

The AAL Melbourne with a cargo of modules in Kitimat, B.C.

their delivery program which saw them take delivery of 14 vessels in the last three years. “The vessels are the second generation of design. The generation of vessels that came before, which we built, were operated for 10 years and then sold and replaced with newer versions.” While the size of the vessels have remained essentially the same, Grammare said that “what’s really changed is the specialization toward project and heavy lift capabilities. The lifting capacity of earlier generations was much less than what we have with our newest vessels.” Currently, the three ships that provide the West Coast service — the AAL Singapore, AAL Brisbane and AAL Melbourne — are A-Class multi-purpose heavy-lift vessels with a maximum holding capacity of about 39,500 cubic metres under deck space and a maximum lifting capacity of 700 metric tonnes.

market as very dynamic in terms of long-term project commitments and we are very interested in assisting with projects in mining, oil and gas, and LNG industries that are coming up this year and over the next three to four years.” BCSN

Continued growth for the West Coast

James Clouse, AAL’s representative for the West Coast, spoke highly of the relationships fostered with many partners here in B.C. and Washington. “Our strategic partnerships with maritime service providers have been a key factor in our success here,” he said, noting that their ability to maintain a high level of service no matter how busy they get is much appreciated by their clients. “We work hard to maintain a high level of service through an ever tightening gateway. Our partnerships have allowed us to secure certain rights and privileges in the gateway that leverage our liner status in order to guarantee service for cargoes ranging from capital projects to basic commodities, which provides a significant advantage to our customers.” Indeed, the partnerships that Clouse and the AAL team have already established along the coast “make the life of the project much easier. It helps to streamline many processes when you already know the stevedores, transport companies, port officials and forwarding companies.” As AAL becomes more established along the West Coast, and word of their heavy-lift and project cargo services spreads, they continue to expand into new areas. Case in point, liner service was expanded recently to include Long Beach, CA. And Grammare and Clouse both see the northern ports as having great potential for growth. AAL recently tramped modules from China to Kitimat, B.C. Grammare also expressed great interest in Prince Rupert. “It’s certainly a new area of development for projects in Canada and it is part of our strategy to look for new opportunities there,” he said. “We see the Canadian

March 2015 BC Shipping News 27

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March 2015 BC Shipping News 29

FRASER RIVER

Photo by Dave Roels, www.daveroels.com

By Ray Dykes

>>> “Given its strategic assets, the river is poised to become an even more significant economic driver...However, the Lower Fraser faces a number of key challenges.” There’s no doubting the creation of Port Metro Vancouver has been lauded around the world and may even have been a catalyst for the coming together of the Port of Seattle and the Port of Tacoma in a bid to stay competitive.

Impressive

The statistics in the Lower Fraser economic report tell an impressive story. Back in 2008, the Lower Fraser River moved 25.7 million tonnes (St. Lawrence Seaway 36.5 million tonnes — the report quotes 2010 seaway figures); jobs 52,900 against 63,000; and wages $2.62 billion against $2.88 billion on the seaway. As well, the report notes the river supports “a myriad of other economic activities essential to the region and beyond.” And it adds: “Given its strategic assets, the river is poised to become an even more

Photo courtesy Port Metro Vancouver

arine traffic on the Lower Fraser River has grown so much in recent decades that it now rivals the St. Lawrence Seaway both in terms of tonnage and jobs. This revelation was one of the findings of a major study released last year entitled, “The Economic Importance of the Lower Fraser River,” prepared by the Richmond Chamber of Commerce and D.E. Park & Associates and supported by 14 other groups as diverse as the Chilliwack Chamber of Commerce, the Vancouver Board of Trade and the provincial Ministry of Transportation & Infrastructure. Rivalling, but not yet surpassing. However, with the current growth plans for Port Metro Vancouver and the Fraser with potential for future marine terminal development, those to the east with their frozen waterways might soon being looking west with an envious eye. Unfortunately, the figures in the 2014 report are old — way back to 2008 — and that’s the first year of the amalgamation of the Port of Vancouver, the Fraser River Port Authority and the North Fraser Port Authority from January 1, 2008.

Lower Fraser proving an economic powerhouse these days

The Fraser River with Fraser Surrey Docks on the south shore.

30 BC Shipping News March 2015

significant economic driver in the future. However, the Lower Fraser faces a number of key challenges.” The report concludes with a “call to action” to ensure future sustainability in face of these challenges which it says include a variety of issues from flood prevention, rising sea levels, maintaining navigation and deepening the sea channel, to co-ordinating the multiple stakeholders and stewards of the river. For some, it’s the last challenge mentioned that has them pulling their hair and wondering if the PMV would rather concentrate on their core business of ships, cargoes and earning revenues for the province and Canada. With a likely back-to-back record year in 2014, or close to the 135 million tonnes shipped in 2013, who can blame them as they focus on the growth and success of Canada’s major export port?

Headaches

But, with the responsibility for the operation and development of the assets and jurisdictions of the three port authorities — and gaining control over the ocean end of the longest river in British Columbia (the Fraser sources near Mt Robson and runs westward for 1,375 kilometres, gaining strength from some 41 tributaries along the way) — comes some headaches that Port Metro Vancouver would possibly rather not deal with and is opting out where it can. With the Fraser River Port Authority and the North Fraser Port Authority mere memories now, the pesky problems

FRASER RIVER of water lots, dredging, flood prevention, debris removal, and a yearly silt and sediment run of 20 million tonnes may be seen by PMV as lesser matters. While PMV has taken on projects such as the Habitat Enhancement Program and the Fraser River Improvement Initiative, there are issues that are not going away anytime soon. Take water lot leases, for example, and there are hundreds of them on the river. Keen to get out of the fuss of managing water lot leases, PMV decided not to renew two Fraser River head leases with the Province after their expiry on December 31, 2014. As well, around 320 sub-tenures (with over 200 tenants) issued by the port authority under those head leases expired at the same time.

New landlords

In letters dated January 20, 2014, the controlling agents for the Province —the Ministry of Forests, Lands and Natural Resource Operations — advised lot holders that the Province would be assuming the responsibility for their tenures from the port authority and provided details as to how tenants could apply for new provincial tenures, which would begin on January 1, 2015. Tenants were required to submit applications under the Provincial Land Act for tenures starting from January 1 this year including a management plan, mapping, completion of an application form and application fees. Just before it opted out of the water lot lease business, PMV set “market rates” for the tenures, which upset some lease holders who saw their annual rent go up by as much as 300 per cent. Renewals are being offered now for two years, making it difficult, if not impossible, to finance any expansion or upgrades in the meantime. PMV Vice President of Real Estate Tom Corsie says 99 per cent of submerged land on the river is generally deemed to be Crown Land and the decision to opt out of the water lot leasing business by the port authority was because it was considered “not that strategic” to their core goals that are focused on international trade. Unfortunately, the Province had not completed negotiations with local First Nations by the time of the handover and now lease holders have been given this task on an individual basis — something for which many are not well equipped. Corsie says the costs of the leases were going up whether under port or provincial control because of the shortage of industrial land — something PMV President & CEO Robin Silvester lamented last

Add your voice to the...

General Commercial User Group We are: • a non-profit association for indivduals and small to medium-sized businesses who are lease or permit holders within Port Metro Vancouver’s jurisdiction; • an information resource and a member of the PMV nominations committee; • a network for people with common interests; • an advocate for government initiatives and policy. #29-3871 River Road, West Delta B.C. V4K 3N2 www.generalcommercialusergroup.com E: info@generalcommercialusergroup.com

maritime and commercial law on canada’s west coast Nevin Fishman Mark W. Hilton Katherine A. Arnold James Vander Woude

W. Gary Wharton David K. Jones Connie Risi Joanna R. Dawson

Peter Swanson Catherine A. Hofmann David S. Jarrett Megan Nicholls

Thomas S. Hawkins Tom Beasley Russell Robertson

associate counsel: Lorna Pawluk tel: 604.681.1700 fax: 604.681.1788 emergency response: 604.681.1700 address: 1500–570 Granville Street, Vancouver, BC, Canada, V6C 3P1 web: www.bernardllp.ca

March 2015 BC Shipping News 31

FRASER RIVER for every water lot lease as they are so varied and their land use diverse. There are also unresolved issues to sort out such as fill and erosion problems and a tangle of property boundary contentions.

>>> ...many properties with lesser capabilities and uses are in the same pot with the likes of more complex bulk fuel operations in a “one price fits all” scenario.

Not so smooth

Meanwhile, the waters are not smooth on other fronts either. Recently, the City of Richmond heard a call from staff urging other municipalities dealing with Port Metro Vancouver with its federally-inspired power and authority to form a coalition to ask Ottawa to establish clear port policies on consultation, environmental management, and dispute resolutions. One city staffer commented that “the deck is really stacked against municipalities” with PMV on one hand running like a private business, but on the other hand, “when it is convenient,” falling behind federal legislation for protection, making it difficult for cities like Richmond to challenge. Port Metro Vancouver’s long-term land use plan through the next 15 to 25 years, which was updated and released last November, has earmarked about 100 hectares of agricultural land in Richmond (in and around the Fraser River delta) for potential future development. Richmond’s General Manager of Planning & Development, Joe Erceg, isn’t enamored with the way PMV is presently operating. “Consultation has become a formality,” he has been quoted in the local press as saying. “It’s token, it’s after-the-fact, there’s less of a partnership.” He believes “if you connect the dots, it’s a reasonable assumption the agricultural land will be lost down the road.”

November in a speech to the Vancouver Board of Trade when he repeated his call for the creation of an industrial land reserve, noting the serious threat posed to the national and local economies by a shrinking industrial land base in Metro Vancouver. An independent consultant looked at the “market value” lease rates set by PMV before it exited the business and generally backed up the port’s figures, which were adopted by the ministry.

Far from happy

That wasn’t good news to tenant holders such as Michael Owen, who owns a 28-float home and marina operation known as Ladner Reach. He also represents a General Commercial Users Group of about 350 stakeholders on the Fraser River and many are far from happy with recent developments. Owen contends the market-rate method of setting rents is “grossly unfair” as many properties with lesser capabilities and uses are in the same pot with the likes of more complex bulk fuel operations in a “one price fits all” scenario. There’s also a requirement for $10 million insurance on each property. “We need to find a formula that works for all,” he insists. “Port Metro Vancouver made some side accommodations to some tenants but not to all.” He says there shouldn’t be one price per acre

Photo courtesy Port Metro Vancouver

Nearby issues

Mitchell Island.

32 BC Shipping News March 2015

Across the river in Delta, opponents of port expansion fear that PMV and its land use plan may end up creating a much bigger man-made island at Roberts Bank than most people realize. The home of Westshore Terminals since 1970 and Deltaport since 1997, the man-made Roberts Bank is the future site of a second, independent container terminal known as Terminal 2. While it’s not on the Fraser River, it is close enough and in the new land use plan that the water on both sides of the five kilometre causeway to Roberts Bank from the shoreline of the Tsawwassen First Nation to the existing terminal, as well as the future Terminal 2, are designated as “Port Marine/ Port Water,” a new designation that changes a previous “Special Study Area.” Port Metro Vancouver is doing additional studies, consultation and planning to determine the future use of the lands in question but local Delta South MLA Vicki Huntington is convinced a massive island will be created if the port gets its way. Other critics see a “massive industrial hub” being built at Roberts Bank and surrounding lands. Surprise, surprise. Do the research. That was the original plan almost 50 years ago when Roberts Bank was created for the National Harbours Board and explains the holding of backup lands to support the port development. These are not smooth sailing days for Canada’s major port, whether it be the complex and ever-changing Fraser River issues, or simply the battle to provide sustained export and import services for a hungry and growing Canada. Stay tuned. Ray Dykes is a journalist who has worked his way around the world as a writer / photographer. Ray can be reached at prplus@ shaw.ca.

FRASER RIVER PROFILE Experience and innovation – keys to progress A look at Fraser River Pile & Dredge (GP) Inc.

here are not many companies that can trace their roots back over 100 years — and fewer still that can claim to be on the leading edge of innovation when it comes to increasing efficiencies or developing new technologies and methods that meet today’s high environmental standards. Fraser River Pile & Dredge (GP) Inc. is one such company. Our curiosity in the company was peaked when the FRPD 309 sailed past us on a visit out to Garry Point in Richmond, B.C. A quick trip to FRPD’s website for details on the “trailing suction hopper dredge” turned into a lengthy perusal of the company’s history, its fleet, and its advancement of modern methods for an age-old activity.

Company’s history traces the growth of B.C.

Pick any structure on the B.C. waterfront and chances are FRPD played a role in its construction. Early records dating back to 1912 give a glimpse into the kind of jobs completed: a “massive” new dock with 3,500 piles at New Westminster; a North Vancouver ferry landing; wharves at the BC Penitentiary and Stanley

>>> Pick any structure on the B.C. waterfront and chances are FRPD played a role in its construction. Park; piles and wharf at Nanaimo; and the Grand Trunk Pacific dock at Prince Rupert. More recent projects include the expansion of Canada Place in 2000, Seaspan’s Modernization Project for Vancouver Shipyards in 2013, and multiple ferry terminal rebuilds from Tsawassen to Prince Rupert. Beginning in 1911, when Perley Jones, Stanley Simpson, and Charles Harding left W.A. Gilley Pile Driving to start Fraser River Pile Driving, the company’s history traces the growth of British Columbia’s waterfront and the increasing importance of sea-borne trade. More than that though, the evolution of technology and operating practices provides insight into the modernization of the waterfront’s infrastructure. “In 1911, they were basically spending their time building skid rigs for steam driven pile drivers. The next evolution was diesel powered winches then air and diesel powered hammers, then hydraulic

hammers, etc. “As the years went by, the partners continued to grow and expand their expertise and materials started to change to steel and concrete piles. They bought their first derrick in 1959 which gradually led them into dredging,” said current President & CEO Tom Lively. In the early years following incorporation of the Fraser River Pile Driving Company Limited in 1915, the company built a solid reputation for their expertise with bridges, docks and ferry landings. From a small office on Clarkson Street and a bit of space on the waterfront in the 300 block of Front Street in New Westminster, Jones and Simpson (Harding left the company prior to 1915) won contracts that would see repeat business over the years — reclamation projects in the Fraser Valley, jobs for the Canadian Navy at the HMC Dockyard in Esquimalt, and ferry landings for the Department of Public Works (now, of course, falling under the domain of BC

Photo by Dave Roels (www.daveroels.com)

March 2015 BC Shipping News 33

FRASER RIVER PROFILE Ferries). By the late 1930s, the remaining partner, Perley Jones (Stanley Simpson departed due to illness in 1937) saw business boom through the 1940s and 1950s as mills, canneries, warehouse facilities and waterfront industries took advantage of government incentives to boost industry activity following the Second World War. Another notable boost came, unfortunately, in 1948 when B.C. experienced extensive flooding. It was during this time that Jones, last of the original owners, sold his shares to Jack Prevost, Peter Eckland and Ken Matheson. By the 1960s and 1970s, changes again were seen on the waterfront with the advent of containerization and requirements for new assembly wharves. The construction of Pacific Coast Terminals in Port Moody marked the first bulk-loading facility and Surrey Fraser Docks was being touted as the “most modern facilities available for handling all types of cargo…” And over the next 40 years, FRPD continued to add to its client list, its area of operations and its services: Vancouver ALRT and Canada Line, BC Place, Roberts Bank, Expo ’86, Reed Point Marina and Golden Ears Bridge were just a few of the projects and Kitimat, Texada Island, Prince Rupert and Port Alberni were just a few of the locations.

Fraser Surrey Docks — circa 1969. The old elevator can still be seen while the new docks are under construction.

Making a mark in the 21st century

While the name of Fraser River Pile Driving Limited had been changed to Fraser River Pile and Dredge Limited in 1987 to better reflect services offered, in 2008, following its acquisition by a private equity firm, the company was incorporated in Alberta and the name revised to Fraser River Pile and Dredge (GP) Inc. The new name recognized the company mergers, acquisitions and business structure alterations that had taken place over the years. Companies that had become part of the FRPD group throughout the 1990s and 2000s included Coast

FULL SERVICE REPAIR YARD

BC Ferries dock at Tsawwassen — over the years, FRPD has been involved in numerous terminal developments for BC Ferries.

330 Ton Marine Travelift Photos courtesy Fraser River Pile & Dredge

Welding  Electrical Repairs  Mechanical Repairs  Vessel Refits Painting and Sandblasting  Custom Steel and Aluminum Projects CSI Inspection Readiness  24 Hour Emergency Service

11580 Mitchell Road, Richmond  604-323-7402 www.ArrowMarineServices.com FRPD at work during the expansion at Canada Place in 2000.

34 BC Shipping News March 2015

Marine Tug and Barge, Construction Aggregates, MacKenzie Barge and Derrick, BC Forest Products, Harbour Heavy Lift and Centennial Dredging and Sand Ltd. to name just a few. Not only has FRPD’s scope of services and area of operations expanded to include project management jobs east to Halifax, north to the Northwest Territories and South to Chile, the company has been on the leading edge of developing new technology and implementing new methods that provide for greater efficiencies and better stewardship of the environment. President & CEO Tom Lively, who has been in the marine construction industry since 1982 and joined the company in 1994 before taking on the role of president in 2010, noted that FRPD’s fleet is in a state of constant maintenance and renewal. “We’re fortunate that our base of operations is in fresh water so degradation is a bit slower but we try to get as much out of the fleet as we can — our oldest piece is from 1962 but still is in excellent condition due to our maintenance program,” said Lively. “As processes change and new methods are introduced, we ensure our fleet is updated to incorporate these latest innovations.” One example Lively mentioned was in the dredging process and the use of the FRPD 309, acquired in 2012. “The 309 has pump-ashore capabilities which the Titan did not so we have the ability to eliminate the in-water transfer pit part of the process. Previously the sand had to be dumped into an underwater transfer pit and then pumped ashore using a cutter suction dredge.” Lively went on to describe other differences in technology between the Fraser Titan and the FRPD 309: “In addition to the pump-ashore capabilities, the way and speed at which it dredges and the electronic instrumentation onboard to measure how accurately and efficiently we’re dredging and off-loading has all significantly improved.” Another innovation — the bubble curtain system — was designed in-house by FRPD staff and implemented during the marine construction phase of the extension of Canada Place’s Cruise Ship Terminal in 2000. The system mitigates underwater shock wave overpressures created during pile driving that impact local fish and marine life. The method has since been adopted by the Army Corp of Engineers as a standard reference. “We’re very aware and sensitive to the environment,” Lively said. “For example, as part of our fleet renewal, we’ll look at replacing engines to meet lower emission standards or bringing in new technology — like the sealed environmental clam bucket — that is more effective for environmental dredging and remediation as well as cleaning up contaminants. And we’re always trying to mitigate our impact on the environment as much as possible.” As for the future, Lively notes that the company continues to grow and look for new opportunities — both in terms of geographic reach and additional opportunities such as the oil sands or LNG terminal construction. FRPD has also recently expanded into the drilled pile business and now has the capability to drill piles from 450 mm diameter to 1500 mm diameter on land and water. “Drilling is one of those aspects of this business that requires a strong commitment — you’re either in it and build your assets accordingly, or you’re not,” he said. Given the innovation, experience and ingenuity shown over the last 100 years, it’s safe to say FRPD will be around for another 100! BCSN

Photo: Dave Roels

FRASER RIVER PROFILE

Your donation will help us “Save Lives at Sea” Email: info@canadianlifeboatinstitution.org

www. canadianlifeboatinstitution.org Registered Charity #88999 8977 RR0001

March 2015 BC Shipping News 35

BARGES

Barges 101 It’s still like pushing a brick through water but there have been some interesting developments By Mark J. Mulligan P. Eng., FEC

Partner, Senior Naval Architect Capilano Maritime Design Ltd., North Vancouver, B.C.

ike us, barges come in all shapes and sizes and work at many different purposes. They range from a simple punt to very specialized heavylift, ocean-going barges. In very general terms, a barge is a sealed vessel of very full form and a simple rectangular shape. Again, in very general terms, a barge has no machinery on board, being loaded and unloaded by shore‐based equipment and front‐end loaders. Finally, barges can either be towed or be pushed.

Barge types

which has led to a major new building program over the last 10 years. hatches. These barges are definitely only for river or harbour work as their lack of longitudinal strength would result in them simply folding up in a seaway. A most interesting variation on the hopper barge is the split hopper barge designed to transfer waste material, or spoil, out to a dumping ground. The two halves of the hull are hinged and held together via a pair of hydraulic rams. The fundamentals of these barges types are: • Long parallel mid body for maximum cargo capacity • Simple repetitive structure • Below deck void spaces sealed tight with no venting or internal piping. As can be imagined, with all below deck compartments (or voids) sealed tight, it is rather difficult to sink a barge, but with all the cargo carried above the main deck, they may be more prone to capsize.

a spoon or ship‐shaped bow capable of extended ocean voyages. Yet a further development of this class of barge is the very specialized submersible barge capable of lifting oilrigs, dredges, and other awkward floating structures for long distance ocean transits. Barges can also support cranes, pile drivers, and other construction equipment. Oil and chemical barges are complex and are the exception in that they carry their cargoes below deck and generally provide their own pumping system. As of this year, all oil barges are to be double‐hulled which has led to a major new building program over the last 10 years. A double-hull barge will have an inner double bottom that is sloped to aid in drainage to a sump where the suction pipe is located. Probably the most numerous of all the barge types is the simple hopper barge designed to carry bulk cargoes in open

Structure

Photo courtesy Mercury Launch & Tug Ltd.

The simplest vessel would be the flat‐ deck barge, or scow. These vessels are invariably rectangular in shape with scow bows and with a block co-efficient well over .90. They are designed to carry a variety of cargo on deck from general supplies for isolated camps or communities to giant blocks for offshore installations. The next step up in complexity would be the scow with box walls designed to carry bulk cargoes. A good example would be the numerous wood‐chip barges which ply our West Coast. A further development of the bulk barge with box walls is the larger sea‐going vessel with

>>> As of this year, all oil barges are to be double‐hulled

A good example of an 86M heavy deck barge fully loaded

36 BC Shipping News March 2015

Figure One shows the typical midship section of a heavy‐deck bulk barges’ internal structure. The section shown illusttrates the heavy deck, two longitudinal bulkheads and pillars suporting three longitudinal girders. Heavy brackets at the side shells and bulkheads have eliminated the need for diagonals. Virtually all barges are longitudinally framed due mainly to their long parallel mid body. This direction of framing greatly aids in maximizing the barges longitudinal strength and simplifies construction. During the design period,

BARGES Developments

Figure One — A typical midship section of a heavy‐deck bulk barge’s internal structure.

very special attention is given to designing the main deck so as to give the vessel the maximum required deck strength. The fore and aft rakes are designed to give a reasonable towing speed and sea‐ keeping ability within the constraint of

maximizing the barges’ carrying capacity. Box walls are vertical structures that are mounted at the deck edges of the main deck so as to allow maximum cargo deck area while allowing reasonable walkways down each side.

As can be imagined, developments in design of barges come slowly, but there have been a number of them. Barge shape — The length-to-breadth ratio of four‐to‐one and a breadth-todepth ratio of again four‐to‐one have been proven, over time, to give a good barge design and is a good place to begin with a new design. Skegs — Skegs are appendages added to the the aft rake to give the barge directional stability. Skegs have traditionally been either canted plates or banana‐ shaped appendages added to the aft rake to create drag (or parachute) effect. The latest designs now utilize side shell skegs, whereby the side shell plating is extended right to the stern, which has been found to give greatly improved directional stability coupled with reduced drag. Bow and stern rake radii — A good number of years ago, damage immediately aft of the forward and aft rake radii was noticed in older wood‐chip barges. The damage was determined not to be corrosion but erosion caused by cavitation. This damage showed us that the

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March 2015 BC Shipping News 37

BARGES

Photo courtesy Ledcor Resources & Transportation LP

Photo courtesy Marc McAllister

New Ledcor wood chip barge.

It’s considered that barges are very hard to sink...but there are exceptions.

existing radii on these barges were too tight. The latest designs on all sizes of barges with scow bows has been completed with increased radii both fore and aft eliminating separation and cavitation and giving a marginal increase in loaded towing speeds.

Wood sheathing, asphalt, and even concrete have been tried to strengthen the decks of existing barges but all have proven to be only stopgap measures. New deck designs use heavy deck plates of 16, 19, or even 24mm in thickness combined with heavier longitudinals in the 170 x 125 x 12 mm range. It has been found that deck longitudinals fail under impact or excessive loading by tripping which then allows the deck plating to dish giving, in time, the main deck to take up a starved dog look. An effective answer to this failure is to add carlins of 150 x 10mm flat‐bar plating transversely at the half span of the longitudinal.

Deck strength The most convenient means for offloading a bulk barge is via a front‐end loader running over the main deck to dig into the cargo. These loaders have grown greatly in size over the years, hence greatly increasing the load on the main deck.

FOR SALE

MV Coastal Runner

Aluminum Passenger Ferry Listing # CV266 / $298,000 OBO Built in 2008 by Sylte Shipyard, Maple Ridge, B.C. • Seating capacity: 65 people plus 3 crew • LOA: 65 feet / Beam: 12 feet • Tonnage: 43 gross tons • Speed: 23 Knots approx. (reported) • Power: Daewoo Diesel – 480hp

Remarks: This vessel is reported in very good condition. This is an exclusive listing with Harlow Marine. For an immediate inspection please call our office at 604-530-2657.

38 BC Shipping News March 2015

Slamming areas On scow‐bowed barges, damage that was noted on older barges has now directed attention to the slamming areas forward, immediately aft of the forward rake. This damage can occur when towing empty barges in a seaway noting that coastal barges are rarely fitted with ballast tanks. Heavier bottom plating, coupled with intermediate transverse frames, satisfactorily strengthen these areas.

Side shell fendering Traditionally, side shell fendering such as 10” x 10” wood strips, face‐in angles or half pipe added longitudinally to the side shell have been applied to provide suitable fendering. Time has shown that these devices rot or crack and allow seawater to collect against the side shell plating inevitably leading to corrosion and eventually serious leaking. Newer barges have now eliminated these appendages and by increasing the side shell plating thickness over the wind and weather areas of side deck and shear strake, have effectively eliminated the need for fendering. Finally, a most interesting development in barge design has been the progress in introduction of the Articulated Tug and Barge (ATB) combinations into coastal and open water transportation. These combinations provide better control of the barges, both underway and when docking, as well as increased speed and somewhat better comfort for the tug crews. Mark Mulligan P. Eng., is a partner and the Senior Naval Architect with Capilano Maritime Design Ltd., a North Vancouver-based full service naval architecture and marine engineering design firm. After receiving an Honours Degree in Naval Architecture from the University of Strathclyde in Glasgow, Scotland, Mark has spent his career working on board and designing vessels for various sectors including offshore oil, tug and barge and ferries. He can be reached at mmulligan@capilanomaritime.com.

ENERGY TRANSPORT ENERGY TRANSPORT Planning Eldorado:

TERMPOL — Hoops and hurdles, or battle of facts? By RAdm Nigel Greenwood, RCN (Ret’d), Vice-Chair Nautical Institute BC Branch

dvance to engagement

>>> Is TERMPOL now a rigorous, fair and balanced process? Or is it just a broadside of facts, in which the proponents’ “weight of fire” easily overwhelms the opposition? changing Canadian legislation respecting navigable waters, pollution and the environment. The latest of these revisions was in 2001. Throughout, the TERMPOL has maintained a focus on the integrity of the ship’s hull and cargo containment systems, while being gradually extended to consider wider risks and mitigations associated with the ship’s passage in and out of coastal waters. In the latest version, this has included consideration of impacts of increasing traffic levels on coastal traffic and communities. A number of criticisms have been leveled at the TERMPOL process. Various critics have alleged that is: informal; voluntary; secretive; industry-led; toothless; and lacking in (adequate) public

Photo courtesy of Enbridge Northern Gateway Project

Even as the economic foundations for new or enhanced energy shipments from B.C. waters seem to tremble under the opposing pressures of depressed oil prices and the haste to compete in a shifting global market, enormous effort continues to be spent in cross-checking operational and environmental viabilities. For the purposes of the upcoming NIBC conference on Maritime Energy Transport, some of the most technically interesting aspects of this effort are documented within Transport Canada’s TERMPOL (“Technical Review of Marine Terminal Systems and Transshipment Sites”) process. The TERMPOL process originated in the 1970s as a result of some spectacularly noteworthy tanker accidents. The infamous Torrey Canyon sinking on the Cornish coast in 1967 was followed by the Chedabucto Bay grounding of the Arrow in 1970, thus bringing a global problem to Canadian shores. Subsequent deliberations by an interdepartmental committee led to the initial TERMPOL in 1977. TERMPOL is now an established process, answering a public concern for demonstration of prudent examination of proposals in order to recognize and mitigate risks. But this is not to say that TERMPOL is without critics. Is TERMPOL now a rigorous, fair and balanced process? Or is it just a broadside of facts, in which the proponents’ “weight of fire” easily overwhelms the opposition? This article will surely not answer these questions to everybody’s satisfaction, but it attempts to give a sense of the process, and the diligence of various proponents in documenting their marine risks.

consultation. Further criticisms point out that it applies only to hydrocarbon/ chemical shipments (and not increased container traffic, for example) and only for new berths. Some of these objections speak to individuals’ expectations rather than to Transport Canada’s (TC) intent. TERMPOL is explicitly not a regulatory instrument. It is a voluntary, informal (although very detailed!) process whereby proponents work with relevant government agencies to identify risks and appropriate mitigations within the framework of industry best practices and existing regulation. It is conducted in an “industrially confidential” manner until TC’s review of the proponent’s submission is complete and

Forming line of battle?

Since 1977, TERMPOL has undergone a number of revisions to accord with

How much study can make the risks real, recognizable and manageable?

March 2015 BC Shipping News 39

ENERGY TRANSPORT published. Increasingly, this has included voluntary public engagement, as was the case in Trans Mountain Pipeline’s 44 information sessions associated with their TERMPOL between October 201213. This much is only good business. Transport Canada’s guidance is clear that the TERMPOL is not an end in itself; conduct of the process does not relieve the proponent of obligations for compliance with all of Canada’s existing statutes on shipping and environmental protection. There are plenty of separate regulatory processes of review covering these areas. Furthermore, management of the process by TC, the responsible agency for maritime safety and marine pollution response, means that serious risks revealed in the process can be addressed by new or amended regulation as appropriate. The result is a process that, despite faults, is comprehensive and weighty.

Heavy lifting!

The TERMPOL process commences with the constitution of the Review Committee (RC). This can include as many as six directorates of TC, the Canadian Coast Guard

(CCG) and Fisheries and Oceans Canada (DFO). The requirement for additional technical or regional perspectives could add as many as 10 more provincial or federal agency representative to the RC. Provision is also made for the gathering of relevant perspectives from the US Coast Guard in the case of passages crossing maritime boundaries (for instance, ships in Haro Strait inbound for Vancouver). Under the leadership of a chair appointed by the Director General Marine Safety, the RC determines with the proponent which studies are required to cover the issues pertinent to that proponent’s project. After review of the proponent’s submissions, the RC then compiles a review report to summarize the scope of the project and to highlight the identified risks and mitigations. Subsequent to approval by the contributing agencies, the report is forwarded to the proponent and made available to the public. The largest part of the TERMPOL direction (TP743E) is reserved for the outlining of various studies and surveys potentially required. There are 18 of these, ranging from ships’ specifications

to terminal operations, from route surveys and special under-keel clearances to casualty data plans, general risk analyses and contingency planning. The particular combination of reports is determined according to project nature and scope. TP743E provides for each of the possible surveys the specific objectives, suggested sources of information, particular expertise and applicable methods of data analysis. Where applicable, relevant regulation is cited for compliance. Otherwise, the direction lays out required elements of the survey. In the case of the Route Analysis, Approach Characteristics and Navigability Survey, for example, there are 12 specific components; the Cargo Transfer and Transshipment Systems survey has 20 separate elements. While there is some overlap between surveys, the combined effect is a report of exceptional volume and detail. For example, the 16 TERMPOL studies in just Volume 8C of Trans Mountain Pipeline’s website of Facilities Application data (the other volumes capturing responses to other regulatory or consultative process) total 2,659 pages.

Securing a bright future Westshore Terminals – North America’s busiest coal export terminal – is amid a five-year, $270 million project to make it even better. As we work to secure a bright future over the next few years we will:

• Build a new office, workshop and employee complex

• Replace three of our four stacker-reclaimers

which both stockpile and reclaim coal on our site

• Replace our largest shiploader at Berth 1 • Install additional dust suppression systems For our customers it will mean they can plan for the future with confidence. We will have new equipment and increased coal stockpile capacity without increasing our site footprint. Every tonne of coal from train to vessel will be handled more efficiently and with improved environmental safeguards. The changes will not come without challenges as we are a busy terminal. However, the results will prove worthwhile for Westshore and its unitholders; to our customers; and to Canada in increasing coal export revenues, and productive jobs.

www.westshore. com

We’re taking time to do it right 40 BC Shipping News March 2015

ENERGY TRANSPORT

Precision and weight of fire

So how effective is this balance, and what kind of detail is mustered in support of the proposal? Clearly there is a massive amount of information collated in the TERMPOL process, but how precisely does it target the key issues? The answer to these questions can be one of perception. For example, to put this in context of Trans Mountain’s TERMPOL (readily available on their website): approximately 480 pages deal with Route Analysis and Traffic; about 300 pages cover meteorological and oceanographic factors; and almost 240 pages address Casualty Data and General Risk Analysis. Against this, over 1,200 pages are devoted to various studies modelling oil spill propagation and response plans. This distribution of

Photo courtesy of Pacific Northwest LNG

The compilation and analysis leading to such massive data collection requires the co-ordination of large teams of specialists. This typically includes experts in ship-handling and simulation, consultant engineering firms, environmental analysts and oceanographers, and specialists in risk assessment. Two key studies involving the latter are the Casualty Data Survey (TERMPOL 3.8) and the General Risk Analysis and Intended Methods of Reducing Risks (TERMPOL 3.15). These two elements in particular usually involve the expertise of companies with global experience in the management of shipping risks, such as Det Norske Veritas or Lloyd’s Register. Of course, Surveys 3.8 and 3.15 are not the only sections of the TERMPOL that deal with risk. Every part of the TERMPOL weighs contributing factors against mitigating strategies.

Every aspect of the process anticipated, modeled, and simulated

effort could be taken to suggest the balance of risk, or it could merely reflect due diligence to the most probable occurrence, even if this is only remotely likely. The Enbridge Northern Gateway Pipeline (ENGP) project is also well-known to be advanced in the application and review process. Their wealth of TERMPOL reports are available on the National Energy Board’s Regulatory Document Index, accessed through the Joint Review Panel site. The former site covering ENGP’s TERMPOL contains 18 separate studies, 15 files representing a Technical Data Report (TDR) on maneuvring tankers with tug escort, and an additional 10 TDR on various risk, environmental, and contingency issues. The full remit of ENGP’s application runs to 215 folders each containing two to 43 items, thus dwarfing the TERMPOL studies. There is clearly a lot of horsepower being applied to steer this “supertanker” of a project!

March 2015 BC Shipping News 41

Photo courtesy of Enbridge Northern Gateway Project

ENERGY TRANSPORT

Pulling hard to keep this ship on course…

It would be fair to ask at this point if there is any aspect of the proponent’s project that has not been subject to intense scrutiny. I would guess not. The scope of the TERMPOL process, as revealed in the couple examples cited here and readily available to the public, is both exhaustive and microscopic. Not only is the project completely detailed, but the environment has been documented in a way that advances our overall knowledge of the coast. The extraordinary wealth of bathymetric, oceanographic, meteorological, zoological and marine-use data captured in the various TERMPOLs amounts to an almost unprecedented scientific evaluation of our watery margin. In addition to the studies detailing the broad environmental context of the proposed projects, the modelling of ship behaviours and ship-handling techniques contained in the TERMPOL reports provides a fascinating insight into the scientific rigour being applied to the modern execution of traditional seafaring skills. This alone should be enough to encourage interested individuals to examine for themselves the incredible work of the TERMPOL authors.

Join the discussion

Is the TERMPOL process enough to foresee and forestall every harmful potentiality of increased energy shipments on the B.C. coast? I would not make this assertion, nor I believe would any prudent individual. However, this process (along with the other regulatory requirements) goes as far as anyone reasonably can to resolve key issues in what can never be a truly zero-risk enterprise. How close to “zero-risk” the energy transport business becomes in B.C. waters is a function of engaged and informed debate which understands the motivations and capabilities of industry while respecting the concerns of coastal inhabitants. This therefore is the objective of the BC Branch of the Nautical Institute’s May conference: to foster this debate in a climate of professional exchange and collegial engagement. “Maritime Energy Transport: Today and Tomorrow in the Pacific NW” will take place in Victoria, May 7-8, 2015. Further information, registration, or sponsorship opportunities are available at www.nibcconference2015.com. RAdm Nigel Greenwood, RCN (Ret’d) is Vice-Chair of the NIBC. He consults in maritime risk, safety and security under the banner of GreenwoodMaritime.com

42 BC Shipping News March 2015

MARINE ENGINEERING Exciting program in store for Mari-Tech 2015 attendees in Vancouver

he 36th annual Mari-Tech Conference & Exhibition drops anchor in Vancouver, B.C. from April 8 to 10, 2015 at the Hyatt Regency. This year’s theme, Changing Tides…the Pacific North West, celebrates the constantly evolving marine technology industry. With an outstanding speaker program and a full exhibition area, the Mari-Tech 2015 Conference & Exhibition is capturing the attention of marine industry leaders and colleagues alike.

Keynote speaker spotlight

Mari-Tech 2015 is excited to announce that Mike Corrigan, President and CEO of BC Ferries, is the opening keynote speaker. Prior to taking on the leadership role, Corrigan was COO of BC Ferries and responsible for creating and leading the company’s SailSafe program — a joint initiative with the BC Ferries Marine Workers’ Union — that established a

“just” safety culture throughout the company. Prior to his work with BC Ferries, he worked in senior roles with Westcoast Energy in both British Columbia and Ontario. In his early years, Mike played professional hockey in the Detroit Red Wings organization for four years and during his junior hockey career won a Memorial Cup in 1980 with the Cornwall Royals. With a reputable background in marine safety and business development, Corrigan has a repertoire of knowledge within the changing tides of today’s marine industry unlike any other.

Agenda

The Mari-Tech 2015 organizing committee has developed an agenda that will be of great interest to the marine industry. Tanker safety of the Pacific Coast — Moderated by Peter Bernard, Q.C.,, retired Maritime Lawyer from Bernard LLP, this session promises to provide a well-rounded

Mike Corrigan, President and CEO, BC Ferries is the keynote speaker at this year’s Mari-Tech.

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March 2015 BC Shipping News 43

MARINE ENGINEERING

Sure to be a dynamic discussion, panel members of the Tanker Safety session include (left to right): Robert G. Allan, Dr. Lance Barrett-Lennard, Peter Bernard, Captain Stephen Brown, Captain Brian Falconer , Captain Kevin Obermeyer, and Karen Wristen .

look at the issue of tanker safety. In addition to Bernard, Robert G. Allan (Robert Allan Ltd.), Captain Stephen Brown (Chamber of Shipping of British Columbia) and Kevin Obermeyer (Pacific Pilotage Authority) are joined by Karen Wristen (Living Oceans Society), Captain Brian Falconer (Raincoast Conservation Foundation) and Dr. Lance Barrett-Lennard (Vancouver Aquarium). Shipping noise and its potential impacts on marine life — speaker Kathy Heise began her involvement in cetacean research over 25 years ago as a lightkeeper, listening for the sounds of killer whales using a permanently-mounted hydrophone. As a Research Associate at the Vancouver Aquarium she works with colleagues to study how dolphins use echolocation to find and pursue prey and to detect and avoid underwater hazards. Preventing the spill: Tugs for tankers — who better but a representative from Robert Allan Ltd. to lead a discussion on escort tugs. Mike Phillips, P.Eng., Naval Architect, has extensive experience in design and vessel powering predictions. West Coast marine industry in support of HMCS Corner Brook incident — Ron Ogoneik (Babcock Canada) and Jocelyn Turgeon (Department of National Defence) provide an overview of the work done to bring the submarine back to service after it crashed off the coast of B.C. in 2012.

Survival of the fittest: The challenges for today’s modern shipyard — With the shipbuilding industry facing a highly competitive market — from low labour costs in Asia, to local competition that leads to squeezed and diminished profit margins, today’s shipyard must excel in all areas of planning, design, engineering and manufacturing to be able to compete. Heiko Oldendorf, Free D Graphics, tells Marit-Tech attendees how to do this. Benefits with energy storage in LNGoperated Ice Breaker — ABB Marine’s Jan-Erik Räsänen is an expert in the field of energy efficiency and marine energy solutions. His discussion promises to provide the latest trends in LNG and overall fuel consumption. Dynamic requirements of vessels and challenges of integrating LNG and hybrid systems into the new Seaspan ferries — John Fowlis, Vice President, Fleet Maintenance, Seaspan Marine, is responsible for managing and planning the repair and maintenance budgets for Seaspan’s fleet of tugs and barges. Additional presentations include: • Tier III technologies for large bore diesel engines — presented by Les Gingell, MAN Diesel and Turbo. • Canadian Europe Free Trade Agreement (“CETA”): Maritime matters — presented by John Bromley, Bull Housser LLP.

Gold sponsors already signed up for Mari-Tech 2015 — April 8 to 10, 2015 at the Hyatt Regency Hotel in Vancouver.

44 BC Shipping News March 2015

• Enhancing performance, availability and reliability of shipboard equipment with ultrasounds — presented by Walter Vervloesem, IMCS Group. • Application of modelling and simulation methodologies to enhance naval survivability — presented by Maggie Nate, Alion Science and Technology. • LNG fuel competitive advantage and business case returns — presented by John Hatley, Wartsila.

Exhibits, networking and business development

In addition to the presentations, MariTech has a reputation for attracting topnotch companies to exhibit and sponsor. The list of sponsors so far is impressive: Gold Babcock Canada Cullen Diesel Power Ltd & MTU American Inc. Finning (Canada) Schottel, Inc. Seaspan Wärtsilä Canada, Inc. Silver CWB Group British Columbia Ferry Services Inc.

Special Sponsors Bruce S. Rosenblatt & Associates, LLC. & Ship Architects, Inc. Kongsberg Maritime Pictou Shipyard Robert Allan Ltd. Techsol Marine inc. & McRea Electric Vard Marine Inc.

And over 60 exhibitors have already booked their space within the Regency Ballroom at the Hyatt. A few sponsor opportunities are still remaining. For example, there is the Hotel Room Key Card sponsorship as well as the Table Cloth sponsorship — both innovative and creative ways to highlight company products and services. For information regarding sponsorship or registration, please contact MC@ creativerelationsplanners.com or visit the website at www.mari-tech.org.

CARGO LOGISTICS ENVIRONMENT Environmental insight

Green Marine expands its membership and scope By Manon Lanthier

Communications Manager, Green Marine

reen Marine started off the year by being in the North American spotlight as a finalist for one of the prestigious Lloyd’s List North American Maritime Awards. The program was selected from an international pool of nominees as one of six contenders for the Environmental Excellence Award scheduled for announcement in late February. On the West Coast and elsewhere in North America, the evaluation phase is in full swing for the many participants in the Green Marine environmental program. Canadian and U.S. ports, ship owners, terminals, shipyards and Seaway corporations are reviewing their 2014 environmental performance in significant detail. There are nine new members assessing their sustainability over the past year, bringing the total number of participants currently evaluating their performance to 90. “To receive their certification, Green Marine participants must each complete a specific process of evaluating, verifying and publishing their annual environmental performance results in accordance with our certification policy,” explains David Bolduc, Green Marine’s executive director. “The detailed process ensures the program’s rigour and transparency.” A positive upward trend continued in participants’ overall 2013 evaluation results based on a one-to-five scale, with Level 1 constituting regulatory requirements and Level 5 reflecting leadership and excellence. The average climbed to 3.1 from 3.0 a year earlier. The improvement was achieved despite stricter criteria, the addition of new performance indicators, and the inclusion of new participants. The organization is also in its continual process of evaluating itself. Green Marine’s advisory committees are reviewing the program’s environmental performance indicators to ensure they integrate upcoming regulations, as well

>>> Membership is steadily increasing. Green Marine has already welcomed five new participants in 2015... as improvements in feasible best practices and technology. GreenTech 2015 — set for May 27-29 in Seattle — will inform members of the latest research, innovation and direct success in minimizing the industry’s environmental footprint. Membership is steadily increasing. Green Marine has already welcomed five new participants in 2015, including Tidal Coast Terminals Ltd. in Prince Rupert, and the Port of Longview. The expanding membership builds upon 2014’s success in welcoming 11 new participants, 10 new partners, and the official endorsements of two new associations and two new supporters. In order to keep the program as easy to follow as possible, Green Marine has created distinct evaluation guides — one specifically for ship owners, another for ports and the Seaway corporations, and a third for terminals and shipyards. “The program is tailor-made for each major segment of the maritime transportation industry with not all of the performance indicators applying in the same way or at all in some instances,” said Eleanor Kirtley, Green Marine’s new West Coast program manager. “A tugboat operator, for example, doesn’t carry ballast water, and a terminal operator in a remote, industrial area won’t create the same community-related impacts as a port located in the middle of a city or a residential neighborhood.” Performance results will be made public during Green Marine’s annual conference.

GreenTech 2015: Sustainability at work

Registration is now open for GreenTech 2015, which will be held, as mentioned,

May 27-29 at the Renaissance Seattle Hotel. Green Marine is excited to hold its annual conference on the U.S. West Coast for the first time. The location within one of America’s leading port municipalities (nicknamed the Emerald City for all its greenery) is an ideal gathering place to share knowledge and expertise. The Certification Ceremony will take place at the Seattle Aquarium. Green Marine’s newest supporter plays a key role in marine research and conservation as the ninth largest U.S. aquarium. The aquarium strives to inspire environmental conservation in part through its commitment to operational sustainability. Recent accomplishments include the largest solar array on any West Coast aquarium and a 20-per cent reduction in its carbon footprint upon completion of eight energy-saving upgrades early this year. GreenTech 2015’s preliminary program is already on line and features topics of serious interest to all marine industry stakeholders. Key subjects include ship energy efficiency, underwater noise, and community relations. “This year’s program is packed with interesting speakers and offers a wider choice of breakout sessions,” says Green Marine program manager Françoise Quintus, who is co-ordinating the GreenTech program committee. GreenTech 2015 promises a balance between marine industry representatives sharing their thoughts on the specific topics and external points of view. “One of the sessions will focus on the tangible results from different case studies to showcase how sustainability can be achieved both aboard vessels

March 2015 BC Shipping News 45

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and within other day-to-day operations,” Quintus adds. Various companies have already booked their space for GreenTech’s annual commercial exhibition. The Green Marine conference has earned an enviable reputation in terms of networking, information-sharing, as well as access to the latest cutting-edge marine technology. Green Marine is inviting all of its partners, participants and supporters to be exhibitors at this key marine transportation event. GreenTech exhibitors share how new technologies and innovative partnerships make an environmental difference. The conference targets all companies and organizations involved in improving the marine industry’s environmental performance, with a particular focus on Green Marine members. Booths are still available but quickly filling up. More information and registration forms are available at www. green-marine.org/greentech. Seizing a key visiting opportunity, conference organizers have partnered with the Port of Seattle to offer conference delegates a cruise tour of the port facilities. The Port of Seattle has a lot to show as the 10th largest U.S. port in terms of TEUs and its smooth transitioning of 800,000-plus cruise passengers annually.

2015 priorities

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46 BC Shipping News March 2015

Many other projects are under way to expand Green Marine’s scope and recognition. After a strong recommendation by the West Coast Advisory Committee, the Green Marine secretariat has established a working group to focus on the new challenge of underwater noise. Canadian and U.S. experts have been invited to become a part of this working group. The purpose is to develop a new Green Marine performance indicator that works to minimize the cumulative impacts of underwater noise generated by commercial shipping and port activities on marine species, including marine mammals. The working group includes renowned scientists and the representatives of vessel owners, port authorities, research organizations, government and NGOs. Green Marine’s Secretariat will continue its efforts to recruit new members in Canada and the United States and to encourage key stakeholders to support this unique industry-driven initiative. All the activities in the busy year ahead fall within the spirit of year-over-year improvement at the heart of the Green Marine environmental program.

CARGO LOGISTICS CARGO LOGISTICS Another successful Cargo Logistics Canada conference

nce again, the organizers of Cargo Logistics Canada have outdone themselves in producing a firstclass event that attracted over 3,000 attendees for two days of informative sessions, great networking opportunities and a trade show that saw a steady stream of visitors.

Conference

Looking at the agenda of the conference, one was hard pressed to choose which of as many as six concurrent sessions to attend. Themes and topic tracks were well organized but each topic looked as interesting as the next and the high calibre of speakers promised a vibrant discussion from leaders in the field. With no less than 35 presentations and panel discussions over two days, attendees gained great insight into topics and issues such as global trade impacts and trends, mature supply chains, reverse logistics, compliance and security, green transportation and many more. Each session provided an opportunity to delve into subjects that were either directly related to a particular sector (for example, rail, ports, industrial real estate and warehousing) or allowed for an examination of trends (women in the supply chain or the evolution of environmentalism). There were sessions aimed at various regions around the world (Asia, Europe, North America) and others that focused on building personal strengths in areas such as negotiations and management skills. Overall, the agenda reflected the many different interests of conference guests and provided a great opportunity to hear from experts and join in on discussions that explored the many facets of the supply chain industry.

Tradeshow

This yearâ&#x20AC;&#x2122;s tradeshow surpassed numbers from the 2014 show for both exhibitors and attendees. With over 150 companies displaying their products and services, the flow of visitors remained steady throughout the entire two days with noticeable spikes during off-session times from the conference. Comparing this yearâ&#x20AC;&#x2122;s show to 2014, it was easy to see areas of expansion â&#x20AC;&#x201D; for example, more ports from across Canada were represented as were more air cargo companies and terminals. There was also a strong presence of manufacturers,

March 2015 BC Shipping News 47

CARGO LOGISTICS logistics management and software suppliers, educational and professional development organizations like APICS, the Van Horne Institute as well as government agencies with a stake in the smooth transport of Canada’s supply chain.

CLC Awards of Excellence

New this year and definitely of great interest to attendees was the CLC Awards of Excellence. Awards were presented in 14 different categories, including safety innovation, environmental sustainability, supply chain woman of the year, and industry vendors. “Recognizing individual and group accomplishments at CLC’s Awards of Excellence is just one way to celebrate the success of the supply chain sectors in B.C.,” said David Tyldesley, Show Director. “The recipients represent diversity, integrity, and excellence from across the entire logistics and distribution spectrum, and give us foresight into the bright future ahead for the industry’s local and national companies and leaders. Being the first time that CLC has held these peer-voted Awards, they are a recognition of impressive reputations built through years of successful collaboration.” While a full list of winners can be found at www.bcshippingnews.com, of special note, winners included Angela Talic from ILWU Canada for the Supply Chain Woman of the Year Award; UPS received the Freight Forwarder award and Austral Asia Line was voted best Maritime Cargo Provider. CN Rail received recognition as the Rail Cargo Provider and C&D Logistics was named best Third Party Logistics Provider.

Networking

It goes without saying that an event that attracts 3,000 people will have some very good networking opportunities and CLC 2015 exceeded expectations in this regard. From the Welcome Reception to the breakfasts, lunches and “happy hours”, it was a trick to run into the same person twice.

Next on the calendar

48 BC Shipping News March 2015

In late December, CLC announced a new show for the West Coast — Cargo Logistics America will take place in early December 2015 in San Diego. In 2016, CLC moves east and is scheduled for February 17 and 18, 2016 in Montreal. While an announcement isn’t expected for some time, it’s anticipated that CLC will return to Vancouver in 2017.

LEGAL AFFAIRS

Cross-border oil pollution By Thomas S. Hawkins

Maritime Lawyer in the Vancouver Law Firm of Bernard LLP

ship-source oil spill is messy at the best of times, but when it fails to respect national boundaries, the logistical and legal complications expand exponentially. Images of oil-soaked birds and coastlines resonate loudly with politicians, citizens and government agencies, never mind the media and certainly, there is the potential to cause significant harm to the marine environment. A shipsource oil pollution occurrence in the vicinity of national boundaries will be compounded by the vagaries of tidal currents, sea conditions, and weather and will impact where an oil spill will spread. Oil pollution impacting the marine environment has far-reaching national and international implications. While both Canada and the United States share co-operative agreements, treaties, joint action plans and common response strategies, there are enough differences in the regimes to warrant a review â&#x20AC;&#x201D; especially given the potential of an increase in tanker traffic through proposed projects like the Enbridge Northern Gateway Pipeline and the twinning of the Trans Mountain pipeline. This article will touch on some of the differences in the respective regimes and efforts toward transboundary co-operation.

U.S. / Canada pollution legislation

The close proximity between the U.S. and Canada at the 49th parallel and in the vicinity of Dixon entrance north of Prince Rupert creates challenges from a spill management perspective for both nations. The United States is not a participant in the international compensation regime which complicates the many legal and compensatory issues that arise from a cross-border oil spill. Participation by the U.S. in the international regime would provide claimants with a source of compensation for pollution damage to either country that would be largely

>>> A ship-source oil spill is messy at the best of times, but when it fails to respect national boundaries, the logistical and legal complications expand exponentially. reciprocal. Unfortunately, that scenario is unlikely. As it stands, Canadian claimants are unable to make a claim under the U.S. Oil Pollution Act (OPA) whereas American claimants are unable to claim for oil pollution damage under the international conventions in force under the Canadian regime. Notwithstanding this divergence efforts have been made by the respective American and Canadian governments to address the pressing need to improve trans-boundary oil spill response capability, co-ordination, and prevention. Two significant pollution incidents in the Pacific Northwest provided handson experience to U.S. and Canadian government agencies, response organizations, lawyers and experts in dealing with cross-border spills. Fortunately, the Pacific Northwest has been spared a significant cross-border spill for over two decades following the Nestucca oil barge spill in 1988 and the Tenyo Maru bunker spill in 1991. There have been several other notable oil spill occurrences on the coast including the New Carissa grounding in Oregon in 1989, the grounding of the Salendangauyu in Alaska in 2004 and, of course, the sinking of the Queen of the North in 2006 after running aground on Gil Island south of Prince Rupert. U.S. Federal Legislation was called an ineffective patch work until the 1989 Exxon Valdez oil spill in Alaska that led to enactment of OPA. OPA created a comprehensive prevention, response, liability and compensation regime dealing with oil pollution occurrences in the navigable waters of the United States. Increased

penalties and liabilities, together with establishment of an oil spill liability trust fund, were enacted. The U.S. Clean Water Act establishes a regulatory scheme directed to eliminate the pollution of waters in the U.S. The Act contains prohibitions against discharge of a pollutant that apply to foreign vessels in U.S. waters. At the state level, Washington has legislated with respect to environmental protection and the prevention of oil discharges by way of the Washington Revised Code. The Washington state law seeks to achieve the highest level of protection through technology, training and operational methods. Vessels are required to have contingency plans for oil spill clean-up and containment, and further requires foreign vessels to have evidence of insurance. On the other hand, Canada has typically been a supporter of most international conventions directed to the protection of the marine environment. As a general rule, ship-source oil pollution falls within Canadian Federal jurisdiction. Historically, Canada has taken a proactive stance at both the national and international levels regarding pollution prevention and protection. The Canada Shipping Act, (CSA 2001) is Canadaâ&#x20AC;&#x2122;s most comprehensive statute regulating shipping. Parts 8 and 9 apply to ships within Canadaâ&#x20AC;&#x2122;s exclusive economic zone and deal with pollution prevention and response. The CSA 2001 gives effect to many of the international conventions such as MARPOL. The CSA 2001 is applicable to pollution incidents, prevention,

March 2015 BC Shipping News 49

LEGAL AFFAIRS >>> Notwithstanding the significant differences...between the American and Canadian pollution legislation, the practicalities of dealing with cross-border oil spills has led to...various agreements and oil spill working groups. response, and offences and give effect to various regulations relating to oil pollution. Canada is a party to the International Convention and Oil Pollution Preparedness, Response and Co-operation, 1990 that requires Canada to be capable and prepared to respond to oil spills. Transport Canada set up a network of response organizations that are designated first responders. In 2008, Canada introduced an administrative enforcement tool applicable to pollution prevention through the Administrative Monetary Penalties Regulations. These regulations allow Transport Canada to impose administrative penalties for pollution violations, although with a maximum penalty of $25,000, they will typically be applied only in small spill incidents. In 2001, Canada enacted the Marine Liability Act to collect various shipping liability provisions into one statute. The compensation and liability provisions were moved from the CSA 2001 to the Marine Liability Act. The Marine Liability Act implements a number of international conventions bringing Canada in line with the international oil pollution regime. For instance, the Civil Liability Convention, the Bunker Convention, the

50 BC Shipping News March 2015

Fund Convention and its protocol are all implemented. Canada has a regime of compulsory insurance through the implementation of the foregoing conventions. Accordingly, for tanker spills effecting Canada, approximately $1.8 billion is available to compensate claims. An additional $161 million is potentially available through the Canadian Ship-Source Oil Pollution Fund. The protection of fish habitat from oil pollution is dealt with under the Fisheries Act. The Canadian Environmental Protection Act came into force in 2000 and is a wide ranging environmental legislation that deals with marine pollution. Recent amendments to the Migratory Birds Convention Act by Environment Canada have targeted ship-source pollution and provides strict enforcement powers to game officers. British Columbia, as Canadaâ&#x20AC;&#x2122;s West Coast province, has approximately 475,000 vessel movements per year. Oil tankers have been moving regularly along Canadaâ&#x20AC;&#x2122;s West Coast since the 1930s with most oil moved from the ports of Vancouver, Prince Rupert and Kitimat. In 2009, 8.4 million tonnes of oil were shipped out of Vancouver with a considerable quantity of oil transported by oil barges to communities along the

extensive coastline. While the Federal Government has jurisdiction in all matters concerning navigation and shipping, fisheries, and the sea coast, one piece of British Columbia legislation touches on marine pollution. The Environmental Management Act was brought into force in 2004 and contains provisions that prohibit the discharge of waste from a boat into any natural body of water except in compliance with a permit. Persons with possession, charge or control of polluting substances may be required to prepare contingency plans and such persons must report any spills.

Trans-boundary co-operative agreements and treaties

Notwithstanding the significant differences and complexities between the American and Canadian pollution legislation, the practicalities of dealing with cross-border oil spills has led to both Federal and Regional governments to enter into various agreements and oil spill working groups. One significant initiative is the Pacific StateBritish Columbia Oil Spill Task Force that involves B.C., the west coast U.S. states, Hawaii, and Alaska. The stated goal is to strengthen state and provincial abilities to prevent, prepare for, and respond to oil spills. Efforts are directed to facilitate communication and promote policy uniformity and improve prevention, preparedness and response through the sharing of information and ideas. The Task Force has targeted changing trends on the West Coast in regard to the transportation of oil and has identified trends toward heavier ship traffic and increased oil transmission pipeline throughput. The Task Force has continued to consider issues including emergency response tug availability, promotion of best industry practices for vessels and tank barges, and further oil spill prevention education. A co-ordination of meetings with Canadian and U.S. oil spill agencies continues as the Task Force tracks Canadian and American Federal pollution policy initiatives. Through mutual co-operation and discussion, a central co-operative arrangement between Canada and the U.S. dealing with protection of the environment from oil spills is the Canada-United States Joint Marine Pollution Contingency Plan. The Joint Plan provides for co-operation in responding to pollution incidents in the contiguous waters of Canada and the U.S. The Joint Plan addresses the obligation of co-operation in regard to expeditious

LEGAL AFFAIRS response, communication, provision of resources and appointment of a joint response team. Four geographical areas have been promulgated, one for the Atlantic, one for the Beaufort Sea area and two for the Pacific, (the northern and southern boundary areas). The inter-agency environmental emergency plans allow spill response agencies from various levels of government in Canada and in the United Sates to work together and to share ideas in spill preparedness, response, and prevention. It is recognized that trans-boundary spills may occur and therefore ongoing co-operative efforts are required to deal with the release of oil that may cause damage to the environments and stakeholders in both countries. The Oil Spill Task Force has reached other trans-boundary agreements and understandings including an incident command system that provides the framework for managing emergencies, and an oil spill reporting co-operative agreement to provide consistent oil spill reporting. A mutual aid agreement now exists so that Task Force members may be in a position to free up equipment for mutual aid. A spill incident data collection agreement provides that members of the Task Force will co-operate and participate in the exchange of oil spill data to expand the database on West Coast oil spills and facilitate information exchange. British Columbia and Washington entered into a marine spill prevention co-operative agreement that reflects the intention of the governments to facilitate increased co-operation in regard to oil spill prevention and response. The Joint Plan provides for joint United States-Canada trans-boundary exercises that include tabletop exercises and equipment deployment exercises. These exercises are directed toward the challenges of responding to a major vessel casualty leading to an oil pollution incident. The issue of compensation and response funding to the citizens located in the border areas between the United States and Canada is not straight-forward when considering the significant differences between American and Canadian compensation regimes. A detailed discussion of the comparative differences and ramifications is beyond the scope of this article. However, generally, in the U.S., claimants must show that the damage claim was caused by an oil spill, that the claim falls under OPA, and that the amount claimed is appropriate. There is little jurisprudence dealing with trans-boundary ship-source oil pollution claims, particularly as the two major spill cases discussed earlier were settled before trial. OPA places the primary burden of liability and cost of oil spills on the vessel owner responsible for the oil spill in U.S. waters. With respect to Canadian pollution damage claims in the U.S., OPA provides for claims by foreign governments and persons if they have not otherwise been compensated and if the recovery is authorized by a treaty or executive agreement between the U.S. and the claimantâ&#x20AC;&#x2122;s country by which the claimantâ&#x20AC;&#x2122;s country has certified that it provides for a comparable remedy for American claimants. Canada does not have such an agreement with the United States. In the result, Canadians are not able to file a claim under OPA notwithstanding the number of co-operative agreements and working groups in existence between the two jurisdictions. No recovery is available to an American citizen for pollution damage under the provisions of the Marine Liability Act. That is because, in Canada, the Marine Liability Act limits the recovery of pollution expenses to the Minister of Fisheries, the Response Organization, other persons in Canada or any person in a state other than Canada that is a party to the Civil Liability Convention.

Since the United States is not a party to the Civil Liability Convention, a U.S. citizen is limited to bringing a claim in Canada based on common law tort against a ship owner liable for oil pollution damage.

Conclusion

Although commendable efforts by all levels of the Canadian and U.S. governments have been made toward the need to improve trans-boundary oil spill response capability and coordination, limitations exist in respect to the respective compensation regimes and the impact they will have on claimants from both sides of the border affected by a trans-boundary oil spill. Although both countries have been fortunate that in the last 20 years there has not been a significant cross-border oil spill on the West Coast, increased tanker and ship traffic make an oil spill occurrence a future possibility. Both the Nestucca and Tenyo Maru spills were concluded by a way of settlements between the stakeholders and impacted governments, leaving both border countries without any legal treatment of the respective oil pollution prevention and compensation regimes in a cross-border spill occurrence. Any future spill that impacts the coastlines of both countries will bring these issues to the forefront and require not only co-operation but creativity in dealing with operational and legal issues that will no doubt arise. Thomas S. Hawkins is a maritime partner with Bernard LLP and has been involved in numerous oil pollution cases both operationally and in the court room. He can be reached at hawkins@ bernardllp.ca.

March 2015 BC Shipping News 51

SURVEYORS Surveyors’ diary

A review of notable events By Tim Ellis

DNP Marine Surveyors

n any given day, a marine surveyor will be inspecting, measuring, weighing and reporting on a wide variety of cargoes and vessels. Surveyor Tim Ellis, offers the following insights for BC Shipping News readers to gain greater understanding of the roles a surveyor can play.

Safe handling of bulk steel products

heavy lift vessel with two 180 MT cranes loading a 33M, 105 MT, moulded carbon-fibre moto yacht with 7,500 H.P. triple water-jets. Divers position the slings beneath her and she sits on steel shores welded to the decks and a further 40 or so 12 MT straps. Vessels like this one have a value in the tens of millions of dollars. The yacht’s metallic coating was said to have cost in the region of a half-million dollars.

Fresh produce – no margin for time delays

resh vegetable products loaded in Taiwan were delayed during additional port calls by the ocean-going vessel resulting in some spoilage despite the uninterrupted functioning of the temperature-controlled insulated container. Here is a balsam pear or bitter squash which is liquefying and beyond salvage. Up until quite recently, the internal temperature of these specialist containers was monitored by a temperature and humidity recorder relying on a paper chart. Now, shippers provide single-use disposable recording monitors which can be downloaded as PDFs upon discharge. Here, the marine surveyor is acting for the receiver.

52 BC Shipping News March 2015

n unstable stow requires stabilizing by insertion of logs alongside the open part of the stow. Once the void space is filled, the steel beams can be discharged and the logs can be removed. There is a temptation to lose patience with some health and safety considerations when risk can only be reduced at the expense of time and monies – temptation that must be resisted. When stevedore and longshoremen raise concerns, then

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the marine surveyor can audit procedures and provide a means of formal and informal communication between vested interests to ensure that best practices are followed. Just-in-time deliveries at ports, inexperienced labour, smaller ships’ crews, and pressing schedules all compete for valuable time and costly effort requiring alert and responsive programs to quickly assess and report on issues, allowing principals eyes and ears during their decision-making process. In this case, the marine surveyor is acting for the vessel owner’s P&I Club.

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Tim Ellis worked for a U.K. shipping and forwarding company in London’s East End with postings to Vienna and Hong Kong and as an independent surveyors since February 1977. He can be reached at www.dnpmarinesurveyors.com.

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Aarc West Mechanical Insulation / Aarc West Industrial Coatings........................53 ABS Americas......................................................................................................15 Adonis...................................................................................................................8 AMIX Group.........................................................................................................37 Arrow Marine Services Ltd...................................................................................34 BC Government.................................................................................................. IFC Bernard LLP.........................................................................................................31 Bracewell Marine Group......................................................................................31 Canada’s Pacific Gateways (Prince Rupert Port Authority)...................................24 Canadian Lifeboat Institution..............................................................................35 Chamber of Shipping of British Columbia............................................................48 ClassNK...............................................................................................................11 CMC Electronics...................................................................................................18 Corix Water Products...........................................................................................53 Council of Marine Carriers Towboat Conference...................................................25 Dave Roels Photography.....................................................................................35 Furuno................................................................................................................23 General Commercial User Group..........................................................................31 Green Marine (GreenTech 2015).........................................................................IBC Greenwood Maritime Solutions Ltd.......................................................................8 Harlow Marine International...............................................................................38 International Sailors Society Canada...................................................................27 Jastram Engineering Ltd.....................................................................................43 Jastram Technologies Ltd....................................................................................24 John Horton, Marine Artist..................................................................................21 Kongsberg Maritime Simulation.........................................................................BC Lloyd’s Register.....................................................................................................9 Lonnie Wishart....................................................................................................54 Mari-Tech 2015............................................................................................. 28/29 Mercy Ships.........................................................................................................50 Meridian Marine Industries.................................................................................37 Mission to Seafarers............................................................................................54 Nanaimo Port Authority......................................................................................47 Nautical Institute BC Branch..................................................................................4 Osborne Propellers..............................................................................................53 Pacific Pilotage Authority....................................................................................13 Prince Rupert Port Authority.................................................................................3 PVL Projects........................................................................................................46 Redden Net & Rope.............................................................................................13 Robert Allan Ltd..................................................................................................17 Saam Smit Towage..............................................................................................14 Silvagrrip............................................................................................................19 Survitec Group....................................................................................................41 Tactival Marine Solutions Ltd..............................................................................27 Tervita.................................................................................................................46 Vancouver Maritime Museum.............................................................................51 W&O Supply........................................................................................................10 Western Canada Marine Response Corporation...................................................42 Westshore Terminals...........................................................................................40

BC SHIPPING NEWS

Commercial Marine News for Canada’s West Coast.

For advertising information:

T: 604-893-8800 / E: jane@bcshippingnews.com

www.bcshippingnews.com 54 BC Shipping News March 2015

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