Maritime Security International - Spring 2013 by Maritime Media

Spring 2013

Maritime Security International Spring 2013

Paul Slater Interview

Modern solutions to the age old piracy problem

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Introduction

There are plenty of new developments on the horizon in the maritime security field as violence continues to escalate on the west coast of Africa and new initiatives, like Typhonâ&#x20AC;&#x2122;s private ship escort service, are set to go live. In a market where many maritime security companies are offering a similar product, albeit with a greater or lesser level of expertise and support, how this new venture thrives will be interesting to watch. At the same time, there are new ventures in the field of non-lethal deterrents, with applications that can be used not only to combat piracy, but to protect offshore and onshore installations. The recent hostage situation in Algeria has shown that oil and gas installations are vulnerable to attack and any system that provides advanced warning can only be of benefit if it allows operators more time for preparation. Meanwhile, a certain degree of consolidation is underway among maritime security companies, with some going out of business and others merging or being bought out. Work continues on the new rules for the use of force as another document to join BIMCOâ&#x20AC;&#x2122;s form GUARDCON and the new ISO standard. Ensuring there are clear guidelines about the responsibilities and standards of private security companies guarding ships as well as reference points on the use of force during piracy attacks are essential and the first audits for compliance with ISO 28007 for companies providing private armed guards to ships are set to take place in the coming months. As security on the west coast of Africa is mainly provided by the military, there may well be differences in approach as compared to the east coast where there is more private, as well as military involvement.

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The involvement of the military, on both African coastlines continues to be an important factor, one that is repeatedly stressed by those who fear that governments will cut back as a result of economic pressures, with falling numbers of attacks reducing the perceived risk for voyages through danger zones. But if successful piracy attacks on the east coast are in decline, west coast ones are increasing in violence and new reports suggest that Far Eastern attacks against ships and their cargoes are on the increase. As always, the most important factor is the safety of crews who are working in the danger zone, as well as support for their families in hostage situations. They need the support of the whole maritime industry.

Spring 2013

Publisher W H Robinson Editor Sandra Speares Tel: +44 (0) 1483 527998 E-mail: sandra.speares@mar-media.com SALES manager David Scott E-mail: david.scott@mar-media.com DESIGNER Justin Ives justindesign.co.uk

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Maritime Security International

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Contents Introduction

News In brief... The latest company moves, plus new standards, regulations and reports

Comment Paving the way for peace Private maritime security firms are essential to combat piracy, argues Helen Mitchell

Piracy Crisis in Africa Although piracy statistics have fallen in the past year, there has been increasing violence on the west coast of Africa

Security organisations Naval-grade solution Typhon is offering a unique anti-piracy convoy protection service

Stepping up security 23 AdvanFort has been increasing its presence off the African coast, while Dryad warns of rising crime in the Far East. Videotel, meanwhile, has revised its anti-piracy programme

Setting standards A pilot audit of security firms for ISO 28007 is kicking off, closely managed by MSS Global

Legal Following the rules Some common standards on the use of force are still at the drafting stage, as experts discussed at a recent seminar

Regulation Visa vexation Crew visas and documents have been a source of concern in more than one jurisdiction in recent times

Spring 2013

Maritime Security International

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Contents Kidnap and ransom Covering all bases Following the recent spate of kidnappings, clients are asking insurers to provide comprehensive, cover-all policies

Insurance Considered response Developments in West Africa and floating armouries are just two of the insurance issues that are being talked about relating to piracy response

Interview Keeping a close watch Maritime Security talks to Paul Slater, COO of WatchStander, as the marketing drive for this anti-piracy device steps up

Seafarers Crew care 49 Cutting the number of deaths among seafarers, crew welfare initiatives and providing them with advice on new regulations are just some of the recent moves to help seafarers

Deterrents Pre-emptive strikes Piracy deterrents come in all shapes and sizes, from razor wire to stun guns. We take a look at some of the latest on the market

Port security Positions of authority Ports are an essential part of the maritime security chain and there have been a number of initiatives to boost systems and improve awareness of the issues they face

Smuggling Traffic stopping A number of global initiatives aim to stamp out crimes such as human trafficking

Offshore Conference calls 60 West African piracy attacks are on the increase, representing a an increased threat to the oil and gas industry in the region, delegates at a recent conference heard

Events

Spring 2013

Maritime Security International

News

“Shipowners and charterers should be extremely cautious of shipping agents or security companies offering to provide national armed forces into any territory other than their own territorial waters and if in doubt, should seek the advice and services of regulated private maritime security companies who are ICOC signatures (where the company commits to adhering to international humanitarian and human rights law),” he concluded.

Human behaviour A DVD emphasising the role of human behaviour in safety at sea was launched at an exclusive premiere screening in London in March. The Human Element has been approved by the Maritime & Coastguard Agency. The DVD was developed from the awardwinning Human Element book, published in 2010 by a consortium comprising the Maritime & Coastguard Agency, the Standard Club, BP Shipping and Teekay Marine Services. The film took the concepts of the book and developed them, building on the key insights and principles and making them easy for the seafarer and manager alike to put to practical use.

In brief... The latest company moves, plus new standards, regulations and reports Anti-piracy code in West Africa Maritime Asset Security and Training (MAST) has welcomed the announcement of a new code of conduct for the prevention of piracy in West Africa. The code, which has been developed by the Economic Community of West African States (ECOWAS) and the Economic Community of Central African States (ECCAS), with input from the International Maritime Organisation (IMO), will be signed at a meeting of West African heads of state in May. The code is very similar to the IMO’s Djibouti code of conduct, which was adopted in 2009, to guard against piracy and armed robbery on ships in the Western Indian Ocean and the Gulf of Aden. Both codes enshrine the three principles of sharing information, the arrest and prosecution of people committing illegal acts, and the care of victims.

The DVD is presented in a modular format and includes detailed facilitators’ notes, designed to promote thought and discussion among viewers between each of the modules.

Philip Cable, CEO of MAST, said: “We fully support the efforts of the IMO, ECOWAS and ECCAS in developing this code of conduct. It will greatly help to reinforce the very real threat piracy presents to the shipping community. However, codes of conduct can only go so far in tackling the persistent threat of piracy.

According to Ian Price, Director of Loss Prevention at the Standard Club: “When I first went to sea many years ago, the master was God on his own ship and the culture was not to question his actions or decisions or, indeed, those of any other senior officer. A recipe for disaster!

“The key differentiator for West Africa is that the code assumes a commercial security organisation delivering armed anti-piracy services in West Africa. In fact, it is only national Armed Forces that are now permitted to carry arms inside their own Territorial Waters, (and in the case of Nigeria the Economic Exclusion Zone),” he said.

“Thankfully, this is not a culture that is very prevalent anymore due to the understanding of the ‘human element’ and advances in bridge team management. With the knowledge and awareness of how we as individuals react with our surroundings and colleagues around us, many of the accidents that occur can be easily avoided.

“All the West African nations have declared that they will be signing-up to this code of conduct, which is welcomed. However, this fact makes the utility of the new code somewhat limited as nation states’ armed forces are not obliged to abide by it.

“There have been many good publications written on the subject of the human element, but, in my opinion, now we have an excellent visual training aid for the benefit of all, whether on board or ashore in the management organisation,” he concluded.

Spring 2013

Maritime Security International

Corporate POLICY &viewpoint FORUMS 8

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G Travel has been a SAMI affiliate member from the start and we regularly attend various security and piracy forums. Our knowledge of the work performed by maritime security is expanding and our reputation continues to grow. G Travel is a forward thinking business, constantly aiming to set new goals in customer service and relationships. We are continuing to extend our network and have just opened a new office in Houston, US, with plans for operations in West Africa. This will enhance our global footprint to over eight international locations. Our focus will always remain on delivering the highest level of customer service and our ambition is always to be the best in the business.

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News Mining risks Resource nationalism, poor infrastructure that impedes development and supply chain disruptions are some of the biggest risks facing the mining sector in the year ahead, according to this year’s Mining Market Review, from global insurance broker Willis Group Holdings. Global economic uncertainty combined with political upheaval has generated a volatile environment in which demand for metals, natural resources and commodities has ebbed and flowed considerably, according to the report. Despite these challenges, insurers in the mining sector have been tightening their pricing, capacity and coverage following a period of poor underwriting results. Willis called on insurers to be more flexible and innovative in continuing to provide solutions that take into account these rapidly changing circumstances, while urging mining companies to review their risks more frequently and more dynamically. Other risks cited by the report include: dramatically rising costs; the challenges posed by emerging markets; skills shortages; and the threat of losing a social licence to operate. The report also highlighted some of the challenges of operating in emerging markets, such as Africa and China, including political instability, poor liquidity, inadequate regulation, substandard financial reporting and large currency fluctuations.

Twin Towers litigation Litigation following the events of September 11 2001 has been continuing with a new judgment relating to the issue of whether the Twin Towers strike was one event or two. This litigation has, 11 years on, resolved many of the most important issues, but the English Court’s view on whether, for reinsurance aggregation purposes, the attacks amounted to one or two events has remained uncertain, according to Holman Fenwick Willlan. “A High Court decision in February in AIOI Nissay Dowa Insurance Company Limited v Heraldglen Limited and Advent Capital (No 3) Ltd shone a very clear light on this and should put an end to any remaining uncertainty in the reinsurance market,” the law firm said. “Mr Justice Field’s decision in the case, on appeal from an arbitration, brings rather more certainty in

favour of there being two events, one per tower. The judgment thus brings much greater certainty to aggregation issues in the whole account catastrophe XL market and, indeed, may put an end to any further disputes (although it is still possible, perhaps unlikely, that a different tribunal might find differently). The approach adopted by the judge confirms the court’s reluctance to disturb decisions of experienced arbitrators.”

Somali fishing project The Somali Fair Fishing (SFF) project is due to be discussed at the next Combating Piracy conference in Hamburg, organised by Hanson Wade. The project is a hands-on scheme to build up a local fishing industry in Somaliland. The project aims to contribute to the stabilisation of the country through prevention of piracy and mitigation of unemployment and poverty. This year, SSF is carrying out the initial “proof of concept phase” with the goal of establishing a secure and stable fishery infrastructure, with a consistent Berbera-based value chain from sea to table, catching, landing, handling, treating and offsetting a catch of one tonne of fish per day for a month in the autumn of 2013. The next step will be scaling and consolidation. Commenting on the project, Nils Wang, Rear Admiral and Commandant at the Royal Danish Defence College said that the biggest threat to developing an alternative to piracy is “lack of local support, ownership and participation. The local community will only be engaged if they can see actual short term results, like proper jobs and money. That’s why the SFF project doesn’t care about process, but is executed like a flexible ‘keep-it-simple’ business-plan, striving for quick results.” Piracy can be eradicated, Wang said, “but it requires a comprehensive approach where you engage a broad range of tools. You need to address piracy like you fight gang-criminality in major cities. “Police forces cannot do the job alone, neither can warships,” he said. “You also need an effective juridical system, you need to follow the criminal money to get to the profiteers and, last but not least, you need the social worker to create a viable alternative to criminality. “This is where SFF can have an impact on the overall counter piracy efforts. This small project can contribute to the creation of a viable alternative to criminal coastal activities, such as piracy.”

Spring 2013

Call for vigilance The threat to maritime trade from Somali pirates continues and ship operators should stay vigilant and adhere to best management practices (BMP), according to maritime security company Sea Marshals. Latest security industry intelligence points to a likely upsurge in pirate attacks, particularly given recent releases of hijacked vessels and a reduction in attack success rates, the company says. Thomas Jakobsson, Chief of Operations for UK- headquartered Sea Marshals, says: “Private maritime security companies are expecting pirate attack groups to renew their activity in the coming months as they try to acquire more vessels. “It is essential that vessels maintain a high state of preparedness and our team leaders, who are well trained in analysing intelligence and threat reports, are working hard to ensure this information is communicated to masters and crew before and during transits through the High Risk Area. Now is definitely not the time for complacency,” he warns. “Any lapse in security or failure to follow BMP4 just plays into the hands of the pirates and significantly increases the risk of attack or capture.” Sea Marshals advises all its clients of the need to robustly comply with BMP4 as applicable to their vessel, particularly the reporting requirements and vessel hardening measures. Sea Marshals’ own standard operating procedures are built around all relevant BMP4 recommendations. In addition, the company places huge emphasis on training its personnel in the rules on use of force and the implementation of non-violent measures at all times. Steve Collins, Sea Marshals’ Operations Manager, points out: “The BMP is an essential tool in the fight against piracy and in protecting the vessel, its crew and our onboard security team.” Yet there are still instances of ships not complying with BMP. In fact, the Maritime Security Centre, Horn of Africa (MSCHOA) monitors vessels’ adherence with BMP4 and reports instances of non-compliance on a monthly basis. Collins says: “Much is being made of the recent decrease in attacks, availability of naval forces in the region and armed guards proving an effective deterrent, and rightly so. But we are now seeing this translate to a potentially worrying lack of vigilance and due care by vessels in the high risk area.

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News Even with these procedures being advised and our team leaders trying to enforce them, we have documented instances of masters refusing to follow them. Our teams cannot override the master’s wishes without being seen to be disrespectful, breaching our acknowledgment of SOLAS and IMO recommendations and, of course, without losing the trust and working relationship with the Master and crew that is vital to a safe transit.

and evaluate” methodology to prompt safety behaviour modifications.

have now both been held criminally accountable for their roles in this disaster.”

CBT # 0260 trains officers to give appreciative and corrective feedback and develop a culture where seafarers are positive, proactive, assertive and constructive in exchanging safety information. “The aim is to make best safety standards part of the culture onboard ship,” Nordahl-Paulsen added.

$150m of the fine will be used to fund improved oil spill prevention and response efforts in the Gulf through research, development, education and training.

“Sea Marshals is engaging with shipowners, clients, masters and crew to stress the importance of BMP4, regardless of what the perceived threat level is,” he says. “We must all ensure the situation in the region of Somalia does not escalate again.”

“The course takes a ‘hands-on/toolbox’ approach because it is critical that the content is immediately applicable to daily operations.”

International Union of Marine Insurance (IUMI) Secretary General Lars Lange has written to the Paris Memorandum of Understanding on Port State Control (Paris MoU) to call for greater levels of the inspection regime’s data to be available to underwriters.

Seagull software Seagull has introduced two new computerbased training modules to help ships’ officers and crew managers to raise safety awareness among the seafarers under their supervision. Drawing on its partnership with soft skills specialist Green-Jakobsen, Seagull has launched a new seafarer appraisal course and a new behaviourbased safety course, both developed to nurture the safety culture that supports best practice. “These tools help managers to lead, coach and motivate crew members in the interest of their own safety,” said Vibeke Nordahl-Paulsen, Seagull Director of Training Content. “Encouraging personal responsibility also encourages professional growth, which is crucial for an organisation’s capability and its reputation as an investor in people.” CBT # 0259 Seafarer Appraisal is a course for management-level officers on board ships, and human resource and crewing managers ashore. The course introduces the appraisal process, explains supporting documentation and offers guidance on how appraisals can meet the expectations of managers and crew, in line with Standards of Training, Certification and Watchkeeping. “Effective performance appraisal systems help retain and develop staff,” said Nordahl-Paulsen. “This tool helps managers encourage aspiration, while at the same time furthering the interests of the shipping company.” Seagull and Green-Jakobsen have also combined to devise CBT # 0260 Behaviour-Based Safety, aimed at shipboard deck and engine officers. This course assists in developing seafarer safety behaviour and improves safety awareness. It uses the “observe, assess, provide feedback

Nordahl-Paulsen acknowledged the key contribution made by Green-Jakobsen to the behaviour-based safety training tool. “A seafarer’s safety performance relies on knowledge and skill, but these are not the only components contributing to best practice,” she said. “Awareness of the working environment, the actions of others and even the individual’s own mood have a direct impact on performance. The objective of this module is that the learner understands why behaviour might need to be modified to achieve best practice.”

Deepwater fine In the latest round of litigation following the 2010 Deepwater Horizon accident Transocean Deepwater has been fined $400m after pleading guilty to a violation of the Clean Water Act, the US Attorney General has announced. In total, the amount of fines and other criminal penalties imposed on Transocean are the secondlargest environmental crime recovery in US history, following the historic $4bn criminal sentence imposed on BP Exploration and Production Inc in connection with the same disaster. “Transocean’s guilty plea and sentencing are the latest steps in the department’s ongoing efforts to seek justice on behalf of the victims of the Deepwater Horizon disaster,” said Attorney General Holder. “Most of the $400 million criminal recovery – one of the largest for an environmental crime in US history – will go toward protecting, restoring and rebuilding the Gulf Coast region.” “The Deepwater Horizon explosion was a senseless tragedy that could have been avoided,” said Assistant Attorney General Lanny A Breuer of the Justice Department’s Criminal Division. “Eleven men died and the Gulf’s waters, shorelines, communities and economies suffered enormous damage. With this guilty plea, BP and Transocean

Spring 2013

Inspection regime

Lange wrote to the Paris MoU Deputy Secretary General Carien Droppers to ask the organisation to place details of its ship risk profiles and its company profiles on Equasis, the public web portal aimed at eradicating sub-standard shipping. Lange said that IUMI actively encouraged the release of all relevant information that enabled underwriters to assess the risks posed by the vessels it is being asked to insure and as such hoped that the Paris MoU would consider the request. In his letter, Lange stated: “In particular with the introduction of the Paris MoU new inspection regime, data on ship risk profile and company performance are now worked out by Paris MoU. This additional information could assist insurers in assessing the quality of the risks they are proposed to underwrite, giving them the opportunity to differentiate their underwriting approach and risk assessment. However, as the data is not released to Equasis, it is consequently hardly available to marine underwriters. “For this reason, IUMI would recommend and very much welcome that Paris MoU would provide this information to Equasis.” Lange added: “While understanding that such additional information alone is not a sufficient indication of the condition of a ship, the information it provides will add transparency and be an important leverage to the risk assessment performed by underwriters.” Under the Paris MoU, which came into effect in January 2011, ship risk profiles, while a useful indicator for underwriters’ risk assessment, require the use of a “ship risk profile calculator” and a “company performance calculator”.

Maritime Security International

News Japan security moves

ecurity provider Dryad Maritime has welcomed the Japanese government’s plans to submit a bill to the National Diet, which will permit the carriage of armed guards on Japanese-flagged vessels – but it advises that a number of other precautions must also be taken. The Japan Times reported on Japanese government plans to submit a bill to the National Diet that would permit armed guards to operate on Japanese ships, given the view that their presence on other vessels in waters off Somalia has led to a sharp fall in piracy. Current Japanese law prohibits Japan-registered ships from carrying armed private citizens. If this proposed legislation is approved, Japanese ships will be permitted to employ private security contractors to provide armed guards. Ian Millen, Dryad’s Director of Intelligence commented: “The Japanese government’s intention to legislate for the carriage of armed guards is a welcome step toward safer transits of High Risk Areas. There is no doubt that the embarkation of armed protection has significantly contributed to the decrease in successful pirate attacks in both the Indian Ocean and the Gulf of Aden over the past 18 months. “However, it is by no means a panacea and should be considered as only one of a range of measures which, if deployed in a co-ordinated manner, can significantly reduce the risk of a Japanese merchant vessel falling into the hands of determined maritime criminals.

the risk/reward ratio for the pirates. And we must not underestimate the value of a vigilant crew, for example during the attempted hijack of the Danish-flagged vessel, Torm Kristina, in the Gulf of Oman in December 2012. While the ship did not have guards on board, the actions of the crew in detecting the threat, raising the alarm and retreating to a citadel while the pirates were delayed by razor wire, prevented a pirate boarding turning into a hijack. With no control of the ship and the impending arrival of naval forces, the pirates decided to run.” “Armed guards are not for everyone and the vast majority of vessels transiting or trading in the High Risk Area (HRA) of the Indian Ocean and Gulf of Aden do not employ them,” he said. “Those that have them can point to their success, given the fact that no vessel with armed guards on board has ever been hijacked. However, this does not mean that all those that do not have them will be. As with Japan’s current position, a number of flag states do not allow them to be embarked, while owners and charterers may choose other, cheaper measures to mitigate the risk of pirate attack.”

Videotel warns on enclosed spaces As more needless deaths in enclosed spaces are reported, but yet again fail to make headines, a call to action is needed and the industry must take note and bring this issue to the attention of each and every seafarer training organisation, according to Videotel. “More must be done,” said Nigel Cleave, CEO of Videotel. “Every seafarer should be made aware of the risks of enclosed spaces – indeed have the

“Full adoption of the measures contained within the IMO-sanctioned Best Management Practice (BMP4), co-operation with regional bodies and international naval forces, alongside the provision of proper risk-based routing and vessel transit monitoring, are all positive factors in keeping vessels out of pirate hands.” “While we have not seen a successful hijack of a large merchant vessel since the MT Smyrni in May 2012, we have seen Somali pirates engage in a number of aborted attacks against merchant vessels with armed guards on board. There have also been many instances where potential pirates have approached a vessel, only to break off their interest when it becomes clear to them that armed guards are present on board,” he continued. “The embarked security team’s visible demonstration of weapons to the potential attackers is often sufficient deterrent to change

Maritime Security International

Spring 2013

message reinforced at every opportunity. There is no justification for another death. The legislation is in place and by law vessels should have the proper equipment in place, yet time and time again seafarers fail to use the protection available to them and another preventable death is reported.” Of course with such a history of repeated, tragic accidents – reported almost routinely in the maritime press – something must change, he said. The Marine Accident Investigators International Forum has identified that accidents in enclosed/confined spaces continue to be one of the most common causes of work-related fatalities on board ships today. “The psychological imperative to rescue a fallen seafarer is very strong,” explained Cleave. “So often we see multiple casualties, with the first seafarer collapsing and his colleagues immediately rushing to his aid and subsequently being overcome. This is the very reason we choose video as the medium for Videotel’s courses in this area. It makes a unique emotive connection with the seafarer, ensuring that the proper safety procedures – and the reasons for them – stay in the mind even under the stress of an emergency situation.” Ironically, he said, the psychological make-up that causes the seafarer to rush in after colleagues, fails to kick-in to prevent the casualty in the first place. Seemingly innocuous cargoes – timber, charcoal and steel – have all taken their toll on the lives of seafarers and continue to do so. Training each and every individual is absolutely paramount, said Cleave. Humans do not possess an intuitive fear of some of the most dangerous cargoes and it is essential that they are properly trained to be cautious.

Comment Back on land in the Horn of Africa, counter piracy initiatives by the United Nations continue and a growing sense of rule of law overshadows the sense of impunity that originally spawned the trade. Even Yemen, a country perceived to be on the brink of implosion with civil war, has recently convicted three Somalis for piracy in the Gulf of Aden. Undoubtedly, of the triumvirate of deterrents, private armed security comes at a cost and, despite an increasing number of providers in the sector, the actual quality and provenance of a security company still varies dramatically. The armed element aside, there are also a host of non-lethal options as well, ranging from acoustic devices, laser pointers, water canons, electrical wire fencing, cables hanging over the side of the vessel, even slippery and foul smelling foam. On the regulatory side, the maritime security sector is facing the prospect of another standard from the International Standards Organisation (ISO). The ISO 28007 is a mighty document, with 23 pages of compliance issues set to test any security company. Established providers, such as Actus International Security, are training in-house assessors to prepare themselves for this latest round of scrutiny, keen to distinguish themselves in the market as the provider of choice through intrinsic compliance.

Paving the way for peace Private maritime security firms are essential to combat piracy, argues Helen Mitchell

he recent report from the International Maritime Bureau that Indian Ocean Piracy attacks are down came as little surprise to those in the maritime security industry. Attacks are at their lowest since 2007 due, in no small part, to the shipping industry’s efforts in using best management practices and the proactive nature of international military navies, which have yielded a significant effect, containing the Somali threat within the littoral and adopting a zero tolerance of anything remotely suspicious leaving the beach. However, the third dimension contributing to this successful downturn is also due to private armed security. Like it or loathe it, its deterrent is still credible and widely used, ensuring the safe passage of vessels through high risk areas. Given the fall in successful piracy attacks, ship owners would be forgiven for believing that the

threat has almost disappeared in the Indian Ocean. The recent retirement of a leading Somali pirate (Mohammed Abdi Hassan, aka Big Mouth), must reinforce the belief that they have indeed packed up and gone home. However, with doubts as to the true numbers of reported attacks, shipowners, charterers and insurers still appear to advocate the use of the private armed guard. Certainly, attacks are down, but suspicious approaches to vessels are increasing and these often go unreported. The whole issue of private or state security on board commercial vessels will also soon be scrutinised. The trial of two Italian marines arrested for killing fishermen suspected of being pirates will test the status quo for the use of reasonable force within a rule of engagement and the use of lethal force. The private security sector has been watching this case closely, mindful that this situation could so easily apply to their operatives.

Spring 2013

For now, choice remains and in a buyer’s market, the devil is in the detail: does the provider have adequate insurance? What type of contract will be used? What operatives will be used? UK nationals or international? Like all security options, due diligence is crucial – you get what you pay for and the vast majority of us in the private security sector is doing its very best to provide transparency for the customer. With the apparent victory over Somali piracy, can peace return to the high seas? That depends greatly on its definition – is peace a cessation of successful hijacks, or is it to be a minimum set of conditions that state and shipowner will uphold to thwart the pirates? Other maritime criminal activity goes on: human trafficking; drug smuggling; violent crime; and petty theft predominantly within territorial waters. All of these threats will prevail in the shipping sector; but the private maritime security industry is intrinsic to facilitating global trade. Piracy will continue in time of war and peace. In the Indian Ocean, the public sector is winning the war, but it’s over to the private maritime security sector to now win the peace. Helen Mitchell is Managing Director of Actus International Security, a UK-based company providing maritime security solutions to the shipping Industry. Visit: www.actussescurity.com

Maritime Security International

Corporate POLICY &viewpoint FORUMS 14

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With highly trained personnel, a formal quality management system and ISO certification, Regal Maritime Solutions offers a credible, cost-effective security solution

For more information, contact: Tel: +44 (0) 208 731 4307 E-mail: enquiries@ regalmaritimesolutions.com Web: regalmaritimesolutions.com

through poverty and problems in their egal Maritime Solutions have years Key points about Regal native land, but the fact there is nothing of experience in the maritime seMaritime Solutions better to do still remains and it cannot curity field and have worked hard to • Diverse, flexible and reliable continue. Too much money has been establish a foothold in the market. We • Cost effective lost in ransoms and too many people’s keep a keen eye out for industry devel• Focused on credibility lives have been affected by exposure to opments and changes and are diverse and quality the trauma of lengthy hijack experiences. and flexible enough to be able to adapt • Panama accredited It goes without saying that the crew that to them quickly to maintain credibility has recently been released from the MV • ISO 9001:2008 certified and the upmost quality in the service Iceberg will be troubled psychologically we provide. • SAMI Member and ICoC for the rest of their lives. In particular, we have been workIt is frustrating that certain countries business will become increasingly ing closely with German company are reluctant to accommodate and work difficult for unregulated companies out Marine Risk & Quality (MRQ), which together with foreign companies to fight to make fast and easy money. has stemmed from the insurance comthe threat of piracy. Although there are pany Lampe & Swartz to become the ways in which we operate to deliver a The threat first UK-based PMSC to undergo its first-class service to our clients, howevWith piracy at a four-year low, it is easy certification process. This process is er unfortunately the West coast of Africa for shipowners and charterers to get not only a paper-based due diligence, is far from straight forward to operate in. complacent about the threat. It is not but also physical on-board auditing This is another area of the world we will a coincidence that piracy is at this low. of the security teams by high profesbe keeping a close eye on and continue With more PMSC’s forming and with the sional auditors to ensure that work is to build on the contacts and infrastrucworldwide support and backing from being carried out in the correct way. ture we have worked hard to develop. governmental agencies, it is not surprisAlso, great emphasis and time is taken We understand that in these difficult ing the scale of piracy has decreased. throughout the process to test the financial time shipowners and charterThis is not to say that piracy is security personnel’s mental fitness and ers are growing more hesitant to use diminishing altogether, particularly on ability to handle traumatic situations security due to the threat of piracy being the east coast of Africa. If shipownon board in a series of multiple choice at an all-time low and the cost implicaers and charterers do not believe the tests and interviews. There is no certitions of a security team. cost of security is worth paying for anyfication process like this on the market With lower insurance premiums for more, then, as sure as night follows day, so it will be a great way to differentiate having teams on board and with the piracy stats and figures will again begin ourselves from the endless amounts of constant worry that pirates are still very to rise. PMSC’s in the industry today. much active, it makes sense to have Piracy as a whole has blighted our We have also implemented a formal peace of mind to be safer rather than seas for centuries, disturbing the world’s quality management system and gained be sorry. biggest trade source. On-board security certification to the internationally recogRegal Maritime Solutions aims to build is the perfect, modern-day solution to nised ISO9001:2008 standard by the long-term business relationships with combat this and overcome the threat independent certification body AJA our clients and we have the means to for a long-term prosperous future. We Registrars. We are also very proud to be meet their needs through these difficult all understand that pirates have almost one of very few firms approved by the commercial times. been forced into this menacing trade Panamanian flag authorities to provide fully legal security services to vessels flying the Panama flag. The Cyprus flag approval is also something we are working towards in the upcoming weeks to enhance our capabilities further. We believe at Regal Maritime Solutions that, with the continuous influx of PMSC’s coming into the market, there needs to be clear quality differentiators that shipowners/ charterers can define between when choosing a PMSC to provide their valuable assets with security. Over the coming year, we can foresee that increased industry regulation and the introduction of industry-specific quality control Regal Maritime Solutions aims to provide a safer environment measures such as the ISO 28007,

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Spring 2013

Piracy But the threat and capability of heavily armed Somali pirates remains strong. “The continued presence of the navies is vital to ensuring that Somali piracy remains low,” said Mukundan. “This progress could easily be reversed if naval vessels were withdrawn from the area.” Pirate mother ships and skiffs were reported in the Gulf of Oman, southern Red Sea and the Somali basin, with a number of attacks close to the Straits of Hormuz and the energy routes out of the Arabian Gulf. As of 31 December 2012, Somali pirates still held 104 hostages on eight ships and 23 more were detained on land, pending negotiations for their release. In Somalia, and elsewhere, vessels most commonly attacked are container ships, bulk carriers and tankers loaded with oil, chemicals and other products. Fishing vessels and other smaller boats are also at risk.

Crisis in Africa Although piracy statistics have fallen in the past year, there has been increasing violence on the west coast of Africa

iracy on the world’s seas has reached a five-year low, with 297 ships attacked in 2012, compared with 439 in 2011, according to statistics issued by the International Maritime Bureau (IMB) in its global piracy report in January. Worldwide figures were brought down by a huge reduction in Somali piracy, though East and West Africa remain the worst hit areas, with 150 attacks in 2012. Globally, 174 ships were boarded by pirates last year, while 28 were hijacked and 28 were fired upon. IMB’s Piracy Reporting Centre also recorded 67 attempted attacks. The number of people taken hostage onboard fell to 585 from 802 in 2011, while a further 26 were kidnapped for ransom in Nigeria. Six crew members were killed and 32 were injured or assaulted.

“IMB’s piracy figures show a welcome reduction in hijackings and attacks to ships. But crews must remain vigilant, particularly in the highly dangerous waters off East and West Africa,” commented Pottengal Mukundan, Director of IMB, which has monitored piracy worldwide since 1991. In Somalia and the Gulf of Aden, just 75 ships reported attacks in 2012 compared with 237 in 2011, accounting for 25% of incidents worldwide. The number of Somali hijackings was halved from 28 in 2011 to 14 last year. IMB says navies are deterring piracy off Africa’s east coast, with pre-emptive strikes and robust action against mother ships. So, too, are private armed security teams and crews’ application of “Best Management Practices”.

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As for West Africa, piracy is rising in the Gulf of Guinea, with 58 incidents recorded in 2012, including 10 hijackings and 207 crew members taken hostage. Pirates in this area are particularly violent, with guns reported in at least 37 of the attacks. Benin is an exception, showing a sharp fall from 20 incidents (including eight hijackings) in 2011 to two (including one hijacking) in 2012. Nigeria accounted for 27 incidents in 2012, with four vessels hijacked, 13 vessels boarded, eight fired upon and two attempted attacks. Only 10 incidents were reported in 2011, including two hijackings. Togo has also seen an increase from five reports in 2011 to 15 in 2012, including four hijackings. Off the Ivory Coast, five incidents were reported in 2012, up from one in 2011. In the last quarter of 2012, a panamax product tanker was hijacked by suspected Nigerian pirates off Abidjan, the first such recorded vessel hijacking off the Ivory Coast. This shows the increased range of Nigerian pirates. Elsewhere, in South-east Asia four vessels were hijacked, including a Malaysian tanker that was subsequently recaptured in Vietnam in the last quarter of 2012. Across the Indonesian archipelago, there were 81 reports of petty theft, accounting for more than a quarter of global incidents in 2012. Thirty vessels were attacked in the last quarter of 2012. Reports from Indonesia have increased yearly since 2009. Vessels were boarded in 73 incidents

Maritime Security International

Corporate POLICY &viewpoint FORUMS 16

Progress in the seas of uncertainty

To date, not a single ship with armed security personnel aboard has been successfully pirated. AdvanFort’s comprehensive approach to maritime security provides commercial vessels with safe, secure transit through the high risk areas

AdvanFort 13755 Sunrise Valley, Suite 710 Herndon, VA 20171 USA Tel: 703.657.0100 Fax: 703.782.1618 E-mail: info@advanfort.com Website: www.advanfort.com

n 26 October, 2012, US Assistant Secretary of State for the Bureau of Political-Military Affairs Andrew J Shapiro reported that significant progress had been made in combating piracy off the coast of Somalia, resulting in “a roughly 75% decline in overall pirate attacks this year compared with 2011”. NATO Secretary General Anders Fogh Rasmussen issued a similar statement on 5 November, highlighting that: “In 2011, pirates successfully attacked 129 ships and captured 24. In 2012, pirate attacks decreased substantially to 19 ships and seven captures”. Key elements cited as being responsible for the decrease included increased co-operation between military forces, the private sector and law enforcement agencies; the targeting of criminal networks; and the creation of institutions and practices within both the international military coalition and commercial industry. Despite these positive gains, Shapiro warned that “pirates are still actively searching for ships to target”. Empowering shipping Thomas Kelly, Shapiro’s principal deputy assistant secretary, said: “The US government is working with, and empowering, the maritime industry so that it can better protect itself from piracy attacks”. Kelly noted that “perhaps the most significant factor in the decline of pirate attacks has included the steps taken by commercial vessels to prevent and deter attacks from happening in the first place.” Implementing Best Management Practices (BMPs) such as the effective utilisation of physical barriers and fullspeed approaches through the high risk area to deter possible attacks has yielded positive results. Kelly stated that “adherence to BMPs is not a guarantee against hijacking, but all available evidence indicates they considerably mitigate the risks”. The ultimate deterrent Although historically controversial, the international community has, in recent years, become a proponent for the use of private armed security teams in highrisk areas. “The use of armed security teams has been a potential gamechanger in the effort to combat piracy,”

Maritime Security International

Spring 2013

Shapiro said. “To date, not a single ship with armed security personnel aboard has been successfully pirated.” Attempted attacks are usually thwarted as soon as the pirates observe an armed security presence aboard vessels. As Shapiro observed: “Pirates often break off their attempt to board and turn their skiffs around to wait for another less protected ship.” Today, more than 80% of container ships and tankers utilise armed security teams. Planning for success With more than 200 private maritime security companies operating worldwide, the commercial shipping industry has an abundance of armed security providers. The problem for many commercial companies is selecting a reputable security company that has the organisational structure to support multiple transits, in-house expertise and regional knowledge to work effectively in the high-risk area, and certified professional teams that are not only qualified, but can also work effectively within the industry. Robert Wells, director of education and training at the National Maritime Law Enforcement Academy (NMLEA), states that: “Challenges exist in the private maritime security industry. Despite efforts undertaken by the IMO to establish standards, several companies are not always operating ethically with regard to management of operations, implementation of security protocols, and training security teams.” The NMLEA is currently working with a handful of industry partners to develop an Armed Ship Security Training Programme at the Maritime Institute of Technology and Graduate Studies. The programme, to be launched this year, will serve as an international training model targeting armed maritime security professionals. As part of the programme, maritime security professionals will have the ability to acquire the necessary industry-wide qualifications and certifications; learn best practices for working effectively with ships’ captains and crewmembers; participate in simulations focused on non-lethal deterrence techniques; and become knowledgeable on the guidelines set forth by international organisations.

High-quality solutions AdvanFort is a privately-held company with headquarters located in Herndon, Virginia and offices around the world. With more than 100 employees and 200 contractors, the company delivers a full range of security and government relations solutions to meet clients’ needs. It provides high-quality comprehensive global security solutions for the commercial shipping, port and terminal, and oil and gas industries. Its security teams are fully vetted and comprised of former US, UK and NATO Special Forces operators, trained and equipped to deter security breaches. AdvanFort’s mission-tested security teams, fleet of counter-piracy vessels, continuously manned Mission Operations Center (MOC) and Threat Analysis Center (TAC), and intelligence assessments all enhance the safety and protection to its clients’ seafarers, vessels, cargo, terminals and facilities. Our commitment AdvanFort has reinforced its commitment to excellence by instituting a stringent quality assurance programme. The programme includes seeking counsel from outside expert advisors, independent auditing of training and operations programmes, accreditation from professional and trade organisations, feedback from vessel masters who interact with AdvanFort’s operators, and an ombudsman programme for the operators themselves. “We equate quality to saving lives and livelihoods,” said company President William H Watson. “These systems have been put in place as part of AdvanFort’s commitment to quality and delivering services that enhance the safety and protection to our clients’ seafarers, vessels, cargo, and facilities. We are dedicated to becoming the best and this comprehensive programme will aid in reaching that goal.” AdvanFort is a signatory company for the International Code of Conduct (ICoC) for Private Security Service Providers. It is certified with the International Maritime Law Enforcement Academy (IMLEA), participates as an executive member in the Maritime Security Council (MSC), and is also a member of the Security Association for the Maritime Industry (SAMI).

Piracy IMO Secretary-General Koji Sekimizu

continuous protection by navies in the Gulf of Aden, consistent application of Best Management Practices (BMP), and proper handling of armed security guards under national policies, taking into account discussions at IMO and the International Organization for Standardization (ISO), as key factors in achieving the first of these. With regard to the release of hostages, Mr Sekimizu welcomed the action taken by the Somali authority in Puntland to secure the release of the crew members of the MV Iceberg. But, he added, the release of all hostages as soon as possible should be a clear target and that more should be done towards this end. He also said he would accelerate capacity building under the Djibouti Code of Conduct. He urged IMO member governments that had been active in providing naval vessels to maintain naval protection forces until the risk of piracy attack had been sufficiently eliminated from the Indian Ocean and the Gulf of Aden, and to urge shipping industry leaders to ensure continuous implementation of the BMP. and 47 crew members taken hostage. Fourteen incidents were reported at Belawan by ships anchored or berthed. Shipping organisations including the IMO, the International Chamber of Shipping, BIMCO, Intertanko and INTERCARGO, among others, have welcomed the recent decrease in the number of attempted and successful pirate attacks. This decrease may be attributed to a combination of factors, including: the presence of naval forces disrupting pirate operations; implementation of self-protection measures on board merchant ships and better situational awareness of where the threats are; coupled with more effective action ashore in Somalia by the Somali authorities and the international community. The organisations said that “they remain convinced that the only long-term solution to piracy is to establish effective government and implement the rule of law ashore in Somalia. However, until that is achieved, there can be no room for complacency. Any reduction in the level of protection of merchant ships could lead to a resurgence of pirate activities. Piracy must continue to be suppressed through the visible presence of and robust action by, the world’s navies, consistent with international law.

“Shipowners, shipping companies, ship operators, masters and crews are being urged to continue to take all appropriate and recommended measures to protect their ships and those on board from pirates and armed robbers, through sustained and full implementation of the relevant IMO guidance and industry-developed Best Management Practices for protection against Somalia-based piracy (BMP 4).” Meanwhile, IMO Secretary-General Koji Sekimizu told delegates at the opening of the SubCommittee on Fire Protection that it was his vision that halving lives lost at sea and eradicating pirate attacks, as well as ensuring the release of all hostages can, and should, be legitimate targets, for the organisation and for shipping in years to come. With regard to piracy attacks and hostage taking, Sekimizu said that 2012 had been an encouraging year, having witnessed a sharp reduction in successful piracy incidents off the coast of Somalia and in the Indian Ocean. However, 12 ships and 159 people were, at the time of speaking, still in the hands of Somali pirates. He said that complete eradication of piracy off the coast of Somalia and the release of all hostages would be more ambitious targets, but, nevertheless, should be the aim. He identified

Spring 2013

On a wider front, he confirmed his support for the initiatives of the UN and the international community to help Somalis re-establish law and order and revive their own livelihood and economy, and for countries in western Africa to enhance their maritime security and aim for piracy-free waters in that region, too. Despite the measures discussed, there have been a number of attacks on ships in recent weeks with hostages taken. The supply vessel Walvis 7 was the subject of an attack in February in the Nigerian port Onne, with two crew taken hostage. And Carisbrooke Shipping confirmed that its 2008 built, UK flag, 8063 dwt operated general cargoship Esther C was boarded by pirates in February while in international waters in the Gulf of Guinea. Having stolen personal possessions, the pirates departed the vessel, taking three crew members as hostage. These crew members have since been released after 31 days in captivity. “Carisbrooke Shipping is delighted that the seafarers have been released and the Company wishes to thank their 3 officers for their courage and fortitude in dealing with this very difficult situation in such a professional manner and also to thank the families of those being held for their patience and courage at such a difficult and worrying time.” a spokesman said.

Maritime Security International

Corporate POLICY &viewpoint FORUMS The year of change 18

Madis Madalik, CFO of ESC Global Security talks about 2013 – the year of both survival and change for PMSCs

hipping companies should always have a close look at the full scope of the offer for maritime security services, rather than only comparing the price tag at the end. But why is that so important? First of all, open-minded communication between the PMSC and shipping company should be established from day one. In some cases, it makes more sense to keep the security team onboard rather than disembarking and re-embarking it within the next few days. Taking this into consideration, then both, PMSC and client must be sure that the firearms and guards are allowed in the port of call. The initial information on this should arrive from the provider and must be double-checked by the client. The goal behind this would be to achieve a win-win situation, where the security company does not have to cover additional third party costs and therefore can supply the services at a better rate. In some cases (such as the Gulf of Aden, surrounding ports near Sri Lanka, and so on), the shipping company can save up to 10-30% if the voyage will be combined as one continuous voyage instead of two separate ones. In this case, we’re talking only about the direct costs, which relates to the PMSC, meaning indirect costs would drop, too.

The use of floating decks and their benefits Although the use of floating armouries and their legal aspects are a mayor question for both PMSCs and shipping companies, it’s still clear that these will help save both time and money. The best example, of course, is Oman’s Muscat port vs Fujairah floating armouries. Using a floating armoury instead of the port avoids the rerouting of the ship, saves fuel, time and money. That means that if there’s a difference of a few thousand dollars or even more, it might be cheaper to hire a PMSC starting from Fujairah and pay it for the extra time, rather than absorbing the indirect costs that involve with embarking at the port. The second advantage of floating armouries is the fact that there are neither government regulations nor port dues, which usually add costs on top of the PMSC’s quotation. Comparing the same aspects in the Red Sea, the advantages of floating armouries are pretty much the same, with one addition: it also saves time for PMSCs, which, in turn, reduces time spent on the vessel – which, of course, reduces the costs. Taking all this into account, it’s easy to see that the companies that would

use the designated ports as embarking/disembarking hubs cannot compete with the companies that would use floating decks. This pushes the PMSCs towards using only the floating decks. However, listing all the actual pros and cons of floating armouries would require an entirely separate article. 160 security companies in more than 30 countries: is this good or bad for the market? The current amount of security companies is too big – that’s a fact. Smaller companies will disappear entirely or merge with one another. The reason behind this is simple: to keep up with the standards – including all the insurances, licensing by the different flag-states and authorities, maintaining the equipment and daily operational costs – will become unbearable for the smaller PMSCs. Even SAMI believes that during 2013 the amount of the companies in the market will dramatically drop. In this sense, we are expecting strong price pressures on the market since a lot of companies will start cutting corners to keep a foothold, by not insuring the company properly or losing operational staff and legal support. Business card

Global Security -- Visual Guidelines -- 0

Size:mean 55 x 85 What does this formm the Paper: Sirio BB 480 g/m shipping companies? Print: Screen white + Red This leaves the client in rather vulnerable position in case any claims arise. As security is a business of trust, then at some point the shipping company may Henn Ruub forget to check its renewed policies or CEO their actual content.

Where is the breaking point? +372 5681 091 I believe that companies with less than henn.ruubel@escgs.com -- w 10-15 transits a month will ESC have diffiLtd -- Soo 2, 10414 Ta culties due to the immense pressure on prices. It will become really difficult to compete with other, larger companies if you only have two to three teams out at the same time. Envelope Of course, you might have a different Size: C65, and 220inspix 110 mm view on the subject. As author Paper: rational speaker Wolfgang Riebe once Print: Offset PMS 486 said: “If you think you are too small to be effective, you have never been in the dark with a mosquito.” I must add that it is much easier to be effective when you have three companies – the mosquitoes – with the same determined goal.

ESC Global Security Vabaõhumuuseumi 3/ Mõisa 4, 14th floor 13522 Tallinn, Estonia Tel: +372 507 6406 E-mail: escgs@escgs.com www.escgs.com

Maritime Security International

Spring 2013

Corporate viewpoint

particular reason and go back to their daily jobs, where they can earn as little as US$20 per month. To explain my opinion in brief, I will use the thoughts of Peter Dobbs, Class Underwriter, Catlin asset protection: we can compare the current situation with that in the aviation industry. In the 1970s, there were pretty much no extra security measures in aviation. Could you imagine stepping into an airport and walking straight on to an airplane without any security control? Or would you actually step on to an airplane where the cargo and the persons onboard have not passed the security control?

Every industry has gone through a period of mergers and acquisitions. I hope that 2013 will be the year for maritime security. In my personal opinion, I feel that in the end everybody will benefit from it, including PMSCs. Changes in payment terms: it’s a buyers’ market The time when security companies were paid upfront are pretty much over. Nowadays, clients are demanding payment terms of 30 to 60 days and counted from the date when the invoice is being issued. This means that shipping companies are looking for a strong financial partner or substantial equity to do business with. This all can be achieved with an open-minded communication between the client and the supplier. As of today, ESC Global Security has achieved the same with many of our clients. These measures will help to ensure that the co-operation between shipping company and supplier will remain strong as it will help avoid the constant pressure on paying the invoices on the date of disembarking or, as mentioned, up front. This ensures that both parties can concentrate on their usual day-to-day activities. Standards are being raised. Are prices dropping? As said earlier, cost efficiency should be obtained using alternative solutions rather than reducing team sizes or cutting corners. I strongly believe that PMSCs will become more focused on servicing certain types of vessels or flag states to ensure that they will be applicable to all the regulations in one segment or in one (group of) flag-state(s).

The whole industry is waiting for the new ISO 28007 standard to differentiate serious companies from the ones who just want to try it out. Still, I see a weak point here – ISO standardisation does not ensure that the company is duly licensed to protect a specific vessel under a specific flag, nor does it ensure that proper insurance cover is actually in place. However, it will most definitely be a starting point and a bar for the shipping companies. I have spoken to many of the CEO’s from different PMSC-s and all support the fact that the regulations are being tightened daily, which helps to sort the serious companies from the start-ups. That is even if the prices are constantly pushed down by the industry and heavy competition within it. It is my personal belief that we must deal with a continuous decline in prices, but this can only happen up to a certain point. However, shipping companies must consider the fact that all companies are near to their break-even points and can’t go much lower than they are today. That is, of course, if they want to obtain the same level of quality and standards.

Piracy incidents have dropped since 2012. When can shipping companies sail without armed guards? Pirates in Somalia have earned about US$120 – 200m (different sources) annually as ransom or as gross income, while the industry has lost billions of dollars. I sincerely believe that this is just an intermission in the attacks. I doubt that the pirates have just decided to close down their million-dollar industry without any

Spring 2013

ABOUT ESC GLOBAL SECURITY ESC Global Security (ESCGS) is a European security company, providing privately contracted anti-piracy security solutions for vessels sailing in high-risk areas. We provide services to major dredging, tanker, heavylift, bulk-carrier and submersible vessel companies. We have operated in maritime security since 2010 and we have vast experience in serving major European shipping companies. Positive feedback from masters of vessels for all our missions reflects the high level of customer satisfaction. Our competence is tested and approved by international industry institutions. We are signatories of the ICoC and we are accredited members of SAMI. We have Lloyds Register ISO 9001:2008 certificate in provision of global maritime security services. ESCGS possesses all insurances according to Guardcon contract requirements and all major insurance companies have approved us. All of ESCGS’s security personnel consist of military and navy-background Europeans with experience from Iraq, Afghanistan, Kosovo and ATALANTA operations, where they have served handin-hand with US and EU military forces. Here’s what makes us different from our competitors: • All our security personnel are combat experienced, highly motivated EU soldiers, under former ATALANTA officers command • Our rates are very competitive, while we do not give any drawback on quality • We can offer favourable payment terms – up to 60 days • We have provided our services on most of the respected flag-states’ vessels. In addition, our company has the right to serve the following flags: Luxembourg and Cyprus and is in the process of acquiring the rights in to serve Greece, Belgium and Germany-flagged ships.

Find out more about our services from our online presentation at: www.escgs.com/presentation

Maritime Security International

Security organisations Anthony Sharp, CEO of Typhon

“This protection model provides a quantity of armed personnel to live aboard the client ship for the duration of the transit. However, the client vessels have to detour for their embarkation and disembarkation often at significant cost. The range of protection from pirates is narrow: 400 metres from the ‘target’ ship.” Typhon’s Integrated Protection Model starts by detecting any threats of piracy at long range – this is done onshore in Typhon’s operations centre in the United Arab Emirates. It enables Typhon to conduct its transit safely through the network of pirate action groups – and advise clients of necessary course adjustments to avoid known trouble hot spots. The safety of convoying through dangerous waters has been established for hundreds of years, but Typhon will be the first company for over 200 years to privately offer a naval-grade service to the commercial market.

Naval-grade solution

Typhon is offering a unique anti-piracy convoy protection service

yphon is launching its private antipiracy convoy protection service this month, claiming it will be the first naval-grade private convoy protection for 220 years. The company’s mother-ship, marines and fast patrol boats carry a satellite-led early warning system (ATLAS), detecting threats at long range. Typhon is operated by senior ex-Royal Navy and Royal Marine officers, with the backing of two major international shipping companies. The board includes Glencore chairman Simon Murray, General Lord Dannatt, General Deverell and Admiral Ulrich (USN 4*). According to Typhon: “The wind-down of the EUNAFOR’s naval presence in the Gulf of Aden in

Maritime Security International

2014 is likely to coincide with a major escalation of piracy in the Indian Ocean. In this theatre of operations, piracy still remains a serious threat to some of the world’s busiest shipping routes. “In West Africa, in the Gulf of Guinea, where there is no UK, EUNAVFOR or US naval presence, nor is there planned to be, maritime crime is escalating and is spiralling to such levels that the UN Security Council has recognised it as a specific threat to international security (Resolutions 2018 [2011] and 2039 [2012]). It is estimated that the state of Nigeria is losing $1bn of crude oil through theft every month. “To date, the only effective commercially available counter-measure has been provided by ride-on guards otherwise known as vessel protection detachments or details,” the company continues.

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With Typhon’s service, close protection vessels (CPVs) shadow client vessels using its “umbrella concept”, which consists of surveillance and detection and early warning capabilities to identify and assess any likely or suspected threats. Through early detection, Typhon will be able to deter a pirate threat before it becomes a danger. The convoys travel in a protected “envelope”, which makes it extremely difficult for pirates to launch an attack, the company says. “Typhon’s policy is always to seek to diffuse and de-escalate any violence,” it maintains. The company’s detection solution consists of a multi-layered service that detects piracy in three ways: by sea. using radar; by air, using satellite; and by land, through an onshore operations centre. In conjunction with the CPV, Typhon’s detection of potential threats will inform the decision to use armoured patrol boats to intercept a potential target, engage direct fire weapons or mount a key defence of the client vessel. The use of force is a last resort and is always reasonable and proportionate using the minimum amount of force necessary, the company says. Anthony Sharp, CEO of Typhon, says: “Typhon was created in order address the specific threat from pirates in a number of key geographies. The areas we will protect are too vast for current naval resources to monitor effectively and this will be an even bigger issue when Operation Atlanta comes to an end.

Security organisations

“Our mantra is to combat the problem of maritime crime and piracy using methods that are both effective and proportionate to the threat. With millions paid out in ransoms to pirates and much more money lost by businesses in fuel costs avoiding pirates, it is important that businesses are granted a safer passage with their cargo through dangerous waters. The benefits to business will be substantial.” Although Typhon does not have a firm start date yet, it is planning on sometime in April. Currently, it has 21 in the core team, including Sharp. “Figures suggest reported piracy off Somalia is decreasing,” he say. “However, the pirate action groups are still out there and, according to Russian Navy Rear Admiral Vasily Lyashok, Somali pirates are flexible and can quickly adapt to new strategies, they have become better organised and enhanced by a support network, they have satellite communications, shore bases, depots, arsenals, training facilities for their pirates and a single leader. Western naval analysts also say that they are extending their range to the Oman Sea.”

“The reported decrease in piracy in Somalia has a lot to do with an extended period of monsoonal weather, the re-routing of vessels to the western Indian coastline rather than around the Cape of Good Hope, the presence of foreign naval forces and the use of private maritime security firms to deter pirates. There has also been widespread under-reporting of piracy incidents to avert escalating insurance premiums,” Sharp continues. Typhon’s CPV will be a 9000-tonne Danishbuilt container vessel specifically converted for counter-piracy operations. The vessel has a unique command and control configuration that makes it more suitable for counterpiracy manoeuvres than any warship. The CPV will also carry three ballistically reinforced armed fast patrol boats capable of 40 knots. The boats are rapidly deployable and can conduct forward reconnaissance to a range of 150 nautical miles. The convoy model allows ships to sail along direct routes. For ships sailing from the Gulf around the Cape of Africa, Typhon claims it can cut up to 20%

Spring 2013

off transit times. For large oil tankers, this can mean a saving of up to $130 000 in fuel alone. “Typhon’s role is defensive, as such the rules under which it operates are known as ‘Rules for the Use of Force’ as opposed to military ‘Rules of Engagement’. At present, there are no universally binding Rules for the Use of Force,” Sharp says. The company’s Rules for the Use of Force are drawn from a number of sources, including the International Code of Conduct for Private Security Service Providers, government and industry guidelines (including the International Maritime Organisation) and the European Convention on Human Rights. “Typhon has extremely strict Rules for the Use of Force and any response must be legally justified – in other words reasonable, necessary and proportionate using the minimum amount of force necessary. However, if a determined attack is mounted Typhon has the capacity to respond at a range at least four times greater than that of traditional ride-on guards,” Sharp says.

Maritime Security International

THE MEETING POINT FOR THE BRAZILIAN SHIPBUILDING INDUSTRY REVENUE GENERATION | NETWORKING | BEST PRACTICES

Navalshore – Marintec South America, leading exhibition in Latin America for the shipbuilding, offshore and maritime industries, provides opportunities for your company to drive new revenue with a highly-qualified audience comprised of Brazil's most important shipyards, ship owners and EPC companies. For the 10th edition, Navalshore will present the 2nd Technical Workshop Series and the 2nd edition of WorkBoat South America Conference.

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Security organisations AdvanFort president William Watson

The OSVs enable clients to pick up and drop off guards in 30 minutes or less. AdvanFort understands the frustration that shipowners and operators are often forced go through when getting others’ security teams on board, the company says. The aim is that, by using route-specific intelligence assessments together with strategically deployed operator support vessels, clients using the service will not have to wait to embark or disembark security teams. The SG Arizona joins Seaman Guard’s other predeployed vessels – the SG Ohio, the SG Texas, the SG Alaska, and the SG Virginia – in providing an armed security surface escort. Established in 2009, AdvanFort’s international consultants work closely with governments, industry and academia on current issues, challenges and opportunities. The company aims to help these institutions manage critical resources to promote positive social and economic growth.

Stepping up security

“Our customers are assured that their unique requirements are understood. They have access to our expert representatives who speak their language and understand their needs.”

AdvanFort has been increasing its presence off the African coast, while Dryad warns of rising crime in the Far East. Videotel, meanwhile, has revised its anti-piracy programme

aritime security leader AdvanFort has added a new vessel to its fleet of operator support vessels in and around the Gulf of Aden “The arrival of the SG Arizona brings to its logical completion a market-driven remedy for those seeking the most secure transit in what is still one of the world’s most dangerous maritime regions,” AdvanFort president William Watson said last month. “The SG Arizona is yet another demonstration of our unique, cost-effective solutions for mitigating and eliminating risks, all offered for the purpose

of making sure that we are at the head of the class when it comes to the professional rigour and completeness of our services.” The OSV fleet, part of its Seaman Guard subsidiary and composed of long-endurance vessels, has created the AdvanFort Secure Corridor positioned strategically on the commercial shipping lanes around the Red Sea, the Somali Basin, the Arabian Sea, and the Indian Ocean. The company said that the secure corridor has been an advantage for all shipowners and operators where it prevents route changes, delays and unscheduled stops.

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Captain William Watson is a former deputy commissioner of maritime affairs and special agent with the Office of the Marshall Islands maritime administration. He served as that country’s delegate to the UN Contact Group on Piracy off the Coast of Somalia (CGPCS), as well as co-ordinated counter piracy and anti-terrorist activities as the maritime security liaison at International Registries Inc. AdvanFort recently announced the appointment of former Greek Navy Lieutenant Commander Nicholas-Andrew Iliopoulos as its business development director. Iliopoulos is a master mariner who, for nearly a decade, served as the personal liaison of HM the late King Hussein Bin Talal of Jordan to the seafaring community. “Nicholas Iliopoulos’s selection literally covers the waterfront, as well as those seas of opportunity on distant shores,” Watson commented. “With more than 50 years of service, focusing not only on the bottom line, but equally on the rights and protections of seafarers, having Nicholas on board puts a name and a face to maritime industry

Maritime Security International

Security organisations demands for both quality management and state-of-the-art standards.”

additional training required by the new legislation truly a moot point for us,” he said.

As chief of business development, Iliopoulos will initially focus on AdvanFort’s aggressive marketing strategy in Greece, as well as in the Asia-Pacific region, particularly China.

Watson pointed out that the Panama Maritime Authority (PMA) has just approved AdvanFort’s counter-piracy operations for the world’s largest ship registry.

Since 2009, Iliopoulos has been a resident instructor at the Dalian Maritime University in China, as well as being an international representative for Videotel Maritime International.

In addition, March saw a number of AdvanFort vessel security officers participating in a first-ever counter-piracy training programme for corporations working in the merchant marine environment.

Announcing figures for February last month, AdvanFort said it had completed a record 108 security missions, covering 127,000 nautical miles – a 35% increase in monthly escort missions. “We believe the increase in the armed security escorts highlights both the level of trust the shipping community has in our services, as well as the growth in the number of our customers” said Mark Hornung, AdvanFort’s vice president of operations.

Offered by the National Maritime Law Enforcement Academy (NMLEA) and supported by the Maritime Institute of Technology and Graduate Studies, the course is a “big step forward in meeting growing international demands for standardising and professionalising counter-piracy security teams”, the company said. AdvanFort’s continuing dedication to quality management means it is also going through International Organization for Standardization (ISO)

“We are honoured by the trust our clients place in us by choosing us to protect their crews and cargo when transiting out of control pirate-infested waters,” he said. According to Hornung, who until last September served as the head of the NATO Shipping Centre in Northwood, the company had reached a record 18 successful embarkations deployed in one day in four different ports in three countries. “I am very happy to report that our company welcomes the increasing scrutiny by some of the most important European Union countries of the offerings of private maritime security companies,” Watson said. German legislation about to be passed is both detailed and will surpass most standards and regulations already governing the market, observers say. Belgium and Cyprus, too, now employ highly proactive systems to ensure that state-of-the-art standards are in place. “Piracy,” added Watson, “has at a critical time increased the cost of shipping, particularly in terms of vessel insurance. Those PMSCs that remain unprepared will find the costs of the accreditation procedure not only worrisome, but something that they are likely to seek to pass on to their customers. “AdvanFort has led the field in making sure that its security teams meet or exceed the types of IMOGuidance(s) that will form part of the new German model, and our other best practices make the

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9001 certification (and looking forward to ISO 28007), while currently seeking similar approval by the Security Association for the Maritime Industry (SAMI).

New crime data from Dryad

ryad Maritime, one of the UK’s leading maritime intelligence providers, released its latest report Special Advisory South East Asia. Disorganised Theft to Organised Crime in March, which focuses on the rise of targeted hijackings in South East Asia. The report analyses how and why the trend of boarding and hijacking of product tankers and fuel barges has re-emerged in recent months. “Analysis of these incidents has shown that the hijack of merchant vessels does not follow the same pattern as seen in the Horn of Africa, where vessels and crew are taken to be ransomed back to their original owners,” Dryad says. In South East Asia, a new trend is emerging that sees sophisticated, intelligence-led hijackings, whereby

Security organisations vessels are targeted for their cargo or for the hull to pre-arranged customers. In 2012, there was an 8.5% increase in maritime crime throughout South East Asia, which now stands at 44% of all maritimebased criminal activity reported worldwide. According to Karen Jacques, Chief Operating Officer, Dryad Maritime: “Our South East Asia special advisory is specifically designed to forewarn and equip maritime operators with the latest intelligence on the region, which will allow them to plan their transits and assess risk accurately. “Our analysts have collated intelligence from a wide range of sources to produce this unique and essential report into the growth of maritime crime in the region. It highlights emerging areas of risk which cannot be treated with complacency and also provides clear advice that will enable Masters and crew to implement new procedures that will help to significantly reduce risk.” The number of incidents of piracy or attempted piracy around the Malacca Strait has significantly reduced, from 38 in 2004 to just two in 2012, thanks to greater effective collaboration between its littoral states. However, as a result, criminal syndicates have now moved their operations to the Singapore Straits, the South China Sea and the Indonesian archipelago, where continued border disputes between neighbouring states have hindered attempts to fully integrate anti-piracy operations in the region. Analysis of attacks in both the South China Sea and the Singapore Straits has revealed significant differences in the modus operandi in both areas. Ian Millen, Dryad Maritime’s Head of Intelligence, commented: “While low-level opportunistic robbery of ships at anchor and alongside represents the majority of maritime crime in the region, it is the organised, sophisticated piracy operations that are of the greatest concern. “Analysis would suggest that organised criminal syndicates are targeting vessels for their cargo. This targeting suggests insider information detailing a ship’s cargo, intended route and transit times is being passed to criminals before the vessel has even put to sea. Unlike piracy operations in the Horn of Africa, it is likely that an increasing majority of attacks are ‘made to order’ with buyers in place before the event takes place,” he said.

Attempts by the nations of South East Asia at reducing piracy and maritime crime, have so far had limited effect, Dryad believes. “A combination of complex archipelagic geography and under-resourced maritime security forces, all suggest this trend of increasing maritime criminal activity is likely to continue in the foreseeable future,” he said. “Until there is a concerted and consistent multi-national, multiagency effort to combat the increasing threat of high end organised hijacking, those operating in the area should be particularly vigilant and ensure they are fully prepared and protected against all threats.”

Videotel protects vessels

s yet more crew are kidnapped in another raid on a vessel off the coast of Nigeria, shipowners, ship managers and operators are forcibly reminded of the need to take steps to protect the safety of their crew, their cargo and their vessels. Videotel has produced a new programme to deal with changing piracy patterns.

locations – and the industry standard guidelines, BMP (Best Management Practices for Protection Against Somalia Based Piracy), need to be adapted for the different circumstances encountered today,” he concluded. Videotel’s updated piracy and armed robbery programme is designed to assist shipping companies and their crews to safely transit pirate zones anywhere in the world. It provides a broad understanding of piracy today and how the shipping industry and governments are responding to it, placing emphasis on BMP as the core tool helping ships avoid, deter and delay pirate attacks. The programme, available in all multimedia formats, including Videotel On Demand (VOD), features ships making preparations prior to transiting the Indian Ocean High Risk Area (HRA), interviews with senior shipping industry personnel and representatives from naval/military forces as well as other organisations. Maps showing the concentration of piracy incidents and graphics illustrating how ships can make evasive manoeuvres are also included.

Nigel Cleave, CEO of Videotel, is well aware of the industry’s need for support and guidance. “In the past few years alone, the number of alternatives available in the arsenal of anti-piracy measures has increased, but all have their benefits and drawbacks and the legal implications of many of these options to the shipowner are considerable. “This is why Videotel has completely revised and updated its piracy and armed robbery training programme,” he continued. “We have seen significant changes in the pattern of piracy behaviour which have been reflected in the response from the shipping industry, governments and other organisations,” he said. “There has been the use of armed and unarmed guards, as well as citadels and anti-embarkation measures. Recent years have also seen an increase of pirate attacks in West Africa – as well as other Nigel Cleave, CEO of Videotel

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Maritime Security International

Security organisations The ISO Publically Available Specification 28007, as part of the ISO 28000 Security Management System family, establishes the internationally recognised guidelines for PMSCs providing private contracted armed security personnel (PCASP) on board ships. Chattin continued: “This international standard will establish a clear capability benchmark, which will allow PMSCs to provide assurance to their clients through the impartial third party accredited certification regime for management systems, enshrined in the ISO framework.” Andrew Varney, Managing Director of Port2Port, said: “We are very pleased to have been selected for the pilot ISO audit. Port2Port operates to extremely high standards and to be assessed against this globally recognised standard across all our processes is a benchmark we are keen to achieve.” Russ Armstrong, Managing Director of Castor Vali added: “This is great news for the industry. We have worked hard to manage the delivery of our service under a high degree of transparency.

Setting standards A pilot audit of security firms for ISO 28007 is kicking off, closely managed by MSS Global

aritime security companies Port2Port and Castor Vali Security Risk Managment have been selected by MSS Global, a UK Accreditation Service (UKAS)-accredited certification body, for its pilot audit of certification for ISO PAS 28007 (maritime) as part of the UKAS Certification Pilot Programme.

MSS Global has chosen a smaller company and a mid-size company with the aim of best capturing the breadth of market demands, so that the certification model developed through the pilot best fits the PMSC market that supports the commercial shipping industry.

Port2Port Maritime Security and Castor Vali Security Risk Management will undergo an audit assurance process in accordance with ISO 28000 and ISO PAS 28007 (maritime).

Tony Chattin, managing director of MSS Global, said: “We are delighted to be working with Port2Port and Castor Valli through this UKAS-sponsored pilot to deliver this important ISO, which has been designed specifically for this emergent maritime security market.

MSS Global, which specialises in supporting the private security industry for complex environments, is part of the UKAS pilot for both ISO PAS 28007 (maritime) and PSC 1 (land). The company said that it had been approached by a large number of PMSCs to take them into the pilot for ISO 28007.

“This process, to date, has taken a great deal of work, involving many others across the maritime security sector, such as the UK Security in Complex Environments Group (SCEG), the Security Association for the Maritime Industry (SAMI) and BIMCO,” he concluded.

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“To have these processes examined and endorsed through the International Organization for Standardization will prove the high standards we promote and endorse for our clients.” Commenting on the launch of the MSS Global pilot audit, Peter Cook, founder and security director of SAMI, said, “The association is delighted that two of SAMI’s certified members have been selected to participate in this next stage of development for ISO PAS 28007 and fully support them in this process.” “SAMI has been at the vanguard of the advancement of international maritime security standards and has played a key role in the development of ISO PAS 28007 (maritime). SAMI is firmly of the view that this is a pivotal, vital and significant development.” Also commenting on the announcement, Giles Noakes, Chief Maritime Security Officer of BIMCO said: “It is excellent to see this pilot scheme kick off so soon after the introduction of ISO PAS 28007 – there have been a number of ‘doubting Thomas’s’. “It confirms entirely our view that a PMSC’s professional credibility and safety standards need endorsing through a recognised, independent, third party audit system in an area where seafarers lives are at risk and there is no room for mistakes. “We are confident this pilot will validate involvement and support for the ISO PAS the development and implementation of GUARDCON contract now extensively in use the industry.”

our and the with

Legal SAMI founder Peter Cook

“While this would make commercial sense from the perspective of any one particular firm in terms of commercial advantage, this would be an isolationist approach and would fail due to lack of depth and breadth of expertise.” Hammond said that there were common myths and misconceptions currently in existance throughout the industry about the rules ”which are unhelpful, counter-productive and undermine what is essentially an altruistic process for the development of an international model standard of RUF”. Some of those that he cited were: that BIMCO does not support the development of RUF as it undermines GUARDCON; the responsibility for producing and agreeing RUF is a solely flag state one; there is no such thing as the universally recognised inherent right of self-defence; and there cannot be a standard international objective test for self-defence, as individual flag states interpret and articulate the requirements to satisfy the use of force in self-defence in different ways.

Following the rules Some common standards on the use of force are still at the drafting stage, as experts discussed at a recent seminar

iscussions have been continuing on Rules for the Use of Force, (RUF) over which some concerns have been raised in recent months, particularly over their compatibility with the new BIMCO form GUARDCON.

the main, more legally focused than operatively focused, which he said was “encouraging” because lawyers needed to be clear on the issues in order to be able to lay down ground rules within which operators will work.

At a seminar held in February on the HQS Wellington, the issue was discussed at length with presentations by SAMI founder Peter Cook and barristers Steven Kay QC, David Hammond, and Dr Douglas Guilfoyle of University College, London.

As Hammond noted in his presentation, “the lawyers that are currently engaged cover a broad range of pertinent disciplines; from commercial to criminal, international to humanitarian law. The RUF requires such inputs from across all such legal disciplines ultimately to be effective. They cannot, in my mind, simply be drafted in isolation by any one firm or lawyer in any one particular discipline.

In giving his assessment of developments, Cook explained that conference attendees were, in

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Guilfoyle’s presentation was on the relevance of international law. “It provides a framework for the whole thing and also the relevance of international humanitarian law,” Cook explained. “One of the key things with Rules for the Use of Force is they are there to help you stay within the law, but there are no guarantees. What we are not saying is ‘use these rules and you are immune’. We are saying ‘use these rules and you are more likely, or have a better chance of staying within the law, conducting self defence rather than breaking the law and being punished for that’.” A complete degree of certainty is impossible because any legal action that resulted from an incident would turn on what actually happened on the day, he explained. The rules, Cook said, “set a number of foundations for the way in which a team or an individual should conduct themselves so that they are using necessary force in a proportionate way that is graduated, so you go from one step to the next”. This means that if the situation continues to deteriorate the team knows what the next step to be taken is, but equally if things improve “you can turn the tap off again”. He explained that Rules for the Use of Force are for three groups of people: the operative, so he knows when he can or cannot shoot; for the master and crew so they know what is happening; and also for the pirate to give him a chance to withdraw.

Maritime Security International

Legal people can orientate themselves and there is a basic understanding of what you can and cannot do. You cannot legislate interntionally.” Any criminal case involving a shooting would be likely to be followed by a civil case to seek compensation and it is inevitable that that would involve looking for the individual with the deepest pockets. “I think people have got to understand this and these rules for the use of force which hopefully will be available free, will allow people to have a reference point,” Cook said. Questions over whether a defendant was aware that a standardised set of rules was available or why he had chosen not to use them would also be likely to come up in court.

“In many ways, it fulfils a human rights function, as well giving the pirates a fair chance to change their minds,” he said. Kay’s presentation focused on the fact that “necessary, reasonable and proportionate” were the three words to turn up in all the main flag states legislation surrounding self defence. “If you use something that incorporates all those tenets, then you are probably going to be working within the law around the globe,” Cook explained. He said that if an armed guard on a ship shoots a pirate and ends up in a court of law “the first person who will go into the dock will be the shipowner”. The owner would be asked to justify putting an armed team on his ship and whether the correct risk assessment was done. The company security officer would also be questioned on whether he conducted due diligence on the security plan. The flag state would be cross examined, as would the P&I club and underwriters and the chief executive of the PMSC, the master and crew and also the individual who shot the pirate.

Enrica Lexie for the killing of two Indian fishermen in February 2012. The case is likely to prove a pivotal one as regards the use of armed personnel on ships. Both Italy and India have claimed jurisdiction over the incident, with issues like sovereign immunity, hot pursuit in international waters and whether India has jurisdiction to try foreign nationals for an alleged offence committed in international waters coming to the fore. The case has generated a good deal of interest, not least because people want to obtain reference points on the issue. Given the different approaches internationally to the carriage and use of fire arms, it might seem that a common standard would be impossible to implement. However, Cook said it is possible to provide reference points “so that

Cook said he does not want to put a definite date on the publication of the final set of rules – he hoped they would be out by the summer, but if the process draws out longer, it is because “we have got to get it right”. Talks are ongoing with organisations like BIMCO to iron out differences of opinion on the content of the rules, while the main thing is that “all parties want to find a solution”. The new rules, he said, aim to complement GUARDCON. ”What we want to have are three foundation documents that provide maritime security in the best way we can. The first is GUARDCON, the second is ISO 280007 and the third is a set of rules for the use of force so that you have good sound documents that have been carefully thought through by a combination of the maritime security industry and the shipping industry and others, which will allow private maritime security companies to do their job as professionally as possible.”

It would not necessarily be the shooter who would be “hung out to dry while all the other people that were involved in that significant decision-making process to put an armed man on the ship and possibly in a position where he might have to shoot a pirate. They have all got their part to play in it,”. Under discussion was the case whereby the Indian Supreme Court announced in January that it planned to try two Italian marines on board the Italian marines on board the Enrica Lexie

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Regulation ISF Director of Employment Affairs, Natalie Shaw.

serious difficulties for seafarers – especially those operating in tramp trades that may not have the opportunity to apply for a visa in advance,” said ISF Director of Employment Affairs, Natalie Shaw. As part of the ongoing review of the FAL Convention, several governments have supported proposals to add “visa number, if appropriate” within the information that port states can be permitted to request from ships. While governments have argued that this information will only be used to assist the transmission of information about visas required by those seafarers who might wish to travel beyond the “geographical limits” of shore leave, ISF believes that adoption of such an amendment could serve to legitimise the requirement of visas for shore leave by parties to FAL, further undermining the fundamental principle that visas should not be required.

Visa vexation

Crew visas and documents have been a source of concern in more than one jurisdiction in recent times

ort states need to facilitate the right of seafarers to shore leave, in line with governments’ international treaty obligations, says the International Shipping Federation (ISF), which is starting a pragmatic approach to visa requirements.

Conventions, including the International Labour Organization (ILO) Conventions 185 and 108, as well the IMO FAL Convention.

The ISF has made this proposal in a submission to the International Maritime Organization (IMO) Facilitation Committee, which met this month to consider its current review of the IMO Convention on the Facilitation of International Maritime Traffic (FAL). The FAL Convention includes a blanket prohibition on port states requiring seafarers to obtain visas in order to enjoy shore leave.

However, in a post 9/11 world of heightened concerns about security and immigration issues, the ability of seafarers to exercise this right is increasingly being challenged, with visas now required in US and Australia, the ISF says. Problems are still being reported of seafarers not being able to leave their ships without visas within the Schengen area of the European Union, in spite of efforts by the European Commission to resolve these difficulties. Problems also exist in Brazil, Singapore, South Africa and other countries.

The long-established principle that, due to the special nature of their employment, seafarers should not be required to hold a visa for the purposes of shore leave is enshrined in various international

“Despite the clear principle established by various conventions, many port states do now require a large number of seafarers to obtain visas in advance in order to enjoy shore leave. This causes

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Notwithstanding the principle, however, ISF’s priority is to ensure that the welfare of seafarers is met by ensuring that shore leave is facilitated. ISF is therefore proposing to IMO that governments should agree that, in the event that port states insist upon requiring visas for shore leave, they should make provisions for the seafarers to be able to apply for visas upon arrival in port, or very shortly before. ISF will therefore propose that a new “Recommended Practice” to this effect be included in the FAL Convention. If accepted, ISF will drop its current opposition to the proposal that visa numbers might be requested from ships. “While this involves a degree of compromise on our part, we do not want to cut off our nose to spite our face. In the event that such an amendment could be accepted by governments, this might make a significant contribution towards facilitating access to shore leave, which remains a serious problem for many seafarers and shipping companies and which is a matter on which we have seen little progress in recent years. We want to break the impasse,” says Shaw. The amendment proposed by ISF would also be consistent with the principles established in ILO Convention 185, which ISF, in its capacity as co-ordinator of the Employers’ Group, helped to negotiate at an ILO Tripartite Conference in 2003. Doug Stevenson, Director of the New York-based Center for Seafarers’ Rights is encouraging the industry to lobby President Obama and Congress to enhance maritime security and improve seafarers’ lives by removing the US’s obstacle to ratifying ILO-185. Eliminating the crew member D-1 visa or waiving the visa requirement for seafarers holding ILO-185 can do this, he says.

Maritime Security International

Regulation ILO Convention 185/2003 has not been sanctioned by the President of Brazil

“As President Obama and the US Senate approach consensus on comprehensive immigration reform, they have a great opportunity to enhance maritime security in the US and other countries, to bring the US into compliance with its international obligations and to improve seafarers’ lives – upon whose labours our lives and prosperity depend. They can accomplish this by eliminating crew member D-1 visas or waiving them for seafarers who have valid ILO-185 Seafarer Identity Documents,” Stevenson says in an open letter to the industry on the Seamen’s Church Institute website. The US remains one of the few countries in the world that still requires seafarers to have a visa before they can go on shore leave, Stevenson adds. “This requirement also puts the US in conflict with its international obligations under FAL,” he said. The FAL Convention prohibits the US and other signatory nations from requiring seafarers to have a visa for shore leave. US ratification of ILO-185 would provide a great incentive for other maritime nations to do likewise, thereby vastly increasing the number of seafarers holding biometric identity documents. All seafarers – whether they have a visa or not – undergo background checks each time their vessel enters the US. The pre-arrival background checks are equivalent to those given visa applicants. Background checks depend on

Maritime Security International

positively verifying the checked person’s identity. ILO-185 identification documents would positively identify all of the crew members on a ship. Relying on visas, on the other hand, would not. Not all seafarers on ships in US ports need to have a visa. Visas are required only for those seafarers applying for shore leave. Seafarers who do not have visas or trustworthy biometric identification documents, like ILO-185 identity documents, can find it difficult to establish their identity as professional seafarers.” Steamship Mutual has also raised the issue of immigration authorities imposing fines and preventing crew from disembarking in Brazilian ports where those crew were from countries which were not signatories to either the ILO Convention 185/2003 or the earlier Convention 108/1958. The P&I Club warns of “seemingly contradictory approaches adopted by the Brazilian immigration authorities in imposing fines in respect of seafarer’s identity documents, which do not comply with the ILO Convention 185/2003.” According to the club: “The immigration authorities appear generally to take the view that, because the ILO Convention 185/2003 has not been sanctioned by the President of Brazil, it is not actually in force, and hence the earlier Convention 108/1958 applies.

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“Unfortunately, to add further confusion, the Club has recently had a number of instances where the authorities in Rio de Janeiro appear to regard the ILO Convention 185/2003 as being in force, and have imposed fines on crew members and required deportation if they do not leave Brazil within eight days, on the grounds that their seafarer’s identity documents did not comply with this more recent Convention 185/2003 even though (i) the documents did in fact comply with the earlier Convention 108/1958 (being issued by the flag state to crew serving on board) and (ii) the crew members never actually left their vessels whilst they were in the territory of Brazil.” The club is advising that in the case of a vessel flagged by a state that is a party to the ILO Convention 185/2003 and which is proceeding to Brazil, the owners ensure that all crew have seafarers’ identity documents issued by the states of which they are nationals or have permanent resident status. Advice also needs to be taken as to the amount of time the vessel can remain in Brazil without being fined. It also advises in the case of other vessels heading to Brazil that “seamen who do not hold seafarers’ identity documents valid under either ILO Convention 108/1958 or ILO Convention 185/2003 do not disembark from the vessel for any reason unless authorised to do so”.

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Kidnap and ransom criminal groups, tend to target locals and resident foreign nationals, as well as tourists. The increase in express kidnapping is attributed to economic uncertainty and financial desperation. South America experienced a high number of KRE incidents in 2012 and this is expected to continue in 2013. Mexico was also a particular hotspot, with an estimated 3,000 incidents in the first three quarters of 2012. The main perpetrators of this type of kidnapping across South America are organised crime groups. Victims tend to be locals from an increasingly diverse range of economic backgrounds; however, tourists are also affected by KRE. Jack Cloonan, Head of Special Risks at red24, said: “Our annual Threat Forecast report shows a considerable increase in express kidnapping in South and Central America, as well as a persistently high rate of traditional kidnap for ransom and extortion crime in places such as Mexico. “Although many express kidnapping incidents tend to involve local and resident foreign nationals, tourists are also at risk. Being extra vigilant and aware of what is going on around you and only using ATMs in secure public places are some of the ways in which you can avoid becoming a victim.”

Covering all bases Following the recent spate of kidnappings, clients are asking insurers to provide comprehensive, cover-all policies

ollowing the attack on BP’s gas installation in Algeria, kidnap and ransom (K&R) insurers are expected to look again at their underwriting policies in North Africa. According to some observers, clients are now looking for more comprehensive policies that cover not only K&R risks, but also terrorism, civil unrest and political violence. As Lockton pointed out in its war and terrorism bulletin for spring, while the situation in Syria may be intensifying, there had been a change of attitude on behalf of foreign governments that appear to be leaning towards a more interventional approach. According to red24’s Threat Forecast 2013, express kidnapping is on the rise in South and

Central America. This form of crime generally involves people being abducted, robbed and then forced to withdraw money from a cash point or hand over their PIN details. Express kidnappings increased by more than 60 per cent in 2012 in Ecuador’s capital, Quito, compared to 2011, as indicated by the forecast. A total of 349 express kidnappings were reported in the city of Guayaquil in Ecuador between January and August 2012, and the crime became more prevalent in Guatemala, Honduras, Venezuela and Brazil during the year. The abduction usually lasts for a few hours, but can extend over several days. Express kidnapping can require less planning than traditional kidnap for ransom and extortion (KRE) and can be more opportunistic. Kidnappers, usually local or organised

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Meanwhile, Tim Holt, head of inform at Alert24 wrote in February in a Willis blog that: “Driven by lucrative returns, fuel insecurity, corruption and chronic instability, piracy is worsening in Nigerian waters. Numbers of violent off-shore kidnaps have spiked in the past three months – fast-approach vessels typically target ships between 30 and 60 nautical miles from the coast and hold senior crew members ashore for large ransoms. “Off-shore fuel theft, a relatively new phenomenon, is increasingly frequent, with tankers targeted along an extended coastal area. Crews are held captive and the tankers sailed out to sea, while sophisticated pirate-vessels steal fuel to smuggle on-shore. “Nigeria’s contentious fuel subsidies are regularly undistributed, which compounds problems of inadequate fuel supply and creates a profitable black-market. Local security forces’ aggressive pursuit of sea criminals on-land is allegedly linked to a violent spate of retribution robberies and kidnaps in the Niger Delta’s creeks and ports.” Market commentators say that more insurance firms are entering the K&R market, despite the rising risks of kidnapping and, in view of the recent events in Algeria, the oil and gas industry has proved a big buyer of K&R insurance policies, as well as political risk and employee protection insurance. Typical K&R policies relating to pirate attacks off East Africa have been of the order of $5-10m.

Maritime Security International

15 Bird to Fe rat day br es ! ua ex ry pir e

Ac t ly Ea r

Move the gears of Africa’s big business. 15-18 April 2013 • Southern Sun Cape Sun Hotel, Cape Town South Africa Workshops: 15-16 April • Executive Congress & Networking: 17-18 April

Attend the Breakbulk Africa Congress to learn and network with cargo owners, carriers and forwarders that have a vested interest in building more cargo and stronger business relationships in Africa. Large energy and infrastructure projects, a wealth of natural resources and a rising wave of foreign investment are adding to Africa’s emergence as one of the world’s top breakbulk, project cargo and heavy-lift cargo markets. The attendees at the Breakbulk Africa Congress 2013 will include logistics procurement titles from engineering & procurement companies, oil & gas companies, traditional and renewable energy companies as well as important vendors to the project cargo and breakbulk shipper community including freight forwarders, carriers, ports/terminals, ground transport, heavy air, packing and equipment companies.

Program topics that will help you move your business forward include: • Breakbulk Education Day - Entry Level • Krabbendam Heavy Lift MasterClass - Advanced Level Executive Congress: • Update on Capital Projects in West Africa • Project Cargo Case Studies • Africa’s Steel & Lumber Outlook • African Port Productivity & Infrastructure Solutions • Compliance, Piracy and more… View event information and register now at www.breakbulkevents.com For information about sponsoring this event, please contact Alli McEntyre at amcentyre@breakbulk.com

Corporate viewpoint

How insurers are supporting PMSCs in meeting today’s challenges

West Africa As Somali piracy seems to be slowing, PMSCs are turning their attention to alternative sources of income and West Africa, whilst a difficult environment in which to operate, is one such source. As those that operate here know only too well, non-nationals are not permitted Floating Armouries to carry weapons in national waters and As pressure increases on PMSCs to move must pay for local national servicemen the storage of firearms offshore, and the or police to operate under the direction legality of the use of those firearms is of security company personnel. Apart brought into question by an unhelpful rulfrom the personal security issue here ing from the UK government, the PMSC The issues confronting this raises a contractual one too in industry is split over the use of these arTM that, whilst the armies are providing mouries. If the BIS deem their use to be PMSCs over recent personnel to the security company illegal and yet undertake not to prosecute, months have been for payment, the governments will not where does this leave the PMSC and TM their Contact your GuardTrack team: eace of mind that your insurance partners will deliver provide any guaranteed indemnities or insurers, who must indicate to their policy challenging and have to the security company for holders We if their policies are voided by the are just an email or phone callinsurance away. had consequences the acts of their personnel. Meanwhile use of these armouries? er and a leading provider of insurance solutions and Simon Cassey for future business the security company has to provide On the whole insurers are taking a rity Industry. scassey@chesterfieldgroup.co.uk contractual indemnities and proof of pragmatic approach to the issue and as well as for nderwriters, we have developed GuardTrackTM, a insurance to the client ship owner or we recommend that the PMSC explains Hanna Streng nised by the Maritimetheir Security Industry as the leadingthe situation to their underwriter who is insurance charterer, leaving the security company hstreng@chesterfieldgroup.co.uk contracts, allowing the PMSC to win business with ‘bare’ for acts of the national military or likely to rely on the courts to determine underwriters. T: +44 (0)20 7481 1683 educed voyage costs. police personnel. the legality of the act. No insurer can inSimon Cassey and Again insurers are taking a pragmatsure an illegal act and until an illegal act Hanna Streng of the ic view here and again the answer is is proven, it will be the law, not insurers, to explain the situation. Most important that determine the illegal act. Meanwhile www.chesterfieldgroup.co.uk Chesterfield Group is to demonstrate the extent of control insurers will continue to provide cover to see our website discuss some of theseScan over the national guards and the risk for legal acts. management methods employed to reWhat is certain is that there is no issues and how the duce risk. point in spending money on a separate PMSC might deal policy that professes to address this iswith them ISO 28007 sue because no insurer can insure an PMSCs working towards ISO 28007 illegal act and any separate policy the Certification show their dedication PMSC buys will merely duplicate cover. t’s been a challenging few months for PMSCs, who have faced an increasing number of threats to their businesses. Fortunately insurers are, on the whole, taking a pragmatic approach to meeting these challenges.

n compliant insurance with GuardTrack

to the provision of quality services. The insurance section of ISO 28007, following the Guardcon requirements, have standardised what is expected of PMSCs. Companies that have an insurance package that is specifically written to track Guardcon, should not have a problem fulfilling the ISO and the contractual requirements set forth by P&I Clubs and shipowners. This will be done through training, education and information. Remember your underwriter will always be impressed by those who demonstrate a high standard of risk management and reward them with lower premiums. Illness on board ship, Tropical Disease and PTSD There have been a few cases recently of security personnel being taken ill after a vessel has left port and the consequent need to deviate to the nearest port. Whilst PMSCs have to be increasingly diligent over the health of their personnel they should ensure that PA policies will extend to include defined Tropical Disease cover. Similarly as post-traumatic stress disorder manifests over later years, these PA policies should be extended to cover the costs of PTSD treatment. The consequent deviation costs of an illness on board a ship have become increasingly topical and we expect further debate on responsibility for these costs in the coming months. However section 7 of the Guardcon contract makes it clear that these costs should be borne by the ship owner, not by the security company. We would therefore advise PMSC not to assume liability for such costs in contracts. Premium cost Finally, as insurers understand and evaluate the risks involved in vessel armed guarding and the loss frequency becomes clear, there are good reasons for regular review of premiums, if policies are being excessively charged on a per voyage basis. All those involved in the maritime security industry are painfully aware of the increasingly tighter margins in the business and substantial reductions in insurance costs can mean the difference between winning and losing a contract.

Simon Cassey scassey@chesterfieldgroup.co.uk Hanna Streng hstreng@chesterfieldgroup.co.uk Tel: +44 (0)20 7481 1683

Lloyd’s of London

Spring 2013

Maritime Security International

Pirates present a serious danger. We’ll help protect you against them.

If your business has assets or interests on the high seas, your crew, cargo and vessels may be at risk. A piracy policy from Catlin covers all possible contingencies and incorporates specialty coverage including additional security measures and crew safety. Don’t set sail until you’re covered. For more information, contact your insurance broker or visit Catlin.com SpeCialty inSuranCe | reinSuranCe

Insurance Risk management executive Colin Gillespie

“Operators should therefore seek to ensure that the agency they use is employing local security forces that are on duty, and as such are an informed and legitimate part of local intelligence and military networks,” says Gillespie. “All shipowners should seek expert legal and technical advice before entering into a contract to engage armed guards to protect their vessels in west Africa.” Recent figures released by the International Maritime Bureau indicated there were 58 incidents in the Gulf of Guinea last year, including 10 hijackings and 207 crew members taken hostage. Unlike Somali pirate attacks, many of the attacks are against stationary ships and involve sophisticated criminal gangs operating across national boundaries as well as politically motivated militias. The new briefing includes guidance from the recently published Interim Guidelines for Owners, Operators and Masters for Protection Against Piracy in the Gulf of Guinea Region developed by BIMCO, the International Chamber of Shipping, Intercargo and Intertanko.

Considered response

Floating armouries

Developments in West Africa and floating armouries are just two of the insurance issues that are being talked about relating to piracy response

hipowners considering employing armed guards to protect their ships from pirate attacks in West Africa need to be extremely careful, according to new guidance published by North P&I club. According to the club’s new loss prevention briefing, West African Piracy, standard solutions and contracts for hiring armed guards on the other side of Africa, such as BIMCO’s Guardcon form, may be inappropriate for the very different situation in the Gulf of Guinea, Bight of Benin and Bight of Bonny. “BIMCO Guardcon has been drafted specifically in response to the piracy situation in the Indian Ocean and the circumstances found in West Africa are quite different,” says the club’s Risk Management Executive Colin Gillespie. A major difference is that

private armed guards are prevented by law from operating inside territorial waters of coastal states in the region and authorities are known to enforce these regulations vigorously. “Local laws require that armed guards should be from the local security forces,” says Gillespie. “This introduces potential safety, security and political issues with the use of such guards, particularly if a vessel needs to operate in the territorial waters of more than one coastal state in the region.” According to North, employment of local security force armed guards customarily takes place via a local agency, but the club is aware that some agencies have been employing off-duty armed guards at less cost. This has led to further problems, such as suspension of legitimate armed guard services by a coast state in the region.

Spring 2013

The Sri Lankan government’s decision to mandate the use of offshore armouries could potentially invalidate UK private maritime security companies insurance and affect their ability to win or retain security contracts from shipowners, insurers Marsh say. According to Marsh, those most likely to be affected are UK PMSCs that breach the UK government’s Export Control Order of 2008, which controls the trade and export licensing of military and dual-use goods and regulates the use of third-party floating armouries. Sri Lanka is one of the key strategic points for armed transit in the Indian Ocean, with many PMSCs commencing and completing transits at Galle. However, third-party floating armouries are currently not approved under the terms of the ECO, meaning that UK PMSCs using the facilities are likely to be acting unlawfully. In the absence of careful reworking of insurance clauses, some UK PMSCs may find their insurance for transits invalidated where an unapproved armoury is used, either before or after a transit commences. Nick Roscoe, a managing director in Marsh’s marine practice, explained: “Many PMSCs are caught in a perfect storm with statutory, contractual and common law factors potentially invalidating their insurance cover. We doubt that any insurer would underwrite business they may feel unable

Maritime Security International

Be prepared for the German flag state approval Be prepared for ISO 28007 Be prepared for insurance requirements Contact Marine Risk & Quality: Gesellschaft f체r maritime Risikobewertung und Qualit채tsbemessung mbH Herrlichkeit 5-6 | 28199 Bremen | Germany Telephone: +49(0)421 5907-140 | Telefax: +49(0)421 5907-4140 www.mrquality.de | Email: contact@mrquality.de

Insurance Nick Roscoe, a managing director in Marsh’s marine practice

testing of contaminated sites; clean-up and decontamination management; and liaison with government authorities. The policy covers contamination by “chemical weapons” as well as contamination caused by legitimate but toxic chemicals that can be used in a terrorist attack. The broadest coverage is currently only available for UK-domiciled risks. However, variations of the product are available to assureds worldwide. According to Catlin underwriter Will Farmer: “The UK Asymmetric product is a unique solution for assureds that goes far beyond current terrorism insurance offerings, either from state-backed terrorism pools or private insurers. Catlin’s partnership with SecureBio is key to this product. SecureBio is a pioneer in this field with a highly experienced team of operators and has a proven track record in dealing with CBRN incidents.”

to honour in the event of a claim. However, the terms of their reinsurance programme may mean that they are unable to make what would be, in effect, an ex gratia payment. “If unresolved, this situation could drive PMSC work out of the UK. This would be a serious blow to a fledgling UK industry, which has worked very hard to carve out an elite reputation within the global maritime community.” Marsh has made crucial amendments to its SAMI insurance facility. These amendments are designed to make it clear that Marsh’s PMSC clients remain covered for losses that occur in their business operations and that do not arise directly from the unlawful use of a third party armoury. “Marsh is committed to ensuring that its clients have the insurance protection they need under these challenging circumstances. By making these amendments to our PMSC facility our clients, regardless of where they are based, can take comfort that their insurance provision is enforceable, should a loss occur,” added Mr Roscoe.

Terrorism insurance Underwriting subsidiaries of insurers Catlin Group have introduced a new terrorism insurance product that includes unique crisis response services, as well as coverage for chemical, biological, radiological and nuclear losses.

Beazley has launched the Gulf of Guinea Piracy Plus, the first tailored piracy policy of its kind designed specifically for shipowners with vessels operating in the region. The product combines cover for both the kidnapping of crew for ransom and the illegal seizure of the vessel for theft of cargo along with the inclusion of a tailored risk assessment and comprehensive incident response service provided by Maritime Asset Security and Training (MAST).

The ‘UK Asymmetric’ product, underwritten by the Catlin Syndicate at Lloyd’s and Catlin UK includes comprehensive coverage of property damage, business interruption, general and employers’ liability, clean-up costs and consultancy expenses arising from an act of CBRN terrorism or a threat of terrorism

The service provided by MAST includes a threat and risk assessment, safety guidance on operating in the Gulf of Guinea and optional 24-hour vessel tracking. In the event of an incident, ship monitoring and cargo tracking takes place and an armed security team will be deployed when the vessel has been released by pirates to aid the safe return to the shipowner. MAST’s regional presence will ensure that incident response times are fast and risk assessments can be undertaken locally.

UK Asymmetric includes pre-incident support and post-incident response services provided by SecureBio, a UK-based firm that specialises in providing high-security solutions delivered by experienced CBRN experts. The unique services that can be provided by SecureBio include: reviews of CBRN resilience plans; crisis response training; quarterly threat intelligence updates; rapid post-incident response, including field

Michael Sharp, Kidnap and Ransom Underwriter at Beazley Group, said: “The risk of piracy off West Africa is significant. Unlike attacks off Somalia where hijacks focus on holding the crew for ransom, the pirates in the Gulf of Guinea usually focus on the theft of cargo where the associated costs are not covered under a standard piracy policy. As such, we recognised there was a need for a tailored service for ships operating there .”

Spring 2013

Maritime Security International

Corporate viewpoint POLICY & FORUMS

Ensure a secure start

The most effective deterrents against piracy should be built in, not retrofitted, says Peter Dobbs from Catlin

rotection from pirate attack should be an integral part of ship construction, not an expensive retrofit, says K&R underwriter Peter Dobbs. In the past five years, Somali piracy has probably cost the shipping industry more than $1bn in direct expenses alone: ransoms, ship hardening, armed guards, kidnap and ransom (K&R) insurance, professional fees, refuelling and repairs all add up. Making ships less vulnerable from the outset would save money and give owners a competitive advantage. The threat from piracy is far from over, even though the level of attacks from Somalia has fallen considerably, largely as a result of armed guards on ships transiting the danger area. Violent robberies and even hijackings are, however, becoming more common on the west coast of Africa, in the Gulf of Guinea. The dangers off Nigeria, especially in the Niger Delta, are well known, but pirate activities are fanning out. The first hijacking off Ivory Coast was reported in October 2012, when men armed with knives and sub-machine guns boarded a tanker carrying 30,000 tons of gasoline. In January 2013, armed men hijacked the Panamanian tanker ITRI carrying oil to Abidjan and siphoned off $5m worth of fuel. Such piracy is not just expensive for owners, it also ruins the lives of seafarers. Many of those who have suffered violence or captivity at the hands of pirates never go back to sea.

Since piracy is clearly not going to disappear – it dates back centuries – it makes sense to have anti-piracy measures built-in as part of the ship’s safety precautions. The maritime industry can look at airlines as an example. Since the 9/11 terrorist attacks, cockpit doors have been armoured and access restricted.

“A structured and layered defence is crucial, from long-range observation to a citadel where the crew can take refuge if necessary”

Piracy 2012 sk

Managing the Ri

For more information, contact: Catlin Asset Protection Tel: +44 (0) 207 626 0486 E-mail: CatlinPiracy@catlin.com Website: www.catlin.com

Piracy 2011

A Report by ion Catlin Asset Protect ited

Catlin Group Lim

A Grow ing Me nace

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Guides to managing risks

Maritime Security International

Spring 2013

Corporate viewpoint Pirates need to be deterred from attacking the vessel and prevented from gaining control or harming the crew if they do manage to board. A structured and layered defence is crucial, from long-range observation to a citadel where the crew can take refuge if necessary. The fourth edition of Best Management Practices for Protection against Somali Based Pirates (BMP4), published in August 2011, sets out the minimum recommended measures to harden ships against boarding and to protect the crew. These precautions are, however, almost always implemented for the voyage or retrofitted, if permanent. Features added later, such as a citadel, are commonly subject to constraints that could be overcome if they were designed and built into the vessel at the time of construction. They are also likely to be more robust and, for passenger ships, they can be made more attractive than rolls of razor wire. Another consideration is that some owners may want to continue using armed guards in the

riskiest situations. Many coastal and flag states remain concerned about the guards and their weapons, despite their demonstrated effectiveness as a deterrent. Controlled access and secure storage on board for weapons, bonded to the vessel, may be more acceptable to these authorities than floating armouries. Measures recommended in BMP4 are also likely to be less expensive if included in the ship design and built in during construction. They are also less vulnerable to operational error than temporary features such as razor wire. Insurance, the final element of managing a risk, also becomes more affordable when the ship is well secured. The price of K&R insurance has fallen sharply thanks to the reduction in Somali-based hijackings and gives owners and operators the comfort that they have taken all the reasonable measures to reduce the risk of piracy affecting their business. Peter Dobbs is marine kidnap and ransom underwriter for Catlin Asset Protection.

GULF OF GUINEA RISK MAP 2013

Security Risk Forecast

 Negligible Risk

 Low Risk

 Moderate Risk

 High Risk

 Extreme Risk

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 High Risk Areas

Boundaries and names shown do not imply endorsement or acceptance by Drum Cussac

Gulf of Guinea

Spring 2013

Maritime Security International

Corporate POLICY &viewpoint FORUMS 42

Quality reassurance

Shipowners need to take steps to ensure they are receiving a quality service from private maritime security companies, as Nick Roscoe explains

t is relatively common for newly launched private maritime security companies (PMSCs) to try to distinguish themselves from the competition by highlighting the quality of their services. While the intent is noble, the reality is that many PMSCs are finding themselves under ever-increasing pressure to reduce daily transit rates to remain competitive. As the “race to the bottom’’, as many are calling it, plays out quality is inevitably compromised, although there are certainly some firms that continue to fight against this tide. The dilution of “quality” is now a cause for alarm for PMSCs and shipowners alike and this article examines the obvious signs and the more hidden features of reduced quality in the services PMSCs provide. The most obvious signs of cost cutting relate to the operatives that a PMSC uses. For some time, we have seen reductions in team size, in many cases to three men, but there is anecdotal evidence that some PMSCs will happily provide just two. There are also horror stories of teams made up of people from different countries, who have never worked together before, who do not share a common language, making it necessary to communicate in sign language or by using the crew as translators. Another obvious area of economy is in the equipment. The better companies dispatch teams that have sufficient ammunition, appropriate rifles that are properly licensed and serviced, good body armour, medical supplies and

observation equipment. Conversely, there are still PMSCs who will dump AK47s and shotguns overboard rather than incur the wrath of the authorities. In addition to the very conspicuous physical signs that a PMSC is offering an insubstantial service, there are less visible signs which, we believe, are not being captured by accreditation. The first issue concerns legality. In the

“Opportunistic PMSCs regard their insurance as a license to trade, rather than protection for themselves and their shipowner clients”

absence of clear drafting that deals with the statutory, contractual and common law impediments to cover the unlawful acts of an insured will, in the majority of cases, render an insurance policy unenforceable. For example, this means that PMSCs that unlawfully use unapproved third party floating armouries (we are not aware of any approved by the UK government at the time of writing) will, in most cases, find themselves effectively uninsured when claims arise. This leaves the

For more information, contact: Nick Roscoe Marsh’s Marine Practice. Tower Place Lower Thames Street London EC3R 5BU Tel: +44 (0)20 7357 1000 E-mail: Nicholas.roscoe@marsh. com.

Serving the shipping industry: Marsh’s London headquarters

Maritime Security International

Spring 2013

shipowner at risk of having to pick up the bill. Other areas for concern include the illegalities surrounding the carriage or dumping of unlicensed arms. The more short-termist or opportunistic PMSCs regard their insurance as a license to trade, rather than a form of protection for themselves and their shipowner clients. Those PMSCs that remain genuinely dedicated to quality are now taking steps to ensure that their insurance policies are legally enforceable, that they cover their operating model and that cover is provided by underwriters that have the necessary experience, valuable insight and industry connections to ultimately deliver when there is a claim. When selecting insurance provision, a prudent PMSC will investigate both their broker and the underwriter’s ability to respond to claims as they arise. A guard is just as likely to slip off a ladder or fall into a hold (marine risk) as they are to get shot (security risk). When this happens, the PMSC needs to know that their broker and insurer have experience of the various maritime conventions, that they already have working relationships with maritime lawyers, surveyors, correspondents and the P&I Clubs so that they can move quickly when an accident happens. We believe that shipowners will also expect the PMSCs that they hire to get their liability claims settled efficiently, not only so that they get reimbursed quickly under the “knock for knock” provisions, but also because there can be a serious reputational risk for a shipowner if a PMSC cannot effect a quick medevac or they fail to get to grips with an incident. These issues leave shipowners in a quandary. In this relatively new and fluid industry, the perceptions of reputations may not match the reality. It depends on whom and when you ask whether yesterday’s villain is today’s angel. What is clear is that the highest quality is not available at the lowest cost. It is difficult to see what steps shipowners can take to evaluate whether they are getting value for money without conducting rigorous due diligence on the visible and less visible features of the services that their PMSC is offering. Nick Roscoe is a managing director in Marsh’s Marine Practice

Insurance

Dear added: “Members of the Willis team have designed offshore dismantling and removal insurance programmes for some of the largest projects in the world. We firmly believe that, in conjunction with our decommissioning security product, our new offshore dismantling and removal facility places us at the forefront of risk transfer solutions for platform decommissioning activity.”

Amlin acquisition

mlin has entered into an agreement to acquire RaetsMarine, a managing general agent ranked in the top three global providers of fixed premium marine liability protection and indemnity. The acquisition consists of $50m split between cash and Amlin shares, with up to a further $15m payable 24 months after completion, depending on RaetsMarine’s hull and cargo claims ratios for the three underwriting years up to and including 2012. Amlin has written the majority of RaetsMarine’s business for the past 10 years.

Dismantling offshore platforms

s many oil and gas installations reach the end of their productive life, the energy industry faces new risks associated with decommissioning and dismantling these platforms, Willis Energy has warned. In the years ahead, a significant number of offshore oil and gas platforms will be decommissioned. In the North Sea alone, for example, it is estimated that over the next few decades, the total costs associated with offshore decommissioning could reach £30bn. “Dismantling and removing large offshore platforms, particularly those located in inhospitable environments, is a serious operational and logistical challenge. But, increasingly, legislation compels companies to do this,” explained Chris Dear, Managing Director of Willis Energy. “As a result, energy companies face a number of significant risks, including seepage and pollution and complex contractual liabilities.”

The acquisition is a key part of Amlin’s strategy to grow its marine business and provide its clients with a comprehensive range of marine insurance products, the company said. “As an acknowledged leader in the fixed premium P&I market, RaetsMarine is well placed to exploit further growth and dislocation opportunities in the market. “Major platform operators and leading insurance underwriters believe that the unique exposures arising out of these specialised projects require a bespoke insurance policy,” he continued. To assist clients with these challenges and help them manage the risks arising from decommissioning offshore oil and gas platforms, Willis has launched an offshore dismantling and removal insurance facility, in conjunction with a group of marine and energy insurers committed to underwriting this class of business. The policy is designed to address specific decommissioning risks, including contractual liability exposures. The policy also covers seepage, pollution and contamination risks. Willis has extended standard removal of wreck cover to also address the high-profile heavy lifting risks unique to decommissioning projects. The policy also provides platform operators with extra cost and expense cover and, if required, physical loss and damage cover. Willis has also developed a risk matrix to help clients assess their exposures.

Spring 2013

“There continues to be an increase in the number of shipowners moving away from traditional sources of cover provided by P&I mutuals to seek fixed premium programmes. This growth is expected to continue with Solvency II likely to place additional capital strains on the mutual sector. In addition, Amlin will be able to leverage its existing presence in London and Singapore to attract new business to RaetsMarine.” Simon Beale, Chief Underwriting Officer for Amlin said: “Amlin has ambitious growth plans for our global marine business and this acquisition represents a key part of our international strategy. We look forward to building on the opportunities it presents.” Folkert Strengholt, Managing Director of RaetsMarine, commented: “Having worked with Amlin for a decade, we look forward to becoming part of the group. This transaction makes enormous sense as it will enable us to provide our clients with a broader marine insurance offering and to benefit further from the close working relationship we already have with Amlin.”

Maritime Security International

Ellis Clowes Maritime Ad revised (2) 19/02/2013 10:53 Page 1

As the leading specialist broker to implement Guardcon guidelines into our wordings, all Maritime Security cover is both ISO PAS 28007 and Guardcon compliant. All cover can be tailored to fit the unique needs of our client base:

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Get Guardcon compliant insurance with GuardTrackTM GuardTrackTM will give you peace of mind that your insurance partners will deliver in times of crisis. Chesterfield is a Lloyd’s Broker and a leading provider of insurance solutions and advice for the Maritime Security Industry. In association with Lloyd’s underwriters, we have developed GuardTrackTM, a policy package that is recognised by the Maritime Security Industry as the leading product for Guardcon-based contracts, allowing the PMSC to win business with Guardcon compliance and reduced voyage costs.

Contact your GuardTrackTM team: We are just an email or phone call away. Simon Cassey scassey@chesterfieldgroup.co.uk Hanna Streng hstreng@chesterfieldgroup.co.uk T: +44 (0)20 7481 1683

www.chesterfieldgroup.co.uk Scan to see our website

Insurance US disclosure warning

TIC has warned that onerous documentary disclosure rules in the US courts can drastically increase the cost to shipping interests of defending even without-merit claims.

In the latest issue of its Claims Review, ITIC cites a case involving the manager of a number of cruise ships who was sued by a shipowner in a US court for alleged failure to oversee maintenance, for negligence in the provision of manning advice, and for negligence in relation to stability problems experienced by one of the owner’s ships. The owner alleged that theses breaches of contract caused it to incur increased maintenance and repair costs, and to lose profits. In total, it claimed in excess of $20m. ITIC notes that an enormous amount of documentation was requested by the plaintiffs in this litigation. There were demands that the manager produce over five million documents, and such was the magnitude of the request for documentation that the court ordered that a specialist company be employed to track emails specific to the management of these vessels. The costs of the court-appointed email tracking firm were $350,000, while the average monthly legal costs incurred were $110,000 for each of the 12 months prior to trial.

Unpaid crew wages

pecialist marine insurance intermediary Seacurus has launched a new insurance policy to indemnify seafarers in the event of the financial default of their employers which, for the first time, offers recompense in respect of unpaid crew wages. The policy will enable all employers of seafarers to meet their regulatory obligations under the Maritime Labour Convention 2006 (MLC), which enters force on 20 August, 2013. The new policy, CrewSEACURE, provides up to $10m of cover in the event of an employer’s financial default. It includes personal accident protection and covers medical expenses as well as subsistence and repatriation costs. It will also respond, unlike any other product currently on the market, in respect of the non-payment of seafarers’ wages, for a period of up to six months. CrewSEACURE is underwritten by first-class A-rated global insurers in the Lloyd’s and Company markets in London. It offers an independent roundthe-clock claims service managed by Thomas Miller Claims, the world’s leading maritime ‘people claims’ service provider. It also includes a claims mandate which protects the interests of shipowner and seafarer alike to ensure a fair claims process. A 24-hour helpline is available for seafarers and

At an early stage, the manager and ITIC concluded that the case was without merit. But ITIC recognised that the substantial legal costs likely to be incurred (which the winning party cannot recover in US litigation) meant that, if a sensible settlement offer was made, it would be considered. At no stage, however, was such an offer made by the owner, which continued to hold out for its original claimed amount. When the case came to trial, the court dismissed all the claims. The owner appealed and the manager put in a counter-claim for its fees, costs and other expenses incurred. This helped to shorten the appeal process as the owner eventually dropped the appeal and motion for fees and costs, and paid the manager a settlement of $375,000 to ensure that the manager dropped his counter-claim. Although the manager comprehensively won the case, the legal costs incurred, which were covered by ITIC, still amounted to $2.7m.

Thomas Brown, managing director of UK-based Seacurus

Spring 2013

their advisers, who are afforded direct access to the insurers’ claims adjusters. In order to deliver the CrewSEACURE product to market, Seacurus will act as managing general underwriters with access to Lloyd’s security led by Brit Syndicates Ltd and companies’ market security provided by Aspen Insurance UK Ltd. CrewSEACURE provides cover which meets flag state and port state control approval, and is authenticated by a ship-specific MLC2006 insurance certificate to demonstrate compliance with the Maritime Labour Convention. Comprehensive cover is provided at low cost, with premiums of as little as 50 cents perseafarer per-day available. Thomas Brown, managing director of UK-based Seacurus, says, “CrewSEACURE has been designed to cover the requirements of MLC. The shipping industry faces economic challenges. Not all shipowners and operators will survive the current global recession, and this will inevitably have a knock-on effect on those seafarers who are caught up in the resulting bankruptcy cases. Just recently, for example, we saw arrest orders issued by a court in the Far East in respect of two tankers after crew complained they had not been paid for almost three months. “The fact is that any cover that does not provide for the indemnification of unpaid wages fails to adequately protect seafarers against the real risk of abandonment. History shows that the only way for seafarers to recover unpaid wages in the absence of any form of financial security is to remain on board until the ship is sold. This serves only to make matters worse for the shipowner as well as for seafarers and their families, who suffer further financial loss and hardship as a result of the long delays that can accompany the judicial sale of a vessel. CrewSEACURE removes the need for seafarers to remain on board an abandoned vessel by ensuring that they receive their unpaid wages before being repatriated home to seek new employment opportunities.

Maritime Security International

Interview Chief Operating Officer Paul Slater

of Toney Capital Holdings, a marine related holding company headquartered in Fort Lauderdale, Florida and the original investor in WatchStander, providing funds for the software development provided by Applied Research Labs. Toney Capital also owns US-based National Liquidators and the global shipping organisation National Maritime Services. “Toney brought me in as chief operating officer to put the company into shape and get some more investment capital to finish off the development of the product – and then get out there and market and sell it,” Slater explains. This process has already started, he says. The WatchStander product has been successfully tested over several days on lakes in Virginia with simulated attacks being made on the vessels that formed part of the testing process.

Keeping a close watch Maritime Security talks to Paul Slater, COO of WatchStander, as the marketing drive for this anti-piracy device steps up

on-lethal deterrent WatchStander was unveiled in September last year, and this year has seen its move into the market boosted with the appointment of Robert Toney as Chairman and Paul Slater as Chief Operating Officer, joining founder, David Rigsby, and retired US Navy Admiral Mark Fitzgerald on the management team. WatchStander is a new system that fully automates and integrates the anti-piracy process, from detection to identification to non-lethal deterrent and disruption. The system eliminates the element of surprise and greatly reduces the probability of a successful attack. WatchStander has been

Maritime Security International

successfully tested on the water and is currently, in the final stages of product development at the Applied Research Laboratory of The Pennsylvania State University. As Chairman and CEO of First International Corp and a global financial advisor to the maritime and energy industries, Slater’s knowledge of the shipping and finance industry will play a strong part in further developing the investor base required to bring WatchStander to market. He explains that Toney has bought the majority of the company and now owns about 85% of it, along with founder David Rigsby. Toney is the Chairman

Spring 2013

According to Slater: “We are comfortable with that and we are now working with the maritime administration to get it deep-ocean-tuned. We know it all works; it’s now a question of tuning it, principally from a location point of view on the ships and getting it on a big ship. We are hoping to get it on one of the very large ro-ros that the Maritime Administration or the Military Sealift Command have and tune it.” The next stage will be finalising the research and development side of the process to be followed by a “much more aggressive marketing programme to get it installed” Slater says. He adds that he has had a lot of discussions with owners and ship managers. “The reception has been extremely good because it provides a significant, non-lethal level of real protection by reason of being able to find potential attacking units at a far longer distance and deal with them with various unpleasant measures that will hopefully persuade them not to come any closer.” Unpleasant measures include a PeakBeam strobe light that exposes potential attackers to the risk of temporary blindness if they continue to approach the vessel. Directional “warbling” loud hailers could be used to emit sounds at decibel levels that would progressively prove intolerable. The techniques were pioneered by the US Navy through the advance research laboratory in Penn State University. The navy, along with all other elements of the US military, has established a special division that is concentrating on non-lethal deterrents covering a range of areas. “I think we are very lucky to have the exclusive rights to this

Interview

licenced to us and patented. It is really up to me and the rest of the team to get people to use this, install it and pay for it.” Slater has already visited a number of conferences this year with the objective not so much of directly selling the product, but getting reactions to it. These have been extremely good, he says. Obviously, the product can be marketed as an antipiracy deterrent. It is essentially an IT product, all the components of which can be bought off the shelf, Slater explains, but the key is bringing them together with a standard radar and a standard radar screen. “All the information that the radar picks up is then completely re-mangled by the black box. ”That is where the advantage comes that you can see, identify and track potentially dangerous things at sea, but you can also do it on land,” Slater says. “I am very fortunate that one of the people who is working with me is Admiral Mark Fitzgerald, a four star admiral in the US Navy. He is tremendously helpful and is somebody who really understands not just piracy, but the protection of assets. Our objective here is to keep these people away.” While there is another school of thought that advocates shooting the attackers, Slater

describes this as a “Victorian” approach. “I think it is a hazardous route to go down because who is going to make the decision when and where to shoot them?” Slater says he respects some of the armed guard companies, but says there is no active licencing method and the companies operate at different levels with different price structures. He does not disavow other methods, but “our objectives are completely different. With the sophistication of the black box that has been created, this is a system that learns and memorises things, which is not something that is used very often on ships. We believe that, if this is successful, it will be a turning point in ships’ radar. Ships’ radar is really very unsophisticated.” He believes that the product will be of assistance in collision avoidance, for example. The system can also be used on land. “We took the view with some conversations with the military that if the system had been on the BP gas plant in Algeria, it would probably have given the plant a couple of hours to do things before the terrorists arrived.” In the same way, he says, if on a ship with armed guards as watchkeepers, they will be using binoculars and the radar, “but the radar doesn’t

Spring 2013

specifically identify anything, and if the rules of engagement, which still haven’t been agreed, are that you have got to identify the pirates and make sure you can be certain they have guns, you can’t do that beyond about 300 metres. You have a situation that by the time you see them, you have about 10 minutes before they arrive. That is not much time to get prepared. What we are doing is pushing this back miles, hoping to give the ship another hour or hour and a half.” The plan is to market the product not just to shipowners, but offshore rigs and platforms and onshore installations looking out to sea. “The key is the black box, which is a thinking computer that is constantly updated and we will be upgrading it as you would with any other IT product.” It can be tailored, and equipment could be varied from light and sound to other things, either of an observant or deterrent nature. One issue on ships is where to place the equipment to ensure that the system does not interfere with the existing radar system and the placement of counter measures depending on the size of the ship. “Our objective is to install some of these systems on a test and buy basis and work with major owners or managers to get feedback from them.”

Maritime Security International

14th Official Update

Implement a cost-effective, high-impact security strategy to more effectively manage the East African piracy threat Benefits of attending the world’s leading piracy event • Benefit from a new focus on cost-effective high-impact security: Identify the latest technologies that will out-perform your current solutions to maximise the security of your crew • Generate a collective response to current and emerging threats: Join Svitzer, Columbia Shipmanagement and CMA Ships UK as they determine how to most effectively tackle the piracy threat • Navigate the maze of new rules and regulations that will dictate how you protect your crew: IMO and BIMCO explain how you will be affected and what you need to know to be prepared • Turn your attention to the evolving threat in West Africa: Make sure you continue to provide maximum security to your assets in the Gulf of Aden whilst staying on top of the emerging threat in the Gulf of Guinea

23rd April – 26th April 2013 Hamburg Book early and save up to €700 18 expert speakers including Rajaish Bajpaee Chief Executive Officer Bernard Schulte Shipmanagement Tim Engell Pedersen General Manager, HSEQ, DPA Herning Shipping Stein Olav Hagalid CDR SG (NOR N), Branch Head NCAGS/NATO Shipping Centre, Maritime Command Northwood Filip Herremans Continuous Improvement Manager Exmar Shipmanagement Rob Twell Quality, Safety & Security Manager DPA / CSO CMA Ships UK

Pre conference workshop day: 23rd April 2013 A) CSO-Only Best Practice Benchmarking Forum B) Fresh Insights Into How To Pass Port State Control Inspections Steven Jones, Maritime Director, Security Association for the Maritime Industry (SAMI)

Russell Burnett Regional HSSEQ Manager Svitzer Middle East

Post conference workshop day: 26th April 2013

Daniel Musafia CSO Columbia Shipmanagement

C) West Africa Security Threat Focus Day Steve Phelps, Managing Partner, Security & Intelligence Solutions

Hartmut Hesse Adviser To The SASG On Counter Piracy Matters International Maritime Organisation

Praise for the Combating Piracy event series

“Combating Piracy Hamburg has become the de facto reference point on the European maritime security calendar” Maritime Security Review

Tel: +44 (0) 203 141 8700

Fax: +44 (0)20 7222 2685

www.piracy-europe.com

Peter Cook Founder & Security Director Security Association for the Maritime Industry (SAMI) Peter Dobbs Head of Asset Protection Catlin

Email: info@hansonwade.com

»»

The Secretary-General’s own initiative for an “Accident Zero” campaign, in conjunction with the International Association of Marine Aids to Navigation and Lighthouse Authorities (IALA).

He added that, in the first instance, IMO should consider establishing a mechanism for the collection and collation of statistics on lives lost to enable formal, official figures to be produced.

North medical initiative North P&I club has launched a new scheme to help its members ensure their Filipino crew members receive the most efficient, highquality treatment when repatriated to the Philippines as a result of injury or illness at sea. A clinic in Manila has been appointed to operate the scheme, which should also help shipowners avoid being billed for unnecessary treatments that they are not legally or contractually responsible for. In North’s experience, seafarers repatriated to the Philippines are frequently diagnosed as having numerous ancillary complaints that are either pre-existing or otherwise incidental to the medical condition they were sent home to recover from. Paying or contesting high medical bills falls on shipowners either way, through P&I insurance deductibles or via increased P&I premiums.

Crew care

Cutting the number of deaths among seafarers, crew welfare initiatives and providing them with advice on new regulations are just some of the recent moves to help seafarers

MO Secretary-General Koji Sekimizu underlined his commitment to halving the number of lives lost at sea at the opening of the Sub-Committee on Fire Protection. He belived that cutting the number of lives lost at sea and eradicating pirate attacks, as well as ensuring the release of all hostages can, and should, be legitimate targets, for the organisation and for shipping in the years to come. Sekimizu said that the number of lives lost annually at sea has been over 1,000 for each of the past five years. Despite the difficulty in obtaining precise and reliable data for such losses, he said that approximate figures for 2012 included

According to claims executive Gary Clifton of North’s personal injury team, “The benefits to repatriated seafarers are the timely provision of excellent health care and the completion of the necessary treatment as soon as possible allowing them to resume work at the earliest opportunity.

approximately 100 lives lost in the fishing sector, 400 in domestic operations and around 500 in other categories, including international shipping. An ambitious, but achievable target, he said, would be to aim for a 50% reduction, to no more than 500 lives lost annually, by 2015. He said that the matter could be addressed at the IMO Symposium on Future Ship Safety in June, and identified a number of mechanisms that could help the target to be reached, specifically: »» Implementation of the Torremolinos Protocol through the Cape Town Agreement, to improve fishing vessel safety »» IMO’s Technical Co-operation activities in the field of domestic ferry safety

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“For shipowners, the scheme will help to ensure the avoidance of unwarranted treatment, which in turn can result in inflated and unnecessary medical costs and expensive and time-wasting disputes in arbitration under the employment contracts. Unnecessary treatment and disputes also delay a seafarer’s return to work, exacerbating crew shortages. “By selecting and using the vetted and trusted clinics in the scheme, members can be sure their seafarers will be promptly treated for their specific medical condition until it is either resolved or deemed a permanent disability. Appropriate costs and benefits can then be paid to the seafarer and clinic without the risk of delays or disputes,” says Clifton.

Maritime Security International

Seafarers Executive Gary Clifton of North’s personal injury team

their fingertips, and the web app uses a web browser as a client, meaning a seafarer need not install any software. The app instinctively adapts to desktop computer monitors and mobile phones, and seafarers can “ping” the content to home screens for easy access.

The first clinic operating North’s scheme is Ship to Shore Medical Assist in Makati City, Manila, headed by medical director Dr Marilar De Guzman. A second facility is currently being trialled. Liaison between the club and the clinic will be carried out by North’s local correspondents Pandiman Philippines and Del Rosario & Del Rosario.

Environmental app An initiative to provide advice to seafarers on the US’s environmental regulation has been developed by the Seamen’s Church Institute in conjunction with the National Fish and Wildlife Foundation and the Massachusetts Maritime Academy to give seafarers an easy way to brief themselves on US environmental laws. A new web app, enviroguides.us, allows merchant mariners to use the web browser on any device (mobile phone, tablet or computer) to inquire about and search a constructive summary of the laws affecting seafarers when operating in American coastal waters. “In the past few years, seafarers entering US waters have encountered vigourous and frequent investigations and prosecutions of environmental crimes and related offenses. To help navigate the sea of authoritative statutes, last year SCI whittled down volumes of US environmental regulations on discharge and pollution into practical guides. A new electronic version of these guides takes them one step further in accessibility,” the SCI says. SCI designed a new web app specifically with seafarers in mind, giving them access to US environmental regulations from anywhere in the world. Seafarers no longer have to search indices or leaf through pages to find pertinent information. Key search terms and icons put information at

Maritime Security International

Within SCI’s web app, seafarers can download pamphlets, PowerPoint presentations and ask questions of advocates at the Institute. The web app brings in other useful content on US environmental laws to help seafarers, too. SCI integrates the short film presented by Marine Defenders, Oil in Our Waters, along with an iPhone app developed by the Marine Defenders Project for reporting pollution. “Seafarers encounter many different types of waste during the course of their work, all of which they must dispose of according to national and international laws and regulations. On the front lines of maritime operations, seafarers stand most able to help the US monitor and keep its waters safe and clean. With this new web app, SCI equips seafarers with facts on applicable practices and reporting information so they can make informed decisions about actions on board and activities ashore,” the institute says.

MLC checklist The latest in a series of successful pocket checklists will support masters, officers and managers in preparing for inspections against the requirements of the Maritime Labour Convention 2006. Lloyd’s Register and the UK P&I Club have developed the ILO MLC Pocket Checklist in both a conventional format and, for the first time ever, a smartphone app, to help ship operators comply with the convention’s requirements and reduce the risk of port state control detentions. The International Labour Organisation’s (ILO) Maritime Labour Convention (MLC) was introduced to help ensure that all seafarers, regardless of their nationality and the flag of the ships they work on, can enjoy decent working and living conditions. The MLC was ratified in August this year and will enter into force UK P&I Club Director Karl Lumbers

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in August 2013. Ship operators, crews and their managers are looking for assistance in ensuring compliance with the new convention. The pocket checklist app serves as an interactive tool that enables ships’ crews and their managers to view the requirements of the ILO MLC and check off required activities as they are completed. The app is free and available for iPhone, iPad, Android devices, Windows phone and BlackBerry. Lloyd’s Register has now produced six pocket checklists in a series that address regulatory compliance requirements. They have been highly popular with the marine industry worldwide. Captain Jim Barclay, Lloyd’s Register’s port state control specialist said: ”The hard copy versions of our PSC pocket guides are seen by the marine industry as extremely useful for crew members to use as an aide memoir to help reduce the risk of PSC detention. With advances in technology it was felt that an electronic version of this pocket guide could be of further help, so we have developed an easy to use app that will benefit both ship and shore based personnel in the course of their duties.” The UK P&I Club has been a strong supporter of the Lloyd’s Register pocket checklists. Director Karl Lumbers, commenting on the latest release, says: “The MLC represents a significant change to the regulation of employment terms and working conditions for seafarers. It consolidates and updates more than 65 international labour standards adopted over the past 80 years. For the first time, it creates a system of certification and inspection to enforce those standards. Masters and senior officers taking steps now to ensure their ship is compliant with MLC will need support. We believe this pocket guide will help those at the sharp end enormously.”

Deterrents MAST perimeter protection

he Perimeter Protection System by Maritime Asset Security and Training (MAST) is now available for superyachts in the new-build as well as refit stage. The system has been put to test on a 70-metre, German-built yacht and is now being promoted for uptake among others looking for a bespoke security system. “We are helping designers and manufacturers to design in a wide range of bespoke security measures both at construction and when they are refurbished,” said David Gates, MAST Technology’s head of sales. Gates added that MAST Technology, a subsidiary of the security organisation and services provider, has seen a recent upturn in the amount of enquiries from owners for security consultation. In particular as a result of Egypt’s January riots, the company has seen more requests for armed protection in the Suez Canal. “We’re receiving more requests for security consultations and VIP close protection support from superyacht owners due to the deteriorating security situation in parts of North Africa,” he said.

Pre-emptive strikes

“The Suez Canal is a key route in the seasonal move of superyachts from the Mediterranean and, as a result, owners are relying on measures such as armed transit teams to ensure the safe passage of their vessels.”

Piracy deterrents come in all shapes and sizes, from razor wire to stun guns. We take a look at some of the latest on the market

MAST’s superyacht Perimeter Protection System uses computer-stabilised analytics to select, track and alert the yacht’s crew to whoever approaches the yacht unannounced.

It is designed with three layers of integrated intruder detection operated through a touch screen interface. Its 360o field of vision makes it able to detect approaching craft at distances of over 400 metres.

he US Ministry of Defense has spent a number of years developing the “pain ray” – Active Denial Technology.

Active Denial Technology produces a focused beam of directed energy to provide troops with a non-lethal option to stop, deter and turn back suspicious individuals with minimal risk of injury. Active Denial Technology is designed to protect the innocent, minimise fatalities and limit collateral damage across a range of military operations. The technology uses radio frequency millimetre waves at a frequency of 95 gigahertz. Travelling at the speed of light, the millimetre wave-directed energy engages the subject, penetrating the skin

to a depth of only about 1/64th of an inch, the equivalent of three sheets of paper. The beam produces an intolerable heating sensation, compelling the targeted individual to instinctively move. The sensation immediately ceases when the individual moves out of the beam or when the operator turns off the beam. There is minimal risk of injury due to the shallow energy penetration into the skin at this short wavelength, together with normal human instinctive reactions. It can be used for both force application and force protection missions. Applications include crowd control, convoy protection, perimeter security and other defensive and offensive operations from both fixed-site or mobile platforms.

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“It is no secret that piracy attacks are becoming more audacious and that methods necessary to combat such attacks are becoming more extreme. Local restrictions often mean that shipowners can’t always obtain reliable armed protection,” the company said. “Attacks are now expected up to 120 nautical miles off the coast of some areas and concern exists over moves to ban ransom payments. The choices for operators are fraught with difficulty.”

Maritime Security International

14-16 MAY 2013

The Antwerp Expo, Antwerp, Belgium Attend and exhibit at Breakbulk Europe - Europe’s largest gathering for heavy-lift, project cargo and breakbulk cargo transportation. During this two-day conference, industry leaders will discuss today’s most pressing transportation issues, while a packed exhibition floor will offer a premier networking opportunity with the world’s leading specialized carriers, forwarders, ports, and terminals and service providers. More than 5000 breakbulk & project cargo shippers, forwarders and service providers will attend Breakbulk Europe. What do they know that you don’t?

ATTEND The Breakbulk Europe Conference is the largest conference in Europe focused on traditional breakbulk and project cargo trade and transportation issues. This conference has nearly doubled in size each year since its inception, an indication that there is a great need for education and networking in this market. During this conference, shippers have the opportunity to learn about breakbulk and project cargo issues as they relate to European trade and to meet with specialized carriers, ports, terminals, freight forwarders, equipment companies and packers. Conference program includes education sessions as well as networking functions and an exhibit hall.

EXHIBIT If you market to a highly targeted audience of senior transportation managers, you’ll want to explore the range of opportunities and benefits available at this in-demand Breakbulk event. Becoming a highly visible exhibitor at Breakbulk Europe is a prime opportunity to: · Elevate your company above the competition · Heighten your global brand recognition · Remind your customers of your market presence · Generate sales · Introduce new company officials · Announce a new product or service · Have face-to-face contact with potential customers · Entertain clients

TO ATTEND: Visit www.breakbulk.com for additional information and to register. TO EXHIBIT OR SPONSOR: EUROPE: Contact Adrian van Beuningen at +32-2-808-4355 or avanbeuningen@breakbulk.com NORTH & SOUTH AMERICA: Contact Christian Thompson at +1-281-416-4672 or cthompson@breakbulk.com ASIA: Contact Gary Tang at +852.2585 6199 or gtang@breakbulk.com

SPONSOR Sponsoring at the Breakbulk Europe Conference & Exhibition provides a strong in-person connection for companies who are interested in aggressively marketing their services to European Project, HeavyLift, RoRo and/or Traditional Breakbulk decision makers in 2013. Sponsorships range in pricing and are customized to meet the needs of companies who are looking for lead generation and/or brand awareness. Sponsorship opportunities include: · Metal Sponsorships · Welcome Reception/ Luncheons · Golf or Bike · Equipment or Product Promotion · Registration Area · Hospitality Suites · Live Webcast on the Show Floor · Educational Sessions · Marketing Material Distribution · Program Guide & Breakbulk Magazine Advertising

Official Publication:

Deterrents Routeing tool

toBviaC’s Anti-Piracy Routeing Tool was recently introduced in the BP Shipping Marine Distance Tables.

“The Anti-Piracy Control allows ship operators to make informed decisions on voyages which may need to avoid piracy areas,” said Captain Trevor Hall, Director of AtoBviaC. “With the amount of uncertainty in the industry and the depressed freight rates currently being experienced, the implication of avoiding piracy has to be carefully measured. “The AtoBviaC tool enables the ship operator to select routes based on the most current intelligence and accurately calculate the time and fuel implications of the voyage,” he said. “In many cases, this can work out to be considerably more accurate than the other available options and provides a level of self-determination that is missing from other solutions.”

Anti-Piracy Routeing from AtoBviaC within the BP Shipping Marine Distance Tables is based upon information on piracy activity obtained on a regular basis from the Joint War Committee bulletins and from specific routings requested by ship operators. All routes calculated are navigable, taking account of the need to keep suitable distances off shoals, wrecks, coasts and obstructions and also avoid oil field development areas. The routes are reviewed weekly and updates are issued at two-monthly intervals, or more frequently if significant changes need to be made. The BP Shipping Marine Distance Tables are widely used within the marine industry and contains all ports, offshore terminals and transhipment areas needed by its many users, particularly: Worldscale; oil tankers; gas carriers (LNG & LPG); the container trade; and the bulk shipping of coal and ore.

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Threat map

olace Global Maritime has prepared a Threat Summary Map, which it showcased at this year’s Sea Asia event in Singapore. Produced by the company’s intelligence cell, the A1 poster will detail key global incidents that have occurred in the first quarter of 2013 that may have an effect on the merchant shipping industry on land or at sea. “While incidents of piracy in the Indian Ocean decreased dramatically in 2012 compared to the previous year, we have seen a global escalation in activity in the first quarter of 2013, with some attacks taking on a more violent nature,” said Stuart Barnett, Head of Intelligence at Solace Global Maritime. “These violent and determined attacks in the Gulf of Guinea, along with growing terrorist threats and civil tension across North and Sub-Saharan Africa continue to cause concern. We must be cognisant

Maritime Security International

Deterrents including higher torque, intrinsic safety for explosive environments, and high-precision control. Among the applications Unifire anticipates for the new system are unmanned surface vehicles, selftracking water cannon systems and automatic fire suppression systems that track and fight a fire without human intervention.

Speed boat entrapment

arine security experts BCB Marine has unveiled a device that enables security teams to intercept, entrap and disable fast vessels used in narcotics trafficking, piracy or terrorist acts without using deadly force. UK-based BCB Marine, part of the 159-yearold military equipment manufacturer BCB International, has developed the Buccaneer Lightweight Interceptor – a system that uses compressed air and interchangeable barrels to protect floating entanglement lines and other vessel disabling projectiles.

of the effect that global events have on maritime operations and maintaining awareness of these evolving threats is vital to business continuity. The Threat Summary Map is a simple visual tool to help keep industry informed.” The company provides a comprehensive portfolio of security services that protects assets, personnel and reputation from on-land close protection and in-country threat assessments to armed vessel security and static platform protection.

Water cannon accuracy

nifire of Sweden, the manufacturer of Seaserpent Anti-Pirate Water Cannon Systems, has been developing and testing its water cannons with BLDC motors and an all-new generation of control system. The new system has been designed for special, complex applications of its water cannon technology.

Maritime Security International

According to Unifire’s Director of International Sales and Marketing, Roger Barrett James: “Unifire’s newest system has been designed for highly-demanding applications, which require extreme accuracy and control functionality. While we anticipate that our existing systems will continue to be deployed for most anti-piracy, fire-fighting and other applications, this next generation has been designed for truly exotic applications both on and off-shore.” This next generation allows control of the horizontal and vertical movement of the water cannon with robotic precision of 1/100th of a degree, or better. It also features in its new generation Monitor Control Unit enhanced processing power, numerous additional inputs and outputs, and greatly expands the variety of connection types to the system. In addition, the BLDC motors in the cannon itself provide advantages for certain applications,

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BCB Marine’s projects manager, Jonathan Delf, said: “Ports, harbours and rivers are vital for world trade. Criminal acts such as trafficking, violent demonstrations and terrorism now make the picture faced by security teams responsible for securing coastal and riverine waters more complex and unpredictable. There can be no room for human error when lethal force is used. No one wants a repeat of what happened last year when Italian marines guarding oil tanker Enrica Lexie shot dead two Indian fishermen in the Indian Ocean they mistakenly believed to be pirates. “The BUC LWI is an ideal non-lethal solution because it can fit inside rigid inflatable boats used by security teams and stop in its tracks a suspicious vessel travelling up to 40 knots – without unnecessary loss of life.”

Defence package

he Triton Shield Anti-Piracy System has been developed by US-based International Maritime Security Network (IMSN) as a multi-layered defence package designed to detect, deter and defend against piracy on the high seas. The system incorporates several IMSN services including training, education, technological deterrents, force protection teams, and the custommade, non-lethal, Triton Shield Device.

Deterrents Rear Admiral Pedro García de Paredes, Force Commander of EU NAVFOR, the EU naval force, met with the Commander of the Combined Maritime Forces (CMF) counter-piracy task force

Application of the system starts in the classroom with IMSN’s piracy defence course that teaches crew members how to efficiently detect and evaluate threats. IMSN also provides high-tech methods to detect any ships that enter a one mile perimeter around a client ship. With the Triton Shield APS’s specialised camera system, a ship will be able to determine the difference between a fishing boat and a pirate craft, day or night. Of course, detection alone is never enough. The Triton Shield APS was developed with maximum deterrence in mind. IMSN provides several options to harden vulnerable areas by updating passive security measures onboard a ship. Meanwhile, the Triton Shield Device is designed to create an active deterrent around the perimeter of a ship. While an IMSN team will monitor the initial installation aboard every ship, the device is simple, easy-touse, and easy-to-maintain. Finally, should deterrence fail, the Triton Shield APS includes an armed force protection team as the last line of defence. All IMSN force protection team members are fully vetted and come from military and/or law enforcement backgrounds.

IMSN teams operate under the principles of force continuum to ensure that all possible options are exhausted before lethal force is used.

Counter piracy co-operation

n 3 April 2013, while on counter piracy patrols in the Gulf of Aden, Rear Admiral Pedro García de Paredes, Force Commander of EU NAVFOR, the EU naval force, met with the Commander of the Combined Maritime Forces (CMF) counter-piracy task force, Rear Admiral Giam Hock Koon. The meeting between the two force commanders was an excellent opportunity to reaffirm the high level of co-operation that exists between the two forces to counter piracy off Somalia. Both Rear Admiral García de Paredes and Rear Admiral Hock Koon stressed the importance of maintaining the co-ordination and information-sharing between EU NAVFOR and CMF. Speaking about the meeting held onboard the EU NAVFOR flagship ESPS Méndez Núñez, Rear Admiral García de Paredes said: “Both the EU

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Naval Force and CMF understand the need to maintain the joint effort to deter and disrupt piracy off the coast of Somalia. “This will be even more important during the forthcoming inter-monsoon period, when weather conditions make it easier for pirates to deploy at sea. For this reason, counter-piracy forces and seafarers sailing through the high risk area need to keep a watchful eye. This is not the time to lower our guard”.

Anti-pirate curtain

YK Group subisidary MTI has developed ‘anti-piracy curtain’ technology with Japanese hose manufacturer Yokoi.

The system involves a row of hoses hung over the side of the ship and linked to the ship’s fire-fighting system to pump out seawater at pressure. As the hoses are not fixed, they will move about in an erratic manner with the aim of making it difficult to approach the vessel without danger of injury. The hoses are weighted to ensure they stay close to the water line

Maritime Security International

Port security of being able to gather more evidence and so obtain convictions. “With Serious Game, we are tackling these challenges directly,” said Port Authority CEO Eddy Bruyninckx. “We seek to make our employees and other port users aware of potentially unsafe situations and explain what action they have to take. This will enable the security services to arrive at the scene more quickly and deal with situations more closely.” The game is set in a virtual industrial environment in which 30 situations are generated at six different levels. For instance, there are gaming levels for awareness, perimeter control, security and evacuation. Each of the situations demands particular reactions on the part of the player. After completing a particular level, the player is given an explanation of why these particular actions should have been taken.

Positions of authority Ports are an essential part of the maritime security chain and there have been a number of initiatives to boost systems and improve awareness of the issues they face

ntwerp Port Authority has introduced a Serious Game in which port users can learn via a computer game how they can make their own contribution towards making ports more safe and secure. During the game, players are confronted with various situations that present a potential threat, for example people behaving suspiciously in or around port installations, or items turning up in places where they do not belong. In this way, the

Maritime Security International

Port Authority seeks to make all port users aware of their responsibility to report suspicious situations, take the correct actions and inform the right people. To combat criminality in ports, port authorities must collaborate closely with the police, the criminal justice system, the customs department and the private sector. In Antwerp, these sectors got together in 2012 to set up a project to, among other things, raise security to make things more difficult for criminals and also to raise the chances

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The game has been developed in both Dutch and English with mobile phone applications. Visit www. www.portofantwerp.com to download.

Guam improves security

uam Port Authority has commenced a $2.93 million dollar project that will improve security at the island’s only seaport. The project will see the construction of a new, fully secured operations centre and the installation of a closed circuit TV surveillance system. When completed, port access will be controlled through a state of the art TWIC Reader system. The aim of the project is to improve the port’s preparedness and response to anything from a minor incidence to a major disaster. Finance is coming from, among other sources, the US Department for Homeland Security.

Long Beach continues upgrade

he Port of Long Beach has been continuing to upgrade security systems, with recent initiatives including a comprehensive geographic information system that will gather surveillance data and provide a complete and detailed picture of the Port domain.

Port security McCaul met with Port of Houston Authority officials as well as Houston, Harris County and federal law enforcement and industry stakeholders to discuss security operations at the port and the surrounding industrial complex “The collaboration between the public and private sector and law enforcement at all levels is one of the most impressive in the nation,” he said, noting the threat of terrorism puts the port at risk. “We had a very good conversation about the measures being taken to avoid that risk,” he said. “The expansion of the Panama Canal will bring great opportunities, with increased exports of liquid natural gas from what is already the energy capital of the US and a national leader in the movement of cargo.” With the opening of the expanded Panama Canal and the larger ships it will provide, McCaul noted that dredging is an issue “because without dredging these ships cannot enter the ship canal”, he said. “We are proposing legislation, a Harbour Maintenance Trust Fund bill that will ensure that more of the dollars that we send to Washington come back to the ports. “To continue to ensure the free flow of trade and commerce, we must better protect our ports,” McCaul said. Indicating that he was committed to restoring funding that had been cut for security grants in recent years, McCaul added: “We want to see Houston’s share increase.” Real-time data will be collected by a state-ofthe-art system that includes more than 130 highresolution cameras throughout the harbour. The port has budgeted nearly $34m for security and safety infrastructure projects for the tax year that began in October 2012. Other initiatives include a non-intrusive inspection (NII) system, which involves mobile scanning technology operated by US Customs and Border Protection that allows federal inspectors to inspect high-risk cargo, detect weapons and explosives, and stop the flow of contraband. The NII system can penetrate 12 inches of steel and allows officers to inspect containers without opening them. In collaboration with the Port of Los Angeles and the Marine Exchange of Southern California, the Port of Long Beach has also been investing in a new vessel traffic management equipment with cuttingedge radar and tracking systems. The system will improve small boat detection, harbour navigation and operations throughout the harbour complex.

The Long Beach Police Department has also acquired new 3-D sonar technology for underwater inspection of the port’s 10 piers, 80 berths and other infrastructure. This security tool also will be used for preventive maintenance and keeping shipping channels clear of dangerous debris and objects.

Houston sets example

he Port of Houston has been hailed as the “greatest example of public-private collaboration in the nation” by US House Homeland Security Committee Chairman Congressman Michael McCaul McCaul chose the port as the site to host a briefing on security and emergency preparedness to illustrate the importance of the Port of Houston to the nation’s economy and energy security. The port is home to the largest petrochemical manufacturing complex in the US and second largest in the world.

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The Port of Houston exports more than any other US port. More than 8,000 vessel calls are made at the port annually.

Rapiscan secures $15m order

apiscan Systems has announced that it has received orders worth approximately $15m from a Middle East customer to provide multiple units of its Eagle high-energy X-ray mobile and fixed location cargo and vehicle inspection systems. “This order of our cargo and vehicle inspection systems speaks to the versatility and quality of our Eagle high-energy systems, which are used around the world in a variety of challenging environments,” said Ajay Mehra, president of Rapiscan Systems. “With the ability to combat smuggling and find hidden contraband, our customers value the ability to work with us to obtain inspection solutions that comprehensively address their overall needs.”

Maritime Security International

Smuggling Cross border security efforts are focusing on a range of criminal activities including drugs and weapons smuggling

in drugs, weapons smuggling and the illegal exploitation of minerals. “These criminal ventures provide enormous profits that allow organised crime to thrive and generate instability in this region, across Africa, and beyond. “While countries and regions face specific crime issues, dealing with them requires common solutions, including ensuring via Interpol that frontline officers in the Democratic Republic of Congo receive the support and training they need,” Noble added. The Democratic Republic of Congo was among the first countries to officially recognise the Interpol travel document. Holders of the document travelling on official business can enter the country without a visa, thereby significantly speeding up the ability for Interpol officials to respond to any calls for assistance or support.

Traffic stopping A number of global initiatives aim to stamp out crimes such as human trafficking

ith a number of initiatives in recent months to tackle issues such as human trafficking, as well as strengthening cross-border security through collaboration between police forces, ship operators need to be vigilant that they do not become unwittingly caught up in smuggling and trafficking crimes. For example, P&I Clubs have warned repeatedly of drugs legislation in countries like Venezuela, where crew members could face lengthy prison sentences if drugs are found on their ship, even if they were unaware of the fact. Human trafficking using ships is also a major concern for the industry. During the first official visit by the Secretary General of Interpol, Ronald Noble, to the Democratic Republic of Congo, the focus was on regional and international collaboration via Interpol to assist authorities in DR Congo to investigate and prosecute crimes such as human trafficking.

Maritime Security International

Discussions between the Interpol boss, government officials and officers at Interpol’s National Central Bureau (NCB) in Kinshasa focused on extending the use of Interpol’s global law enforcement tools, services and operational support infrastructure to officers on the frontlines. With DR Congo both a source and destination country for victims of forced labour and sex trafficking, in his talks with Interior Minister Richard Muyez Mangez and Supreme Court General Prosecutor Flory Kabange Numbi, Noble pledged Interpol’s support in tackling these crimes – including those concerning children forced into labour in mines and as soldiers. “Fighting international crime requires co-operation beyond national and regional borders and this is particularly true when we think of the Democratic Republic of Congo and Central Africa,” said the Secretary General, describing the region as a strategic location for cross-border security efforts against criminal ventures, including illicit trafficking

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Operation Icebreaker An Interpol-led operation codenamed Icebreaker recently scored a significant success when more than 360 tonnes of chemicals, 200 kilos of methamphetamine, cocaine and LSD, and $2m in cash were seized and four illicit laboratories dismantled in an operation combating methamphetamine production and smuggling across the Americas. Involving 11 countries across the region, the operation – which was run in partnership with the World Customs Organization and the International Narcotics Control Board – also focused on developing inter-agency co-operation at national and regional levels. Some 25 suspects were arrested across the participating countries – Belize, Colombia, Costa Rica, Ecuador, El Salvador, Guatemala, Honduras, Jamaica, Mexico, Nicaragua and Panama – and 35 investigations initiated. Co-ordinated from Interpol’s Regional Bureau in San Salvador, key objectives of the operation were to identify and seize shipments of precursor chemicals used for the illicit manufacture of methamphetamine, to dismantle the organised crime groups behind the trafficking and to locate and destroy clandestine laboratories. “While the results from Icebreaker are significant, what is equally if not more important is the level of co-operation we have seen among the

Smuggling Secretary General of Interpol Ronald Noble visits the Democratic Republic of Congo

The objective of the workshop was to strengthen legislative drafting capabilities and the judicial expertise of Yemeni officials to fully adapt the country’s domestic legal framework in accordance with the provisions of the Protocol to Prevent, Suppress, and Punish Trafficking in Persons, Especially Women and Children, supplementing the United Nations Convention against Transnational Organised Crime, in order to ensure the prevention and effective prosecution of the crime of human trafficking as well as the adequate protection of the victims of trafficking in persons with respect for their human rights.

different agencies involved, which provides a strong base for future operations,” said Bernd Rossbach, Director of Interpol’s Specialist Crimes unit. WASPIS programme The third Interpol West African Police Information System (WAPIS) workshop, hosted by the Mauritanian Police, brought together some 20 representatives from seven countries to define the design of the system aiming to create a national and regional infrastructure for police information exchange in West African countries. With the WAPIS programme implemented by Interpol for the benefit of all 16 West African countries and funded by the European Union, a three-day meeting was held in March to discuss the system. During the opening ceremony, Interpol’s Vice President for Africa Adamu Mohamed said: “This project has come at the right time and will allow West African countries to fight more effectively crime through enhanced information exchange.” The head of the security division of the Economic Community Of West African States Lieutenant Colonel Dieng said that WAPIS was an appropriate response to regional security needs and emphasised the excellent co-operation of all partners that made this project possible at the initiative of the West African Police Chiefs Committee . The next workshop will take place in Abuja, Nigeria from 24-26 April.

The workshop culminated in several recommendations for Yemen. These include taking the necessary steps to accede to the Trafficking in Persons Protocol, accelerating the adoption of a comprehensive national law on combating human trafficking, and developing a comprehensive national strategy for combating human trafficking in Yemen.

World Water Day

he problem of corruption in the water industry was the focus on World Water Day on March 22, with the UN Office on Drugs and Crime highlighting the detrimental effects of corruption on freshwater management. Corruption can also increase the costs of building water infrastructure by as much as 40%, according to the UN Development Programme. This equates to an additional $12bn a year needed to provide worldwide safe drinking water and sanitation. Large water infrastructure projects such as dams, canals, tunnels, wells and drains are also highly lucrative and much coveted. Hydro-electric power, for example, which requires large investments and highly complex engineering works, is an area that can attract unscrupulous operators and give rise to corruption in procurement processes.

Human trafficking in Yemen

o assist Yemen in stepping up its efforts to fight human trafficking, UNODC, with the League of Arab States, held an anti-trafficking legislative drafting training workshop in Sana’a, Yemen in January. It took place within the framework of the Arab Initiative to combat human trafficking and used the UNODC and the Arab Model Laws against Trafficking in Persons as guidance.

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World trafficking report According to the World Disasters Report 2012 published by the International Federation of the Red Cross and Red Crescent Societies (IFRC), there are more than 70 million people classified as forced migrants across the globe. Of these, the United Nations Development Programme says that there are some 50 million irregular migrants believed to have used the services of smugglers at some stage of their journey. As legal immigration channels become more limited, more people seek the assistance of smugglers, who take increasingly risky measures to circumvent border controls – often at the cost of migrants’ rights. Since the smuggling of migrants is a highly profitable illicit activity with a relatively low risk of detection, it has proved attractive to criminals. The 2012 Global Report on Trafficking in Persons released by UNODC in December revealed that 27% of all victims of human trafficking officially detected globally between 2007 and 2010 are children, up 7% from the period 2003 to 2006. “Human trafficking requires a forceful response founded on the assistance and protection for victims, rigorous enforcement by the criminal justice system, a sound migration policy and firm regulation of the labour markets,” said Yury Fedotov, Executive Director of UNODC.

Maritime Security International

Offshore tape; securing the active involvement of member states expected to sign the MOU; working out a funding scheme for naval assets; working with the Maritime Development Bank to provide assistance to maritime operators; assistance for planning and management; and continuing capacity building with the assistance of key stakeholders. In discussing what steps could be taken to respond to oil and gas asset attacks and the issue of information sharing, concerns were expressed at the conference that private maritime security companies might be marginalised and excluded from the information-sharing process.

Conference calls

West African piracy attacks are on the increase, representing an increased threat to the oil and gas industry in the region, delegates at a recent conference heard

hreats to the oil and gas industry in Africa are changing, according to Peter Issaka Azuma, director general of the Ghana Maritime Authority.

The number of attacks in the period January to December 2012 was 62 â&#x20AC;&#x201C; a notable increase. Some 97% of these attacks were in the Gulf of Guinea region.

Speaking at the Oil & Gas Infrastructure Security Africa conference organised by Hanson Wade in January, he highlighted concerns over the rising level of piracy in the Gulf of Guinea.

Colonel Mariko Mamadou, Technical Director at the Maritime Organisation of West and Central Africa (MOWCA), updated delegates on the development of the Coastguard Function Network Initiative, a joint International Maritime Organization (IMO)/ MOWCA project.

George Ukudu of Technip, meanwhile, outlined key figures that indicate the growing nature of the threat faced by the oil and gas industry in West Africa in particular. Between January and December 2011, the total number of attacks equalled 49 in West Africa.

Maritime Security International

Mamadou explained that the network will consist of four coastguard zones and two principal coordination centres; one in Angola and one in Ghana. Key factors for the development of the project include: overcoming administrative red

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Chris Trelawny, Deputy Director of the Maritime Safety Division at the IMO, highlighted the efforts being made to share information, with initiatives like the Djibouti Code of Conduct. He stated that it is vital that all industry stakeholders buy into the concept of information sharing and follow through on this. He identified the model used by the UK Maritime Trade Operations office in Dubai as a successful model to base a West African information-sharing centre on. In this model, ships are reporting in and getting real time information. The question was also asked as to what is being done by the international community to de-monetarise the value of oil theft. Trelawny responded that piracy and armed robbery is an onshore issue. It happens at sea, but ultimately had to be stamped out onshore. Unlike in the situation in East Africa, the attacks in West Africa are primarily in territorial waters and are against stationary vessels. The underlying economic destitution caused by oil exploitation in the Niger Delta was identified as the key challenge to tackling the problem onshore. Getting governments to recognise the importance of the maritime sector is critical to effectively preventing piracy in this region. Patrick Black, Senior Expert Security and Resiliance at oil and gas group OMV, described the actions taken by former employer BP Shipping to ensure the highest levels of security. Black stated that senior management within BP Shipping was initially firmly opposed to employing armed security guards on board vessels. All possible alternatives were investigated, but eventually the decision was taken to use armed guards. He stressed the importance of using citadels effectively, with the right communications and ability to steer the ship from inside the safe room. However, pirate attacks were now becoming more

Offshore

violent and this needed to be taken into account when selecting security solutions. Dan Ben-Dov, Vice President for Sales and Marketing at DSIT Solutions, delivered a presentation on underwater security technology that has been developed to provide an additional layer of security to oil and gas platforms, well heads, pipelines and pumps. It used to very difficult to attack underwater, BenDov said, but it is now much easier with fastapproach vessels. The main threats he identified were divers and unmanned underwater vehicles. DSIT Solutions advocates the use of sonar technology to overcome difficult weather conditions and detect a potential threat to the oil and gas asset, Ben-Dov explained. Critical to effectively tackling the oil and gas threat is regional state buy-in and political will to address the maritime problems, according to Trelawny. One of the key factors in reducing the success rate of piracy in Somalia has been self-protection measures, which provides a range of options from razor wire right up to armed security if the flag state permits it. Here, the role of the coastal state becomes critical as it has jurisdiction. It is a law enforcement question, not a maritime question, Trelawny said.

The IMO is backing an initiative in co-operation with the Maritime Trade Information Sharing Centre. Trelawny asserted that the industry must focus on opportunities rather than problems. This should include the development of a maritime strategy, as well as a strong focus on developing coastguard functions. Karen Sumser-Lupson, Commissioner and Chairman of the African Maritime Safety and Security Association, discussed the changing face of maritime security needs, with consideration of the distinction between piracy, criminality and terrorism. She explained that global energy demand is expected to rise by as much as 50% over the next 25 years. This increased requirement, combined with depletion of existing oil and gas reserves will mean extensive exploration and production activities by the oil and gas industry in the years to come. 75% of the increase worldwide is expected to come from the developing world. With this will come significant security threats and challenges. Rob Andrew, Managing Director of Newport Africa Group, focused upon the evolving nature of the threat to oil and gas assets in East Africa. He stated that the threat has not been removed and that the prospect of a slow moving vessel or rig under tow are still very attractive to pirates. The Seychelles and Somali coastline remain particularly

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vulnerable. There is strong evidence, however, that pirate â&#x20AC;&#x153;godfathersâ&#x20AC;? are switching their investment into new business ventures (for example charcoal theft and people smuggling) that have a better return on investment. He stressed the need to be proactive. There is still a strong reliance on the host nation to support operations and provide police or military personnel in the high risk areas. This ability to provide support will vary widely, he explained. There was a detailed debate about the similarities and differences between piracy in East and West Africa at the conference. West Africa is very diverse and therefore each country has its own risks. Violent crime is endemic in many parts and seems to be moving south to Angola, which is dominated by an ex-military regime. In Ghana, there was just one kidnap attempt last year, but this was at a low level and was not part of an organised crime network. However, with the increase in wealth from mineral extraction and oil and gas operations offshore, there is now an organised crime movement, which is fuelling problems in the country. Andrew commented that the situation in East Africa is improving because there has been huge international engagement and efforts to clip the

Maritime Security International

THE SHIPPING EVENT IN CHINA IN ITS OWN LEAGUE DON’T TAKE OUR WORD FOR IT “I found it very well organised. Congratulations.” Pietro Allevato, General Manager – Shipping Vale “This was the best conference I’ve been to in a long time.” Tim Huxley, CEO Wah Kwong Maritime Transport “I think the conference has been very interesting, the mix of speakers/panelists absolutely spot-on, and networking extremely productive.” Giosuè Vezzuto, General Manager, Asia RINA

“Congrats on a magnificent job done; your event is in a separate league compared to all the others.” Geir Sviggum, Partner Wikborg Rein “It was a thoroughly enjoyable experience as well as extremely beneficial from a business standpoint.” Martin Rowe, Managing Director Clarksons China

Visit www.tradewindsevents.com to find out what is on the agenda this year. Confirmed sponsors

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Offshore wings of terrorist group Al-Shabaab. In Mogadishu, meanwhile, there was now a federal government, which may be having its own impact on the piracy problem. Philip Heyl, chief of the Air and Maritime Branch at AFRICOM, gave a presentation focusing on accurately and effectively communicating information relating to oil and gas asset attacks. He illustrated areas of consideration, which included how to deal with the press, having an accurate source for information and effective training of response teams. The question of authority was raised and Heyl emphasised that a written understanding was needed if host country forces are to be on board a vessel. Heyl stated that security is a combination of cooperation, collaboration and interoperability. With this in mind, AFRICOM will be running a scenariobased exercise designed to identify security issues and solutions in a structured way.

He summarised the range of elements that had been covered at the conference, including protective security, the need for intelligence and information, the need for risk assessment and risk-based measures and the criticality of emergency planning. This was followed by a recommendation that governments require a joined up approach. Successful action requires the involvement of all stakeholders, of which Trelawny listed maritime authorities, ports, police, navies, fisheries, finance, treasury, border controls as well as the industry and the subcontractors to the industry, to name but a few. The oil and gas industry can learn a lot from other industries, the conference heard, in particular, the aviation industry. Aviation security is much better organised at a national level. From an offshore perspective, a lot can be learned and applied from onshore security solutions. There is a need for clear direction from designated authorities on what needs to be done, coupled with

the setting of national standards, Trelawny said. After standards have been set, it is vital to have effective communication of these standards. The problem at the moment with piracy off the coast of Somalia is that the government is not giving clear enough guidance on what the regulations are regarding embarkation and disembarkation of weapons. Trelawny urged the industry to look at the best practices for offshore oil production and supply. Guidance on regulations should be informed by industry experience and best practice. Lee Kirton, Head of Global Maritime Operations at LGS, reiterated the need for enforcement of regulations. Regulations do exist, he said, but they are not as prominent as they should be and they must be enforced. There is also a massive need in Nigeria and the whole West Coast of Africa for good quality training so that locals can be brought up to a high standard and fill available jobs.

Lee Kirton, Head of Global Maritime Operations at Libertine Global Solutions, delivered a presentation which drilled down on the operational and legal problems arising from â&#x20AC;&#x153;piggybackingâ&#x20AC;?. The problems discussed included the lack of skills acquisition and misrepresentation to insurance companies. Jennifer Giroux, Research Fellow: Crisis and Risk Network at the Centre for Security Studies, meanwhile, outlined the work being done to establish a comprehensive open source database that reports energy infrastructure attacks. The Centre for Security Studies is developing this project in collaboration with the Laboratory for Energy Systems Analysis in the US. Her presentation looked at identifying incident characteristics, consequences, identifying cluster patterns and targeting behaviour. She concluded that energy infrastructure targeting is increasing and there is identifiable clustering in worldwide regions, including Iraq, Columbia and Nigeria. There are various approaches that can be taken to combat this increasing threat, she said, including predicting hotspots, finding governance gaps and knowing the host community, among others. Trelawny also commented on how clear it is that the oil and energy sector is critical to African development and that any disruption to the transportation of energy will lead to fragile economies.

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Maritime Security International

Events POLICY & FORUMS 64

8-9 October, Mexico Trans Security Expo

24-25 April, London

Transsecexpo.com

Counter Terror Expo This event will aim to explore threats across a wide range of security provider, including threats for intelligence and the security services, maritime and anti piracy issues and oil and gas. www.counterterrorexpo,com

22-23 May, London Tackling Kidnapping, Hijack and Hostage Taking. Info@quaynote.com

4-7 June, Norway

9-13 September, London

Nor-Shipping www.messe.no/en/nor-shipping/

International Shipping Week The highest level networking event of the year is promised with leaders from across the whole spectrum of the shipping industry. londoninternationalshippingweek.com

23-26 April, Hamburg Combating Piracy Judging by previous events this conference will attract am experienced team of speakers with issues including how to implement a cost effective security strategy on the agenda, as well as expert opinion from operators and security firms that have been at the sharp end. Register@hansonwade.com This publication is printed on PEFC certified paper. PEFC Council is an independent, non-profit, non-governmental organisation which promotes sustainable forest management through independent third party forest certification.

6-7 June, Hamburg Global Maritime Security Summit Latest trends and solutions to risk management and security. Registration@uni-global.eu

Maritime Security International

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www.ship-guardian.com

opening conference june o4 2o13

Nor-Shipping asks, “What’s next?” Be part of the answer! Join the movers and shakers of the shipping world when they discuss future scenarios and share their insights at the Nor-Shipping Opening Conference.

9:30 welcome & AwArds by iNvitatiON ONly. requeSt yOurS at

www.nor-shipping.com trond kleivdal president, norwegian shipowners’ Association

trond Giske norway’s Minister of Trade and Industry

koji sekimizu

secretary General, IMo

Complimentary networking luncheon follows the conference at 12:00

10:25 whAt’s next?

masamichi morooka

president, ICs rep. director, nyK Line

ali obaid al-Yabhouni

WHAT’S NEXT? kristin holth

Group executive Vp, dnb

UAe Governor, opeC Ceo, AdnATCo & nGsCo

sturla henriksen director General, norwegian shipowners’ Association

claus v. hemminGsen Ceo, Maersk drilling

11:15 the chAngemAkers

andreas sohmen-Pao

Ceo, bW Maritime & bW Gas

Peter neffenGer deputy Comander for operations, Us Coast Guard

henrik madsen Ceo, dnV

koji sekimizu

secretary General, IMo

Walter Qvam

president & Ceo, Kongsberg Group

björn rosenGren president & Ceo, Wärtsila Corporation