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Reportage
CSA welcomes EU’s first maritime environmental impact report
Launched in the beginning of September by the European Environmental Agency (EEA) and the European Maritime Safety Agency (EMSA), the EMTER marks the “first comprehensive health-check of the sector”. The publication covers key environmental impact such as GHG emissions, air and underwater pollution, non-indigenous species as well as oil pollution.
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The report acknowledges that Exhaust Gas Cleaning Systems (EGCS) is “one of the most mature after-treatment technologies” designed to remove SOx matter from the exhaust gases and that scrubbers are recognised by EU rules as an alternative to using low-sulphur marine fuels.
As such, the publication also highlighted two EU co-funded projects that promote the use of scrubbers in sulphur abatement: the “Back from Black” project that studies the deployment of affordable retrofitted scrubbers for SME shipowners and the “Closing the Loop” project that uses scrubbers to increase the environmental performance of short-sea shipping routes in northern Europe.
It is clear that EGCS play an important role globally in improved marine air emissions; however, the report also mentioned that wash water discharge from open-loop scrubbers is a matter of potential concern for some member states especially in high-traffic density areas. The CSA hears these concerns, and will continue to work with the EU by providing the sound scientific data to further demonstrate that the EGCS washwater is benign with no negative impact on the marine environment.
As an effective and widely-accepted technology for sulphur abatement as underlined by the report, scrubbers have contributed to the implementation of the Global Sulphur Cap. The global legislation has had a huge impact in the reduction of sulphur emissions from ships: “the percentage in September 2019 was 23.8 %, while by February 2020 it had fallen to 1.1 %”. However, in addition to lower sulphur (SOx) emissions than the alternative compliant fuels, EGCS using HFO are also emitting less NOx and PAHs, and contributing substantially less CO2 to the atmosphere on a lifecycle basis, making EGCS an important step to a zero-carbon future. Already the industry is exploring methods of carbon reduction and carbon capture with these systems.
With maritime transport being essential for EU and global trade and the expected growth of this sector over the next decades, the CSA welcomes the continuation of the work stream proposed by the EU to the IMO on the evaluation of EGCS use. With scrubber technology and science further advancing, the CSA is confident that EGCS will continue to play an important global role in emission abatement.
Source: Clean Shipping Alliance (CSA)
On 19 August 2021, the M/V “NAVIOS AMARYLLIS” (GT 32,415 – DWT 58,735), in ballast, grounded on Rasfaree reef in the Kaafu Atoll, the Maldives. The vessel was on a voyage from Tuticorin, India to Saldanha Bay, South Africa.
On the same day, Tsavliris were contracted under LOF and mobilised tugs (namely the AHTS “VIRGO” and “‘MAHA WEWA”), equipment and personnel. All necessary environmental precautions were taken in order to protect the environmentally sensitive area.
Tsavliris cooperated closely with the local authorities and firstclass subcontractors, including Environmental Pollution specialist “Polyeco”.
Before refloating the vessel, about 1,600 tonnes of bunker fuel and lubricants were transferred from lower to topside tanks to prevent the pollution risk.
On 29 August, the casualty was successfully refloated without any oil spill and the vessel is anchored at the Ports Limited area, Male.
Frangou announces merger of Navios companies creating the biggest US publicly listed shipping organisation
Navios Maritime Partners, an international owner and operator of dry cargo vessels, and Navios Maritime Acquisition, an international owner and operator of tanker vessels, recently announced a definitive transaction agreement providing for a combination of Navios Partners and Navios Acquisition in a transaction in which shareholders of Navios Acquisition will receive 0.1275 of a common unit of Navios Partners for each outstanding common share of Navios Acquisition. All of Navios Acquisition’s outstanding 8.125% First Priority Ship Mortgage Notes, due on November 15, 2021 (the “Ship Mortgage Notes”), will be redeemed in accordance with their terms with the proceeds of a cash contribution from Navios Partners and newly arranged secured term loan financings (the “Transaction”).
Angeliki Frangou, Chairwoman and Chief Executive Officer, stated, “We are announcing a transformative transaction. The combined entity will be the largest U.S. publicly-listed shipping company in terms of vessel count, with 15 vessel types diversified across three segments, servicing more than 10 end markets. About one-third of our fleet will be in each of the dry bulk, containership and tanker segment. We believe that this combination will result in a stronger, more resilient entity, mitigating sector specific cyclicality. This should enable us to capitalize on opportunities throughout the industry and provide even returns to our stakeholders across cycles.
This combination of two companies with similar core values and beliefs, as it relates to our service offerings, will allow us to continue to deliver the high-quality service that our customers expect. We have a proven model to execute seamless combinations, as evidenced by our prior successful roll-up transactions, and we anticipate a smooth execution for this combination as well.”
Angeliki Frangou
U.S. Court decisions vindicate Gourdomichalis Brothers and Phoenix Shipping & Trading s.a.
In July 2021, the United States District Court for the Southern District of Texas, Houston Division dismissed with prejudice Pacific Gulf Shipping and MECO’s alterego claims against Fearless Shipping & Trading, whose vessel FEARLESS was managed by Phoenix Shipping & Trading S.A. and its principals George and Stathis Gourdomichalis.
The decision adopted the reasoning of the U.S. Ninth Circuit Court of Appeals in a companion case brought against Vigorous Shipping & Trading, whose vessel VIGOROUS, Phoenix Shipping & Trading S.A. also managed.
The Ninth Circuit held there was no evidence of wrongdoing by the Gourdomichalis Brothers in managing the vessel and no basis to justify an alter-ego finding. The Court noted that an auditor found “no financial mismanagement”, and “no intermingling of funds and no raiding of bank accounts”.
Despite all the press bluster by Plaintiffs and their counsel during more than three years of litigation, the Court concluded that “Pacific Gulf came away ‘empty handed’ from discovery.” The net result is that all of the monies posted as security to allow the seized vessels to sail have been returned to their rightful owners.
George Gourdomichalis remarked: “At long last, we’ve been vindicated by the U.S. Courts. We’ve always known the truth and we are very thankful that it has prevailed in the end.”
George and Stathis Gourdomichalis
ICS launches new guidance for seafarers and shipowners to navigate ongoing pandemic challenges
On the first day of London International Shipping Week, the International Chamber of Shipping has published new and updated guidance to protect seafarers and shipowners against the challenges of the coronavirus pandemic.
The free resources include guidance on vaccinations, manning agents, mental health issues, and shore leave.
Despite noted improvements in rates of vaccination for seafarers, only 25% are fully vaccinated, and most are not in line to receive a vaccine through their national programmes until at least 2022. Meanwhile, severe travel restrictions across the world have led to seafarers being stranded on board, some for more than 18 months. This deterrent to existing workers and potential new recruits has stretched global supply chains to breaking point, with shortages of key goods reported, and shipping costs approaching all-time highs.
Now, ICS has worked with a coalition of industry partners to produce new and updated guidance, which aims to empower seafarers and shipowners with the knowledge to protect and support themselves through the next stage of the pandemic.
The guides were produced in association with International Maritime Health Association, INTERTANKO, International Transport Worker Federation (ITF), European Community Shipowners’ Associations (ESCA), Intercargo, InterManager, International Association of Ports and Harbors, International Christian Maritime Association, International Marine Contractors Association, International Maritime Employers’ Council Ltd., Asian Shipowners’ Association (ASA), and the International Maritime Employers’ Council (IMEC).
Guy Platten, Secretary General of the International Chamber of Shipping, commented: “Throughout the pandemic, the shipping industry has time and again come together to support its own.
“The sector has been more united and effective in its response to the pandemic than most sectors. But we must ensure that we maintain this spirit of collaboration and all pull together to anticipate and meet the needs of the world’s hidden key workers – seafarers. Manning Agency “As the Delta variant threatens the global south, a part of the world that Guidelines was pro- supplies nearly half of the seafarer workforce, with greater urgency, it is duced to help shipping critical that seafarers and shipowners have the resources needed to companies choose navigate the next stage of the pandemic.” reputable manning The new seafarer guides address acute issues faced by seafarers duragencies and to ensure ing the pandemic. Seafarers are required by the that seafarers nature of their job to travel across the world to locations which have are recruited in line different levels of COVID-19 infections. Coronavirus (COVID-19) Vacwith the requirements cination for Seafarers and Shipping Companies: A Practical Guide answers of the ILO pressing frequently asked questions in an approachable and informed way. A reality of the pandemic is that shore leave has been heavily impacted and crews have been forced to remain on board their ships for extended periods without relief. Coronavirus (COVID-19): Seafarer Shore-Leave Principles sets out principles for providing shore leave while navigating draconian travel restrictions across the globe. Recruiting for non-existent jobs at sea is on the rise, as dubious manning agents take advantage of the current environment. Losing seafarers to poor manning experiences is something that must therefore be stamped out. Manning Agency Guidelines was produced to help shipping companies choose reputable manning agencies and to ensure that seafarers are recruited in line with the requirements of the ILO. Tragically, seafarers have suffered more from mental health struggles during the crew change crisis. The pandemic has also increased job stress that can impact seafarers’ mental health, including family pressures and limited shore leave. Handling a Mental Health Crisis or Emergency and Spotting Suicidal Behaviour in Seafarers lays tools out for companies to create a caring on-board culture to address mental health matters. Platten concluded: “Seafarers have made enormous personal sacrifice over the last 18 months. While admirable, it has put enormous pressure both on them as individuals and on the global supply chain. ICS and our partners hope that our new guidance will provide protection and assurance to seafarers around the world, and help improve their experience on board and on shore.”
