Seafarers’ safety ‘at risk thanks to flag of convenience practices’
THE MARITIME JOURNAL • JANUARY- FEBRAURY 2016 l 2
THE COVER
THE MARITIME JOURNAL • JANUARY- FEBRAURY 2016 l 3
Headlines Seafarers’ safety ‘at risk thanks to flag of convenience practices’ The UK Coastguard Agency must respond to concerns that safety of UK seafarers is being compromised by North Sea operators employing foreign workers from lightly regulated regimes in order to “exploit our natural resources”, a Holyrood committee has said. The RMT union has described conditions on some “flag of convenience” vessels operating in UK waters as “purgatory”. The Scottish Parliament’s Economy, Energy and Tourism Committee has also called on the Scottish Government to do more work to assess the impact of the oil crisis on Scotland’s economy, in a report entitled Future Prospects for Oil and Gas in Scotland. Unions told the committee of an increasing exclusion of UK seafarers from the North Sea due to “employers using gaps in employment legislation to employ non-UK seafarers below the UK minimum wage”. The STUC said these practices were not evident in other North Sea jurisdictions, and that “there is no doubt” the health and safety of UK seafarers was being compromised. Jake Molloy, regional organiser of the RMT union, said: “I have done International Transport Workers Federation (ITWF) inspections on some vessels that have been flying the flag of convenience, and I know that the Filipino and Indonesian workers look upon us as the police arriving to save them from purgatory. “The conditions on some of those ships are appalling (with) less competent, less able and less willing workers being exploited in order to exploit our natural resources.” The ITWF defines a flag of convenience ship as one that flies the flag of a country other than the country of ownership, which can mean “very low wages, poor on-board conditions, inadequate food and clean drinking water and long periods of work without proper rest” so operators can benefit from “minimal regulation, cheap registration fees, low or no taxes and freedom to employ cheap labour from the global labour market”. Mr Molloy told the Committee British seafarers had taken a 25% wage cut resulting in a salary of only £23,000 a year and now worked six days on, six days off “to try to save their jobs and compete”. He called for action to restrict employment in EU waters to EU and UK seafarers who are paid at minimum wage. The Committee said: “We invite the Maritime and Coastguard Agency to respond to the concerns raised with the Committee by trade union representatives in respect of health and safety on flag of convenience vessels and the remuneration of non-UK seafarers below the UK minimum wage. “We ask also for an update on recent UK Government engagement at an EU level to protect and enhance the working conditions of UK seafarers.” The Committee also recognised the challenge of assessing the impact the oil crisis has had on the Scottish economy.
But it called for more work to be done amid evidence suggesting the number of jobs lost or at risk “is likely to be much higher” than the 6,000 “direct“ jobs estimated by the Scottish Government in September. The actual figures did not include self-employed subcontractors, the Committee said.
In September 2015, the Scottish Government’s Energy Jobs Taskforce said the industry “is on an improving trajectory”. In the same month, Oil & Gas UK (OGUK) said oil related jobs had contracted by 15% since the start of 2014, equating to 65,000 jobs, and warned that it is “likely that capacity may have to be reduced still further”. The STUC agreed with OGUK and said “the situation has since deteriorated and that significant future job losses can be anticipated”. In forecasts for 2016, Aberdeen Chamber of Commerce said “we are not at the bottom in terms of the reduction in employment” and OGUK said “inevitably, there will be further job losses”. The Committee said: “Short term prospects, particularly for offshore workers, appear to be very difficult. “However, we believe that with appropriate support from Governments, and enhanced collaboration, driven by the Oil and Gas Authority, a sustainable industry can emerge from this downturn. “We also recognise the challenge in assessing the wider impact on the Scottish economy and suggest that the Scottish Government and its enterprise agencies consider whether more work requires to be done to establish the extent of this.” Committee Convener Murdo Fraser (Conservative) said: “We call on all those involved to continue to work together to maximise the economic recovery of oil and gas rather than rush to decommissioning.” Deputy Convener Dennis Robertson (SNP) said: “In light of recent job losses there is also a real fear that many highly skilled workers may be lost to the sector. It is important that the industry reflects on this point to ensure that essential skills are retained in the workforce when the downturn stabilises with the possibility of recovery in the future.” Green MSP Patrick Harvie dissented from the Committee’s call for maximum extraction of oil and gas from the North Sea. He said: “With low oil prices and far greater reserves of fossil fuel than can ever be used, the idea that business-as-usual will resume is simply delusional. Today’s reckless report shows that the other parties in parliament have their heads in the sand.” Written by Energy Reporter
THE MARITIME JOURNAL • JANUARY- FEBRAURY 2016 l 4
Greenpeace: Modern Express Carrying Controversial Cargo The troubled car carrier Modern Express is carrying a controversial cargo of timber apparently destined for the French market, global environmental group Greenpeace claims. As disclosed, the controversy surrounds the origin and legality of the timber which was bound for Le Havre, France. Namely, the timber cargo is believed to be originating from countries that form part of the Congo Basin, a region where illegal logging is a widespread problem. Gabonese authorities are reported to have investigated the case and have called upon Interpol to open an international investigation, Greenpeace said. The forestry sector in the region is beset by rampant corruption, a lack of transparency and a lack of proper monitoring and law enforcement on the ground whilst significant amounts of illegal timber are still exported to international markets every year. The European Timber Regulation (EUTR) prohibits the placing of illegal timber on the European market and requires that operators exercise due diligence to prevent the contamination of their supply chain. But both France and Spain have been slow in the implementation of this law, and authorities have so far failed to conduct sufficient and effective checks. “Greenpeace urges both countries to take immediate steps, seize the timber and determine whether the operators involved acted in compliance with their obligations under the EUTR. In the case of non-compliance with the timber regulation, sanctions should be imposed,” the organization stressed. Greenpeace also urged the Gabonese government to start an immediate investigation and give the Spanish and French authorities full access to all the documents required to investigate this case. The car carrier, loaded with 3600 tons of timber and construction machinery, ran into trouble on January 26 when it started listing some 240 km off Cape Ortegal, Galicia, in the Bay of Biscay. The ship was drifting for over a week due to inclement weather, after which it was finally towed away from the French coast and safely entered the port of Bilbao, Spain on February 3.
Reinforcement to Panama Canal lock sills completed The Panama Canal Authority (ACP) reports that sill reinforcements in the new locks have been completed this week, bringing the Panama Canal Expansion one step closer to inauguration. The reinforcements were made after leaks were discovered last year in the concrete sill between the lower and middle chamber of the Canal’s expanded Pacific Lock when it was subjected to stress in extreme condition testing. It was decided that, in addition to reinforcing the problem, sill, five more sills would be reinforced as a preventative measure. The filling of the Pacific-facing Cocoli Locks has already begun, and the filling of the Atlanticfacing Agua Clara Locks began yesterday.
Panama Canal Administrator and CEO Jorge L. Quijano: Every day we move closer to completion
Once the locks are filled, the sills will undergo a rigorous testing process to ensure their integrity and proper function. "Every day, we move closer to completion," said Panama Canal Administrator and CEO, Jorge L. Quijano. "But the key for us, as it has always been, is to do so in a way that maintains the highest standards are met, ensuring Canal operations for the next 101 years and more." Less than four percent remains to complete the Panama Canal Expansion Program, which is expected to be inaugurated in the second quarter of 2016. The ACP says it will continue to provide updates on the project as more progress and information are made available.
THE MARITIME JOURNAL • JANUARY- FEBRAURY 2016 l 5
IMO news IMO joins 70th UN birthday celebrations
IMO Secretary-General Lim was in attendance as UN Secretary-General Ban Ki-moon marked the formation of the UN in London, UK, with a full house of students and diplomats (5 February). Speaking in Central Hall Westminster where the first UN Secretary-General was appointed 70 years ago, Mr. Ban addressed issues including climate change, the need for more women in global leadership roles, and the migrant crisis. IMO contributes to these and many more global issues, and has been joining the rest of the UN family in celebrating the 70th birthday.
France ratifies wreck removal treaty
France has ratified the Nairobi International Convention on the Removal of Wrecks. Adopted in 2007, this convention provides the legal basis for States to remove, or have removed, shipwrecks that may threaten the safety of lives, goods and property at sea, as well as the marine environment. It also provides uniform international rules for the prompt and effective removal of wrecks located beyond territorial seas. H.E. Nicole Taillefer, Permanent Representative of France to IMO, met IMO Secretary-General Kitack Lim and deposited the instrument of ratification today (4 February).
The event was hosted by the United Nations Association UK (UNA-UK) and Chatham House, and moderated by Sir Jeremy Greenstock – chair of UNA-UK and former Permanent Representative of the United Kingdom to the United Nations.
Addressing biodiversity in the high seas The UN is developing a new treaty to address the conservation of marine life and biodiversity in the high seas, beyond national territorial waters. Ahead of a preparatory committee meeting, to be held in March -April 2016, IMO’s Ed Kleverlaan attended an international workshop in Singapore (3-4 February) and outlined existing treaties and mechanisms to protect the oceans, such as the particularly sensitive sea areas (PSSAs) designated by IMO. The workshop was organized by the National University of Singapore - Centre for International Law. The new international legally binding instrument on the conservation and sustainable use of marine biological diversity of areas beyond national jurisdiction is being developed under the auspices of the United Nations Convention on the Law of the Sea (UNCLOS)
THE MARITIME JOURNAL • JANUARY- FEBRAURY 2016 l 6
The Value of a 3D Arctic Simulator I took the image through a rotating window in the wheelhouse during a terrific storm in the icy waters off Antarctica. The memory of this moment remains in my vision and has fuelled my belief that creating an international 3D virtual reality crisis simulator would be of great benefit to the industry. Using such a simulator would combine rational knowledge with emotional response and thereby give students valuable experience in acting quickly and with timely care in an emergency at sea. Such a crisis could be “Ice Right On” during very difficult sailing conditions in Arctic or Antarctic waters. The simulator would provide realistic scenarios depending on vessel capabilities – could it withstand a collision with just a small iceberg of granite-hard glacier ice (blue ice) in the open seas, for example? Let us now assume that the iceberg shown on the image to the left rises about five meters (16 feet) above sea level, and extends 45 meters (145 feet) below sea level - and let us guess that it weighs about 3,000 tons. Such a small iceberg very likely could not be seen on the ship's radar systems in very bad weather because of sea clutter on the radar screen. It would also be very difficult to see this iceberg visually using a spotlight during a blizzard in the dark where the very high waves are covered with white foam. An emergency situation arises suddenly when the bridge watch team spots the iceberg a few hundred meters right in front of the ship. The crew must act quickly and with timely care. Another scenario could be extrapolated from the picture to the right. This picture shows a floe of broken multi-year Arctic polar ice (pack ice.) Note the person on top. Such hard granite-like ice, which at most rises approximately a meter (three feet) above sea level and extends perhaps 10 meters (33 feet) below the sea surface, can be extremely difficult to observe on the high seas, either visually or on the ship's radar systems.
Consider yet another mind experiment: A fully loaded ship, at approximately 140 meters (460 feet) long and with a deadweight of approximately 9,000 tons, on voyage from Copenhagen to Greenland is subdued in a storm. The wind has blown for three days with an average speed around the clock of approximately 25 meters (80 feet) per second. The ship surfs down from a wave crest and hits a small iceberg with the bow. Suddenly the ship is in an emergency situation. How will this collision affect the ship? On summer days with calm winds and good weather conditions, the technical aids of the ship, such as radar and ice spotlights, are of invaluable help. But in fog or in the dark, there is still the need for quick decisions to be made to ensure the safe navigation of the ship. During autumn and winter, ships can experience blizzards, ice accretion or very high waves of up to 20 meters (65 feet). Then, the technical equipment on board is not always very helpful. No matter how much of the ice is above sea level, there is a need for sharp, trained eyes that can spot it in enough time to prevent a collision. The crew’s qualification and training must be of a very high standard, particularly the navigator at watch, so that they can respond quickly and safely. Existing full-mission bridge simulators with realistic exercises targeting Arctic ice conditions can make a valuable contribution to training the novice ice navigator under calm conditions. Ice sailing in turbulent conditions is different. People who experience a sudden crisis for the first time can react very differently no matter how much technical rational knowledge they have acquired. Some are too emotional: others too calm and well-considered. A common feature is that no one knows in advance what their emotional response and action pattern will be. Gaining the experience through simulation gives the person an understanding of their emotional reaction and physical action pattern. They gain invaluable experience for next time. Therefore, it is my vision that seafarers are offered training in ice sailing under turbulent conditions via a 3D virtual reality crisis simulator. In this way, they would learn to manage their emotions and gain valuable experience in how to react quickly and with timely care. Averting a polar disaster in the future could depend on it. Bjarne Rasmussen is an ice navigator who has sailed in the Arctic and Antarctic.
THE MARITIME JOURNAL • JANUARY- FEBRAURY 2016 l 7
States urged to ratify compensation regime for Hazardous and Noxious Cargoes The International Maritime Organization (IMO), together with the International Oil Pollution Compensation Funds (IOPC Funds) and the International Tanker Owners Pollution Federation (ITOPF), is urging its Member States to ratify and implement a key compensation treaty covering the transport of hazardous and noxious substances (HNS) by ship. The International Convention on Liability and compensation for Damage in Connection with the Carriage of Hazardous and Noxious substances by Sea, 2010 (2010 HNS Convention), when in force, will provide a regime of liability and compensation for damage caused by HNS cargoes transported by sea, complementing existing regimes already in force for the transport of oil as cargo, bunker oil used for the operation and propulsion of ships, the removal of hazardous wrecks and claims for death of or personal injury to passengers, or for damage to their luggage, on ships. “The HNS Convention recognizes that accidents can and do happen and it is the last piece in the puzzle needed to ensure that those who have suffered damage caused by HNS cargoes carried on board ships have access to a comprehensive and international liability and compensation regime,” said IMO Secretary-General Kitack Lim. “The number of ships carrying HNS cargoes is growing steadily with more than 200 million tonnes of chemicals traded annually by tankers. I urge all States to consider acceding to the HNS 2010 treaty as soon as possible, in order to bring it into force.” Entry into force requires accession by at least 12 States, meeting certain criteria in relation to tonnage and reporting annually the quantity of HNS cargo received in a State. There are as yet no contracting States to the 2010 HNS Convention. However, progress towards the Convention’s entry into force has gathered pace over the past year, with a number of States preparing the necessary implementing legislation. Together with the IOPC Funds and ITOPF, IMO has produced a six-page brochure that explains to States the purpose and benefit of the HNS Convention and encourages IMO Member States to take the next steps to ratify or accede to the Convention. The development of the brochure was achieved collaboratively through an IMO Correspondence Group and its production was funded through a donation made to IMO by the Government of Canada. It is the first in a series of tools to be developed in collaboration with IMO Member States, the purpose of which is to make ratification a priority and to assist government administrations in their internal promotion of the Convention. It also highlights the potential risk to claimants if there is currently no liability and compensation regime in force. IMO measures relating to the prevention of accidents that involve HNS cargoes are already in force, including ship design, operations and safety on board as well as safety of loading and unloading operations. There is also a protocol covering preparedness and response to shipping accidents involving hazardous substances. The 2010 HNS Convention can deliver the uniform and comprehensive regime needed to provide compensation for costs, including clean-up and restoring the environment, in the event of an incident involving HNS cargoes. Total compensation available under the Convention is capped at 250 million Special Drawing Rights (SDR) of the International Monetary Fund (approximately USD $380 million at current exchange rates) per event. Shipowners are held strictly liable up to a maximum limit of liability established by the Convention for the cost of an HNS incident. Registered owners of ships carrying HNS cargoes, have to maintain insurance that is State certified. The HNS Fund pays compensation once shipowner’s liability is exhausted and is financed through contributions paid post incident by receivers of HNS cargoes. The HNS Fund is administered by States and contributions will be based on the actual need for compensation. HNS covered by the Convention include: oils; other liquid substances defined as noxious or dangerous; liquefied gases; liquid substances with a flashpoint not exceeding 60˚C; dangerous, hazardous and harmful materials and substances carried in packaged form or in containers; and solid bulk materials defined as possessing chemical hazards. The HNS Convention establishes the principle that the ‘polluter pays’ by ensuring that the shipping and HNS industries provide compensation for those who have suffered loss or damage resulting from an HNS incident. Source: IMO
THE MARITIME JOURNAL • JANUARY- FEBRAURY 2016 l 8
THE MARITIME JOURNAL • JANUARY- FEBRAURY 2016 l 9
Half of ships now ECDIS ready Over half of ships trading internationally are ECDIS ready, according to the latest figures published by the United Kingdom Hydrographic Office (UKHO), with 62 per cent of existing cargo ships over 50,000 gt already fitted ahead of their 1 July 2016 deadline. Of an estimated 41,500 internationally trading ships around the world, 58 per cent are now using an ENC service on ECDIS as a result of the SOLAS-mandated carriage of ECDIS, which is being introduced on a rolling timetable for different ship types and sizes. Moreover, when those that do not trade internationally are included, 45 per cent of all ships that are subject to the SOLAS regulations are ECDIS ready. On this basis, the UKHO says that it believes the shipping industry is broadly on course to comply with the SOLASmandated timetable for ECDIS carriage across the global fleet by the end of this decade. Positive progress towards ECDIS adoption is also being made by different categories of ship types and sizes. The ECDIS carriage regulations entered into force from 1 July 2015 for tankers (applicable from the first survey after this date), and the proportion of tankers over 3,000 gt that are ECDIS ready has risen from 54 per cent in April 2015 to 69 per cent in October 2015. As mentioned, at present 62 per cent of the 3,500 large cargo ships that will be subject to the next deadline in July 2016 are already ECDIS ready, and this number is significantly higher than the equivalent figure for the tanker fleet from 12 months ago. However, there are still some variances in ECDIS readiness between different categories of cargo ship according to UKHO’s statistics. At present, 57 per cent of bulkers are ECDIS ready, compared to 65 per cent of RoRos and 71 per cent of container ships, though there is near-parity in ECDIS readiness between the Asian and European large cargo ship fleets, with 63 per cent of large cargo ships in Asia ECDIS ready, compared to 62 per cent in Europe. “These figures show that the majority of internationally trading ships have now made the transition to digital navigation and are now living with ECDIS,” said Thomas Mellor, the UKHO’s head of OEM technical support and digital standards. “For the first time, vessels without ECDIS now represent a minority of the internationally trading fleet. This is an important moment for the shipping industry, as it signals that we are moving out of the ECDIS adoption phase and into a new era. Source : http://www.ukho.gov/
Report indicates growing disparity in seafarer internet access Social network for seafarers Crewtoo has published the results of its third Crewtoo Seafarers Happiness Index survey, indicating a growing disparity in internet access at sea. Internet access and shore leave were identified as key areas affecting happiness for those serving at sea according to the survey, and while some seafarers now report good, often cheap or even free access, others only occasionally get online and have to put up with cost or technical issues, while still others have no connectivity at all. According to Crewtoo a number of respondents feel that “insufficient investment is being made in ensuring ongoing, high-speed, and quality connections”, and those without internet access likened conditions to being in the “stone age.” Designed to monitor and benchmark seafarer satisfaction levels in 10 specific areas, this third quarterly report shows an overall seafarer satisfaction level of 6.37 on a scale of 1 to 10, which is virtually unchanged from the 6.44 overall level reported in August. The score related to Connectivity was 6.62, slightly above the average but down 0.14 since the prior survey. The cost of connection was highlighted as a particular concern, with a number of respondents stating that they paid upwards of US$500 per month for access, and this represented a significant percentage of their wage. The report also notes unhappiness from crews that some shipowners were raising revenue from their seafarers, viewing connectivity as a revenue source. While some did not mind this approach if costs were fair, others likened it to owners charging for food or water to make a profit. THE MARITIME JOURNAL • JANUARY- FEBRAURY 2016 l 10
First international maritime human rights conference to be held in 2016 Taking place in London on September 14th 2016 the conference, which is being jointly run by Human Rights at Sea and Ensign Events, will focus on explicitly addressing the issue of maritime human rights and associated welfare issues throughout the maritime environment. Human Rights at Sea (HRAS) and Ensign Events have announced the launch of the International Maritime Human Rights Conference and Gala Dinner 2016. Taking place in London on September 14th 2016, the event will focus on explicitly addressing the issue of maritime human rights and associated welfare issues throughout the maritime environment. Bringing together industry, civil society and government-level leaders for discussion and debate, the conference will offer an objective viewpoint on issues currently affecting the human element at sea. It will explore topical and emerging matters, and investigate human rights protections and available remedies for abuse. Undertaken by both national and international experts, the event will deliver incisive commentary and concepts to the audience for consideration and debate. Addressing commercial, government, academic and civil society positions on the issue of human rights, the speaker line-up will discuss and debate topics including: the need for explicit engagement with maritime human rights; seafarer welfare - challenges, responsibilities and the future; the fishing community – challenges and development; Corporate Social Responsibility and application of the UN Guiding Principles on Business and Human Rights; refugees, migrants, immigration and shipping; and the Investigation of human rights abuses at sea. Llewellyn Bankes-Hughes, Director of Ensign Events, Managing Director of Petrospot, and Director of Shipping Innovation, said: “All too often the commercial, political and technical side of the global shipping sector is allowed to overshadow the real, living human side of the industry. This event will readdress the balance and put the seafarers and their welfare at the forefront.” CEO of Human Rights at Sea, David Hammond added: “The opportunity to be part of a globally-focused International Maritime Human Rights Conference, bringing people together from across the maritime environment to listen to subject matter experts and leaders in their fields discuss the current issues facing the international community relating to human rights and the human element is not to be missed. Already, interest and engagement in this conference from across the maritime sector has been significant." Jean Gowin, Director of Ensign Events and Managing Director of Jeanius Consulting, added: “We are excited to be bringing a worldfirst human rights conference to the maritime sector, especially at a time when shipping faces a myriad of welfare issues and global human rights concerns. The conference will be all encompassing and objective to allow an open and honest exchange of opinions and aims to unite the industry as one voice to create a better environment for the human element at sea.” All surplus monies from the Conference and Gala Dinner in excess of disbursements required to establish, develop and run the event will be donated to maritime charities. More details are expected to be announced shortly via the event website www.mar-rights.com
Source : By Laura Stackhouse | Thu, 26 Nov 2015 / http://readmt.com/
THE MARITIME JOURNAL • JANUARY- FEBRAURY 2016 l 11
Indian Ocean’s piracy risk area reduced in a boost for shipping firms
The expanded high risk area had covered almost all of India’s western coast, and had triggered a 300-fold jump in ship insurance costs, leading to rise in the transaction cost of commodities shipped to Indian ports. Photo: Getty Images
Mumbai: In a move that could potentially lower the insurance and operating costs of Indian shipping companies, international shipping regulators have revised down the so-called high-risk area effective 1 December. “European Union Chair of the Contact Group of Piracy off the Coast of Somalia (CGPCS) today, 8 October 2015, announced the revision of the limits of the piracy high risk area (HRA) with effect from 1 December 2015,” the ministry of defence said in a statement on Friday. The expanded HRA had covered almost all of India’s western coast, and had triggered a 300fold jump in ship insurance costs, leading to rise in the transaction cost of commodities shipped to Indian ports. About 90% by volume and 70% by value of the country’s international trade takes place through ocean transportation. The country’s major ports play a key role in facilitating external trade, which accounts for 40% of India’s gross domestic product (GDP). Indian shipping regulators and defence forces were lobbying to redraw the eastern limit of the HRA since 2012 as piracy at sea dropped to its lowest levels in six years in 2014. The HRA was extended in 2010 beyond the earlier boundary of 65 degrees East longitude to up to 78 degrees East, stretching right up to the territorial waters on India’s western shores. Consequently, London’s joint war committee (JWC), which assesses insurance risks, extended the war zone in December 2010 about 900 miles east as the hijacking range grew. JWC comprises underwriters from the Lloyd’s Market Association (LMA) and the International Underwriting Association (IUA). The decision was taken after pirate attacks started taking place further from the Somali coast and closer to India than in the past as pirates deployed long-range ships to attack and hold ships for ransom. The expansion of the area effectively brought the whole of the Indian Ocean, almost up to the coast of India, into a so-called exclusion zone, raising shipping costs. Source : http://www.livemint.com/ P.R. SAnjay
The extension meant that this area was excluded from the annual war risk cover, and underwriters demanded additional premiums from shipowners to provide a cover for the area. A ship with appropriate war risk insurance is covered for risks encountered throughout the course of its normal operations. In addition to deployment of Indian naval ships in the Gulf of Aden since October 2008 for anti-piracy patrols, robust action by the Indian Navy and Indian Coast Guard led to the arrest of 120 pirates from four pirate ships between January 2011 and March 2011. Affirmative action and increased surveillance contributed towards the decline of piracy incidents in the East Arabian Sea, with the last pirate activity in the region reported in March 2012, the ministry of defence said in its statement on Friday. “The absence of piracy in the Indian maritime zones and adjacent seas, the security concerns and financial implications of an extended HRA led to India seeking a review of the HRA, with the support of numerous countries,” it said. With the revision of the HRA, the defence ministry said some of India’s maritime security concerns such as floating armouries and proliferation of private security are likely to be addressed. “In addition, Indian ship owners are likely to benefit significantly on account of savings on insurance and associated operating costs,” the ministry said, without elaborating. Anil Devli, chief executive officer of the Indian Shipowners’ Association of India (INSA), at lobby group of local ship owners, said Indian shipowners had paid around $125 million to $130 million towards addition war risk premium in the last financial year. To be sure, some of the portion of this additional war risk premium will remain, but substantial portion of the premium will go way with the downwards reduction. Devli said this decision will also help avoiding the clash of fisher man and merchant vessels as fisher man can now go to deeper seas.
Seagull launches knowledge benchmarking tool Seagull Maritime has launched a software tool to benchmark seafarer knowledge levels, allowing shipowners and operators to compare their crew and potential recruits with industry peers. The new software will provide shipping companies with online access to data to make objective decisions and to identify areas where further training is required. Through its existing Crew Evaluation System (CES), which holds records from 250 companies and from more than 500,000 test results, Seagull allows users to benchmark knowledge of their crews against industry data identifying attributes that include nationality, rank, and crew pool. Information on individuals is fully protected, with users accessing aggregated data from generalised results achieved by anonymised people. “STCW certification is essential, but it is not a guarantee of competence,” said Roger Ringstad, Seagull Maritime managing director.
Roger Ringstad, Seagull Maritime
“Our Crew Evaluation System is widely
used to test and verify the knowledge level of seafarers, but benchmarking takes its usefulness to another level.” “This is the only assessment tool available in the market enabling owners and ship managers to analyse personnel and potential recruits by nationality, rank, manning supplier, specific knowledge areas and compare their quality with industry standards using reliable historical data. This will be an eye opener for employers, who can base their crew supply decisions on accurate information, not supposition.” The new tool is available online in a web-based application that provides reports and graphics for analysis.
THE MARITIME JOURNAL • JANUARY- FEBRAURY 2016 l 12
SUCCESSFUL SURGERY In an unprecedented endeavour, the ship manager Reederei NSB is widening its Panamax-class container vessels. DNV GL, the class in charge, is on board.
Too young for scrapping, too old to compete: Roughly 500 Panamax-class container ships are currently less than ten years old, barely half their useful life. But facing overcapacities, low charter rates and ierce competition, the Panamax class is under intense pressure. Compared with state-of-the -art and much more capacious newbuildings, its prospects are dim. This is mainly due to the way these vessels were designed. To pass the old locks of the Panama Canal, they were built with unusual dimensions – long and thin and with a large amount of ballast water to compensate the poor stability. “In addition, Panamax ships are equipped with stronger engines that achieve their highest eficiency when operating at higher speeds, rather than slow steaming, which is more common today,” says Marcus Ihms, Ship Type Expert for Container Ships at DNV GL – Maritime. So shipowners try to make their leets more competitive by undertaking minor and major ship conversions (see below). Reederei NSB of Buxtehude, Germany, is causing quite a stir with the idea of widening three of its Panamax container vessels: MSC Geneva went back into service in July of this year after undergoing the procedure, her sister ship MSC Lausanne was delivered in late October, and MSC Carouge should be completed by the end of January 2016. “No one has ever cut a container ship lengthwise from the superstructure to the bow to widen it,” says Tim Ponath, Chief Operative Oficer of Reederei NSB. “We are very proud of our team who demonstrated the viability of our concept.” Innovative and technically sophisticated, this concept was developed jointly by NSB and the
Hamburg-based Technolog GmbH. After separating the fore and aft body from the cargo hold in dry dock, the cargo hold is cut in half lengthwise and pulled apart. The new centre sections are inserted and connected to the existing part. “The main idea behind this innovative method is cutting the hull in the least stressed areas and signiicantly increasing both the container intake and stability by widening it,” says Lutz Müller, Senior Technical Consultant at NSB and one of the key initiators of the project. Providing guidance The conversion is carried out by Huarun Dadong Dockyard (HRDD), China. DNV GL, the classiication society in charge of the ships, was involved from the early stages. “This is a major conversion project,” emphasizes Ihms. This means that all classiication and lag state rules in effect at the time of conversion have to be observed. It is important to discuss with the lag state and the class, what rules must be adhered to under all circumstances, and what parts of the ship can be handled according to existing standards rather than new requirements. “Our Class Note for Conversion of Ships provides the necessary guidance to owners as well as engineering companies during the design phase,” Ihms points out. For example, in the case of MSC Geneva and her two sister ships, the anchor equipment had to be adapted, as a widened ship is heavier and offers more resistance to wind. “According to our well proven method, additional chain lengths can provide more holding force. Thereby, the retroit of the entire winch system can be avoided without jeopardizing the anchoring capability,” Ihms reports. From anchor
THE MARITIME JOURNAL • JANUARY- FEBRAURY 2016 l 13
equipment and ship strength and stability through to statutory compliance and cargo lashing, close collaboration between all project stakeholders was crucial for the success of this world premiere. Added beneits A conversion adds up to four container rows to the cargo hold, increasing the container capacity by about 30 per cent. In addition, it improves engine eficiency when combined with an optimized propeller, and bolsters stability. “Stability increases exponentially when you widen a ship,” Ihms explains. As an added beneit, the required ballast water per loaded
container could be reduced by half. The IMO Energy Eficiency Design Index (EEDI) achieved will equal that of a newbuilding and meet EEDI regulations as per 2025. The life-extending surgery will pay for itself within four years – so in the end it has all been well worth the effort, Ihms assures.
DNV GL Expert Marcus Ihms, Ship Type Expert Container Ships Phone: +49 40 36149-7181 E-Mail: marcus.ihms@dnvgl.com ort,
Ihms assures. PL
THE MARITIME JOURNAL • JANUARY- FEBRAURY 2016 l 14
ICS: Employers need to be ready as STCW 2010 transition ends The following is the text of a news release from the International Chamber of Shipping (ICS): (LONDON) — The transitional period for the 2010 amendments to the International Convention on Standards of Training, Certification and Watchkeeping for Seafarers (STCW 2010) comes to an end on Jan. 1, 2017. To prevent last-minute certification "logjams" and potential difficulties during Port State Control inspections next year, it is important that maritime employers liaise closely with maritime administrations, says the International Chamber of Shipping. With less than a year to go before the end of this major transition, ICS and its member national associations are urging shipping companies to check that those maritime administrations responsible for issuing their seafarers’ STCW certification are fully prepared, and that arrangements have been made to ensure that any necessary updating training can be undertaken by the seafarers they employ. The 2010 Manila Amendments to STCW entered into force in 2012, with different requirements being phased in at various dates before Jan. 1, 2017. The provisions being phased in by maritime administrations include new and updated seafarer competences, as well as changes to some seafarer grades and certification requirements. Most maritime administrations have determined that seafarers holding national certificates of competence will need to complete mandatory updating courses in order to be certified beyond Dec. 31, 2016. In view of the Jan. 1, 2017 implementation date, ICS considers that maritime administrations should, where necessary, have already approved any special updating courses for seafarers, as well as making any necessary arrangements for the issue and revalidation of seafarers’ certificates in accordance with the 2010 amendments. In their capacity as flag states, administrations also need to be ready to process a potentially large number of applications for flag-state recognition endorsements toward the end of 2016. However, in order to ensure that any applications can be processed by certification-issuing administrations and flag states well ahead of Jan. 1 next year, ICS says that ship operators should be taking all necessary steps now to facilitate the attendance of their seafarers at relevant training courses. “Shipping companies should take early action to ensure seafarers’ certificates are renewed or revalidated as may be required before the end of the transition period, and to plan for their seafarers to attend any necessary courses," ICS Secretary-General Peter Hinchliffe said. "But as we approach 2017, employers will be reliant on the availability of courses from training providers and their timely approval by maritime administrations. This should be a simple matter of logistics but shipowners, administrations, training providers and all other parties involved should undertake to work together to avoid either noncompliance with the new STCW regime or the disruption of the operation of the world fleet due to a lack of certified seafarers.”
THE MARITIME JOURNAL • JANUARY- FEBRAURY 2016 l 15
ICS: Employers need to be ready as STCW 2010 transition ends The following is the text of a news release from the International Chamber of Shipping (ICS): (LONDON) — The transitional period for the 2010 amendments to the International Convention on Standards of Training, Certification and Watchkeeping for Seafarers (STCW 2010) comes to an end on Jan. 1, 2017. To prevent last-minute certification "logjams" and potential difficulties during Port State Control inspections next year, it is important that maritime employers liaise closely with maritime administrations, says the International Chamber of Shipping. With less than a year to go before the end of this major transition, ICS and its member national associations are urging shipping companies to check that those maritime administrations responsible for issuing their seafarers’ STCW certification are fully prepared, and that arrangements have been made to ensure that any necessary updating training can be undertaken by the seafarers they employ. The 2010 Manila Amendments to STCW entered into force in 2012, with different requirements being phased in at various dates before Jan. 1, 2017. The provisions being phased in by maritime administrations include new and updated seafarer competences, as well as changes to some seafarer grades and certification requirements. Most maritime administrations have determined that seafarers holding national certificates of competence will need to complete mandatory updating courses in order to be certified beyond Dec. 31, 2016. In view of the Jan. 1, 2017 implementation date, ICS considers that maritime administrations should, where necessary, have already approved any special updating courses for seafarers, as well as making any necessary arrangements for the issue and revalidation of seafarers’ certificates in accordance with the 2010 amendments. In their capacity as flag states, administrations also need to be ready to process a potentially large number of applications for flag-state recognition endorsements toward the end of 2016. However, in order to ensure that any applications can be processed by certification-issuing administrations and flag states well ahead of Jan. 1 next year, ICS says that ship operators should be taking all necessary steps now to facilitate the attendance of their seafarers at relevant training courses. “Shipping companies should take early action to ensure seafarers’ certificates are renewed or revalidated as may be required before the end of the transition period, and to plan for their seafarers to attend any necessary courses," ICS Secretary-General Peter Hinchliffe said. "But as we approach 2017, employers will be reliant on the availability of courses from training providers and their timely approval by maritime administrations. This should be a simple matter of logistics but shipowners, administrations, training providers and all other parties involved should undertake to work together to avoid either noncompliance with the new STCW regime or the disruption of the operation of the world fleet due to a lack of certified seafarers.”
THE MARITIME JOURNAL • JANUARY- FEBRAURY 2016 l 16
When properly used, marine weather routing services help ships avoid dangerous storms
The sinking of El Faro off the Bahamas in October 2015 has raised uncomfortable questions about the ship’s condition, potential pressures from the home office and the captain’s decision-making at sea. In particular, many have questioned why the 790-foot ship maintained its course even as Hurricane Joaquin churned toward it. For those within the weather routing industry, that decision remains especially troubling. “In terms of El Faro, I was shocked to hear any vessel was anywhere near the storm,” said Capt. Richard Miller, an assistant professor at Maine Maritime Academy who teaches weather routing. Miller and other instructors teach students the “1-2-3 Rule.” That standard, which is widely used and understood in the maritime world, is designed to keep vessels a safe distance from tropical cyclones. Using National Hurricane Center storm predictions, the 1-2-3 Rule creates a potential “danger area” covering the storm’s likely path over 72 hours. The danger area expands 100 nm every 24 hours, creating a cone-shaped zone where mariners could encounter hazardous conditions. “If we did that for El Faro for a hurricane, you would end up drawing a fairly large area of no-go zone,” Miller said in an interview. “The ship should not be in that zone if they want to safely avoid the storm. That is what we teach here and what they teach at the Maritime Training Center.” Writing on the Old Salt Blog, sailor and naval architect Rick Spilman said the El Faro accident was, at the very least, a result of “horribly lax weather routing.” El Faro left Jacksonville, Fla., at about 2000 on Sept. 29, 2015, and headed for San Juan, Puerto Rico, despite National Hurricane Center warnings that Tropical Storm Joaquin would likely strengthen.
El Faro left Jacksonville, Fla., at about 2000 on Sept. 29, 2015, and headed for San Juan, Puerto Rico, despite National Hurricane Center warnings that Tropical Storm Joaquin would likely strengthen. Three hours after the ship departed, the National Hurricane Center issued a hurricane watch for an area that included parts of the Bahamas. Six hours later, the warning was extended to the Central Bahamas along the ship’s likely route. On Oct. 1 at about 0700, Capt. Michael Davidson told TOTE officials that El Farohad lost propulsion, its hull had been breached and a scuttle had blown open. The ship was listing 15 degrees and taking on water. About 15 minutes after that call, the Coast Guard received automated alerts from the vessel but never made contact with the ship, which was drifting about 35 miles northeast of Crooked Island. Thirtythree mariners died when the ship went down, and none of their bodies were recovered. After an extensive search, the Navy found the ship’s remains 15,000 feet below the surface on Oct. 31 in the area of its last known location, the National Transportation Safety Board (NTSB) said. The ship’s voyage data recorder has not been located and the Navy has abandoned its search for the device. TOTE Maritime, which owned El Faro through an affiliate, has said the vessel’s captain and crew had access to real-time satellite weather and other resources at sea.
The ship’s trackline showed that it sailed a route farther west than its normal course to San Juan. TOTE officials would not say if El Faro used a weather routing serEffective weather routing begins in the days, weeks and even months before the ship departs, according to industry experts. Using the ship’s size, hull shape, capabilities, limitations, destination and other factors, weather routing firms should use advanced weather, wind and wave forecasts to develop a custom route. These routes are generated to ensure safety, minimize transit time, avoid damage to the vessel or cargo and maximize crew comfort, said Rick Shema, a certified consulting meteorologist and president of the routing service Weatherguy.com. Shema, who operates from Hawaii and has commercial and recreational customers around the world, said route plans are fluid and often are updated in real time based on weather changes and the captain’s observations. However, there is little that can be done once a ship has already encountered the bad weather. “Routing options to avoid hazardous weather may become limited once a vessel is threatened by a storm. The idea behind weather routing is to efficiently route a ship via the fastest route, minimizing fuel burn and avoiding hazardous weather,” he said. “The earlier a certified router comes into play, the more route options may be available for the ship to consider, especially in winter months.” Cont. to page 18
THE MARITIME JOURNAL • JANUARY- FEBRAURY 2016 l 17
Japanese shipping shares hammered on talk of more bankruptcies On a terrible day for the Tokyo Stock Exchange, shipping shares came in for a particular battering as the market became spooked by the spectre of further bankruptcies.
The dire state of the dry bulk markets has put a number of midsized Japanese operators closer to restructuring, sources in the Japanese capital tell Splash. The Baltic Dry Index hit a new low of 293 points yesterday, continuing a dire spiral seen throughout the first weeks of 2016. Already Japan, home to the world’s third largest merchant fleet, has suffered two very high profile bankruptcies in recent years – Sanko Steamship (for the second time) and Daiichi Chuo Kisen Kaisha. “There’s a number of lines whose numbers simply do not stack up in the current market environment, saddled by expensive ships and poor charter rates,” one broker said. A banking source added: “We expect to hear of many shipping companies holding urgent restructuring talks with creditors soon.” The benchmark Nikkei 225 index lost in excess of 900 points today, closing the session at 16,085.44. The 5.4% decline is the largest since June 13, 2013. Japan’s big three shipping lines all fared miserably on the bourse today – Kawasaki Kisen Kaisha (K Line) down 5.67%, Nippon Yusen Kaisha (NYK) down 7.53% and Mitsui OSK Lines (MOL) down 7.08%.
Cont. from page 17 The cost of weather routing services can vary widely. But if done right, these services save the operator money by reducing fuel consumption and damage to the ship or lost cargo, said Miller, of Maine Maritime. Although many large vessels now have advanced satellite broadband services that offer real-time weather reports, routing services typically have access to more sophisticated data. “Having a meteorologist or trained forecaster being able to review weather products, they are going to be able to look ahead … and hopefully route the ship in the best possible direction not only for safety but also fuel efficiency,” he said. Worldwide, a handful of large companies dominate the market for large commercial ships, including Weather Routing Inc., Applied Weather Technology and FleetWeather. These firms either did not respond to requests for comment or declined to be interviewed. FleetWeather, meanwhile, is transitioning away from weather routing services, according to a spokesman. There are numerous smaller firms that provide these services for commercial vessels, private yachts and sailboats. Chris Parker, owner of Lakeland, Fla.-based Marine Weather & Communications LLC, creates custom routes that aim to keep clients away from the “worst plausible scenario” that could occur based on uncertainty with the weather forecast. Consider the forecast that calls for winds between 17 and 30 knots and 4- to 8-foot seas with a chance of a squall. For most commercial vessels, this is no big deal. But for smaller yachts or sailboats, the 30-knot winds and 8-foot seas could be serious. Custom routes aim to keep vessels safe should the worst plausible weather scenario happen. Parker was not involved with routing El Faro, but said his suggested route for the vessel would have been to travel between Florida and the Bahamas and then southeast between Cuba and the Bahamas, using the island nation to minimize impacts from Hurricane Joaquin. “There was no plausible scenario that would have gotten Joaquin within 100 miles of the coast of Cuba,” Parker said. “They would have seen maybe tropical storm-force winds but from port stern quarter or directly astern, but not more than 30 to 50 knots. The sea state would be less than you’d expect given that wind, given relatively limited fetch.” It’s possible, of course, that El Faro received similar routing instructions before departure or during the voyage that were not followed. Shema said captains sometimes depart even when forecasts are approaching the vessel’s wind and wave limits. “They might proceed with caution, assuming the crew can handle short durations of adverse weather. Most commercial ships are on a tight schedule and under pressure to get the cargo to their destination,” Shema said. “That doesn’t change the forecast. It’s up to the captain whether or not to leave. However, there are other mitigating procedures that can be employed to reduce the risk of departing when rough conditions are in the forecast.” Maine Maritime and other academies offer training in weather routing and meteorology. Miller believes weather routing works best when the master can discuss the route with the routing service and the home office based on real-time conditions at sea. “They should have a dialogue with the routing service and have a mutual agreement,” he said. “You have a professional resource on shore, but also in turn have the skills and knowledge of the master at sea.” THE MARITIME JOURNAL • JANUARY- FEBRAURY 2016 l 18
Ship Tanks Inspected with Drones
Autonomy in the air takes on a role in ship maintenance & repair DNV GL surveyors tested a cameraequipped drone to visually evaluate structural components through video streamed to a tablet. One surveyor operated the drone, while a second checked the video feed in real time. DNV GLrecently completed several tests using drones to support the hull survey of two vessels. Conducted by the classifi cation team based in Gdansk, Poland, the tests took place at the Remontova shipyard, where the drones equipped with cameras were employed to visually check the condition of remote structural components. According to DNV GL, this practice has the potential to not only reduce survey times and staging costs, but at the same time improve safety for surveyors. “Camera equipped drones are now much more widely available and affordable, and by using them for a first screening we can identify areas that require closer inspection quickly and without extensive staging, which can be both costly and time-consuming,” said Cezary Galinski, Manager of the DNV GL – Maritime classifi cation flying squad based in Gdansk. The tests used a camera-equipped drone to visually evaluate structural components through video streamed to a tablet. One surveyor operated the drone, while a second checked the video feed in real time. The stream was also recordedfor review and documentation purposes. Equipped with a powerful headlight, the drone was able to produce a video of suffi cient quality for initial inspection purposes. In the event any damage is detected, a traditional close-up survey may still be required. “We used a modifi ed off-the-shelf drone for our tests,” Galinski said. “Because there are currently no drones formally certifi ed as explosion-proof commercially available, we performed a risk assessment. Of course, before the drone operation started, we also ensured that the cargo tank was gas-free and certified for safe entry.” “Our next step is to work with a more advanced tailor-made drone in early 2016,” Galinski said. “We are also developing a special guideline for performing drone-based surveys. This could open the way to remote or even autonomous inspections being carried out as part of our survey scheme in the near future.” www.dnvgl.com
THE MARITIME JOURNAL • JANUARY- FEBRAURY 2016 l 19
FLAGSHIP Panama canal expansion to be complete around May 2016 Panama City (AFP) - Panama's expansion of its century-old canal, which has suffered costly overruns and major delays, is now to be complete "around the month of May," President Juan Carlos Varela said Saturday. The leader, speaking in an address to the nation, also urged the Spanish-led consortium behind the project to leave legal disputes to the "competent authorities" and focus on completing its work on the waterway. The appeal came after a Dispute Adjudication Board hearing a budget overrun row ordered the state's Panama Canal Authority to pay the consortium $17 million for extra labor costs and for a strike called by workers. "With respect, I am calling on the contractors for the expansion project to hold dialogue with the Panama Canal Authority, to allow work to be completed, to leave legal disputes in the hands of the competent authorities and to avoid mediatized differences that in no way help the image of the contractors, the Canal Authority and the Republic of Panama," Varela said. The consortium, Grupo Unidos por el Canal de Panama, started the expansion work on the canal in 2007. The project is well behind schedule. The extensions were originally meant to have been completed in October 2014 but were then pushed back to an April 2016 deadline. Varela's announcement indicated that that may have slipped again, to May this year. The work on the century-old canal aims to triple its capacity. The cost of the work was projected at $5.3 billion, but that has been greatly exceeded. Varela also said it was "imperative" to start a study on developing a river basin to guarantee water supplies for human use and for the functioning of the canal. Source : http://www.afp.com/
Liberian Registry reaches 4,000-ship milestone
Marshall Islands flag to surpass Liberia into second place this year
The Liberian Registry has reached a historic milestone with the registration of its 4,000th vessel – the 50,000 dwt chemical / product tanker newbuilding High Trust, owned by d’Amico Tankers Limited, Dublin (d’Amico International Shipping S.A. group). Scott Bergeron, CEO of the Liberian International Ship & Corporate Registry (LISCR), the US-based manager of the Liberian Registry, says, “The Liberian-registered fleet continues to grow at a rapid pace with the planned addition of quality tonnage under quality ownership and management. The High Trust is an appropriate name for our 4,000th vessel, since it symbolises the ongoing faith shown in the Liberian flag by the international shipping community. “Size may not be everything. But ship registries which continue to build on their market share in a tightly regulated and safetyconscious sector by adding quality tonnage are clearly providing the service and expertise which today’s shipping industry demands.” The Liberian Registry is one of the world’s largest and most active shipping registers, and has long been considered the world’s most technologically advanced maritime administration. It has a longestablished track record of combining the highest standards of safety for vessels and crews with the highest levels of responsive service to owners. Moreover, it has a well-deserved reputation for supporting international legislation designed to maintain and improve the safety and effectiveness of the shipping industry and protection of the marine environment.
The Marshall Islands ship registry (RMI Registry) is confident it can overhaul Liberia this year to become the second largest flag in the world after Panama. The flag, administered by Virginia-headquartered International Registries, Inc (IRI), celebrated becoming the largest flag in Greece in November. For IRI, surpassing Liberia is a particularly sweet moment: the company quit managing the Liberian flag in 2000, moving to operate the Marshall Islands. Commented Bill Gallagher, president of IRI, “If growth patterns remain the same, it is anticipated that the RMI Registry will move from the third to the second largest worldwide.” As of the end of last year, the RMI Registry had 3,702 ships equating to 128.1m dwt on its books.
Source : www.liscr.com
THE MARITIME JOURNAL • JANUARY- FEBRAURY 2016 l 20
THE MARITIME JOURNAL • JANUARY- FEBRAURY 2016 l 18