Port State Control Committee 11 May 2000

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INTERTANKO / Braemar Seascope Seminar OIL
CHEMICAL SHIPPING TODAY Shanghai 2 March
2005 Peter M. Swift
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2005 INTERTANKO DATES FOR THE DIARY

• March 3-4 TradeWinds-Mare Forum / SHIPPING
  China 2005, Shanghai
• April 10-13 International Tanker Forum, Athens
• Sept (tba) Vetting seminars, Singapore / China /
  Other
• Nov 4 Asian Panel (TBC)
• Dec 8 ITOPF/INTERTANKO/OCIMF
• Oil Spill seminar, Shanghai
• Dec 9 INTERTANKO Tanker seminar

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INTERTANKO International Tanker Forum Athens
Tanker Event 10-13 April 2005



Sponsored by



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The Tanker Industry THE POLITICAL SCENE The
changing maritime landscape
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The changing maritime landscape

• Politicization of technical regulation
• Threat to authority of IMO
• Threat to international law
• Criminalisation of companies and seafarers

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Regulations have contributed to improvement in
maritime safety...
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..protection of life at sea
Source Lloyds Register Fairplay
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and environmental protection
Source ITOPF. Number of spills above 700 tonnes.
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...notwithstanding growth in size of maritime
trade
Source Fearnleys Review
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Key industry goals

• Regulatory environment which supports safe
  shipping operations, environmental protection and
  adherence to internationally adopted standards
  and procedures
• Properly considered international regulation of
  shipping
• Global regulation for a global industry, adopted
  and implemented uniformly

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Tanker industry
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Increasing politicization of regulation

• Examples
• Phase out of single hull tankers
• West European Particularly Sensitive Sea Area
• Moves to open up CLC/Fund Convention and link
  with substandard shipping
• Penal sanctions adopted by EU, criminalising
  accidental pollution
• Maritime security (e.g hijacking of AIS)
• Why? Port states versus flag states, and reduced
  influence of maritime constituency

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HOW IT WAS Examples of positive regulatory
developments (the IMO spirit)

• ISM Code and STCW (training)
• post Estonia passenger ferry measures
• IMO bulk carrier safety package
• Development of ILO Super Convention
• Outcomes broadly based on technical merits of
  arguments put forward. Industry viewpoint
  understood, if not always accepted.

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CHALLENGES TO INDUSTRY GOVERNANCE International
vs. local, national and regional

• Liability EU Criminal penalties vs.
  International Conventions
• Safety Environment EU (Post Erika Prestige)
  vs. IMO/Marpol SOLAS
• Sulphur Levels / Air Emissions EU, USA vs. IMO
• Security MTSA vs. ISPS
• Ballast Water Management US et al vs. IMO

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HOW IT IS The Challenges Today

• More political drivers and less consideration of
  the technical, operational, and commercial
  interests
• More unworkable, inconsistent and illogical
  regulation and less consideration of the
  practical aspects
• More pressure for local / regional regulation and
  less willingness to adopt and apply international
  regulation

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Threat to authority of IMO

• Global industry needs global regulation
• IMO agreed to acceleration of single hull
  phase-out (twice), but under duress
• EU Directives going beyond MARPOL
• Interference of UN in New York genuine linkage
  to flag

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Threat to international law

• Escorting of single hull tankers out of EEZ by
  Spain, France et al, in contravention of MARPOL
  and UNCLOS obligations
• Detention of seafarers, e.g. in Spain and
  Pakistan in contravention of UNCLOS
• Adoption of Criminal Penalties Directive for
  ship-source pollution
• European Commission suggestion that UNCLOS might
  be revised to alter the balance between flag
  states and coastal states.
• Willingness of EU to implement measures in
  conflict with MARPOL

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Criminalization

• Imprisonment of seafarers (Captain Mangouras et
  al)
• Activities of US Department of Justice (bounty
  for whistle blowers)
• EU Directive on Criminal Penalties (including
  accidental damage)
• SUA (Suppression of Unlawful Acts) Convention

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Political Action

• In Brussels
• In the US
• Internationally

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Action in Brussels

• Luxembourg then UK Presidency, New Commissioner
  and Commission staff, New Parliament and MEPs
• Sulphur levels in fuels still a major issue
• EMSA Double Hull panel making progress ?
• New Maritime safety Package under discussion
  MSP III / Erika III

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Brussels - The main players
Commission (The executive)
EMSA
European Parliament (Direct election)
Council (Member States)
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Interacting with the Commission
Jacques Barrot Commissioner for Transport
Francois Lamoureux
Director General
Director for maritime policy
M. Burgelle-Vernet S. Tostman Van Vreckem
Unit staff members
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EU Maritime Safety Package III

• Amendment to Directive on Vessel Traffic
  Monitoring and Information
• Liability and Compensation (principally
  Passengers)
• Recasting of Legislation on Port State Control
• Role of Classification Societies
• Marine Casualty Investigations in the EU
• Maritime Labour Standards
• Flag State Initiative
• But how about earlier programmes Places of
  Refuge, Ratification of Conventions, Reception
  facilities

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Action in the US

• Increasing support for signing UNCLOS
• Presidential support for ratification of Annex VI
• Overturning of proposals for escort tugs
• BUT
• Pressure at state and federal level for
  regulation of Air emissions, Ballast Water
  controls, Spill response and more
• Massachusetts State Law

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Action at the International Level

• Ratification of Key Conventions
• HNS / Bunker Convention / HNS-OPRC Protocol /
  AFS
• Action on
• Places of Refuge / Port Reception Facilities
• Support for FLAG STATE AUDIT

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THE POLITICAL SCENE The changing maritime
landscape Summary
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Seeking solutions Politicians and regulators
versus the Industry - Everyone has the answer !

• Politicians and legislators propose political and
  legislative solutions
• Industry offers technical, operational and
  procedural solutions
• Politicians and public want quick fixes
• Industry takes longer term view and cautions
  against hasty, ill-considered solutions

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Whose agenda ? Technical versus Political

• Industry advocates heavy fuel oil in only double
  hulls
• Politicians demand accelerated single hull
  phase-out and extra surveys
• Industry advocates new measures at global level
• Politicians demand regional and local legislation
• Industry pushes for Places of Refuge
• Politicians demand information on dangerous
  ships and cargoes
• Industry refers to UNCLOS, MARPOL and SOLAS
• Politicians challenge UNCLOS and MARPOL, and
  support PSSAs
• Industry pushes for Reception facilities
• Politicians support interceptions and tanker
  tracking

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The drive to Effective Regulation

• Regulatory environment which supports safe
  shipping operations, environmental protection and
  adherence to internationally adopted standards
  and procedures
• Properly considered international regulation of
  shipping
• Global regulation for a global industry, adopted
  and implemented uniformly
• THE INDUSTRY HAS MUCH WORK TO DO

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Thank you ???? www.intertanko.com www.shippingfac
ts.com