INTERTANKO / INTERCARGO Joint Technical Seminar

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INTERTANKO / INTERCARGOJoint Technical Seminar

• MUMBAI
• 22 November 2006

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INTERTANKO / INTERCARGOJoint Technical Seminar

• Global Governance Structures
• and
• Upholding International Law
• Peter M. Swift
• Managing Director, INTERTANKO

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International Association of Independent Tanker
Owners

• Represents responsible oil and chemical tanker
  owners worldwide, promoting their interests and
  providing members with technical, operational,
  legal, documentary and other support services,
  information and advice.
• 250 members representing gt 80 of the
  independent oil tanker fleet and gt 85 of the
  chemical carrier fleet, with strict membership
  criteria
• 300 associate members in oil and chemical
  tanker related businesses
• 15 Committees - 4 Regional Panels
• Representative Offices in Europe, US and Asia
• Observer status at IMO, IOPC and UNCTAD

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Mission and Vision

• MISSION
• Provide leadership to the Tanker Industry in
  serving the world with the safe, environmentally
  sound and efficient seaborne transportation of
  oil, gas and chemical products.
• VISION FOR THE TANKER INDUSTRY
• A responsible, sustainable and respected Tanker
  Industry, committed to continuous improvement and
  constructively influencing its future.

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One of the Associations primary goals

• Lead the continuous improvement of the Tanker
  Industrys performance in striving to achieve the
  goals of
• Zero fatalities
• Zero pollution
• Zero detentions

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Society and the International Shipping Industry
share the same goals

• Shipping should be
• Safe and secure
• Environmentally responsible
• Reliable
• Efficient (Low cost)

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For International Shipping to be effective and
efficient

• We need
• GLOBAL GOVERNANCE STRUCTURES FOR A GLOBAL
  INDUSTRY
• (However remembering that all politics are
  local)
• A BALANCE BETWEEN REGULATION AND SELF-REGULATION

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Achieving the Balance between Regulation Self
Regulation

• REGULATION
• Effective Regulation

• SELF-REGULATION
• Best Practice

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Effective Regulation

• Regulation, which is
• Developed at the global level, wherever
  appropriate (consistent with existing law)
• Fit for purpose (provides solutions)
• Properly considered (stakeholders involved)
• Impact(s) fully assessed (economic and social)
• If adopted, implemented uniformly and promptly

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For Self-Regulation to be accepted

• Shipping has to be seen as a Responsible
  industry
• and
• To be respected by the public, legislators,
  regulators and media

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Industry works to develop and promote Self
Regulation

• By
• Adopting industry best practices
• Producing industry guidelines
• Developing programmes, procedures, etc. - Design,
  Shipbuilding, Operations, Training, Inspections,
  Investigations and more

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Industry best practices

• Examples
• Adopting IMO Pilotage Recommendations
• Signing-up to Early Warning Information (Sharing)
  Systems
• Implementing Green Passport / Preparing Applying
  Hazardous Material Inventory
• Applying VOC control on passage
• Implementing anti-fouling regulations ahead of
  IMO timetable
• Establishing Emergency Response procedures
• Developing rehearsing crisis management
  procedures, (including media training)

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Industry Guidelines

• Examples
• Flag State Performance
• Recycling guidelines
• ISGOTT
• Newbuilding Awareness guide
• Model Ballast Water Management plan
• Garbage Management plan
• ISO 14001 planning
• Oil record book completion, OWS guidance
• Mooring, STS, COW, etc.

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Industry programmes and procedures / Quality
Initiatives

• Examples
• Ship Terminal vetting
• Management self-assessment programmes
• Casualty reporting and analysis
• PSC record analysis
• Establishment of Inter-Industry Group (Chemical
  Tanker accidents)
• Recommendations for Inert Gas for Cargo Tanks on
  presently exempted ships,
• Establishment of Human Element Task Force
• ..

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Other Examples of Industrys Quality Initiatives
/ Acting responsibly

• Industry-Government Programmes
• Marine Electronic Highway
• Reception Facilities Forum
• Double Hull Panel (EMSA)
• With many similar programmes on the dry side,
  plus sector specific
• - BC Capesize Loading Rates
• - Carriage of DRI fines
• - Annex V issues
• -

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Other Examples of Industrys Quality Initiatives
/ Acting responsibly

• Acting Ahead of regulatory implementation
• Annex VI (Nox Sox, VOC)
• Anti Fouling Systems (TBT Ban)
• Fixed Gas detection systems (Ballast tanks)
• Cargo tank coatings
• IG on smaller chemical tankers
• BW management trials
• OWS alternatives
• Green Passport and HMI standards
• .

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INTERTANKO / INTERCARGOJoint Technical Seminar

• Global Governance Structures

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Shippings Governance Structure

• Legislation Regulations
• With licences to operate provided by
• - Flag
• - Class (newbuild in-service)
• - Insurer (compulsory certificates)
• - Charterers (through vetting)
• - PSC (on behalf of coastal states)

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Flag State Guidelines- industry advice
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Working with Classification Societies

• Regular meetings of Industry and IACS
• Development of Common Structural Rules
• - Tankers and Bulkers
• Tripartite dialogue owners, builders and class
• Common structural rules
• Coatings and coating performance standards
• Goal Based Standards (Tiers IV V)
• Information sharing
• Shipboard waste management

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Working with Insurers, Charterers and Port State
Control

• Regular meetings of Industry and the
  International Group of PI Clubs
• - seeking differentiation based on quality
• - IOPC Quality WG
• Continuing dialogue with Charterers
  OCIMF-SIRE, CDI and others
• Meetings with PSC MoUs
• Seeking uniformity in standards and procedures
• member of EQUASIS Editorial, seeking consistency
  in data and effective analysis of information

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Why good PSC is important

• PSC RECORDS
• Used by charterers (brokers and agents)
• Used by media
• Used in assessments by flags, insurers and others
• Used as membership criteria by associations

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INTERTANKO / INTERCARGOJoint Technical Seminar

• Upholding International Law

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Challenges to the International Governance of the
Shipping Industry

• International vs. local, national and regional
• Liability EU Penal Sanctions 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, Australia et al
  vs. IMO

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Maintaining the supremacy of IMO,International
and US (Federal) LawAgainst the challenges of
Local and Regional Legislation

• INTERNATIONAL
• EU Challenges to UNCLOS
• EU Ship Source Pollution Directive
• Canada Bill C-15
• Ballast Water Legislation
• Air Pollution / Fuel Quality regulations

• (USA) FEDERAL
• Challenges to EPA regs on Ballast Water
  Discharges
• Massachusetts Oil Spill Response legislation
• Pending legislation in Rhode Island on LNG
  movements
• State legislation on Air Emissions

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Where does Regional Regulation fit ?

• Addressing purely local issues
• Catalyst for international regulation
• Accelerator for international implementation

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INTERTANKO / INTERCARGOJoint Technical Seminar

• Upholding International Law
• CRIMINALISATION

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Criminalisation

• A two-fold concern
• Unfair treatment / human rights
• and
• Counterproductive nature of other measures

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Criminalisation

• Unfair treatment and violation of human rights
• Too many cases of unlawful detentions after
  shipping accidents
• Welcome for the joint IMO/ILO Guidelines for the
  Fair Treatment of Seafarers
• Too many other unjust practices unjustified
  fines, denial of shore leave, prohibition of
  terminal access and more

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Criminalisation

• Counterproductive consequences not recognised
• Destroys no blame cultures
• Discourages openness and frank reporting
• Curtails surveyors reports detracts from good
  practice
• Deters salvors in circumstances when we need them
  most
• Deflects focus for proper casualty investigation
  and denies benefits of same
• Destroys and damages morale of seafarers and
  others
• Dissuades new recruits and accelerates departure
  of experienced staff
• Drives responsible people and companies from the
  business
• Is this what the legislators and society are
  seeking ?

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Maintaining the Supremacy of International and US
Federal Law

• What is being done ?
• Major industry-wide efforts to remove the threat
  of criminal sanctions for accidental discharges,
  including a Legal Challenge to the European Court
  of Justice
• Industry speaking out against Unfair treatment
• Extensive lobbying in the EU and US
• Legal Challenge in US with DoJ against the State
  of Massachusetts
• Legal Challenge in US with USCG over Regulation
  of Discharges
• Challenges to use of Age as a selection
  criterion
• Challenging Torres Straits compulsory pilotage
• Challenging Mississippi Exclusive Tug Contracts
• And much more

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INTERTANKO / INTERCARGOJoint Technical Seminar

• Global Governance Structures
• and
• Upholding International Law
• CONCLUSIONS

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Safe Efficient Shipping Sound legislation -
consistent with customary international law, and
applied uniformly and fairly
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Poseidon Challenge- commitment to continuous
improvement- commitment to working with all
partners
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THANK YOU www.intertanko.com www.shippingfacts.c
om www.themaritimefoundation.com