Focus on Chemical Tankers INTERTANKO’s Focus on Chemical Tankers Captain Howard Snaith Marine & Chemical Director INTERTANKO

INTERTANKO - The voice of chemical tanker owners INTERTANKO has been the voice of the independent tanker owners since 1970, ensuring that the cargoes that keep the world turning are shipped safely, responsibly and competitively. Historically INTERTANKO has represented its members’ chemical tanker interests through an open forum within INTERTANKO called the Chemical Tanker Owners’ Advisory Group (CTOAG). Over the last few years the number of chemical tankers within INTERTANKO’s membership has been steadily increasing. To ensure that INTERTANKO provides optimal support and representation for its chemical tanker owners, it was decided to reconsider the current methods of work within INTERTANKO.

The INTERTANKO Chemical Tanker Committee In 2002 the CTOAG, chaired by John Fields of Iverships, was elevated from an open forum to the full status of a committee within INTERTANKO. This new committee is called the Chemical Tanker Committee (CTC) and meets twice a year rotating between Europe and the Far East. . The aim is to further the interests of independent chemical tanker owners and ensure that chemical tanker owners' interests are best reflected in the chemical industry’s day-to-day trading activities and market developments. The appointment of Captain Howard Snaith as Marine and Chemical Director and the recent appointment of Margaret Doyle as Chemical Manager continue to strengthened our presence in this area.

Chemical Tanker Subcommittee (Americas) To ensure that the Americas are fully represented, INTERTANKO inaugurated the Chemical Tanker Sub-committee – Americas (CTSCA) in April 2003. This is a Sub-committee of the CTC which aims to support the work of the CTC while handling specific regional issues that arise from both North and South America. Both the CTC and CTSCA provide a forum for INTERTANKO to promote the activities and priorities nationally, regionally and internationally, and report to the INTERTANKO Council.

Representation at IMO Because INTERTANKO has observer status at the International Maritime Organization (IMO) chemical tanker interests are represented via participation in all the IMO meetings. Participation at the Bulk Liquid Gases Subcommittee (BLG), Marine Environmental Pollution Committee (MEPC), Evaluation of Safety Pollution Hazards Working Group (ESPH), Marine Safety Committee (MSC) ensures the chemical tanker owners’ expert input to the IMO forums that stand to affect them. The input provided at all of these meetings represented the input of INTERTANKO’s entire chemical tanker membership. All background, reports and meeting documents are made available via the INTERTANKO website and the INTERTANKO Weekly NEWS.

Regulatory Issues and the Chemical Tanker Owner MARPOL Annex II Revisions The re-categorisation of the existing pollution categories within MARPOL Annex II will change the dynamics of the chemical tanker industry. Currently there exist 5 categories A, B, C, D and an Appendix III. INTERTANKO believes that a new 3-category system would be a lot simpler for industry, and also a lot simpler for Port State Control to implement. It is in fact a prudent move to reduce the number of categories from 5 to 3. It is proposed that the categories in such a new 3-category system would be called X, Y, Z. Importantly, under this new system there would be no Appendix III and therefore no unregulated noxious cargoes.

Current 5 category System & Re-evaluated Effects MARPOL Annex II Revisions Current 5 category System & Re-evaluated Effects

The Effects of a 3 Tier System on Pollution Categories MARPOL Annex II Revisions The Effects of a 3 Tier System on Pollution Categories

MARPOL Annex II Revisions MEPC 49 Decisions Made at MEPC 49 3 + 1 Category System (X.Y.Z & O.S.) A fourth category of unregulated cargoes, was accepted, providing that the cargoes in such a category would be only those that can be genuinely shown to pose no threat to the marine environment. MEPC 49 regarding Annex II  The forty-ninth session of the Marine Environment Protection Committee was held from 14 to 18 July .  Obviously a final decision on the pollution categorization system  for the revised Annex II of MARPOL was high on the agenda .     Here are the highlights:    A fourth category of unregulated cargoes, was accepted, providing that the cargoes in such a category would be only those that can be genuinely shown to pose no threat to the marine environment. This category will consist of 8 products:            Apple Juice            Clay slurry            Coal slurry            Dextrose solution           Glucose solution           Kaolin slurry            Molasses            Water It was also decided that  if any products evaluated in the future can be proven not to exhibit any harmful effects on the marine environment, they may be added to this category. 

MARPOL Annex II Revisions Decisions Made at MEPC 49 This fourth category will consist of 8 products:  Apple Juice  Clay slurry  Coal slurry Dextrose solution Glucose solution Kaolin slurry  Molasses  Water It was also decided that  if any products evaluated in the future can be proven not to exhibit any harmful effects on the marine environment, they may be added to this category.  MEPC 49 regarding Annex II  The forty-ninth session of the Marine Environment Protection Committee was held from 14 to 18 July .  Obviously a final decision on the pollution categorization system  for the revised Annex II of MARPOL was high on the agenda .     Here are the highlights:    A fourth category of unregulated cargoes, similar to the current Appendix III, was accepted, providing that the cargoes in such a category would be only those that can be genuinely shown to pose no threat to the marine environment. This category will consist of 8 products:            Apple Juice            Clay slurry            Coal slurry            Dextrose solution           Glucose solution           Kaolin slurry            Molasses            Water It was also decided that  if any products evaluated in the future can be proven not to exhibit any harmful effects on the marine environment, they may be added to this category. 

MARPOL Annex II Revisions Proposed 3+1 Category System New Buildings Existing IBC Ships None Chemical Tankers X Pre-Wash 75 litres 12 mile, 25m water depth Underwater 7 knots En-route Pre-Wash 150 Litres  12 mile, 25m water depth Underwater 7 knots En-route No Transport Y Pre-wash for solidifying or H/V substances 75 litres 12 mile 25m water depth underwater 7 knots   Z 25m water Depth Underwater New Ships Strip to 100Litrers Existing Ships Strip to maximum Extent  O.S. Other Substances No Requirements For Carriage No Requirements for Carriage

MARPOL Annex II Revisions Available Chemical Tonnage to Absorb the Changes There have been some claims that there will be insufficient tonnage available to take into account the regulatory changes proposed within MARPOL Annex II. INTERTANKO is currently undertaking a large independent study of available chemical tanker tonnage to determine the facts. Memers will be kept advised accordingly

Indian Age Restriction Removed for Chemical Tankers In June 2003 the Indian Government issued a circular (SD Circular 7/2003) announcing that in September 2003 tankers over 25 years of age would be banned from Indian ports. The ruling was to have included gas and chemical tankers. INTERTANKO submitted a brief to the Indian Directorate General of Shipping. The document submitted stressed the safety record of the world chemical tanker fleet and the strict international requirements for chemical tankers. This submission was followed up by a number of meetings and discussions between INTERTANKO and the Indian Directorate General of Shipping. Soon after these meetings, Circular (SD Circular 8/2003) was issued. The circular indicated that SD Circular 7/2003 had been amended to restrict the ban to oil and product tankers on international voyages to and from Indian ports.

Chemical Tanker Vetting Both oil and chemical tankers alike are subject to vetting inspections. The oil companies operate through the OCIMF SIRE system, and the chemical tankers through the Chemical Distribution Institute (CDI). INTERTANKO actively supports the use of both these recognised industry inspection systems in order to reduce the number of multiple inspections. INTERTANKO is represented at the following CDI Committees:- CDI Technical Committee. CDI Executive Board. CDI Inspection Committee. CDI Audit Committee.

US Coast Guard High Interest Vessel Boarding Following the September 11th attacks, the US Coast Guard was tasked with ensuring the safety and security of the US Marine Transportation System. Immediately after the attacks INTERTANKO staff worked closely with the US Coast Guard and Captain of the Port representatives in the development of a risk assessment system to efficiently control movement of ‘high interest’ traffic in the ports and waterways. The focus on high risk vessels such as tankers carrying gas, oil and chemicals resulted in the US Coast Guard High Interest Vessels Boarding Program currently in use. The High Interest Vessels Boarding Program and the current matrix being used are continually being modified using industry input. The Program will be discussed at the autumn CTSCA meeting.

US Coast Guard Chemical Transportation Advisory Committee (CTAC) INTERTANKO is as a member of the US Coast Guard Chemical Transportation Advisory Committee. - Recent CTAC committee and subcommittee meetings have focused primarily on maritime security relative to hazardous cargo transportation.

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