INTERTANKO’s proposal for an Interim Strategy on Ship Recycling EMSA Workshop Lisbon, 21 st September 2006

Proposed Interim Strategy Presentation Overview of INTERTANKO position on ship recyclingOverview of INTERTANKO position on ship recycling The need for actionThe need for action Proposed interim strategy in detailProposed interim strategy in detail

Proposed Interim Strategy Overview of INTERTANKO Position on Ship Recycling (1) Industry Activity -Participation in Industry Working Party on Ship Recycling -Important to maintain shipping industry’s desire to overcome problem though a coordinated approach -Not just a tanker problem -Support for Implementation of IMO Ship Recycling Guidelines (Resolution A.962, 2003) -As developed based on the Industry Code of Practice Practical elements to be implemented: -Hazardous Materials Inventory / Green passport (INTERTANKO Council) -Gas-freeing (INTERTANKO members)

Proposed Interim Strategy Overview of INTERTANKO Position on Ship Recycling (2) Regulatory Activity -Support the development of an International Convention on Ship Recycling by the IMO -But, urge ILO and Conference of Parties to the Basel Convention to ensure that standards at recycling facilities are improved by encouraging the implementation of their respective Guidelines -Concern that regional activity on ship recycling will not be effective for an international problem

Proposed Interim Strategy The Need for Action (1) Phase out SH tankers above 5,000 dwt - m dwt

Proposed Interim Strategy The Need for Action (2) Demolition of tankers by receiving country

Proposed Interim Strategy The Need for Action (3) Shipping industry is responsible Not first time the industry has taken on interim measures TOVALOP/CRISTAL

Proposed Interim Strategy Interim Strategy Based on a need to take action in the short-term, between now and when the IMO Convention is adopted and implemented, andBased on a need to take action in the short-term, between now and when the IMO Convention is adopted and implemented, and A desire by the industry to implement and adopt a general industry procedure in time for the adoption of the IMO ConventionA desire by the industry to implement and adopt a general industry procedure in time for the adoption of the IMO Convention To assist in overcoming the problem of an accelerated phase-out of single hull tankersTo assist in overcoming the problem of an accelerated phase-out of single hull tankers To provide essential feedback into the process of developing a mandatory regime (what measures are practical and effective)To provide essential feedback into the process of developing a mandatory regime (what measures are practical and effective) 5 measures selected for their direct and short-term impact on improving the safety and environmental state of ship recycling facilities5 measures selected for their direct and short-term impact on improving the safety and environmental state of ship recycling facilities

Proposed Interim Strategy Interim Strategy (1) 1. Shipowners should only use Recycling Facilities that have made demonstrable advances in terms of safety and environmental management requirements as established in Section C of the draft IMO Convention Based on a market theory that owners seeking and using more progressive facilities will encourage competition between facilities based not only on financial elements but also safety and environmental performance. Information provided by the recycling facilities, recycling states and the shipping industry Information posted on INTERTANKO website (and/or other open shipping website)

Proposed Interim Strategy Interim Strategy (2) 2. Each new and existing ship to have on board Part 1 of the Hazardous Materials Inventory which identifies hazardous materials, their location and approximate quantities contained in the ship’s structure and equipment, with Parts 2 and 3 of the HMI being completed prior to recycling Majority of INTERTANKO members already undertaking this requirement as a follow on from the Industry Code Develop measurable level of compliance to demonstrate number of ships with HMI on board and identify use at recycling facility Feedback on experience to be injected into IMO process

Proposed Interim Strategy Interim Strategy (3) 3. To prevent explosions and other accidents which may cause damage to human health, arrangements shall be made to ensure the ship is maintained Gas-free for hot-work throughout the recycling process Part of the Ship Recycling Plan measure (4), this would be an arrangement between the ship owner and the recycling facility and an assurance or pre- arrangement would be developed to ensure that gas-freeing is undertaken prior to the commencement of work on the vessel (likely to be a tank-by-tank approach) Owners would minimize (eliminate completely) the amount of cargo residue in tanks prior to sending the ship for recycling, unless otherwise agreed by the recycling facility

Proposed Interim Strategy Interim Strategy (4) 4. A Ship Recycling Plan should be developed prior to the recycling of any ship Assists in ensuring the deliverable of points ‘1’ and ‘3’ of the Strategy, namely that the yard has a management system in place to deal with the ship and its materials as well as a safety system which takes into account the need for gas-freeing Essential for ship owners who have to comply with environmental management systems and the need to ensure the management of all waste streams associated with the ship

Proposed Interim Strategy Interim Strategy (5) 5. Issuance of a Delivery Declaration for vessels that are deemed Ready for Recycling. Statements of Compliance could be issued by the flag administrations RO if the ship and the recycling facility have met the requirements given in points 1 to 4 A Delivery Declaration could also be made by the ship owner stating the fulfilment of the requirements in points 1 to 4

Proposed Interim Strategy Concluding Remarks Interim Strategy: still to be mandated fully by INTERTANKO Council (14 th November, London) will need further assessment to become an ’Industry’ Interim Strategy (27 th September Industry Working Party Meeting, London) must be a dynamic Strategy, capable of changing according to changes drafted on the IMO Convention 5 points need to be measured and assessed in terms of implementation by INTERTANKO members and impact on recycling facilities

Thank you

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