A fond farewell to the Captain
North of England opens Greek office
Stirling Iona
Dealing with violent stowaways
New rules for Nigerian stevedores
Piracy - the need to keep reporting
The Jones Act explained
Explosive growth of Russian scrap
Liquefying cargoes sink ships
No more Chile con cargo
Pakistan levels liquid cargo claims
UK human rights law needs close watch
Mississippi terminals penalise late leavers
BP Time 3 - a charterparty for everyone
Equasis
An illustrated history of loss prevention
Thinking of buying a ship by auction? A warning to would-be bidders
Avoiding crankcase explosions
Making ISM compliance pay
Poster highlights good garbage practice
European seminars on sale and purchase disputes
Loss prevention goes east
Full house for residential course
Notification of claims – a reminder
A fond farewell to the Captain
The Association's correspondent and general representative in Greece - affectionately known as 'the Captain' - will be well known to many Signals readers. After nearly 20 years representing North of England Captain Linardatos has decided to retire and to wind up the business of Marlin Agencies.
The possibility of retirement had been considered for a number of yeas but once a final decision was taken for the Club to open its own branch office in Piraeus the Captain felt comfortable that he could go ashore in the knowledge that the ship would be in safe hands.
The Club's joint Managing Directors, Rodney Eccleston and Peter Crichton, recall a dark, wet winters day in 1984 when a very distinguished Greek gentleman in a greatcoat and trilby hat arrived at the office in Newcastle. The Captain was representing a group of Greek shipowners and wished to discuss the possibility of their entering North of England P&I Club. This was to be one of the first major steps for the Club into the Greek market. By the year 2000 the Greek membership represents over one quarter of the total North of England membership.
In addition to an active seagoing career the Captain has been engaged in many areas of ship owning and ship operations - not only in Greece but also in Bermuda and Germany - as a result of which he acquired an extensive experience and skill in P&I and other marine insurance matters.
A very special relationship developed between the Captain, his office and North of England with close co-operation over staffing. He would come and go during his visits to Newcastle office and Club staff visiting Greece would use Marlin's office as a friendly base. A number of North of England staff have spent spells working with the Captain in his office just off the Akti Miaouli. Others had helped bring in the grape harvest at the Captain's residence on his beautiful island of Cephalonia.
In 1988 the Captain married his former secretary and 'Girl Friday' - Fiona - in Birtley near Newcastle. Those who attended the wedding will not forget the amazing combination of Roman Catholic and Greek Orthodox touches to the lovely service - nor will they forget the mixture of Greek and Irish dancing at the evening reception at Lumley Castle!
All at North of England extend our thanks to the Captain and our very best wishes to him and his family for a happy and healthy retirement.
North of England opens Greek office
North of England has reinforced its commitment to the Greek market by opening its second overseas office in Piraeus, Greece.
The office will be managed by Mike Salthouse with assistance from John Owen. Mike was formerly an assistant manager in the FD&D department and John has for many years dealt with Greek members. He is now responsible for maintaining the Club's Greek office database and member liaison.
Two secretaries have also been recruited. Anna Sarafidou until recently worked at Marlin Agencies, the Association's former corresondent in Piraeus, and Antonia Christoforidis is a South African-educated Greek. The Association extends a warm welcome to both.
The new office occupies some 108 square metres and is situated in premises formerly occupied by Marlin Agencies. It has been extensively renovated and equipped with a full library and data links to the Newcastle head office.
The primary function of the office will be to assist with claims by complementing rather than replacing the existing North of England service. With increased personal contact, it is expected the new office will facilitate consideration of documents and decision-making at crucial stages of claims.
All Members are welcome to visit the office at any time.
For further information, please contact either Mike Salthouse or John Owen at :
North of England P&I Association
Akti Miaouli & Iassonos Street 2
GR 185 37 PIRAEUS
Greece
Tel: +30 1 4283038
Fax: +30 1 4280920
EMail: Piraeus@nepia.com
Stirling Iona
North of England Member Stirling Offshore Limited took delivery of a new ship earlier this year. Built at Ferguson Shipbuilders Limited on the Clyde, Stirling Iona is a 15,000 bhp Anchorhandling Tug Supply ship with a maximum bollard pull of 172.5t. She is a Stirling VS 473 design and is powered by two 7,500 bhp Wartsila V12 engines. Her winch has a maximum pull of 300t. She was delivered in April this year and has already built up a good reputation for both anchor-handling and supply duties working all over the North Sea, West of Shetland and in Morecambe Bay.
Dealing with violent stowaways
The presence of stowaways invariably means extra work and responsibility for the masters and crews, but the situation can become intolerable when the stowaways are prone to violence.
As most seafarers are not trained in self-defence or carry any form of personal protection on board, the lives of the master and crew may be at risk - especially when the stowaways outnumber the crew.
To minimise the risk from stowaway attacks, the masters should take the following precautions.
Search the Stowaways and their belongings for any dangerous objects.
Confiscate shoelaces, belts, ropes and strings.
Deal with only one stowaway at a time.
Be prepared for any sort of reaction from the stowaways.
Detain stowaways in a place of safety, free of any metal or sharp objects and fixtures.
Detain stowaways separately if possible - this also assists with the interviewing process.
Keep the shipowner, and in turn the P&I Club, fully advised of all developments on board.
This article is base on advice provided by ARM International of Durban. Members requiring further guidance on stowaways should contact the Association’s loss prevention department.
New rules for Nigerian stevedores
Details of the Nigerian Dock Labour Decree which came into force in May 1999 have just been published. The new legislation would appear to bring about some welcome changes, not least the fact that stevedores’ employers must now carry accident insurance.
Under the new rules, stevedore-employing companies must be registered under Nigerian law and have a paid-up share capital of at least Naira 1,000,000 (approximately US$10,000). They must also provide their employees with proper equipment for cargo handling, proper safety clothing and proper training.
All stevedores must also be registered and have a certificate of medical fitness from a government hospital. They are required to carry and show identity cards on demand.
It would thus appear, though this has not yet been tested, that a stevedore injured whilst working on a ship will be required to claim against his employer's insurance rather than against the ship directly. Furthermore, if the employer’s insurer decides to bring an action against the shipowner, it may be possible in certain circumstances to cite the new law and show that the employing company and not the shipowner was negligent.
Masters can now demand to see an identity card before any stevedore boards. This should assist not only in controlling the possibility of injuries to stevedores but also in controlling cargo damage caused by stevedores pilfering the cargo.
Members requiring further information should contact the Association.
Piracy - the need to keep reporting
A total of 115 pirate attacks and a further 46 attempted attacks were reported to the International Maritime Bureau’s piracy reporting centre in the first six months of this year, including – regrettably – attacks on North of England Member’s ships.
Piracy continues to be a vicious crime. Pirates steal, maim and even kill, and the trauma of their attacks can leave seafarers scarred for life both physically and mentally.
The idea for the piracy reporting centre dates back to the IMB’s first meeting on piracy in 1991. Whereas shipowners complained of the failure of local police to respond to their needs, the police complained that shipowners often did not report specific incidents.
The centre is financed by voluntary contributions and North of England P&I is proud to have been a sponsor for a number of years. Its services are free of charge to all ships, irrespective of flag. It operates 24 hours a day, 365 days a year. The main objectives are to
collate and assimilate relevant information concerning piracy incidents
increase the pressure on countries to investigate piracy incidents and prosecute pirates
increase public awareness of piracy
investigate specific piracy incidents
issue regular status reports.
The Association encourages all Members to report both actual and attempted attacks to the centre in order to help eliminate the risk of future attacks.
IMB Piracy Reporting Centre contact details
The IMB Piracy Reporting Centre in Kuala Lumpur, Malaysia, is a 24 hour information centre acting as the focal point against acts of piracy and armed robbery. Supported by financial contributions from the shipping industry, its services are free and are available to all ships irrespective of flag.
The key services provided by the centre are:
To receive reports from ships of suspicious or unexplained craft movements and actual boarding and armed robbery, and to alert other ships and law enforcement agencies in the region.
To issue regular status reports of piracy and armed robbery via routine broadcasts on INMARSAT-C through its SafetyNET service. Ships can also obtain these status reports by contacting the IMB Centre.
To collate and analyse all information received and to issue consolidated reports to interested bodies, including IMO.
Piracy Reporting Centre
ICC International Maritime Bureau
Wisma Nusantara
Jalan Punchak
50250 Kuala Lumpur
Malaysia
Anti Piracy Helpline Numbers
Tel + 603 238 5763
Fax + 603 238 5769
e-mail ccskl@imbkl.po.my
web www.iccwbo.org/ccs/menu_imb_piracy_asp
The services of the Centre are available to the shipping industry 24 hours a day, 365 days a year.
The Jones Act explained
When discussing personal injury claims in America, the Jones Act is often referred to, however the Club has become aware that there is some confusion as to when it would actually be applied.
The United States Merchant Marine Act 1920 (Jones Act) was introduced in 1920 to allow seamen to seek damages for injuries resulting from the negligence of their employer, and the right to have their case tried before a jury.
To qualify as a seaman, the employee’s duties must contribute to the function and the mission of the ship. This definition includes waiters on cruise ships but not employees who spend only a small fraction of their working time on board a ship. The Jones Act therefore does not apply to cases brought in the US by shoreworkers or passengers, although in some instances it might cover supernumeraries.
A claim under the Jones Act may only be maintained against the seaman’s employer and thus it is necessary for the claimant to show the existence of an employer/employee relationship.
A Jones Act employer may either be the owner or the operator of a ship. In broad terms a time charterer will not generally be classed as an employer, but a bareboat charterer will.
When deciding whether the Act will apply to a foreign seaman, the court has several factors to consider
place of the wrongful act
law of the flag of the ship
allegiance or domicile of the injured seaman
allegiance of the defendant shipowner
place where the contract of employment was made
inaccessibility of the foreign forum
law of the foreign forum
shipowner’s base of operations.
Cases brought under the Jones Act indicate that only the slightest negligence on the part of the employer need be shown in order to uphold damages.
The claim for damages can be for both economic and non-economic losses. Economic losses would include past loss of wages, future wage loss, past medical expenses, future medical costs and other out-of-pocket expenses to the date of trial.
Non-economic losses include past and future pain and suffering and loss of enjoyment of life. However, no punitive damages are available and awarded damages may be reduced if contributory negligence is proven.
The relevant statute of limitation is three years.
Explosive growth of Russian scrap
Members taking part in the fast-growing export market for Russian scrap metal should take care that they are not loading explosive military scrap.
Exports of scrap through Black Sea and Azov Sea ports have been increasing for some time even though previous sources such as abandoned collective farms and obsolete factories are now becoming exhausted. It appears the war in the North Caucasus, in particular Chechnya, has become a new source of scrap.
Military scrap is arriving at the sea ports in increasing amounts to be mixed with standard commercial scrap. Military scrap includes not only military vehicles but also dismantled ordnance – which leads to two problems.
The first problem is that there is no guarantee that dismantled ordnance has had all its explosives removed. There have been several occasions in the past in other parts of the world where cargoes of scrap from war zones have caught fire or exploded causing damage to the ship. Ships have also been severely delayed at discharge ports waiting for the cargo to be dealt with by explosives experts.
The second problem is that military steel has a different chemical composition from commercial steel, which can cause problems to the scrap processor at the discharge port. It is not unknown for processors to claim against the ship for wrongful description of cargo on bills of lading.
Russian regulations require that export scrap is covered by safety declarations and quality certificates in accordance with Russian state standard 3A. Masters should insist upon obtaining such documentation.
Members requiring further information should contact the cargo claims department at the Association or Novorossiisk Insurance Co Nostra Ltd, Novorossiisk on tel: (8617) 254098 / 250762 / 257356 or fax: (8617) 254098 / 250762.
Liquefying cargoes sink ships
A number of recent incidents have highlighted the very real danger of loading solid cargoes which liquefy in transit.
In one incident, a cargo of Bulgarian copper ore concentrate ‘allegedly liquefied’ and shifted so that the ship capsized and sank after she encountered heavy weather. In another case a Bulgarian baryte concentrate cargo liquefied and the ship took on a considerable list such that she had to enter a port of refuge. A few days after reaching the port, the ship broke in two and sank during heavy weather.
Enquiries have shown that on both occasions the BC Code recommendations which require that certificates and information be provided by shippers/producers to the master had not been provided or only partially so. On both occasions the shippers/producers had failed to sample and test the cargo before loading and so details required in the certificates were not available.
A third incident involved a shipowner being asked to carry a cargo of bulk mill scale from Rotterdam to Spain. Though the cargo can liquefy if wet, the charterer and shipper advised the owner that it would have to carry out its own specification analysis, moisture content and transportable moisture limit tests.
However, the IMO Regulations (SOLAS) require shippers of bulk cargoes to provide carriers with
‘information on the stowage factor of the cargo, the trimming procedures, likelihood of shifting including angle of repose, if applicable, and any other special properties. In the case of concentrates or other cargo which may liquefy, additional information in the form of a certificate on the moisture contents of the cargo and its transportable moisture limit’.
On checking, the Association was told by local surveyors that a ship carrying this type of cargo on similar terms, had sunk after the cargo liquefied.
Owners are reminded that both SOLAS and the BC Code contain regulations relating to the carriage of bulk cargoes, both of which should be complied with before a ship sets sail with a bulk cargo. Further, there are a surprising number of cargoes which can, in certain circumstances, liquefy thereby endangering crew, cargo and ship.
Members requiring further information should contact the cargo claims department at the Association.
No more Chile con cargo
Customs authorities in Chile have finally closed a loophole in their regulations that had led to an increasing number of container claims for wrongful delivery of cargoes.
The claims, very often fraudulent, took advantage of a regulation which allowed consignees to take delivery of containers using non-negotiable copies of the bill of lading.
The original bills could be retained by the shipper either as security for payment of the purchase price or as part of the fraud. The shipper, once cargo had been removed by the consignee, then claimed against the carrier for wrongful delivery of cargo on the basis that it still held the originals.
Representations by major container carriers to Chilean customs resulted in the regulations being brought in line with usual international practice. Cargo can now only be delivered to consignees against a delivery order issued by the carrier's agent in exchange for an original bill of lading.
Members requiring further information should contact the cargo claims department at the Association or the Association’s Chilean correspondent Cave y Compania Limitada on tel: (32) 258564 / 212379 / 212304 or fax: (32) 254252 / 214248.
Pakistan levels liquid cargo claims
A recent court decision in Pakistan has at last given shipowners a reasonable chance of disputing an alleged shortage of a bulk liquid cargo, though an appeal is underway.
Bulk liquid cargo claims in Pakistani ports have been increasing over the last few decades despite owners adopting the usual safeguards of joint draught and ullage surveys. Receiver’s claims for shortages in shore tanks have invariably been upheld by local courts so owners, assisted by their Clubs, have tended to settle quickly rather than waste time and money on pointless legal proceedings.
However, a case in which there was good evidence of a quantity of cargo on board exceeding the bill of lading quantity was pursued in 1998 and judgment has recently been handed down.
The court held that where joint survey/ullage figures on arrival confirm the quantity is the same or more than the bill of lading figure, and provided that a dry tank certificate is issued on completion of discharge, the shore tank figures will not be binding on the carrier.
Even if there is a shortage determined by the joint survey/ullage, the carrier will not be held responsible for shortages up to 0.5% for inflammable oil cargoes and 0.25% for edible oil cargoes.
Pakistani cargo interests in the case have lodged an appeal and a decision from the Appeal Court is eagerly awaited.
More information on this case can be obtained from the cargo claims department at the Association.
UK human rights law needs close watch
The UK Human Rights Act 1998 came into force on 2 October 2000, enabling individuals and companies to seek redress in the courts against public authorities for breaches of the 1950 European Convention for the Protection of Human Rights and Fundamental Freedoms.
The Act is likely to have an impact on the dealings of shipowners and others with such bodies as UK port authorities, customs and port state control. Such bodies will need to consider the Act, in particular article 6 of the Convention and the right to a fair trial, when exercising regulatory and quasi-judicial functions that may result in penalties or other sanctions being imposed.
Since 1966 it has been possible for UK citizens to petition the court in Strasbourg directly but, until now, the rights contained in the Convention have never formally been part of British UK law. Though the UK courts cannot dismiss any British legislation which is incompatible with the Act and the Convention, they can at least declare that it is incompatible and leave the government to decide whether or not it should be amended.
The Act specifically relates to dealing with public authorities. However, until the new law has been in force for some time and has been the subject of a number of court decisions, its likely impact on private and commercial relationships not involving public authorities is unclear.
If the courts determine that the Act is also capable of applying to private commercial relationships, then it may have a significant impact on the rights of parties under common commercial contracts such as charterparties. Warranties, indemnities and exclusions relating to possible breaches of the Act may then need to be included in such contracts.
The shipping industry therefore needs to pay close attention to the Act and the way its application and interpretation develop over time.
Copies of the Act and Convention can be downloaded from the internet at http://www.hmso.gov.uk/acts/acts1998/19980042.htm.
Mississippi terminals penalise late leavers
Members with ships trading in the Mississippi River should note they risk penalty charges of up to US$5000 an hour if they overstay their time at riverside terminals – regardless of the reasons for delay.
The standard terms and conditions of the terminals commonly stipulate that ships can only occupy a berth for a specified time and that, if the time is exceeded, penalty charges will be payable by the ship. Unfortunately the terms and conditions are rarely, if ever, negotiable.
Furthermore, it would seem to be clear from the point of view of American law that the terms and conditions are valid and enforceable and that action against a ship, such as an arrest, can be taken in the event the penalty charges are not paid.
The way that the penalty charges operate can have unfortunate consequences for owners. In a recent case a ship was about to leave a grain-loading elevator on time but was delayed a few minutes by engine failure. It was then prevented from departing, notwithstanding that the problem was rectified immediately, by the US Coast Guard and by class until the incident had been fully investigated. As a result the ship was delayed for 8 hours and the owner received an extra bill of US$40,000.
There is little that can be done to safeguard a shipowner's position in such circumstances. Members must thus be aware that such penalties may apply and exercise care to avoid them being incurred. When agreeing contracts that will take members’ ships to the terminal, it is always worth trying to incorporate provisions that shift the burden for penalty charges onto other parties if the delay is not directly the fault of the shipowner.
Members requiring further advice or assistance on Mississippi terminal contracts should contact the Association’s FD&D Department.
BP Time 3 - a charterparty for everyone
BP Shipping Ltd, the shipping arm of BP Amoco, is about to publish a new tanker time charterparty called BP Time 3 that could become a standard form for the international shipping industry.
Both time and voyage tanker charterparties are invariably drafted by oil majors to suit their own requirements and include provisions that are difficult for shipowners to accept, despite the commercial importance of the charterers.
However, BP has approached the latest contract differently by developing it in conjunction with BIMCO's documentary panel. A joint drafting committee was formed, including Mike Salthouse of the Association, and the work took over a year.
The result is a balanced, modern charterparty that should be acceptable to both owners and charterers and has much wider applications than BP charters.
A number of clauses that were previously standard in tanker charterparties have been varied or dropped altogether. For example, the cargo retention clause, much disliked by P&I Clubs, has been removed. Similarly a clause obliging a party to discharge without presentation of original bill of lading but against letter of indemnity provided by the charterer has also been dropped. BP recognises that the inclusion of such clauses imposes unacceptable commercial risks upon an owner.
The drafting committee also took the opportunity of improving a number of other clauses. For example the charterparty now provides that bunkers are to be ‘of a suitable quality for burning in the ship's engines and auxiliaries (which comply with the description [stipulated by the owner])’. Responsibility for the supply of unsuitable fuel now lies more clearly on the charterer.
The complex speed and performance clause of earlier charterparties has been simplified and now resembles those more commonly found in dry cargo charters. Previous BP charterparties required disputes to be heard before the English courts. An option to arbitrate has now been introduced.
Although the drafting committee spent a considerable amount of time trying to develop a standard vetting clause, it decided to abandon the idea following revision by the oil majors of their vetting policies after the Erika incident. Some form of vetting or approval clause will probably be included by parties to reflect current market practice.
BP Time 3 represents a major step forward in terms of tanker time charterparties. It has been produced with the intention of providing a document acceptable to the industry at large and not just for use in contracts to which BP is a party. BP's open and far-sighted approach is therefore to be congratulated and the Association hopes that the form will be widely accepted.
Equasis
A Member recently contacted the Association asking what we knew about a new website which had been established which flags up substandard ships. Equasis is a web site (www.equasis.org) database operated to promote quality in shipping. It has been designed as a tool for a better selection of ships and aims to help reduce substandard shipping.
The operation of Equasis is expected to promote the exchange of unbiased information and transparency in maritime transport and thus allow persons involved in the industry to be better informed about the performance of ships and maritime organisations with which they are dealing.
Information on the web site is limited to safety-related information on ships and covers the whole world merchant fleet over 100 gross tons. Equasis does not produce any new data but collects existing data so that users can assess the information from different sources and make their own evaluation accordingly.
The data currently held on each ship includes:
ship's particulars - basic characteristics and management
classification society
P&I Club
port state control inspections
manning information
information provided by associations with IMO consultative status
history of data (covering details of the last 3 years)
list of ships operated by the same manager.
Information is provided to Equasis by Lloyd's Register, the International Association of Classification Societies (IACS), the International Group of P&I Clubs, Paris MOU, Tokyo MOU, US Coast Guard, the International Transport Federation (ITF), Intertanko and Intercargo.
Access to the Equasis database is currently free, with the database being financed by France and the European Commission.
An illustrated history of loss prevention
Scattered throughout maritime history and literature there were notable moments when the loss prevention message shone through very clearly. As a regular feature of Signals we will offer up some of those events as seen through the eyes of cartoon illustrator ‘Olly’ Burton.
The first illustration depicts the importance of maintaining accurate records - particularly with regard to personal injuries!
Thinking of buying a ship by auction? A warning to would-be bidders
Trying to buy a ship at a Court Auction in Italy is by no means a simple matter. Due to the intricacies of Italian law potential purchasers need to be armed with a great deal of patience and - given the mixture of percentages and fractions - a reliable calculator.
Once the auction base price has been established by the court expert, the Court schedules an auction date. To bid at the auction, potential purchasers must deposit (usually by means of a banker’s cheque on a leading Italian bank) 10% of the base price, plus a further amount - established by the Court - on account of the costs of the procedure. These costs - to be paid for by the final purchaser - represent 8% of the adjudged price.
If the ship is not knocked down at the first auction, the Judge schedules a second, reducing the first auction base price by the so-called "one-fifth". If the ship is not knocked down at the second auction a third may be scheduled, with a "one-fifth" reduction of the second auction base price. And so on at the discretion of the judge.
There is usually about a month between the scheduled auction dates to allow the new auction to be advertised. In the meantime the ship is usually moored in the outer port without a crew on board and therefore without maintenance.
If and when the ship is eventually sold in one of these auctions, the buyer would reasonably expect to be able to take it home with him. Wrong. Other bidders have 10 days in which to re-launch an offer - increased by - wait for it - at least one-sixth of the adjudged price. If any such offer is made the Judge, usually in his chambers, re-opens a new mini-auction between those parties who may wish to re-launch on the foregoing basis. And off we go again.
One good thing to be said for the system - anyone not truly interested is frightened off long before the ship is actually sold.
Contribution by Giorgio Vincenzini, Club legal correspondent in Livorno.
Avoiding crankcase explosions
Crankcase explosions are something which all Members should take steps to understand and avoid as the effects can be devastating.
The physical blast of the explosion alone can lead to severe injury of engine room personnel and extensive machinery damage. Sometimes large quantities of burning lubricating oil are also ejected, resulting in terrible burns and secondary engine room fires.
For a crankcase explosion to occur there needs to be a hot spot in the engine which heats up the crankcase oil to generate an explosive oil mist. It is essential therefore to install, maintain and monitor oil mist detector alarms and investigate all incidences of running gear overheating.
Oil mist detectors are now commonplace on ships. Indeed, they are a SOLAS/classification society requirement for ships with internal combustion engines of 2250 kW or above and which operate under the status of ‘periodically unattended machinery spaces’.
Photoelectric cells in the detectors compare crankcase air samples with a set point. Thermally generated oil mist is particularly dense and, when passing over the cells, creates an electrical imbalance. This is recorded on a meter, which then operates an alarm.
Research has shown that oil mist generated by the churning action of moving parts, such as gears, chains and connecting rods, can quickly reduce/absorb the more dangerous thermally generated oil mist. In experiments, a mist formed by thermal methods was introduced to the crankcase of a stationary engine; when the engine was started it was noted that the thermal oil mist decayed rapidly. In effect the larger oil mist particles, which naturally occur in the crankcase of an engine when it is running, provided a scrubbing action to clear the smaller more ignitable mist droplets. These results suggest that, where possible, it may be prudent to reduce engine speed rather than stop, thus preserving the absorbing effect of the larger oil droplets.
Finally, to minimise the damage caused by an explosion, the British International Combustion Engine Research Institute (BICERA) has developed pressure-relief devices for attaching to crankcase doors. These minimise or eliminate flame and fluid transfer from the crankcase to the engine room as well as prevent dangerous pressure increase in the crankcase.
The Association is grateful to Con-Mar International Limited for providing the information on which this article was based. More details can be found at www.con-mar.com.
Making ISM compliance pay
Experiences of the Association’s members have been mixed since the principal ISM Code compliance date of 1 July 1998. The commitment of senior management seems to be the key factor in making compliance a worthwhile activity.
A number of members have seen a noticeable decrease in the number of accidents and claims following implementation of a code-compliant safety management system (SMS). Individuals in these companies see the SMS as a crucial management tool that helps to prevent accidents as well as improve profitability.
On the other hand, some members have been disappointed with the SMS, considering it a largely bureaucratic exercise involving a lot of unnecessary paperwork. They have seen little or no reductions in their accidents and claims in exchange for an increased burden on already over-stretched masters and crews.
It is difficult to understand exactly why there should be such widely differing results. Certainly in companies where the ISM Code is proving beneficial the enthusiasm of individuals is tangible and stems from the most senior level of management. The enthusiasm and will to make the system work in these companies seems to be almost contagious.
However, when senior management is critical of the code then staff down the line tend to be similarly unenthusiastic. In such situations the SMS is unlikely to work efficiently, if at all.
For those Members working towards the final compliance date of 1 July 2002, the best advice is to embrace the ISM Code whole-heartedly as it can be a very worthwhile investment. Members who complied in 1998 but have since become disillusioned should consider a review of their approach. If the SMS originally established is not working as well as hoped, they should try taking steps to identify and rectify its weaknesses.
As with any business, it is important to lead from the top and lead by example. Senior managers with the will to make the system work will be among the first to reap its benefits.
Poster highlights good garbage practice
Another poster in the Association’s MAST (management, safety, training) series accompanies this edition of Signals. It continues the loss prevention theme by illustrating some of the good and bad practices associated with shipboard garbage disposal in a humorous way.
Ships must have a plan for disposing and recording wastes according to Annex V of MARPOL, which has been accepted by almost 100 countries representing over 85% of the world’s tonnage. The plan needs to ensure that the various types of waste are segregated and stored on board for landing ashore, or disposal at sea, according to the type of garbage and the location of the ship.
The problem is, of course, that many ships have no specifically designed garbage storage facilities so finding space can be difficult. Hygiene is another problem, particularly in warmer climates.
Furthermore, it can often be difficult to land garbage ashore as many ports to do not have suitable disposal services or may charge a considerable amount for their use. It can also be very disheartening for ships’ crews to segregate and store different types of garbage during the voyage as required by MARPOL, only to have it all mixed up again by shoreworkers when it is thrown into bins or lorries on the quayside.
In an attempt to improve the provision of disposal facilities, the IMO has issued Guidelines for Ensuring the Adequacy of Port Waste Reception Facilities. This is aimed at ensuring that ports meet their obligations to dispose of all types of ship’s waste, including garbage.
Copies of the posters can be obtained from the Association’s loss prevention department. The IMO guidelines can be obtained from the International Maritime Organization at 4 Albert Embankment, London, SE1 7SR, telephone +44 20 7735 7611, fax +44 20 7587 3210, www.imo.org.
European seminars on sale and purchase disputes
Five years ago the Association and law firms Ince & Co and Mills & Co ran a series of seminars for members in London on avoiding sale and purchase disputes. The events were well received so the managers have decided to run them again at five different European venues in the coming year. The first was held in Glasgow on 29 September and others are scheduled as follows:
Glasgow 29 September 2000
Athens 12 October 2000
Copenhagen 16 November 2000
Monaco 23 November 2000
London 18 January 2001.
Invitations will automatically be sent to members near each venue a few weeks in advance of the seminar. Any other members interested in attending should contact the FD&D department for details.
The managers of the Association hope to stage similar events in the Far East later in 2001. In the meantime, members unable to attend the forthcoming seminars can obtain a copy of the seminar papers from the Association.
Loss prevention goes east
During September staff from the Association’s Newcastle and Hong Kong offices met up and were very busy running a whole range of loss prevention activities in the Far East.
Singapore
The Association has a significant and very important Membership in Singapore. North of England team ran a series of nine half day workshops during the course of a week at the office of Members. The subject for each of the workshops was ‘pollution’ but each workshop took on an individual slant depending upon each Members’ needs and requirements. The workshops allowed feedback from Members to explain what contingency plans they have in place and what may be required from the Club in the event of an incident. The opportunity was also taken to review the requirements of the ISM Code with a special emphasis on the importance of being able to demonstrate an efficient and effective working Safety Management System in order to encourage the relevant authorities to restrict any penalties to a minimum.
Hong Kong
A four day training course in P&I insurance and loss prevention was run in Hong Kong in conjunction with the Hong Kong Ship Owners Association and the Hong Kong branch of the Nautical Institute. Local guest speakers from the legal profession and nominees from the Nautical Institute provided a local perspective to complement the presentations and work shops delivered by the Association’s team.
During the week head of loss prevention Phil Anderson broke off from the training course to accept an invitation from the Hong Kong Ship Owners Association to present a paper to a meeting of their members. The topic discussed was the cost of providing training with Anderson suggesting that training does not need to be expensive and illustrating his point with a number of the books, videos and posters which the Association has developed ‘in house’ at nominal cost.
Guangzhou
After Hong Kong the team moved onto the mainland to run tailor-made three day loss prevention training courses for Members COSCO in Guangzhou. The event was very well attended with delegates representing senior figures from within the COSCO organisation from around the PRC.
Full house for residential course
The annual five day residential training course in P&I insurance and loss prevention held in June at Lumley Castle was again fully booked. Delegates attended from as far afield as Iran and China, Mexico and Nigeria, the USA and Spain.
The course comprises a mixture of lectures by North of England staff with interactive workshops. A special feature of this particular course is that part of the collision workshop is conducted on the bridge simulator at South Tyneside College.
Anyone wishing to make an early reservation for next years Lumley Castle course may contact the loss prevention department.
Notification of claims – a reminder
Members are reminded that under Club Rule 33, they must give prompt notice in writing of every incident likely to give rise to a claim and get all relevant documentation to the Club as soon as reasonably possible.
It also is important to ensure that every claim against a Member is notified to the Club as soon as possible. At the very latest this must be done within 12 months of the Member receiving notice that the claim is being, or may be, made against it.
Requests for reimbursement of claims against Members must be made to the Club within 12 months of the loss being incurred.