Seminar on “Leveraging on green ship recycling initiatives”:

Date: 10 July 2012

Venue: Maritime Institute of Malaysia

Shipbreaking, ship-scrapping and ship-dismantling often conjure images of unsafe and unhealthy work practices and a polluted coastal and marine environment. Of the many options available to end-of-life, phased-out, or non-profitable vessels, the easiest and often most profitable solution for the shipowner is to sell the vessel for scrapping. As such, a solution has to be found that would balance commercial, safety and environmental considerations for such practices.

The International Maritime Organization (IMO) adopted the International Convention on the Safe and Environmentally Sound Recycling of Ships (Hong Kong Convention) in 2009. The aim of the Hong Kong Convention is to ensure that ship-breaking operations do not pose any unnecessary risks to human health, safety and the environment. Taking the cradle-to-grave approach, the Hong Kong Convention covers the design, construction, operation and preparation of ships bound for dismantling.

In 2010, MIMA highlighted the economic potential of green ship recycling activities arising from compliance with the Hong Kong Convention.  Following from the study, a seminar on "Leveraging on green ship recycling initiatives" was organised to:

·         Present a broad perspective on green ship recycling initiatives

·         Provide an introduction to the ship recycling market, and

·         Explore the economic potential of a green ship recycling industry in Malaysia

The seminar was organised in two-parts. The first comprised a series of three lectures providing the information needed for further discussion in the second session which was a panel discussion on 'Can and should Malaysia develop its own ship recycling industry?' Participants representing ship owners, classification societies, financial institutions, recycling industry, federal and state government agencies, universities and trade associations attended the seminar.

Dr Nikos Mikelis from the IMO explained what ship recycling involves, where and what methods are used and the role of cash buyers and brokers in the ship recycling process. He shared information on the volatility in recycled volumes and prices, highlighting the inverse relationship between freight rates and recycled volumes. In his presentation, Dr Mikelis stated that criticisms on shipbreaking practices in Bangladesh, India and Pakistan have to be put in a proper perspective stressing that despite the negative perception, it remains essential to the economy and livelihoods of the community in those countries. He noted that Bangladesh, for instance, is taking active steps towards improving the health, safety and environmental standards of its shipbreaking yards. Dr Mikelis urged states to ratify the Hong Kong Convention as it provides the most practical and reasonable regulatory approach balancing the needs of recycling states with achievable health, safety and environmental standards. He then explained the structure of the Hong Kong Convention, its guidelines, and the processes involved in preparing a ship for recycling.

Mr Doebren Mulder presented on the Greendock solution for zero-pollution ship recycling. The Greendock solution is based on a 'Foil Dock' patented design which comprises a sealed area in which pre-cleaning and dismantling is performed. The Greendock provides an environmentally safe option for dismantling of ships should Malaysia consider it necessary to have facilities for ship dismantling. Alternatively, the Greendock solution is also a viable business model, providing pre-cleaning and dismantling services on behalf of shipowners and the steel industry.

In his presentation, En Nazery Khalid from MIMA emphasised the pertinent points pertaining to the Hong Kong Convention explaining that despite the inherent risks shipbreaking poses to human health and environment, it remains an important industry, not only to shipowners, but also to shipbreakers, recycling yards and local communities who depend on the industry. The industry provides employment opportunities and is feedstock for the steel and various other dependent industries. Materials salvaged from dismantled vessels are also reused by local communities. He concluded that ship recycling creates positive economic multiplier effects to local economies and employment.

Following the presentations, the panel comprising Dr Nikos Mikelis, Mr Doebren Mulder, En Nazery Khalid, Capt Abdul Samad bin Shaik Osman (Marine Department Malaysia), and En Zakariah bin Mohd Noor (Malaysia Marine & Heavy Engineering Sdn Bhd);  and moderated by YBhg. Dato Noor Aziz Yunan, Director-General of MIMA, discussed whether Malaysia can and should develop its own ship recycling industry.

The discussion highlighted that the sustainability of a ship recycling industry is dependent on demand for steel, location of yards, and labour and compliance costs. Whilst Malaysia is strategically located, further studies are needed to determine the feasibility of a ship recycling industry. It was suggested that the primary reason for the development of a ship recycling industry may be to fulfil a public service through the provision of facilities for safe and environmentally friendly ship dismantling rather than as a commercial venture. It was also suggested that ship recycling could be considered as an additional activity for shipyards with excess capacity.

Stringent environmental regulations, export regulations, and high cost of compliance are barriers to the development of a ship recycling industry. The main argument against Malaysia developing a ship recycling industry is concerns on the effect of such an industry on Malaysia's coastal and marine environment. The industry is perceived to be one which is dirty, dusty and dangerous, and which would require employment of foreign unskilled workers, contrary to Malaysia's aspirations towards becoming a developed and high-technology nation.  Nonetheless through investment in high-technology solutions, zero-pollution for ship recycling is achievable. It was concluded that although Malaysia has the capacity to develop a ship recycling industry, it remains debatable whether Malaysia should develop one.

The seminar provided the opportunity for MIMA to spearhead discussion on issues of current and critical importance in the maritime sector, and highlight the perspectives of various stakeholders on the ship recycling industry.

Source: Maritime Institute of Malaysia

http://www.mima.gov.my/index.php/component/content/article/79-general-annoucement/531-seminar-on-leveraging-on-green-ship-recycling-initiatives

Green Ship Recycling Standards:

BASEL CONVENTION --- http://www.basel.int/

The Basel Convention is a United Nations (UN) treaty that is aimed at the reduction of hazardous waste, promotion of environmentally sound management of hazardous wastes, and prevention of hazardous wastes illegal transfer from one state to another. The Basel Convention on the Control of Transboundary Movements of Hazardous Wastes and Their Disposal was adopted in Basel, Switzerland in March 1989. The Convention came into force on May 1992. There are currently 51 Signatories and 175 Parties. The United Nations Environmental Program (UNEP) is responsible for the implementation of the Basel Convention. The International Maritime Organization (IMO) and the International Labour Organization (ILO) are international organizations that are deeply engaged in addressing the issue of ship recycling.

What is Basel Convention's main purpose?

The primary purpose of the Basel Convention is to stop or ban industrialized countries from dumping toxic wastes into developing countries.

What are the Basel Convention's aims and objectives?

Click here to view complete list of aims and objectives

http://www.basel.int/TheConvention/Overview/tabid/1271/Default.aspx

Coverage of Basel Convention:

The Basel Convention covers hazardous wastes that are explosive, flammable, poisonous, infectious, corrosive, toxic, or ecotoxic.

Refusal of Export to the Shipbreaking Country:

- All parties are required to provide information about a proposed trans-boundary movement of hazardous wastes to the destination countries.

- An exporting country must refuse the export of a ship having hazardous materials if the destination country for ship breaking operations cannot manage the hazardous wastes in an environmentally sound manner.

Which countries are the primary shipbreaking destinations?

Shipbreaking operations are done primarily in Bangladesh, India, China, Turkey and Pakistan. Why these countries? Primarily because of cheap labour markets and soft/problematic enforcement of environmental protection standards.

Which countries export ships for shipbreaking?

Industrialized European and Western countries.

What are the reasons why Basel Convention is violated?

GRIM reasons.

MONEY - rich countries sell their old garbage ships and don't want to spend money to process obsolete, decommissioned, end-of-life ships. IRRESPONSIBILITY - irresponsibility and neglect for human welfare and environmental protection. RECKLESSNESS - they (violators) just don't care! (except only caring about themselves). GREED - greed for more money, greed for more profit....yeah, don't reason out --- you know you are doing the wrong thing!

If you arrange all the first letters: M, I, R, G ---> it is GRIM spelled backwards............GRIM reasons.

Major negative effects of Basel Convention violations:

- Environmental pollution, Operational accidents, Disease

Primary Responsibility Before Exporting Ships for Shipbreaking:

Pre-cleaning of hazardous wastes is the financial and legal responsibility of the ship owner before exporting ships to Bangladesh, India, China, Turkey, Pakistan, and other developing countries.

Primary NGO Supporter of Basel Convention --- http://www.ban.org/

The Basel Action Network (BAN) is a Seattle-based charitable non-governmental organization (NGO) whose mission is to prevent the globalization of the toxic chemical crisis. BAN is the guardian, defender, and promoter of the Basel Convention and its decisions. BAN opposes the export of toxic wastes, toxic products, and toxic technologies from rich to poorer countries. BAN prevents the rich countries from turning the poorer countries into a dumping ground.

BAN is recognised by the United Nations Environment Program (UNEP) as the leading organization dedicated exclusively to issues regarding trade of toxic substances. BAN is regularly invited as NGO experts and stakeholders in internal meetings and policy deliberations. BAN also worked closely with the Organization of Economic Cooperation and Development (OECD) and other United Nations (UN) mandated environmental protection programs.

BAN advocates Green Shipbreaking. BAN ensures that all hazardous materials from US ships and vessels are properly removed before exporting or domestic processing.

Click here to visit the BAN website: http://www.ban.org/

The Green Ship Recycling Standard

The purpose of the Green Ship Recycling (GSR) Standard is to establish an environmentally sound management and methodology in shipbreaking and recycling of ships. The main objective of the standard is preventing damage to human health and the environment. The Green Ship Recycling Standard is created by the NGO Platform on Shipbreaking. BAN, Greenpeace, and other non-governmental organizations (NGOs) formed the NGO Platform on Shipbreaking. The primary focus of the platform is the responsible ship breaking and disposal of ships. Upholding the letter and spirit of the Basel Convention and the Basel Ban Amendment, the NGO Platform's main purpose is to stop the developed (first world) countries from the unlawful dumping of toxic wastes to underdeveloped third world countries. The NGO platform endorses the principles outlined in the Basel Convention on the Control of Transboundary Movements of Hazardous Wastes and their Disposal.

REQUIREMENTS & PROCEDURE PRIOR TO DISMANTLING/RECYCLING

Floating or Land-Based Re-use of Ships:

- Green Ship Recycling Facilities (GSRF) should favor re-use of ships over recycling

- GSRF shall promote and assist in the preparation of ships for historic preservation, retrofitting, restoration, refurbishing and repair of ships that have a viable and safe proposition for extended life as a structural ship.

- Alternative uses can include further life as a ship, housing, offices, hotels, museums, conference centers, etc

- Alternative uses are favorable as long as hazardous materials are sealed and made safe from release.

Ocean Dumping/Placement:

Green Ship Recycling Facilities shall not support or be involved in:

- preparing or selling ships and other similar structures for use as artificial reefs

- utilizing ships as artificial reefs

- dumping ships at sea or placing it in the marine environment

- other forms of aquatic dumping or sinking in aquatic environments

- scuttling a ship (deliberately sinking a ship by allowing water to flow into the hull)

- sinking ships as targets for military exercises

Legal Requirements, International & National Waste Trade Law:

- A Green Ship Recycling Facility will operate and ensure all business practices are fully consistent and in compliance with national and international waste trade laws.

- A Green Ship Recycling Facility will operate in a manner which will not require other facilities, persons, or other entities to violate any national or international laws.

- A Green Ship Recycling Facility shall abide and comply with the following list of legal instruments:

List of Relevant International and National Waste Trade Agreements:

• Basel Convention

• European Waste Shipment Regulation

• Organization for Economic Cooperation and Development (OECD) Recycling Agreement

• Waigani Treaty

• Izmir Protocol

• Bamako Convention

• Acuerdo Regional sobre Movimiento Transfronterizo de Desechos Peligrosos -- Centroamerica

• Basel Ban Amendment (Decision III/1 of the Basel Convention)

• The Asbestos Regulations (as amended) 1999 (United Kingdom)

• Toxic Substances Control Act (for PCBs import and export) (USA)

International Labor Law:

- GSRF must operate in accordance with International Labour Organization (ILO) Conventions and Recommendations and all applicable international labor laws and guidelines.

Licensed and Permitted:

- A Green Ship Recycling Facility must have valid applicable licenses and permits for operations including hazardous waste management- Only fully licensed and permitted downstream waste management facilities are allowed.

Waste oils, fuel and sewage:

- Prior to any recycling operations: all waste oils, oily liquids, fuels, and sewage must be completely removed from the ship & managed in accordance with the regulations and guidelines set by the International Convention for the Prevention of Pollution from Ships (MARPOL)

Downstream Environmentally Sound Management of Wastes/Materials:

- All Green Ship Recycling Facilites must have access and use of national downstream disposal facilities that can handle, manage, and dispose all hazardous wastes on board vessels including asbestos, toxic metal paints, residual fuels and oils.

- Materials and wastes containing PCBs and other persistent organic pollutants (POPs) in concentrations above 50 ppm must not be landfilled or otherwise disposed of

Environmental and Health Monitoring:

- Workers in GSR workplaces should be monitored at least once a year. This should include blood and hair sampling.

- Workplace environmental monitoring should be conducted at least once a year. This must include soil sampling, air sampling, and dust sampling for heavy metals, asbestos, and PCBs.

Community Support:

- A wide community support including from local fishermen, residents, and businesses should be obtained before the establishment of a new Green Ship Recycling Facility.

Environmental Management System (EMS):

- Green Ship Recycling Facilities will implement, maintain, and document an ISO (International Organization for Standardization) or similarly certified Environmental Management System

Fire Fighting Equipment:

- GSRF must have fire fighting equipment and capability to extinguish all types of fires inside and outside the ships and surrounding premises.

Occupational Safety and Health Responsibility:

- Occupational safety and health (OSH) is the responsibility and duty of the GSRF employer

- Owners of GSRF must periodically assess and identify risks and hazards to health and safety

- Preventive and Protective Measures should be implemented in conformity with ILO guidelines on shipbreaking and other relevant international conventions, regulations, recommendations, and codes of practice.

Personal Protective Equipment:

- Green Ship Recycling Facility owners must freely provide appropriate gloves, boots, coveralls, uniforms, googles, respirators, face shields, hardhats, and other personal protective equipment (PPE) to employees

- Proper use of PPE shall be enforced in accordance with ILO guidelines and OSH standards.

Onsite/Offsite Medical and Emergency Facilities:

- GSR Facilities must possess emergency eye-wash stations, emergency shower stations, and first aid supply & equipment

- During all operations, persons trained in First Aid Procedures must be present at all times

- Hospitals with rapid means of transport and capable of severe injury treatment must be located within 15 kilometers of a GSRF.

- Emergency response vehicles must be able to approach within 25 meters of at least one side of a ship without delay

Green Passport and Ship Recycling Plan:

- Before the Green Recycling Process initiates, two key documents are essential so that the Pre-Cleaning process can be planned and executed prior to the arrival of the ship at the recycling facility.

(a) Ship's Green Passport

- A ship's green passport is the vessel's document that contains the inventory of hazardous materials onboard.

- A Green Passport stays with the ship throughout its lifespan

- The Hazardous Materials Inventory (green passport) is the responsibility of the ship owner

(b) Ship Recycling Plan (SRP)

- A Ship Recycling Plan is a document prepared by the Ship Recycling Facility during the sale of the vessel

Transboundary Voyage to Annex VII Destinations:

When the final destination of ships containing Basel listed hazardous wastes is an Annex VII country (member of OECD, EU, Liechtenstein), a Green Ship Recycling Facility must perform the following prior to the final voyage of all ships:

1. Full Inventory:

• A full inventory of Basel listed hazardous wastes remaining on the ship must be accomplished

• Inventory of hazardous wastes/materials shall include at a minimum: mercury, Polychlorinated Biphenyls (PCBs), ChloroFluoroCarbons (CFCs), lead, cadmium, tributyl tin (TBT), halogens, solvents, asbestos, fuel, radioactive materials, and oils and oily mixtures.

2. Testing and Examination by Licensed Experts:

• All testing and examination must be accomplished by licensed experts in the field to ensure safety and credibility of results.

3. Notification and Consent:

• Article 6 of the Basel Convention describing full notification and consent between competent authorities must be successfully completed.

4. Adherence to Standards:

• Ensure that the receiving facility is a Green Ship Recycling Facility that adheres to the standards.

Transboundary Voyage to Non-Annex VII Destinations:

When the final destination of ships containing Basel listed hazardous wastes is a non-Annex VII country (not OECD/EU/Liechtenstein), the exporting Green Ship Recycling Facility must perform:

1. Pre-cleaning:

- Pre-cleaning of ships in accordance to the standards before sending it to the final disposal destination

- Pre-cleaning is to be carried out by removing all Basel listed hazardous wastes and ensuring safe towing of the ship its final destination.

2. Processing of Hazardous Substances:

- Hazardous substances such as residual fuels, asbestos, polychlorinated biphenyls (PCBs) or toxic metals should be processed according to Basel Technical Guidelines for the environmentally sound management of the full and partial dismantling of ships.

3. Repatriation of Hazardous Wastes:

- Hazardous Wastes that cannot be removed because of resulting unsafe towing must be repatriated to the exporting Annex VII country for final disposition in a government approved disposal or recycling facility.

REQUIREMENTS & PROCEDURE DURING RECYLING

Gas-Free Testing & Certificates:

- Prior to any cutting or dismantling operations onboard a vessel in the GSRF, a ship must be tested for flammability and a Gas-Free for Hot Works certificate must be granted.

Environmentally and Occupationally Sound Management and Responsibility:

- All Shipbreaking and Recycling operations must be conducted in accordance with the Basel Convention Technical Guidelines, ILO Safety and Health in Shipbreaking, IMO guidelines on Ship Recycling, and other relevant guidelines including all applicable local and national laws.

- Environmentally Sound Management of Hazardous Wastes involves Waste Recovery and Disposal Methods

- Waste Recovery methods involve Regeneration and Reclamation through processes such as Distillation, Thin-Film Evaporation, and Steam Stripping

- Disposal Methods involve processes such as Biological Treatment, Physico-Chemical Treatment, Deep Injection, Specially Engineered Landfill, and Incineration on Land

No Beaching Operations:

- No Green Ship Recycling operations shall take place on tidal beaches

- Tidal Beaches provide unstable and impractical platforms for mechanical lifting devices such as cranes

- Tidal Beaches does not offer good access to emergency response vehicles

- Leaks from oils, residues, and particulate matter falling on tidal beaches are not retrievable

Full Containment & Operational Platform with Drydocks or Graving Docks:

- GSRF operational platforms are required to have impermeable floors where hazardous materials and wastes are handled

- Drydocks or graving docks with impermeable, contrallable and fully contained floored area is required

- Impermeable Floors provide full containment for loss of liquids or particulate matters (e.g. oils, paint chips, dust)

- Impermeable Floors allow recovery and management of incidental or accidental releases of residues or emissions

- Drydock or Graving dock floors must be washed everyday

- Before flooding, floors must be thoroughly cleaned

- Wastewater shall be managed as hazardous waste because of cleaning agents, particles, and residues

- No part of the ship can be considered as the necessary containment

- Cutting and recycling activities shall not take place directly over water, soil, or sand

Asbestos Remediation and Disposal:

- All forms of asbestos must be removed, isolated and managed as hazardous wastes in downstream disposal facilities in compliance to GSR guidelines (Annex II) and applicable ILO Conventions

- Asbestos must be managed in accordance with all applicable national and local laws, regulations, and guidelines

- Asbestos in any form must never be reused or recycled

- Asbestos must be disposed of in a secure landfill designed for asbestos without possibility of airborne or other releases.

PCBs Removal and Destruction:

- PCBs in liquid form are found in transformers, capacitors, and fluorescent light ballasts

- PCBs in solid form are found in gaskets, electronic cables, electrical wires, insulation, pliable flooring materials, roofing materials, and in paints.

- PCBs in both solid and liquid forms having concentrations greater than 50 ppm should be treated and managed as hazardous wastes [ 1 mg/1,000,000 mg (solid) or 1 ml/1,000,000 ml (liquid) --> one part in one million = 1 ppm (part per million) ]

- PCBs should be removed and isolated under the conditions and in facilities as described in the Basel Convention and relevant guidelines in the Green Ship Recycling standards document.

- PCBs must never be reused or recycled

- PCBs will be subject to destruction technologies that destroy the PCB molecule with a total Destruction Efficiency (DE) of 99.9999 percent.

Radioactive Devices:

- Smoke detectors, ionizing smoke alarms, and all other ship equipment containing radioactive materials must be removed, collected, and managed in a designated radioactive waste facility that complies with national and international regulations.

Mercury:

- Mercury is usually found in ship's equipment, instruments, and devices such as electronic switches, relays, binnacles, compasses, thermometers, barometers, and in fluorescent light bulbs

- Mercury should never be released to the environment

- All mercury should be managed as hazardous waste and processed in a facility capable of safely recycling it

- Mercury recycling facilities should have retorts capable of 99.99% recovery.

ChloroFluoroCarbons (CFCs) / Freon Remediation and Disposal:

- CFCs found in refrigerants, air-conditioning equipment, fire extinguishers, etc. must be properly identified, safely removed and isolated.

- CFCs should never be released to the atmosphere

- Disposal must be implemented through a licensed CFC collector

- Management and Remediation (removal of CFC from environmental media such as soil and water) should be in accordance with MARPOL and Montreal Protocol obligations and guidelines.

Harmful Paints and Plastics:

- Paints and plastics should be tested for halogens and toxic metal contents such as lead, cadmium, and tributyl tin (TBT)

- Paints and plastics with hazardous levels of toxic metals should be processed as hazardous wastes

- Materials containing halogens must be placed in a secure and designated landfill area

- Steel and other metals having paints, coatings, and plastics containing halogens or toxic substances must be sent to smelters with effective pollution control devices and equipment

- Smelters must operate in high temperatures to prevent the release of toxic metals, dioxins, and harmful hydrocarbons

Burning and Incineration:

- Except for dedicated incinerators, no ship material should be burned as they can cause or create harmful emissions

- Only dedicated hazardous wastes incinerators with a 99.9999% destruction efficiency is allowe

Thermal Cutting:

- Thermal cutting, or other thermal operations or devices must not create toxic fumes or smoke

- Thermal operations should not be done near or over all paints, plastics and other materials that causes toxic gases

Toxic or Health Impairing Dusts:

- Grinding, sand blasting, cutting, and other operations that create toxic dusts or unhealthy dusts should be avoided

- If such operations cannot be avoided, appropriate respirators, masks, and protective equipment must be worn to prevent inhalation and eye exposure

Transport of Hazardous Wastes:

- Hazardous wastes for transport should be properly labeled, and packaged in accordance to regulations to prevent spill or release.

Downstream Due Diligence:

- For all operations away from the GSRF, owners must satisfy legal and safety requirements

- Ensure that Safety Measures must be in place to prevent dangers, hazards, and risks

- Third party facilities and brokers must meet applicable standards, must have all the permits and licenses for all waste management operations

Source: By eternaltreasures.

http://eternaltreasures.hubpages.com/hub/Green-Ship-Recycling-Standards

Top dollar still top priority for scrap ship owners:

Hopes have been dashed that owners might have pulled their weight.

Hopes that shipowners would voluntarily implement technical aspects of the new Hong Kong International Convention for the Safe and Environmentally Sound Recycling of Ships (HKC) because of the years it will take to actually enter into force appear to have been dashed.

Commercial pressures mean that the vast majority of owners still pay little attention to whether their end-of-life vessels end up in a yard that complies with the requirements of the convention. Top dollar remains paramount.

Consequently, the vast majority of vessels are still heading for the Indian subcontinent. India may have moved toward compliance with the convention through such requirements as hazardous materials declarations but Bangladesh and Pakistan have a long way to go.

Tom Peter Blankestijn, founder of green-recycling supervision company Sea2Cradle, says he was hoping for a gradual increase in the number of owners sending, for ethical reasons, their ships for recycling alongside piers in China, rather than beaching, but he was too optimistic. There has been no large-scale change of attitude.

It is still mainly restricted to Scandinavian and Japanese owners, as well as oil majors, says Blankestijn.

“We are far way from voluntary implementation of the convention,” he added.

Blankestijn says take-up for inventories of hazardous materials (IHMs) has been limited mainly to newbuildings and not existing ships.

This is despite shipowners’ associations such as the International Chamber of Shipping (ICS) and Intertanko agreeing to support voluntary implementation of the convention’s technical requirements, including IHMs.

Recently there has also been criticism of the continuing installation or use of asbestos in ships, either at the newbuilding or refit stage, prohibition of which forms part of the Safety of Life at Sea (Solas) Convention as well as the HKC, and which has potentially serious implications when vessels have to be scrapped.

The ongoing use of asbestos in equipment installations cannot necessarily be blamed on owners, although observers point out that they have site teams present at yards. Class has been accused of not being sufficiently vigilant in their checks, instead accepting asbestos-free declarations at face value. Procedures, it is claimed, will tighten following a recent submission by the International Association of Classification Societies (IACS) to the International Maritime Organisation (IMO).

Blankestijn concurs with critic Henning Gramann of Green Ship Recycling (GSR) Services that there has been inadequate scrutiny of vessels for asbestos but says that in most cases the material does not pose a hazard provided people know where it is located and dust is not released.

Meanwhile, he declines to comment on if and when the HKC will be ratified but says the process has been complicated by including recycling capacity as one of the entry-into-force criteria.

“The big flag states will be waiting for the big recycling states and vice-versa,” said Blankestijn.

Blankestijn says Sea2Cradle, a company borne out of the former Maersk Ship Recycling, handled seven “green” recycling projects for owners last year. 3 involved LNG carriers for oil majors, 2 were car carriers and 2 Usflag containerships.

All were handled in China apart from one smaller ship at Van Heyghen in Belgium, although the same vessel-recycling plans were used.

Blankestijn claims that waste handling in Belgium and China is similar, although Van Heyghen makes greater use of shear cutting equipment as opposed to gas cutting in China.

Sea2Cradle has, according to Blankestijn, a long-term contract to co-operate with AP Moller-Maersk whenever it has ships for demolition.

Source: TradeWinds Business Report. By Geoff Garfield. 9 March 2012

What does green recycling really mean?

Plenty is talked about companies providing green-recycling services in China but what does it amount to?

For Grieg Green, says chief executive Petter A Heier, it means:

• Arranging the issuing of an inventory of hazardous materials (IHM) or green passport if needed (for the car carrier Hoegh Trotter this happened six weeks prior to delivery)

• Approval of the yard ship-recycling plan for which the IHM is required

• Assisting in the fast and safe repatriation of crew 

• Using trained supervisors with a close relationship to the yard to oversee the entire recycling process

• Monitoring safety at all stages, including the location of firefighting equipment close to areas of hot work and the marking of hazardous areas

• Pre-cleaning of hazardous materials and removal of flammable materials such as wood, leaving bare steel 

• Cleaning of tanks

• Openings made in the hull for light, ventilation and, in the event of an emergency, evacuation

Heier says warehouses are used to dismantle sections containing asbestos and to store the material for disposal. Waste is collected by subcontractors and treated in accordance with “strict rules”. Subcontractors include Veolia, the French environmental-services group.

Each vessel takes around 3 months to recycle.

“We are working with five yards but are continuously evaluating new ones,” said Heier.

He claims that health and safety is taken even more seriously at recycling yards in China than at repair facilities, where he had experience as a superintendent for Grieg Group.

Source: TradeWinds Business Report. By Geoff Garfield. 9 March 2012

Green ship recycling: Grieg grabs green baton

The fledgling Norwegian company is helping green recycling in China.

Norway has been one of the drivers behind moves to raise international safety and environmental standards in ship recycling, so it comes as no surprise that it is also the location for companies in the vanguard of so-called green scrapping.

Among them is the fledgling Grieg Green, part of family-owned Grieg Shipping Group, which has recently recycled its first vessel in China, Oslo-based Hoegh Autoliners’s pure car/truck carrier (PCTC) Hoegh Trotter (built 1983).

Grieg Green, headed up by chief executive Petter A Heier, differs from some other companies offering green-recycling supervision in China by acting also as a cash buyer.

Consequently, it actually purchased the 3,700-car-equivalent unit (ceu) Hoegh Trotter and, following owner’s delivery in China, has now overseen its scrapping.

Grieg Green began more as a broker and consultant but, faced with an uphill struggle to find customers prepared to adopt green recycling, soon changed its business model to include purchasing ships. Green recycling remains a low priority for owners facing tough economic times, says Heier.

Taking on the role of cash buyer is also intended to provide a “safe and reliable counterpart” for both owner and recycling yard.

“We charge roughly the same commission as a broker and cash buyer would but we include our services for free,” he said.Those services cover arranging for inventories of hazardous materials (IHMs), negotiating with recycling yards to secure competitive offers, advising clients on documentation compliance and then supervising the recycling process.

Although not everyone agrees that recycling in China is as environmentally sound as the yards would have us believe, Grieg Green claims to have hand-picked the best available.

Feedback from Hoegh, claims Heier, has been excellent. The owner has a history of recycling its car carriers in China where it has in recent times also used the former Maersk Ship Recycling.

Heier started with the Grieg group as a superintendent and drew up its green-recycling business plan as a consequence of his Master of Business Administration (MBA) thesis.

Grieg Green buys vessels on a back-to-back basis with a yard recycling contract. There is no speculation or price-movement risk, says Heier. Owners are required to deliver their ships to the appointed yard and are given regular progress reports.

News of the Hoegh Trotter project has, it is claimed, led to more potential customers coming forward rather than Grieg Green having to always chase work. “It has given us a lot of confidence that there is reason for this company to be here,” said the chief executive.

He adds that the Grieg group is a long-term shipping-industry player and he is sure it will continue to invest in Grieg Green because “for sure this will be an important part of the recycling industry in future”.

Heier is open about the fact that very few owners even consider green recycling in a place like China. Ships are not beached but instead dismantled alongside concrete piers, with large sections removed by cranes and cut again on land.

The momentum toward green recycling, says Heier, should increase once the Hong Kong International Convention for the Safe and Environmentally Sound Recycling of Ships (HKC) enters into force.

He is disappointed, however, at the pace of progress in countries ratifying it, including Norway.

Heier says a mental shift of attitude is required with regard to corporate social responsibility (CSR), including the environment, among shipowners, in the same way they are now focussed on emissions and fuel saving — topics that were not discussed 10 or 15 years ago.

Grieg Green is negotiating its second vessel, with two other owners, each with four or five ships for scrapping this year, showing an interest in the company’s services, says Heier.

He says that despite slow progress so far, he is confident that the company will eventually be a force for change in the industry.

Substantial charitable contributions are made each year by Grieg Group to the Grieg Foundation and now, it says, it wants to contribute to making ship recycling sustainable.

Meanwhile, Heier says he hopes to handle some of the group’s superannuated vessels in future years but he is not taking anything for granted. “Competition is competition,” he said.

Source: TradeWinds Business Report. By Geoff Garfield. 9 March 2012

Ashland University Sets Environmental Lecture: Invites green ship recycling campaigner

Ashland University’s Environmental Lecture Series will continue its 20th year of the series on March 15 when it plays host to Colby Self, director of the Green Ship Recycling Campaign of the Basel Action Network in Seattle, Wash. 

 

Self will speak on “Away is a Place” at 7:30 p.m. in the Trustee's Room of Myers Convocation Center. The lecture is free and open to the public. The theme of year’s series is “Chemical Pollution in a Global Economy.”

 

Self is an environmental policy analyst and director of the Basel Action Network’s international ship recycling campaign. Working on human rights and environmental protection, he addresses the issue of environmental justice with the aim of developing fair and sustainable solutions to the world’s growing waste crises. 

Source: WMFD. 27 February 2012

http://www.wmfd.com/newsboard/singlesearchsingle.asp?story=49564

GMS Leadership - The World's LARGEST Cash Buyer of Ships for Recycling:

Established in 1992, GMS is the world's LARGEST and ONLY ISO 9001 (BVC) certified Cash Buyer of ships for recycling.  With exclusive representatives in all of the major ship recycling markets in the world, GMS has negotiated about 2,000 ships for recycling so far. In addition to its original office in the USA, the company continues to expand its operations with offices in Dubai (UAE) and Shanghai (China) as well as representative offices in India, Romania, Bangladesh, Pakistan and Turkey for a total of 8 locations to serve the needs of our global clients.

GMS is also the FIRST and ONLY Cash Buyer to develop a Green Ship Recycling Program (GSRP) together with Germanishcer LLoyd (GL) to meet the highest standards of Corporate Social Responsibility (CSR) in the ship recycling industry. GMS continues to lead the ship recycling industry with innovative and practical solutions. Over the years, we have become the "voice" of the industry in international forums.

GMS is the ONLY Cash Buyer in the world, who has made such a strong commitment to ship recycling with huge investments in infrastructure and human resources.

WHAT IS A CASH BUYER?

• Cash Buyers are not brokers. Cash Buyers are PRINCIPALS/TRADERS. They buy vessels on cash basis from ship owners and resell to ship recycling yards on Letters of Credit.

• Cash Buyers take delivery of vessels on both “delivered” and “as is where is” terms.

• IMO’s Hong Kong Convention on Ship Recycling will consider Cash Buyers as OWNERS of vessels.

GMS FACTS

-  GMS is the world’s FIRST AND ONLY ISO Certified Cash Buyer. GMS is the ONLY Cash Buyer to:

• Negotiated more than 100 a year, for the last 9 years in a row.

• Delivered 300 ships in one year.

• Delivered about 8 mill DWT in one year.

• Delivered about 15 million DWT tonnage in 2 years… setting an all-time record for the industry!!

• Delivered 24 vessels in ONE month.

• Developed a Green Ship Recycling Program together with the world renowned IACS Classification Society Germanischer Lloyd (GL).

• Invited to participate in the deliberations leading up to IMOs’ Hong Kong Convention on Safe & Responsible Ship Recycling.

• GMS has negotiated about 50 million DWT tonnage.

• 1 of 3 ships in India and 1 of 2 ships delivered into Bangladesh are GMS deals.

• GMS has concluded one of the BIGGEST deals in the history of recycling.

• GMS buys more ships on an AS IS WHERE IS basis than any other cash buyer in the world.

• In 2011, Dr. Anil Sharma, President/ CEO of GMS, was recognized as the 47th most influential person in shipping by Lloyd’s List, moving up from the 49th position in 2010.

• GMS’s weekly newsletter, GMS WEEKLY, is the most read and quoted report in the Ship Recycling Industry with over 450 editions in print over the last 9 years.

• GMS has the biggest infrastructure of any Cash Buyer, which enables the company to successfully handle large volumes and complex deals with professionalism, integrity and unrivaled performance. We have been often cited for bringing credibility to this industry and leading the way for positive changes within the industry.

• In a recent survey, our clients rated GMS as A+ category Cash Buyer. Some of the measures that we are proud of are: -  Professional Staff: 100%

-  Customer Satisfaction: 96.5%

-  Overall Experience: 100%

-  The world’s biggest ship owners turn to GMS for their ship disposal requirements.

Source: GMS

http://www.gmsinc.net/gms/aboutus.php