Features: - Tanker Operator

tankeroperator.com

Features: - Tanker Operator

TAKEROperator

JUNE 2010

www.tankeroperator.com

Features:







Human factor now vital

Largest ever Posidonia

Acting in an emergency

Emissions control alternatives

Maintenance in harsh climates

Know your chemical cargoes


TAKEROperator

JUNE 2010

www.tankeroperator.com

Features:







Human factor now vital

Largest ever Posidonia

Acting in an emergency

Emissions control alternatives

Maintenance in harsh climates

Know your chemical cargoes


Contents

04

12

23

Markets

Better than forecast

Human Factor

Global seafarer shortage

Warsash upgrades

MLC training

Co-operation needed

Terminal interface training

Greek Report

Reinvesting in tonnage

Sewage treatment plants

Largest ever Posidonia

42 Shiprepair & Maintenance

Spare part logistics

Coatings approval

ASRY sees improvement

Repairs in harsh conditions

Ice resistant hull coatings

56 Tank Servicing

Chemical tanker ‘university’

37

Technology

37 Profile - Voyage routing

39 Emergency response

Tanker salvage

42 Emissions control

VOC management plans

Low sulphur fuel

Energy management

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Front cover photo

Fuel savings, emissions and a host of other

issues are at the forefront of the shipping

industry at present. Slow steaming is one

answer, but preventative measures should

be taken to avoid machinery damage.

Photo credit- BMT.

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June 2010 TANKEROperator 01


COMMENT

Knowing your ship and the people running it

“Can you really inspect a vessel’s machinery on a

routine visit”? Asked those bright people at Ulysses

Systems recently.

Imagine going on board a vessel on a typical superintendent visit.

During your stay you need to make an assessment of the vessel and you

have the relevant assessment forms to fill.

Joining the ship and making an external inspection of the machinery

does not go deeply into how the ship is being run. A spreadsheet of

rudimentary schedule of upcoming maintenance helps but is it enough?

And how much of the machinery is in open display? For instance it is

easy to assess ballast tank condition by entering a tank and deck

condition by observation. But machinery?

There are of course, log-books and instruments yielding information;

but how much of the machinery condition can be assessed by looking

at these? Naturally an inspecting superintendent will have a spreadsheet

for main overhauls showing when main machinery overhaul is due.

But the ship has thousands of smaller items of machinery whose

condition affects the management of the ship, its history, its ability to

face external audits successfully, and can influence staff performance

during operation etc. On the other hand, emails to and from the ship,

with information about machinery and spares are hard to assemble and

rarely cover any particular machine comprehensively. Calibration forms

are useful but there are rarely more than 30 machinery components

whose condition is covered by them and even there the condition is not

described in full detail.

Therefore, there is fundamental need for a collaboration tool where

the superintendent and the chief engineer discuss and exchange

information about many hundreds of machinery components on a

regular basis. This system prepares the superintendent who is about to

inspect a ship by providing him/her with what he/she needs to know:

what is due for maintenance, what experiences were gained in recent

overhauls, what parts are typically used, what the status of spares

deliveries is, what special know how is required for a successful

overhaul etc. Without such a tool the visiting superintendent can do

very little and the technical manager ashore will gain little benefit from

the vessel inspection.

However, if the chief engineer does not find the collaboration tool a

useful and comprehensive system, all he will use is a spreadsheet to

communicate next due overhauls to the office. And that, plus a few

calibration sheets is all that the superintendent has to rely on when

assessing the condition of a ship. Is this enough?

A computer’s role

Imagine how valuable it is for a chief engineer, familiarising with a

new vessel to find out in one go that there is a problem with the main

TANKEROperator

Vol 9 No 7

Tanker Operator Magazine

Ltd

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PUBLISHER/EVENTS/

SUBSCRIPTIONS

Karl Jeffery

Tel: +44 (0)20 7510 4935

jeffery@thedigitalship.com

EDITOR

Ian Cochran

Tel: +44 (0)20 7510 4933

cochran@tankeroperator.com

ADVERTISING SALES

Melissa Skinner

Only Media Ltd

Tel: +44 (0)20 8950 3323

mskinner@tankeroperator.com

engine manoeuvring system because a particular pneumatic slide valve

is slow to change position; that the diesel generator sea water low flow

alarm is out of commission; or that the shell and tube oil cooler has

pitting on the tube ends and could cause a leak.

Computer software can be programmed to know when to give advice

and in doing so it is a far better tool than people, because computers

don’t forget. However, one of the prerequisites is that the software is

used to a sufficient extent so that it can detect the instance requiring

advice. The more computers are involved in the operation of vessels, the

more they can contribute with just-in-time alerting and advice.

There are two ways of warning people efficiently - one is to provide

the warning at a time when it is highly relevant, while the second is to

warn them in the context of what they are about to do and while they

are focused on the issue.

By organising a company-wide information system properly, it is

possible to provide familiarisation and warnings at the correct instance

to influence the critical issues to which operators pay attention.

To achieve this, the company must have a computerised information

system that combines as many on board and ashore functions as possible

in order to provide the user with information at the point of need. It’s no

good having stacks of information that the user is not in the habit of

referring to because, doing so is outside the user’s series of actions for

the task at hand and will be ignored.

To efficiently assemble corporate memory and experience, the process

of assembly must not be a separate task from the day-to-day duties of

company personnel either on board or onshore; it must be a by-product

of their work.

In any organisation, most situations leading to corporate memory and

experience are in some way recorded during some process or instance.

The next concern -one of design -is that after capturing the situation, for

example the pitting on the tube ends mentioned previously, this

information appears where it will matter most; at the time when the

diesel generators performance and reliability needs to be assessed.

The quest to make the system convenient for the chief engineer is at

the root of the success of any planned maintenance or purchasing

system to be used on board. It follows that its success ashore is based on

exactly this as well.

Task orientation means that any functionality in an application, any

document, any folder, any content, or, in technical terms, any object, can

be located by its relationship to a business function whose identity is

totally familiar to the user. It means that all enterprise processes are

broken down into tasks, which are identified together with their relevant

contexts in relationship to the roles performing them, the users

performing the roles and the business units to which the roles belong –

TO

hence the development of Ulysses’ Task Assistant software.

SUBSCRIPTION

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$220 / €160 / £150

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PRODUCTION

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chee@btconnect.com

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02

TANKEROperator June 2010


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INDUSTRY - MARKETS

Are there any

surprises left as

unpredictability rules?

VLCC operators have realised a 41% increase in earnings, compared to 2009,

according to figures compiled up to end of April this year.

In January, McQuilling Services forecast

that rates on the TD3 route

(MEG/Japan) would average $31,500

per day this year.

However, a number of factors have

combined to push that figure up to $52,000

per day thus far. Crude oil demand has grown

faster than anticipated, as IEA’s latest Oil

Market Report puts this year’s global demand

at 86.6 mill barrels per day.

While this 430,000 barrels per day increase

from previous forecasts has affected the tanker

market, other supply influences were also at

play, which influenced earnings.

OPEC compliance with mandated cutbacks

fell to 53% in March, providing more VLCC

spot business than has been seen since

October, 2008. With over 100 fixtures

concluded during March and April specifying

April loading dates in the Middle East Gulf,

charterers have delayed the seasonal downfall

in tanker demand, which is normally seen

during the second quarter of a year.

While McQuilling’s full year forecast is for

a net increase of 31 VLCCs, thus far this year

some 15 newbuilding deliveries have been

outweighed by a net loss of 16, either sold for

recycling, or conversion.

Earlier the consultancy predicted in a

reference case scenario that around 32 of the

57 single hull VLCCs would exit the market,

or 48 vessels in what McQuilling called the

strict scenario.

Given that 2010 is around one third

through, this would imply 11 vessels exiting

in the reference case scenario, or 16 vessels

leaving in the strict scenario. That the latter

was prevailing can be put down to healthy

scrap prices, as well as falling utilisation rates

for single hull VLCCs, the consultancy said.

As charterers seek to avoid potential

environmental catastrophes, the employment

rate for the remaining single hull tankers has

fallen far below that of their double hull

counterparts, leaving little incentive to extend

their trading life.

A number of other factors have also

combined this year to further reduce the

tonnage availability. McQuilling said that its

forecasting model assumed that storage would

continue in 2010, albeit not at the levels seen

last year.

Storage returns

However, VLCC storage year-to-date has

consumed around 20% more tonnage than

anticipated. Furthermore, a recent spike in

the contango on crude prices makes it likely

that additional storage will be sought in the

near term.

Bunker prices thus far this year have

averaged $469 per tonne, versus $267 per

tonne during the same period of 2009. This

has prompted owners to slow steam,

especially while in ballast.

McQuilling said that its forecast predicted

that the fleet would average a one knot

reduction in speed this year. However, the

slow down could be closer to 1.5 knots,

further eroding charterers’ prompt tonnage

lists.

Piracy off the Gulf of Aden and the Indian

Ocean has persuaded several owners to reroute

their vessels further offshore, therefore

extending voyage times. Owners have

extended routes by up to 1,000 miles from the

Somali coast, which prolongs a VLCCs round

voyage from the Middle East Gulf by several

days per round trip.

With these supply factors combined,

charterers have been left with a much slimmer

tonnage list than originally forecast, particular

during a period when export volumes have

been increasing. Thus the scales of

supply/demand have been tipped in the favour

of owners, extending an unpredicted

opportunity to maintained higher spot rates.

McQuilling pointed out that these scales

were delicately balanced. While the orderbook

is still influential and crude demands enters

seasonal lows, external supply factors will

remain the wild card by which freight rates

will react.

Fundamentals call for decreasing tanker

earnings in the near term, but adding the

effects of contango markets, high bunker

prices and piracy activity, we may see an

extended bull run on VLCC rates, the

consultancy concluded.

Piracy off the Gulf of Aden and the Indian

Ocean has persuaded several owners to

re-route their vessels further offshore,

therefore extending the voyage times.



04

Tonne/mile increase

In a seminar organised by INTERTANKO in

celebration of its 40th anniversary, Ben Holt

of Wood McKenzie agreed that tonne/miles

would increase for crude oil tankers over the

next five years, while the carriage of products

would broadly continue to grow.

Clarkson’s Martin Stopford thought that the

tanker industry itself was now in charge of

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INDUSTRY - MARKETS

# of Vessels

100

Additions

75 Deletions

50

40

32

25

60

< ACTUAL | FORECAST >

86

63

YTD 15

45

0

0

-2

-25

-24

-39 -37

YTD -16

-32

-50

2007 2008 2009 2010 2011 2012

Source: McQuilling Services

Figure 1: VLCC fleet additions and deletions.

Source: McQuilling Services

Figure 2: Ras Tanura/West via extended anti-piracy route.

commercial matters, rather than the cargo

owners, especially where the financial aspects

were concerned. “This is a big change over

the past 40 years,” he said.

McQuilling’s Dave Saginaw said that the

products trades were moving into larger

tonnage. Next year will see 900 product

carriers delivered of over 27,500 dwt, which

should be the peak in the newbuilding boom.

Colin Cridland, also of Clarkson, said that

the increase in the number of MRs is being

seen at the same time as time spent in port is

being reduced. He also commented that there

was only 10% of the current product tanker

fleet that was still of single hull construction.

Slow steaming was having an effect as some

tankers were sailing at around 12 knots

instead of 14 knots to save fuel.

In the smaller tramp trades, Quincannon’s

Soren Wolmar said that there had only been a

modest increase in two years, but this year

could see around 600 vessels joining the fleet.

Thereafter 190 were due for delivery next

year, 31 in 2012 and only six in 2013, thus far.

New owners tended to rely on the spot

markets and there would be more

MEG/Southeast Asia movements seen in

products as a change in sourcing kicks in.

Overall, future tonne/miles patterns were

unpredictable and the tanker industry is faced

with a very young fleet. Difficult to facture

into the equation are newbuilding

postponements and cancellations and there

will be a certain amount of consolidation, as

has been seen recently.

The MR IMO II types will see no

sustainable improvements without CPP

cargoes, while smaller tramp tankers will

suffer from unreliable spot rates. Parcel

tankers will still be at the mercy of port

congestion and disruptions to the supply

chain.

MR prospects

Remaining with MRs, London’s Gibson

Research said that tanker demand had come

under tremendous downwards pressure in the

past two years.

There has been some support for VLCCs,

Suezmaxes, LR2s and LR1s from floating

storage, but for MRs there was no such relief.

However, the driving forces for MR product

tanker demand are far more complex than for

crude oil; product trade can increase by a lot

more than gains in oil demand and volumes in

to or out of a country can rise even if its oil

demand falls.

Focusing on Asia and looking at the main

petroleum products carried by MRs, over the

past two years Japanese oil demand has fallen

by 0.55 mill barrels per day (minus 14%) and

yet the combined total of product imports and

exports on an annual average basis remained

unchanged at around 1.15 mill barrels per day

(imports were down by 0.1 mill b/d, but

exports were up by a similar amount).

This illustrates the intricate nature of

product trades and that total oil demand can

be a misleading indicator. In the same way,

2009 oil demand in South Korea was the same

as in 2007 and yet product import/export trade

increased by 20% over the two years, from

1.25 mill barrels per day to 1.50 mill barrels

per day.

We are all aware of the rapid expansion in

Chinese oil demand and the strategy to build

domestic refining capacity to meet these

requirements, Gibson said. However, over

2007-09 product imports were up by 0.1 mill

barrels per day and exports increased by 0.2

mill barrels per day.

All this reflects the fact that just because the

refining capacity is there, it doesn’t mean the

supply of each type of product will, or can, be

matched exactly with domestic demand. As a

result there will be ‘surplus’ products to

export and ‘deficit’ products to import.

However, for each country, this position will

be constantly changing.

Assessing market changes between 2007-

09, Asia/Pacific oil demand increased by less

than 3% and yet annual average product trade

to/from key countries increased by 17%.

Ordinarily this would have led to a stronger

MR market, but the market fundamentals in

the west have been far weaker than the east. In

addition, we have seen a 20% increase in the

MR fleet over the past two years, Gibson

commented.

Nonetheless, Asian product trade is

expected to continue to rise and growth in MR

numbers will slow, but not until 2012. Thus,

the basis for an MR turnaround is there, but

we will still have to wait for a while, Gibson

concluded.

At the INTERTANKO seminar, some

experts thought that owners would shy away

form the more sophisticated vessels, due to

higher operating costs. Nobody thought that

carbon fossil fuels would be significantly

replaced in the near future with one speaker

saying that renewable energy would only

account for 1% in 50 years time and he did

not believe in the concept of carbon capture.

OCIMF’s and Shell’s Jan Kopernicki thought

that by 2050, there would be a 70% energy mix

of oil and gas. The main challenges were

security, trade and the environment, he said. He

also warned; “there is a paradigm shift – the

old doesn’t apply any more.”

TO

06

TANKEROperator June 2010


INDUSTRY - MARKETS

# of Vessels

100

Additions

75 Deletions

50

40

32

25

60

< ACTUAL | FORECAST >

86

63

YTD 15

45

0

0

-2

-25

-24

-39 -37

YTD -16

-32

-50

2007 2008 2009 2010 2011 2012

Source: McQuilling Services

Figure 1: VLCC fleet additions and deletions.

Source: McQuilling Services

Figure 2: Ras Tanura/West via extended anti-piracy route.

commercial matters, rather than the cargo

owners, especially where the financial aspects

were concerned. “This is a big change over

the past 40 years,” he said.

McQuilling’s Dave Saginaw said that the

products trades were moving into larger

tonnage. Next year will see 900 product

carriers delivered of over 27,500 dwt, which

should be the peak in the newbuilding boom.

Colin Cridland, also of Clarkson, said that

the increase in the number of MRs is being

seen at the same time as time spent in port is

being reduced. He also commented that there

was only 10% of the current product tanker

fleet that was still of single hull construction.

Slow steaming was having an effect as some

tankers were sailing at around 12 knots

instead of 14 knots to save fuel.

In the smaller tramp trades, Quincannon’s

Soren Wolmar said that there had only been a

modest increase in two years, but this year

could see around 600 vessels joining the fleet.

Thereafter 190 were due for delivery next

year, 31 in 2012 and only six in 2013, thus far.

New owners tended to rely on the spot

markets and there would be more

MEG/Southeast Asia movements seen in

products as a change in sourcing kicks in.

Overall, future tonne/miles patterns were

unpredictable and the tanker industry is faced

with a very young fleet. Difficult to facture

into the equation are newbuilding

postponements and cancellations and there

will be a certain amount of consolidation, as

has been seen recently.

The MR IMO II types will see no

sustainable improvements without CPP

cargoes, while smaller tramp tankers will

suffer from unreliable spot rates. Parcel

tankers will still be at the mercy of port

congestion and disruptions to the supply

chain.

MR prospects

Remaining with MRs, London’s Gibson

Research said that tanker demand had come

under tremendous downwards pressure in the

past two years.

There has been some support for VLCCs,

Suezmaxes, LR2s and LR1s from floating

storage, but for MRs there was no such relief.

However, the driving forces for MR product

tanker demand are far more complex than for

crude oil; product trade can increase by a lot

more than gains in oil demand and volumes in

to or out of a country can rise even if its oil

demand falls.

Focusing on Asia and looking at the main

petroleum products carried by MRs, over the

past two years Japanese oil demand has fallen

by 0.55 mill barrels per day (minus 14%) and

yet the combined total of product imports and

exports on an annual average basis remained

unchanged at around 1.15 mill barrels per day

(imports were down by 0.1 mill b/d, but

exports were up by a similar amount).

This illustrates the intricate nature of

product trades and that total oil demand can

be a misleading indicator. In the same way,

2009 oil demand in South Korea was the same

as in 2007 and yet product import/export trade

increased by 20% over the two years, from

1.25 mill barrels per day to 1.50 mill barrels

per day.

We are all aware of the rapid expansion in

Chinese oil demand and the strategy to build

domestic refining capacity to meet these

requirements, Gibson said. However, over

2007-09 product imports were up by 0.1 mill

barrels per day and exports increased by 0.2

mill barrels per day.

All this reflects the fact that just because the

refining capacity is there, it doesn’t mean the

supply of each type of product will, or can, be

matched exactly with domestic demand. As a

result there will be ‘surplus’ products to

export and ‘deficit’ products to import.

However, for each country, this position will

be constantly changing.

Assessing market changes between 2007-

09, Asia/Pacific oil demand increased by less

than 3% and yet annual average product trade

to/from key countries increased by 17%.

Ordinarily this would have led to a stronger

MR market, but the market fundamentals in

the west have been far weaker than the east. In

addition, we have seen a 20% increase in the

MR fleet over the past two years, Gibson

commented.

Nonetheless, Asian product trade is

expected to continue to rise and growth in MR

numbers will slow, but not until 2012. Thus,

the basis for an MR turnaround is there, but

we will still have to wait for a while, Gibson

concluded.

At the INTERTANKO seminar, some

experts thought that owners would shy away

form the more sophisticated vessels, due to

higher operating costs. Nobody thought that

carbon fossil fuels would be significantly

replaced in the near future with one speaker

saying that renewable energy would only

account for 1% in 50 years time and he did

not believe in the concept of carbon capture.

OCIMF’s and Shell’s Jan Kopernicki thought

that by 2050, there would be a 70% energy mix

of oil and gas. The main challenges were

security, trade and the environment, he said. He

also warned; “there is a paradigm shift – the

old doesn’t apply any more.”

TO

06

TANKEROperator June 2010


INDUSTRY – NEWS

ICS and ISF meet in Singapore

The International Chamber of

Shipping (ICS) and the

International Shipping Federation

(ISF) held their annual meetings

in Singapore from 28th-30th April

at the invitation of the Singapore

Shipping Association.

The representatives of national shipowners’

associations from 33 countries discussed a

number of issues, including anti-piracy

measures.

ICS chairman and ISF president Spyros

Polemis said of major concern was the

potential US ban on pirate ransom payments.

“Our immediate concern is the most

unhelpful US Presidential order (of 13th

April) on security in Somalia, which suggests

that those involved in the payment of

ransoms to release ships’ crews could be

subject to criminal sanctions.

“Words cannot describe our frustration.

This is a very serious matter, and there is a

most urgent need for the US to provide

clarity on the precise meaning of this,

frankly, extremely confusing Presidential

order.

“Our primary concern is humanitarian:

what else is a shipowner meant to do if his

seafarers are taken hostage by ruthless

Somali pirates who threaten their lives? The

US needs to appreciate the potentially life

threatening impact of the order on the lives

of seafarers being held hostage, as well as

the truly serious implications for world trade,

especially if shipowners are unable to operate

in the Indian Ocean due to the concerns that

shipping companies and their insurers run the

risk of being prosecuted by the US

Department of Justice”, he said.

Polemis added: “It is simply unacceptable

for the US, and those other major powers that

fail to fulfil their responsibility to protect the

waters affected by pirates, to cede control of

these strategically vital trade routes to just a

handful of Somali criminals, while leaving

kidnapped seafarers incarcerated in appalling

conditions. What kind of signal does this give

to others who have contempt for life and

international law?”

Emissions package

ICS also reiterated its commitment to helping

governments at the IMO deliver a ‘bankable’

package to reduce the global shipping

industry’s CO2 emissions substantially, before

the next major United Nations Climate

Change Conference (UNFCCC) in Mexico in

December 2010.

Polemis explained: “We are confident that

governments at IMO will finalise regulations

on technical and operational measures to

reduce emissions, for mandatory application

to ships on a global basis, and that shipping

can deliver truly meaningful CO2 emission

reductions. Cutting fuel consumption is

enlightened self interest.”

He added: “An agreement at IMO on so

called market based measures (MBMs) is

proving more of a challenge, but ICS is

committed to providing constructive input on

the implications of the various options that

have so far been proposed. Whatever is

agreed, MBMs must be demonstrated to

deliver genuine and direct environmental

benefit, rather than simply being used as a

source of revenue for governments, or to

compensate for lack of progress in other

industry sectors.

“Shipping is already the most carbon

efficient form of transport, but we are not a

‘cash cow’. Any MBMs adopted must also be

applied equally to all ships, regardless of flag,

in order to avoid significant market

distortions,” Polemis warned.

“ICS recognises that governments such as

China and India do not wish to prejudice their

positions in the wider UN climate change

negotiations, but it is important that they can

find a means of reconciling the UNFCCC

principle of common but differentiated

responsibility with the IMO principle of

global rules for global shipping.

“We sincerely believe it is in the interests of

developing nations to understand that in the

absence of a global agreement for shipping at

IMO, their ships will almost certainly be

confronted with unilateral rules imposed by

Europe and the US, over which they will have

far less influence than they would with a

worldwide agreement, negotiated with their

participation, at IMO,” he added.

ISF members, who will be leading

employer representation at the diplomatic

conference on the revision of the IMO STCW

convention governing seafarers’ competence

standards (to be held in Manila this month)

expressed satisfaction with the improvements

to training, which were expected to be

delivered.

However, real concern was expressed about

the draft STCW text on seafarers’ rest hour

regulations, which would remove the

flexibility contained in the current convention

(and similar ILO requirements including the

Maritime Labour Convention) and which

could have very serious consequences for safe

operations without having any impact on

fatigue.

ISF members also reviewed the progress

being made towards the implementation of the

ILO Maritime Labour Convention. However,

the meeting voiced concern about the differing

interpretations being given to the ILO

requirements by some classification societies

(and potentially by regional port state control

authorities), which are at variance to what has

been agreed at ILO.

At the meetings, Polemis was re-elected as

chairman of ICS and president of ISF.

Trygve Seglem (Norway) and Frank

Leonhardt (Germany) were also elected as

ICS vice chairmen for 2010/11. At the same

time, Captain Dirk Fry (Cyprus) and Carlos

Salinas (Philippines) were elected as ISF vice

presidents.

The 2011 ICS/ISF AGMs will be hosted by

the German Shipowners’ Association in

TO

Hamburg in May of next year.


“Our immediate concern is the most unhelpful US

Presidential order (of 13th April) on security in Somalia,

which suggests that those involved in the payment of ransoms

to release ships’ crews could be subject to criminal sanctions.”


08

TANKEROperator June 2010


INDUSTRY – NEWS

Effective anti-piracy solutions needed

Along with other leading shipping

organisations, INTERTANKO has

called for a more aggressive

approach to tackle the scourge of

Somali piracy.

Given the global strategic importance of

keeping the international shipping lanes

through the Gulf of Aden and Indian Ocean

open, INTERTANKO has called on

governments to step up their involvement and

at the same time, make it more effective.

The tanker industry appreciates the efforts

of the naval forces, that have been protecting

international shipping in the Gulf of Aden and

the Indian Ocean from Somali-based pirates,

for their involvement and support, and

acknowledges their impressive record in

reducing successful pirate attacks in the Gulf

of Aden in particular, the association said.

In parallel, many shipowners, shipmanagers

and seafarers have also been making sacrifices

and commitments to keep the world’s energy

and chemical trades flowing.

However, the effectiveness of this work is

being diminished by the inability to bring

pirates to justice and to prevent them from

returning to operation after capture and

release, and by the recent extension of

piratical activity far into the Indian Ocean.

Reflecting on what INTERTANKO’s

chairman Capt Graham Westgarth recently

called “a significant degree of frustration”, the

association’s members are therefore now

urging governments to step up their

involvement and commit to the maintaining of

international sea lanes with concerted efforts

to find real and workable solutions to enable

them to fight piracy more aggressively and

effectively by:

Increasing naval and other appropriate

military support, and by adjusting their

rules of engagement for naval forces - rules

which should be robust enough to tackle

piracy head-on.

Critical issues with EU 0.1% sulphur

cap revealed in industry wide survey

A DNV Petroleum Services

(DNVPS) survey on the

operational impact of the EU’s

0.1% marine fuel sulphur limit –

enforced on 1st January this year

– has revealed potentially critical

issues.

Among the 65 shipping companies that

responded to the survey, 40% felt the EU

member states were not harmonised in

applying regulatory standards when verifying

compliance with the sulphur limit.

“DNV had previously expressed concerns

that the 0.1% sulphur cap effectively meant

ships berthed in the community ports must use

marine gas oil, notwithstanding many of the

boilers on board would not have been

modified by 1st January to burn this type of

fuel,” said DNVPS managing director Tore

Morten Wetterhus.

“Now that more ships are presumably

equipped with the installations to minimise

gas oil-related risks, such as fuel pump

leakage and boiler explosion, shipboard

personnel face new worries not knowing what

to expect from port state inspections in

different EU ports,” he warned.

Close to 40% of the respondents said their

vessels did not have the tank flexibility to

segregate gas oil and heavy fuel oil. Another

15% reported filter choking and fuel pump

seizures when switching from normal

sulphur heavy fuel oil to the much more

expensive gas oil on entering the EU

community ports.

Surprisingly, almost a third of the

respondents did not routinely test the quality

of their gas oil purchases, despite the risks of

their ships consuming fuels not compliant

with the 0.1% fuel sulphur limit.

In the worst case, an untested fuel could

be so severely ‘off-specification’ that it

causes substantial engine damage. “As a

marine fuel management company, it is

especially unsettling for DNVPS to find that

some ship operators are gambling with

safety when they choose to use gas oil of

unknown quality. There must be much more

awareness on problems commonly

associated with this type of fuel; for

instance, low flashpoint and low viscosity,”

Wetterhus cautioned.

On a brighter note, he said 90% of the

survey respondents believed their crews

were familiar with the on board routines for

complying with the EU fuel regulations, but

many also felt continuous training would be

necessary.

Ensuring effective powers are granted and

are in place to arrest, detain and bring to

justice all those who operate on the high

seas outside the law.

The tanker shipping industry, oil, gas and

chemical, keeps world trade flowing through

this vital artery, which connects East and

Middle East with the West.

Governments will be well aware of the

dramatic and economically damaging impact

on global trade if the world’s shipowners

and seafarers were to conclude that they can

no longer safely trade their vessels through

this region.

Recognising the need for stronger action,

renewed focus and new initiatives,

INTERTANKO has also joined with others in

the international shipping industry to support a

global e-petition demanding action, whereby it

is intended to deliver at least half a million

signatures to the IMO and to governments by

mid-September this year.

UK tonnage tax

UK-based accountant and

shipping industry adviser Moore

Stephens has warned shipping

companies that they will need to

review their UK tonnage tax

election deadlines.

Many may be about to expire and as a result,

the companies may risk being forced to exit

the tonnage tax regime altogether.

Sue Bill, a tax partner with Moore

Stephens, explained, “In the UK, tonnage tax

elections are made for a 10-year period. As

the regime was first introduced in the Finance

Act 2000, it is likely that many of the

elections made at that time may now have

either expired, or be due for renewal shortly.

“A renewal election may be made at any

time during the 10-year period in which the

company or group is in tonnage tax, but it

must be made before the end of that period.

The actual deadline for making an election

will depend on the date that the company, or

group first entered the tonnage tax regime. If

an election is not made during the relevant 10-

year period, it will not be possible to make an

election and the company or group will be

forced to leave tonnage tax. So it is essential

that a renewal election is made in good time.”

The UK Chamber of Shipping has recently

asked its members to inform it if they are having -

or may have - any difficulties making a renewal

election as a result of missing their deadline, so

that it can make representations to HMRC.

10

TANKEROperator June 2010


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INDUSTRY - HUMAN FACTOR

Ways to address the

global seafarer

shortage

At a seminar held on the problem of the global shortage of seafarers,

Spyros Polemis gave a talk about the introduction of measures taken

by the private sector and in particular – the shipping industry*.

He spoke from the perspective of

his position as president of the

International Shipping

Federation (ISF), which is the

global association representing the interests of

maritime employers on a whole range of

international maritime labour issues.

However, he explained that some of the

work being undertaken was developed jointly

with the ISF’s partners in the Round Table of

shipping associations, that is, ICS, BIMCO,

Intercargo and Intertanko.

ISF supports the view that notwithstanding

the current downturn in the shipping business

as a result of the global financial crisis, in the

longer term, world trade will continue to

grow, with more ships and more trained

officers required, not to mention the additional

requirements for shore based jobs in the

industry.

However it is important to be able to

quantify the problem, which is being

addressed. One of the most quoted sources of

information on the supply and demand for

seafarers is the ISF/BIMCO manpower study.

This has been updated every five years since

1990, and the ISF has recently embarked on a

major new survey, which will be published

towards the end of 2010.

Polemis covered the following factors

which he believed were important in ensuring

that sufficient trained officers will be

available. These are -

How we recruit for the industry and

ensure that young people understand the

attractions of a career at sea.

Making sure that there are enough quality

institutions for the education and training

of seafarers.

Taking steps to ensure that seafarers are

retained once they have been trained.

How some of the external factors are

dealt with that make life difficult for

seafarers and reduce the attraction of a

career at sea.

Recruitment

Recruitment of young people to be trained

into the industry needs to be tackled at a

national level, as cultural issues and

educational structures, as well as familiarity

with ships and the sea, differ from country to

country.

While shipowners will be recruiting to meet

their own needs for cadets, some of the most

successful recruitment campaigns are run at

national level led by national shipowner

associations, and involving all interested

parties.

To give some examples:

World Careers – the Blue Denmark.

‘Take a fresh look at the sea’ from the UK.

Hong Kong’s ‘think maritime’ campaign.

He explained that the ISF and the Round

Table are embarking on a programme to

facilitate the sharing of best practice from

national campaigns, so that all can learn from

the most successful of them.

Campaigns

He said; “We were delighted that IMO

declared 2010 as the Year of the Seafarer, and

we are very appreciative of the support of the

IMO secretary general in raising the profile of

seafarers and the advantages of a career in

shipping through the IMO ‘Go to Sea’

campaign.

“Support at the international level for the

seafarers in this genuinely global industry is

of enormous value, and certainly aids the

industry’s recruitment efforts,” Polemis said.

The international associations can also play

an important part in providing material to

support local campaigns.

“Last year, as part of our 100th anniversary

celebrations, ISF launched a DVD – ‘Careers

in international Shipping’ – which is intended

as a resource of support to national and local

recruitment campaigns. It has been produced

in seven languages with generous support

from IMO and from individual national

associations. I understand they have been used

extensively already, for example in the

Philippines, and copies are available free to

anyone who wants to use them,” he said.

Education and training

The ISF believes that those who are attracted

to the seafaring profession should be given a

choice of routes to obtain the necessary

qualifications, with an appropriate mixture of

time in training establishments and time at

sea, in accordance with the requirements laid

down in the IMO’s STCW convention.

The industry needs to work with

governments to ensure that the appropriate

training places are available for those who are

attracted to the industry. Shipowners and

others in the industry who rely on the

availability of trained seafarers should be

prepared to give both financial and practical

support to meeting these needs where

necessary.

However, as well as places in the maritime

colleges, the industry needs to make sure that

there are enough berths on board ships for

cadets to complete their sea time, and

shipowners should be encouraged when

ordering ships to provide the necessary

accommodation and on board training facilities

for cadets. They should also consider

alternative arrangements, such as training ships.

This is in shipowners’ own interests, and the

ISF believes should be promoted actively by

the international and national associations

among their members.

12

TANKEROperator June 2010


INDUSTRY - HUMAN FACTOR

One of the best ways to maintain a

sufficient supply of trained seafarers is to

ensure that the trained and experienced

officers are kept within the industry.

The reasons why people stay within their

chosen career are complex, and employers of

course need to study them carefully.

Money is important, but so are factors such

as job satisfaction, career progression and

social conditions.

A career path is vital, and need not require a

lifetime at sea. There are plenty of

opportunities ashore for those with

qualifications and experience, and therefore it

is important that they are kept within the

industry, where their skills are still of value,

and they may of course return to sea later.

Home away from home

“We also need to remember that a ship is the

seafarer’s ‘home away from home’, as well as

his workplace for weeks or indeed months at a

time, and we need to keep this in mind when

we consider the accommodation on ships and

the on board facilities which we provide,”

Polemis said.

Instant access to communications,

information and entertainment through mobile

phones, blackberries and the internet is taken

for granted by young people today, and it

really cannot be expected that seafarers will

do without these amenities for weeks on end.

The technology is available to provide these

services on board ships, albeit cost is still an

issue, but more and more enlightened

employers are ensuring that reasonable

communications facilities are available to their

crew. “We need to work with service

providers to make such provision both cost

effective and more widely available,” he said.

He continued; “However, it should not be

forgotten that other perhaps more traditional

facilities on board ships for recreation and

socialising are equally important, and these

should be taken into account when specifying

the design for newbuildings”.

While shipowners can do much to ensure

that their crews have satisfying and rewarding

careers, there are unfortunately factors outside

the industry’s control which lead to a negative

image for seafaring as a career.

Piracy

One such factor is the problem of piracy.

Polemis said that who would have thought

that in the 21st century, merchant ships would

be subject to repeated attacks by pirates both

in the Gulf of Aden and over wider areas of

the Indian Ocean, as well as increasingly off

the west coast of Africa, and that at present,

over 200 seafarers are being held hostage.

Ships and seafarers of all flags and

nationalities have been attacked, with those

seafarers who are captured undergoing a

considerable ordeal. These criminal activities

which challenge the rule of international law

on the high seas cannot be allowed to

continue. They are simply unacceptable and

the international community has a

responsibility to do more, he emphasised.

Best management practice

The industry must ensure that the crews

employed are properly prepared for the risk of

attack. Ships must follow the industry best

management practices, which have been

agreed between the industry and the naval

forces. Additionally, crew should be prepared

for the consequences should they be captured.

However, it is for governments to find

lasting solutions to the serious problem of

keeping the international trade lanes open so

that merchant ships can sail without the

constant risk of attack. Failure to address this

problem will ultimately impact on the smooth

and cost effective movement of world trade,

not to mention the attractiveness of shipping

as a career.

Criminalisation

“We also need to highlight in the Year of the

Seafarer that there are important steps which

governments need to take to ensure that

seafarers are treated as professionals doing a

responsible job, not as criminals. Seafarers

are not criminals, and they should not be

treated as such.

“Sadly, it is now all too often that we see

cases where seafarers are criminalised for

actions which no fair minded person would

regard as criminal, be it accidental pollution,

or as a result of their ship being used by

others to carry illegal goods without the

knowledge or involvement of the crew.

“We have seen the imposition of penal

sentences on officers and crew, prolonged

detention of seafarers during investigations,

and denial of bail even when financial security

is offered”, he explained.

He warned that this created an incredibly

difficult situation for seafarers who sail into

foreign jurisdictions. They are held

accountable according to local laws they do

not understand, and which often ignore the

international legal framework which has been

designed to ensure that seafarers are treated in

a uniform and consistent manner

“Such unfair treatment is unacceptable and

I have personally gone to great lengths to

emphasise this message to the relevant

authorities worldwide. However we need

ISF president Spyros Polemis.

action by governments, national lawmakers

and courts to correct this situation,” he

warned.

Conclusion

The shipping industry at all levels,

shipowners, national and international

associations, is fully engaged in the challenge

of ensuring that we have sufficient trained

seafarers for the future.

“We are also most grateful for the support

we receive from IMO and ILO as our

international regulators. However as I have

already emphasised, we need more

commitment from governments to address

some of the problems which seafarers face.

“The challenge of meeting future

requirements for trained seafarers will always

be with us, particularly as more ships will

again be needed to carry the growing levels of

world trade as the global economy recovers.

“We must continually seek to increase our

efforts. Forward planning is essential, given

the lead time from the recruitment of a cadet

to the availability of a properly qualified

officer. We in ISF, with the support of our

national association members, and the

shipowners which they represent, are

committed to play our part in ensuring that

these challenges are met,” he concluded. TO

*This is an extract from a paper given

by Spyros Polemis, president of the

International Shipping Federation to the

Japan International Transport Institute

and the ippon Foundation at the

beginning of May.

June 2010 TANKEROperator 13


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INDUSTRY - HUMAN FACTOR

Warsash continues to

upgrade facilities

At the turn of the year, Warsash Maritime Academy,

part of Southampton Solent University, completed a project to integrate

six bridge simulator stations based on Kongsberg Maritime’s Polaris system.

The Academy has always prided

itself on the ability of its lecturing

and technical staff to use its

simulators to their best effect and

this upgrade will increase the flexibility and

scope of future training. It made the point that

good equipment alone was not sufficient – it

was the quality of the training given that

really counted.

A maximum of 270 deg field of vision is

available and Warsash has been in close

liaison with Northrop Grumman Sperry

Marine over the use of the VisionMaster FT

radar and ECDIS, which have been fitted.

Other suppliers’ equipment used to give the

simulation an authentic feel included Kelvin

Hughes and Transas. An extensive support

package was also agreed with Kongsberg.

The six bridge stations are capable of

housing up to 24 students at any one time,

ranging from individual bridge exercises to

fully integrated bridge team management style

trials, using several stations operating

interactively, including the full mission bridge

simulator. Bridge resource management is a

recurring theme today, especially given the

many different nationalities and cultures that

can be found on board an average vessel.

However, bridge team management

exercises are thus far not mandatory. The

shipping companies that opt for this type of

course are being proactive, rather than

reactive, the Warsash lecturers told

TAKEROperator.

Among other courses, ECDIS training is

becoming more popular at Warsash, due to the

mandatory requirement to have such systems

fitted from 2012. Some 300,000 navigators

will need ECIDS training by 2018, the

lecturers estimated.

By having an interactive link up, pilots, tug

masters and others can be introduced as part

of the resources available, enabling students to

become used to using all of the services

normally on offer to a vessel’s navigating

Three control rooms give the academy greater flexibility.

June 2010 TANKEROperator 15


INDUSTRY - HUMAN FACTOR

officer when entering, or leaving port. The

role of a shore-based vessel traffic service

operator (VTS) can also be adopted to give

the exercise a completely realistic approach to

navigator training.

With the increasing popularity of FPSO and

single point mooring buoy tanker hook ups,

some exercises have been included, involving

pilots and tugs, etc. Piloting high sided vessels,

such as LNGCs, is also on the curriculum. For

example, Warsash has been working with the

Medway pilots, simulating the approaches to

the River Medway LNG receiving terminal.

As a back up to the simulators, the academy

has three control rooms, which principal

lecturer Billy Bean said gave the training

facilities “enormous flexibility”. In the

classrooms, de-briefing sessions are held

following an exercise. It is in these sessions

that most of the learning takes place as

students are able to offer feedback, as well as

having their own performance under pressure

analysed. “Quality feedback is important”,

Bean emphasised.

The aim is to develop a “flexible attitude”

within the students, as well as at the same time,

getting to know the equipment. “A simulator is

able to explain why and how things happen and

will encourage the student to inquire and

challenge decisions,” Bean explained.

Other uses for the simulators include

accident investigations, especially by the UK

Marine Accident Investigation Branch

(MAIB) - bearing in mind a spate of ECDIS

aided groundings recently - area

familiarisation and in-depth research. Antipiracy

drill programmes are also being

formulated with the help of various P&I clubs.

Some 64 ship types and sizes can be

simulated with 178 targets with more than 40

ports and channels available. Shipowners and

other organisations can opt for the full

Kongsberg models, take a basic simulation, or

produce their own model simulation. Full

courses at Warsash last for five days and before

attending, the students would have already

attended an ECDIS, AIS, ARPA and other

courses before attacking the simulator courses.

Warsash has nearly put up the ‘full up’ sign

with respect to cadet education training.

Student intake has almost doubled during the

past few years as training has taken on a

whole new meaning as the shipping world

tries to address the perceived problem of the

human error. The simulator courses are

accredited and approved by the MCA.

Not surprisingly given the depth of

equipment at their disposal, the academy’s

trainers were not in favour of certain

navigating ‘suit case’ type training offered by

companies using PC-based software.

Where navigation is concerned, almost ‘real

life’ simulation using the actual equipment

that will be encountered on a vessel’s bridge,

was deemed to be the way ahead.

Model ship handling

Planning permission was recently given for

the construction of an artificial lake at

Timsbury, near Romsey.

Using finance from its parent body,

Southampton Solent University, Warsash is to

build an artificial lake and channels on which

the model VLCCs and other vessels can be

used for slow speed ship handling purposes. A

single point mooring buoy will be fitted in the

lake enabling navigating officers, tug masters

and pilots to simulate the approaches to the

buoy and also to FPSOs.

It is hoped to have this project completed

by the Spring of next year.

TO

Fatigue research project underway

A major exercise was underway

during TANKEROperator’s visit

to try to determine the level of

fatigue being experienced by

officers and crew.

This was part of the EU-backed ‘Horizon’

project and involved members of

Warsash’s training team and volunteer

navigating officers being locked away in a

room simulating a tanker voyage to

Rotterdam and returning to the Fawley

refinery in Southampton Water.

The aim of the 30-month project is to

examine navigator’s fatigue levels. It was

originally set up with the help of an EU

grant of €3.78 mill commencing in June

2009.

Essentially, Horizon is a joint venture

between Warsash Maritime Academy,

Chalmers Tekniska Hoegskola AB

(department of Shipping and Marine

Technology), the Stress Research Institute

of Stockholm University, together with

eight other participant companies and

authorities, including Bureau Veritas,

European Community Shipowners’

Association, European Transport

Workers’ Federation, European Harbour

Masters Committee, Intertanko, Standard

P&I Club, MAIB, and the Maritime &

Coastguard Agency. Also involved is

Nautilus International, the Anglo-Dutch

officers’ union, which asked its members to

co-operate in the project.

As to its background, there have been

increasing concerns over human safety,

environmental damage and commercial

loss due to watch officer fatigue. A MAIB

report entitled ‘Bridge Watchkeeping

Safety Study (2004)’ cites fatigue as a

major causal factor in collisions and

groundings. There is, however, very little

information about how the watch patterns

of for instance, six hours on – six hours off

and four on – eight off, influence

watchkeeper performance.

The study concentrates on how different

watch systems dictate the level of fatigue on

both deck and engine room watchkeeping

officers. The exercise involves both sets of

watchkeepers working with bridge, liquid

cargo and engine room simulators operating

in north European waters over a seven day

24 hour period, at sea and in port. Different

watchkeeping patterns will be used in the

exercise.

To facilitate the study, Warsash sought

the co-operation and participation of

certificated second and third deck officers

and third and fourth engine room

watchkeeping officers who were serving at

sea and had a background knowledge of

loading/discharging oil cargoes with a

minimum of 12 months watchkeeping sea

time on tankers.

Volunteers were asked to travel to

Warsash and stay for eight days, joining on

a Saturday and returning home after a rest

period on the Sunday, or the Monday

week. Voyage scenarios, enacted on bridge,

engine room and liquid cargo handling

(LICOS) simulators, both in Gothenburg

and at Warsash, were designed to allow the

observation of the watchkeeping officers.

Data collected from these scenarios will be

analysed to determine the effects of fatigue

on the watchkeeper’s cognitive

performance.

In all about 60 deck and engineering

officers will take part in the project with

their performance being measured by

researchers as they undertake typical

watchkeeping duties on simulators over a

succession of seven-day periods.

16

TANKEROperator June 2010


INDUSTRY - HUMAN FACTOR

Seagull focuses

training on upcoming

labour convention

As momentum builds towards ratification of the Maritime Labour Convention 2006,

Seagull has launched a new training package to ensure that shipping companies and

their senior officers meet the standards required for implementation and compliance.

In laying out comprehensive rights and

protection at work for more than 1.2

mill seafarers worldwide, the

International Labour Organisation’s

(ILO) Maritime Labour Convention, 2006

(MLC 2006) consolidates and updates more

than 65 international labour standards related

to seafarers adopted over the last 80 years.

The convention has also been characterised

by IMO secretary general Efthimios

Mitropoulos as critical to the future of

shipping. Mitropoulos observed that

“seafarers deserve it as much as the shipping

industry needs it if it is to continue to be a

viable and attractive career option for the sort

of high calibre people it increasingly needs.”

According to the ILO, in ships flying the

flags of countries that do not exercise

effective jurisdiction and control over them,

seafarers often have to work under

A Seagull MLC screenshot.

18

unacceptable conditions, to the detriment of

their well-being, health and safety.

However, the need to develop new

standards for seafarer employment is not

simply a ‘quality of life’ issue, or one of terms

of employment. The high proportion of marine

accidents traceable to human error is well

proven. Analysis by IMO's sub-committee on

flag state implementation established that, of

187 instances of groundings and collisions, in

150 cases the ‘human element’ was a

contributory factor.

Clearly, working hours and working

conditions also contribute to seafarer

competency.

Developing a set of standards that is at once

globally applicable, understandable, readily

updatable and uniformly enforceable has

proved to be what Mitropoulos termed “a

Herculean task”.

Nevertheless, MLC 2006 enforcement is

approaching fast. The first ratification criteria

for the convention to enter into force - that

flags representing at least 33% of world

tonnage should have signed up – was reached

in February 2009. The second ratification

criteria – that at least 30 member states should

have signed up – could be met as early as

December 2010. Entry into force is scheduled

for 12 months after the date that both criteria

are met – pointing towards enforcement from

the end of 2011 to early 2012 onwards.

As those familiar with other aspects of

maritime law can vouch, it is one thing to

ratify and implement a maritime convention,

and quite another to ensure compliance.

However, the prospect of inspectors from flag

states, or their recognised organisations,

boarding ships to establish crewing levels, the

quality of accommodation, catering standards,

health and safety standards and medical care

and on board complaint procedures brings

with it far reaching new responsibilities for

senior officers on board ship. Again,

shipowners, as employers, will need to be able

to provide documentation regarding hours of

work, rest periods, grievances, etc.

CBT module introduced

Familiarity with the convention itself, its

inspection regime and how to comply with it

will thus be critical. For this reason,

computer-based training (CBT) specialist

Seagull AS has just launched an introductory

module, providing an overview of the

background, structure and content of the MLC

2006 to all on board and shore-based

personnel that will be involved in initial and

ongoing compliance with the convention.

“The proposed Seagull solution comprises a

number of elements which it is felt will assist

shipping companies in meeting the

requirements and fulfilling their responsibilities

TANKEROperator June 2010


INDUSTRY - HUMAN FACTOR

under the convention, both ashore and on board

ship,” said John Harrison, Seagull technical

advisor. “The objective is to utilise existing

Seagull administration tools to help monitor

and manage ongoing compliance. “

Harrison was referring to the Seagull

Training Administrator, the training

administrative software package that is

already used on board 7,000 ships and by

some 500 clients to assess and track seafarer

skills and career development.

“As the convention will have an impact on

everyone within the wider shipping world, it

is felt essential that they should at least have

an overview of the convention, “said Roger

Ringstad, Seagull managing director.

“It is intended that this will be the first CBT

module of what will be a package of modules

and management tools, which together, will

allow shipping companies, shipmanagers, ship

operators and senior officers on board ship to

effectively achieve and manage compliance

with the Convention,” he said.

As well as describing the role of the ILO,

the module explained the inspection criteria

and certification, Ringstad said.

Certification

After all, he said, MLC 2006 was not simply an

aspirational ‘Bill of Rights’. Before a ship sets

sail, for example, it will need to be issued with

a national certificate declaring its compliance

with minimum standards for seafarers’

payment, accommodation, rest facilities and

other criteria. Under the certification system

proposed, shipowners will be required to

produce a ‘Maritime Labour Certificate’ and a

‘Declaration of Maritime Labour Compliance’

authorised by the flag state.

Indeed, many of the convention’s

requirements are very precise. Its mandatory

part, for example, prohibits seafarers under 18

from working at night, sets maximum working

hours for all seafarers, offers guidance on

acceptable minimum crewing levels, and

demands medical certification for all those

joining ship. It goes so far as to set standards

for acceptable head room, area and location of

sleeping quarters.

Furthermore, the convention demands clear

objectives for the vocational guidance,

education and training of seafarers whose

duties on board primarily relate to the ship’s

safe operation and navigation, including

ongoing training. If not a new burden for

responsible shipowners, this represents a newly

defined commitment on the part of employers

and senior officers to ensure that training

standards are met – including the dissemination

of the provisions of the convention itself.

Harrison said Seagull’s introductory module

was thus due to be quickly followed by the

launch of two more advanced CBT modules,

in the third quarter of this year.

One module will cover the main

responsibilities of shore-based shipping

company personnel directly involved with

meeting the requirements of the convention,

including formulating policies and procedures

and initial and ongoing compliance.

“Responsible shipowners will need to be

aware of the areas of their ships that will be

inspected. They will also need familiarity with

the proposed Declaration of Maritime Labour

Compliance. Again, shipping company office

staff dealing with seafarers’ employment

conditions must be appraised of the

requirements for initial compliance and the

consequences of non-compliance in order to

meet flag state standards,” he said.

The second module will cover the main

responsibilities of the master and senior officers

on board, who will be directly involved with

implementing the requirements and ensuring

ongoing compliance on the vessels.

“Aimed at senior officers on board, this

second additional module will identify the

areas of inspection proposed on board ship,”

said Ringstad, “as well as providing

information about the crucial on board records

that will be required to secure ongoing

compliance, the validity of certification and the

consequences of non-compliance by a ship.”

Seafarer fitness

Also due in third quarter 2010 is a separate

‘onboard fitness planning and monitoring

tool’. Harrison explained: “This element,

which has been developed with an external

partner, will contribute towards meeting the

convention’s requirements relating to the

health and welfare of seafarers.”

Aimed at both seafarers and office

personnel, this training module will offer a

lifestyle assessment, guidance on possible

health risks and propose measures to improve

lifestyles. It will also include a physical

fitness assessment, offer suggestions on how

physical fitness might be improved and

contribute towards the creation of an exercise

plan, if deemed necessary.

One further crucial element of MLC 2006 is

its recognition of the fact that, no matter how

exhaustive the inspection regime pursued in port,

and no matter how rigorously a seafarer’s health

and well-being is certificated on embarkation, life

at sea throws up its own challenges beyond the

reach of the authorities. For this reason, one of its

central themes is the elaboration of formal on

board complaint procedures that can be

Seagull managing director Roger Ringstad.

documented for later inspection.

Here, Seagull reckons to be ahead of the

curve. Existing CBT modules from the

company, covering management skills and

risk management, will help shipowners meet

convention compliance. “A particular area that

is felt suited for this element of the package is

the training procedures we have developed

regarding conflict management and

communications when dealing with the

complaint procedures required by the

convention,” said Harrison.

The Nautical Institute (NI) has been explicit

in its support of this element of the Seagull

training offering. “The content of the package

covers the underpinning knowledge within the

Institute’s Management and Leadership

standard,” according to the NI.

“This module is designed to develop

leadership and communications skills,” said

Ringstad, “in line with the overall ethos of the

MLC Convention 2006. As well as providing

instruction on the best ways to elicit feedback,

such as devising question techniques and

promoting active listening, specific techniques

have been devised to enhance conflict

management, stress management, culture

management, team management and meeting

management.”

Again, Seagull has already developed a

food-handling CBT – including instruction in

hygiene and nutrition. As well as laying out

regulations and guidelines, the module offers

guidance on safe practices when using

electrical tools and utensils, on storage safety,

on pollution prevention and includes an

assessment element at its conclusion.

Harrison concluded: “As with the on board

fitness planning module, this element is intended

to contribute towards meeting the health and

welfare of seafarers’ requirements as well as the

TO

catering and food sections of the convention.”

June 2010 TANKEROperator 19


INDUSTRY - HUMAN FACTOR

Co-operation is the

way forward

Talking at ITERTAKO’s 40th anniversary seminar, ITF general secretary

David Cockroft addressed the human factor in shipping.

“It is unfortunate that you should

be celebrating the 40th

anniversary of INTERTANKO

at the same time as what is

quite probably the worst oil related disaster in

history, which is currently taking place off the

US coast. Once again, it is not the 11 rig

workers who tragically lost their lives who get

the most attention. It’s the oysters, the crabs,

the seabirds and the sea turtles.

“We do not yet know the reason for the

accident and I am sure that lawyers will be

fighting over it for many years, but someone

somewhere made a serious mistake,” he said.

This demonstrates what the ITF has long

been saying, which is that the human factor is

crucial to a well run, safe oil industry – both

in production and in shipping.

Although shipping is not directly involved,

the knock-on effect will be felt in the shipping

industry through tighter regulations and higher

cleanup costs. “This demonstrates the crucial

importance in this industry of concentrating on

human factors. Having effective unions at the

workplace and making sure that workers,

including crew members, are not too frightened

to complain if they see unsafe practices actually

contributes to high safety standards.

There are many INTERTANKO members

who respect, recognise and negotiate with ITF

ITF general secretary David Cockroft

20

affiliates. Compared to the costs of a major

disaster, giving workers decent pay and decent

conditions is not so very expensive, Cockcroft

thought.

“This is the Year of the Seafarer, when the

IMO, under Thimio Mitropoulos, is focusing

on the human factor in shipping. The human

element is not just about how seafarers are

treated when they join the industry, but

whether they want to go to sea in the first

place. Despite the global financial crisis,

recruiting and retaining qualified seafarers has

become a major problem,” he explained.

Every aspect

He thought that the term ‘human element’

should cover all aspects of a seafarer’s

employment, work and life on board a vessel

and their home life. It is also about security -

that is having a long term future and a

satisfying career.

“Going to sea is no longer glamorous, it is

risky. As we have seen recently in a number of

tanker incidents, it can sometimes mean

ending up in jail just for doing your job. The

criminalisation of seafarers, against which we

have been working, together with

INTERTANKO and other key industry bodies,

is becoming a global scandal.

“An attack on any seafarer is an attack on the

entire industry. This means that whenever

seafarers are criminalised in the event of a

maritime accident, we need to act as a united

industry – employers and unions together. We

raised the level of expectation with the Hebei

Spirit, when we were close to organising the

first joint shipowner/union mass demonstration

outside the South Korean embassy in London

when the two officers were finally let go.

“But seafarers are running into the criminal

law in other areas. When drugs are found on a

vessel it now seems to be always assumed that

the master and other crew members are

involved. Even when the drugs are in a

canister attached to the hull, or when they

have been concealed in the cargo.

“But now in addition to the risks of

prosecution by authorities who seem to

understand very little of the conditions under

which seafarers work, we have to add the

escalation of piracy and armed robbery.

“The situation off the coast of Somalia, in

the Gulf of Aden and the wider Indian Ocean

is now totally unacceptable. This has been

made far worse by the ludicrous US Executive

Order imposing massive sanctions on

shipowners for simply trying to negotiate the

release of their crew.

“Shipowners and insurers don’t know whether

they can pay a ransom without putting their US

assets at risk of seizure until they have consulted

the US Office of Foreign Assets Control and

received the right answer. Where does that leave

the captured seafarers?” he asked.

Focus group

Cockroft continued: “I am pleased to look back

on the ground breaking event we organised

with INTERTANKO last year, the young

seafarers’ focus group, which was a great

success. As you know we took them to meet

Efthimios Mitropoulos at the IMO and they

told him what they thought. We now have to

deliver solutions to the concerns they raised.

“So although we will have disagreements with

INTERTANKO and its members from time to

time, tanker owners have begun to realise that

the ITF and its unions don’t have horns and a

tail, and that we are doing our best to convince

our members that you are also concerned to raise

standards and make the industry safer and better

for the people who work in it.

“On many issues, seafarers and decent

shipowners share the same concerns and our

opinions carry more weight with regulators

and decision makers when we sing from the

same hymn sheet.

“Shipping is not as influential today as it once

was, so it is vital that we work together to keep

the maritime sector at the top of politicians’

agendas. The climate change debate is growing

in importance and shipping has to play its part,

but we hope and trust that the politicians who

devise emissions trading schemes will also

listen to the voice of the industry and ensure

that the IMO plays a major role in administering

whatever emerges from the current chaotic

UN negotiations”, he said.

TO

TANKEROperator June 2010


INDUSTRY - HUMAN FACTOR

Training in the ship-toshore

interface vital

Adapting to the pressures of the current global economy, while ensuring a safer,

more secure and increasingly professional maritime industry represents

a significant challenge*.

In tough times, investment in human

capital is crucial, as is the need for

retuning and re-aligning skills as

operations become increasingly

pronounced. The ‘human factor’ may be our

greatest vulnerability, but at the same time, it

offers a wealth of opportunity.

Take, for example, the ship-to-shore

interface. An export LNG terminal that

costs $3 bill to build, with a ship alongside

valued at $250 mill, discharging a cargo of

LNG valued at say $20 mill, represents a

significant asset and - by the same token -

significant safety, security, environmental and

financial risk.

These potential risks are amplified at this

point in the supply chain because people with

different skill sets are required to collaborate

for a common goal, but are often restricted by

their understanding of factors outside of their

own role.

Those on board the ship have first hand

practical knowledge and expertise but usually

very little commercial experience. Equally,

office personnel directing cargoes from A to

B, chartering ships, opening letters of credit

and bills of lading, handling insurance claims

and the like can lack the practical

understanding of their seafaring colleagues.

Working in these operational silos

compromises the smooth operation of the

overall process; it exposes weaknesses that at

best diminish efficiency and at worst threaten

security. Both of which have serious

implications for the bottom line.

Time critical

Understanding the value of time is key for

anyone aligned with jetty operations. Delays

and interruptions of loading or discharge not

only bare a price tag, but also have knock-on

effects. The vessel may not see the importance

of issuing a ‘note of protest’ about a shoreside

delay. The ships operator in an office may not

understand the root cause of a breakdown that

has rendered the ‘notice of readiness’ invalid.

Knowledge of both the commercial and

operational implications of various scenarios

enables more effective management of the

consequences.

The LNG market exemplifies the criticality

of effectively protecting a vessel when it

arrives at a terminal and unloads its cargo.

With new production plants coming online,

terminals being built and vessels coming into

service, the LNG sector has continued to grow

- belying market trends in other commodities.

And, as a relatively new sector that is growing

swiftly, as it grows, so too does the

requirement for professionally trained,

qualified personnel.

Inherent safety

The safety and security of LNG is aligned

with the design and policing of regulations

and codes such as the International Gas

Carrier (IGC) Code and classification society

rules to ensure the inherent safety of gas

carriers and their operation. But it is the skill

and knowledge of those at the coalface that is

depended upon to implement and facilitate.

The intricacies of the gas, oil and chemical

markets are complicated and often

inaccessible – LNG especially - yet it is

important that shoreside personnel and staff in

shipmanagement offices, as well as seafarers,

are properly trained - they too have a key role

to play in upholding procedures and

maintaining standards. Increasing both

practical and commercial understanding will

support the promotion of best practice,

improve safety and security, as well as

generating efficiencies.

To address this need, GAC Training &

Service Solutions (GTSS) - a newly formed

partnership between GAC and the National

Maritime College of Ireland (NMCI) – has

created courses for the chemical, oil, gas and

drybulk markets. The training has been

specifically designed to empower and equip

employees with the knowledge and confidence

to provide safe and secure terminal and jetty

operations, reducing the physical,

environmental and financial risk synonymous

with modern shipping and onshore services.

The overall objective is to enable people to

better understand the drivers within the

industry, blending practical and commercial

skills, and ultimately improve their ability to

perform their role in the value chain – both

onshore and shipside.

Confucius said: “Learn without thinking

begets ignorance. Think without learning is

dangerous.”

We rely upon our employees to do the best

job that they can for the company; to make the

right decisions and to take appropriate action

on our behalf. With this expectation comes a

responsibility to empower them to do so.

Specialist training for all those involved in the

business is fundamental to promoting best

practice and efficiency while minimising

threats to safety, security and revenue.

In navigating shipping’s new world order,

training must be heralded as one investment

with the ability to effectively bridge the gap

between ship and shore.

New initiative

GTSS is a new initiative set up to provide

innovative and cost saving training solutions

for the LNG and tanker markets, as well as

other commodity and maritime sectors.

A joint venture between GAC and the

National Maritime College of Ireland (NMCI),

the partnership will provide a portfolio of

training courses for both seafarers and shorebased

shipping personnel.

Courses will be available at the state-of-theart

$100 mill training facility at NMCI in

Cork, Ireland, the client’s location and through

the latest e-learning provision, or any

combination thereof.

*This article was written by Christer

Sjodoff, director, GAC Training &

Service Solutions.

TO

June 2010 TANKEROperator 21


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INDUSTRY - GREECE

Greeks return to

the market place to

reinvest in tonnage

At the time of writing in the middle of May, nobody knows what affect, if any,

the current Greek financial crisis would have on that country’s shipping industry,

which is the second most important to the country’s economy after tourism.

Will taxes be raised on the rich

and famous, such as has been

seen in the UK? Will the

financial world boycott the

Greek shipping community, or will they

become immune from the plight of the Euro?

Traditionally, the Greeks have not

particularly cared where they are domiciled

for business purposes – New York, London, or

elsewhere. However, the majority have

remained in Greece, but not necessarily in the

Athens/Piraeus area.

Last year, investment activity stalled

somewhat, but during the first half of this

year, new vessel ordering had picked up

slightly, spurred on by cheaper newbuilding

prices and the ability to pick up already

ordered tonnage at a discount, either buying

up postponed, or cancelled contracts, or by

taking advantage of newbuilding resales.

The Greeks have never been backward in

coming forward when an opportunity beckons.

By taking advantage of the current situation,

prudent Greek owners can renew and upgrade

their fleets at a reasonable price.

Indeed, several of the leading owners have

reinvested in both wet and drybulk vessels, but

have steered clear of containerships, except for

the odd purchase with a charter attached.

Fewer, but younger ships as a result of a

constant renewal process, is now the basic

characteristic of the Hellenic-owned fleet,

according to the Union of Greek Shipowners

(UGS), which held its annual meeting recently.

Speaking on behalf of the UGS, Theodore

Veniamis pointed out that the country’s

maritime industry is well used to rough seas

and can handle crises with experience and

wisdom, which meant that 2009 ended on a

positive note.

“Hellenic shipping proved very resilient,

thanks in part to the in-time and deep renewal

of the fleet, as a result of the euphoria of the

freight market in the previous years, as well as

the increased flow of bank financing. Still, the

shipping market’s volatility doesn’t justify

long term growth strategies” warned

Veniamis, adding that a forecast oversupply of

tonnage capacity is a main reason for concern.

He went on to provide details on the

country’s fleet, which was reduced by 165

units last year (figures as of February of 2010,

provided by IHS Fairplay), with a total

capacity of 5.43 mill dwt.

This meant that the total fleet (vessels over

1,000 gt) stood at 3,996 with a capacity of

258,121,989 dwt or 152,616,046 gt, including

826 newbuildings of 40,975,985 gt. The

country’s market share was 8% of the world

fleet in terms of numbers and 14.9% in terms

of deadweight tonnage, versus 8.2% and

15.2% respectively last year.

But, it must be taken into account that the

world fleet was also reduced by 802 units,

standing at a total of 49,705 ships (down from

50,507 last year), the UGS pointed out.

Lower age profile

Moreover, the average age of Greekcontrolled

vessels of 11.9 years in 2009 was

one year below the average age of the world

fleet which was 12.9 years. The age decrease

of the Greek owned fleet (from 20.3 years in

2000) reflects an unprecedented investment in

new vessels over the past few years.

As was widely expected, the UGS

commented on the abolition of the Ministry of

Mercantile Marine and Shipping by the new

government. This was decided in early

October and until recently, the UGS had

avoided making any official comment, leaving

June 2010 TANKEROperator 23


INDUSTRY – GREECE

that role to the Greek Shipping Co-operation

Committee, which hads expressed its strict

opposition to this development.

UGS’ stance wasn’t any different. In

Veniamis’ words: “2009 reserved for us a very

unpleasant surprise, with the abolition of the

Ministry of Mercantile without any previous

notice.

“The Ministry was an important

contribution to the industry, having created

strong sentimental bonds with the people of

the broad maritime and shipping community,

while also becoming a symbol of national

power in terms of sea works. So, besides the

practical importance of its autonomous

presence, there is also the psychological one.

And we all know to what extent, this factor

affects the bonds between shipping and

country” said Veniamis.

Referring to the efforts undertaken to attract

more youth to a career at sea, Veniamis said

that they were very successful. In fact, out of

the 1,336 positions to be filled for 13

maritime academies, there were a total of

2,656 applications in 2009, against 1,700

during the previous years. Veniamis warned

that there was also an urgent need to create

private maritime institutes, which would

absorb those who don’t make it to the state

academies.

In order to appreciate the shipping

industry’s contribution to the local economy

during the past 10 years, some important

figures were released, based on a recent study

by Alpha Bank.

According to the figures, Greece is now

ranked second in the EU-27 based on its net

shipping earnings per inhabitant with €916,

ahead of Norway and below Denmark.

Shipping’s contribution to the current account

balance was also increased from 3.1% of the

country’s GDP in 2000 to 4.06% by the end of

the decade.

Similarly, by the end of 2009, a total of

1,300 shipping companies were operating in

the country’s, while from 2006 onwards

there’s been an increase of ships flying the

Greek flag.

Finally, the economy can earn even more

from shipping activities, if a system attracting

service providers was implemented through

appropriate initiatives, such as the

modernisation of the shiprepair, ship

maintenance and shipbuilding industries, the

improvement of the public administration’s

modus operandi, as well as a comprehensive

effort to render the country’s economy

attractive for investments.

Greek shipping has by tradition

concentrated on the more orthodox tanker and

drybulk sectors and this is likely to continue.

We have seen Greek interests re-enter the

newbuilding market, albeit at a slow pace.

According to figures produced by IHS

Fairplay, 198 tankers were on order of 18.5

mill dwt controlled by Greek interests at the

end of April. Taking the total number of

vessels on order of all types, Greece was in

the lead at 593 in number terms and third

behind China and Japan in dwt terms totalling

49.2 mill.

By flag, Greece had 92 tankers on order of

11.8 mill dwt and lay in seventh place in dwt

terms of vessels of all types (23.6 mill dwt).

Suezmaxes favoured

The Suezmax has become the flavour of the

year with Greek owners. TAKEROperator

has attempted to identify the Greek controlled

shipping companies with large tankers either

building, or ordered. The information was

disseminated from various sources.

For example, George Economou’s

management vehicle Cardiff Marine has one

VLCC, six Aframaxes and four Suezmaxes on

order. However, brokers have said that Cardiff

is in negotiation for a further two VLCCs and

three Suezmaxes with Chinese builder

Rongsheng.

Also believed to be negotiating Suezmaxes

at Rongsheng was Thenamaris. It was thought

at least two could be ordered, plus options.

The pick of the bunch has to be Almi

Marine Management, which was believed to

have up to a dozen Suezmaxes on order. In

addition, Centrofin was also thought to have

three Suezmaxes on order and Target Marine

up to seven. George Procopiou’s Dynacom

A preference for tankers

According to the Hellenic

Chamber of Shipping, domestic

owners were particularly

prevalent in the tanker and bulk

carrier sectors, which carried

the majority of the world’s

trade.

The percentage of each type of Greek

controlled vessel, in relation to the world

fleet of the corresponding type for the years

2008 and 2009 was as follows:

Oil tankers

Percentage of number of ships 2008 = 22.9

Percentage of number of ships 2009 = 22.3

Percentage of total dwt 2008 = 20.9

Percentage of total dwt 2009 = 20.4

Chemical & products tankers

Percentage of number of ships 2008 = 9.8

Tankers Management reportedly has six

VLCCs and eight Suezmaxes on order.

Gregory Callimonopoulis’ Marine

Management Services was said to have three

Suezmaxes and two Aframaxes on order.

Meanwhile, Tsakos has one DNA type

Aframax and two Suezmaxes on order, while

Delta Tankers has two Suezmaxes and three

VLCCs to come.

Liquimar Tanker Management has one

Suezmax and three VLCCs on order, while

Athenian Sea Carriers has at least one VLCC

still to come from its original ordering spree.

Sun Enterprises (Livanos) was believed to still

have one Suezmax on order and Kyla

Shipping was believed to have two.

Omniblue Shipping was thought to have

another four Suezmaxes on the orderbooks

and Chandris (Hellas) was said to have two

VLCCs still to join the fleet, while Meandros

was thought to have another Suezmax on

order. Last but not least, Fairsky Shipping &

Trading had reportedly ordered two VLCCs.

Several Greek-controlled interests were also

very active in ordering LR1s, MRs and

Handysize chemical/product tankers, plus

smaller units.

It has also been noticeable that the Greeks,

among others, have re-entered the financial

markets (see TAKEROperator, May, page 10).

Two examples are Evangelos Marinakis’

Crude Carriers and Angeliki Frangou’s Navios

Maritime Acquisition Corp, who have entered

the market by way of IPOs to purchase

tonnage. The former has bought two VLCCs

and one Suezmax, while Navios intends to

buy up to 13 products tankers with the

proceeds.

TO

Percentage of number of ships 2009 = 9.4

Percentage of total dwt 2008 = 14.0

Percentage of total dwt 2009 = 13.3

Liquid gas carriers (LGCs)

Percentage of number of ships 2008 = 8.9

Percentage of number of ships 2009 = 9.8

Percentage of total dwt 2008 = 6.6

Percentage of total dwt 2009 = 6.9

Combination carriers

Percentage of number of ships 2008 = 7.4

Percentage of number of ships 2009 = 5.6

Percentage of total dwt 2008 = 6.0

Percentage of total dwt 2009 = 4.6

As of 31st December, 2009 – 2,112 vessels

of 41.4 mill gt were under Greek flag of over

1,000 gt, while 3,996 vessels of 258.1 mill

dwt, or 152.6 mill gt of over 1,000 gt were

controlled by Greek companies.

24

TANKEROperator June 2010


Time is not still

So why waste yours

on static bilge water treatment?

The hours you spend maintaining your bilge water treatment system – or waiting

for the right conditions to operate it – are lost hours. That’s why static systems

with batch operation and frequent filter changes are a poor match for the

changing conditions at sea.

In a pitching and rolling environment, only a dynamic system like

Alfa Laval’s PureBilge offers continuous bilge water treatment. PureBilge uses

centrifugal separation – the same technology trusted to

protect your engine – to handle varying bilge water feed and

the toughest emulsions.

The result is less time in the engine room. Not to

mention less filter waste and reject.

PureBilge – a dynamic force

in bilge water treatment

www.alfalaval.com


oil water

separator

sewage

treatment

plant

fresh water

production

unit

People … Expertise … Resources … Technology

It’s the new range of water and waste water treatment systems on board.

Stand 225

Environmental Protection Engineering S.A.

24, Dervenakion str., 185 45 Piraeus-Greece

T: +30 210 4060000 • F: +30 210 4617423

www.epe.gr • epe@epe.gr


INDUSTRY - GREECE PROFILE - EPE

ew IMO sewage

treatment plant rules

create a rethink

As well as the ships themselves, Greece is also home to

an equipment supply manufacturing industry. TAKEROperator

has profiled one such concern involved with sewage treatment plants.

Protection of the marine

environment constitutes

responsibility and obligation both

from shipowners and the relevant

governmental administrations.

For this reason the IMO controls and

amends the MARPOL 73/78 according to

forthcoming challenges. Under this policy

framework, from 1st of January 2010, the

IMO’s regulation MEPC159(55) took effect,

replacing the MEPC2(VI), which addressed

vessel sewage treatment plants and their

effluent limits.

The new limits are stricter than the previous

set of rules. One more parameter was also

examined, that of the chemical oxygen

demand (COD).

The strict reduction in the effluent limits for

the treated sewage on boards vessels

pinpoints, IMO’s intention for more severe

control and demand for greater academic

selection, both from the engineers and the

Parameter IMO MARPOL IMO MARPOL

MEPC2 (VI) MEPC 159(55)

BOD5 (biochemical oxygen demand) mg/l 50 25

TSS (total suspended solids) mg/l 50 35

COD (chemical oxygen demand) mg/l - 125

Fecal thermotolerant coliforms cfu/100ml 250 100

Residual chlorine mg/l - -

pH - 6-8.5

Comparative table of limits within MEPC159(55) and MEPC2 (VI).

shipowners, of installed sewage treatment

plants.

Furthermore, the new limits constitute a

further challenge for the companies involved

in the design and manufacture of vessels’

sewage treatment plants.

Environmental Protection Engineering

(EPE) based in Perama’s Schisto Industrial

Park, having had experience in the design and

manufacture of vessels’ sewage treatment

plants proceeded to design and certificate it’s

new treatment plant –TRITON EVO -

Black Grey

COD mg/l 3750 1229

BOD mg/l 2500 820

TSS mg/l 1600 500

NKj-N mg/l 443 21

Total P mg/l 18 5

pH 7 7

A typical flow diagram of the system.

TRITON EVO design data.

June 2010 TANKEROperator 27


INDUSTRY - GREECE PROFILE – EPE

Parameter IMO IMO USCG ALASKA TRITO

MARPOL MARPOL 33CFR 33CFR EVO

MEPC2 MEPC 159 159.309 159.309

(VI) (55)

BOD5 (biochemical 50 25 - 30


INDUSTRY - GREECE PROFILE – EPE

Parameter IMO IMO USCG ALASKA TRITO

MARPOL MARPOL 33CFR 33CFR EVO

MEPC2 MEPC 159 159.309 159.309

(VI) (55)

BOD5 (biochemical 50 25 - 30


INDUSTRY - GREECE - POSIDONIA PREVIEW

Posidonia – where

East meets West

A recent spate of new Greek-controlled shipbuilding orders worth an estimated €750 mill

has coincided with the findings of an international report, which indicated that

market confidence in the global freight market is at a 15-month high.

This double boost signals a cause

for optimism for the beleaguered

Greek economy as the country

gets ready to welcome a windfall

of nearly €50 mill linked to the projected

revenue to be generated by the 10,000

international visitors who will attend this

year’s Posidonia shipping exhibition, the

organiser Posidonia Exhibitions said.

The company also claimed that this year’s

show will break all previous records with a

sold out floor space of more than 30,000 sq m.

To be held from June 7 – 11 at the Hellenikon

Exhibition Centre (HEC), Posidonia 2010 will

attract nearly 1,800 exhibitors from 86

countries and will be visited by around 20,000

Greek and foreign industry professionals and

government officials.

This number is likely to grow as the world

emerges from recession with many of them

expected to focus on the three key growth

areas of shipbuilding, ships’ equipment

and the maritime service industries, the

organiser claimed.

“We have seen an increase of 12% in

reserved exhibitor space compared with the

2008 edition. Everything points to the biggest

ever Posidonia in the event’s four-decade long

history,” said Theodore Vokos, project

manager, Posidonia Exhibitions.

Large Asian presence

Asia is both a traditional and an emerging

maritime market and looks set to firm its grip

on world shipping through an all-time record

participation at this year’s Posidonia, the

organiser said.

“The recent spate of newbuilding orders

from Greek shipowners is a tangible sign of

recovery and has reignited the interest of

Asia’s traditional shipbuilding superpowers

South Korea, Japan and China, who will field

their biggest ever participation at Posidonia

this year,” said Vokos.

“India’s ascendance as a world shipbuilding

force is another contributing factor to Asia’s

undisputed leadership in the shipbuilding

industry. The country’s first ever national

pavilion at Posidonia serves as a reminder of

India’s great ambitions and aspirations to be

perceived as a key shipbuilding nation and

services provider to the international maritime

scene,” he said.

As mentioned, India will make its Posidonia

debut with a 300 sq m pavilion under the

auspices of the Shipyards Association of

India.

The committed Far East presence at

Posidonia 2010 is already 45% larger

compared with the 2008 exhibition bringing

the total floor space of Asian participation up

to 3,166 sq m, an increase of 1,000 sq m from

two years ago.

South Korea has confirmed its biggest ever

Posidonia exhibitor participation, with

KOSHIPA and KOMEA creating an

impressive Korean pavilion. Equally

important is the increased stand-alone

presence of their major shipyards, which will

China has

booked a

second pavilion

at this year’s

Posidonia.

30

TANKEROperator June 2010


INDUSTRY - GREECE - POSIDONIA PREVIEW

include STX Business Group, Sungdong

Shipbuilding & Marine Engineering and SPP

Shipbuilding.

Japan will emulate its largest ever

participation (at the last Exhibition in 2008)

based on the muscle of Japan Ship Exporters’

Association (JSEA) and Japan Marine

Equipment Association (JSMEA).

China’s increased presence

An addition to this year’s Posidonia is the

presence of a second Chinese pavilion, further

enlarging the already strong Chinese display

at the exhibition.

In addition to the long standing pavilions of

the Chinese Shipbuilding Industry Corporation

(CSIC) and Cosco Shipyard group, many

more Chinese shipyards are also making their

debut with independent stands, including

among others - Yiu Lian Dockyards (Shekou)

and Zhejiang Province Daishan County

Haizhou Ship Building and Repairing.

All aspects of Far East maritime interests

will be present spanning machinery,

equipment, paints/coatings and registers.

Large-scale stands will be occupied by the

Korean Register, Class NK, the Indian

Register and China Classification Society, as


“Posidonia is a priority platform for us

to promote our brand services as well as

attracting important customers.”


Yongli Guo, general manager, Qinhuangdao Haihang

Marine Equipment & Machinery Import & Export

well as shipping companies, such as Daeyang

Shipping of South Korea, Senda Shipping and

Golden Harvest Shipping of China.

China’s Qinhuangdao Haihang Marine

Equipment & Machinery Import & Export, a

manufacturer of main and auxiliary engine

parts, sees Posidonia 2010 as an opportunity

to woo the international shipping community

and network with existing customers.

According to Yongli Guo, general manager,

“Posidonia is a priority platform for us to

promote our brand services as well as

attracting important customers.”

On the second day of the Hellenic-Chinese

Business Forum 2010, the relationships

between the two countries regarding

shipbuilding, trading and shipmanagement,

plus the cross trades and the transport of raw

materials to and from China, will be discussed

at Posidonia.

The core of the proceedings will centre

around the use of Greek ports as transit

centres.

South Korean waterjet company BC

Taechang Industrial Corp will be showcasing

its flagship COMBO UHP water jetting pump

product. “We expect to promote our COMBO

UHP water jetting machine and accessories to

Greek shipowners and shipmanagement

companies,” said sales manager Kevin Kim.

Rivertrace Engineering Ltd

Rivertrace Engineering is a market leader with over 30 years exprerience

of Oil in Water Monitoring. RTE manufacture oil content monitors for

the marine, offshore and industrial markets with up to date engineering

solutions encompassing PFM technology. Our client list includes most of the

worldsʼ separator OEMs, shipyards and vessel operators. We have IMO

type approvals for both Bilge and Ballast monitors.

Our global network of agents ensures local service at most parts.

Smart Cell

15ppm Bilge Alarm

MEPC 107(49)

Smart ODME

Oil Discharge

Monitoring Equipment

MEPC 108(49)

INCREASED ASSURANCE

DISCHARGE MONITORING SYSTEM

Demonstrate Marpol Compliance

Cost Effective prevention of illegal discharge

Capable of recording miscellaneous shipʼs data

Compatible with all IMO resolutions

Communications Package

June 2010 TANKEROperator 31


INDUSTRY - GREECE - POSIDONIA PREVIEW

In addition to the Asian pavilions, larger

national pavilions have been booked by

traditional European maritime nations

Holland, UK, France as has larger confirmed

participation of Denmark and Romania, the

return of Norway with a national pavilion and

the comeback of Sweden for its second

consecutive Posidonia participation.

Another highlight of Posidonia 2010 will be

the significant presence of the petroleum

products industry representing oil, bunkering

and lubricants’ companies including first timer

Avin Oil, Castrol Marine - returning after

several years’ absence - plus repeat exhibitors

Petrobras, Chevron Global Marine Products,

Aegean Oil with partner Gulf Oil Marine, and

also Elinoil and ETEKA.

Chevron Global Marine Products’ general

manager Phil Bourgeois said: "As one of the

world's leading marine fuel and lubricant

suppliers, we're delighted to be exhibiting at

Posidonia this year again, as it is a key event

for us. It gives us a chance to meet with both

the Greek as well as the wider shipping

community.”

The breadth and depth of industry’s interest

in world shipping at Posidonia will be further

highlighted this year by Castrol Marine’s

sponsorship of the Ship Soccer Tournament,

which is one of the three major parallel

sporting events organised during the Posidonia

week, together with the well established

Lloyd’s Register sponsored Posidonia Sailing

Cup and the fledgling Golf Tournament.

Castrol is also one of the sponsors of the

FIFA World Cup taking place in South Africa

just after Posidonia.

Shipyards

Business for niche shipyards catering to

the offshore oil & gas industry remains

brisk despite the global downturn thanks to

strong hydrocarbon demand and sustained

high prices of the black stuff according

to Nana Michael, managing director,

Posidonia Events

Posidonia would not be the

same without the social and

business networking

opportunities, provided by

various sponsors.

This year’s main social elements

surround the sailing, golf and soccer

competitions. These kick off with the

sailing regatta – Posidonia Cup – on

Friday 4th June. A day’s rest and then

there is a choice between the golf and

soccer tournaments.

The sailing regatta will be the fifth in

the series and will also help celebrate

Posidonia Exhibitions.

A number of these niche operators from the

Middle East and other regions will be among

the participants.

“As fossil fuel continues to be the dominant

driver of energy generation, specialist

shipping sectors involved in the exploration,

production and transportation of oil and gas

are well positioned to emerge from the

recession unscathed and kick start a raft of

growth opportunities for the entire shipping

industry,” said Michael.

“Posidonia 2010 will host a number of these

players who are usually based in the

hydrocarbon-rich regions of the Middle East

and the Gulf of Mexico,” she said.

For example, Saudi Arabia’s Zamil Offshore

Services is one of the specialists offshore and

marine services providers who will be

exhibiting in an effort to identify appropriate

growth opportunities.

“Being the largest offshore services

provider in the Middle East, with over three

decades of experience, we are confident that

we are prepared to diversify internationally

with other partners.

the 250th anniversary of sponsor

Lloyd’s Register.

As for the soccer tournament, this will

be the second such event and will be a

prelude to the FIFA World Cup taking

place in South Africa. Leading luboil

supplier Castrol Marine is one of the

main sponsors of both competitions.

Earlier this year, 18 teams had already

registered for the tournament, coming

from a wide variety of maritime interests.

The golf tournament is a first and will

be held at the Glyfada Golf Course,

located near the exhibition site.

“It is time for expansion globally. We are

considering partnerships, alliances and joint

ventures with companies in Europe, the

Middle East, South East Asia and the Far East.

We expect that our presence at Posidonia will

give us a good opportunity to meet with many

international exhibitors and visitors and

hopefully identify appropriate partners,” said

Zamil’s Dr Hassan Abouraya.

Other Middle Eastern companies who have

already confirmed their participation at this

year’s Posidonia include the UAE’s Drydocks

World - Dubai, Topaz Marine Repair, Emirates

Environmental Protection, the Department of

Seaports & Customs Sharjah, Hamriyah Free

Zone Authority and Oman’s Dry Dock

Company.

Exhibition preview

As usual with exhibitions of this magnitude,

TAKEROperator has profiled just a few of

the exhibitors in strict alphabetical order.

ABB Turbo Systems intends to promote its

new Cyprus outlet at Posidonia, through its

Greek service support concern – ABB Marine

& Turbocharging division.

• Custom built and series product

• Technically reliable

• Well proven designs

• Continuous technical development

• Dependable partner

• Customer oriented approach

DAMEN DOUBLE HULL OIL TANKER MTS ‘SHANNON FISHER’

STANDARD OF EXCELLENCE

DAMEN SHIPYARDS BERGUM

Member of the DAMEN SHIPYARDS GROUP


CUSTOM BUILT IN SERIES PRODUCTION

P.O. Box 7 phone +31 (0)511 46 72 22 info@damen-bergum.nl

9250 AA Bergu m

fax +31 (0)511 46 42 59 www.damen-bergum.nl

The Netherlands

32

TANKEROperator June 2010


INDUSTRY - GREECE - POSIDONIA PREVIEW

Making its debut this year is French IT

software provider AVEVA.

This company will be demonstrating its new

release – AVEVA Marine 12 solution.

One company that is making inroads into

the Greek market is satcoms concern

CapRock.

The company’s latest contract is a 60-month

fleet deal with Diamlemos Shipping Corp.

This calls for the installation of nine C-band

installations in co-operation with its Greek

partner Setel.

This is the fifth contract signed by CapRock

and Setel in the Greek market in six months.

They are all based on the SeaAccess

Communications service, CapRock’s alwayson

VSAT solution designed specifically for

the maritime market.

CapRock will be installing its SeaAccess

service on board nine Diamlemos vessels. The

company operates bulk carriers and oil tankers

that require global coverage for their

worldwide trade routes and ongoing access to

the corporate network.

Since launching SeaAccess

Communications in 2007, CapRock has won

several maritime contracts with large fleet

owners around the world. Within the last year,

the company has placed specific attention on

the Greek market as it holds significant

opportunities and has one of the largest

shipping fleets in the world.

CapRock’s success to-date is supported by

its partnership with the Setel group. As an

independent technology company, Setel has

experience in the industry and understands the

day-to-day operational challenges of vessel

owners and operators, the company said.

“Setel’s services go hand-in-hand with

CapRock’s and reinforce the total service

offerings of both companies,” said SeaAccess

business development executive Claus Høyer.

“Setel’s Intelligent Vessel features an

integrated bundle of equipment, software and

quality services that enable shipping

companies to respond to the unique challenges

of the demanding maritime industry.

“In turn, the SeaAccess service provides

the necessary connectivity for Setel’s

services through a turnkey VSAT solution

including equipment, global service and 24/7

help desk and support. The result is a

complete ICT solution package for maritime

operations,” he added.

In addition to Diamlemos, CapRock and

Setel have secured SeaAccess contracts with

other leading shipping companies including

Remi Maritime. “Gaining trust from such

dominant Greek shipping companies is

testament to the reliability and benefits

delivered with our SeaAccess service,’

continued Høyer. “We look forward to

developing new relationships in the Greek

market.”

Romania’s Constanta Shipyard will be

show casing its current flagship project – a

41,000 dwt oil/chemical tanker, plus three new

designs of tankers and drybulk carriers,

ranging from 50,000 dwt to 115,000 dwt.

The company will also be talking about its

shiprepair and conversion capabilities.

Leading financial concern Deloitte’s Athens

office will be promoting the company’s

assurance & advisory, consulting, tax,

financial advisory and corporate services.

Thermal imaging cameras are becoming

more popular due to the upsurge in piracy.

Shipboard security can be enhanced by

FLIR Commercial Systems’ crisp images

produced from zero lighting.

FLIR will be exhibiting for the second time

An ISO 9001 : 2000 Certified Company

June 2010 TANKEROperator 33


INDUSTRY - GREECE - POSIDONIA PREVIEW

Educational project launched

The Union of Greek

Shipowners (UGS) has asked

exhibitors to donate any

equipment, machinery and

software to Greek maritime

educational institutions that

might be on show.

This initiative is designed to improve

training standards for the next generation

of seafarers.

“The lack of skilled seamanship is one

of the biggest problems the shipping

industry faces today and we believe that it

is our obligation to support maritime

education institutions.

as interest has increased as the concept of

thermal imagery gets better known in the

shipping industry.

Preparing for its sixth visit is the Gibraltar

Port Authority.

This concern will market its bunkering,

shiprepair and general port services, which

have expanded rapidly during the past 10

years or so.

HATLAPA, with more than 90 years’

experience in supplying deck machinery,

towing winches, research winches,

compressors and steering gears has announced

a major new boost to its service repair station

in the eastern Mediterranean.

The German company has had a sales office

in Cyprus since 2005, but its newly

announced co-operation agreement with the

Mediterranean Ship Repair Yard (MSRY) in

Limassol will allow it to further develop the

company’s service potential to shipowners and

managers operating in the area.

This agreement allows a whole range of

repair services to be offered, including

mechanical and structural work, as well as

electrical and piping. In a far reaching

development, even items such life jackets and

fire extinguishers can be incorporated into a

work package.

The aim is that owners operating in the

Eastern Mediterranean will have the

opportunity to package together a range of

services, in addition to the more core work on

HATLAPA equipment and importantly to coordinate

it in one place, both physically and

contracturally.

MSRY employees have received specific

training in HATLAPA products. However,

their skills also extend to a wide variety of

equipment from many other suppliers.

“As today’s ships become more

sophisticated, demand for skilled

personnel increases and it is up to our

industry to keep up with the technological

progress,” explained Theodore

Theniamis, UGS’ president.

The UGS said that it would guarantee

that all donations would be put to good

use and that each contributing exhibitor

would receive credits in a number of

ways.

Pilgrim International was the first

company to sign up by donating its

hydraulic fastener- radial fit bolt

assembly – to the cause.


The Eastern Mediterranean market is

extremely important for HATLAPA,

accounting for around 10% of its sales. It is

hoped that this joint-venture will further

develop its position in the region.

Today, HATLAPA offers worldwide

customer service, technical advice and support

with 42 agencies in 35 countries, taking care

of all the equipment, deck machinery, steering

gears, compressors and cranes on around

12,000 vessels in the world.

Exhibiting for the 15th time, the Hellenic

Register of Shipping is planning to open new

offices, both in Greece and internationally.

Canadian concern Innovative

Manufacturing will be highlighting its

corrosion protection tape and coatings, plus

sealing tapes and blankets on the occasion of

its sixth visit to Posidonia.

Insurance Premium Finance Limited

(IPFL) will be showcasing its premium

finance product.

The company was set up about three years

ago, when its founders perceived a gap in the

marine insurance market for premium finance.

This would allow assureds to spread out and

regularise their premium payment obligations,

at an affordable cost.

While premium finance is a facility readily

available in the domestic general insurance

market, it did not exist in the marine insurance

market.

Upon investigation, it was discovered that

the principal reason for it’s not being available

was that cross-border transactions of different

international currencies had prevented the

direct debit system to operate.

Banks were also unwilling to supply a line

of credit - in US dollars, Euros or Sterling -

for fear of a bad debt by the assured not being

easily recoverable in another country.

Therefore, a water-tight system was needed

that would persuade a supporting bank to give

a line of credit and so various levels of

security were developed within the plan to

protect the bank.

The greatest obstacle envisaged was the

risk, however small, of an assured that

stopped paying instalments. The breakthrough

in the thinking, however, was to arrange to

pay the full annual premium to the

underwriters but then to get them to undertake

to return pro rata of any unpaid instalments

back to IPFL, in case of default by the

assured.

This had the impact of taking the focus

away from the bona fides of the assured and

led to a greater comfort of reliance in the

underwriters.

Provided the underwriters could be relied

upon to stand by their written undertaking to

make pro rata daily returns - following

cancellation of the policy by IPFL for nonpayment

of an instalment by the assured -

there was then significantly less concern

associated with the trustworthiness of the

assured to pay.

IPFL’s Phil Purdie said that in his

experience, the marine insurance premium

finance product works best when it is brokerdriven.

To date, brokers have been especially

successful persuading clients to partake of the

IPFL product and their clients have, in turn,

found that they have successfully regulated

their premium payments, simply and at

surprisingly low cost, he claimed.

Early teething problems have been ironed

out and the product is ready for general

implementation in the marine insurance

market, the company claimed.

Piraeus-based International Maritime

Services will be exhibiting for the first time.

IMS said that it will be promoting its ship

registration, seafarers’ documentation,

technical studies, shipmanagement and

brokerage services.

Marine Response Alliance (MRA) will

unveil its US Coast Guard salvage and fire

fighting regulation guidance document.

It is claimed to be a comprehensive guide

for owners preparing for the new USCG

regulation that takes effect in February 2011.

The alliance comprises Crowley, Marine

Pollution Control, TITAN Salvage and Marine

Hazard Response – the latter being a joint

venture of Wild Well Control and Williams

Fire and Hazard Control.

Exhibiting for the second time, orwegian

International Ship Register (IS) will be

aiming to promote Norway as a quality flag

34

TANKEROperator June 2010


INDUSTRY - GREECE - POSIDONIA PREVIEW

for both existing and new vessels at

Posidonia.

Bulgaria’s Odessos Shiprepair Yard will

be attending Posidonia for the 10th time to

show its facilities for shiprepair and

conversion.

UK-based hydraulic fasteners, nuts and

pump manufacturer Pilgrim International will

be exhibiting its equipment.

Pilgrim was the first company to sign up to

the Union of Greek Shipowners’ (UGS)

request to donate any equipment, machinery

and software to Greek maritime educational

institutions that might be on show.

The company will be donating its hydraulic

fastener- radial fit bolt assembly – to the

cause.

Part of the Chinese participation will

include Qinhuangdao Haihang Marine

Equipment and Machinery Import &

Export Co.

This company will be showing its main

engine components, generators and

turbocharger upgrade services.

Schaller Automation will be concentrating

on after sales to the Greek market rather than

OEMs this year.

The company supplies oil mist detection

equipment and will take the opportunity to

meet up with some of its customers, it said.

A small company that has secured major

household name customers, expanded its

international offices and has experienced

dynamic growth is Veson autical.

Boston (Mass) - based Veson delivers

maritime enterprise resource planning

(maritime-ERP) solutions and services to

shipping organisations worldwide.

In the last few years, the company has

experienced substantial growth, significantly

expanded its footprint in Australia, the

Netherlands, Greece, Singapore and the US,

tripled its staff and continued to innovate on

the product side.

The company boasts major household name

customers, such as Alcoa, ConocoPhillips,

Dole and Rio Tinto. Recent contracts signings

include Fednav, AET, and TORM.

Veson’s recent claims include -

Added more new users in the first three

months of 2010 than in any past quarter.

Secured 27 new software sales in 2009.

Grew by 150% in both 2007 and 2008.

Expanded presence in existing customer

base by nearly 40%.

Has a client list that includes some of the

world’s largest brands such as Alcoa, Dole,

Moran Towing, Neste Oil, The National

Shipping Corporation of Saudi Arabia, Rio

Tinto and Thoresen Thai Agencies.

Opened a new office in Australia &

expanded its Singapore-based staff to

complement its existing offices in Boston

(Mass), Denver, Rotterdam and Athens.

Recently launched the IMOS Client

Center, a Web-based service for postinstallation

activities.

Is headed up by John Veson, a 36-yr old

Harvard MBA graduate & former

Microsoft executive.

Victor Marine has been manufacturng oily

water separators (OWS) for many years,

previously under the Hodge Separator trade

mark.

When the new MEPC 107/49 resolution

was introduced, Victor Marine designed a

range of separators to comply with these

more stringent regulations rather than

‘tacking’ bits of equipment on to the front, or

back of old units to upgrade them to meet the

new criteria, as some other manufacturers are


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June 2010 TANKEROperator 35


INDUSTRY - GREECE - POSIDONIA PREVIEW

advocating and marketing.

Recently it has been suggested that a pretreatment

unit can be fitted to existing

separators, which not only breaks down the

emulsions but also treats the water to below

15 ppm. The old OWS then merely becomes

a monitor and a pump to deal with the treated

water. Unfortunately, most of these add-ons,

particularly pre-treatment units and filters,

will not upgrade the existing separator to

comply with 107/49 unless at the very least, a

new monitor is fitted.

The test procedures in 107/49 would make

it very difficult for a shipowner to get

certification for an old system with filters or

pre-treatment even if they fitted a new

monitor. It could be argued that these

additional treatment processes would have to

be tested with all the separators presently on

the market,

The new 107/49 regulations endorsed the

limit of a 15 ppm oil content in treated bilge

water discharge with the additional need to

treat emulsions. These rules apply to new

vessels built since January 2005 but with

environmental issues becoming ever more

prevalent there is a feeling that the new rules

should also be applied to older vessels.

Some shipowners have already taken the

decision to upgrade their older OWS to meet

the new regulations. A few manufacturers

are openly proposing that the oil content

should be reduced to 5 ppm but realistically,

unless oil content monitoring equipment

improves, these very low levels are

impractical.

Neither of these ideas would prove to be

very popular with the shipping industry at

large especially with the present global

financial situation, which is not set to improve

in the foreseeable future: although it is

doubtful that any amendments to the present

regulations would actually come into force in

the same foreseeable future.

The three-stage method of filtration used in

Victor Marine units has proved to be very

popular with both newbuildings and the retrofit

market where owners are replacing older

units, which only comply with 60/33.

The success of the CS is mainly down to

the very high performance, small foot print of

the unit and the low spares requirement. On

average the spares costs are around $1,000

per annum/per tonne. For example, the

advanced granular media used in the third

stage can take 12 times more loading than

activated carbon.

The treatment of the bilge water in both the

CS and VM units is a continuous process with

no back-wash or cleaning cycle and unlike

chemical batch treatment there are no

hazardous chemicals to store or handle.

Oil is taken off after the first stage only and

there is therefore little chance of

contaminating the dirty oil tank with water.

Some manufacturers compound the problem

of disposing of the waste by introducing water

into the sludge tank and therefore the

shipowner is paying to pump water ashore.

This is fairly ironic when the only purpose of

the equipment is to remove oil from water

which can then be safely pumped overboard.

Under the testing procedures laid down by

IMO, the CS series consistently returns oil

content results of under 5 ppm and the more

sophisticated VM series is even more efficient

with results consistently under 1 ppm, the

company claimed.

TO

TAKEROperator

The Latest ews is now available on TAKEROperator’s website at www.tankeroperator.com and is updated

weekly. For access to the ews just register by entering your e-mail address in the box provided. You

can also request to receive free e-mail copies of TAKEROperator by filling in the form displayed on the

website. Free trial copies of the printed version are also available from the website. These are limited to

tanker company executives and are distributed at the publisher’s discretion.

36

TANKEROperator June 2010


TECHNOLOGY – PROFILE VOYAGE DECISION SUPPORT

Optimising voyage

routing in real time

An opportunity for savings is claimed by the supplier for both owners and charterers

by the use a new voyage decision support (VDS), which makes it possible for the master

to optimise voyage routing in real time, while working on a familiar ECDIS platform.

On board tests indicate fuel savings of 5% or more.

This new initiative, headed by

Maritime Information Systems

(MARIS), in partnership with

Teekay Corp and Innovation

Norway, is a new shipboard voyage

optimisation tool whose early performance

promises owners significant fuel savings. With

electronic chart data information system

(ECDIS) programming at its heart, the VDS

package is complemented by a fleet

management tool for the shore-based personnel.

The VDS project is built around the

MARIS ECDIS, and served by the Maritime

Digital Services (MDS) platform, which is

also the base technology upon which the UK

Hydrographic Office’s e-Navigator offering

is based.

The MARIS VDS is comprised of five

different modules, whose preliminary titles

offer an idea of its wide-ranging functionality:

voyage planning & weather routeing; active

sea-keeping; a regulatory module; commercial

elements; and fleet management system.

Updated either via broadband, or by email,

the VDS is designed to ensure that navigators

themselves can take the decisions necessary to

ensure efficient vessel operation, minimise fuel

consumption and thus limit CO2 and green

house gas emissions. In addition, the VDS fleet

management tool will provide a comprehensive

system for office use aimed at organising the

entire fleet operation in an efficient way.

In principle, the shipboard user can poll an

updated recalculation of the optimised route at

any time; ie when new data such as weather or

current files are received. For example, the

navigator will be able to interrogate the VDS

on the basis of 24 hour updates that detail

current and weather forecast for three to five

days ahead.

Tests of the first working example of the

VDS are taking place on board the 160,000

dwt Teekay Suezmax Pinnacle Spirit.

Drawing on live weather information, the

VDS also performs all necessary paperwork

and organises all procedures on board to

optimise vessel navigation and on board

routines, while ensuring that operations

remain in strict compliance with all safety

rules and regulations.

Complete answer

Many may believe they have heard some of

this before, but MARIS draws a stark

distinction between the VDS approach to the

dozen or more voyage optimisation products

reckoned to be on the market that deal with

the issue of fuel saving and cutting emissions.

“Most of these products are software

packages for use on board vessels, or offer

remote advice on voyage planning and

optimisation from shore organisations,” said

Arne Solaas, MARIS director special projects.

“Many of them provide only part of the

answer. What we are developing is unique

VDS depiction of Atlantic-Agbami route modification.

because it can be used directly by navigators

without their having to receive advice from

shore-based organisations. There are no

equivalent products in the market.

“The VDS combines several approaches to

energy optimisation into one system: it features

better current/weather data, performance

monitoring and reporting, fleet co-ordination

and an analysis element. Several companies are

individually going down one of these routes in

developing management decision tools, but

they do not include sufficiently accurate

information about climate.

“The other main advantage of the MARIS

concept is that the decision support

information is actually presented on the screen

used for making the decisions – that is on the

ECDIS itself. Thus, the relevant information is

presented directly to the navigator, resulting in

reduced workload and smoother decisionmaking,”

he said.

June 2010 TANKEROperator 37


TECHNOLOGY – PROFILE VOYAGE DECISION SUPPORT

VDS depiction of the Gulf Stream.

The information feeding the VDS comes

from a variety of providers, including

scientific research communities, classification

societies, former military personnel, industry

data bases, shipowners, charterers and

authorities. There are also contributions from

the marine insurance world.

As well as its main three partners, the VDS

project had drawn on input from the MARIS

parent company Grieg Star Shipping and the

vetting departments of the oil majors, key flag

states, and environmental organisations.

The result, claimed Solaas, is a system

whose base technology offers a 1,000 mile

forecast window following the vessel as she

sails that is updated at regular intervals, but

also a prediction grid that can be as accurate

as 1/32 mile.

As well as planning specific voyages using

up to date information, the ‘ship version’ of

VDS delivers voyage progress monitoring and

evaluation, voyage data recording and storage

and documents best practice.

The voyage planning & weather routeing

module has been built into the MARIS

ECDIS900 unit on board Pinnacle Spirit and

uses latest available weather and current

forecasts to offer guidance on the optimal

route available in terms of both time and fuel

consumption. The technical data collected

about the vessel’s performance includes fuel

flow, torque, vessel load, wave height, and

propeller performance. This information is

placed in the context of tide, current, wave

height, weather, ice, fog, but also security

considerations/no-go areas, energy output

and loss.

A number of further tests are planned on

board vessels within the next three months,

while MARIS has already opened a test and

training facility dedicated to VDS at its

Tønsberg headquarters in Norway, available to

both navigators and technicians.

The VDS module covering active seakeeping

is under development. This element

of the system will draw on and analyse data

from sensors to offer the master guidance on

how best to avoid heavy weather, take action

to avoid ship squat, drift and rogue waves,

how best to operate in shallow waters, and on

ballast water and fuel management.

Using the VDS throughout the voyage,

seafarers will also be able to view regulatory

requirements and information, health, safety

and security requirements presented on their

ECDIS, which represents the third module in

the VDS package.

Commercial realities

Steinar Gundersen, MARIS deputy chief

executive (corporate), said that it was

commercial reality that had driven the

development of the VDS, within the

constraints of safe operation. Individual

operators had therefore been offered the

opportunity to provide input, in order that

each package was tailor made.

Shore-based fleet managers could thus be

able to factor in requirements set by the

charterparty, such as speed, lay day

commencement and cancellation, cargo

rotation, port congestion, lightering, coastal

navigation and demurrage. Other operator

defined parameters might include information

on ‘no go’ areas, or planned bunker ports.

Within the VDS project, MARIS is paying

particular attention to the development of

LOG4000, a storage facility with the capacity

to store voyage data for a five-year period on

board. With data collected from sensors and

S-VDR inputs, this system will replicate and

communicate selected data to the shore fleet

management system for further processing

and analysis.

Gundersen said that the full ship version of

VDS would be ready this summer, with the

‘shore version’ to follow by the autumn, while

the third party software is due by the end of

the year. Having collected feedback and made

revisions and considered adding new

functionality, VDS is expected be fully

commercialised by the summer of 2011.

According to Gundersen, the installation on

board Pinnacle Spirit has already proven its

value. For example, on test, an average speed

gain potential of around 0.8 knots was

established by using active current navigation.

“Initial results show an average reduction

in fuel consumption of 5.7% over a period of

six months,” he said. “There has been a

corresponding time saving.”

Commenting on the tests, the Pinnacle

Spirit’s master, Captain Jan Hansen, said:

“Yes, this works. The current data for the area

we are in right now is perfect. I shall have to

swallow what we have received before

making any further comments, but it seems

that a new world has been exposed to us.”

Speaking during a passage to St Lucia along

the northern coast of Brazil, Capt Hansen said:

“We are well placed in the strongest current,

and for the time being making almost 14 knots,

on engine power for less than 12 knots. It is a

great feeling to be able to navigate a ship with

such equipment on board, knowing we are in

the right place at the right time.

“I do meet many ships eastbound in the

middle of this strong current, and have been

asking myself why they are here. The simple

answer is that they do not know better, as they

have no means to know where the best current

is for their planning and execution of the

voyage. On the other hand, I have not seen

even one vessel westbound using this route to

improve its performance. Westbound vessels

seem to be well to the north, in much less

favourable waters.”

In addition to two Teekay vessels, MARIS

is presently commissioning VDS test

installations with several other shipowners. It

expects to have up to seven test ships operable

within the next three months.

TO

38

TANKEROperator June 2010


Tanker casualties may be infrequent

yet an emergency can arise at any

time. It is vital, therefore, that

groups such as SMIT Salvage

retain their ability to respond swiftly wherever

an incident occurs.

SMIT’s global salvage workload over the past

12 months includes a series of tanker casualties.

These emergencies ranged from the sudden

development of a list and main engine damage,

to a grounding and fire in the engine room.

One of the casualties involved the Suezmax

TECHNOLOGY – EMERGENCY RESPONSE

Salvage teams ready

to confront tanker

emergencies worldwide

Tanker operators worldwide have an excellent safety record but,

of course, casualties do occur from time to time and naturally,

any emergency involving a spill will almost certainly have a high profile.

SKS Satilla, which developed a list while off

Galveston in March of last year. The tanker

was approaching Galveston and preparing to

lighter when she suddenly took on an 8 deg

list. SMIT responded with a salvage team and

the DP2 ROV support vessel orthern

Canyon. On arrival, the team carried out an

underwater survey and found substantial

damage to SKS Satilla’s water ballast tanks.

This situation warranted a ship-to-ship

transfer of the 150,000 dwt tanker’s cargo.

The STS was performed over a four-day

period. The project team mobilised from

Houston and was reinforced by tanker

specialists from Rotterdam. They also set

about identifying the cause of the damage.

SKS Satilla’s track was analysed and the

submerged object, which had been struck was

located: the wreck of the drill rig ENSCO 74 -

lost during Hurricane ‘Ike’ in September 2008.

This was to produce two additional contracts

for SMIT - the removal of oil from the rig and

another for the removal of the wreck

(currently under way).

June 2010 TANKEROperator 39


TECHNOLOGY – EMERGENCY RESPONSE

A few weeks after the SKS Satilla

operation, in April 2009, SMIT responded to

an emergency involving the chemical/products

tanker Constanza M. This vessel had suffered

main engine damage while off Istanbul. The

tanker was redelivered at Aliaga, Turkey,

within the week.

Some casualties are more complex. The

40,057 dwt chemical/products tanker Maria

M, fell into that category. This vessel went

aground off Gothenburg in mid-July 2009,

while laden with gasoil. SMIT Salvage

obtained a Lloyd’s Form and mobilised to

Gothenburg. As the team was preparing to

leave Rotterdam, local tugs and equipment

arrived on-scene. An initial diving inspection

revealed damage to the ballast tanks, but

confirmed no leakage of cargo or bunkers.

Calculations indicated that the refloating of

Maria M would require a ship-to-ship transfer

and a lightering tanker was secured. In

addition, two tugs from SMIT’s local partners

supported the salvage effort. Maria M was

refloated seven days after the grounding,

following the transfer of 7,700 tonnes of cargo

to the lightering tanker FD ord Fast. With

the casualty now safely at a lay-by berth in

Gothenburg port, the remaining cargo was

transferred to FD ord Fast and Maria M was

redelivered to her owners.

During the following month, August, another

tanker grounding required SMIT’s services.

This casualty was off an Albanian port. The

6,000 dwt chemical tanker Fetekoz allowed

SMIT’s salvage team to demonstrate just how

fast a successful outcome can be achieved.

Fetekoz was refloated the day after the

grounding and redelivered within 48 hours.

Engine room fire

A major salvage and firefighting response was

triggered last October, when the 1994-built,

Italian flag Suezmax ECO Africa, 149,258

dwt, reported fire in the engine room while

discharging at a terminal in the Gulf of Suez.

SMIT Salvage received a Lloyd’s Form and a

salvage/firefighting team mobilised from

Rotterdam.

The prospects for a successful response can

be transformed by swift intervention at the local

level. In this case, SMIT Salvage partner Ocean

Marine Egypt deployed an anchor handler and

two local tugs for firefighting and boundary

cooling. The casualty was moved clear of the

SPM and towed to the outer anchorage.

The engine room fire broke out in 5th

October, at a point when cargo discharge was

nearing completion. When the fire was

extinguished, a damage assessment was

undertaken, the engine room was de-watered

and machinery preserved, prior to redelivery.

In many salvage cases, the termination of

Lloyd’s Form is followed by a contract for

additional services. In this instance a followon

contract provided for the discharge of Eco

Africa’s remaining cargo, bunkers and fire

fighting water, together with tank washing,

prior to inspection at a shipyard in the UAE.

The tanker was towed to Fujairah, where this

work was completed, prior to the onward tow

to Dubai Drydocks. The tanker arrived on

16th December.

This casualty was prepared for the tow at

Ain Sukhna Anchorage. The tow to Fujairah

was performed by an anchor handler, with the

behaviour of the tanker on the tow monitored

by a riding crew.

By 23rd November, Eco Africa was at

anchor off Fujairah. Preparations began to

complete the contracted work. In order to

discharge cargo and, at a later stage, perform

tank washing and the discharge of

contaminated water, the salvage team

established a suction/discharge connection on

The Suezmax Eco Africa suffered an engine room fire while discharging at an SPM in the

Gulf of Suez.

40

the system, via the stripping pumps in the

pump room.

The transfer of cargo to a lightering vessel

was completed by 28th November. During the

following 24 hours water that had been

pumped from the engine room to an available

cargo tank (during the Lloyd’s Form

operation) was transferred to two slop tanks

and utilised for tank washing over a four-day

period. Contaminated water was then

discharged to the lightering vessel.

Tanker salvage challenge

Many factors contribute to successful tanker

salvage, including specialised equipment,

human expertise and a well-structured

‘salvage process’. These issues are of great

significance when a serious casualty occurs

and a spill threat arises.

In an emergency, of course, the casualty’s

master must decide whether to abandon or

stay on board. There is then the question of

what countermeasures are available to

improve the situation (which often means

preventing further deterioration, pending

intervention by professional salvors). Modern

ship design is so complex and diverse and the

number of damage scenarios so large, that

there is no substitute for accurate on-scene

assessment, supported by the tools needed to

define the casualty’s true status.

Beyond the ability to perform hull form

analyses and accurate simulations of stability

and strength, the salvor also requires the means

to generate on-going data on the casualty’s

condition as it changes over time. This is why

the Oil Pollution Act 1990, MARPOL and

other regulations place heavy emphasis on the

proper documentation of actual load condition,

together with the ready availability of reliable

and efficient means to analyse damage stability,

damaged longitudinal strength and, of course,

oil spillage.

US Coast Guard (USCG) current thinking

favours prompt receipt by the salvor of the

detailed, accurate information needed to:

Calculate residual hull girder strength,

based on the reported extent of the damage.

Calculate residual stability when

compartments are breached.

Calculate the most favourable offloading,

ballasting or cargo transfer sequences to

improve residual stability, reduce hull

girder stresses and reduce ground reaction.

Calculate bending and shear stresses due to

pinnacle loads from grounding.

The USCG requires owners and operators to

provide sufficient information to the

programme manager (typically class) to

enable these key calculations to be made in a

TANKEROperator June 2010


EMERGENCY RESPONSE

fastcalgas

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Online to onboard.

SMIT installed suction/discharge equipment to deal with Eco Africa’s

contaminated water.

timely manner. From the salvor’s perspective, it is impossible to over

estimate their potential significance.

The main point here is that both tanker operator and salvor need to

have all processes in place to respond effectively and decisively

whenever an emergency arises. It is interesting to see just how closely

aligned these processes are, from both sides. It starts with collecting

vital data, verifying accuracy, distributing data to class, salvor, coast

guard, etc, and, of course, repeatedly cross-checking input data for

errors and updating as new data becomes available. Everyone must

recognise that salvage is highly dynamic and the importance of being

responsive to any change in condition.

Within any salvor’s organisation, the experience and quality of

salvage masters is central to operational success. SMIT’s salvage

masters, of course, have their professional qualifications. Most are

qualified masters (foreign-going), but there are also opportunities for

naval architects and engineers to become salvage masters. Beyond

professional qualifications and career background, the selection of

potential salvage masters also depends on personal qualities. It is

important to be social in temperament, have excellent communications

skills, an ability to exercise tact in difficult circumstances and to respect

the many parties involved in salvage.

SMIT’s salvage masters include a number with a solid background of

tanker seagoing experience (with oil companies and with independent

operators). This direct experience is extremely valuable, as life on a tanker

tends to be much more ‘hands on’ than on board many other vessel types.

The attention to full service, often extending beyond the LOF, is also

important. The Eco Africa, for example, has significance in the post –

LOF context as the next tanker casualty might well occur at a remote

location with little or no local/regional support and resources. In short,

the salvage team may be expected to do everything in these

circumstances, with no help from contractors.

SMIT is always prepared to invest in human expertise. The training of

assistant salvage masters is well-structured. In some cases, this training

may begin from scratch, involving individuals in their mid-20s and with

relatively little sea-time. Opportunities are taken to gain broad-based

experience with, say, a period on board a heavy lift sheerlegs, followed

by a position of responsibility on a tug and, possibly, time out gaining

experience on board a tanker. Naturally, opportunities are always taken

to gain experience during tanker salvage operations.

There is also an important and growing dimension to the relationship

between salvor and tanker operator, concerning pre-emergency cooperation.

In recent months, for example, SMIT salvage masters with

tanker experience have taken part in various exercises and drills held

by oil majors and tanker owners around the world.

TO

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June 2010 TANKEROperator


TECHNOLOGY - EMISSIONS CONTROL SYSTEMS

VOC management

plan services

available

As is already well known, or should be by now, by 1st July, this year, all tankers

carrying crude oil will be required to implement and maintain on board

an approved ship-specific VOC (volatile organic compounds) plan.

This is in accordance with

regulation 15.6 of the revised

MARPOL Annex VI. The VOC

management plan is required in

order to obtain a MARPOL International Air

Pollution Prevention (IAPP) certificate.

Basically, VOC emissions are air pollutants,

which need to be controlled in the global effort

to reduce the harmful effects of atmospheric

pollution. VOCs from crude oil transports are a

mixture of light-end components in crude oil,

which can be emitted from oil and oil products

during production, processing, loading,

transport, unloading and storage.

The lightest component, mainly methane,

contributes to the greenhouse effect, while the

heavier components, mainly propane and

butane, contribute to the formation of groundlevel

ozone. The purpose of the VOC

management plan is to ensure that tankers

prevent or minimise VOC emissions, as far as

is possible.

Several organisations have issued guidelines

and are offering services aimed at smoothing

the path to compliance with the new

regulation.

Approval service

One - the Liberian Registry - is offering

tanker owners and operators a VOC

management plan review and approval

service.


42

The registry has put in place a scheme

whereby tankers owners and operators whose

ship fly the Liberian flag can have their VOC

management plans expertly and costeffectively

reviewed and approved by the

Liberian administration.

Captain David Pascoe, senior vice-president

of the Liberian International Ship & Corporate

Registry (LISCR), the US-based manager of

the Liberian Registry, said, “Regulatory

compliance is becoming an increasingly

onerous task in the shipping industry, and

responsible ship registers can take some of the

burden off their clients in this respect by

adopting a proactive approach to issues such

as this.

“Liberia believes in helping to make

shipping a greener industry, and our clients

will have full access to the proven global

expertise of our dedicated audit and inspection

teams in helping them achieve IAPP

certification,” he said.

Elsewhere, class society Germanischer

Lloyd (GL) has advised its clients that the

plan approval procedure will be as follows:

1) The owner is to send the ship-specific

VOC management plan as a word

template, or in pdf form, by email to GL

for review and comment.

2) GL returns comments by email to owner.

3) The owner updates his submission

accordingly and sends a final version to GL.

“...responsible ship registers can take some

of the burden off their clients in this respect

by adopting a proactive approach

to issues such as this.”

- LISCR


4) GL approves and returns the manual.

A ship-specific VOC management plan must,

at the least, provide written procedures for

minimising VOC emissions during:

Loading of cargo.

Sea passage.

Discharge of cargo.

In addition, VOCs generated during crude oil

washing need to be considered, GL warned.

Korean stance

For the convenience of its shipowner

members, the Korean Register has also said

that it is providing a VOC management plan

drawing up service.

Where a vessel is classed with KR, the fee

for the initial drawing up service is $2,436,

while the initial approval fee of $795 will not

be charged.

In the case where an owner/operator

has drawn up his or her own plan and

only requires the approval service, the fee

is $795.

Where there are a series of sister vessels

involved, only 30% of the fee for the initial

drawing up/approval process shall be charged

from the second vessel onwards.

As for a non-KR classed vessel, an extra

50% of the above fee shall be charged. In

addition, an extra $50 shall be charged in case

of Panama flagged vessel.

Considering that the number of the KRclassed

tankers subject to VOC management

plan regulations is around 100 vessels, the

register said that a deluge of drawing

up/approval applications is anticipated at

the end of June 2010, which is the final

deadline.

Therefore, it is highly recommended that

shipowners apply for the drawing up and/or

approval service early, and not later than

TO

31st May 2010.

TANKEROperator June 2010


TECHNOLOGY - EMISSIONS CONTROL SYSTEMS

Meeting low sulphur

fuel regulations

A major oil tanker operator discovered that its existing fuel oil pump system

could not meet new low sulphur environmental regulations for ECAs.

The operator controls more than

100 tankers and has an ISO

14001 certificate for reducing its

environmental footprint. The

company said that it wished to comply with

the low sulphur fuel requirements as soon

as possible.

Fluid handling concern Colfax sent a team

from subsidiary IMO AB to look at the

operator’s existing technology. The team

evaluated its service environment and

determined that its current pumps could not

handle the low sulphur fuel.

It was claimed that the company’s

previous pump supplier was unable to

explain why the current engine room pumps

were not capable of handling future MGO

demands.

This failure not only caused headaches and

hassles for the tanker operator, but also meant

that if a suitable solution could not be found,

its vessels might not be allowed to berth at

certain ports this year.

Colfax’s team immediately confirmed that it

could bring immediate and long term benefits

and Alfa Laval, IMO’s distributor in the

Middle East, played a key role in initiating the

upgrade programme.

IMO’s OptiLine pump systems were

Cutaway diagram of IMO’s OptiLine pump shows how the screws create positive

displacement to move fluid.

selected, which are of a screw design, which

rely on the rotors being lubricated by the

pumped media. An oil film that builds up by

the hydraulic balance in the pump causes the

rotors to ‘float’ and be lubricated.

Retrofits

Thus far, the operator had installed 55 IMO

OptiLine pumps on 12 tankers, enabling

them to use low sulphur fuel and will

retrofit another 38 vessels in the near

future.

The OptiLine pumps are designed without

a mechanical seal, which makes them 100%

leak free, Colfax claimed. The pump

specialist said that this was a vital point,

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June 2010 TANKEROperator 43


TECHNOLOGY - EMISSIONS CONTROL SYSTEMS

given that external leakage could cause

problems with external parties, such as

harbour authorities, class societies

and others.

In turn, this could lead to a vessel being

denied entry into a port, a delay in port, or a

lengthy cleaning operation that can’t be

handled by the vessel’s crew, resulting in

external companies being called in.

Leak-free operation plus a long service

interval of five years have a significant

impact on the cost of spares, man hours

and cleaning.

As has been well documented, shipowners

and operators worldwide find themselves

facing a unique new challenge today in an

array of current and forthcoming

environmental regulations. Among these are

MARPOL Annex VI regulations for the

Prevention of Air Pollution from Ships,

which stipulates that burning high sulphur

fuels is not allowed in ECAs. The

regulations and timetables for meeting

these regulations differ for ports around

the world.

Since May, 2005, specific MARPOL

regulations, requiring emissions from main

and auxiliary machinery be kept within

specific limits, have been in force. For

example, they require reduction of SOx, CO2

and NOx combinations.

EU directives

In addition, EU directives for this year

require berthed vessels for more than two

hours to use marine fuel oil with 0.1%

sulphur content. This means that vessels

will have to switch fuel during a stay in port

for Chemical Tankers

THE tank coating system for

handling aggressive chemical cargoes.

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cargoes, especially

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ensure cargo product purity

from port to port.

Base Coat

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An IMO OptiLine pump.

to low sulphur, low viscosity marine gas oil

(MGO). However, this fuel, due to its low

viscosity and poor lubricity, has a great

impact on a vessel’s machinery, especially

the fuel oil pumps.

Prior to the regulations, ships could burn

higher sulphur fuel, which is more viscous.

In some cases, vessels needed heaters to

warm the fuel enough for it to become less

viscous and easier to pump.

Less viscous

However, the low sulphur fuel is less viscous

to begin with and ambient temperature in a

crude oil tanker’s engine room easily reaches

40 deg C and higher – in some cases up to 55

deg C. Adding excessive heat from pipes and

engines will raise the temperature even

further.

As a consequence, viscosity will fall,

causing a significant change of operating

conditions in the system. Vessels, therefore,

need cooling units to bring down the

temperature of the fuel to make it thick

enough to pump.

Under some regulations, vessels can

continue to burn the higher sulphur fuel

until they near a port, at which point they

must burn the lower sulphur diesel. To

accomplish this, the vessels need a fuel

handling system flexible enough to handle

both.

TO

44

TANKEROperator June 2010


TECHNOLOGY - EMISSIONS CONTROL SYSTEMS

Alternative ways of

achieving greener

shipping

The management of Green-house Gas (GHG) emissions from shipping has been widely

talked about and extensively reported on over the past six months.*

The disappointment of COP 15 and

the resulting lack of clarity has

caused some frustration as well as

an increased likelihood that there

will be a plethora of regional and potentially

costly regulations to respond to.

So with this new set of challenges on the

horizon, now is the time to look at some of

the alternative ways of promoting energy

efficiency and greener shipping .

With the help of the BMT group, we reflect

on how the appropriate deployment of a

comprehensive energy management strategy

can lead to significantly reduced fuel

consumption and the associated environmental

benefits.

Current estimates indicate that shipping’s

share of global CO2 emissions could increase

to 20-30% by 2050. With 90% of global trade

carried by sea, this is an issue that cannot be

sidestepped.

Cost element

However, it is important to note that while the

emissions debate is beneficial for all in terms

of reducing the environmental impact, it is

sometimes hard to see the plethora of

solutions being proposed as anything other

than a cost that the shipping industry must

bear, with little financial benefit. Solutions

with tangible commercial benefits may

provide significantly more leverage to

establish the ‘win/win’ situation that will

reduce costs and limit damage to the

environment.

There are a number of measures that are

currently being trialled, or introduced more

widely that have the potential to achieve the

‘win/win’ that is required to be successful.

New technology can be harnessed to make

ships more fuel efficient through making

engines more efficient and increasing hull

efficiency.

Perhaps more importantly, technology can

be used to measure performance throughout a

ship’s life-time and provide a baseline against

which improvements can be measured. To

quote the eminent physicist and engineer Lord

Kelvin: ‘to measure is to know’.

Solutions such as BMT’s SMARTPOWER

record and collate real-time performance data,

providing much improved performance data

over the standard manual ‘noon’ reporting

process. By measuring, recording and

analysing good quality data it is possible to

break down the overall performance into

individual components (engine, propeller, hull

performance), remove any variables, identify

where efficiency losses are being introduced

into the system and react accordingly.

Changes in operational procedures can also

deliver environmental and commercially

beneficial improvements.

While accepting that ultimately, many

decisions are driven by the charterer, or

factors beyond the control of the operator of

that ship, there is still scope for improvements

in voyage planning and speed optimisation.

The ‘sprint/loiter’ approach, where a ship

proceeds as fast as reasonably possible to its

destination and then waits to be unloaded or to

receive further orders, has benefits in enabling

maintenance time (for example), but has a

detrimental effect in terms of fuel efficiency

and emissions.

Speed optimisation

By optimising vessel speed (or ‘slow

steaming’) based on knowledge of

environmental conditions including wind,

wave and current, the speed profile of the

voyage can be tailored to ensure that the ship

arrives at the destination just in time to be

loaded or unloaded.

While this strategy could be extremely

effective, there is the need for all parties in the

logistics chain to understand the issues

involved and ensure that there is suitable

shore based infrastructure to service ships as

they arrive. ‘Slow steaming’ certainly has its

benefits but there are downsides too. If we

accept that slow steaming is here to stay, will

we need extra ships to cater for trade growth?

Should new ships be designed with slow

steaming in mind in order to optimise their

efficiency? There are issues associated with

...while the emissions debate is beneficial for all in terms of reducing

the environmental impact, it is sometimes hard to see the plethora

of solutions being proposed as anything other than a cost that

the shipping industry must bear, with little financial benefit.



June 2010 TANKEROperator 45


TECHNOLOGY - EMISSIONS CONTROL SYSTEMS

BMT’s Del Redvers.

running a ship that is designed to do 25 knots

at an off-design condition. Inherently, it is not

as efficient as it should be and will require

increased maintenance. BMT is beginning to

see the effect of slow steaming as part of its

hull and machinery condition survey work,

and engine manufacturers are now issuing

service bulletins recommending preventative

measures that should be taken to prevent

damage in long term.

The IMO has already identified the

importance of shipboard energy efficiency and

has established a mechanism for a company

and/or a ship to improve the energy efficiency

of a ship’s operation. The Shipboard Energy

Efficiency Management Plan (SEEMP) is a

document that seeks to improve a ship’s

energy efficiency through four steps -

planning, implementation, monitoring, and

self-evaluation and improvement.

At present it is mandatory for a ship to

carry a SEEMP, but there is no requirement

to comply with it. Many operators are

already pursuing this initiative as market

forces make it beneficial to do so, however,

as the culture changes and the importance of

energy efficiency becomes more widely

accepted, SEEMP will become an

increasingly valuable tool.

Performance baseline

In order for SEEMP to be effective, it is

essential to have a performance baseline in

place that provides the feedback that can be

used to help learn and improve. Areas such as

optimising maintenance and hull cleaning can

be improved by moving away from fixed

schedules to ‘condition based’ approaches.

With access to up-to-date, accurate,

performance data, maintenance and cleaning

can be carried out at the optimum time to

ensure that energy usage is maintained at the

lowest possible rate.

An example of this is one of the first ships

that deployed BMT’s SMARTPOWER

technology. Using data from the system that

indicated a worsening in hull performance,

BMT recommended that the ship had a hull

clean ahead of schedule. The net result was a

direct saving of about seven tonnes of fuel per

day and the obvious benefits in terms of

reduced emissions. This particular system had

only been on board for two months, so an

immediate advantage was seen in delivering

environmental and commercial benefits.

Success also depends on the crews’

acceptance of the new technology, or in

deploying new working practices. As so often

happens when implementing change, a

cultural shift is required to ensure that the best

use is made of the improvements that are

available. Some crews will be proactive and

engage as a matter of course, while some will

need a form of incentivisation.

When there are examples of two very similar

ships running two very similar routes with very

different performance the only real variable is

the crew. It is hardly surprising that operators

are beginning to give their crews’ bonuses

based on improvements in fuel consumption

and related environmental aspects.

The final element of deploying a

comprehensive energy management strategy is

having an understanding of how the carbon

markets work. The shipping industry is going

to be charged for its carbon emissions.

Whether it is a bunker fuel levy tied to

shipping fuel efficiency measures such as that

proposed by the World Shipping Council

(WSC), regional emissions trading or another

of the many proposed schemes, having an

appreciation of the carbon market will prove

invaluable to any organisation in the shipping

industry. The BMT group’s experience in

working on sustainability projects with major

shipping organisations has highlighted the

impact internalising carbon costs may have,

and how poorly understood this is by the

industry at large. Here, there is a thirst for

knowledge that the group is working to satisfy.

There are certainly major environmental

and commercial benefits in achieving greater

energy efficiency and making shipping

‘greener’. Shipping lines and major shipping

organisations are beginning to recognise this,

but we are still in the early stages of the

process. For these new initiatives to be

successful in the long term there needs to be a

five pronged attack focussing on:

Deploying new measurement technology to

define baseline performance;

Changing operational procedures to

improve performance;

Ensuring awareness of new legislation;

Engendering a shift in culture to promote

the importance of fuel economy and

environmental issues;

Embracing the R&D into new technologies

(such as alternative fuels) to help them

become commercially viable propositions.

Only then can shipping start to become truly

energy efficient.

TO

*This article was written by Del Redvers

and Simon Burnay, BMT group experts

in corporate sustainability and ship

performance.

46

TANKEROperator June 2010


TECHNOLOGY - EMISSIONS CONTROL SYSTEMS

BMT’s Del Redvers.

running a ship that is designed to do 25 knots

at an off-design condition. Inherently, it is not

as efficient as it should be and will require

increased maintenance. BMT is beginning to

see the effect of slow steaming as part of its

hull and machinery condition survey work,

and engine manufacturers are now issuing

service bulletins recommending preventative

measures that should be taken to prevent

damage in long term.

The IMO has already identified the

importance of shipboard energy efficiency and

has established a mechanism for a company

and/or a ship to improve the energy efficiency

of a ship’s operation. The Shipboard Energy

Efficiency Management Plan (SEEMP) is a

document that seeks to improve a ship’s

energy efficiency through four steps -

planning, implementation, monitoring, and

self-evaluation and improvement.

At present it is mandatory for a ship to

carry a SEEMP, but there is no requirement

to comply with it. Many operators are

already pursuing this initiative as market

forces make it beneficial to do so, however,

as the culture changes and the importance of

energy efficiency becomes more widely

accepted, SEEMP will become an

increasingly valuable tool.

Performance baseline

In order for SEEMP to be effective, it is

essential to have a performance baseline in

place that provides the feedback that can be

used to help learn and improve. Areas such as

optimising maintenance and hull cleaning can

be improved by moving away from fixed

schedules to ‘condition based’ approaches.

With access to up-to-date, accurate,

performance data, maintenance and cleaning

can be carried out at the optimum time to

ensure that energy usage is maintained at the

lowest possible rate.

An example of this is one of the first ships

that deployed BMT’s SMARTPOWER

technology. Using data from the system that

indicated a worsening in hull performance,

BMT recommended that the ship had a hull

clean ahead of schedule. The net result was a

direct saving of about seven tonnes of fuel per

day and the obvious benefits in terms of

reduced emissions. This particular system had

only been on board for two months, so an

immediate advantage was seen in delivering

environmental and commercial benefits.

Success also depends on the crews’

acceptance of the new technology, or in

deploying new working practices. As so often

happens when implementing change, a

cultural shift is required to ensure that the best

use is made of the improvements that are

available. Some crews will be proactive and

engage as a matter of course, while some will

need a form of incentivisation.

When there are examples of two very similar

ships running two very similar routes with very

different performance the only real variable is

the crew. It is hardly surprising that operators

are beginning to give their crews’ bonuses

based on improvements in fuel consumption

and related environmental aspects.

The final element of deploying a

comprehensive energy management strategy is

having an understanding of how the carbon

markets work. The shipping industry is going

to be charged for its carbon emissions.

Whether it is a bunker fuel levy tied to

shipping fuel efficiency measures such as that

proposed by the World Shipping Council

(WSC), regional emissions trading or another

of the many proposed schemes, having an

appreciation of the carbon market will prove

invaluable to any organisation in the shipping

industry. The BMT group’s experience in

working on sustainability projects with major

shipping organisations has highlighted the

impact internalising carbon costs may have,

and how poorly understood this is by the

industry at large. Here, there is a thirst for

knowledge that the group is working to satisfy.

There are certainly major environmental

and commercial benefits in achieving greater

energy efficiency and making shipping

‘greener’. Shipping lines and major shipping

organisations are beginning to recognise this,

but we are still in the early stages of the

process. For these new initiatives to be

successful in the long term there needs to be a

five pronged attack focussing on:

Deploying new measurement technology to

define baseline performance;

Changing operational procedures to

improve performance;

Ensuring awareness of new legislation;

Engendering a shift in culture to promote

the importance of fuel economy and

environmental issues;

Embracing the R&D into new technologies

(such as alternative fuels) to help them

become commercially viable propositions.

Only then can shipping start to become truly

energy efficient.

TO

*This article was written by Del Redvers

and Simon Burnay, BMT group experts

in corporate sustainability and ship

performance.

46

TANKEROperator June 2010


TECHNOLOGY – SHIPREPAIR & MAINTENANCE

Logistics comes in to

play when talking

spare parts

The ability to move spare parts quickly and cost affectively is

an important part of any vessel operator’s maintenance programme.

TAKEROperator spoke with Chris

Steibelt, managing director of

GAC Marine Logistics (GML)

who explained GAC’s link in the

supply chain and on how best to smooth the

transportation of spare parts to wherever they

are needed.

Steibelt explained that the procurement of

spares is usually undertaken by the shipowner’s

purchasing department or shipmanagement

companies on behalf of the owners.

GAC does not get involved in the

procurement of spares, rather focusing on the

logistics of ensuring that the order is delivered

from the supplier to the ship in the most

efficient way.

“Our role as a specialist service provider is

to manage the global supply chain for ship

spares and marine parts from door-to-deck

seamlessly. This entails managing individual

orders placed by our clients with different

vendors,” he explained.

He explained that because of GAC’s

combination of expertise as both a freight

Chris Steibelt.

forwarder and shipping agent, clients are

attracted by the fact that we have the ability to

handle spares from the major supply points

around the world all the way through to

delivery on board their vessels - wherever

they may be. In other words we combine the

skills of GAC’s freight forwarding network as

well as our shipping agency network to take

care of the ‘door to deck’ movement of spares.

GML also operates consolidation points in

key locations to receive and consolidate spare

parts from multiple suppliers before

despatching by air, sea, truck or courier to the

vessels port of call where the company

delivers directly on board.

“By consolidating spares from different

suppliers, GML enables clients to benefit from

lower logistics costs through reduced number of

shipments, fewer shipments incurring minimum

freight charges and lower import clearance

charges at destination,” Steibelt claimed.

“Linking up with a client’s procurement

software is much talked about and something

that GML is very keen on. In reality, however,

the ability to link the software is still very

limited,” he said.

He thought that the ideal situation was that

the client should be able to have full visibility

of the physical movement, or the staging of

his/her orders in different locations around the

world through his/her own system, without

having to refer to his service provider’s own

tracking system.

Details of new orders should interface with

the logistics service provider’s tracking

system and in reverse updates to the

movement or status should flow back into the

procurement system so the purchaser,

technical manager, or vessel can see the exact

position with individual purchase orders in

their own procurement system.

“As mentioned there are only a few

examples of this working effectively today.

Lack of standardisation, low priority and the

general unpredictability of spares logistics are

all factors which have thwarted efforts with

most owners,” he explained.

One way of progressing this matter is to

establish a forum of key stakeholders including,

for example, shipowners, shipmanagement

companies, procurement systems developers,

data integrators and logistics service providers–

to work towards designing a common logistics

template for incorporation in procurement

systems, Steibelt thought.

Consolidation centres

GML has set up consolidation centres in key

countries, for example China, Denmark,

Dubai, Germany, Holland, Japan, South

Korea, Norway, Singapore, UK and US.

Steibelt explained that this forms an

essential part of the business whereby routine

preventative maintenance items are held at

various key locations in the country of

manufacture awaiting for the vessel to be in

position to receive them.

For example, a large number of orders from

different South Korean vendors may have been

accumulated, but the optimum point for delivery

in terms of cost of getting them there and ease

of customs clearance procedures is chosen.

“Two to three months storage is not uncommon

therefore”, he said. “Longer term storage is also

quite common, whereby the owner needs to

store strategic items – ones which have a long

lead time for production for example”.

GAC has many outlets worldwide in which

GML can tap into. Steibelt said that this

network of offices provides a significant

advantage to the owner, who might otherwise

be dependent on his/her charterer’s agent for

advice. “Lack of response and high costs are

just two reasons why owners are often

nervous about using charterer’s agents for the

operation”, he thought.

He explained that rather than having to

appoint an owner’s agent specifically for this

48

TANKEROperator June 2010


TECHNOLOGY – SHIPREPAIR & MAINTENANCE

purpose, one alternative increasingly being used

today is GML’s single source ‘door to deck’

service whereby spares can be entrusted to one

specialist service provider who uses the GAC

network to get the job done without the usual

supplementary fees for owner’s agency services.

GML shares clients with various OEM supply

chains, rather than compete against them. For

example, in Dubai, MAN uses GML to oversee

complex logistics movements involving many

permutations; from landed items for temporary

import, repair and subsequent re-export all

under bond to import duty paid shipments.

“Often these jobs can be unpredictable;

short port stays or changes in vessel rotation

mean that you learn to expect the

unexpected,” Steibelt said.

GML has had experience in shipping

hazardous materials around the world, either by

air or sea and also offers storage in selected

locations worldwide. The movement and

storage of lubricants is another service offered

whereby GML will house lubes in its own

storage facilities, thus effectively becoming an

extension of the suppliers’ warehouse.

FRS service offered

In addition, the company also has a fire, rescue

and safety (FRS) unit operating out of

Singapore, Dubai and Istanbul. This unit has a

third party service provider network consisting

of roughly 150 class approved companies

around the world. In addition to the service side,

GML has a co-operation agreement with Tyco

Marine, Asia whereby complete systems for fire

fighting are offered and at the same time, Tyco

ensures that GML is always up to date with the

most recent regulations and client requirements.

Steibelt explained that some customers feel

that being able to combine FRS with GML

and ships agency provides advantages, not

least less co-ordination and administration on

their part. “We do see more and more of

complete solutions and that includes, as and

example, GML’s anti-piracy service where we

do both agency and provide sea marshal’s

with one focal point and one invoice,” he said.

Major delivery point

GML is headquartered in Dubai – a major

tanker hub. Due to its location, Steibelt said that

the UAE is a major delivery point of spares.

“If you consider the percentage of the world’s

tanker fleet that come through here, and very

often use the Fujairah anchorage for stores,

there are still plenty of vessels around to keep

us very busy – whether it is handling spares for

preventative maintenance or working with our

clients to help out in times of crisis,” he said.

Often spares are transported by supply boat on the last leg of their journey.

New propellers need to be transported quickly and efficiently.

The outlets in Dubai, Singapore, Hong Kong,

Rotterdam, Mumbai, Piraeus and Sao Paulo are

combined sales and operational offices to offer

a seamless service across all time zones. GAC

is expanding its logistics business in both

Norway and Houston on quite a large scale,

“……so you can be sure that GML will be

there too very shortly,” Steibelt confirmed.

Urgent spares can cause problems. For

example, lose an anchor and the chances are

that the class society will only give an owner so

much time before a replacement must be put on

board. Then it’s a case of finding the most cost

effective way of getting it delivered; often it is

with GML providing a series of options while

the owner tries to work out the best solution to

minimise the impact on his/her charterparty.

“As a service provider specialising in spares

logistics, we help in devising the most cost and

time effective solutions. In times of emergency

or crisis, we have to be flexible and innovative

to offer the clients feasible options to make

things happen,” he explained.

“Last month for example a client’s vessel

was stuck in Dubai Drydocks waiting for a

spare part from Finland, which could not be

airfreighted because of the volcanic eruption in

Iceland. The offhire meant it was costing the

owner a fortune in lost revenue every day the

flights were grounded in Europe.

“Consequently, we arranged a special truck

using two drivers to deliver the 900 kgs piece

from Helsinki to Athens where we could connect

with a direct flight to Dubai. Pick up Wednesday

in Helsinki, delivery to the vessel at Dubai

Drydocks five days later. We were quite pleased

with that as was the client,” Steibelt said.

Other services were in the pipeline,

Steibelt said.

TO

June 2010 TANKEROperator 49


TECHNOLOGY – SHIPREPAIR & MAINTENANCE

Ecospeed gains

major approval

Throughout history, the etherlands has always played an important role

in the development of nautical technology. And at the beginning of 2010,

the country is continuing to look for ways to refine its maritime expertise.

One of the latest initiatives is to

allow underwater cleaning in

Dutch ports on vessels coated

with Ecospeed The company’s

co-operation with the Dutch authorities been

ongoing for some time now, but has really

come to the fore over the last couple of years.

The Netherlands was one of the first

countries worldwide to ban the in-water

cleaning of vessel hulls in order to avoid the

pulse release of TBT associated with it.

Vessels berthed in ports continue to leach

biocides, which leads to accumulation in

sediments.

The Dutch Ministry of Transport, Public

Works and Water Management has pro-actively

sought a solution to this environmental

problem. It has come to the conclusion that a

good non-toxic system includes regular and

controlled removal of fouling and that the

underwater cleaning and conditioning of

vessels coated with Ecospeed is at present a -

best available technology (BAT).

Very strict criteria for environmentally safe

in-water cleaning practices have been

developed - criteria that only Ecospeed has

been able to meet thus far.

The EC funded a project called ECOTEC-

STC, which came within its LIFE

demonstration initiatives. This was able to

confirm the ecological and economical

advantages of the Ecospeed coating.

Biocide free

One of the first tasks within this LIFE

research project has been to validate that

Ecospeed is completely free of biocides

throughout its lifecycle. The confirm this, the

Dutch Ministry of Transport carried out an

elaborate study of effluent samples, which

conclusively showed that no toxins were

released at any stage, either at application,

during curing or during in-water treatment.

The measurements further showed that during

conditioning only non-toxic fine particulate

matter was released.

For several years, there have also been

concerns that non-indigenous species (NIS) are

increasingly transported by fouled hulls. Once a

hull becomes heavily fouled, a situation occurs

where there is an increased risk of transporting

NIS that should be remedied by de-fouling

activities, either by out-of-water removal, or by

underwater cleaning.

As a result, underwater cleaning has come

under scrutiny out of fear that viable NIS are

released and spread, rather than contained and

disposed of by the operation.

The underwater cleaning of vessels coated

with Ecospeed, however, can be regarded as a

safety measure that prevents, rather than

remedies, the spread of NIS, the manufacturer

claimed. The company said; -

First - Ecospeed can be cleaned on a regular

basis without damaging the coating’s surface.

The cleaning interval is optimised to minimise

Underwater cleaning

of Ecospeed coated

hulls is now allowed

in the Netherlands.

50

TANKEROperator June 2010


TECHNOLOGY – SHIPREPAIR & MAINTENANCE

fouling and the associated increase in fuel

consumption. In other words, regular cleaning

prevents heavy fouling from occurring and at

the same time presents an opportunity to

inspect so-called niche areas.

Second - Ecospeed is a very durable coating

that withstands abrasive cleaning for which

very effective specialised tools have been

developed. As a result, fouling organisms will

be crushed during cleaning and will be

neutralised. Moreover, Ecospeed improves its

texture with abrasive cleaning therefore

producing the best possible hull performance,

the company said.

In December 2009, a full underwater hull

cleaning was carried out in Rotterdam on the

containership Baltic Swan, which was coated

with Ecospeed in 2008. This was the first time

since 1992 that the underwater cleaning of a

ship’s hull had taken place in a Dutch port.

This milestone event should benefit both the

Dutch ports and the environment in the years

to come, Ecospeed said.

As well as containerships, Ecospeed told

TAKEROperator that the coating was

equally suitable for slower speed vessels, such

as tankers.

Rudder protection

As well as vessels’ hulls, Ecospeed has met

with success with rudder coatings. During the

past few months several vessels of varying

types, including tankers, had their rudders

coated with Ecospeed in shipyards worldwide.

The manufacturer claimed that the coating

gives the rudder lasting protection against

cavitation and mechanical damage.

After rudder cavitation damage had

appeared on several containerships, an owner

decided to have a lasting rudder coating

applied that would prevent similar damage

from occurring again. The rudders of these

sister vessels were coated in Dubai and

Shanghai where another customer also had

Ecospeed applied on the rudder of his vessel.

Further applications were performed in

Rotterdam and Skaramanga, Greece.

After the required welding repairs were

performed, the cavitation pitting that was

present on the rudders was filled with

Ecospeed to regain a smooth surface. Once

this was done, the required two layers of the

coating were applied, effectively providing the

rudders with an impenetrable protective layer.

Tests undertaken

A great deal of effort goes into the design and

manufacturing of rudders as they are an

important part of a vessel. Therefore, they

ought to be protected properly. Ecospeed’s

Rudder coatings are equally vital for vessel operating efficiency.

durability is claimed to provide such

protection because the coating will remain

intact for the lifetime of the vessel.

Ecospeed said that the coating is both

flexible and tough. It provides the vessel with

an impenetrable protective layer while its

flexibility enables absorption of the forces that

are produced by cavitation, thereby preventing

the damage normally caused by this

phenomenon.

Good performance

Tests undertaken in a flow channel have

confirmed that Ecospeed performs extremely

well under severe cavitation. These tests were

divided into six stages during which the

coating was exposed to an increasing pressure

drop, leading to a growing cavitation force.

After the last stage no erosion was present

on the test patch coated with Ecospeed. The

tests were sponsored by the French

MOD/DGA and were carried out by DCNS at

LEGI in Grenoble.

With the right planning, grit blasting and

application of the two required layers can be

performed in just one day, making the speed

of application of Ecospeed a further

advantage, the company said.

Ecospeed will remain intact for the lifetime

of the vessel and is guaranteed for 10 years.

The rudder will not have to be repainted during

future drydockings and the company claimed

that extensive repairs will not be needed.

Planning the maintenance of the vessel’s

stern area therefore becomes much easier. The

smoothness attained by the coating also

provides optimum hydrodynamic conditions

for rudders to operate at maximum efficiency.

The ship's performance remains stable and the

owner's investment is secured.

TO

June 2010 TANKEROperator 51


TECHNOLOGY – SHIPREPAIR & MAINTENANCE

Number of repairs up – revenue down

Despite the problems that

dominated shipping last year,

Bahrain-based shiprepair concern

ASRY managed to repair a record

number of vessels and even

posted a small profit.

Last year, the yard handled 168 vessels – a

26% increase on 2008. Another notable record

was the registering of 556 specifications

received, which was substantially higher than

previous years, the company said.

However, due to the general downturn in

earnings, owners were reluctant to spend more

than they had to. As a result, ASRY’s revenue

showed a sharp drop – down 37% on 2008 to

$131.4 mill.

Arab interests once again contributed the

majority of business, bringing in 79 vessels to

the value of $72.4 mill. Saudi Arabian owners

were prominent with 21 vessels repaired

amounting to $23 mill. The Arab interests

included Vela and Kuwait Oil Tanker Co

(KOTC). KOTC repaired 11 vessels during

2009 and Vela five VLCCs.

As for the international markets, despite

rock bottom steel prices and heavy

discounting from Asian yards, owners

continued to support the yard, ASRY said. The

majority of the international stemmings came

from Great Lakes Dredge & Dock co and

Maersk, who between them provided 19

vessels with an invoice value of $14.2 mill.

Other clients returned to the yard, including

established customers from Norway, India and

ASRY has embarked upon another expansion project.

Indian owners opted to use ASRY’s repair facilities.

Greece who maintained their fleets at Bahrain.

The first quarter of this year has started on a

more positive note. In his annual address,

CEO Chris Potter said, ”ASRY’s main

strengths continue to be a workforce that has

been developed over many years, an active

global network of agents, strong management

of quality and safety systems, a customeroriented

approach of building partnerships and

demonstrating fairness in how they are

treated. All these facets bode well for the

shipyard’s continued success.”

In March, ASRY signed a fleet agreement

with Sharjah-based Fal Shipping. The first

vessel docked as part of the deal was the

39,000 dwt products tanker Gulf Crown.

Yard expansion on track

Last December, ASRY awarded a design and

build contract for the construction of a 1,380

m long quay wall as part of the yard’s

expansion plans.

The $80 mill contract calls for the building

of a 1,200 m quay wall with a water depth of

12 m. It will be able to berth vessels of up

300,000 dwt. In addition, a 180 m long berth

will also be built to handle vessels of up to

40,000 dwt. The first 400 m will be ready by

the end of this year, while the whole

construction should be finished by the end of

2011.

In addition to the quay walls, support

facilities and infrastructure will also be built,

including a 200,000 sq m offshore fabrication

area. These are currently at the design stage

and a contract should be placed as

TAKEROperator went to press.

The quay was designed by UK-based

engineers Royal Haskoning. ASRY is also

investing in four new tugs, to be built at the

yard to a Sea Tech Solutions design. A

materials package for the new tugs is being

supplied by Singapore’s Pacific Ocean

Engineering & Trading.

With a bollard pull of 40 tonnes and a speed

of 11 knots at half load, the tugs are designed

for berthing, docking and offshore towage

duties.

TO

52

TANKEROperator June 2010


Damage to propellers caused by

ice and other debris is becoming

an increasing problem, a leading

underwater repair specialist said.

Due to this, some of the repairs have to be

undertaken in ice covered areas, or severe

cold conditions encountered during the winter,

such as ports and harbours located in the

Baltic and Barents Sea.

During the past few months, Belgian

underwater repair specialist Hydrex’s divertechnicians

have carried out propeller

croppings in Antwerp, Ventspils, Kiel and

Bremerhaven.

They were undertaken in severe winter

conditions, but did not restrict the divers from

carrying out their tasks, the company claimed,

adding that they were trained to perform a

wide variety of operations, both above and

below the water level, anywhere in the world.

Having developed different procedures for

different types of damage, the company

claimed that it was “equipped to make the best

out of a bent, or broken propeller”.

Ideally, the in-house developed cold

straightening technique is used, which allows

Hydrex to straighten damaged blades in-water,

allowing the vessel to operate without the

need for drydocking. By using this method,

blades can be restored to their original form,

thereby restoring the propeller’s optimum

efficiency.

TECHNOLOGY – SHIPREPAIR & MAINTENANCE

Propeller repairs in extreme conditions restore efficiency

Propeller blades can become damaged in

ice conditions.

Hydrex divers are trained to work in extreme conditions.

Should a piece of the blade be broken, or if

there is other damage too extensive for

straightening, a blade’s section will be

cropped. In cases where there is an even

number of blades, an identical piece will be

cropped from the opposite blade to restore the

hydrodynamic stability of the propeller. By

undertaken this method of repair, the best

possible efficiency is obtained, the company

said.

Tanker repairs

Examples where cropping was the only

solution included – the two of four blades of a

250 m long tanker, which had been bent too

much to be straightened. They were cropped

by a Hydrex diver-technician team while the

vessel was in Antwerp.

An underwater inspection was performed on

the tanker in order to make a clear assessment

of the damage. The information acquired was

then used to calculate and determine the

correct measurements needed to modify the

training edges of the propeller blades. The two

blades were then cropped followed by the

polishing of the sharp edges of the cropped

areas.

Another tanker, this time an 180 m long

vessel, suffered blade damage in Ventspils.

After an inspection carried out in extremely

icy conditions, it was found that two of the

blades were severely bent and needed to be

cropped. This was subsequently carried out in

accordance with the attending class society’s

surveyor.

Following the successful completion of the

repairs to the tanker, the team then moved on

to a 210 m long containership, berthed at the

same port. Here, it was found that four out of

the five blades were bent too much to be

straightened. Following consultations with all

the parties involved, it was decided to cut all

the propeller blades to exactly the same size

and to re-profile all the blades to their

optimum condition under the new

circumstances.

By undertaking this task, the vessel’s

propeller balance could be restored and its

hydrodynamic efficiency optimised to suit the

power requirements of the engine. This

allowed the vessel to continue to sail until its

next scheduled drydocking when permanent

repairs will be performed.

Also in icy conditions, a 180 m

containership berthed at Kiel, needed to have

all four blades cropped after three of them

suffered damage. The blades were modified

one by one. The area to be cropped was

marked out on each blade and verified. Each

blade was then cropped and its edge grinded

to give the correct radius. When the cropping

was complete, the blades were polished to

ensure that any loss of power was minimal.

Further south, in Bremerhaven, another

containership suffered damage to all five

blades. Due to a strong current and very bad

underwater conditions, the cropping of the

blades could not be undertaken underwater.

Therefore, the vessel was trimmed

sufficiently to bring the blades out of the

water, after which they could be cropped to

restore the vessel’s efficiency.

June 2010 TANKEROperator 53

TO


TECHNOLOGY – SHIPREPAIR & MAINTENANCE

Protecting ship’s

hulls in ice

As the push for energy transportation in harsh environments gains momentum,

tanker and gas carrier hulls need special protection from, for example,

severe hull ice abrasion and ice adhesion*.

Due to 22% of the world’s known

oil and gas reserves being located

above the Arctic Circle, gas giant

Gazprom has estimated that

offshore development in Russia alone will

drive orders for more than 50 ice class tankers

and at least 23 LNGCs.

Many will need to operate all the year

around and be able to cope with ice of 1.5 m

thick. Russia’s desire to build vessels in its

own yards has been illustrated by Prime

Minister Vladimir Putin’s proposal for “a

joint production of ships and services” to

Finnish president Tarja Halonen last March.

Earlier in the month, Putin expressed interest

in a similar co-operation with Denmark.

Samsung Heavy Industries and Daewoo

Shipbuilding and Marine Engineering

(DSME) have already signed technology

transfer agreements with Russian builders,

while Mitsubishi Heavy Industries, shipowner

NYK and trading house Mitsui have

investigated how to modernise the United

Industrial Corporation’s (OPK’s) Severnaya

Shipyard plus the Baltiysky Zavod yard for

LNGC construction.

Plans are also being discussed by the oil

majors and North American shipowners

regarding the building of a new fleet of

icebreakers and tankers to operate in the

Beaufort Sea.

Class action

Class Societies have been very active in

dealing with the challenges posed by

operating in these conditions; harmonising

rules on polar ships, beefing up ice

strengthening on propellers and propeller

shafts, amending guidelines on winterisation,

and working jointly to bring different skills

developed on ice going ships by different

societies to bear on specific newbuild projects.

However, there has been less debate about

the first point of contact between a ship and

ice – the paint covering its hull. Whether they

are dedicated icebreakers operating in multiyear

ice with ice inclusions or tankers trading

for only three months a year in first year ice,

all ships face the challenges set by severe ice

abrasion on the hull, and ice adhesion.

Traditional anticorrosive systems, including

standard pure epoxy systems, are unable to

meet these challenges. However, some class

societies, such as Lloyd’s Register and DNV

explicitly recognise the benefit of applying a

specialised, low friction, ice resistant coating

on the hull. Such coatings are shown to aid

the passage of the vessel by virtue of low

frictional resistance. They also protect steel

from corrosion by providing a physical barrier

to the elements. All ships face the challenges

set by severe ice abrasion on the hull, and ice

adhesion.

The first class society recognised abrasion

resistant ice coating was International Paint’s

Intershield® 163 Inerta 160. LR, for example,

More ice class

tankers will mean

more specialised

hull coatings. Photo

credit - International

Paint.

54

TANKEROperator June 2010


TECHNOLOGY – SHIPREPAIR & MAINTENANCE

The problems of trading in areas of extreme cold can be clearly seen.

Photo credit - International Paint.

stated that if a recognised low friction coating

is applied in way of the main ice belt and is

maintained in good condition during service,

then scantling thickness can be reduced by

1 mm.

DNV stated that if a special coating is

applied, that by experience has been shown to

be capable of withstanding the abrasion of ice,

and is properly maintained, then lower values

for the ‘increment due to abrasion and

corrosion due to ice trading’ may be approved.

To get the optimum level of protection from

a specialist, abrasion resistant ice coating, it is

advisable to coat the complete underwater hull

up to 0.5 m above the deep load water line.

Generally, all parts of the hull could be in

contact with ice whether it is during the initial

ice break, or the subsequent impact of large

ice inclusions as the vessel proceeds.

While ice class vessels trading in first year

ice do not require complete coating of the

underwater hull, they should, as a minimum,

be coated in the ‘ice belt’ region.

Some coatings suppliers offer paints, which

exhibit low abrasion characteristics

compatible with working through ice.

However, it may be significant that ice

conditions did not drive their conception.

IP’s Intershield® 163 Inerta 160 is not a

standard coating, as this product was instead

specifically designed for ships trading in the

Baltic Sea region, and in temperatures down to

-50 deg C. With a track record now stretching

back 35 years, this coating has proven itself as

exhibiting up to 2.5 times the impact and

erosion resistance of standard epoxies.

Its smooth surface assists ice slip and resists

ice adhesion to the coating’s surface. It is also

abrasion resistant –controlling mechanical

damage and hull roughness, and saving on

future maintenance and repair costs.

IP said that these were not idle claims, as

over the last 35 years, close to 1,200

applications of Intershield® 163 Inerta 160

have been made, with 141 applications being

made to dedicated icebreakers.

For example, the latest of the Aker Arctic

Technology-designed tankers to be built to the

double-acting principle, wherein ice is broken

by a vessel when going either ahead or astern,

was delivered in March by Admiralty

Shipyard to Sovcomflot. This was the 70,000

dwt shuttle tanker Mikhail Ulyanov, which

was the first of a pair to be delivered by the St

Petersburg yard. She will be deployed at the

Prirazlomnoye field in the Pechora Sea off

northern Russia.

She will be required to achieve three knots

when going astern in first year ice up to 1.2 m

thick, and a 20 cm snow layer; and three knots

when going ahead in first-year ice up to 0.5 m

thick.

This ship has also been coated with

Intershield® 163 Inerta 160 as has three

71,000 dwt Sovcomflot double acting tankers

built at Samsung - Timofey Guzhenko, Vasily

Dinkov, and Kapitan Gotsky - which operate

from the Varandey oil terminal in the Barents

Sea.

Robert Thompson, first deputy managing

director, SCF-Unicom, which provides

technical services for Sovcomflot, offered an

insight into the continuing appeal of ‘Inerta’.

He said that, in the case of the Samsung-built

ships, a range of alternative coatings were

discussed at the design stage.

“A combination of previous experience and

the results of comparative test patches on

other vessels proved decisive in favour of

Intershield®163 Inerta 160. The Vasily Dinkov

has now completed approaching two years of

trading in ice thicknesses over 1.5 m,”

explained Thompson, “and the coatings

remain in good condition throughout.”

Research has shown that a steel hull with a

traditional anticorrosive system trading in ice

can experience abrasion and subsequent

corrosion that increases average hull

roughness in the first year from 100 to 225

microns, resulting in an increase of up to 4%

in the power required to maintain the same

vessel speed.

Intershield® 163 Inerta 160’s coefficient of

friction has been measured and compared to a

traditional anticorrosive system and corroded

steel with a measured surface roughness of

100 microns. These tests demonstrated that it

is possible to achieve an annual fuel saving of

7-10% with a typical vessel trading in the

Baltic region if the vessel is coated with IP’s

Intershield® 163 Inerta 160 compared to a

standard coating system.

Despite these findings, it is fair to

acknowledge that some shipyards have

expressed reluctance when asked to apply it.

And, since proper application is critical with

any hull coating, their concerns must be

addressed. Because the coating has a very low

solvent content, it cures rapidly, ‘going off’

within minutes. It is so viscous that it must be

heated for spraying and must be applied to

steel with a relatively deep 75-micron blast

profile in one coat, 500 microns thick.

Here, the solution is application by way of a

hot twin-feed spray machine, where the curing

agent and the base are heated and mixed at the

point of application immediately before

spraying. In short, the ratios of the curing

agent and the base are preset, and delivered

automatically.

Some shipyards more accustomed to single

pump coatings delivery have expressed

concern over the perceived complexity of this

method. It is perhaps ironic, then, that a

simple pre-set, automatic selection to mix two

ingredients should be seen as a stumbling

block to delivering the sophisticated ships that

will, in part, sustain the shipbuilding industry

itself in the years ahead.

TO

*This is an extract from a paper written

by International Paint.

June 2010 TANKEROperator 55


TECHNOLOGY - TANK SERVICING

Is there a chemist

on board?

Training shore and seagoing personnel nowadays is widely accepted. It has become a

necessity due to demands of the industry and because of legislative requirements.

IMO’s STCW is a general and basic

document against which every

seafarers’ skills need to be measured.

In my view it can be compared to an

elementary school, where basic skills are

taught, which are beneficial to all children.

You can’t do without it, but when this is the

only education acquired, the world generally

will be a tough place to get ahead in life*.

Secondary, or high school is an absolute

must in order to gain an advantage in life, as

well as shipping but, more important, is the

necessity to be able to understand and apply

the numerous procedures, company as well as

administrative instructions, on as many

different items and disciplines as possible.

I would categorise most additional courses,

which are aimed at specific types of vessels,

such as tankers in general and chemical

tankers in particular, as secondary or high

school. Because of the nature of its cargo,

these vessels are equipped with the most

advanced operating and control systems.

By taking additional courses, tanker crew

become familiar with these systems and with

the specific legislation based on the cargoes

carried. Therefore, training tanker crew in

how to apply the different procedures and

manage different systems under changing

circumstances is a must in order to deliver the

high standards of quality chemical cargo

owners are demanding and have based their

vetting procedures on.

There is no vessel on which the properties

of the cargo have such a large impact on the

different procedures and types of legislation as

the chemical tanker. Yet these basic and

additional courses mainly consider the

operational systems on board the tanker,

whereas the relation with the cargo’s

properties in question is not, or only

marginally taken into account.

For that reason shipmanagement, including

the management staff on board, should attend

the university of chemical tanker transport. Just

as in real life, this education level has to be on

top of that of the elementary school and high

school. One needs the basic and additional

training in order to get the most out of this

chemical course with its emphasis on properties

of chemicals in relation to chemical tanker

operating procedures such as tank cleaning,

cleanliness inspection and cargo compatibility

to water, air, tank linings and other cargoes.

It has to be explained why a cargo needs to

be transported under inerted atmosphere and

not only taught. If seagoing personnel know

the reason why, they can benefit from this

knowledge in future with other ‘new’ petro- or

oleo-chemicals.

Proper care of tank linings will lead to both

the short and long term contribution to the

vessels profitability. Coatings are under attack

by the different aggressive cargoes, but

sometimes even more by the different

cleaning additives, which can shorten the

coating’s life span considerably.

We fully rely on the cleaning chemical

manufacturer’s directions for use, such as the

chemicals’ concentration while the suppliers’

main objective is to get the tank clean and

might have less consideration for the wear of

the coating.

Let us not forget the ‘invulnerable’ stainless

steel: many owners/operators know the costs

of repairing, or even replacing smaller or

larger surfaces of this alloy. Proper care of this

delicate lining could save these costs but then

shipboard personnel must know why some

situations are affecting the stainless steel so

that they can act when necessary. If you don’t

recognise the danger, then it is hard to act

accordingly. Both shore and ship personnel

should be more aware of these interactions

between cargo and vessel.

The Material Safety Data Sheet (MSDS) is

a grossly underestimated piece of

documentation. The latest standardisations are

indeed beneficial in providing the information

to people involved, but still a lot more

information can be acquired if some chemical

knowledge is on hand.

Without playing down the huge importance

of chapters handling fire fighting and first aid

measures, most of the information is rather

general. In addition, the information is

applicable to numerous other cargoes except

for the typical chapter where chemical and

physical properties are displayed; this only

applies to one cargo/product.

There is no vessel on which the properties

of the cargo have such a large impact on the

different procedures and types of legislation

as the chemical tanker.



In general, only bits and pieces of data are

used, such as the melting point to see if the

cargo has to be externally heated or not, but

by combining all details, we can arrange for

the transportation of the cargo in perfect

condition. We can also take care of our vessel

before, during and after carrying this cargo,

referring to tank lining, tank cleanliness

inspection and tank cleaning after discharge.

Of course, experience is an invaluable tool,

but when you always clean your tank with 2%

detergent, you’ll never know that it will also

get clean by using a 0.5% solution. Still I think

combining years of experience with practical

chemical knowledge is a winning formula.

We can conclude that on top of the necessary

training on procedures and equipment on board

our chemical tankers, there still is the relatively

thinly explored area of knowing the properties

of your cargo and deduce the proper

procedures, not only for the actual transport,

but also for the correct stowage, a smooth

cleanliness inspection and for a suitable tank

cleaning afterwards, to be addressed. TO

*This article was written exclusively for

TAKEROperator by Fred Burgmeijer,

director, TankAssist, based at Capelle

a/d Ijssel, the etherlands.

56

TANKEROperator June 2010


TAKEROperator

KEY PLAYERS IN THE

TANKER INDUSTRY

will be profiled giving their

views on current legislation,

recommendations and trends.

These will include chief

executives from all sectors of

the industry from equipment

manufacturers to the top

shipowners

INFORMATION

about meeting oil major

requirements

(TMSA / vetting)

COMMERCIAL TANKER

OPERATIONS

including shipbroking, legal matters

and financing

IN DEPTH INFORMATION

on the latest newbuilds, sale and

purchase, freight rates and

derivatives markets, using industry

known commentators

A STRONG FOCUS

on shipbuilding and repair

DEVELOPMENTS in management/

safety/ environmental best practice

NEW TECHNOLOGIES

and commercial industry

developments

Photo credit – Hempel

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