Such are the strange ways of our Indian Government.
In September 2005 the Government of India announced by a gazzette notification the "Entry of Vessels into Ports Rules, 2005." Amongst other things, it spelt out the provisions for insurance on foreign ships entering India, to cover pollution and wreck removal.
In July 2006, the Ministry of Shipping, TR Baalu presiding, issued another notice putting the above Rule into abeyance till further orders.
A response to an RTI on this subject is awaited. Interim if anybody has any internal information on this, anonymity and confidentialities assured.
Articles published elsewhere as well as for the blog by me, an ex-seafarer now back to sea, for all in shipping, mainly dedicated to the Merchant Navy. Do write. Identity protection assured. The author was an Indian seafarer, and now going back to sea after a gap of almost 25 years, to write better on the subject. MLC 2010 will not improve things unless you, the seafarer, are heard. Also associated with IDARAT MARITIME/London . . . http://www.idaratmaritime.com/ Veeresh Malik
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Showing posts with label clay maitland. Show all posts
Showing posts with label clay maitland. Show all posts
Thursday, 8 December 2011
Monday, 18 April 2011
RPS guidelines on employers of seafarers - DGS rules - essential reading
For anybody in the business of commenting on Somali pirates, please do a 360 and read these rules as applicable to employment of seafarers, and try to work out who else are the pirates as far as seafarers are concerned.
It is easy to blame piracy, but let us look within, also?
http://www.dgshipping.com/dgship/final/rules/ms_recruit_placement_seafarers_2005_Cov.htm
http://www.dgshipping.com/dgship/final/rules/ms_recruit_placement_seafarers_2005.doc
Defined - employer, bank guarantee amounts, and much more which the average seafarer just does not know about, to start with . . . consider this - from the day the aspirant seafarer answers her or his first advertisement on the subject of wanting to go to sea, how many pirates do they meet who take them for a ride?
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Monday, 14 March 2011
The israelis And russians do it better
More about piracy here.
http://moneylife.in/article/piracy-on-the-high-seas-how-do-israel-and-russia-combat-this-menace/14705.html
Piracy on the high seas: How do Israel and Russia combat this menace?
March 14, 2011 03:19 PM
|
Veeresh Malik
A number of foreign flagships have their own armed personnel on board, they call them “seamen”, and organise documents for them from the flag state. But India has made it extremely difficult for armed personnel to sail on board Indian merchant flagships
In the world of shipping, flags and nationalities often have interchangeable meaning, and it is not unusual for ship-owners and ship-operators to not just burn the candle on both ends, but also cut the candle up into small pieces, burn it at every end, and then burn it lengthwise too.
The history of almost every major shipping company is littered with evidence and anecdotes of what could best be called "extreme free enterprise"-slave trade, narcotics, arms, sanctions, colonial ambitions-nothing is or was impossible.
A roll-call of some of the major shipping interests around today, especially the 'Old Money' sorts from Western and Middle Europe, will show how as recently as during World War II, fleets were literally divided up to serve on both sides. That's nothing new. Somebody has to win, it made sense to cover all bets-this is also called hedging.
Some day soon, we shall also discuss derivates in the same context.
And of course, yesterday's gunrunners making their futures in and around Africa and Asia are today's corporate darlings, with shipping histories conveniently ignoring the truths. The only loyalty is towards turning over a faster profit, at any cost, especially when new flags can be rented by the hour.
Mongolia's maritime ambitions are the latest example, where anything goes.
So, in a way, why blame the poor Somalians-after all, if they were wearing suits tailored from bespoke outlets and could just knot their ties better than they do their lungis, they would not really look very different-and the flag would not really matter. Every European nation worth its colonial history has a few dozen flags lying spare here and there in the rest of the world-so what if they had to let go a Hong Kong or Singapore?
Here a fact: reading up on the small nation-states that still owe allegiance to the victors of the World War II, ostensibly fought on the basis of "freedom for all", is indeed extremely revealing. Thing is, there are so many of these little-little countries, mostly islands here and there, that it is quite a long read.
But it helps to understand shipping, and to figure out why shipping companies love them, too. It may be a bit difficult to memorise and sing so many new National Anthems, but hey, they can always buy a CD. Here's another fact: newer the country, easier the Flag of Convenience, and often prettier the flag.
But there are always exceptions. For some people, for some flags, never forget. And the Israelis stand very, very tall in this. In fact, their flags are the tallest in the world. Today, their ships sail past the pirate areas of the Indian Ocean, without challenge. A friend who was a Master on one of their Zim Line ships relates an episode of how while other ships would creep past in full black-out conditions, they would barrel through the piracy areas with all lights on and with floodlights shining on the funnel as well as name and port of registry. Every time. Nobody knows if the pirates out there can read Hebrew, so the name is also painted on in English.
Into this world we bring our gentle and loyal readers a small touch, a faint whisper of a part of a chapter in a huge book actually, of the amazing real-life story of the Ofer Brothers. Apart from owning the Israeli shipping behemoth, Zim, the Ofers are also known to own and control Tanker Pacific (one of the largest oil-tanker operators in the world) as well as a few other shipping interests-including the companies that owned the St James Park and the Asian Glory, that were hijacked and released in 2009.
One version is here:
http://www.oferg.com/Aboutus/History/tabid/125/Default.aspx
Another version is here:
http://www.oferg.com/Aboutus/History/tabid/125/Default.aspx
And here too, the third version, where you will notice that our old friends-the banks and the insurance companies-make their now usual grand appearance, as private investors too.
http://www.haaretz.com/print-edition/business/the-shakshuka-system-a-view-from-2009-1.271235
But this report is about piracy and Israelis. For that, please and kindly look carefully at the timeline below:
+++
This is a statement issued by the operators after the release of their ship, the St James Park, mid-May 2009. "The company does not wish to jeopardise the safety of crew members held on its second hijacked vessel the Asian Glory or other vessels and crews that are still being held by Somali pirates in the area," Zodiac said in a statement. (The vessel St James Park, with a British flag, was hijacked on 28 December 2008 and released on 14 May 2009, with Indian, Pakistani and Bulgarian crew).
This is the statement issued by the operators after the release of their ship, the MV Asian Glory in mid-June 2009-"Zodiac said in a statement on its website that all crewmembers were well, but declined to provide further details." (MV Asian Glory, with a British flag, was hijacked in early January 2009 and released in mid-June 2009-its crew consisted of Ukrainians, Bulgarians, Indians and Romanians.)
But there has been no statement issued by the owners or operators, as yet, pertaining to the hijack and release of their ship the MV Arctic Sea, from the North Sea, in highly-controlled Western Europe waters. On voyage from Finland to Algeria with "timber", but suspected to have been carrying weapons likely destined for certain Arab interests. (MV Arctic Sea, Malta flag, primarily Canadian owned-beneficial owners unclear-was hijacked in late July 2009 and "found" in mid-August 2009 in the Atlantic Ocean).
+++
The buzz in the maritime world in India and elsewhere has been loud and clear after this-Ofer's ships will simply not be touched again. In fact, any Israeli interests will not be touched again in the Indian Ocean piracy areas. Buzz also has it that on the waterfront in Puntland and the rest of the Horn of Africa, word is out that you don't mess with the Star of David, or those whom they protect.
So you now have MSC, (Med Shipping of Geneva, Switzerland, another shipping company with a history of its own, operating from that great maritime nation, Switzerland) the largest operators of cruise ships, openly declaring that their "security staff" was and is Israeli.
Here's another episode: April 2009, the MSC Melody with a "large number of passengers onboard" repelled an attack by boats and boats of pirates about 500 miles off Somalia. Apparently it was a planned attack. Initial news reports spoke about the ship taking successful evasive action, but truth is that the security forces onboard used firearms "and more" to drive off the attackers, and then actually doing some more too-which cannot and will not be repeated here.
But put it this way, there are videos circulating on the Internet of how security men from another nation captured some pirates, released the hostage crew who were being forced to operate the mother ship, and then, what the heck, tied the pirates up and then blew up the ship.
Some people got very, very, wet-and unhappy. Russian ships don't get attacked in Somalia any more, either, for some time now.
So this is what the MSC Melody's ship-owner's statement said: "Security work onboard our cruise ships is very popular with young Israelis just out of the army, the job is seen as a chance to save money and travel at the same time. Hundreds of veterans and reservists of elite Israel Defence Force units, including Naval commandos, are employed in security work on cruise ships and oil rigs in areas subject to pirate attacks."
And in the bargain, another amazing factoid is emerging in Africa-the Israelis are fast becoming important players in all forms of commercial enterprises in and around the emerging African countries. One country, (actually three of them), is reported to now permit nuclear tests as well as Armed Forces "training" on their territories. (South Africa stopped in the post-apartheid era, that is what one understands, and Angola is not all that big).
The Chinese are now facing competition, because cheap labour costs the same for both of them, especially if it is from Third World countries. And most of all, Israeli interest ships continue to flow through safely-which is more than what many other countries can claim.
+++
Where is India on something like this?
1) All sorts of important people in Delhi are debating on whether Indian ships should have armed guards on them or not. Popular sentiment fashioned on some old traditions going back to, where else, the British, has it that merchant ships should not be armed. This is usually after lunch and before dinner, after which they all go home to their well-protected homes, mostly with heavily armed guards outside.
2) The Directorate General of Shipping, Mumbai, in its own brilliance has made it extremely difficult for ex-Indian Navy personnel to sail onboard Indian merchant flag ships. The background of this is somewhere else totally, and involves Supreme Court judgements, so it will not be discussed here, other than a single simple comment: "own goal". Or better, still, "self
hit-wicket."
3) Foreign flagships which have their own armed personnel onboard declare the security people as "seamen", and organise documents for them from the flag state. The actual arms are either declared and kept in bonded locker stores, or simply, sometimes, not declared, that's also life. Releasing a ship from official pirates in India is easier than getting it released from unofficial pirates in Somalia.
4) The ITF, BIMCO, Intertanko, Interbulk and the International Chamber of Shipping are meeting in London again next week. Apparently they plan to issue another joint appeal, after lunch and before dinner, and then launch another Web campaign. However, they are also not in favour of placing armed guards on merchant ships-though this is also being debated. To the best of my knowledge, the Indian government is not represented here this time, though some other Indians in shipping are.
+++
There is no too ways about this-piracy at sea is now a very important component of what is increasingly being referred to as "MCO". (Multinational Crime Organisation). History teaches us that the New World was conquered by buccaneers and they were supported brilliantly by their backers-state, church or commerce. Things really haven't changed that much lately, either.
http://moneylife.in/article/piracy-on-the-high-seas-how-do-israel-and-russia-combat-this-menace/14705.html
Piracy on the high seas: How do Israel and Russia combat this menace?
March 14, 2011 03:19 PM


Veeresh Malik
A number of foreign flagships have their own armed personnel on board, they call them “seamen”, and organise documents for them from the flag state. But India has made it extremely difficult for armed personnel to sail on board Indian merchant flagships
In the world of shipping, flags and nationalities often have interchangeable meaning, and it is not unusual for ship-owners and ship-operators to not just burn the candle on both ends, but also cut the candle up into small pieces, burn it at every end, and then burn it lengthwise too.
The history of almost every major shipping company is littered with evidence and anecdotes of what could best be called "extreme free enterprise"-slave trade, narcotics, arms, sanctions, colonial ambitions-nothing is or was impossible.
A roll-call of some of the major shipping interests around today, especially the 'Old Money' sorts from Western and Middle Europe, will show how as recently as during World War II, fleets were literally divided up to serve on both sides. That's nothing new. Somebody has to win, it made sense to cover all bets-this is also called hedging.
Some day soon, we shall also discuss derivates in the same context.
And of course, yesterday's gunrunners making their futures in and around Africa and Asia are today's corporate darlings, with shipping histories conveniently ignoring the truths. The only loyalty is towards turning over a faster profit, at any cost, especially when new flags can be rented by the hour.
Mongolia's maritime ambitions are the latest example, where anything goes.
So, in a way, why blame the poor Somalians-after all, if they were wearing suits tailored from bespoke outlets and could just knot their ties better than they do their lungis, they would not really look very different-and the flag would not really matter. Every European nation worth its colonial history has a few dozen flags lying spare here and there in the rest of the world-so what if they had to let go a Hong Kong or Singapore?
Here a fact: reading up on the small nation-states that still owe allegiance to the victors of the World War II, ostensibly fought on the basis of "freedom for all", is indeed extremely revealing. Thing is, there are so many of these little-little countries, mostly islands here and there, that it is quite a long read.
But it helps to understand shipping, and to figure out why shipping companies love them, too. It may be a bit difficult to memorise and sing so many new National Anthems, but hey, they can always buy a CD. Here's another fact: newer the country, easier the Flag of Convenience, and often prettier the flag.
But there are always exceptions. For some people, for some flags, never forget. And the Israelis stand very, very tall in this. In fact, their flags are the tallest in the world. Today, their ships sail past the pirate areas of the Indian Ocean, without challenge. A friend who was a Master on one of their Zim Line ships relates an episode of how while other ships would creep past in full black-out conditions, they would barrel through the piracy areas with all lights on and with floodlights shining on the funnel as well as name and port of registry. Every time. Nobody knows if the pirates out there can read Hebrew, so the name is also painted on in English.
Into this world we bring our gentle and loyal readers a small touch, a faint whisper of a part of a chapter in a huge book actually, of the amazing real-life story of the Ofer Brothers. Apart from owning the Israeli shipping behemoth, Zim, the Ofers are also known to own and control Tanker Pacific (one of the largest oil-tanker operators in the world) as well as a few other shipping interests-including the companies that owned the St James Park and the Asian Glory, that were hijacked and released in 2009.
One version is here:
http://www.oferg.com/Aboutus/History/tabid/125/Default.aspx
Another version is here:
http://www.oferg.com/Aboutus/History/tabid/125/Default.aspx
And here too, the third version, where you will notice that our old friends-the banks and the insurance companies-make their now usual grand appearance, as private investors too.
http://www.haaretz.com/print-edition/business/the-shakshuka-system-a-view-from-2009-1.271235
But this report is about piracy and Israelis. For that, please and kindly look carefully at the timeline below:
+++
This is a statement issued by the operators after the release of their ship, the St James Park, mid-May 2009. "The company does not wish to jeopardise the safety of crew members held on its second hijacked vessel the Asian Glory or other vessels and crews that are still being held by Somali pirates in the area," Zodiac said in a statement. (The vessel St James Park, with a British flag, was hijacked on 28 December 2008 and released on 14 May 2009, with Indian, Pakistani and Bulgarian crew).
This is the statement issued by the operators after the release of their ship, the MV Asian Glory in mid-June 2009-"Zodiac said in a statement on its website that all crewmembers were well, but declined to provide further details." (MV Asian Glory, with a British flag, was hijacked in early January 2009 and released in mid-June 2009-its crew consisted of Ukrainians, Bulgarians, Indians and Romanians.)
But there has been no statement issued by the owners or operators, as yet, pertaining to the hijack and release of their ship the MV Arctic Sea, from the North Sea, in highly-controlled Western Europe waters. On voyage from Finland to Algeria with "timber", but suspected to have been carrying weapons likely destined for certain Arab interests. (MV Arctic Sea, Malta flag, primarily Canadian owned-beneficial owners unclear-was hijacked in late July 2009 and "found" in mid-August 2009 in the Atlantic Ocean).
+++
The buzz in the maritime world in India and elsewhere has been loud and clear after this-Ofer's ships will simply not be touched again. In fact, any Israeli interests will not be touched again in the Indian Ocean piracy areas. Buzz also has it that on the waterfront in Puntland and the rest of the Horn of Africa, word is out that you don't mess with the Star of David, or those whom they protect.
So you now have MSC, (Med Shipping of Geneva, Switzerland, another shipping company with a history of its own, operating from that great maritime nation, Switzerland) the largest operators of cruise ships, openly declaring that their "security staff" was and is Israeli.
Here's another episode: April 2009, the MSC Melody with a "large number of passengers onboard" repelled an attack by boats and boats of pirates about 500 miles off Somalia. Apparently it was a planned attack. Initial news reports spoke about the ship taking successful evasive action, but truth is that the security forces onboard used firearms "and more" to drive off the attackers, and then actually doing some more too-which cannot and will not be repeated here.
But put it this way, there are videos circulating on the Internet of how security men from another nation captured some pirates, released the hostage crew who were being forced to operate the mother ship, and then, what the heck, tied the pirates up and then blew up the ship.
Some people got very, very, wet-and unhappy. Russian ships don't get attacked in Somalia any more, either, for some time now.
So this is what the MSC Melody's ship-owner's statement said: "Security work onboard our cruise ships is very popular with young Israelis just out of the army, the job is seen as a chance to save money and travel at the same time. Hundreds of veterans and reservists of elite Israel Defence Force units, including Naval commandos, are employed in security work on cruise ships and oil rigs in areas subject to pirate attacks."
And in the bargain, another amazing factoid is emerging in Africa-the Israelis are fast becoming important players in all forms of commercial enterprises in and around the emerging African countries. One country, (actually three of them), is reported to now permit nuclear tests as well as Armed Forces "training" on their territories. (South Africa stopped in the post-apartheid era, that is what one understands, and Angola is not all that big).
The Chinese are now facing competition, because cheap labour costs the same for both of them, especially if it is from Third World countries. And most of all, Israeli interest ships continue to flow through safely-which is more than what many other countries can claim.
+++
Where is India on something like this?
1) All sorts of important people in Delhi are debating on whether Indian ships should have armed guards on them or not. Popular sentiment fashioned on some old traditions going back to, where else, the British, has it that merchant ships should not be armed. This is usually after lunch and before dinner, after which they all go home to their well-protected homes, mostly with heavily armed guards outside.
2) The Directorate General of Shipping, Mumbai, in its own brilliance has made it extremely difficult for ex-Indian Navy personnel to sail onboard Indian merchant flag ships. The background of this is somewhere else totally, and involves Supreme Court judgements, so it will not be discussed here, other than a single simple comment: "own goal". Or better, still, "self
hit-wicket."
3) Foreign flagships which have their own armed personnel onboard declare the security people as "seamen", and organise documents for them from the flag state. The actual arms are either declared and kept in bonded locker stores, or simply, sometimes, not declared, that's also life. Releasing a ship from official pirates in India is easier than getting it released from unofficial pirates in Somalia.
4) The ITF, BIMCO, Intertanko, Interbulk and the International Chamber of Shipping are meeting in London again next week. Apparently they plan to issue another joint appeal, after lunch and before dinner, and then launch another Web campaign. However, they are also not in favour of placing armed guards on merchant ships-though this is also being debated. To the best of my knowledge, the Indian government is not represented here this time, though some other Indians in shipping are.
+++
There is no too ways about this-piracy at sea is now a very important component of what is increasingly being referred to as "MCO". (Multinational Crime Organisation). History teaches us that the New World was conquered by buccaneers and they were supported brilliantly by their backers-state, church or commerce. Things really haven't changed that much lately, either.
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Sunday, 6 March 2011
Large Pirate Support Vessel (LPSV)
And now they are using Supertankers as well as big capeSize bulkers as Mother ships???
Motherships have been an important asset for Somali pirates for several years, and originally were normally large skiffs, dhows or fishing trawlers. However, in recent months the use of hijacked merchant ships as motherships appears to have been adopted as standard practice. This is an important and dangerous development and merchant fleets need to be aware of this and increase their preparedness.
The MV Izumi was used as a mothership in attacks on the MV Torm Kansas near Pemba Island, off East Africa, and then, on 6th November 2010, on the EU NAVFOR Spanish warship ESPS Infanta Christina, which was escorting an African Union supply ship Petra 1. The Spanish warship responded to fire from the MV Izumi by firing “warning shots”, rather than using direct fire, because hostages were aboard the vessel. The MV Izumi was also used as a mothership in the middle of December 2010, operating in the Somali Basin about 60° East.
By the end of 2010 it had become obvious that the Somalis had learnt from the failure of the ESPS Infanta Christina to stop the MV Izumi and they appear to have concluded that whereas Somali-manned fishing trawlers and dhows, when used as motherships can be easily taken or sunk by international naval forces, that larger ships represent a totally different problem for the navies of the world.
Firstly, the rules of engagement of most navies preclude firing on a ship which contains hostages, and secondly where a ship, like the MT Motivator, with a cargo of lubrication oil, is used, then there could be serious environmental consequences if it were to be sunk or damaged; the use of an LPG carrier, such as MV York, as a mothership carries particular risks, given the nature of its cargo. There must be other advantages, a large merchant ship can carry far more attack skiffs and pirates than a dhow, the accommodation is relatively comfortable and the vessel will have a full suite of navigation and radio aids, not to mention an effective radar. Other advantages are that a separate team of guards do not have to be recruited to keep an eye on the hostage crew, and the sight of the vessel patrolling the high seas puts additional pressure on an owner reluctant to part with a ransom. There are some cases where a vessel appears to go to sea purely for this reason, as happened with the South Korean VLCC MV Samho Dream, before its release in November 2010. A VLCC is hardly the ideal mothership.
I expect that this development will become normal policy; it will enable pirate groups to put to sea at any time of the year, without bothering about the monsoon seasons and seek calmer areas of sea even further from the Somali coast, in this way the areas of operations are likely to be extended well south of the equator and even east of Sri Lanka. It also has the advantage of reducing the need for pirate havens (although a support base is essential) and as a result we may see this form of hostage-taking adopted off other coasts, in the South China Sea and the Gulf of Guinea, which have lacked secure “pirate-havens”. In this way the Somali pirates will also reduce their vulnerability to attacks from Al-Shabaab, and other Islamist groups. In May 2010 pirates abandoned their base at Xarardheere in haste, after Hizbul Islam attacked the town; witnesses reported that, “several pirate bosses raced out of town in luxury four-by-four trucks, with TVs packed in the back and mattresses strapped on top”. There are of course problems, but these are essentially logistical; the need to ensure that these merchant ships have enough fuel, food and water (and of course khat) on board. I expect that we could even see the hijacking of bunkering tankers in order to refuel these new motherships.
On one day, 30th December 2010, NATO reported that the Singapore-flagged LPG carrier MV York was being used as a mothership (position: 00°38 N 063°59 E course 145. Speed 2.2 knots), as were the Panamanian-flagged 24,105 dwt chemical tanker MV Hannibal II (position: 12°38N 059°00E course 310°, speed 12 knots), the fishing boat Shiuh Fu No.1 (position: 13 27S 053 03E. course 102°, speed 9.1 knots ) and Panama-flagged 72,825 dwt tanker MV Polar (position: 00 50N 050 09E, course 342 speed 13.4 knots.). In addition the 13,065 dwt Marshall Islands flagged chemical tanker, MT Motivator had acted as mothership during the hijacking of the MV Ems River on the 27-28th December 2010, and the 20,170 dwt Panamanian-flagged MV Izumi had continued its patrols into the Arabian Sea, NATO having reported it at 06°30 N – 052°18E, on a course of 245° with a speed of 13 knots, on Christmas Eve.
So, at the end of 2010, it was known that five sizable merchant ships and one fishing boat were at sea, acting as motherships. In addition, various dhows and larger skiffs were deployed in the same role. These merchant ships/motherships (let’s call them Large Pirate Support Vessels or “LPSVs”) represent a much greater threat to shipping than the earlier class of motherships and one of the key tasks of EU NAVFOR and the other international naval forces must be to track their whereabouts at all times. However, EU NAVFOR rarely has effective long-range maritime patrol aircraft available for this task, and such assets are essential if piracy is to be effectively monitored and contained.
The decision of the UK government in the summer of 2010 to abandon the procurement of the Nimrod MRA.4 reconnaissance aircraft now looks increasingly to have been an act of sheer folly, as this was precisely the type of aircraft that is desperately needed to control Somali piracy. With the introduction of the LPSVs Somali piracy has entered into a new and much more dangerous phase.
The MV Izumi was used as a mothership in attacks on the MV Torm Kansas near Pemba Island, off East Africa, and then, on 6th November 2010, on the EU NAVFOR Spanish warship ESPS Infanta Christina, which was escorting an African Union supply ship Petra 1. The Spanish warship responded to fire from the MV Izumi by firing “warning shots”, rather than using direct fire, because hostages were aboard the vessel. The MV Izumi was also used as a mothership in the middle of December 2010, operating in the Somali Basin about 60° East.
By the end of 2010 it had become obvious that the Somalis had learnt from the failure of the ESPS Infanta Christina to stop the MV Izumi and they appear to have concluded that whereas Somali-manned fishing trawlers and dhows, when used as motherships can be easily taken or sunk by international naval forces, that larger ships represent a totally different problem for the navies of the world.
Firstly, the rules of engagement of most navies preclude firing on a ship which contains hostages, and secondly where a ship, like the MT Motivator, with a cargo of lubrication oil, is used, then there could be serious environmental consequences if it were to be sunk or damaged; the use of an LPG carrier, such as MV York, as a mothership carries particular risks, given the nature of its cargo. There must be other advantages, a large merchant ship can carry far more attack skiffs and pirates than a dhow, the accommodation is relatively comfortable and the vessel will have a full suite of navigation and radio aids, not to mention an effective radar. Other advantages are that a separate team of guards do not have to be recruited to keep an eye on the hostage crew, and the sight of the vessel patrolling the high seas puts additional pressure on an owner reluctant to part with a ransom. There are some cases where a vessel appears to go to sea purely for this reason, as happened with the South Korean VLCC MV Samho Dream, before its release in November 2010. A VLCC is hardly the ideal mothership.
I expect that this development will become normal policy; it will enable pirate groups to put to sea at any time of the year, without bothering about the monsoon seasons and seek calmer areas of sea even further from the Somali coast, in this way the areas of operations are likely to be extended well south of the equator and even east of Sri Lanka. It also has the advantage of reducing the need for pirate havens (although a support base is essential) and as a result we may see this form of hostage-taking adopted off other coasts, in the South China Sea and the Gulf of Guinea, which have lacked secure “pirate-havens”. In this way the Somali pirates will also reduce their vulnerability to attacks from Al-Shabaab, and other Islamist groups. In May 2010 pirates abandoned their base at Xarardheere in haste, after Hizbul Islam attacked the town; witnesses reported that, “several pirate bosses raced out of town in luxury four-by-four trucks, with TVs packed in the back and mattresses strapped on top”. There are of course problems, but these are essentially logistical; the need to ensure that these merchant ships have enough fuel, food and water (and of course khat) on board. I expect that we could even see the hijacking of bunkering tankers in order to refuel these new motherships.
On one day, 30th December 2010, NATO reported that the Singapore-flagged LPG carrier MV York was being used as a mothership (position: 00°38 N 063°59 E course 145. Speed 2.2 knots), as were the Panamanian-flagged 24,105 dwt chemical tanker MV Hannibal II (position: 12°38N 059°00E course 310°, speed 12 knots), the fishing boat Shiuh Fu No.1 (position: 13 27S 053 03E. course 102°, speed 9.1 knots ) and Panama-flagged 72,825 dwt tanker MV Polar (position: 00 50N 050 09E, course 342 speed 13.4 knots.). In addition the 13,065 dwt Marshall Islands flagged chemical tanker, MT Motivator had acted as mothership during the hijacking of the MV Ems River on the 27-28th December 2010, and the 20,170 dwt Panamanian-flagged MV Izumi had continued its patrols into the Arabian Sea, NATO having reported it at 06°30 N – 052°18E, on a course of 245° with a speed of 13 knots, on Christmas Eve.
So, at the end of 2010, it was known that five sizable merchant ships and one fishing boat were at sea, acting as motherships. In addition, various dhows and larger skiffs were deployed in the same role. These merchant ships/motherships (let’s call them Large Pirate Support Vessels or “LPSVs”) represent a much greater threat to shipping than the earlier class of motherships and one of the key tasks of EU NAVFOR and the other international naval forces must be to track their whereabouts at all times. However, EU NAVFOR rarely has effective long-range maritime patrol aircraft available for this task, and such assets are essential if piracy is to be effectively monitored and contained.
The decision of the UK government in the summer of 2010 to abandon the procurement of the Nimrod MRA.4 reconnaissance aircraft now looks increasingly to have been an act of sheer folly, as this was precisely the type of aircraft that is desperately needed to control Somali piracy. With the introduction of the LPSVs Somali piracy has entered into a new and much more dangerous phase.
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Wednesday, 17 November 2010
Really, is your Merchant Ship insured against piracy? How do you know?
So, dear Seafarer. Shipowner, Shipmanager, regulatory Authority, Fleet Personnel Manager, Union Leader, family members and everybody else interested in this subject of seafarers going off to dangerous waters . . . would you please like to come out with cogent statements involving not just pleasantly couched words, but hard facts and numbers, what really the insurance protection for the man on the ship is in case of piracy or hijack? Modern day piracy, of which just about 40% takes place in the Arabian Sea waters, is now a global phenomenon. Somalia gets a lot more attention because it appears to have become a hub lately, and is closer to India, but the rest of the world is not far behind, and the "business" of hijacking ships seems to be growing. Just like other streams of crime, for example prostitution, narcotics, arms trade - this too now seems to be settling into a pattern and a system.
That's as far as the relevance to the fact that this is now another business, and all business is about numbers, so what are the numbers, and where do the numbers go? What does it mean when somebody tells somebody else that "insurance for piracy" exists on such-and-such ship?
To start with, the piracy numbers include:-
# Investment versus returns, and a whole flotilla of numbers and words persons, and also some mercenaries, to keep the whole business well-greased. Imagine, can a transaction of almost 10 million dollars (9.8 million was the reported figure) plus costs involved in enabling this payment for releasing the supertanker SAMHO DREAM (say, another 5 million dollars) have been able to move across the globe without the direct participation of a whole lot of number crunchers and shysters all over the world, especially in the "developed' world? So, modern-day piracy is not about to simply go away, for any reason.(Source - bankers unwilling to be identified in Europe and UAE.)
#The definitions of piracy and hijacking also appear to vary worldwide, and this in turn impacts the question of whether a vessel is a total loss or not, after the incident, whether hijack or piracy. Either way, in some countries, the insured shipowner/operator has not been "ir-retrievably deprived" of the vessel, so insurance claims for piracy or hijack, even interim, can not be paid out. Never mind what happens on the ship. In addition, it is the duty of the shipowner and his Master/crew to prove that they made all attempts to mitigate losses, and whether this includes the ransom payment or not is an open issue. So, a Master and his crew, who have not been paid, not received decent food, have been under capture, whose families may be starving - they still have to prove that all attempts were made to "mitigate" losses.
# In the UAE, it is even more complex, since they demand a "special provision" for piracy. The difference between "war risk" and "piracy" is there, not sublime, but complicated. However, one can not substitute the other, so a special cover in advance will be needed. At what point does piracy become an "act of war", given the current pronouncements of the attackers, claiming that they are working for their countries? No clear answers here, either - and carrying armed guards on board through somebody else's territorial waters, does that impact right of innocent passage? What does the Master of a ship have to say, if armed guards are on his ship, and the ship is then considered "hostile" - where do the crew stand as far as insurance goes, then?
# So while "piracy insurance" may have been taken by a shipowner/operator, please remember that "even though piracy is an insured peril, the onus to prove the act of piracy for successful recovery remains with the assured, in particular to establish that the act occurred was piracy and not terrorism, i.e. that the persons committing the act did so exclusively for their own material benefit, rather than pursuing a political, ideological or religious scope."
Many of the latest episodes of piracy are defining their activities stikingly close to this.
# There is an estimate, provided by the Professional General Insurance Research Organisation (GIRO) that each piracy attack on a merchant ship costs around 9 million dollars, and from another un-named source, that it is eventually between 10 and 15 million dollars, ransom and all costs. This is just a ballpark estimate, and rising lately. Working backwards from here, the average cost per merchant ship transiting the Suez Canal and going through the Gulf of Aden works out to between 70 and 110 thousand dollars, another rough estimate, and rising. Higher on ships carrying higher value cargoes, ofcourse, so assume a 10000 teu ship is paying about 300,000 dollars per trip each way - that's 30 dollars per teu extra costs. But what are the owners, cargo interests and seafarers getting out of this, incase of attack? That's not very clear.
# The number of seafarers kidnapped in piracy/hijack incidents as per the London-based International Chamber of Commerce’s Commercial Crimes Services was 867 in 2009, and 790 so far this year. There are some 'carry-forwards' who have been kidnapped in the previous year/years, and some simply 'missing'. However, this does not in any way provide any information on the disruption to seafarers even way outside in the Arabian Sea, in terms of mental tension and actual attacks.
# Allianz Global Corporate & Strategy, a leading insurer of ships and cargo, says that in most cases, piracy is covered under "normal" hull and insurance cover, even for ships not trading in piracy prone areas. The efficacy of this "normal" cover when a piracy or hijack takes place is very much under debate and till then, may well be slightly ineffective at best. So the solution would be to take additional cover. However, truth is that many owners or operators or charterers simply do not take additional cover when going through these areas - because special piracy covers are not easily available that offer special, flexible and tailor made cover for such ships.
# Here is a map of the piracy prone areas worldwide:-
It is clear that marine insurance is the oldest form of insurance worldwide. War risk and piracy insurance have been linked for a long time. However, war risk insurance, and also piracy, can be unilaterally cancelled by the insurer at 48 hours notice. What does the seafarer onboard know about this, is the regulator able to provide any form of guarantees here?
It is in your interest as a seafarer to actively seek out the full details of the insurance cover taken for piracy, and to see that it is kept valid throughout your tenure - which obviously you can not do. But certainly the regulators, DG Shipping, can frame some rules urgently in this context?
Or, as is often the case, keep sailing "Ram Bharose".
Tuesday, 16 November 2010
Here's an article published by me at MONEYLIFE, referring to the commercial aspects of claims and counter-claims when cargo ships meet accidents.
This one was with reference to the MSC CHITRA / KHALIJA III collision off Mumbai Harbour.
http://www.moneylife.in/article/8/8064.html
It is always sad to see ships collide, break their backs, capsize, and sink, especially if they are so close to port. Here major media make a circus out of what is actually one of the saddest spectacles.
The MSC Chitra / Khalija III collision outside Mumbai Harbour once again brings into focus the sheer neglect of maritime matters on the Indian coast by the various organisations responsible.
(read on)
http://www.moneylife.in/article/8/8064.html
This one was with reference to the MSC CHITRA / KHALIJA III collision off Mumbai Harbour.
http://www.moneylife.in/article/8/8064.html
It is always sad to see ships collide, break their backs, capsize, and sink, especially if they are so close to port. Here major media make a circus out of what is actually one of the saddest spectacles.
The MSC Chitra / Khalija III collision outside Mumbai Harbour once again brings into focus the sheer neglect of maritime matters on the Indian coast by the various organisations responsible.
(read on)
http://www.moneylife.in/article/8/8064.html
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Saturday, 13 November 2010
The MLC 2010 - a view from June 2009 . . .
Here's something I wrote on the MLC-2010 about a year and a half ago.
Big question - will the MLC 2010 just mean yet another youngish inspector with attitude onboard ships, and now in office, too?
+++
Big question - will the MLC 2010 just mean yet another youngish inspector with attitude onboard ships, and now in office, too?
+++
Probably the most important maritime legislation coming our way is the "Consolidated Maritime Labour Convention" (CMLC). This is an amalgamation of all the various International Labour Organisation (ILO) instruments, documents and all other regulations and codes that pertain to life for seafarers - that's over 50 such international labour standards, some going as far back as the 1920s.. While the ratification and implementation criteria are already defined, and the pre-requisites for introducing it in practice are already in place, it will still be around 2011-2012 before it actually comes into effect.
What that means, in simple English, is that life at sea for law-abiding flags and seafarers onboard is about to change. Very much. The big thing it lays out is the right of seafarers to decent living and working conditions. Worldwide. In addition, at first glance, it is easy to read, and involves the view of both seafarers as well as owners/operators. And ofcourse, environmental protection - an even bigger subject under this one now.
The parts which will really interest those still at sea or planning to go to sea, from the specific point of view of being a "shippie", which we can expect to see covered and implemented in very quick order, are laid out in brief. Broadly, these are divided into the following categories:-
1) the minimum requirements for seafarers to work onboard ships.
2) conditions of employment.
3) accomodation, recreation facilities, food and catering.
4) health protection, welfare, medical care and social protection.
5) compliance and enforcement.
So will shipping truly become the world's first global industry, with equal standards for all, regardless of nationality of individual or flag of vessel or any other differentiators? Wait, there is much more - and it probably also spells much better opportunity for seafarers who are ready to understand what is going on.
However, first off, look at the exemptions. Coastal ships, "traditional" vessels like dhows and junks, ships below a certain size, fishing vessels and some other specific types are exempted. But even there, fact remains, some amount of global standards would rub off eventually. Just see the level of sophistication and electronic equipment available on some of the dhows plying in and around the Gulf lately, for example, they put some 10-20 year old ships to shame. There is in all likelihood a "catch-up" kind of scenario going to exist here. First off, hopefully the "launches" at Gateway of India are improved.
On the other hand, the rules for implementation and ensuring adherence have just become tougher, and give Port State Control even wider and often sweeping powers. For example, Article V.6 of this Convention states very clearly that:- " Members shall prohibit violations of the requirements of this Convention and shall, in accordance with international law, establish sanctions or require the adoption of corrective measures under their laws that are adequate to discourage such violations [wherever they occur]." Ship detention can now be resorted to for simply being from a flag that did not ratify this convention, never mind adherence otherwise to the letter and spirit, which is a significant addition to and also rather important departure from the inspection based regime currently in force. Yours could be the best ship in the world, but if your flag was not adhering, then you can be detained - simple as that.
The next big thing is definition of a "seafarer". For the first time, this definition goes beyond the traditional navigator, engineer, saloon and other departments at sea - it now brings in a simple definition:- ""any person who is employed, engaged or works in any capacity on board a ship that is covered by the Convention."". That's really, really wide. Hotel workers onboard? Temporary "flying crew" joining a ship for repairs? Pilots, port or deep-sea? Cadets? Even workers from stevedoring gangs, discharging the ship? Writers, like yours truly, sailing on board for any reason soon? Training personnel?
But the biggest change is, as always, in the commercial aspects. Ships from non-complying countries will no longer be able to pose unfair and cheaper competition to those from complying countries. This is where the convention in a manner of speaking, "comes ashore". Will the laws cover everything from basic bills of lading onwards, to newer multi-modal documents, and would this then impact insurance as well as possible post-facto increase in commercially agreed on terms and conditions, as well as costs?
The debate may have just begun, the implementation is not in doubt. Overall, in this correspondent's opinion, this is a very welcome legislation for everyone.
Now let's be there to implement it? To do that, you first have to read it. All of it. Why wait for a "course", when it is there on the internet, with commentary and all?
+++
Veeresh Malik is pleasantly surprised, after a decade in the infotech industry, to see the high level of international codification and improvement in things Mercantile Marine. Both at sea and ashore.
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Friday, 12 November 2010
Casaulties in the American Merchant Navy during WW-II
++1 in 26 mariners serving aboard merchant ships in World WW II died in the line of duty, suffering a greater percentage of war-related deaths than all other U.S. services. Casualties were kept secret during the War to keep information about their success from the enemy and to attract and keep mariners at sea.++
http://www.usmm.org/
Thanks to http://adventures-of-the-blackgang.tumblr.com/
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Thursday, 11 November 2010
Deepwater Horizon, and a quote from Clay Maitland . . .
Most of you would have already read about as well as seen television and internet coverage on the DEEPWATER HORIZON accident in the US Gulf/Gulf of Mexico. And then gone back to your daily lives, heck yes, this is too far away, won't impact us.
Really? Well, put it briefly, this is what one important shipping analysts says on his regular features on the subject:-
http://www.claymaitland.com/2010/06/03/changes-in-climate/
Clay Maitland says:-
What will the economic consequences of the oil spill be? We don’t know, but I’m reminded of that recent movie about oil wildcatters: “There Will Be Blood”.
I do not believe that offshore drilling is completely dead in U. S. waters, including the Arctic, but it may be. It looks badly wounded. If so, expect a lot more imports of foreign-flag tankers, with the implied risk of tanker-related oil spills to come.
That means still more regulatory restrictions by the U. S. Federal and state governments. Hence the reason for industry concern about the sanctity of the 1990 Oil Pollution Act, as it applies to tanker vessels, limits of liability, and expansion of the list of directly responsible parties. Many things have changed since 1991, when that law went into effect; the rise of powerful oil trading firms, sometimes called the Vitol effect, being just one. The issue of “who chooses the tankers”, and therefore of quality of the vessels and crews, is with us yet, and becomes even more relevant if tanker traffic to North America is about to expand. We’ll have to see how that goes, too.
Another economic consequence: marine insurance faces a very different, and uncertain, future. The U. S. Congress is now fully aware, as it was in 1990, of what a bad thing limitation of liability is. Can Brussels be far behind? The enormous damage and loss claims emanating from the U. S. Gulf states will far exceed anything the London market has seen since the second world war. Yes, there will be blood.
+++
The DEEPWATER HORIZON/2010 crisis in the US Gulf area impacts many of us in many ways.
For the US Government, an engineering mishap is being smartly converted into a natural disaster using some excellent PR, since nature is gentler on the future of Presidents there, unlike the monsoon here which decides it for the Government in India. Katrina/Bush and now DEEPWATER HORIZON/Obama, not our fault, it was the Big Bad Sea.
For the environmentalists, there is a mixed bag - some have a "serves them right" attitude, some compare with Bhopal/1984 or Kuwait-Iraq '90s, and some go emotional on photographs of birds soaked in oil. For the media, there is the usual shrill structured amazement - how could "they" have made holes miles below the ocean's surface to drill for and bring out oil, and not taken the precaution of figuring out how to stop it - like children who will claim they did not know that ice-cream can and will be spilt. What the media is paid for is to drill deeper into annual reports put out by large companies, where all these issues are listed in the fine print, with notes on the risks thereon.
As friends at sea talk about whole fleets of laid-up tankers being revived to load, ship-out from the Persian Gulf area, and store crude oil in the developed countries, and friends in the banking industry speak about how the complete dynamics of international commodities and shipping are shivering at the prospect of even more regulations adding to the costs, it seems that people on land have not the faintest clue on what to do next with such deep drilling accidents.
To bring things into simple persepctive - the depths involved are more than the height of Mount Everest over mean sea level. Now imagine that from this base, we try to pull out natural resources, to keep ourselves going on top of the mountain. So we all live on a plateau high up, way above the Himalayas, and somehow, way way down below on the ground at mean sea level, where it is also dark, cold, and where exist pressures able to crush diamonds into dust, some people, call them engineers, have now decided to dig huge holes and remove the foundations of the mountain to bring it up and make fuel out of it. Using a pipe, which they do not know how to stop, in case the bottom of the mountain caves in.
Can you and I remove the foundations of our homes to build higher floors? That's exactly where the deep oil drilling industry has now reached, in its push for energy, Fuelled by the rest of us. Because that's how it is - we climb higher and higher, and dig deeper below, after all, there's only water on top, right? Right. Think about what that water did when a little crack appeared on the surface of the ocean, during the tsunami, a few years ago.
And then, ofcourse, there are those who are busy making a profit out of this disaster, too. 34 billion dollars, and counting, likely to go up some more - simple physics tells you that all that money going down the pipe is going to surface somewhere else. And like after 9/11, the rest of the world will be expected to cough up the re-insurance bill. Likewise, the actual ownership of BP, shrouded within corporate googlies of the sort which are increasingly prevalent worldwide, will probably change - whatever that means. Or it will get merged with some other existing oil and energy major, and re-appear in yet another thinly veiled avatar.
What is certain, however, is that eventually the rest of the world, including us, will pick up the bill for the vast insurance claims, as well as the much higher fuel costs. And as seafarers, we will continue to sail those huge tankers with even bigger slop tanks and small ships which have less deadweight than the afore-mentioned slop tanks, and all points in between. And as for foreign flag tankers, and the risks their crews will take - hey, its your choice. But your salary better go up, because you will, like doctors and others, soon need to buy malpractice insurance or similar cover every time your ship calls a US Port.
The DEEPWATER HORIZON is just one more marker. That it happened off the shores of a developed country is probably why it is getting all the attention. But the real problem is not with the natural consequences of oil coming up and floating on the surface of the sea and along the beaches - it is there, deep down below, where the question remins the same - how deep do you drill?
The answer for which is this - as the price of oil keeps rising, the deeper they will need to drill.
And as on date, there are no conventions or agreements between countries worldwide on how deep they should drill into the earth's core. And that's where the fallacy lies, that is the real problem to solve. Not just OPA or other conventions that cover what happens on the surface of the sea.
Really? Well, put it briefly, this is what one important shipping analysts says on his regular features on the subject:-
http://www.claymaitland.com/2010/06/03/changes-in-climate/
Clay Maitland says:-
What will the economic consequences of the oil spill be? We don’t know, but I’m reminded of that recent movie about oil wildcatters: “There Will Be Blood”.
I do not believe that offshore drilling is completely dead in U. S. waters, including the Arctic, but it may be. It looks badly wounded. If so, expect a lot more imports of foreign-flag tankers, with the implied risk of tanker-related oil spills to come.
That means still more regulatory restrictions by the U. S. Federal and state governments. Hence the reason for industry concern about the sanctity of the 1990 Oil Pollution Act, as it applies to tanker vessels, limits of liability, and expansion of the list of directly responsible parties. Many things have changed since 1991, when that law went into effect; the rise of powerful oil trading firms, sometimes called the Vitol effect, being just one. The issue of “who chooses the tankers”, and therefore of quality of the vessels and crews, is with us yet, and becomes even more relevant if tanker traffic to North America is about to expand. We’ll have to see how that goes, too.
Another economic consequence: marine insurance faces a very different, and uncertain, future. The U. S. Congress is now fully aware, as it was in 1990, of what a bad thing limitation of liability is. Can Brussels be far behind? The enormous damage and loss claims emanating from the U. S. Gulf states will far exceed anything the London market has seen since the second world war. Yes, there will be blood.
+++
The DEEPWATER HORIZON/2010 crisis in the US Gulf area impacts many of us in many ways.
For the US Government, an engineering mishap is being smartly converted into a natural disaster using some excellent PR, since nature is gentler on the future of Presidents there, unlike the monsoon here which decides it for the Government in India. Katrina/Bush and now DEEPWATER HORIZON/Obama, not our fault, it was the Big Bad Sea.
For the environmentalists, there is a mixed bag - some have a "serves them right" attitude, some compare with Bhopal/1984 or Kuwait-Iraq '90s, and some go emotional on photographs of birds soaked in oil. For the media, there is the usual shrill structured amazement - how could "they" have made holes miles below the ocean's surface to drill for and bring out oil, and not taken the precaution of figuring out how to stop it - like children who will claim they did not know that ice-cream can and will be spilt. What the media is paid for is to drill deeper into annual reports put out by large companies, where all these issues are listed in the fine print, with notes on the risks thereon.
As friends at sea talk about whole fleets of laid-up tankers being revived to load, ship-out from the Persian Gulf area, and store crude oil in the developed countries, and friends in the banking industry speak about how the complete dynamics of international commodities and shipping are shivering at the prospect of even more regulations adding to the costs, it seems that people on land have not the faintest clue on what to do next with such deep drilling accidents.
To bring things into simple persepctive - the depths involved are more than the height of Mount Everest over mean sea level. Now imagine that from this base, we try to pull out natural resources, to keep ourselves going on top of the mountain. So we all live on a plateau high up, way above the Himalayas, and somehow, way way down below on the ground at mean sea level, where it is also dark, cold, and where exist pressures able to crush diamonds into dust, some people, call them engineers, have now decided to dig huge holes and remove the foundations of the mountain to bring it up and make fuel out of it. Using a pipe, which they do not know how to stop, in case the bottom of the mountain caves in.
Can you and I remove the foundations of our homes to build higher floors? That's exactly where the deep oil drilling industry has now reached, in its push for energy, Fuelled by the rest of us. Because that's how it is - we climb higher and higher, and dig deeper below, after all, there's only water on top, right? Right. Think about what that water did when a little crack appeared on the surface of the ocean, during the tsunami, a few years ago.
And then, ofcourse, there are those who are busy making a profit out of this disaster, too. 34 billion dollars, and counting, likely to go up some more - simple physics tells you that all that money going down the pipe is going to surface somewhere else. And like after 9/11, the rest of the world will be expected to cough up the re-insurance bill. Likewise, the actual ownership of BP, shrouded within corporate googlies of the sort which are increasingly prevalent worldwide, will probably change - whatever that means. Or it will get merged with some other existing oil and energy major, and re-appear in yet another thinly veiled avatar.
What is certain, however, is that eventually the rest of the world, including us, will pick up the bill for the vast insurance claims, as well as the much higher fuel costs. And as seafarers, we will continue to sail those huge tankers with even bigger slop tanks and small ships which have less deadweight than the afore-mentioned slop tanks, and all points in between. And as for foreign flag tankers, and the risks their crews will take - hey, its your choice. But your salary better go up, because you will, like doctors and others, soon need to buy malpractice insurance or similar cover every time your ship calls a US Port.
The DEEPWATER HORIZON is just one more marker. That it happened off the shores of a developed country is probably why it is getting all the attention. But the real problem is not with the natural consequences of oil coming up and floating on the surface of the sea and along the beaches - it is there, deep down below, where the question remins the same - how deep do you drill?
The answer for which is this - as the price of oil keeps rising, the deeper they will need to drill.
And as on date, there are no conventions or agreements between countries worldwide on how deep they should drill into the earth's core. And that's where the fallacy lies, that is the real problem to solve. Not just OPA or other conventions that cover what happens on the surface of the sea.
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