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Introducing GlobeView Maritime risk and information at your fingertips Spoofing at sea The importance of accurate GPS positioning has never been more important. Retrofit risks of ballast water treatment systems The IMO Convention will apply to existing vessels from 8 September 2019. ISSUE 117: AUTUMN 2019 www.nepia.com
ISSUE 117:
AUTUMN 2019 /
Technology: the
CONTENTS good, the bad and Supporting you at sea
For mental health and emotional
the rather attractive
wellbeing at sea call our confidential
helpline: +44 191 235 3917
or visit: www.mindcall.org
WELCOME LEGAL Spoofing at sea........................................... 11
Christopher Loizou of Orolia discusses
Technology: the good, the The limitations of WIPON and the how important it is to ensure your
bad and the rather attractive.............. 03 risk of Charterers doing nothing....... 06
Recent events in the Strait of Hormuz Following on from our article Is Your
vessels’ navigation systems are provided
with accurate data and how to protect a
Recent events in the Strait of Hormuz and the wider
and wider region have caused concern to Notice of Readiness Valid, we discuss vessel from navigating with an unreliable region have caused concern to all of us in the maritime
all of us in the maritime industry, not least the limitations of a WIPON provision, GPS position.
the crew sailing through these waters. the importance of both Masters and industry, not least the crew sailing through these waters.
Charterers’ agents being aware of the Retrofit risks of ballast Futher Information
charterparty NOR provisions and the risk
water treatment systems...................... 12
For more information and
CARGO of doing nothing with an invalid NOR. A new milestone of the IMO Ballast
Water Management Convention is now
resources, please visit:
www.mymindmatters.club
Tech tackling dangerous Singapore Convention upon us – the Convention will apply to
goods cargoes............................................ 04 on Mediation launched.......................... 07 existing vessels from 8 September 2019
The frequency of container fires has been A new UN international convention has and this brings different risks.
a long-standing concern in the shipping been launched that aims to help enforce
settlement agreements which have Safe working on CO2 systems.............14
industry. A complex problem is never
arisen out of commercial mediation. A recent incident has highlighted the
solved by a simple answer but one initiative
dangers of not fully understanding
underway is using blockchain technology.
the operation of fixed CO2 systems.
Incoterms 2020.......................................... 05 PEOPLE Pre-Employment Medicals
The ICC has published the latest version For further details regarding our
of its Incoterms for use in domestic and Human error is not a root cause........ 08 LOSS PREVENTION PEME programmes please contact
international sale agreements. Poor standards of incident investigation Lucy Dixon or Abbie Rudd.
prevent lessons being learnt. SCORA wins prestigious award.........14
EU confirms law on Email: PEME@nepia.com
North’s safety culture tool wins the
treatment of waste................................... 05 Safety4Sea Initiative Award.
Following the MSC Flaminia fire the German
state delayed clean up and repair operations SHIPS
by insisting that onerous requirements
under EU law on the transfer of waste
2020: Keeping compliant
in the United States................................. 09
NORTH IN THE NEWS
applied. The EU court has confirmed the As the deadline for use of compliant You may have missed.............................. 15 As ever with these situations, the true Elsewhere, the human element comes
German state was wrong to take that fuel draws near, we consider how Recent coverage of North in the press. version of events is rarely published. In into focus. The role of ‘human error’
approach as waste produced on board the largest environmental regulatory the absence of information, speculation in incident investigations is considered East / West US Coast Ports
outside of the scope of the relevant EU law. regime in the world, the United States, fills the void. and how it is so much more than simply If you are disembarking crew
is likely to treat enforcement. EVENTS One of the theories surrounding the events
saying an individual made a mistake for medical treatment, please
or didn’t follow an instruction. This is contact First Call – Hudson Tactix
2020 Q&A: Bunker suppliers Safety Management 2.0 is the use of technology to manipulate
followed by a brief study into an incident on +1 856 342 7500 or email:
look over the horizon...............................10 Returns to Greece..................................... 15 or ‘spoof’ GPS signals, leading to a vessel
where lives were lost when CO2 was
unintentionally straying out of international firstcall@hudsontactix.com
With the 2020 sulphur cap fast North’s Safety Management 2.0 workshops accidentally released.
approaching, we asked Oilchart made a welcome return to Greece. waters. Regardless of whether this was
applied in the Strait of Hormuz, the subject There are a couple of articles that South Coast US Ports
for a bunker supplier’s view.
of GPS spoofing is hot and in this issue should interest our lawyer readership. If you are disembarking crew for
we ask an expert for an explanation. We look at the Singapore Convention medical treatmen, please contact
on Mediation and the limitations of the First Call – Shuman Consulting
Environmental regulation dominates the Services on +1 281 486 5511
WIPON provision.
news again and is likely to do so for many or email: firstcall@scslp.com
HOW HAVE WE DONE? INSIGHT ARTICLES AND BACK ISSUES years. We continue with our look at the Finally, some of you might have noticed
2020 sulphur cap with two guest articles. a change in how we look. September saw
Let us know what you think of the latest Current articles from Signals and
The first concerns enforcement in the the launch of our new brand and we hope
edition. Contact us at: signals@nepia.com back issues of Signals are available
United States and the second considers you like what you see. It’s not just new
online at: www.nepia.com/latest/
Copyright © 2019 The North of England P&I Association a bunker supplier’s view. clothes, we have a brand-new website
Limited. All articles or extracts may be quoted provided CONTRIBUTORS publications/newsletters
that North is credited as the source.
and are proud to introduce GlobeView,
Editor: Alvin Forster We look at ballast water regulations in
which is our new geographical information
‘Signals’ is published by The North JOIN THE CONVERSATION more depth, paying particular attention
Contributors: Helen Barden, Emma Brown, portal. Find out more inside.
of England P&I Association Limited to the risks associated with retrofitting
Alvin Forster, Jim Leighton, Rod Maclennan, www.nepia.com Post Repatriation Medical
treatment systems to existing ships. These Scheme for Filipino Seafarers
100 The Quayside, Sarah McCann, Gemma Martin Middis, By Alvin Forster
@NorthPandIClub risks can have charterparty implications
Newcastle Upon Tyne NE1 3DU UK David Patterson, David Richards, Kim Deputy Director (Loss Prevention) For further details regarding our
NorthPandIClub and one of North’s expert FD&D lawyers
Telephone: +44 191 2325221 Rogerson, Mark Smith and John Southam. PRM programmes please contact
explains why. We also take the opportunity
Email: loss.prevention@nepia.com Photographs: Shutterstock The North of England to introduce our new comprehensive Lucy Dixon or Abbie Rudd.
www.nepia.com Thanks to: George Chalos, Christopher P&I Association Limited free-to-download ballast water guidance. Email: PRM@nepia.com
Loizou, VP maritime of Orolia, Oilchart North P&I Club
and Maritime Blockchain Labs.
02 Signals / Issue 117: Autumn 2019 / Contents www.nepia.com 03
Tech tackling dangerous Incoterms 2020 EU confirms
law on
goods cargoes The ICC has published the latest version of its
Incoterms for use in domestic and international
treatment
of waste
sale agreements.
The frequency of container fires has been a long-standing The Court of Justice of the European
Union (the “CJEU”) recently confirmed
concern in the shipping industry. Basics of Incoterms
Since 1936, the International Chamber
Incoterms 2020
In September 2019, the ICC published
that waste from ships is not subject
to the onerous requirements of EU
of Commerce (ICC) has published a the latest version: Incoterms 2020. law on transfer of waste.
Exploring blockchain The shipper hopes that the changes are set of three-letter trading terms for
The changes made to Incoterms The legal case arose from the fire onboard
not processed in time and the carrier use in sale and purchase contracts.
Shipping dangerous goods relies 2020 since the 2010 edition are largely the MSC Flaminia in 2012. Owners
fails to be informed at loading, therefore Known as ‘Incoterms’, these deal with
on effective and reliable exchange presentational and clarificatory. wanted to send her to a ship yard in
carrying the cargo as if it were non- the obligations between buyer and seller. The substantive changes include:
of information throughout the chain – Romania for immediate clean-up and
from shipper to carrier to receiver dangerous. But using a system based Incoterms consist of 11 three-letter A change to the FCA (free carrier) term. repair, but the German environmental
and all those in between or on the on blockchain, the more timely and trading terms grouped as follows: Popular in the container trade, under authorities refused permission on the
side lines. The current method is transparent exchange of information which the seller legally delivers the goods basis that the vessel contained debris,
C rules: where the seller arranges
slow, inefficient and prone to errors. could result in the carrier being better to the buyer before they are loaded sludge and fire-fighting water.
and pays for carriage to a named
This is further complicated if the cargo positioned to make the necessary onto a ship and so may not receive a
place, which indicates the destination The authorities claimed this was waste
changes hands during shipment. changes and compliance arrangements. bill of lading from the carrier, which it
of the goods (e.g. “CIF Shanghai and therefore subject to the European
A further benefit is that all of the data Incoterms 2020”) requires to obtain payment under a
A new consortium has been launched Union’s Waste Directive 2008 and
related to the nature of the dangerous letter of credit. The 2020 FCA Incoterm
to explore how blockchain could D rules: where the seller arranges now contains an option under which Regulation 1013/2006, which requires
help. Maritime Blockchain Labs (MBL), goods cargo is stored in one place and pays for carriage to a named extensive documentation, planning
and is immediately accessible to any the buyer agrees to instruct the carrier
a subsidiary of Blockchain Labs for place, which indicates the destination to issue the bill of lading to the seller. and administrative oversight before
The TT Club recently reported that on Open Collaboration (BLOC), is running permissioned party participating in the of the goods and the place of delivery any transfer can take place.
average a fire is reported on a container a demonstrator project which is transaction. This can include material Under the CIP (carriage and insurance
(e.g. “DAP 1 China Road, Shanghai
ship every 60 days. The events in Tianjin safety data sheets (MSDS) and emergency paid to) term, the seller must now obtain Owners argued that Art.1.3(b) of the
scheduled to run until October 2019. Incoterms 2020”)
back in 2015 show that this is not a response procedures. an increased level of cargo insurance. Regulations specifically excepted waste
They are examining the use of F rules: where the buyer pays Under Incoterms 2010, a CIP seller had produced on board ships (etc.) later
problem confined to vessels – ports are
blockchain to improve the tracking of for and usually arranges carriage to purchase cargo insurance on Institute discharged for treatment. The authorities
also at risk. Wherever a container fires Tackling wilful misdeclarations
occurs, the outcome can be catastrophic. dangerous goods cargo. Marc Johnson, EXW (ex works): where the seller Cargo Clauses (C) terms, which provides insisted debris from a casualty was
The tamperproof qualities and transparent
Chief Sustainability Officer & Director delivers to the buyer from the cover for a limited number of risks. not within the exception. The result
nature of blockchain are clearly positive.
The causes of these fires are not always of MBL, tells of their vision “To reduce seller’s premises. Under Incoterms 2020, a CIP seller must of this disagreement was that the ship
However, blockchain alone cannot solve the
established. The evidence is generally lost the occurrence of misdeclaration of purchase insurance on Institute Cargo remained in Wilhelmshaven for seven
fundamental problem of an unscrupulous In the D, E and F rules, risk passes
in the rages of fire. But it can be confidently dangerous goods resulting in safety Clauses (A), which is an “all risks” policy months before it was finally allowed
shipper wilfully mis-declaring the cargo at from seller to buyer at a named place,
said that mis-declared and undeclared risks such as fires, and personal exposure with some exclusions. to go to Romania.
time of booking. which is where the goods are legally
dangerous goods carried within the to hazardous materials aboard ships”. A number of terms have been
containers is at the centre of this problem. Marc Johnson is candid about this and told ‘delivered’ under the sale contract. The German courts, in proceedings
modified to allow the seller or the buyer,
The demonstrator is focussing on booking issued on behalf of Owners to recover the
us that MBL recognises that a blockchain- Each Incoterm carries with it a series as the case may be, to perform the
A complex problem is never solved by processes, approvals and information resulting losses from the German State,
based platform in and of itself will not fully of obligations on both the seller and carriage itself.
a simple answer. There are numerous flow processes associated with dangerous initially supported the authorities but
alleviate all the issues the industry currently the buyer. These may address the All Incoterms now contain an
initiatives being explored by different goods. This should significantly improve the Munich Landgericht (District Court)
faces. But MBL see great benefit in making obligations of each party, such as: express allocation of the responsibility
parties to tackle the risks associated the verification and traceability processes then submitted the following question
better use of purpose-built remote sensors for security-related obligations.
with carrying dangerous goods cargoes, as well as digitising the all-important delivery of goods to the CJEU: was waste resulting from
and devices, that provide actionable
ranging from risk-based stowage ‘know-your-customer’ (KYC) obligations. transfer of risks Incoterms are not often included in a marine casualty within the exception?
in-transit information about the location,
to cargo booking alert systems and contracts of carriage, but instead apply
condition, and security of the goods being arranging and paying for carriage The CJEU ruled that it was within the
improved fire-fighting arrangements. How could blockchain technology help? under many underlying sale contracts
shipped and to securely communicate insurance obligations exception. The Directive had to be
One initiative underway is using blockchain As blockchain is a shared tamperproof with the platform to safeguard against any which underpin international trade.
procuring of transport documents interpreted purposively and there was no
technology. It may seem that in recent ledger that records the entire history of inconsistencies in the cargo declaration, reason to give special treatment to waste
It is sensible for buyers and sellers to
years blockchain has been extolled as transactions, used in the right context it whether intentional or not. providing proof of delivery resulting from a casualty, especially as
specify which edition of Incoterms are
the answer to all our problems. But key can make information exchange quicker, arranging export/ import clearance being adopted (e.g. “Incoterms 2020”). the terms of Art.1.3(b) were unqualified.
features of blockchain include its ability safer and easier. Advocates of blockchain By Alvin Forster goods checking operations Within the EU this now hopefully means
to provide transparency in the supply say that in addition to streamlining the Deputy Director (Loss Prevention)
the giving of notices. By David Richards
chain and the ability to display changes process (and saving costs), it provides a vessels can get out of ports of refuge
Deputy Director (Cargo)
quickly and reliably to all involved. This high level of visibility and transparency. quickly for repair and waste can be dealt
These definitions of the obligations on
could prove useful when we think of with expeditiously.
Let’s look at how this could apply to the seller and buyer apply only where
some of the fundamental problems carrying dangerous goods cargoes. FIND OUT MORE Incoterms are explicitly referenced Conti II v Land Niedersachsen (Case
when shipping dangerous goods by sea. A recognised ploy of some shippers is in the sale contract. Many three-letter C-689/17) [2019] EUECJ C-689/17.
Thanks to MBL for their input
to declare the cargo as non-dangerous trading terms – for example, ‘FOB’
into this article. Find out more
at time of booking but then amend it and ‘CIF’ – have a legal meaning which By David Richards
about their projects at:
at the very last minute to declare that is independent from and varied by the Deputy Director (Cargo)
www.maritimeblockchainlabs.com
it is in fact a dangerous goods cargo. Incoterms definitions.
04 Signals / Issue 117: Autumn 2019 / Cargo www.nepia.com 05
The limitations of Singapore Convention
WIPON and the risk of on Mediation launched
Charterers doing nothing A new international convention has been launched that
aims to help enforce settlement agreements which have
We are often asked whether a Notice of Readiness (NOR) can be validly arisen out of commercial mediation.
tendered outside of port limits. The answer depends on the wording
The UN Singapore Convention on Don’t wait until enforcement Importance of impartiality
of the charterparty and the specific circumstances at the port in question. Mediation recognises the value of It also seems necessary for the parties It is also worth noting, in the same way
mediation as a method of amicably who wish to rely on the Convention that countries may be reluctant to enforce
settling disputes arising in the context to address this at the mediation and an arbitration award under the New York
It is important to know that a WIPON
of international commercial relations. settlement agreement stage. They must Convention where they consider the
clause, which you may include in
your charterparty to allow for a NOR The Convention should encourage not wait until the need for enforcement. arbitrator was not impartial, the Singapore
to be tendered “whether in port or businesses to mediate cross-border The Convention states that: Convention on Mediation stipulates that a
not” has its limitations. Such limits disputes instead of going straight to the ground for refusing to enforce a settlement
“A Party to the Convention may declare
were discussed in the recent London courts or tribunals, as it will give the parties agreement is where they consider the
that…it shall apply…only to the extent
Arbitration 13/19 decision. greater certainty that the agreements will mediator was not impartial. What gives
that the parties to the settlement
be enforceable. This may be why some reason to doubt a mediator’s impartiality
This decision also reminds charterers agreement have agreed the application
of the large economic powers in the in one country may be different in another.
of the danger of doing nothing where of [the] Convention”.
world, including the United States and How the Convention will work in practice
owners serve an invalid NOR. Therefore, it may be wise for the parties
China, have signed the Convention. remains to be seen, however, there seems
to expressly refer to their agreement to
The Facts Of course, as with the New York Convention, to be no reason in theory why it should not
the application of the Convention within
which recognises the enforcement of be successful like the New York Convention.
The vessel arrived at South West Pass the terms of the settlement agreement. In
foreign arbitration awards, it will take time Also, as per its aim, the hope is that it will
pilot station, Mississippi and tendered addition, as evidence that the settlement
for the Convention to build up support. encourage commercial parties to mediate
NOR. It then entered the Mississippi River, agreement arose from a mediation,
The point of picking up a pilot didn’t How did owners’ claim disputes where appropriate.
changed pilots and anchored at Point properly represent the point at which the for demurrage succeed? Also, only time will tell how the Convention a paragraph could be included in the
Celeste Anchorage awaiting berth. Shortly carrying voyage came to an end and the will work in practice. It will depend on the mediation agreement, which should be The full text of the Convention can
Because the charterer‘s agents
after, the National Cargo Bureau (“NCB”) vessel was at the immediate and effective local laws where the settlement agreement signed by the parties and the mediator, be read here: https://uncitral.un.org/
submitted the invalid NOR to the loading
Surveyor failed the holds. After further disposition of the charterers in London is to be enforced. For example, the evidence that the parties agree it is a mediation en/texts/mediation/conventions/
terminal, this constituted acceptance
cleaning, the NCB Surveyor passed the Arbitration 8/03. The Tribunal in London that is needed and what the parties may for the purpose of the Convention. international_settlement_agreements
by the charterers of the NOR. The greater
holds. Charterers’ agents then delivered Arbitration 13/19 said it was “common for need to produce to enforce an arbitration
responsibility in this case lay with the Whether this would constitute sufficient
loading documentation to the terminal, ship masters to tender notices of readiness charterers and when they were presented award under the New York Convention By Helen Barden
including the NOR. Charterers claimed the evidence for the purpose of enforcing
at the first pilot station at the end of a sea with a NOR they (or their agents) should in one country may not be the same in Professional Support Lawyer (FD&D)
NOR was invalid and, therefore, no NOR the settlement agreement under the
passage, but that was usually done in the have formally accepted or rejected it. another. Likewise, what a party needs to
had been properly tendered before the Convention in all participating countries Sarah McCann
mistaken belief that that was the correct produce to show the settlement agreement
cancelling date, allowing them to cancel remains to be seen. Solicitor (FD&D)
procedure, when in fact it was not”. Lessons to be learnt resulted from a mediation within the terms
the charterparty. Owners disagreed. of the Singapore Convention may, in
Accordingly, even if there is a WIPON As an owner you should always make
provision in the charterparty, this does not sure the Master is aware of the NOR practice, differ from one country to the next.
Did the WIPON provision
mean the NOR was valid? mean there is an automatic right to tender
the NOR outside port limits. If the vessel
requirements in the relevant charter.
We would also remind Masters to keep
FIND OUT MORE
The terms of this charter included a tendering new NORs “without prejudice” If you would like to know more, then
can proceed closer to the berth then it
WIPON provision which allowed the NOR to the last whenever there is a change please get in touch with your usual
should do so, and be at the correct waiting
to be tendered from the usual anchorage of position or circumstance. contacts in FD&D.
place, before tendering the NOR. Had there
outside the limits of the port where the
been no loading berth or river anchorages As a charterer you should make sure your
vessel couldn’t enter due to congestion. available when the vessel arrived at South
However, the vessel could proceed to an agents are aware of the charterparty NOR
West Pass and had she waited there, then requirements and, if you want to claim a
anchorage within the port – which it did the NOR would have been valid, subject
(anchoring at Point Celeste Anchorage NOR is invalid then to officially reject the
to the vessel being ready to load. NOR as invalid. A failure to do so and to
after taking on the pilot) – and so the
Tribunal held that the WIPON provision It was also held by the Tribunal that even continue as if the NOR is valid could lead
did not assist owners to enable tender if the NOR had not been premature, it was to you waiving your right to claim invalidity.
of a valid NOR at South West Pass. invalid because, under the terms of the
charter party, the holds did not pass the By Helen Barden
A vessel couldn’t “be considered to have NCB inspection. The Master should have Professional Support Lawyer (FD&D)
been more than on its way” when NOR tendered a new NOR once the holds had
was tendered by the Master at a pilot been passed as clean.
station in London Arbitration 19/10.
The Tribunal highlighted that the owners
should have informed the Master of such FIND OUT MORE
a charterparty requirement and, likewise, If you have any queries, or want to
the charterers should have informed know more, then please speak to your
their agents. usual contacts in the FD&D team.
06 Signals / Issue 117: Autumn 2019 / Legal Signals / Issue 117: Autumn 2019 / Legal 07
Human error is 2020: Keeping compliant
not a root cause in the United States
In this article, author George Chalos of Chalos Law gives an
It is important that we learn from the past. Which is why it is so important that after overview on keeping compliant in the United States.
an incident or near-miss, a proper investigation is carried out and lessons are learnt.
The shipping industry has been Approximately 9,500 scheduled port state Proving compliance
preparing – or perhaps more aptly control exams are conducted by the Coast To successfully demonstrate compliance
To explain ‘why’ someone did what One particular study into the reasons bracing – for the implementation Guard every year. Since 2015, approximately with IMO 2020 regulations, shipowners
they did, then a fuller picture is needed. why people violate procedures was of the IMO 2020 global sulphur cap. 80 MARPOL Annex VI deficiencies (such and operators must ensure their vessels
It is likely to require interviews and developed by Hudson (Shell “Hearts as those relating to bunker fuel sulphur
As the deadline for use of compliant fuel have the required documentation ready
statements from a number of people and Minds” Project, 2004) and some compliance) have been documented
draws near, it is important to consider for port state control inspections.
as well as reviewing company policies of the findings are briefly outlined here: by the Coast Guard and over a dozen
and onboard procedures. how the largest environmental regulatory Critical records include:
"I didn't know": The person was enforcement actions have taken place.
regime in the world, the United States,
Let’s return to classic conclusions of “human either not aware of or misunderstood Vessel bunkering and oil transfer
is likely to treat enforcement. 2019 saw the first criminal prosecution
error” or “failed to follow procedures” the procedure procedures, as well as the preloading plan
of a MARPOL Annex VI violation, pursued
and see how they can be broken down "Everyone does it": It is common Enforcing MARPOL in the United States by the Coast Guard and Department of The Declaration of Inspection
further to provide the real root causes. practice to violate the procedure Justice (DOJ). In that matter the owner (a U.S. regulatory requirement anytime
MARPOL has been implemented (and is
and becomes automatic behaviour and operator of a foreign-flagged vessel fuel/oil/bunkers are transferred to
enforced) in the United States through
Dissecting human error "The procedure is wrong": The person each paid a criminal fine of US$ 1.5 million or from a vessel) which is retained
the Act to Prevent Pollution from Ships or
This essentially means someone cannot do the job according to the for the use of non-compliant fuel (above for at least thirty (30) days
“APPS”. APPS and U.S. regulations apply
A good quality investigation will made a mistake. It’s important to procedure as its unworkable so they to all U.S. flagged ships anywhere in the 0.10%) in the Caribbean Emission Control Bunker delivery notes (BDN), to be
identify the root and contributory know whether this mistake was: develop a workaround world and all foreign-flagged vessels Area (ECA) and the crew’s failure to retained onboard for a minimum
causes, and this leads to actions that An incorrect decision – Did the "I thought it would help the company": calling at a U.S. port or terminal or while accurately record the actual bunker of three (3) years
prevent similar incidents in the future. person make the wrong decision? The person thinks violating a procedure operating in U.S. navigable waters, the transfers and consumption in the vessel’s Declaration that fuel conforms to
or taking a short cut is in the best U.S. ECA and/or the Exclusive Economic Oil Record Book. MARPOL Annex VI and does not
Unfortunately, standards in incident An incorrect action – Was the decision
correct but it wasn‘t carried out properly? interests of the company Zone of the United States. The US It is reasonable to expect that the Coast exceed maximum sulphur content
investigation vary. Some investigations government routinely takes direct
do not go any further than identifying A lack of action – Did someone fail to "It makes my life easier": Taking a short Guard will be focused on ensuring vessel Fuel changeover plan
cut makes their life easier and could enforcement actions against the owners, compliance with the new global 0.50%
the immediate cause and fail to uncover do something they were meant to do? Oil Record Books (with accurate
be linked to complacency or boredom managers and crewmembers of foreign- sulphur cap starting in 2020 as part of its
the real root of the problem. Many flagged vessels alleged to have violated and timely information properly
From this, focus can be directed to port state control inspections.
conclude with “human error” or “failed “I don’t care”: Reckless or malicious MARPOL, APPS and U.S. regulations. recorded therein)
the factors that affect human performance,
to follow procedures” as the root cause behaviour Fuel oil non-availability reports (FONAR)
i.e. what led to the person making the Perceptions in the United States
resulting in a crew member subjected “I didn’t see that coming”: Rare and The actions can be administrative, civil
wrong decision or action. The best practices for shipowners and
to disciplinary action and the addition unusual circumstances that have not and even criminal in nature. As part of When analysing the enactment and
of a few more procedures into the safety Reference sources such as the MAIIF its port state authority, the Coast Guard enforcement of IMO 2020 in the United operators to avoid any issues during
been previously identified
management manual. Investigation Manual offer numerous factors is authorized to review vessel records States, it is critical to be aware of the Coast inspections by the Coast Guard is to
that could influence human performance. and documents maintained on board Guard and DOJ’s perception. Senior Coast obey the law and applicable regulations
This is not helpful. Furthermore, Reaping the benefits
There are too many to include in this to ensure compliance. Guard officials have made clear that it is and have good policies and procedures
we end up with statements such as A properly carried out investigation will for IMO 2020 compliance in place.
article, but it takes into account factors the agency’s belief that compliant fuel
“80% of accidents are caused by human identify the root cause and a number
such as the crew’s training, fitness, state Dealing with violations oil is not going to be a problem in 2020.
error”. What does it actually mean? of contributory factors. Tackling each Our grateful thanks to George M. Chalos
of mind, as well as onboard management Although MARPOL anticipated that port The failure to have compliant fuel on
of these will not only prevent the same of CHALOS & Co, P.C. – International
‘Human error’ barely scratches the (including safety management systems), states that discover suspected violations board of a vessel will be viewed as a failure
type of incident happening again but Law Firm for writing this article.
surface of an incident investigation. shore-based management, living may refer the matter to the vessel’s of preparedness and not a failure of
could also prevent a wide range of www.chaloslaw.com
If someone did something wrong, then conditions, ship design, weather and Flag State, the Coast Guard and U.S. accessibility of resources. Parenthetically,
similar incident from occurring.
it’s vital to understand why they did it. traffic. Also considered are external government almost always elect to the Coast Guard motto is “Always Ready.”
influences such as stevedores, surveyors retain the investigation.
By Alvin Forster In addition, the DOJ perceives that there
Who, what and why?
Fundamentally, an investigation
or agents demanding the crew’s time.
Deputy Director (Loss Prevention) Since 1998, the investigation of alleged false are vessels breaking the rules each day, FIND OUT MORE
All of these factors can affect the records (mostly Oil Record Books Part I, and strongly believes in its mission to
must establish: Read more about the 2020 sulphur
crew’s ability to perform and can have a which failed to record discharges of bilge seek out non-compliance and prosecute
cap at: www.nepia.com/insights/
Who was involved? detrimental effect on their decision-making. water and/or sludge) regardless of where alleged criminal activity accordingly.
2020-vision
What happened? FIND OUT MORE the actual act of pollution took place, has
Violating procedures led to over 200 criminal prosecutions and
Why did it happen? Get the most out of your incident
Accidents can occur because someone the collection of nearly US$ 1 billion in
investigation. See our loss prevention
Physical and electronic evidence violated a procedure. People break the criminal fines by the U.S. government.
guidance on Incident Investigation
such as documentation, voyage rules or take short cuts for a number and Root Cause Analysis at:
data recorders, CCTV and AIS, can of reasons. These reasons can range www.nepia.com
help identify ‘who was involved’ from the ignorant to the well-intentioned
and ‘what happened’. to the reckless. The problem can only
be addressed if the reasons for the
violation are understood.
08 Signals / Issue 117: Autumn 2019 / People Signals / Issue 117: Autumn 2019 / Ships 09
2020 Q&A Spoofing at sea
Bunker suppliers look over the horizon In a world where ‘traditional’ navigation plays a secondary
With the 2020 sulphur cap fast approaching, we asked role to electronic navigation, the importance of ensuring
Owen T. Webber of Oilchart for a bunker supplier’s view. an accurate GPS position has never been more important.
Cyber security has been a hot-topic for The value of GNSS
several years now, but the number of
Q How can shipowners protect Q IBIA have suggested that fuel incidents of reported GPS interference
UK Government research in 2017
identified that a five-day loss of GNSS
themselves when ordering bunkers? purchasers specify bunkers to or ‘spoofing’ is increasing.
a 0.47% S limit. Is this realistic? would cost the UK maritime economy
A This is quite a difficult question. Christopher Loizou, VP Maritime of Orolia over a billion pounds. This highlighted
The needs of buyers are so diverse A This may be difficult to roll out Maritime discusses both how important the growing realisation that GNSS
it is dependent on each individual unless you have specifically it is to ensure your vessels’ navigation as a source of PNT needs to be both
position and the needs of the vessel. contracted at this level with your systems are provided with accurate protected and irrefutable, leading to
Vessels that tramp have a very supplier. The wholesale market is data and how to protect a vessel from the concept of Resilient PNT as a tool
different demand profile to those selling at above this level, in general. navigating with an unreliable GPS position. to support navigational cyber security.
on a liner service. Navigation Protection Devices (NPDs),
GNSS signals are the primary PNT such as Orolia Maritime’s M-SecureSync
But in all cases, buyers must make reference sources used in navigation, include a monitoring component, which
sure they specify correctly the
product they want. They should Q As bunker barges start cleaning but their signals are very weak when
they reach the Earth’s surface. They have
filters and analyses the received GNSS
signals and provides an alert on the
out their tanks to prepare for the
also understand the supply and well-known vulnerabilities and limitations
Q What do you see as the biggest demand for that particular product
new products, will this affect the
availability of certain products? that require protection and mitigation.
bridge if direct interference, jamming or
spoofing is detected. M-SecureSync offers
challenge for bunker suppliers in the relevant geographical area. They can be disrupted by unintentional an additional optional layer of navigation
as we approach 2020? A Carrying multiple grades is nothing interference and the unencrypted signal
Circumstances are changing daily, so cyber security in the event of interference
A (Owen T. Webber) There’s been a lot new for the market place. We have in civilian use is susceptible to attack. with GNSS, by switching to an alternative
shipowners should keep a dialogue
of hype in the market about swings been doing this for many years and navigation signal – Satellite Time and
with their trusted avenues of support. Intentional interference can be the denial
before and after the 2020 change have well-proven processes for Location (STL).
Preparing a strategy that covers more of access to satellite signals or ‘jamming’,
over. What is interesting is the varied managing the different types of fuel.
than one eventuality will assist. Ensuring Navigational Safety: so your vessel cannot determine its STL is available worldwide, operating
stances from different sources. GNSS Resilience exact location. Spoofing, also known on the Iridium satellites and provides an
As an independent physical supplier as advanced jamming, is the creation of
Since the development of the Global encrypted signal 1,000 times stronger
operating in a segmented region,
we see turbulence and uncertainty Q Do you expect to see a rise in Navigation Satellite System (GNSS) over
40 years ago, position, navigation and
additional signals that provide misleading
PNT information, so the vessel’s position
than GNSS and resists jamming and
spoofing. As the NPD is independent
in our part of the market. This requires compatibility and quality issues?
timing (PNT) based on satellite input has or time reference is no longer accurate. of the vessel’s navigation system it can
a positive, can-do approach. A In short, yes. The market expectation been vital to many critical systems on provide a real time indication of alerts
The biggest challenge may be the has grown beyond the standard board vessels, allowing a very precise Resilient PNT and positional discrepancies.
impact on availability of the different ISO specifications. Meeting these determination of location. The maritime Deploying traditional procedures for loss
expectations will be a challenge. There is now a growing awareness of
fuels. Other potential issues could be industry relies on trustworthy PNT of GNSS (GPS) is insufficient for threats
As a supplier, we avoid co-mingling the vulnerabilities in GNSS but what is
how bunker price increases could in transport infrastructure, navigation, such as spoofing. An unsecure navigation
of products, we carry out bench not yet clear is what to do about them.
impact the credit worthiness of fuel communications, search and rescue system would not know its positioning
blend tests and can also carry out There is no silver bullet – no one solution
purchasers. We are working hard to applications, fishing operations and source has been compromised. With
pre-checks on compatibility when that can overcome the problems – but
educate buyers about the challenges regulation, using a variety of available the advent of ECDIS and widespread
samples are at hand. Orolia Maritime believe a combination of
ahead in the market and the transition. satellite constellations such as GPS, use of GNSS-dependent chart plotters,
several alternative methods can augment
Galileo, Glonass, Beidou etc. the risk is accentuated.
Q How will the shift in blend-stocks Cyber-attacks can come in many guises, The use of Resilient PNT for navigation
GNSS and provide the resilience necessary
for all critical navigation operations.
and changes in refinery processes
Q Do you see a shift between spot and impact suppliers? Mark Smith
Loss Prevention Executive
acting as a route for fraudsters to forge
invoices, install ransomware or alter
cyber security, is the meeting of
traditional positioning, navigation and By Rod Maclennan
long-term bunker supply contracts? A Recent developments have meant cargo manifests to hide illicit goods. As timing technology with non-traditional Loss Prevention Executive
A We have not yet seen a trend in that we are seeing stockpiling the threats become more sophisticated, and emerging technology.
the mix of contract versus spot which reduces storage availability. poor cyber security could compromise Christopher Loizou
Navigation resilience improves the reliability,
purchases, but this will very much be
driven by the strategy of the buyers.
This means it now costs more money
to store. Notably, we have seen a FIND OUT MORE commercial vessels’ safety through
interference with navigation accuracy.
performance and safety of mission-critical
VP Maritime of Orolia
recent reduction in availability of high Thanks to Oilchart for sharing applications, where discrepancy in data
Traditionally, our business has been
sulphur fuels and owners with vessels their thoughts: www.oilchart.com As the 2021 deadline for the IMO’s accuracy, availability and stability can
made up of both spot and contract
volumes, reliant on the expected flow fitted with scrubbers might want Read more at North’s 2020 Insights
‘Maritime Cyber Risk Management in
Safety Management Systems’ mandate
impact the safety, security and economic
viability of vessels at sea.
FIND OUT MORE
of fuel oils out of major hubs. The last to arrange contracts with suppliers. area: www.nepia.com/insights/
draws nearer, it is all the more important Orolia: www.orolia.com/
few months has seen turbulence The recent events in the Middle 2020-vision solutions/maritime
that the entire vessel management
created in the wholesale market, which East have created extra turbulence ecosystem, from port operations to
in turn has a direct effect on the retail in the supply chains. critical bridge systems, includes protection
market. The volatility in the market
of navigation by creating a resilient PNT
makes it very difficult to forecast price
threat detection and mitigation plan.
and availability of the different products.
Images: Oilchart
10 Signals / Issue 117: Autumn 2019 / Ships Signals / Issue 117: Autumn 2019 / Ships 11
Retrofit risks of
Commercial impact of failure If a vessel’s performance is impacted
The obvious consequence of a treatment following the retrofit of a treatment
system failing to perform as expected is a system, it is therefore recommended
that the vessel’s description (and any
ballast water
regulatory violation picked up by Port State
control (PSC) during an inspection. The associated performance warranties) is
punishment depends on the jurisdiction, amended accordingly. If the charterparty
but PSC deficiencies, detentions and remains unamended, a shipowner may
be exposed to a charterer’s allegations
treatment systems
financial penalties can be expected.
of breach of warranty if delays are
However, there are other commercial experienced as a result of the longer time
impacts to consider. Some are needed for ballasting and deballasting.
outlined below:
The vessel is not considered to be No Plug and Play
seaworthy on delivery or cannot later To ensure a BWTS is reliable and
complete a voyage: The types of performs to the required standard,
The IMO Ballast Water Management (BWM) Convention entered into force in substantial damages that may result it must be right for the vessel.
2017 but at that time it applied only to new vessels. But a new milestone is now could include extra expenses to fix an
alternative performing vessel, cargo
A common message from experts
in the industry is that there is no “one
upon us – the Convention will apply to existing vessels from 8 September 2019. Some of the common problems included
unstable sensors, frequent failing of
transhipment to deliver to final size fits all” or a “plug and play” solution.
destination, etc. There is evidently some
UV lamps, filter clogging and issues Just as importantly, treatment plant
variance in BWM regulations around
installation projects must be properly
BWTS PERFORMANCE
when operating in low-salinity waters.
From this date, existing vessels have up the world which could be problematic.
planned. A typical project timescale from
The ABS report also states that most
until its next IOPP Certificate renewal A voyage cannot proceed promptly after initiation to commissioning is several
IMO and USCG type-approved systems
survey to comply. This effectively delivery: This may cause other sizeable months. This requires careful planning of
are, to date, not suitable for use when
means that vessels whose keel were disputes for wasted expenses, fuel the selection process of treatment plants,
gravity-discharging topside tanks.
laid before 8 September 2017 are likely Credit data source: ABS consumed, and over who pays for other lead times of equipment and workforce
to need to install an approved ballast delay consequences. For time charters, (or dry dock) availability and system
6
Regrowth – a real risk?
water treatment system (BWTS) at the vessel may be expected to be treated designs for pipelines and electrical power.
some point between 8 September 2019 Aside from the findings of the ABS report,
as off-hire if the full working of the Selecting the right plant and system for
and 8 September 2024, depending the the subject of ‘regrowth’ has not gone
vessel is not immediately available which retrofitting on a particular vessel takes
date of IOPP certificate renewal. away. Organisms that survive the treatment
can vary on the case circumstances. careful consideration. The system must
process on intake (i.e. ballasting) can find
You may ask what’s the big deal? New For voyage charters, the vessel may be be matched to the operational demands
themselves in an environment with an
vessels have been complying with the unable to commence laytime (or after and trading pattern of the vessel.
abundance of food, free from predators
ballast water regulations for the last commenced, time may not count as
and can lead to a surge in their population.
two years with little fuss. There is a big laytime or as demurrage) if lost due By Alvin Forster
Concerns on the potential for regrowth
%
difference, however, between installing to delay through non-compliance. Deputy Director (Loss Prevention)
within the ballast tank have been raised
a BWTS during newbuild and retrofitting by a number of parties. This is particularly Reduction in vessel’s ballasting
Jim Leighton
a system on an existing vessel. On an relevant to those systems without performance: There is a risk of reduction
Senior Solicitor, England & Wales (FD&D)
existing vessel, such a system would secondary disinfection (i.e. those that in a vessel’s ballasting capacity following
not have been considered at time of treat the water again during deballasting), the retrofit of a BWTS, potentially
original build and no dedicated space where the scale of regrowth during a delaying cargo operations. This drop in
performance could be due to the system
would have been allocated.
BWTS inoperable – 6% BWTS operational problems –
voyage could result in discharged ballast
water failing the regulatory discharge being unreliable or being a poor match FIND OUT MORE
What could go wrong? (2017: 14%) 59% (2017: 29%) performance standard. for the throughput of the vessel’s ballast See our new guidance on complying
Both the IMO BWM Convention and pumps or additional pipework and filters with ballast water regulations at:
United States federal legislation (the USA Got the power introducing pressure drops in the system. www.nepia.com/latest/all-publications/
are not signatories to the Convention and A vessel is fitted with a power generation Increased fuel consumption: The ?q=water+regulations. Part 1 looks
10
have their own rules) impose a discharge plant matched to its expected demand. greater power demands of a treatment at the regulatory landscape, Part 2
performance standard. This means that system may result in an increased on the different treatment systems
having a ‘type approved’ BWTS is not So, it is possible that the generating capacity fuel consumption. available and Part 3 on the potential
25%
enough. If during deballasting operations of an existing vessel might struggle with the operational and commercial impacts.
the water is found to fail the discharge increase in power demand created by the
quality criteria, the vessel could be in addition of a power-hungry BWTS. Or, the
violation of the applicable rules. generating capacity may have diminished
%
over time as wear or poor combustion
So, it is clearly important that the BWTS affects the ship’s auxiliary engines.
is fully operational, reliable and effective.
It is therefore vital that the vessel can
A 2019 report issued by ABS highlighted cope with the power demands of a BWTS
significant concerns in the operability and that it does not require the shutting
and reliability of ballast water treatment down of other important electrical
systems. ABS reported, worryingly, that consumers, such as cargo gear or reefer
over half of the vessels participating in BWTS operational and BWTS running but operational containers. If it cannot cope, then this can
their survey experienced problems. effectiveness is monitored effectiveness is not monitored result in delays to cargo operations and
and tested – 25% (2017: 14%) or tested – 10% (2017: 43%) lead to disputes.
12 Signals / Issue 117: Autumn 2019 / Ships Signals / Issue 117: Autumn 2019 / Ships 13
Safe working SCORA
wins
North in the News New Brand
& Digital
on CO2 systems prestigious
You may have missed...
Resources
A recent incident that resulted in the deaths
safety award
of ten people on board a vessel has highlighted
Further global appointments
the dangers of not fully understanding the in P&I Claims for North
operation of fixed CO2 systems. Following the recent expansion
of the senior leadership team,
North P&I Club has made a further
series of senior appointments to
It recommends that the onboard strengthen it’s P&I claims team. North P&I Club strengthens Member
maintenance plan should indicate which Services with Next-Gen Digital Offering
http://bit.ly/2OggR2t
tasks may be performed by competent http://bit.ly/31N05fc We have launched a new suite of
crew members and which should be
digital resources, enhancing our
performed by specially-trained persons. North P&I Club Partners
North’s safety culture assessment with Global Maritime Forum ‘Global service built around you’ global service offering.
The guidelines also stress the tool has won the Safety4Sea www.nepia.com/our-news/ We have rearticulated our core brand in Our new digital resources provide:
importance of developing a safety Initiative Award. press-release/north-pi-club-partners- line with the evolving markets we operate
plan prior to commencing any work A new website delivering speedier
with-global-maritime-forum/ in. Our approach, Global services build
on the system. The plan should: The idea for SCORA, short for Safety and easier access to North’s
around you’ and featuring the new North
Culture ORganisational Assessment, http://bit.ly/2Md0AbY extensive P&I, FD&D and Loss
allow for all personnel to be accounted for, roundel, is designed to encapsulate
grew directly from the interaction Prevention information resources.
establish an effective communications North’s confidence in its services, its
between North’s Loss Prevention The introduction of GlobeView, an
system between those working on the North P&I Club’s CIO James modern, Member-centric approach,
department and our ship owner interactive 3D globe which transforms
The incident system and the on-duty crew, Holmes highlights the importance and the importance of global trade.
members. Our ambition with SCORA how information such as maritime
This occurred whilst the vessel was in identify measures to avoid accidental was to give shipowner members a tool of Cyber Security & Resilliance at http://bit.ly/2OlrqkU
this year’s #Cyberfest threats and incidents or port and
dry dock. A junior officer was tasked discharges such as locking or removing they could use to proactively self-assess weather reports can be analysed
with getting details of the fixed systems the operating arms from directional safety at a high operational level and, http://bit.ly/2ogLdXP
and acted upon.
CO2 bottles in the vessel’s CO2 room. valves or shutting and locking the as a result, allow them to address any
While the junior officer was in the CO2 New and improved Industry
system block valve, and; weaknesses highlighted in the report.
room, he discovered a leak from one of Expertise areas, which centralise key
ensure all personnel are notified of SCORA was launched in March this year information on trending topics and
the cylinders. In an attempt to stem the the impending activities before work
leak, a pressure increasing valve was and we’ve been really pleased to have persistent industry challenges to
is begun. lots of interest and positive interaction. enhance Members’ ability to trade
mistakenly opened, which increased the
with confidence.
Safety Management 2.0
pressure in the system and resulted in Operating instructions and SCORA is a great example of how
the release of all the cylinders in that bank. valve identification North, and our highly regarded Loss A revamped Members’ area,
MyNorth, that enables Members
Returns to Greece
The system had a final distribution valve The Fire Safety Systems Code (FSS) Prevention team, can work alongside
our Members to help them with the and brokers to personalise and
to the engine room which was initially states that clear operating instructions
business challenges they face. tailor the content they wish to see.
closed but subsequently opened in error. should be adjacent to each and every
This led to the occupied engine room CO2 system release point location. An innovative Correspondents’ tool,
being flooded with CO2. By Alvin Forster which creates a personalised, Member-
Labelling of critical system components Day one of the workshop focused on
Deputy Director (Loss Prevention) specific book of correspondent
can help ensure that the system is simplifying safety management systems
Preventing incidents contacts by region and country.
correctly operated in the event of an to improve safety, training efficiency,
To prevent incidents occurring when compliance and seafarer satisfaction. Updated and improved Android and
emergency. Colour-coded controls is
working with or on fixed CO2 systems, On the second day, delegates explored iOS apps, that feature translated
it is critical that the all persons involved
a useful way to identify the controls for
a particular discharge zone.
FIND OUT MORE several issues around measuring and content and access to every North
are aware of the risks. Find out more about SCORA at: assessing safety performance from employee and correspondent.
Risks of CO2 rooms www.nepia.com/scora both an organisational perspective To access these resources please
Any maintenance – planned or unplanned
and a crew perspective. visit: www.nepia.com
– that is to be carried out on the system CO2 rooms themselves present a risk
must be appropriately risk assessed with because of the high volume of CO2 The next Safety Management 2.0 Our commitment to delivering the
the necessary control measures in place stored in a relatively small area. Therefore, North’s Safety Management 2.0 workshop will be held at Amsterdam in highest levels of individual, tailored
in accordance with the vessel’s safety entry into the room should be controlled workshops made a welcome return November and is already fully booked. service wherever our Members are
management system (SMS) and the and the space gas tested prior to and to Greece in October. Watch out for more dates in the future. based is second to none and these
manufacturer’s recommendations. during entry. The vessel’s SMS should new digital tools will help our Members
contain procedures and control measures Back by popular demand (and an By Alvin Forster
IMO guidelines on the maintenance easily access the latest intelligence
for entering CO2 rooms. oversubscribed programme earlier Deputy Director (Loss Prevention)
and inspection of fixed carbon dioxide and insights when they need it.
this year!), North hosted delegates
fire-fighting systems (MSC.1/Circ.1318) in our Piraeus office. Those attending By Kim Rogerson
By David Patterson
considers who should carry out the benefitted from expert insights from Senior Executive (Communications)
Loss Prevention Executive
maintenance and repairs. leading safety consultancies Lovoy
AS and Green Jakobsen.
FIND OUT MORE
Find out more at: www.nepia.com/
safety-management-workshops
14 Signals / Issue 117: Autumn 2019 / Ships / Loss Prevention www.nepia.com 15
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