Time up for single hulls

Time up for single hulls

THE International Maritime Organisation (IMO) has approved a new global timetable for accelerating the phasing-out of single-hull oil tankers. At the end of a week-long meeting of the organisation's Marine Environment Protection Committee (MEPC) in April, delegates from IMO's 158 member states agreed to a timetable that will see most single-hull oil tankers eliminated by 2015 or earlier.

The new phase-out timetable will be enshrined in a revised regulation 13G of the Marpol convention. The new regulation will enter into force in September 2002, the earliest possible time permitted under Marpol. The existing Marpol regulation 13G, adopted in 1992, already legislated for the phasing-out of single-hull tankers, but over a more protracted period.

SMA revises its arbitration procedure

THE Society of Maritime Arbitrators (SMA) in New York has revised its shortened arbitration procedure. The procedure, designed to provide a quick and inexpensive method of resolving small and simple disputes, was first introduced in January 1989. The newly revised shortened arbitration procedure, which became effective on March 1, 2001, will apply to charter parties entered into on or subsequent to that date.

Among the revisions, the procedure calls for the appointment of a single arbitrator and the elimination of the oral hearing. It also provides a timeline for the exchange of submissions and supporting documents, with submissions limited to an exchange of claims, defence, counterclaims and reply briefs/summaries. The number of items in dispute is also limited to four, and eliminates discovery, except as deemed necessary by the arbitrator.

There will also be a limitation of $2,500 for the amount of legal expenses or time and expenses which may be awarded to a prevailing party. This is expected to limit the length of briefs where lawyers are used. Meanwhile, the arbitrator's fee and expenses have been increased to a maximum of $1,500. The arbitration award will still be issued within thirty days of receipt of final replies or of the arbitrator's declaration that the proceeding is closed.

Philippines seafarers contract under review

ON June 28, 2000, the Philippines Overseas Employment Administration (POEA) revised its standard agreement for Filipino seafarers, which has been in effect since 1997. As reported in Currents, the newsletter of the Centre for Seafarers' Rights (CSR), the standard agreement establishes minimum standards for all Filipino seafarers' contracts. CSR and several other non-governmental organisations provided comments to the POEA on how the standard agreement might be improved.

It was felt that the POEA decided to favour employers over seafarers in its amendments, and new employer obligations tended merely to restate existing law, while changes affecting seafarers tended to erode their rights. Consequently, seafarers' interests challenged the new contract in the Supreme Court of the Philippines. On September 11, 2000, the Supreme Court ordered the POEA to stop using the new contract until further notice, pending its review. In the meantime, the 1997 POEA standard agreement will continue to be used.

Norway tackles wreck removal

THE government in Norway is taking a stand regarding wreck removal. In a white paper issued recently, it has put forward changes to the limitation of shipowners' liability with regard to wreck removal. This latest development is viewed by shipowners and P&I clubs, in particular, as a setback, and is expected to have a knock-on effect on insurance premiums. The paper is currently in circulation in the industry for feedback.

Following a number of incidents off the Norwegian coast, the Norwegian government last year issued another white paper proposing a dedicated body of experts to deal with investigations following accidents. To be on the scene immediately after an accident, the body will be charged with looking into what went wrong and how to prevent it happening again.

Norway has also ratified the 1996 protocol regarding amendments to the Convention on the Limitation of Liability for Maritime Claims. The new limits have applied since the protocol came into force there on February 20, 2001.