During Nor-Shipping 2017, ABN AMRO, ING and NIBC presented the Responsible Ship Recycling Standards (RSRS) for ship financing and called upon other financial institutions to unite in endorsing these. The banks hope to raise awareness of the importance of improving the end-of-life stage of ships.
As recycling of a ship at the end of its lifecycle poses social and environmental risk challenges for the industry, the three parties joined forces several years ago, to develop the RSRS for shipfinancing. The RSRS aim to promote responsible ship recycling and minimise the dangers associated with hazardous materials on board of ships.
The standards are expected to engage ship owners in an active dialogue and encourage them to prepare and maintain an Inventory of Hazardous Material (‘IHM’) on board their ships. The RSRS describes the materials present in a ship’s structure and equipment that may be hazardous to human health or the environment.
In addition, the presence of an IHM will contribute to the safety of crewmembers during the ship’s working life, minimise the adverse effects on the environment and contribute to the safety of workers during the recycling process. In addition, the standards promote that IHM and ship recycling practices meet the standards as defined in the EU Ship Recycling Regulation.
The initiative is endorsed by the labour union FNV, the NGO Shipbreaking Platform and the Bellona Foundation, as they see it as a good first step towards more sustainable practices and safe & healthy working places for workers.
The standards form the guiding principles in the dialogue on responsible ship recycling between the financial sector and targeted stakeholders in international shipping.
“We welcome the leading role taken by the banks to ensure a departure from the unnecessarily risky, dirty and dangerous practice of beaching, and expect that investors and clients of shipping that are increasingly pushing for higher standards for ship recycling will join the initiative,” said Ingvild Jenssen, Founder and Director of the NGO Shipbreaking Platform.
“Shipbreaking is an unavoidable part of global shipping that we all benefit from. The initiative from this group of banks to address the environmental and human cost, is highly appreciated.”Bellona Foundation commented.