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UK faces legal challenge over emergency cover scrapping

Britian decided to scrap emergency towing vessel cover around the coastline Britian's decision to scrap emergency towing vessel cover around the coastline is now almost certain to face legal challenge, with opponents of the idea set to argue in the High Court that such a step would breach both international treaty obligations and domestic law.The government initially unveiled the move in October 2010, as part of the biggest round of public sector cuts seen in Britain for almost 90 years. Ending ETV cover is designed to save 32m ($51.5m) over four years, as a contribution towards an 81bn overall reduction in state spending.However, reaction within UK shipping has been almost unanimously hostile, with many doubtful that reliance on free-market salvage operators is an adequate substitute for having four tugs provided by JP Knight on call 24 hours.They point out that the present system was introduced in light of past experience, on the recommendation of Lord Donaldson's report into the 1993 Braer disaster, and that one repetition of such an incident could dwarf any savings made by ending it.Seafarer union Nautilus International today confirmed that it and one other party, which it declined to name, were now talking to maritime law ...

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First UK offshore LNG terminal faces year delay

It may be delayed until 2015 The commercial startup of Britain's first floating liquefied natural gas (LNG) import terminal may be delayed until 2015 from 2014 owing to regulatory hold-ups, Norwegian developer Hoegh LNG said on Monday.A final investment decision (FID) on the 3-6 billion cubic meter/year deepwater Port Meridian import terminal has been pushed back one year to the end of 2012, Hoegh LNG's Chief Executive Officer Sveinung Støhle told Reuters.Delays to FID could delay start-up of the facility to 2015, Stohle said, although the company might be able to deploy one of its two floating storage and regasification units (FSRUs) now under construction for the project.Two FSRUs under construction are due for delivery in 2013 and 2014 from South Korean shipbuilder Hyundai Heavy Industries."We have all the approvals, now we are focussing on getting customers on board in the next 6-12 months," Stohle said, referring to the UK project.Falling production from ageing North Sea gas fields suggests UK import needs will continue increasing in the coming years, enticing investors to bankroll new terminals like Port Meridian, he said.About 50 percent of the terminal's capacity will be sold on a medium-term basis, meaning between 3-5 years, while the majority ...

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UK detains five foreign ships

After failing port state control inspections The United Kingdom detained five foreign ships during July 2011 for failing port state control (PSC) inspections. The annual rate of ships detained following inspections was 3.25 per cent, which was a slight decrease from the previous month.The detained vessels included:The St Kitts and Nevis-flagged Fastrex, detained in Hull for 13 days for six of 14 deficiencies found.The Panama-flagged Noblesse, detained for 31 days since 1 June 2011 in Silvertown for seven out of 22 deficiencies found.The unregistered Cien Porciento, detained in Lowestoft since 4 March 2010 for seven out of 30 deficiencies found.The Kiribati-flagged My Lady Norma, detained in Penzance since 12 October 2010 for one deficiency found.The Panama-flagged Most Sky, detained in Birkenhead since 8 November 2010 for four of 12 deficiencies found.Source: ITF

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UK Chamber of Shipping on the fence on GHG policy

London-based body launches 'manuals' on the two main options for market-based measures Underlining its difference of opinion with most other national shipping associations, the UK Chamber of Shipping has urged the international shipping industry to keep the door open on all options to drive a reduction of its carbon emissions. The UK Chamber has welcomed the advances made by the International Maritime Organization to promote the reduction of shipping's carbon emissions through technical efficiencies but in a statement says it believes that it will prove necessary for the industry to go further - through the adoption of economic (or 'market-based') measures to meet governments' expectations and targets. The statement said: "International opinion is divided on the best model for reducing the shipping industry's carbon emissions. Some support the idea of a greenhouse gas (GHG) contribution fund, in which shipping companies would contribute as part of purchases of bunker fuel. Others prefer an Emissions Trading System (ETS), in which shipping companies would buy a shipping allowance or 'emissions unit', which they would then surrender according to their actual carbon emissions." The International Chamber of Shipping's (ICS) director external relations Simon Bennett told that the vast majority of national shipping associations within ...

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Isle of Man signs new Declaration for seafarers

Designed to improve the living and working conditions The Isle of Man has entered into a new tripartite declaration designed to improve the living and working conditions of all seafarers on Isle of Man-registered ships.This formalises the important work carried out in a tripartite forum between the Isle of Man Government, the Isle of Man Shipping Association and the seafarers' representative unions, which has been in place for many years.The forum has been a key element in the continued success of the Isle of Man's Ship Registry as it demonstrates the commitment to the seafarers serving on its ships to ensure they are provided with the right living and working conditions, employment conditions and pay.The "Declaration of Principles", originally agreed and signed in 2003, has been revised to bring it up to date with international developments.Additionally, the Declaration recognises the importance of the Maritime Labour Convention (MLC) and demonstrates how the Isle of Man is working towards its adoption. The MLC, which is expected to enter into force in 2012, will be the new standard enforced globally to cover the rights of seafarers.Minister for Economic Development, Alan Bell MHK, commented: "I am delighted that we have been able to sign ...

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UK shipping industry rejects EU’s carbon reduction programme

EU emissions trading scheme is not suitable for shipping, says trade association The UK's shipping industry has roundly rejected theEuropean Union'semissions trading scheme, defying calls for shipping to be included in the carbon reduction programme.Mark Brownrigg, theUK Chamber of Shipping's director general, told the Guardian: "The EU'semissions trading scheme will not work for shipping. It is not suitable. It is not a global system, and shipping is."He claimed that if shipping were to be included, as campaigners have called for, that ships would simply refuel instead at non-EU ports.Aviation is to be included in the emissions trading system, despite similar claims from airlines, which have said that companies would choose to land in countries outside the EU to avoid having to pay for carbon permits under the EU's system.However, theEuropean Commission held firm, and airlines will be included in the scheme. Although US airlines are disputing the legality of this decision in the courts, no airline from any country has announced plans to land flights outside the EU in preference to continuing with their current schedules.The Chamber of Shipping will publish on Wednesday discussion documents setting out how the industry could adopt different methods of carbon reduction, including emissions trading ...

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New inquiry for the future of marine renewables in the UK

By the Energy and Climate Change Committee, chaired by Tim Yeo MP The Energy and Climate Change Committee, chaired by Tim Yeo MP, launched an inquiry to investigate the potential for marine renewables to contribute towards the UKs renewables and emissions targets.The UK has the largest wave and tidal resources in Europe. The Carbon Trust has estimated that around 1520% of the UKs electricity could potentially be produced from marine renewable sources (based on the available resource). A range of technologies is being developed to harness these resources, but most are immature and still at an early stage of development.The Government has provided funding to the research and development of marine technologies through a number of routes, including the 50 million Marine Renewables Deployment Fund (MRDF) created by the previous Government.The Spending Review of November 2010 announced innovation funding of over 200 million for low carbon technologies over the next four financial years, from April 2011. On 28 June 2011, DECC announced that 20 million of this funding would be used to support two projects to test prototypes in array formations.Terms of ReferenceThe inquiry will assess the success of existing Government support and measures on marine renewables and investigate the ...

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Moore Stephens warns that UK shipping competitiveness is under threat

faces a growing threat from other jurisdictions Leading accountant and shipping adviser, Moore Stephens, has welcomed the UK government's decision to issue consultation papers on statutory residence and the taxation of non-domiciliaries. But it warns that the UK shipping industry faces a growing threat from other jurisdictions.Her Majesty's Revenue & Customs' consultation papers propose a statutory residence test and certain changes to the taxation of non-domiciliaries with effect from April 2012. "These could have important implications for shipping," said Moore Stephens shipping partner, Richard Greiner, "and are generally to be welcomed".The stated objectives of the non-dom taxation reforms are to ensure that non-doms make a fair tax contribution and to encourage non-doms to invest in the UK. To achieve the latter objective, the government intends to allow non-doms to remit overseas funds to the UK tax-free for commercial investment in a qualifying business. Greiner added: "Although these measures are at present the subject only of a consultation paper, and could change as a result of responses received by the government before the cut-off date of 9 September 2011, they represent a positive development."Similarly, the draft proposals for a statutory residence test should result in rules which are clear and fair, ...

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Britain will boost tax support for North Sea oil companies

Aim to help firms operating in smaller and less profitable oil fields Britain will boost tax support for North Sea oil companies to help firms operating in smaller, less profitable oil fields, softening an earlier tax increase that had prompted warnings about the future of the nation's energy supply.The Treasury said on Tuesday it would raise the annual rate of the Ring Fence Expenditure Supplement to 10 percent from 6 percent. It also said it would continue to consult oil companies on finding new categories of field allowance.The move follows the government's surprise tax increase on North Sea oil output in March, which led the industry to warn that investment in oil and gas would suffer, increasing imports and driving UK jobs abroad.Oil companies cautiously welcomed the move. Norway's Statoil said it would resume preparatory North Sea work suspended in the wake of the tax rise, while a UK trade group called it "constructive" and the shares of smaller firms rose."They're alleviating some of the damaging effects of the tax increase and we could see more of this as the companies lobby the government," said Sanjeev Bahl, analyst at Numis."It is really letting companies increase the value of their tax ...

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10 foreign ships under detention in the UK during May 2011

6 new detentions of foreign flagged ships in UK ports The Maritime & Coastguard Agency (MCA) announced today that 10 foreign flagged ships were under detention in UK ports during May 2011 after failing Port State Control (PSC) inspection.Latest monthly figures show that there were 6 new detentions of foreign flagged ships in UK ports during May 2011 and 4 vessels remained under detention from previous months. The overall rate of detentions compared with inspections carried out over the last twelve months was 3.29% this is slightly down from Aprils twelve month rate.Out of the detained vessels 4 were registered with flag states listed on the Paris MOU white list, 4 were registered with flag states on the grey list none were registered with flag states on the black list and 2 were unregistered.1. In response to one of the recommendations of Lord Donaldsons Inquiry into the prevention of pollution from merchant shipping and in compliance with the EU Directive on Port State Control (95/21/EC as amended), the Maritime and Coastguard agency (MCA) publishes full details of the foreign flagged vessels detained in UK ports each month.2. Inspections of foreign flagged ships in UK ports are undertaken by surveyors from ...

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