Ship Recycling Awaits a Green Revolution

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Shipowners have the Power to Revolutionise Ship Recycling by Going ‘Green’

recycling

Ship scrapping and recycling is a natural and inevitable part of a vessel’s lifecycle.  Many people rely on this vital market, both directly and indirectly.

The Hong Kong International Convention for the Safe and Environmentally Sound Recycling of Ships (HKC)

However, this industry sector has a historically a negative reputation.  The Hong Kong International Convention for the Safe and Environmentally Sound Recycling of Ships (HKC)  is making a significant impact on improving health, safety and sustainability standards at recycling yards around the world.

The HKC focuses on the systematic prevention.  Wherever  practicable, it is concerned with the elimination of safety and environmental risks through mandatory requirements for preparatory work and requirements for yard facilities and operations.

Until the HKC enters into force, sustainable ship recycling is driven by the market dynamics between shipowners and yards.  While the impact of cost and return cannot be underestimated and shipowners have the power to incentivise a change in ship recycling by choosing sustainable options.

In the current procedure, a shipowner who chooses to follow the highest health, safety and environmental standards must send his ship to a yard that holds a HKC Statement of Compliance from a member of the IACS Classification Society, and ensure contractually with the cash buyer that the ship will be recycled in accordance with the technical standards of the HKC.  They should also consider supervision and/or reporting, to ensure and demonstrate that the recycling has taken place in the appropriate way.

The positive sign is that a number of shipowners are choosing this route, and demand for responsible ship recycling now exceeds supply in South-east Asia.

Status

  • Five yards in Alang have achieved HKC compliance certification, and 20 more facilities are going through the process.
  • As competing yards see growth for services based on good health, safety and environmental practices, it creates a commercial environment where HKC compliance, ISO and OHSAS certification have become a competitive advantage.
  • GMS has worked independently to develop a “Green Team” to support yards in increasing sustainability, deliver environmental transparency and reporting to owners and support yards in working towards ISO and OHSAS accreditation.  It is our aim to turn sustainable ship recycling into the norm, rather than the exception.

Sustained recycling

To help achieve this across the world, we need to see continued demand for sustainable recycling maintained and one clear global standard to aim for.  The importance of the arrival of the HKC as a global, enforceable standard in ship recycling cannot be underestimated. Neither can it be undermined by other regulations such as the European Union’s Ship Recycling Regulation, which could serve to stifle the progress being made in South Asia.

EU legislation

The EU legislation shares similarities with the HKC, but crucially, the EC interprets some of its provisions as a ban on beaching, even at yards compliant with the rigorous safety and environmental standards of the HKC.

South-east Asia

More than two-thirds of the world’s ship recycling is conducted in South-east Asia using the beaching method, and improving these yards is central to the HKC.  Interpretation of the EU regulation as a ban on beaching will just create an unfair and damaging geographic gap between South-east Asia and non-beach ship recycling yards elsewhere with no way to bridge the gap between the two.

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Source: The Loadstar