Two Alang Shipyards Waiting on EC Audit Assessment


Two Indian ship recycling yards has been selected for the first time to be audited by the European Commission.

Reason for the audit

A total of 11 yards have applied to the EC. Out of which, two Indian ship recycling yards are selected to be audited by the European Commission, for inclusion in a list of yards suitable for dismantling EU-flagged vessels.

The inclusion of the yards in the EC’s list will mean that large commercial seagoing vessels flying the flag of EU member states will also be allowed to recycle in India.

Changing practices benefits

The Indian ship recycling industry has typically followed substandard practices which dissuaded ship owners from using their services. That is changing.

“The EC´s audit indicates that progress in these yards has come far enough for the EU to consider the application relevant for assessment. We are moving away from traditionally substandard working conditions and proving that responsible, and commercial ship recycling can be done successfully in India if provided with the right skills, mindset and investments,” said Chetan Patel, owner of the Shree Ram Group which runs one of the yards. The yard closely works with the Maersk Group to upgrade its facility at Alang.

Transformation in Alang

“We truly believe that Europe can lead the way out of substandard operating conditions in ship recycling, which is evident by the transformation underway in Alang. The incentive to get on the EU List is currently driving this upgradation in the effort to move away from dismantling vessels under unsafe working conditions and following practices that cause environmental contamination,” said John Kornerup Bang – Head, Sustainability Strategy & Shared Value at A. P. Moller Maersk.

Assessment findings awaited

“The EC has audited two yards in Alang and we are looking forward to seeing the conclusions of that assessment.

However, transparency in the assessment process is crucial to keep improving conditions in Alang and fix the potential gaps and we are hoping this will be followed.

The EC has already included three non-EU yards – one from the USA and two from Turkey- on its list of ship cycling yards in which EU-flagged vessels can be dismantled, bringing real hope to other yards that apply similar or even better standards,” he added.

More than 20 shipyards outside the EU have applied for inclusion in the EU List. So far, a US yard and two Turkish yards have been included in the latest version of the list which currently awaits comments from EU’s member states.

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Source: Economic Times