Author: nlnnpc-mashinaki

As a result of the ongoing conflict between Rapid Support Forces and the Sudanese Armed Forces disruptions of operations have been noted in the port of Port Sudan.

The port is currently operational however local correspondents advise that cargo operations are hampered due to evacuations of foreign nationals and due to fuel shortage. Local correspondents also advise that banking services and customs clearance are currently still unreliable.

We recommend that our members verify with their local agents well in advance of carrying out shipments to/from Port Sudan.

For any queries relating to this matter, members are invited to contact the NNPC via claims@nnpc.nl.

Mental health is not an obvious or easy subject in any context but certainly in shipping. The perception of a ship’s crew is usually one of strong men and women who act without complaining always with a shared interest of the ship and her cargo. Yet the mental health of the crew on board of a ship is a subject that deserves special attention.

After all, life at sea is not always easy: far away from home, long hours and little private time. At the same time one may have to deal with work stress, problems at home and – not to be underestimated – the traumatic consequences that the danger of working at sea such as an accident resulting in the personal injury of a crewmember. In terms of crew health, the focus is mainly on physical health but mental health is equally important. In handling claims involving human error such as cargo damage due to human error or personal injury claims we have noticed that the mental health of the crew can be an important element in the cause and the handling of such matters.

According to the Sailor’s Society, a British initiative that helps sailors monitor their own well-being, a study conducted in collaboration with Yale University found that more than 25% of people at sea suffer from one or more features of depression. Many of them, about 45%, do not ask for help. About a third discuss it with friends or family and only a fifth discuss it with a colleague, despite the fact that they often spend months at sea together in close quarters.

Crew members with mental health problems may feel they are not up to standard within a ‘macho’ culture on board. The commonly adopted attitude may be to pull yourself together and get on with what you are doing, ignoring the long-term negative consequences. The study conducted by the Sailor’s society shows a reluctance to openly discuss problems due to the fear that they may be considered unfit for their job.

Mental health issues can be a problem not only for the crewmembers themselves, but also for family, friends and other crewmembers. It can manifest itself in low morale, concentration problems and an increased risk of absenteeism and – last but not least – injury due to unfocused work. The ship’s management may as a result be faced with costs due to delays, repatriation and an increased risk of cargo or ship damage, or navigational errors. An even bigger problem may arise if a crew member’s problems turn into dangerous situations due to physical aggression towards others or themselves.

Of course, it is impossible to maintain high morale on board with everyone under all circumstances. Every crewmember has their own needs, peculiarities and background. As management, it is important that you are as aware as possible of the ups and downs of your crew and can actively intervene if you notice that a crew member is having a hard time, even if they do not speak about it.

Following discussions with various stakeholders the European Maritime Safety Agency (EMSA) has announced that it will continue to recognize STCW certificates (Standards of Training, Certification and Watchkeeping) issued by Philippines-based training providers after the country’s president confirmed it would address decades-long problems with his country’s seafarer training systems.

The EU had been for many years concerned about both the quality and consistency of training. Already in December 2021, the Commission reviewed the training and certification system. Subsequently, the Commission informed the Philippine authorities that if no action was taken, the recognition of their seafarer certificates would be withdrawn. One of these measures is to comply with the International Convention on Standards of Training, Certification and Watchkeeping for seafarers (STCW). Since then, the Philippines has made serious efforts to comply with the requirements, in particular in key areas like the monitoring, supervision and evaluation of training and assessment.

In the coming months, the EU Commission intends to provide the Philippines with technical assistance to further improve its education, training and certification system for seafarers. It has also been confirmed that representatives from the ITF, shipowners’ association ICS, and other industry bodies will form the new ‘International Advisory Committee on Global Maritime Affairs’ (IACGMA). Its first task will be to advise on the training and certification reforms needed, but it will also face dealing with a multitude of government ministries and agencies on complex maritime sector issues.

Further details can be found on the press site of the EU FOD Mobility and Transport, accessible through following link:
https://transport.ec.europa.eu/news/maritime-transport-commission-continues-recognise-filipino-seafarers-certificates-2023-03-31_en

As the shipping industry continues its journey to decarbonisation, many of our Members will have noted the changes to MARPOL Annex VI introducing the below listed technical and operational goal-based measures, coming into effect as from 1st of January 2023.

Now well underway in 2023, we list for our Members’ reference again the main highlights of the regulatory changes and its consequences on ship operations and ship management:

1. Introduction of Energy Efficiency Existing Ship Index (EEXI) – retroactive EEDI requirements applied to existing ships from 1 January 2023.
2. Introduction of a rating mechanism (A to E) linked to the operational Carbon Intensity Indicator (CII), taking effect from 1 January 2023.
3. Introductions of Enhanced Ship Energy Efficiency Management Plan (SEEMP) to include targets for operational emissions, where an approved SEEMP needs to be kept onboard from 1 January 2023.

Applicable to ships from 400GT and built before 2013, EEXI measures CO2 emissions by considering the ship’s design parameters. It is similar to the Energy Efficiency Design Index (EEDI), where the latter only applies to new vessels built from 2013 as EEXI applies retrospectively. EEXI is calculated using 3 values: engine power, fuel consumption and fuel to CO2 corresponding conversion factor. The attained EEXI coefficient is certified (one time certification) and is then compared to IMO’s required EEXI for the purpose of compliance. If the coefficient ends up outside the ‘required EEXI’, shipowners and charterers will need to act to improve efficiency. Shipowners also need to develop and keep an EEXI Technical File, which includes the data used to calculate the EEXI value, and will be used as a basis to verify compliance with the regulations.

Applicable to ships from 5000GT and higher, CII acts as a method of measuring how efficiently a vessel carries goods or passengers in its voyage. The CII includes distance traveled, its speed as well as the fuel usage. Here vessels will be given rating from A to E, A being the highest. If any vessel receives rating of D for three consecutive years or E rating in a single year, that vessel needs to undergo corrective measures. These corrective measures are to be recorded in the SEEMP documentation. Contrary to EEXI (which is a one time certification only) the CII assessment is made on annual basis with the IMO’s emission limits reducing each term.

Thirdly SEEMP Part III is an addition to existing SEEMP Part I and II. This document will show the vessel’s plan on reducing CII each year for meeting IMO standards, which is the vessel’s operational energy efficiency for the next three years. This plan is subject to approval by flag state (or recognised organisation) and company audit. Therefore this is intended to help companies achieve the required CII. This documentation must be kept on board of the vessel. SEEMP Part III is especially amended to include CII in the ships planning document, therefore it can be accessed any time to reveal the vessels measures on attaining the required results.

In anticipation of discussions between Owners and Charterers on required ship coefficients, BIMCO has introduced clauses for inclusion into charterparties, namely ‘CII Operations Clause for Time Charter Parties 2022’ and ‘EEXI Transition Clause for Time Charter Parties 2021’. These clauses are primarily to apportion the risk and liabilities between Owners and Charterers as a result of the changed regulation and it is recommended that members consider the inclusion of these clause into their Charter Parties.

Separate to the amendments to MARPOL Annex VI as described above, EU Members states have also agreed on the inclusion of the shipping industry into its “Fit for 55 in 2030 package”. This system is based on “cap and trade” emission scheme called Emissions Trading System (ETS), which is by requiring companies to buy permits to emit carbon dioxide. If and when implemented this will require shipping companies to purchase allowances for carbon emissions relating to voyages of ships from 400GT to/from EU ports.

Originally prevised for a start date on January 2024, the legislation is yet to be formally adopted and discussions on implementation of this trading scheme are currently underway in the European Parliament. In this respect it is to be noted that on 23 March 2023, a provisional agreement has been reached between the European Commission, the European Council and the European Parliament on the FuelEU Maritime Initiative as part of the EU climate change package ‘Fit for 55’. The main objective of the initiative is to reduce the carbon footprint of the EU maritime sector by using more renewable and low-carbon fuels, without creating disturbances to the shipping industry or disrupting the EU internal market.

It is expected in the short term that the provisional agreement will be formally approved by the European Council and the European Parliament, after which the FuelEU Maritime Initiative should come into force on 1 January 2025. The initiative aims to ensure that maritime transport meets the EU’s climate targets for 2030 and 2050 and will play a crucial role in the implementation of the European climate law.

For a detailed report on the content of the FuelEU Maritime Initiative we refer to the press site of the European Council accessible via following link:
https://www.consilium.europa.eu/en/press/press-releases/2023/03/23/fueleu-maritime-initiative-provisional-agreement-to-decarbonise-the-maritime-sector/

For specific questions or comments, members are invited to contact the NNPC via claims@nnpc.nl.

With this article we would like to remind our members and insureds of the existing sanction regime that is in place in relation to the ports in Northern Cyprus. The reason for doing so is the fact that Cypriot authorities have identified several vessels which entered the port of Famagusta in breach of these sanctions. A number of complaints have been filed with the Dutch government as a result.

The sanctions regime

The sanction regime has been in place since 1974 and affects all vessels calling at ports in the Turkish-occupied part of Northern Cyprus. This regime specifically relates to the ports of Famagusta, Karavostasi and Kyrenia which, pursuant to “Order of Council of Ministers of the Republic of Cyprus Oct. 3, 1974”, are closed to all vessels. This main objective of this measure is to preserve the sovereignty of the Republic of Cyprus over the ports. There is however also a second reason: due to the loss of effective control over territorial waters and above-mentioned ports, the Cypriot authorities cannot guarantee the navigational safety.

Consequences of a breach

If the sanctions regime is breached, the captain and/or owner of the vessel concerned may be prosecuted by the Cypriot authorities. If found guilty this may result in a fine, imprisonment of up to 2 years or a combination of both. We remind members that the NNPC will not be able to provide cover for claims relating to a sanctions breach and therefor highlight the importance of thorough due diligence checks on the side of the member/insured. If there are any questions about it then please contact us, we are happy to assist.