Tag: EU

Platform News – Carnival Corporation commits to sustainable ship recycling

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NGOs commend cruise shipping giant Carnival Corporation for its recent decision to support clean, safe and just ship recycling. The American ship owner has worked with the Platform’s member organisation Bellona Foundation and Dutch company Sea2Cradle for the development of a comprehensive ship recycling plan for two of its retired vessels.

 

The CARNIVAL FANTASY and the CARNIVAL INSPIRATION will be scrapped at yards Simsekler and Ege Celik, located in Turkey. Both recycling facilities meet the environmental and safety standards set out in the EU Ship Recycling Regulation, which became applicable on 31 December 2018 and provides the only reliable auditing scheme for clean and safe recycling.

"Bellona Foundation welcomes Carnival Corporation's decision to responsibly recycle their retired ships in Turkey, and we applaud them for their commitment to responsible management throughout the lifecycle of their ships. Dismantling a cruise ship is complex, involving many components for reuse, recycling and waste for disposal. Carnival Corporation's commitment to recycling in a proper way to avoid pollution and to safeguard the environment shows leadership."
Sigurd Enge - Shipping & Arctic - Bellona Foundation

The scrapping operations will be closely monitored on the ground by ship recycling consultants Sea2Cradle. With over twenty years of experience in sustainable ship recycling, they will ensure that all health, safety and environmental measures are followed.

 

Carnival Corporation is not the only cruise company that has been forced to downsize its fleet. The entire cruise sector is severely hit by the COVID-19 pandemic, with many ship owners taking steps to reduce operating expenses, including the retirement of relatively young ships. According to shipping databases, at least five cruises have already been sent for scrapping in the last seven months. In June, Carnival’s subsidiary Costa sold the COSTA VICTORIA to Genova Industrie Navali-controlled San Giorgio del Porto, which will now likely take care of pre-recycling operations at a yard in Piombino, Italy. Last month, Pullmantur sent MONARCH and SOVEREIGN cruises for scrapping in Turkey. Rumours are that German TUI’s MARELLA CELEBRATION might also head soon towards the breakers. In 2018, its sister ship MARELLA SPIRIT was illegally exported  from Greek territorial waters for scrapping on the beaches of South Asia in violation of the EU Waste Shipment Regulation.

 

"Carnival Corporation’s decision shows that it is possible to scrap ships off the beach. Ship owners have a duty of care with regards to the safe management of their end-of-life fleet, and we strongly advise other owners to follow Carnival’s example to avoid putting workers, the environment and their own company at risk. Opting for a facility that is on the EU List is the best safeguard a concerned owner can take."
Ingvild Jenssen - Executive Director and Founder - NGO Shipbreaking Platform

Press Release – BBC exposes dirty and dangerous scrapping of oil and gas units in India

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Diamond Offshore and cash buyer GMS under the spotlight

 

A BBC Disclosure production released this week reveals the harm caused by shipbreaking activities in Alang, India, as well local officials’ and leading oil and gas companies’ efforts to cover up their unlawful practices. The investigation, conducted by journalists Mark Daly and Chris Foote, focuses on the attempt to illegally export a trio of floating rigs full of asbestos and mercury from the Scottish Cromarty Firth.

 

The BBC Disclosure documentary and longread trace five rigs that were sold in 2017 by oil and gas company Diamond Offshore to cash buyer GMS, one of the leading scrap dealers for end-of-life vessels. Two of the units — the Ocean Alliance and the Ocean Baroness — left the Gulf of Mexico and ended up on the shipbreaking beach of Alang, India. The other three — the Ocean Nomad, the Ocean Vanguard and the Ocean Princess — are still detained in Cromarty Firth by the Scottish Environment Protection Agency (SEPA). The NGO Shipbreaking Platform alerted SEPA in January 2018, only few days before the rigs were due to be removed from the Cromarty Firth, that the units were likely to end up on a South Asian beach for dirty and dangerous scrapping in breach of European and international environmental law.

"Our preference is that waste stays in Scotland and gets dealt with. If it’s going to move somewhere else, we need to make sure that it’s going to the right place, where it can be handled properly. If someone wants to do the wrong thing, it is our job to stop them."
Terry A’Hearn - Chief Executive - SEPA

Workers’ interviews and undercover footage obtained by BBC at the Indian shipbreaking yard where the Ocean Alliance was taken apart highlight breaches of labor rights, disregard for even the most basic health and safety standards, and extremely polluting practices. 

 

"Companies sell their end-of-life tonnage to the beaching yards as that is where they can make the highest profit. But these are profits made on the back of exploited workers and fragile ecosystems. Alang is furthermore a toxic hotspot, and, without a proper clean-up, the pollution caused by more than three decades of reckless shipbreaking will continue to harm the local environment and the communities that depend upon it for many years to come."
Ingvild Jenssen - Executive Director and Founder - NGO Shipbreaking Platform

90% of the world’s end-of-life tonnage is currently scrapped using the low-cost method of beaching. Oil and gas units are of particular concern due to the complexity of the breaking operations and their contamination by highly toxic substances such as mercury and radioactive materials. So far, the only structure which operated in the North Sea and which has been traced to a South Asian beach is the infamous FPSO North Sea Producer. It was owned by a Maersk-Odebrecht joint venture and was also sold to cash buyer GMS before it illegally departed the UK to Chittagong, Bangladesh, after having been deployed at the North Sea McCulloch field.  

 

"Many more offshore assets will need to be scrapped in the coming years. Companies that have owned and operated these units are responsible for ensuring that they are recycled without harming workers and the environment. For any unit having operated in the North Sea, there are more than enough options in Europe."
Ingvild Jenssen - Executive Director and Founder - NGO Shipbreaking Platform

The BBC Disclosure report reveals how companies involved, as well as Indian local authorities, seek to thwart public scrutiny of the deplorable conditions in Alang. Also other journalists that have visited the Indian shipbreaking yards, often unannounced and undercover, have documented a reality that starkly contrasts with the industry efforts to greenwash beaching. In 2016, DanWatch revealed dire conditions at a yard Maersk and ClassNK had approved as safe and environmentally sound. More recently, French TV and Dutch programme ZEMBLA brought back similar accounts of the shipbreaking activities in Alang. The Dutch journalists revealed how workers unknowingly were exposed to highly toxic mercury fumes when torching apart an FSO owned by offshore company SBM.

 

Press Release – Platform publishes list of ships dismantled worldwide in 2019

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Most shipping companies continue to opt for the highest price at the worst scrapping yards

 

According to new data released today by the NGO Shipbreaking Platform, 674 ocean-going commercial ships and offshore units were sold to the scrap yards in 2019. Of these vessels, 469 large tankers, bulkers, floating platforms, cargo- and passenger ships were broken down on only three beaches in Bangladesh, India and Pakistan, amounting to near 90% of the gross tonnage dismantled globally.

 

"Bangladesh remains the favoured dumping ground for end-of-life ships laden with toxics. There is wide-spread knowledge of the irreparable damage caused by dirty and dangerous practices on tidal mudflats, yet profit is the only decisive factor for most ship owners when selling their vessels for breaking."
Ingvild Jenssen - Executive Director and Founder - NGO Shipbreaking Platform

Last year, at least 26 workers lost their lives when breaking apart the global fleet. The Platform documented accidents that killed 24 workers on the beach of Chattogram (formerly known as Chittagong), making 2019 the worst year for Bangladeshi yards in terms of fatalities since 2010. At least another 34 workers were severely injured. Whilst the total death toll in Indian yards is unknown, local sources and media confirmed at least two deaths at shipbreaking yards that claim to be operating safely, but have failed to be included in the EU list of approved ship recycling facilities [1].

 

DUMPERS 2019 – Worst practices

 

UNITED ARAB EMIRATES and GREECE top the list of country dumpers in 2019. UAE owners were responsible for the highest absolute number of ships sold to South Asian shipbreaking yards in 2019: 45 ships in total. Greek owners closely followed with 40 beached vessels.

 

The ‘worst corporate dumper’ prize goes to the Taiwanese container shipping line Evergreen. In the last years, the company has been under the spotlight for its damaging shipbreaking practices. In January 2018, the Norwegian Central Bank announced its decision to divest from Evergreen due to the ship owner’s repeated sale of vessels for dirty and dangerous breaking on the beach of Chattogram. Since then, the company has clearly not changed its policy. Eleven of Evergreen’s vessels ended up in South Asia in 2019. On 23 July, cutter man Shahidul lost his life while working at Kabir Steel’s Khawja shipbreaking yard in Bangladesh. Shahidul was dismantling Evergreen’s EVER UNION when he fell from a great height. He died on the spot.

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Dry bulk shipping company Berge Bulk is runner-up for worst corporate practice. Four ships owned by the Bermuda-based ship owner ended up in Bangladesh for dirty and dangerous breaking. Berge Bulk’s scrapping practices should prompt the Lloyd’s List Asia Awards to withdraw the prize for “Excellence in Environmental Management” the company recently received for its commitment to environmental conservation. Indeed, there is nothing laudable about putting workers lives at serious risk and polluting sensitive coastal environments.

 

Danish container shipping giant Maersk scrapped four vessels on the Indian beaches last year. The company did not hesitate to leave the Danish shipping registry in order to circumvent the new EU laws requiring the use of EU-approved recycling facilities, and at least two of the ships even left EU waters in breach of an international and European ban on the export of hazardous waste to developing countries. In November, Bangladesh Courts condemned the illegal breaking of Maersk’s FPSO North Sea Producer which had been sold to cash buyer GMS and fraudulently exported from the UK in 2016. Criminal investigations are underway in the UK.

 

Other well-known shipping companies that in 2019 dumped their toxic ships on South Asian beaches include: Costamare, CMA CGM, Diamond Offshore, ENSCO, MOL, MSC, NYK Line, Tidewater and Vale.

In India, many yards now boast having upgraded their beaching facilities to comply with the requirements set by the International Maritime Organisation’s Hong Kong Convention. Recent inspection visits by the European Commission in Alang and media reports, however, flag serious concerns related to pollution of the intertidal area; absence of medical facilities; breaches of labour rights and lack of capacity to safely manage a number of hazardous waste streams, including mercury and radioactive contaminated materials that are typically found on offshore oil & gas units. No facility located in South Asia meets the safety and environmental requirements for EU approval.

 

All ships sold to Chattogram, Alang and Gadani pass via the hands of scrap-dealers, better known as cash buyers. These pay the highest price for end-of-life vessels and are inherently linked to the beaching yards. Cash buyers typically re-name, re-register and re-flag the vessels on their last voyage. Black-listed flags, such as Palau, Comoros and St Kitts & Nevis, were particularly popular in 2019: almost half of the ships sold to South Asia changed flag to one of these registries just weeks before hitting the beach. None were beached under an EU flag, despite many vessels having been sold by a European shipping company.

"Policy makers need to adopt effective measures to divert ships towards the sites that have been approved by the EU. The fact that old ships are registered under flags known for the poor implementation of international maritime law sheds serious doubt over the effectiveness of legislation based on flag state jurisdiction only, including the EU Ship Recycling Regulation."
Ingvild Jenssen - Executive Director and Founder - NGO Shipbreaking Platform

Today banks, pension funds and other financial institutions are actively taking a closer look at how they might contribute to a shift towards better ship recycling practices off the beach, taking into account social and environmental criteria, not just financial returns, when selecting asset values or clients [2]. Police and environmental authorities are also increasingly monitoring the movements of end-of-life vessels. Following the Seatrade judgement in the Netherlands where, for the first time, a ship owner was held criminally liable for having intended to sell four end-of-life ships to Indian beaching yards, several other cases of illegal traffic are under investigation. [3] Aiding and abiding environmental crime is equally punishable: insurers, brokers and maritime warranty surveyors could therefore also be held liable. By unravelling the murky practices of shipbreaking, these cases highlight the importance of conducting due diligence when choosing business partners.

"Clean and safe solutions are already available. We applaud companies, such as Dutch Van Oord, that have had a responsible ship recycling policy ‘off the beach’ for many years. Whilst other ship owners lament over the lack of capacity to recycle sustainably, only 31 vessels were recorded recycled in EU-approved facilities, which represent a minor fraction of what these yards are able to handle."
Nicola Mulinaris - Communication and Policy Officer - NGO Shipbreaking Platform

For the data visualization of 2019 shipbreaking records, click here. *

For the full Excel dataset of all ships dismantled worldwide in 2019, click here. *

 

* The data gathered by the NGO Shipbreaking Platform is sourced from different outlets and stakeholders, and is cross-checked whenever possible. The data upon which this information is based is correct to the best of the Platform’s knowledge, and the Platform takes no responsibility for the accuracy of the information provided. The Platform will correct or complete data if any inaccuracy is signaled. All data which has been provided is publicly available and does not reveal any confidential business information.

 

NOTES

 

[1] The EU Ship Recycling Regulation became applicable on 1 January 2019. According to the Regulation, EU-flagged vessels have to be recycled in one of the currently 41 approved facilities around the world included in the EU list. EU-approved ship recycling facilities must comply with high standards for environmental protection and workers’ safety. The EU list is the first of its kind; is the only list of facilities that have been independently audited; and provides an important reference point for sustainable ship recycling. Any ship owner that wants to opt for safe and clean ship recycling can simply choose one of the 41 facilities that are now included on the List.

 

[2] In early 2018, Scandinavian pension funds KLP and GPFG were the first to divest from four shipping companies, including containership company Evergreen, due to their beaching practices.

 

[3] In Scotland, Diamond Offshore and cash buyer GMS are still under investigation for having attempted to illegally export three heavily contaminated platforms that had operated in the North Sea and were cold-stacked in Cromarty Firth. The platforms have been detained in Scotland since January 2018.

 

Press Release – Documentary reveals SBM’s toxic trade of ships in Alang

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Dutch program Zembla recently released their investigation on SBM Offshore’s shipbreaking practices in South Asia. In a documentary shown on Dutch television, and now available on YouTube, Zembla reconstructs the last voyage and scrapping of the mercury-laden tanker YETAGUN, owned by the Dutch oil and gas multinational. 

 

Experts contracted by SBM Offshore warned the company about the high toxicity of the ship and that workers could inhale extremely dangerous mercury fumes during demolition, leading to lasting neurological damage or even death. E-mails and confidential documents obtained by Zembla show that SBM Offshore attempted to conceal the high concentration of mercury in the ship’s steel [1], in order to avoid clean-up costs. The gas tanker was sold for breaking to Hooghly Shipbreakers Ltd, a beaching yard in Alang, India [2].

 

The NGO Shipbreaking Platform, European Environmental Bureau (EEB) and Zero Mercury Group had warned Indian authorities of the breach of international waste laws, and urged India to halt the import of the contaminated ship. Despite an initial rejection, the permission to import the vessel was eventually given. The circumstances under which the beaching and breaking of the vessel were allowed are still unclear, but documents obtained by the Platform show that the Indian authorities admitted lacking capacity to detect mercury contamination beyond the slops.

 

In their statements to Zembla, SBM Offshore and Hooghly Shipbreakers maintain that the demolition was carried out in a safe way, and hold forth a so-called Statement of Compliance with the Hong Kong Convention and inspection report - both issued by Japanese classification society ClassNK - as evidence. However, undercover recordings and discussions with several workers that dismantled the YETAGUN reveal a shocking account of the actual conditions at the beaching yard. Workers are not provided with appropriate personal protective equipment and were completely unaware of the poisonous mercury contamination. Several stated that full safety gear is distributed only when inspections take place. Toxicologists that have reviewed the documents obtained by Zembla say it is impossible that no high levels of mercury were detected during cutting operations, as claimed by ClassNK.

 

It is not the first time that journalists visiting Indian shipbreaking yards unannounced and undercover document a reality that starkly contrasts with the industry efforts to greenwash beaching. In 2016, DanWatch revealed dire conditions at a yard Maersk, and ClassNK, had approved. Recently, also French TV brought back a similar account of Alang.

 

"We call upon Dutch and Indian authorities to further investigate the offence that has been committed. In the Netherlands, SBM Offshore risks prison sentence and heavy fines for having intentionally and unlawfully exposed workers to extremely toxic substances. In India, authorities cannot remain inactive towards an industry that clearly does not follow national laws on occupational health and safety and environmental protection."
Ingvild Jenssen - Executive Director and Founder - NGO Shipbreaking Platform

 

NOTES

 

[1] The YETAGUN operated in a gas field in Myanmar for years. Mercury is a naturally occurring element present in virtually all oil and gas fields. Concentrations are especially high in the South American and East Asian region. Mercury can contaminate the structure of offshore units and ballast waters.

 

[2] Hooghly Shipbreakers shares the same ownership with Priya Blue yard, which has recently been under the spotlight for a fatal accident. According to a local whistle-blower, the cash buyer involved in the sale of the YETAGUN was Best Oasis, a wholly owned subsidiary of Priya Blue Industries. It is not the first time SBM sells its old vessels to yards located on the dirty and dangerous beaches of South Asia. The FPSOs MARLIM SUL and FALCON ended up in Alang in 2017 and 2016 respectively. The STAR OLBA was scrapped in Chattogram, Bangladesh in 2015. 

Press Release – Two fatal accidents at Indian yards under EU scrutiny

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According to local media, two workers recently died on the shipbreaking beach of Alang, India. Two separate accidents took place at well-known scrapping yards that have applied to be included in the EU list of approved ship recycling facilities.

 

On July 29, 50 years old Subash Vishwakarma lost his life at Priya Blue yard - Plot V1. He was working on a ship when a metal plate fell on his head. He was transferred to the nearest hospital in bad condition and pronounced dead at arrival. On September 3, due to an explosion during cutting operations, one worker lost his life and one got severely injured at Shree Ram yard - Plot 78/81. Fellow workers that witnessed the tragic event were unwilling to share information with journalists. The accident is under police investigation.

"We expect transparency on the causes of these fatalities, and that both the yards and owners of the vessels upon which the accidents occurred are held to account."
Ingvild Jenssen - Executive Director and Founder - NGO Shipbreaking Platform

Last year, at least 14 workers lost their life at the Indian Alang shipbreaking yards. The exact number of fatalities is not available as local authorities do not share information — serious injuries are moreover rarely recorded, and occupational diseases, such as cancer, respiratory and skin diseases, are not documented at all.

 

Both Priya Blue and Shree Ram plots [1] were amongst the first yards to obtain so-called “Statements of Compliance with the Hong Kong Convention” from Japanese ClassNK. Recently, they have been inspected by the European Commission to assess whether they comply with the requirements set in the EU Ship Recycling Regulation. Site inspection reports highlighting a series of deficiencies related to the cutting operations in the intertidal zone, downstream waste management, medical facilities and labour laws were published earlier this year. As a consequence, the yards, despite significant pressure from industry stakeholders, were not included in the EU list of approved ship recycling facilities. New inspections, also of additional yards, are expected to take place in the coming weeks.

 

The negative environmental impacts of the scrapping activities in Alang are now under scrutiny also in India. In August, the Indian Courts directed an environmental audit of the shipbreaking activities in Alang with a specific focus on the impacts of the beaching method. The directions were given in an appeal filed by Indian environmental group Conservation Action Trust (CAT), following an initial approval to expand the Alang shipbreaking area. The approval was issued despite government reports identifying the beaching method as the most polluting method. 

 

Operating a heavy and hazardous industry on a tidal mudflat would never be allowed in the largest ship owning countries, including the EU. The many risks involved in taking large vessels apart need to be managed at sites that can safely use heavy lifting cranes, contain pollutants and dispose of hazardous materials in line with international waste laws. The beaching yards in Alang fail on all accounts.

 

Priya Blue yard in Alang, India - © Go Green Go India, 2018

 

NOTES

 

[1] Shree Ram Group owns four plots in Alang. Plots 78/81 and V7 have applied to be included in the EU list. The company also owns Plot 9. Shree Ram hit the headlines in 2016, when Danish company Maersk decided to scrap its old ships Wyoming and Georgia at Plot 78. Investigative journalists revealed severe short-comings of Maersk’s shipbreaking practices in Alang. The Danish shipping giant, however, blatantly disregarded the findings and maintained its beaching mantra.

Press Release – NGOs release new report on North Sea oil and gas recycling

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The NGO Shipbreaking Platform released today a research report titled “Recycling Outlook: Decommissioning of North Sea Floating Oil & Gas Units” during a seminar held in Oslo, Norway.

 

With the oil and gas sector seeing a downturn since 2014, the Platform has documented an increasing number of offshore units sold for scrap. While the recycling of fixed installations occurs under strict regulations, there are serious concerns regarding the recycling of floating structures, which classify as vessels. Around 200 floating structures have been identified as scrapped globally since 2015 – an estimated 40% of these assets ended up on South Asian beaches, where they were broken up under conditions that cause irreparable damage to the coastal environment and put workers’ lives and health at risk.

 

Numerous  floating platforms and oil and gas structures can be found in the North Sea, where the global oversupply in the rig-market is pushing the oldest assets to be scrapped. There are currently 59 floating mobile drilling rigs in the North Sea, 18 of which were built before 2001. Whilst some of the older units might be converted/upgraded, it is estimated that most of them will be scrapped in the coming years. So far, the only structure which operated in the North Sea and has been traced to a South Asian beaching yard is the FPSO North Sea Producer. There is a real risk, however, that we will see more of these cases coming up in the near future with more decommissioning projects in the North Sea.

 

The NGO Shipbreaking Platform advocates for the use of green recycling capacity already existing in the region. Indeed, North Sea recycling yards have years of experience decommissioning fixed oil and gas structures. There are several dry docks and contained slipway facilities where the dismantling of  floating structures can take place safely and with due regard for labour and environmental concerns. Ehancing the recycling of offshore structures and ships in Europe would furthermore bring opportunities for the many workers that were laid off  after the recession in the oil and gas sector in 2014.

 

The report was published with the support of Norwegian pension fund KLP. KLP promotes, as an essential part of its responsibility, practices of corporate responsibility and responsible investment. As a large investor in Norwegian companies, and companies based outside of Norway operating in the North Sea, it strives to ensure the responsible recycling of ships and offshore assets, aiming at contributing to a shift towards better practices in the sector.

Photos from KLP's seminar "Responsible disposal of ships and rigs" - © Cato Gustavson/KLP

Press Release – Accident on board Greek ship kills two and injures thirteen

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Two deaths and thirteen severe injuries. This is the toll of victims following yet another accident at the shipbreaking beach of Chattogram, Bangladesh. The accident occurred in the afternoon of Saturday 31 August at Ziri Subedar shipbreaking yard. 

 

During scrapping operations on the ship CSL VIRGINIA (IMO 9289568) a heavy cable collapsed, hitting several workers at once. Aminul Islam, 35 years old, and Tushar Chakma, 27 years old, lost their lives. Thirteen workers [1] suffered severe injuries and were taken to Chattogram Medical College Hospital for treatment. Following the accident, local authorities ordered the temporary closure of the yard. Investigations are ongoing. 

 

 

So far this year, fifteen shipbreaking workers have lost their lives in Chattogram. It is not the first time Ziri’s failure to ensure safe working conditions causes death. [2] 

"It's sad that our regulatory authorities had to wait for deaths of seven workers and grievous injuries of fifteen in a row of seven incidences in this yard alone since 2011. Had they acted earlier, we could have saved these invaluable lives. The negligent authorities should also be punished as their failures and seeming cohesion have led to these tragic events. I also wonder how long it will take for the West to act on these deaths and stop sending vessels to the unsafe yards of Bangladesh."
Syeda Rizwana Hasan - Chief Executive - Bangladesh Environmental Lawyers Association (BELA)

The container ship CSL VIRGINIA was beached in Bangladesh in February 2019. According to shipping media, it was owned and managed by Andreas Hadjiyiannis’ Greek company Cyprus Sea Lines. The vessel was hit by a Tunisian ferry when it was anchored off Corsica in October 2018. The collision breached the CSL VIRGINIA’s fuel tanks causing a significant oil spill that affected especially the French Mediterranean coast and required a vast clean-up operation. Before setting sail for the Chattogram beach, the vessel was allowed to leave French territorial waters, escorted by the French coast guard, upon claims that it would be repaired in Constanța, Romania. Instead, it spent a few weeks in a Turkish shipyard - there it was renamed VIRGIN STAR and changed registry from the flag of Cyprus to the flag of Liberia. It passed the Suez Canal on 25 December 2018, just days before the entry-into-force of the EU Ship Recycling Regulation.

 

An image of the VIRGIN STAR (first ship from the left) after its arrival in Chattogram - © NGO Shipbreaking Platform

 

NOTES

 

[1] Nasir Uddin (30 years old), Md Sharif (30 years old), Ramdoyal (40 years old), Bimol (25 years old), Dononjoy Tripura (25 years old), Suron Tripura (22 years old), Anik Tripura (20 years old), Srabon (23 years old), Sonjoy (25 years old), Rahi Tripura (22 years old), Jagdish (25 years old), Roton (30 years old), Faruque (35 years old). 

 

[2] On 25 July 2013, Muhammed Selim was severely injured when a heavy iron piece hit and broke his back while working at the yard. The Platform informed the concerned authorities and arranged a meeting between Selim’s wife, accompanied by some of the victim’s fellow workers, and the yard’s management. However, Ziri’s owner did not assist Selim in receiving the necessary treatment for his serious injuries. Selim was brought to his native home in Noakhali, in the Chattogram district, and on 10 November 2014, he died from the injuries he suffered. It was only once the Platform informed Ziri that it would take the matter to the labour court that the yard agreed to pay compensation. Selim’s wife finally received 100.000 Taka (approx. 1000 EUR) on 15 March 2015. 

 

Press Release – Major explosion at Bangladesh shipbreaking yard kills two workers and severely injures five

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A loud blast in the early morning shook the Chittagong shipbreaking area. At around 8:30 AM, a fire broke out on board the vessel BUNGA KELANA 4 (IMO 9178343), beached at Mahinur Ship Breaking yard, also known as Premium Trade Corporation. The flames spread from abandoned waste oil located close to the engine room where workers were torch-cutting steel parts. 

 

Mohammod Rubel, 25 years old cutter man, lost his life in the accident. He died on his way to the hospital. Hamidul Islam’s dead body was found on the ship several hours after the explosion. Five other workers, aged 19-30, suffered severe burn injuries and are now being treated at the Chattogram Medical College Hospital. The condition of one of them is extremely critical. Local sources report that several workers might still be missing. 

 

 

Video footage from the accident shows that there was no emergency response equipment available at the yard. Barefoot workers without protective gear are seen carrying the injured. Bangladeshi organisation OSHE, member of the NGO Shipbreaking Platform, reports that the death of a worker, Tara Miya, was covered up in the same yard just a few days ago. 

 

"The conditions at Mahinur Ship Breaking are shocking and unfortunately telling of the overall appalling working conditions at the Bangladeshi shipbreaking yards. Workers are exposed to enormous risks because there is no infrastructure available on the beach to ensure safe working conditions and rapid emergency response."
Ingvild Jenssen - Executive Director and Founder - NGO Shipbreaking Platform

The BUNGA KELANA 4 was beached at Mahinur Ship Breaking six months ago. It was owned by Malaysian shipping company AET Tankers, a wholly owned subsidiary of MISC, the leading Malaysian energy logistics company listed on the Malaysia stock exchange. In 2018, AET Tankers sold four vessels for scrapping on the beaches of South Asia. Three ended up in Bangladesh; one was beached in India. 

 

Before its final voyage the vessel changed its name to KELANA 4, and its Malaysian flag was swapped to that of Comoros. These are clear indicators that the vessel was brought to the beaching yard with the help of a scrap-dealer known as cash buyer. The use of black- and grey-listed flags, such as Comoros, Palau and St Kitts and Nevis, as well as anonymous post-box companies to register the ships, renders it very difficult for authorities to trace and hold ship owners liable for illicit business practices that cause the loss of life, injuries and irreparable damage to the environment.

 

The explosion on the BUNGA KELANA 4 follows another recent tragic event that took place in February, when two workers were killed by a fire on board a tanker owned by Greek Polembros Shipping. In the last ten years, hundreds of workers have lost their lives and suffered severe injuries due to dirty and dangerous shipbreaking practices in Bangladesh. Many more suffer from exposure to toxic fumes and materials that are embedded within the ships’ structures. Breaking apart ships on tidal beaches also causes irreparable damage to the environment. Only yesterday it was revealed that another shipbreaking company, BBC Ship Breaking, had been given the permission by local authorities to wipe out a protected mangrove forest in order to establish a new yard. Following the filing of a complaint by Platform member organisation BELA, the High Court imposed a six months’ stay on the lease contract and have asked the local authorities to explain why they blatantly ignore national forest protection laws. In 2009, 14.000 mangrove trees were illegally cut to expand the shipbreaking activities in Chittagong.

"It is high time for the Bangladesh government to regulate their shipbreaking industry and put a halt to the systematic violations of national labour and environmental protection laws. This latest tragic explosion adds to the shipping industry’s appalling toll on human lives and should act as a wake-up call for the financiers and customers of shipping to demand recycling practices off the beach and in line with the standards set by international waste laws and labour conventions."
Ingvild Jenssen - Executive Director and Founder - NGO Shipbreaking Platform

Press Release – Fire on board Greek tanker kills two shipbreaking workers in Bangladesh

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Today, a fire broke out in the engine room on board a tanker, beached in Chittagong, killing two workers. 

 

Md Jamil, 23 years old cutter man, and Bipul lost their lives while scrapping the ship GREEK WARRIOR (IMO 9191412) at Shagorika Ship Breaking Yard. According to local media, Jamil was burned and rushed to Chittagong Medical College Hospital. He died before reaching the hospital. The body of Bipul was discovered on board only few hours later. Shagorika yard and RA Shipbreaking yard, which has been recently under the spotlight for the purchase of Nordic America Tankers’ NORDIC SPRITE, share the same ownership.

 

 

The tanker GREEK WARRIOR was sold to Bangladeshi breakers by Greek company Polembros Shipping in 2018. In the last ten years, Polembros sent at least 24 end-of-life ships to South Asian beaches. Half of them reached the shores of Bangladesh, where unscrupulous shipping companies keep exploiting minimal enforcement of environmental and safety rules to maximise profits. With more than 900 vessels beached since 2009, Greek owners top the list of global dumpers by far.

"It is about time that the Greek government puts an end to the appalling shipbreaking practices of its shipping industry and holds it liable for the irreparable damages caused by beaching. The EU has set a standard that should be followed by Greek ship owners, even when not sailing their vessels under an EU flag."
Ingvild Jenssen - Executive Director and Founder - NGO Shipbreaking Platform

The vessel changed name, from GREEK WARRIOR to S WARRIOR, and flag, from Panama to Palau, before its final voyage. According to maritime databases, the cash buyer involved in the sale was Prayati Shipping Pvt. Ltd, based in Mumbai, India. Prayati Shipping offers different types of services, including demolition voyage management. All vessels sold to the beaching yards pass through the hands of cash buyers. In this way, ship owners attempt to shield themselves from responsibility, and are paid upfront the highest market price in cash for their end-of-life vessels by the dealers. To reduce costs and avoid being held accountable, cash buyers change a vessel’s flag to one of the typical last-voyage flags of convenience, such as Comoros, Palau and St Kitts and Nevis. Cash buyers also register the vessel under a new name and a new post box company, rendering it very difficult for authorities to trace and hold cash buyers and ship owners accountable for illicit business practices.

 

Press Release – Platform publishes list of ships dismantled worldwide in 2018

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Record-breaking 90% of end-of-life tonnage scrapped on South Asian beaches

 

According to new data released today by the NGO Shipbreaking Platform, 744 large ocean-going commercial vessels were sold to the scrap yards in 2018. Of these vessels, 518 were broken down on tidal mudflats in Bangladesh, India and Pakistan, amounting to a record-breaking 90,4% of the gross tonnage dismantled globally. 

"The figures of 2018 are shocking. No ship owner can claim to be unaware of the dire conditions at the beaching yards, still they massively continue to sell their vessels to the worst yards to get the highest price for their ships. The harm caused by beaching is real. Workers risk their lives, suffer from exposure to toxics, and coastal ecosystems are devastated. Ship owners have a responsibility to sell to recycling yards that invest in their workers and environment."
Ingvild Jenssen - Executive Director and Founder - NGO Shipbreaking Platform

Last year, at least 35 workers lost their lives when breaking apart the global fleet. The Platform documented at least 14 workers that died in Alang, making 2018 one of one of the worse years for Indian yards in terms of accident records in the last decade. Another 20 workers died and 12 workers were severely injured in the Bangladeshi yards. In Pakistan, local sources confirmed 1 death and 27 injuries. Seven injuries were linked to yet another fire that broke out on-board a beached tanker. 

 

DUMPERS 2018 – Worst practices

 

UNITED ARAB EMIRATES, GREECE and UNITED STATES OF AMERICA top the list of country dumpers in 2018. UAE owners were responsible for the highest absolute number of ships sold to South Asian shipbreaking yards in 2018: there were 61 ships in total. Greek owners, beached 57 vessels out of a total of 66 sold for demolition. American owners closely followed with 53 end-of-life vessels broken up on South Asian tidal mudflats. 

 

The ‘worst corporate dumper’ prize goes to the South Korean liner Sinokor Merchant Marine. The company, which has been loss-making and is about to merge its container operations with Heung-A, sold 11 ships for breaking on the beaches in 2018: eight vessels ended up in Bangladesh and three in India, where in April, during the demolition of Sinokor’s PLATA GLORY at Leela Ship Recycling Yard [1], a worker died hit by a falling iron plate. 

 

Norwegian Nordic American Tankers (NAT) - incorporated in Bermuda and stock-listed in New York - is runner-up for the ‘worst dumper’ prize. Last year, NAT reported having earned USD 80 million for the sale of eight vessels for breaking. Three were sold to Alang for breaking and five were sold to breakers in Chittagong. According to local sources in Bangladesh, the cutting operations of these ships started without required government authorisations. The sale of two additional vessels to yards in Bangladesh with particularly poor track records and where two workers were killed in 2018, prompted Norwegian pension fund KLP to blacklist the company. 

 

Seven vessels were sold to beaching yards for dirty and dangerous scrapping by German owner Dr Peters GmbH & Co KG. According to local sources, fitter Md Samiul lost his life while scrapping Dr Peters’ DS WARRIOR in December 2018.

 

Other known shipping companies that in 2018 sold their vessels for the highest price to the worst breaking yards include: Chevron, Costamare, H-Line, Louis plc, Seabulk, SOVCOMFLOT, Teekay, Zodiac Group and CMB. Belgian CMB is still under investigation for the export of the MINERAL WATER to Bangladesh in 2016.

With the oil and gas sector seeing a downturn in the last couple of years, the Platform has documented an increase in offshore units that have gone for scrap. Out of the 138 oil and gas units which have been identified as demolished in 2018 alone, 96 ended up on the beaches of South Asia. Figures include 81 small-sized tug/supply ships and 33 semi-submersible platforms. Noble Corp, ENSCO, Tidewater, Diamond Offshore and Petrobras are amongst the biggest offshore players that dump their assets on the South Asian beaches. While most assets were exported from either East Asia or America, Diamond Offshore and cash buyer GMS are under investigation in Scotland for having attempted to illegally export three platforms that had operated in the North Sea and were cold-stacked in Cromarty Firth. The platforms have been under arrest in Scotland since January 2018.

 

Ship owners are facing increased pressure from investors and credit providers to stop selling their ships to beaching yards. In early 2018, Scandinavian pension funds KLP and GPFG were the first to divest from four shipping companies due to their beaching practices. Today, banks, pension funds and other financial institutions are actively taking a closer look at how they might contribute to a shift towards better ship recycling practices off the beach, taking into account social and environmental criteria, not just financial returns, when selecting asset values or clients.

 

Losing financing and clients, however, should not be the only concern of ship owners who continue to use dirty and dangerous scrap yards. In 2018, and for the first time ever, a ship owner was held criminally liable for having illegally traded four end-of-life ships to Indian beaching yards. Several other cases of illegal traffic are under investigation. These cases focus not only on the liability of the ship owner, but also on the responsibility of insurers, brokers and maritime warranty surveyors. By unravelling the murky practices of shipbreaking, which involve the use of middle men, or cash buyers, and flags of convenience such as Comoros, Palau and St. Kitts & Nevis, these cases highlight the importance of conducting due diligence when choosing business partners.

"Clean and safe solutions are already available. Responsible ship owners, such as Dutch Boskalis, German Hapag Lloyd, and Scandinavian companies Wallenius-Wilhelmsen and Grieg, recycle their vessels off the beach. The EU maintains a list of clean and safe ship recycling facilities [2]. More ships need to be diverted towards these sites."
Nicola Mulinaris - Communication and Policy Officer - NGO Shipbreaking Platform

For the list of all ships dismantled worldwide in 2018, click here. *

For detailed figures and analysis on ships dismantled in 2018, click here.*

 

* The data gathered by the NGO Shipbreaking Platform is sourced from different outlets and stakeholders, and is cross-checked whenever possible. The data upon which this information is based is correct to the best of the Platform’s knowledge, and the Platform takes no responsibility for the accuracy of the information provided. The Platform will correct or complete data if any inaccuracy is signaled. All data which has been provided is publicly available and does not reveal any confidential business information.

 

 

NOTES

 

[1] The Plata Glory was beached in December 2017 at Leela Ship Recycling yard. Leela holds a so-called Statement of Compliance with the Hong Kong Convention issued by ClassNK and claims to be offering “green recycling”.   

 

[2] The EU has published a list of ship recycling facilities around the world that comply with high standards for environmental protection and workers’ safety. The EU list of approved ship recycling facilities is the first of its kind and an important reference point for sustainable ship recycling.