north american panel october 23, 2012
DESCRIPTION
North American Panel October 23, 2012. INTERTANKO OVERVIEW REPORT JOSEPH ANGELO DEPUTY MANAGING DIRECTOR. MEMBERSHIP BUDGET SECRETARIAT CURRENT MAJOR ISSUES TANKER INCIDENTS ANNUAL TANKER EVENT. MEMBERSHIP 230+ Members 3,200+ Tankers 280+ Million DWT Members in 40+ countries - PowerPoint PPT PresentationTRANSCRIPT
![Page 1: North American Panel October 23, 2012](https://reader036.vdocument.in/reader036/viewer/2022070412/56814955550346895db6a6e8/html5/thumbnails/1.jpg)
Leading the way; making a difference
North American Panel October 23, 2012
INTERTANKO OVERVIEW
REPORT
JOSEPH ANGELODEPUTY MANAGING DIRECTOR
![Page 2: North American Panel October 23, 2012](https://reader036.vdocument.in/reader036/viewer/2022070412/56814955550346895db6a6e8/html5/thumbnails/2.jpg)
Leading the way; making a difference
MEMBERSHIP
BUDGET
SECRETARIAT
CURRENT MAJOR ISSUES
TANKER INCIDENTS
ANNUAL TANKER EVENT
![Page 3: North American Panel October 23, 2012](https://reader036.vdocument.in/reader036/viewer/2022070412/56814955550346895db6a6e8/html5/thumbnails/3.jpg)
Leading the way; making a difference
MEMBERSHIP
230+ Members
3,200+ Tankers
280+ Million DWTMembers in 40+ countries
MORE THAN 75% OF THE INDEPENDENT TANKER FLEET
330+ Associate Members
![Page 4: North American Panel October 23, 2012](https://reader036.vdocument.in/reader036/viewer/2022070412/56814955550346895db6a6e8/html5/thumbnails/4.jpg)
Leading the way; making a difference
m dwt/number members number ships
19
97
19
98
19
99
20
00
20
01
20
02
20
03
20
04
20
05
20
06
20
07
20
08
20
09
20
10
20
11
20
12
0
58
116
174
232
290
0
680
1,360
2,040
2,720
3,400No. members m dwt No. ships
![Page 5: North American Panel October 23, 2012](https://reader036.vdocument.in/reader036/viewer/2022070412/56814955550346895db6a6e8/html5/thumbnails/5.jpg)
Leading the way; making a difference
BUDGET 2010 2011 2012 (Actual) (Actual) (Budget)
Total Operating Income (US$) 7,381,600 7,753,228 7,401,925
Total Operating Expenses (US$) 7,062,856 6,886,593 7,373,997
Operating Result 318,744 866,635 27,928
Non-operating Income/expenses -21,179 88,303 -25,000
Result for Year 297,565 954,938 2,928
![Page 6: North American Panel October 23, 2012](https://reader036.vdocument.in/reader036/viewer/2022070412/56814955550346895db6a6e8/html5/thumbnails/6.jpg)
Leading the way; making a difference
SECRETARIAT
21 STAFF MEMBERS IN 4+ OFFICES
Oslo (8), London (11), Singapore (1), USA (1) + Brussels
STAFF INCLUDES
- Managing Director - Deputy Managing Director & Director of Regulatory Affairs- Technical Director (+ new Technical Manager in London)- Marine Director- General Counsel
![Page 7: North American Panel October 23, 2012](https://reader036.vdocument.in/reader036/viewer/2022070412/56814955550346895db6a6e8/html5/thumbnails/7.jpg)
Leading the way; making a difference
CURRENT MAJOR ISSUES
SustainabilityFive-Year Strategic Plan
Ballast water managementPiracy
Greenhouse gas emissionsHigh level discussions with OCIMF
![Page 8: North American Panel October 23, 2012](https://reader036.vdocument.in/reader036/viewer/2022070412/56814955550346895db6a6e8/html5/thumbnails/8.jpg)
Leading the way; making a difference
SustainabilityINTERTANKO Council (Nov 2011) agreed that the Secretariat should:
1. Engage in a dialogue with OCIMF on the ship’s speed which is currently used in charter party agreements, in an effort to reduce air emissions.
2. Engage with stakeholders to brainstorm ways to address the concerns while ensuring there is not an erosion of the safety/quality standards in the current market conditions.
![Page 9: North American Panel October 23, 2012](https://reader036.vdocument.in/reader036/viewer/2022070412/56814955550346895db6a6e8/html5/thumbnails/9.jpg)
Leading the way; making a difference
INTERTANKO Council (May 2012) agreed to: 1. development of an optimal speed model to show the relationship between the time charter equivalent earnings and CO2 emissions, based on a known freight rate for a specific route and different tanker speeds. 2. expand scope of the WorldScale Committee to include commercial issues that have an impact on tanker operations, including:
• proper promotion of speed optimization• rising fuel costs• broker’s fees• certain charter party clauses regarding purging
and cargo heating; and • possible decoupling the fuel costs from the
commercial transactions.
![Page 10: North American Panel October 23, 2012](https://reader036.vdocument.in/reader036/viewer/2022070412/56814955550346895db6a6e8/html5/thumbnails/10.jpg)
Leading the way; making a difference
TC equivalent and emission at various speeds
$/day
7.0 8.0 9.0 10.0 11.0 12.0 13.0 14.0 15.0 16.0 17.00
8,000
16,000
24,000
32,000
40,000
0
3,000
6,000
9,000
12,000
15,000
CO2 emission
TCE Laden
TCE Ballast
Speed
Assumed market $12,000 per day bunker price $600 per tonne
Tonnes CO2 emisson
![Page 11: North American Panel October 23, 2012](https://reader036.vdocument.in/reader036/viewer/2022070412/56814955550346895db6a6e8/html5/thumbnails/11.jpg)
Leading the way; making a difference
EXCOM (Sept 2012):
• acknowledged tanker owners contributed to the problems by over-ordering;
• agreed that current market levels could actually endanger the supply chain element of safe, sustainable transportation of oil, products and chemicals.;
• agreed that INTERTANKO should explore mechanisms to redress the risk/reward balance for owners with a view of ensuring future sustainability of the industry as a whole and a transparent, balanced and functioning tanker market; and
• focus will be on engagement with all stakeholders, including brokers, charterers and oil companies
![Page 12: North American Panel October 23, 2012](https://reader036.vdocument.in/reader036/viewer/2022070412/56814955550346895db6a6e8/html5/thumbnails/12.jpg)
Leading the way; making a difference
Five-Year Strategic Plan
• Scenario planning looking at macro environment and influences
• Key influences:
Market conditionsGeo-political situation worldwideEnvironmental concerns
• Most likely scenario for the next five years –
Strong environmental concerns within an unstable geopolitical situation
![Page 13: North American Panel October 23, 2012](https://reader036.vdocument.in/reader036/viewer/2022070412/56814955550346895db6a6e8/html5/thumbnails/13.jpg)
Leading the way; making a difference
Five-Year Strategic Plan
Major Issues
• Sustainability • Human Element • Tanker safety and performance• Greenhouse Gas Emission reduction• Air emissions reduction• Ballast water management • Maritime security threats
![Page 14: North American Panel October 23, 2012](https://reader036.vdocument.in/reader036/viewer/2022070412/56814955550346895db6a6e8/html5/thumbnails/14.jpg)
Leading the way; making a difference
Five-Year Strategic Plan
Desired Outcomes
Sustainability
• Members have access to tools, models and information to enable them to continue operating
Tanker Safety & Performance
• Members proactively positioned for top performance with regard to safety & performance
![Page 15: North American Panel October 23, 2012](https://reader036.vdocument.in/reader036/viewer/2022070412/56814955550346895db6a6e8/html5/thumbnails/15.jpg)
Leading the way; making a difference
Five-Year Strategic Plan
Desired Outcomes
Human Element
• Criminalization of seafarers• Visas and shore access• Seafarer welfare and fair treatment• Competence• Availability
![Page 16: North American Panel October 23, 2012](https://reader036.vdocument.in/reader036/viewer/2022070412/56814955550346895db6a6e8/html5/thumbnails/16.jpg)
Leading the way; making a difference
Five-Year Strategic PlanGreenhouse Gas Emission Reduction
• Members’ new tankers meet, preferably exceed, required EEDI values and CO2 emission reductions targets
• Development of solid industry practices and a monitoring system relevant to GHG emission reductions from tankers in operation, in cooperation with other stakeholders such as OCIMF, allowing Members’ tanker fleets to achieve & demonstrate increases in efficiency
• While legislation on MBMs is not justified at this time, if it were to be implemented, the Association will support/ promote the most practical and transparent MBM alternative at IMO, but not at regional level
![Page 17: North American Panel October 23, 2012](https://reader036.vdocument.in/reader036/viewer/2022070412/56814955550346895db6a6e8/html5/thumbnails/17.jpg)
Leading the way; making a difference
Five-Year Strategic PlanDesired outcomes
Air Emission Reduction• Promote global switch to MGO
• Members fully advised on best choices for compliance with ECA requirements (and on how to assess/select scrubbers)
• Revised EU Sulphur Directive aligned w/MARPOL
Ballast Water Management• Members able to achieve compliance with current and
future discharge standards (both regionally and internationally)
![Page 18: North American Panel October 23, 2012](https://reader036.vdocument.in/reader036/viewer/2022070412/56814955550346895db6a6e8/html5/thumbnails/18.jpg)
Leading the way; making a difference
Five-Year Strategic PlanDesired outcomes
Global Maritime Security Threats
• Members suitably informed to protect vessels and crew from maritime security threats
• Key stakeholders develop policies and positions benefiting the whole industry to ensure freedom of navigation
• Members suitably informed of sanctions that affect their trading patterns to enable them to make informed decisions on lawful trade
![Page 19: North American Panel October 23, 2012](https://reader036.vdocument.in/reader036/viewer/2022070412/56814955550346895db6a6e8/html5/thumbnails/19.jpg)
Leading the way; making a difference
Greenhouse gas emissions
Energy Efficiency Design Index (EEDI)• Amendments to the MARPOL Convention • Enter into force Jan 1, 2013 for new ships• Provisions for 4 year waiver• Method of compliance??
Ship Energy Efficiency Management Plan (SEEMP)
• Applies to new and existing ships• Ship-specific plan developed by the ship owner• INTERTANKO guide on Tanker EEMP
![Page 20: North American Panel October 23, 2012](https://reader036.vdocument.in/reader036/viewer/2022070412/56814955550346895db6a6e8/html5/thumbnails/20.jpg)
Leading the way; making a difference
Greenhouse gas emissions
INTERTANKO policy on implementation of IMO Energy Efficiency Design Index (EEDI) requirements:
• 4 year waiver – Apply equally to all new ships
• Method of compliance – Improved hull design, propulsion efficiency and energy optimisation, rather than predominantly on reduced speed designs
![Page 21: North American Panel October 23, 2012](https://reader036.vdocument.in/reader036/viewer/2022070412/56814955550346895db6a6e8/html5/thumbnails/21.jpg)
Leading the way; making a difference
Greenhouse gas emissions
Market Based Measures (MBMs)• Governments believe EEDI is not enough• Nine proposals under consideration at IMO• Fund, Emission Trading Scheme (ETS),
Efficiency incentive scheme
INTERTANKO Policy on MBMs• MBMs are not justified at this time• If an MBM should be required:
1. Fund is simplest and most transparent2. Not in favor of an ETS
![Page 22: North American Panel October 23, 2012](https://reader036.vdocument.in/reader036/viewer/2022070412/56814955550346895db6a6e8/html5/thumbnails/22.jpg)
Leading the way; making a difference
High level discussions with OCIMF
• Greenhouse gas emissions
• Piracy – Armed guards
• Tanker officer competency and experience
• Vetting matters
• Mercury in crude oil, safety aspects
• Sustainability of the Tanker industry
![Page 23: North American Panel October 23, 2012](https://reader036.vdocument.in/reader036/viewer/2022070412/56814955550346895db6a6e8/html5/thumbnails/23.jpg)
Leading the way; making a difference
Source: INTERTANKO, based on incident reports from LMIU and pollution figures from ITOPF
Tanker incidents - all tanker types and sizes
Number incidents 1,000 ts oil spilt
Accidental oil pollution from tankers was record low in 2010 and again in 2011
19
78
19
80
19
82
19
84
19
86
19
88
19
90
19
92
19
94
19
96
19
98
20
00
20
02
20
04
20
06
20
08
20
10
20
12
0
210
420
630
840
1050
0
120
240
360
480
600
Miscellaneous Fire/Expl
Hull & Machinery Grounded
Coll/Contact Oil pollution
Information is based on reports from Lloyd's Mar-itime Information Unit and The International Tanker Owners Pollution Federation2012 is a projection based on 228 days
![Page 24: North American Panel October 23, 2012](https://reader036.vdocument.in/reader036/viewer/2022070412/56814955550346895db6a6e8/html5/thumbnails/24.jpg)
Leading the way; making a difference
ANNUAL TANKER EVENT
Venue – Grand Hotel, Oslo, Norway
Dates – May 28 – 31, 2013
Events: Executive Committee MeetingCouncil Dinner and MeetingAnnual General MeetingGala DinnerTanker SeminarWorkshops
![Page 25: North American Panel October 23, 2012](https://reader036.vdocument.in/reader036/viewer/2022070412/56814955550346895db6a6e8/html5/thumbnails/25.jpg)
Leading the way; making a difference
THANKYOU!!WWW.INTERTANKO.COM