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Sanctions, decarbonisation, rewards and awards

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Flags and registries remark on how they are dealing with the external shocks of Covid and the Russian invasion of Ukraine and how to best serve tanker shipowner partners in these troubled times

 

Speaking to Tanker Shipping & Trade, Cyprus Shipping Deputy Minister Vassilios Demetriades responded to questions on how the organisation was assisting its partners.

He emphasised that Cyprus’ response to the Russian invasion was clear: “Cyprus expresses full solidarity with Ukraine and the Ukrainian people, strongly condemns Russia’s unprovoked and unjustified military aggression against Ukraine and unequivocally supports the sovereignty, independence and territorial integrity of Ukraine.”

He added: “Cyprus’ policy on sanctions in the maritime transport sector is that such sanctions should be targeted and traceable, ensuring uniform and effective implementation.”

As the crisis created by the Russian invasion developed, Shipping Deputy Ministry (SDM) has issued seven Sanctions Information Notices (SINs) which are addressed to the Cyprus shipping industry. As of 13 May 2022, these documents provide information and analysis on the five EU sanctions packages adopted in response to the gravity of the situation in Ukraine.

The SINs were issued between 2 March 2022 and 5 May 2022, and are available on the SDM website; they are required to be placed on board vessels flying the Cyprus flag.

Shipping Deputy Minister Demetriades led the response to the Covid pandemic, creating a plan to vaccinate seafarers and has now turned his attention to the latest humanitarian issue resulting from the Russian invasion: crewing managers being unable to make payment of wages to seafarers.

This stems from an increasing number of Russian banks being blocked from international transactions and Ukrainian seafarers and their families seeking safety in other states that are unable to access wage payments. For those employed on board Cyprus-flagged ships, Cyprus has established a procedure with the Cyprus financial institutions, facilitating the opening of bank accounts for seafarers affected and has adopted urgent provisional measures with respect to the extension of seafarers’ employment agreements in view of the gravity of the situation in Ukraine.

“We are honoured and humbled to have been awarded Qualship21 status”

Palua International Ship Registry has issued a 15-step guidance to sanctions through its partner, maritime intelligence provider Pole Star. The white paper stresses the need to understand where to find sanctions information, training staff to monitor sanctions and understand the importance of logging internal and external compliance, and the consequences of non-compliance.

In other flags and registries news, the Liberian Registry has been awarded QUALSHIP 21 status for 2022-2023 by the United States Coast Guard’s (USCG). The prestigious QS21program recognises vessels and flag states which have successfully met specified safety and quality requirements and regulations when calling at ports in the US.

To qualify for QS21, flag administrations must have a three-year Port State Control (PSC) detention ratio of less than 1.00% and be credited with 10+ PSC exams per year for the last three years. QS21 status brings advantages to vessels visiting the US.

Liberian International Ship and Corporate Registry (LISCR) chief operating officer Alfonso Castillero said: “We are honoured and humbled to have been awarded Qualship21 status. This is a major metric of which quality and performance is measured by the maritime industry. In addition to being White-Listed by the Paris MOU and Tokyo MOU, being added into Qualship 21 is further reinforcement of our commitment to excellence, and our investment in the right people and processes to ensure a safe and compliant fleet.”

LISCR executive vice president of maritime operations, Reynaldo Garibaldi commented: “This great success is a direct result of our great investment into the technology, the systems, and most importantly the people needed to implement our Dynamic Detention Prevention Program, and oversee our fleet performance and quality. The team we have in place is experienced, and understands the needs of both the shipping industry and port state control officers. I also want to thank the United States Coast Guard for working so closely and in assisting us in ensuring that the Liberian fleet was as compliant as possible when calling in US ports.”

So far, 2022 has been a busy time for IRI and its affiliates, which oversees organisations that provide administrative and technical support to the Republic of the Marshall Islands Registry. It announced the promotion of Simon Bonnett and Theo Xenakoudis; Mr Bonnett was promoted to chief maritime officer and Mr Xenakoudis to chief commercial officer. Both will manage and expand upon the responsibilities of chief operating officer John Ramage, who is retiring after a 51-year career in the maritime industry. Mr Ramage was the recipient of the Distinguished Service Award at the 2022 Chemical & Product Tanker Conference.

Isle of Man Ship Registry (IOMSR) director Cameron Mitchell, announced in 2022 that it is one of the first flag states in the world to reduce registration fees for ships deploying green technology in the fight to decarbonise shipping.

Mr Mitchell said: “If you are a shipping line making steps towards hitting IMO Greenhouse Gas emissions targets, the Isle of Man flag will reward you. We want to welcome more new, greener ships to our fleet.”

The new measure gives shipowners a 15% reduction on their annual registration fee. The reduced fee is available to operators of vessels which are investing in biofuel, alternative fuels, wind, or shore-side energy technology. The move to offer immediate financial incentives for green technology vessels follows on from the IOMSR becoming the first flag state to join the ‘Getting to Zero Coalition’ in 2020. The Coalition’s core aim is to hit IMO’s 2050 target to develop commercially viable, deep-sea zero-emission vessels by 2030.

The registry is headquartered in Douglas on the Isle of Man, a self-governing British Crown dependency, and is a Category One member of the Red Ensign group.

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