68
ROYAL BELGIAN SHIPOWNERS’ ASSOCIATION ANNUAL REPORT 2016 INNOV ATION

INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

  • Upload
    others

  • View
    1

  • Download
    0

Embed Size (px)

Citation preview

Page 1: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n

s h i p o w n e r s ’ a s s o c i a t i o n

A N N U A L R E P O R T

2 0 1 6

INNOV

ATION

Page 2: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

02

08

26

32

36

40

56

PREfAcE

ENviRONmENT

EmPLOymENT

TRAiNiNg

shiPPiNg POLicy

sEcURiTy

REgULATiON

Page 3: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

iNNOvATiON

Page 4: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

PREfAcE

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

2

Page 5: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

3

shiPPiNg iNNOvATiON

2016 proved to be another challenging year for belgian shipowners, faced with the sluggish growth of world trade, as well

as a continuing unbalance between supply and demand in most shipping industry segments.

Page 6: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

4

Entrepreneurship and creativity are

still very much required to ride out

these difficult times. Positioning the

fleet, seeking technological innovation

and good relations with the financial

world remain crucial.

Belgian shipowners are very much

aware of the imperative to reduce

CO2 emissions, as evidenced by new

company departments set up to

improve energy efficiency on ships

and thus reduce CO2 emissions.

The RBSA also launched an emission

reduction initiative. In June 2016

our association organised a CO2

symposium where various shipping

industry stakeholders expressed

their concerns and positions:

representatives of ship engine and

equipment manufacturers, the world

refining association, fuel suppliers, EU

officials, regulators and academics.

Several shipowners explained the

operational measures implemented

by their company to reduce CO2

emissions.

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

Page 7: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

5

The work started at this symposium

will be continued by a think tank

involving the various stakeholders, for

the purpose of listing all CO2-reduction

initiatives and using the information

collected as an inspiration to develop

novel ideas.

In 2016, safety remained a top priority

for shipowners, which resulted in

Belgian shipowners having their top

position on the Paris and Tokyo MOU

white lists and USCG Qualship 21 list

confirmed.

Almost all Belgian shipowners added

new vessels to their fleet.

In 2016 the Royal Belgian Shipowners’

Association participated actively

in various work groups and board

meetings of both the European

Community Shipowners Association

and the International Chamber of

Shipping.

The RBSA team remained unchanged

in 2016.

We would like to thank our members

for their support and trust.

We would also like to express our

appreciation to both the Belgian

maritime authorities and the social

partners for our good mutual

cooperation.

Special thanks are also due to the

members of the RBSA team for

their unyielding motivation and

commitment.

Wilfried Lemmens Ludwig Criel

Managing Director Chairman

Page 8: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

6s h i P s

T O m O R R O W

Page 9: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

7s h i P s

T O m O R R O W

For many years the RBSA has been advocating that

shipping should participate in the endeavour to attain

a CO2-neutral economy. Therefore the RBSA will take

part in the IMO expert work groups (as an advisor

to the Belgian Directorate General for shipping) to

shape the Greenhouse Gas (GHG) Roadmap of the

International Maritime Organization (IMO).

Page 10: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

environment cO2imO TAkEs cONcRETE AcTiON

2016 was the year in which all iMo members ratified the roadmap to reduce co2 emissions from shipping. the roadmap fixes a 2023 deadline to set up an iMo legal framework that will pave the way to a significant reduction in co2 emissions of the existing fleet. although shipping does not fall under the paris climate agreement, the iMo hereby aligns itself with the goals agreed in paris in 2015.

8

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

Page 11: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

9

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

Page 12: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

10

For many years the RBSA has been advocating

that shipping should participate in the

endeavour to attain a CO2-neutral economy.

Therefore the RBSA will take part in the IMO

expert work groups (as an advisor to DG

Shipping) to shape the roadmap. Things are

moving along nicely. In 2016 it was agreed that,

as of 2019, all vessels exceeding 5,000 GT will

be obliged to annually inform the IMO of their

fuel consumption and the distance sailed. The

resulting database will be used as a basis for

further negotiations.

In 2016 the RBSA continued to play an active

role on this issue. Our research in cooperation

with the University College of London (2015)

demonstrated that determining the energy

efficiency of existing ships is all but obvious,

though not impossible. In April 2016 our

colleagues from DG Shipping provided us

the opportunity to give a presentation in the

IMO plenary jointly with the University College

of London’s Tristan Smith, one of the most

renowned experts in the field.

EUROPE kEEPs TOUghENiNg REgULATORy

REqUiREmENTs

The European regulation (approved on

29/04/15) on the monitoring, reporting and

verifying of the CO2 emissions from shipping

has entered into force. No later than September

2017 all vessels (over 5,000 GT) visiting EU

ports will be required to present the so-called

monitoring plan. By this deadline shipowners

will be required to submit the monitoring plan

to an auditor, mentioning the CO2 monitoring

and reporting method chosen. By 1 January

2018 shipowners will be obliged to monitor

and report their CO2 emissions in accordance

with the monitoring plan determined earlier.

Although it may seem as if the European

institutions always look down at whatever

the IMO does, their attitude is in fact far more

nuanced. The EU Commission’s DG Climate are

enthusiastic about the phased reduction plan

and they still very much believe that a global

legislative framework offers the only solution.

The same applies to all EU Member States

expressing their views through the European

Council. For its part the EU Parliament adopts

a more critical position: the members of the

European Parliament (MEPs) will continue to

threaten the introduction of regional measures

until the IMO sets clear reduction targets.

Page 13: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

11

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

ThE RBsA cREATEs ThE fiRsT iNTERNATiONAL

ThiNk TANk ON cARBON-fREE shiPPiNg.

Decarbonisation is an issue that calls for urgent

action: increased efficiency, technological

innovation, access to finance and clear regulations

are topics that should be tackled through a dedicated

platform. In 2016 the RBSA took the initiative to set up

a platform where all stakeholders involved can seek

ways to make progress on the pathway towards

decarbonisation.

It will bridge the gap between shipowners, charterers,

shippers, equipment suppliers, ship builders, the

research community, banks and classification

societies to ensure the development of an evidence-

based policy on GHG that enables the sector to

reduce its CO2 emissions in the most cost-effective

way, for all stakeholders involved.

It will orient around steps in the decarboni sation

pathway, looking both at technical and operational

measures that can be taken in the short term and

about future measures that will require more intense

thought and preparation. The measures will be

of technical and operational nature, but another

major subject area will need to be included, i.e.

cross-cutting on finance/incentives/business case

development. It is highly unlikely that technical and

operational measures and new financial models

only will lead to a decarbonized world. Any new

development regarding low-carbon fuels will be an

intrinsic part of the evaluations within the think-tank.

Page 14: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

12

symPOsiUm

On the 21st of June the Royal Belgian Shipowners Association organized a sympo sium in Antwerp entitled ‘Shipowners’ Initiative Towards Decarbonisation’. Over 170 participants from all over Europe attended. The symposium was moderated by Julian Bray, editor-in-chief of Tradewinds.

europe / iMo

Mary Veronika Tovsak–Pleterski, Director of

European and International Carbon Markets

at DG Climate stressed Europe’s continued

support for a comprehensive and global

approach to issues such as the monitoring of

emissions. However, according to Ms Pleterski,

what the IMO has on the table for now

misses transparency and depth. Europe has

developed its own rules on monitoring of CO2

emissions which according to Ms Pleterski has

contributed to the progress on the global fuel

data collection system at IMO in April 2016. She

stated that the EU MRV (Monitoring, Reporting

and Verification) system will be adjusted once

the IMO adopts a “robust and credible” global

data collection system.

A member from the audience stated that the

sometimes criticized EEDI (Energy Efficiency

Design Index for new-build ships) of IMO was

becoming obsolete as it now appears that the

majority of new vessels meet the standard of

2020 effortlessly already. A tightening of the

EEDI might help to deploy more innovative

technologies which is too little the case now.

no to emissions trading!

ECSA Chairman Niels Smedegaard insisted

on the need to develop mechanisms that are

global and apply to all ships. He expected the

Marine Environmental Protection Committee

(MEPC) of the IMO in October 2016 to agree

on a global mandatory fuel data collection

system. Some MEPs want to involve shipping in

the European Emission Trading System which

is unacceptable for ECSA and its members.

Regional measures would have a direct

distorting impact on European operators.

A regional scheme would lead to carbon

leakage as ships would start to avoid calling

at EU ports. It would also gravely hurt the

European short sea shipping sector, which

would again be faced with an ‘EU only’ system.

Make the right choices!

It currently remains often groping in the dark as

to what the best path to decarbonize exactly

is. Market factors such as oil prices make the

future of LNG as a marine fuel currently much

less rosy, noted researcher Tristan Smith of the

University College London Energy Institute. Dr

Smith also referred to the RBSA study showing

Page 15: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

13

Sym

poSi

um

that energy efficiency is not only technical but

also is influenced by operational aspects. Dr

Smith stated that it is time to determine what

the fair share is that the shipping industry

should contribute as the carbon budget will

decrease very soon.

A proper return on investment, especially in

times of overcapacity and low freight rates,

is a problem. The first step is to determine, in

the realm of environmental regulation lying

ahead of us, what exactly the right technology

investment is. Shipowners build ships to have

a lifetime of app. a quarter century. Britt-

Mari Kullas-Nyman, director retrofit of engine

builder Wärtsilä made clear that the wrong

choice of technology can be an expensive

mistake.

Eddy Van Bouwel from IPIECA (the global oil

and gas industry association for environmental

and social issues) stressed that we need to

have a more holistic approach to assess the

overall impact of GHG policy. The topic is not

as straightforward as it seems. What are the

actual GHG savings when going to cleaner

fuels (which have a higher GHG footprint),

what is the energy density of the fuels and

what is the cost per ton of CO2 avoided are

issues that need to be considered to make the

right choice. In any case “energy-efficiency

always wins”, Mr Van Bouwel said.

Page 16: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

14

charterers

Galen Hon from the Carbon War Room (CWR)

stated that it is not impossible to create a

profitable business from climate change. He

did question the mantra of the shipping sector

that “shipping is the most energy-efficient

transport mode”. “Compared to what?”, Mr Hon

stated, as there is in most cases simply no

alternative. Ports, banks, shipping registers ...

the greening of the fleet in his eyes could give

a boost to reward energy-efficient vessels.

Charterers have a crucial role as they could

determine the charter rate by how green a

ship is.

Ian Petty, the new director of the Sustainable

Shipping Initiative (SSI) stressed that selling a

sustainability message in tough times is not

easy but necessary. One of the major barriers

to overcome is the split incentive where the

charterer reaps the benefits of the shipowners’

technological investment. SSI is with success

developing tools to overcome those barriers.

crews

Shipowners have already done much and

are prepared for “ambitious but realistic

measures” to reduce CO2 emissions, said Niels

Smedegaard, CEO of DFDS and chairman

of ECSA in his speech. Alexander Saverys

(CEO of CMB), Marc Nuytemans (CEO of

Exmar shipmanagement) and Jan Gabriel

(Technical director of DEME), who were in a

panel endorsed that statement. Mr Nuytemans

mentioned that the impact/role of crews is

“huge” in this regard. Mr Saverys stated the

need for affordable technology: “We are in full

crisis. Massive investments are not possible

now”. Mr Gabriel referred to the two LNG

dredging vessels that are currently being built

by DEME, the first of their kind in the world.

sea-europe

What can be the right decision for one

is not necessarily the right one for the

other. “For ships there is no one-size-fits-

all solution”, stated Christophe Tytgat. As

the new secretary-general of Sea-Europe,

the association of shipyards and marine

equipment manufacturers, he made no secret

of the fact that there is a lot at stake for Europe.

Shipbuilding in the European Union is the

world number two. The European equipment

suppliers sign-up for 52% of the world market

of maritime equipment. Together they account

for an annual turnover of not less than 91 billion

euros. The choice they make is often to opt

for complex types of ships and technological

innovation. The more the decarbonisation

card is drawn, the more chances they have to

stay ahead of the game.

Page 17: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

15

2the commissioning of the 3,000/ 3,500 m³ tshD ‘Minerva’, ordered at royal ihc, is scheduled for early 2017, making it the first dredging vessel worldwide that will be equipped with dual fuel engines and capable of operating in full lng mode. this is in addition to DeMe’s 7,950/8,400 m³ trailing suction hopper dredger ‘scheldt river’ that also will be built at royal ihc and put into service around the same time.

shipbuilding in the european Union is the second largest in the world. the european equipment suppliers sign-up for 52% of the world market of maritime equipment.

Page 18: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

16

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

BALLAsT WATERon 7 March 2016, belgium – the 48th country to do so – ratified the international

convention on ballast water control and management, which brought the

ratification process close to the 35% threshold for the convention’s entry into

force. Finally Finland’s ratification in september 2016 proved to be the decisive

moment. the convention is set to enter into force on 8 september 2017. Under

the terms of the convention, a ballast water management treatment system will

have to be installed on vessels at their next special survey. within a timespan of

5 years such systems will have to be installed on about 30,000 ships.

Page 19: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

17

ThE BALLAsT WATER sAgA cONTiNUEd

iN 2016

The IMO approval process for ballast water

treatment systems (about 90 were granted

final approval) has failed to give the necessary

confidence to shipowners. Some systems use

chemicals, others filtration combined with

another technique (sterilisation, electrolysis,

UV-light, etc.). A 2016 IMO survey filled in by test

facilities, manufacturers, shipowners and Flag

States shows that the system testing guidelines

leave ample leeway to interpretation. In 2016

pressure from our umbrella organisation

ICS led to a review of the G8 Type approval

guidelines. As of 28 October 2020 the approval

of all systems to be installed shall be subject to

the reviewed guidelines.

Before it became known – i.e. prior to 2015 –

that IMO-approved systems might not work

under all temperature, salinity and sediment-

content conditions, a number of our members

installed systems in good faith (up to this

point in time 4,133 systems have already been

installed worldwide.). To identify the extent of

the problem it is crucial to collect information

from shipowners currently using such systems.

Accordingly the RBSA called on its members

at one of our 2016 technical committees to

supply us with information on ‘malfunctioning’.

The resulting survey showed that numerous

unforeseen technical problems have arisen

with the systems. Obviously, once new/better

systems will appear on the market, shipowners

who have already installed systems in good

faith should not be punished.

ThE Us cOmPLicATE mATTERs

Shipowners with routes to the US need to

focus on policies over there. The US have not

ratified the international convention on ballast

water control and management, applying

instead their own set of laws (in force since

01/01/2016) with stricter approval criteria for

treatment systems. The continuing rigidity

of the US regarding the approval of systems

has left our members with no alternative but

to completely halt the installation and to wait

for US-approved systems. Only in late 2016,

a year after the US legislation had come into

force, did the US Coast Guard (USCG) approve

3 systems and non of them fit for the fleet of

our members. ICS raised the issue of the

untenable situation for shipowners at MEPC69

and 70. Not only should ships be fitted out with

an USCG-approved system, but the shipowner

must also be sure that the system installed will

meet worldwide Port State Control standards.

As the systems come with a hefty price tag

(from 1 to 2 million euros depending on the size

of the vessel) shipowners cannot make hasty

decisions.

Page 20: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

18

2020sULPhURThE ENd Of ThE hEAvy fUEL OiL ERA iN shiPPiNg!

since the nineteen sixties heavy fuel oil has been the king of shipping fuels. to

many it is the ‘lifeblood’ of shipping. the transition to cleaner but much more

expensive low-sulphur fuels will inevitably boost research into the “fifth fuel”,

i.e. energy efficiency. .

Page 21: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

19

The biggest surprise MEPC 70 had in store was the

rapid approval of the date for the entry into force of

the 0.5% global sulphur limit. As of 1 January 2020,

all vessels exceeding 400 GT will only be allowed to

carry fuel with a maximum sulphur content of 0.5%,

compared to 3.5% presently. The introduction of the

global 0.5% sulphur limit in 2020 or 2025 depended

on an IMO evaluation to determine the availability of

fuel with this sulphur content. The study found that

enough fuel of this type will be available by 2020.

The discussions leading to the entry into force of the

0.10% sulphur limit (since 01/01/2015) will henceforth

take place at the IMO. How can one ascertain

whether ships will use fuel with a 0.5% sulphur content

at all times outside ECAs? The question is even more

relevant since vessels with scrubbers will be allowed

to use fuel with a 3.5% sulphur content even after

2020. The shipowner will have to choose between fuel

with an 0.5% sulphur content, MGO (Marine Gas Oil, a

distillate with an 0.10% sulphur content), installing a

scrubber, adopting LNG or other alternatives. An IMO

study estimates that, by 2020, about 4,000 vessels

will carry a scrubber. The crux of the matter is the

price of fuel oil (0.5%) by 2020.

The RBSA will not only advocate strict enforcement

worldwide, but also emphasize the need for good

quality in the mix of fuels on offer from the refineries

by 2020. Under the umbrella of the European

Sustainable Shipping Forum (ESSF), the European

0.5%global sulphur limit

Page 22: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

20

Commission has created a new work group mainly

dealing with the implementation of the 0.5% sulphur

limit in the waters of Southern Europe (as well as the

global limit). This group includes representatives from

all EU countries + a handful of players from the industry.

The RBSA is one of the few shipowners’ associations to

be members of the group. At a preparatory meeting of

the group we have already ensured that fuel quality will

be one of the topics covered.

fUEL qUALiTy

Shipowners have a vested interest in having their

engines run on good quality fuel. At each bunkering

shipoperators take a sample for analysis to check

whether the fuel meets certain specifications for proper

combustion in the engines. There is catch, however,

since MARPOL (Convention for the prevention of pollution

from ships) only makes sampling compulsory, but not

the analysis. Fuel is therefore analysed voluntarily, for

the purpose of ensuring that the fuel meets engine

manufacturer specifications and also to verify whether

the fuel delivered by the supplier meets the sulphur

MARPOL requirement.. In our industry this practice is

deemed self-evident. The RBSA however does not think

adherence to this practice is necessarily obvious.

The MARPOL convention states that “Fuels derived

from petroleum refining must be free from inorganic

acid; may not include added substance or chemical

waste that jeopardizes ship safety or adversely affects

Page 23: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

21machinery performance, is harmful to personnel, or

contributes to additional air pollution”. In 2015, at the

IMO, The Netherlands raised the issue that waste

flows were being processed into the supply chain.

The response from a number of countries, including

the US, was that problems could be avoided as long

as the fuel was analysed. To the US, ensuring good

quality is a business matter. The RBSA finds this point

of view somewhat at odds with reality. All too often

disputes arise following the bunkering of low-quality

fuel which must then be replaced. We are not talking

here about a few scores of litres, as the quantity of

fuel often amounts to hundreds of tonnes.

The RBSA seeks to find out to what extent the fuel

testing standard used ensures quality. Indeed, there

is substantial evidence that this is not the case. The

RBSA has received highly detailed analysis reports

from one of its members demonstrating that the

standard fails to achieve its stated aim. In late 2016

the Royal Dutch shipowners’ association (KVNR

Koninklijke Vereniging van Nederlandse Reders)

set up an international work group jointly with the

RBSA to examine the scope of the problem in the

ARA (Antwerp – Rotterdam – Amsterdam) region.

Said group also includes representatives from

governments (and inspectorates), the ports, the oil

industry and our umbrella organisations ECSA and

ICS.

the Marpol convention states that “Fuels

derived from petroleum refining must be free

from inorganic acid; may not include added

substance or chemical waste that jeopardizes

ship safety or adversely affects machinery

performance, is harmful to personnel, or

contributes to additional air pollution”.

Page 24: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

22

4shiP REcycLiNgon 27/03/16 belgium became the fourth country in the world to ratify

the iMo hong Kong convention (hKc, 2009), which sets clear and relevant

standards to be met by shipowners and shipyards for the safe and environment-

friendly recycling of ships. Up to now 6 countries have acceded to the hong

Kong convention. belgium hopes many states will follow suit, leading to the

rapid entry into force of the convention. the convention shall become effective

subject to approval by 15 states representing 40% of world merchant shipping

by gross tonnage, and a maximum annual ship recycling volume not less than 3

per cent of the combined tonnage of all merchant fleets.

Page 25: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

23

The RBSA has the ambition to raise current

ship demolition methods worldwide to a

higher level. To achieve this goal, it is crucial

that all vessels, EU-flagged or not, be subject

to the same conditions. In 2015 a number

of shipyards in India obtained a certificate

because they meet the demolition shipyard

standards set by the Hong Kong Convention.

The certification process continued in 2016.

In the meantime scores of Indian shipyards

have improved their infrastructure and work

conditions as a result of the HKC. ECSA visited

a number of these shipyards in 2016. The

visit had been organised in cooperation with

the Indian government, the Gujarat Maritime

Board as well as India’s Ship Recycling Industry

Association (SRIA). In addition to ECSA and

European shipowners, the visiting delegation

was also composed of representatives from

the EU Member States (including Belgium),

the European Commission (DG Environment)

as well as the International Chamber of

Shipping (ICS).

Bangladesh also realises that the Hong Kong

Convention should be ratified as quickly

as possible. In late 2016 the RBSA visited

a number of shipyards in Bangladesh,

as part of an initiative from a number of

parties including the International Maritime

Organisation (IMO), to improve the safety

and environment conditions of Bangladesh-

based ship recycling operations. The project

was financed by the Norwegian development

cooperation agency NORAD and the European

Union (EU). The RBSA fully supports such

initiatives based on the idea of cooperation.

Page 26: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

24E m P L O y m E N T

Page 27: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

25E m P L O y m E N T

In 2015 several collective bargaining

agreements have been concluded. The most

important one concerns officers. Not only

have wage calculations been much simplified,

but they have also become much clearer and

understandable for everybody.

Page 28: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

26

employmentBELgiAN mEAsUREs ExTENsiON Of ThE sTATE-Aid mEAsUREs REdUciNg sOciAL sEcURiTy

cONTRiBUTiONs ANd ExEmPTiNg fROm ThE WiThhOLdiNg TAx ON EARNEd

iNcOmE

social security measures

the procedure to extend the state-aid measures reducing the social security

contributions of the employees of the dredging and towing industries was

initiated in 2015. the measure lowering the social security contributions of the

employers of the merchant navy, the dredging and towing industries, as well as

measures to reduce the social security contributions of the employees of the

dredging and towing industries had already been approved in 2015.

26

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

Page 29: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

2727

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

Page 30: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

28

By 2016 all but one of the measures had

been approved: the only one left was the

reduction of the social security contributions

of the merchant navy employees, approved

by the Flemish government on 26 September

2016. The Regional Decree concerned was

published in Belgium’s Official Journal on 18

October 2016. As the previous measures had

already expired on 30 June 2015 the new

decree became retroactively applicable from

1 July 2015.

Exemption from the withholding tax on earned income

The measure under the terms of which

the employers of the merchant navy, the

dredging and maritime towing industries are

not obliged to pay the withholding tax they

would normally owe the Treasury based on

employee pay also needed to be extended.

The Belgian authorities applied for the above-

mentioned extension in 2015. On 16 March

2016 the European Commission sent a letter

notifying their agreement with said extension.

The measure will remain valid until 30 June

2025.

fiRsT sEA sERvicE

Upon graduating many masters in nautical

sciences and bachelors in marine engineering

still do not hold an STCW certificate for lack

of sailing time. This reduces their employability

on board, as they cannot serve as officers of

the watch.

However students can accumulate enough

sailing time through first sea service voyages.

Currently such voyages are only allowed

between 15 June and 15 September of the

same year. If first sea service voyages could

be held throughout the year most graduates

would have enough sailing time and they

would thus be readily employable. For this

reason the RBSA is cooperating with the

authorities to amend the royal decree on first

sea service and allow students to make first

sea service voyages throughout the year, thus

improving their eventual employability.

Page 31: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

29

iNTERNATiONAL cONTExTmARiTimE LABOUR cONvENTiON

In February 2016 the Special Tripartite

Committee decided that the strategy to be

followed in case of Harassment and Bullying

shall be included in section B of the MLC.

This will not change much for Belgian

shipowners, as such matters have already

been covered by legislation in Belgium.

The ILO Joint Maritime Commission decided in

April 2016 that the seafarers’ minimum wages

applicable worldwide shall remain unchanged

in 2016 and 2017. In 2018 new negotiations will

be held.

Page 32: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

30T R A i N i N g

Page 33: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

31T R A i N i N g

Lifelong learning also applies to seafarers. To

preserve the validity of their competency

certificate, seafarers need to take numerous

refresher courses. In 2016 the majority of

seafarers took an STCW combined refresher

course for the purpose of having their

competency certificate renewed.

Page 34: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

32

trainingARE yOU WATERPROOfFour years ago, ‘are you waterproof’ developed the “fascinating classroom game” turning pupils into masters, chief engineers and ratings, in short a

discovery of the marine industry. the game has proved to be so successful that

a sequel has been created under the name “a fascinating lesson package”.

32

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

Page 35: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

3333

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

Page 36: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

34s h i P P i N g

P O L i c y

Page 37: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

35s h i P P i N g

P O L i c yBelgian shipowners operate in a highly competitive

international industry, where it is vital to preserve a

level playing field between European shipowners and

their competitors worldwide. This emphasizes the great

importance of maintaining the social security and tax

measures, including the tonnage tax and the non-payment

of the withholding tax on earned income. The RBSA have

spared no effort to have these measures extended.

Page 38: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

36

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

POLICYis ThE mARiTimE siNgLE mARkET ABOUT TO hAPPEN AT LAsT? the eU commission’s Dg Move and Dg taxud have set up an eManifest

pilot project to demonstrate how the Manifest and other formalities can be

submitted through a single desk to the appropriate authorities and mutually

among Member states.

Page 39: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

37

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

Page 40: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

38

The Blue Belt project, launched during Belgium’s 2010

EU Council Presidency, included, among its main

features, a uniform electronic manifest (eManifest)

designed to harmonise a number of formalities (e.g.

dangerous goods on board, cargo manifest, etc.).

Uniformity would bring transparency and clarity as well

as reduce red tape. A pilot programme with about 250

vessels collected and processed the data exchange,

e.g. during port calls. Unfortunately the channelling

of all this information and experience into a single

eManifest proved all but obvious, as the various parties

did not agree on methodology. Similarly, the expected

simplification of the directive on reporting formalities for

ships proved to be disappointing.

Taking into account the above-mentioned record,

the EU Commission has now set up the Manifest pilot

project, using the European Maritime Single Window

prototype (EMSW prototype) developed by EMSA

(European Maritime Safety Agency). The first phase

of the project, i.e. testing the EMSW prototype with the

Member States, ran in November-December 2016. The

second phase, involving the shipping industry as well, is

scheduled for May-June and October-November 2017.

The conclusions from the pilot project will be used to

generate proposals for reviewing the Directive in 2018.

EMSA has published targets and rules applicable to

the pilot project, the so-called business rules, although

these were still of a very general nature. As both the

national authorities involved and the industry found

Page 41: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

39

that the practical details remained unclear, they chose

to await further developments. To break the logjam,

the RBSA organised a meeting in September, where

DG Move and DG Taxud provided detailed information

on the project to all competent Belgian authorities, i.e.

DG Shipping and the Belgian Customs as well as the

shipping industry.

The European Commission have acknowledged that

this project also involved a learning process for them.

To prevent a repetition of past mistakes, they ask all

parties concerned to provide input for the further

development of the business rules.

Administrative simplification, harmonisation and

digitalising of Short Sea Shipping have been key issues

for the RBSA since many years. Our association and

members reiterate their support for the eManifest

pilot project. We therefore count on the European

Commission and all authorities concerned to spare no

effort in ensuring the success of this project. There is

also a need to rectify the directive’s shortcomings in

order to finally create a maritime single market.

to break the logjam, the rbsa organised

a meeting in september, where Dg

Move and Dg taxud provided detailed

information on the project to all

competent belgian authorities, i.e. Dg

shipping and the belgian customs as well

as the shipping industry.

Page 42: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

40s E c U R i T y

Page 43: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

41s E c U R i T y

Saving lives and preventing tragedies on the sea are age-

old duties for merchant shipping and this will always

remain so. No one is even thinking of abandoning or

weakening this well-established tradition. However the

enormous refugee flow and the resulting large-scale

rescue operations in the Mediterranean have reached

unprecedented proportions, beyond the capacity

of merchant shipping to handle them and carrying

considerable risks for crew safety, health and well-being.

Page 44: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

42

13,888immigRATiONThE mERchANT NAvy REmAiNs PART Of ThE sOLUTiON TO ThE REfUgEE

cRisis iN ThE mEdiTERRANEAN

the rbsa and, by extension, the entire merchant shipping industry have

been repeating this message ever since the beginning of the refugee crisis in

2014. poseidon and triton, Frontex’s joint operations respectively supporting

greek and italian rescue operations, have relieved some of the pressure on the

merchant navy since 2015.

Page 45: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

43

On 18 May 2016 the RBSA, ECSA and other

European shipowner associations visited

the Rome-based Maritime Rescue and

Coordination Centre (MRCC) to thank them

for the quality of their work and cooperation

with the industry. The MRCC in Rome does

engage in a dialogue with the vessels

concerned to ascertain any operational

limitations of the ship and/or the crew. They

were asked, though, to consider even more

the challenges involved in carrying out such

rescue operations. Vessels are often kept on

stand-by for a very long time and the selection

of vessels still warrants some improvement.

According to the figures of MRCC Rome, 1,424

rescue operations were carried out in 2016,

resulting in 178,415 people being saved by

vessels sent in by the Italian MRCC. Compared

to previous years the merchant navy was less

involved in the process, although it should be

noted that merchant vessels did save 13,888

people (i.e. 8% of the total), a slight reduction

compared to the 2015 statistics. There was also

a decrease, for the third year in a row, in the

number of vessels diverted and/or committed

to the rescue operations. Nevertheless this still

involved 502 ships. This means that every day

in 2016 more than one merchant vessel was

diverted to deal with an incident and one was

involved in a rescue operation every three

days. The merchant navy therefore very much

remains in the picture and it is still part of the

solution, European actions notwithstanding.

2016

2015

2014

2016

2015

2014

166,53841,051

16,158

13,888

total of persons rescued

persons rescued by merchant fleet

152,343

178,415

2016

2015

2014

2016

2015

2014 882254

141

121

Diverted ships ships involved in sar operations

492

381

mERchANT shiPs iN sEARch ANd REscUE OPERATiONs

Page 46: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

44

In June 2016 the European Commission, the Council and

the Parliament approved the creation of a European

Border and Coast Guard to improve Europe’s response

to the crisis. Additionally, in July, the European Parliament

widened EMSA’s mandate to involve the latter more

in surveillance operations. The European Border and

Coast Guard Agency, based on the same principles as

Frontex, was officially launched on 6 October 2016.

The new agency wants to play a stronger role in

supporting, monitoring and, if need be, reinforcing

national coast guards. In performing the above duties,

the agency will focus on early detection and prevention

of shortcomings in border management. Human and

technical resources have been considerably expanded

for such purposes. The European Border and Coast

Guard Agency will ensure the implementation of

European border management standards by means

of periodical risk analyses as well as compulsory

vulnerability evaluations. Moreover the agency has also

received the mandate to assist neighbouring non-EU

countries in dealing with high migration pressures.

However reinforcing Europe’s borders does not tackle

the cause of the problem. According to Frontex figures,

an estimated 503,700 refugees crossed European

borders in 2016 and a further 5,098 did not survive the

passage. Between November 2016 and January 2017

alone, 1,354 refugees drowned while attempting to

reach Europe. The route from Libya through the central

Mediterranean has become the main route since the

Page 47: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

45

conclusion of the controversial agreement between the

EU and Turkey.

Massive numbers of migrants will thus continue to risk

the dangerous crossing, because life in their country

of origin no longer offers them any future for various

reasons. The RBSA therefore points out that Europe

should contribute to finding long-term solutions for the

areas affected.

The expansion of EUNAVFOR MED’s mandate on 20 June

2016 is therefore a step in the right direction. Two tasks

have been added to the mandate of Operation Sophia:

1. Training Libya’s coast guard and navy, thus enabling

them to disrupt smugglers and their networks in Libya

as well as providing them with the capacity to engage

in search and rescue operations to save lives.

2. Contributing to the exchange of information and

providing support in the implementation of the UN

arms embargo on the high seas off Libya, based on

UNSCR 2292 (2016). This will raise ‘maritime situation

awareness’ and limit arms deliveries to Da’esh and

other terrorist groups.

Moreover the refugee crisis has become an intra-

European problem, as several Members of the EU’s

Schengen area have closed their borders. Obviously

this has been causing big problems to the shipping

industry.

the expansion of eUnaVFor

MeD’s mandate on 20 June

2016 is therefore a step

in the right direction. two

tasks have been added to

the mandate of operation

sophia

Page 48: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

46

REsTRicTiONs ON visA issUANcE TO sEAfARERs iN TRANsiTthe right to be repatriated is a typical maritime right granted to seafarers, who

are thus entitled to free transport to their home port. said right is recognised,

among others, by the 2006 Maritime labour convention, applicable in belgium

since 20 august 2014. pursuant to the convention, belgium has to facilitate the

repatriation of seafarers working on vessels visiting belgian ports.

Page 49: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

47

Seafarers wishing to disembark in the

Schengen area with the intent of subsequently

leaving the Schengen area need to have a

(transit) visa in accordance with visa law.

Under the provisions of this law, seafarers may

invoke unforeseen and compelling reasons

for their failure to apply for a visa in a timely

fashion. Indeed, at the start of a (long) sea

journey the seafarer has no idea in which

port he will disembark. There is the added

impossibility to apply for a visa at an embassy

or consulate in a European country once the

seafarer is on board.

Unfortunately, since the summer of 2016,

seafarers have been prevented on various

occasions to use their right to repatriation.

The problem arises from the fact that Belgian

border posts only issue biometric VIS-visas,

which makes the visa application process

considerably more time-consuming. As a

result the maritime police has decided to limit

the number of visa applications in port. In

practice, this means that shipping control will

only issue visas in exceptional cases specified

on a non-restrictive list. Changing half or the

entire crew does not feature on this list, as such

changes are not deemed to be unpredictable

according to the border control agency. The

authorities will issue no more than five visas

per crew change. Currently our members have

no option but to delay crew changes and face

the added problems involved in doing so.

On Tuesday 18 October RBSA and ASV

(Antwerp Shipping Association) held a

meeting with senior immigration officials of

the Directorate General of Internal Affairs. We

were given to understand that the quota only

has an indicative value and that it will not be

enforced if the exceptional and urgent nature

of a larger crew change can be demonstrated.

Nevertheless we observe that some maritime

police officers do use the quota figure as an

absolute limit. The RBSA finds this unacceptable

and we therefore expect this problem to be

solved pragmatically.

Page 50: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

48

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

191PiRAcyPiRATEs ARE sTiLL vERy mUch AcTivE

with 191 incidents in 2016, piracy worldwide has reached its lowest point since

1998. nevertheless, last year more seafarers have been abducted on the seas

than in the ten preceding years. out of the 150 seafarers taken hostage, 62

were subject to ransom demands, i.e. thrice the number of 2015. the increase

in crew abductions for ransom is a worrying trend. although the continuing

decrease in acts of piracy is to be welcomed, some shipping routes nonetheless

remain highly dangerous.

Page 51: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

49

The Gulf of Guinea remained the hotspot in 2016,

with 34 crew seized in nine different incidents.

Three vessels were hijacked in the region. A notable

increase in attacks was reported off Nigeria,

with 36 incidents in 2016 compared to 14 in 2015.

Some incidents took place almost 100 nautical

miles from the coast. With this in mind, the RBSA

has been insisting on the need to deploy private

guards on board outside the territorial waters in

the Gulf of Guinea. Through the Royal Decree of 14

September 2016, the State Secretary for combating

Social Fraud, for Privacy and the North Sea, Philippe

De Backer, has addressed the issue and added

the Gulf of Guinea to the areas where on-board

security personnel may be deployed.

The existing Maritime Trade and Information Sharing

Centre for the Gulf of Guinea (MTISC-GoG) was

closed as a result of confidentiality issues. It has

been replaced by the Maritime Domain Awareness

for Trade – Gulf of Guinea (MDAT-GoG), created

by the French and UK navies. Henceforth vessels

planning to enter the area will have to register with

the new information centre.

The RBSA attended the African Union summit on

maritime security held in Lomé, Togo in October

2016. “The maritime economy generates good

job opportunities, often starting with a career on

the sea. However African academies often lack

international recognition. We therefore encourage

Attempted Attack

Hijacked

Boarded

Suspicious vessel

Fired upon

54ToTal aTTacks in

The Gulf of Guinea

Page 52: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

50

our African partners to bring their maritime training

into line with international standards (IMO STCW

recognition) and to be ready to support the process”,

said Wilfried Lemmens. The summit resulted in the

‘Lomé Charter’, the next step in ensuring maritime

safety in Africa. The RBSA trusts that the states in the

region will act pursuant to the Charter in taking more

initiatives to improve maritime and port security to the

benefit of all trade.

Although the number of attacks by somali pirates may

be low, a series of attempts point to a remaining

capacity and intent to attack merchant shipping

off Somalia. The worsening famine in Somalia is a

source of renewed instability with the potential of re-

energising piracy. Shipping will thus need to remain

vigilant, to follow Best Management Practices and to

consider deploying private security on board. Europe’s

decision on 25 November 2016 to extend the mandate

of the EUNAVFOR operation Atalanta until the end of

2018 is therefore reassuring.

Such vigilance is also a must in asian waters where 84

incidents have been reported. Especially the Sulu Sea

between Eastern Malaysia and the Philippines has

seen a strong increase in piracy in 2016. Moreover

28 seafarers have been abducted there this year. In

contrast, Indonesian waters have seen a drop in the

number of incidents, from 108 in 2015 to 49 in 2016.

Most cases involve opportunistic theft, although three

vessels have been boarded in this region.

Attempted Attack

Hijacked

Boarded

Suspicious vessel

Fired upon

1784attacks in the indian sub-continent

AttAcks in EAst & south EAst AsiA

Page 53: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

51

Finally there is peru where 11 incidents have been

reported, 10 of which occurred in the port of Callao.

In 2015 there were no reports of piracy whatsoever in

that country.

AttAcks in EAst & south EAst AsiA

India, 14Philippines, 10

Peru, 11

Nigerai, 36 Indonesia, 49

the following 5 locations recorded around 63% attacks from a total of 191

reported attacks for the period

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

Page 54: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

52

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

cyBER sEcURiTy

gROWiNg ExPOsURE TO cyBER Risks

cyber risk management remains one of the shipping industry’s main challenges,

as technology is an essential and critical component of maritime management

and operating systems. not only does it ensure the security and the safety of

vessels, but it also protects the marine environment. however the vulnerabilities

arising from the connectivity of such systems create cyber risks which need to

be addressed.

Page 55: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

53

At their May 2016 meeting, the Maritime

Safety Committee of the International

Maritime Organization (IMO) approved

temporary guidelines on maritime

cyber risk management. These ‘high-

level’ recommendations applicable to all

shipping industry players go beyond the

directives previously issued by BIMCO, CLIA,

ICS, INTERTANKO and INTERCARGO – said

directives were restricted to cyber risks during

operations on board.

The IMO guidelines do not enumerate all

possible cyber risks, but they do state that

proper cyber risk management takes into

account all risks, with the awareness that

such risks are forever changing. In short, to

achieve an effective cyber risk management,

corporate culture should include an

awareness of cyber risks at all levels. Cyber

policy and risk management procedures

are organisation-specific and they need

permanent evaluation and evolution.

Furthermore, the IMO plans to introduce

mandatory legislation on maritime cyber

risks in the course of 2017.

With the publication of the ‘Network

Information Sharing’ (NIS) Directive on 6 July

2016, Europe has also legislated on cyber

security. This directive seeks to strengthen

national cyber authorities while increasing

coordination amongst them. Additionally the

directive introduces security requirements for

major industrial sectors.

The Member States have until 9 May 2018

to transpose the directive into their national

legislation. Its practical effect therefore

depends very much on the interpretation by

Member States. In the process they should

not lose sight of what the directive especially

sought to achieve, i.e.:

1. ensuring a high level of cyber security on

critical infrastructure;

2. creating an efficient cooperation

mechanism between the EU Member

States to reach the objective set. Resources

should be prioritised for the achievement

of these two main objectives.

The DG Shipping intends to solely view ports,

but not the shipping industry, as critical

infrastructure. Thus they agree with us that

maritime cyber risks should preferably be

regulated internationally.

Page 56: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

54 R E g U L A T i O N

Page 57: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

55R E g U L A T i O N

The new Belgian Maritime Code is an absolute

priority for the further extension of the Belgian

Maritime Cluster. This text will replace the current

Maritime Code of 1879 which is completely

obsolete given the present practice of maritime

trade and international law.

Page 58: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

regulationLEgAL AffAiRs

NEW BELgiAN mARiTimE LAW

the public-law part of the new maritime law was presented on 18 June 2016,

after which the industry was asked to comment. in the meantime professor Dr

eric Van hooydonk has submitted his final proposal regarding both the public-

law and the private-law sections to the Dh shipping, where the texts are

currently under review. state secretary philippe De backer hopes to initiate the

legislative process in september 2017.

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

56

Page 59: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o nr o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

57

Page 60: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

58

172r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

ThE BELgiAN fLEETat the end of 2016 the fleet flying the belgian flag numbered 172 vessels

with a gross tonnage of 5.268.231. the average age of the merchant

vessels was 8 years, with a weighted average of 11 years.

Page 61: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

59

TYPE End of 2014 End of 2015 End of 2016number gt number gt number gt

Merchant vessels 73 4.908.565 72 4.900.054 70 5.047.240Dredging vessels 38 185.593 35 159.470 34 167.155Tugs and offshore supply vessels

44 26.625 57 36.463 61 48.114

Passenger vessels 4 5.102 4 5.102 4 5.102Special Craft 3 6.784 3 620 3 620

total 162 5.132.669 171 5.101.709 172 5.268.231

Source: DG Shipping

OWNERSHIP OF WORLD FLEET 2016 country national flag % Foreign flag % total

1 Greece 64.704.141 22.08 228.383.091 77.92 293.087.2322 Japan 28.774.119 12.57 200.206.090 87.43 228.980.2093 China 74.106.227 46.64 84.778.140 53.36 158.884.3674 Germany 11.315.790 9.49 107.865.615 90.51 119.181.4055 Singapore 61.763.603 64.80 33.548.770 35.20 95.312.3736 Hong Kong 67.522.162 77.28 19.853.100 22.72 87.375.2627 Republic of Korea 16.107.565 20.43 62.726.629 79.57 78.834.1948 United States 8.155.717 13.53 52.123.421 86.47 60.279.1389 United Kingdom 5.247.009 10.20 46.194.091 89.80 51.441.10010 Bermuda 503.077 1.04 47.950.084 98.96 48.453.161

17 belgium 7.522.451 34.04 14.575.301 65.96 22.097.752

22 The Netherlands 6.682.312 38.31 10.758.780 61.69 17.441.09228 France 3.484.683 28.58 8.707.221 71.42 12.191.904

World fleet 1.791.584.400

source: UNCTAD

Page 62: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

60

mEmBERshiP 2016mEmBERs AHLERS N.V. Noorderlaan 1392030 ANTWERPENT +32(0)3 543 72 [email protected]

BOSKALIS OFFSHOREItaliëlei 3, bus 22000 ANTWERPENT +32 (0) 3 545 1120www.boskalis.com/[email protected]

BUGGE SHIPPING BVBA Van Meterenkaai 1 2000 ANTWERPENT +32(0)3 202 03 [email protected]

CMB (BOCIMAR INTERNATIONAL) N.V. De Gerlachekaai 202000 ANTWERPENT +32(0)3 247 51 [email protected]

CONTI-LINES N.V.Generaal Lemanstraat 82-922600 BERCHEMT +32(0)3 545 35 [email protected]

CROISIMER BELLE DE L’ADRIATIQUE N.V.Rodeveldlaan 32600 BerchemT +32(0)81 23 46 31

CRYSTAL MANAGEMENT BVBASt. Katelijnevest 61 bus 42000 ANTWERPENT +32(0)3 227 31 85

DELPHIS N.V. De Gerlachekaai 202000 ANTWERPENT +32(0)3 247 60 [email protected]

DEME BUILDING MATERIALS N.V. Haven 1025Scheldedijk 302070 ZWIJNDRECHTT +32(0)3 250 54 23www.deme-group.com/[email protected]

Page 63: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

61

EBE NVDe Merodelei 12600 BERCHEMT +32 (0) 3 206 72 [email protected]

EURONAV N.V. De Gerlachekaai 202000 ANTWERPENT +32(0)3 247 44 11 [email protected]

EXMAR N.V. De Gerlachekaai 202000 ANTWERPENT +32(0)3 247 56 [email protected]

FAST LINES BELGIUM N.V. Ernest Van Dijckkaai 15/172000 ANTWERPENT +32(0)3 213 52 [email protected]

HERBOSCH-KIERE N.V.Haven 1558 – Sint-Jansweg 79130 KALLOT +32(0)3 575 02 [email protected]

KLEIMAR N.V. Suikerrui 52000 ANTWERPENT +32(0)3 401 00 [email protected]

JAN DE NUL N.V. Tragel 609308 HOFSTADE-AALSTT +32(0)53 73 15 [email protected]

ST MANAGEMENT BELGIUM N.V. Skaldenstraat 19042 GENTT +32(0)9 255 02 [email protected]

TRANSPETROL MARITIME SERVICES LTD Belgian BranchTer Hulpsesteenweg 1781170 BRUSSELT +32(0)2 672 02 [email protected]

KOTUG SMIT TOWAGEItaliëlei 3 bus 32000 ANTWERPENT +32(0)3 545 11 20www.kotugsmit.eu

Page 64: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

62

AssOciATEd mEmBERs

ANGLO-EASTERN (ANTWERP) N.V. Sneeuwbeslaan 14 - 2610 WILRIJKT +32(0)3 270 01 80www.angloeastern.com

BELGISCHE MARINEKwartier Marinebasis ZeebruggeGraaf Jansdijk 18380 Brugge (Zeebrugge)T +32 (0) 2 441 81 58www.mil.be/[email protected]

DAB VLOOTSir Winston Churchillkaai 28400 OOSTENDET +32(0)59 56 63 [email protected]

LOWLAND INTERNATIONAL N.V. Antwerp OfficeSt. Katelijnevest 61 bus 42000 ANTWERPENT +32(0)3 227 31 [email protected]

BOARd Of diREcTORs

mEmBERsLUDWIG CRIEL, ChairmanWILFRIED LEMMENS, Managing DirectorREBECCA ANDRIESALAIN BERNARD ANTHONY DUROTMARC NUYTEMANS ALEXANDER SAVERYS BENOÎT TIMMERMANSSTEVE VAN HULLE EGIED VERBEECK YVAN VLAMINCKX

ALTERNATEs THIERRY COLINRONALD DE PAUWPIERRE DINCQ ANN PORTECATHARINA SCHEERS ALEX STARING THEO VAN DE KERCKHOVE CHRIS VERMEERSCH

Page 65: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

63

OUR TEAm

Ludovic LaffineurHead of Environmental & Technical Affairs

Deputy Managing [email protected]

Elle De SoomerLegal Affairs

[email protected]

Hilde PeetersSocial Affairs

[email protected]

Arantxi SalvadorManagement Assistant

[email protected]

Marleen WyboSecretarial Support

[email protected]

Nathan De BruynNaval Architect - Maritime Innovations

[email protected]* Nathan joined the team in april 2017

Wilfried LemmensManaging Director

[email protected]

From the Left to the right : Elle De Soomer, Arantxi Salvador, Ludovic Laffineur, Wilfried Lemmens, Marleen Wybo, Hilde Peeters, Nathan De Bruyn*

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

Page 66: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One

r o y a l b e l g i a n s h i p o w n e r s ’ a s s o c i at i o n

64

NOTEs

Page 67: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One
Page 68: INNOV€¦ · Ian Petty, the new director of the Sustainable Shipping Initiative (SSI) stressed that selling a sustainability message in tough times is not easy but necessary. One