Sustaining the Industry’s Safety and Environmental Performance Joint INTERTANKO & BIMCO Seminar Tokyo 16 October 2013 Sustaining the Industry’s Safety and Environmental Performance Henrik von Platen Chairman - INTERTANKO Safety, Technical and Environmental Committee

Accumulated losses VLCCs, Suezmaxes & Aframaxes Tanker Industry Performance - historical Accumulated losses VLCCs, Suezmaxes & Aframaxes

Tanker Industry Performance - historical Maintaining the Performance Trend - future

Tanker incidents by cause 1978-2012 Tanker Industry Performance - historical Tanker incidents by cause 1978-2012 Number incidents Source: Based on incidents reports from Informa superposed with ITOPF statistics

Reported tanker incidents 2012 Tanker Industry Performance - historical Reported tanker incidents 2012

2. Maintaining the Performance Trend - future Tanker Safety - human element Well trained, competent crews Assess criminalisation and effect on safety/recruitment Allow best practice to be followed in reporting and investigation of incidents, thereby enable lessons to be learned

Number spills above 700 tonnes Tanker Industry Performance - historical Number spills above 700 tonnes 1970s 25.2 Number 1980s 9.3 1990s 7.8 2000s 3.3 Source: INTERTANKO/ITOPF 2010-2011 2.5 10

Tanker Industry Performance - historical Accidental oil pollution from tankers and seaborne trade Source: ITOPF/Fearnleys *2010 is a projection based on 3 years

2. Maintaining the Performance Trend - future Tanker Safety Industry must remain proactive with regard to safety and performance Industry must lead in developing guidance and best management practices on issues which are key to tanker safety and performance Positively influence industry bodies, national regulatory bodies and the IMO For example… Industry must have a clear understanding of the requirements set by IMO, regulators/administrations, OCIMF, oil majors, charterers and class societies amongst others Unified global ship inspection and vetting regime - fewer inspections per ship per year Measurement of tanker safety and performance Usable performance measurements and databases

2. Maintaining the Performance Trend - future Safety and Environmental Performance Not just the responsibility of the tanker owner Shipowner Charterer Shipbuilder Class Chain of responsibility/sustainability Insurer Flag Port Broker

2. Maintaining the Performance Trend - future Environmental Performance Greenhouse Gas Emission Reductions New tankers meet/exceed, required EEDI and CO2 emission reductions targets Develop solid industry practices & monitoring system for GHG emission reductions from tankers in operation Allowing industry to achieve and demonstrate increases in efficiency Monitor and liaise with refining industry with regard to refining processes and fuel availability issues (global sulphur cap of 0.5% enforced in 2020) Global switch to cleaner fuels Advise and support members in complying and exceeding EEDI Create central database of EEDI values managed by INTERTANKO Analyse collected data to assess level of compliance Report on results to members & other stakeholders e.g. to assist in IMO’s review of EEDI compliance Liaise with Designers, Manufacturers, Charterers, other stakeholders to drive developments for safe, cost effective, environmentally sound tankers Create environmental performance database Analyse collected data for periodical assessment of members’ emissions and efficiency improvements Report on results to members, regulators and other stakeholders in order to demonstrate industry sector performance Communicate Industry’s environmental credentials and increases in efficiency alongside its role in serving world trade

TC equivalent and emission at various speeds 2. Maintaining the Performance Trend - future Environmental Performance Greenhouse Gas Emission Reductions TC equivalent and emission at various speeds $/day Tonnes CO2 emission

2. Maintaining the Performance Trend - future Environmental performance Ballast water management Tanker industry is able to achieve compliance with current and future discharge standards (both regionally and internationally) Installation and Operation of appropriate and adequate ballast water management systems Compliance and enforcement – need strong, well defined and realistic international regulations

The rogues of the oil tanker industry Tanker owner Oil company Spokesman

Industry (Tripartite) must lead and take initiatives to stay in the lead especially important in economically testing times when the heavy load of legislation and regulation pushes heavily on industry. Otherwise a harmonious relationship with stakeholders can easily ………….

…..end with a situation none of us want to be in 19

2. Maintaining the Performance Trend - future Tanker Industry Historical performance Industry best practice - Raising the standards Driving change in Chain of Responsibility Regulations Shipping and ships Others?

www.intertanko.com thank you