Tanker Owner, Operator to Pay USD 3 Mn for Air Pollution

The owner and operator, as well as Senior Officers, of oil tanker Ocean Princess have been convicted and sentenced for various pollution, recordkeeping, and obstruction of justice crimes, according to the U.S. Department of Justice.

Namely, Ionian Shipping & Trading Corp, Lily Shipping Ltd, as well as Stamatios Alekidis, Athanasios Pittas and Rey Espulgar used fuel that exceeded the maximum allowable sulfur concentration in the U.S. Caribbean Emission Control Area and attempted to deceive U.S. Coast Guard inspectors about the source of the fuel being used aboard the vessel.

Namely, the tanker was engaged in transporting petroleum products throughout the Caribbean including from Limetree Terminals, St. Croix, U.S. Virgin Islands.

While vessels are operating within the U.S. Caribbean ECA, they must not use fuel that exceeds 0.10% sulfur by weight in order to help protect air quality.

Between January 3, 2017, and July 10, 2018, the tanker Ocean Princess entered into, and operated within, the U.S. Caribbean ECA using fuel that contained excessive sulfur on twenty-six separate occasions.

Between March 2, 2016, and February 6, 2018, nineteen separate fictitious Bunker Delivery Notes were created on and kept aboard the vessel.

USCG inspectors boarded the tanker on July 10, 2018, to conduct an inspection. During the inspection, the inspectors discovered that the vessel was using fuel with an excessive sulfur content.

The companies will each pay a fine of USD 1.5 million, be placed on four years of probation, and implement an Environmental Compliance Plan. The Master, Chief Officer and Chief Engineer were sentenced to three years of probation and ordered not to return to the United States on a ship during that time. The Chief Officer was also fined USD 3,000.

BPA, Port of Rotterdam Joining Forces on Digitalization

The British Ports Association and Dutch Port of Rotterdam have launched a joint smart ports paper as they aim to explore opportunities offered by port digitalization.

In the paper, the two sides outlined steps necessary to create more efficient processes in and between ports.

What is more, the paper noted that not all traditional ports would be able to survive this digital disruption.

“Just as with retail, the travel sector and the world of banking and insurance, digital platforms are set to dominate the supply chain in the logistics sector as well,” it was said.

“For ports, the challenge is to determine their digital strategy so they can preserve and strengthen their competitive position in relation to more digital ports and other transport resources.”

Both sides stressed that the development of a global network of connected ports around the world is the key element in the digital transition.

The paper also introduced a “digital maturity model” showing how ports can gradually develop into smart ports. The model outlines four maturity levels in the step by step process to become a digital port.

As explained, the first step is the digitization of individual parties in the port, followed by the integration of systems in a port community. The third phase would integrate the logistics chain with the hinterland before ports are connected in the global logistics chain in the final step.

“This paper sets out some of the benefits of smart operations and how ports can benefit. Ports of all sizes face similar challenges in adapting to new technologies and developments in the industries we serve,” Richard Ballantyne, BPA Chief Executive, commented.

“Smart port operations will give ports the edge in becoming greener and ultimately, more efficient in serving the wide range of industries we support.”

The full report can be downloaded here.

Posted on August 7, 2019 with tags British Ports Associ