INTERTANKOINTERTANKO

Maritime Security – The Tanker Maritime Security – The Tanker Industry’s ConcernsIndustry’s Concerns

Presented byPresented by

John C. Fawcett-EllisJohn C. Fawcett-EllisLegal Counsel & Regional Manager Asia-PacificLegal Counsel & Regional Manager Asia-Pacific

Kuala Lumpur, 30 June 2004Kuala Lumpur, 30 June 2004

- representing representing responsible oil and responsible oil and chemical tanker owners chemical tanker owners worldwideworldwide

- promoting Safer Ships, promoting Safer Ships, CleanerCleaner Seas and Free Seas and Free CompetitionCompetition

-strict membership strict membership criteria based on quality criteria based on quality and performanceand performance

The The International Association of Independent International Association of Independent Tanker OwnersTanker Owners

INTERTANKO INTERTANKO todaytoday• 240 240 MembersMembers

• 2,202,2000 tankers tankers

• 160160 million dwt million dwt

• Average age: 13.5 yearsAverage age: 13.5 years

• 270 270 Associate MembersAssociate Members

• 27 Staff /27 Staff / 66 Consultants Consultants

Oslo London Singapore Washington

INTERTANKO in Asia - PacificINTERTANKO in Asia - Pacific

MembershipMembership

- AustraliaAustralia – Botany Bay Shipping Group – Botany Bay Shipping Group- ChinaChina – Hebei Ocean Shipping Co, Cosco Dalian (Ass. Member), – Hebei Ocean Shipping Co, Cosco Dalian (Ass. Member),

China Shipping, Nanjing Tanker Corporation & Sinochem China Shipping, Nanjing Tanker Corporation & Sinochem ShippingShipping

- Hong KongHong Kong – Anglo-Eastern, Associated Maritime, Eurasia, – Anglo-Eastern, Associated Maritime, Eurasia, Fairmont, HK Ming Wah, Parakou, TCC, Unique, Wah Kwong & Fairmont, HK Ming Wah, Parakou, TCC, Unique, Wah Kwong & WallemWallem

- JapanJapan – Daiichi Chuo, Daitoh Trading, Iino Lines, Kawasaki Line, – Daiichi Chuo, Daitoh Trading, Iino Lines, Kawasaki Line, Kyoei Tanker, Meiji Shipping, Mitsui OSK, Tokyo Marine, NYK, Kyoei Tanker, Meiji Shipping, Mitsui OSK, Tokyo Marine, NYK, Nissho, Shinwa, Taiheiyo, YuyoNissho, Shinwa, Taiheiyo, Yuyo

- MalaysiaMalaysia – MISC, Aurora, Sutrajaya, Barber Shipmanagement – MISC, Aurora, Sutrajaya, Barber Shipmanagement- SingaporeSingapore – NAS, Petroships, PCL, Thome, TESMA, World Tankers, – NAS, Petroships, PCL, Thome, TESMA, World Tankers, - South KoreaSouth Korea – SK Shipping, Hanjin (Ass Member) – SK Shipping, Hanjin (Ass Member)

The Tanker Industry’s The Tanker Industry’s Concerns:Concerns:

• Safety/Security of our crewsSafety/Security of our crews

• Safety/Security of our vesselsSafety/Security of our vessels

• The ability to provide an The ability to provide an efficient transportation solution to efficient transportation solution to our customersour customers

The Regulator’s Concerns:The Regulator’s Concerns:

• Crew on board are a potential Crew on board are a potential security threatsecurity threat

• The vessel is a potential security The vessel is a potential security threatthreat

• The cargo is dangerousThe cargo is dangerous

The Reality:The Reality:

• NO attacks from any crew to dateNO attacks from any crew to date

• NO attacks from any commercial vesselNO attacks from any commercial vessel

• 1 major attack against a tanker1 major attack against a tanker

• Numerous attacks by pirates or robbers against our crews and vesselsNumerous attacks by pirates or robbers against our crews and vessels

• Our crews are not welcome ashoreOur crews are not welcome ashore

• World wide terrorism is on the increase – ”World wide terrorism is on the increase – ”expect the unexpected”expect the unexpected”

• Questionable whether tankers are the vessel type which presents the Questionable whether tankers are the vessel type which presents the greatest security risk – query whether the Limburg attack achieved its greatest security risk – query whether the Limburg attack achieved its objectivesobjectives

ISPSISPS

• The responsible tanker operating community The responsible tanker operating community has risen to the challenge to comply, but some has risen to the challenge to comply, but some are let down by flag state administrationsare let down by flag state administrations

• The majority of port facilities will fail to meet The majority of port facilities will fail to meet the 1 July deadlinethe 1 July deadline

• Are our crews and vessels any safer as a Are our crews and vessels any safer as a result?result?

Security in the Straits: Security in the Straits:

• Petty theft from vessels at anchor on Petty theft from vessels at anchor on the increasethe increase

• Highjackings of vessels on the Highjackings of vessels on the increaseincrease

• 61 attacks against vessels whilst 61 attacks against vessels whilst under passage in SE Asia (9 in the under passage in SE Asia (9 in the Malacca Straits)Malacca Straits)

• Will vessels be the next modus Will vessels be the next modus operandi of the terrorists?operandi of the terrorists?

Where are we today?Where are we today?

• Is a cross boarder pursuit possible – NOIs a cross boarder pursuit possible – NO• Joint excercises – YESJoint excercises – YES• Joint patrols – YesJoint patrols – Yes• Shared intelligence – YESShared intelligence – YES• Inreased patrols – NOInreased patrols – NO• Any focus on the route cause of the Any focus on the route cause of the

problem, viz. disabling pirates ashore? problem, viz. disabling pirates ashore? - No- No

The Political Agenda – Good The Political Agenda – Good NewsNews

• Over the last 6 months – shift from anti-Over the last 6 months – shift from anti-piracy to securing safe navigation of the piracy to securing safe navigation of the Straits and safeguarding the integrity of the Straits and safeguarding the integrity of the region region

• This issue is moving up the political agendaThis issue is moving up the political agenda

• Indonesia, Malaysia & Singapore agree to Indonesia, Malaysia & Singapore agree to joint patrolsjoint patrols

The Key DistinctionThe Key Distinction

Between:Between:

1.1. Attacks on vessels underway which Attacks on vessels underway which are totally unacceptable and are are totally unacceptable and are the most alarming; andthe most alarming; and

2.2. Attacks on vessels at anchor or Attacks on vessels at anchor or within a portwithin a port

What should be done?What should be done?

• Action not just talkAction not just talk

• More patrolsMore patrols

• Make cross boarder pursuit a realityMake cross boarder pursuit a reality

• Increased cooperationIncreased cooperation

• The industry is willing to engageThe industry is willing to engage

• If regional resources are not sufficient If regional resources are not sufficient then seek to cooperate with othersthen seek to cooperate with others

What else?What else?

• Need to reduce the number of small craft Need to reduce the number of small craft that are not enaged in legitimate activitiesthat are not enaged in legitimate activities

• Transponders mandatory on all small craftTransponders mandatory on all small craft

• Police need to weed out the rogues ashorePolice need to weed out the rogues ashore

• Need to regain the initiative – show of Need to regain the initiative – show of force/strengthforce/strength

• Strong cooperation between security forcesStrong cooperation between security forces

• Perhaps the use of helicopters to Perhaps the use of helicopters to pursue/deterpursue/deter

Conclusion / Action Points:Conclusion / Action Points:

1.1. SUA Convention and Draft Protocol – need SUA Convention and Draft Protocol – need for focussed discussion on this important for focussed discussion on this important convention convention

2.2. Focussed dialogue between the littoral Focussed dialogue between the littoral states and industry to tackle the route states and industry to tackle the route causes of the piracy ashorecauses of the piracy ashore

3.3. Concerned effort / crack down to stamp out Concerned effort / crack down to stamp out the boarding of vessels transiting the Straitsthe boarding of vessels transiting the Straits

THANK YOUTHANK YOU

www.intertanko.comwww.intertanko.com