IMO REPORT OF THE MARINE ENVIRONMENT PROTECTION COMMITTEE ON ITS FIFTIETH SESSION 3 DISCUSSIONS ON MONDAY, 1 DECEMBER

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1 INTERNATIONAL MARITIME ORGANIZATION E IMO MARINE ENVIRONMENT PROTECTION COMMITTEE 50th session Agenda item 3 MEPC 50/3 8 December 2003 Original: ENGLISH REPORT OF THE MARINE ENVIRONMENT PROTECTION COMMITTEE ON ITS FIFTIETH SESSION Section Paragraph Nos. Page No. 1 INTRODUCTION CONSIDERATION AND ADOPTION OF AMENDMENTS TO MARPOL 73/ DISCUSSIONS ON MONDAY, 1 DECEMBER DECISIONS ON THURSDAY, 4 DECEMBER COMMEMORATIVE SESSION ANY OTHER BUSINESS ANNEXES ANNEX 1 ANNEX 2 ANNEX 3 ANNEX 4 ANNEX 5 RESOLUTION MEPC.111(50) AMENDMENTS TO THE ANNEX OF THE PROTOCOL OF 1978 RELATING TO THE INTERNATIONAL CONVENTION FOR THE PREVENTION OF POLLUTION FROM SHIPS, 1973 RESOLUTION MEPC.112(50) AMENDMENTS TO THE CONDITION ASSESSMENT SCHEME RESOLUTION MEPC.113(50) SHIP RECYCLING FOR THE SMOOTH IMPLEMENTATION OF THE AMENDMENTS TO ANNEX I OF MARPOL 73/78 RESOLUTION MEPC.114(50) EARLY AND EFFECTIVE APPLICATION OF THE AMENDMENTS TO ANNEX I OF MARPOL 73/78 UNIFIED INTERPRETATION FOR REGULATION 13G(3)(b) OF ANNEX I OF MARPOL 73/78 For reasons of economy, this document is printed in a limited number. Delegates are kindly asked to bring their copies to meetings and not to request additional copies.

2 - 2 - ANNEX 6 STATEMENTS BY THE DELEGATIONS OF ITALY, CYPRUS, MALTA AND POLAND AFTER ADOPTION OF THE AMENDMENTS TO ANNEX I OF MARPOL 73/78

3 - 3 - MEPC 50/3 1 INTRODUCTION 1.1 The fiftieth session of the Marine Environment Protection Committee was held at IMO Headquarters on 1 and 4 December 2003 under the chairmanship of Mr. A. Chrysostomou (Cyprus). 1.2 The session was attended by delegations from: ALBANIA ALGERIA ANGOLA ANTIGUA AND BARBUDA ARGENTINA AUSTRALIA AUSTRIA BAHAMAS BAHRAIN BANGLADESH BARBADOS BELGIUM BENIN BOLIVIA BRAZIL BRUNEI DARUSSALAM BULGARIA CAMBODIA CANADA CAPE VERDE CHILE CHINA COLOMBIA CONGO COSTA RICA CROATIA CUBA CYPRUS DEMOCRATIC PEOPLE'S REPUBLIC OF KOREA DEMOCRATIC REPUBLIC OF CONGO DENMARK DOMINICA ECUADOR EGYPT ESTONIA ETHIOPA FINLAND FRANCE GABON GEORGIA GERMANY GHANA GREECE GUATEMALA GUINEA GUYANA HONDURAS ICELAND INDIA IRAN (ISLAMIC REPUBLIC OF) IRELAND ISRAEL ITALY JAMAICA JAPAN JORDAN KENYA KUWAIT LATVIA LEBANON LIBERIA LITHUANIA LUXEMBURG MALAYSIA MALTA MARSHALL ISLANDS MAURITANIA MAURITIUS MEXICO MOROCCO MOZAMBIQUE NAMIBIA NETHERLANDS NEW ZEALAND NICARAGUA NIGERIA NORWAY OMAN PAKISTAN PANAMA PERU PHILIPPINES POLAND PORTUGAL

4 - 4 - QATAR REPUBLIC OF KOREA ROMANIA RUSSIAN FEDERATION SAINT VINCENT AND THE GRENADINES SAUDI ARABIA SENEGAL SERBIA AND MONTENEGRO SIERRA LEONE SINGAPORE SOUTH AFRICA SPAIN SRI LANKA SUDAN SURINAME SWEDEN SWITZERLAND SYRIAN ARAB REPUBLIC THAILAND TUNISIA TURKEY UKRAINE UNITED KINGDOM UNITED REPUBLIC OF TANZANIA UNITED STATES URUGUAY VANUATU VENEZUELA VIETNAM YEMEN by representatives from the following Associate Members of IMO: HONG KONG, CHINA MACAO, CHINA by representatives from the following United Nations and Specialized Agencies: UNITED NATIONS (UN) UNITED NATIONS ENVIRONMENT PROGRAMME (UNEP) by observers from the following intergovernmental organizations: WORLD CUSTOMS ORGANIZATION (WCO) INTERNATIONAL HYDROGRAPHIC ORGANIZATION (IHO) EUROPEAN COMMISSION (EC) REGIONAL ORGANIZATION FOR THE PROTECTION OF THE MARINE ENVIRONMENT (ROPME) and by observers from the following non-governmental organizations: INTERNATIONAL CHAMBER OF SHIPPING (ICS) INTERNATIONAL ORGANIZATION FOR STANDARDIZATION (ISO) INTERNATIONAL UNION OF MARINE INSURANCE (IUMI) INTERNATIONAL CONFEDERATION OF FREE TRADE UNIONS (ICFTU) INTERNATIONAL ASSOCIATION OF MARINE AIDS TO NAVIGATION AND LIGHTHOUSE AUTHORITIES (IALA) INTERNATIONAL ASSOCIATION OF PORTS AND HARBORS (IAPH) BIMCO INTERNATIONAL ASSOCIATION OF CLASSIFICATION SOCIETIES (IACS) OIL COMPANIES INTERNATIONAL MARINE FORUM (OCIMF) INTERNATIONAL MARITIME PILOTS ASSOCIATION (IMPA) FRIENDS OF THE EARTH INTERNATIONAL (FOEI) INTERNATIONAL ASSOCIATION OF THE INSTITUTES OF NAVIGATION (IAIN) INTERNATIONAL FEDERATION OF SHIPMASTERS' ASSOCIATIONS (IFSMA)

5 - 5 - MEPC 50/3 ASSOCIATION OF EUROPEAN SHIPBUILDERS AND SHIPREPAIRERS (AWES) INTERNATIONAL ASSOCIATION OF INDEPENDENT TANKER OWNERS (INTERTANKO) INTERNATIONAL TANKER OWNERS POLLUTION FEDERATION LIMITED (ITOPF) INTERNATIONAL ROAD TRANPORT UNION (IRU) GREENPEACE INTERNATIONAL INTERNATIONAL ASSOCIATION OF DRY CARGO SHIPOWNERS (INTERCARGO) INTERNATIONAL MARITIME LECTURERS ASSOCIATION (IMLA) WORLD WIDE FUND FOR NATURE (WWF) THE INSTITUTE OF MARINE ENGINEERING, SCIENCE AND TECHNOLOGY (IMarEST) INTERNATIONAL PARCEL TANKERS ASSOCIATION (IPTA) INTERNATIONAL SAILING FEDERATION (ISAF) INTERNATIONAL MARINE CONTRACTORS ASSOCIATION (IMCA) WORLD NUCLEAR TRANSPORT INSTITUTE (WNTI) INTERNATIONAL HARBOUR MASTERS ASSOCIATION (IHMA) ROYAL INSTITUTION OF NAVAL ARCHITECTS (RINA) 1.3 The Chairman of the Maritime Safety Committee (MSC), Mr. T. Allan (United Kingdom); the Chairman of the Legal Committee (LEG), Mr. A. H. E. Popp (Canada); the Chairman of the Technical Co-operation Committee (TCC), Captain M.U. Ahmed (Bangladesh); the Chairman of the Facilitation Committee (FAL), Mr. C. Abela (Malta); the Chairman of the Sub-Committee on Bulk Liquids and Gases (BLG), Mr. Z. Alam (Singapore); the Chairman of the Sub-Committee on Ship Design and Equipment (DE), Mr. I.M. Ponomarev (Russian Federation) and the Chairman of the Sub-Committee on Fire Protection (FP), Mr. K. Yoshida (Japan) were also present. The Secretary-General s opening remarks 1.4 The Secretary-General welcomed participants and stated that MEPC 50 had been arranged at the earliest possible time allowed under the procedural requirements of the MARPOL Convention with a view to consideration for adoption of new amendments to MARPOL Annex I under the provisions of Article 16 of the Convention. 1.5 The Secretary-General referred to the swift actions he took in the aftermath of the Prestige incident to ensure that IMO could respond promptly to any measures that might be needed, including visits to the then President of the EU Transport Ministers Council and the EU Transport Commissioner and communications with the flag State, coastal States and the classification society concerned. He also reactivated the Group of Experts to investigate the impact of the proposed measures, taking into account all aspects such as capacities of the shipbuilding and ship recycling industries, the economy of the tanker industry, commercial interests and the effects on the supply of oil by sea transportation. 1.6 The Secretary-General urged all delegations to work together so as to provide global solutions to the problems and encouraged them to search for realistic, pragmatic and well-balanced answers to the questions raised, so that any decisions they might take would not create adverse repercussions.

6 The Secretary-General stressed that shipping is an international industry serving the overwhelming percentage of global trade and the world economy and it is vital that any safety, security and pollution prevention and control standards affecting the industry must be developed and adopted by the international community through IMO. 1.8 The Secretary-General called on all delegations to work together to ensure the success of this extra session of the Committee so that the global regulatory framework established under the MARPOL Convention would not be violated. Credentials 1.9 The Committee noted the report of the Secretary-General that credentials of the delegations were in due and proper order. 2 CONSIDERATION AND ADOPTION OF AMENDMENTS TO MARPOL 73/ The Committee recalled that, in the wake of Prestige incident, the 15 Member States of the European Union and the European Commission submitted to MEPC 49 (14 to 18 July 2003) proposed amendments to MARPOL Annex I calling for further acceleration of the phase-out schedule for single-hull tankers, a ban on the carriage of heavy grades of oil by single-hull tankers and an extended application of the Condition Assessment Scheme. 2.2 The Committee further recalled that the proposed amendments had been circulated by the Secretary-General of the Organization, in accordance with article 16(2)(a) of the MARPOL Convention, under cover of Circular letter No of 10 April The Committee noted that MEPC 49 considered the proposed amendments (MEPC 49/16/1) and, after extensive discussion, it developed a revised draft text of amendments to regulation 13G and a draft new regulation 13H of MARPOL Annex I, which deal with the phase-out of existing single-hull tankers and requirements for tankers when carrying heavy grades of oil. The Committee also developed a draft text of consequential amendments to the Condition Assessment Scheme. The basic texts of the proposed amendments for consideration by MEPC 50 are reproduced in document MEPC 50/ The Committee had before it 14 documents: MEPC 50/2 (Secretariat), MEPC 50/2/1 (Japan et al.), MEPC 50/2/2 (India), MEPC 50/2/3 (Russian Federation), MEPC 50/2/4 (United Kingdom), MEPC 50/2/5 (Japan), MEPC 50/2/6 (Japan), MEPC 50/2/7 (Japan), MEPC 50/2/8 (Japan), MEPC 50/2/9 (IACS), MEPC 50/2/10 (Brazil), MEPC 50/2/11 (INTERTANKO), MEPC 50/INF.2 (Secretariat), MEPC 50/INF.3 (Brazil) and MEPC 50/INF.4 (Secretariat). 2.5 In accordance with the decision by MEPC 49, the Committee, while using document MEPC 50/2 as the basis of its consideration, took into account all the submissions and the second and third reports of the Expert Group on Impact Assessment of the Proposed Amendments. 2.6 The Committee, recognizing the short time available for discussions in plenary and the importance of the proposed amendments, agreed to focus its consideration on a number of key issues in the proposed amendments to MARPOL Annex I and the Condition Assessment Scheme as identified by the Chairman of the Committee (MEPC 50/WP.1), so that the Committee could take decisions on these keys issues within the short time available and to provide clear guidance to the Drafting Group to finalize the text of amendments.

7 - 7 - MEPC 50/3 2.7 The Committee also agreed to take into account a compromise proposal submitted by Japan (MEPC 50/WP.2) providing an alternative text for the proposed amendments to regulation 13G and the new regulation 13H. 2.8 The delegation of Japan stated that: (a) it in principle supports the proposals on the further acceleration of the phase-out of single hull tankers, a ban on the carriage of heavy grade oil by single hull tankers and an extended application of the Condition Assessment Scheme; (b) considers it necessary to take into account that an immediate ban on the carriage of heavy grade oil gives serious problems to the trade of heavy grade oil in some countries; and (c) strongly desires that all efforts should be made at IMO to achieve the solutions which are agreeable for all Member States. 2.9 The Committee decided to deal first with proposed amendments to regulation 13G, followed by the proposed new regulation 13H, and then consequential amendments to the Condition Assessment Scheme (CAS). 3 DISCUSSIONS ON MONDAY, 1 DECEMBER 2003 Proposed amendments to regulation 13G - Phase-out for Category 2 and Category 3 oil tankers 3.1 The Committee focused its debate on the following issues as identified in document MEPC 50/WP.1 (with reference to document MEPC 50/2, annex 1):.1 square brackets in paragraph (5)(iv); should 25 years of age be set up as the deadline for double-bottomed or double-sided vessels phase-out, or 2015 or 25 years of age, whichever is the earlier date?.2 paragraph [(7)]: should the square brackets be lifted and, if so, which of the three alternatives of or 25 years of age does the Committee prefer?.3 paragraph (8)[(b)] on provisions for denial of port entry: should the square brackets be lifted? and.4 IACS proposal to add two short sentences to proposed amended regulations 13G(3)(b) and 13G(1)(c) should the Committee take them on board? 3.2 Following debate, the Committee:.1 recognizing that the existing regulation 13G(5)(a)(iv) that entered into force on 1 September 2002, already granted a Category 2 or 3 oil tanker continued operation until 25 years of age without any other deadline, agreed to delete the text in square brackets in paragraph (5)(iv) to the effect that the Administration may allow continued operation to an oil tanker that fulfils the conditions set out in regulation 13G(5)(i), (ii) and (iii) until 25 years after the date of its delivery;.2 agreed to delete the square brackets in paragraph (7) and decided to delete the option of [20] years of age. However it was unable to reach a decision as regards the two remaining options of [23] or [25] years after the date of delivery, or 2015 whichever is the earlier date, for the continued operation of Category 2 or Category 3 beyond the date specified in paragraph (4) of regulation 13G;

8 agreed to lift the square brackets in paragraph (8)(b) relating to denial of entry into ports or offshore terminals under the jurisdiction of a Party of those oil tankers operating in accordance with the provisions of paragraph (7) and agreed to include a mention to oil tankers operating under paragraph (5)(iv) as well. However, in the latter case, this entitlement will take effect from the anniversary of the date of delivery of the ship in 2015 only;.4 agreed to the proposals submitted in document MEPC 50/2/9 (IACS) by developing a Unified Interpretation to regulation 13G(3)(b); and secondly, the Committee further agreed on the inclusion of the expression at centreline in regulation 13G(1)(c) relating to the measurement of the vertical protection distance of double bottom tanks or spaces. Proposed new regulation 13H Carriage of Heavy Grade Oil (HGO) in single-hull tankers 3.3 The Committee focused its consideration on the following key issues as identified in document MEPC 50/WP.1 (with reference to MEPC 50/2, annex 1):.1 whether square brackets in proposed regulation 13H(1)[(a)] providing a definition for heavy crude oil should be lifted;.2 definition of HGO;.3 implementation date for the ban to carry HGO in single hulls; and.4 exemption and relaxation provisions relating to the ban to carry HGO in single hulls. Definition of heavy crude oil 3.4 Several delegations expressed the view that a definition in terms of density for crude oils that qualify as HGO was not necessary unless the threshold value for that parameter be raised to 945 kg/m 3, otherwise the setting up of a lower value would jeopardize their crude oil trades. 3.5 A number of delegations expressed the opinion that the matter could be dealt with by means of specific exemptions for specific trades, while others pointed out to the fact that the existing fleet of double-hull tankers could cope with the demand for those crude oils. 3.6 Some delegations stated that the issue could be solved by a single definition for HGO in terms of density and/or kinematic viscosity that would encompass both crude and fuel oils. 3.7 The Committee could not resolve this issue on Monday, 1 December 2003, and agreed to refer this issue to the working group convened by the Chairman of the Committee. Definition of heavy fuel oil 3.8 In the discussion of this issue, a number of delegations stressed that whatever definition was agreed it should cover the cargoes carried by the tankers Nakhokda, Erika and Prestige as it had been proved that these incidents had been most damaging to the marine environment. In this respect it was noted that the Nakhokda fuel oil cargo had a density of 959 kg/m 3 and a

9 - 9 - MEPC 50/3 viscosity of 137 mm 2 /s, and it would not be included in the definition of HGO if the conjunction and was used. 3.9 The majority of delegations supported a definition of heavy fuel oil as that having a density higher than 900 kg/m 3 at 15 C or a kinematic viscosity at 50ºC higher than 180 mm 2 /s Some delegations could also accept these same values for a single definition on HGO in case the Committee should decide that a definition of heavy crude oil was not necessary, while others could support a definition on these same terms for fuel oil only, even if heavy crude oil was deleted The Committee could not resolve this issue on Monday, 1 December 2003 and agreed to refer this matter to the working group. Implementation date for the ban to carry HGO in single-hull oil tankers 3.12 In the course of its deliberations, the Committee followed mainly document MEPC 50/WP.2 (Japan) The Committee agreed on the implementation date in 2005 for oil tankers of 5,000 DWT and above, and 2008 for oil tankers of 600 tons DWT and above, but less than 5,000 DWT. Exemption and relaxation provisions relating to the ban to carry HGO in single-hull oil tankers 3.14 The Committee was unable to reach agreement on paragraph [(5)] of proposed new regulation 13H (MEPC 50/WP.2) proposing continued operation for ships fitted with double bottoms or double sides, or double hulls that do not comply in full with the provisions of regulation 13F After an extensive debate, the Committee could not reach agreement regarding the proposed continued operation for oil tankers of 5,000 DWT and above until 2015 or 25 years of age, whichever is the earlier date, subject to compliance with the Condition Assessment Scheme under paragraph (6)(a) of the proposed new regulation 13H in document MEPC 50/WP In the discussion of these issues a number of delegations stressed that the objective was to reach an agreement providing a global solution to a global problem and this could not be achieved by granting regional or domestic exemptions to a general regulation that would see its effective implementation limited to certain parts of the world only. In the same way, the right of denial of entry into ports or terminals for oil tankers that had been allowed continued operation under other provisions of regulation 13H was not seen as a proper solution for the problem The Committee considered the proposal by the Russian Federation in document MEPC 50/2/3 to include oil tankers of 600 DWT and above, but less than 5,000 DWT, engaged on domestic voyages, in the proposed exemption for vessels carrying HGO in port traffic. A number of issues relating to the definition of domestic voyages and status of flag, port and coastal States were discussed, including the need of seeking the consent of the port or coastal State for those cases where a foreign flag oil tanker is operating in the waters of another State.

10 A statement by the delegation of the United States 3.18 The delegation of the United States informed the Committee that a preliminary legal determination indicated that the proposed new regulation 13H was not inconsistent with US domestic law. In view of this determination, the United States would be able to consider becoming a Party to that regulation provided the following procedural concerns were addressed:.1 the regulation on HGO should be completely separated from amended regulation 13G;.2 no reference should be made to regulations 13F and 13G; and.3 an appropriate arrangement be made in the covering MEPC resolution for adoption of amendments which would allow States to consider each regulation separately The delegation of the United States stressed, however, that the removal of these procedural obstacles would not guarantee ratification per se, however it would ease the way for that eventuality. Consequential amendments to the IOPP Certificate 3.20 The Committee noted document MEPC 50/2/6 (Japan) providing a draft text of consequential amendments to the IOPP Certificate Supplement (Form B) in the light of the proposed amendments to regulation 13G and new regulation 13H, and agreed to refer them to the Drafting Group. MEPC resolution on ship recycling 3.21 The Committee also noted document MEPC 50/2/5 (Japan) proposing an MEPC resolution on smooth implementation of the proposed amendments to MARPOL Annex I with regard to ship recycling, given the fact that the accelerated phase-out of single-hull tankers would entail an appreciable increase in the number of tankers to be sent to the recycling yard. The Committee agreed to request the Drafting Group to finalize the text of the proposed MEPC resolution. Early implementation of the amendments to MARPOL Annex I 3.22 The Committee noted document MEPC 50/WP.6 (Canada, Cyprus and Denmark) proposing the adoption of an MEPC resolution requesting early and effective implementation of the proposed amendments to MARPOL Annex I prior to their entry into force on 5 April The Committee agreed to refer the text of the draft MEPC resolution to the Drafting Group on the understanding that the decision on its eventual adoption would be taken in plenary on Thursday, 4 December 2003.

11 MEPC 50/3 CONSEQUENTIAL AMENDMENTS TO CAS Informal contact group on CAS 3.24 The Committee recalled that MEPC 49 accepted an offer by the United Kingdom to host an informal contact group in the intersessional period in order to progress the work in the limited time available before MEPC 50. The main issues identified in the report of the informal contact group (MEPC 50/2/4) are listed in document MEPC 50/WP.1, paragraphs 3.1 to The Committee noted that, since the submission of document MEPC 50/2/4, a number of comments and proposals on the draft CAS amendments had been raised and that in order to resolve these outstanding issues a drafting group was convened, under the auspices of the informal contact group, on 27 and 28 November The Committee considered the report of the drafting group of the informal contact group, as contained in document MEPC 50/WP.3, and generally endorsed the revised text of amendments for further review by the drafting group. Draft text of regulation 13G(6) 3.27 The Committee, taking into account that in accordance with the proposed CAS amendments the CAS under regulation 13G(6) should be regarded as a normal survey requirement, similar to Enhanced Survey Programme (ESP) under SOLAS, rather than conditions for the life extension, agreed with the recommendation of the group that the text of regulation 13G(6) should be amended as proposed in paragraph 6 of document MEPC 50/WP.3. Harmonization of the survey regime 3.28 The delegation of the Bahamas stated that in accordance with the present proposal for the extension of the application of CAS requirements, CAS could, in effect, amount to a repeated periodic survey, in contrast with the original CAS concept, which was originally developed as a once in a lifetime exercise. The Bahamas expressed the opinion that this extension introduces a change in the survey philosophy and that the CAS amendments proposed on this occasion were, in effect, a switch to a survey regime as a part of SOLAS. Therefore, it was proposed that the Committee should refer the proposed amendments to CAS to the Maritime Safety Committee for more detailed consideration, taking into account the need to avoid unnecessary duplication and inconsistencies in the survey regime The delegation of Panama, in supporting the views expressed by the Bahamas, was of the opinion that the proposed new CAS scheme could, in imposing heavy survey and administrative burdens, face difficulties due to shortage of human resources and related expertise. The delegation stressed the need to avoid the situation where requirements for the survey of the structural condition of the ship exist in two separate conventions and discussions for the same issue were held under two separate committees The Committee, having noted the above-mentioned concerns, recalled that the proposed amendments to CAS were consequential to the proposed amendments to regulation 13G and agreed that, in order to enable the CAS extended application from 2005 to Category 2 and Category 3 tankers of 15 years of age and above, the proposed amendments should be considered for adoption at this session.

12 Regarding the repercussions that the CAS amendments may have on the ESP, the Committee agreed that further work should be carried out aiming at the harmonization of the survey regime and, in that respect, the Committee recalled operative paragraph 5 of resolution MEPC.94(46) urging the Maritime Safety Committee to consider introducing and incorporating relevant elements and provisions of the Condition Assessment Scheme in the Guidelines on the Enhanced Programme of Inspections During Surveys of Bulk Carriers and Oil Tankers, adopted by resolution A.744(18), as amended, when reviewing the Guidelines. Future work on CAS 3.32 With regard to future work on CAS, the delegation of Japan stated that there was a need to further improve the provisions of the CAS in order to minimize or eliminate major hull failures of oil tankers due to poor maintenance and, to that effect, Japan informed the Committee of its intention to submit to MEPC 51 appropriate proposals, as outlined in document MEPC 50/2/8. Establishment of the Drafting Group 3.33 The Committee, having considered all the above issues, established a drafting group with the following terms of reference: Taking into account all relevant documents, comments, proposals, the decisions made at plenary and the outcome of the working group convened by the Chairman of the Committee,.1 to finalize the proposed amendments to regulation 13G, new regulation 13H and consequential amendments to Form B of the Supplement to the IOPP Certificate of MARPOL Annex I and to prepare a draft MEPC resolution on their adoption;.2 to review the draft text of the CAS amendments as contained in the annex to MEPC 50/WP.3, in order to incorporate any necessary consequential changes after the finalization of revised regulation 13G and new regulation 13H;.3 to finalize the text of the MEPC resolution on ship recycling;.4 to review the draft MEPC resolution on early implementation of amendments to MARPOL Annex I; and.5 to provide a written report to the plenary on Thursday, 4 December DECISIONS ON THURSDAY, 4 DECEMBER The Committee noted that the working group convened by the Chairman of the Committee, which met on 2 and 3 December 2003, was successful and managed to reach a compromise solution for measures on prohibition of the carriage of heavy grade of oil by single hull tankers, which was subsequently passed to the drafting group for incorporation into the text of new regulation 13H.

13 MEPC 50/3 4.2 Having received the report of the drafting group (MEPC 50/WP.4) the Committee,.1 considered the original and alternative texts for paragraph 13H(4)(b) and agreed to delete the square brackets and keep the text of the alternative text; and.2 considered the text in square brackets in regulation 13H(8)(b) and agreed to delete the square brackets and keep the text. 4.3 With regard to the decision by the Committee referred to in above, the Committee agreed with the view of the United States, supported by Singapore and Panama, that the provisions in paragraph (8)(b) of new regulation 13H of MARPOL Annex I should not be construed to limit the rights of Parties to take other measures or impose additional conditions of entry into ports and offshore terminals under their jurisdiction, consistent with international law. 4.4 With regard to the draft MEPC resolution on adoption of amendments to CAS, the Committee noted the view that operative paragraph 6 which invites the Maritime Safety Committee to note the amendments to CAS should be supplemented with additional wording so that the MSC be urged to consider introducing and incorporating relevant provisions of CAS into ESP under SOLAS. The Committee agreed to request interested delegations to meet and prepare a suitable text for consideration by the Committee. 4.5 Having reviewed the additional text for the MEPC resolution on adoption of amendments to CAS, the Committee agreed to add new operative paragraphs 7 and 8 as follows in the text of the said resolution: 7. URGES the Maritime Safety Committee to undertake, as a matter of priority, a review of the Guidelines on the Enhanced Programme of Inspections During Surveys of Bulk Carriers and Oil Tankers (the Guidelines), adopted by resolution A.744(18) as amended, for the purpose of introducing and incorporating relevant elements and provisions of the Condition Assessment Scheme in the Guidelines, so as to ensure that oil tankers required to comply with the provisions of the Condition Assessment Scheme will be subject to a single and harmonized survey and inspection regime; and 8. AGREES that the Committee will undertake, as soon as the Maritime Safety Committee has incorporated relevant elements and provisions of the Condition Assessment Scheme into the Guidelines, to carry out the necessary review of the Condition Assessment Scheme and, if needed, of the provisions of regulations 13G and 13H of Annex I of MARPOL 73/78 related thereto with a view to ensuring that oil tankers required to comply with the provisions of the Condition Assessment Scheme will be subject to a single and harmonized survey and inspection regime as adopted by the Maritime Safety Committee. 4.6 In considering paragraph of the amendments to CAS, the Committee agreed to amend that paragraph as follows: oil tankers of 5,000 tons deadweight and above, and of 15 years of age and over after the date of delivery of the ship, carrying crude oil as cargo having a density at 15ºC higher than 900 kg/m 3 but lower than 945 kg/m 3 in accordance with regulation 13H(6)(a)

14 With regard to the draft MEPC resolution on early and effective application of the amendments to Annex I of MARPOL 73/73 (MEPC 50/WP.4, annex 4), the Committee, after an extensive exchange of views, decided to delete the last preambular paragraph and redraft the three operative paragraphs as follows: 1. INVITES Parties to MARPOL 73/78 to consider the application of the aforesaid amendments to Annex I of MARPOL 73/78 as soon as practically possible to ships entitled to fly their flag; 2. INVITES ALSO the maritime industry to implement the aforesaid amendments to Annex I of MARPOL 73/78 as soon as possible; and 3. INVITES FURTHER Parties to MARPOL 73/78 who implement the aforesaid amendments to Annex I of MARPOL 73/78 with respect to ships entitled to fly their flag before the expected entry into force date of the amendments to communicate their action to the Organization. 4.8 Having resolved the above issues, the Committee, by consensus,.1 adopted the amendments to regulation 13G, new regulation 13H and consequential amendments to the IOPP Certificate of MARPOL Annex I by resolution MEPC.111(50), as set out in annex 1;.2 adopted the amendments to the Condition Assessment Scheme by resolution MEPC.112(50), as set out in annex 2;.3 adopted resolution MEPC.113(50) on ship recycling for the smooth implementation of the amendments to Annex I of MARPOL 73/78, as set out in annex 3;.4 adopted resolution MEPC.114(50) on early and effective application of the amendments to Annex I of MARPOL 73/78, as set out in annex 4; and.5 approved a new Unified Interpretation 4.12A for regulation 13G(3)(b) of Annex I of MARPOL 73/78, as set out in annex The United States reserved its position with regard to the amendments adopted by resolutions MEPC.111(50) and MEPC.112(50) The delegation of Japan stated that Japan could accept new regulation 13H in the spirit of compromise, but has concern about the inclusion of exemption provisions on oil tankers engaged in domestic trades. Such exemption provisions would have such effect that while oil tankers in domestic trade may be of single hull construction, those engaged in trades to neighbouring countries must be of double hull construction. These provisions would not be in line with the policy of Japan that small oil tankers carrying heavy grade oil as cargo should gradually be phased out and replaced with double hull tankers The delegation of the Russian Federation, inter alia, invited the attention of the Committee to the fact that, before the entry into force on 5 April 2005 of the adopted amendments to MARPOL 73/78, all MARPOL Parties will continue being bound by the existing

15 MEPC 50/3 MARPOL provisions and therefore, no Party to MARPOL 73/78 will be entitled to deny entry into its ports for reasons other than those stipulated by the MARPOL 73/78 provisions in force The Committee authorized the Secretariat to effect appropriate correction in the text of the adopted amendments if any inadvertent errors are identified during the preparation of the authentic text of the amendments As requested, the statements by the delegations of Italy, Cyprus, Malta and Poland after adoption of the amendments to MARPOL Annex I are attached at annex 6. 5 COMMEMORATIVE SESSION 5.1 On Thursday morning, 4 December 2003, the Committee held a Commemorative Session to mark its fiftieth session and celebrate the successful operation of the MEPC over the last three decades under the theme MEPC Past, Present and Future. 5.2 Previous Chairmen of the Committee were invited to the Commemorative Session. Mr. Per Eriksson, Dr. Jim Cowley and Mr. Pieter Bergmeijer participated and addressed the Committee. Mr. Sid Wallace and Mr. Michael Julian sent messages. 5.3 Mr. Yoshio Sasamura spoke on behalf of previous Secretaries of the Committee and Mr. Chris Horrocks delivered a speech on behalf of the shipping industry. 5.4 In his concluding remarks, the Secretary-General stated that the MEPC has been successful in many ways in taking responsibilities for preventing and controlling ship-generated pollution and identified the following three reasons for the success: Firstly, IMO and the MEPC have managed to keep all environmental issues surrounding ships within the authority of IMO; Secondly, the MEPC has provided practical solutions to environmental issues and this has only been possible because the Committee has enjoyed good co-operation and strong support from the shipping industry; and Thirdly, the MEPC has managed to establish a single global regulatory framework. MARPOL has been ratified by a vast number of countries, covering 96% of the world fleet by tonnage, and the MEPC is truly acting as a single international forum ensuring global control over aspects of the design, construction, equipment and operation of ships, where they relate to environmental protection. He finally stated that the MEPC was established on the basis of the idea that comprehensive authority for regulating pollution from vessels under international conventions must be vested in a single international organization, and the MEPC has progressed well in performing its expected function in the international community. He congratulated the Committee and all who have been involved in the activities of the MEPC and wished all a successful continuation of the work of the Committee in fulfilling the role expected by the international community in its future endeavours.

16 ANY OTHER BUSINESS Interpretation of regulation 13G of MARPOL Annex I concerning conversion 6.1 During the course of discussion on the proposed amendments to regulation 13G of MARPOL Annex I, the Committee considered a question raised by the delegation of the United States concerning interpretation of the regulation as follows: "If a single-hull oil tanker is built before the dates specified in regulation 13F(1)(a), (b) or (c) of Annex I of MARPOL 73/78 and undergoes a major conversion before the dates specified in 13F(1)(d) of that Annex, would the date upon which this single-hull tanker must have a double hull under regulation 13G be based upon the original date of build or the date of the major conversion?" 6.2 The Committee, after a brief exchange of views, decided to consider the matter further at MEPC 51. The delegation of the Marshall Islands offered to submit a document to MEPC 51 for consideration. Expected date of entry into force of the revised MARPOL Annex II 6.3 The Committee noted that the report of MEPC 49 indicated that, since MARPOL Annex I and Annex II relate to each other, the revised Annex II should be circulated together with the revised Annex I after MEPC 51 with a view to simultaneous adoption at MEPC 52 in October 2004, so that both new Annexes could enter into force in February The Committee considered the matter and agreed that expected entry into force date of the revised MARPOL Annex II should be set on 1 January Expression of appreciation 6.5 The Committee expressed deep appreciation to the Secretary-General for his consistent strong support for the work of the Committee. The Secretary-General s guidance helped the Committee to deal with successfully some of the most difficult issues in the history of IMO, including amendments to MARPOL Annex I in the wake of Erika and Prestige. The Committee wished the Secretary-General a long and happy retirement. 6.6 The Committee also expressed deep appreciation to Mr. A. Chrysostomou (Chairman of the Committee), to Mr. G. Mapplebeck (Chairman of the Drafting Group), to Mr. D. Rowe (Chairman of the informal contact group on CAS), to Mr. Y. Sasamura and Mr. N. Charalambous who chaired various drafting sessions, and to all delegates who worked hard and co-operatively to bring MEPC 50 to a successful conclusion. 6.7 The Committee further expressed deep appreciation to Captain (H.C.G.) D. Fokas (Greece) for his valuable contribution to the work of the Committee as a delegate to the Committee over many years and wished him well in his new post with the European Maritime Safety Agency. ***

17 ANNEX 1 RESOLUTION MEPC.111(50) adopted on 4 December 2003 AMENDMENTS TO THE ANNEX OF THE PROTOCOL OF 1978 RELATING TO THE INTERNATIONAL CONVENTION FOR THE PREVENTION OF POLLUTION FROM SHIPS, 1973 (Amendments to regulation 13G, addition of new regulation 13H and consequential amendments to the IOPP Certificate of Annex I of MARPOL 73/78) THE MARINE ENVIRONMENT PROTECTION COMMITTEE, RECALLING article 38(a) of the Convention on the International Maritime Organization concerning the functions of the Marine Environment Protection Committee (the Committee) conferred upon it by international conventions for the prevention and control of marine pollution, NOTING article 16 of the International Convention for the Prevention of Pollution from Ships, 1973 (hereinafter referred to as the 1973 Convention ) and article VI of the Protocol of 1978 relating to the International Convention for the Prevention of Pollution from Ships, 1973 (hereinafter referred to as the 1978 Protocol ) which together specify the amendment procedure of the 1978 Protocol and confer upon the appropriate body of the Organization the function of considering and adopting amendments to the 1973 Convention, as modified by the 1978 Protocol (MARPOL 73/78), HAVING CONSIDERED the proposed amendments to regulation 13G and consequential amendments to the Supplement (Form B) of the IOPP Certificate of Annex I to MARPOL 73/38, HAVING ALSO CONSIDERED the proposed new regulation 13H of Annex I to MARPOL 73/78, 1. ADOPTS, in accordance with article 16(2)(d) of the 1973 Convention, the amendments to Annex I of MARPOL 73/78, the text of which is set out at annexes 1, 2, 3 and 4 to the present resolution, each of which being subject to separate consideration by the Parties pursuant to Article 16(2)(f)(ii) of the 1973 Convention; 2. DETERMINES, in accordance with article 16(2)(f)(iii) of the 1973 Convention, that the amendments shall be deemed to have been accepted on 4 October 2004, unless prior to that date, not less than one-third of the Parties or Parties the combined merchant fleets of which constitute not less than 50 per cent of the gross tonnage of the world s merchant fleet, have communicated to the Organization their objection to the amendments; 3. INVITES the Parties to note that, in accordance with article 16(2)(g)(ii) of the 1973 Convention, the said amendments shall enter into force on 5 April 2005 upon their acceptance in accordance with paragraph 2 above;

18 ANNEX 1 Page 2 4. REQUESTS the Secretary-General, in conformity with article 16(2)(e) of the 1973 Convention, to transmit to all Parties to MARPOL 73/78 certified copies of the present resolution and the text of the amendments contained in the annexes; and 5. REQUESTS FURTHER the Secretary-General to transmit to the Members of the Organization which are not Parties to MARPOL 73/78 copies of the present resolution and its annexes.

19 ANNEX 1 Page 3 ANNEX 1 AMENDMENTS TO ANNEX 1 OF MARPOL 73/78 The existing regulation 13G is replaced by the following: Regulation 13G Prevention of accidental oil pollution - Measures for existing oil tankers (1) Unless expressly provided otherwise this regulation shall: (a) (b) (c) apply to oil tankers of 5,000 tons deadweight and above, which are contracted, the keels of which are laid, or which are delivered before the dates specified in regulation 13F(1) of this Annex; and not apply to oil tankers complying with regulation 13F of this Annex, which are contracted, the keels of which are laid, or are delivered before the dates specified in regulation 13F(1) of this Annex; and not apply to oil tankers covered by subparagraph (a) above which comply with regulation 13F(3)(a) and (b) or 13F(4) or 13F(5) of this Annex, except that the requirement for minimum distances between the cargo tank boundaries and the ship side and bottom plating need not be met in all respects. In that event, the side protection distances shall not be less than those specified in the International Bulk Chemical Code for type 2 cargo tank location and the bottom protection distances at centreline shall comply with regulation 13E(4)(b) of this Annex. (2) For the purpose of this regulation: (a) (b) Heavy diesel oil means diesel oil other than those distillates of which more than 50 per cent by volume distils at a temperature not exceeding 340ºC when tested by the method acceptable to the Organization 1. Fuel oil means heavy distillates or residues from crude oil or blends of such materials intended for use as a fuel for the production of heat or power of a quality equivalent to the specification acceptable to the Organization 2. (3) For the purpose of this regulation, oil tankers are divided into the following categories: (a) (b) Category 1 oil tanker means an oil tanker of 20,000 tons deadweight and above carrying crude oil, fuel oil, heavy diesel oil or lubricating oil as cargo, and of 30,000 tons deadweight and above carrying oil other than the above, which does not comply with the requirements for new oil tankers as defined in regulation 1(26) of this Annex; Category 2 oil tanker means an oil tanker of 20,000 tons deadweight and above carrying crude oil, fuel oil, heavy diesel oil or lubricating oil as cargo, and of 30,000 tons deadweight and above carrying oil other than the above, which 1 Refer to the American Society for Testing and Material s Standard Test Method (Designation D86). 2 Refer to the American Society for Testing and Material s Specification for Number Four Fuel Oil (Designation D396) or heavier.

20 ANNEX 1 Page 4 complies with the requirements for new oil tankers as defined in regulation 1(26) of this Annex; and (c) Category 3 oil tanker means an oil tanker of 5,000 tons deadweight and above but less than that specified in subparagraph (a) or (b) of this paragraph. (4) An oil tanker to which this regulation applies shall comply with the requirements of regulation 13F of this Annex not later than 5 April 2005 or the anniversary of the date of delivery of the ship on the date or in the year specified in the following table: Category of oil tanker Category 1 Category 2 and Category 3 Date or year 5 April 2005 for ships delivered on 5 April 1982 or earlier 2005 for ships delivered after 5 April April 2005 for ships delivered on 5 April 1977 or earlier 2005 for ships delivered after 5 April 1977 but before 1 January for ships delivered in 1978 and for ships delivered in 1980 and for ships delivered in for ships delivered in for ships delivered in 1984 or later (5) Notwithstanding the provisions of paragraph (4) of this regulation, in the case of a Category 2 or 3 oil tanker fitted with only double bottoms or double sides not used for the carriage of oil and extending to the entire cargo tank length or double hull spaces which are not used for the carriage of oil and extend to the entire cargo tank length, but does not fulfill conditions for being exempted from the provisions of paragraph (1)(c) of this regulation, the Administration may allow continued operation of such a ship beyond the date specified in paragraph (4) of this regulation, provided that: (a) the ship was in service on 1 July 2001; (b) (c) (d) the Administration is satisfied by verification of the official records that the ship complied with the conditions specified above; the conditions of the ship specified above remain unchanged; and such continued operation does not go beyond the date on which the ship reaches 25 years after the date of its delivery. (6) A Category 2 or 3 oil tanker of 15 years and over after the date of its delivery shall comply with the Condition Assessment Scheme adopted by the Marine Environment Protection Committee by resolution MEPC.94 (46), as may be amended, provided that such amendments shall be adopted, brought into force and take effect in accordance with the provisions of article 16 of the present Convention relating to amendment procedures applicable to an appendix to an Annex. (7) The Administration may allow continued operation of a Category 2 or 3 oil tanker beyond the date specified in paragraph (4) of this regulation, if satisfactory results of the Condition Assessment Scheme warrant that, in the opinion of the Administration, the ship is fit to continue such operation, provided that the operation shall not go beyond the anniversary of the date of delivery of the ship in 2015 or the date on which the ship reaches 25 years after the date of its delivery, whichever is the earlier date.

21 ANNEX 1 Page 5 (8) (a) The Administration of a Party to the present Convention which allows the application of paragraph (5) of this regulation, or allows, suspends, withdraws or declines the application of paragraph (7) of this regulation, to a ship entitled to fly its flag shall forthwith communicate to the Organization for circulation to the Parties to the present Convention particulars thereof, for their information and appropriate action, if any. (b) A Party to the present Convention shall be entitled to deny entry into the ports or offshore terminals under its jurisdiction of oil tankers operating in accordance with the provisions of : (i) (ii) paragraph (5) of this regulation beyond the anniversary of the date of delivery of the ship in 2015; or paragraph (7) of this regulation. In such cases, that Party shall communicate to the Organization for circulation to the Parties to the present Convention particulars thereof for their information.

22 ANNEX 1 Page 6 ANNEX 2 AMENDMENTS TO ANNEX I OF MARPOL 73/78 The following new regulation is added after regulation 13G: Regulation 13H Prevention of oil pollution from oil tankers carrying heavy grade oil as cargo (1) This regulation shall: (a) (b) apply to oil tankers of 600 tons deadweight and above carrying heavy grade oil as cargo regardless of the date of delivery; and not apply to oil tankers covered by subparagraph (a) above which comply with regulation 13F(3)(a) and (b) or 13F(4) or 13F(5) of this Annex, except that the requirement for minimum distances between the cargo tank boundaries and the ship side and bottom plating need not be met in all respects. In that event, the side protection distances shall not be less than those specified in the International Bulk Chemical Code for type 2 cargo tank location and the bottom protection distances at centreline shall comply with regulation 13E(4)(b) of this Annex. (2) For the purpose of this regulation heavy grade oil means any of the following: (a) crude oils having a density at 15ºC higher than 900 kg/m 3 ; (b) (c) fuel oils having either a density at 15 o C higher than 900 kg/m 3 or a kinematic viscosity at 50 o C higher than 180 mm 2 /s; bitumen, tar and their emulsions. (3) An oil tanker to which this regulation applies shall comply with the provisions of paragraphs (4) to (8) of this regulation in addition to complying with the applicable provisions of regulation 13G. (4) Subject to the provisions of paragraphs (5), (6) and (7) of this regulation, an oil tanker to which this regulation applies shall: (a) (b) if 5,000 tons deadweight and above, comply with the requirements of regulation 13F of this Annex not later than 5 April 2005; or if 600 tons deadweight and above but less than 5,000 tons deadweight, be fitted with both double bottom tanks or spaces complying with the provisions of regulation 13F(7)(a) of this Annex, and wing tanks or spaces arranged in accordance with regulation 13F(3)(a) and complying with the requirement for distance w as referred to in regulation 13F(7)(b), not later than the anniversary of the date of delivery of the ship in the year (5) In the case of an oil tanker of 5,000 tons deadweight and above, carrying heavy grade oil as cargo fitted with only double bottoms or double sides not used for the carriage of oil and extending to the entire cargo tank length or double hull spaces which are not used for the carriage

23 ANNEX 1 Page 7 of oil and extend to the entire cargo tank length, but does not fulfil conditions for being exempted from the provisions of paragraph (1)(b) of this regulation, the Administration may allow continued operation of such a ship beyond the date specified in paragraph (4) of this regulation, provided that: (a) the ship was in service on 4 December 2003; (b) (c) (d) the Administration is satisfied by verification of the official records that the ship complied with the conditions specified above; the conditions of the ship specified above remain unchanged; and such continued operation does not go beyond the date on which the ship reaches 25 years after the date of its delivery. (6) (a) The Administration may allow continued operation of an oil tanker of 5,000 tons deadweight and above, carrying crude oil having a density at 15ºC higher than 900 kg/m 3 but lower than 945 kg/m 3, beyond the date specified in paragraph (4)(a) of this regulation, if satisfactory results of the Condition Assessment Scheme referred to in regulation 13G(6) warrant that, in the opinion of the Administration, the ship is fit to continue such operation, having regard to the size, age, operational area and structural conditions of the ship and provided that the operation shall not go beyond the date on which the ship reaches 25 years after the date of its delivery. (b) The Administration may allow continued operation of an oil tanker of 600 tons deadweight and above but less than 5,000 tons deadweight, carrying heavy grade oil as cargo, beyond the date specified in paragraph (4)(b) of this regulation, if, in the opinion of the Administration, the ship is fit to continue such operation, having regard to the size, age, operational area and structural conditions of the ship, provided that the operation shall not go beyond the date on which the ship reaches 25 years after the date of its delivery. (7) The Administration of a Party to the present Convention may exempt an oil tanker of 600 tons deadweight and above carrying heavy grade oil as cargo from the provisions of this regulation if the oil tanker: (a) (b) either is engaged in voyages exclusively within an area under its jurisdiction, or operates as a floating storage unit of heavy grade oil located within an area under its jurisdiction; or either is engaged in voyages exclusively within an area under the jurisdiction of another Party, or operates as a floating storage unit of heavy grade oil located within an area under the jurisdiction of another Party, provided that the Party within whose jurisdiction the oil tanker will be operating agrees to the operation of the oil tanker within an area under its jurisdiction. (8) (a) The Administration of a Party to the present Convention which allows, suspends, withdraws or declines the application of paragraphs (5), (6) or (7) of this regulation to a ship entitled to fly its flag shall forthwith communicate to the Organization for circulation to the Parties to the present Convention particulars thereof, for their information and appropriate action, if any.