Update on Ballast Water Management
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1 Latin American Panel October 4, 2017 Update on Ballast Water Management JOSEPH ANGELO Director, Regulatory Affairs and the Americas
2 Ballast Water Management International IMO United States Coast Guard EPA
3 Ballast Water Management INTERTANKO Desired Outcome for Ballast Water Management: Tanker industry is able to achieve compliance with current and future discharge standards (both regionally and internationally) Focus: 1. Installation and Operation of appropriate and adequate ballast water management systems 2. Compliance and enforcement need strong, well defined and realistic international regulations
4 Ballast Water Management IMO IMO Ballast Water Management Convention Adopted in 2004 Entry into force requires ratification by 30 countries, 35% world s grt Finland ratifies on September 8, 2016 bringing totals to 52 countries, % grt. Convention will enter into force on September 8, 2017 Currently 65 countries representing 73.92% have ratified the BWM convention
5 Ballast Water Management IMO Main Concerns with IMO BWM Convention 1. Guidelines for approval of ballast water management systems (G8) not robust enough to provide reliable equipment 2. Availability of Ballast Water Management Systems (BWMS) to meet convention implementation schedule unrealistic 3. Procedures for port State control more onerous than type approval
6 Ballast Water Management IMO Port State Control MEPC 65 (May 2013) Trial Period (initially for 3 years) following entry into force To trial sampling and testing procedures During this period, port states will refrain from detaining a ship or initiating criminals sanctions in the event a BWMS does not meet the discharge standard (USA reserves its position) MEPC 67 (Oct 2014) adopts Guidelines for PSC with four stage approach
7 Ballast Water Management IMO IMO Guidelines for PSC Stage 1 Initial inspection. Focus on documentation and crew training to operate BWMS If there are clear grounds Stage 2 More detailed inspection. Check to ensure that BWMS operates properly Stage 3 Indicative sampling. Without unduly delaying ship, an indicative analysis of ballast water can be taken Stage 4 Detailed analysis. If indicative sampling exceeds D2 standard by a certain threshold, a detailed analysis of ballast water can be taken
8 Ballast Water Management IMO BWMS Type Approvals 69 BWMS have IMO Type Approval under G8 guidelines Comprehensive review of G8 guidelines completed in October at MEPC 70 Roadmap for non-penalization of early-movers agreed at MEPC 70 owners who ve installed BWMS approved to current G8 guidelines should not be penalized.
9 Ballast Water Management IMO Revised G8 guidelines 1. Revised Type Approval Guidelines (G8) approved 2. Agreed to make the Revised G8 Guidelines mandatory through a Code 3. MEPC Resolution agreed with time line for use of the Revised G8 Guidelines: - Administrations to use Revised G8 immediately and not later than 28 Oct All BWMS installed after 28 Oct 2020 to be approved under Revised G8
10 Ballast Water Management IMO Roadmap for non-penalization of early movers Installed BWMS approved to the current type approval guidelines should not be required to be replaced once the new guidelines are introduced If current BWMS are installed, maintained and operated correctly then they should not be required to be replaced for the life of the ship or the BWMS, whichever comes first, due to occasional lack of efficacy Early movers should not be penalized (sanctioned, warned, detained or excluded) solely due to occasional exceedance of BWMS (D-2) standard Footnote: non-penalization may be subject to review as additional information becomes available
11 Ballast Water Management IMO Implementation schedule (availability of BWMS) IMO Assembly Resolution (A.1088(28)) adopted, Dec 4, 2013 recommends governments: implement the Convention based on the entry into force date of the Convention considers ALL vessels constructed (keel laid) before entry into force as existing vessels existing vessels to install a BWMS at the first renewal survey (IOPP Certificate under Annex I of MARPOL) after entry into force of the Convention
12 Ballast Water Management IMO MEPC 70 (October 2016) considered two proposals related to the implementation schedule in IMO Assembly Resolution (A.1088(28)) 1. Liberia extend the date to install a BWMS to the second renewal survey (IOPP Certificate under Annex I of MARPOL) after entry into force of the Convention, subject to further review. Until then, conduct ballast water exchange with 99% efficiency. 2. Shipping industry allow date to be adjusted until revised G8 technology is available.
13 Ballast Water Management IMO Implementation Schedule Objective of both proposals is to extend implementation schedule dates Slight majority of member States spoke in favour of amending the implementation schedule Alternative implementation schedule developed and will be considered along with A.1088(28) at MEPC 71 (July 2017) A.1088 implementation begins Sept 8, 2017 Alternate schedule implementation begins Sept 8, 2019
14 Ballast Water Management IMO Implementation Schedule MEPC 71 Option 1 A.1088: implementation for new buildings and existing ships begins Sept 8, 2017 (Japan) Option 2 MEPC 70 alternative: implementation for new buildings and existing ships begins Sept 8, 2019 (China and Greece) Option 3 Compromise proposal: Sept 8, 2017 for new ships constructed on or after this date, Sept 8, 2019 for existing ships (Brazil, Cook Islands, India, Liberia, Norway and the United Kingdom)
15 Ballast Water Management IMO MEPC 71 approves compromise proposal 1. Ships constructed on or after Sept 8, 2017, must comply upon delivery. 2. Ships constructed before Sept 8, 2017 must comply beginning on Sept 8, 2019 through phase-in: a. the first renewal survey of the MARPOL Annex I IOPP Certificate after Sept 8, 2017 if,.i the survey is completed on or after Sept 8, 2019, or.ii a renewal survey is completed on or after Sept 8, 2014, but prior to Sept 8, 2017; b. the second renewal survey of the MARPOL Annex I IOPP Certificate if the first renewal survey after Sept 8, 2017 is completed prior to Sept 8, 2019
16 Ballast Water Management IMO Main objectives of MEPC 71 compromise proposal 1. Allow shipowners time to install BWMS that meet the new improved BWMS approval requirements; and 2. Limit shipowners ability to decouple the IOPP Certificate from other IMO convention certificates Many Flag States are now allowing shipowner to recouple the IOPP Certificate with the other IMO convention certificates
17 Ballast Water Management IMO MEPC 71 takes additional action 1. Approves the draft Code for approval of Ballast Water Management systems (BWMS Code) 2. Approves guidance on contingency measures when ballast water to be discharged from a ship is not compliant 3. Approves circular on Application of the BWM Convention to ships operating in sea areas where ballast water exchange in accordance with regulations is not possible 4. Adopts MEPC resolution on the experience-building phase associated with the BWM Convention which states that a ship should not be penalized (sanctioned, warned, detained or excluded) solely due to an exceedance of the performance standard
18 Ballast Water Management IMO BMW.2/Circ.62 Guidance on Contingency Measures 1. Measures when a ship is unable to manage ballast water in accordance with its approved Ballast Water Management plan to meet the D-1 or D-2 standard 2. Communication between ship and port State on a case by case basis should consider the following:.1 actions predetermined in the BWM Plan;.2 discharge ballast to a reception facility;.3 manage the ballast with a method acceptable to the port State;.4 ballast water exchange; or.5 operational actions, e.g. modifying sailing or ballast discharge schedules, internal transfer of ballast or retention on board.
19 Ballast Water Management IMO Application of the BWM Convention to ships operating in sea areas where ballast water exchange in accordance with regulations is not possible Regulation B-4.1 criteria for BWE: 200nm + 200m or 50nm + 200m Regulation D-1: 95% volumetric exchange 1. Ship should not be required to install BWMS to meet D-2 standard before their due date 2. Ship should not be delayed or deviate to meet the B-4.1 criteria 3. Ship should record in the Ballast Water Record Book the reasons why ballast water exchange was not conducted 4. If established, ship should comply with terms of port State designated areas for ballast water exchange
20 Ballast Water Management USCG Final Regulations issued March 23, 2012 BWM discharge standard (same as IMO), review in 4 yrs Schedule for installation of BWMS similar to IMO, BUT NO intent to align schedule with Resolution A.1088 BWMS not required if no discharge of ballast water into US waters (12 miles) Acceptance of Alternative (AMS) BWMS for 5 years All ships must eventually install CG approved BWMS Ships may request an extension to compliance date for installation of a USCG approved BWMS
21 Ballast Water Management USCG US Coast Guard Extension requests Prior to December 2016, more that 13,000 extensions have been granted Policy guidance on extensions have been issued: - MSIB No , issued October 20, MSIB No , issued July 13, MSIB No , issued December 2, 2016 Changed ground rules for granting extensions - MSIB No. 3-17, issued March 6, 2017 Further expanded on the new ground rules
22 Ballast Water Management USCG US Coast Guard Extension requests MSIB No , issued October 20, 2015 Extensions will be granted to the vessel's next scheduled drydocking after the vessel's required implementation date Vessel's first scheduled drydocking date will be determined based upon when the vessel enters the drydock Existing extension letters with a January 1 dated will not be re-issued. Change will be made when a vessel applies for a supplemental extension Supplemental extensions will be required to be submitted
23 Ballast Water Management USCG US Coast Guard Extension requests MSIB No , issued July 13, 2016 An installed AMS can be used for five years from the extended compliance date if the AMS is installed prior to the expiration of the vessel s extended compliance date Guidance in the event a vessel owner enters into a contract with a company to install an AMS before a vessel s compliance date and, after the contract but prior to AMS installation, a Coast Guard type-approved BWMS becomes available for that vessel. In this instance, the USCG advises that the owner may proceed with the installation of the AMS. The installed AMS may then be employed for up to five years beyond the vessel s compliance date.
24 Ballast Water Management USCG US Coast Guard Extension requests MSIB No , issued December 2, 2016 Extensions will remain valid until the extended compliance date specified in the extension letter CG will continue to accept requests for extensions, BUT applicant must document why it is not possible to install one of the CG approved BWMS Provides examples of the documentation required to support an extension request, eg. - Correspondence with BWM manufacturer that BWMS not available by compliance date - Vessel design limitations with approved BWMS - Safety concerns with approved BWMS
25 Ballast Water Management USCG US Coast Guard Extension requests MSIB No. 3-17, issued March 6, 2017 Existing extensions will remain valid until the extended compliance date specified in the extension letter Future extensions will no longer be linked to the vessel dry dock cycle Vessels with an AMS installed do not qualify for an extension because they are in compliance with CG regs Coast Guard will consider extension requests differently for vessels with different compliance dates, as follows:
26 Ballast Water Management USCG MSIB No. 3-17, issued March 6, 2017 (continued) Vessels having a compliance date before/including December 31, 2018: 1) Extension requests that do not provide a justification as to why compliance with one of the BWM methods is not possible by the current compliance date will be denied. 2) Vessel owners and operators who have identified that a Coast Guard typeapproved BWMS is available for a vessel but do not have enough time to install it prior to the vessel s compliance date must provide a strategy, including a detailed installation plan, for how the vessel would be brought into compliance by installing a Coast Guard type-approved BWMS before the end of the extension. Extensions granted on this basis should be expected not to exceed 18 months. 3) Vessel owners and operators who have identified that a Coast Guard typeapproved BWMS is not available for a vessel must provide a strategy, including a timeline, for how the vessel would be brought into compliance before the end of the extension. Extensions granted on this basis should be expected not to exceed 30 months.
27 Ballast Water Management USCG MSIB No. 3-17, issued March 6, 2017 (continued) Vessels having a compliance date between January 1, 2019 and December 31, 2020 The CG will begin considering these requests 18 months prior to the vessel s compliance date. These requests could be impacted by changes in the market or availability of type-approved systems. Owners and operators are encouraged to submit additional information in support of their extension request. Vessels having a compliance date of January 1, 2021 or later The CG does not anticipate granting extensions. Vessel owners and operators should plan to be in compliance on their current compliance date
28 Ballast Water Management USCG General guidance provided by CG to applicants A strategy for compliance includes specific details concerning the methods you have identified under 33 CFR for managing ballast water. A contract to purchase a specific system will suffice. Alternatively, specific make, model and date of installation of a system, or specific details that define the kind of system you will purchase, or details concerning another means of compliance will suffice. The strategy will demonstrate that you are knowledgeable about the requirements, the available systems, and you are aware of the need to find a solution that matches the operational requirements of your vessel. It also demonstrates that you are pursuing compliance. Many vessel managers have met this requirement by simply providing a short list of preferred ballast water systems, or a specific manufacturer that is most trusted, or a type of system that is most compatible with the operations or design of the vessel.
29 Ballast Water Management USCG US Coast Guard APPROVED BWM Systems 48 BWMS manufacturers have submitted Letter of Intent (LOI) to pursue USCG approval (59 AMS accepted by USCG) At least 19 systems undergoing testing Only after the testing is completed by USCG accepted Independent Laboratory (IL) and the results have been evaluated, will a BWMS manufacturer then submit an application to the USCG for approval of their BWMS
30 Ballast Water Management USCG US Coast Guard APPROVED BWM Systems USCG has approved four BWM systems - Optimarin (Ultraviolet) - PureBallast Alfa Laval (Ultraviolet) - OceanSaver (Electrochlorination) - Balclor Sunrui (Electrochlorination) - Ecochlor (Chlorine dioxide) Approval certificates list Operational Limitation, if any, such as holding times, intrinsic safety, flow capacity, etc. USCG has received application for approval from - Emma First (Electrochlorination) - Purimar Samsung (Electrochlorination)
31 Ballast Water Management USCG USCG has completed practicability review to determine whether technology to comply with a performance standard more stringent than that required by the Coast Guard s current regulations on ballast water discharges can be practicably implemented Practicability review concludes: that, at this time, technology to achieve a significant improvement in ballast water treatment efficacy onboard vessels cannot be practicably implemented there are no data demonstrating that ballast water management systems can meet a discharge standard more stringent than the existing performance standards.
32 Ballast Water Management USEPA EPA Vessel General Permit issued December 19, 2013 To a large extent EPA VGP requirements are the same as USCG (discharge standard, compliance schedule, etc.) Approval of BWMS is not required BWMS monitoring required (functionality, equipment calibration, effluent, biocides) INTERTANKO guidelines New ship (keel laid after December 1, 2013) is required to install a BWMS to comply with the VGP, i.e. no acceptance of USCG extension provision in the VGP EPA /USCG MoU EPA Enforcement Policy, 27 Dec 2013 Vessel with USCG extension is non-compliant (if discharges in US waters 3 miles), but EPA regards as a low-enforcement priority, provided all other regs are met
33 Ballast Water Management USEPA Potential issue with EPA Enforcement Policy?? Charter party agreements require tanker to be in compliance with all applicable laws and regulations Tanker that receives CG extension would be in compliance with CG requirements Tanker that has CG extension and discharges ballast water within US waters (3 miles) would be in violation of EPA Vessel General Permit Would this violate charter party agreements??? Thus far, not aware of any comments from oil majors or charterers on this issue
34 Ballast Water Management USEPA US COURT OF APPEALS RULING ON EPA VGP BALLAST WATER REQUIREMENTS EPA acted arbitrarily and capriciously in, among other things, selecting the IMO ballast water standard as the standard in the VGP Decision based in part on the EPA s Science Advisory Board (SAB) report which identified a number of technologies that can achieve standards higher than IMO for one or more organism sizes Court has remanded the matter back to EPA for review Court also ruled that the 2013 VGP shall remain in place until EPA issues a new VGP
35 MUCHAS GRACIAS!
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