1 / 13

Convention Requirements

National H NS Reporting Requirements David Baker UK Some practicalities - the UK experience to date. Convention Requirements. Article 21 – requires Contracting State to identify persons liable

Télécharger la présentation

Convention Requirements

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. National HNS Reporting RequirementsDavid Baker UKSome practicalities - the UK experienceto date

  2. Convention Requirements Article 21 – requires Contracting State to identify persons liable Article 43 – requires that when ratifying the Contacting State submits to the IMO details of quantities of HNS in preceding year

  3. The national legislation should : • Provide for introduction of the reporting system prior toratification • identify the principal receivers and (as applicable) physical receivers, the different HNS receipts and the quantities • provide a means to determine annual fluctuations, eg set a national threshold

  4. Industry concerns • “The financial obligations will prove a costly burden on storage companies” • “Storage companies are generally just third parties with no responsibility for carriage by sea” • ”Most HNS stored will come from non states parties or will be destined for such states” • “Liable companies will fragment to avoid financial obligation”

  5. Further industry concerns • Practicalities of passing on the financial obligations to principal receivers • Lack of contracts with principal receivers, eg port authorities • Liability when the principal receiver is not located in a contracting state

  6. Various scenarios • The following scenarios focus especially on the financial responsibilities when HNS is handled through intermediaries • which raises the most complexities under the Convention

  7. CARGO PHYSICAL RECEIVER DESIGNATED PRINCIPLE LIABILITY Receiver based in a State Party Principle based in a State Party Principle is liable HNS Receiver based in a State Party Principle based in a non-State Party Agent is liable HNS Scenarios

  8. CARGO PHYSICAL RECEIVER DESIGNATED PRINCIPLE LIABILITY Receiver based in a non-State Party Principle based in any State Convention does not apply: No liability HNS Receiverbasedin a State Party Principle based in any State Owner of LNG prior to discharge is liable LNG Scenarios continued...

  9. Final Scenario The physical receiver of HNS in a contracting state is unable to identify the principal receiver, eg a port authority without a contract: • The physical receiver becomes liable

  10. In practise • Storage companies should be able to pass on the liability and, if necessary, apply liability on the principal receiver by contract • The liability only arises when the HNS is received from ships in a contracting state • The level of liability will arise only after incidents • The shipowner’s level of liability should cover many incidents – a minimum of 10 million SDR

  11. Practicalities of reporting It will be necessary for national rules to apply : • a statutory obligation to report on the initial or intermediate receivers as well as the obligation on the principal receivers to pay levies • This will provide the ‘audit trail’ to monitor transhipments and to apply the financial obligations on the ultimate receiver

  12. Summary The state will have to: • determine the national regulations best suited to the trading pattern, • provide a practical regulatory system which will ensure equity and certainty of meeting its reporting obligations, and • ensure the Fund is able to raise levies against the appropriate receivers

  13. Summary (continued) Finally, the state should consider: • Applying the simplest practical definition of ‘receiver’ to avoid prolonged audit trails • Implementing a statutory reporting system with lower threshold than those set in the Convention.

More Related