Informal Tanker Operator’s Safety Forum INTERTANKO Safety Issues and Initiatives

1. Informal Tanker Operator’s Safety ForumINTERTANKO Safety Issues and Initiatives Shanghai 12-13 November 2008 Tim Wilkins Regional Manager Asia-Pacific Environmental Manager Image Courtesy of NORDEN AS

2. Anti-Trust/Competition Law Compliance Statement INTERTANKO’s policy is to be firmly committed to maintaining a fair and competitive environment in the world tanker trade, and to adhering to all applicable laws which regulate INTERTANKO’s and its members’ activities in these markets. These laws include the anti-trust/competition laws which the United States, the European Union and many nations of the world have adopted to preserve the free enterprise system, promote competition and protect the public from monopolistic and other restrictive trade practices. INTERTANKO’s activities will be conducted in compliance with its Anti-trust/Competition Law Guidelines.

3. INTERTANKO • Data Gathering and Industry Benchmarking • TMSA Working Group and Benchmarking • Tanker Incident Data and Trends • Confidential Incident Reporting • LTIF and TRCF Benchmarking • Terminal Vetting Database • Safety Issues and Initiatives • Seafarers Work and Rest Hours • Lifeboat safety • Tanker Officer Training Standards • Piracy • Pilot boarding • Straits of Malacca and Singapore • Other marine and safety related matters • Q88 Revision • SIRE Inspections • Vetting Publication • Detention Statistics • Officer Retention

4. INTERTANKO www.intertanko.com

5. Data gathering and industry benchmarking

6. TMSA Working Group and Benchmarking

7. TMSA Working Group and Benchmarking TMSA and TMSA 2 Gap Analysis 85% of INTERTANKO’S comments were taken into account. http://www.intertanko.com/templates/intertanko/issue.aspx?id=44647 TMSA 2 Benchmarking database http://www.intertanko.com/templates/TMSA2.aspx?id=44407

8. TMSA Working Group and Benchmarking Officer Retention Benchmarking Building the officer retention benchmarking database is underway and a beta version, (test version), of this database will be available for review by the middle of January 2009 Crew Retention Benchmarking Building the Crew retention benchmarking database is underway and a beta version, (test version), of this database will be available for review by the middle of January 2009.

9. Tanker Incident Data and Trends

10. Tanker Incident Data and Trends Lloyd’s Casualty Data Number

11. Tanker Incident Data and Trends

12. Tanker Incident Data and Trends Tanker incidents 2007 by age 13% Incidents/no tankers: 33% 21% 33% 325 incidents

13. Tanker Incident Data and Trends

14. Tanker Incident Data and Trends Study on incidents of explosions on chemical and product tankers (Inter Industry Working Group) 25 yrs, 35 incidents (fire & explosion in cargo spaces) the majority of incidents involved ships of less than 20,000 dwt and occurred at sea; in the majority of cases the ship was tank cleaning, venting or gas freeing when the incidents occurred; the personnel were directly involved in many of the incidents; failure to follow established procedures was observed in a significant number of incidents; in several cases the tank atmosphere had apparently not been evaluated or was not being monitored; in most cases ignition occurred within a tank; none of the incidents occurred during the use or operation of inert gas; and the majority of incidents involved cargoes covered by MARPOL Annex II.

15. Tanker Incident Data and Trends Study on incidents of explosions on chemical and product tankers (Inter Industry Working Group) the most significant contribution to the incidents in question was a failure to follow cargo operation guidelines and procedures (at both shipboard and ship management level). This would point toward a failure within the companies’ safety culture; manning levels were not considered a material factor. Questions were raised however, regarding crew’s competence and training in a number of cases; the incident investigation reports reviewed did not indicate any contradictions or discrepancies within the existing International Safety Guide for Oil Tankers and Terminals (ISGOTT) or the ICS Tanker Safety Guide (Chemicals) or between these guides and SOLAS; industry practices such as chemical spraying or steaming were contributory causes to a number of incidents, with static electricity noted as a possible ignition source in association with such practices; in-tank pump failure was identified as a causal factor in at least one incident and other mechanical sources of ignition, such as from rotating equipment within a cargo tank, might have been the cause in a small number of incidents; establishing and maintaining known tank atmospheres have been shown to be problematic and this has been a contributory factor in many of the incidents; confusion over the exact nature of a particular cargo, due to provision of the wrong Material Safety Data Sheets (MSDS) information, contributed to one incident

16. Confidential Information Reporting

17. Confidential Information Reporting Platform Confidential Information Reporting Platform: created a standard incident reporting format that may be used to enhance the level of information and feedback we receive within INTERTANKO with regards to accidents and incidents, root cause analysis and the categorisation system for the incidents and accidents themselves. Potential to become an industry standard. Common Database for use and population by members Shared in formation on root cause Incidents@intertanko.com

18. LTIF and TRCF Benchmarking

19. LTIF & TRCF Benchmarking The Vetting Committee established the Lost Time Indicator (LTI) Benchmarking System in order to provide members with a useful tool for benchmarking their Lost Time Injury Frequency. The Total Recordable Case Frequency (TRCF) can also be measured against other INTERTANKO members in a confidential manner

20. Terminal Vetting Database

21. Terminal Vetting Database Terminal Vetting Database Working Group • Tankers are vetted but are sometimes asked to make fast to poor quality berths • the vetting process works for ships, so why not for terminals?! • The Terminal Vetting Database is hosted by www.Q88.com in partnership with INTERTANKO.  • Access to the system is controlled by INTERTANKO and is strictly limited to INTERTANKO Members and Associate Members. • Access is usually set up within one business day.

22. Terminal Vetting Database The Form is: - Simple - Short - Easy to complete The source of information is kept confidential and although the vessel name, voyage number and Master are included as information categories in the report form, this information is for the individual company’s and INTERTANKO’s use only and will not be accessible on the web site

23. Terminal Vetting Database • 1. Poor: Worse than average in all areas, needs a lot of improvement. • 2. Below Average: Worse than average in some areas, could use some improvements. • 3. Average: Fully adequate • 4. Above Average: Better than average in some regards. • 5. Excellent: Of a very high quality in all regards

24. Terminal Vetting Database • Objectives are: • enhance safety at the terminals • improve member efficiency by influencing terminals to ‘fix’ problems • maintain industry safety record • How it is used: • Level 1: Vessel Manager can review terminals prior to vessel’s call. • Level 2: Owners are encouraged to discuss “poor reports” directly with the Terminal. • Level 3: The INTERTANKO Vetting Committee will step in (and has done so) in cases where the Terminal does not respond or responds poorly to the owners requests and will be tasked to follow up with any “problem terminals” not responding to Owner’s observations.

25. Terminal Vetting Database • To date we have received over 7000 reports (100 hundred companies) • Induced at least three terminals to make extensive improvements • Started constructive dialogue with many others • Reached agreement tow work in partnership with BP • Received dozens of enquiries from terminals around the world requesting feedback on their terminals in order for them to review and improve (if necessary!)

26. Terminal Vetting Database • The feedback is also invaluable for a variety of reasons. • For example, assessment of data indicates that : • ONLY 55% of Terminals will accept Slops (but this is an increase in the last 12 months from 22%) • This has been very useful in highlighting the lack of reception facilities at IMO and throughout industry.

27. Terminal Vetting Database INTERTANKO Terminal Satisfaction Sheet • As part of ongoing work within the Vetting Committee, INTERTANKO has now made available a "Terminal Satisfaction Sheet" • A simple one page feedback form - the concept is to enable the ship and the company to acquire useful feedback from the terminal, regarding the ships performance, prior to the ships departure, primarily pertaining to the safety aspects of the vessel with a focus on continual improvement.

28. Terminal Vetting Database Use of the Terminal Satisfaction Sheet • The intention is that the ship would request a responsible person, representing the terminal, (this may be the jetty foreman for example or other terminal representative), to complete and sign the form, the Master would then submit this to the company in the usual manner. • To stimulate input and support from the vessel we encourage owners/managers to supply feedback to the vessel on the points raised, and we firmly believe that shore based support to the vessels is important to ensure their successful use of the Terminal Satisfaction Sheets. • However, whilst we anticipate that the majority of the terminal satisfaction sheets received will be positive what's important will be the small amount which are not and its these that will be effective in the seeking the goal of continual improvement. 

29. Safety issue and initiatives

30. Seafarer Hours of Work and Rest

31. Seafarers Hours of Work and Rest ILO 180 Working Group - Guidance Book on ILO 180 / MLC 2006 Vetting Committee & HEiSC recognised the ongoing difficulties by sea staff to comply with the current regulations for hours of work and rest. Once The Maritime Labour Convention comes into force we expect that various Port State Control regimes will be instigating Concentrated Inspection Campaigns, (CIC) to verify compliance with the hours of work or rest onboard.

32. Lifeboat Safety

33. Lifeboat Safety • Equipment often made of corrosive material. • 70+ different release hooks • Operation of the equipment not standardised and very often found non user-friendly • Low tolerances quickly wears out the equipment (hooks) • Components of the system (Davits/Hooks/Boats) are often found incompatible with each other • Type approval not necessary for the “system” but for each individual component. • Maintenance regimes* not available globally. • Use of counterfeited parts. *As per MSC.1/Circ.1206 and MSC.1/Circ.1277

34. Lifeboat Safety Lifeboat Feedback Forum • Provide feedback to manufacturers and other key parties • Working for regulatory changes to provide: • Owners with freedom to establish their own on-board safety systems • Masters undertaking their own risk assessment during routine drills • Improving the design, construction, maintenance and operation of lifeboats, davits and their associated equipment • Liaison with manufacturers (ILAMA) to improve follow-up and maintenance of their product • Lifeboat incident reporting of importance in this work (Member feedback – joint feedback Forum) • Industry WG recently established

35. Tanker Officer Training Standards

36. Tanker Officer Training Standards • The Nautical Institute • The Institute of Marine Engineering Science & Technology • Embraces the Spirit of The Poseidon Challenge is approved as a Professional Standard by: ®

37. TOTS - The Driving Forces Oil Company Officer Matrix Systems Difficult to Comply with Requirements Contradictory Prohibits Promotion Trends in Incidents Competency Training Requirements The “Human Element” Factor Shortage of Experienced Officers

38. TOTS - Incident Trends Lloyds Casualty Data

39. TOTS - The Objectives Provide comfort to oil companies via a structured and controlled process Enhance competency based training Provide verification of understanding Ensure compliance with today’s rules & regulations “Ease compliance” with Officer Matrix Requirements Ensure that the team onboard will operate the tanker environmentally aware and safe

40. TOTS - Overview TOTS contains Four Elements 1. TOTS: Training Record Books: Time in Rank Time in Company 2. TOTS: Computer Based Assessment (CBA) Time in Rank 3. TOTS: Company Verification (CBA) Time with Company 4. TOTS: Ship Specific Practical Simulator Verification/Training Tanker Type Specific Time in Rank TMSA Part 3, 6, Stage 4 • TMSA Part 3, 3, Stage 4, TMSA Part 3, 3A, Stage 2 & 3: • TMSA Part 3, 5, Stage 3: TMSA Part 3, 11, Stage 1

41. 1. TOTS: Training Record Books 1. TOTS: Time in Rank Three levels of training record book established: 1A. Command Module (Master and Chief Officer) 1B. Senior Engineer Officers 1C. Junior Officer Tanker Module (Deck and Engine)

42. 1. TOTS: Training Record Books 1. TOTS: Time with Company 1D. Generic Record Book Module • Template Training Book: • Companies to develop as Company Specific • Guidance includes; • Company operating systems • ISM Procedures • Company Security Requirements • Occupational Health & Safety

43. TOTS : Human Element Human Element addressed in each record Book via CRM: Situational awareness Planning & Decision making Communications Teamwork Emotional climate Stress Managing Stress Commercial Organisational Pressures & Morale Fatigue

44. 2. TOTS: CBA - Time in Rank CBA (CD-ROM) to verify candidates understanding of “Time in Rank” tasks CBA = c.2000 Questions: Total Dataset 18-20 CBA assessments each Record book • 1x CBA CD-ROM (2A) provided with each Record Book: section by section assessment • 1 x CBA CD-ROM (2B) held by Company, taken under exam conditions • TOTS Time in Rank Certification follows the Candidate

45. 3. TOTS: CBA - Time with Company Company verification process to verify candidates understanding of “Time with Company” Tailor made Company Specific Officer Changes Company - must re-train for Time in Company

46. 4. TOTS - Ship Specific Practical Simulator Verification/Training 6 x TOTS Specific Model simulator courses 4C Product Tanker Simulator Training Model Course 4E Crude Oil Tanker Simulator Training Model Course 4D Product Tanker Simulator Verification Model Course 4F Crude Oil Tanker Simulator Verification Model Course 4A Chemical Simulator Training Model Course 4B Chemical Simulator Verification Model Course

47. TOTS Pictogram

48. TOTS – Implementation and Auditing INTERTANKO has issued Authorisations to all IACS Members to undertake TOTS audits for: 1. Tanker Companies Against the TOTS standard, to verifying that a tanker owners or managers own company "tanker officer competence training system" either: complies fully with the various elements of the TOTS standard elements or to undertake a gap analysis of that companies "tanker officer competency training system" against the various elements the TOTS standard elements 2. Training Centres To undertake external audits, with a view to verifying that any Maritime Training Centres, Academies or Universities who furnish TOTS simulator courses meet the TOTS simulator model course standards for TOTS. (The permission granted by INTERTANKO is "not" exclusive and these permissions are a minimum, to allow third parties to undertake this work if they wish).

49. TOTS - Electronic Licensing INTERTANKO are currently working towards enabling “none exclusive” licensing of the TOTS product to third parties for owners to use in electronic format. We will provide updates to this process shortly.

50. Piracy