NEWS

The Senate Inquiry into Australia’s fuel security has heard of BP’s plans to remove the tanker British Loyalty from the Australian coastal trade to be replaced with cheap foreign shipping. 

This is despite a strong business case that the British Loyalty remains viable. Maritime Union of Australia Assistant National Secretary Ian Bray said the British Loyalty is one of the last three Australian-crewed tankers on the coast. There were six in 2011.

“BP put over 900,000 tonnes on ships, over 700,000 tonnes of which is on big east cost cargoes that could be a viable trade for the British Loyalty or another similar sized vessel,” Mr Bray said.

“There is more than enough cargo BP just want to take environmental and safety shortcuts and have the lowest paid crew they can find from anywhere in the world.

“BP has the ability to retain the British Loyalty trading on the Australian coast or replace the ship, saving Australian jobs, protecting the environment and our fuel security.

“A cost analysis shows that the cost of employing an Australian crew on a product tanker equates to around one cent per litre at the petrol pump.

“BP are slashing Australian jobs, jeopardising our environmental safety with Flag of Convenience ships of shame and showing total disregard for Australia’s fuel security to squeeze every last cent of profit out of the community.

”We’ll be meeting with BP in Melbourne next Monday to see what they’ve got to say for themselves."

Mr Bray said that the Abbott Government’s Energy White paper, released yesterday, admits that Australia’s current oil stockholdings do not meet International Energy Agency obligations.

The white paper said compliance would require “an investment of several billion dollars in stocks and storage infrastructure over a decade. A decision on how to address this compliance issue will be made by the government in 2015”.

“In the medium term, we believe there is a good case to be made for using Australian ships to carry some portion of refined petroleum international imports,” Mr Bray told the Senate Inquiry in Melbourne.

“If the government is going to allow refineries to be closed and not mandate the retention of any fuel reserves, this is the very least we can do. It is also a cost-effective solution.

“The ongoing closure of refineries around Australia means we now import 91 per cent of our petrol and diesel – up from 60 per cent in 2000 – and this number will continue to rise with two more refineries in Queensland soon to be on the chopping block.”

The MUA commissioned John Francis from Ocean Freight Management to conduct an independent evaluation of the cents per litre for employing Australian crew on fuel import tankers as promised at the previous hearing.

MUA Assistant National Secretary Warren Smith said: “The research finds that for most petrol imports, employing Australian crew would cost about 1 cent per litre per ship. If Australia decided that a portion of its import fleet should be flagged and crewed in Australia, the cost could be spread across the entire fleet of import ships.

“Former refineries are already converting berths to handle larger 80,000 tonne import tankers. On these ships, the cost of employing Australians is closer to half a cent per litre per ship.

“It is also true that the most expensive place to ship petrol in Australia is Adelaide, yet Darwin and other less populated centres continually have the highest retail price at the bowser. 

“In addition, the research finds that there were over 600 individual tankers in Australian waters in 2013 and that number will increase with any reduction in Australian-crewed vessels and increasing imports out of Asia.”

Australians are worried about our national security at a time when terrorist group Al-Qaeda has openly declared their intention is to target international fuel ships.

More than half of Australia's fuel comes through the Straits of Hormuz to Singapore and then through the narrow Straits of Malacca, an area already notorious for its piracy.

The MUA believes that a serious environmental disaster in Australian waters is inevitable - whether it is by storing large volumes of petrol in large tankers in Port Phillip Bay, Moreton Bay or Botany Bay or by moving tankers around the Great Barrier Reef - when run by those unfamiliar with Australian waters and conditions.

A stable fleet of Australian ships on long-term contract is the only way to ensure our future fuel security and proper environmental protection.

These ships could be partly on the Australian International Shipping Register and partly on the Australian General Register to provide companies with additional flexibility.

 

Member Profile: Captain James London

AIMS members share their thoughts and experiences in the industry. This edition we profile industry veteran Captain James London.

How long have you been involved in the industry?
Fifty years.

Where do you work now?
I have worked for the past twenty years in Mackay and environs.

What were you doing previously?
I was in the last intake of boy sailors to the RAN at 15 years of age after having been at boarding school since I was 7 years old.  At 16 I was apprenticed to Eastern & Australian SS Co Ltd and after serving four years on Company vessels sat & passed my 2^nd Mates FG. I then served with RW Miller Tankers until deciding I missed my American girlfriend too much and flew to the States to marry her.

We had no money after the honeymoon (in a motel opposite the San Francisco Zoo) so with some help from a friend I managed to join the US Navy on an emergency wartime basis. I served in USNS UPSHUR (a troop carrier) and USNS BRETON (an escort carrier) ferrying troops and aircraft to Saigon and Cam Rahn Bay in South Vietnam.

I returned to Australia on the SS ORIANA with my new wife in 1968 and remember well staying the first night in the Edgecliff Motel. Thieves broke into the underground garage and stole all our belongings from our parked car. All that remained was one small suitcase that we had taken up to the room the previous day.

Two weeks later we found out, my wife was pregnant with our first child.

I sued the Motel for the loss of our luggage and finally received compensation of $1200 - two years later.

I returned to the sea with Union SS Coy., and then after the birth of our child, swallowed the Anchor and came ashore. I became a Trainee Credit Manager with Goodyear Tyre Service in Sydney and soon after was transferred to Dubbo for three months and then finally to Orange (the previous Credit Manager had been tickling the till).

Within a year I started my own business, a wholesaler selling brown and white goods to retailers over a third of NSW. In 1973 I sold our business and returned to my Maritime roots.

I took a permanent position as third mate on the MV BULKNES (trading between Gladstone and Bluff in NZ). The vessel had half Australian and half New Zealand crew. This led to having thirteen different Trade Unions on board a living nightmare for all but the Kiwis, as they were being paid Australian wages! During this period I obtained both my Mates and Masters FG Certificates and became Chief Officer in 1978.

In 1983 I was absorbed into the TNT Coy as a Chief Officer. They built three specialist vessels to service the Bauxite & Alumina trade between Gladstone, Weipa, Bluff and Tasmania, namely two bulk carriers and one self-discharging bulk vessel.

In 1986 the management of the three vessels was then given to ASP which then allowed me to serve in a greater number of vessels and I became Master soon after. In 1993 I was offered a licence as a Pilot in the Great Barrier Reef by the Marine Board of Queensland which I promptly took up and joined Queensland Coastal Pilots.

In 1996 along with two other licensed GBR Pilots we formed a Company to service Hydrographers Passage from Mackay. We progressively purchased Helicopters and employed other Sea Pilots to grow the business. By 2003 the Company was employing six pilots and servicing forty vessels per month. In 2005 I was the only original partner remaining as a working pilot and I subsequently sold the Company.

In 1998 we also purchased a Marine Surveyor’s business from the ex-harbourmaster of Mackay (Red Faulkner) which was then servicing Fishing Boats and recreational vessels in the area. After selling the Pilotage Company, I continued to carry out Surveys in the Mackay area until semi- retirement.      

What made you decide to enter the profession?
My Great/Great Grandfather and my Grandfather were both Masters FG and my Father was a career soldier. I expect it is in my genes.

What do you enjoy most about the industry?
My area of Surveying is in the recreational field which entails more often than not a personal one on one experience with the client. I am fortunate in being able to meet people of all abilities from all walks of life, including the very wealthy or those with nothing but their boat (home) and the clothes they are wearing. Most of them have interesting stories to tell, where they have been or where they are going.

I have met guys who are gals, gals who would be guys and all in between. They all have the one thing in common; they love the challenge of the sea. 

How has surveying changed in the last 10 years?
The recreational Industry is controlled by the Insurance Companies and to a lesser extent the Safety Regulators. In the past they have both been relaxed about the Rules that govern their existence. However recent Cyclones and the damage that has been caused to recreational vessels, has ensured that much more stringent inspections & regulations are becoming the Norm.

In particular the larger Insurance Companies are insisting on Surveyors being properly qualified with Professional Indemnity and Quality Assurance.

Shipwrights are a dying breed and their successors Boat Builders do not generally have the same grounding which was acceptable to become a Marine Surveyor. 

What do you see as the biggest challenges the industry faces?
The Regulators in Australia are relying on the Private Surveyors in Industry to become the future AMSA/State Inspectors/Surveyors. This has taken place in the Domestic Commercial Vessel (DCV) area, whereby at last count there are now over 180 Attested AMSA Private Surveyors.

A greater proportion of these Surveyors are already in their senior years and they were attested prior to the new rules for Private Surveyors came into being on 2nd January, 2015.

Why would you at your age and with your vast experience undertake the Diploma of Marine Surveying?

Whilst I have practiced my profession in many facets of the Maritime Industry, I believe that Marine Surveyors are specialised Mariners. This is particularly true in the knowledge required in design, construction, safe operations and regulations that are relevant to both Domestic Commercial and Recreational vessels in Australia.

I am now convinced that the Diploma is the only way to expand the knowledge that I gained on my path to a Master Class 1 qualification, to a point where I can legitimately claim the title of Marine Surveyor.   

Have you learned anything new from the experience of doing study again?The Diploma is specific to a Marine Surveyor’s requirements and encourages me to learn more and indeed understand that one can never know too much about a chosen career.

I have also learnt that the Regulators have some way to go before the new DCV Regulations are pertinent to the Industry.

Are there any benefits to undertaking study and professional development?The benefits are that we can keep pace with the rest of our own Industry. The Diploma needs to be the pre-eminent qualification for the specialisation of becoming a Marine Surveyor in Australia.

As we surely will lose the experience of the Masters and Mates Certificate and the Marine Engineers qualifications due to the demise of Australian Shipping, we must ensure that there is a valid future pathway to maintain the Marine Surveyors section of the Australian Maritime Industry.

AIMS Conference confirmed for 13th and 14th August 2015 in Hobart and will be opened by the Governor of Tasmania. This year the inaugural AIMS “Awards for Excellence” will be held in conjunction with a Gala Dinner.

This Conference is OUR industry’s big show case event and we will be out there for all to see. With many esteemed guests participating this is our chance to show off our talents to the broader shipping and maritime community and the program has an excellent range of sessions designed to meet a wide range of the industry sectors.

It provides a great opportunity to meet new members and students and showcase both AIMS and our professional development schedule for 2015. 

So – big ships or small - we ask that as many members as possible make the time to attend this two day event. The topics covered at the Conference have been specifically designed to broaden members’ competencies in line with our ongoing development of the CPD program and speakers include AMSA and Government Representatives as well as International and National experts in a wide range of specialist fields.

DOWNLOAD CONFERENCE BROCHURE 

Delegate Fees:

Gold	Early Bird AUD$800	After May 30th 2015 AUD$950
Silver	Early Bird AUD$650	After May 30th 2015 AUD$800
Bronze	Early Bird AUD$400	After May 30th 2015 AUD$550
Student	Early Bird AUD$280	After May 30th 2015 AUD$300

For the early bird discount, payment must be made in full at the time of registration – NOTE this is a 2014 tax deductible event!

 For delegates other than Gold pass holders, additional events may be included at registration at additional cost:

Gala Charity Dinner & Awards	$160.00 per person
Mount Wellington Trip	$40.00 per person
3rd Stream Visits	$50.00 per person

The conference will also include the AIMS Gala Dinner and the inaugural Awards for Excellence. There will be six awards:

1. The Mike Bozier award for an outstanding contribution to the Marine Survey Industry
   
2. Excellence in Client Service
   
3. Excellence in Technology or Business Services to the Marine Survey Industry
   
4. Innovation and Excellence in the Health and Safety of Marine Surveyors
   
5. Rising Star Award
   
6. Student of the Year
   

The criteria for submissions and details of the judging panels for each category will be published on the website in April and close on 30 June 2015. Information on the Awards and the Conference will also be emailed to all members.

Members Note the AIMS AGM will be held prior to the Conference on Wednesday 12^th August at 3pm at the Grand Chancellor Hotel. Details about this event will be posted on the website in the future.

REGISTER YOUR INTEREST by emailing conferences@aimsurveyors.com.au or by downloading and returning this form: Registration Form.pdf

Port of Townsville Limited (POTL) has signed a historic Memorandum of Understanding with the Port of Huizhou in China for beef trade and containerised shipping.

The MOU is based on a two-way and direct shipping route between the two ports. The city of Huizhou is situated in the southeast of Guangdong and in the north of Pearl River Delta and only 70 kilometres from Hong Kong.

POTL General Manager Trade and Property Claudia Brumme Smith said that the establishment of the agreement with Port of Huizhou was a historic moment for the region.

“For the first time, the Port of Townsville will enter into a sister port agreement with a Chinese port,” she said.

“This agreement with Port of Huizhou will ensure long-term cooperation between our two ports to facilitate trade in quality beef products (including live cattle) from North Queensland,”

Mr Ma Chenghui, Director General of Port of Huizhou said the establishment of livestock logistics channel would vastly improve transit times between the two ports.

“This agreement with Port of Townsville Limited is great news for the Chinese consumers who have a desire for quality beef from Australia.”

The MOU will cement a sister port agreement between the two ports is part of a long term plan by the Chinese port to develop a “21st century maritime silk road” with Australia.

“Shorter transit times and lower logistics costs means that Australian producers will be able to sell their product to China at competitive prices.” 

The Director of ISS Import Trading Pty Ltd received a suspended 16 month prison sentence at the Victorian County Court in Melbourne for knowingly importing prohibited meat from South East Asia.

Director of ISS, Kevin Yi, admitted to aggravated illegal importation under the Quarantine Act 1908, intentionally mis-declaring meat products as ‘vegetables’ in an effort to bypass Australia’s biosecurity system bringing in high risk animal products from South Korea.

The Department of Agriculture's First Assistant Secretary of Compliance, Raelene Vivian, said meat and animal products from South Korea were not allowed to be imported into Australia. 

“Meat-based goods from South Korea such as pig, beef and chicken are considered to pose too high a risk to allow importation, due to a range of animal disease concerns—for instance South Korea recorded outbreaks of foot-and-mouth disease (FMD) and avian influenza in 2010,” Ms Vivian said.

“Research by the Australian Bureau of Agricultural and Resource Economics and Sciences (ABARES), indicates the cost of an FMD outbreak in Australia would be more than $52 billion to our economy over the course of 10 years.

“Evidence also shows the most probable cause of FMD outbreaks across the world are through illegally imported meat or meat products being fed to pigs.

“It’s our job to help protect Australia’s agricultural industries, economy and environment from plant and animals pests and diseases such as FMD—and we want to work in partnership with industry to manage these risks.

“But when there is intentional non-compliance that puts our biosecurity status at risk we use the full force of the law to keep Australia free from exotic pests and diseases.” 

This prosecution was a result of Operation Hayride, an investigation which targeted deliberate and serious breaches of the Quarantine Act 1908. 

It was initiated after evidence of deliberate importation and distribution of prohibited foods was discovered in 2010.

During Operation Hayride, the department inspected 225 targeted import consignments and more than 300 retail premises. The operation yielded an estimated 132 tonnes of prohibited goods including meat and dairy product.

Maritime Union National Secretary Joe Fleetwood says the ongoing and regular accidents in the port sector showed “systemic and deep rooted problems” that needed to be brought into the open.

A Port of Lyttelton worker suffered a broken arm on Tuesday 3 March 2015 after a fall aboard a vessel.

Two C3 employees in the Port of Timaru were taken to hospital after an incident aboard a container vessel on the early morning of Wednesday (4 March 2015).

One of the workers was transferred to Christchurch hospital with serious back injuries.

In both cases, the workers were Maritime Union members.

Mr Fleetwood says he was concerned other incidents were happening in ports but had gone under a “cone of silence.”

He says the relevant Government agencies and port companies should be being proactive about notifying all interested parties immediately as health and safety incidents occurred, including unions and media.

In some cases, such as the Port of Tauranga last year, a worker had suffered fatal injuries but many workers in the port were unaware of the incident.

It took days for the full details to emerge after media inquiries to the employer were left unanswered and the port company tried to distance itself.

“There seems to be a reluctance to front up when incidents happen. It’s almost as it there is an attitude that the problem is the employers and port companies looking bad.”

“The real problem is that maritime workers are being maimed or killed.”

Mr Fleetwood says that port companies had an overall responsibility of what happened in the port, and had a duty of care to all workers in their port, not just those directly employed.

He says contracting out, casualization, irregular and long shifts, reduced manning, and increasing pressure for speed up of work were all contributing to the crisis in port safety.

The ITF Women's Department is calling for women to participate in a survey that is designed to raise awareness amongst women seafarers about the general health and well being at sea.

The survey follows on from the Rapid Health Needs Questionnaire (pilot study) which was distributed in July 2014.

Please note that all data collected is fully confidential and has been devised by the International Transport Workers' Federation (ITF), Seamen's Hospital Society (SHS), International Maritime Health Association (IMHA) and International Seafarers' Welfare and Assistance Network (ISWAN). 

The survey can be completed online at https://www.surveymonkey.com/s/CRK9PZH

This survey is aimed at women seafarers only and all responses are anonymous.

A joint operation between the AFP and the Great Barrier Reef Marine Park Authority has resulted in a ship’s master being charged with failing to take on a pilot prior to navigating the Great Barrier Reef.

It was alleged in court that on the 1st of January 2015 the master of the ‘China Steel Developer’ attempted to depart Australian waters through Hydrographers Passage, a compulsory pilotage area of the Great Barrier Reef Marine Park, without a pilot on board. 

On Saturday 14 February 2015, AFP officers and investigators from GBRMPA met the China Steel Developer soon after it docked in the Port of Newcastle. 

A 66-year-old Taiwanese national was arrested and charged with:

Being the master of a ship that navigates without a pilot in the compulsory pilot area of the Great Barrier Reef Marine Park, contrary to the Great Barrier Reef Marine Park Act 1975 (Cth)

GBRMPA General Manager Andrew Skeat said all shipping companies should heed the rules on the use of compulsory pilots.

“For certain sections of the Great Barrier Reef and for particular types of vessels, the use of pilots is mandatory because they greatly enhance protection of animals, habitats and sensitive areas of the Marine Park, including coral reefs,” Mr Skeat said.

“The Marine Park is one of the most regulated shipping areas in the world, with compulsory pilots forming one aspect of a comprehensive system that also includes the use of designated shipping areas, vessel traffic monitoring, and mandatory vessel reporting. 

“I’m pleased to see the matter was quickly identified and dealt with by all the relevant authorities, ensuring the vessel had not travelled far into the compulsory pilotage area.

“The potential environmental, economic and social consequences could have been severe if an unescorted voyage had gone wrong.

“We would urge all commercial shipping companies to abide by the rules and understand they’re designed to safeguard a critical ecosystem.”

The Great Barrier Reef and Torres Strait Vessel Traffic (REEFVTS) in Townsville detected the ship in the compulsory pilotage area and took action to stop the ship travelling further.

REEFVTS is a joint service operated by Australian Maritime Safety Authority (AMSA) and the Maritime Safety Queensland.

China Steel Developer returned to the pilot boarding area before leaving Australian waters via Hydrographers Passage, with a pilot onboard. 

“This shows the vital role of the REEFVTS in detecting the ship and ensuring it did not navigate through this compulsory pilotage area without a pilot onboard, as required,” AMSA Chief Executive Officer Mick Kinley said.
  AFP Manager Crime Operations, Commander Jennifer Hurst said the AFP regularly works with partner agencies in cases such as this.

“The protection of nationally significant assets such as the Great Barrier Reef is a matter that the AFP takes seriously. We are pleased that this joint investigation has resulted in today’s outcome,” said Commander Hurst.  

The matter was heard in the Newcastle local court today (16 February 2015) and will be back in court tomorrow (17 February) for sentencing.

The maximum penalty for this offence is a fine of $85,000.

The International Transport Workers’ Federation has welcomed progress made at the ILO this month on the issue of facilitating shore leave and the movement of seafarers joining or leaving vessels.

At the ILO in Geneva a tripartite meeting of employers, trade unions and governments agreed a common approach to improving ILO Convention 185 on seafarers’ identity documents, in order to improve the welfare of seafarers, while at the same time assisting nations maintain their security.

The recommendations now pass to the ILO governing body for study and a decision on their implementation.

ITF seafarers’ section chair David Heindel explained: “ILO 185 has two key aims: to uphold security and allow the deserved and necessary passage of seafarers on shore leave and in transit. However, its take up has been underwhelming. These latest recommendations, which would bring seafarers’ identity documents in line with e-passports, should help persuade states that ratification is sensible and in everyone’s best interests.”

He continued: “We hope that the major port and transit states will join us in reassuring the labour supplying states that their investment in seafarers’ identity document technology will not be wasted, and the original ideals of the convention will be met.” 

Further information

A statement from the Chamber of Shipping in support of the recommendations can be seen at www.ics-shipping.org/news/press-releases/2015/02/09/ics-hopes-for-progress-on-facilitation-of-shore-leave-and-movement-of-seafarers

Domestic marine surveyors will now be accredited under the Domestic Surveyor Accreditation Scheme, a national system run by the Australian Maritime Safety Authority.

AMSA standards manager Adam Brancher said the scheme, which came into effect on January 2, would ensure people are competent to conduct and provide survey reports for domestic commercial vessels under the Marine Safety (Domestic Commercial Vessel) National Law Act 2012 across Australia.

“For the first time in Australia, domestic commercial vessel surveyors will now operate under a single consistent arrangement,” Mr Brancher said.

The scheme applies to government and non-government accredited marine surveyors.

Existing government and private marine surveyors need to submit their applications before December 31, 2015 for their current attestation to be recognised under the new scheme.

“We encourage surveyors to submit their applications as soon as possible,” Mr Brancher said.

New government and private marine surveyors are required to complete applications for accreditation and will be assessed by AMSA under the scheme.

Mr Brancher said applications would be assessed on merit, taking into account appropriate qualifications, capabilities and experience.

AMSA consulted extensively with various state and territory maritime agencies and representative bodies ahead of the scheme’s implementation.

A series of information sessions will be held in Cairns on February 10, Noosa on February 11 and the Gold Coast on February 13.

To register surveyors can visit www.amsa.gov.au/about-amsa/recent-events/2015/jan-dsas/index.asp 

Further information on the scheme and how to make an application is available here: http://www.amsa.gov.au/domestic/surveyors-manual/