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“Green and Safe” Ship Dismantling Facilities and 2 a List of Ships Likely to Go for Dismantling

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“Green and Safe” Ship Dismantling Facilities and 2 a List of Ships Likely to Go for Dismantling European Commission (DG ENV) Contract N°: 07.0307/2009/537064/SER/G4 THE FEASIBILITY OF A LIST OF “GREEN AND SAFE” SHIP DISMANTLING FACILITIES AND OF A LIST OF SHIPS LIKELY TO GO FOR DISMANTLING Final Report 4 January 2010 Contact BIO Intelligence Service Shailendra Mudgal – Patricia Benito ℡ +33 1 53 90 11 80 [email protected] [email protected] Project Team Mr. Shailendra Mudgal Ms. Patricia Benito Ms. Mary Ann Kong Ms. Débora Dias Ms. Ana Maria Carreño Disclaimer: The project team does not accept any liability for any direct or indirect damage resulting from the use of this report or its content. This report contains the results of research by the authors and is not to be perceived as the opinion of the European Commission. European Commission (DG ENV) January 2010 Feasibility of a list of “Green and Safe” Ship Dismantling Facilities and 2 a List of Ships Likely to go for Dismantling Table of Contents Executive summary .................................................................................................... 5 Abbreviations .......................................................................................................... 19 1. Report structure and objectives .................................................................... 21 1.1. Report structure ................................................................................................... 21 1.2. Objectives of the study ........................................................................................ 22 1.3. General approach ................................................................................................. 22 2. Introduction to ship dismantling ................................................................... 25 PART A – Feasibility analysis of establishing a list of ships likely to go for dismantling 33 3. Development of criteria ............................................................................... 35 3.1. Criteria development ........................................................................................... 35 3.2. Availability of information on criteria .................................................................. 41 3.3. Criteria selection .................................................................................................. 45 3.4. Development of models ....................................................................................... 78 3.5. Model testing ....................................................................................................... 85 3.6. Future ship dismantling volumes ......................................................................... 92 4. Analysis of existing legal basis .................................................................... 109 4.1. Exisiting & future legislation .............................................................................. 109 4.2. Gaps with existing legal basis ............................................................................. 112 4.3. Recommendations to overcome gaps in legal basis .......................................... 117 5. Feasibility assessment ................................................................................ 119 5.1. Technical feasibility ............................................................................................ 119 5.2. Economic impacts .............................................................................................. 121 5.3. Environmental benefits ...................................................................................... 124 6. Comparison of alternative options.............................................................. 127 6.1. Alternative options ............................................................................................ 127 6.2. Recommended option ....................................................................................... 133 7. Part A – Final Conclusions ........................................................................... 135 PART B – Feasibility analysis of establishing a List of green and safe ship dismantling facilities ..................................................................................................... 137 8. Development of criteria ............................................................................. 139 8.1. Ship dismantling methods .................................................................................. 139 8.2. Processes for preserving individuals and their environment ............................ 140 8.3. Criteria development ......................................................................................... 142 8.4. Summary of criteria used to identify GSSDF ...................................................... 151 European Commission (DG ENV) January 2010 Feasibility of a list of “Green and Safe” Ship Dismantling Facilities and 3 a List of Ships Likely to go for Dismantling 9. Ship dismantling sector outside EU ............................................................. 153 9.1. Asian Developing Countries (excluding China) .................................................. 156 9.2. China .................................................................................................................. 163 9.3. Turkey ................................................................................................................ 167 10. GSSDF list ................................................................................................... 173 10.1. Application of the criteria developed ................................................................ 173 10.2. Total capacity of GSSDF ..................................................................................... 178 11. Feasibility assessment ................................................................................ 179 11.1. Technical feasibility and applicability ................................................................ 179 11.2. Economic impacts .............................................................................................. 181 11.3. environmental impacts ...................................................................................... 183 11.4. Social impacts .................................................................................................... 184 12. Comparison of alternative options .............................................................. 185 12.1. Possible alternative options ............................................................................... 185 12.2. Summary of options ........................................................................................... 187 12.3. Recommended option ....................................................................................... 189 13. Part B – Final Conclusions ........................................................................... 191 14. Annexes ..................................................................................................... 193 Annex 1: Terminology ................................................................................................. 193 Annex 2: Defintion of capacity units ........................................................................... 194 Annex 3: Stakeholders contacted ................................................................................ 195 Annex 4: Minutes of the 2 nd Stakeholder Workshop, 23 October 2009 ..................... 195 Annex 5: EU and International initiatives that address ship dismantling ................... 203 Annex 6: Ship type aggregations ................................................................................. 205 Annex 7: Trends of world fleet in numbers and GT, based on type of ship ................ 206 Annex 8: Forecast on the number of ships to go for dismantling, 2010-2030, (ships 25 000 GT ≥) ..................................................................................................................... 208 Annex 9: Forecast on the volume of ships to go for dismantling, 2010-2030, (GT 1000, ships 25 000 GT ≥) ....................................................................................................... 209 Annex 10: Number of some MS flagged ships likely to be dismantled in the period 2009-2030 ................................................................................................................... 210 Annex 11: Minimum requirements of the International Hong Kong Convention....... 211 European Commission (DG ENV) 4 Feasibility of a list of “Green and Safe” Ship Dismantling Facilities and a January 2010 List of Ships Likely to go for Dismantling EXECUTIVE SUMMARY The economic benefits and social and environmental risks associated with the ship dismantling industry are intensely debated all over the world. Ship dismantling is a particularly complex and highly controversial issue because of its serious environmental and social implications, alongside the economic importance in several countries. In recent years, this issue has gained importance on the international political agenda, and particularly within the European Union (EU). This study aims to support objectives of the EU strategy on ship dismantling, particularly to improve ship dismantling conditions by examining the feasibility of establishing a set of criteria to identify ships likely to go for dismantling and the feasibility of establishing a list of green and safe ship dismantling facilities. The study aims at delivering an assessment on whether
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