CMA CGM has signed two agreements: an order for 10 new 15,000 teu containerships at China State Shipbuilding Corporation (CSSC), to be delivered from 2021 to replace 10 of CMA CGM existing fleet and; and an agreement to jointly develop more efficient and environmentally-friendly vessels. Five of the newbuilds will be fitted with LNG propulsion at Jiangnan Shipyard, priced at $130m per ship, while another five will be built at another unconfirmed CSSC yard, likely Hudong-Zhonghua, fitted with hybrid scrubbers and priced at $110m per ship. Both agreements were signed in the presence of French president Emmanuel Macron and Chinese president Xi Jinping.
The International Transport Forum is calling for constructive dialogue with the World Shipping Council. The call comes from the ongoing debate over whether or not the European Commission should extend container shipping’s block exemption regulation (BER) after the council claimed that the BER’s chief opponent, Olaf Merk based his recommendations to rescind the exemption on insufficient data. Merk’s primary argument against the exemption is that liner alliances now have too strong a market share to necessitate the special treatment they have received from Brussels.
A Maltese special operations team boarded a tanker to retake control after it was hijacked by a group of migrants that it had rescued at sea. In all, the Turkish tanker had rescued 77 men, 19 women and 12 minors. Once brought into port, armed military personnel stood guard on the ship's deck while several police vans were lined up on shore to take custody of the migrants for investigation, and five migrants were led off the ship in handcuffs.
As provided for under the new Services Fee Act, all government fees that are subject to the Act will increase by 2.2% effective April 1, 2019. This will include the Canadian Coast Guard Marine Navigation Services Fee, Transport Canada's inspection fees, and Canadian Food Inspection Agency fees.
The Service Fees Act changes the Government of Canada’s approach to fees for services, and how departments create more transparency for Canadians.
The act requires government departments to:
• report on costs of services we deliver
• publish fee revenues
• issue fee remissions and report on them
• establish service standards and make them accessible to the public
• track and report on performance results
• adjust fees for inflation, per the Consumer Price Index
Each new requirement of the act has a different start date:
• Service standard review by June 2018
• Applying inflation (Consumer Price Indexing) on April 1, 2019
• Implementing a department remission policy on April 1, 2020
Adjusting regulatory fees for inflation
Starting April 1, 2019, the Government of Canada will adjust fees according to the Consumer Price Index, also known as inflation.
The Consumer Price Index is a percentage set by Statistics Canada each year. To set the index, Statistics Canada uses an average of price changes for predefined consumer goods and services, including transportation, food and medical care.
The rate of 2.2% will apply to most regulatory fees as of April 1, 2019. Note that since inflation is calculated on an annual basis, a new inflation rate will apply every April 1.
SSB: 04/2019 Hydrostatic testing of pressure containers under the Vessel Fire Safety Regulations
This bulletin applies to Canadian vessels that are of
• more than 15 gross tonnage; or
• 15 gross tonnage or less and carrying more than 12 passengers.
The VFSR set out requirements that must be met for hydrostatic testing of pressure containers (cylinders), such as fire-extinguishing agent bottles. Section 1.49 of the Transportation of Dangerous Goods Regulations (TDGR) outlines the pressure cylinder marking and product approval requirements for transportation of pressure cylinders to shore facilities for refilling, exchanging or requalification from a Canadian-flagged vessel.
SSB: 05/2019 Safety measures concerning life-saving appliances
This bulletin applies to all Canadian vessels.
This bulletin reminds the marine community of some well-established safe practices for life-saving appliances. The recommendations and information provided in this bulletin are complementary to the applicable legal obligations.
The Government of Canada has announced that six international organizations will receive more than $4.1 million for research projects that will help improve protocols and decision-making to minimize the environmental impacts of oil spills. The recipients include: Commonwealth Scientific and Industrial Research Organisation; Johns Hopkins University; New Jersey Institute of Technology; SINTEF Ocean; Texas A&M University; and Woods Hole Oceanographic Institution. These projects are part of the $45.5 million Multi-Partner Research Initiative, announced last year to leverage collaboration among oil spill experts in Canada and abroad to ensure we have the capability to provide the best scientific advice and tools to respond to oil spills in our waters. The Multi-Partner Research Initiative will support a variety of different but interrelated research projects on alternative response measures for oil spills while facilitating partnerships among the best researchers across Canada and around the world. These collaborative efforts will improve our knowledge of how oil spills behave, how best to contain them and clean them up, and how to minimize their environmental impacts.
Richardson is no longer the only Canadian canola producer being shut out of the Chinese market. There are now 18 members of the group that represents the industry in Canada, including Viterra Inc., Louis Dreyfus Company, Cargill Ltd. and Parrish & Heimbecker Ltd. which say that their contracts to sell in China are drying up. Canada's Minister of Agriculture Marie-Claude Bibeau said China only recently agreed to have scientists assess the claim that they have found organisms in Canadian canola, after they claimed that about Richardson's. About 40 per cent of Canada's canola seed exports last year went to China, worth about $2.7 billion. Canada also sent about $1 billion worth of canola oil to China, and about $500 million worth of canola meal. Up until the recent disruption, Chinese demand for Canadian canola has been strong, the group says.
The Montreal Port Authority (MPA) and LOGISTEC Corporation have announced that Viau Terminal will undergo construction to increase its handling capacity by 250,000 TEUs, bringing its total capacity to 600,000 TEUs. The project will help the MPA to accommodate anticipated growth in the container sector, When the expansion is fully operational in December 2020, Viau Terminal will generate 2,500 direct and indirect jobs, as well as $340 million in economic benefits. The terminal will continue to apply new technologies, including electrification and the noise mitigation systems. This is the final phase of Viau Terminal's construction, and was largely funded through investments from the MPA, LOGISTEC and the federal government.
Canship Ugland and Suncor who jointly operate the bunkering vessel, CL Aquarius, has announced that upgrades to its home berth at Roger’s Sugar have been completed, providing shore power to the vessel. The infrastructure was installed and commissioned with the assistance from Lantic Sugar electricians as well in-house technical expertise within Canship’s company.
The Transportation Safety Board is investigating a vessel colliding with another at anchor in Vancouver Harbour early Sunday. The Caravos Harmony was laden inbound for bunkers when the collision with the Pan Acacia occurred. No injuries or pollution resulted from the collision. The hull of the Pan Acacia was punctured above the water line and is awaiting repairs while the investigation continues.
The Vancouver Fraser Port Authority has issued a Notice of Amendment to the Port Information Guide. The amendments include
Comments or concerns re the proposed amendments must be submitted in writing to the VFPA by April 18, 2019.
The BC Court of Appeal will hold a five-day hearing to consider provincial powers in the political battle over the future of the Trans Mountain pipeline expansion project. The BC government is seeking the ability to restrict the transport of oil through its territory and restrict bitumen shipments from Alberta. The Court will determine whether the proposed amendments in BC’s Environmental Management Act will be valid or overridden by federal law.
A letter from Finance Minister Bill Morneau has indicated that exploratory talks may soon be underway with Indigenous groups on possible equity and revenue-sharing arrangements on the Trans Mountain pipeline expansion project. Key discussion points will be on the opportunity for meaningful economic participation in the project and the economic development of their communities in keeping with the spirit of reconciliation.
The 2019 Federal Budget was tabled earlier this week. With a focus on securing voters, it contains little in the way of substantial opportunity to address competitiveness, productivity, and investment certainty. It offers billions in targeted support for students, seniors, first-time homebuyers, workers and national pharmacare. Overall, it is projecting a $19.7 billion deficit for 2019-20.
On the marine front, topics that were addressed include:
Fisheries and Oceans Canada will be starting a new aerial operation in 2020 with the use of a new surveillance plane. The plane is set to help spot any illegal fishing activity in the waters off Vancouver Island. The aircraft will operate out of Campbell River, with additional planes operating out of St. John’s and Halifax. In addition to illegal fishing, the planes can also gather information about vessel movement, environmental conditions, pollution levels and species.
The Port of San Diego has released an economic impact statement that says the port generated $9.4 Billion for the local economy in 2017, a 13 percent increase over previous years, and a 22 percent increase over the previous four years. There were more than 44,300 jobs on the Port’s waterfront, including shipbuilding and cargo handling, tourism and hospitality jobs. Through a multiplier effect, approximately one in 30 San Diego County jobs were generated by the Port. The overall economic impact also measured activity in and surrounding the port, including hotel booking, conferences, processed cargo, cruise ships, etc.
The International Chamber of Shipping has published the latest update of its Flag State Performance Table. The report provides an indication of the performance of individual flag administrations, using information available in the public domain. The purpose of the table is to encourage ship operators to examine whether a flag state has substance before using it and to put pressure on their current flag administrations if improvements might be needed.