Management and labour in shipping: A role for co-operatives

The employment and management policies of the shipping industry are in legal and administrative confusion. The shipping industry is struggling with an unworkable global governance based on flag state sovereignty and a sanctionless international regulatory regime. Seafarers suffer most from this state of affairs, but so do the shipping industry’s public image. Few co-operatives of maritime workers exist in national or international shipping. A new employment theory is long overdue. Human centred management policies can only attain their full potential through co-operative or mutual associations. This paper describes the application of enlightened and socially conscious management principles to the shipping industry. Seafarers’ co-operatives are the future organisational building blocks of the shipping industry. Co-operatives can rescue maritime workers from developing countries from exploitation and the debilitating effects of casual labour by providing “all in one” seagoing and shore based professional careers. Seafarers’ co-operatives can solve the shipping industry’s maritime training and education problems. The seven universal principles of co-operative management will guide shipping management in setting human centred objectives that command respect of those who come in contact with the shipping industry.     

Dealing with multicultural human resources in a socially responsible manner: a focus on the maritime industry

Shipping companies’ crucial need for cost cutting is their main motive for recruiting seafarers of various nationalities and formulating multicultural teams on board ships. This paper seeks to examine ways of dealing with cultural issues by being a socially responsible company. The main point of the research is to examine how managing multicultural crews is related to the shipping companies’ and the industry’s social responsibility. An extensive literature review on the cultural issues of maritime manpower, with a focus on the working and living conditions and the management of shipping crews, reveals important aspects of the subject. This analysis is enriched with qualitative data from an on-board case study, and from a survey among crew managers and manning agents. Results show that managing multicultural human resources in a socially responsible manner requires socially acceptable behaviour towards seagoing labour from all the industrial actors.     

Lancaster sound regional study: Coastal and marine resource planning in the Canadian high arctic

Abstract

The Lancaster Sound Regional Study serves as a pilot project for regional planning in the Arctic. Probably the most biologically productive area of all arctic regions, Lancaster Sound represents a unique Canadian heritage. And since it occupies the strategic eastern entrance to the Northwest Passage, the Sound has long been a summer shipping route. Now, proposals are under review that would permit year‐round shipping of oil and gas from the Beaufort Sea by means of ice‐breaking tankers. Also proposed are the exploration and development of possible hydrocarbon reservoirs within the Sound. Actual decisions for the area's use must respect the interests of the native Inuit who have lived there for centuries as well as the preservation of the environment. This paper describes the preliminary phase of the regional planning for the region: the preparation of a public discussion paper to elicit informed comment and opinion on future uses of the Sound. It is a first step toward recommending suitable management and use options for the region.     

The enforcement of shipping standards under UNCLOS

This article discusses the enforcement of shipping standards, with a particular focus on Part XII of UNCLOS. Section 6 of Part XII contains the only comprehensive set of vessel-related enforcement provisions in the Convention, but the Part’s scope is limited to “the preservation and protection of the marine environment.” Therefore, not all shipping standards fall clearly within Part XII’s ambit, including those centered on safety, security, and crewing considerations. The enforcement provisions of Section 6 are favorable to flag states and their vessels, and Section 7 contains a number of safeguards for their benefit, so it is in the interests of these parties to have coastal state enforcement governed by Part XII. However, the ability of coastal states to establish and enforce shipping standards that apply within the territorial sea extends to more than just environmental matters. The result is that different standards give rise to different enforcement powers, depending on the maritime zone in which a vessel is located, even if those standards arise from the same international agreement. It is suggested that to remedy these problems, UNCLOS would need to be amended in order to provide a comprehensive enforcement regime for the enforcement of shipping standards.     

Shipping operations support in the “High North”: examining availability of icebreakers along the Northern Sea Route

A rather significant number of business entities already operate within (or, have considered to exploit) the Arctic region, focusing upon previously untapped resources such as precious minerals and large quantities of oil and gas; touristic and fishing activities are clearly on the rise, with various endeavors of maritime transport also being put forward. Up until recently, harsh year-long environmental conditions have significantly hindered the necessary access and transport connections in the Arctic. Even in the case that weather conditions did permit vessels’ passage, unreliable navigational aids and lack of infrastructure/support provided obstacles difficult to overcome. However, environmental data recorded during the last couple of decades clearly indicates that there is a continuous decline of ice coverage in the “High North.” Given this steady decline, the Arctic has now been viewed as a promising field for economic activities and is considered as a potential connecting corridor between Asia and Europe/America (and vice-versa). As human presence and operations are expected to intensify there, it is of utmost importance to evaluate the current level of support towards ships that will be crossing the region; capabilities in relation to search and rescue (SAR) operations and oil spill response are also important. The analysis in hand will first deliver a discussion of the so-called Arctic Passages. While various different maritime routes have been proposed in relation to the Arctic, the most promising one, the Northern Sea Route (NSR), will provide the epicenter of discussion. Through an extensive literature review that includes numerous internet resources, the current analysis will identify the numbers of icebreakers already operating in the NSR, as well as those that will be commissioned into service in the near future. The choice to research the specific type of vessels is supported by a simple argument: icebreakers currently are and will continue to be in the foreseeable future the main “tool” to support shipping activities in the Arctic. Furthermore, emergency management capabilities in the Russian Arctic will be examined to include the current state of rescue coordination centres along with the availability of SAR assets. Additionally, the efforts thus far by the Arctic Council to increase coordination and interaction among the States involved in Arctic affairs will be summarized; the latter will be achieved via a brief review of a very important legally binding agreement: the “search and rescue” instrument. In conclusion, the Russian State has already heavily invested in icebreakers’ building and their current number is fully capable to handle the present level of limited traffic. On the other hand, ships are currently faced with long distances to cross (often without adequate support) adverse environmental conditions, unpredictable hurdles, and slow response times in case of an emergency. Therefore, in case ships operating in the region are increased, it will be difficult to deal with all the additional demands for support. Of particular interest is the fact that considering the vast area of the NSR, the overall available response capabilities in the region under discussion are rather thin; any further increase of maritime traffic in the “High North” must be balanced with additional strengthening of emergency management capabilities. In any case, should the NSR become fully integrated in the global maritime transport system, Russia’s geopolitical status will be clearly improved and further research is needed to discuss the implications both at the regional and global levels.     

The melting Arctic and its impact on China’s maritime transport

The shrinking of Arctic ice triggers off a new round of competition and dispute in this region, among traditional Arctic states and non-Arctic actors. Like its East Asia neighbours, China sees the melting Arctic Ocean a unique opportunity for itself and international trade generally. The changing physical landscape of the Arctic region will certainly have a major impact on China’s economic future which is very dependent on international shipping. This paper assesses the impact of the ice-free Arctic on the development of marine transport industry in China. The author discusses the potential new routes with the Arctic’s melting and the opportunities that it brings to China’s maritime transportation industry. Challenges that China faces in future shipping through the Arctic will be also addressed from political, legal, economic and environmental dimensions, followed by a preliminary exploration of ways to solution of these challenges.     

Viability of transarctic shipping routes: a literature review from the navigational and commercial perspectives

The continuous ice retreat in the Arctic has fueled speculations of new transarctic shipping routes to be operational soon. While the media vigorously propagates the great potentials of these routes, researchers have accessed the feasibility of opening of transarctic shipping routes from various perspectives; diverse and some polarized conclusions have emerged. This paper aims to critically review the studies that examine the necessary conditions and requirements that make transarctic shipping routes sufficiently viable. We mainly focus on two aspects: navigation conditions and commercial features. Selected studies are analyzed and compared in depth. Finally, possible future research directions are put forward.This article is a revised and expanded version of a paper entitled Viability of Transarctic Shipping Routes: An Overview, presented at the International Conference on ‘Global Integration of Economies and Connectivity Development’ in Taiwan on 31 August 2015.     

Private maritime security company (PMSC) in the Strait of Malacca

Recently, maritime security issues in the Strait of Malacca have been in the limelight. Statistics highlighting the risk of piracy faced by shipping in the Strait of Malacca and the possibility of a terrorist attack have led to an enhanced awareness of the need for heightened security. The declaration by Lloyd’s Joint War Committee (JWC) of the Strait as a “war risk area” has strengthened the perception that the littoral states have not done enough to make the Strait secure for international trade.     

Maritime security and seafarers’ welfare: Towards harmonization

This article examines the negative situation surrounding seafarers’ welfare in the post 9–11 shipping world. Its main focus is the denial of shore leave which has become a prime source of disharmony since the implementation of post 9–11 security measures. It discusses the implementation of these measures which has been at the expense of seafarers’ customary right to shore leave.     

Climate change and the prospects of increased navigation in the Canadian Arctic

There is wide recognition that the process of climate change may be affecting the Arctic region at a faster pace than other regions. What is uncertain is the full impact of climate change on ice cover, and in particular whether there will be a significant decrease of summer ice from the current three months to a longer period and accompanied by navigation conditions suitable and safe for commercial shipping. New international navigation routes through the Canadian and Russian Arctic sectors could significantly reduce the length of sea voyages from Asia to North America and Europe. However, on the basis of what is known to date, there are significant differences of view as to the feasibility of international commercial navigation in the Northwest Passage.     

Arctic shipping scenarios and coastal state challenges

The Arctic Council, an intergovernmental forum of the eight Arctic states, is currently embarked on a comprehensive assessment of Arctic marine activity in the 21^st century — the Arctic Marine Shipping Assessment (AMSA). One of the challenges for theAMSA study team has been to identify the major uncertainties that will be central to shaping the future of Arctic marine use in 2020 and 2050. Using scenario planning, AMSA has identified two primary drivers and uncertainties: (A) Resources and trade; and, (B) Governance. Four scenario narratives have been developed with these two, key uncertainties as the framework elements. The main arguments focus on the fact the Arctic has experienced globalization early in the century and that the global maritime industry has already ventured into the Arctic Ocean. Marine access in the Arctic Ocean is also changing in unprecedented ways and the extraordinary transformation Arctic sea ice is undergoing — thinning, extent reduction, and a reduction in the area of multiyear ice in the central ocean — has significant implications for longer seasons of navigation. However, the high prices of global commodities such as oil, gas, and hard minerals (for example, copper, nickel and zinc) have generated high levels of demand for Arctic natural resources. The Arctic states are challenged by an overall lack of maritime infrastructure to adequately support current and future levels of Arctic marine operations; ports, communications, environmental monitoring, search & rescue, incident response, aids to navigation, and coastal charting, to name a few, require substantial and timely investment by the coastal states and marine operators. A second challenge is the ongoing development of an integrated system of rules and regulations governing Arctic navigation that will enhance marine safety and ensure marine environmental protection throughout the basin. These challenges will require historic levels of cooperation among the Arctic states and broad engagement with the many, non-Arctic stakeholders and actors within the global maritime industry.     

The 50<Superscript>th</Superscript> anniversary of container shipping the Admiral Sheldon Kinney (USN) lectures

The paper offers a historical overview of the container revolution. It starts from the origin more than 50 years ago, presenting how the pioneer Malcom McLean came to this idea that has changed the nature of Shipping. It then presents how and why container shipping was gradually accepted and what has been the main trends during the last 50 years: the increase in vessels’ and containers’ size and in vessels’ speed. Finally, the paper investigates what the future will bring and notably sheds light on the increase in containers’ size and on the improvements in terminal and rail services.     

The impact of low sulphur fuel requirements in shipping on the competitiveness of roro shipping in Northern Europe

Annex VI of the MARPOL Convention aims for a reduction in sulphur oxide emissions from ships. The limits applicable at sea in Emission Control Areas (ECAs) were reduced from 1.5% to 1% in 2010 and are planned to be further reduced to 0.1%, effective from 1 January 2015. This paper analyses the impact of the International Maritime Organization’s Tier II/III standards introduced by Annex VI amendments adopted in October 2008 on costs and prices of roro (roll on/roll off) traffic in the ECAs in North Europe and on the competitiveness of roro shipping in the ECAs compared to trucking. We demonstrate that the new Annex VI agreement may be quite costly for the participants in the shipping industry and will result in higher freight rates. Based on a detailed price analysis on modal competition between the roro/truck option and the ‘truck only’ option on thirty origin–destination routes linked to the ECAs, we conclude that the use of low sulphur fuel is expected to increase the transport prices particularly on the origin–destination relations with a medium or long short sea section. The paper also presents the results of a survey among leading short sea operators in the ECAs in view of providing more insight on expected modal shifts and price elasticity in the short sea market.     

A comparative analysis of the European and North-American approaches to dealing with major oil spills

Background  

The question of what should be the right level of preparedness to react to a major oil spill (i.e. the EXXON VALDEZ spill, the ERIKA spill, and the PRESTIGE spill) is highly debated, especially in the aftermath of such spills. Little research, however, has been conducted with the aim to identify and compare governments’ best practices not only to fund preparedness measures but also to assess the countries’ ability to respond effectively to catastrophic oil spills. It is the author’s belief that important lessons can be learnt from a comparative analysis of countries’ best practices.     

Arctic tanker risk analysis project

This paper summarizes the interim Phase II results of the Arctic Tanker Risk Analysis Project, which examined the risk of oil shipment by tankers in the Canadian Arctic. The objectives were to identify the hazards most likely to produce an oil spill on the MV Arctic, and to institute measures to reduce that risk. Phase I indicated that a high potential exists for a shipping accident at the terminals, the St. Lawrence River and in the High Arctic. However, environmental sensitivity was shown to be greatest along the coastal zone of the Gulf of St. Lawrence and the St. Lawrence River. Phase II involved further examination of environmental sensitivity and the task of ice navigation. These results resulted in a revised risk profile. Three spill scenarios were then designed to estimate clean-up costs and other economic impacts. A cost effectiveness analysis was conducted which compared spill costs to risk mitigation. As the project enters Phase III, the scope has widened to include all product tankers operating in the Arctic. A new Canadian Standards Association Risk Management Standard Q850 is being implemented with the objective of providing prototype tanker Bridge Risk Management System software.     

香港船王的航运低谷

香港拥有世界上最庞大的独立商船队，在上世纪八十年代的世界航运危机中，香港众船王采取了不同的策略，从而导致了截然不同的企业发展轨迹。今天，当世界金融危机演变成经济危机，进而侵袭航运市场时，航运业再一次面临着非常严峻的考验，寒冬中如何求得生存发展，回眸香港船王们当年的决策得失或许对我们今天有着积极的现实意义。     

Economic feasibility of an NSR/SCR-combined container service on the Asia-Europe lane: a new approach dynamically considering sea ice extent

The trend towards global warming and the rapid decline in the extent of summer Arctic sea ice over recent years has increased the feasibility of international Arctic shipping. In this study we propose a seasonal NSR (North Sea Route)/SCR (Suez Canal Route)-combined shipping service linking Shanghai and Rotterdam, using the Northern Sea Route during the economical navigable window but using the traditional Suez Canal Route at other times. Different from the previous literatures, this paper dynamically considers the sea ice extent in the model, which is more reasonable for the assessment of Arctic container shipping, because fuel consumption is highly related to ship speed, while ship speed is determined by the relative distances of ice-covered and ice-free route stages. A new approach is developed to predict the time points at which the ship enters and exits the ice-covered stage, given that both the ship position and the extent of sea ice are constantly changing. The results show that the NSR/SCR-combined Arctic container service can be more economical than the SCR, given lower NSR tariffs.     

The Third United Nations Conference on the Law of the Sea: the Sixth Session,New York, 1977

This paper highlights sources of finance for Soviet shipping companies. These include the fund for the development of production, science and technology, the shipping company's foreign currency fund, loans and centralized sources. Particular attention is paid to the structure of these funds and their purposes. Activities of the commercial shipping bank (Morbank) set up in 1989 are described.     

我国北极通航瓶颈问题分析

随着全球气温变暖趋势的显现,北极通航问题日益受到各方面的关注但是要实施北极通航,必须对可能面,临的困难和问题有清楚的认识文中从法律法规、环境保护、船舶和航行奈件,以及船员培训和认证等方面,对中国实施北极通航可能存在的一些瓶颈问题作了初步分析,可为从事北极通航问题研究人员提供参考     

Ports in Proximity – Competition and Coordination among Adjacent Seaports,edited by Theo Notteboom,Cesar Ducruet,and Peter de Langen

The summer minimum extent of Arctic sea ice shrank drastically in these years, and the opportunity on Arctic international shipping emerged. The Northern Sea Route (NSR), formerly blocked by permanent ice, was completely ice-free in September in the past 3 years. Because this route is much shorter than conventional Asia–Europe shipping lane, many maritime countries have paid attention to exploit the enormous potential of the Arctic Ocean from economical consideration. This study measured the economical advantage of the seasonal NSR by calculating the shipping cost saved.