Urano japan's efforts on ship recycling issues

Japan’s Efforts on Ship Recycling Issues

Yasuhiro Urano

Manager of Regulations Unit / Chief Researcher Japan Ship Technology Research Association (JSTRA) (MSEA - Class of 2012, WMU) 9 April 2013 - SHIPREC2013

Contents  Introduction  Current condition of the industry  Japan’s efforts for the reformation of the industry  Conclusion

Introduction  Ship Recycling = environmentally friendly…?  Major ship recycling countries (97% of total): Bangladesh,

China, India, Pakistan, Turkey

 Beaching method …environmental risks

 Issues on occupational safety and health  Basel Convention, 1989  Hong Kong Convention, 2009

Current condition of the industry  Potential Hazards of Ships - Asbestos - Lead and other heavy metals - Organic tin compounds like TBT - Toxic and persistent organic compounds such as PCBs

Current condition of the industry  Issues on Occupational Safety and Health - Insufficient training & human resources - Inappropriate or no PPE (personal protective equipment) - Exposure to explosion, fire, slip/drop, suffocation, falling steel plates Ø Some improvements can be seen recently… but problems still exist.

Several years ago

Recent pictures (Shameem, 2012)

Current condition of the industry  Environmental Risks  Land and marine pollution - Residual oil, heavy metals, TBT, PCBs  Air pollution - Burned toxic chemicals (such as TBT, PCBs) - Ozone-depleting substances (such as HCFCs)

Current condition of the industry  Causes of substandard operations - Cheap labor costs (minimize costs & maximize profits) - Lack of regulations or limitation of their enforcement - No liability for any damage by ship recycling activities

 Local efforts - i.e. Bangladesh: Ship Breaking and Recycling Rules (Dec 2011) - i.e. India: Industrial Code (2013), Supreme Court Order (2007), GMB Ship Recycling Regulations (2003), Training development

Japan’s efforts for the reformation of the industry  Why is Japan relevant to ship recycling issues?

- Merchant fleet

Source: UNCTAD

Japan’s efforts for the reformation of the industry  Why is Japan relevant to ship recycling issues?

- Shipbuilding

Source: IHS Fairplay

Japan’s efforts for the reformation of the industry  Why is Japan relevant to ship recycling issues?

- Ship Recycling issues… ships’ entire lifetime - Japan is a key player in all phases leading to recycling phase

Highly responsible for addressing the issues related to recycling phase!

Japan’s principle efforts Entry into force of the HKC

Short-­‐term efforts Class Society

Prepare national enforcement (Legislation / IHM control system)

-IHM management software (ClassNK) -IHM development practice (ClassNK, JSTRA, etc.)

Government

Support existing recycling yards in Japan and foreign countries

-Alang & Sosiya, India (Government)

Support

Three Principles:

Develop a new ship recycling method

-Muroran project (NPO “Ship Recycle Muroran”) -Research on technologies to enhance SR (Government, JSTRA, JMS, etc.)

1. Multi-stakeholders involvement Medium-­‐ / long-­‐term efforts 2. National and international cooperation 3. Short-term and long-term efforts

Shipbuilding & Ship Machinery

Collaborate

Popularize the new method for ship recycling in Japan and globe

Reduce

Reuse & Recycle Other Industries

Promote 3R: “Reduce” “Reuse” “Recycle” – Minimize hazardous materials in ships/ship machineries – Downsize ship machineries and reduce their weight – Design ship structures/equipment for easy disassembling – Control info on reusable and recyclable materials on board

Time

Support to recycling yards in India  India Ship Recycle Project – as an ODA program - Reformation of existing ship recycle yards (Alang & Sosiya areas) - Establishment of a common facility for extracting hazardous materials (dry dock) - Construction of oil & waste treatment facility Now under the process to make an official request to the Japanese government

Sosiya Area abt 76 plots

Alang Area abt 96 plots

Oil & Waste Treatment Facility

Pilot Project Site with improvement in line with HKC’s requirements

O il T reatm ent

350m x 60m Dry Dock as Common Facility

Trial of a new ship recycling method in Japan: “Muroran Project” To seek a new ship recycling industry model in Japan…  A pilot project was conducted by the Muroran Ship Recycling Study Group in 2010 (Muroran, Hokkaido) - PCC demolition experiment utilizing vacant port wharf - A new technology and advanced techniques - Research on recycling of steels - Cost analysis

Pure Car Carrier “New York Highway”

Muroran Project - Demolition Experiment  Full satisfaction of the requirements of the Hong Kong

Convention to clear safety and health / environmental risks - IHM development and authorization (by ClassNK) - SRFP & SRP development - Afloat method - Properly trained and qualified workers - Safety management structure - Waste stream management

Muroran Project -A New Technology and Advanced Techniques  Water-jet cutting machine

- newly developed!! (no fire generation for safety)  Automatic cutter

(enhance work efficiency)  Oxygen lance cutting

(enhance work efficiency)  Saber saw cutting

(no fire generation for safety)  Labounty shear cutting

(enhance work efficiency)

Muroran Project -A New Technology and Advanced Techniques  Three-layer method

*specific to PCC demolition (enhance work efficiency)

 Caisson dock

(pollution prevention)

 Paint removal sheet

(pollution prevention)

Muroran Project -Research on recycling of steels  Made cast irons and steels  Tested the qualities of these materials  As a result…

Scrapped irons and steels are considered to be reusable as high value-added products

Muroran Project -Costs for the pilot project  Costs for recycling 11,250 LDT (PCC):

390 million JPY for the pilot project (fixed case: 165 million JPY)  Price of the ship: 243 million JPY  Total sales (steels, equipment): 421 million JPY

 Break-even point of total costs: 339 million JPY Ø About 20% decline in total sales will be manageable Ø Under the “low” ship price: 220 USD/LDT

(China and the Indian subcontinent: 400-500 USD/LDT)

Muroran Project -Further efforts to be continued…  After the pilot project…

- Proposal 1: Give incentives to shipowners and stakeholders - Proposal 2: Reduce recycling costs - Proposal 3: Promote high value-added production  Currently…

- Muroran Ship Recycling Study Group became a NPO named “Ship Recycle Muroran” in December 2012 - 5 sub-groups are separately proceeding the project based on the above proposals

3R: “Reduce” “Reuse” and “Recycle”  These Japan’s efforts (IHM/Support to India/Muroran

project) belong to a larger plan of “3R” to be addressed on long-term basis.

Reduce: Shipbuilders and suppliers should reduce hazardous materials included in their products and replace them with substitutable safe materials as much as possible. In parallel, the government is requested to develop certain systems to incentivize these actions.

For effective use of resources, downsizing and weight reduction of ship machinery should be promoted conforming to the safety and environmental criteria.

Reuse and Recycle: In order to efficiently reuse and recycle ship structures and equipment, they should be designed to make them easy to disassemble in consideration of work efficiency in the stages of disposal and recycling.

As well as the case of the IHM, information on reusable and recyclable materials should be controlled to enable their efficient sorting in ship recycling yards.

Conclusion  Early entry into force of the Hong Kong Convention is necessary

for the reformation of the whole industry.  Some ship recycling yards still have safety and environmental

risks, even though there are significant efforts and reformations.  Japan is responsibly and proudly trying to contribute to the

reformation of the industry (IHM control systems / HKC enforcement support / new ship recycling method).

Special thanks to: Mr. Yasuo Nakajo, Japan Marine Science Inc. Dr. Shimizu Kazumichi, Muroran Institute of Technology

Presented by Yasuhiro Urano E-mail to: urano@jstra.jp