Executive Committee meeting held virtually 9 October 2020 11:00 to - PowerPoint PPT Presentation

Executive Committee meeting held virtually 9 October 2020 11:00 to 13:00 London time 1

Executive Committee meeting held virtually 9 October 2020 11:00 to 13:00 London time ➢ with Mare Forum technical support ➢ participation guidelines Anti-trust and Competition Law Compliance Statement INTERCARGO is firmly committed to maintaining a fair and competitive environment in the world shipping trades, and to adhering to all applicable laws which regulate shipowners and their representative bodies in these markets. These laws include the antitrust laws, which the United States of America, the European Union and many nations of the world have adopted to preserve the free enterprise system, promote competition and protect the public from monopolistic and other restrictive trade practices. All meetings of INTERCARGO will be conducted in compliance with such laws and regulations. As part of those Guidelines, neither INTERCARGO nor its members shall engage in any discussion on or agree upon: fixing of terms, prices, rates; matters relating to particular customers or suppliers; boycott or blacklist particular customers or suppliers; divide markets or customers; otherwise seek to distort competition. All advice to members on, inter alia, chartering terms including information on model clauses shall be non- binding and for information only. Executive Committee meeting 2 9 October 2020

Executive Committee meeting 3 9 October 2020

MINUTES OF PREVIOUS MEETING DISCUSSION (circulated electronically – draft version dated 14.11.2019) DECISION / ExCom to approve ENDORSEMENT Welcome by the Chairman Executive Committee meeting 4 9 October 2020

The discussions held at the Technical Committee meeting the preceding day and relevant recommendations will be presented by the Technical Committee Chairman for approval, where relevant. ExCom to approve The Executive Committee will also Review the INTERCARGO Work Programme / 2020 relevant survey Executive Committee meeting 5 9 October 2020

CURRENT WORK ITEMS Executive Committee meeting 6 9 October 2020

Executive Committee meeting 7 9 October 2020

• Regular industry COVID-19 Co-ordination and Task Force meetings since April • Updates on INTERCARGO’s website • INTERCARGO’s relevant Media Releases : o “World Maritime Day 2020: Sustainable shipping for a sustainable planet” ( Sep. 24 ) o “Crew change: Drastic measures needed now” ( July 27 ) o Day of the Seafarer: “Slow Response from Governments Pushing Seafarers to their Limits” ( June 24 ) o Urgent video message: “Crew Change – time is running out” ( June 12 ) o “Crew Change for ‘Key Workers’ at Sea Must be Top of the Industry’s Agenda” ( April 28 ) o “Coronavirus poses major challenges for seafarers on merchant ships from increasing restrictions imposed by port states” ( March 17 ) • As well as interventions at IMO and other international fora …. Executive Committee meeting 8 9 October 2020

• IMO and relevant initiatives ; International Transport Workers Federation (ITF), International Air Transport Association (IATA),…. • Resistance from nations’ health and immigration authorities, airlines and even some governments themselves Executive Committee meeting 9 9 October 2020

➢ 0828-EX-F- On a dry bulk sector quality self-assessment scheme (internal update) consolidating the DRY-SAS and DBMS schemes Reference: supporting slides Executive Committee meeting 10 9 October 2020

Executive Committee meeting 11 9 October 2020

GHG Emissions GHG short term measures ➢ IMO Marine Environment Protection Committee: MEPC 75 (16-20 November 2020) ➢ 7th Session of IMO’ Intersessional Working Group on the Reduction of GHG Emissions - ISWG-GHG 7 (19-23 October 2020) ➢ Informal discussion session on short-term measures for reduction of GHG emissions from ships (5-6 October 2020): Executive Committee meeting 12 9 October 2020

GHG Emissions GHG short term measures Current framework of discussions at IMO : • two approaches: technical and operational • technical approach : Energy Efficiency Existing Ship Index ( EEXI ) • operational approach: Carbon Intensity Indicators ( CII ); a carbon intensity rating mechanism; strengthening of the Ship Energy Efficiency Management Plan ( SEEMP ) • Proposed compromise solutions include potential combinations e.g.: o Option 1: mandate use of CIIs upfront, but first collect data during 3 years based on which to determine (in 2026) the required values ships would need to comply with. o Option 2: mandate from the beginning both the use of CIIs and the required values ships would need to comply with. Ships not being compliant with the required value will have to apply corrective actions in 2024. o Option 3: like Option 2 but no measures to be taken for the first 3 years on ships not meeting the required CII values they would need to comply with . Reference: ExCom notes_Agenda Item 4 Executive Committee meeting 13 9 October 2020

GHG Emissions Regional initiatives: EU ETS ➢ risks causing trade retaliation, an increase in emissions and the decline of European ports. ➢ basically a money collection mechanism, fundamentally disconnected from the work at IMO, and risks undermining a global GHG solution ➢ regional regulations → ineffective, as they create distortions and multi-tier markets, or even trade tensions The IMO to ensure a level playing field globally Executive Committee meeting 14 9 October 2020

GHG Emissions 4 th GHG study 2008-2018 • international shipping • share of global CO2 emissions practically constant at 2% • significant improvements in carbon intensity: 21%-29% better than in 2008 • bulk carriers : EEOI reduction by 37.8% from 2008 to 2018 for voyage based (40.2% for vessel based calcs) • a 40% increase in seaborne trade • total CO2 emissions from shipping fell by 10%. Executive Committee meeting 15 9 October 2020

GHG Emissions 4 th GHG study for the period up to 2050 ➢ total shipping emissions increasing from about 90% to 130% of reference year 2008 levels for a range of plausible long-term socio-economic scenarios ➢ the share of international shipping expected to be constant ➢ To be appreciated against the growth our world will experience in global population , GDP , and maritime transport work . Executive Committee meeting 16 9 October 2020

GHG Emissions R&D proposal / medium-longer term measures and challenges The industry needs fuel/energy suppliers, engine manufacturers, shipbuilders and charterers to achieve IMO’s objectives Executive Committee meeting 17 9 October 2020

Executive Committee meeting 18 9 October 2020

• Bulk carrier Casualties / incidents • Cybersecurity & Piracy • Ship recycling • Human Element Reference: ExCom notes_Agenda Item 5 Executive Committee meeting 19 9 October 2020

Executive Committee meeting 20 9 October 2020

Executive Committee meeting 21 9 October 2020

➢ 2018 annual surplus: GBP 520,596 ➢ 2017 annual surplus: GBP 170,746 ➢ 2016 annual surplus: GBP 130,590 Executive Committee meeting 22 9 October 2020

Executive Committee meeting 23 9 October 2020

Intercargo Period to Period to Income & Expenditure 31/08/2020 31/08/2019 £ £ Income 1,156,524.55 1,126,527.93 Membership Fees received 1,149,703.55 1,120,602.93 further increase in annual Membership income Publications / Publications Advertising 6,621.00 5,925.00 Other income 200.00 Staff Costs (326,637.32) (292,891.71) Gross salaries (261,814.14) (235,482.12) Employer's N.I. contributions (30,970.60) (25,145.12) Staff pension costs (35,211.17) (20,131.92) Travel Insurances 4,734.35 (1,113.28) Other staff costs (3,375.76) (11,019.27) Premises Costs (46,015.05) (32,436.07) higher rental and related costs in new independent office (32,036.67) Rent (35,325.00) Rates (7,602.24) Insurance (668.57) Cleaning (530.00) Repairs & maintenance (84.03) Service charge (Intertanko) (24.00) Office refurbishment (1,062.00) Office furniture (209.96) Sundry premises costs (509.25) (399.40) decrease in costs due to (COVID) cancellation of travels & events Meeting/Travel (16,251.73) (49,195.27) Travelling expenses - Fares (9,055.74) (10,285.04) Travelling expenses - Hotels (2,208.52) (29,636.87) Travelling expenses - Subsidence (434.37) (1,130.40) Entertaining (114.06) (3,868.21) Meeting expenses (4,439.04) (4,274.75) Executive Committee meeting 24 9 October 2020 …