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NYK recycles its first vessel in Bangladesh following HKC certification.
By Sea and Coast | 14/03/2023
The inaugural direct sale of a ship from shipping operator NYK to PHP Ship Recycling in Chattogram, the industry is celebrating a milestone after years of stress on the shipbreaking business, particularly in growing nations like Bangladesh. The ship's beaching late last week was a significant development given that it came and over three years after the shipyard became the initial in the nation to receive certification and under financial pressure on the sector.
The dismal track record of Asian scrapyards in general, and Bangladeshi scrapyards in particular, has drawn the ire of watchdog organisations. They highlight the absence of worker protection, the poor safety records, and the yard pollution.
In an effort to address this, PHP Ship Recycling signed the Hong Kong Convention (HKC), which the IMO approved in 2009. The yard became the first acknowledged sustainable green vessel recycling in Bangladesh when it received a statement of approval from ClassNK in January 2020. I've been able to get my hands on a couple of the books I've been wanting to read for a while.
"This feat is no small accomplishment. The facility's concrete flooring and slipway were built, the best equipment was purchased, and intense employee training was undertaken over the course of 12 years, according to Mohammed Zahirul Islam, executive director of PHP. "To date, $11 million has been invested on all of this."
Almost 500,000 square feet of the yard are located at the Bay of Bengal's border. They claim to have a 160,000 MT LDT yearly recycling capability.
Before deciding to agree to sell any vessels for recycling, NYK emphasises that it also sent out an investigation committee to the shipyard to certify it. They claimed that their environmental, safety, occupational safety, and human rights-focused criteria are more stringent than those set forth in the Hong Kong Convention. In addition to thirty in India, three in China, and one in Turkey, PHP became the first yard to receive a NYK certification in Bangladesh.
NYK provided PHP with the general cargo ship Kamo (9,433 dwt) for recycling. The warship, which was constructed in 1998, made its two-week journey from Ras Laffan, Qatar, to the yard in Chattogram. She washed up on the beach on March 9, but according to the shipyard and NYK, a supervisor will stay on site to monitor the recycling procedure and make sure it is carried out in accordance with the rules.
Given the burden on Bangladesh's shipbreaking yards, this is particularly important for the sector there. According to reports, up to 80% of the shipyards have collapsed in the last three years. They have faced pressure from cheap costs and financial difficulties brought on by the country's fragile economy, in associated with environmental considerations.
A second yard adopted PHP's strategy and just last week revealed that it had been acknowledged by ClassNK as being in accordance with the Hong Kong norm in light of the possibilities from obtaining green certification. The yard at Shitalpur, Sitakunda, was able to complete the required employee training thanks to GMS, the largest cash purchaser for ships, and GMS's Resilient Ship & Offshore Recycling Program. The programme provided technical support and direction to S.N. Corporation employees throughout the certification phase to ensure an aided end-to-end solution for viable ship recycling. The yard also had the facilities and necessary concrete slipway to stop contamination from spreading during recycling.
The businesses are emphasising these successes as they strive to up their recycling game in view of the likelihood that more vessels will be retired due to the new environmental regulations.