Damaging an Egyptian Coral Reef Expensive

UK P&I Club
Thursday, March 07, 2013

Due to an increase in tourism, Egyptian coral reefs are important to its economy: official records show 170 damage incidents.

The UK P&I Club has issued the following advisory circular to its members:

Vessel groundings are a large threat which coral reefs face, with the possible subsequent threats of pollution causing further damage to the ecosystem and biodiversity. Damage to coral reefs can range from minor injuries to the severe degradation of its structural complexity. The natural recovery of coral reefs from severe groundings can take years.

The Egyptian Environmental Affairs Authority (EEAA) is the authority which deals with such incidents and may issue compensation claims against a vessel. Egyptian Law 102 of the year 1983 for natural protectorates regulates and adopts penalties against the party responsible for damaging coral reefs.

Where a damage incident does occur, compensation claims can be extremely large. The following formula is used to calculate what compensation may be due based on a number of factors:

(A)  X (LC) x (D) x (RP) x (V)

Where (A) is a measure of damaged area in square meters, (LC) is the percentage of living coral, (D) is the percent damage in the area, (RP) is the number of years required for recovery and (V) is the value of one square meter (set at USD$120, and USD$300 for national parks).

Due to this formula, even small incidents causing damage can very easily result in a large claim against the vessel.

Should an incident occur, it is recommended that the owners of the liable vessel are to secure an independent underwater inspection report or the damaged area, carried out by a suitable diving company, which shows the exact damaged area and the extent of damage to the affected coral reefs so as to have a base for arguments regarding the claim which may exaggerate the extent of damage caused by the vessel.  

 




 

Maritime Reporter January 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Legal

‘Maritime Spectrum’ of CMMI a Big Draw

For The Company of Master Mariners of India, the conference “Maritime Spectrum” that comes at the turn of each year has become a brand in itself, and each one

Sino-Global to Acquire Tanker

Sino-Global Shipping America, Ltd. a shipping agency, logistics and ship management services company, today announced that it has entered into a Memorandum of Understanding (the "MOU"),

Investment Impact in Inland Waterways System

The National Waterways Foundation (NWF) has commissioned and released a two-year, ground-breaking study by the University of Tennessee and the University of Kentucky,

Finance

NewLead Expands Fleet to 10 Vessels

NewLead Holdings Ltd. announced that it recently added five bitumen tanker vessels, expanding its fleet to 10 vessels in less than a year while performing on its

Tanker with Kurdish Crude Leaving U.S. After 6-month Dispute

After being stuck in legal limbo for six months, a tanker loaded with 1 million barrels of Kurdish crude headed east on Tuesday to leave U.S. waters after Baghdad

Hellman & Friedman Sells Out of GTT

Gaztransport & Technigaz S.A. (GTT) announces that H&F Luxembourg 1 S.à.r.l., an affiliate of Hellman & Friedman, has completed the sale of its remaining holding

Marine Science

Investment Impact in Inland Waterways System

The National Waterways Foundation (NWF) has commissioned and released a two-year, ground-breaking study by the University of Tennessee and the University of Kentucky,

Coast Guard Cutter William Trump Commissioned

The Coast Guard Cutter William Trump was commissioned during a ceremony at Coast Guard Sector Key West Saturday Jan. 24, 2015. The Trump is the 11th fast response cutter in the Coast Guard fleet.

Gypsy Moth Clause Takes Balanced Approach to Risk

A new BIMCO clause provides a simple, practical and commercial solution focusing on the basic obligations and responsibilities of owners and charterers when dealing with the Asian Gypsy Moth (AGM).

P&I Clubs

ZIM Launches Monitoring and Tracking Service

ZIM integrated shipping services has announced the launching of a new monitoring, tracking and security services package, specifically designed for valuable and

Oil Tankers are Front Line of Libya's Struggles

Crew members killed in tanker attack this month; West fears worsening violence could lead to civil war. Oil shippers face higher costs and the possible loss of insurance cover on Libyan voyages,

26-year Jail Term Sought for Concordia Master

An Italian prosecutor asked a court on Monday to sentence the captain of the Costa Concordia cruise liner to more than 26 years in jail for his role in the 2012 disaster that killed 32 people.

 
 
Maritime Careers / Shipboard Positions Maritime Security Maritime Standards Naval Architecture Navigation Pipelines Pod Propulsion Ship Repair Sonar Winch
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1281 sec (8 req/sec)