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 August 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Legal

Ulrich Ganz of Bernhard Schulte Joins Tundra

Tundra Group is delighted to announce the addition of the former Senior Company Security Officer (CSO) of Bernhard Schulte Shipmanagement (BSM), Captain Ulrich Ganz,

NZ's Lyttelton Port Recommends Offer, to Pay Special Dividend

The board of New Zealand's  Lyttelton Port Co. Ltd recommended minority shareholders accept an offer of NZ$3.95 a share offer from the commercial arm of the Christchurch city council.

NYK Opens New Planning Center in Kumamoto

On September 1, 2014, NYK and Kozo Keikaku Engineering Inc. established a stowage planning center for container shipping at the Kumamoto office of Kozo Keikaku Engineering Inc.

Finance

Joe Barton: Lift Oil Export Ban

A senior U.S. Congressman from Texas has come out in full support of the United States lifting the 40-year old ban on crude oil exports, putting him at odds with

Brent Crude Slips Towards US$102

Brent crude fell towards $102 a barrel on Tuesday on concerns of slowing oil demand growth due to weak economic recoveries in China and Europe, although new unrest

Aker Solutions Update on Company Hive-Off

Aker Solutions informs updated unaudited financial information for the two companies - the new Aker Solutions and Akastor - that will be formed following the split

Marine Science

VIKING Steps Up Pace of Innovation at SMM

This year’s SMM in Hamburg will see VIKING release more innovations than at any other point in its 50-year history, including new developments in PPE clothing,

VIKING Saatsea Puts Crew Training in its Place

VIKING Saatsea will be at SMM 2014 to showcase the revolution it has brought about in crew training – moving everything on board to cut costs, speed up certification,

BMT WBM to Showcase TUFLOW at World Bank Seminar

BMT WBM ( (BMT), a subsidiary of BMT Group Ltd, a leading international engineering and risk management consultancy, is delighted to announce that it will be presenting

 
 
Maritime Contracts Maritime Security Maritime Standards Offshore Oil Pipelines Salvage Ship Repair Shipbuilding / Vessel Construction 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: 0.1213 sec (8 req/sec)