October 13, 2016 Addressing abandoned, derelict and wrecked vessels Presentation to the Saanich Inlet Protection Society Roundtable Transport Canada, in partnership with Fisheries and Oceans Canada (Canadian Coast Guard and Small Craft Harbours) RDIMS # 12334419
Purpose Provide an overview of the issue of abandoned derelict, and wrecked vessels To seek your views on: What are the causes and challenges Key elements of a possible federal strategy Present what we heard during national consultations 2
Background Abandoned, derelict, and wrecked vessels are a growing problem for local communities as they can create environmental, economic, social and safety concerns. It is estimated there are thousands of abandoned, derelict, and wrecked vessels in Canadian waters, with hundreds that may pose a hazard. The problem will continue to grow as Canada s vessel fleet ages. While in Canada approximately 40,000 vessels per year reach end-of-life and the vast majority of them are disposed of properly, even a small percentage of them becoming derelict, abandoned or wrecked can cause major impacts on communities. 3
What do we mean by abandoned, derelict, and wrecked vessels? Abandoned* Owner intentionally and voluntarily gives up interest, and ownership of vessel with no intention of returning to it and without transferring ownership to another person Derelict Commonly referred to as a very poor or unseaworthy condition or a public nuisance Maritime law considers a derelict vessel to be an abandoned vessel Wrecks can be abandoned Wreck** Vessel or part of a vessel that is, or is at risk of becoming, sunken, beached or stranded. The result of a maritime casualty, negligence or a deliberate act 4 * Excludes abandonment by a crew for safety reasons ** Excludes military and heritage wrecks
Why the problem occurs what we know Pleasure craft Commercial vessel Owner can no longer afford to or chooses not to maintain vessel and lets it deteriorate (e.g., job loss, sickness, old age, death) Owner cannot or does not want to pay to properly dispose of vessel and abandons it in the water Owner sells vessel at end of life for low cost to unsuspecting buyer who is unaware of costs to maintain or fix the vessel Insufficient insurance or lack of means to remove/repair vessel after a storm or other maritime accident Vessel no longer has any value and becomes a net liability for the owner at end of life (e.g. fibreglass hulls cannot be recycled or repurposed) Vessels taken out of service are deregistered and no longer subject to oversight and deteriorates New owner of old vessel is unaware of costs or unwilling to fix or maintain operate/scrap the vessel and abandons it or leaves it moored or docked or anchored indefinitely Vessel is sold to foreign owner making it difficult to identify them and make them responsible for end of life management Insufficient insurance and high mitigation costs after maritime accident High costs of recycling a vessel in Canada compared to overseas Low remedial value of vessel at end of life due to record-low salvage price for steel 5
The Federal Government has limited powers to address some of the impacts of these vessels Threats to the marine environment: Has discharged, is discharging, or is likely to discharge, oil or another pollutant (DFO/CCG, ECCC) Threatening fish and/or fish habitat (DFO, ECCC) Depositing or potentially depositing waste in Arctic waters (TC) Threats to navigation, operations or safety: Obstructing, or potentially obstructing, marine navigation in scheduled waters (TC) Impeding, interfering with or rendering difficult or dangerous the use of a port, designated or scheduled harbour, canal or seaway (e.g., Canada Port Authorities, St. Lawrence Seaway Management Corporation, Small Craft Harbours) Jeopardizing the safety or health of persons, the environment, navigation, property or operations in a public port, port managed by a Port Authority, harbour or seaway (e.g., Canada Port Authorities, St. Lawrence Seaway Management Corporation, Small Craft Harbours) 6
and powers to address abandoned vessels and wrecks in certain situations Abandoned Vessels: May authorize any person to take possession of, and remove, any abandoned vessel located in Scheduled Waters where there is a willing 3 rd party (TC) Can create regulations to allow the sale of an abandoned vessel to any person (TC) Prohibit the disposal of a vessel at sea unless authorized (ECCC) Wrecks: May authorize any person to take possession of, and remove, any wreck located in Scheduled Waters where there is a willing 3 rd party (TC) Prohibit the sinking of a vessel at sea as a means of disposal unless authorized (ECCC) 7
Key elements of a potential strategy for Canada Preventing the occurrence of new problem vessels Under existing authorities, there are no laws that prevent an owner from intentionally abandoning a vessel. The federal government has authorities to take action but powers are specific to addressing hazards in certain situations, and do little to prevent abandonment or make owners accountable (see Annex). Lack of appropriate disposal options can also be a barrier for owners. Remediating existing problem vessels A legacy of abandoned, derelict and wrecked vessels in Canadian waters pose risks that need to be addressed in the short-term. There is no national inventory of vessels of concern. Addressing existing abandoned, derelict and wrecked pleasure craft is a burden for communities that may not have the resources to take action. 8
Preventing the occurrence of new problem vessels Questions for Discussion Q1. Would new rules or laws, such as prohibiting abandonment, be an effective way to prevent the occurrence of problem vessels across Canada? Who should be responsible for enforcing any new rules? Q2. Stakeholders consulted to date support Canada s accession to the Nairobi International Convention for the Removal of Wrecks, 2007. Should Canada consider similar measures to hold owners liable for the hazards caused by other types of problem vessels (beyond wrecks)? Q3. To hold owners responsible for their vessels, it is important that they can be identified. What changes could be made to existing systems to improve the easy and reliable identification of vessel owners? Q4. How difficult or costly is it to dispose of a vessel? Are there enough options available to the average recreational or commercial vessel owner? What can be done to support better disposal options for owners? 9
Remediating existing vessels of concern Questions for Discussion Q6. Who should play a role in cleaning up existing small abandoned, derelict or wrecked pleasure craft? What about large or commercial vessels? Q7. How should the clean up costs be covered? Should a remediation fund be developed? Q8. Is using a risk-based approach the best way to prioritize vessels for remediation? Should the same approach be taken for both small and large vessels? Q9. What types of risks should be considered and how should stakeholders be consulted in deciding which vessel to address? 10
What we heard during national consultations General agreement that current laws, policies and programs are not sufficient to comprehensively address this issue Any strategy should place the emphasis on vessel owner responsibility (e.g., by improving the ability to identify vessel owners) Partnerships are needed with other levels of government to improve vessel disposal options In the longer term, measures are needed to fund the remediation of problem vessels 11
Thank you for your participation. Our coordinates: Nicole Legault Director, Environmental Policy Framework and Integration Transport Canada Email: Nicole.Legault@tc.gc.ca Telephone: (613)949-1768 Éric Huberdeau Environmental Policy Advisory, Clean Water Policy Transport Canada Email: Eric.Huberdeau@tc.gc.ca Telephone: (613) 998-9885 12
Annex 13
How other jurisdictions are tackling the problem U.S. Washington State Model Prohibition, authorities for local enforcement to take action on vessels, vessel removals funded through surcharge on licensing and registration U.S. National Oceanic and Atmospheric Administration Detailed inventory of sunken wrecks completed in 2012 (20,000 wrecks) and risk assessment completed in 2013 (17 priority vessels) Europe BOAT Digest Increase awareness of vessel end-of-life management for owners and dismantlers, including web-based geospatial map of dismantlers 14
Measures that have achieved results in other jurisdictions New authorities: San Juan County, Washington State (2014) - 24% (13 out of 55) of vessels removed by owner at no cost to county Florida At-Risk Vessel Program reports early intervention can prevent up to 60% of abandoned vessels Dedicated funding: State of Washington (2003-2013) charges an additional $US 3-5 fee to annual vessel license/registration fee and has removed 306 pleasure craft ($US 2.5M) and 103 commercial vessels ($US 7.2M) State of California (1999-2012) uses 80% of fines and has removed 1785 vessels/hazards ($US 5.8M) Additional measures: vessel turn in program Estimated that disposal costs for turned-in vessels are 20%-50 % of costs of remediating a vessel State of California (2010-2012) received 246 vessels ($US 411,000) 15