News

Wreck Removal Convention

27 December 2007 No.07-009
The Nairobi International Convention on the Removal of Wreck, 2007 was adopted by a Diplomatic Conference held by the International Maritime Organization (IMO) on 18 May2007.

By way of background, the IMO estimates that there are 1,300 abandoned wrecks worldwide, which number is expected to increase, giving rise to significant problems for coastal states and the shipping industry in general.

The new Convention creates a uniform international legal basis and establishes a procedure for the prompt and effective removal of wrecks that may pose a hazard to navigational safety and the marine environment. The Convention also provides for the reimbursement of costs incurred in the removal of wrecks.

In particular, the Convention imposes an obligation on the registered owner for the removal of a wreck, failing which the State Party can do so at the expense of the registered owner. In order to ensure financial security for the cost of wreck removal, a compulsory insurance system has been introduced.

A summary of the Convention and the relevant articles are as follows.


1.Obligation of the Owner for Removal of Wreck
A "Registered Owner" shall remove a wreck which lies in a Convention area which a State Party has determined may reasonably constitute a hazard to navigational safety or the marine environment.

"Convention area" (Article 1.1)
"Convention area" means the exclusive economic zone of a State Party, or-if such zone has not been established-an area beyond, and adjacent to, the territorial sea, not extending more than 200 nautical miles. A State Party may also extend the provisions of the Convention to particular areas in their jurisdiction, such as a territorial sea(Article 3.2).

"Wreck"(Article 1.4)
"Maritime Casualty" means a collision of ships, stranding, some other incident of navigation or occurrence which results in material damage, or imminent threat of material damage, to a ship or its cargo. "Wreck", following upon a Material Casualty, means a sunken or stranded vessel, or any part thereof, including any object lost from such a ship.

"Determination of hazard"(Article 6)
The Convention provides criteria for determining the hazard posed by wrecks and factors which should be taken into account by an Affected State. These include the type, size and construction of the wreck, depth of water, tidal range & currents, traffic density & frequency, the nature of the wreck's cargo etc.

"Measures to facilitate the removal of wrecks"(Article 9)
Article 9.2 stipulates that the Registered Owner shall remove a wreck which has been determined to constitute a hazard.


2.Liability of the Owner for Removal Costs (Article 10)
The Registered Owner shall be liable for the costs of locating, marking and removing the wreck under Articles 7, 8 and 9 respectively, unless he can prove the wreck resulted from an act of war, a natural phenomenon of an exceptional character, the act of a third party with the intention to cause damage and any governmental negligence in maintenance of navigational aids. Nothing in the Convention affects the right of the Registered Owner to limit liability under any national or international regime, such as the 1976 LLMC, as amended.


3.The Measures taken by the Affected State
In the event of a maritime casualty resulting in a wreck, the Convention requires the authorities to determine whether a wreck poses a hazard. If so, as the Affected State, they must order the removal of the wreck and implement measures for locating, markingand moving the wreck.

When the ship has been involved in maritime casualty resulting in a wreck, the master and operator of a ship shall report the casualty to the Affected State, without delay, advising the precise location, type, size and construction of the wreck, together with the nature of the damage and any other conditions which are necessary for the determination of hazard (Article 5). Once a determination has been made that a removal of the wreck is necessary, the Affected State shall set a reasonable deadline for such removal, and inform the Registered Owner. In the event the Registered Owner fails to act within the deadline, the Affected State is authorised to remove the wreck at the Registered Owner's expenses (Article 9).

"Affected State"(Article 1.10)
"Affected State" means the State in whose Convention area the wreck is located.

"Operator of the ship"(Article 1.9)
"Operator of the ship" means the owner of the ship, or any organization or person-such as the manager or the bareboat charterer-who has assumed the responsibility for operation of the ship from the owner.


4.Compulsory Insurance and Direct Action (Article 12)
The State Party requires the registered owner of a ship of 300 gross tons and over, carrying its flag or entering or leaving a port in its territory, to maintain insurance or other financial security to cover liabilities arising under the Convention up to the limit calculated under the 1976 LLMC, as amended. The State Certificate attesting that insurance or other financial security is in force shall be issued by the State Party and shall be carried on board the ship. The Convention provides claimants with the right of a direct action against the provider of insurance or other financial security.


5.Entry into force (Article 18)
The Convention will enter into force twelve months following the date on which ten countries have ratified it.