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Today is Aug. 20, 2008 5:59 PM (GMT +0400) Moscow
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May 15, 2008
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Transport Ministry Grounds Fuel Vessels
The Russian Transportation Ministry and the Federal Transportation Supervision Service (Rostransnadzor) have decided to bring the Russian tanker fleet into conformity with the International Convention for the Prevention of Pollution from Ships, which Russia ratified last autumn. All single-hull tankers with deadweights of less than 5000 tons will be taken out of service by the end of the year. That is 95 percent of the auxiliary fleet that refuels ships in port. In the port of St. Petersburg, for example, only two of over 70 refueling vessels will remain. A systemic crisis is expected to result.
The convention leaves the timeframe for its implementation to the discretion of local authorities. Single-hull tankers with deadweights over 5000 will be taken out of service before 2010. The only exceptions are being made for floating oil and petroleum product reservoirs. The fleet of refueling vessels cannot be rebuilt quickly. They are built in Russia only by the Neva Shipbuilding Plant, which is running at full capacity on foreign orders. The price of the refueling vessels will be driven up, which will lead to an increase in shipping prices. Now, the cost of fuel makes up 70 percent of shippers’ operating costs.

“All market participants were informed that the requirements of the international convention would come into force. We are aware of the consequences of the ban, but the task of our service is to guarantee the safety of transport,” stated Rostransnadzor chief Gennady Kurzenkov, who recalled the November catastrophe in the Strait if Kerch, when a single-hull tanker loaded with petroleum products broke up in a storm. According to the Portnews agency, refueling vessels this year make up 5.5 million tons in Russian ports (up 14.5 percent over 2006). Their market is estimated at $2 billion, half of which is at the port of St. Petersburg. The vessels have a profitability of 30 percent.


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All the Article in Russian as of May 15, 2008

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