Growing Derelict Vessels, A Multimillion $ Problem

Fiji is looking for funds to address its growing derelict vessel problem, Fiji Ports Corporation Limited yesterday said.
“The multi-million dollar problem of addressing the growing number of derelict marine vessels has been compounded by the legal system,” chief executive officer Vajira Piyasena said.
The problem was not unique to Fiji, as Indo-Pacific countries lacked large floating cranes, he said.
“We do not have floating cranes because there is no business,” he said.
“We always work with the ship owners, like small fishing companies, to ensure that when they keep their vessel for some time, they have to take everything out in terms of oil.”
He said they dealt with thousands of vessels over the years and some have difficulties.
“They are now looking at some agencies for funds to pick up the derelict vessels.”
“Some vessels have been there for 10 years, while the new ones will have some rigorous control, not to abandon the vessels, and some local operators do not have that renewal insurance.”
“The removal of these vessels is the responsibility of the owner of the vessel.”
The derelict vessel is not the responsibility of FPCL, when a vessel is abandoned, it is the owner’s responsibility.
“When the vessel owners do not take responsibility for their deteriorating vessels, we assist in getting it removed.”
For the past five years, FPCL had to bear the removal costs for a few vessels totaling more than $0.5 million of six derelicts within the Suva and Lautoka port boundary.
In addition, FPCL has earmarked to remove another four vessels by this year for an estimated cost of $200,000 from FPCL coffers.
There is a maximum penalty of $250,000 under the Sea Ports Management Regulations that is issued to a vessel owner for not complying to Port Management company directive in removing derelict vessels.
After removing the vessel, FPCL will file court proceedings on vessel owners for non-adherence to SPMA and Regulations through the Fiji Police.
Vessel owners are given 21 days to remove vessels from port boundaries after they have been issued a removal order.
Looking Ahead
The management has initiated discussions with relevant stakeholders where all local vessel owners including foreign fishing vessel owners to have wreck removal cover or to pay bonds of $100,000.
This has now been a pre-requirement for Port User license (PUL) for local ship owners.
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