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EU Ship Recycling Regulation

At plenary session on 22nd October 2013, the European Parliament (EP) adopted a legislative resolution on a new Ship Recycling Regulation. The adopted text is the result of a compromise agreement reached last June in Trilogue, amongst the Council under the Irish Presidency, the European Parliament and the Commission. The original EP text had proposed the introduction of a so-called "recycling fund" and other controversial elements, far exceeding the requirements of the IMO Hong Kong Convention on the Recycling of Ships, which has yet to be ratified. See the European Parliament press release.

In future, according to the Regulation, EU-registered ships will have to be dismantled in EU-approved ship recycling facilities which must (a) fulfil specific requirements, (b) be certified and (c) be regularly inspected. During the negotiations, Parliament strengthened the proposed requirements, inter alia, by obliging ship-recycling businesses to operate in-built structures, which must be "designed, constructed and be operated in a safe and environmentally sound manner". They must retain any hazardous materials throughout the recycling process and handle them and their waste, only on impermeable floors with effective drainage. Waste quantities will have to be documented, and their treatment authorised only in waste treatment or recycling facilities.

Non-EU ships calling at EU ports, as well as EU-registered ships, will be covered by the regulation insofar as they will have to carry an inventory of hazardous materials. Enforcement measures, including penalties, are to be set by member states.

The Commission will have to report on the feasibility of a financial instrument to facilitate safe and sound ship recycling and, if appropriate, present a legislative proposal within 3 years of the entry into force of the regulation.

The Regulation will apply to ships at the earliest 2 years, and at the latest 5 years, after its entry into force; the eventual date depending upon when the recycling capacity of facilities on the EU approved list exceeds a threshold of 2.5 million light displacement tons. The provisions for ship-recycling facilities will apply from 1 year after the Regulation enters into force (i.e. 20 days after its publication).

The legislative text http://www.europarl.europa.eu/meetdocs/2009_2014/documents/envi/dv/ship_recycling_3_/ship_recycling_3_en.pdf will be formally adopted by the Council in the near future.