INTERTANKO: CG PROPOSAL 'IMPOSSIBLE'

Independent tanker owners will find it impossible to comply with the U.S. Coast Guard's notice of proposed rulemaking on evidence of financial responsibility required for tankers sailing in U.S. waters. The Coast Guard plans the rulemaking under provisions of the Oil Pollution Act and the so-called Superfund Act (OGJ, Oct. 7, p. 36). The council of the International Association of Independent Tanker Owners (Intertanko), Oslo, said it is "seriously concerned" that it seems impossible for

Nov. 4, 1991

The Coast Guard plans the rulemaking under provisions of the Oil Pollution Act and the so-called Superfund Act (OGJ, Oct. 7, p. 36).

The council of the International Association of Independent Tanker Owners (Intertanko), Oslo, said it is "seriously concerned" that it seems impossible for independent owners to comply with the proposed financial responsibility requirements.

Even more serious, it said, is the fact that unlimited liability for spill cleanup is in principle unacceptable to insurers and independent owners.

The council said, "The U.S. Oil Pollution Act presupposes effective contingency planning which has to be adequate to remove a worst case discharge scenario but has at the same time deprived the ship owner of the possibility to obtain insurance coverage for liability that may arise under such circumstances."

Intertanko members represent 35 countries and 1,800 vessels totaling 170 million dwt, or about 60% of the world tanker tonnage.