Barratry, in maritime terms, is defined as an unlawful breach of duty on the part of a ship’s master or crew resulting in injury to the ship’s owner. We do not stand for such a things at Lloyd’s List. But our roving correspondents have run across a retired master who bears the name of the crime and who, it turns out, is irrepressible in questioning authority where it needs pricking in all things from regulation to finance to piracy. Since we couldn’t contain him, we thought it best to give this irascible mariner his corner. Barratry’s is an irreverent place, designed for opinionated takes on daily maritime news, and where the only unwelcome opinion is a conventional one. We invite you to join the discussion. Learn more

Censorship can’t beat the tweet, so why not join it?

HAVING been invited to attend an e-navigation conference, I was particularly heartened to be invited to engage in a bit of tweeting by the organiser (a self-confessed Twitter fan).

Now for those of us that are reading this in the printed version of our esteemed paper and not on the blog site, tweeting is not the name of a London suburb.

This is the act of sending short, opinionated messages and information through a social network known as Twitter. One responds, forwards and generally engages in short, sharp discussion on the themes brought up, and that is the point of it. It offers an opportunity for instant debate. It is not an essay on decorum and precision.

I also thought there is a great relationship between the use of a modern communication tool and the discussions of how to use modern communication and navigation tools in shipping.

How wrong I was, and this perhaps sums up some of the problems we could have in shipping circles.

There are too many shipping organisations and companies that like to hide behind curtains of diplomacy and obfuscation. Tweeting from a conference aimed at being ‘forward thinking’ about technology was leading to things being “taken out of context”, apparently.
I was not told this by someone responding to a tweet (one tweets rather than twitters), but by a company spokesperson who stood up and addressed the audience about concerns regarding Twitter being used in the conference (which was a success in my opinion, in that it drew up some good points of direction for e-navigation to progress).

It seems some people in the audience did not want to use social media to tell the world what it wants to know; and probably just as many agreed that there was enough other forms of existing media available to disseminate opinion, news and observations.

However, what did happen after that was the number of people following me started to climb steadily, notably by people in the conference as much as elsewhere. So complaining about it has the effect of increasing its popularity.

Blogging, tweeting and the other growing professional network with a comment option, Linked-in, are growing in popularity.

My advice to people who do not like it is to get an account and start following the discussions, otherwise you will never know what people are saying about you, and you’ll not be able to reply and have your opinion known.

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Is it still safe to count on ‘fourth arm of defence’?

TWENTY years ago today, the liberation of Kuwait — as Ronald Reagan’s press secretary famously called it — was in full swing. While the ground war did not commence until the final week of February 1991, bombers operated by the US and its allies were already blasting Baghdad and other Iraqi cities, in an attempt to persuade Saddam Hussein to leave the small but legally independent state his troops had occupied the previous August.

As ever in conflicts that involve the British armed forces, the UK merchant fleet played a vital role, as much by simply carrying on with world trade as by ensuring the continued supply of provisions and matériel to combatants. Their efforts substantially aided the eventual success of Operation Desert Storm — and their contribution was often at no small risk to their persons.

British politicians of all parties were full of praise for “the fourth arm of defence” and spoke of this country’s “strategic defence need” to maintain both its seafarers and flagships.

Indeed, Lloyd’s List reported foreign shipowners with Ministry of Defence charters were “trying desperately” to recruit British crews to replace third world officers and ratings who had no desire to enter the war zone and were signing themselves off in droves.

Yet, oddly enough, Britons serving on the merchant fleet enjoyed few perks as a reward for their heroism.

There was, for instance, controversy over their liability to pay the poll tax, predecessor to today’s council tax. Anomalies abounded. Royal Navy seafarers were deemed exempt, but Royal Fleet Auxiliary seafarers were not. UK seafarers serving on ships chartered by the MoD did not have to pay, while UK seafarers serving on tankers in exactly the same waters did.

Gas masks were ultimately issued to crews on both British-flagged and British-owned vessels as a precaution against chemical gas attack — albeit not without a spat between the government and the General Council of British Shipping over who should foot the bill. The GCBS eventually coughed up, but it was only charged cost price.

Fast-forward two decades and at least the Red Ensign is clearly in better shape than it was in the early 1990s, in terms of numbers of ships. But British national seafarers are scarcer still. Even the future of the RFA is a subject of political discussion.

It may be in today’s incentive-driven and globalised world, patriotism is irrelevant — and in future hostilities, officers and ratings from maritime labour supply nations will be willing to step in, as long as the price is right. But imagine how catastrophic it would be if that assumption proved incorrect.

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Will it be good cop or bad cop leading us forward?

THERE are two sides to the piracy debate — soft and hard.

As any fan of TV cop shows knows, there are certain rules. One is that the key characters must follow a distinct pattern. Okay, there are deviations. Maybe one character has two characteristics, like Robocop. He started off as a cold-blooded killing machine but later revealed his human side. Quite how wires produce empathy is a mystery, but that’s another story.

Every cop show has a bad cop and a good cop. The bad cop is impetuous; the good cop more considered.

The bad cop, of course, is often quick to be heralded a hero but then, as the story unravels, taken over by the good cop who, while taking criticism, must allow his measured judgement to inform what he does.

And what has any of this got to do with shipping? Plenty, is the answer, and piracy, too.

Is the bad cop in the driving seat, or is the good cop at the controls?
The issue of private guards on board ships is a growing one — and one that is being keenly watched. Should shipping companies go down this slippery road? Some have. It depends on what the law of your flag state allows. But others are considering it. The Dutch government has a report on the table suggesting armed guards as one answer to the problem of pirate attacks while Dutch shipowners are impatient for a robust solution.

Pressure is building. The trouble with bad cop is that he or she ends up making things worse. If you shoot someone, they will shoot you back. It’s that simple. But will the good cop provide an answer? Witness the navy vessel that had to stand by while an attack unfolded. Military commanders will talk about ‘rules of engagement’: the bad cop wants to rush ahead, the good cop holds back.

At some point in the show, often when the investigation is a mess, the protagonists must step back and look at the facts. What would these be for shipping and piracy? Attacks are on the rise. The cost is also rising. Somalia, the main supplier of pirate attacks, is a poor and fragmented society without a functioning state or legal system. The world’s navies will never be big enough to contain its pirates. Hence the growing pressure for a solution.

Will the bad cop win out, rushing in, guns a-blazing? Or will the good cop stand his ground? Making action the servant of thought, and not the other way around. TV cop shows usually end with some sort of confrontation to tie up the loose ends. Shipping and piracy’s showdown might be some way off but it’s coming. The question is, who will it be — good cop or bad cop — leading the industry forward?

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Help the Somalis to defeat piracy themselves

I WAS sent a link over the weekend, http://marine-cafe.com, directing my attention to Oceans Beyond Piracy a report by a US-based organisation called One Earth Future.

There I found an assessment of the economic cost of piracy, suggesting up to $12bn a year. I know little about either the foundation or the accuracy of its work, but even allowing for some error, the details are staggering.

The lack of long term planning is playing into the hands of the Somali ringleaders who with an amassed fortune have been able to become more resourceful.

We all know that the naval presence in the region may be having some effect, but it has not cured the problem. The Oceans Beyond Piracy report says the average ransom payment has shot up in the last five years from $150,000 to $5.4m.

Two months ago a ransom payment of $9.5m was reported. Total payments are a substantial part of Somalia’s GDP.

Ransom payments are only part of the story. There is a whole industry serving piracy building up in the western world. Insurance premiums are up, security companies are touting knowledge and armed guards, and engineering outfits are rebranding their products as piracy repellents.

I was even emailed an offer to buy a sign, for a few hundred dollars, to put on a ship, that said in the local Somali language that the sides if the vessel are electrified. Can Somali pirates read?

Drums of barbed wire were available to load on board in Egypt for vessels south bound. High powered lasers, water cannons and other technologies are also being advertised for owners feeling the need to install the equipment, pay for guards and the insurance premium,
rather than detour around Africa.

The scale of the piracy industry inside Somalia is seen by the number of people that have been detained while attempting to attack a ship. Altogether, in 11 countries, there are 752 people being prosecuted: cost $31m.

On the other hand the naval forces are costing $2bn a year, according to the report.

Given the number of people now involved in anti piracy efforts, and the economics of the situation, there will be people, other than the pirates, that are benefiting. Clearly it is not in their interests to find a lasting solution to the problem, but for the sake of the hundreds of crew currently being held hostage, and the anguish their families are feeling, one needs to be found.

The only solution I have heard that has a long term strategy appears to come from Denmark. They may have borrowed elements of it, but anyone involved in international development aid knows that one needs to attack a problem by encouraging people to self develop.

Building up local coastguards, building up local economies, building up local fishery protection. These carrots need to be developed while we continue to wave the naval stick.

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Pensioner’s trip by raft is both daft and dangerous

AN 84-year-old British man who can only walk with the aid of a stick has concocted a homemade raft from plastic gas pipes. Together with three of his pals, he has stocked this novel vessel up with rum and whisky, and is about to sail it 2,800 miles from the Canaries to the Bahamas. It’s all for charity, of course.

Anthony Smith, a retired journalist, is most excited about his impending jolly and boozy jape. “The whole point is to prove that elderly people can do something interesting. Well, I am 84 and disabled, so I’m well qualified on that score,” he tells his former employer, the Daily Telegraph.

It’s a free country, as they say. And far be it from me to put a downer on anything that results in a few old ‘uns having a bit of fun and raising a bit of cash for the third world poor. But can I politely put it to Mr Smith and his accomplices that they might more constructively amuse themselves with a spot of gentle gardening or charitable work?

Perhaps they could even get together for the occasional evening of contract bridge, or some other more age-appropriate entertainment. What’s so wrong with golf or ballroom dancing, anyway? In short, let them try anything other than steering a makeshift contraption across the Atlantic while knocking back the hard stuff.

The dangers of such a foolhardy venture have naturally been pointed out to Mr Smith. Here is his retort: “People ask me ‘am I frightened?’ But I say I don’t know enough to be frightened.” The sheer levity on display here will make many professional seafarer’s toes curl. If he really does not know enough to be frightened, he should bloody well find out.

I presume he will be savvy enough to avoid the hurricane season — although perhaps even that cannot be taken for granted — he might care to ponder that freak waves of over 90 feet high have sometimes been recorded in the Atlantic, on occasion leading to the disappearance of substantial merchant vessels without trace. Oh, and with the loss of all hands.

Any rescue operation would cost tens of thousands of pounds at the very minimum, although if the raft got into serious trouble, it seems doubtful that a search and rescue helicopter would reach him in time. Never mind, that’s what taxpayer money is for, right?

Nor does any consideration seem to have been given to the danger this foolhardy stunt might bring about to merchant shipping going about their legitimate and economically useful business.

My understanding is that the Maritime and Coastguard Agency has the power to nix Mr Smith’s stupidity. For his sake as much as everyone else’s, I sincerely plead with it to do so.

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Owners dream of a return to champagne capesize rates

WHAT can $6,700 a day buy you?

A decadent villa for a night at an exclusive resort on a Caribbean island? A gourmet dinner and some very old wine at an extremely upmarket restaurant? Or, if you saved it up for a year, the $2.5m hoard might just buy you a pokey flat in central London.

Alternatively, if you need to move about 160,000 tonnes of iron ore you can hire out a capesize bulk carrier.

Tough choice. A pina colada in the sunshine is looking slightly more tempting to me. But owners of these giant bulk carriers won’t have much petty cash left for cocktails if they continue to earn $6,700 a day.

Two and a half years ago, before the Lehman Brothers collapse, capesizes were raking in nearly $230,000 a day. While many owners back then were off bathing themselves in pricey vintage champagne, I do hope they stashed some of that cash under the mattress, because they’re going to need it now.

What must really take the biscuit (own-brand value label now, though, in a bid to tighten the belt) is that at the moment a supramax or handymax bulk carrier about a quarter of the size of a capesize can be taking home average earnings that are double the value.

That’s like going on holiday and the car rental company offering you a Lambourghini for less money than a family saloon, and the hire price not even covering the fuel cost.

Hang on a second — that is what is happening. To get a capesize average time charter rate of $6,700 per day, someone somewhere must be chartering out their ship for even less, at a price that doesn’t even cover their crew and insurance expenses.

Let’s not forget that this is excluding financial repayments to the bank for the mortgages owners took out on vessels that were ordered at $100m during the shipping boom and have been delivered into service in the last year or two.

Now, I’m not a finance expert, but somehow that doesn’t seem quite right.

If I don’t pay the bank the monthly mortgage instalments I owe them, it will reposess my house. So how come shipowners are carrying on trading?

Because unlike our mortgage lenders, shipping banks are being patient. Who wants a huge lump of floating steel that they don’t know how to operate with no buyers in the market for it?

Whereas you and I cannot guarantee we will still have a job in five or 10 years’ time to keep paying the mortgage, bankers and shipowners alike are clinging to the prospect of the improved earnings their capesizes will be bringing home in the future.

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If lines have bigger ships, then why not bigger boxes?

HAVE you stopped to think about how much cargo an 18,000 teu boxship can carry?

It is staggering. Leaving aside the technological wonder of such a behemoth, the sheer volume of consumable goods that will appear on the high street shelves as a result of 9,000 40 ft boxes filled with Asian electronics and other products is going to set a new standard in commercial endeavours.

The next step will surely have to be to change the dimension of the box itself. Watching the gantry cranes whizzing back and forth in Hamburg or Rotterdam is impressive, but hanging above the Emma Maersk or some other 15,000 teu vessel, the boxes themselves look remarkably feeble and tiny in comparison.

Surely the dimensions of the boxes, particularly in the liner routes, could be reassessed to make the whole port operation quicker.
Given the increase in trade, where will all the containers come from anyway?

I have seen a number of proposals in recent months. DNV, when it revealed its Quantum design, suggested lashing four boxes together to form a giant box, while Wärtsilä, in its Future Scenarios for shipping revelation, suggested that when Chinese mega-cities emerge, so will new trade patterns in which giant boxes will be sent from Africa to Asia.

Yet we still talk quaintly, no, blithely, about 20 ft equivalent units.

Giant ships are the way forward as we see the double-headed demand of increasing population and increased affluence.
Innovation is springing up all over the place to help meet the challenge of this bumper middle class of consumers.

It has led to the idea of vertical farms — locally grown produce that hails from tower block farms designed on multiple levels in cities.
The added oxygen they produce is seen as an additional benefit for urban dwellers.

Home grown food, though, will never meet the total population demand — we will still need more and more ships.

Why refrigerate a single 40 ft container when one twice the volume will cost much less to power?

Additionally, the fact is, increased size creates some amazing possibilities in the future for new trade patterns and business opportunities.

With a giant container, just think of the uses it has once it has become too old — cheap housing perhaps, student accommodation or even a new project for the BBC to follow.

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Engines may be essential — but who needs a crew?

MAN Diesel Primserv’s recent contract to maintain 150 engines onboard 25 of the largest gas ships in the world shows where the industry is heading.

The european engine maker will provide the engineering expertise and knowledge to help monitor the condition of and maintain the shipboard engines, all of which are modern complex electronic controlled units.
Finnish engine maker Wärtsilähas been remotely monitoring some of its floating power units for a few years.

The liquefied natural gas vessels, Q Flex and Q Max series owned by Qatar’s Nakilat, each have six power units, with associated turbochargers, and only four engineers, employed by Shell, the ships’ manager.

Shell would not talk to me about the contract, but then again I used to work for Shell a few years ago on their ships, so I can understand their approach to the media, especially as all these oil majors look to the press like rabbits staring at rapidly approaching headlights since the Gulf of Mexico incident.

But the clear indication from this, which is true not only of Shell, or Nakilat, but a number of other high-profile corporate operators, is the simple fact that they would like to get rid of the ships’ crews altogether.

Crew are a huge cost, second only to bunkers, need to be sent to and from the ship at regular intervals and need feeding and generally looking after.

They are also prone to making mistakes, especially when the numbers on board are whittled down, the workload increased, and the general lifestyle not conducive to happy workers.

The unmanned ship is not a new idea. Japan demonstrated the capability in the eighties as it faced huge crew costs.

Autopilots, automated course tracking and course alterations, have been available for decades. Navigational monitoring and engine performance monitoring systems are now competent and dependable.

The ship can approach a port and berthing crews are used for the more trickier port approaches.

The answers, the technologies, the systems are all there. The other side of the equation is that the ship board engineers and navigators are not there. Kids do not want to go to sea — we know why, and frankly, we have the capability to manage without them.

But without a captain or chief engineer on board, who will get sent to prison when it all goes wrong?

Perhaps there is is a a good reason for keeping someone on the ship after all, at least there will still be a scapegoat.

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It is time to give shipping the X Factor treatment

JUST how much do you know about medical technology? There is a range of companies, services and systems for the development of equipment that help doctors detect and treat an increasing range of ailments.

What? You don’t now much about it? The people in the industry, the highly trained researchers, doctors and engineers, think it is one of the most important technology areas — and has a direct influence on human society.

Okay, I don’t know that much about the medical industry either. There is not much reason to; we all trust that the equipment works, that the medical professions and their technology are properly controlled.

So tell me this: how much does your best friend — hopefully an average representation of the human race — know about shipping? Perhaps not a lot.

Now, when you decided to tell your friend about shipping, you will want to explain ships, insurance, finance, freight rates, cargo and ship contracts, port operations, navigation, environmental safety…
Because shipping is not one single industry, but the meeting point of numerous, it is difficult to explain. I reckon most people will know a ship carries cargo, of some sort or another — but perhaps when you start talking about ship registers and freight rates, your friend’s eyes may glaze over.

The International Maritime Organization has decided it wants to promote shipping’s image. It has a very vague idea of how to do this; it just wants people to appreciate it more.

The fact is simple: the general public are not interested . However, they do appreciate a good story. The UK’s Channel Five had a programme, Top Trumps. It sent two presenters, one to the Emma Maersk, the other to a large cruiseship, to make comparisons — engines, crew, speed, weight. Amusing, informative and digestible.

The IMO should learn from this. It should give me the funds to make a Hollywood blockbuster, not a ‘Titanic’. How about an action film set in the Gulf of Aden, with khat-chewing baddies making life an adventure — a real Johnny Depp swashbuckling extravaganza?

That might be a slight exaggeration of life at sea — but let’s face it, a film about real life onboard a tanker or containership is hardly going to be Oscar-winning material.

Perhaps the IMO secretary-general should appear on a television game show, like X Factor, or Masterchef? Or perhaps the IMO offices could be refurbished by one of those house renovation programmes every channel seems to have — surely one way to spread the name of the organisation and make viewers shipping savvy.

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European shippers fear backlash over emissions rule

THIS week a Finnish shipowner said it would be fitting a scrubber on one of its ships this summer.

The company operates a fleet of small containerships around the Baltic and North Seas and as such is likely to be one of those behind last year’s letter to the European Commission asking for help in turning back the International Maritime Organization’s decision on SOx emission limits.

It is notable that the same company has long been telling its clients about the bunker surcharges it will have to implement.
Despite the best efforts of some within the industry, the concerns over the sulphur emission regulations refuse to go away.

Shortsea operators in north Europe think the surcharge they will have to implement will make their customers use road and rail — the so-called modal backshift. But is this going to happen?

We hear about the great moral debates within the manufacturing companies that are focusing on their corporate social responsibility, and to be seen to create more CO₂ emissions by shifting their freight by road will jeopardise that.

Also, shipping is generally a little bit more reliable than most roads and certainly rail routes in Europe.

Only this week the Swedish press was reporting that Stora Enso and SCA, the country’s two largest paper product exporters, lost millions of kronor when the freight trains from northern Sweden broke down due to the extreme cold weather.

The roads are no better, with sub-zero temperatures mixing with brief spells above zero turning them into perilous, accident-prone ice rinks.
The argument of a modal backshift could be hiding a greater fear among the shipowners — a further erosion of revenues in general — fuel prices are set to rise, regardless of the type of fuel used, and shippers will continue to push for the cheapest rates.

The European Commission has clearly said it will not get involved in the backlash against the emission rule amendments that have sparked the row, but promised to prevent a modal backshift.

Their options are in some ways simple. Penalise the shipper for excessive use of the road, pay for scrubbers to be installed, or ladle loads of cash at the most needy shipowner in northern Europe — and that is not going to happen.

Meanwhile, are the owners in the North American waters complaining? They will surely see a similar problem in 2015?

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