Single-hull vessels not to be outlawed until 2015

International oil traders looking to profit by using cheap, ageing tankers will remain a pollution threat to European waters …

International oil traders looking to profit by using cheap, ageing tankers will remain a pollution threat to European waters until new laws take effect 13 years from now, experts said yesterday.

Even as Spain struggles to contain the Prestige spill, dealers are already planning similar shipments that make money by chartering old tankers at cheap freight rates. Not until 2015 will Europe outlaw single-hulled oil tankers such as the Prestige, to be replaced by double-hulled vessels which are less prone to spills.

The long delay is defended by the shipping industry as a viable investment timescale, but bemoaned by environmentalists for being too slow.

"There are hundreds of older vessels in the world fleet that are simply ticking time bombs. The fact is they shouldn't be allowed to carry toxic cargoes, never mind pass anywhere near pristine coastlines," said a European salvage expert, asking not to be named.

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It is unclear who is to blame for Europe's latest tanker spill, as toxic residue from the Prestige's cargo of fuel oil washes up on the coast of north-west Spain. An investigation is under way. If previous wrecks are anything to judge by, it will prove difficult.

"There is a morass of liability," said Mr David Santillo of campaign group Greenpeace International. "As soon as there is an incident like this everyone throws up their hands and tries to deny responsibility - that really has to change."

The complex and opaque nature of the shipping industry is typified by the latest incident, experts say.

The Prestige is Liberian-owned, registered in the Bahamas, operated by a Greek company, chartered by a Swiss-based subsidiary of a Russian industrial conglomerate and classed as seaworthy by an American shipping authority.

"The shipping world still has a long way to go in terms of governability," said Mr Santillo.

The more immediate question is, however: why was a single-hulled 26-year-old tanker, 12 years older than the average age of the world fleet, carrying fuel oil - a dirtier and more toxic substance than crude oil - and sailing in heavy winter seas near the Spanish coast in the first place?

Crown Resources, owned by Russia's Alfa Group and registered in Switzerland, loaded the cargo of Russian fuel oil in the Latvian port of Ventspils for delivery to Singapore.

Higher prices for fuel oil in Asia provided a financial incentive for the trade, which European oil dealers estimate would have netted about $400,000 in profit using the ageing and cheap-to-hire Prestige.

Major oil companies, which have been stung by bad publicity from previous spills, have stricter vetting procedures for tankers.

British oil major BP, for example, said the Prestige failed to pass company tests in 2000. A Crown spokeswoman said the company did not want to comment on this.

The European Union and industry bodies such as Intertanko, the independent tanker owners' association, also declined to comment until a full accident report is made.

Deputy Director of Intertanko Mr Svein Ringbakken said: "What we see as key in all this is that there is a thorough accident investigation." He said the Prestige had been given a clean bill of health by the American Bureau of Shipping. He also said the Greek operator was a member of Intertanko - which has pre-conditions for membership, including inspections.

Mr Ringbakken rejected accusations that the tougher regulatory framework was coming too late.

"There has been a lot of consultation based on technical input and this was all subject to political agreement across signatories to the Maritime Pollution Convention." Experts say that the onus falls on the classification society, in this case the American Bureau of Shipping, which classed the ship as seaworthy, and port inspections.

Under United Nations marine pollution laws, the Prestige is classed as a category one vessel, due to leave service by March 2005, according to staggered deadlines for phasing out all single-hulled tankers by 2015.

The Bahamas-flagged Prestige has called at ports in Russia, Greece and Gibraltar in recent years, and was last inspected in 1999. - (Reuters)