Economic Impacts of STCW 2010
By CDR Emil A. Muccin, USMSWednesday, June 19, 2013, 10:09 AM
CDR Emil A. Muccin, USMS, is an Assistant Professor in Nautical Science/Marine
Transportation at the U.S. Merchant Marine Academy. The views here are his own
and not those of the Academy, the Maritime Administration or any other branch
of the United States Government.
Our global economy and the maritime community have been greatly impacted by the
implementation of the International Convention on Standards and Training,
Certification and Watch keeping (STCW) 2010 Manila Amendments that went into
force on January 1, 2012. Although it has been 18 years from the prior revision
of the Convention and Code in 1995 and 35 years since they were adopted in
1978, the maritime industry was not fully prepared for the far reaching changes
and implications to operations, training and technology. These amendments were
promulgated to improve the global standards of mariner competence. The
following is a summarization of the most important changes to the Convention
and Code that were adopted by the Manila Amendments with a description of the
effected parties and the level of economic impact (See Below). What was
impacted immediately when the Manila Amendments went into effect on January 1,
2012 were the new minimum rest hours. This was done to synchronize the STCW
requirements with the work hour requirements adopted by the International Labor
Organization including the ILO Maritime Labor Convention (MLC). To prevent
fatigue and ensure that mariners are fit for duty, all seafarers must have 10
hours rest in any 24-hour period with no exceptions, except during an
emergency. Additionally a minimum amount of rest in any 7-day period is
increased to 77 hours from 70 hours. The increase to 77 hours rest in a week
has unfortunately increased the potential work hours to 91 and with an
exception clause to 98 hours. This of course has an economic impact that is
favorable to the shipowner and a potential added burden to the mariner. A
prudent shipowner should disregard the maximum allowance and adhere to a normal
schedule to avoid any potential fatigue issue and subsequent lawsuit if an
incident arises.
Of paramount importance is that the rest hour limits now apply to most
seafarers onboard, including masters and those who's duties involve safety,
prevention of pollution and security, not only watch keeper's as had previously
been the case. To top this all off mariners will need to review and sign a
record of their work and rest hours periodically normally on a monthly basis to
ensure they comply with the minimum rest hours stipulated. In reality this has
had a moderate economic impact on shipowners, but from a risk management
standpoint it is long overdue and increases the focus on having crew members
that are well rested, prepared and alert. 2013 is a major transition year for
all mariners as governments will continue to renew and revalidate pre January
1, 2012 certificates and endorsements as well as issue, recognize and endorse
certificates for all mariners that commence training prior to July 1, 2013.
In the cross over period from the commencement of 2013 until July 1, 2013, all
maritime education training facilities are in the process of finalizing and
obtaining approval from their respective entities, in the U.S. it is the USCG
for their new 2017 STCW curriculum. This includes a comprehensive review of
all existing courses to take into account the new 2010 Manila Amendment
requirements along with the generation of new courses. Modified or new syllabi
have to be generated along with STCW Control Sheets that will provide a
mechanism for instructors to evaluate students for the required competencies.
Implementation of the new curriculum will commence this summer (2013) for the
incoming class of 2017. This is having a substantial impact on the maritime
training institutions and will require a dual set of courses be established and
run until the existing classes of students (2014-2016) graduate.
All maritime training schools at this juncture in 2013 are well underway in
finalizing details of the syllabi with new STCW Control Sheets as well as
preparing detailed lesson plans prior to arrival of the class of 2017
freshman/plebes.
What has happened for students graduating in the middle group of years from
2014-2016 is that they will be required to complete the delta difference from
the old 1995 Amendments to the new 2010 Amendments. Most training institutions
have identified that difference and titled it Gap Training for Deck and Engine
with associated courses, syllabi and STCW Control Sheets. That way when the
students complete the gap training and pass their respective USCG Merchant
Marine license exam their new license will truly be good for five years and not
only to 2017. On January 1, 2014 another mandatory requirement comes into
effect and it is for security training. Maritime piracy has become a main
issue of concern world wide in the last 10 years. Piracy has impacted the
global economy in the cost range of $10 billion dollars a year. How this will
be addressed through the Manila Amendments is via new mandatory security
training that encompasses three specific areas: security familiarization
training, security awareness training and designated specific security duties.
The USCG issued a Policy Letter on October 11, 2012 concerning Vessel Personnel
with Designated Security Duties (VPDSD). This new STCW rating is above Maritime
Security Awareness (MSA) but below Vessel Security Officer (VSO). It would be
desirable for maritime school graduates to have obtained this training, however
it is not currently required for initial issuance of a Merchant Mariner
Credential (MMC) with a license endorsement. Most maritime schools will be
looking into how to incorporate this training in the curriculum as it is highly
desirable and probably will be an additional requirement in the near future.
The new Manila Amendments have addressed mandatory minimum requirements for all
mariners to obtain instruction, basic training and familiarization in safety.
All basic training courses will require refresher training after five years.
Similar to what is now required by the USCG for merchant marine license
renewal. Courses that will be subject to this provision include: Advanced
Firefighting (AFF), Basic Safety Training (BST), Medical Training, Fast Rescue
Boat (FRB) and Survival Craft and Rescue Boats. One other significant impact of
the 2010 Manila Amendments has been the mandatory carriage of ECDIS equipment
aboard vessels per the following phase in period: already phased in on July 1,
2012 were for new passenger vessels above 500 GT and new tankers above 3000 GT,
on July 1, 2013 it will be for all new cargo ships above 10,000 GT and on July
1, 2014 it will be for all new cargo ships above 3,000 GT.
These requirements will have an economic impact as all existing licensed deck
officers that will serve on these vessels will be required to have an ECDIS
familiarization training certificate. This will be an added cost burden on
shipping companies but a boon to the training facilities. ECDIS has shown to
increase the situational awareness of mariners when properly setup and used.
Unfortunately it has been shown that their have been many instances due to
improper settings and use that have led to maritime allusions that have been
attributed to insufficient training. One potential solution might be if the IMO
and other authorities continue to push for standardization of ECDIS design,
layout and features. This will allow all mariners trained in ECDIS to be able
to move from one vessel to another and operate another brand of ECDIS without a
steep learning curve.
In summary STCW as one of the cornerstones of the maritime compliance and
regulatory fields along with the International Convention for the Safety of
Life at Sea (SOLAS) and International Convention for the Prevention of
Pollution from Ships- Marine Pollution/(MARPOL) has proven to be an
instrumental factor in setting the minimum competency and training standards
for the maritime industry. Worldwide economic impact from a cost perspective
has been substantial and will increase as more stringent rules and regulations
come into force in the near future including new Emission Control Areas (ECA's)
that will spur on power plant improvements or shifts to alternative fuels
including LNG. Continual improvements in electronics, propulsion, technology
and computing power have made it apparent that minimum standards in equipment
and training need to be continuously re-evaluated with new levels and standards
set as improvements are made. From a financial standpoint this has created a
capital and resource impact on the maritime community that is weeding out
shipping companies that are not cash rich or leveraged to obtain new sources of
funding. Those companies that are prospering are the ones that have
strategically planned for the long term and have been able to evolve and change
to meet the new requirements thrust on them.
For with stagnation comes extinction.
(As published in the June 2013 edition of Maritime Reporter & Engineering News
- www.marinelink.com)
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