The 75th session of the International Maritime Organisation Marine Environment Protection Committee recently approved a ban on the use and carriage of so-called 'heavy fuel oil' in the Arctic. The proposed amendments are expected to be formally adopted in June 2021. However, more stringent standards have already been proposed by the Norwegian government for the area surrounding Svalbard.
As noted in the white paper on Norway's Arctic policy, maritime activities in the High North are expected to increase due to improved accessibility resulting from melting sea ice, the high potential for increased commercial exploitation of marine and offshore resources and the successful marketing of the Arctic as a tourist destination. With increased activities comes an increased risk of accidents, and these additional risks must be taken into account by those operating in the area.
Arbitration is the most commonly used dispute resolution mechanism in shipping and offshore contracts. However, parties often tend to spend little or no effort reflecting on the type of arbitration solution chosen (ie, ad hoc versus institutional arbitration). This article highlights the benefits of agreeing to arbitration under the rules of the Nordic Offshore and Maritime Arbitration Association versus ad hoc arbitration.
A recent Supreme Court decision examined the mandatory scope of the Insurance Contract Act and the application of the general Time Bar Act in direct actions against protection and indemnity insurers under Norwegian law. The dispute arose out of an incident that took place in China in 2007, during which capesize vessel Mineral Libin made contact with another vessel and a buoy when berthing.
Under the Maritime Code, a shipyard which constructs or repairs a ship may retain physical possession of that ship until it has been paid by the relevant shipowner. The right of retention for non-payment is one of the key weapons in the arsenal of shipyards and enables them to exert a significant amount of pressure on both shipowners and other creditors to require prompt payment as and when it is due.