The Hindu Business Line : `India Steamship not fined for oil spill'

INDIA Steamship Company (ISS), of the K.K. Birla Group, has not been fined by the Kenyan authorities concerned for the oil spill at Kipevu oil terminal of Mombasa port on April 7, according to a spokesman for ISS.

"Fine is a penalty which is slapped for violating law or contravening regulations," said the spokesman pointing out that no such thing was done on the company. The spillage was caused by an accident for which, at best, compensation could be claimed by the port authorities.

The P&I Club, Steamship Mutual of UK, the shipping company's insurers, has provided security to the Mombasa Port Authority for compensation still to be determined.

As the spokesman explained, the accident occurred on April 7 when the company's Aframax tanker (89,960 DWT), Ratna Shalini, with two port pilots on board was berthing at Mombassa port's oil terminal.

Under the momentum of port tugs, the vessel hit a corner of the jetty leaving a hole of seven cm and spilling about 100 tonnes of crude in the harbour. The Master of the vessel immediately "listed" the vessel by transferring the oil to other tanks and spillage was stopped within 20 minutes, the ISS spokesman said.

The emergency workers placed booms around the vessel, containing the spill and cleared the harbour. The vessel duly completed discharge of 75,000 tonnes of crude into the shore tanks of Kenya Petroleum Refineries Ltd and sailed out on April 13 after temporary repairs carried out under the supervision of Lloyds Surveyors, the vessel's classification society.

The vessel would undergo permanent repairs under the supervision of the Lloyds at Dubai from April 21-22, the spokesman added.

According to reports from Kenya, the oil spill compensation issue in the country's territorial water is governed by the old Merchant Shipping Act providing for a maximum compensation of less than $150 (Rs 6,300).

Kenya is yet to ratify the International Maritime Organisation's Civil Liberty Convention on International Oil Pollution Compensation Fund providing for a much larger compensation amount.

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