Independent journal on economy and transport policy
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SHIPYARDS
The shipowners call on EU states to give the green light to the inclusion of two Indian shipyards in the European list of ship recycling facilities
Open letter from BIMCO, CLIA, ECSA, ICS, Intercargo, Interferry, Intertanko and WSC
Bruxelles
September 18, 2026
The shipping associations BIMCO, Cruise Lines International
Association (CLIA), European Shipowners - ECSA, International
Chamber of Shipping (ICS), Intercargo, Interferry, Intertanko and
World Shipping Council (WSC) have submitted an open letter with
to which they invite EU Member States to deliver a favourable opinion
on the European Commission's proposal to add two plants
ship recycling to the updated European List of
ship recycling plants
(
of 24
July and 2
September 2026).
Noting that inclusion in the list
European Union should be based solely on the capacity of the
of the plant to meet safety and environmental requirements
of the European Ship Recycling Regulation as a result of
objective assessments and inspections, the associations have highlighted
whereas the shipyards in question have made significant investments
to modernise infrastructure, security systems and
environmental management in order to comply with the standards of the
Hong Kong Convention and European Regulation. BIMCO, CLIA,
ECSA, ICS, Intercargo, Interferry, Intertanko and WSC have
stressed that these efforts embody the very purpose of the
European regulation that aims to reduce disparities
between EU, OECD and non-EU operators in terms of
occupational health and safety and environmental standards, in support of
a globally applicable convention.
The associations pointed out that the two Indian shipyards
meet the requirements for their inclusion in the European List,
as - they specified - is demonstrated by the reports of
inspection, and highlighted that refusing the approval of
systems that objectively meet the standards agreed by the
EU Member States themselves would be inconsistent and undermine the
recognition and credibility of European legislation.
The outcome of the inspections at the two ship recycling plants in
Alang-Sosiya, in the Indian state of Gujarat, to which
The Shipowners' Associations is summarized in two
DNV reports, which conducted the checks. To request
inclusion in the European list of ship recycling facilities
under the EU Ship Recycling Regulation,
Priya Blue Industries and Shree Ram Vessel Scrap, whose
establishments have undergone a third on-site inspection
in October 2024, after previous checks. In particular, for
Priya Blue the first inspection dates back to September 2018, the second to
January 2020 and the third to October 26-28, 2024. In the case of Shree Ram
The first two checks took place in September 2018 and
in October 2019, while the third took place on 23-24 October
2024.
A common element in the two assessments expressed by the DNV on the
Two Indian shipyards is improving their procedures
and their infrastructure. However, in the case of Priya Blue, DNV
could not confirm full compliance with the requirements
necessary for inclusion in the European list. The main
critical issues identified concern environmental monitoring,
the cutting of the double bottom of ships in the intertidal zone, the
safety and authorisation of cranes installed on barges,
lifting equipment and loads, drainage system
and the possible need for a plant for the treatment of
water systems, as well as hydrants and waste routes to the
treatment plants. According to DNV, the procedures are
substantially adequate, but their systematic application in the
normal demolition operations have yet to be demonstrated.
On the other hand, more marked progress has been found for
Shree Ram. The third inspection, in particular, allowed DNV
to monitor the implementation of the changes introduced after the
previous visits, in particular for leak control and
the management of operations in the intertidal zone. The construction site,
in fact, it also uses the beaching method, bringing
progressively the ship to be scrapped to the shore during high tide,
and using a crane installed on a pontoon to transfer
waste and blockages to areas with non-impermeable pavement
as soon as possible. DNV has considered
the measures taken to prevent spills and leaks are satisfactory
in the intertidal zone, while also emphasizing for Shree Ram
the importance of the entire operational sequence being completed within
the period of low tide.
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