Capt Ang Chin Eng Secretary General Asian Shipowners’ Association

1. Ministry of Land, Infrastructure, Transport and Tourism, Japan • International Seminar on Ship Recycling – Towards Early Entry into Force of HKC Capt Ang Chin Eng Secretary General Asian Shipowners’ Association

2. ASA 5 STANDING (5 ‘S’) COMMITTEES since 1992 - Ship Recycling Committee (SRC) - Seafarers Committee (SC) - Ship Insurance and Liability Committee (SILC) - Safe Navigation and Environment Committee (SNEC) - Shipping Policy Committee (SPC) What is ASA ? Asian Shipowners’ Association ASA* ECSA WSC Se ICS Intertanko Intercargo *Member regions/countries: Australia, China, Hong Kong, India, Japan, Korea, Chinese Taipei and Federation of ASEAN (Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand and Vietnam)

3. Asian Presence From Cradle to Rebirth…..Full Care in Asia Leaders in Ship Building Leaders in Ship Recycling ASA Bangladesh, India, Pakistan and China accounted for 93%of global demolition(GT) in 2017 China, the Republic of Korea and Japan were leaders in shipbuilding, accounting for 90%of global deliveries(GT) in 2017

4. Why is HKC necessary? ASA appeals to necessity of Geographically-Balanced Green Recycling Unilateral regional regulations may play a role as booster for green recycling, but CANNOT be a fundamental solution toward green recycling throughout the world. Enactment of HKC is THE Key to Success!! “Geographically-Balanced” results in: Less Distance to reach yards; Less Bunker consumed;  “Less Damage to the Environment!!” “Green Recycling” Compliance with a Global Rule is NECESSARY for the global market Lack of Geographically-Balanced Green Recycling can lead to delay in replacement of environmental-friendly vessels

5. No HKC will generate serious negative impact • Non-level playing field • Uncontrollable usage of substandard yards • Difficulty securing HKC-compliant yards in timely manner • Excessive-unworkable demand to upgrade from stakeholders • Discourage yard operators from making upgrading activities • caused by difficulty receiving adequate quantity of ships for • recycling

6. HKC Enactment is Coming Soon (1) Continued increase in number of countries joining HKC Ratified: We hope to gear up further through strong initiatives of IMO and ratified countries! (2) Ratification of ChinaandIndiacanEnactHKCfastest!!! ‘We used to be more passive participants, and now we’re more proactive… That’s a big change.’ - Mr XieZhenhua, China’s special representative of climate change affairs (FT Weekend 17 November / 18 November 2018)

7. Shipowner’s Responsibility • Shipowner’s responsibility toward Sustainable Recycling • - keep close eye on development of recycling yards • - close communication with recycling operators • - clarification of criteria for yard selection Seeing is Believing!! Regular Visits and Communication can result in… - Accumulated experience in green recycling - Further efficiency of operations - Enhancement of competitiveness. Recycling Operators Motivation Up!! Business!!

8. What we are doing “Working Together” Who are main players for Green Ship recycling?? Of course, workers & yard operators Motivate them by instilling a positive attitude through joint work with all parties concerned !! Avoid criticism by setting clear targets as an indication to assess progress in transparent and fair manner

9. India on 14-18 January 2019 – Level up year-by-year!! Gas Cutting Workers with PPE Proper Sign Board (Safe-for-Entry) Controlled Storage Area of Oily Block/Machinery Mobile Health Unit--three facilities a day with doctor/pharmacist/Medical analyst Dormitory Type Housing Facility for 1,008 workers by GMB/SRIA Incinerator at Alang TSDF

10. India on 14-18 January 2019 Reaffirmed steady steps arebeing takenforenactmentof HKCsoon!! Indian press reports INSA/JSA meeting in Mumbai Japan-India Shipping Policy Forum 9

11. Bangladesh -- 25-26 November 2018 Taking opportunity to attend IMO workshop followed by yard visit

12. Why is HKC necessary? ASA would like to stress again: • Only Available Instrument for Global Green Recycling is HKC. • Justification of immediate enactment of HKC was confirmed • 10 years ago with extensive time spent time in its preparation. • Ratification by Ship Recycling Countries MUST be achieved. • NOW is the TIME FOR ACTION!! → Ship Recycling Country’s Mission? Shipowner Country’s Mission? Timekeeper to enact soonest ?

13. Recent Developments On 27 March 2019, Japan became 10th country, and the first in Asia, to ratify the HKC. ASA sincerely hopes other Asian countries will follow Japan’s lead!!

14. Going Forward • Ensure priority usage of HKC-certified yards & yards in process of obtaining certification • - Motivate yards to justify upgrading. • - Insert clause into sale contracts to specify above-categorized yards. • Ensure voluntary preparation of IHM List onboard • Strengthen joint work with other shipowner associations and stakeholders. • - Speak out of ASA Voices for early enactment of HKC at every possible opportunity. • - Setting an action plan and reviewing it for calling ad hock meeting in China!! • Monitor EU developments & Approved EU list of Ship Recycling facilities together with other shipowner associations.

15. Thank You!!