TY - JOUR
T1 - Assessing the impacts of Sanchi incident on Chinese law concerning ship-source oil pollution
AU - Xing, Wangwang
AU - Zhu, Ling
N1 - Funding Information:
Changhong Group (HK) Limited, as the shipowner of the CF Crystal, has established a fund for maritime claims against the Sanchi incident at the Shanghai Maritime Court. Up to the end of 2021, in the public database of the China Judgement Online [https://wenshu.court.gov.cn], ten claims were filed, and only two of them are about compensating oil pollution damage (Table 1). One is from the East China Sea Bureau of the Ministry of Natural Resources of China that pursues compensation for the cost on monitoring and assessment of the marine environmental pollution, damages to marine ecology, and other related losses. The other one is from the Ministry of Agriculture and Rural Affairs of China that pursues compensation for the damages to nearby fishery resources. The monetary amount of both claims against the Sanchi incident is limited, comparing with other claims which mainly include the damages to the CF Crystal and onboard cargos, cost on emergency response, and cost on cleaning pollution.As for non-persistent oil carrying by oil tankers, the amount of available compensation is limited by the Convention on Limitation of Liability for Maritime Claims (LLMC 76) and its Protocol 96 (LLMC 96), which has been amended by the 2012 amendment (Appendix 2). However, China, excepting Hong Kong, has not ratified them. Since the oil leaked in the Sanchi incident is condensate oil which is not covered by the CLC Protocol 92, the provisions of limitation of liability for maritime claims (LLMC) under Maritime Law of China (1992) is thus applicable to determine the liability limits. Then, the maritime claims for the MT Sanchi is about 11 million Special Drawing Rights (SDR) and for the CF Crystal is about 6.4 million SDRs. In the Table 1, the claim of a single case of (2018) SH72-117 against the LLMC Fund of the CF Crystal at the Shanghai Maritime Court has already far exceeded the limits, not even to mention other maritime claims. The pollution damage liability limit of China regarding the non-persistent cargo oil under Maritime Law (1992) is much lower than the international regime (Fig. 7). Therefore, in the drafting amendment to Maritime Law 1992, it has raised the limitation of liability for maritime claims to the standard of the LLMC 96. However, the drafted amendment still awaits the final approval of the Standing Committee of the NPC.This research is supported by the Departmental General Research Fund, Department of Logistics and Maritime Studies, The Hong Kong Polytechnic University (Project ID: P0008754), the Shanghai Pujiang Program (2019PJC049), Innovation team of “Internet and Big Data Rule of Law Research” of Shanghai University of Finance and Economics (2018110696), and the Southern Marine Science and Engineering Guangdong Laboratory (Zhuhai) (SML2020SP005).
Funding Information:
This research is supported by the Departmental General Research Fund, Department of Logistics and Maritime Studies, The Hong Kong Polytechnic University (Project ID: P0008754 ), the Shanghai Pujiang Program ( 2019PJC049 ), Innovation team of “Internet and Big Data Rule of Law Research” of Shanghai University of Finance and Economics ( 2018110696 ), and the Southern Marine Science and Engineering Guangdong Laboratory (Zhuhai) ( SML2020SP005 ).
Publisher Copyright:
© 2022 Elsevier Ltd
PY - 2022/6/15
Y1 - 2022/6/15
N2 - The Sanchi oil spill incident occurred in East China Sea, in terms of the amount spilt, is the largest in China and ninth in the world so far. The existing studies show that the current legal regime on ship-source oil pollution is largely pushed forward by a few disastrous incidents. Accordingly, this paper presumes that the Sanchi incident significantly promoted Chinese law concerning ship-source oil pollution. However, after looking into the development, particularly the recent improvements of China's legal system in this regard, we find that: 1) China has already proactively established its legal framework on ship-source oil pollution before Sanchi incident along with the growing volume of oil import; 2) only a few pieces of legislations on preventing and reducing oil spills are directly triggered by the Sanchi incident; and 3) the factors including compliance with international treaties, China's long-term legislation plans, reform of the central governance, and others, have additionally prompted China to update its legal framework in the aftermath of Sanchi incident. Furthermore, we identify that some legal issues demonstrated by the Sanchi incident remain unresolved, as follows: 1) China still lacks adequate capabilities in many respects to respond to the open sea oil spills; 2) a clear action plan is necessary for China to enhance international and regional cooperation; and 3) the amount of funds available under China's own compensation law is inadequate. Therefore, it is recommended that China should learn from the Sanchi incident to enhance capacity building on emergency response to open sea oil spill, to promote international and regional cooperation for combating oil pollution, and to level up the compensation standards for tanker oil pollution.
AB - The Sanchi oil spill incident occurred in East China Sea, in terms of the amount spilt, is the largest in China and ninth in the world so far. The existing studies show that the current legal regime on ship-source oil pollution is largely pushed forward by a few disastrous incidents. Accordingly, this paper presumes that the Sanchi incident significantly promoted Chinese law concerning ship-source oil pollution. However, after looking into the development, particularly the recent improvements of China's legal system in this regard, we find that: 1) China has already proactively established its legal framework on ship-source oil pollution before Sanchi incident along with the growing volume of oil import; 2) only a few pieces of legislations on preventing and reducing oil spills are directly triggered by the Sanchi incident; and 3) the factors including compliance with international treaties, China's long-term legislation plans, reform of the central governance, and others, have additionally prompted China to update its legal framework in the aftermath of Sanchi incident. Furthermore, we identify that some legal issues demonstrated by the Sanchi incident remain unresolved, as follows: 1) China still lacks adequate capabilities in many respects to respond to the open sea oil spills; 2) a clear action plan is necessary for China to enhance international and regional cooperation; and 3) the amount of funds available under China's own compensation law is inadequate. Therefore, it is recommended that China should learn from the Sanchi incident to enhance capacity building on emergency response to open sea oil spill, to promote international and regional cooperation for combating oil pollution, and to level up the compensation standards for tanker oil pollution.
KW - Law of the sea
KW - Oil tanker spill
KW - Sanchi incident
KW - Ship-source oil pollution
KW - Shipping law
UR - http://www.scopus.com/inward/record.url?scp=85131129667&partnerID=8YFLogxK
U2 - 10.1016/j.ocecoaman.2022.106227
DO - 10.1016/j.ocecoaman.2022.106227
M3 - Journal article
AN - SCOPUS:85131129667
SN - 0964-5691
VL - 225
JO - Ocean and Coastal Management
JF - Ocean and Coastal Management
M1 - 106227
ER -