ased historically where major traffic is going. But you can’t make them mandatory, because some resupply is done in remote communities.”
Transport Canada has introduced new Arctic Shipping Safety and Pollution Prevention Regulations which incorporate the Polar Code into Canada’s domestic legislation. “Basically, we’ve kept some Canadian regulations to go along with the implementation of the Polar Code,” said Mr. Pamel who discussed the Polar Code as a component of risk assessment.
The two main types of marine insurance are hull and machinery insurance and P & I insurance. In terms of risk distribution for ice damage, it could be shared between the two groups. Risk assessment could include physical risks to ship and crew, infrastructure risks or human risks due to a lack of training and experience of officers and crew.
The Polar Code outlines a list of potential hazards like ice, cold weather and navigational challenges that vessels must be aware of when operating in Arctic regions. It doesn’t really apply to big vessels that operate regularly in the north such as Fednav, but more for cruise ships or one offs like a ship picking up cargo at a northern mining site for a customer in Europe, Mr. Pamel suggested. The code essentially establishes a framework of regulations and standards for the safe operation of ships and enhanced protection of the polar environment. For insurers, uniform international rules and regulations are essential.
“You can check all the boxes, but it doesn’t necessarily mean your ship is seaworthy. Under the Polar Code, a ship can no longer pick up spot cargo in the Arctic without being Polar Code compliant. The effect will be more barriers to entry and it focuses one’s mind on elements relevant in remote environments,” concluded Mr. Pamel.
The transportation sector contributes 6.3 per cent to Canada’s GDP and marine transportation accounts for two per cent of that sector, according to Julie Gascon, Assistant Commissioner Central and Arctic Region Canadian Coast Guard. Up to seven million vessels travel through Canadian waters each year, with Arctic vessel traffic doubling in the last 40 years, led by ecotourism.
Part of the funding for the OPP will be used to support the removal of derelict and abandoned vessels and to implement regional response plans to improve oil spill preparedness. Towing kits will also be added to Coast Guard vessels and all icebreakers are undergoing retrofits which will add another 10-15 years of service.
Two icebreakers were equipped to collect modern hydrography during the 2017 Arctic navigation season. The plan is to have five equipped vessels by the 2019 season, said Ms. Gascon.
None of the eight Arctic countries, including Canada, has the capacity to handle a major oil spill on their own. That’s why international cooperation is paramount, according to Petter Meier, Deputy Director General, Norwegian Ministry of Transport and Communications. “Maritime traffic in the Arctic is on the rise. Approximately 80 per cent of all commercial maritime traffic in the Arctic takes place in Norwegian waters. By 2040, that traffic is expected to increase by 41 per cent.” Accidents will happen and there is a need for a robust preparedness and response system, added Mr. Meir and the choice of strategy and methods should be based on assessments of environmental impact. Some of those responses could include chemical dispersants for bunker oil, mechanical recovery or in-situ burning.
During questions at the end of the conference, it was suggested that the Marine Exchange of Alaska in Juneau, might be a good model for Canada to emulate. Established in 2000, the exchange’s five major areas of focus are providing vessel tracking service, regulatory compliance, maritime database and information, charts and publications and maritime career advocacy.