Parliament passes ‘the Recycling of Ships Bill, 2019’

Parliament on December 9, 2019 passed a landmark “The Recycling of Ships Bill 2019’’ for Safe and Environmentally Sound Recycling of Ships in India.

The existing Shipbreaking Code (revised),2013 and the provisions of the Hong Kong Convention, 2009 are dovetailed in this Bill.

Significance

The Bill, upon becoming Act, will ensure environment friendly recycling process of Ships and adequate safety of the yard workers.

India is a leader in the global ship recycling industry with a share of over 30 per cent of the global market. With the enactment of this bill, India will set global standards for safe and sound environmentally-friendly recycling of Ships, as well as ensure adequate safety of the yard workers.

This bill will pave the way for more global ships to enter into Indian Shipyards for recycling and boost employment and business opportunities also.

Ships to be recycled in India will need to obtain a ‘Ready for Recycling Certificate’ in accordance with the Hong Kong Convention.

A large number of Recycling plots, especially at Alang in Gujarat, are also gearing up and obtaining Statement of Compliance (SOC) with the Hong Kong Convention.

Benefits

The Key Benefits of the bill are as follows:

  • The bill will harbinger significant increased number of global ships entering into Indian Shipyards for Recycling.
  • Recycling of Ships will boost business & employment opportunities and strengthen India’s position in the recycling industry.
  • It will raise the brand value of our Ships Recycling Yards located at Alang in Gujarat, Mumbai Port, Kolkata Port & Azhikkal in Kerela.
  • 10% of country’s Secondary steel needs, as an outcome of Recycling of Ships, will be met in an eco-friendly manner.
  • Ships Recycling facilities will become compliant to International standards and Ships will be recycled only in such authorised facilities.
  • The tremendous growth of business activities will contribute to the country’s GDP.

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