495
1 INTRODUCTION
First of all we have to know what is meant by ship
recycling,althoughtherearemanyreportsaboutship
breakingorscrapingindifferentsources,nevertheless
the best definition of ship recycling is related to
Salvage Code Red Site which stated that “Ship
breaking is the process of dismant
ling ships and
selling their parts primarily the steel for scrap. It is
estimatedthatbetween200and600large,end‐of‐life
ships are broken up and recycled every year
worldwide”.Dr.N.Mikelis(2013)statedthatshipsare
recycledprimarilytorecovertheirsteel,whichforms
approximately75%to85%ofaship’slight
weight,or
lightship.Usually,shiplightweight(LDT)isthemass
of the ship’s structure, propulsion machinery,
auxiliary machinery, outfit and constants. Another
wayofdefiningLDTisasthedisplacementofaship
whenfullyequippedandreadytoproceedtoseabut
with no crew, passengers, stores, fuel, ballast
, water
orcargoonboard.Someauthorsbelievethattheissue
ofshiprecyclinghasbeenontheinternationalagenda
Requirement of a Ship Breaking Yard at the Arvand
Free Zone Area
H.Yousefi
KhoramshahrUniversityofMarineScienceandTechnology,Iran
ABSTRACT:Inthispaper,theauthorisgoingtoinvestigatetheconceptofshiprecyclingwhichimpliestothe
materialsandequipmentincludingendofshipslife.Thescrapedsteelismelteddownandiscommonlyusedin
the construction industries of ship recycling countries, and some equipment might be re‐used in other
indust
riestoo.AsegmentofthispaperisdedicatedtodescribeaboutthestrategicpositionofArvandRiverand
thelocationofArvandFreeZoneareaatthePersianGulf.Itshouldbenotedthatshiprecyclingcommonly
takesplaceindevelopingcountrieswhichtendtohaveacompet
itiveadvantageduetothelowcostlabor,may
haveweakerenvironmentalprotection/workerhealthandsafetyregulations,andhavenationaldemandfor
the outputs of the activity. The International Maritime Organization (IMO) adopted the Hong Kong
International Convention related to the safety and environmental sound recycling of ships to address the
growing ab
out the environment, job health and safety risks related to ship recycling. A part of this paper
dedicatedtoreviewthe role of theHongKongConventionin ordertoensuretheprocess of ship recycling
withoutriskstohumanhealthandtotheenvironment.Thema
inpartofthispaperisdesignatedtoevaluatethe
roleofestablishmentofashipscrapingyardattheArvandFreeZoneArea,itsmarketatthePersianGulfand
improving the safety of navigation at the Arvand River. The research methodology of thi
s paper will be
designatedtoconsiderthequalitativepartofthisresearchbyusinginterviewwiththeexpertsinordertofind
outandselectthekeyfactorsforfurtherconsideration;asaresultofthatamodelwillbecreatedwhichcanbe
tested by a questioner. In addition to the ab
ove explanation, relationship between the variables and testing
hypothesizesofthisresearchwillbeanalyzedbyusingSPSSandLisrelsoftwareasquantitativepartofthis
research.
http://www.transnav.eu
the International Journal
on Marine Navigation
and Safety of Sea Transportation
Volume 10
Number 3
September 2016
DOI:10.12716/1001.10.03.15
496
formanyyears,asthedismantlingofend‐of‐lifeships
in beaching facilities without adequate minimum
standards raises environmental, safety and health
concerns.
2 LITERATUREREVIEW
Mr.K.Khan (2010) from Bangladesh’s ship‐breaking
yards stated that ship breaking is the process of
dismantlinganobsoletevessel’sstructureforscraping
or
disposal. Conducted on a dismantling yard, it
involvesawiderangeofactivities.Fromremovingall
the gear and equipment that are on the ships to
cuttingdownandrecyclingtheship’sinfrastructure.
Salvage Code Red Site also expressed that Ship
breaking is becoming increasingly important
economically.Inthedevelopingworld,shipbreaking
not only employs thousands of people in breaking
downaship,butthematerialproducedisimportant
to other industries, such as re‐rolling steel plants. It
should be noted that thefourlargestshipbreaking
nationsintheworldareIndia,Bangladesh,Pakistan
andChina.Thesefourcountrieshandleanestimated
85 percent of the world’s ship recycling by weight.
Mr. Peter Gwin (2013) as photographer who visited
outsideofBangladeshshipbreakingyardsandcould
be some other similar places
stated that oceangoing
vessels are not meant to be taken apart. They’re
designedtowithstandextremeforcesinsomeofthe
planet’s most difficult environments, and they’re
often constructed with toxic materials, such as
asbestos and lead. When ships are scrapped in the
developed world, the process is more strictly
regulated and expensive, so the bulk of the world’s
ship breaking is done in Bangladesh, India, and
Pakistan, where labor is cheap and oversight is
minimal. Industry reforms have come in fits and
starts. India now requires more protections for
workersandtheenvironment.ButBangladesh,where
194 ships were dismantled
in 2013, the industry
remainsextremelydirtyanddangerous.
Ebrahim Idani (2015), director general of
Hormozgan Province Ports and Maritime
Department, said Shahid Rajaei is currently Iranʹs
biggest commercial port, which is directly and
regularlyvisitedbymajorshippinglinesfrequenting
the Persian Gulf. He said that “Offering bulk
discounts to shipping companies, has reduced the
final cost of entry of commodities into Iranian port,
makingitmoreeconomicalcomparedtootherPersian
Gulf ports. The Iranian official further noted that
offering fast loading and offloading services, and
providing bunkering services to big vessels has
turnedShahid Rajaeiportinto
amajorportalofentry
into Iranʹs economy. According to the Trade Winds
Ship Recycling Forum 2016 in Dubai Effectively
dragging ship-breaking into the mainstream,
environmental NGOs continue piling pressure on
Europe’s ship‐ownerstostayoffthebeaches, national
ship‐owner organisations are going public with
divergent
views on beaching, Trade‐Winds Ship
Recycling Forum2016 offers a very special
opportunity for the industry’s leaders todiscuss the
presentandfuturedirectionofthe industry, discuss
real‐world solutions with key stakeholders and
furtherthe advanceofeconomicandenvironmental
ship-breaking sustainability. It should be noted that
the
BiggestMarineeventinIranasIranSeaExpoand
Summit (ISES 2016) is supported by Port Maritime
Organization and Ministry of Road and Urban
Development of Iran. The Summit will showcase
exciting investment opportunities in the following
field by concentrating on the second items which is
related to Ship
Repair and Ship Recycling as
importantiteminIran:
PortModernizationandNewPortShipbuilding
ShipRepairandShipRecycling
Port‐based Industrial Development, Port‐based
SmartCitiesandMaritimeClusterDevelopment
InlandWaterwaysandCoastalShippingforCargo
andPassengermovement
Dredging
LighthouseTourism
andCruiseShipping
RenewableEnergyProjectsinPorts
OtherMaritimeSectorrelatedservices(Financing,
Legal,andDesign)
3 THEHONGKONGANDBASELCONVECTION
FORSHIPRECYCLING
TheHongKongInternationalConventionfortheSafe
andEnvironmentallySoundRecyclingofShips,2009
(the Hong Kong Convention), was adopted by the
IMO diplomatic conference held in Hong Kong,
China,from11to15May2009,whichwasattended
bydelegatesfrom63countries.AftertheConvention
cameintoforce,thedevelopmentandmaintenanceof
anInventoryofHazardousMaterials,whichidentifies
the amount and location of dangerous and harmful
materialsonboardaship,willberequiredforallships
over 500GT.Weunderstood that the IMO guidelines
related to
the process of recycling ships practically
nothing goes to waste. Nevertheless, the materials
and equipment are almost completely reused. It
should be noted that shipsʹ generators and batteries
are reused. Moreover, new steel production from
recycled steel requires only one third of the energy
usedforsteelproductionfromraw
materials.Moreor
less all the materials on board the ship can be
recycled,reused,restoredor renovated. It shouldbe
noted that the Key requirements of the HKC (Hong
Kongconvention)areasfollows:
ProvisionoftheInventoryofHazardousMaterials
(IHM)forships.
Compliance of ship recycling facilities to the
Conventionʹs safety, health and environmental
standards.
Preparation of a Ship Recycling Plan for ships
destinedforrecycling.
Authorization of Ship Recycling facilities by the
relevantCompetentAuthority.
Reporting requirements for ship‐owners and
recyclingfacilities.
The convention shall enter into force 24 months
afterthefollowingconditionsaremet:
not less than 15 States have either signed it
withoutreservationastoratification,acceptanceor
approval, or have deposited the requisite
instrument
ofratification,acceptance,approvalor
accession
497
the combined merchant fleet of these States
constitute not less than 40 % of the GT of the
worldʹsmerchantfleet
the combined maximum annual ship recycling
volume of these States during the preceding 10
yearsconstitutesnotlessthan3%oftheGTofthe
combined
merchantshippingoftheseStates
Itisdifficulttopredictitsentryintoforce,butitis
unlikely that the HKC will enter into force before
2015.
4 MODELOFRESEARCH
When selecting the research method it is usually
advisabletoconsiderwhetherwecanbaseourwork
on an
earlier theoretical model. Sometimes a model,
even a preliminary one, can help our work
determinedly,andsometimesitwillaffectthelogical
processofanalysistoo.Itshouldbepointedoutthat
model hypotheses is specified, it means that the
specificsetofhypothesestobetestedandusuallythe
modelisdrawn
throughadiagram.Accordingtothe
literature review of this research and the interviews
which carried out by the expert and specialized
persons,theresearchmodelisgivenasfollows:
Figure1.ModelofResearch
5 SURVEYINGOFASHIPFORDISMANTLING
According to the resolutions of the International
Maritime Organization, the Assembly of the IMO
adoptedon5December2003,byresolutionA.962(23),
theIMOGuidelinesonShipRecyclingwiththeaimof
providing guidance to ship‐owners, ship recycling
facilities,flagandrecyclingStatesandotherinvolved
stakeholders as to “best practice”, which takes into
accounttheshiprecyclingprocessthroughoutthelife
cycle of the ship. Ships will be required to have an
initial survey to verify the inventory of hazardous
materials, additional surveys during the life of the
ship, and a final survey prior to recycling. Ship
recycling yards will be required to provide aʺShip
RecyclingPlanʺ,specifyingthemethodinwhicheach
shipwillbedismantled,dependingonitsdetailsand
its inventory. The following resolution have been
developed and adopted to assist States in the early
implementation of the Convention’s technical
standards: MEPC.197(62), MEPC.196(62),
MEPC.210(63), MEPC.211(63) and also the following
two resolution
after the Hong Kong Convention
enters into force: Resolution MEPC.222(64) and
MEPC.223(64).Usually,thesurveyorisonboardthe
ship and having been introduced himself to the
master or responsible shipʹs officer, the surveyor or
portStatecontrolofficershouldverifythatthereison
board the International Certificate on
Inventory of
Hazardous Materials (regulation 11.11) or the
International Ready for Recycling Certificate
(regulation 11.11), both supplemented by the
Inventory of Hazardous Materials, and examine
reportsofpreviousportStatecontrolinspections.
6 DOESTHESHIPRECYCLINGISADANGEROUS
ACTIVITY?
It is true; ship dismantling is a very dangerous
activity involving several risks, although many of
thoseriskscanbeavoidedasaresultofsimplehealth
andsafetyfactorsputintooperation.Therefore,ship
breaking is only really economically practical in
countries where wages are low and there is less
regardforsafety intheworkplace.The Inventory of
Hazardous Materials (IHM) is a list of hazardous
materials,wasteandstoresinaship.Itidentifiestheir
locationandapproximatequantitiesonboardtheship.
Usually ship breakers encounter with harmful
substances such as asbestos, lead, mercury,
PolychlorinatedBiphenyls(PCBs),radiation
andlow
levelsofradium,amongothers.Anotherrisksduring
shipbreakingarerelatedtoworkersactivitiesatship
scrapyardwhichaccidentscausedbyfallingmaterial,
fires,electricshocksandfumes.Theotherdangerous
factorof creating many disasters isrelated to re‐use
ropesandchainsorevencranes
andliftinggearsfrom
recycledshipsatyardwithoutinspectingandtesting
them for fitness. In fact, president from a ship
dismantlingyard statedthatafterbuyingaship, we
havetogiveitto a contractor for dismantling.They
engageworkerstodoit.Sotheresponsibilitylieson
thecontactortomanageallkindsofsafetyequipment
andtoestablishtrainingfacilitiesfortheworkers.
7 CONTROLANDLISTINGOFHAZARDOUS
MATERIALS
ItshouldbenotedthatobjectivesoftheGuidelinesfor
the development of the inventory of hazardous
materials – 2015 are to provide ship‐specific
informationon
theactualhazardousmaterialspresent
onboard,inordertoprotecthealthandsafetyandto
prevent environmental pollution at ship recycling
facilities. This information will be used by the ship
recyclingfacilitiesinordertodecidehowtomanage
thetypesandamounts of materialsidentifiedinthe
Inventory
ofHazardousMaterialsoftheHongKong
International Convention for the Safe and
Environmentally Sound Recycling of Ships, 2009. It
should be noted that J. R. De Larrucea et al (2012)
498
stated in his article that in accordance with this
Convention,eachStateshall:
Prohibit or restrict the installation or use of
hazardousmaterialslistedinAppendices1and2
of the Convention on ships under their flag or
jurisdiction,whetherin ships,ports,shipyards or
off‐shoreplatforms.
New ships carry on board an inventory, verified
by the Administration or any person or body
authorized, Hazardous Materials. This inventory
will be specific to each vessel and indicate the
amountandlocation.Existingshipsmustcomply
withallpossiblewiththislistnolaterthan5years
afterentry
intoforceoftheConvention,orbefore
goingtoscrapifbeforethisperiod.
Vessels that are to be recycled only be recycled
Ship Recycling Facilities authorized by the
ConventionandwillbeoneinwhichdoingaShip
RecyclingPlan.Beforeenteringthewasteloading
facilities, fuel and waste
on board should be the
minimum. Fuel tanks and cargo tanks that have
contained anytoxic or flammable substance shall
bedesignedtoenterand/orworkinthem.
AShipRecyclingPlanmustbecarriedoutbythe
Facility where it will be recycled boat before
starting
anyrecyclingprocesstakingintoaccount
theguidelinesdevelopedbytheOrganizationand
theinformationprovidedbytheowneroftheboat.
Information on the establishment, maintenance
and monitoring of working conditions and the
amount and type of hazardous substances to be
treated,includingthose listedinthe Inventoryof
Hazardous
Materials.
Vessels must pass an initial review before being
put into service or before the International
Certificate in Hazardous Materials is issued. In
addition, inspections of vessels should be carried
out at intervals as the administration but not
exceeding5years.Ifrepairsarecarriedoutorany
significant
change in the structure will pass a
special review to ensure that it continues to
complywiththeprovisionsoftheConvention.
8 REVIEWSFORNORMALCONDITIONOF
VARIABLESDISTRIBUTION
Inordertotestvaria bles distributionwemustchoose
from the four tests listed such as Normal, Poisson,
UniformandExponentialmethods.Thequestionthat
we would like to answer is whether the latent
variablesofthisresearchfollownormaldistribution.
Table1.TheresultofKolmogorov–Smirnovtestfornormal
distributionofvariables
_______________________________________________
LatentAmount Amount Result
Variablesof‘Z’ of‘Sig’ ofdistribution
_______________________________________________
Presentship1.786 0.028 Normal
recycling(PSR)
EffectiveFactors(EF) 1.672 0.026 Normal
Requiredandstandard 1.516 0.022 Normal
oftraining(RST)
Futureshiprecycling 1.465 0.018 Normal
(FSR)
_______________________________________________
9 STRUCTURALEQUATIONMODELING
(SEM)
SEM is a very common, very powerful multivariate
analysistechniquethat includes specialized versions
of a number of other analysis methods as special
cases.Furthermore,wewillalsoassumethatyouare
familiar with the concepts of variance, covariance,
and correlation before attempting to use structural
modeling. It should be
noted that Guttman, 1954;
Wiggins,Steiger,andGaelick,1981onthesubjectof
the major applications of structural equation
modelingstatedthefollowingitems:
1 CausalModeling,or
CovarianceStructureModels,
which hypothesizes causal relationships among
variablesandteststhecausalmodelswithalinear
equationsystem.Causalmodelscaninvolveeither
manifestvariables,latentvariables,orboth;
2 Confirmatory Factor Analysis, an extension
of
factor analysis in which specific hypotheses
about the structure of the factor loadings and
inter‐correlationsaretested;
3 SecondOrderFactorAnalysis,avariationof
factor
analysis in which the correlation matrix of the
commonfactorsisitselffactoranalyzedtoprovide
secondorderfactors;
4 Regression Models, an extension of
linear
regression analysis
inwhichregression weights
maybeconstrainedtobeequaltoeachother,orto
specifiednumericalvalues;
5 Covariance Structure Models, which hypothesize
thatacovariancematrixhasaparticularform.For
example, we can test the hypothesis that a set of
variables all have equal variances with this
procedure;
6 Correlation Structure Models, which hypothesize
thatacorrelation matrix hasaparticularform.A
classic example is the hypothesis that the
correlation matrix has the structure of a
circumflex.
Moststructuralequationmodelscanbearticulated
as path diagrams, consequently the author find out
thefollowingdiagram(fig.2)as
standardcoefficients
inthisresearchinordertoconsidertherelationships
betweenthevariablesbyusingSEM.
Figure2. General Model (path analysis) of this
researchwithstandardcoefficients
499
Figure3.Modelofresearch,pathanalysisofthesignificant
number which is in red color. It indicates that the
relationshipbetweentheindependentvariablePSRandthe
latentvariableFSRisinappropriate.
10 THESTRUCTURALEQUATIONMODELING
OFTHISRESEARCH
As a result of the final model of this research,
hypothesizes causal relationships between the
variableshavebeenanalyzedandtestedthroughthe
causal models with a linear equation system. In
addition to the above, Confirmatory Factor Analysis
or an extension of factor
analysis about the specific
hypotheses regarding the structure of the factor
loadings and inter‐correlations are tested too. It
should be noted that the relationship among the
observe and latent variables of this research are in
goodorderapartfromthe relationshipbetween PSR
and FSR variables which is equal
to‐0.77, it means
thatthecorrelationisnotsignificant.Therefore,there
is no direct relationship between present ship
recycling variable and future ship recycling variable
in this study. As the linkages between PSR and the
other two latent variables such as EF and RST is
significant, and also the connections
among the EF
and RST varia ble with FSR is significant;
consequently, the relationship between the PSR and
FSRvariablesthroughtheenvironmentalfactors(EF)
and required standard and training (RST) is
significant.So,for thepurposeofdedicating a place
aroundtheArvandRiverinordertobeusedas
yard
forshiprecycling,itneedstoconcentrateonthetwo
abovelatentvariablessuchasEFandRST.
Table2. shows the Chi‐square, Goodness of fit
index, adjustedgoodnessof fit index, of the general
modelofresearchwhichillustratesthatthemodelhas
goodsituation.
Table2.Variables fit indexes in the path analysis model
_______________________________________________
AGFI GFI RMSEA df
P‐Value Chi‐Square
0.92
0.93 0.054 90 0.00000 121.65
_______________________________________________
Inadditiontotheabove,inthefollowingtableall
the coefficients or indexes of the model such as
Normed Fit Index, Comparative Fit Index, and
IncrementalFitIndexandsoonareoffered.Usually,
indexesindicatehowwellamodelfitsdata,evenif,it
does notdosocorrectlyfromthestatisticalpointof
view;ofcoursesometimesitshowsthatthefitisnot
acceptable.
Table3.Fit indexes of the final model (model path analysis)
_______________________________________________
NoFactors Numeral
_______________________________________________
1 NormedFitIndex(NFI) 0.91
2 Non‐NormedFitIndex(NNFI) 0.95
3 ParsimonyNormedFitIndex(PNFI) 0.93
4
ComparativeFitIndex(CFI) 0.96
5 IncrementalFitIndex(IFI) 0.96
6 RelativeFitIndex(RFI) 0.90
_______________________________________________
Basedonfig.2 ofthisresearchandaccordingtothe
following table, the author states that the all
hypothesis of this research verified except the one
which is between PSR and FSR variable that is
uncorrelated, as the significant number of the two
variablesisredandisassigned
betweentheinterval
of‐1/96to1/96.Itmeansthatitindicatestheabsence
of any meaningful relationship between the
independentvariablePSRandthelatentvariableFSR.
Therefore,thehypothesisisrejected.
Table4. Path coefficient and significant correlation of the
model
_______________________________________________
No Hypothesisorstudied Path SigResult
pathinthemodel Coefficient
_______________________________________________
1 PSR EF0.79 7.88 Verification
2 PSR RST 0.52 5.63 Verification
3 PSR FSR‐0.11 ‐0.72 Rejection
4 EF FSR 0.61 3.97 Verification
5 RST FSR 0.33 3.60 Verification
_______________________________________________
11 CONCLUSIONS
Asthemainpartofthispaperisrelatedtoassessthe
role of establishment of a ship scraping yard at the
ArvandFreeZoneArea;therefore,theauthorofthis
researchhasfocusedonthemodelwherethedatacan
be summarized using some statistical factors. It
should be noted that thisbusiness has an optimistic
marketatthePersianGulf,ontheotherhands;itwill
improvethesafetyofnavigationattheArvandRiver.
Thispaperprovidesstatisticaldatainordertoclarify
theshiprecyclingactivityasstandardactioninorder
tosolvethe
discussionsatIMOonthedevelopmentof
the International Convention for the Safe and
Environmentally Sound Recycling of Ships. The
adoptionoftheHongKongConventioncertainlyisa
way forward to deal with health, safety and
environmental concerns associated with ship
recycling. According to the outputs of this research,
the
author believes that two main variables such as
Environmental Factors (EF) and Required Standard
and Training (RST) are essential factors to leave
behind from traditional or present ship recycling at
thePersianGulftoFutureshiprecyclingasclean,safe
and standard activities base on the Hong Kong
Conventionin
Iran.
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