This article analyses contractual governance practices within the value chains of large companies based in the USA and Europe between 2012 and 2017 with focus on human and labour rights. In line with the existing scholarship, we find that the use of contractual governance for safeguarding human and labour rights is best practice among large American and European businesses. The results show that value chain contractual governance should be studied in an interdisciplinary environment taking both legal and non-legal aspects into consideration. Moreover, we detect a general positive impact of the business and human rights regulatory wave of 2010–2011 on sustainable contractual governance practices.
Discusses the challenges of raising finance to build and convert low- and zero-emission ships as required by international law and policy to mitigate climate change.
The legal limbo that defines the maritime space over which the process of delimitation of the outer continental shelf is applied appears today as an eminently practical question that needs to be addressed. The institutional framework provided by UNCLOS, which establishes the existence of an internationalized space on the seabed - the area - seems limited to respond to a debate that confuses Geology with Law. This article focuses on the powers of the International Seabed Authority as an agency authorized to act on behalf of Mankind by exploring its weaknesses in its exercise of this mandate in the context of that process. By analyzing the conflict between the expansionist goals of States and the embodied principle that gives the Authority the assignment to act on behalf of Mankind in securing a space that, according to the text of the Convention, belongs to it, we conclude that there are apparent inconsistencies in the institutional framework created the Montego Bay Convention. In our exegesis of Part XI of the Convention, we work on the cogent force of that principle and raise questions about the legal legitimacy of the entire process, ie in the absence of a clear statement by the above-mentioned Authority. We conclude that the text of the Convention provides the possibility of a direct intervention by the Authority but that there are still no political conditions for such a possibility to be realised.
The Common Fisheries Policy (CFP) is rooted in the Treaty of Rome. After its completion in 1983, the policy framework was gradually reformed through decennial reviews in 1993, 2003, and 2014. Due to geopolitical, physiographic, and historical reasons, the EU implementation of the CFP is most developed in the North Atlantic Ocean, the North Sea, and the Baltic Sea, and less developed in the Mediterranean and Black Sea. However, the CFP applies throughout European Union (EU) waters, which that are treated as a “common pond.” The CFP has been heavily contested since its introduction, and over long periods was characterized as a management system in crisis. Historically, the CFP has arguably struggled to perform and the policy’s ability to meet its objectives has not uncommonly been undermined by factors such as internally contradictory decisions and inefficient implementation. Since the turn of the century, the policy has changed its course by incrementally institutionalizing principles for a more environmentally orientated and scientifically based fisheries management approach. In general, in the latest decade, fisheries have become increasingly sustainable in both environmental and economic terms. An increasing number of fish stocks under the CFP are being exploited at sustainable levels—a development that is likely to continue, as fish stocks are coming to be more commonly managed along the lines of science-based multi-annual management plans. Consequently, many fishing fleets, particularly those deployed in northern waters, have shown good economic performance in recent years. This development has been further facilitated by the introduction of market-based management principles; in most member states these have been implemented by granting de facto ownership to fishing rights for free in the name of ecological and economic sustainability. This has, however, in many cases also led to huge wealth generation for a small privileged group of large-scale fishers at the expense of small-scale fisheries and smaller fishing communities, as well as society at large; this situation has led to calls for both a fairer distribution of fishing rights—to protect the small-scale sector—and for a resource rent or exploitation fee to be collected for the benefit of society at large, which is the true owner of fishing resources. Consequently, social sustainability, understood as the improved well-being of fishing communities and a fairer sharing out of the benefits derived from fisheries resources, should be a subject for the CFP to consider in the future.
This paper examines the costs and benefits of reduction measures for the shipping industry to comply with the forthcoming sulphur emission regulations. Sulphur scrubbers and marine gas oil are two promising alternatives for ship owners. However, their economic comparisons are primarily based on a private perspective. This paper provides a wider viewpoint by integrating the private abatement costs of ship owners and the social environmental benefits from emission reduction. The results showed that the price spread between marine gas oil and heavy fuel oil is a determining factor in making this choice. Marine gas oil tends to have higher net present values than scrubbers when the price spread of fuel is less than 231 Euros per tonne. Furthermore, it is more beneficial to install a scrubber on new ships than retrofits. An old ship is not suitable for a scrubber installation when its remaining lifespan is less than 4 years.
Seafarers sail the high seas around the globe. In case of illness, they are protected by international regulations stating that the employers must pay all expenses in relation to repatriation, but very little is known about the cost of these repatriations. The objective of this study was to estimate the financial burden of repatriations in case of illness. We applied a local approach, a micro-costing method, with an employer perspective using four case vignettes: I) Acute myocardial infarction (AMI), II) Malignant hypertension, III) Appendicitis and IV) Malaria. Direct cost data were derived from the Danish Maritime Authority while for indirect costs estimations were applied using the friction cost approach. The average total costs of repatriation varied for the four case vignettes; AMI (98,823 EUR), Malignant hypertension (47,597 EUR), Appendicitis (58,639 EUR) and Malaria (23,792 EUR) mainly due to large variations in the average direct costs which ranged between 9560 euro in the malaria case and 77,255 in the AMI case. Repatriating an ill seafarer is a costly operation and employers have a financial interest in promoting the health of seafarers by introducing or further strengthen cost-effective prevention programs and hereby reducing the number of repatriations.
The shipping industry's greenhouse gas emission reduction has received significant focus over the past years. One of the research areas is that of stowage planning for RORO vessels. Efficient stowage plans are necessary to reduce the turnaround time for vessels in a port. Reducing turnaround time results in prolonged sailing time, allowing vessels to reduce fuel consumption through slow steaming. When RORO vessels have calls at several ports, they handle cargo as an approximate FILO queue. Therefore, cargo can potentially become blocked when stowing cargo for later ports, behind cargo with an earlier discharge port. Planning the cargo assignment onboard the vessels also requires considering the arrival time of cargo at the port. Recent research assumes that all freight is available for stowage when the RORO vessels arrive at the port. However, this is not always the case. The unique elements of scheduling and generation of loading/discharge paths are therefore of academic interest. We propose a novel mathematical model with a weighted objective function that minimizes the relationship between the fuel consumption cost and the revenue gained from shipping cargo. The model schedules the cargo loading sequence to reduce time spent handling and re-handling cargo at each port. The problem is studied for a single deck layout for a vessel calling multiple ports. Results of the mathematical model and accompanying metaheuristic will be presented.
This paper explores the potential of using green, autonomous ships in revitalizing inland shipping in Europe against the backdrop of declining market share and the dominance of "economy-of-scale" in waterborne freight transportation. It assesses the economic and environmental viability of converting freight from road to waterborne modalities in broader business ecosystems, specifically along the Rotterdam-Ghent corridor. The analysis leverages operational and commercial insights from logistics firms, ports and terminal operators, combined with data on European goods flows by road, and accounts for operational, financial and environmental variables including realistic scenario building and ecosystem implications. Findings indicate that inland shipping in general and green, autonomous shipping in particular offer both economically and environmentally viable alternatives to road transport. The study calls for further research into green, autonomous ships from an ecosystem perspective as a potential solution to current challenges in sustainable freight transportation.
The optimal (economic) speed of oceangoing vessels has become of increased importance due to the combined effect of low freight rates and volatile bunker prices. We examine the problem for vessels operating in the spot market in a tramp mode. In the case of known freight rates between origin destination combinations, a dynamic programming formulation can be applied to determine both the optimal speed and the optimal voyage sequence. Analogous results are derived for random freight rates of known distributions. In the case of independent rates the economic speed depends on fuel price and the expected freight rate, but is independent of the revenue of the particular voyage. For freight rates that depend on a state of the market Markovian random variable, economic speed depends on the market state as well, with increased speed corresponding to good states of the market. The dynamic programming equations in our models differ from those of Markovian decision processes so we develop modifications of standard solution methods, and apply them to small examples.