We wish to draw our members’ attention to a significant increase in administrative fines for oil pollution incidents which was recently announced by Turkish authorities.
In the event of pollution in Turkish waters a vessel is liable to receive an administrative fine as determined by Turkish Environmental Code no.2872. The amounts of the administrative fines are revised on annual basis and have now been increased for 2022 by 36.20% (compared to 2021).
The amount of the administrative fine will depend on the type of pollution and the gross tonnage (GT) of the Vessel. For a detailed overview of the amounts per pollution type we refer to the circular of Turkish P&I correspondents Atlas P&I, accessible through following link.
When pollution has been detected, the Vessel will likely be detained until the administrative fine is paid or security is provided. In some cases a Club LoU may be accepted otherwise a bank security may need to be posted. In the event of a repeat offence the fines are doubled and may be tripled if the new violation occur within three years of a previous fine.
A fine may be reduced if the Vessel took appropriate action to limit the impact and ensure that steps were taken to clean up. A reduction may also be applied if a fine is paid immediately.
Members must be aware that they are entitled to appeal against an administrative fine by applying to the Administrative Court within 30 days. Members should also take into consideration that payment of the fine is not necessarily to be considered as an admission of liability and it is usually possible to appeal the fine even after it has been paid.
For sake of good order this administrative fine is in addition to any liability for the direct costs of oil pollution including clean-up costs or possible criminal liability. Whether the fines are covered under the Owners P&I insurance will need to be assessed on the facts and circumstances of each individual incident.
We request our Members to report any incident giving rise to pollution to claims@nnpc.nl in which case we will assist in mitigating our Members’ exposure together with local correspondents.