SBIC was assigned to pilot old ship dismantling

Minister Dinh La Thang has directed to establish the Steering Committee pilot old ship dismantling to solve difficulties for VN ‘s shipbuilding industry.
         A number of SBIC’s factories will undertake the old ship dismantling pilot.

Start dismantling old ships


A detailed planning of the old ship dismantling establishments until 2020 and orientation towards 2030 has been submitted to Vietnam Maritime Administration. In respecto to this issue, the Director General of Administration, Mr. Nguyen Nhat has been appointed as the Head of the Steering Committee for dismantling old ship by Minister Mr Thang.


In an interview with Giao Thong Newspaper, Nhat said: "Old ship dismantling is deployed with an aim to leverage the existing physical facilities of the factory as well as remove difficulties for Vietnam’s shipbuilding industry, especially SBIC. To minimize environmental impact, steps will be carefully taken rather than massive implementation in a short hand. In the immediate future, planning will be launched whist the most appropriate establishments will be chosen to pilot".


The criteria for planning, Nhat continued, the establishments’ dismantling process are being studied, and developed to suit with the socio-economic conditions and Vietnam standards. The plan proposed should ensure the feasibility and be submitted to Vietnam Maritime Administration no later than May 10th, 2015.


The pilot, firstly, was assigned to SBIC. Shortly thereafter, the SBIC’s member companies, namely Bach Dang Shipbuilding Company, Pha Rung Shipbuilding Company, and Nam Trieu Shipbuilding Company, were also required by SBIC to urgently prepare capacity profiles, facilities, and equipment capable of ship dismantling, arrange total factory premises, propose dismantling plans, and conduct environmental impact assessment for the dismantling plans to report to Vietnam Maritime Administration before 04/27/2015.


Currently, VN Maritime Administration is planning for fieldwork at the SBIC’s pilot-expected factories and scheduling to work with Vinalines, Vinacomin, and a number of metallurgical factories on the demand of sale, ship dismantling, and the consumption of scrap after dismantling, etc.


No legal obstacles


According to Mr. Nguyen Nhat, there is no longer legal obstacles to the dismantling operations. "For ages, the biggest concern has been the issue of environmental pollution. The barriers, however, have been removed thanks to the Environmental Protection Act 2014 taking effect from 01/01/2015 and the two subsequent decrees of the Government, Decree No.19 in 2015 and Decree No.114 in 2014 government, "said Mr. Nhat.

In another move, Mr. Chu Manh Hung, the Director of the Department of Environment (MOT), said that the Department would require the agencies and units to strictly implement the provisions of the Environmental Protection Act and the decrees on environmental protection.


For the capacity of the dismantling establishments, according to Vu Anh Tuan, the General Director of  SBIC, SBIC could be completely confident doing well. Since ship old dismantling would use the SBIC’s facilities. Moreover, the current environmental handling mechanisms of the factories could ensure the requirements of environment as stipulated.


Sharing in an earlier interview, Mr. Nguyen Ngoc Su, the Chairman of the Board of Members said “Old ship dismantling will more or less affect the environment. Therefore, when implementing this operation, SBIC should weigh carefully and seriously as well as have very specific plans. Dismantling is related to inputs and outputs. The questions on the storage location for old ships dismantled, buyers, location of sale, and types of ships expected for sale and dismantling should be answered thoroughly.
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