December 16th, 2009
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Australia calls for improved maritime pollution compensation

The Federal Government has taken its campaign for greater compensation in the case of vessels causing environmental damage to the International Maritime Organisation.

Infrastructure and Transport Minister, Anthony Albanese, has told the organisation’s General Assembly in London that the liability limits for existing compensation must be lifted to address vessels spilling their bunker oil. He says it is critical that polluters pay for the damage they cause.

Mr Albanese says the inadequacy of the existing compensation regime was exposed earlier this year when the vessel, Pacific Adventurer, polluted the Queensland coast. The ship’s hull and fuel tank ruptured during a storm and about 30 containers of ammonium nitrate fell overboard.

The maximum amount of compensation available depends on the size of the ship: for example, the maximum compensation payable for a container vessel with a gross tonnage of 35,000 tonnes is about $24 million.

The International Maritime Organisation will consider Australia’s proposal for increased compensation in 2010.