Malaysia containership collision owners to pay $223,565 clean-up bond

Each of the owners of Wan Hai 301 and the APL Denver involved in the collision off Pasir Gudang Port earlier this week will be required to pay a MYR1m ($223,565) bond to ensure they clean up the resulting oil spill, local reports said.

Johor Health and Environment Committee chairman Ayub Rahmat said the penalty is as stipulated under the Environment Quality Act 1974, which holds both ships responsible for the costs of removing the oil spill. Some 300 tonnes of bunker fuel were spilled when a bunker tank on the APL Denver was holed.

"As assurance that the ship owners will do the cleaning works, under the provision of Section 38 of the Environmental Quality Act 1974, they have each placed a MYR1 m bond to complete the clean-up works and contain the oil spill from further destroying the environment," Ayub said.

Ayub noted that the spill has reached the shores of three fishing villages within a one sq km area, affecting a total of 10 fish farms. More than 300 fishermen could be seeking possible compensation for disruption to their operations.

The spill also hit the shores of neighbouring Singapore and according to the Maritime & Port Authority of Singapore 17 craft and 222 personnel were deployed in clean-up operations on Thursday.

Posted 06 January 2017

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Vincent Wee

Hong Kong and SE Asia Correspondent, Seatrade Maritime News

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