Special Circular 01/2000 - Alaska - Certificates of Financial Responsibility - Non-tank vessels (July 2000)

Special Non-Tanker Circular No 1/2000 27th July 2000

TO NON-TANKER OWNERS

Dear Sirs

ALASKA - CERTIFICATE OF FINANCIAL RESPONSIBILITYNON-TANK VESSELS

With effect from 1st September 2000 owners or operators of non-tank vessels will be required by statute to demonstrate evidence of financial responsibility for the following limits:

for vessels carrying predominantly persistent product, USD 300 per incident for each barrel of oil storage capacity, or USD 5m, whichever is the greater;

for vessels carrying predominantly non-persistent products, USD 100 per incident for each barrel of oil storage capacity, or USD 1m whichever is the greater.

The requirement applies to non-tank vessels over 400 gross registered tons. Evidence of Financial Responsibility can be demonstrated by the following means:

1. Affidavit of self insurance and most recent audited financial statement;

2. Insurance certificate and insurance policy;

3. Surety bond;

4. Financial guarantee, accompanied by guarantor?s evidence of self insurance;

5. Letter of credit;

6. Certificate of entry evidencing coverage by a Protection and Indemnity Club;

7. Certificate of deposit with assignment of negotiable interest.

Owners and Operators who already have existing Certificates of Financial Responsibility for tank vessels or oil barges may amend their current applications to include non-tank vessels. Members should note that production of a P&I Club Certificate of Entry is sufficient of evidence of Financial Responsibility save for evidence of financial responsibility of sums falling within the deductible.

Application forms can be obtained from the following address:

Alaska Department of Environmental Conservation, Financial Responsibility, Division of Spill Prevention & Response, 4101 Willoughby Avenue, Suite 105, Juneau, Alaska 99801-1795, USA

Telephone: 1 (907) 465 5225, Facsimile: 1 (907) 465 5245

Or from the Web page: www.state.ak.us/dec/dspar/ipp/frpage.htm

To ensure compliance with the 1st September 2000 deadline owners or operators of non-tank vessels must submit their application together with supporting documentation to the Alaskan Department of Environmental Conservation no later than 31st August 2000.

Owners or operators of non-tank vessels who consider they may call at Alaskan ports after 1st September 2000 are recommended to contact the Insurance Department.

Members should note that final regulations concerning the provision of Alaskan Certificates of Financial Responsibility have not yet been published and are unlikely to be published prior to 1st September 2000.

Yours faithfully, Assuranceforeningen, Gard -gjensidig-

John G. Bernander Managing Director