Navigating the Storm: Perspective on Container Stack Collapses
In a comprehensive and detailed technical article from Gard titled “High Waves, High Claims: New Study on Container Losses,” the focus is on understanding the impact of adverse weather, particularly high waves, on container stack collapses. The study conducted by Gard delves into the consequences of progressively increasing wave height, the quantified risk associated with high waves, and the variations in weather exposure across different operators in the container shipping industry. The ultimate goal is to stimulate a broader conversation within the industry on strategies to mitigate the adverse effects of weather conditions on container safety.
As the global container shipping fleet continues to expand, with a nearly four percent growth reported by UNCTAD last year, Gard’s P&I portfolio has witnessed a significant 16 percent increase over the past five years, constituting 18 percent of insured vessels. This growth in container shipping, however, brings about a higher risk of casualties, with stack collapses and containers lost at sea being closely monitored due to their severity. The International Maritime Organization (IMO) is actively working on making the reporting of lost containers mandatory, and various stakeholders, including insurers, are engaged in projects such as the Top Tier initiative to investigate and address the causes of stack collapses.
To contribute valuable insights to the industry and prevent losses, Gard has analyzed all cases of stack collapse involving their role as a P&I insurer from 2016 to 2021. The study combines Gard’s claims data with geographical and meteorological data from Windward, providing information on estimated wave height and wind strength on an hourly basis. The analysis covers a wide range of cases, considering severity, vessel size, and geographical location. The weather data, specifically the maximum wave height, is examined for each claim, allowing for a detailed analysis of how weather conditions progressively worsened leading up to each incident.
The article emphasizes the need to consider weather in the context of a ship’s design and size. While stack collapses occur across various vessel sizes, there is a clear correlation between incident frequency and vessel size. The average claims frequency for stack collapses on feeder vessels (less than 3,000 TEU) is 1%, while for ultra-large container vessels (ULCVs) exceeding 15,000 TEU, it rises to 9%.
Analyzing the impact of progressively increasing wave height, the study reveals that vessels experiencing wave heights of 2.5m on Day 1 see a significant increase, with the average wave height peaking at 6.5m on Day 7. Importantly, incidents do not always coincide with the highest wave heights but often occur after the weather begins to subside. The study also investigates vessels exposed to wave heights of 7m or above, indicating that while they spend only 5% of their time in such conditions, half of all incidents occur during this period.
The risk profiles differ among various size segments in the global container fleet, with the new Panamax 1 segment (8,000 – 12,000 TEU) showing a higher exposure to wave heights of 7 meters and above compared to other size categories.
Beyond vessel size, the article highlights the variation in exposure to adverse weather among different container operators or owners. This discrepancy is attributed to differences in risk tolerance and internally defined weather thresholds. The decisions made in chartering or operational desks have significant consequences for vessel and cargo safety.
The study identifies two crucial aspects related to the impact of weather: the duration of exposure and specific weather thresholds for vessels, influenced by stability, stack height, and securing equipment’s physical condition. The article concludes by posing key questions for the liner industry, including conflicting priorities on weather thresholds, the availability of suitable tools for evaluating complex rolling phenomena, the progressive deterioration of lashings in heavy weather, the need for tighter weather routeing for vessels with deteriorated securing equipment, and the extent to which cargo securing inside containers can endure adverse weather.
The Gard article is complemented by a related piece titled “Why Do Containership Stacks Collapse and Who Is Liable?” published on June 15, 2020. This article provides an overview of the typical causes of stack collapse and explores the legal implications surrounding liability claims resulting from such incidents.
The causes of stack collapses are multifaceted, with heavy weather identified as a fundamental challenge for carriers. Advanced technology for voyage planning and weather routing assists ship masters, but judgment may be questioned if an incident occurs. The article highlights phenomena such as parametric and synchronous roll resonance, emphasizing that larger vessels, particularly those with significant bow flares, are particularly exposed to parametric rolling. The stowage of containers, weight distribution, and cargo securing within containers are crucial factors influencing stack stability.
The Container Securing Manual (CSM) plays a pivotal role in preventing incidents, and adherence to it is essential. Cargo stowage inside containers, if not done correctly, can lead to a domino effect, causing the collapse of entire rows of containers. Container weight misdeclaration is a widespread industry issue, and inaccuracies in declared weights can jeopardize the integrity of container stacks.
Lashing and securing thousands of containers onboard present a major challenge, and failure to secure containers correctly is a common cause of containers lost at sea. The article stresses that inadequate securing, missing or failing twist locks, and loose lashings are among the more common causes of such incidents.
Legal considerations related to cargo claims and charterparty claims are discussed in detail. The Hague/Visby Rules are identified as governing the liability for damage or loss of cargo. The carrier’s fundamental duty includes properly caring for the cargo, and failure to do so may result in liability. The legal article explores exceptions, including error in ship management, perils of the sea, and the “non fault” exception, providing insights into how carriers may rely on these to defend against liability claims.
The conclusion underscores the complexity of container stack collapse cases and the challenges faced by carriers, insurers, lawyers, judges, and arbitrators. The article acknowledges that the law applied in these cases is over a century old and may not seamlessly align with modern ships and technologies. Container stack collapses have far-reaching consequences, involving substantial monetary losses, threats to ship safety, and environmental impact. The legal landscape for these cases is likely to remain intricate for years to come.
In summary, the Gard articles provide a comprehensive examination of the factors contributing to container stack collapses, ranging from adverse weather conditions to vessel design, cargo stowage, and legal considerations. The studies aim to contribute valuable insights to the industry and stimulate discussions on strategies to enhance container safety.
Reflections on Key Questions:
These studies prompt several key questions for stakeholders in the liner industry to consider:
- Conflicting priorities on weather thresholds: Does the understanding of weather limiting factors vary among different stakeholders, and if so, why?
- Suitable tools for complex rolling phenomena: Do seafarers have access to suitable digital/automated tools for evaluating the risk of intricate phenomena like resonant, synchronous, and parametric rolling?
- Slackening of lashings in heavy weather: Is there a progressive deterioration of lashing efficacy leading to failure beyond a certain time period?
- Tighter weather routing for vessels with deteriorated securing equipment: Should weather routing considerations be tightened for vessels with deteriorated container sockets and lashing eyes?
- Impact of weather on cargo securing inside a container: To what extent can the securing of cargoes inside containers endure movement caused by adverse weather?
- Broadening KPIs for weather routing: Should safe weather routing and the avoidance of adverse weather be included as components of internal key performance indicators (KPIs)?
Conclusion:
In conclusion, the study by Gard sheds light on the intricate relationship between adverse weather conditions and container safety. As a ship captain, these findings reinforce the importance of continuous dialogue within the industry to develop effective strategies for mitigating risks. Addressing the key questions raised by the study can contribute to enhancing safety standards and weather-related risk management practices in container shipping, ultimately safeguarding vessels, crews, and cargo.
Additional Reading and Links
Gard – Why do containership stacks collapse and who is liable?
Gard – High waves, high claims: New study on container losses