Key roles for Singapore at IMO but difficult times ahead

GOOD news should have dominated the agenda of the International Maritime Organization (IMO) last week as the London-based UN agency voted in a new secretary-general against the background of a landmark agreement to move more quickly towards decarbonisation the previous week.

Unfortunately, Russian president Vladimir Putin’s decision to scrap the deal allowing ships to carry grain out of Ukraine’s Black Sea ports was the big, bad news story. An appropriately grim-faced IMO secretary-general Kitack Lim said: “I deeply regret to learn of the disruption to the Black Sea Initiative. The unimpeded flow of shipping around the globe is of critical importance and central to the work of the IMO.

“The movement of ships through the Black Sea Initiative and its impact in getting food to those who need it most, as well as stabilising world food prices, is proof that shipping must always continue to move. IMO remains ready to support the UN’s efforts to find pathways for solutions to preserve the global supply chain and food security.”

Lim retires at the end of this year, but he is likely to be dealing with this extremely difficult diplomatic issue right up to the end of his term in office. The IMO played a key role in achieving the Black Sea agreement in the first place. Keeping shipping moving is one aspect of IMO’s work that is easy to forget, as the focus these days is very much reducing shipping’s greenhouse gas emissions.

The war in Ukraine is also having a detrimental effect on IMO’s core mission to ensure the safety of life at sea. A large “dark fleet” is now operating outside the normal regulatory and insurance regimes that are in place to protect seafarers and the environment.

However, to return to the positive, IMO Council voted to appoint Arsenio Antonio Dominguez Velasco of Panama, “for an initial four-year term, as next secretary-general, with effect from Jan 1, 2024, subject to the IMO Assembly’s approval”.

The IMO Assembly meets for its 33rd session from Nov 27 to Dec 6. Dominguez Velasco has been director of IMO’s Marine Environment Division since January 2022. He joined the IMO Secretariat in 2017, first as chief of staff to secretary-general Lim, before being appointed as director of the organisation’s administrative division in 2020.

Responding to the announced change in leadership at IMO, Guy Platten, secretary-general of the International Chamber of Shipping (ICS) said: “It has been a great pleasure and privilege to work with Kitack Lim over the past eight years. Kitack steered the IMO successfully through challenging times, calmly and with direction, and everyone at the International Chamber of Shipping wishes Kitack every success in his future endeavours.”

He added that the main global shipowners’ body looked forward to working with Dominguez Velasco and it knew he would “lead with equal measures of authority, purpose and compassion”.

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Platten observed: “The position of IMO secretary-general is not an easy one, and there are undoubtedly challenges ahead as the industry strives to meet the 2030, 2040 and 2050 targets, but it will be a pleasure to tackle these challenges head on with Dominguez Velasco for a better and safer future for our industry and its people.”

The Maritime and Port Authority of Singapore (MPA) was quick to congratulate Dominguez Velasco on his election as the 10th secretary-general of the IMO. Singapore has a long record of supporting IMO and has been a member of the IMO Council since 1993.

An MPA statement notes: “As an IMO Council member, Singapore has played an active role in the organisation to advance the interests of the international maritime community, including to drive digitalisation and decarbonisation efforts, enhance navigational safety, promote efficient and sustainable shipping, and protect the marine environment.”

Last week, a Singaporean was appointed vice-chair of Marine Environment Protection Committee to lead global maritime decarbonisation and environmental management efforts. MPA officer Tan Hanqiang, currently first secretary (Maritime), at Singapore’s High Commission in London, will take on the role.

According to MPA: “The appointment is a strong recognition of Singapore’s commitment to a multilateral, rules-based approach for international shipping and supports Singapore’s long-standing efforts as a bridge-builder to bring together parties for constructive dialogue and consensus-building at various international fora, including climate change efforts.”

Another MPA officer, Darrick Leow, also stationed at the Singapore High Commission in London, has been appointed chair of the working group that is formulating a strategic plan for IMO’s work over the coming years. A lot of bridge building is going to be necessary to ensure that IMO’s newly-agreed decarbonisation strategy is successful. There are very big differences between IMO member states on key issues, such as whether to impose a Fund and Reward levy to accelerate the move to net-zero.

Despite the best efforts of ICS and the countries that support the Fund and Reward proposals, there is an entrenched view in some quarters that the levy is a tax, and it is not the place of an international organisation to impose a tax. Perhaps, though, compromises can be achieved.

Singapore is well positioned to seek out acceptable solutions. Moreover, if geological hydrogen, also known as white hydrogen, starts to become available fairly soon, some of the pressure to spend large sums on decarbonisation may ease.