I63 - Strait Shipping Ltd - Wellington Region

Summary
A new anti-foul coating on one ship has reduced fuel oil consumption by 15-20%. Efficiency gains will continue over the effective lifetime of the new coating, which is extended from two years to three. Lube oil is being used more efficiently due to better engine maintenance and careful use of purifiers. Waste oil is collected and recycled for energy recovery. Water conservation measures have reduced potable water purchased by 15-20%.

Business Profile
Strait Shipping Ltd operates a freighting business across Cook Strait. The company operates two ships: The Suilven (3638 gross tonnes) runs from Wellington to Picton carrying trailers, containers, cars and some passengers; The Straitsman (1481 gross tonnes) carries mainly livestock between Wellington, Picton and Nelson. The company employs approximately 60 people as crews, dockside workers and support staff.

Type of Project
Good housekeeping, energy efficiency, material recycling, material substitution, process modification, reduction in water use, reduction in use of hazardous substances.

Reasons for Project
Cost minimisation; reduced environmental damage; employee health & safety; regulatory compliance.

The Project

Strait Shipping normally carry out cleaning and painting in a dry dock every two years. However, the company expects to increase this period to three years by using a new anti-foul coating, first applied at the beginning of 1997. After thorough cleaning, an epoxy coating was applied, followed by a copper-based anti-foul paint. Two underwater scrubs between dry dockings should maintain fuel savings and extend the life of the coatings. A new epoxy/paint coating will therefore not be applied until early 2000. The extra costs of applying two different coatings will be recouped in the fuel savings over this time.

Significant cost savings have also been achieved by reducing the number of sacrificial anodes on the Suilven, from over 50 when it was purchased in 1995 to 32. The rearranged anodic protection has reduced maintenance requirements.

Fuel used for both ships is pure diesel, minimising handling costs, eliminating the need for fuel additives and maximising engine efficiency. Despite the greater initial purchase cost of diesel compared to heavy fuel oil, overall it better suits the company's operations to use the former.

Energy savings and pollution reduction are achieved through greater fuel efficiency. Reduced quantities of anti-foul paint are required in the medium and long term. 15-20% less fuel is being consumed as a result of the new anti-foul coating (between the last quarter of 1996 and the first quarter of 1997). This level of improved performance is expected to continue. The cost savings over this period have been even greater than these figures suggest, given the 10% increase in fuel prices seen between November 1996 and March 1997. Dry dock costs will be reduced over time

Lubrication Oil Consumption and Disposal
Lube oil consumption has been reduced by increasing engine maintenance and making improvements in the purifiers added to the oils. Cost savings have also been made by selecting an oil recycling contractor in the South Island who collects waste engine oil from both ships in 200 litre drums. The waste engine oil is cleaned for sale as heating oil.

Oily bilgewater is collected on the Suilven in a 30 tonne holding tank. An oil-water separator system has been installed on the Suilven which is able to clean the bilgewater to MARPOL standards (15ppm), for discharge overboard. The separated waste oil is stored in the holding tank, which is periodically pumped out by a North Island contractor who charges about 10¢ per litre. With the introduction to the Suilven of the drum-based collection for waste engine oil, emptying the tank is expected to become less frequent.

Cost savings are associated with reduced consumption of lube oil due to better engine maintenance; and less frequent operational mistakes (leading to wasted batches) due to the Oil Management Plan. Costs have also been reduced by increasing the proportion of recyclable oil, reducing the frequency of pumping out the ship-based holding tank.

Water Conservation
A new deck washing system has been introduced which saves potable water purchased from port sources. Previously, 60-70% of the fresh water taken aboard was used in washing various parts of the two ships (the rest used for human consumption). All deck washing was carried out using fresh water. Now, wash-downs are carried out with sea water, followed by a final fresh water rinse. 15-20% less fresh water is used as a result. Reuse of wash water was also investigated but dismissed as impractical.

Although the cost savings of this action are relatively minor, the trend for increased water rates in the Wellington region may provide the company with greater savings in the medium term.

Policy Implementation
MARPOL is not presently ratified by the New Zealand Government, but the convention's 1978 standards are all met by Strait Shipping.

Both ships are operated under an Oil Pollution Management Plan which brings Strait Shipping into line with MARPOL. Implementation ensures against discharge of oil to the environment and also minimises the use of the resource through proper maintenance of the engines' lubricating system.

Health & safety procedures are now in place which have reduced the number of accidents at dockside and on board vessels. Safety officers have been appointed for each vessel and weekly H&S meeting are held. Strait Shipping expects to be ISO 9002 compliant by February 1998.

Company standards for the checking, handling and transport of dangerous goods (DG) are currently being revised for greater stringency. The International Maritime Organisation's DG codes are complied with, though discrepancies with the Land Transport Safety Authority's DG code pose difficulties in receiving some DG-bearing freight already loaded on road trailer units. These difficulties are currently being addressed by the company.

For additional information contact:
Peter Clarke
Operations Manager
Strait Shipping Ltd
PO Box 1144
Wellington
Phone: (04)-473 7289
Fax: (04)-472 7243