ING, ABN AMRO and NIBC call on other banks to unite for responsible ship recycling

30 May 2017

The banks hope this will raise awareness of the importance of improving the end-of-life stage of ships.

The recycling of a ship at the end of its lifecycle poses the largest social and environmental risk challenges for the shipping industry. To help address these challenges, ABN AMRO, ING and NIBC joined forces several years ago and developed the RSRS for ship financing.

The RSRS—and the banks’ call today for the financial industry to endorse it—is supported by internationally active expert labour union FNV, the NGO Shipbreaking Platform and the Bellona Foundation, who all see it as a good first step towards more sustainable practices and safe and healthy workplaces.

“We welcome the leading role taken by the banks to ensure a departure from the unnecessarily risky, dirty and dangerous practice of beaching, and expect that investors and clients of shipping that are increasingly pushing for higher standards for ship recycling will join the initiative,” said Ingvild Jenssen, founder and director of the NGO Shipbreaking Platform.

Sustainable recycling practises

The RSRS promotes responsible ship recycling and aims to minimise the dangers associated with hazardous materials on board. The standards form the guiding principles in the dialogue on responsible ship recycling between the financial sector and targeted stakeholders in international shipping.

The banks seek an active dialogue with ship owners and encourage them to prepare and maintain an Inventory of Hazardous Material (IHM) on board. This lists the materials present in a ship’s structure and the equipment that may be hazardous to human health or the environment.

Having an IHM on board contributes to the safety of crew members and workers during the ship's working life and recycling process, and minimises the adverse effects on the environment.

The banks behind the RSRS will continue to increase awareness of the risks associated with recycling of ships, promote the standards, and invite ship financing banks to join the initiative.