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Navy MARAD

Navy

MARAD

480

484

53

297

3

0

0

132

10

1

0

80

23

1

0

0

48

DISHONORABLE DISPOSAL

Table 8: Overseas vs. Domestic Ship Recycling: 1970 – 1997

Source: Table created by author from information provided by the U.S. General Accounting Office, National Security and International Affairs Division, B-278781, October 22, 1998

Time Frame

1970-82 1983-89 1990-94 1995-97

Number of Ships Recycled Domestic

Number of Ships Recycled Overseas

Between 1994 and 1997, the Navy and MARAD each negotiated agreements with EPA to once again permit the export of ships for disposal under the EPA’s discretionary enforcement

authority.137

However,

in

December

1997,

following

a

dismantling on September 23, 1998, effective through October 1, 1999.140

With the windfall profits obtainable from cost dumping curtailed as a result of the 1994

of TSCA and

1998 Federal

on overseas

scrapping, the

enforcement Moratorium

Baltimore Sun Pulitzer Prize winning exposé on the horrors of shipbreaking practices in South Asia, the Navy voluntarily suspended all vessel exports for disposal. This article series by Gary

government ship disposal programs languished. The backlog of ships awaiting disposal grew by

65% from 1994 to 1998.141

Many of these ships

were more than 50 years old, with deteriorating

Cohn and Will Englund entitled “The , hit the stands in December of Shipbreakers,”138

1997 and shook the halls of Congress. The Navy and then MARAD suspended indefinitely their ship export plans and programs in early 1998.139

In April 1998, the Interagency Panel on Ship Scrapping made final recommendations for the ship disposal programs but failed to agree on a comprehensive approach to overseas disposal. The Panel consisted of MARAD, Navy, EPA,

hulls that threatened waterways.

Navy and MARAD officials

estimated

a

minimum cost of $58 million dollars (in fiscal year 1997 dollars) for storage, maintenance and security of surplus ships between 1999 and 2003 if the obsolete fleet was not substantially

reduced.142

The combined light displacement

tons of Navy and MARAD obsolete ships

awaiting disposal at that approximately one million tons.143

time

was

OSHA,

Defense

Logistics

Agency

(DLA),

National Oceanographic and Atmospheric Administration, Department of Justice and the Department of State. The lack of a final and agreeable recommendation on overseas disposal prompted Vice President Gore to issue a Federal Moratorium on vessel exports for

Report to Congress on the Progress of the Vessel Disposal Program, US Department of Transportation, Maritime Administration, 2001. 137

http://www.pulitzer.org/works/1998-Investigative-Reporting Government Accountability Office, Federal Surplus Ships: Government Efforts to Address the Growing Backlog of Ships Awaiting Disposal; October 1998 138 139

In 1998, MARAD and the Navy turned exclusively to the domestic ship recycling market but were prohibited by statute from paying for dismantling services. However the

Testimony of the Honorable William G. Schubert, Administrator, U.S. Maritime Administration; http://www.globalsecurity.org/military/library/congress/2003_hr/0 30707-schubert.htm 140

Government Accountability Office, Federal Surplus Ships: Government Efforts to Address the Growing Backlog of Ships Awaiting Disposal; October 1998. 141

IBID. http://commdocs.house.gov/committees/Trans/hpw105- 59.000/hpw105-59_0.htm 142 143

2011

BASEL ACTION NETWORK

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