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Cost benefit study about maritime security

The Organisation of Economic Co-operation and Development (OECD) has published a study into the cost benefits of maritime security and also an insight into the company's obligations under the International Ship and Port Security code on running ships and ports that is expected to come into force in about 10 months from now.

 
The ISPS code, adopted at the diplomatic conference of the International Maritime Conference in last December requires countries to implement, beginning 1 July 2004, specific security measures and plans at port and onboard vessels.

 
According to the organisation the burden on ship operators of maritime security is estimated to be at least total US$1280 million initially and US$730m per year thereafter.

 
This does not include the Automatic Information System (AIS) investment, since the primary reason for fitting AIS is not considered to be security.

 
OECD estimates the breakdown of the costs of the ISPS code, with the addition of AIS costs as follows: US$649.3m on AIS, US$86.5m on ship alert systems, US$21.6m on the ship identification number, US$514.6 on company security officers (large companies), US$150m for company security officers in small companies, $103.9 on the ship security assessment and US$51.9 on the ship security plan.

 
Then there's US$29m on the ship security officer, US$16.8m on the ship security training, US$304.4m on the vessel security equipment.

 
The subsequent yearly cost breakdown is US$4.3m for ship alert system, US$514.6m for training of company security officer (large companies), US$150m for training of company security officer (small companies), US$29m to train the ship security officer, US$16.8m on ship security training/drills, US$15.2m on vessel security equipment.

   
The US Coastguard estimates that each tanker should have one handheld metal detector (US$200 capital cost, US$10 maintenance per year); 5 handheld radios (US$200 capital cost each, US$10 maintenance each per year); 10 locks (US$300 capital cost each, US$15 maintenance each per year), 5 lights (US$400 each, plus US$20 per year) and 5 auto-intrusion alarms (US$500 each, plus US$25 per year).

   
For cargo ships, the agency suggests two handheld metal detectors and one portable vapour detector for explosives at US$8,000 each, US$400 maintenance per year.

               

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