MSC will help foot Rena cleanup bill – Joyce

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MSC will help foot Rena cleanup bill – Joyce

3News NZ

Transport Minister Steven Joyce says MSC needs to "step up" and help pay for the clean-up

Transport Minister Steven Joyce says MSC needs to "step up" and help pay for the clean-up

By Lloyd Burr

The company which chartered the MV Rena has confirmed to Transport Minister Steven Joyce it will foot some of the clean-up bill, even though it is not legally obligated to do so.

The Mediterranean Shipping Company (MSC) chartered the Rena from owners Costamare to transport goods around New Zealand and then on to Singapore when it hit the Astrolabe Reef off the coast of Tauranga a fortnight ago.

Mr Joyce says it is in MSC’s best interests as a “responsible corporate citizen” to foot some of the clean-up bill and encourages them to “step up”.

Two MSC managers met with Mr Joyce this morning and confirmed they will cover some of the costs of the clean-up, but wouldn’t say how much.

“We said to the Minister that we would look at a variety of options that are available…and we would get back to him in due course…We will look into that to see whatever is reasonable if we can assist in any way we can,” says MSC’s New Zealand general manager Phil Abraham.



MSC Managing Director Kevin Clarke says although the ultimate cost of the oil pollution and clean-up lies with Costamare’s insurers, MSC are “more than willing to assist and help wherever possible”.

Mr Joyce says the salvage costs will be met by Costamare and the clean-up cost is concerning which is why he is “making sure MSC are willing to make a contribution”.

 “Their contribution should be there I believe because they are the shipping company that is involved, it is a ship that they had chartered and it was travelling under their flag with their goods onboard and it hit a reef outside Tauranga – I think that is enough to suggest that as a responsible corporate citizen, they would make a contribution.

“I encourage them to think very carefully [about their financial contribution], they have been here for many years, they have an involvement here of around 100 port calls per year, they are an active business here and I think the New Zealand companies and the people they deal with would want to see them stepping up,” Mr Joyce says.

“My understanding is that they will make some financial contribution and the amount is for them to assess in terms of their reputation in this country and the way New Zealanders feel about what has happened and they will have to make an assessment as to what they think is appropriate.”

Both Mr Clarke and Mr Abraham will travel to Tauranga this afternoon to see the disaster first-hand.

Click 'view video' to watch this morning's full press conference.

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Comments

17/10/2011 9:30:47 p.m.

jess wrote:

just wait for the investigation report. will see whose mistake was it. ship was not worthy or master was not capible? a brand new ship could do same disaster if there is human error. But wait untill the invitigation report comes. we cannot at this time blame Msc ,the owner or the gorvnment or the captain.

17/10/2011 9:30:19 p.m.

Valentin Perez Duhalde wrote:

There´s no point in discussing wether MSC should or sould not contribute to the cleanup operation, since there´s a compulsory insurance policy covering such risks. However, if the State´s Officials openly declare such a move, they leave MSC with no choice, exposed to the public opinion. A more complex thinking process will lead to the fact that vessels are already being carfully inspected by states, insurance companies, charterers and regulatory bodies, and seaworthiness is not under discussion here. All in all, what we should expect is what we´ve seen so far: fast response, placing every available mean of pollution prevention and mitigation in place, and hoping for the best. We don´t like what happened, but MSC does not like spills either.

17/10/2011 6:27:47 p.m.

Dave wrote:

Ger real Gary, we aren't watching them at all, they are coming to the party even though they don't have to. When you order a taxi and it crashes on the way to your place do you offer to pay the panelbeating? NSC are being good guys in this situation, now how much are you going to contribute?

17/10/2011 4:00:26 p.m.

John wrote:

I'm not sure why MSC should contribute as it's really the equivilent of someone hiring a truck to move their furniture say and if the truck crashes being asked to help pay for the salvage and recovery; it's a bit of a dangerous precedent. MSC is not a culprit here in any way; it was National who opened up our coast to foreign vessels destroying our own coastal shipping industry and National who didn't pass the necessary legislation to increase the liabilites of polluters etc. under the Marine Act.

17/10/2011 2:18:42 p.m.

SN Chamaria wrote:

Sir,

Solution to avert such disasters is that the nationmakes a law to prevent entry of overaged ad Rusted Vessels in to its waters.

Most of MSC Vessels are overaged and unfit for vouyages. They offer cheap rates and Shippers are tempted out of stupidity flowing from the greed.

This is why we need a maritime law to deal with such Vessels.

Best Regards

SN Chamaria

17/10/2011 1:29:51 p.m.

Gary wrote:

MSC we will all be watching very carefully how much you contribute to this disaterous shipping blunder cleanup, causing all this pollution!
Your future reputation as a successful company operating in NZ may well hinge on your financial efforts, step up to the mark.
Well Done Mr Joyce and National, ensuring that everything is done, but as little burden to the NZ taxpayers financially as possible.
Let the culprits pay!