Updating threshold for IMO cost-benefit assessment

International Maritime Organization (IMO) implements the principles of risk management through a systematic process called Formal Safety Assessment (FSA). FSA is a structured and systematic methodology, aimed at enhancing maritime safety, including protection of life, health, the marine environment and property, by using risk analysis and cost benefit assessment. One of the most widely used hazard identification and risk analysis techniques in FSA is Fault Tree Analysis (FTA) method. However, only basic conventional methodology of the FTA technique is used in FSA. When dealing with large fault trees, the limitations of FTA in terms of accuracy and the efficiency become apparent. It is necessary for IMO to improve FTA method in FSA. In recent years, the Binary Decision Diagram (BDD) method has been developed that solves fault trees and overcomes the disadvantages of the conventional FTA approach. In this paper, the BDD method is introduced for the application in FSA, as it has never been used in FSA studies. A commonly used construction method and some basic event ordering methods of BDD are described. By applying BDD to FTA, two main issues concerned in FSA, minimal cut set and top event probability, can be obtained efficiently and accurately comparing to the analysis using a conventional FTA method.

본 논문은, 국적일반화물선 공식안전성평가(Formal Safety Assessment, 이하 FSA) 연구의 1, 2 단계에 해당하는 위험요소 식별(Hazard identification) 및 식별된 사고 시나리오에 대한 위험도 분석(Risk analysis) 결과를 소개한 "국적일반화물선 초기안전성평가 연구(1)"에 이어 FSA 연구의 3, 4 그리고 5단계를 수행한 내용으로, 국적일반화물선의 운용 중 발생 가능한 위험을 저감할 수 있는 위험도제어방안들(Risk Control Options)을 식별하는 단계(Step 3)와 식별된 위험도제어방안들 중 전문가 의견수렴을 통하여 선별된 위험도제어방안들을 대상으로 한 비용-효과 평가 단계(Step 4: Cost-Benefit Assessment) 그리고 비용-효과 평가의 결과를 정리하여 국적일반화물선의 안전성 제고를 위한 구체적인 방안을 제안하는 단계(Step 5: Recommendation for Decision Making)의 결과를 소개하였다. This study was carried out in order to verity the usefulness of FSA(Formal Safety Assessment) methods as a tool to conduct a safety assessment of general cargo ships flying the Korean flag, and to provide useful information on 'the Safety of General Cargo Ships' for IMO committee's discussion on the matter at a future session. In the previous paper, "A Study on High-level FSA for Korean-flagged General Cargo Ships(1)", the concepts of the FSA methodology and its five steps were described and the results of Hazard Identification(Step 1) and Risk Analysis(Step 2) from the FSA study for the Korean-flagged general cargo ships were discussed. Subsequent to the Steps 1 & 2, the identification of Risk Control Options(RCOs-Step 3) for eliminating or reducing either the frequency or the severity of the risks identified and their Cost-Benefit Assessment(CBA-Step 4) were undertaken. In this paper, the results of the Steps 3 & 4 are discussed, and some recommendations are made.

Formal safety assessment (FSA) is a systematic formal and integrated assessment approach and has various applications to many fields. In this paper, FSA methodology is applied to traffic risk assessment in Fujian coastal waters and harbors, among of which traffic risks are quantified by means of concept of relative risks. From FSA analysis, we conclude that ship collision and contact take the first place among accidents, while the consequences of accidents occurred in typhoon and fog seasons are the most serious. As to accident causes, seafarers and natural conditions make the most important contribution to accident occurrence, and small boats are involved in accidents most frequently. Thus, such targeted proposals are provided finally as the implementation of grid management, focus on seafarer training and management of small shipping companies, etc.

Risk-based decision-making is central to the development of Arctic shipping policy and regulation. Policy-makers within the International Maritime Organization rely on the Formal Safety Assessment (FSA) methodology to evaluate proposed regulatory changes and Arctic ship operators rely on it to establish operating limits and procedures. The FSA recommends incorporating life-safety consequence in the assessment of maritime industry risk. This paper presents an expert-based assessment of the factors that influence the potential for loss of life during an Arctic ship evacuation and quantified consequence severities for a range of evacuation scenarios. A two-phased mixed methods design is used to elicit expert knowledge. Sixteen experts in the fields of Arctic seafaring, policy and regulation, academia and research, and ship design participated in the study. Semi-structured interviews elicited perspectives on the factors that influence the expected number of fatalities resulting from an evacuation in Arctic waters. Surveys were administered in which evacuation scenarios were rated for the level of life-safety consequence severity they pose. This study provides a scenario-based life-safety consequence model for Arctic ship evacuations. Results show evacuation of passenger vessels poses the highest consequence severity of evaluated ship types. Response time and the time available to evacuate have the greatest levels of influence on consequence severity. Implications for Arctic marine policy include the need for enhanced competency and training for Arctic ship crews and SAR services, continued research and development of Arctic life-saving appliances to satisfy Polar Code functional requirements, heightened regulatory oversight of Arctic cruise operations, and consideration of inclusion of fishing vessels under the Polar Code. Application of the results to the FSA methodology is discussed.

Application of ALARP to the design of the BP Andrew platform against smoke and gas ingress and gas explosion

This paper details the work carried out to complete a Formal Safety Assessment (FSA) to assess the effectiveness of inert gas systems (IGS) in reducing the risk associated with cargo tank fire and explosions on chemical and oil tankers <20,000dwt. Two different IGSs are considered; N2 for chemical tankers and conventional oil burning type for oil tankers. N2 IGS is required on chemical tankers to preserve the quality of the chemicals transported on these ships. These IGS systems are evaluated with Cost Benefit Assessments (CBA) to ascertain their cost effectiveness with regards to reducing potential loss of life, potential loss of cargo, potential pollution and potential loss of property. In this respect, the Gross Cost of Averting a Fatality (GCAF) and Net Cost of Averting a Fatality (NCAF) are calculated using the standard FSA method recognized by the International Maritime Organization (IMO). Further, the Cost of Averting one Tonne of oil Spilled (CATS) (Skjong et al., 2005 & Vanem et al., 2008) is applied to understand the cost effectiveness of IGSs in preventing environmental pollution. The risk reduction is estimated from detailed considerations of the accident statistics for tankers >20,000dwt, where mandatory requirements for IGS was introduced in 1990. Comparison was made on risks resulting from accidents involving fire and/or explosion in the cargo tank of tankers of >20,000dwt for the period of 1978–1983, in which most such tankers were not provided with IGS; and for the period 1990–2005, in which all such tankers were provided with IGSs under the requirement of SOLAS Chapter II-2. The paper further assumes that tankers <20,000dwt that carry cargo with flashpoint <60°C should have IGS installed, whilst ships without IGS may continue carrying cargo with flashpoint >60°C. This way the question of requiring IGS is answered based on real risk of fire and explosion, and avoid introducing a rather arbitrary limit based on size of the ships.

The International Maritime Organization (IMO) has encouraged its member countries to introduce Formal Safety Assessment (FSA) for ship operations since the end of the last century. FSA can be used through certain formal assessing steps to generate effective recommendations and cautions to control marine risks and improve the safety of ships. On the basis of the brief introduction of FSA, this paper describes the ideas of applying FSA to the prevention of human error in ship operations. It especially discusses the investigation and analysis of the information and data using navigation simulators and puts forward some suggestions for the introduction and development of the FSA research work for safer ship operations.

Since the inception of jack-up rig operations in the early 1950s, series of hazardous accidents has been witnessed, and losses recorded. These events are approximated to occur at least twice in a year. With this statistics, the harsh offshore environment demands jack-ups of premium quality. Designing a premium self-elevating (jack-up) offshore structure is one that must be founded on well-proven principles, industry-accepted reliability techniques and criteria. Construction must also follow a suitable classification society’s guidelines for the different aspects and phases of the jack-up.Before designing and constructing a jack-up which can optimally operate within the harsh offshore environment, identifying the hazards associated with the structure in this environment and how to mitigate or manage them is essential. The Formal Safety Assessment (FSA) is the methodology employed in the maritime industry to identify and check these marine hazards, and to design ways to bring them under control in a cost effective manner. The five steps in FSA are hazard identification, risk assessment, risk control option, cost benefit analysis/assessment, and decision making steps. In this paper, the jack-up rig was introduced and its operation principle explained from the transit mode to the operation mode offshore. The hazards associated with self-elevating units were identified using the Preliminary Hazard Analysis (PHA). The Capsizing Hazard which was identified as critical was considered and analyzed using the Fault Tree Analysis (FTA). Consequently, the Fishbone Diagram was used to analyze, state the root cause of capsizing of jack-up structures through the risk factors of sampled incident cases, and recommend measures to curb the special problem. Some recommended measures are a bolster of existing guidance. Recommendations and improvements on how to eliminate or reduce capsizing of jack-ups through early design and construction, and before in-service operation were made.

Number 677002 Oil spills from commercial vessels are low probability, high consequence events that threaten economic, ecological, cultural, and natural resources. Washington State Department of Ecology Spill's Program (Ecology) has a robust risk assessment program that focuses on identifying and reducing oil spill risks to Washington waters. In 2017-2018, Ecology developed and implemented a novel application of the International Maritime Organization (IMO) Formal Safety Assessment process to lead a collaborative Hazard Identification for oil spill risk in Grays Harbor, Washington. This use of the IMO Formal Safety Assessment Process to assess oil spill risk was a first for Washington State and appears to be unique among US state governments. Working with area tribes, government agencies, and stakeholders, Ecology modified the IMO Formal Safety Assessment process to focus on local factors that could contribute to oil spill risks. Ecology facilitated structured brainstorming discussions during two workshops to complete Hazard Identification. Focusing on local factors fostered collaborative discussion among workshop participants, and allowed the process to benefit from local expertise about the characteristics of waterway and operational practices. The workshops resulted in the identification of 43 local factors related to oil spill risks, 34 recommendations to reduce risks based on current vessel traffic, and 10 recommendations to consider if vessel traffic increases in the future. The recommendations from this assessment are directly informing operations in Grays Harbor; in 2019, the Grays Harbor Safety Committee voted to adopt the risk assessment final report as an addendum to their Harbor Safety Plan. Ecology is also working with area tribes, government agencies, and stakeholders to review and prioritize the risk assessment recommendations with a goal of developing implementation plans for selected measures. This application of the IMO Formal Safety Assessment process represents a repeatable, scalable, and defensible method for conducting oil spill risk assessments. Ecology plans to use this process in other state waterways, and invites other organizations to consider adopting these methods. The presentation will walk through how to apply this process for localized waterway risk assessments and discuss best practices for success. Additionally, Ecology will discuss new risk analysis initiatives directed by the Washington State Legislature, including development of a quantitative model for evaluating oil spill risk and the potential effect of risk reduction measures.

Currently, maritime safety is the best issue in the world. International Maritime Organization (IMO) have recommended formal safety assessment (FSA) methodology to enhance maritime safety. In this paper, the research was conducted in the Malacca Strait. Malacca Strait is an area that has a high risk for shipping navigation. Many accidents occur in the area are like collision, fire, grounding and so on. Therefore a study on improving safety in this area is very important. It is to produce an output that can be used to provide input to the master and multiple stakeholders to improve safety on board at the time of sailing. In this study, AIS is used as a data source. Sea condition data collected actual traffic through the Automatic Identification System (AIS) equipment installed at Kobe University, Japan, and Universiti Teknologi Malaysia (UTM) in Johor, Malaysia. The data is applied to define a method with the help of Geographic Information Systems (GIS).

Presented on 28 May 2025: Session 12 Primary cementing is a crucial aspect of petroleum well construction, ensuring long-term well integrity, preventing fluid migration, and protecting groundwater. In Queensland, Resources Safety & Health Queensland (RSHQ) Petroleum and Gas Inspectorate enforces the Code of Practice for the construction and abandonment of petroleum wells and associated bores in Queensland, which outlines engineering and technical requirements for well construction and abandonment. Between January 2020 and December 2023, industry operators drilled 2541 wells and reported 43 failures to meet primary cementing objectives (FTMCOs), prompting the Inspectorate to conduct industry-wide audits. The audits focussed on compliance with cementing practices, formal safety assessments, slurry design, laboratory testing, verification procedures, and factors contributing to slumping and failure to reach the designed top of cement (TOC). Key findings highlighted gaps in formal safety assessments, a tendency to delegate cement slurry design to contractors without rigorous technical oversight, and inconsistencies in laboratory testing documentation. Additionally, verification procedures were not always aligned with regulatory requirements, and cement losses presented significant challenges towards the slumping and TOC deficiencies. To enhance primary cementing practices, the paper recommends strengthening oversight of cementing contractors’ technical capabilities, improving verification procedures, and ensuring consistent comprehensive risk assessments. Aligning cement verification procedures with regulatory requirements and adopting best practices for mitigating cement losses will improve well integrity and regulatory compliance. To access the Oral Presentation click the link on the right. To read the full paper click here

Application of fuzzy bow-tie risk analysis to maritime transportation: The case of ship collision during the STS operation

With the fast development of transportation at sea, establishing vessel traffic services (VTS) is reaching a new high tide in order to more effectively guarantee vessel traffic safety, protect maritime environment and increase traffic efficiency. Formal safety assessment (FSA) has been considered a powerful tool that can help ensure that limited resources are allocated scientifically for these purposes. This paper introduces the application of FSA on planning VTS.

Quantified Risk Assessment studies are carried out with the objective of reducing the risk to personnel, assets and environment to As Low As Reasonably Practicable (ALARP). With the increasing use of this principle in oil and gas safety studies to reduce the tolerable risks to ALARP level, Risk Based Decision Making (RBDM) has witnessed improved energy efficiency as a bi-product. This paper proposes a method to set energy efficiency as an objective of such analyses, rather than just a bi-product, in Capex and Opex projects. The ALARP decision is based on a Cost-Benefit analysis methodology, and the related benefits include not only the obvious risk reduction potential and improvement in reliability and availability, but also improvements in energy efficiency. Thus, setting energy efficiency as a goal and combining it with the ALARP method will be beneficial for the operating companies.

Accident data from the Palembang Port Authority Of6ice Class II shows that the level of traf6ic accidents in the waters of the Musi River in Palembang is relatively high. Hazard identi6ication was conducted on the Musi River, resulting in 25 ship accidents caused by collisions and 4 ship accidents due to grounding. Subsequently, risk assessment was performed by analysing the collision frequency and its consequences on human casualties. The collision frequency was calculated using IWRAP, yielding results of 8.18 x 10-2, 9.74 x 10-3, and 8.18 x 10-4 for the head-on, overtaking, and crossing scenarios, respectively. An analysis of the consequences in terms of human casualties estimated an average of 11 victims. Six options were proposed as risk control options (RCOs): public awareness and regulation implementation, Automatic Identi6ication System (AIS) installation, crew education and training, standardization of safety equipment, utilization of pilotage services, and channel widening. Each RCO will be evaluated based on its cost and bene6its. The 6inal stage of the FSA involves recommendations aimed at selecting the best RCOs, considering the cost-bene6it analysis (CBA). The optimal choice to minimize ship collisions and human casualties in the waters of the Musi River is to conduct crew education and training. This option is the most cost-effective due to its lowest Gross Cost value. The bene6its gained amount to USD 890,273.02 with a 68% reduction in risk value.