The International Convention on Civil Liability for Bunker Oil Pollution Damage (Bunkers Convention) ensures that compensation is available to persons who suffer damage caused by spills of oil carried as fuel in ships’ bunkers.
The Convention:
- applies to ships of 1,000 gross tonnage and above arriving at or leaving an Australian port or offshore facility
- requires that these ships carry an appropriate government-issued insurance certificate (‘bunkers certificate’)
In Australia, bunker certificates are also carried by all oil tankers that are carrying, or may potentially carry, non-persistent oils as cargo (for example, automotive or aviation engine fuels).
Australia implements the Bunkers Convention through the Protection of the Sea (Civil Liability for Bunker Oil Pollution Damage) Act 2008. Section 15 sets out the requirements for an appropriate insurance certificate (bunker certificate).
The Bunkers Convention defines a ship as any seagoing vessel or seaborne craft of any type.
Bunker certificates
The certificate states that:
- insurance or other financial security is in force for the ship
- the insurance will cover the liability of the registered owner for pollution damage up to an agreed liability limit set by the Convention.
See the Convention on Limitation of Liability for Maritime Claims, 1976 for these limits.
Who issues certificates to applicable ships
AMSA issues bunker certificates to Australian registered ships.
Foreign-registered vessels need a bunker certificate issued by either:
- their flag State, if their flag State is a party to the Bunkers Convention
- any party to the Bunkers Convention, if their flag State is not a party.
There are currently 107 parties to the Bunkers Convention. (See a list of ratifications by state on the IMO website.)
AMSA can issue bunker certificates to foreign-registered vessels if another party has not already issued one.
How to apply for a bunker certificate
Apply for a Bunkers Convention certificate of insurance using AMSA form 350.
Both Australian registered ships and foreign-flagged vessels should use this form.
To make an application you must:
- include a Protection and Indemnity Club (P&I Club) Blue Card or similar financial guarantee
- pay the application fee.
Applications can take up to 20 business days to process.
AMSA issues certificates based on the start and end dates on the Blue Card or financial guarantee. Certificates are valid for a period of up to 12 months from the date of issue.
Requirements for oil tankers visiting Australian ports
The IMO Legal Committee has recognised that the International Convention on Civil Liability for Oil Pollution Damage 1992 (‘the Civil Liability Convention’) has a narrow definition of oil. Oil tankers may also carry oil not covered by the Civil Liability Convention definition. For example, non-persistent oil or lubricating oil used in the operation of the ship, as opposed to oil carried as cargo.
It is also difficult for maritime administrations to know the commercial use of the fuel oil on a particular tanker. To avoid problems during port State control inspections, Australia expects all oil tankers that carry persistent or non-persistent oil to carry a Bunkers Certificate. This includes, for example, crude, fuel, heavy diesel, lubricating oils, automotive or aviation engine fuels.
Persistent and Non-Persistent oils as cargo
To avoid any confusion, owners and operators of foreign-flagged oil tankers should also carry:
- a certificate issued under the Bunkers Convention
- a certificate issued under the Civil Liability Convention from an appropriate maritime administration.
This applies whether the ship is carrying persistent oil as cargo or not.
Penalties
There are significant penalties for ships that do not comply.
For ships entering or leaving an Australian port or offshore facility without a valid bunker certificate penalties can apply:
- up to AUD$825,000 for the owner
- up to AUD$165,000 for the master.
For masters who fail to provide a valid certificate when requested by Australian Border Force or AMSA, penalties of 20 penalty units can apply
Learn more about infringements and penalties.
Officers may also detain a ship in port if they believe there is not a valid bunkers certificate in force (but must have reasonable grounds to do so).
Under the Protection of the Sea (Civil Liability Act 1981), Australia requires ships (other than oil tankers) with a gross tonnage of 400 or more and carrying oil as cargo or bunkers, to carry a ‘relevant insurance certificate’ when entering an Australian port.
- For ships over 1,000 gross tonnage, the carriage of a Bunkers Certificate replaces this obligation.
- For ships that have a gross tonnage of 400 or more but less than or equal to 1000, this need still applies.
- For oil tankers, the Civil Liability Convention applies.
Contact us
For questions on bunker certificates, email opsadmin@amsa.gov.au.