Salvage Concerns Over Floating Nuclear Power Plants

Abstract

This dissertation for the degree of LLM Maritime Law seeks to examine the possible issues arising from a Floating Nuclear Power Plant under the need of a salvage operation. The relatively new and innovating development of such structures presents several problems that might lead to situations never approached before by the salvage industry. Due to the sensible nature of the structure and the property involved in the production of nuclear energy, it is crucial to analyse how the existing legal framework; Common Law, Statute Law and private instruments, could address the problems here presented.

The argument intended to develop is a step by step view of the possible salvage situations and related problems that could emerge from this particular structure. This dissertation mainly comprises three parts, from Chapter 2 to Chapter 4, in which the following issues are attached:

Chapter 2 contains considerations in respect of the nature of the structure itself. Concerning principally the qualification of a FNPP as property subject of salvage.
For this purpose, the existing legal framework will be examined. With the view provided by the Admiralty Court, establishing the traditional subjects of salvage, and the provisions in this respect from the International Convention on Salvage 1989. To determine whether a FNPP can be considered a proper subject of salvage, the definitions of vessel and ship provided from both the Statutes and Case Law will be reviewed. The interpretation in this matter is large, as the definitions from the Salvage Convention 19893 are found to be rather wide and inclusive. Thus, particular attention will be given to considerations over structures that share similarities with FNPP, such as ‘Jackup Rigs’ and other ‘offshore’ facilities, in order to provide with a close analysis in respect of a structure which is the only one of its kind.

The exclusions of static objects from salvage provided by Salvage Convention 1989 will be also examined, as it explicitly refers to “floating platforms”. Thus, analysing which structures are to be excluded from salvage under this provision, and under what particular circumstances shall this exclusion operate. Therefore, if it could be applicable, as drafted in the Salvage Convention 1989, to a FNNP. Moreover, review the reasons behind the incorporation of this exclusion into the Salvage Convention 1989, and if it could be appropriate to exclude from salvage structures such as FNPP under the seam reasoning.

Chapter 3 contains considerations in respect of salvage rendered to a FNPP while it is under towage. Thus, considering if a FNPP can be subject to salvage as towed property when it is moving from one place to another, and the issues that could arise from a salvage operation involving a towage convoy.

For this purpose, the relation between towage and salvage will be examined. The requirements established, by both Common Law and the Salvage Convention 1989, to convert a towage operation into a salvage operation. The status and apportionment of liability of each part of the convoy, considering different scenarios in respect of the ownership of the convoy parts for contribution. All examined under the scope of the structure subject of study. Thus, recalling cases in which the structure towed is similar to a FNPP, such as ‘Jackup Rigs’, in order to consider its peculiarities and provide a close analysis of the possible arising issues.

Chapter 4 contains considerations in respect of the nature of the property transported in a FNPP. Concerning principally the qualification of such property as subject of salvage, the existing regulations for the carriage of dangerous goods and the possible scenario of environmental salvage.

For this purpose, the property considered will be the nuclear fission reactors, nuclear fuel and radioactive waste. Thus, examine if such property should be treated as cargo or apparel of the structure, if it would qualify as subject of salvage in order to contribute for a reward and the possible issues that may arise in respect of its salvage.
The regulations in respect of carriage of dangerous goods that will be of relevance for our subject of study, in particular considering nuclear materials. Thus, examine the provisions in respect of safety concerns and third party liability when such cargoes are involved. Identifying the particular threats of a FNPP in respect of the property above mentioned, which will lead to the analysis of a potential environmental salvage situation. Thus, examine how the International Convention on Salvage addresses the environmental issue and how the salvage industry has developed in this sensible field.
In order acquire an advisable solution to be used in these multiple scenarios, the paper through all the progress of the argument renders special interest in professional salvage under private salvage contracts, in the form of Lloyd’s Open Form (LOF), and how can this instrument address the issues here presented.

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