A proposal to establish a Recycling fund for Offshore vessels has been raised by Maritime Forum and backed by Progressive Party:https://www.smp.no/ntb/innenriks/2021/03/12/Frp-vil-fremme-forslag-om-resirkuleringsfond-for-offshoreskip-23640247.ece
FRP will put forward proposals for a recycling fund for offshore vessels
The interest group Maritimt Forum believes that recycling the ships will provide work for Norwegian shipyards, and that a temporary state recycling fund will create activity in the industry, have more environmental benefits and facilitate green renewal of the fleet, writes Sunnmørsposten .
Maritimt Forum believes that the situation for the Norwegian offshore fleet is demanding and points out that there are more than 100 ships in layup along the coast. According to the consulting company Menon, recycling 81 unused vessels will create a value of NOK 2.3 billion and create 1,700 man-years at Norwegian shipyards, the newspaper writes.
Business policy spokesperson Sivert Bjørnstad in Frp describes the proposal as exciting.
Google Translated FYC
spork
March 12, 2021, 7:42pm
2
They want the Norwegian government to pay for offshore vessels in lay-up to be scrapped in Norway?
Yes that is right. It may sound crazy but it is more economical than paying unemployment benefits to idle seafarers and shipyard workers for years to come.
Besides, the Government has guaranteed for loans that will likely not be paid back, thus invoking the guarantees, leading to great losses for the state.
It is left to be seen if this proposal gets a majority in the Storting though.
1 Like
spork
March 13, 2021, 5:25pm
4
It might be a good idea, but could it be against European Economic Area state aid rules?
Shipyards in Denmark might complain that it is unfair that the Norwegian government is funding competitors in Norway.
There are some exemptions to state aid rules for environmental protection, as this is recycling ships maybe it is exempt.
Yes that is the “work around” AFAIK.