Friday, January 10, 2014

Costa Concordia: Port of Destination

Last Friday (January 10, 2014) Costa Crociere and Titan-Micoperi held a press conference in Rome to update the status of the removal of the wreck of Costa Concordia. This is part of the information distributed there.
Index of other information distributed
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SELECTION OF PORT OF DESTINATION


The port that will accommodate the Concordia will need to have specific characteristics suitable for a wreck of this size (for example a 20 meter water depth in the port) and the necessary facilities for dismantling and recycling, in accordance with current national and international regulations and the highest environmental and safety standards.

As with the selection of the companies responsible for the Concordia removal project, Costa Crociere has adopted a transparent process to select the organization/companies and facilities for the dismantling of the Concordia wreck once it is removed from Giglio Island, in agreement with the Italian authorities.

A process has been arranged to choose the facility to dismantle and recycle the wreck using a method that offers the best solution in terms of certainty of outcome, environmental and workplace safety standards.

The process is being handled by technical consultants, London Offshore Consultants (“LOC”), on behalf of Costa Crociere and its Underwriters.

The process is divided into 3 steps:
1. Expression of interest, completed in November 2013
2. Invitation to tender, in progress
3. Final selection, expected to be completed by end of February-early March 2014

Step 1: Expression of interest
An expression of interest document was distributed on November 13, 2013 to over 30 companies and organizations considered potentially capable of dismantling and recycling the wreck. Each respondent was required to indicate its proposed locations.

After preliminary screening of the replies, companies/organizations representing different countries such as Italy, France, Norway, UK and Turkey were considered suitable and were therefore invited to take part in the next step: submission of bids through a formal Invitation to Tender process.

Step 2: Invitation to Tender
The Invitation to Tender is the second step in the process of selecting the company or
organization to be awarded the contract to carry out the dismantling and recycling of the
Concordia wreck.

On December 17, 2013, on behalf of Costa Crociere and its Underwriters, London Offshore Consultants issued an Invitation to Tender to some of the companies or organizations who expressed an interest in the dismantling and recycling of the Concordia wreck.

The aim of this Invitation to Tender is to provide a framework within which Costa can assess the tenderer’s capability to dismantle and recycle the wreck and the method based on 3 key criteria:
1. compliance with national and international regulations
2. certainty of outcome
3. protection of the environment and workplace safety.

The Invitation to Tender was developed in accordance with national and international regulations and EU waste regulations in force, and inspired by the provisions of the newly approved EU regulation on ship dismantling, which recently entered into force.

Each tenderer is therefore required to demonstrate, with full supporting information, that the facilities that it proposes to use for the dismantling and recycling operations have all the necessary authorizations and licenses required by international or national laws relating specifically to the dismantling or recycling of ships or by general waste legislation.

Each tenderer is also required to demonstrate that the facilities that it proposes to use for the dismantling and recycling operations implement management systems, procedures and techniques which do not pose health risks to the workers concerned, nor environmental risks.

Each tenderer is also required to present details on commercial terms of the proposal.

Step 3: Final selection
The respondents’ offers will be analyzed in order to make the final selection and award the contract for dismantling and recycling, according to the terms and conditions included in the Invitation to Tender.

This process is expected to be completed by the end of February-early March 2014.