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Q: Oil transport ( Answered,   0 Comments )
Question  
Subject: Oil transport
Category: Business and Money > Economics
Asked by: tph_content-ga
List Price: $20.00
Posted: 21 Nov 2002 13:39 PST
Expires: 21 Dec 2002 13:39 PST
Question ID: 112123
What is the economic impact of introducing SBT(segregated ballast
tanks) on
the oil transportation industry? Specifically, approximately, how many
cents per dollar are spent by the industry to meet the requirements
imposed by SBT?
Answer  
Subject: Re: Oil transport
Answered By: citizendaf-ga on 21 Nov 2002 15:11 PST
 
Hello tph_content,

According to page 90 of Double-Hull Tanker Legislation: An Assessment
of the Oil Pollution Act of 1990 (by the Committee on Oil Pollution
Act of 1990 (Section 4115) Implementation Review, National Research
Council) the increase in operating costs attributable to double hull
(SBT) tankers is estimate at between 5 and 13 percent. The incremental
cost of both constructing and operating a double-hull fleet comparable
in size and number to the existing fleet is on the order of $1,500
million per year -- or 10 cents per barrel of oil transported. There
are competing estimates that go as high as 14 and 16 cents per barrel,
but the committee disagree with that it was quite so high (you can
read why on page 91 at the link below).

The cents per dollar figure would fluctuate with the fluctuations in
the price of oil, so perhaps the cost per barrel figure is more
useful? In total, the additional costs of replacing single hull with
double hull tankers are expected to total about $30 billion over a 20
year period.
Book Link: http://www.nap.edu/catalog/5798.html

Search terms used "segregated ballast tanks" "economic impact"
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Cheers,
citizendaf-ga
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