At a meeting of the joint industry SCR Committee (which has responsibility for the review of SCOPIC rates) in London the week before, insurers refused to accept the salvor's case for an increase in SCOPIC rates agreed in 1999 in since eroded by inflation by around 11%.

ISU President Joop Timmermans called on Salvage Arbitrators to place greater value on the salvor's work to prevent pollution. He said, 'Pollution prevention is only one of 10 criteria used by Arbitrators to arrive at Salvage Awards. It receives no special attention in this process. We believe it is now time to place a much higher value on pollution prevention to reflect the concerns and priorities of government and the public at large. We ask for the insurance communities' support as they have a major interest in continued strong performance by salvors in the area of spill prevention.'

Property salved by ISU members in 2002 totalled nearly $1.1 billion, a decrease of 22% on the 2001 figure. Revenue from all forms of salvage activity, including wreck removal, totalled $163.3 million last year, down by 1.5% on 2001. This continues a trend of falling earnings in recent years.

During 2002, 15 SCOPIC cases involving ISU members were finalised, producing revenue of $28.1 million.

Commenting on the industry's shrinking income, Timmermans said, 'The downturn in the industry's workload and income is a major concern for marine salvors. These negative trends exert pressure on the providers of pollution defence and other vital services for governments and industry.'

MJ Information No: 18710