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Brexit deadlock could halt flights to Europe, warns Ryanair boss

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  • Trump disavows ‘alt-right’ supporters

Political deadlock over Brexit could halt flights between the UK and Europe, according to the chief executive of Ryanair, who warned that Britain’s aviation industry is being “walked off a cliff” by the government.

Michael O’Leary said that “mildly lunatic optimism” on the part of the government was masking the risks the UK faced from leaving the EU, with an assumption that it could quickly negotiate new bilateral agreements.

O’Leary said it was a “plausible risk” that no bilateral deal for the airline industry would be forthcoming in time. “Everyone is underestimating in the UK the political situation in Europe. You can see a set of circumstances on the day of Brexit when nobody is flying between the UK and Europe. Even interim arrangements have to be approved by the European parliament.”

At the Airport Operators Association conference in London, O’Leary lambasted ministers for acting “like Dad’s Army”. He said: “These guys have no idea where they’re going for the next two years and the problem is that in the absence of any discussions with the Europeans on Brexit they’re all talking to themselves.

“They haven’t got a clue. There is no prospect of an interim deal.

“If you listen to the Germans, the Dutch or the French you’re going to get screwed into the floor.”

Speaking on Monday at the conference, transport secretary Chris Grayling gave an assurance that aviation would be “prioritised” in Brexit negotiations.

But O’Leary said that a meeting last week between industry leaders, including Ryanair, the Brexit minister David Davis and aviation minister Lord Ahmad, had confirmed his fears for the sector.

He countered: “That’s what they say to all the boys … They clearly have no priorities.”

O’Leary warned: “The European airports have seen this an opportunity to win more business away from the UK. Unless there’s some significant change the UK is going to walk itself off a cliff.”

He said that for planning airline schedules, “I need to know by March next year what’s going to happen in Britain in summer 2019. There isn’t a politician who knows that.”

O’Leary’s warnings were echoed in more sober terms by a Brussels-based international airports association. Olivier Jankovec, the chief executive of ACI Europe, warned that there was a lot of “wishful thinking” from ministers and the aviation industry.

He said: “A lot of people might assume in the end it will be fine. At present it is still somehow wishful thinking. The UK will have to negotiate the terms and conditions and won’t be covered by EU agreements. It is doubtful that some airlines will be able to fly freely.”

Jankovec said that hopes of a special deal for aviation to remain in the EU single market for aviation could be thwarted. “I wish we could single out aviation and separate it but from what I’m hearing in Brussels things don’t look like they are going this way.”

Willie Walsh, the chief executive of British Airways’ parent company, IAG, said he was less concerned about the effects of Brexit but warned: “Our negotiating position is not as strong as people might think. I do think that Europe will see this as an opportunity to damage the UK.”

He said that in a bilateral deal over flying rights struck last month with China, “we didn’t get very much of what the UK wanted. That worries me.”

However, he said there was no prospect of BA’s owning group being broken up after Brexit, as O’Leary had suggested. Walsh said that IAG had “tested and robust” structures in place to deal with restrictions on international ownership of airlines.

In the meantime, Donald Trump has repudiated the fringe “alt-right” group that celebrated his election win with Nazi salutes.

In a far-ranging interview with the New York Times, the US president-elect was quoted as saying: “I condemn them. I disavow, and I condemn.”

He said he did not want to “energise” the group, which includes neo-Nazis, white nationalists and anti-Semites.

Alt-right supporters were filmed on Saturday in Washington DC cheering as a speaker shouted: “Hail Trump.”

In the video, Richard Spencer, a leader of the “alt-right” movement, told a conference of members that America belongs to white people, whom he described as “children of the sun”.

He denounced the movement’s critics as “the most despicable creatures who ever walked the planet”.

“Hail Trump, hail our people, hail victory!” Spencer shouts at one point as some members of the audience raise their arms in the Nazi salute.

The gathering on Saturday drew protesters who blocked traffic around the Ronald Reagan Building, a federally owned conference centre in the nation’s capital.

German Chancellor Angela Merkel expressed concern on Tuesday that Mr Trump’s election victory could give succour to white supremacists.

A senior official close to her described the “Hail Trump” video as “repulsive and worrying”.

But Mr Trump stood by his chief strategist Steve Bannon, the former CEO of Breitbart News, and bristled at claims that the ultra conservative site was associated with the white nationalist movement.

Guardian with additional report from BBC

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WAIVER CESSATION: Igbokwe urges NIMASA to evolve stronger collaboration with Ships owners

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…Stresses the need for timely disbursement of N44.6billion CVFF***

Highly revered Nigerian Maritime Lawyer, and Senior Advocate of Nigeria (SAN), Mike Igbokwe has urged the Nigeria Maritime Administration and safety Agency (NIMASA) to partner with ship owners and relevant association in the industry to evolving a more vibrant merchant shipping and cabotage trade regime.

Igbokwe gave the counsel during his paper presentation at the just concluded two-day stakeholders’ meeting on Cabotage waiver restrictions, organized by NIMASA.

“NIMASA and shipowners should develop merchant shipping including cabotage trade. A good start is to partner with the relevant associations in this field, such as the Nigeria Indigenous Shipowners Association (NISA), Shipowners Association of Nigeria (SOAN), Oil Trade Group & Maritime Trade Group of the Nigerian Association of Chambers of Commerce, Industry, Mines and Agriculture (NACCIMA).

“A cursory look at their vision, mission and objectives, show that they are willing to improve the maritime sector, not just for their members but for stakeholders in the maritime economy and the country”.

Adding that it is of utmost importance for NIMASA to have a through briefing and regular consultation with ships owners, in other to have insight on the challenges facing the ship owners.

“It is of utmost importance for NIMASA to have a thorough briefing and regular consultations with shipowners, to receive insight on the challenges they face, and how the Agency can assist in solving them and encouraging them to invest and participate in the maritime sector, for its development. 

“NIMASA should see them as partners in progress because, if they do not invest in buying ships and registering them in Nigeria, there would be no Nigerian-owned ships in its Register and NIMASA would be unable to discharge its main objective.

The Maritime lawyer also urged NIMASA  to disburse the Cabotage Vessel Financing Fund (CVFF)that currently stands at about N44.6 billion.

“Lest it be forgotten, what is on the lips of almost every shipowner, is the need to disburse the Cabotage Vessel Financing Fund (the CVFF’), which was established by the Coastal and Inland Shipping Act, 2003. It was established to promote the development of indigenous ship acquisition capacity, by providing financial assistance to Nigerian citizens and shipping companies wholly owned by Nigerian operating in the domestic coastal shipping, to purchase and maintain vessels and build shipping capacity. 

“Research shows that this fund has grown to about N44.6billion; and that due to its non-disbursement, financial institutions have repossessed some vessels, resulting in a 43% reduction of the number of operational indigenous shipping companies in Nigeria, in the past few years. 

“Without beating around the bush, to promote indigenous maritime development, prompt action must be taken by NIMASA to commence the disbursement of this Fund to qualified shipowners pursuant to the extant Cabotage Vessel Financing Fund (“CVFF”) Regulations.

Mike Igbokwe (SAN)

“Indeed, as part of its statutory functions, NIMASA is to enforce and administer the provisions of the Cabotage Act 2003 and develop and implement policies and programmes which will facilitate the growth of local capacity in ownership, manning and construction of ships and other maritime infrastructure. Disbursing the CVFF is one of the ways NIMASA can fulfill this mandate.

“To assist in this task, there must be collaboration between NIMASA, financial institutions, the Minister of Transportation, as contained in the CVFF Regulations that are yet to be implemented”, the legal guru highlighted further. 

He urged the agency to create the right environment for its stakeholders to build on and engender the needed capacities to fill the gaps; and ensure that steps are being taken to solve the challenges being faced by stakeholders.

“Lastly, which is the main reason why we are all here, cessation of ministerial waivers on some cabotage requirements, which I believe is worth applause in favour of NIMASA. 

“This is because it appears that the readiness to obtain/grant waivers had made some of the vessels and their owners engaged in cabotage trade, to become complacent and indifferent in quickly ensuring that they updated their capacities, so as not to require the waivers. 

“The cessation of waivers is a way of forcing the relevant stakeholders of the maritime sector, to find workable solutions within, for maritime development and fill the gaps in the local capacities in 100% Nigerian crewing, ship ownership, and ship building, that had necessitated the existence of the waivers since about 15 years ago, when the Cabotage Act came into being. 

“However, NIMASA must ensure that the right environment is provided for its stakeholders to build and possess the needed capacities to fill the gaps; and ensure that steps are being taken to solve the challenges being faced by stakeholders. Or better still, that they are solved within the next 5 years of its intention to stop granting waivers”, he further explained. 

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Breaking News: The Funeral Rites of Matriarch C. Ogbeifun is Live

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The Burial Ceremony of Engr. Greg Ogbeifun’s mother is live. Watch on the website: www.maritimefirstnewspaper.com and on Youtube: Maritimefirst Newspaper.

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Wind Farm Vessel Collision Leaves 15 Injured

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…As Valles Steamship Orders 112,000 dwt Tanker from South Korea***

A wind farm supply vessel and a cargo ship collided in the Baltic Sea on Tuesday leaving 15 injured.

The Cyprus-flagged 80-meter general cargo ship Raba collided with Denmark-flagged 31-meter wind farm supply vessel World Bora near Rügen Island, about three nautical miles off the coast of Hamburg. 

Many of those injured were service engineers on the wind farm vessel, and 10 were seriously hurt. 

They were headed to Iberdrola’s 350MW Wikinger wind farm. Nine of the people on board the World Bora were employees of Siemens Gamesa, two were employees of Iberdrola and four were crew.

The cause of the incident is not yet known, and no pollution has been reported.

After the collision, the two ships were able to proceed to Rügen under their own power, and the injured were then taken to hospital. 

Lifeboat crews from the German Maritime Search and Rescue Service tended to them prior to their transport to hospital via ambulance and helicopter.

“Iberdrola wishes to thank the rescue services for their diligence and professionalism,” the company said in a statement.

In the meantime, the Hong Kong-based shipowner Valles Steamship has ordered a new 112,000 dwt crude oil tanker from South Korea’s Sumitomo Heavy Industries Marine & Engineering.

Sumitomo is to deliver the Aframax to Valles Steamship by the end of 2020, according to data provided by Asiasis.

The newbuild Aframax will join seven other Aframaxes in Valles Steamship’s fleet. Other ships operated by the company include Panamax bulkers and medium and long range product tankers.

The company’s most-recently delivered unit is the 114,426 dwt Aframax tanker Seagalaxy. The naming and delivery of the tanker took place in February 2019, at Namura Shipbuilding’s yard in Japan.

Maritime Executive with additional report from World Maritime News

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