Australian pollution law – Oil pollution indemnity clause for penalties and fines (5.458)

London P&I explains the impact of changes to Australian pollution law and sets out the International Group’s recommended charterparty clause for criminal fines and civil penalties arising from oil pollution incidents.

The circular notes that charterers, owners and masters may now be severally liable for offences in Australian waters, with significantly higher penalties. It also highlights why members are urged to use the recommended clause, which is designed to allocate responsibility between owners and charterers while preserving rights to limit liability.