HNS treaty

South Africa has become the latest country to accede to a key compensation treaty covering the transport of hazardous and noxious substances (HNS) by ship. The treaty provides a regime of liability and compensation for damage caused by HNS cargoes transported by sea, including oil and chemicals, and covers not only pollution damage, but also the risks of fire and explosion, including loss of life or personal injury as well as loss of or damage to property. An HNS Fund will be established to pay compensation once a shipowner’s liability is exhausted. This Fund will be financed through contributions paid post incident by receivers of HNS cargoes. The treaty has now been ratified by five states (Canada, Denmark, Norway, South Africa and Turkey).