Abstract: In recent years, the global regulatory landscape governing the exportation of scrap materials derived from naval decommissioning has garnered significant attention, particularly given the upcoming full enactment of the Hong Kong Convention alongside the Basel Convention. This article explores the complex legal framework surrounding the export of materials reclaimed through ship dismantling, considering the intersection of international and Brazilian law. Through analysis of both hazardous and non-hazardous material classifications, the study highlights the nuances of sustainable material repurposing and examines Brazil's regulatory response.
The international legal approach to waste management, particularly for naval decommissioning, has evolved to address mounting environmental concerns. Two key international frameworks—the Basel Convention and the Hong Kong Convention—serve as pillars of regulation, setting standards for the treatment, exportation, and recycling of scrap materials from decommissioned vessels.
The Basel Convention, firstly, emerged as a response to the increasing practice of "toxic trade," where waste was exported to other countries with fewer environmental restrictions. Article 1 of the Convention defines hazardous wastes based on origin, composition, and the hazardous characteristics listed in Annexes I and III. Additionally, national legislation within export, import, or transit states may categorize certain materials as hazardous, requiring prior notification to the Convention's Secretariat. The core objective of the Basel Convention is to mitigate environmental harm by restricting the transboundary movement of hazardous waste, ensuring environmentally sound management (ESM) principles guide international waste transactions.
Complementing the Basel Convention is the International Maritime Organization’s Hong Kong Convention for the Safe and Environmentally Sound Recycling of Ships, which is set to take effect in 2025. This Convention introduces an operational framework for dismantling vessels with an emphasis on reprocessing and reuse. Under its standards, 95% of dismantled materials are considered eligible for recycling and repurposing by secondary industries, which melt down scrap steel for further use in the industrial sector.
A point of ambiguity, however, remains regarding the classification of materials intended for further recycling: whether they should be regarded as "waste" under the Basel Convention or as reusable "materials" under the Hong Kong framework.
In parallel, a thorough examination of the Brazilian legal system is warranted to assess its alignment with these international frameworks.
Brazil’s National Solid Waste Policy, established by Federal Law # 12.305/10, outlines principles and goals for the environmentally sound management of solid waste, incorporating directives for reuse and recycling. Article 6 emphasizes a systemic approach, factoring in environmental, economic, and public health impacts. The policy promotes recycling and reuse as priorities while strictly prohibiting the import of hazardous waste. Through Federal Decrees # 875/93 and 4.581/03, Brazil has ratified the Basel Convention, though it has yet to fully incorporate the Hong Kong Convention.
Brazilian authorities, such as IBAMA, oversee the enforcement of environmental laws, focusing on the sound management of waste. While beaching and the importation of hazardous waste are prohibited, Brazil’s framework for managing decommissioned naval vessels remains incomplete, pending the full adoption of the Hong Kong Convention. Currently, Bill # 1.584/21, under legislative review, seeks to address gaps in the legal treatment of ship dismantling operations, establishing requirements for recycling facilities and mandating Ship Recycling Plans for the handling of scrap materials and hazardous wastes.
With the Hong Kong Convention’s enactment approaching in 2025, Brazil faces the challenge of reconciling the disparate regulatory requirements of both conventions. The Basel Convention’s stringent controls over hazardous waste contrast with the Hong Kong Convention’s focus on sustainable recycling practices. This intersection of the Basel and Hong Kong Conventions presents an opportunity to enhance global sustainability through regulated material repurposing.
For Brazil, establishing clear guidelines on the classification of exportable materials from decommissioning processes will be essential. Effectively integrating both conventions will ensure Brazil’s compliance with international standards while promoting environmentally sound recycling practices. As Brazil anticipates the full integration of the Hong Kong Convention, its regulatory approach to decommissioning and the exportation of scrap materials stands at a critical juncture. Aligning with both the Basel and Hong Kong Conventions presents Brazil with the opportunity to redefine its waste management practices, emphasizing environmental responsibility alongside economic potential in the global recycling market.
Written by Daniella Tedeschi, Thales Belchior and Isadora Agra.
