Western nations decide to make things harder for Russian ‘shadow’ fleet

Twelve European countries agreed measures targeting Russia’s ‘shadow’ fleet at a recent summit in Tallinn, Estonia.

Denmark, Estonia, Finland, Germany, Iceland, Latvia, Lithuania, the Netherlands, Norway, Poland, Sweden and the United Kingdom agreed on December 16 to disrupt and deter Russia’s shadow fleet vessels. The first step is checking the insurance certificates of Russian vessels.

The twelve countries agreed to disrupt and deter Russia’s shadow fleet to prevent illegal operations and increase Russia’s costs of its war against Ukraine.

“Targeting shadow fleet is a topic that is high on Russia’s pain list. If the shadow fleet is more controlled by us, it will send a strong signal to Russia,” Kristen Michal, Estonian Prime Minister, told the panel at Joint Expeditionary Force Leaders’ Summit in Tallinn (JEF Tallinn).

As informed, the aforementioned countries will task their maritime authorities to request relevant proof of insurance from suspected shadow vessels as they pass through the English Channel, the Danish Straits of the Great Belt, the Sound between Denmark and Sweden, and the Gulf of Finland. Information collected by the participating states, including relating to those vessels that choose not to respond to requests, will be assessed and acted upon together.

In related news, the European Council adopted last week the 15th sanctions package against Russia, focusing on a further crackdown on Russia’s shadow fleet and combating sanctions’ circumvention.

What is more, the United Kingdom also sanctioned 20 shadow fleet ships carrying Russian oil, including Ocean Faye, Andaman Skies and Mianzimu, which have each carried more than four million barrels of Russian oil in 2024. The government announced new sanctions on December 17, 2024.

The UK has now sanctioned over 100 ships for transporting Russian energy, including 93 oil tankers, more than any other nation. Due to sustained efforts to lead the charge against the shadow fleet, its ships are left idling uselessly outside ports, which is costing Russia millions in wasted funds.

Russia uses old tankers, often uninsured and with unclear ownership, to export its crude oil and petroleum products abroad, despite EU, G7 and international sanctions. These activities have also raised fears over the risk of environmental disasters, including severe oil spills.

Finland begins to check insurance certificates of tankers originating from Russia

Finland has begun checking the insurance certificates of tankers coming from Russia, coinciding with the Western nations’ recent crackdown on the Russian ‘shadow fleet’.

As of December 11, 2024, Finland started asking tankers to provide insurance details. The requirement applies to tankers that come from Russia and carry crude oil or petroleum products.

As informed, the Nordic country began to systematically demand all tankers that pass through the Finnish exclusive economic zone and carry crude oil or petroleum products from Russia present information on the ship’s insurance required by the CLC Convention.

The information can be provided by presenting a CLC Certificate issued by the ship’s flag state. The certificate includes information about the ship’s insurance coverage against environmental damage.

Specifically, the CLC Convention refers to the International Convention on Civil Liability for Oil Pollution Damage. It requires ship owners to take out insurance for ships that carry oil cargo to cover their liability for oil pollution damage. To attest that the requirement is met, a ship’s flag state will issue a certificate to the ship. The purpose of the insurance is to ensure that there is a financial mechanism to cover liability for damages in the event of an oil spill.

The CLC Convention is part of the wider international regulatory landscape governing safety and environmental protection in maritime transport. Together with other international agreements, such as the MARPOL Convention, it forms a comprehensive framework for managing the environmental impacts of maritime transport.