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High Court sides with TasPorts over sinking of tugs on Mersey River CSL Australia vessel
The attempt of the CSL Australia as owner of the 'Goliath' to avoid paying millions of dollars to Tasmania's port authority overthe sinking of the 'York Cove' and 'Cempell Cove' in Devonport in Jan 2022 by the cement carrier has been overturned by Australia's High Court. Thes High Court ruling on MAy 13, 2026, meant that case would now be continued before the Federal Court. In May 2022, an Australian Transport Safety Bureau (ATSB) review into the event found an incorrect steering setting had been used by the Goliath', which caused it to unexpectedly speed up before it allided with the tugs. Around the same time, TasPorts began legal action against CSL Australia in the Federal Court, seeking around $22 million, which included more than $17 million in costs for the river clean-up and salvage and disposal of the tugs. A judge in the Federal Court sided with the shipping company, which argued that its liability for wreck removal costs could be limited under an international maritime convention. The convention on the Limitation of Liability for Maritime Claims allows claims to be limited in certain circumstances, and this case was affected by an Australian decision to not adopt a section of the convention that limits liability for the raising, removal and destruction of a sunk or wrecked ship. TasPorts won an appeal before the Full Court against the single Federal Court judge's ruling, which CSL then appealed to the High Court. The High Court ruled in TasPorts' favour on May 13, saying that as Australia had opted out of the relevant parts of the convention, CSL Australia was not able to rely on them in arguing for limited liability. The High Court unanimously dismissed the appeal. The ruling on limited liability meant his client's initial claims will return to the Federal Court. The ruling would have no bearing on whether TasPorts was ultimately successful in its pursuit of compensation, but provide greater certainty for port authorities and insurance companies in the future. In a separate case, CSL Australia has been charged with unlawfully causing serious environmental harm and causing environmental nuisance over the incident. The charges were listed in the Devonport Magistrates Court for the first time in April. The prosecution has alleged the accident caused the tugs to sink and release hydrocarbons into the Mersey River. The ATSB report said an estimated 69,000 litres of diesel and other oil were on board the tugs when they were hit. It was also alleged that the release of hydrocarbon pollutants into the river unreasonably interfered with, or was likely to interfere with, a person's enjoyment of the environment. That case has been adjourned for plea in June. Report with photos: https://www.abc.net.au/news/2026-05-13/goliath-v-tug-boats-liability-high-court-decision/106673794
Tasports appeals court decision
Tasmania's ports operator is appealing against a Federal Court preliminary decision that would limit how much it can claim over the allision of the 'Goliath' with the tugs 'York Cove' and 'Campbell Cove'. TasPorts is seeking costs of nearly $22 million plus interest, including for salvage works, environmental clean-up and wharf repairsm but the court ruling could slash that by about $7 million. TasPorts is appealing a preliminary court decision that could slash about a third off its multi-million dollar claim against the company responsible for sinking the tugs at the Port of Devonport, spilling an estimated combined total of 64,000 litres of diesel fuel and other hydrocarbons into the Mersey River. It took almost seven months to remove the tugs, with the 'York Cove' requiring two cranes to lift. TTasPorts took the ship's owner CSL Australia to the Federal Court for allegedly breaching the contract under which the 'Goliath' entered the port, as well as negligence and public nuisance. TasPorts is seeking costs of almost $22 million, plus interest. The claim includes $2.17 million for the lost tugs, $114,869 for the loss of hydrocarbons, $2,958,595 for replacement hire tugs and $117,152 for damage caused to the wharf.The bulk of the claim, which amounts to $17,245,743, is for containment, removal and disposal of hydrocarbons, and retrieving the tugs. CSL later lodged a limitation proceeding, attempting to limit its liability under maritime law. TasPorts attempted to fight against it, arguing the company had no right to water down its liability, or that, if it did, that should not extend to wreck removal. In the judgement, Justice Stewart detailed the long history of the limitation, including its role in accommodating international trade by sea by encouraging investment by shipowners secure in the knowledge that they will not face potentially crippling unlimited liability, and enable them to obtain insurance which is not prohibitively expensive. TasPorts would appeal the decision, as the preliminary decision has not 'cast doubt' on TasPorts' claim; rather it has found that the most TasPorts can recover from CSL is [approximately] $15.1 million. In a report into the incident, the Australian Transport Safety Bureau (ATSB) found the 'Goliath' was travelling with an incorrect steering setting, causing it to speed up as it negotiated a tight turn into the river. The cement carrier was on a routine trip from Melbourne with 17 crew members on board. The crew attempted to stop the ship from moving forward by changing the steering setting, while being informed of the rapidly decreasing clearances between the ship and the tugs. The ATSB also found senior members onboard the Goliath had not completed required bridge resource management training, which was described as a universally accepted tenet to the safe navigation of ships.The report detailed two previous incidents involving the steering system, where the ship made contact with the shore or wharf and, on one occasion, narrowly avoided collision with a tug.
18 tons oil and fuel removed from sunken tugs
The salvors at the Port of Devonport have recovered more than 18 tons of oil and fuel from the 'Campbell Cove' and 'York Cove'. This included more than 17 tons of diesel fuel oil. The complex operation has been led by a team of skilled divers, who operated in very low visibility, navigating through the access doors and stairways of the submerged and significantly damaged vessels. Following the identification of reservoirs, tanks and voids holding hydrocarbons, the dive team has then had to construct safe and effective methods to pump contaminants to the wharf deck for collection in intermediate bulk containers. Tasport tug engineers provided advice and support to the dive team through CCTV, and their operational teams have been on hand every step of the way ensuring the highest standard of safety. Through this effort, the salvors have been able to identify that there still remained about 10 tons of hydrocarbons onboard the 'Campbell Cove'. As a result, the incident site at Berth 3 West at the Port of Devonport remained under active TasPorts control. Whilst the remaining fuel has been contained, there was still a high risk of leaking if the structural integrity of the tugs changed, such as a shift in positioning. TasPorts continued to proactively manage this environmental risk. A tender for the removal of the wrecks from the site closed on Feb 13. The tenders were now under review. As part of the review, a salvage plan and methodology will be agreed, with a final salvor anticipated to be appointed over the coming weeks.
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