A NEW organisation set up to fight oil spills in the region has spelled out a plan to charge participants retainer fees proportionate to the amount of fuel they handle in Asia Pacific. The fees will help meet the US$11 million establishment cost and $6.7 million annual operating costs of the organisation, East Asia Response (Earl). Managing director of the Singapore-based company Brent Pyburn was quoted by Shipping Times, Singapore as saying participating firms would be expected to declare their receipts and production figures for the region. Based on the volume of oil handled, each participant would be placed into one of four categories, he told delegates at a conference in Kuala Lumpur on Oil Spill Response in Asia-Pacific Waters. ''Each category has a multiplier which determines the constant for cost sharing,'' Mr Pyburn said. Companies handling up to 50 million barrels a year would have a multiplier of one; 50-150 million barrels, a multiplier of two; 150-300 million barrels, a multiplier of three; and 300 million barrels plus, a multiplier of four. For example, Earl's current membership of the five founding oil majors - BP, Caltex, Exxon, Mobil and Shell - create a cost-sharing multiple of 14. ''The more participants there are, the more the costs are shared,'' Mr Pyburn said. Earl will also earn income from training, consultancy fees, commercial hire of Earl's Hercules C130 aircraft and equipment useage. It will charge members for using Earl equipment if it activates the stockpile in response to a major oil spill. For non-members, Earl may charge double the rates offered to participants. But the real goal in to broaden participation. in Earl.
