The International Oil Pollution Compensation Funds (IOPC Funds)

The International Oil Pollution Compensation Funds (IOPC Funds) are part of an international regime of liability and compensation for oil pollution damage caused by oil spills from tankers. Under the regime the owner of a tanker is liable to pay compensation up to a certain limit for oil pollution damage following an escape of persistent oil from his ship. If that amount does not cover all the admissible claims, further compensation is available from the 1992 Fund if the damage occurs in a State which is a Member of that Fund. Additional compensation may also be available from the Supplementary Fund if the State is a Member of that Fund as well.

There are at present three IOPC Funds: the 1971 Fund, the 1992 Fund and the Supplementary Fund. These three intergovernmental organisations were established at different times (1978,1996 and 2005 respectively), have different maximum amounts of compensation and have different Member States. The membership of the 1992 Fund is increasing. The Supplementary Fund was established to supplement the compensation available under the 1992 Civil Liability and Fund Conventions with an additional third tier of compensation. Membership of the Supplementary Fund is optional and any State which is a Member of the 1992 Fund may join. The membership of the Supplementary Fund is expected to increase fairly quickly. Due to a number of denunciations of the 1971 Fund Convention, this Convention ceased to be in force on 24 May 2002 and the 1971 Fund therefore no longer has any Member States. The 1971 Fund will continue to deal with a number of incidents which occurred in 1971 Fund Member States before that date. The three organisations have a joint Secretariat, based in London.

The IOPC Funds are financed by levies on certain types of oil carried by sea. The levies are paid by entities which receive oil after sea transport, and normally not by States.

Anyone who has suffered pollution damage in a Member State may make a claim against the IOPC Funds for compensation. Information on the types of claims which are admissible can be found in the Claims Manuals.

If you would like to find out more about the IOPC Funds, look at our General Explanatory Note or our Annual Report. (both Adobe PDF format)