Rethinking environmental salvage and salvage law: Towards an efficient mechanism for environmental emergency response in maritime accidents?

Professional marine salvors who have the qualifications to respond to maritime casualties are rewarded on a ‘No Cure- No Pay’, stipulated under maritime salvage law. In cases involving potentially significant environmental damage, such as distressed oil tankers, the ‘No Cure-No Pay’ might not provide adequate incentives. The benefit conferred is in the prevention or minimization of environmental harm rather than property salvage. Additionally, salvors may face legal liabilities due to uncertainties. Cost-effective environmental services by salvors are socially desirable for the safety of navigation and environmental protection. This research delves into salvage law and practice and their environmental implications. It employs a law and economics analysis to propose a new mechanism involving contractual and financial structures for 'environmental salvage'. The study also examines salvorial negligence and its consequences in environmental salvage. It aims to restore the balance between public and private interests in the field of marine salvage.