After declaring the wreckage of MSC ELSA 3 off the Kerala coast a state disaster, the state government has initiated talks with the ship owner, Mediterranean Shipping Company (MSC), for a financial settlement. The compensation being sought includes funds for damage assessment, risk management, restoration, and other remedial efforts.

Seven-Member Negotiation Committee Formed
A seven-member committee led by the Additional Chief Secretary (ACS) of the Finance Department has been formed to lead negotiations with MSC. The committee also includes:
- ACS of Local Self Government Department
- Principal Secretaries from Revenue & Disaster Management, Industries, and Agriculture
- Secretary of the Environment Department
- Member Secretary of Kerala State Disaster Management Authority (KSDMA) as the convenor
This committee is also tasked with coordinating state and district-level responses to coastal pollution threats.
Two-Tier Pollution Control Mechanism
At the state level, an eight-member committee chaired by the Secretary of the Science and Technology Department will provide strategic oversight for pollution mitigation. This body will support the Environment Department in organizing resource allocation, policy guidance, and scientific assessments for coastal restoration.
At the district level, the District Collector will lead immediate response efforts, including clearing debris and safeguarding against oil and water contamination. District committees can include additional experts if required.
Special Secretary to Lead Impact Assessment
The Special Secretary of the Environment Department has been appointed as the Principal Impact Assessment Officer. They will coordinate all studies and actions across sectors affected by the wreckage. The department will also collaborate with scientific institutions and specialists for assessment and restoration work.
A multidisciplinary team under the Environment Department will be formed, comprising officers from Fisheries, Tourism, Harbour Engineering, Ports, Agriculture, Commerce, and Water Resources to study and respond to the environmental impact.
Shipping and Insurance Coordination
Captain Aneesh Joseph, Deputy Nautical Advisor appointed by the Director General of Shipping, will assist the state in handling compensation claims. He will also coordinate with the ship’s insurance company, which has already set up a protection and indemnity desk in Kochi.