This review paper discusses the devastating impact of the X-Press Pearl incident, which is considered the worst maritime disaster in Sri Lanka’s history, on the country’s coastal environment, local communities, and economy. To mitigate the impacts of shipping on the marine environment, the paper proposes a hazard identification and risk analysis system. The system aims to identify potential hazards associated with shipping and assess the risks they pose to the marine environment. By adopting a proactive approach, this system could help minimize the potential negative impacts of shipping on the marine environment, protecting both local communities and the economy.