Continuing Bareboat Chartering: Expected to Accelerate the Expansion and Modernization of the Shipping Industry of the Country
For: CustomsWeek
by: TERENCE MORDENO GRANA
Representative Roilo Golez of Paranaque has proposed in the House of Represenatives that the government should formulate a continuing bareboat chartering program for the shipping industry in order to guarantee foreign earnings for the country. He envisions that, if his proposal is adopted, the program could help in enhancing maritime employment of the nation. He adds that it could also provide sufficient financial resources for the Filipino investors to aquire new tonnage of ships to replace uneconomic and over-aged fleets in the industry and that it will provide for a system of registry that is not dependent on time-bound provisions of the law but more focused on long-term development of the industry as well training seamen and related professions.
Recognizing the growing need of the archepilagic nation to accelerate the expansion and modernization of the industry, Golez said that it is incumbent upon the government to draw up a continuing program for this particular aspect of the industry. Chartering is a mercantile lease of a ship or some pricipal part of it.
Former President Ferdinand Marcos issued Presidential Decree No. (PD) 760 which allowed the temporary registration of foreign-owned vessels under time charter or lease to Philippine nationals for use in the country’s coastwise trade. PD 760 was issued in order to meet the ever-increasing inter-island cargo and passenger traffic that took place during those times. But it was subsequently amended by PD 866 which reduced the term of lease or charter period to not less than one year and allowed overseas use in certain cases.
However, it was again amended by PD 1711 which encouraged the chartering of specialized ocean-going vessels and extended the effectivity of the same to 1999.
In Golez’s House Bill No. 258, he proposes that foreign-owned vessel under bareboat charter or lease to Philippine national may be issued a certificate of Philippine registry by the Maritime Industry Authority (MARINA); provided that said charter or lease: 1) has the prior approval of MARINA, 2) shall be valid and effective for a period of not less than one (1) year. It also provides that the operation of the vessel shall be entirely in the hands of the of Pilippine nationals and free from any participation of interference from the foreign owner, except insofar as much action shall be to directly protect his rights as owner thereof, and provides finally that the registered vessel shall be manned completely by a Filipino crew, except in the case of specialized vessels and subject to the rules and regulations that the MARINA may prescribe in relation thereto.
It is also proposed in Golez’s Bill that the effectivity of any charter or lease contract entered into pursuant to law shall not extend beyond the year 2006 unless otherwise extended by the President of the Republic of the Philippines.
The Bills was immediately referred to the Committee on Transportation and Communications on July 28, 1998, the day after the convening of the 11th Congress of the Philippines.
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by: TERENCE MORDENO GRANA
Representative Roilo Golez of Paranaque has proposed in the House of Represenatives that the government should formulate a continuing bareboat chartering program for the shipping industry in order to guarantee foreign earnings for the country. He envisions that, if his proposal is adopted, the program could help in enhancing maritime employment of the nation. He adds that it could also provide sufficient financial resources for the Filipino investors to aquire new tonnage of ships to replace uneconomic and over-aged fleets in the industry and that it will provide for a system of registry that is not dependent on time-bound provisions of the law but more focused on long-term development of the industry as well training seamen and related professions.
Recognizing the growing need of the archepilagic nation to accelerate the expansion and modernization of the industry, Golez said that it is incumbent upon the government to draw up a continuing program for this particular aspect of the industry. Chartering is a mercantile lease of a ship or some pricipal part of it.
Former President Ferdinand Marcos issued Presidential Decree No. (PD) 760 which allowed the temporary registration of foreign-owned vessels under time charter or lease to Philippine nationals for use in the country’s coastwise trade. PD 760 was issued in order to meet the ever-increasing inter-island cargo and passenger traffic that took place during those times. But it was subsequently amended by PD 866 which reduced the term of lease or charter period to not less than one year and allowed overseas use in certain cases.
However, it was again amended by PD 1711 which encouraged the chartering of specialized ocean-going vessels and extended the effectivity of the same to 1999.
In Golez’s House Bill No. 258, he proposes that foreign-owned vessel under bareboat charter or lease to Philippine national may be issued a certificate of Philippine registry by the Maritime Industry Authority (MARINA); provided that said charter or lease: 1) has the prior approval of MARINA, 2) shall be valid and effective for a period of not less than one (1) year. It also provides that the operation of the vessel shall be entirely in the hands of the of Pilippine nationals and free from any participation of interference from the foreign owner, except insofar as much action shall be to directly protect his rights as owner thereof, and provides finally that the registered vessel shall be manned completely by a Filipino crew, except in the case of specialized vessels and subject to the rules and regulations that the MARINA may prescribe in relation thereto.
It is also proposed in Golez’s Bill that the effectivity of any charter or lease contract entered into pursuant to law shall not extend beyond the year 2006 unless otherwise extended by the President of the Republic of the Philippines.
The Bills was immediately referred to the Committee on Transportation and Communications on July 28, 1998, the day after the convening of the 11th Congress of the Philippines.
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posted by brodkaster43 at
7/19/2006 09:28:00 AM
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