Panama, the world’s largest flag state, has created a special registry for laid-up vessels, offering owners of out of work tonnage substantially lower fees and other regulatory advantages.
The deal will initially be available for a one-year period but may be extended for an additional year.
However, the Panama Maritime Authority has warned operators that ships on the registry cannot be used for navigation, and must still comply with minimum safety and pollution prevention requirements.
Merchant marine director General Alfonso Castillero said: “If the vessel does not comply with this regulation it could be deleted from our registry, according to the formalities of the law.”
Under the special registry, fees will be cut by 40%-50%. Entered vessels need neither full crew manning nor regular inspections.
“We consider it was necessary to take administrative actions to mitigate the crisis and reduce our customers and ship owners’ actual financial load,” Gen Castillero said.
“The owner can reactivate the vessel whenever he decides to do it, providing there is an inspection by a recognised organisation covering the following conditions: safety, contamination prevention, marine protection and compliance with all national and international regulations applicable to the vessel, after which the RO will certify that the vessel satisfies national and international regulations.”
The deal will initially be available for a one-year period but may be extended for an additional year.
However, the Panama Maritime Authority has warned operators that ships on the registry cannot be used for navigation, and must still comply with minimum safety and pollution prevention requirements.
Merchant marine director General Alfonso Castillero said: “If the vessel does not comply with this regulation it could be deleted from our registry, according to the formalities of the law.”
Under the special registry, fees will be cut by 40%-50%. Entered vessels need neither full crew manning nor regular inspections.
“We consider it was necessary to take administrative actions to mitigate the crisis and reduce our customers and ship owners’ actual financial load,” Gen Castillero said.
“The owner can reactivate the vessel whenever he decides to do it, providing there is an inspection by a recognised organisation covering the following conditions: safety, contamination prevention, marine protection and compliance with all national and international regulations applicable to the vessel, after which the RO will certify that the vessel satisfies national and international regulations.”