Republic of the Philippines
HOUSE OF REPRESENTATIVES,
Quezon City, Metro Manila

NINETEENTH CONGRESS

First Regular Session

HOUSE BILL NO. 578

INTRODUCED BY REPRESENTATIVE JURDIN JESUS M. ROMUALDO.

EXPLANATORY NOTE

This is a refiled bill of Hon. Xavier Jesus D. Romualdo of the Lone District of Camiguin and in
the 18" Congress the Committee on Ecology tackled the measure and its draft Committee
Report.

The bill that is filed now consists of policy proposals from the lead government agencies like
DOTr, NEDA, PPA, BFAR and various civil society stakeholders that are very active in marine
environment protection.

Our marine waters especially within the jurisdiction of the local government units are prone to
threats of various pollutants thrown or discarded at sea or inland wastes going out to the sea and
sometimes this results to irreversible damage to our marine environment as well as poses danger
to the health and livelihood of nearby communities.

The Marine Pollution Decree of 1976 or P.D. No. 979 can no longer addressed the escalating and
complex issues of dumping of wastes in our marine waters, Itis our intent to strictly comply and
implement the provisions of the MARPOL 73/78, otherwise known as “the International
Convention for the Prevention of Pollution from Ships 1973, as amended by the Protocol of
1978”,

This bill seeks to establish guidelines for the identification of harmful substances like emission
of oil, noxious liquid substances and other harmful substances, It also seeks to set emission
standards for ships plying Philippine seas.

‘A Marine Pollution Adjudication Board is hereby established with quasi-judicial powers and
exclusive jurisdiction over all marine pollution cases.

Let us continue to be mindful of our marine environment as vé& obtain a large portion of our
daily staple from our marine resources and support the liMjhood of our fisherfolks.

NY,
We take this big step in that direction by the support of tl A Ynbers of Congress for the early
passage of this bill

JURDIN J |. ROMUALDO


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

NINETEENTH CONGRESS
First Regular Session

578

HOUSE BILLN

INTRODUCED BY REPRESENTATIVE JURDIN JESUS M. ROMUALDO

AN ACT
TO PREVENT AND CONTROL POLLUTION FROM SHIPS, PROVIDE PENALTIES
THEREFOR AND FOR OTHER PURPOSES

Be it enacted by the Senate and the House of Representatives of the Philippines in Congress

assembled:

CHAPTER 1
General Provisions
SECTION 1. Short Title. - This Act shall be known as the “Prevention of Pollution from
Ships Act”.

SEC. 2. Declaration of Policy. - In pursuit of the constitutional mandate to protect and
advance the right of the peopie to a balanced and healthful ecology in accord with the rhythm and
harmony of nature, the State shall prevent and control pollution resulting from the operations of
ships

It shall likewise implement the Convention as herein defined, including its amendments and
protocols that have been ratified by the Philippines.

SEC. 3. Definition of Terms. - As used in this Act:
(1, Coastal State refers to a State that has sovereignty which extends, beyond its land
territory and internal waters and its archipelagic waters, to an adjacent belt of sea, described


as the territorial sea, including its seabed and subsoil, and sovereign rights over the
continental shelf and exclusive economic zone as defined by the UNCLOS.
(2.) Convention refers to:
a, The International Convention for the Prevention of Pollution from Ships 1973, as
amended by the Protocol of 1978 or MARPOL 73/78,
b. Protocol I and II of MARPOL 73/78;
c, Annexes I, II, III, IV, V and VI, their relevant appendices, including mandatory codes
referred to, as well as any amendment to any of these documents which may enter into
force in accordance with the procedure referred to in Article 16 of MARPOL 73/78; and,
4. Any subsequent protocol, resolution, or code amending the Convention, which the
Philippine Government may ratify necessary to advance the purposes of this Act;
3.) Flag State refers to the relationship of the Philippines to vessels registered under its flag
and corollary right to exercise jurisdiction and regulatory control over these vessels;
(4.) Foreign-flagged ship refers to any ship registered in another State or authorized to fly
its flag, whether or not it is a State party to MARPOL 73/78, when found in any of the ports,
terminal facilities or waters within the jurisdiction or sovereignty of the Philippines;
(5.) Master refers to any person having command or charge of any ship, including a boat
captain;
(6.) Owner refers to the person registered as the owner of the ship or who assumes the
operation of the ship, or, in the absence of registration, the person owning the ship or the
bareboat charterer of the ship. In the case of a ship owned by a State and operated by a
company which in that State is registered as the ship’s operator, the State shall be included
as the owner,
(7.) Philippine ship engaged in international trade refers to any ship registered under the
laws of the Philippines for international trade, and entitled to fly its flag wherever the ship
may be;
(8.) Philippine maritime zones refer to the internal waters, archipelagic waters, territorial sea,
contiguous zone, continental shelf, and exclusive economic zones;
(9.) Port state refers to the relationship of the Philippines to a foreign-flagged vessel which
may be found in any of its ports, terminal facilities or harbors and its corollary right to
exercise jurisdiction and regulatory control over the vessel;
(10.) Ship refers to a vessel of any type operating in the marine environment and includes
pleasure crafts, fishing vessels, hydrofoil boats, air-cushion vehicles, submersibles, floating
crafts, drilling rigs and fixed or floating platforms; and,
(11,) Undue delay refers to a delay that is unreasonable and unnecessary in light of the
particular conditions of the ship, the ship’s cargo, destination and schedule, and in light of
the purpose and scope of the investigation, inspection or other cause for detaining the ship.


CHAPTER 2
Application of this Act
SEC. 4. Implementation of the Convention. — Unless otherwise provided in this Act, the
provisions of the Convention shall be applied with the intention of protecting public health and
preserving the coastal and marine environment and its resources, through the complete elimination
of pollution by harmful substances identified pursuant to this Act, and the minimization of accidental
discharge of these substances.

SEC. 5. Ships Covered. — Unless otherwise specified herein, this Act shall apply to:
(a) All Philippine ships;
(b) All foreign-flagged ships in Philippine maritime zones, whether or not these are registered with
State parties to the Convention in accordance with the norms of international law, and,
(c) All other ships operating within Philippine maritime zones

SEC, 6. Exempted Ships. ~ This Act shall not apply to warships, naval auxiliary ships,
man-of-war vessels, and government ships engaged in non-commercial activities: Provided,
That the Department of Transportation (DOTr), through the Maritime Industry Authority
(MARINA), the Philippine Coast Guard (PCG) the Philippine Ports Authority (PPA), and other
concemed agencies, shali adopt appropriate measures that will ensure that these ships operate,
as far as is reasonable and practicable, in a manner consistent with this Act: Provided, further,
‘That the measure will not impair the operational capabilities of these ships

CHAPTER3
Exercise of Jurisdiction Over Ships

SEC. 7. Powers and Functions of the Department of Transportation (DOTr). - The
DOTr shall be the principal government agency responsible for the overall implementation
and enforcement of this Act and any requirement of the Convention. For this purpose, the
Secretary of the DOTr shall exercise the following general powers and functions:

(a) Oversee the implementation of this Act and coordinate the efforts of concemed
agencies;
(b) Formulate a comprehensive program to prevent or minimize marine pollution from

ships, in coordination with the Department of Environment and Natural Resources


(DENR), Department of Agriculture (DA), Department of Interior and Local
Government (DILG), Department of Energy (DOE), port authorities and other relevant
agencies and stakeholders;

(c) Constitute the Marine Pollution Adjudication Board (MPAB);

(4) Designate, upon recommendation of the PCG Commandant, a District Hearing
Officer (DHO) for each district of the PCG pursuant to Section 43 of this Act,
(e)Reorganize or streamline the functions of its different line, staff, and attached or
bureaus, authorities, or agencies for purposes of the effective and efficient
implementation of the provisions of this Act;

(QAdminister the Marine Environmental Management Fund (MEMF) established under
Section 51 of this Act, and provide guidelines for its immediate access for the
containment, removal and clean-up operations of the PCG in all marine pollution cases
under the Convention; and,

(g) Exercise powers and perform other functions as may be necessary to carry out its
duties and responsibilities under this Act.

SEC. 8. Powers and Functions of the Maritime Industry Authority (MARINA) - The
MARINA shall have the sole and exclusive authority and responsibility to ensure that
environmental and pollution regulations and standards for the construction and equipment of
Philippine vessels, before these are allowed to fly the Philippine flag, and/or as part of their
registration, are complied with.

For this purpose, the MARINA shall have the following duties and functions:

(a) Ensure that all Philippine ships are constructed and equipped with any fitting, material,
appliance or apparatus deemed appropriate and effective for the prevention of any discharge or
emission of harmful substances in consonance with the requirements of the Convention;

(b) Survey all Philippine ships for purposes of the provisions of the immediately preceding
paragraph, which function may be delegated toa MARINA-recognized organization through a
deputation process to be formulated pursuant to this Act: Provided, That, except for direct
replacement, no change in the ship’s structure, equipment, fittings, arrangement and materials
shall be made without the approval of the MARINA;

(c) Issue the required statutory certificates to all Philippine sbips;

(d) Review and revise, whenever appropriate, the existing system of certification, survey,
inspection and monitoring of ships with respect to pollution prevention, to ensure efficiency and
transparency, consistent with the overall management of the maritime sector and in accordance
with the requirements of the Convention,

(e) Conduct surveys and issue certificates of endorsements to foreign ships registered with
another State party, if so requested by a State which is a party to the Convention;


(f) Require ships to keep and maintain relevant record books in accordance with the
Convention;
(g Suspend, withdraw or revoke any certificate it may have issued to any Philippine ship found
not compliant with this Act and with the rules and regulations promulgated therefor;
(h) Accredit, appoint and authorize recognized organizations to act on its behalf and, for this
purpose, execute the requisite memorandum of agreement defining the extent of powers that
may be exercised by the recognized organizations including the following:

1, Perform and conduct statutory surveys on Philippine ships;

2. Require repairs on a Philippine ship pursuant to finding resulting from port state

inspection;

»

Carry out surveys requested by port state authorities; and

S

‘Withdraw any statutory certificate if the appropriate corrective action is not
undertaken by the Philippine ship;

(i) Provide the Intemational Maritime Organization (IMO) with a list of recognized
organizations authorized to act on behalf of the Philippines, together with the specific
responsibilities that they are empowered to perform and the conditions of the authority
delegated to them;

) Impose, fix, collect and receive, in accordance with the duly approved schedules, the fees
necessary for the survey and certification of ships pursuant to this Section. The fees shall be
imposed and collected in order to recover the cost for rendering the service and shall not be
used in order to impose a penalty: Provided, That excessive fees, multiple fees and duplicative
fees shall at all times be avoided;

(k) Issue rules and regulations necessary to implement the provisions of this Section: Provided,
That the rules shall be in consonance with the Convention and shall not change or in any way
amend or be contrary to the intent and purposes of this Act;

(V) Provide its officers and personnel with adequate training and continuing education to ensure
an efficient and professional pollution regulatory machinery,

(m) Impose and collect fees and charges in connection with the performance of its functions
under this Section, which fees and charges shall accrue to the MEMF: Provided, That the fees
shall be imposed and collected in order to recover the cost for rendering the service and shall
not be used in order to impose a penalty: Provided, further, That excessive fees, multiple fees
and duplicative fees shall at all times be avoided;

(n) Hear, adjudicate and impose such fines and penalties on Philippine ships that fail to comply
with the rules and regulations issued pursuant to this Section, and,

(0) Exercise powers and perform other functions as may be necessary to carry out its duties and
responsibilities under this Act.


SEC. 9. Powers and Functions of the Philippine Coast Guard (PCG). — Unless
otherwise provided in this Act, the PCG shall have the sole and exclusive authority and
responsibility to enforce environmental and pollution regulations and standards to all ships
which may be operating within Philippine maritime zones, or in ports, terminal facilities or
harbors. It shall include the authority to board and inspect ships to ensure compliance with such
regulations and standards.

For this purpose, the PCG shall have the following duties and functions:

(a) Ensure that all ships are operated and certificated in accordance with the requirements of
the Convention;

(b) Inspect the certificates and record books required of any ship pursuant to this Act;

(@) Conduct a physical inspection of the ship if there should be clear grounds for believing that the
condition of the ship or its equipment does not correspond substantially with what is stated in
the ship's certificates;

(b) Investigate any complaint involving the alleged violation of the Convention committed by a
ship, regardless of the source of the complaint or the location of the violation, and request the
submission of evidence which the complainant may have regarding the alleged violation;

(©) Request the assistance of any other State whose cooperation may be useful to the investigation
against a ship,

(a) Detain a ship pursuant to Section 25 of this Act;

(e) Require a ship to proceed to the nearest repair yard and ensure that the ship does not leave until
it can proceed to sea without posing an unreasonable threat or harm to the marine environment;

(Q) Apprehend and initiate proceedings against any person for violation of this Act when sufficient
evidence exists with respect to the alleged violation;

(g) Inform the complainant and the IMO of the results of the investigation and any action taken
against the foreign-flagged ship in respect of any alleged violation,

(h) Deny entry ofa foreign-flageed ship to any Philippine port or terminal facility if it fails to comply
with the requirements of the Convention;

(@) Coordinate with, and inform, the diplomatic representative of the State, or the flag State
administration, of any violation of the foreign ship and any action taken against the ship;
(Inspect, verify and investigate a ship if it has discharged any harmful substance into the marine
environment under any of the following circumstances:
1. It has reasonable grounds to believe that a discharge has occurred in Philippine maritime
zones;
2. It receives a report from another coastal State; or,
3. Itreceives a request from the flag State.
(k) Forward the report of any violation committed by the ship, with respect to any discharge of

harmful substances into the marine environment, to the ship's flag State administration, together
with any evidence it may have;


(1) Immediately inform any affected coastal State of the discharge;

(m) Ensure that the ship is not unduly delayed or detained;

(n) Order into port any ship found in the territorial seas if there are clear grounds to believe that the
ship has discharged harmful substances into the marine environment;

(0) Establish procedures for reporting incidents involving any actual or probable discharge or
emission which may be in violation of this Act and of the requirement of the Convention,

consistent with the reporting requirements under this Act;

(p) Require all ships and aircrafts registered under the Philippine flag to immediately report any
marine casualty witnessed while navigating;

(q) Impose and collect fees and charges in connection with the performance of its functions under
this Section, which fees and charges shall accrue to the MEMF: Provided, That the fees shall be
imposed and collected in order to recover the cost for rendering the service and shall not be used
in order to impose a penalty: Provided, further, That excessive fees, multiple fees and duplicative
fees shall at all times be avoided;

Hear and adjudicate violations through the District Hearing Officer pursuant to Section 43 of this
Act;

Investigate and issue notice of violations to erring ships;

its

(s)
(t) Cooperate with the government of other States that are members of the international organization

on the prevention of pollution from ships, concerning the detection of violations and enforcement
of this Act, using all appropriate and practicable measures of detection and environmental
monitoring, and adequate procedures for reporting and accumulation of evidence;

@)

Provide its officers and personnel with adequate training and continuing education to ensure and

efficient and professional pollution regulatory machinery;

(v) Adopt a continuing information campaign on marine resources protection, and developing public
awareness on the health hazards and other adverse effects of ship pollution;

(w) Issue such rules and regulations necessary to implement the provisions of this Act: Provided,
‘That the rules and regulations shall be in consonance with the Convention and shall not change
or in any way amend or be contrary to the intent and purposes of this Act; and,

(x) Exercise powers and perform other functions as may be necessary to carry out its duties and

responsibilities under this Act.

SEC. 10. Role of the Department of Environment and Natural Resources (DENR) ~ For

purposes of this Act, the DENR shall have the following powers and functions

(a) Provide technical assistance on pollution prevention to the concerned government agencies in the
implementation of this Act;

(b) Establish guidelines for the identification of harmful substances in packaged form in accordance
with the guidelines and listings provided under the International Maritime Dangerous Goods
(IMDG) Code, in coordination with the PCG, PPA and other port authorities;


(©) In coordination with MARINA & PCG, set effluent and emission standards for ships in
accordance with the requirements of the Convention; and,

(@) The floating crafts, drilling rigs and fixed or floating platforms, and vessels which primarily
operate or undertake business, commercial, or industrial activities while anchored, the DENR
shall enforce, in coordination with the PCG, the applicable provisions of Presidential Decree No.
1586, otherwise known as the Environmental Impact Statement System law; Republic Act No.
8749, otherwise known as the Philippine Clean Air Act of 1999; and Republic Act No. 9275,
otherwise known as the Philippine Clean Water Act of 2004, in consonance with Section 4 of this
Act, Republic Act No. 9003, otherwise known as “the Ecological Solid Waste Management Act
of 2000”.

(e) Establish criteria and guidelines for the siting, design, operation, and maintenance of port waste

management facilities.”

CHAPTER 4
Prevention of Pollution by Harmful Substances

SEC. 11. Prohibition of Discharge or Emission of Substances under the Convention. - The
discharge or emission of harmful substances from any ship into the Philippine maritime zones shall
be prohibited, pursuant to the following Annexes of the Convention:

(@) Annex I - Oil, whether carried as cargo or as bunker, or oily mixture, whether generated from
cargo operations or from machinery spaces,
(b) Annex II - Noxious liquid substances or mixtures containing a noxious liquid substance, being a
substance or mixture carried as cargo or part cargo in bulk;
(c) Annex ITI - Harmful substances in packaged form;
(d) Annex IV - Sewage:
(©) Annex V - Garbage: and
(© Annex VI- Air pollutants, whether or not generated during the operation of the ship.

SEC. 12. General Exemptions Applicable to the Discharge or Emission of Harmful
Substances - The provisions of Section 11 shall not apply in the following cases:
(a) The discharge or emission is necessary for the purpose of securing the safety of a ship and those
on board or saving life at sea;
(b) The discharge is a result from unintentional damage to the ship or its equipment, and all
reasonable precautions to prevent or minimize the escape or harmful substances have been taken
after the occurrence of the damage or the discovery of the discharge: Provided, however, That the


‘owner, master, agent, or manager of the ship was not negligent, nor acted either with intent to
cause damage or recklessly and with knowledge that damage would probably result: Provided,
further, That the damage to the ship or its equipment is not a result of deterioration or defects
resulting from failure to maintain the ship or equipment; or,

(c) in cases of substances under paragraphs (a) and (b) of Section 11 of this Act, the discharge is for
the purpose of combating specific pollution incidents in order to minimize the damage from
pollution as may be approved by the PCG.

SEC. 13. Exemptions Applicable to Discharge of Oil or Oily Mixture - in addition to the
exemptions provided under Section 12, Section 11 shall not apply to the discharge of oil or oily
mixture under Annex I of the Convention when all of the following conditions are satisfied:

(a) the ship is proceeding en route by:
1, incase of oil tanker of any tonnage, more than 50 nautical miles from the nearest land, and
the instantaneous rate of discharge does not exceed 30 liters per nautical mile; and,
2. in case of ship of 400 tons gross tonnage and above, more than 15 nautical miles from the
nearest land;

(b) the discharge is processed through an oil filtering, oily-water separating equipment and oil

discharge monitoring, system and methods or devices as may be prescribed by the DOTr;

(©) the total quantity of oil discharged into the sea does not exceed one part in 15,000 per million, or
of the parts of the total quantity of the cargo of oil of which the oil discharged formed a part,
whichever is higher; and,

(@) in case of ship of less than 400 tons gross tonnage:

1. the oily mixture does not originate from cargo pump room bilges on tankers; and,
2. in case of oil tanker, the oily mixture is not mixed with oil cargo residues.

SEC. 14, Exemptions Applicable to the Discharge of Noxious Liquid Substances Carried in

Bulk — in addition to the exemptions provided under Section 12, Section 11 shall not apply to the
discharge of noxious liquid substances or mixtures containing a noxious liquid substance, being a
substance or mixture carried as cargo or part cargo in bulk under Annex II of the Convention when
the following conditions are satisfied:
(a) the discharge is made when the ship is proceeding en route at a specd of:

(1) at least 7 knots, where the ship is self-propelled; or

(2) at least 4 knots, where the ship is not self-propelled;
(b) the discharge is made when the ship is at a distance of not less than 15 nautical miles from the

nearest jand and is in a depth of water of not less than 25 meters; and,
(©) the discharge is made below the water line of the ship taking into account the location of the sea-

water intakes.


The conditions under this Section shall not apply to a mixture that contains liquid substances
not harmful to marine resources, human health, amenities or other legitimate use of the sea as referred
to under Regulation 6.1.4 of Annex I] of the Convention,

SEC. 1. Exemptions Applicable to the Discharge of Harmful Substance in Packaged Form.
~ In addition to the exemptions provided under Section 12, Section 11 shall not apply to the discharge
by jettison of harmful substance, being a substance carried as cargo in packaged form under Annex
I of the Convention, on account of a leakage of the substance, when the substance was washed
overboard from the ship in accordance with requirements made pursuant to Section 4 of this Act, and
unless these requirements impair the safety of the ship or of persons on board the ship.

SEC. 16. Exemptions Applicable to the Discharge of Sewage — 1n addition to the exemptions
provided under Section 12, Section 11 shall not apply to the discharge of sewage under Annex IV of
the Convention when the following conditions are satisfied:

(a) Untreated,
the ship is proceeding en route at a speed of not less than 4 knots;

n-comminuted and Non-disinfected Sewage

v

. the discharge is made when the ship is at a distance of not less than 15 nautical miles from the
nearest land; and,

we

the untreated sewage is not discharged instantaneously but is discharged from the holding tank
at a prescribed rate promulgated pursuant to Section 4 of this Act.
(b) Comminuted and Disinfected Sewage:

1. the sewage discharged has been comminuted and disinfected using a system approved in
accordance with the requirements promulgated pursuant to Section 4 of this Act, giving effect
to paragraph 1.2 of Regulation 9 of Annex IV to the Convention; and,

2. the ship is at a distance of more than 3 nautical miles from the nearest land.

(©) Sewage Stored in a Holding Tank or Spaces Containing Living Animals

1. the ship is proceeding en route at a speed of not less than 4 knots; and,

2, the discharge is not instantaneously but is discharged at a prescribed rate promulgated pursuant
to Section 4 of this Act.

(d) Treated Sewage:
the sewage has been treated in a sewage treatment plant on the ship;

2. the PCG has certified that the sewage treatment plant is being operated to meet the
requirements promulgated pursuant to Section 4 of this Act, giving effect to paragraph 1.1 or
2.1 of Regulation 9 of Annex IV of the Convention,

the discharge is made when the ship is as far as practicable from the nearest land; and,

wo

#

the effluent does not produce visible floating solids nor causes discoloration of marine water.


SEC. 17. Exemptions Applicable to the Discharge of Garbage — in addition to the exemptions
provided under Section 12, Section 11 shali not apply to the discharge of garbage under Annex V of

the Convention when the following conditions are satisfied:

(a) Food Wastes:
._ the ship is proceeding en rowe;
fresh fish and parts thereof discharged through a comminuter that has a screen that with an

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opening no greater than 25 millimeters:
i. the ship is ata distance of not less than 3 nautical miles from the nearest land if the ship
is not alongside, or within 500 meters of, a fixed or floating platform; or,
ii, the ship is at a distance of not less than 12 nautical miles from the nearest land, if the
ship is alongside, or within 500 meters of, a fixed or floating platform.
(b) Animal Carcasses:
1, the ship is proceeding en rowe at a distance of not less than 12 nautical miles from the nearest
land; and,
2. the ship is not alongside, or within 500 meters of, a fixed or floating platform
(c) Cargo Residues:
1. the ship is proceeding en route at a distance not less than 12 nautical miles from the nearest
land
2. the ship is not alongside, or within 500 meters of, fixed or floating platform; and, the
3. garbage is cargo residues that cannot be recovered using commonly available methods for

unloading that are not harmful to the marine environment.

SEC. 18. Use or Carriage of Fuel Oil With Violative Sulfur Content ~ in case of fuel oil with
a sulfur content exceeding the standards set pursuant to Annex VI of the Convention, its use as fuel

on board a ship, or its carriage on board for the said purpose shall be prohibited

In addition to exemptions under Sec. 12, the prohibition shall not apply when the following
conditions are satisfied:

(a) the ship is operating an Annex VI equivalent fitting, material, appliance, apparatus, pollution
control device, or other compliance methods designed to meet emission standards set pursuant to
Section 4 of this Act;

(b) the Annex VI equivalent is approved by the DOTr, and operating in accordance with requirements
promulgated pursuant to Annex VI of the Convention; and,

(©) the emission from the approved equivalent is within the emission standards set pursuant to Annex

‘VI of the Convention.


SEC. 19. Other Applicable Conditions or Requirements. - The application of the exemptions
under this Chapter shall be subjected to additional conditions or requirements that may be promulgated
by the DOTr pursuant to the Convention in light of the intention of Section 4 of this Act.

‘Moreover, the provisions of the Convention setting forth technical requirements that Philippine-
flagged ships must meet, which are inapplicable or impractical in Philippine domestic setting, may be
suspended: Provided, That subject to public consultation with concemed agencies and stakeholders,
the DOTr shall prescribe appropriate equivalents or standards for these ships to protect the marine
environment: Provided, further, That nothing herein shall prevent the enactment of any law providing
for standards, requirements or regulations higher than those provided for by the Convention.

SEC. 20. Immediate Report of Discharge of Harmful Substances. ~ If any actual or probable
discharge of any harmful substence occurs from any ship while it is operating in Philippine maritime
zones, the master of the ship, shall immediately report the incident to the PCG. The PCG shall
immediately inform the flag State of the ship. If any actual or probable discharge occurs from any
Philippine ship into any other part of the sea or atmosphere, the master shal] immediately report the
incident to the nearest affected coastal State and to the PCG.

If the master of the ship is unable or fails to report the incident, or the discharge occurs in
circumstances where the ship is abandoned, the owner, agent or manager of the ship shall without

delay, report the incident to the concerned agencies under this Section.

SEC. 21. Record Books. ~ Philippine ships and all ships operating within Philippine maritime
zones shall maintain on board record books in the English language, whether as part of their official
logbook or not. For this purpose, the details of the content of the record book shall be pursuant to the

‘Convention

SEC. 22. Reception Facilities. - Port authorities shail ensure that public and private ports and terminal

ports in the Philippines are appropriately and adequately provided with facilities to meet the needs of

ships for the reception of the following substances under the annexes of the Convention

(a) cily bilge water; oily residues (sludge); oily tank washings (slops): dirty ballast water; and scale
and sludge from tank cleaning under Annex I:

(b) cargo residues containing noxious liquid substances as defined in MARPOL Annex Il, or ballast
water, tank washings or other mixtures containing such substances under Annex IT,

(c) sewage under Annex III;

(d) garbage, including plastics, food wastes, domestic wastes, cooking oil, incinerator ashes,
operational wastes, animal carcasses, fishing gear, E-waste, cargo residues not harmful to the

marine environment and cargo residues harmful to the marine environment under Annex V; and,


(©) ozone-depleting substances and equipment containing such substances, and exhaust gas cleaning

residues under Annex VI

For this purpose, port authorities shall:

(a) determine and establish the most effective and efficient means for meeting internationally
accepted requirements with respect to reception facilities in public and private ports without
causing such ships undue delay’

(b) formulate and implement an integrated waste management system compliant with Republic Act
No. 9003 otherwise known as the *

Ecological Solid Waste Management Act of 2009” and Republic Act No. 6969 “__” for the use
and operation of reception and treatment facilities, in coordination with the DENR and the PCG;
and,

(©) coordinate with the DENR and concerned host local government units (LGUs) on the proper

handling and disposal of wastes collected at ports

Port authorities may enter into agreements with private entities which were selected though
public bidding processes in relation to the establishment and operation of reception and treatment
facilities, upon verification of compliance with standards established for said facilities by the DENR

pursuant to the Convention.

SEC. 23. Use of Reception Facilities. — Pursuant to the regulations issued by the DOTr, all ships
entering or availing the services of ports, terminals and repair ports shall use reception facilities
established pursuant to Section 22, subject to the integrated waste management system to be
established by port authorities.

PPA shall establish infrastructure and sanitary facilities for on-shore requirements and formulate

a proper waste management system that can be operated and managed sustainably.

Regulations shall consider the fast turnover, or undue delay of ships in order to determine the

necessity of the use of facilities in any port or terminal,
SEC. 24, Denial of Entry. — Should there be a probability that 2 foreign-flagged ship has
violated or may violate the requirements of this Act, or the rules and regulations promulgated therefor,

the ship may be denied entry to any port in the Philippines.

SEC. 2S. Detention of Ships. — Ships shall be detained in any of the following cases:



(a) The fine or fines imposed on ship, owner or operator of the ship pursuant to Chapter 5 of this Act,
except those imposed for violations of administrative regulations under Sections 27 to 35 and 38
of this Act, have not been paid;

(b) The condition of the ship does not substantially correspond with what is stated in the ship's
certificates;

(©) The ship does not hold valid ship certificates;

(d) There are reasonable or probable grounds to believe that:

. the ship incurred a pollution cost liability under this Act;

2, the ship violated any of the requirements of this Act or rules and regulations promulgated
therefore; and,

the ship caused harm or damage or exhibited a reasonable environmental threat to the marine

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environment.

A ship may be released pursuant to Section 43 of this Act.

CHAPTERS
FINES, PENALTIES, AND LIABILITIES

SEC. 26. Imposition of Fines, Penalties and Liabilities. - Except for fines and penalties for
violations under Section 36 and 37 of this Act, ell fines and penalties shall be imposed pursuant to
Section 43 of this Act on the owner, master, agent or manager of the ship found to be liable under this
Chapter, The owner, master, agent or manager of the ship responsible shall be jointly and severally
liable.

For this purpose, an appropriate fine rating system shall be established by the MPAB, taking into
consideration degree of willfulness, negligence or recalcitrance of the master, owner, agent or
manager of the ship, their history of noncompliance, gross tonnage of the ship, and the gravity of the
damage caused by the ship to the environment.

SEC. 27. Discharge of Emission of Harmful Substances. - A ship that is found to have
discharged or emitted harmful substances under Section 11 of this Act, shall be liable for the following
fines:

(a) In the case of Philippine ship —
1. For oil under paragraph (a) of Section 11 of this Act - not less than Two hundred thousand
pesos (PHP 200,000.00 but not more than Ten million pesos (PHP 10,000.00),
2. For noxious liquid substances or harmful substances in packaged form under paragraphs (b)
and (c) of Section 11 of this Act — not less than Two hundred thousand pesos (PHP
200,000.00) but not more than Ten million pesos (PHP 10,000,000.00);


3. For sewage or garbage under paragraphs (e) and (f) Section 11 of this Act - not less than One
hundred thousand pesos (PHP 100,000.00) but not more than Five million pesos (PHP
$,000,000.00); and,

4. For other harmful substances as defined in this Act — not less than Two hundred thousand
pesos (PHP 200,000.00) but not more than Ten million pesos (PHP 10,000,000.00).

(b) Inthe case of Philippine ship engaged in international trade and foreign-flagged ship:

1. For oil or oily mixture under paragraph (a) of Section 11 of this Act - not less than Fifty
Thousand US Dollars (USD 50,000.00) but not more than Five Million US Dollars (USD
5,000,000.00), or its equivalent in Philippine pesos;

2. For noxious liquid substances or harmful substances in packaged from under paragraphs (b)
and (c) of Section 11 of this Act- not less than Fifty thousand US dollars (USD 50,000.00)
but not more than Three Million US dollars (USD 3,000,000.00), or its equivalent in
Philippine Pesos;

3. For sewage or garbage under paragraphs (d) and (e) of Section 11 of this Act — not less than
‘Ten thousand US dollars (USD 10,000.00) but not more than One million US dollars (USD
1,000,000.00), or its equivalent in Philippine pesos; and,

4. For air pollutants of Section 11 in this Act — not less than Fifty thousand US dollars (USD
50,000.00) but not more than Five million US dollars (USD 5,000,000.00), or its equivalent
in Philippine pesos.

The owner, master, agent or manager of the ship responsible for the discharge or emission under
this Section, shall be held jointly and severally liable.

SEC. 28. Failure to Maintain Record Books. - A ship that operates without record books
required under Section 21 of this Act or fails to properly maintain said record books on board, shall
be liable to pay a fine of Two hundred thousand pesos (PHP 200,000.00).

SEC. 29. Refusal to Use Reception Facilities.— A ship that unjustifiably refuses to use reception
facilities, shall be liable to pay a fine of not less than Fifty thousand pesos (PHP 50,000.00) but not
more than One million pesos (PHP 1,000,000.00): Provided, That disposal of oil in reception facilities
shall be required upon determination by the PCG.

SEC. 30. Absence of and Noncompliance with a Shipboard Garbage Management Plan. - A
ship that operates without a shipboard garbage management plan as required under the Convention or
fails to operate in accordance with such plan, shall be liable to pay a fine of not less than Fifty thousand
pesos (PHP 50,000.00) but not more than Five hundred thousand pesos (PHP 500,000.00).


SEC. 31. Unauthorized Change in the Ship’s Structure, Equipment, Fittings, Arrangements
and Materials. — Uniess authorized under this Act or the Convention, any ship owner who made or
caused any change in the structure, equipment, fittings, arrangements and materials of the ship without
the approval of the MARINA, shall be punished with a fine of not more than Fifty thousand pesos
(PHP 50,000.00) but not more than Two hundred thousand pesos (PHP 200,000.00).

SEC. 32. Operating Without the Required Certification. — A ship that is operated or is allowed
to operate without the certification required under this Act or the Convention, shall be detained and
shall be liable to pay a fine of not less than Ten thousand pesos (PHP 50,000.00) but not more than
One million pesos (PHP 1,000,000.00).

SEC. 33. Violation of Detention Order. - A ship that proceeds to sea in violation of a detention
order issued pursuant to Section 25 hereof, shall be liable to pay for the following fines:
Philippine ship ~ not less than Fifty thousand pesos (PHP 50,000.00) but not more than One million
pesos (PHP 1,000,000.00); and, Philippine ship engaged in intemational trade and foreign-flagged
ship — Not less than Five million US dollars (USD $,000,000.00), or its equivalent in Philippine pesos.

SEC. 34. Continuing Violation. — A ship that continuously discharges or emits harmful
substances in violation of Section 11 of this Act, shal! be held liable for the fines stipulated under
Section 27. Likewise, it shall be made liable to pay an additional fine of not less than Fifty thousand
pesos (PHP 50,000.00) but not more than Five hundred thousand pesos (PHP 500,000.00) for every
day or part thereof during which the violation continues to be committed.

SEC. 35. Obstruction of Investigation. — Any person who, without justifiable reason, obstructs
or hampers the conduct of an investigation of a violation of this Act, shall be liable to pay a fine of not
less than Fifty thousand pesos (PHP 50,000.00) but nor more than Five hundred thousand pesos (PHP
500,000.00).

SEC. 36. Neglect of Duty.- Any government official or employee tasked with the responsibility
of enforcing any provision of this Act, who is found guilty of gross negligence of duty, shall be
dismissed from the service with prejudice to reinstatement. Neglect of duty shall be prosecuted in
accordance with existing laws.

SEC. 37. Connivance in Violation of this Act. - Any government official or employee tasked
with the responsibility of enforcing and/or implementing any provision of this Act who connives with
the ship owner, master, agent or manager of a ship or any person to violate, or permits the commission
of any violation of this Act, shall be dismissed from the service and shall be jointly and severally liable
with any person found to be liable for the fine imposed pursuant to this Act.


SEC. 38. Violations of Administrative Regulations. — A ship that commits or omits acts in
violation of rules and regulations issued by concerned agencies pursuant to this Act, unless the
violations are otherwise covered under Sections 27 to 35 hereof, shall be liable to pay the following
fines:

(a) Philippine ship:

1, First violation —a fine of not less than Ten thousand pesos (PHP 10,000.00) but not more than
One hundred thousand pesos (PHP 100,000.00);

2. Second violation — a fine more than One hundred thousand pesos (PHP 100,000.00) but not
more than Two hundred thousand pesos (PHP 200,000.00); and,

3. Third violation — a fine more than Two hundred thousand pesos (PHP 200,000.00) but not
more than One million pesos (PHP 1,000,000.00) and the suspension of vessel safety
certificate for six (6) months to one (1) year.

() Philippine ship engaged in international trade and foreign-flagged ship — One thousand US dollars
(USD 1,000.00) to Four million US dollars (USD 4,000,000.00)

The concemed agency shall promulgate rules and regulations for the summary imposition of
administrative sanctions, subject to due process, for failure to comply with any order, decision, rules
and regulations of the MPAB issued pursuant to this Act.

SEC. 39. Automatic Adjustment of Penalties and Fines. — The fines prescribed in this Act shall
be periodically reviewed and any changes or increases will be approved by the MPAB prior to its
implementation.

SEC. 40. Clean-up Operations. ~ In the event harmful substances, under Section 11 of this Act
are discharged or emitted from any ship into Philippine maritime zones or into any part of the sea or
waters outside Philippine maritime zones but such substances subsequently flowed or drifted into
Philippine maritime zones, or into the Philippine atmosphere, the PCG, in coordination with other
agencies concemed, shall be responsible for the cleanup and containment of discharged substances,
and the prevention or mitigation of the resulting damage to the environment , human health, tourist
and fishing industries, public and private properties: Provided, That the necessary initial cleanup and
containment shall be made by the owner of the ship which discharged or cause the discharge of such
harmful substances.

Local government units affected by these discharges shall be informed and assisted by the
DOTY.

SEC. 41. Cost Liability for the Discharge or Emission of Harmful Substances. - The owner of
the ship liable for the discharge of harmful substances under Section 40 hereof shall be primarily
responsible for the following pollution costs:


(a) Reasonable expenses that the PCG and other agencies coricemed may reasonably undertake or
has undertaken pursuant to Section 40; and,
(b) Environmental damages and/or other reasonable measures taken for environmental rehabilitation.
Incase the responsibility for the above pollution cost liability falls on two (2) or more ships, and
the liability of each of the owners thereof cannot be reasonably distinguished from that of the other,
each of the owners shall be held jointly and severally liable for the whole amount of the cost.
Republic Act. No, 9483, otherwise known as the Oil Pollution Compensation Act of 2007, shall
gover the civil liability for the discharge of oil, including the oily mixture, discharged as part of the
incident under the said Act.
Reimbursement of the cost incurred shall be made to the MEMF or to such other funds where

disbursements were sourced.

SEC. 42. Informer’s Reward. — Any person, with the exception of officials or employees of
the DOTr, DENR, LGUs, MARINA, PCG, and port authority, or their relatives within the sixth degree
of consanguinity, who voluntarily gives definite and swom information not yet in the possession of
the MARINA or the PCG, leading to the discovery of the violation of this Act and resulting in the
imposition of fines or fees, or conviction of the guilty party of any of the fines or penalties, shall be
rewarded a sum equivalent to ten percent (10%) of the fines or fees paid or recovered.

CHAPTER 6
Adjudication of Marine Pollution Cases

SEC. 43. Filing of Complaint. — Within a reasonable period following an apprehension, or a
discovery or determination of violations under Sections 27 to 35 and 38 of this Act, appropriate
complaint, with recommended fine, shall be filed with the DHO of the PCG against an owner, master,
agent or manager of the ship. The DHO shall issue the Resolution on the complaint, in summary

proceeding, upon receipt thereof.

All Resolutions of the DHO shall be immediately executory: Provided, That all resolutions of
the DHO may be appealed to the MPAB within fifteen (15) days from the receipt thereof: Provided,
further, That under exceptional circumstances, the MPAB may, at its own instance, review or
determine whether the fine imposed in the Resolution of the DHO is fair to the government, and,
henceforth, issue an Order imposing the appropriate fine.

Pending review or appeal of the Resolution of the DHO, the ship may be released pursuant to
Section 25 of this Act when any of the following conditions are satisfied:

(a) the ship has paid the fines imposed by the DHO;


(b) the ship has posted adequate cash bond, insurance guarantee, or protection indemnity guarantee
ora combination thereof to cover the liability of the owner, master or agent of the ship as approved
by the DHO is posted with the Office of the DHO;

(©) the ship has issued an undertaking that the fines imposed by the MPAB shall be forthwith settled
in the event the MPAB determined the payment of a higher fine; and,

(@) the ship has complied with the regulation, or employed appropriate method, device, or structural
remedies that will prevent the causes of pollution as certified by the PCG.

For this purpose, the DOTr shall designate a District Hearing Officer (DHO) for each district of

the PCG: Provided, That the person to be designated is a commissioned officer of the PCG and a

Member of the Philippine Bar engaged in the practice of law for at least five (5) years: Provided,

further, That the DHO shall have a rank with a pay grade of at least an Officer-5 upon appointment

or within three (3) years following the effectivity of this Act, pursuant to the transitory guideline issued
therefor by the DOTr: Provided, finally, That the hearing officer when acting as such shall follow the
canons of judicial conduct mutatis mutandis.

SEC. 44. Marine Pollution Adjudication Board. There is hereby constituted a Marine Pollution
Adjudication Board (MPAB) vested with quasi-judicial powers under the Office of the DOTr
Secretary, It shall be composed of the following members:

(a) Secretary of the DOTs, or his duly authorized permanent representative, as Chairperson;

(b) Commandant of the PCG, or his duly authorized permanent representative;

(c) Administrator of the MARINA, or his duly authorized permanent representative,

(4) General Manager of the PPA, or his duly authorized permanent representative;

(©) Director of the Environmental Management Bureau of the DENR, or his duly authorized

permanent representative;
(f) A permanent representative from the Bureau of Fisheries and Aquatic Resources
(g) A private sector representative endorsed by MARINA from the existing accredited association of
master/mates and marine engineer’s association
(h) A member of the sea transport association; and,
(i) A representative of civil society with recognized advocacy on the protection of marine
environment.
The grant of honoraria to members of the MPAB shall be subject to existing laws, accounting and
auditing rules and regulations.

SEC. 45. Powers and Functions. - The MPAB shall have the following powers and functions:
(a) Review Resolutions of the DHO pursuant to Section 43 of this Act;
(b) Conduct hearings whenever necessary, even in the absence of any party thereto who has been
summoned or served with notice to appear, refer technical matters or accounts to an expert and
to accept the experts’ reports thereon as evidence after hearing of the parties upon due notice,



direct parties to be joined in or excluded from the proceedings, correct amend or waive any error,
defect or irregularity, whether in substance or in form, and give all such directions as it may deem
necessary or expedient in the determination of the cases before it;

(c) Promulgate and adopt its own rules of procedure under this Chapter. It shall not be strictly bound
by the Rules of Court but shall proceed to hear and decide cases in a most expeditious manner,
employing all reasonable means to ascertain the facts of every case in accordance with justice
and equity and the merits of the case;

(a) Summon witnesses, administer oaths, take testimony, require submission of reports, compel the
production of books and documents and answers to interrogatories and issue subpoena duces
tecum and to enforce its writs through sheriffs or other duly deputized officers,

(e) Punish direct contempt in the same manner and subject to the same penalties as provided in the
Rules of Court;

() Enjoin any or all acts involving or arising from any case depending before it which if not
restrained forthwith, may cause grave or irreparable damage to any of the parties to the case or
seriously affect social or economic stability;

(g) Issue orders and decisions to compel compliance with the provisions of this Act and the
Convention and issuances or decisions of the MPAB;

(h) Deputize in writing or request assistance to appropriate government agencies or instrumentalities
for the purpose of enforcing its decisions,

@

Issue an ex parte order directing the discontinuance of the discharge of substances the cause
marine pollution, or the temporary suspension or cessation of operation of operation of the
equipment, project or activity and other acts causing environmental degradation, generating
pollutants or wastes, without the necessity of a previous public hearing: Provided, That the ex
parte order shall be issued only in case of immediate threat to life or property, public health,
safety or welfare or to animal or plant life, or exceeds the allowable environmental standards.
The ex parte order shall be immediately executory and shall remain in force and effect until this
is modified or lifted by the MPAB; and

(). Periodically review and approve the proposed changes in the fines and penalties imposed under

this Act.

SEC. 46. Finality of Determination, - Any case or controversy before the MPAB shall be
decided by a majority of all its members within thirty (30) days after it is submitted for resolution,
Only one (1) motion for reconsideration shall be allowed, Unless an appeal is perfected and a cash
bond equivalent to the fine imposed is deposited, any order, decision or ruling issued by the MPAB
shall be final and executory.

SEC. 47. Appeals on the Judgement of MPAB. - Decision, final order or judgment of the
MPAB may be appealed to the Court of Appeals under Rule 43 of the Rules of Court of the Philippine



CHAPTER 7
Miscellaneous Provisions

SEC. 48, Ship Pollution Prevention Program, — The DOTr, in coordination with concemed
agencies and stakeholders, shall establish and lead the implementation of a ship pollution
prevention program that can be funded by the MEMF to effectively and sustainably prevent
pollution from ships and ensure compliance with the regulations under MARPOL. The program
shall include, among others: (a) awareness building and capacity building; (b) data base
development and management; (c) establishment and operation of reception facilities; (d)
implementation of marine environment protection activities; and —_(e) research and development.

SEC. 49. Implementing Rules and Regulations, - The Department and the concemed agencies
shall promulgate the implementing rules and regulations for this Act within one (1) year after the
enactment of this Act. The proposed implementing rules and regulations shall be subjected to public
consultations with affected sectors. The DOTr shall ensure that functions of the implementing agencies
and rules and regulations promulgated prior to and after the effectivity of this Act are devoid of any
duplication or inconsistency.

‘The rules and regulations issued by other government agencies and instrumentalities for the
prevention of marine pollution not inconsistent with and appropriate to the implementation of this Act
shall supplement the rules and regulations issued by the Department pursuant to this Act.

SEC. 50. Joint Congressional Oversight Committee (JCOC). — The Joint Congressional
Oversight Committee created under Section 33 of Republic Act. No. 9275 or the Philippine Clean
Water Act of 2004, shall also monitor the implementation of this Act and review the implementing
rules and regulations promulgated by the DOTr.

The JCOC shall continue to exist for a period not exceeding five (5) years from the effectivity
of this Act and thereafter, its oversight functions shall be exercised by the Committee on Environment
of the Senate and the Committee on Ecology of the House of Representatives, acting separately.

The Secretariat of the Congressional Oversight Committee shall come from the secretariat
personnel of the Committees of the Senate and the House of Representatives comprising the JCOC.

SEC. 51. Marine Environmental Management Fund (MEMF). ~ There is hereby established
a Marine Environmental Management Fund (MEME) to be administered by the DOTr. The MEMF
shall be sourced from the following.
(a) Fees, charges and fines imposed pursuant to this Act;
(b) Donations, endowments, grants and contributions; and,
(c) Amounts specifically appropriated for the MEMF under the annual General Appropriations Act.
The MEMF shall be utilized for the following activities:



(a) Containment, removal and clean-up operations of the PCG in all marine pollution cases under the
Convention;

(b) Enforcement and monitoring activities of the MARINA, the PCG and port authorities of the
Department and other relevant agencies: Provided, That ninety percent (90%) of the funds shall
be maintained annually for the containment, removal and clean-up operations of the PCG in all
cases of pollution from ships: Provided, further, That in no case shall the MEMF be used to fund
personal services expenditures except for the compensation of those involved in clean-up
operations;

(©) Capability building activities and initiatives of implementing agencies under this Act;

@

(© Marine Environment Monitoring Program to determine the effects of emissions, effluents and

Ship Pollution Prevention Program; and
wastes in Philippine waters.

SEC. 52. Appropriations. - The amount necessary to carry out the provisions of this Act shall
be charged against the current year’s appropriations of the concemed agencies. Thereafter, such sums
as may be necessary for the operation and maintenance of this Act shall be included in the General
Appropriations Act.

SEC. 53. Separability Clause. - In the event that any provision of this Act is declared
unconstitutional, the validity of the remainder shall not be affected thereby.

SEC. $4. Repealing Clause. - Paragraph (a) of Section 22 of Republic Act No. 9483, otherwise
known as Oil Pollution Compensation Act is hereby repealed. Presidential Decree No. 6969, otherwise
known as The Toxic Substances and Hazardous and Nuclear Wastes Control Act, and Presidential
Decree No. 979, otherwise known as the Marine Pollution Control Decree of 1976 are hereby amended
and modified accordingly. All laws, decrees, rules and regulations and executive orders contrary to or
inconsistent with this Act are hereby 16 repealed or modified accordingly.

SEC. 55, Effectivity Clause. - This Act shall take effect fifteen (15) days after its publication in
the Official Gazette or in a newspaper of general circulation.