Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City ,

FIFTEENTH Congress
First Regular Session

House BillNo.__ 2985

Introduced by Maria Evita R. Arago and Irviti M. Aleala

: AN ACT
TO PREVENT AND CONTROL MARINE POLLUTION FROM SHIPS AND
FIXED AND FLOATING DRILLING RIGS AND OTHER FLATFORMS,
PROVIDE PENALTIES THEREFOR, AND FOR OTHER PURPOSES

EXPLANATORY NOTE

Presidential Decree No. 976, a law on which the prevention and control of marine
pollution completely rely, was promulgated in 1976 when the problem on discharges of
polluted effluents and wastes from ships were not yet ostensibly pervasive. Such law,
otherwise known as the Marine Pollution Decree of 1976, were intended to be all-
embracing but too general that promulgation of its implementing regulation or standard
paramountly depends on the primary agency responsible therefor.

Vaking the above into consideration, this bill is filed to address the shortcomings
of the 1976 law and to respond to the in-time prevalent beckons of the Philippine marine
environment.

Likewise. this measure significantly seeks to implement the provision of the
MARPOL 73/78, which is the International Convention for the Prevention Pollution from
Ships. as modified by Protocol of 1978 and other protocols and annexes related thereto

Among the countries worldwide, “106 countries have ratified the MARPOL,
representing 93-.88% of world tonnage. For the East Asian region, on the Philippines and
Thailand have not yet ratified the MARPOL, to think that the Philippines is among the
top 15 countries in terms of tonnage.

Notwithstanding, it is the desire of this representation to take an active stance
while the concerned sector is, at the same time, making its move towards the early
ratification of the MARPOL. The rampant degradation of the marine environment
intensifies the need for the immediate passage of this measure, despite the ratification of
the MARPOL,



‘To addyess the immediate and comprehensive rehabilitation of marine
environment damage as brought about by ship operations, it is the vision of this measure
that a mechanism for environmental guarantee be institutionalized to finance the needs
for emergency response, clean-up or rehabilitation of areas that may be damaged.

For these reasons, approval of this bill is earnestly sought.

|
MARIA non 0 IRVIN M. ALCALA



: otle
lieOf the Philippines [

F REPRESENTATIVES (/9" “~
Quezon City ;

Fifteenth Congress
First Regular Session

2585

House Bill No.

Introduced by Reps. Maria Evita R. Arago and Irvin M. Alcala

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 in Congress, assembled:

CHAPTER 1.- GENERAL PROVISIONS

SECTION 1. Short Title. This Act shall be known as the “Prevention of Pollution
from Ships Act of 2010.” ;

Section 2»Declaration of Policy. The State shall hereby prevent and control pollution
resulting from the operations of ships in order to protect and advance the right of the people
to a balanced and healthful ecology in accord with the rhythm and harmony of nature.

It shall likewise be the policy of the state to implement the Convention as it is herein
defined, including its amendments and protocols that have been ratified by the Philippines.

SECTION 3. Definition of Terms. As used in this Act;

(a) “Atmospheric discharges or emissions from ships” refers to any deliberate
discharge or emission of ozone depleting substances, nitrogen oxides, sulfur oxides and

. Volatile organic compounds when such discharges do not meet the requirements of the

Convention; +


(b) “Chemical tanker” refers to a ship constructed or adapted for the carriage in bulk
of any liquid product listed in the International Bulk Chemical Code or any noxious liquid
substance;

(©) “Coastal State” refers to the relationship of the Philippines to a foreign-flagged
vessel traversing Philippine waters and its corollary right to exercise jurisdiction and
regulatory control over such vessel;

(a) “Convention” refers to:

1. The International Convention for the Prevetition of Pollution from Ships
1973 ‘as amended by the Protocol of 1978 or MARPOL 73/78,

2. Protocol I and II of MARPOL 73/78,

3. Annexes I, Il, Ill, IV, V,-and VI, their relevant appendices, any technical
codes referred to, as well as any amendments to any of these documents which may
enter into force in accordance with the procedure referred to in Article 16 of
MARPOL 73/78,

4. Any subsequent protocols of and amendments to the Convention which the
Philippine Government may ratify necessary to advance the purposes of this Act,

5. Any mandatory Codes referred to in the Convention or any subsequent
protocols to the Convention which the Philippine Government may ratify or any
amendments which may enter into force in accordance with Article 16 of the

Convention.

(©) “Department” means the Department of Transportation and Communications;
() “Discharge” means any release, however caused, of harmful substances from a
ship, including any escape, disposal, spilling, leaking, pumping, emitting or emptying of such

substances, except:


1, Release of harmful substances directly arising from the exploration,
exploitation and associated off-shore processing of sea-bed mineral resources; or

2. ‘Release of harmful substances for purposes of legitimate scientific research
into pollution abatement or control;

(g) “Dirty ballast” refers to water carried in the cargo tank;

(h) “Flag State” refers to the relationship of the Philippines to vessels registered under
its flag and the corollary right to exercise jurisdiction and regulatory control over these
vessels; .

(i) “Poreign-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;

_ @ "Garbage" means all kinds of vietual, domestic and operational waste, excluding
fresh fish and parts thereof, generated during the normal operation of the ship and liable to be
disposed of continuously or periodically;

(k) “Harmful substance in package form” refers to those substances which are
identified as marine pollutants in the International Maritime Dangerous Goods (IMDG) Code
and ate held in forms of containment specified for harmful substances in the IMDG Code. If
not otherwise identified in the IMDG Code, harmful substances in package form shall include
substances identified in accordance with the following criteria as provided in the Convention:

1, Those which are bio-accumulated to a significant extent and known to
produce a hazard to aquatic life or to human health, or
* 2. Those which are bio-accumulated with attendant risk to aquatic organisms

or to human health with a short retention of the order of one week or less, or

3. Those which are highly toxic to aquatic life.


(). “Marine Incident” means an event involving the actual or probable discharge into

the sea, or emi

n into the atmosphere, of a harmful substance or effluents containing such
a substance;

(m) “Marine Casualty” means any accident or incident of navigation which results in
producing a harmful, deleterious or damaging effect upon the marine environment;

(n) "Master" includes every person, except a pilot, having command or charge of any
ship, including a boat captain;

(0) "Noxious Liquid Substance" means any substance identified as such under the
relevant chapter of the International Bulk Chemical Code or provisionally assessed as such
by Annex 2 of the Convention;

(p) "Oil" means petroleum in any form including crude oil, fuel oil, sludge, oil refuse
and refined products, other than petrochemicals which are classified as noxious liquid
substances in accordance with Annex Il of the Convention, and including substances listed as
asphalt solutions, gasoline blending stocks, oils, gasolines, jet fuels, distillates, gas oil, and
naphtha in accordance with Appendix I of Annex I of the Convention;

(q) "Oily Mixture" means a mixture with any oil content;

(*) “Oil tanker” means a ship constructed or adapted primarily to carry oil in bulk in
its cargo spaces and includes combination carriers or any other tanker when in fact carrying
cargo or part of cargo of oil in bulk;

(s) “Other harmful substance” means any substance other than oil, noxious liquid

substances, harmful substances in package form, garbage, sewage, which, if introduced into

the sea, is liable to create hazards to human health, to harm living resources and marine life,
to damage amenities or to interfere with other legitimate uses of the sea, and includes, but is

not limited to atmospheric discharges and other substances identified as marine pollutants


which may be subject to control pursuant to the provisions of this Act and other relevant
environmental laws of the Philippines;
(®) “Owner” means 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, and, 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, “owner” shall include such
State;

(u) “Philippine Ship” refers to any ship registered under the laws of the Philippines
and entitled to fly its flag wherever the ship may be found;

(v) “Philippine Waters” refers to the internal waters, archipelagic waters, territorial
seas, waters within the contiguous and exclusive economic zones;

(w)"Plasties" includes, but shall not be limited to, synthetic ropes, synthetic fishing
nets, plastic garbage bags, incinerator ashes from plastic products which may contain toxic or
heavy metal residues;

(x) “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 such vessel;

(y) “Secretary” means the Secretary of the Department of Transportation and
Communications;

(2) Sewage refers to:

1. Drainage and other wastes from any form of toilets and urinals;
2. Drainage from medical premises (dispensary, sick bay, ete.) via wash
basin8, wash tubs and scuppers located in such premises;

3. Drainage from spaces containing living animals; or


4. Other waste waters when mixed withthe drainages defined above,

(aa) “Ship” means a vessel of any type operating in the marine environment and
includes pleasure crafts, fishing vessels, hydrofoil boats, air-cushion vehicles, submersibles,
floating craft, drilling rigs, and fixed or floating platforms.

(bb)"Special Area” means @ sea area where, for recognized technical reasons in
relation to it$ oceanographic and ecological condition and to the particular character of its
traffic, the adoption of special mandatory methods for the prevention of sea pollution is
required

(ce)“Undue delay” means 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 othef cause for detaining the ship.

CHAPTER 3. - SCOPE AND APPLICATION

SECTION 4. Scope and Application of the Act. Unless otherwise specified herein, this
‘Act shall apply to:

(a) All Philippine ships, wherever they may be found;

(b) All foreign-flagged ships in Philippine waters whether or not they are registered
With state parties to the convention; and

(© All other ships operating within the Philippine waters.

Provided, That the provisions of the Convention setting forth technical requirements that
ships must meet: which are inapplicable or impractical in Philippine local setting may be

suspended or equivalents prescribed therefor upon determination by the Department, subject

to public consultation:_ Provided further, That nothing herein shall prevent enactment of any
law providing for standards, requirements or regulations higher than those provided for by the

Convention.


SECTION 5. Exemprions. This Act shall not apply to warships and naval auxiliary
ships: Provided, That, all government ships shall be exempted from the coverage of this Act
during emergency response cases: Provided, however, That the Department, through the
Maritime Industry Authority, Philippine Coast Guard, Philippine Ports Authority and other
concerned agencies, shall ensure that appropriate measures shall be adopted, not impairing
‘the operational capabilities of such ships, that such ship operates in a manner consistent, so
far as is reasonable and practicable, with this Act. ,

CHAPTER 4, - EXERCISE OF JURISDICTION OVER SHIPS

SECTION 6. Powers and Functions of the Department, The Department shall be the
principal government agency responsible for the over-all implementation and enforcement of
this Act and any requirement of the Convention. For this purpose, the Department, through

* the Secretary, shall have 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), the Department of Agriculture (DA), Department of Interior and Local Government
(DILG), Department of Energy (DOE) and other relevant agencies and stakeholders;

(©) Constitute the Marine Pollution Adjudication Board and, when necessary, its
counterpart in Visayas and/or Mindanao to handle marine pollution incidents and casualties
as provided for by this Act;

(@) Reorganize or streamline the functions of its different line, staff and attached
authorities, agencies or bureaus for purposes of the effective and efficient implementation of

the provisions of this Act; and,


(c) Exercise such powers and perform such other functions as may be necessary to

carry out its duties and responsibilities under
SECTION 7. Flag State Administration. Unless otherwise provided herein, the

Mai

ime Industry Authority (MARINA) shall exercise flag state control over Philippine
ships. 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,

mater

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 Philip,

ne ships for purposes of the provisions of the immediately
preceding paragraph, which function may be delegated to MARINA-recognized
organisations 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,
arrangements and materials shall be made without the approval of MARINA;

(©) Issue the required statutory certificates to all Philippine ships;

(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

Provided, however, That local

and in accordance with the requirements of the Convention:
government units have the authority to undertake registration of the fishing vessels of three
(3) gross tons and below pursuant to existing laws;

(e) Conduct survey and issue certificates or endorsements to foreign ships registered

with another state party, if so requested by a State which is a party to the Convention;


(1) 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 rules and regulations promulgated therefor;

(h) Hear and adjudicate any violation of rules and regulations of the MARINA issued
pursuant to this Act;

an) Impose such fines and penalties on Philippine ships which shall fail to comply

with the requirements of this Act and its implementing rules and regulations;

(i) 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 such recognized organizations, including, but not limited to,

the following:

1. Perform and conduct statutory surveys-on Philippine ships,

Require repairs on a Philippine ships pursuant to findings resulting
from port state inspection,

3. Carry out surveys requested by port state authorities,

4. Withdraw any statutory certificates if corrective action is not taken by
the Philippine ships.
(k) Provide the International Maritime Organization with a list of recognized
organizations authorized to act on behalf of the Philippines together with the extent of their
powers, the specific responsibilities 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,

such fees necessary for the survey and certification of ships pursuant to this Act. Such 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.
(m)Issur such rules and regulations necessary to implement the provisions of this Act:
Provided, That such 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.
(n) Provide its officers and personnel with adequate training and continuing education
to ensure an efficient and professional pollution regulatory machinery;
(0) Impose and collect fees and charges in connections with the performance of its

functions under this Act; all fees and charges shall accrue to the Marine Environmental

Management Fund established under Section 43 of this Act; such 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; and

(p) Exercise such powers and perform such other functions as may be necessary (0

carry out its duties and responsibilities under this Act.

SECTION 8. State 's Control over All Ships. The Philippine Coast Guard (PCG) shall

have authority and jurisdiction over all ships which may be operating or found within

Philippine waters including ports, terminal facilities or harbors. 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 of any ship réquired pursuant to Section

13 of this Act;

“10


(c) 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;

(d) Investigate any complaint involving the alleged violation of the Convention

‘committed by a ship regardless of 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; .

(e) Request the assistance of any other state whose cooperation may be usefull to the
investigation against a ship;

(f) Detain a ship pursuant to Section 17;

(g) Require the 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;

(h) Initiate proceedings against any person for violation of this Act when sufficient
evidence exists with respect to the alleged violation;

(i) Inform the complainant and the International Maritime Organization (IMO) of the
results of the investigation and any action taken against the ship operator of the Philippine

ship in respect of any alleged violation:

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

(k) 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

harged any harmful substances

into the marine environment

1. Ithas reasonable grounds to believe that a discharge has occurred in Philippine
waters;

2. Itreceives a report from another coastal state; or,

3, Itreceives a request from the flag state;

(m) 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;

(n) Imme

ely inform any affected coastal state of the discharge;
(0) Inform the flag state administration of the foreign ship of the alleged violation and
furnish it with such information and evidence to show that a violation has occurred;
(p) Ensure that the ship is not unduly delayed or detained;

(q) 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 m: environment;
(®) 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

‘onvention consistent with the reporting requirements under this Act;
(8) Enter into an agreement with all ships and aircrafts registered under the Philippine
flag, to immediately report any marine casualty which they witnessed while navigating;
(0) Upon inquiry or investigation, cause or reéommend regulatory or other
appropriate actions to be taken in connection with any violation of the provisions of this Act;

(u) Cooperate with the government of other States which are members of

international organizations on the prevention of pollution from ships concerning the detection

12


of violations and enforcement of this Act using all appropridte and practicable measures of
detection and environmental monitoring, adequate procedures for reporting and accumulation
of evidence;

(¥) Provide its officers and personnel with adequate training and continuing education

to ensure an efficient and professional pollution regulatory machinery;

() Adopt a continuing information campaign on marine resources protection aimed

at developing public awareness of the health hazards and other adverse effects of

pollution;

(x) Administer the Marine Environmental Management Fund;

(y) Issue such rules and regulations necessary to implement the provisions of this Act:
Provided, That such 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

(2) Exercise such powers and perform such other functions as may be necessary 10
carry out its duties and responsibilities under this Act.

SECTION 9. 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 by the IMDG Code in coordination
with the Philippine Ports Authority (PPA); and,

(©) Set emission standards for ships in accordance with the requirements of the

Convention,

B


SECTION 10. Role of Local Government Units (LGUs). All LGUs shall, pursuant to

the pertinent provisions of the Local Government Code, assist in implementing and enforcing
this Act within their territorial jurisdictions, .

The authority to undertake the registration of the fishing vessels of three (3) gross tons
and below which will operate within municipal waters is within the authority of the
concerned municipal or city governments,

CHAPTER 5, - PREVENTION OF POLLUTION FROM SHIPS
SECTION 11. Prohibition of Discharge or Emission of Harmful Substances, ~ Wt shall

be unlawful for any person to discharge or emit the following substances from any Philippine

ship, or from any other ship while it is within Philippine waters

(a) Oil whether carried as cargo or as bunker

(b) Oily mixture whether generated from cargo operations or from machinery spaces;

(c) Noxious liquid substances carried in bulk;

(@) Harmful substances in packaged form;

(©) Sewage

(8) Garbage and

(g) Other harmful substances, whether generated dufing the operation of the ship or
not.

The provisions of this section 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; or :

(b) The discharge results from unintentional damage to the ship or its equipment, and
all reasonable precautions have been taken after the occurrence of the damage or the

discovery of the discharge for the purpose of preventing or minimizing the discharge, unless

4


* the master, owner, or agent of the ship acted either with intent to cause damage, or recklessly
and with knowledge that damage would probably result; or

(c) The discharge is for the purpose of combating specific pollution incidents in order
to minimize the damage from pollution.

For this purpose, the Department shall promulgate rules and regulations for the
purpose of giving effect to the immediately preceding paragraph as regards its application in
‘general or with respect to particular classes of ships, or in jeans particular descriptions of

* harmful substances, oF tothe disposal or discharge thereof in prescribed circumstances, or in
relation to particular areas of the sea in consonance with the requirements of the Convention.

SECTION 12. Immediate Report of Discharges of Harmful Substances. - any actual

_ oF probable discharge of any harmful substance occurs from any Philippine ship into any part
of the sea of atmosphere, the master shall immediately report the incident to the nearest
affected coastal State and to the Department, ,

If any actual or probable discharge of any harmful substance occurs from any
Philippine ship oF foreign-flagged ship while itis operating in Philippine waters, the master
of the ship shall immediately report the occurrence to the PCG. ‘The PCG shall immediately
inform any affected coastal State. If @ foreign-flagged shiip:is involved, the PCG shall

~ immediately inform the flag State of the ship.

If the master of the ship fails to report the occurrence, or the discharge occurs in
circumstances where the ship has been abandoned, the owner, charterer, manager and

operator of the ship or an agent of the owner, charterer, manager and operator of the ship

shall without delay, report the occurrences to the Department.

15


SECTION 13. Record Books . - Philippine ships and all ships within Philippine
waters shall maintain on board record books in the English language, whether as part of their
official log-book or not. For this purpose:

(a) Every oil tanker which is 150 gross tonnage or more and every ship, other than an

+ oil tanker which is 400 gross tonnage or more shall be provided with, and shall be required to

. Maintain an Oi! Report Book Part | for Machinery Space Operations in accordance with the
requirements of the Convention;

(b) Every oil tanker which is 150 gross tonnage or more shall be provided with, and
shall be required to maintain, an Oil Record Book Part II for Cargo/Ballast Operations in
accordance with the requirements of the Convention; and

(©) Every chemical tanker shall be provided with, and shall be required to maintain, @
Cargo Record Book in accordance with the requirements of the Convention.

(d) Every ship 400 gross tonnage or more and every ship which is certified to carry 15
persons or more shall be provided with, and shall be required to maintain, a Garbage Record

__ Book in accordance with the requirements of the Convention.

SECTION 14. Reception Facilities. ~ Port authorities shall ensure that public and
private ports, and terminal ports in the Philippines shall be appropriately and adequately
provided with facilities to meet the needs of the ship using said facilities without causing
such ship undue delay for the reception of its oily residues, oily mixtures, dirty ballast, tank
washing water, noxious liquid substances, sewage, garbage, ozone depleting substances and
equipment containing such substances and exhaust gas cleaning in consonance with the Act
and requirements of the convention.

For this purpose, port authorities shall (a) determine and establish the most effective

and efficient means for meeting the internationally accepted requirements with respect to


reception facilities in public and private ports; (b) formulate and implement integrated waste
+ management system for the use and operation of reception and treatment facilities, and (¢)
coordinate with DENR and concerned LGUs on the proper haridling and disposal of wastes
* collected at ports.
Pons’ authorities may accredit or enter into agreements with private entities in
relation to the establishment and operation of reception and treatment facilities.
SECTION 15. Use of Reception Facilities. — All ships entering or availing the
services of ports, terminal and repair ports shall use reception facilities established pursuant
to the immediately preceding Section, subject to the integrated waste management system 10

be esta

lished by port authorities.
SECTION 16. Denial of Entry. ~ A foreign-flagged ship believed to have probably
__ Violated or would violate the requirements of this Act or rules and regulations promulgated

therefor, may be denied entry to any port in the Philippines.

JON 17. 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 6 of this Act, except those imposed for violations of administrative regulations under
Sections 28, 29 and 30, 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’s certificates;

(@) there are reasonable or probable grounds to believe that:

, |. The ship incurred a pollution cost liability under Section 34;

17


2. The ship violated any of the requirements of this Act or rules and
regulations promulgated therefore; and
. 3. The ship caused harm or damage or exhibited a reasonable environmental

threat to the marine environment.

A ship detained under paragraph (4) of this section may be released after the owner of
the ship posts with the Marine Pollution Adjudication Board an adequate cash bond,
insurance guaranty, or protection indemnity guaranty. or a combination thereof, as approved
by the Board, to satisfy the liability of the owner, master or agent of the ship under this Act.

CHAPTER 6. ~ FINES, PENALTIES AND LIABILITIES

SE

“TION 18. Imposition of Fines, Penalties and Liabilities. - Except for violations

of admini:

rative regulations under Sections 28, 29 and 30, all fines and penalties imposed in
accordance with this Chapter shall be imposed by the Marine Pollution Adjudication Board
{established pursuant to Section 36 of this Act.

For this purpose, an appropriate fine rating system shall be established by the said
Board, taking into consideration degree of willfulness, negligence or recalcitrance of the
master, owner or operator of the ship, the history of non-compliance and the gravity of the
damage caused by the ship to the environment.

SECTION 19, Discharge or Emission of Harmful Substances. ~ A ship which 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 a Philippine Ship, unless the discharge or emission is committed and
appropriately fined in other States" jurisdiction:

1. For oil or oily mixture under paragraphs (a) and (b) of Section 11 of this Act - not

exceedin|

‘en Million Pesos (Php 10,000,000.00);


2. For noxious liquid substances or harmful substances in packaged form under
paragraphs (c) and (d) of Section 11 herein - not exceeding Ten Million Pesos (Php
10,000,000.00);

3. For sewage or garbage under paragraphs (¢) and (f) of Section 11 herein - not
exceeding Two Million Pesos (Php 2,000,000.00); and

4. For other harmful substances as defined in this Act - not exceeding Ten Million

Pesos (Php 10,000,000.00).

(b) _ In the case of a foreign-flagged Ship:

1. For oil or oily mixture under paragraphs (a) and (b) of Section 11 of this Act - not
exceeding Five Million US Dollars (USS 5,000,000.00), or its equivalent in Philippine pesos ;

For noxious liquid substances or harmful substances in packaged form under

paragraphs (¢) and (d) of Section 11 herein - Three Million US Dollars (US$3,000,000.00) or
its equivalent in Philippine pesos ; and

3. For sewage or garbage under paragraphs (¢) and () of Section 11: herein = not

* wbetilbg One Million US. Dollars (US$ 1,000,000.00) or its equivalent in Philippine pesos.

4. For other harmful substances as defined in this Act - not exceeding Five Million
US Dollars (US$ 5,000,000.00), or its equivalent in Philippine pesos.

‘Any person directly or negligently responsible for the discharge or emission into
Philippine waters or atmosphere shall be liable to a fine of not exceeding Five Million Pesos
(Php 5,000,000.00) and, whenever appropriate, to the costs af any measure reasonably taken
in removing or eliminating the discharged or emitted substances.

SECTION 20. Failure to Maintain Record Books. ~ (a) A ship which operates or is

allowed to operate without record books required under Section 13 of this Act or fails to

19


maintain on board said records books, shall be liable to a fine not exceeding Two Hundred
‘Thousand Pesos (Php200,000.00).

(b) Any person who fails to comply the with the provisions of Section 13 of this Act
or the rules and regulations promulgated therefor shall be liable to a fine not exceeding Two
Hundred Thousand Pesos (Php200,000.00).

(©) Any person who makes any false or misleading entry in said record books carried
or kept under Section 15 shall be liable to a fine not exceeding Five Hundred Thousand Pesos
(Php500,000.00).

SECTION 21. Refusal 10 Use Reception Facilities. ~ A ship which unjustifiably

refuses 0 use reception facilities provided for the disposal of garbage and oil shall be liable

for a fine not exceeding Five Hundred Thousand Pesos (Php500,000.00): Provided, That

disposal of oil in reception facilities shall be required upon determination by the PCG.

SECTION 22. Absence of and Non-compliance of the Ship with Shipboard Garbage
Management. If a ship operates without a shipboard garbage management plan as required
under the Convention or if one has been provided and it fails to be operated in aceordance

* with such plan, , it shall be liable for a fine of not exceeding Two Hundred Thousand Pesos

(Php200,000.00).

SECTION 23. Unauthorized Change in the Ship's Structure, Equipment, Fittings,
Arrangements and Materials. Unless authorized under this law or the Convention, any ship
owner who made, or caused the making of changes in the structure, equipment, fittings,
arrangements and materials of the ship without the approval of MARINA shall be punished
by a fine of not exceeding One Hundred Thousand Pesos (Php 100,000.00).

SECTION 24. Operating without the required certification. - A ship which is

operated or is allowed to operate without the certification required pursuant to this Act or the

20


Convention shall be detained and shall be liable to a fine not exceeding Five Hundred
* Thousand Pesos (Php500,000.00).

SECTION 25. Violation of Detention Order. — A ship which proceeds to sea in
Violation of a detention order made pursuant to Seetion 17 hereof, shall be liable to the
following fines:

(a) Philippine ship. - not exceeding One million Pesos (Php1,000,000.00).

(b) Foreign-flagged ship - not exceeding Five Million US Dollars (US$5,000,000.00),
or its equivalent in Philippine pesos. ,

SECTION 26. Continuing Violation. Where a ship continuously discharges or emits
harmful substances in violation of Section 11 of this Act, it shall be held liable for the fines
stipulated in Section 19 and shall be furthermore liable to an additional fine of Fifty

. Thousand Pesos (P50,000.00) for every day or part thereof during which the offence

continues,

“TION 27. Obstruction of Investigation. Any person who shall, without justifiable
reason, obstruct or hamper the conduct of an investigation of a violation of this Act, shall be
. liable to pay a fine not exceeding One Hundred Thousand Pesos (P100,000.00).

SECTION 28. Neglect of Duty. Any government official or employee charged 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 his reinstatement.
Neglect of duty shall be prosecuted in accordance with existing laws.

SECTION 29. Connivance in Violation of this Act. Any government official or
employee charged with the responsibility of enforcing and/or implementing any provision of

this Act who connives with the shipowner, master or operator 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 the any such person found to be liable
for the fine imposed pursuant to this Act.

SECTION 30. Violations of Administrative Regulations. (8) Any person who commits
or omits acts in violation of rules and regulations issued by:concemned agencies pursuant 10
this Act, unless the violations are otherwise covered under Sections 19 10 29 hereof, shall be
liable to the following fines:

(a) First violation - a fine not to exceed One Hundred Thousand Pesos
(Php100,000,00);

(b) Second violation - a fine more than One Hundred Thousand Pesos (P100,000) but
not to exceed Two Hundred Thousand Pesos (P200,000.00);

: (©) Third violation - a fine more thari Two Hundred Thousand Pesos (P200,000) but
not to exceed One Million Pesos (P1,000,000,00) and suspension of vessel safety certificate
for six (6) months to one (1) year.

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 or regulations of the Department issued pursuant to this Act. All
administrative fines imposed by concerned agency pursuant to this Act shall accrue to the
Marine Environmental Management Fund.

SECTION 31. Intentional Violation. In case the discharge or emission of harmful
substances or toxie pollutants identified pursuant to Republic Act No. 6969 otherwise known

as the “ Toxic Substances and Hazardous and Nuclear Wastes Control Act of 1990.”, in
toxic amounts o in violation of Seetion 11 of this Act is deliberate and willful, the offender,

without prejudice to the civil liability of the offender, shall be liable to the following fines or


imprisonment of not less than six (6) years but not more than twelve (12) years, or both, at
the discretion of the court:

(a) Philippine Ship — not less than Ten Thousand Pesos’ (Php10,000.00) but not than

* ‘Twenty Million Pesos (Php20,000,000.00); and .

(b) Foreign-flagged Ship. not less than Ten Thousand US Dollars (USS10,000.00)
but not more than Eight Million US Dollars (US$ 8,000,000.00), or its equivalent in
Philippine Pesos.

SECTION 32. Automatic Adjustment of Penalties and Fines, The fines prescribed in
this Act shall be automatically increased by ten per cent (10%) every three (3) years from the
effectivity of this Act. ,

SECTION 33. Clean-Up Operations. In the event harmful substances under Section
11 of this Act are discharged or emitted from any ship into the Philippine waters or into any
part of the sea or waters outside Philippine waters but such substances subsequently flowed

~ or drifted into Philippine waters, or into the Philippine atmosphere, the PCG, in coordination
with other agencies concerned, shall be responsible for the clean up 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 necessary initial clean up and containment shall be made by the owner of the
Ship which discharged or caused the discharge of such harmful substances.

SECTION 34. Cost Liability for the Discharge or Emission of Harmful Substances. -
The owner of the ship liable for the discharge of harmful substances under Section 33 hereof
shall be primarily responsible to pay for the following pollution costs:

(a) reasonable expenses that PCG and other agencies concerned may reasonably

undertake or has undertaken pursuant to the immediately preceding Section;


(b) environmental damages and/or other reasonable measures taken for environmental
rehabilitation.

In case the responsibility for the above pollution cost liability falls on to two (2) or

more ships, and the liability of each of the owners thereof cannot be reasonably distinguished
trom that of the other, each of the owners shall be 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 govern 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 Fund or to such other funds

*_ where said disbursements were sourced.

SECTION. 35. Informer's Reward to Persons Instrumental in the Discovery of
Violations of this Act. - Any person, except. Department, DENR, LGU, MARINA, PCG or
port authority official or employee, or his relative within the sixth degree of consanguinity,
who voluntarily gives definite and sworn information, not yet in the possession of the
MARINA or PCG leading to the discovery of the violation of the Act, thereby resulting in the
imposition of fines and/or fees or conviction of the guilty party and/or the imposition of any
of the fine or penalty, shall be rewarded in a sum equivalent to ten percent (10%) of the fines
imposed and/or fees recovered.

CHAPTER 7. — MARINE POLLUTION ADJUDICATION BOARD
SECTION 36. Marine Pollution Adjudication Board, - There is hereby constituted a

Marine Pollution Adjudication Board (MPAB) under the Office of the Secretary vested with

quasi-judicial powers which Board shall have sole and exclusive jurisdiction over all marine

24


pollution cases as provided for in Section 18 of this Act. The Board shall be composed of the
* following members:

(a) The Secretary of the Department, or his/her duly authorized permanent
representative, as Chairman;

(b) The Secretary of the DENR, or his/her duly authorized permanent representative;

(©) The Administrator of MARINA, or hissher duly authorized permanent
representative:

(@ The Commandant of the PCG, or histher duly authorized permanent
representative; ,

(6) A permanent representative endorsed by Association of Masters and Mates;

(8 A permanent representative endorsed by the Marine Engineers Association; and,

(g) A member of the Philippine Bar duly endorsed by the Integrated Bar of the

Philippines (fBP)..

Wheii necessary and practicable, the Department may constitute MPAB for Visayas
and/or Mindanao which shall be composed of the same members set forth inthe immediately
preceding paragraph. In which case, MPAB established pursuant tothe first paragraph hereof
shall be the MPAB for Luzon or both for Luzon and Visayas or Mindanao, as the case may
be. ‘The members of the MPAB for Luzon, Visayas or Mindanao shall enjoy appropriate
honoraria.

The central office of the PCG shall serve as the Secretariat of the MPAB or Central
MPAB. The proper district or cluster of district offices of the PCG shall be the Secretariat of

r the MPAB for Visayas or Mindanao. ,
SECTION 37. Powers and Functions. ‘The MPAB shall have the following powers

and functions:

25


(a) To hear and decide cases falling under their jurisdiction pursuant to Section 18 of
this Act;

(b) To conduct hearings on all matters within its jurisdiction, proceed to hear and
determine the disputes in the absence of any party thereto wlio has been summoned or served
with notice to appear, conduct its proceedings or any part thereof in public or in private,
adjourn its hearings at any time and place, refer technical matters or accounts to an expert and
to accept his/her report 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, give all such directions as it may deem
necessary or expedient in the determination of the dispute before it and dismiss the dispute as
part thereof, where it is trivial or where further proceedings by the Commission are not
necessary or desirable;

(©) To promulgate and adopt its own rules on pleading, practice and in the
adjudication of pollution cases coming from ship. It shall not be bound by technical rules of
procedure and evidence but shall proceed to hear and decide all cases, disputes or
controversies, 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;

(d) To summon witnesses, administer oaths, take testimony, require submission of

reports, compel the production of books and documents and answers to interrogatories and
issue subpoena ad testificandum, and subpoena duces tecum and to enforce its writs through
sheriffs or other duly deputized officers; ,

(©) To punish direct and indirect contempt in the same manner and subject to the

same penalties as provided in the Rules of Court;

26


() To enjoin any or all acts involving or

sing from any case pending 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) To issue orders and decisions to compel compliance with the provisions of this
Act and the Convention and any issuances or decisions of the MPAB;

(h) To deputize in writing or request assistance of appropriate government agencies or

instrumentalities for the purpose of enforcing its decisions; and

(i) To issue an ex parte order directing the discontinuance of discharge of substances
that cause marine pollution, or the temporary suspension or cessation of operation of the
equipment, project or activity and other acts causing environmental degradation, generating
such pollutants or wastes, without the necessity of a previous public hearing: Provided, That

__ such 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 the same is modified or lifted by the MPAB.;

Whenever constituted, the MPAB for Visayas or Mindanao shall perform the
functions herein; Provided, however, That rules and regulations promulgated under paragraph
(c) hereof shall be uniform, as far as practicable, in all MPABs.

SECTION 38. Finality of Determination. - Any case or controversy before the MPAB
shall be decided by majority of all its members within thirty (30) days after itis submitted for
resolution. Only one motion for reconsideration shall be allowed. Any order, decision, or
ruling shall be final and executory. :

SECTION 39. Appeals. - Any decision, order or judgment of MPAB or MPAB for

Visayas or Mindanao may be appealed to the Court of Appeals by certiorari within 15 days

27


from receipt of a copy thereof: Provided, finally, That cease and desist orders shall be
immediately executory.
CHAPTER 7. - MISCELLANEOUS PROVISIONS

SECTION 40. Ship Pollution Prevention Program. The Department, in coordination
with concerned agencies and stakeholders, ‘shall establish a Prevention of Ship Pollution
Program to enhance government implementation of this Act particularly on (a) awareness
building and capacity building; (b) databanking; (c) development of reception facilities; (d)
marine environment protection; and (¢) research. :

SECTION 41. Implementing Rules and Regulations. The Department and the
concerned agencies, in coordination with the Committees on Environment and Ecology of the
Senate and the House of Representatives, respectively, shall promulgate the implementing
tules and regulations for this Act, within one (1) year after thé enactment of this Act. The

* proposed implementing rules and regulations shall be subjected to public consultations with
affected sectors. The Department shall ensure that functiong 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.

SECTION 42. Joint Congressional Oversight Committee. - There is hereby created a

Joint Congressional Oversight Committee to monitor the implementation of this Act and to

« review the implementing rules and regulations promulgated by the Department. The

Committee shall be composed of five (5) Senators and five (5) Representatives to be


appointed by the Senate President and the Speaker of the House of Representatives,
+ respectively. The Oversight Committee shall be co-chaired by the Chairpersons of the

Committee on Environment of the Senate and the Committee on Ecology of the House of
Representatives.

‘The Joint Congressional Oversight Committee shall exist for a period not exceeding
five (5) years from the effectivity of this Act.

SECTION 43. Marine Environmental Management Funid (MEMF). - There is hereby

* established a Marine Environmental Management Fund to be administered by the PCG. The

Oil Polhitien Mansgeaient Fund (OPMF) created under Section 22 of Republic Act No. 9483
is hereby abolished. All balances, including the liabilities incurred by the OPMF shall be
transferred to the MEMP. The MEME shall be sourced from the following:

a. Fees, charges, and fines imposed pursuant to this Act and Republic Act No. 9483,
otherwise known as “The Oil Pollution Compensation Act”;

b. Donations, endowments, grants and contributions; and

¢. Amounts specifically appropriated for MEMF under the Annual Genera
Appropriations Act.

‘The MEMF shall be utilized for the following activities: .

(a) Containment, removal, and clean-up operations ‘of the PCG in all oil pollution
cases; and”

(b) Enforcement and monitoring activities of MARINA, 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 PCG

in all cases of pollution from ships: Provided, further, That in no case shall the MEMF be

29


used to fund personal services expenditures except for the conpeasecon of those involved in
_ clean-up operations.

SECTION 44. Appropriations. The amount necessary to carry out the provisions of
this Act shall be charged against the current year’s appropriation 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.

SECTION 45. Transitory Provisions. This Act shall apply to all ships which ply
international routes immediately upon the effectivity of this Act.

‘The Department, through its attached agencies, shall formulate a transitory
implementation plan for the phasing-in of its operations under this Act, including a schedule
for the application and enforcement of this Act and of the regulations issued pursuant to this

"Act, on domestic ships or ships which do not ply international shipping routes.
, SECTION 46. Separability Clause. In the event that any provision of this Act is
declared unconstitutional, the validity of the remainder shall not be affected thereby.

SECTION 47. Repealing Clause. The fifth paragraph of Section 28 of Republic Act
No. 9275 and Section 22 of the Republic Act No, 9483 are hereby repealed. Republic Act No.
6969, Presidential Decree Nos. 979, and 601 are hereby amended and modified accordingly.
All laws, decrees, rules and regulations, and executive orders contrary to or inconsistent with
this Act are hereby repealed or modified accordingly.

SECTION. 48. Effectivity Clause. This Act shall take effect fifteen (15) days from the
date of its publication in the Official Gazette or in at least two (2) newspapers of general

+ circulation,

Approved.

30