REVIEW

Volume V Number 4 A PUBLICATION OF THE MARITIME LEAGUE October-December 1998 - WAl(TSILA.. NSD Wilr1filla NSIJ l'hillpj,illf!:;, Inc . ~~-- -

WMsil~ NSD brings to the market a global engineering corporation with the widest range of high/medium/low speed system in the industry which allows the design team to choose the most efficient combination of power/propeller design and operational flexibility. Wartsila NSD offers a complete package of Diesel Engine Propulsion System called PROPAC. The key to an optimal propulsion system is a single integrated propulsion package that is system tailored to your specific requirement.

1ntegr11tMI Propu/11/on Sy11t11m (PROPAC)

MN Malamawi, a fast craft catamaran of Bssllsn Lines in with a maximum capacity of 300 passengers, consists of 2 units 12VUD23 with a total output of 1.94 MW and cruising at 28 knots maximum speed.

Mfr Makisig, 4980 DWT Product Tanker of Herms Shipping & Transport has a PROPAC installa­ tion with a single unit of 6R32 Main Engine with an output of 2.46 MW.

Superferry 1 of WG&A with a PROPAC installation consists of 2 units 8R46 Main Engine with a total output of 14.50 MW and 2 units generating set with a total capacity of 3.28MW.

Meanwhile, Superferry 8 has a PROPAC installation consisting of 2 units 9R46 Main Engine with a combined output of 16 MW.

Wartsllli NSD , Inc.

No. 6 Diode Street, Light Industry and Science Park Tel. No.: +63-49-543-0382 Bo. Diezmo, Cabuyao, Laguna +63-2-843-7301 Philippines Fax No.: +63-49-543-0381 +63-2-843-7305 ••• CONTENTS ••• The Maritime League Chainnan's Page ...... 5, 28

CHAIRMAN E MER111JS Lex Maritima by P. V. Verge/ de Dios, Jr...... 7 Bon. Fld~l V. Ramos H ONORARY CHAIRMAN Cover Story ...... 8 Not the answer to true global compellllveneu by Christopher C Ramo! ...... 8 Hon. Vlc~nt~ C- ~,J>JX.. M,;.). C HAIR."''AN AN Maritime Issues ...... 9 Commo. Carlos Mi (R~t.) ~ Forum ...... 9 BoARD oF TR~ Marmme /:uuu by C. L Agustin ...... 9 Re p . Pbuid ~l ~-~~ ~ News Oe\'eloprnents ...... 12 Edeardo Q. AbHan"'lli ~ Former reg ronal leaders recommend the establu hmenr ofnon-governmenr forum wrth a Vlcmte F. Aldanese, J r. focus on Asra-Pacrfic ...... I:! Capt. Vlc rnt~ J. Brtllantes PN (Rd .) Henninlo S. Es&Qtrra Interisland Shipping ...... 12 Edcar S. Go Super-Cats and Sea Angels merge by Roge Dula ...... I:! Doris Teresa ~ - Ho SuperFerry.r get.r ISM OK by Roge Dula ...... 13 Malayan cleans up orly waste by Andy G. Daltsay ...... 13 Philip S. Thaz.on Carlos C. Sa lin a.~ Manning ...... 14 Rep. Vicente A. Sandoval Scrapprng Panama :v Controversial TCC by Andy G. Dali.vay ...... 14 VAdm. F.Aiuardo Ma. R. Santos AFP Ho.vpltalfor OFW.v by Myra V. Lopez ...... 15 Abo;eb Tra rn.r Cadets by Roge Dula ...... 16

Editorial Board Slupbuilding ...... 17 Presbrtero: Advancedjloatrng research lab ...... 17 C HAIJU..-IAN Commo. Carlos L . .\fiL~ tln AFP (Ret.) Ports ...... 19 MEMBERS Cargo throughput vtr/1 down rn QJ ...... 19 Edcar S. Go PHIU'ESTA urger Pasrg Rrver dredgrng ...... 19 Doris Ttresal\L Ho ()>. erseas ...... 20 Dante La Jimenez ISM Ramrficatrons by P. V. Verge/ de Dro r. Jr...... ;!f) Ernest Villareal Frxrng for /S!If, STCW by Andy G. Dalrsay ...... 21

In the League ...... 22 Editorial Staff Regular marrtrrne forum set ...... :!:! Phantom lUI(bOO t by Andy G. Dalrsay ...... 2:! E DITOR Carlos B. Santos Profile Secreta!') \1ccntc C. Rt\ era. Jr...... 24 AssOCIATE EorroR Val V. VIcente Manttme Ca lendar ...... 25 STAFFMEMBERS The Mariti me League Membership Application Form ...... 26 Andy Dallsay Myra Lopez Word from FVR ...... 27 Mlrasoi Nc Special Announcements ...... 30 Arthur U. Salaean

L AYOliT D ESIGN T YPESETI'ING & ~ The opinions expressed by the writers John Paul D. Arutin --==--==--::-.::::- do not necessarily reflect those of The Maritime League. ...~ ...... E,~~ - :. -- · ~..,. ==-~ ii i ---- :-~- ~ - --::: ..:....~ . ~=- l'"-- - · =-~---.r------· - ---·-·---'-· ---__~---_____..·--- .. ___ MARITIME ·• c--.- - - REVIEW The MonJ!IIev~cw A scene rn the port, deprctrng the port/ : ;:=-- • Rm 201 Manne~ Conter shrpprng rnterface and our theme for thu ~ Aduona C« Arzobi%po StreCI lnhnlln'<. MANia I OO'l issue, cabotage. Tel/Fax (632) 527-9()49 ....~ '* ' :r=·- ·· ''l.l.::: -- E-111111 MaMBne_~H('QNI)com Photo courtesy of/CTSI, Manrla, =~-=- SHIPPING SCHEDULE S ULPICIO LINES Departures from

CEBU Princess of the Universe Tuesday 10 AM Friday 8 PM Princess of Paradise Wednesday 10 AM Princess of the World Sunday 10 AM NASI PIT Princess of Paradise (via ) Wednesday 10 AM CAGAYAN Princess of Paradise (via Cebu/Surlgao/) Wednesday 10 AM (direct to Cagayan) Saturday 8 PM /ZAMBOANGAIDADIANGAS Princess of the PsclfiC Tuesday 10 AM CATBALOGANITACLOBAN Taclobsn Princess Wednesday 10 AM TACLOBAN Tsclobsn Princess (direct to Tacloban) Sunday 9 AM MASBATEICALUBIAN/BAYBAY MAASIN/SURIGAO Pslawan Princess Wednesday 8 PM PUERTO PRINCESA Iloilo Princess Thursday 10 AM Sunday 2 PM CEBU/DAVAO/DADIANGAS Princess of New Unity Thursday 4 PM ESTANCIAIILOILO/ZAMBOANGAICOTABATO Princess of the Ocean Saturday 3 PM SURIGAO/DAVAO Princess of the World (via Cebu) Sunday 10 AM /MASBATEICEBU Cebu Princess Friday 10 AM /DIPOLOG/ Dipolog Princess Wednesday 12 NN DUMAGUETEIOZAMIS Princess of the Carribsan Wednesday 12 NN

S SULPICIO LINES, INC.

BINONDO: 415 San Fernando St., Binondo, Manila Tel. Nos. 241-9701/07.241-9801/05 Fax:242-2898 NIANILA TERMINAL: Pier 12, North Harbor, Manila Tel. Nos. 252-6271 to 75 MAR RIETVIIEWME · • • CHAIRMAN's PAGE • • ·

~ : when we shift to monthly, just in case. in : the year 2000. : We are targeting shipowners, mamung : agents and ship managers for the subscrip­ Fulfilling a : uon campaign . .til The Spratlys and Scarborough commitment : Shoal. There is a joint effort among the By C. L. Ag11stin : UK Ministry of Defense. the AFP : through the Philippine Navy and the n fulfillment of o~r commitment agement. : Marine Technology Foundation for a to drum up more 1nterest among Ernest has come out with many pro­ : series of seminars on defense equipment I our members in di scussing rel- posals. p

-....

ASIAN TERMINALS INCORPORAI FD Mucllc de S.tn fra111.: i'w \t . \ outh Harbor Port Arc;\, 1\.tansla. Phllappmes Tel: (632) sr so-s t w 86 rax: (632) 52' 24 67 E-mail Addrcs~: au~t'epic..net Internet: hrtp://www.cplc.net/ a.\lanterminals/

SOUTH HARBOR SOUTH HARBOR CO'\TAINER TERMINAl MULTI-PURPOSE TERMINAL Tc.. 612 ';2 6'\ I 0 lei: (632) 527-2469 Fax: (632) 527-5797 Fax: (632) 527-4419

INLAND CLEARANCE DEPOT MARIVELES GRAIN TERMINAL & LOGISTICS CENTER Baseco Compound Canlubang Cor. South Expressway Mariveles, Baraan Inrcrchange, Bgy. Paciano Rizal, Tel: (047) 935-4930 Calamba Laguna Fax: (047) 935-4338 Tel: (092) 244-4612 E-mail Address: [email protected] Fax: (092) 244-4615 E-mai l Address: [email protected] M ARRIETVIEI\M~ E . • • LEX MAlun:MA •• . ~~~======STCW '95 Convention amendments. If that happens. our foreign exchange position Maritime Policy would suffer tremendously considering that seamen's wages is a maJor source of our fore1gn exchange income. Directions Mr Tsao also suggested that we could be By A If)~ P. V Verge/ de Dios, Jr a regtonal center for sh1pmanagement We can excel •n th1s area \\'e ha,·e competent have a vivid memory of the 1997 all means bu) ships. If a country does not ship managers. As the world IS getting PISA Congress where one of the have enough capital but has the human smaller through impro,·ed communiC

HANJIN ENGINEERING & CONSTRUCTION CO ., LTD. 2 fl oor l '.urm·dl.1 <:ondomuuum I. Lcga ~ p• \:or. I fcrrcra Sts .. Legaspi \'ill agc. Mabri City ld '\.c" . XIR-270(, XI R nc,7/ RIR-CJ271 • htx :-.. o: RIR-91(16

ACTIVITIES:

ARCHITECTURAL WORKS CIVIL W O RKS HARBORS & MARINES * AIRPORTS * HIGHWAYS & BRIDGES * DOCKS * COMMERCIAL BUILDINGS * AIRFIELDS * BREAKWATER * SCHOOLS * SUBWAYS & RAILROADS * DREDGING & RECLAMATIONS * HOTELS & HOSPITALS * DAMS & CANALS * APARTMENT & H OUSING * TUNNELLING W ORKS * MILITARY FA C ILITIES * WATER& SEWERAGETREATMENT * SPORTS FACILITIES OTHER W O RKS POWER PROJECTS * LAND DEVELOPMENTS * TRANSMISSION LINES * PLANTS& INDUSTRIAL FA CILITIES * SUBSTATIONS * GAS PIPELINES * POW tR PLANTS M ARITIME REVIEW • • • COVER STORY •• •

• Government SU(>port. De' eloped Not the answer to true : countnes such as Japan and Smgaporc ha' c : supported their respective sh1ppmg tndus­ : tr1es g1ven the role they play in enhanctng global competitiveness · trade. The support came in the fom1 oflaws. : incentives, cheap funds, easy access to Bv Christopher C. Ramos funds/credit and equity, streamlines scn·iccs Legal Aspects • Cabotage scnes to protect public rights. : and cabotage. Liberalization of cabotage \\Ould ad­ The tssuc of'' hether or not "c ltbeml­ By maintmnlllg control over shtpping : versely affect the country's: tte caboltlge has resurfaced "tth a nc'" activities. cabotage enubles the state to pro­ • Money SUflfll)·. Earnings from tmns­ found tntetiStl). But ha\e tlungs changed tect public nghts "luch nta) be affected or : shipments/coastal trade "iII end up outstde ~•nee prenous go,·cmmcnts shelved calls '1olated b) actions of slupo" ners or thetr for eJsmg the cabotage lcm ·> employees m the course of opcmuons of the count!! t.c. 111 foreign hncs hand5 Sec 'J02 of the Tariff and Customs Code their vessels. espectall) tn the case of safety. • Forcx sup pi). Foreign lines" ould more states tlull "the right to engage in the Philip­ Economic Aspects likcl) charge US dollar or. if not charge pre­ pine CoaSt\\ isc Trade is Limited to vessels car­ nuum in pesos to cover forex fluctuations. The liberalitatton of cabotage will have rying a certtficme of Philippine registry." • lower government 1-evenue. Foretgn negativeellccts on the Philippine ccononw. Sec 1009 of the same code a1IO\\S a single Lines arc taxed less t11an localliJ1cs. the shippmg utdustn. the allied sen icc i~­ forctgn \CSSCI to make multiple calls at SC\­ dustl} dependent on shtpptng u l!aporc s transportatton of goods and people O\Crthe 5 (i perc.:nt .mel Jap.ut·!. liheralization. " development of the arclupelago Tlus ts even more tmponant 2 I ~ro;;nt Filipino seamen There are 27.000 111 tunes of cris1s \\hen the natton's 11cet • Operating cost. Foreign lines have ac­ new seafaring graduates each vcar and can be relied on to provide the needed scr­ cess to cheaper fuel. each of them must undergo shipboard ' tees Ahen control of interisland navtga­ • Insurance C0\1. Fore1gn lines pay lower training on local ships. tton means econonuc control and political UlSUI"clllCe prem1ums compared to local lines. • Allied seniccs. Also affected arc the dotlltll

be lowered. Foreign shipping lines charge ex­ are actually paying. porters a rate that covers the mo\'ements of Shippers/e:-.:porters arc encouraged to tnms­ Maritime e:-.'Portcr's cargoes from the port of origin, . act directly with local lines to avoid tltis. tnmsshippcd via Mnnila to tl1eir fmaJ port of : Cabotage is necessary for the count!') • destim·ltion abroad. both for security and economic reasons. In­ ISSUeS The shippers/exporters do not talk to donesia has lifted cabotage and as a result the domestic shipping lines. They only of this. killed its domestic fleet with for­ hy C. L Agusnn talk to the foreign shipping lines as the eign ships C

instaJI a VTS radar on Corregidor and missions trying to help in the marketing channel traffic will immediately runt that later failed to make it operational? (3) effort), will tell us that based on existing such a service is absolutely necessary. The What subsequent attempts have been shipping traffic, VTS is not absolutely Japan Maritime Safety Agency (JMSA) made, if any, to establish a VTS system necessary for Manila Bay. Why not? does so for Tokyo Bay (which likewise I in Manila Bay? (4) Where should we pro­ Vessel Traffic Service, originally a ser­ have seen in 1984), and here we can glean ceed from here? Maybe this explanation vice devised and encouraged by the Inter­ the intricate interface between VTS, Traf­ Will once and for all convince the DOTC national Assoc1a11on of Lighthouse Au­ fic Separation Scheme (TSS) and patrol Man time Cluster, the Shipping and Ports thorities (!ALA. of which our representa­ craft traflii: enforcement. In October 1997 Advisory Council, the Multi-sectoral Task tive for the Philippines is the Philippine I witnessed traffic in the vicinity of Force on Maritime Development, or Coast Guard) is primarily advisory in Hiroshima in the Seto Inland Sea more whatever other bodies there are, to have nature. It is, however recognized and than twice the traffic in Manila Bay, and an honest to goodness decision on the VTS likewise encouraged by the Interna­ there is no VTS norTSS. I have seen simi­ issue. and perhaps eventually the DOTC, tional Maritime Organization (IMO) lar situations on the Baltic Sea, where. Malacanang or even Congress can act since its safet) contribution, given the on selective basis, VTS is available only accol'dingly. many o'ers1ghts and professional incom­ when entering certain busy port jurisdic­ (1) Is Vessel Traffic Service (VTS) petence of man) seafarers, is quite obvi­ tions. Close to our area, Hong Kong and absolutely necessary? ous. Some go,·ernment maritime admin­ Singapore arc good examples, with traf­ istrations require the establishment of fic more than I0 times that of Manila port, It depends: the legal requirement to VfS. an unpOSIIIOn generally made by and their marine departments arc correctly 1mpose it depends upon the Administra­ their leg1slators upon the maritime safety required to provide VfS serv1ces. The uon. which has so far flip flopped because authon~ or the port authority. However. model I would hke to see emulated in of man) factors. the unpos1t1on IS based on need. and em­ Manila is that of the Port of Las Pal mas Mantime traffic experts. except those pmcal qualilicauons are specifically in­ (in the Canal) Islands. \\htch I visited in hired by equipment manufacturers. con­ dicated. 1996), because of the traffic density and sultants looking for development projects The US Coast Guard operates a VTS generall) sumlar port configuration. and VTS systems consolidators (includ­ (which I had visited) in the Galveston­ Obdoush \\e must make our own de­ ing their go\'ernmcnts and diplomatic Houston area . a cursory look at their river cisiOns based on our O\\n inherent circum-

In the Jh1ltmg woters of the Philippine shipping industry, William, Gothong & Aboitiz (WG&A) has created quite o stir by bring1ng people and the~r businesses together.

Across the archipelago, WG&A journeys to build networks-enabling people to reach new doslinotions and create business opportunities that lead to notional progress. And lo corry through this queJt, the company conhnueJ to transcend borders with in well·tromed crew whose experience ond expert1se mo1nto1n the world·closs technical, safety, and quality standards of its fleet.

For as long os the nolion grows, so w1ll WG&A's success continue to Aow.

WG&A Sending waves in all directions. PIIILII'PI'IF~ W11lmm. Ciochon11 & Abo1111. Inc Web>ne. hnpJ/www.wg;buperfcrry.,om l!·mn1l : wgasupcrfcrry®•kymel.ncl MARITIME REVIEW · • • MARITIME IssuEs • • ·

stances. VTS may not be an absolute ne­ MARINA Administrator Philip S. : mentation in relation to an electronic data cessity in Manila Bay, but given the pro­ Tuazon, for lack of manpower, expertise : interchange (EDI) network project, with pensity of seafarers to ignore traffic rules and resources. However, the Maritime : charges for commercial use by port users and the chaotic behavior of fishermen and Affairs Sub-Committee of the House Com­ : (shipping companies and shippers) even­ small craft operators in Manila Bay, it mittee on Transportation and Communi­ : tually paying for the service which would certainly is a practical necessity. Had the cations (COTAC) during the 1991, 1992 : amortize the loan and keep the VTS qon­ VTS system been existing and operational . and 1993 congressional budget hearings : tinuously in operation. The Philippine in 1994, the tragic and expensive loss of : severely criticized DOTC and MARINA : Interisland Shipping Association (PISA) the MV would almost certainly · for violating the law. When then Admin­ : and the Domestic Shipowners Association have been avoided, and the investment istrator Paciencio M. Balbon attended his : (DSA) opposed the project, and it was put would have been recovered many times second annual house budget deliberations, : on hold. This made the PCG more deter­ fold, not including the prevention of hu­ he was thus forced, in spite of its limita­ : mined to pursue its plan, since shipping man lives lost. tions, to absorb the functions with some : companies would not be directly affected (2) Why did the Navy install a VTS . P50 million budgetary infusion from Con­ : by any loan. ra dar on Corregidor and later failed : gress; the Coast Guard then lost its statu­ . A lot of gther offers (more or less 10) to make it operational? · tory right to collect tonnage and other : had been made, but these were deemed to assessments and thus could not, on its : be self-serving on the part of vendors and The introduction of VTS and Traffic own, continue the VTS project. : finally the PPA Board approved a proposal Separation Schemes for Verde Island Pas­ Truly, the radar system was effective : of the PPA management to (1 ) review the sage and Manila Bay had been proposed and could have been put on line. How­ : current situation and capability; (2) study by many sectors since the MV Dona Paz ever subsequent phases ofth e project were : VTS or navigational aids needs for Ma­ and the MV Don Juan sinkings of 1987 still to take care of completing the com­ : nil a Bay, using expert advise; and (3) once and 1990. While the PCG professionally munications link between the radar sta­ : the needs are established, bid out the pro­ had not seen the theoretical need for the tion and Manila. the provision of24-hour : curement of t11e equipment required. Con­ same. given the traffic density. neverthe­ power supply (as only one 75 kva dedi­ : tacts were made with embassies of devel­ less TS Schemes were attempted and VTS cated generator set was affordable under : oped maritime countries for assistance, projects were programmed. obviously jus­ phase 1) and establishing the VTS radar : and eventually an offer of the Netherlands tified by the incidents mentioned. as well and station in Manila. These were all left : to provide aid for the study was firmed as other less celebrated events. but never unrealized. a victim of circumstances. : up. This study was completed in 1997 but funded . Given the traffic. 1 still have seri­ While a recommendation to issue a : the final review by the PCG had not been ous doubts about the practical necessity Notice to Mariners on the activation of : completed because of, again, service jeal­ of the TSS the PCG established at Verde the radar and establishment of a TSS for : ousy. However this could have been sur- Island Passage between Batangas and Manila Bay was made. these were not mounted. because the DOTC Maritime Mindoro. executed for the reason that. lacking the Cluster had insisted, in response to then When a proposal to bu) a radar system other requisite phases. it could create more Secretary Amado Lagdameo 's desire to funded by the DBM and chargeable to PN/ problems because mariners would heavily improve its functional set up, to really PCG revenue trust accounts was made b) rely on VTS advtse \\hen in fact 24-hour : delineate the various maritime functions. the Coast Guard Office of Navigational operation was definitely not forthcoming : This was later approved by the Shipping Safety (CG-10) based on an ofJer by a particularly because only one generator : and Ports Advisory Council, giving the Philippine company, Signal Technologies, was available. : VTS mandate to the PPA (in close coor­ Inc. in 1990, an opportunity to realize the (3) What subsequent attempts have : dination with the Coast Guard). program was opened. The proposal was · Enter another wild card: the IMO­ thereupon indorsed by the Coast Guard, been made, if any, to establish a : UNDP-UNEP study on marine pollution the Navy and the DND, and approved by VTS System in Manila Bay? : in Asian Seas, wherein Batangas was se­ President Corazon C. Aquino. A Selenia Almost convergent with the PCG effort : lected as a demonstration area for the radar syatem was thus initially installed was an attempt of the Philippine Ports : study in the Philippines. Supposed to have at an abandoned communications tower Authority (PPA) to establish a commer­ : been completed in 1998, it was expanded at the Corregidor light station. There was cialized system based on an offer of a : to include a VTS study for Batangas and also tacit approval that the total network Canadian company, DGB Systems Inte­ : Manila. In spite of the near completion (Corregidor and Manila) would eventu­ grators backed by the Canadian Coast : of the PPA VTS study, supported by a ally be installed, if not for the "untimely" Guard (in a subsequent visit of the propo­ : friendly foreign government, the PPA implementation of the controversial Ex­ nent in 1992, the Chief of VTS of the : Board decided to wait for the Batangas ecutive Order 125-A which transferred the Canadian Coast Guard, Mr. L. A. Barker : study. This was the situation prevailing maritime safety functions of the PCG to served as resource person). A memoran­ : when the Princess sank, and is to the the MARINA. dum of understanding had actually been ; present. Since 1987, implementation of EO executed among the PPA, the DGBSI and 125A insofar as PCG functions were con­ the International Container Terminal Ser­ Where do we go from here? cerned was held in abeyance by then vices, Inc. (ICTSI) in 1992 for its imple- Given the diverse functions of many • • • MARITIME ISSUES I N EWS D EVELOPMENTS •• •

agencies with distinct purposes, it can not be denied that a YTS network ""ill involve at least two agencies: the PPA and the Former regional leaders PCG. The YTS station will be used for: (I) providing information for shipping, recommend the establishment of and getting information from them from non-government forum with a focus on departure or arrival. to the outer limit of control or YTS contact (a PCG matter): Asia-Pacific (2) port control purposes (berthing and administrative. a PPA requirement): (3) ormer President Fidel V. Ramos, tion would be an associate of Asians and navigational guidance on the channel (a former Prime Minister of Austra friends of Asia, established for Asia, cen­ PCG-PPA matter): and(~) as necessary. Flia Bob Hawke and former Prime tered on Asia and would aim to promote for anti-piracy and search and rescue co­ Minister ofJapan Morihiro Hosakawa met the interest of the region. They believe that ordination and control. a PCG function. ·early last September in Manila to dis­ such an organization would receive due It will institutionalize control with PCG. cuss problems in the region. The three recognition as one of the premier institu­ in close coordination with PPA and Ma­ leaders held talks on recent developments tions in the world and receive support nila Harbor Pilots Association. in Asia and the role that Asia will play in from past and present leaders of the world The delineation of functions appro,·ed the next century. community. by the SPAC is still ,·aiid. and the PPA All agreed that it is important to ad­ While exploring this concept. the s tud~ . which considers the incorporation dress the need to establish a new regional former leaders also noted that China. as 1 of the PCG VTS at Corregidor. would local center that aims to foster interactions the only nation in Asia ·with a permanent ensure that the cost sunk into it "ill not among industrial. political and academic seat on the UN Security Council. and go to \\aste. Morco\·cr. it is a project that leaders in Asia with regard to such im­ likely at some point in the lirst quarter of is study-based. without identi~' 111g de;li ­ portant matters as economic de,·clopment. the next century to become the world's ers or ,·endors. Once the terms or rdcr­ social de,elopmcnt. human resources de­ largest economy. would need to be inti­ encc for acquisition arc lina li;ed. it \\Ill ' elopmcnt and cm·ironmental protection. mately involved in such a project. be bidded out. The~ noted that although there exist a The former leaders agreed to talk with i hc following steps arc therefore pro­ number of goYcrnnlcnt -sponsored orga­ the Chinese leadership about the concept posed: nit.ations in Asia (such as ASEAN and and the possible location of the organi.t:a­ ( I ) The Shipping and Port !- Ach 1 ~o r: APEC). the region has ~c t to create a rc­ tion in China . Furthermore. they intend Council recom·cne soonest -t o rec.:onlirm sponsl\ c non-gO\ crnmcnt organ11at1on of to talk with other current and former go\'­ (or cancel) its delineation of tashs or the pro unucut stature. The fo rmer leaders ernment. business and academic leaders DOTC Maritime Cluster: suggested that the time has come for the in the region about the concept and invite (2) Consider the rc\'icw of the VTS establishment of a forum organization in them to share their views. They feel con­ study made through the Netherlands pro­ Asia equal in stature to that of a World fident that the response to the concept will tocol: and Economic Forum in Da\'OS. Switzerland be positive and have pledged to co-oper­ (3) If abo\'c (I) and (2) arc positi,·c. li­ and the Aspen Institute in the United ate together in the future to help this con- nalizc the TOR and bid out the project to States of America. This fonun organiza- : cept to become a reality. 1 suppliers. which should include for con­ sideration those who can bring in either foreign assistance or developmental (zero or low interest) loan. lf(l) or (2) are nega­ SuperCats and Sea tive. do the whole exercise again. but es­ tablish a definite till'ie table. Further Oip flops, or inactions on the Angels merge VTS issue, could lead to more Manila Bay By Ruge Dula disasters of the likes of MY Cebu City primarily, and MY Princess ofthe Orient botiz Parkview Transport Hold· pine Fast Ferrys Inc. (PFFO, will as­ secondarily. If we could set back time. it ings (APTH). the joint venture sume the ownership of the fast ferry op­ is likely that William Lines (and/or its new Aholding company of the Aboitiz erations ofNegros Navigation's Sea An­ partners) and Sulpicio Lines would be Transport System (ATS) and the gels and the SuperCats of Universa l willing to solely underwrite the vrs ex­ Hongkong Parkview Company, which Aboitiz Inc. With a combined fleet of 12 penses, knowing the consequences of its owns Universal Aboitiz, Inc. and Super fast ferries and a brand new 50-meter absence. Tenninals Inc. and Negros Navigation Tricat that will be added before the end of (Editor~~ Note: Comments on this col­ (NN) have merged their fast ferry opera­ the year, the merger agreement will al­ umn or issue are welcome, and will be pub­ tions to become premier fast ferry opera­ low the enlarged venture to benefit from lished in Commentary as appropriate.) tor in the Philippines. economies of scale, reduce over capaci· .iii The newly merged company, Philip- ties on some routes, while also achieving M ARITIME REVIEW • • • INTERISLAND SHIPPING •• •

higher service efficiencies to the riding public - all very important elements in the SuperFerrys get ISM OK highly competitive business of fast ferry operations. ByRoge Dula PFFI is owned 50 percent by APTH and ight years ago, the SuperFerrys . ready been started with SupetFerry 1, 2, 3, 50 percent by NN. Metro Pacific, which created a revolution by setting : and 5, it was only in 1996 when the safety is the majority owner of NN, was instru­ the standard in comfort and : management system was implemented on all mental in the negotiations that led to this E safety in the country's shipping industry. : 10 SupetFerrys, they added merger agreement. This year, it created another first in the The preparation for tlle audit involved Both names of the fast craft have been Philippine maritime history with : a lot of documentation of safety and qual­ preserved emphasizing the merged nature SuperFerry 9, 2, 1, and 12 acquiring the : ity management programs, as well as the of the organization and capitalizing on the International Safety Management (ISM) : extensive training of the crew on board high reputation that SuperCat and Sea certification. The SuperFerrys have : on identified emergency scenarios which Angels have acquired in their respective gained the distinction of being the first : included firefighting, pollution preven­ home ports. The group has already de­ Philippine passenger vessels to earn this : tion, man overboard exercise, steering cided to retain the SuperCat ticketing, much coveted accreditation and : gear malfunction exercise and abandon ATS ' Oracle accounting, finance and HR SuperFerry I being the only vessel to be : ship exercise which involved the actual systems. awarded outright with the certification. : demonstration of the firing of pyrotech­ The new operation will continue to Created tllJ'ough Resolution A. 641 (18) of : nics, opening of life rafts, and the actual service the ports of . Iloilo. the International Maritime Organization : jumping into the water of the crew. These Cebu, Ormoc. Dumaguete. Tagbilaran. (IMO). the ISM witl1 safety as its primary : exercises were not done only once but Camotes, Batangas and . In the purpose. requires all 1£3 fiuing vesrels to imple.. : regularly on a weekly and monthly basis. very near future. ports like Tubigon. ment the cstablislunent of a safety rnanage­ : The Ship Management Team would board Hilongos. Bantayan. Lucena and ment system. witl1 special focus on the pre· : the vessel on port and conduct spot checks Marinduque may be added. Cagayan vention of maritime casualty and pollution : and unannounced exercises. de Oro and Camiguin will be linked to from ships by having a properly trained crew. With an ISM certification, the SuperFerrys Tagbilaran as soon as vessels become Erden Ferrer. QA/QC safety officer, and : are now able to sail at any time in any port in available. More routes are likely to be Elvin Bello. fleet manager ofWG&A Jebsen : the world and is assured of a working safety developed. as the merger will pro,·ide Ship Management Department disclosed that ; system and a 99 percent safety conscious crew. greater flexibility in planning trips and it took two years of hard work before they The WU&A Jebsen Ship Management schedules. deemed the vessels. the system and the crew ; Team is presently working towards ha' ­ The head office of Philippine Fast readv for tl1e audit ofthe American Bureau of ing all WG&A vessels certified under in­ Ferrys, Inc. is in Cebu. i Shipping. l11ough t11e quality systen1 had al- . ternational safety standards. 1

: mobilize resources for any oil spill re­ sponse operation. Malayan clean up During the Princess of the Orient di· saster, MTSC was able to avert the spread : of oil spill from the sunken roro in spite oily waste : of a strong typhoon. Capt. Angel A. By Andy G. Dalisay : Penalosa, MTSC's fleet and quality man­ : ager. said the company used about 140 PART from its traditional ex to be a tough job for Malayan Towage and : personnel in the operation and able to pertise in salvaging grounded Salvage Corp. (MTSC), which got paid : collect tons of oily debris. With a crewboat Aor sunken ships, diverting op- for $300,000 for the entire operation that : capable of carrying 50 persons and two eration into containing oily waste at seas took around three weeks. : launche51ending the oil boom, oily waste has proved to be an endeavor worth com­ Through a memorandum of agreement : along the Bay was easily swept off to as­ mending for the Philippines' leading tow­ with the Philippine Coast Guard for such : signed collection points and avert further age and salvage firm. Ifnot for its oil spill an emergency response system, MTSC : environmental damage. By spraying dis­ response system, the recent maritime di­ seems to have captured the specialized : persant, they dissolved sticky but hard­ saster brought by the sinking of the do­ service for oil spill cleanup in the domes­ : ened bunker oil. The waters along Ma­ mestic ferry Princess ofthe Orient could tic waters. The company has been on call : nila South Harbor and the coastlines of have spelled greater environmental dam­ each time a disaster of any magnitude : Corregidor and Cavite were mostly dam­ age at Manila Bay and its coastlines. occurs, be it an oil spill cleanup or a sal­ : aged by the spill. Though plans to salvage the 13,734 roro vage of the ship. It is the only salvage : Though MTSC always gets the priority ferry have been totally abandoned, oil spill company now in the country that main­ : for such an operation due to its standing clean up after the Princess disaster proved tains the widest ~overage and can easily : agreement with the Coast Guard, Peftalosa l 00 r MARITIME R EVIEW • • • INTERISLAND SHIPPING I MANNING •• •

said the risk of whether it would surely get paid for the job done always arise as a great concern. says this is because the country's Scrapping Panama's laws on oil spill responsibility is somewhat blurred when it comes to who will pay up if any such eventuality occurs. controversial TCC But one thing is sure, the company con­ By Andy G. Dalisay siders the cleaning up business as inci­ dental or a minor part of its salvage ex­ T'S not the only Filipino crew who nation as an insult to Filipino seafar­ pertise. Salvage still forms the core of are pushing for the scrapping of ers and the eight-month validity a front MTSC's existence. The recent grounding I Panama's transitional certificate of : to gain another share of the seafarers of the bulk carrier Asian Bridge provides competency (TCC). Foreign shipowners income pie. a glimpse of how it conducted the opera­ and shipmanagers using Filipino seafar­ Because of the irregular validity, many tion last August. ers under the Panamanian flag have . Filipino seafarers are forced to renew their The Philippine-flag ship was then on fuJI warned of a massive flag out if Panama : TCC while. still onboard their ships. In speed to its next port after loading 29,509 decides not to scrap the controversial : effect, according to UFS, they have to pay metric tons of dolomite from Cebu when TCC. : twice for the same document. "We do not she hit an uncharted reef on the western The owners warning was relayed to : know of any country in this planet that side of in the . At first the Filipino manning agents that are hav­ : issues certificate that is valid only for eight master didn't know what the 30.000 dwt ing a hard time finding qualified sea­ : months knowing very well that most of vessel had struck on as she suddenly per­ farers, particularly officers, due to fail­ : our contract is for 12 months," Ramirez formed an "unusual vibration ... Thereafter ure of complying with the TCC require­ : told Adrian Quiros, chief of the Panama­ she immediately listed six degrees to ment. Panama is the only shipping reg­ : nian Maritime Directorate in a letter. portside. Alerted that the ship was trc~pped istry that issues TCC. which is va lid for · Ramirez noticed this form of discrimi- in danger. the master t11en enabled to beach eight months and tries to overrule the nation being done to Filipino seafarers her to a safer position. othem isc she could Philippine certificate of competency bv while other countries like Colombia. ha\'e sunk at the time of groundmg requiring Filipino seafa rers to take a Cuba. India, Peru, Mexico, Chile, Paki­ MTSC's salvaged team conducted separate examination. stan and China are allowed to convert topside and underwater surYe~ mcluding Cre\\ ing sources said that many of the their certificate of competenc) to Pana­ the spaces along tJ1e hulls '' ttll t\\O tug­ affected owners are opting for Vanuatu maman license Yet Filipano seafarers boats in tow. From portside no 5 to portsa d e or St Vtncent where the' ca n sunpl) possabl) make up the single largest na- no. 2 water ballast tank. damage was as­ do a\\a ~ \\ tth the certaficata on system . uonahty employed on Panamanian-flag certained which necessitated repatr and in question. "Without the TCC. ship­ : ships. salvage operation. There were two options owners arc already having a hard time : Quiros promised last July to abolish presented to tJ1e master. The first was to recruiting junior officers for their ves­ : its TCC in view of the STCW ' 95. Since seal no. 5 of the ballast tank using wedges sels due to a shortage of shipboard per­ : the whole idea of the revised STCW and underwater epoxy. and deballast No. sonnel.'' says one crewing agent. Now : Convention is to achieve uniform stan­ 3 and 4 would be pressurized using high with the TCC requirement, he added, : dards for training, certification and pressured air to deballast. The second op­ this makes recruitment of officers fo r watchkceping, certificates from one tion was to discharge minimum cargo at ships flying the Panamanian-fl ag twice country should be as good as those from the site to fully re-float the ship, but this harder. another. By refusing to recognize Fili­ one would require floating crane and barge. Unions led by the United Filipino pino licenses, the union insisted. Choosing the first option in consultation Seafarers (UFS) have been pressing the Panama is subverting the global sys­ with the master. they then sealed air vents Panamanian Directorate to abolish the tems of standards set by the Interna­ and sounding pipes of No. 3 & 4 of the TCC due to its oppressive and discrimi­ tional Maritime Organization. ballast tank port-side, and fitted special natory nature. TCC costs $110 for rat­ In spite of protests, the Panamanian connections and air gauges installed. To ings and $230 for officers, represent­ government has done nothing except prevent further structural damage maxi­ ing nearly 25 percent of an able promise that the TCC would be abolished mum air pressure of 1.2 kgs/cm2 was main­ seaman's basic monthly salary. In other in due time. ''It's pure and simple hypoc­ tained. Two tugboats then pulled out the countries, however, Panama charges risy," the union added. Panamanian-flag Asian Bridge to bring her back to its nor­ less for the license. ships are among the most unsafe in the mal form. Undenvater survey was again "Our seafarers have been exploited to : world. At the port of Manila, alone more conducted to assure its current integrity. the hilt by almost all sectors. What is it : than 20 out of the 80 substandard vessels After more than a week, the vessel sailed that Panama wants for being the only : inspected between January and June 1988 on with its own power but escorted by the one among the world's shipping regis­ : were registered in Panama. For Panama MTSC's tugboats on the way to Northern ters to require Filipino seafarers to un­ : to reject Filipino licenses in the name of to discharge cargo as the salvor dergo such a ridiculous system?" · global quality standards is the height of handed over the ship to its owner safely. 1 Ramirez asked. He described the exami- : hypocrisy. 1 M ARITIME R EVIEW . •• MANNING •• • of the hospital for OFWs including sea­ farers. The AMOS UP had established its Hospital for OFWs own hospital, he said, and has been suc­ By Myra V. Lopez cessful on this venture not to mention the untold benefits it brought to its member­ ley arc the country's modern- : EO 195 was issued in the belief that it seafarers. chl) heroes. Braving the pain of : is tlle State's responstbtlit) to draw up an The AMOSUP president's testimony Tseparation from loved ones. over- : integrated and comprehenstve approach only seems to highlight tlle obstacles seas Filipino workers (OFWs) venture into : to health development, provide full pro­ which have the potential of preventing tllc foreign lands and high seas in the hope of : tecti on to its working constituent s. hospital 's immediate creation despite its providing their families a better life. whether employed locally or abroad, and obvious advantages. For one, conflicts But many of them would come back protect their welfare. have already appeared on the manner of home scarred from the experience. nurs­ Drilon said it is about time that the ex­ financing. ing an ailment either physical or mental isting medical care programs were rein­ OWWA differed witll tlle senator's view as the pnce for sacrificing labor abroad. forced to include supplementary provi­ on ho\\ to suppon the proposed OWWA About _.2 percent arc repatnated to the sions for pre\'entive. promotive. diagnos­ Mtgrant Hospital financially. OWWA Philippmes needing medical attention or tic and rehabilitative programs. The new wants to ource the seed money from the hospital treatment for illnesses sustained pro\'isions should be available. accessible medtcal care program. a proposal turned \vhile working for foreign emplo~ ers. The and affordable at the same time. down by the senator. Drilon said it should Senate. aware of the heroism ofOFWs. is The senator authored Senate Bill No. be taken from the agency's capital outlay working on a bill which will try to im­ 57_. authori t.ing the creation of OWWA or the flexibility of the said program will prove in a small but immeasurable wa~ Migrant Workers Hospital to augment the be lessened. go\'ernment's response to the health re­ current go, ernment health support to Second. OWWA is only willing to shell qutrements of OF\Vs and their fanuhes OF\Vs. The hospital racrlities and services out P 150 million for hospital maintenance Sen. Franklin Drilon. ch;urmnn of the "rll be made "'ail able ror the exclusi\'e in the succeeding year's Sen. Drilon's Senate commlltee on labor s;nd 11 IS sad USC or 0\ erSCiiS \\ Orkcrs and their fami ­ recommendation is for an allecation ofP that'' lule the go, emment h;ts on I~ pr;mc' lr es 200 nullron annually. for the sector ·s critica l coru nbutron to the The runds for the hosprtal's construc­ The senator 's insistence on a higher ap­ country's gross national product (GNP). tron "til come from the 0\'erscas Work­ propriation is understandable. Based on little has been done to suppon OFWs ers Welfare Ad ministration (OWWA) OWWA's records. contributions to the Rem iIta nccs from ab rond Ia st ~ ear which will not impose additional rees on medical care progr.un, investment and oU1er amounted to P38. 10 I billion accounting for its members. Drilon said. income in 1997 reached N49.726 million . ....09 percent of the total P9Xl.IIX billion. A main hospital will be established in From t11is. total expenses of P54.312 mil­ For t11e first half of 199X. the sector contin­ Metro Manila" hile the regional and pro­ lion were taken out. lea,~ng a disposable ues to perform well. contnbutlllg P20 nn ,·rnctal hosprtals under the Depanmcnt of surplus of P395Al3 million. Tite agency btllion to the country's total output Health (DOH) as \\C ll as pm atc·O\\ ned m addition is administrator of a capital Onion smd the exisung health pm •­ mcdrcal centers \\ rll be tapped to reser\c outla) wonh P2 billion as of last year. leges offered b) the go"crnment are not a cenatn pon10n of therr fac1lrtres for the The proposal to construct an OWWA enough to address the growing number use ofOFWs and their families. Migmnt Hospital has been left in tlle bum­ of OFWs who need different t)'pes and During a hearing on SB 57_.. govern­ ers for three years since it was originall) degrees of medical attention. ment representatives from OWWA. DOH filed with the Senate in 1995 . Senate ob­ "The present package of services under and Department of Labor and Employ· servers said the proposal was not even cal ­ the Medical Care Programs for OFWs and ment gave their full backing to the enact­ endered for a single committee hearing their dependents is limited to curative ment of the measure into law. Represen­ by the lOth Congress because of politics medical services:s· he aid. tatives from the maritime sector who were and varied interests that engaged most of Fonner President Ramos issued in 199_. present such as Associated Marine Offic­ the legislators' time. Executive Order (EO) 195 providing for tlle ers and Seamen 's Union of the Philippines Opportunity came when Drilon. a la­ mechanism that will cover the sector un­ (AMOSUP) president Capt. Gregorio Oca bor secretary during the Aquino admin­ der the Philippine Medical Care Program and United Filipino Seafarers (UFS) presi­ istration, assumed chairmanship of the pursuant to Section 31 of Presidential De­ dent Engr. Nelson Ramirez were elated Senate labor committee. The senator lost cree 1519 as amended otllcrwise known as over the news on the possibility of having no time in seeing to it this pet project does t11e Philippine Medical Care Law. such an amenity for their members. Capt. not end up in the shelves. Without having to enroll themselves as Oca said the idea is nothing new to him Drilon said the conunittee will work on Social Security System (SSS) members, since he has been calling OWWA's atten­ a self- imposed deadline to ensure the OFWs can avail themselves of the medi­ tion several times in the past to put up chamber's approval of the bill by next cal benefits offered by the welfare state to such a program. However, his proposal year. The hospital should be ready to ac­ their counterpan local workers and de­ fell on deaf ears. cept its patients also by 1999 if every­ pendents. Capt. Oca underscored tlle imponance thing goes well. 1 MARITI ~ E ••• MANNING ••• r- ----IH V II W------, I ARE YOU... Moving soon? I Getting/been promoted? I Retiring from work? Abojeb Trains Cadets I We need to be updated on your addresses. By Roge Dula. Experience shows that home address, in gen­ I e Abojeb Cadet Training Pro­ Phase Two begins after the cadets· I eral is most suitable. 1 Please reproduce, fill up and send or fax to: gram is created to assure that the graduation from NTC where they will be quality of future officers is up to assigned to a vessel to serve as Officer I The Secretary the standards described in the STCW '95. Cadet for a period of 12 months. During The Maritime League I 201 Marine Technology Center Started in 1996. the program provides an this pe riod. the ca dets are part of an I Aduana cor. Arzobispo Street effective training amlllgement that will give onboard training scheme which includes I lntramuros, Manila 1002 the cadets an opportl.tnity to improve their a Cadet Log Book describing all the tasks TeVFax: 527-9049 knowledge in marine science for them to to be performed by a junior omcer. The Email: [email protected] be skilled and responsible officers. omccr Cadets arc excess of the crc,v. that Rank (if any):------­ Bjorn Ellertsen. Abojeb 's training man· is. they are not part of the safe manning Full Name:------­ ager. disclosed that the cadets were cho­ requirement of the \·esse!. The cadets are Position: ------­ sen from the graduates of,,hatthe) con­ also entitled to a salary during cadetship. sider the top three marit ime schools in the Phase Three of the program is current!) Co./Unit: ------­ country - Philippine Merchant Marine being re,·ised. But in this phase. theca­ Address: ------Acadctll) . John B. Lacson in Iloilo <1nd dets <1rC <~g<~ i n assigned to another vessel Tel : ------Fax: _ ___ Unh·crsit) of C'ebu. for six months and arc ctlready given a Home Address: ------The training program is contposed of : rating position . This phase gtves them a three phases. Phase One involves a six- · cha nce to ga in experience and further Tel: ------Fax: _ ___ month training progratn at the Norwegi<111 k11owledge of the actual work. In this Preferred Mailing Address: QOffice 0 Home Training Center in Manila. following <1 phase. the cadets arc already licensed and training program out lined in the provi­ ready for promotion as Third Omccr and Signature: ______sion of STCW '95 . Fourth Ellgilleer. .t L ------~

SERVICES Coastwise & Far East Trading Ship Chartering Cargo Broking MANILA HEAD OFFICE 6th Floor, Magsaysay Bldg., 520 T. M. Kalaw St. Ship Agency Erm1ta , Manila. Philippines P O. Box 4034 Manila Tel. No. (632) 57-58-11 to 16 Operator /

CESU OFFICE DAVAO OFFICE !LIGAN OFFICE ILOILO GEN. SANTOS CITY Ooor#S, OPASCOR Bldg., Door#3, Leliosa Bldg ., Km 7, Door #4 , 9&B Bldg .. RoxasAve. 3rd Fir. Administration Bldg. Door #3,1NTERCO Bldg. Don Bernardo Benedicto St. Bo. Lanang, Davao City Mahayahay, !ligan City PPA-ICPC LOBOC,La Paz.llo1lo City Makar, Labangal Reclamation Area. Cebu City Tel. No. (082) 234.0416 Tel. No. (063) 8813709 Tel. (033) 775-34 Gen. Santos City Tel. No. (032) 99049 Fax No. (082) 640-40 Fax No. (063) 8815463 Cellphone (0912) 309-6953 Cellphone (0912)314308 1 Fax(032)99553 MARITIME N l VII W • • • SHIPBUILDING ••.

: powerful, proven teclmology Multibeam so­ : nar supplied by SeaBeam Instruments Ltd. Presbitero: Advanced : The system can be portioned into three : general categories: ship's system; survey ; launch system; and shore based system, floating research lab : not described in this ship report. : Ship's System n 1996, Factorias Vulcano won an tlle hydraulic plant to service that machinery. important contract to build two sin­ The deck work area is equipped with a Hydrographic Surveying and mapping I gular oceanographic-hydrographic closed-circuit TV system which monitors : System Sensors. The systems and sensors vessels for the Philippines. Two years in the wheelhouse and laboratories. : installed on boars for bridge navigation in­ later, the Vigo-located shipyard made de­ A 9m aluminium-alloy hydrographic : elude Radar X and S band, Bridge Monitor livery of these two sophisticated sister survey launch with an inboard diesel en­ : BM-2000 and Electronic Chart Display ships, new buildings nos. 473 and 474. gine, reaching a speed of 10 knots with : EC-6000 supplied by Tokimcc. Based on the technical infonnation provided an endurance of 27 hours, is stored on The ISS-2000 provides a capability for in­ by the yard and the major suppliers and the board. The boat has a cabin duly condi­ ; terfacing to a variety of positioning sensors photos corresponding to BRP Hydrographer tioned to house the research equipment : (DGPS, Motion Sensors, Gyro Compass). Presbitero, the first ship, lnfoMarine has pre­ indicated later in this report. : The ISS-2000 makes use of single beam. pared t11e report that follows. The BRP Hydrographer Presbitero also : Dual Frequency Echosounder (33 kHz and Design criteria carries a 5m aluminium hull skiff pow­ ; 208 kHz), 12/36 kHz Dual Frequency ered by an outboard motor. Both boats, as : Multibearn Sonar (SeaBeam) and 3.5112 This is a vessel designed and built to cany well as the radar and signal mast on the : kHz Sub-Bottom Profiler (ODEC) to con­ out hydrogmphic and oremograplric research. ship. were built by Aister. : duct detailed hydrographic surveys of specifically including tl1e following nrissions: Laboratory research equipment : coastal areas, including channels, that will coastal and offshore hydrography. physical : require l 00 percent bottom coverage for de­ oceanography, and pollution monitoring. To carry out her specific functions tllis : tection of potential hazards to navigation. Provisions have been made for her funll'e research vessel is Geophysical use to perfom1 search functions as seismic and fitted with the fol­ andoceanograplric geological surveys, chem.ical and biological lowing facilities: sensors such as oceanography, meteorology. and submarine oceanographic Marine Magne­ cable and pipe laying surveys (for power. oiV laboratory insu­ tometer (GEM), gas and telecommunications). lated for thennal, Gravitymeter, Tur­ For these purposes tl1e ship is fitted witl1 acoustic and bidity Sensors. tl1e nooessary deck equipment (winches. dav­ structural fire Autosalinometer, its, and two auxiliary crafts. among other ele­ protection; a Inte~ c:Tl), ments), a laboratory witl1 post-proccssingarea cooled room for Sound Velocity and hold for scientific samples. Accommoda­ water samples: - Pr bes '11 • · . BRP Hydrog avher Presb itero 0 , WI pro- tion is provided for a crew of 48. chenustry and b1- vide the necessary The vessel is powered by two diesel ology laboratory, insulated and protected as : data that will be processed by the workst~­ engines of an output of 780 kW and 520 in the first in this paragraph; and hydro­ tions. k W respectively, which drive a single vari­ graphic work area placed aft in the wheel­ Hydrograt>hic Surveying and ~ap ­ able-pitch propell er. An azimuthal house, but separate for the ship-control lling Workstations. The board range of bowthruster enhances maneuverability. zone. data types which are to be acquired, moni­ The ship was built according to and These areas contain the scientific and tored, visualized and processed are man­ under the surveillance of, Det Norske. hydrographic equipment, supplied by the aged by the specialized workstation dis­ Deck equipment Australian company, Seismic Supply, de­ tributed in Hydrographic Work Area scribed below: Aside from the conventional mooring (HWA) and Post-Processing room. The scientific data measurement, acqui­ and anchoring equipment, the ship is fit­ Slave monitor ofECDIS and bridge moni­ sition and processing system comprises in­ ted with the following elements for sample tors allow the personnel working in tlle liWA stallations on the survey vessel, on the sur­ taking and handling of scientific material: to have access to the navigation data while vey launch and at one shore base that op· two A-frame gantries, one aft (6t) and one SAIC and SeaBeam worl

npherals such as Inkjet Plotters and La­ qualify flags will be logged. : can transmit 450 kW at 1800 rpm when ser Printers that deliver colour copies and Corrector application. Thesystemuses : themain enginesrotateat 1200 rpm. This printed reports. off-line calibration procedures to automati- : is secondary PTO; i.e. it rotates when the Integrated system cally estimate pitch, roll heading biases in : propeller turns. regardless of which of the order to correct multibeam data in real time. : main engines is running. The integrated survey system installed The 2.4 m diameter, 250 rpm variable- In the vessel includes· Survey launch system : pitch propeller is by Balino-Kamewa. The Time tagging. The ISS-2000 is config- The Survey LaWlch onboard is fitted "vith sterntube ~eals are Mane Lip. ured with a timing system that uses GPS hydrographicsurveyinga11drnappingsensors The extraordinary high-efficiency rudder 1 pps signal to synchronized all clocks such as DGPS rcreivcr, motion sensor, sound (up to 40_50 degrees of the propeller thrust is for measured data, providing timing Ia- velocity probe and Single Beam, Dual Fre- : transformed into side thrust), \vitha maW11um tency for all sensor data to an accuracy of : quency EdlOSOWlder (33 kHz a11d 208 kHz), : rudder angle of 40 degrees while cruising and better than 0.000 I seconds. MultiBeam Sonar (SeaBerun 1180) and Sea- : 50 degrees in maneuvers, is driven b) a Attitude motion sensors. The vessel atti- bed Classification that supply the data that "vill : Auidmecania electro-hydraulic steenng gear. tude with the accumcy's compauble \\itl1 the be processed by SAIC 2000 software. A Schottel 310 kW azimthal bow swath accuracy requirements is obtained by The BRP Hydrographer Presbitero is : thruster is also installed. means of tl1e interface to Attitude Sensors equipped with an interesting and unusual (Gyro & VRU) and Heave compensators. propulsion system. fanned by two diesel : Auxiliary machinery Sound velocity scnsor·s. The system al- engines in "father-son" configuration. Aside from the previously-mentioned shaft lows obtaining the best sound veloc- alternator. the vessel has two main i~ profiles (SVP) and uses a con- gensets.eachcomprisedofa750bhpat ductivity. temperature. depth (CTD) 1800 rpm Caterpillar 3.«>8 Dl TA en- unit in order to define exactly the gine and a 350 kW, 440 V. 60fu alter- parameters affecting the SVP. nator by tl1e same mrumfacturer. Positioning sensors. The ISS- The emergency genset is formed 2000 pro,·ides capabilit~ for inter- by a 1306T Caterpillar engine and facing to a 'arie~ of sensors. includ- a 170 kW alternator of the same ing the installed SERCEL NOS Ioo make. DGPS and NR I09 GPS recch ers. All the machinery on board is lu- un ·c~· pl anning. This allo\\sdefin- bricated with Castro! products. ing the stuYey based upon stir\'~· pat- The entire electrical installation tems. geometric shapes or 1.0nes st1ch aboard ship was designed. built and as sotmd vclocit) and tidal zones. 111- installed b'' Electro•nechaJll·cal BRP 111-dror;ruph.-r Pr.•.,hilt•ro .1p1'nflcallfm •if /mil ·' < eluding tl1e capabilit) and software for cuwlmr,.. , and 11111clunl'l') Cerdeira . computation ofgeodesic translation and =~-~~~~~-~~~~~---~~ TI1e Noris alarmS) stem and control- distance measurements. and allows forexclu- coupled to a single reduction gear. through room console were supplied by Norispan. sian of areas within a survey. which the drive a variable-pitch propeller. Wheelhouse equipment Survey m

: company's mind and will whereas a tech­ : nical superintendent or a master is not. ISM Ramifications : But now, under the ISM Code, we have a By P. V. Verge/ de Dios, Jr. : job description for a role which must be : filled by a person who may arguably be Bills of lading and charter parties con­ ample, how many ships are currently sup­ : the directing mind and will so far as safety tain exclusion clauses which exempt the plied, as a matter of course, with manu­ : is concerned. The "designated person" shipowner from liability for loss or dam­ als for ratings which are written in their : certainly appears to have the responsibil­ age to cargoes even if caused, say for in­ native language? : ity and authority to be considered the di­ stance, by errors of the crew in the man­ The implications for owners are very : reeling mind of the company. Alterna­ agement or navigation of the ship pro­ clear. Their operational systems and pro­ : lively, if he does not, the phrase .. direct vided that due diligence has been exer­ cedures will be examined down to the last : access to the highest level of manage- cised by the carriers at the beginning of button in the event of big claim. ment" implies that the designated person the voyage to make the vessel seaworthy. And, the effect of this on P & I recov­ is obliged to pass on what he knows di­ A collision caused by the watchkeeper ery may be jeopardized by the requirement rectly to the person who is the directing falling asleep, or as a result of a naviga­ in the ISM Code that non-conformities, mind of the owner. Furthermore, it is im­ tional miscalculation by the first mate, is systems failure or operational or mainte­ plied that this person at the highest level not in principle something for which the nance problems must be addressed imme­ of management must inquire what the shipowner is liable to the shipper or con­ diately by the owners. Failing to take steps : designated person knows or ought to signee. A fire on board. too, is not the immediately to remedy them may be used : know: the information flow is two-way. shipowner's liability even if it is the crew·s by the P & I Club to bar recovery based The consequences of this are ex1 remely fault. And cargo loss or damage is like­ on the prior knowledge of the non-con­ serious. In terms of limitation of liability. wise not its liability if it has been caused formity by the management and its inac­ it is going to be more difficult, if not im­ by an error in the management of the ship tion to remedy or correct said non-con­ possible, for shipowners to maintain their as opposed to error in the management of : formity. : right to limit. They are presumed to know the cargo. · Once liability is established. the next : the safety problem of the ship and its crew So, the owner is largely protected from question is can the shipowner limit his : because of the designated person. If the the negligence of his crew if he can show liability? : designated person knows that there is that has exercised due diligence. One major item in the ISM Code which : something wrong, it will be assumed ( and The advent of the ISM Code. howe,·er. affects the limitation of liability principle : much more easily proved) that the "di­ could virtually make the shipO\\ ncr liable is the requirement of a .. desagnated per­ : recting mind and will" of the company even for crew negligence. Since the ISM son. .. As defined by the Code. a desig­ : was aware of the problem too. An obvi­ Code requires that senior levels of man­ nated person is a person or persons ashore : ous example is that of maintenance or re­ agement become positively involved in all with direct access to the highest level of : pairs which may be required but which safety and operational issues. it would be management. who has the responsibility : are not carried out. Perhaps, it was the much more difficult for an owner to dem­ and authority to monitor the safety and : master who knew about the problem but onstrate that he has exercised due dili­ pollution aspects of the operation of each : the latter did not report it to the desig­ gence at the commencement of the voy­ ship, and to ensure the adequate resources . nated person. Fine, but said reality can­ age, and consequently be entitled to rely and shore based support are applied, as : not, arguably, be an excuse to limit liabil­ on the various crew negligence defenses. required. He is top management 's link : ity because of the two-way duty required In simple term if a procedure is unsafe, with the ship and any non-conformities : by the Code for the master, on the one the ship will be unseaworthy. must be reported directly to him. He is : hand, to report all non-confonnities to the Thus, the Code lays down strict require­ responsible for organizing safety audits : designated person and for the latter, on ments for and for ensuring that corrective action is : the other hand, to monitor compliance • ensuring that all personnel involved taken. : with the safety' management system. in the company's SMS have an ad­ The rub is that he must also have di­ · There is no question that the ISM Code equate understanding of relevant rect access to the highest levels of man­ and a structured safety management sys­ rules, regulations, codes and guide­ agement in the company. In law, an indi­ tem will go a long way in reducing mari­ lines; vidual who represents the company is the time disasters. However, the effect ofs uch • ensuring that training in support of directing mind and will of the company : a system on the liability principles as in­ SMS is provided for all personnel and the limitation cases have involved an : ducements for shipping investment may examination of the company's structure concerned: : be in danger ofbeingjeopardized. to see whether the person who is the • arranging for personnel to receive rel­ (Atty. 1-irg•l d• Dlos Is the managing partner company's directing mind and will had ofthe 1-irg•l d• Dlas Marilim• Law Offices evant information on the SMS in a knowledge of the failure or negligence and formtr MAIUNA D•puty Admlmstrator. language understood by them. attributed to the ship. H• may bt T'IJach•d at teL no. 521- 7677) These duties are substantially wider Broadly speaking, a director of the com­ ill than those which exist at present. For ex- pany is to be taken as representing the M ARITIME REVIEW ••• OVERSEAS •••

operate low-cost vessels to carry their car­ . goes at lower cost. Since they cannot com­ Fixing for ISM, STCW : pete with the big ones one cannot stop By Andy G. Dalisay : owners from acquiring substandard ton­ ; nage if they cannot afford new '.)l!e~>. And he entry into force of the IMO's erational requirements. : this is where the lines must be drawn. revised Standards of Training, For smaller ships, specifically operat­ . On operating a variable level ofmanning TCertification and Watchkeeping ing in coastal trade, Borchers says once : for individual ships according to trading (STCW) Convention and the International they trade overseas, manning certificate : area or operational, crewing agent like Safety Management (ISM) Code has seen needs to be changed. The wage of second : NYK-Fil Shipmanagement is concerned shipmanagcrs and manning agents adjust­ engineer, for instance, varies on a range : with the type of vessels because each type ing the ·nuts and bolts· of their compli­ of 15 to 20 percent. Owners nowadays · requires certain expertise and trained people ance system amid stiff commercial and consider manning cost a great factor in to man them. It doesn't matter wherever is environmental considerations. Both own­ operation cost because it is one aspect the trade route as long as the crew are quali­ ers and managers have admitted that bal­ where they can trim down budget at a cer­ fied to operate the ship. ancing commercial reality and safety/en­ tain level to compete in the market. Since the company only supplies Fili- vironmental regulations is a delicate mat­ While the IMO has to release the ·white pinos, NYK-Fil develops and trains them ter as proved by the US Oil Pollution Act list' of complying states. Lubeca is in the : fully before sending them on board. Capt. of 1990. process of reviewing the nationality ofthe : Marcelo Raiieses said the company's prin­ However. in spite of additional costs to crew the company uses on board. With : cipals/shipowners arc satisfied with the owners brought by new international regu­ regard to training institutions accredited : training. He said, "If they cannot de­ lations. the industry cannot compromise by a government body. for example, the . pend on highly qualified Filipinos any- safety of life at sea and the cm·ironmcnt. company considers Ukraine. Indonesia, more, they will go to Eastern Europe or .. If you have a 20 crew aboard the ship China as some of the options. In the Phil­ India. But I believe the Philippines can who are educated and qua Ii lied in Iinc ippines. he points out. "We know that gov­ still retain the leading position in the with STCW '95. which is supposedly on ernment is trying hard to make it (to the market. We have to be careful because a high standard. your ship is assured to white list) since the country is the largest there are competitors coming in ... be operating safel). ·· says Peter Borchers. crew supplier. We do not see any major NYK-Fil has maintained its own stan­ general manager of Lubeca Marine Phils. problem with STCW '95 employing the : dard of training based on the shipowner's Though an acceptable unifonn standard Filipinos on our ships... · requirements, apart from compliance with of port state enforcement to eliminate sub­ Lubcca has been hiring other nationals the mandatory requirements imposed by standard shipping is hard to come by. the too. For sure. .. we arc also after Chinese international regulations, he said. ..We industry starts to mo,·e in a sort of pain­ ratings for various have our own in· ful process as indicated by cases of ship reasons.·· On the house training arrests and detentions by port state i nspec­ officers leve l. "We know that government program. For in­ tors due to various deficiencies. Since Borchers cited the is trying hard stance we have to there is a uniform standard already for Filipinos' scarcity review them on port state control to check on the qualifi­ and legal problem to make it (to the white list) collision regula­ cation of the crew, interpretation of the on insura nce since the country is the largest tion. We have specialized train­ mles still varies depending on the flag claims as the rea­ crew supplier. state. ..It is interpreted in several coun­ sons that drive the ing for specialized tries as some may be stricter while others company away to We do not see any ships like LNG, are more lax." Borchers explains. look for alterna­ major problem with STCW '9 5 pure car carriers. The legal requirements of the collision tive sources. But tankers wood chip regulations and normal maintenance/op­ out of all the na­ employing carriers, the same erational requirements with current man­ tionalities, the Filipinos on our ships. " with cruise ves­ ning levels are some of those that give company is satis­ sels, in addition some managers a problem. Others have fied with the per- to mandatory re­ crews who need to spend, not only for formance of the respective nationals they quirements by the IMO." higher cost of training but training pe- . currently employ relative to STCW '95 Most of the NYK ships, particularly the riod as well including consumption of : compliance. new ones have been installed new com­ much sought vacation leave. Though the Though the idea ofe liminating substan­ puter software on board, not only for ISM first may not be a problem to many ship­ dard ships and crew is the ultimate goal, : but also for operations. On owners and managers review of crewing others still doubt ifit will completely hap­ containerships, for instance, it is now a policy is of immediate concern. pen. They believe that developing coun­ : requirement for chief mate and mastersto Some ships operate a variable level of tries that cannot afford expensive ships : have knowledge on power stroke. Radeses manning according to trading area or op- can be a target. They will continue to : said senior officers have been required to : undergo computer courses. 1 MAR~];gvtE • • • IN THE LEAGUE •• • =--======Regular maritime Phantom forum set tugboat By Andy G. Dalisay he Maritime League (the Phil­ sea bed mining, MARPOL, ippine Maritime Foundation) law enforcement); tter a long drawn investigation, Tand the Marine Technology (g) Marine/aquatic sports and Ma. Luz Alicer, president of Foundation have agreed to organize a tourism development; A Crewlink Inc., the former bi-monthly Maritime Breakfast Forum (h) Financing, government incen­ manning agent of Singapore-based C­ which seeks to discuss issues relevant tives and legislative support; Link, finally received what she had prayed to the development of the maritime in­ (i) Maritime transport infrastruc­ for. Philippine Overseas Employment dustry. The terms of reference for the ture; and Administr~tion administrator Reynaldo series were tabled for discussion dur­ (j) Maritime Law issues and de­ Regalado has issued the order to black­ ing the first meeting of the series, held velopment. list and permanently ban the Singapore­ at the fourth floor of the Marine Tech­ (2) The schedule of the breakfast fo­ based shiprnanager C-Link Pte Ltd. from nology Center. which is also the new rum. which was established for the third recruiting Filipino seafarers. Its Philip­ site of the Maritime League office at Friday of Janual') and every second pine crewing agency JZEL Company has Aduana cor. Arz obispo Street. month thereafter. except for the month had its license suspended for 10 months lntramuros, Manila. of September (which is advanced to the on several counts of falsification of docu­ The initial meeting was attended by third Friday of August in order to al­ ments before the POEA. JZEL, which is Maritime League president and chair­ low the third Friday of September to be owned by Capt. Rodolfo Estampador, man Carlos L. Agustin. Marine Tech­ the date for the Annual Maritime Fo­ president ofthe Conference of Maritime nology Foundation president Abelardo rum). The venue was agreed to be at Manning Agencies (COMMA) and Oca. Ms. Aines Librodo of the Philip­ the Marine Technology Center. except Masters and Mates Association of the pine Interisland Shipping Association. as may be altered by consensus: Philippines (MMAP), was also fined Phillip Ong of the Manne Technology (3) Each session will have a host, PIOO,OOO for five counts of misrepresen­ Foundation. LCDR Cicero Loma of the which will take care of the breakfast. tation. Philippine Coast Guard. Philippine The second meeting will be hosted bv The case stemmed from a lawsuit filed Register of Shipping president Procopio the Maritime Law Association at th~ by complainant Alicer of Crew link. The Verge! de Dios, Jose J. Ferrer Jr. of the sa me site: two companies' relationship turned sour Maritime Law Association. Hans Paolo (4) The Maritime League will act as after C-Link, through its Dutch manag­ Bulos of the Senate Committee on Ser­ the secretariat: ing director Ronald Lafeber, refused to vices (representing Sen. Vicente Sotto) (5) Papers presented may be pub­ remit manning fees and late or non-pay­ and Domingo Bassig of the Philippine lished in the next issue of the Maritime ment of crew salaries since April 1997 Ports Authority. Review. An annual report will be sub­ amounting to some P6 million. Since then The meeting was opened with an in­ mitted to the Maritime League- Marine the new agency JZEL recruited crews to troduction by Mr. Oca about the Ma­ Technology Foundation membership board designated vessels but in reality, rine Technology Foundation followed and the industry as a whole during the were ordered to work on board the ves­ by a briefing by Commodore Agustin Annual Maritime Forum. Selected pa­ sels that were still registered with of the history, objectives and activities pers may be updated and included in Crewlink. JZEL through Estampador, of the Maritime League. the agenda for the annual forum. connived with the Singaporean principal Agreed upon during the meeting were: Among other comments were focus­ to circumvent POEA rules by processing (1) Grouping of the agencies/organi­ ing on areas such as competitive freight crew contract for a "ghost" tugboat. zations into sectoral/topical groups, such rates, transport routing to improve road Brag for ISM as tentatively: traffic, investment opportunities, infra­ Despite resistance from most domes­ (a) Cabotage and Trade Liberal- structure priorities, feedback on govern­ tic shipping operators to having their ization; ment programs in terms of applicabil­ ships covered with a safety management (b) Maritime Safety; ity to the industry and degree of suc­ system under the International Safety (c) Domestic Shipping; cess in implementation, and provision Management (ISM) Code, the Mari­ (d) International Shipping and of information to the private sector in time Industry Authority insists that Manning; terms of available financing, new tech­ they should abide by the provisions of (e) Shipbuilding and repair . nology and services, and foreign part­ the code to prevent future disasters. (f) Exploitation and Protection of : nership opportunities and assistance. Only two of those operators like Natural Resources (fishing, · 111 WG&A and Derma SbippiD& & - l MARITIME REVIEW • • • IN TilE LEAGUE • • ·

Transpor t Coq l. have signified thei r state control authorities. The Interna­ life. Computerization, which aims to rid interest to have their fleet obtained the tional ShiJlJiin g Feder ation (ISF) told the system of ·'fake marine officers," will r essential documents of compliance. members that parties in their role as include online retrieval of information of WG&A president Jesus Alcordo said flag states and port states should be dis­ the ship officer with his picture, histol) the company has been in the process of : couraged from making premature de­ of aJI his licenses and certificates issued. completing ISM documentation for its cisions regarding compliance with online registration and printing of regis­ entire SuperFerry fleet even before Ma­ STCW '95 until February 2002. tration certificates (including competenc) nna ordered domestic vessels to com­ Simon Bennett, the external rela­ and endor.>ement with picture of the of­ pi) ''ith the international regulation to tions ad\ iser of the ISF. has requested ficer), online printing of requested reports, minimize sea t ragedie~ . Five ofWG&A members to bring the message to the and use of security passwords to access SupcrFerries have obtained their sa fety attention of those within their national the database. management certificates from Lloyds administrations. The JSF said. "The Justice for Ken Register and Ame rican Bu n·au of white list process should not be given Ken Blyth. the Australian master of hipping'' hilc four others arc in the undue prominence beyond that antici­ Petro Ranger. process of being certificated Herrna pated at the 1995 STCW conference." the which was hijacked Shipping. an inter-island tanker opera­ National reports submitted to IMO by tn the South China Sea in Apnl. has tor. boasted that t\\O of its tankers haYc \'cHious countnes "may onl) constitute urged hts government to put pressure imtially been issued thctr documents of : progress reports on measures so far on Indonesia to bring the pirates to jus­ tice. He said the 12 men have returned co mpliance. He rmi nio Es~ u e rra . taken ... !SF. the international organi­ home to Indonesia after being freed b) Henna Shipping president. hopes to t.ation for shipowners in ~5 countries, have all his ships duly certificated has the Filipino Shipow ners' Associa­ Chinese authorities last October. Blyth short!). tion (FSA) as ItS member in the Phil­ believes they should have been extra­ ippines dited to Malaysia, where his ship was Panama's racket hijacked. but they were instead re­ United Filipino Sea fa re r ~ (U FS) Elected officers leased. pres1dcnt Nelso n Ramiret seems get ­ The Filipino Shipm' ners Association. The International Maritime Bureau ling llllpauent \\tlh the pronw.e of led b~ 1ts chamnan and president Carlos (1MB), \\hich monitors pirac) \\Orldwide. Panamanwn Embass~ th.ll lh home :II i n a~ of Phi lippine Transmarine Car­ expressed anger over the development. gO\ernment \\Ou!d scrap liS ll

the Philippines is his political affiliation. He joined politics in 1987, fresh from gov­ \~ . Maritime Calendar . ' enunent civil service. From that year he was I a member of the House ofRcprcscntatives Wltil Date Event Place 1992, representing the second district of Bulacan. Among the committees he headed December, 1998 as congressman is the Conmlittee on Trans­ 1-3 Australia-Philippines Business Council Adelaide, Australia portation and Communications. 2-3 First Philippine Ocean Summit AMOSUP Training Center Consistently, Representative Rivera was Intramuros, Manila chosen by various groups and institutions as 2-4 Seatradc Asia Pacific Cruise Convention Singapore one of the most outstanding congressmen of 4 Philippine Ship Agents Association Century Park Hotel, the Eightl1 Congress of the Philippines. Annual Induction of Officers Manila After Congress, Rivera 's next political 6 Annual USMNUSNA Army-Navy HQ Phil Coast Guard, leap was to nm for Vice President, but Football Game Reunion Manila this did not materialize because he had to 7-8 AIC Meeting: TELCOS in the Asian Singapore Oriental make "a political sacrifice." Crisis (AIC: 65-322-2700) "Jun" Rivera was supposed to be the 7-11 IMO Maritime Safety Committee 70th IMO, London, UK vice presidential mnning mate of then Meeting Senator Estrada during the 1992 elections 14-18 London Convention 72 20th Consultative lMO, London, UK until Estrada agreed to slide down as vice Meeting presidential candidate of businessman 18-20 Puerto Ga1era Yacht Race Puerto Galero, Mindoro Eduardo Danding C~juangco . 27-29 PGYC Christmas Regatta Puerto Galera, Mindoro When Estrada won the vice presiden­ January, 1999 tial race. Rivera served as Vice-President Assistant from 1992 to 1998 in the Office 15 2nd Maritime Breakfast Forum Marine Tech Center, of the Vice President. Maritime Law Association lntramuros, Manila He also served as secreta!) general of February the Estrada 's Partido ng Masang P1lipino 15 I 999 Maritime Review Fun Golf PN Golf Club, Manila before it was transformed int o Laban ng Tournament Masang Makabayang Pilipino for the 26-28 Punta Fuego Yac ht Races MYC, Manila 1998 presidential race. Ri\'cra served in the LAMMP management committee. March With his professional experience and I 3-21 MYC Picomell Series/Blue Gavel Cup MYC, Manila political affinity. Secretary Rivera has the 17-19 Call Centres Asia '99/ Raffles Convention Centre key to charting the future of Philippine Customer Management Asia '99 Singapore civil aviation. particularly in the de\'el­ (AIC : 65-3222749) opment and management of international April airports which are the global windows for national progress. 1-10 SBYC President's Cup Regatta Subic Bay, Zambales The two issues of privatization ofNAIA 27-29 Cards Asia '99 Singapore International and the development of Clark. according (AIC: 65-322-2749) Convention Centre to Secretary Rivera, indicate the importance May the government will be placing on the role 21 4th Maritime Breakfast Fomm Marine Tech Center, of Clark International Airport in t11c future Intramuros, Manila of the country's aviation industry. June He announced that the tcnninal building in Clark would be operational by mid-1999. 4-6 MYC Hamilo Cove Races MYC, Manila/Nasugbu, But it is not all civil aviation and poli­ Batangas tics that preoccupy Secretary Rivera 's IMO Council Meeting IMO, London, UK time. He is also active in sports, which 23-29 PACON '99 Russian Academy of has something to do with flying. Sciences, Moscow He is a member of the Valley Golf Club July and one of its former presidents. 11 PPA 25th Anniversary As a golfer, he also gained international 16 5th Maritime Breakfast Forum Marine Tech Center recognition. He won the World Amateur lntr.aDnuros, ~la Senior Golf Championship in Brodmore, Colorado Springs held from August 29 to September 1, 1993. 1 Mail, Fax, or E-Mail membership applications to our new address at:

The Maritime League Tel/Fax: (632) 527-9049 201 Marine Technology Center E-Mail: Maritime_LeagueY: Hotmail.com Aduana corner Arzobispo Street lntramuros, Manila 1002 ,------, I The Maritime League I I Room 201 Marine Technology Center Aduana cor. Arzobispo Street lntramuros, Manila 1002

MembershiJl Application Form

(Date) The Secretariat The Maritime League 20 1 Marine Technology Center Aduana cor. Arzobizopo Street lntramuros, Manila 1002

Sir:

I would like to apply for membership to The Maritime Lea~orue as indicated below and enjoy the privileges of membership, including a free subscription to Til e Maritime Review.

Membership: 0 Life Membership (P 10.000.00 one time dues fo rthosc aged 60 and aboYc. or as follows): Age ~ &. bel ~w j I j2 j J j 4 H 10 17 '~ '9 oo & ,,J>,wt Am~unt P20.000 19.000 1~.000 11.000 16.000 IS.OOO 14,000 IJ.OOO 12.000 11.000 10.000 0 Corporate Membership (P 10,000.00 initial and P 1.000.00 annual dues)* 0 Regular Membership (P 2,000.00 initial and P 1,000.00 annual dues) 0 Associate Membership (P 1,000.00 initial and P 1,000.00 annual dues)

Mode of payment: 0 Enclosed is my check payment for P______0 Please bill me.

Hereunder are my personal data for your reference.

FullName: ------Position I Title: ------­ Office I Company:

Business Addre~s : ______

Telephone No: ______Fax No: ------

Home Address: ------Tel. No: ------­ Date of Birth: ------Place: ~ Preferred mailing address: 0 Office 0 Home (Signature) 1..- l .::.:o~~~·~~ti~<'~~ ~""='!;._Th..!!'~~~ ~ ".:.:!"~~ta.:..:U ~<'l~claly r~v~ ~t$~deuce ~$the ~~" ~~~~~.:!tu.!.. ___O"~.J 1 MARITIMEREVIEW . • • WoRD FRoM FVR • • · : Philippines would be among the first East ; Asian economies to recover from the cri­ The Philippines and the : sis. · This year the Indonesian economy may • • • : decline by as much as 15%- 20%, econom 1c cr1s1s ; Thailand's economy will contract by at : least 6-7% ; and Malaysia's economy by By Fidel Valdez Ramos ; 3-5%, even Singapore is on the verge of Introduction Something more has to be done about : recession; its economy is expected to grow We are all aware of how badly the fi­ the volatility of short-term capital move­ ; by no more than 0.5%- 1.5% this year. nancwl and currency crisis has ravaged ments and the inherent instability of fi­ · By contrast the Philippine econom) ts the economies - and politics of East nancial markets - cvmpoundcd by the ; still projected to grow by at least a net of Asw. and how seYerel) it threatens the information revolution generated by the : 1.5%. And while ThaHand, Indonesia and economies of even the affluent societies convergence of the new communications ; South Korea among them have run of Europe and the Americas. This region and computer technologies. : through $100 Billion in I.M.F. funds with has suffered one of the most drastic re­ And it is clear the conventional rem­ ; little visible effect. The Philippines is just versals of fortune in modem history . And edies of the International Monetary Fund : begmning to dip into an I. M. F. standby although the crisis initially affected only (TMF) are no longer responsive. The IMF ; credit of $1.3 Billion with a modest $260 our cap1tal market. it now threatens the must rethink its bail-out tacllcs- its usual : Million request. reg10n 's real econom) . requirements for light money and fiscal · As you well knO\\, we exited last March Singapore and the Philippines are rela­ restraint - when. typically at this time, : - as planned - from 35 years of supervi­ tl\el) fortunate in that the1r econonues borrO\\ers need credit. and economies ; sion by the IMF - even whlle our neigh­ contmue to creep along poslll\ el) - The need pump-pnmmg. : bors were actively seeking lMF atd for Philippines b) about I 0%. But. in Thai­ Whether one agrees or not with the spe­ ; their own financial systems. land for instance. the optinusts and the cific measures that Malaysta has taken - What is more, our country's exports stLII pess1mi sts are dtsttngtnshable on I ~ b~ how to defend itself against speculative assaults ; enjoy the highest growth rate in the re­ far down the) expect the econom\ to fa ll on its currency, one must sympathize with : gion. Although they are slowing down, Accordtng to some reports. the latter re­ Kuala Lumpur's effort to ISOlate itself ; our exports led by electronics. tex1Jles and ports expect Thailand's gross domestiC from what 1t sees as a kind of free-wheel­ : garments and valued at about S2.4 B!l­ product to contract dO\\ n to 16%-''hi le ing global capitalism running out of con­ ; lion per month over January - July still the former C\pect 11 to contract b) onl) trol · grew by 20% over exports of the same 6%. So l think the time has come to con­ ; pcnod last year. In addition, foreign di­ "The Economist" estimates lndonesm's vene an international conference on how : rect investment into the Philippines is econom) to contract b) between 15-20°/o. to regulate the global economy. ; higher than in other ASEAN countries and that of Malaysia by a relatively mild Because this financial- and now eco­ Another favorable factor is that remit­ 3-5°/o. . nomic--<:risis is not East Asia's alone. ; tances from our heroic overseas workers The experts d1 sagree on the causes of : This cris1s has become a global prob­ : - which average $5 to 7 Bilhon a year­ this unprecedented phenomenon; some lem and the measures to deal with it must ; prop up both the exchange rate and con­ blame it on structural deficienc1cs in the also be global and international. : sumer-spending and OFW remittances are financtal systems, economies, politics - Effects of globalization ; apparently accelerating again, after slow­ and even the cultures - of individual coun­ : ing down in 1997. Having got that of my chest, let me now tries. Others cite the volatility of interna­ The National Government Deficit tional capital arising from economic turn to the effects on the Philippines on the currency crisis so far. Of course, the crisis has caused a se­ globalization. Still other point to the in­ : vere shortfall in government revenues. adequacy of mtemational cooperation. While our country's economy has not escaped being involved in the East Asian ; This year the two revenue agencies have I. GLOBALIZATION IS A FACT OF : Currency Turmoil, it has been one of the : been fallen far short of their targets - The CONTEMPORARY LIFE least hurt by the financial crisis and - in ; Bureau of Internal Revenue by 7.3% and Whether we like it or not, globalization the words of the Investment House : the Bureau of Customs by 25%. is a fact of contemporary life, it is inevi­ Dresdner Kleinwort Benson - it now · At the end of June, the national gov­ table, and it is here. "Look as ifit will be the first Asian Mar­ : emment deficit stood at some 24 billion A global economy is being created - ket to recover" . ; pesos. We had initiated cost-cutting mea­ irreversibly - by the spread of the revolu­ No major Bank - or Corporate - fail­ : sures in government by virtue of an ex­ tion in communication and information ure (knock on wood ) has yet occurred . ; ecutive order issued by me in late Decem­ technologies. and the experts - the investor and fund : ber 1997 for implementation starting on Clearly, internal reforms and liberal poli­ managers who must put their money : day one of 1998. cies - although necessary - are not enough. where their mouths are-have been fairly Records show that these measures rep­ unanimous in their projections that the resent a total of some 66 billion pesos in MARITIME wr vu:w · • • WoRD FROM FVR • • ·

forced savings, and, as part of these aus­ Ill. THE KEY ROLES OF FOREIGN (Chatrman'r Page· contmuedfrom page 5) terity measures, we withheld releasing INVESTORS the century, the US had acted as if it countryside development and congres­ Finally, What role do I see in our na­ owned the Shoal, since it was liberally sional initiative funds wort11 some Pl4.4 tional effort at economy recovery for for­ used for nava l gunfire and bomb nms billion (even in an election year) without, eign investors in this country ? by air and naval units based in the Phil­ however neglecting the interventions nec­ 1 see their role as crucial - given our ippines for training. After we gained in­ essary to mitigate the severe effects of El own low savings rate and our dire need dependence in 1946 we acted as if we Nino upon our agricultural sector which not only for carital but for new technol­ inherited the Shoal as part of the deaL constitutes l/3 of the National Economy. ogy and modem management skills. and the US acted as if using the Shoal l understand the new economic man­ Foreign direct investment brings in new was part of the RP-US Mutua I Defense agers are confident they can keep the defi­ technologies and management skills. Treaty. Tn fact at least 50% of our joint cit down to less than 40 Billion Pesos - Capital flows from foreign direct invest­ naval exercises involved such shore even while allowing the Estrada-admin­ ment and portfolio investment broaden the bombardment events. Philippine Navy IStration to pump-prime the econom) and flow of funds and therefore reduce the cost units exercising their main armament invest in agricult\Jral modernization. ofcapital to our own domestic companies. did so, and volumes of Notice to Mari­ II. RESTORING THE ECONOMY TO Along with their money, foreign direct ners may be shown to support this. And THE PATH OF GROWTH investors usually bring new production no squeak whatsoever from China. Let me now turn to sectoral strategies practices and new product lines. Many of Secondly, that we had established a light and priorities for restoring the economy this innovations soon become part of the station at Scarborough Shoal is a matter to the path of grO\\th country's conventional business practices. of record. I believe there were earlier ones The new administration ·s announced For example. Japan ·s lean production but the one r am most familiar with ts the priority of focusing investment in agri­ techniques: quality circles. .. Just in time" one I had instructed to be installed some culture is sound not only because agricul­ (J .I. T.) inventories. "One Village-One time in 1991 by a Coast Guard buoy ten­ ture still employs the bulk of all our work Product" Practice. and close supplier re­ der during my tenure as PCG Comman­ people - but also because the typical Fili­ lationships have all become part of the dant. We advised the International Mari­ pino still spends 51% of all his income I ntcrnational Manufacturing Heritage. time Organization about it. an appropri­ on food . I agree \\ Jth President Estrada's policy ate notice detailing its location and char­ actenstics was issued. and it was listed in Keeping the food suppl~ up-and food dec1s1on to continue keeping the econom) prices down - must therefore be among open to investment flows in an) effort to the List of Lights. By the wa) . establish­ government's first priorities We must restrict the inward now of cap1tal. it is ing a beacon or fi .xcd structure is one way keep inflation control and maintain the difficult to distinguish between short-term of pinpointing a base point under the ar­ price stability of basic commodities - C\'Cn and long-term investments to the detri­ chipelagic rule and hence we can drm' if we must import food to do so. ment of our hope for sustained gr0\\1h. base lines from the closest points of Over the past 15 months. the warm El Discouraging short-term capital inflows and the Shoal (this is in the draft Shahani Nii\o currents dried up farming. fislung nms the risk of discouraging also the in­ Bill). and forestry with the drought no\\ prob­ no,, of long-term foreign direct invest­ .1. 11 ably over agriculture should revive - par­ ment. If potentiallong·term investors are The US Naval Institute celebrated its ticularly since government apparently in­ uncertain about repatriating future earn­ !25th anniversary last October. One of the tends to continue investing in irrigation ings and dividends, they may not even institutions that had inspired and encour­ and rural infrastructure - and in gener­ make an investment in the first place. aged us to establish the Maritime League, ally modernizing agriculture. Strengthening Our Financial its founding in 1873 came at a time \\hen Agriculture continues to perform way Institutions a few good men (a favorite phrase of below its potential because of backward The better solution - ifless spectacular mine) got together determined to prosely­ technologies and an iniquitous land ten­ one - is to strengthen quietly the supervi­ tize on the good news on Sea Power after ure system rural constituencies - because sion of financial institutions and to en­ Alfred Thayer Mahan published his fa­ they are scattered and difficult to orga­ force soul capital standards - both for dis­ mous thesis. The Institute served its pur­ nized -cannot exert sustained pressure on courage banks from profligate lending and pose of helping to get the President of the government. to reinforce their financial positions. So United States, the US Congress and the 1 will support any serious effort by this that they can withstand loan losses should people to support the expansion of the administration to carry out the agricul­ they occur. Navy and firmly establish American mari­ tural modernization program spelled out So my own feelings - which I believe time policy and expansion in the Pacific by the tenth congress. is shared by our incumbent political deci­ (That's how we got to speak English very As for industry, it should concentrate sion-makers- is that foreign investors will early). on expanding export and industrial out­ always have a hospitable and profitable put for the home market by doing so, it place in this country - as investors, trad­ Carlos L. Agustin will also create more quality jobs for our ing partners and faithful friend. 1 Chainnan work people. D s _A

~ sailing across barriers

tiJomestic Shipowners .9Lssociation G/F Stanford Tower Condominium 1870 M.H. del Pilar St., Malate, Manila Tel. Nos.: 521-4231, 521-4084, 521-8101 Fax No.: 521-5817 M ARITIME REVIEW • • • SPECIAL ANNOUNCEMENTS •• •

International • THE OCEAN CHARTER Year of the agree that:

The oceans and their resO\Jrces are a necessary element of life on this planet;

Ocean,1998 The hea~h of the oceans and the sustalnabillty of the renewable resources, together with the wise and safe uses of~s other bounties must be an axiom for all governments to accept and honour for the long-term benefit and eJdstence of their respective and Last Call: collective people; The acquis"ion of the knowledge necessary for the understanding and stewardship of the oceans and their adjacent ssas and for the adoption of policies, standards and regulations to protect the ocean environment and to husband"' recources, are goals to be pursued both nationally and lntemationally; and

OCEAN There must be mutual assistance and the will to wor1< together to achieve common goats fof the oceans· adjacent and regional coastal states should cooperate in the adoption of local policies and actions • countries with knowledge and resources shO\Jid assist less fortunate neighbours • data and Information for global regional CHARTER problems should be readily available · States should make use of international and intergovernmental organizations to generate global programmes and agreements.

Acting on behalf of the (GOWIOHMIHT cmcl) I recognize the wisdom of acting In unison to protect the oceans and to use Its reSO\Jrces In a sustainable manner COMMITTMENTS and accept this Ocean Charter as a basis for future action. Signed this _ __ day of , 1998 URGED International Year of the Ocean

Witnesseth: ith the closing of the ~· e.ar 1998 also comes the closing of the International Year of Wthe Ocean. A campaign had been initi- ated, albeit somewhat late. for signatures for The Ocean Charter for heads of government offices and My Ocean Charter for any indi\'idual who agrees with its content. These were both explained during the First Ocean Summit conducted at the AMOSUP Training Center, Intramuros. Manila on 2-3 December. 1998. The commitments will be incorporated in a book to be compiled by the UN E nvironmental Program A G R E E

(UNEP) and the United Nations as part of the Inter­ Ttw OQC:IInt tn4 the cru.llWt ~"arc • ftC't'C'tWJ'Y 01111 We need 10 work ~ 10 tuCIC:ced - ..-\thin ofttftOft thitpla.net. ~_,ltl peop4t: aut 'nf\.ence UONn ~I( d'lcy national Year of the Ocean project. act t.oetther- lri(Cf'Nrk)N(Iy, eiOUf\O'Ift thou~ hdp M t inWnl"f; tht huhh or \he OC~41nt a.nd tht: tt..l'l" MleJhbuun and. .cecpt rqrio~ PQikkt and We urge all readers, members and non-members •bund.tntc of tu ~. tiOif:ther w\th ~ W\te Mel ..aortt - c;o~,~rntift Nvtne chot knowHd~rt •M tl.~ ~ o( .tJ Its re.o.,n;a, tnUft bot .ecot.pted and • ft'tOUrccl thould ..,.a ~ fortuN-te n.uont - O.t~ alike. to reproduce as necessary. u1derstand, sign and ho~ hy ~lmO'IU lu Lhat fuM'C' ~Uont 1nd ;nfonnadon Oft the OCtilns thouJd. ~ tudiJy can~ d'llt c."Otft&nvl"' btndtt fot all ~H send to: ~-"- l~land fn~t.l Ul'ltknwr'ldina N mMiM ctwlfVM\Cnf tncl r~ 11Y~n1 Ofl-n«UiiOM thoukf be ~ 'OJ ....,....,.. ..~ community, It nc.or;;aMt)' lor the '~'P Ql Uw ~·rtd~·· OCfWII W'l4 do.c we.. .and kw Chc maJVne oiMci.&ont co Dr. Rafael D. Guerrero III pn;)te(tand.~t-~

Executive Director l'ROMISE

Philippine CounCil for to mnembtt ft,y oetMJ charur, In my lfftttn~ru of the ~am1nd the watft't th•t Row into the ocean, Aquatic Research and Development in my work and In my pky •nd in the ~uns chM l make. Dr. Alfonso Eusebio Building BPI Economic Garden .# Los Baftos, Laguna

Commo. Carlos L. Agm1in AFP (ret) President and CEO TheMaritime League

111 turm fLMf ~ tHurm rM '111 ws .....- ~ SIHII6 fnlt 1ll .....-r 1&55 fall ~ MSSUS at 1ll IIIIlS ,_, tDMC fall ~ ICatK fait 1ll .., wuftaf ~ 6Mttallll ,... .. ~ ..,..,. '111 ~ llmSl ~ HMm-.! ..-s/tplf HIUIS'WJ...... K~'111 ..,...... , ...... "1115-.... ~~ ...... -r. ~ ~ .. ~ ..,"•atJJIA •• , ••.•

Looking for a port operator with these qualities? transformed ports into modern and efficient Read between the lines. You'll see these five gateways for international trade. initials: ICTSI. While these terminals have become the bench- International Container Terminal Services, Inc., mark for port operations within their respective operates container terminals in Manila, Argentina regions, ICTSI continues to set higher standards, and Mexico. Into each, ICTSI aiming constantly for world-class I nt ernati ona pours the expertise that has Container Terminal excellence, nothing less. Services, Inca. GLOBAL REACH , PHILIPPINE EXPERTISE .

ICISI Mm'"''t"t>On Bldg. M•n<•lntem•t•on•l Cont••nrr Trrmtl\11. MICT South Access Ro1d. M•n ~• 10~7 . Phthppones leis 163217~1 - T~~~ Fu 1632i2S30004 P 0 Box 279 Mantia Central