QuestionsQuestions (MIA MEMORANDUM CIRCULAR NO. 79)
To foster standards for domestic shipping operations, protect the public interest, generate vital data for MARINA’s supervision/regulation/rationalization of ownership and operations, and prevent the proliferation of incompetent or unreliable “fly-by-night” vessel operators.
All persons, corporations, firms, and entities engaged in using vessels for the carriage of passengers or cargo between Philippine ports and places (interisland water transport). Domestic shipping entities already registered/accredited under MARINA MC Nos. 9 and 51 must be accredited under this Circular after one (1) year from effectivity.
The applicant must be a Philippine citizen/permanent resident, or a corporation/co-partnership/association/joint-stock company organized under Philippine laws with at least 60% of subscribed capital entirely owned by Philippine citizens.
Their primary purpose, as reflected in the Articles of Incorporation/Partnership, must be to engage primarily in domestic shipping business/operation.
Domestic shipping operations must be a major activity or concern and must be duly registered with the Bureau of Domestic Trade/DTI.
At least two (2) principal officers (e.g., President, VP for Operations, or General Manager equivalents) must each have at least two (2) years’ experience in ship management/shipping operations/and/or chartering. The CEO and COO (or equivalents) must be Philippine citizens and permanent residents.
The owner/operator or a principal officer must have at least two (2) years’ experience in ship management, shipping operations, and/or chartering.
Minimum paid-up capital depends on the total GRT of the owned/operated vessels, with specified tiers (e.g., below 500 GRT: P5M; 501–1000 GRT: P7.5M; …; above 5000 GRT: P6.0M). If no vessel is owned/operated at filing, minimum paid-up capital is P500,000.
Minimum capitalization depends on total GRT with tiers: 20 GRT below: P50,000; 21–500: P200,000; above 500: P500,000. If no vessel is owned/operated at filing, minimum is P50,000.
Minimum capitalization depends on total GRT with tiers: 20 GRT below: P15,000; 21–500: P50,000; above 500: P200,000. If no vessel is owned/operated at filing, minimum is P15,000.
Minimum paid-up capital must not be less than P1.25M for operators engaged in passenger-cargo services and P1.0M for operators engaged in cargo services (including tankers and barges), proven via a public instrument recorded with the SEC.
A minimum paid-up capital of P5.0M.
Including: (1) letter of intent to MARINA; (2) list of vessels owned/chartered (with vessel specifications, certificate of ownership from PCG, routing patterns, schedules); (3) latest audited financial statement if already in operation; (4) list of incorporators/directors/principal officers with bios emphasizing shipping experience supported by acceptable documents; (5) SEC-approved Articles/By-Laws and SEC Examiners and Appraisers Certification (for corporations/partnerships) or DTI business registration/license (for single proprietorships); and (6) proof of payment of prescribed fee.
They no longer need to be re-submitted if verified to already be on file, provided the applicant indicates such prior submissions in the letter of intent.
Valid for three (3) years from the date of issuance; renewal may be granted upon compliance with/submission of all relevant MARINA requirements.
They must: (1) amend Articles/By-Laws within 30 calendar days from SEC approval of amendments; (2) replace any director or principal officer within 30 days thereafter with the biodata of the replacement; and (3) submit audited financial statements (profit and loss and balance sheet) on or before 30 April from the close of each calendar year.
Unauthorized withdrawal or unauthorized suspension of operations for four (4) continuous months or more may cause cancellation/revocation of the certificate after due notice and hearing. MARINA will consider the reasons and may recommend refund of incentives availed, with or without interest or penalties.
After notice and hearing: (a) failure to maintain qualification requirements; (b) failure to submit the Section 4 requirements; and (c) willful or gross violation of laws/rules/regulations pertaining to domestic shipping.
Pending compliance with Section 4 and the determination of liability, no application for license, permit, authority, financial assistance, or incentives shall be acted upon or granted by MARINA.