Title
ISM Code Rules for Domestic Philippine Shipping
Law
Mia Memorandum Circular No. 143
Decision Date
Jun 3, 1999
The Maritime Industry Authority (MARINA) establishes rules to implement the International Safety Management (ISM) Code for selected domestic ships, mandating compliance through the issuance of Safety Management Certificates and Documents of Compliance to enhance safety and environmental protection in shipping operations.

Coverage of the Rule

  • Applies to specific domestic ships mandated for classification and safety, notably:
    • Passenger High Speed Crafts.
    • Passenger-carrying ships required or currently classed.
    • Oil tankers, chemical tankers, and gas carriers of 500 gross tons and above.
    • Bulk carriers of 500 gross tons and above required to be classed.
  • Compliance harmonized with other maritime conventions and existing policies focusing on passenger safety and pollution prevention.

Key Definitions and References

  • Administration: Maritime Industry Authority (MARINA).
  • Code: International Safety Management (ISM) Code.
  • Company: Owner or entity responsible for ship operation and compliance with the ISM Code.
  • Safety Management System (SMS): Documented system to implement safety and environmental policies.
  • Document of Compliance (DOC): Certification for company compliance with ISM Code.
  • Safety Management Certificate (SMC): Certification verifying shipboard operation according to approved SMS.
  • Recognized Organization (RO): Entities accredited by MARINA to conduct ISM audits and certification.
  • Implementation aligns with ISM Code, SOLAS Chapter IX, IMO Resolution A.788 (19), and A.739 (18).

General Provisions and Compliance Deadlines

  • From 01 July 1999, only companies with valid DOC may operate covered ships.
  • By 31 December 1999, all covered ships must have SMC.
  • New operations post-effectivity: 12 months to secure DOC and SMC from accreditation/registration date.
  • Pre-existing operations after 29 October 1998: 12 months to comply from accreditation/registration.

Specific Operational Provisions

  • Companies must develop, adopt, and implement an SMS.
  • Owner/disponent owner must notify MARINA of entity assuming operational responsibility and ISM Code compliance.
  • ISM certification can be obtained from MARINA or Recognized Organizations; full-term DOC and SMC issued by MARINA.
  • Previously issued DOCs/SMCs must be presented to MARINA for notation.
  • MARINA may withdraw or invalidate DOC/SMC if compliance is not met.
  • Organizations providing ISM certification services must secure MARINA authorization.
  • MARINA reserves the right to conduct verification or audit as necessary.

Fees and Charges

  • DOC (full-term or interim): P4,000 per document.
  • SMC (full-term or interim): P4,000 per certificate.
  • Audit fees (company):
    • Category I (small, ≤20 employees): P16,000.
    • Category II (medium, 21–50 employees): P24,000.
    • Category III (large, >50 employees): P24,000.
  • Audit fees (ship categories):
    • Category I: P16,000 - Oil tankers, gas carriers, bulk carriers ≥500 GT, passenger ships with <300 passengers.
    • Category II: P16,000 - Passenger ships with 300–1,499 passengers, chemical tankers.
    • Category III: P24,000 - Passenger ships with ≥1,500 passengers.
  • Additional P3,000/day per auditor plus economy airfare for audits outside auditor's work station.

Sanctions and Penalties

  • Failure to possess or submit required DOC/SMC post-compliance dates leads to:
    • Temporary suspension of ship licenses/operation.
    • Suspension of company accreditation.
    • Deferral of MARINA actions on pending applications.
  • Fines imposed after due notice and hearing:
    • Non-possession/non-renewal of DOC or SMC: P50,000 per company or ship.
    • Failure to notify MARINA of responsible entity for ISM Code compliance: P25,000.

Repealing Clause

  • Previous Memorandum Circulars, rules, or issuances inconsistent with these rules are amended or repealed.

Effectivity

  • The Circular takes effect fifteen (15) days after publication in a newspaper of general circulation.
  • Adopted on 3 June 1999.

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