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VOLUME VIII NO.3 ISSN 1908-0972
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MAY - JUNE 2013
MARINO WORLD
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Publisher’s Note
EDITORIAL BOARD Publisher
Editorial Consultant
Lyn Bacani
Creative Director
B. Cortes Lagac
Legal Counsel
Content Critique
Commo. Dante Jimenez
Eva Tan
Jhon Henson Ong
Atty. Manuel Obedoza
News and Feature Writers Coca H. Strobar
Ligaya Caban
Contributors
Comm. Tess Lora Dr. Alice Lamigo Capt. Rodolfo Aspillaga
Ms. Merle San Pedro RAdm. Adonis Donato Capt. Edwin Itable
International Correspondents
F R Chowdhury
Mark Millar
Circulation Jomelyn Tud Joamirica Tud
Marketing
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OUR SEAFARERS, PLEASE June 25th is Day of the Seafarers, an IMO declaration recognizing invaluable contributions of seafarers to international trade, to global economy. Our President and the nation pay tribute to Filipino Seafarers who labored to claim the Philippines is the Maritime Manning Capital of the World. Indeed, craftsmanship and commitment, patience and innovation, loyalty and diligence our seafarers have shown the world --- as far back as the ‘60s on foreign-flagged vessels, increasing with the oil crises of the 70’s. This year, theme is Faces of the Sea, spotlight on more than 300,000 Filipinos of the 1.2 million seafarers operating ocean-going vessels --- thus, not a single minute without a Filipino plying on blue waters. But comes the European Union’s EMSA fly in the ointment on
Philippine compliance with the STCW Convention, threatening withdrawal of recognition on essential certificates.
may find the ergonomic “fit” for the employed, our seafarers.
This shall disallow Filipinos to work on EU-flagged vessels. Maybe, other nations may follow and there goes opportunities.
Also, ANGKLA as a recently elected partylist representative of mariners in the Lower House may take initiative in appropriate legislations or amendments to give punch to EO 75.
Whether the threat is bogey or bogus, the Philippines must respond heads up for parity and fairness.
Government agencies on turf wars are a shame and fodder to foreign nitpickings.
Some parties take EMSA as disrespect on sovereignty, barging on VIMSAS and questioning IMO’s White List.
So much to do, to be better. But cultural habits on time, apathy and grandstanding are barriers to effective reforms.
Yet, we take in good faith the intention and practical realization EMSA prods us to expand because we can do more not because we accept less. The outgoing MARINA OIC worked really hard but unwittingly within parameters of the employers. The new Administrator, being from doctoral academe’ and with a network of peers,
Credit rating companies are all bells for our economy yet we are bullied in Sabah, in Panatag and by Taiwan. Maybe we should do a paradigm shift, a 180-degree turn. When challenged, we act not as damsels in distress. But as warriors under siege.
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Government
The EMSA Audit: Bogey Man or Bogus Threat?
Cover Story Turbulent MARINA Midstream CHANGING OF THE GUARDS Manning PAL Maritime turns 34 ONE BSM for MLC Challenges Education MPCF Ring-Hop and Commencement Shipping InterManager hooks on lifeboat concern Ports
22 08 14 18 20 27 34
ICTSI bid shortlisted
Content
ABOUT THE COVER Photo by: Jomelyn Tud & Jhon Henson Ong Layout by: Jhon Henson Ong
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Highlights the decision of The Powers to risk horses in midstream of EMSA at the MARINA. It is a defining moment. Or a debatable gamble? MARINO WORLD
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Cover Story TURBULENT MARINA MIDSTREAM
CHANGING OF THE
GUARDS by Ligaya Caban
“We are concerned that midstream organizational corrections may hamper the continuity of the efforts...”
C
alm is usual at the MARINA, with barely the noises of work. The OIC is well-liked, straightforward, competent. And a workaholic. All is fine and controlled, the formal designation as Administrator is simply of time and formality. But by early May, whispers became louder on the imminent change of leadership. A darkhorse could upset the apple cart of the OIC and those already in his confidence. Some quick meetings here, some sparkling ideas there. As rumors persist to a crescendo, straight and open lobbying were decided upon. United Filipino Seafarers (UFS) published on May 27th in a major broadsheet an Open Letter to The President warning against changes on the top leadership at the MARINA since it is “racing “ with the preparations “… for the second and last stage audit (of EMSA) … (to) save the jobs of thousands of our fellow Filipino seamen…” UFS even worries why the head of MARINA is only on acting or OIC designation, a status which the EC and EMSA may question on its next audit anticipated by October. Clearly, UFS is pitching for Atty. Nicasio A. Conti to take full reins of the MARINA.
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- ICS Sec-Gen Peter Hinchliffe
Earlier was Masters and Mates Association (MMAP) Open Letter of May 25th to the President thru DOTC Secretary Joseph Abaya that recognizes “… the endeavors spearheaded by the current OIC-Administrator (Atty Conti)” who should be retained at least until after the final EMSA audit. MMAP claims “… Atty Conti has demonstrated his steadfast leadership, commitment, dedication and passion to enhance the image of MARINA aside from spearheading various initiatives to ensure the country’s compliance to the STCW Convention, as amended.” On May 10th, the International Chamber of Shipping (ICS) wrote to President Aquino via Foreign Affairs Secretary Albert del Rosario urging, “… a steady path working through MARINA and its current team... We are concerned that mid-stream organizational corrections may hamper the continuity of the efforts… (by MARINA under Conti). On top of individual endorsements, the UFS, MMAP and ICS combined lobby for Atty. Conti is something to achieve and a testimony to a great stint. But a wee bit too late, on timing and depth.
Palace deals cards. President Aquino has signed on May 22nd the appointment of Dr. Maximo Quibranza Mejia, Jr. who flew in to Manila the following day. Despite last minute lobbies against Mejia (actually not against him but more for Atty. Conti), Dr. Mejia took his oath May 27th before Secretary Abaya to be the first head of the MARINA as the Single Administrator of things maritime in the country. Secretary Abaya says, “I have tasked Prof. Mejia to bring MARINA up to par with international standards in all aspects of the Philippine maritime sector. His credentials and mastery of the industry give me full faith in his ability to do just that.”
Observers speculate Conti was replaced because he failed to satisfy EMSA auditors last April. Allegedly, Conti was unable to maximize on EO75, mishandling the turf wars of other agencies needed by MARINA in its mandate. Be that as it may, some even claim Conti tried partisan political clout by allowing his wife to run for public office where one gets enemies yet also earns some patrons. But the wife lost; Conti now is left with increasing enemies and decreasing patrons. Other reasons, other speculations are often colored by personal interests. Some are genuinely sad; grizzly bitter, as others searches for faster access into the inner sanctum of the new dispensation.
Enter the dragon. It is not that Mejia is disliked, Conti is just generally well-received by maritime stakeholders. Mejia assumes when the country’s maritime industry is facing serious challenges: •
Declining registry of ships under the Philippine flag
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Threat of withdrawal of the recognition by the EU of certificates issued by the Philippine government under the 1978 International Convention on Standards of Training, Certification and Watchkeeping (STCW)
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Increasing our global share of seafarers given the meltdown on shipping
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Piracy, benefits and other pecuniary benefits for seafarers
Unassuming, mild-mannered, an average Filipino at 5’4”. Malayan tan, batang Maynila since 48 years back. Second in a brood of six boys of PC Col. Maximo A. Mejia (Concepcion, Tarlac/ Pampango) who shifted to farming and logistics now managed by Arthur, Arsenio and Arnie. Mom is Thelma Quibranza (Tubod, Lanao del Norte/Cebuana) direct bloodline of Arsenio Quibranza who was the longest sitting governor and patriarch of the clan entrenched in elective positions; arguably, an influential political power broker. Darling dearest is Rebecca, a Swedish nurse, their union blessed with teenagers: Jemima (17), Maxine (15) and Isaac, (12); perhaps springing from the mother the Biblical names. The family travels for pleasure; he loves the opera (culturati!), to read and write (literati!) and play golf (sa Makati?). And target shooting. But that will be for next year when he would have enough enemies. Joke.
Be-degreed. From Don Bosco HS-Mandaluyong (‘81), he took letters from De La Salle
University (‘81-‘83), LlA-COM, history, political science and business. He was accepted into the Philippine Military Academy (‘84) but proceeded to the US Naval Academy in Annapolis, Maryland where he graduated (‘88) with merits with a political science degree, major in international security studies. Max went into the Fletcher School of Law and Diplomacy, Tufts U-Massachusetts, earning (‘90) a master of arts in law and diplomacy (MALD), international. Next was a Masters in maritime safety administration (‘94) at the World Maritime U- Malmo, Sweden. Mejia was bestowed (2005) a Licentiate in Engineering at Lund U-Sweden, where he was awarded (2008) a doctorate in law and ergonomics in maritime safety as is the title of his doctoral thesis. (Human Factor or Ergonomics (HE&E) is a multi-disciplinary field including psychology, engineering, biomechanics, mechanobiology, industrial and graphic designs, statistics, operations research and anthropometry. It is the study of designing equipment or devices that fit the human body and its cognitive ability, states Wikipedia encyclopedia. Ergonomics is the understanding of interactions among humans and other elements of the system; it applies theory, principles, data and methods to optimize human well-being and overall system performance, clarifies the International
Abaya adds, “At the same time, I wish to thank Atty. Nic Conti for his steady stewardship of MARINA as Officer-inCharge” vice Administrator Emerson Lorenzo who resigned earlier. This new kid in the block? Crown prince of the road? Conti did a mean act to follow. Could Dr. Mejia score threepointers? And fast, as the EMSA final audit is almost round the corner. Taking the oath for God, people and family. MARINO WORLD
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CHANGING OF THE GUARDS
Ergonomics Association.) It is a strong suit for Mejia for ergonomics is directly relevant to health, safety and productivity. It seeks the “fit” between the user, equipment and environment so elemental in maritime work specially when plying and alone on blue waters)
and the Coast Guard (archipelagic shore and waters). At the time of his appointment, Mejia was the only Filipino Professor at WMU, an institution of the International Maritime Organization (UN- IMO) to serve as the global center for advanced maritime education and research.
Compact job trail.
Among his students at WMU are:
Prof. Mejia heads the Maritime Law and Policy Specialisation at WMU where he is a resident faculty member since 1998. He is Secretary of Doctoral Programmes and teaches maritime policy, law, human factors (ergonomics) and security-related courses.
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The professor is an ILO-Certified MLC 2006 Trainer. He has led in workshops on the ISPS Code, MLC 2006 and other seminars on maritime law and policy. He has lectured in over 30 countries, in all continents except Antarctica. A wide reader, he is also a prolific writer, viz: • • • •
Associate Editor, WMU Journal of Maritime Affairs Co-Editor, WMU Studies in Maritime Affairs Author/Co-author of seven books on maritime security Author/Co-author of chapters and articles in international peerreviewed journals
He served the Philippine Navy and then the Coast Guard, both shore and offshore, inter alia: • • • •
Commander, Port State ControlManila Commander, Coast Guard-Iligan Dep Exec Director, Presidential Task Force on Maritime Development Asst CoS for Navigational Safety
Few realize Prof. Mejia (with DOTC U/Sec Valdez and Commo. Garcia) engineered the separation of the Coast Guard from the Navy. PCG became the third uniformed service of the country, at par with the Armed Forces (external threats), the Police (internal security)
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• • •
PCG Commandant Rear Admiral Rodolfo Isorena Former Commandant Vice Admiral Edmund Tan PMMA President Rear Admiral Richard Ritual Scholars and officials from PMMA, National Maritime Polytechnic, PCG, MARINA and others on the WMU scholarships program to state-owned institutions
Peek interview. “To be honest, I was very reluctant,” given the dislocation of the family, paradigm shift of a successful career, and the honors and safety of the academe’. But there was his faith in Pres. Aquino, his belief in Sec. Abaya; and a nagging passion for the maritime since he was at PCG. Here was the fulfillment of a dream, coming as it is on challenging times --- inspiring the teacher in him, pricking the soldier in him to captain the political will to meaningful reforms by the Daang Matuwid mantra. Plus, Rebecca finally consented, with nick compromises here and there; really for the children. To the ramparts again, inspite the fact that when he left PCG for WMU, he says, “Wow, ito ang gusto ko living the quiet life of an academic.” But a dream is there to be fulfilled as the Flag beckons her best children to come and rally with the President’s mission. Almost a fairy tale but the truth: Mejia is leaving much more than he is taking if personal interests are considered. On top, he is replacing a popular OIC, a yeoman on the workload. But the President has tapped him, to the battlefront he marches.
“I really look forward working with the men and women of MARINA and also to serve. Something that struck me nakita ko kay Pres Aquino. Sabi nya hindi ako ang boss, kayo ang boss. (I saw from Pres. Aquino who says the public is the boss, not him) That’s true. That’s why you’re the public servant… whether it’s EMSA, interisland shipping, shipyard. In the end… (my) core objective is how to serve the interest of the public.”
“I have no doubt in the quality of our seafarers but we have to show them that that is the case. We have to remove any doubt.”
Elder brod Arthur has mixed feelings. They must support Jun (Mejia’s nickname) knowing the sacrifice he made repatriating from the comforts of Sweden and the academe’ to the conflicts and intrigues of public life heading a sensitive MARINA in critical times.
- Administrator Mejia
Broader outlook. “Actually, whether Philippine culture, Swedish culture, any culture has a lot to learn from other cultures. (Maybe that’s my) advantage having lived overseas for an extended period… (my) senses (are) refreshed so I’m looking at the Philippines from a slightly different angle.” He rolls on: “Definitely my intention is not to come here, oh.. this is how we do it. No, definitely not. It’s a Philippine setting, I’m sure, hopefully, (we have solutions) to (local) situations. I have some kind of experience or knowledge coming from elsewhere that you can draw from. (Not just) Sweden actually… we have this similar problem in the Philippines… How did you address it here in Chile, Malta, Sweden, Denmark, Finland; of course, you cannot just -transpose everything directly, at least, broader yung perspective ... or Ghana, you learn a lot of lessons not only from developed countries, (but also from) a lot of countries that are more or less same situation with the Philippines in terms of maritime development, political circumstances.”
Views on EMSA . “Definitely is first priority... we’re trying to protect the employment of our Filipino seafarers, we are trying to protect the safety of the international shipping, we’re trying to protect the safe and efficient flow of goods worldwide,
Photo by Jomelyn Tud
(we have big responsibility not only with ourselves but to the world). Without Filipinos, EMSA (withdrawal of recognition creates) problems for themselves… Mejia has the upmanship to present a critical issue in a light vein: “… symbiotic yung relationship; they need us, that’s why they want us to succeed. They don’t want us to fail, definitely not... But they want quality from us. It should be the same. We should be responding in like manner, Uy, we’re happy to man your ships and we guarantee the quality of our seafarers.” He turns folksy on a technical topic: “I have no doubt in the quality of our seafarers but we have to show them that that is the case. We have to remove any doubt (we cannot continue to be as low hanging fruits easy to stone). We should eliminate the factors (they can use against us) We’ve gone a long way from the 1960s 1970s sa reputation natin. We have to build on that, maintain it, improve it, we have to stay a few steps ahead of them Uy, we react to their audits, (don’t)… (W)e should lead, we should start
leading. We shouldn’t say that we have the potential to be a world-class maritime administration because we already are by virtue of our importance in the international maritime industry. So we need to start acting like one pero syempre we act like one only (when) we have substance to back it up. Yan ang general vision.
Other reforms. In the same instance, Mejia looks closely at domestic shipping because he cannot see world class externally yet low class in domestic ports and piers. He cannot sacrifice Juan Dela Cruz’ cargo, safe transport; our people also deserves the best output of the maritime industry, Mejia insists. With the cold objectivity of a professor, Mejia looks kindly on perceived “conflict of interest.” The EU has passed a directive that all member states must abide by EC’s stand on endorsement, recognition, etc. Thus, bilateral agreements with the Philippines by individual member states of EU are negated by the recent but allencompassing directive.
On the practical side, shipowners may seek ways to employ Filipinos seafarers barred by the EU directive that forms part of the laws of all member states. There is a grave global shortage of seafarers hence Filipinos will continue to find employment. However the demand, Mejia believes we must still prove the Filipino seaman is a good worker, competent, efficient, qualified. (If we have) conflict of interest dito, (we must remove it) to show the outside world we are not haoshao (messed up). Summoning his ergonomics, Mejia accepts it is not in the nature of people to be proactive. We need impetus to do things and that is in our global leadership in seafaring employment. It is already ours, and ours to lose if we do not do the right things we should. We must continue honing our craft and Mejia stands prepared to be part of the process, hoping he could even accelerate it. Mejia appears not too shaken by the EMSA final audit expected by October. He believes we should do our best to increase the probability that EMSA is satisfied. Or at the very least, reduce the number of non-conformities.
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Event
Capts. Cesar Contreras, Hercules Abarquez and Jury Manucay given highest PTC honors.
“It does not matter as both persons are capable, have their own expertise and will therefore work for the good of the Philippine maritime industry.” - Pres Oca, AMOSUP
The new MARINA Administrator keeps faith our seafarers are competent, high quality. But on the other hand, there are minimum standards expected in the training and certification of the seafarers. They have to meet the scrutiny not only of the international body IMO but each and every member state that is party to STCW Convention. Any member of the STCW is entitled actually to verify the system. It is the right of any member state to inspect, confirm compliance. China may do so, just as EU may. The Philippines can go audit Norway. But are we willing to spend major money when we do not even employ Norwegian seafarers? “I think they’re set on October... I don’t think EMSA expect a 100% coverage of all the institutions.. (In my view, EMSA just wants to see there is no conflict of interests, that we have systems.) We’ve actually tested that seems to be working, or (if there are), we’ve identified the kinks …(we are) on our way to address them…(what can you do) between now and October... How can you implement it for all the schools between now and October, physically impossible. Or if we actually do, (they will be more suspicious we are just conniving).”
Regular guy. “I cannot say am less than 5’4; PMA may take back my stint” (hearty laughter). “At WMU, there was this new student from Tanzania who approached me on how tough, how strict is the professor in this class. When older students came in, I have to go in front to start the lecture. My Tanzania “friend” cried out loud, agitated: Hey, hey, what are you doing there??? The professor might come anytime now!!!”
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Asked to comment on the UFS Open Letter on Changing Horses in Midstream: Mejia quips, “I’ll take issue with Nelson Ramirez why he called me a horse.” (followed by a guffaw).
Early reactions. Commo. Dante Jimenez, PAMI Secretary-General: “We welcome the appointment, we hope that his presence in MARINA as in- charge of the MET and other maritime activities will bring more stability in the industry. We hope the transition from Atty Nic Conti (who have performed very well) will be very smooth. We hope that the new Administrator will be able to convince other stakeholders…in implementing EO 75 specially in this crucial situation involving the EMSA (audit). Commo. Carlos Agustin, Maritime League Chairman: “His qualifications, experience and expertise on maritime safety speak for themselves. As a worker, I was particularly impressed by his dedication to duty and enthusiasm in performing his assigned duties. He will certainly be an asset to the Maritime Industry Authority and the DOTC. (Mejia served as Flag Secretary to Agustin as PCG Commandant)
As curtain drops. Gotta move on, a bouncy tune of the baby boomers. Now, most are lined up holding prescriptions at the local pharmacy. Adventure for the day is finding a friendly resto for the 20% meal discount. Certainly, not yet the lane for Conti, a young and robust lawyer with credentials. He is not a fallen soldier, just a temporarily out-maneuvered officer. So enamored with work, he failed to read markings on the wall. Conti will survive. He did, as the incorruptible hound on lifestyle check during the Arroyo administration. His patron, DILG Secretary Mar Roxas, left him orphaned at DOTC. He did not mind; instead labored hammer and thongs as OIC Administrator at the MARINA, earning excellent reviews from his peers and industry stakeholders. Such is public life, a déjà vu on years passed when another Batangueno, Jose W. Diokno, was sacked for doing a great job against Harry Stonehill. The latter was an American GI who have corrupted just about everybody then in national government.
Dr. Conrado Oca, AMOSUP President: “It is not a question of who leads the MARINA - the single maritime administration. It does not matter as both persons are capable, have their own expertise and will therefore work for the good of the Philippine maritime industry.
There may be less parallelism but the point is that the bureaucracy is not a meritocracy. Give your best but be prepared to break tent when powers so order. What, then, is excellence for? Showbiz, mostly. But self-esteem, if you would.
What is more important is for the country to satisfy and resolve the findings of the EMSA audit by all means, and such change at the helm of MARINA is government’s realization that critical attention, now more than ever, should be given to meet the desired objectives.”
General Order 5, stay on your post unless relieved. This Conti did with grace and bravado. He knew he’s gone but continued to defend the MARINA budget, as he offers to brief the incoming Administrator on internal things on the executive desk. Gotta move on, Mejia on the watch --rev the engines!
PTC OUTSTANDING SEAFARERS by Eva Tan
The Philippine Transmarine Carriers (PTC) formally recognized outstanding seafarers in their roster; these mariners fueling the zoom of PTC’s leadership in the industry. This was announced last April 4th while celebrating the Best of the Filipino Global Maritime Professional at the Sapphire room of Tiara Oriental hotel in Makati City. After four months of tedious search and cross valuation, PTC short-listed 14 finalists in five categories.
The PTC Filipino Global Maritime Professional of the Year distinctions were given to three merchant marine captains, namely Cesar Contreras, Hercules Abarquez and Jury Manucay. This is the highest professional award issued by PTC for outstanding performance. For heroism and bravery, Erickson Amurao and Bosun Antonio Orozco received the Bayaning Marino honors.
For excellence in financial management, C/E Godofredo Bacay received the Seafarer Entrepreneur award. Mariner Envoy award was given to AMOS Controller Geronimo Abellera II for exemplary ambassadorship. In the community service category, Seafarer for Community Service plaudits were earned by Capt. Roland Mumar.
Manning
Photo by Jhon Henson Ong Continuous training at PAL
Success of “Family”
PAL MARITIME TURNS 34 by Eva Tan
“It’s more fun in the Philippines,” banners the 34th anniversary of PAL Maritime; simultaneous with the 7th Family Day of the company “family” of officers, shipowner representatives, staff, and seafarers with their own families. Indeed, a union in spirit and fun April 20th at the AIM conference center in Makati City. All are in high spirits, enjoying Filipino traditional food, games, entertainment, song and special dance numbers led by the VP and GM, Mrs. Sonrisa David and children, Directors Mark Joseph David and Mariel David. Shipowner representatives milled with the merrymakers, taking time for small talks and bonding with families of the seafarers. They even displayed moves on the dance floor; and as touched with the finale, “If We Hold on Together.” Sharing. PAL Maritime gave a grant to the Children’s Joy Foundation. In return, the children showed gratitude with their musical and dance presentations. But it was not just fun; also, a sharing of pain with the family of C/E Joselito Liansing, victim of a cardiac arrest while on board. The late chief engineer started with PAL Maritime in 1996 as a cadet. A Roman Catholic mass was offered for the intentions of his soul.
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Photos by Jomelyn Tud
Liansing’s career path is typical of PAL Maritime crew in that they start as cadets and stay on with the company until they become officers.
PAL Maritime is the first agency trusted by Manx Ocean to supply all-Filipino crew (from top to bottom positions) to their container vessels.
“A lot of changes at the moment in the shipping industry due to financial situation of many companies.. ongoing crisis, and new regulations. PAL, they can keep some kind of confidence in keeping our seafarers; working with the same people, so at least you have the constant there, good to have a constant there…we have a very high retention rate, reemployment rate,” says Managing Director Jens Winter of Reederei Gebr. Winter GmbH and Company KG.
Commitment.
Loyalty. Service awards were given to the crew who has served continuously for 20 years or more with the company. Crewing Manager Gosia Kent of Manx Ocean Crewing Management cites the professionalism and devotion to work by the Filipino seafarers and gave thanks to the David family for keeping these seafarers on Manx Ocean ships. “They adjust to the market smoothly, they are just really on top of the game all the time….It’s an honor to work with them (David Family); They have always been handling our crew very well,” adds Kent.
“In Germany, we have very good experience (with Filipinos) over the time so we expand our fleet to more fullFilipino crew and over the years we have close relationships. Now already the next generation,” notes Jens Winter.
We expect a bit of innovation or innovative thinking and improvement, trying to improve the performance from day to day from all our Filipino seafarers as we improve from everybody else, so we are confident that about the Filipino crew and that we will continue to work with them and that the major part of the fleet will remain manned by Filipinos because we are sure and aware of their qualifications. However this is for us and others as well, constant improvement is required and the aim to improve as well.” Competence. Prior to the party, some crew took a PAL training at the WSP Maritime Training Center at the Prestige Tower, Ortigas Center in Pasig City (where PAL is located). They were updated on company policies and programs and
the Maritime Labor Convention 2006 coming into force. This was followed by the officers meeting with the ship principals and Winter Superintendent Stefan Heinrich and Buss Group Training Manager John Kingdom at the Discovery Suite, a plush hotel in the area. Closing the conference, Mrs. David advises her crew to “think positively and treat MLC 2006 as your Magna Carta, a great change which will serve as your protection and security; your bible. One of the current themes today as well as our previous conferences is the difficulty in the worldwide shipping market. However, you’ve seen that our company thrives throughout the year through the continued support and cooperation of our principals as well as dedication, loyalty and understanding of
our peers. In addition to a good crew, we also need a smart crew, treat the ship as your own house,” advises Mrs. David. Future. The company was incorporated under Philippine Laws in August 1979, issued a license to act as a manning agent in April 1980. PAL Maritime operations started in May 1980 engaged in the selection, hiring and deployment of Filipino seafarers for the vessels of its principals. At present, the company provides about 500 Filipino seafarers to its current fleet of bulk and container vessels, many of which are all-Filipino crew. PAL is doing extremely well, taking care of the family, a stable foundation for a bright future --- together.
Jens and Mr. Ben Hoon (Norwest Management Operations Manager) have been treated as members of the David family. Managing Director Dr. Johann Killinger of Buss Group and a partner of Reederei Gebr. Winter announce additional ships to be manned by PAL Maritime and reaffirms, “very deep commitment…we are continuing…we think even more in advance.” Challenge. Buss Group Operations Manager Jorg Bischoff confirms: “We are working together with Filipino crew for very long time and from my experience in shipping… never had a major incident with the ship with Filipino officers so I am very confident of the skills and qualification of the Filipino seafarers. That speaks for itself.
It’s more fun at PAL MARITIME! MARINO WORLD
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Feature optimiSing performance
AN IMPORTANT MARKET OF GROWING SEAFARERS The Philippines is an important market for Wilhelmsen Ships Service (WSS) as it hosts a growing number of shipping companies and seafarers. There are currently around 350,000 Filipino seafarers working in the industry, making up 30% of the total global workforce - and demand is increasing. In Manila, WSS Philippines Inc. has eight staff and a number of service providers that take care of customer needs and product deliveries in different ports throughout the country. It also operates a safety service workshop to include exchange of Unitor liferafts. Working together to optimise performance Wilhelmsen Ships Service is part of Wilhelmsen Maritime Services, a Wilh. Wilhelmsen Group Company. With 150 years history, the company has the world’s largest maritime services network, with 4,500 marine professionals servicing 2,400 ports in 125 countries. The company supplies safety products and services, Unitor products, Unitor and Nalfleet marine chemicals, maritime logistics and ships agency to the maritime industry. Last year the company made product deliveries to 24 000 vessels and handled 64 000 port calls. Bjorn Tonsberg, Vice President of WSS Region Asia Pac says: “We have an unparalleled global network and an organisation full of passionate and welltrained marine professionals. One of our important corporate values is “Customer Centered”, meaning that we work to understand our customers’ needs so that we can consistently deliver optimal solutions for mutual value. We are constantly looking to improve our offers and market solutions in order to help our customers increase efficiency and reduce operating costs.”
One of the most relevant examples of this way of working is Ships Agency Re-defined (also known as SARD) which launched in 2010 and has been globally acclaimed over the past three years. A simplified solution to save costs while improving operating efficiencies The Ships Agency Re-defined (SARD) concept offers customers a new and simplified solution for handling multiple port calls. It allows them to deal with all of their ships agency requirements from one central point, with improved communications between the agency and the operator, resulting in efficiency savings, predictable pricing and a single bank account for all payments, facilitating easy access to online job and tracking information. Bjorn Tonsberg, says: “Since we launched SARD, we have seen high levels of uptake from the shipping community across Asia Pacific, with growth levels of 15% - a figure that is growing steadily each month.” So what is the reason for this success? According to Bjorn, it is different to any other ships agency offer in the market right now. He says: “SARD offers global, world-class services at a local level. Our team works in the same time zone and speaks the same language as our customers and Pilipino customers can take advantage of the scheme globally, not just in the home islands. Offering local knowledge on a global scale is really the essence here”. Today, WSS Philippines is managing 14 SARD contracts with various Philippinebased manning companies. Bjorn says: “Our customers in the region are
Simplified global husbandry services, mobilised to meet your ever-changing needs WSS Asia Pacific Region Vice President Bjorn Tonsberg
extremely positive about the fact that SARD provides a unique ‘one point of contact’ system. In fact, it can save them up to three hours per port call. This is crucial to guarantee efficient operations and fast turnaround.” In addition to the SARD solution, WSS offers a comprehensive range of ships agency services, including full agency, protective agency and husbandry service. Experience a globally consistent service, turned to your needs “Our husbandry service simplifies multiple port call operations for our customers. By integrating how customers would like to manage their port calls into our operational system and business process, we are able to deliver as per our customers request in any port, at any time. As our customer, you don’t have to worry about the basics the next time you use a WSS agent.” Bjorn adds. Using WSS as your husbandry agent at ports that WSS operates in, you will enjoy the hazels-free operation from the repetitive operational requirements at a predictable and agreed price. Further requirements can still be added on a case-by-case basis according to the specific needs of each port call. In addition, WSS sends out daily activity reports and proforma disbursement accounts and measure quarterly disbursement account trends to keep your cost under control.
We understand your specific needs intuitively and every know port intimately. As an extension of your team, we keep your multiple port calls short and your ships on the move. With one global agent handling all of your agency requirements, we offer predictable pricing, a single bank account for all payments, and easy access to online job and tracking information – we offer global solutions with local expertise across 2,400 ports. We’re a connecting force, keeping you on the move 24/7. This is ships agency, done better. Wilhelmsen Ships Service Philippines Inc. 201 Building 1, Jannov Plaza 2295 Don Chino Roces Extension 1231 Makati City,Philippines Telephone daytime: (+63) 2 720 2629/ (+63) 2 720 2605 Telephone after hours: (+63) 2 720 2629/ (+63) 2 720 2605 Fax: (+63) 2 720 2664 E-mail: wss.manila@wilhelmsen.com
marine productS marine chemicalS Safety maritime logiSticS ships agency wilhelmsen.com/shipsservice
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Manning SIGTTO, pitched for the highest standards of management of ships across the whole BSM Team.
Bernhard Schulte Shipmanagement
“ONE BSM”
He conducted the Gas Group course, a BSM in-house training on familiarization with lpg and petchem gas cargoes including new developments in the gas industry.
FOR MLC CHALLENGES
During the conference, the officers compared their experiences with colleagues and scrutinized case studies presented by Clucas.
by Ligaya Caban
“Filipino people are very open to learning which is wonderful that’s why I enjoy being here…from work perspective, teaching Filipino people is very rewarding, because there’s positive feedback,” observes Clucas.
BSM Managing Director Sandip Mirchandani Photo by Jomelyn Tud
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world leader in shipmanagement has geared-up for various challenges, ship-shaping both on internal policies and international convention.
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Bernhard Shulte Shipmanagement (BSM) has recently conducted seminars for its crew to address in-house policy priorities and explain protocols required of international convention coming into force.
With the all-out support of BSM Crew Service Centre Philippines President Narcissus L. Duran and Employer’s Representative Daniel Rossa, the seminars were successfully facilitated by Director Armando Santosidad and Training Manager Joseph Raluta.
About 150 officers and ratings were immersed into four intensive seminars, viz: • • •
Group Gas course, May 2 fo 4th Fleet Officers Meeting, May 6 to 8th Fleet Ratings Meeting, May 9 to10th; and • Group Chemical course, May 15 to 17th. Participants gained knowledge and improved skills while networking with fellow workers in a one-team sense of belonging. Lectures and activities were all held at the company-owned ten-story edifice (BSM House) in Malate, Metro Manila. Bernhard Schulte Shipmanagement (Singapore) Managing Director Capt. Sandip Mirchandani led the presenters from the Singapore headquarters, namely: • • • •
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Group Fleet Director Chris Clucas Fleet Manager Krishna Chandra Bhatt QHSES Manager Capt. Shakhawet Hossain Loss Prevention & HR (Marine) Manager Capt. Manu Dhaul
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QHSES Capt. Mohammad Azadur Rahman; and Marine/Operations Superintendent Capt. Rahat Suman.
Convenience and Security. Indeed, the BSM House is part of BSM long-term commitment of providing career training for its people. The 10-storey building accommodates the offices and keeps an air-conditioned dormitory for its seafarers. Fare, food and lodging were compliments of the company, with help from cooks and kitchen staff working for BSM-managed vessels.
Speak up policy. The conference focused on safety consciousness and the Maritime Labor Convention (MLC) 2006. Managing Director Capt. Sandip Mirchandani explains the company’s speak-up policy as compliance to MLC. He says it is the duty of the company to explain to its seafarers what MLC is and how to go about it. “BSM also has taken a very very different approach….Openness and consciousness
Teamwork.
to everybody, this is the most important period of shipping where this new MLC regulation comes in,” underscores Mirchandani.
Director Armando Santosidad motivates the ratings with inspiring words to make them feel as important as the officers.
He kept on encouraging the crew to open up and not hide things.
“We care about you…you are important. Speak up, we are educating you, we are here to help you,” tells Santosidad.
“When you need to point out things, go to your superior, tell about the problem and for the masters of the ship to come and tell us so we can help them rather than have a problem,” advises Mirchandani. Moreover, QHSES Manager Capt. Shakhawet Hossain discussed the company circular on rest hour requirements under MLC 2006 compliance.
He advises them to be forthright, even brave enough to refuse command that breaks procedures and compromises safety onboard. The ratings enjoyed team-building games facilitated by BSM office staff; making the ratings internalize they are in the team and
important in the ship’s operations. BSM-CSC-PH continues to build on its expertise and goodwill with maritime stakeholders; well-received by Government agencies, Maritime unions, Manning associations and downstream partners like training centers, medical clinics, P&I correspondents and the likes. A milestone was achieved in 1989 when the company was elevated into the POEA Hall of Fame for consistency in its superior performance; aside from Awards of Excellence and Citations counting eight to date.
ONE BSM. “Our motto is ONE BSM, we want to create a universe where there are different nationalities but we’re all the same and we have all the same feeling towards one goal and that is to achieve and be the leader in shipmanagement,” underlines Mirchandani.
officers – wide horizon of opportunities in an equality employer that BSM is. The company also offers onshore jobs, especially to those retiring from their sea career. “(B)ut when they reach a certain age, they need to go onshore…we make an opening for them… How you treat your people is most important,” expounds Mirchandani. Bernhard Schulte Shipmanagement is anchored on the strength of a family business that dates back to 1883. Its manning agent BSM Crew Service Center Philippines (BSM-CSC-PH) is a merging of two forerunners in the Philippine manning industry with a combined experience of more than 60 years. Today, BSM-CSC-PH has more than 8,000 seafarers on board more than 500 vessels of various configurations, i.e.: •
LPG Tankers (Pressurized, Semi & Fully Refrigerated) LNG, Crude Oil, Product, and Chemical Tankers, Container Roll-On Roll-Off, Baco, and Bulk Carriers Offshore support vessels as well as FPSO’s.
Mirchandani earns the loyalty of their crew by absorbing reduced income from the slowdown of the shipping industry today. It reduced its rate just to hold on to its clientele; to protect jobs but not reducing nor sacrificing wages and salaries of the seafarers.
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BSM has a 96% retention rate, consistently; thus, honored by POEA in its Hall of Fame. Many of its crew are Filipinos, starting as cadets, then working as ratings and later taking command as
Necessarily, BSM-CSC-PH has to be on the cutting-edge, on core expertise --- from management to seafarers --- to be higher than standards expected by its large, global clientele.
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Based on the circular, the Captains are required to conduct refresher training to the ship staff on rest hour requirements and the best use of ISF WK-II program. Hossain reiterates, “It is absolutely necessary that all crew members understand the requirements and be able to answer the questions of the vetting inspectors on rest hours.”
Beyond the standard. Group Fleet Director Chris Clucas reaffirms the company’s commitment to quality as it implements the Society of International Gas Tankers and Terminal Operators (SIGTTO) competency standard which is a higher standard of competence for liquefied gas carriers than STCW basic minimum. Clucas, who also chairs a committee in
TEAM BSM
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Education
MPCF-LC 27TH RING-HOP & COMMENCEMENT
MUCH BRIGHTER PROSPECTS
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Mr. Joern Clodius of Marlow Navigation
Rawis, Legazpi City. On a blisteringly afternoon, with Albay Gulfat the backdrop, 744 members of Batch Matayog (Flying High - Class of 2013) lined up at the parade grounds of Mariners’ Polytechnic Colleges Foundation (MPCF) annex. Some agitated, some nervous --- but all proud and prepared for the commencement exercises.
The event was doubly special with Mr. Joern Clodius as guest of honor and principal speaker. Mr. Clodius represents Marlow Navigation Phils, a major employer. He served aboard minesweepers as a Naval officer and continued on blue waters as a seafarer.
And so are the parents. Relatives and friends -– the community sharing the moment of pride for the newly-graduates of the prestigious MPCF.
He expounded on the importance of being able to meet the standards and rigors of the maritime profession as keys to success. Above all, Mr. Clodius notes the inherent abilities of Filipino seafarers which made the graduates beam with pride.
Jubilant and with hope, they marched towards the covered JCJ multipurpose gym to accept diplomas for non-maritime students; Certificates of Academic Completion for those in maritime studies, which the candidates painstakingly worked for in their entire stay in the Bicol’s premiere maritime institution.
Mr. Clodius toured MPCF facilities, including the Bridge Simulator and Marine Engineering Laboratory. These have been upgraded to international standards for training, well above the requirements of the Commission on Higher Education (CHED). The latter is the regulatory agency for tertiary education.
The facilities were refitted with expensive but state-of-the-art enhancements to simulate modern settings in contemporary merchant vessels. Mr. Clodius was visibly impressed by the facilities and the agility of Marine Engineering students and staff who conducted the demonstrations. MPCF President Dante La Jimenez (Commodore-PCGA) and the Board toured the special guest at the brandnew Eliza’s Dormitory to house the first batch of scholars sponsored by Marlow Navigation and other partners in the shipping lines. Small wonder the graduates look to the future with optimism and poise. For they shall step into the real world better prepared, coming from an alma mater with tested and efficient leadership; untiring in the quest for improvement and buoyed by the true spirit of service --- Mariners’ Polytechnic Colleges Foundation.
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Editorial Pool
The EMSA Audit
BOGEY MAN OR
BOGUS THREAT ?
Among the Government action is EO 75, “Designating the Department of Transportation and Communication (DOTC) through the MARINA, as the Single Administration in the Philippines responsible for oversight in the implementation of the 1978 International Convention on Standards of Training, Certification and Watchkeeping for Seafarers, as amended.”
Initial Thoughts. Some industry players think the current economic slump in EU greatly influences the findings of EMSA. Predictably, many of the 27 EU member states and EU may support moves that may help fellow members in these difficult times. Sought by Marino World to react, InterManager Secretary General Kuba Szymanski sidesteps but reveals a negative persuasion:
Veiga heads the EMSA audit team that coordinates with MARINA. Photo by Engr. Igno Odnon
The European Maritime Safety Agency (EMSA) has done several audits on Philippine maritime administration, training and educational systems. It appears disappointed on the remedial measures the Government did on critical shortfalls EMSA has pointed out. The Government response may be quick and substantial; comprehensively covered by Marino World (JanuaryFebruary 2013 issue, pp 6 to 9). The country heaved a sigh of relief, believing EMSA appeased and will not recommend withdrawal of recognition by the European Union of certificate of competencies (CoC) issued by mandated Philippine agencies. But EMSA “leakages” send chills to maritime stakeholders. EMSA may recommend withdrawal for lack of implementation of the assurances by policy makers. EMSA refuses to be cajoled by policy reforms. It demands proof in the field, not just on desks of paper pushers. Thus, EMSA could be a game changer, eliciting both positive reaction and bitter criticism. The Mission could be a defining factor in seafarers safety and career path; or it could open the proverbial Pandora’s box of conflicting national interests. EMSA will conduct another audit,
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presumably by October 2013 after which it shall post its recommendation to the European Council whether to continue or withdraw recognition. Thus the bogey man: withdrawal will disallow Filipino seafarers on board EU-flagged vessels. That’s a sizeable chunk off the employment block. But on the other end are the shipowners who will be direly affected by the loss of tested and reliable crew, both officers and ratings. Filipino seafarers are very competitive and cost-effective; hard to replace, more so in such number, on such reason and on such timeframe. These appear to global stakeholders as the bogus threat.
Rewinding. EMSA Senior Project Officer Jaime Veiga led the inspection team, pointedly with Maritime Industry Authority (MARINA), Commission on Higher Education (CHED) and Professional Regulation Commission (PRC) on April 15 to 19th. EMSA auditors cited these weak points: • •
CHED lacks competent auditors to inspect schools EO 75 of 30 April 2012 is slow in implementation due to conflict in law and turf between agencies (i.e. CHED and PRC). MoUs between
• • •
MARINA and concerned agencies were only signed March 2013, with implementing rules and regulations (IRRs) yet pending bereft of supplementing legislations (from Congress on recess for the electoral campaign). CHED and PRC are not yet aligned to MARINA’s National Quality Standards System (NQSS) MARINA itself lacks the expertise to implement the NQSS. Maritime schools and training centers are not yet inspected following the NQSS and the new monitoring outcomes-based system.
“I am having a very serious problem with EMSA and Philippine issue. I think it is better if I DO NOT share my opinions about the situation. They might not be very diplomatic and may not be helpful, therefore with all due respect let me decline commenting on the issue.” Reportedly, a large group of international shipowners has expressed doubt to alternative seafarers. Other countries not
yet audited may be used as alternative supply but are likely to have the same problems with the Philippines, if not worse. Some are quizzical why the Philippines opened doors that wide to EMSA without reservation on its State sovereignty. Colonial mentality prevails? An upset Filipino master mariner even proposes to temporary suspend deployment of Filipino seafarers to EU flagged vessels. “Let’s beat them to the draw, suspend deployment so they themselves will help us comply with what they want. Because who will be affected? The shipowners who are relying on our seafarers.” (This appears to be a trending reaction to “bullying” tactics of host countries; like Taiwan threatening to ban Filipino workers because of a Coast Guard mortally shooting a Taiwanese poacher on Philippine waters. Should Filipino workers abandon Taiwan, the latter industries may possibly collapse on much back orders.)
Other reactions. AMOSUP, President Conrado Oca: I honestly do not think it will happen that
way as social partners of the industry are really helping out to make sure that deficiencies in the educational, training, assessment and certification systems are corrected and implemented properly. But should a ban be imposed, the employment of Filipino seafarers by European ship owners will certainly be affected to a large extent, which includes our dear members. Then, there will be a shift in the hiring preferences of ship owners and the country’s stature as the Crewing Capital of the World may also change. United Kingdom, Fazlur Chowdhury, Marine Consultant: You should implement STCW 78 as amended correctly. Then you have nothing to worry about. Let any Flag State come – check, inspect and audit. You should be alright. Cruise ship, Ma. Rayle Sanvictores, HR Training Manager: … But total closure of schools who have not met the standards as per STCW as audited by EMSA is somewhat too harsh. CHED should help those schools correct their deficiencies.
Already, EMSA auditors want to see evidence of implementations. And rightly so. Previous EMSA audits in 2006 to 2010 pointed deficiencies in maritime education and administration systems. Collateral to this is the EU threat to ban Filipino seafarers in all EU-flagged vessels which may affect about 80,000 Filipino seafarers. (But also badly affect untold vessels which lead to more business downturns on a time of global economic distress. This is the other side of the withdrawal equation.)
Will IMO’s Sekimizu take a stand?
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Pressured.
Malaysia, A & T Superintendent Calin Antonescu, MISC Bhd
England, Chairman Reza Ziarati, Centre for Factories of the Future:
Denmark, HSSEQ Manager Klaus Pedersen, Lauritzen Kosan:
“I can only say that I worked with many seamen coming from the Philippines and they were good, the same as all the other seamen. To come and say they are not properly trained… is too much.”
Philippines is a major seafaring nation and should not fear EMSA’s audit. There are quality issues that must be taken on board by the administration as well as the MET providers… I believe the Philippines has the will and the capability to ensure that all MET institutions at a very least comply with IMO STCW requirement. EMSA’s audit should be seen as opportunity to demonstrate that lessons have been learnt…”
I agree with Dr. Reza. I do believe however, that some schools will be forced to close, totally or for some courses/ electives. Perhaps EMSA will require additional follow up audit or reports, but I have problem to see how EMSA could “shut down” an entire nation in this respect.
India, Capt. Manjit Handa, MSI Shipmanagement: In my opinion, this is a bad precedent. Philippines is being harassed by EMSA just because it is not a rich and powerful country, and it is surprising that Philippines has caved in to pressure.
These (and a lot more) are random pickings from around the world, expressing sentiments on opposite polars of the EMSA options.
If Europe is considering this extreme measure, there must be a reason. This raises the question, who, then, is using these poorly trained seafarers (if so)? What are the results? Lastly, how do do they change that image and reality? A costly error.
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A member of the Technical Working Group admits there are schools which have already complied but are not delisted because CHED has not re-inspected them for lack of expert manpower (which confirms, in fairness, the EMSA observation of the sore lack of auditors and assessors).
The European Commission (EC) represents the interests of the EU as a whole. It proposes new legislation to the European Parliament and the Council of the European Union. EC also ensures that EU law is correctly applied by member countries.
New Zealand, Senior Lecturer Martin Burley, New Zealand Maritime School:
Regulations and decisions are directly applicable; EU directives, by contrast, merely state a desired result, and leave EU member states to decide how to bring that result about through national law by a specified deadline. Marino World notes on the EU official journal of 14 December, 2012 Directive 2012/35/EU of the European Parliament and of the Council on 21 November 2012 amending Directive 2008/106/EC on the minimum level of training of seafarers. The Directive cites, “The Union rules on training and certification of seafarers were later adapted to the amendments to the STCW Convention, and a common Union mechanism for the recognition of the systems of training and certification of seafarers in third countries.
Australia, Board Member Richard Teo, GlobalMet
California, President Ronald Newcomb, Marine System Inspection LLC:
So agitated was CHED it even sanctioned maritime schools known for outstanding performances, even the most prestigious State institution --- the Philippine Merchant Marine Academy, the very first nautical school in Asia.
EU legalese.
The EMSA auditors have been given a task to fulfill. I have no doubt they are undertaking this role seriously, fairly and with integrity.
“It’s all about mind set and change. The STCW specifies Competency based training and assessment (CBTA), 95% of colleges are still knowledge based and didactic delivery against learning objectives to syllabus and not performance criteria to standards and competencies…. Time to shake off the hard case traditional teacher-centered practitioner and out of child pedagogy and embrace adult learning and andragogy. Its as simple as that.”
Critics say the Government is allowing EU to place too much pressure which led to CHED hasty closure orders of maritime programs (BSMT, BSMarE). Without the usual due process, about 40 maritime schools are affected, claims the Association of Maritime Institutions (PAMI).
Germany, Auditor Alexander Spiewok, Det Norske Veritas: I suggest to look into the legal framework of international conventions in order to understand what EMSA is doing. These are multilateral agreements between sovereign States, and IMO’s role is just to be a facilitator.
(In a direct email to Marino World, EMSA’s Veiga clarifies the definition of third country by the EU has nothing to do with classification of countries per category, level of development, importance, etc. This definition comes from the principle of “third party” that you find in legal contracts, instruments, legislation. A “third country” is simply a country not part of the EU, be it the USA, the Philippines, Russia, Myanmar, China, etc... All except the EU 28. It is a definition that is not even maritime related. And there are no second or fourth countries as well…)
Directive 2012/35/EU further states, “The Union shipping sector has maritime expertise of high quality which helps to underpin its competitiveness. The quality of training for seafarers is important for the competitiveness of this sector and for attracting Union citizens, in particular young people, to the maritime professions.
And the Europeans.
…Member states are obliged to maintain registers of all certificates and endorsements. In order to have information that is complete as possible on the employment situation in the Union and exclusively with a view to facilitating policy-making by Member States and the Commission, Member States should be required to send to the Commission selected information already contained in their registers of seafarers’ certificates of competency.”
The Philippines has an Agreement on Maritime Labour, Education and Training with the Council of the European Union signed January 2011 that says on Article 27:
More requirements. Article 5, as amended, provides member states shall issue not only Certificate of competency but also Certificate of proficiency and endorsement certificates as documentary evidence to ensure relevant requirements of training, competencies or sea-going service have been met. Questions: Collect fees? Accredit training centers like Panama? For the Filipino seafarers serving the EU-flagged vessels, where will they get the CoP and endorsements? At embassies in the Philippines of these EU members? Per Directive: “The endorsements which shall be issued by Member States only shall each expire as soon as the endorsed certificate of competency or certificate of proficiency issued to masters and officers in accordance with Regulations V/1-1 and V/1-2 of the Annex to the STCW Convention expires or is withdrawn, suspended or cancelled by the Member State or third country which issued it and, in any case, within five years of their date of issue.”
Panama makes hay. The Consulate of Panama in Manila openly advertizes in a local maritime publication that, “… the Panama Maritime Authority is providing … new or upgrade a Panama Certificate of Competency (COC) through the assessment process… (T)o renew to all owners, operators and/ or manning agents under the Panamanian Registry the assurances of its highest consideration,” states the ad. But unstated, all services are for a fee. Are these documentations meant to be revenue sources, per se?
EU has 11 embassies in the Philippines; namely, Austria, Czech Republic, France, Greece, Netherlands, Spain, United Kingdom, Belgium, Germany, Italy, Romania located in Makati City except for United Kingdom in Taguig City.
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Agree to cooperate in the field of maritime education, training and certification of seafarers in order to ensure safe and efficient maritime operations and prevention of damage to the environment • Upgrading crew competences to adapt to the changing requirements of the shipping industry and technological progress • Would the embassies of EU member states charge fees (as Panama does)? Again the bogeyman resurfaces with the EMSA threat. Will EU member states take cue from Panama charging those fees? And why not, if the Philippines is subservient; and why not, if the member states are hurting for funds?
The Bahamas. In 2010, the Association of Maritime Training Centers (PAMTCI) and Association for Mariners Employment (FAME) met with Bahamas Maritime Authority Chairman Dwain Hutchinson. Next to Panama, Bahamas is the second largest deployment of Filipino seafarers in terms of vessel registry. Bahamas commits it will not require accreditation fee for certificates and that it holds the same interpretation of the recognition issue as the Philippines. Chairman Hutchinson admits they have no extensive experience as far as developing seafarers and still on the initial stage on this opportunity.
Support. Amidst the threat, the Philippines continues to gain support. Reliable sources say a respected global association of shipowners encourages members (particularly, EU governments) to provide assistance to the MARINA on the conduct of audit to CHED and PRC. It also urges them to request their National Administrations to seek a deferral of the audit scheduled in October this year. It believes there are still much to do. MARINO WORLD
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THE EMSA AUDIT: BOGEY MAN OR BOGUS THREAT?
The EU Directive itself is appeasing: “Experience gained in applying that procedure suggest that it should be changed, namely with respect to the deadline for the Commission decision. Since the recognition requires an inspection to be performed by the Agency, which has to be planned and carried out, and in most cases, involves significant adjustments to the STCW Convention requirements by the third country concerned, the whole process cannot be completed in three months. On the basis of experience, a more realistic time-frame in this respect appears to be 18 months.” (italics by Marino World)
Right Direction. European Commission President Jose Manuel Barroso writes Pres. Aquino February 28, 2013 acknowledging, “…the efforts made by your authorities to bring the Filipino system of training and certification of seafarers in line with international requirements. Though there are some open issues to be resolved, these efforts seem to be heading in the right direction. … the more thorough inspection of the maritime administration and schools will take place only in October 2013. In this way, I believe that your authorities will have the time required to address all the remaining shortcomings. Let me again reiterate my appreciation for our close cooperation and the quality of our exchanges. We remain committed in the EU
to a fruitful and mutually beneficial bilateral relation with such a close partner as the Philippines.”
Hold your breath. Is EMSA a bogeyman to sow fear for compliance on STCW maritime and safety goals? Perhaps, well-intentioned; perhaps, fodder for EU international leverage or member states economic advantage. EMSA maybe a genuine mission to upgrade maritime expertise. Maybe, another instrument for EU to demand its terms with other countries. Howsoever a mirror is viewed, it will reflect the image of the user. This truism applies on current EMSA concerns. Countries will always pursue its own interest, albeit sweetened by motherhoods to achieve “patriotic” glow. But all told, it is still eyeball-to-eyeball; one who blinks, loses. EMSA is no exception. (NOTA BENE. Philippine air carriers are also banned to operate in European Union airports. Last June 3 to 7, an EU four-man team inspected on site our reforms and adjustments. The audit panel was headed by Ms. Valerie Gray, European Commission Policy Officer. In 2009, the International Civil Aviation Organization (ICAO of the UN) cited
safety lapses in Philippine aviation. In 2010, EU issued the ban primarily based on ICAO findings. Earlier in 2008, the US Federal Aviation Authority (US FAA) has downgraded the Philippine from Category One for significant safety concerns. In April this year, Manila has pleaded in Brussels to lift the aviation ban since ICAO has already removed the concerns. EU appears to reciprocate by sending an audit panel this June. Civil Aviation Authority (CAAP) is mum on the findings of Ms. Gray’s panel. CAAP pushes optimistic with ICAO’s clearance. But observers believe EU may keep the ban until US-FAA returns the Philippines to Category One. The recent Cebu Pacific accident in Davao, among others,may not help reverse EU nor US policies.) Fact is, even as President Aquino poises mid June to inaugurate Laguindingan airport in Misamis Oriental, civic and business leaders are already protesting against the “premature opening.” Mr. Efren T. Uy, president of Cagayan de Oro Chamber of Business and Industry,leads by seeking the completion first of landing instrumentations, air navigation and other support facilities. This may be an example of cavalier attitude risking public safety and causing economic setbacks with praise release cover-ups to friendly local media)
INTERMANAGER hooks on lifeboat Lifeboat hooks can be “lethal”; their current design outdated and unsuitable to meet modern demands. These are challenging perceptions from serving seafarers, gathered by InterManager (an international trade association for the ship management industry}. Crew members believe hook designs have not kept pace with developments in the global shipping industry. “Nothing really has changed for the last five millenniums,” said one Chief Engineer with 35 years’ service on chemical carriers. “These hooks are lethal,” he said. A second Chief Engineer questioned: “Why are we still using very old designs and materials?” and a Master commented “I don’t trust hooks and their arrangements.”
May Offend EU Partners
GLOBAL SHIPPING SLAMS EUROPEAN PARLIAMENT PROPOSALS The world’s national shipowners’ associations in nearly 50 countries have united to condemn proposed amendments to Ship Recycling Regulation to be voted on by the European Parliament at the tailend of April. The unified stand is expressed by the European Community Shipowners’ Association (ECSA), the International Chamber of Shipping (ICS) and the Asian Shipowners’ Forum (ASF). Shipowners especially object to the proposal by the EP Environment Committee to impose a tax on merchant ships of all flags calling at EU ports, in order to fund ship recycling facilities in the European Union. “This is an unacceptable tax on trade and will cause grave offense to the EU’s trading partners, not just major ship recycling nations such as China and India, but to major shipping nations such as Japan and Singapore. These proposals have simply not been thought through.” spews ECSA Secretary General Alfons Guinier. “As a matter of principle, it is wrong to impose a tax on one industrial sector in order to assist another, especially without proper consultation with the parties affected. Shipping is a global industry operating under global rules.
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Adding to the debate, a Captain questioned training regimes, saying: “Because almost every vessel has lifeboats of a different design it is very often [a] steep learning curve for all involved.” While another likened his onboard training to “Russian roulette”.
Shipping
lives not to endanger them further. I am pleased InterManager has been able to facilitate this debate”.
Respondents included experienced Masters, Captains, Chief Engineers and Chief Officers who had served on a variety of vessels including LNG, chemical carriers, tankers and container ships. InterManager Secretary General, Captain Kuba Szymanski, said: “There is a great depth of feeling in the industry on the subject of lifeboats and their safe operation. They are meant to save
The European Parliament should really not be contemplating measures which will work against the aim to improve recycling conditions globally, an aim which we fully support,” adds Sec-Gen Guinier. The shipowners’ groups also believe that, if adopted, the EP amendments will fatally undermine the entry into force of the International Convention for Safe and Environmentally Sound Recycling of Ships (Hong Kong) which was adopted by the UN International Maritime Organization (IMO) in 2009 - with full industry support - to improve working and environmental conditions in the world’s ship recycling yards, most of which are located in Asia. The IMO Convention has not yet entered into force, pending the development of detailed Guidelines on implementation that have only recently been finalised by IMO. But the Convention has the full support of the global shipping industry, which has already produced its own recommendations so that shipowners can comply with the IMO requirements in advance of governments formally ratifying the Hong Kong Convention. “If the proposed amendments are taken forward, it will be seriously damaging to the Hong Kong Convention. The EP measures would therefore be completely counterproductive,” says ICS Secretary General, Peter Hinchliffe. “It’s not just the tax. Many of the other measures being proposed, such as
sanctions against non-EU shipowners who don’t comply, and the creation of a unilateral list of recycling facilities that meet EU requirements, will almost certainly mean that Asian nations will be unable to ratify the IMO Convention. This will undermine years of hard work by governments at IMO (including EU Member States) as well as by shipowners and ship recyclers to develop a binding global solution that will actually work,” continues Mr. Hinchliffe. ASF Secretary General, Yuichi Sonoda, adds, “It is important to understand that under the terms of the Hong Kong Convention’s entry into force criteria, it is not possible for the Convention to enter into force unless it is ratified by the major ship recycling nations. An opportunity to improve standards via the Hong Kong Convention will be lost for a generation by these astounding and incomprehensible proposals which are creating huge concern amongst industry and governments alike in Asia.” If the proposals are taken forward by the European Parliament, the shipping industry will be working with EU Member States to ensure that the proposals are stopped before it is too late. The international shipping industry is also working with governments in non-EU shipping nations, which can be expected to make strong representations in Brussels should the European Parliament vote the proposals through.
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Feature The Masters and Mates Association (MMAP) formally opens MMAP House, center of proactive operations, a reflection of intense commitment to its members and its partners.
After Decades Without.
A HOME FOR MMAP by Coca H. Strobar
“Together we have built this structure that will carry on and uphold upon MMAP’s vision and mission...” - Aspillaga
“Together we have built this structure that will carry on and uphold upon MMAP’s vision and mission to promote the general welfare of its members and to protect the integrity of the maritime profession,” beams President Rodolfo Aspillaga at the inaugurals February 7, 2013. MMAP House is a six-storey building strategically located at 1729 Agoncillo, Malate District of Manila. Formal opening ceremonies were attended by MMAP officers and members, core staff, together with senior government officials and prominent industry stakeholders.
the Professional Regulation Commission (PRC) last 05 April 2013. Capt. Aspillaga was re-elected with basically his team of former merchant marine captains, namely, Edwin M. Itable, VP; Fernando J. Alano, Secretary; Simeon E. Flores, Treasurer; Jimmy R. Villar, PRO; Walfredo D. Rivas, Business Manager; and Severo P. Cuison, Jr., Auditor. Members of the Board are: Capts. George P. Pimentel, Rosauro A. Olivar, Leonito M. Miranda, Jaime D. Quinones, Joseph R. Raluta, Frederick K. Binoya, Hipolito P. Yanga, Jr; and Romulo C. Jarillas. Ms. Chily Concepcion is designated OIC of the Secretariat. All serve for a three-year term that starts 2013 and extends to 2015.
Among the amenities are the dental clinic, library, Secretariat office, boardroom, executive suites, training room and more spaces for various functions when needed.
PRC’s Manzala challenged in her remarks the new leadership to be faithful to the mission and vision of the MMAP by actively promoting the best interest members nationwide.
It also holds the offices of the Filipino Society of Captains (FILSCAPT) headed by Capt. Victor del Prado, a former president of MMAP.
Collaboration.
A single sideband radio is available to reach members onboard vessels on international run. New officers. Newly elected executive officers and Board members took oaths of office before Chairman Teresita A. Manzala of
administration for the International Convention on Standards of Training, Certification and Watchkeeping for (STCW) for seafarers to prepare for the European Maritime Safety Agency (EMSA) audits,” notes Aspillaga. Aspillaga and Quinones are currently Consultants of the MARINA STCW Technical Team. Then MARINA OIC Nicasio A. Conti conveyed appreciation for technical assistance that MMAP has been extending. Conti admits the Association has greatly moved forward the agency’s agenda especially for the forthcoming EMSA Audit. He extols the present leadership to continue being “heroes of the marine deck profession.” Training. MMAP also strengthens capacity building initiatives for members by offering courses for instructors of maritime schools and training centers.
Aspillaga assures that aside from proactively promoting corporate social responsibility MMAP will strengthen collaboration with industry and government agencies for serious concerns on the country’s maritime manpower industry.
“The problem is that we have upgrading courses for marine deck officers to prepare them for their sea-service duties but it seems we don’t have in place a program for continuing maritime education for those who have chosen to teach in maritime schools and maritime training centers”, says Itable, head of MMAP education and research committee.
“This is probably the first time that MMAP has stepped forward to offer its technical assistance to the government particularly the Maritime Industry Authority (MARINA) as the designated
A pilot class on the Trainors’ Training course on Ship Maneuvering Mechanics and Fundamentals of Ship Handling (SMMFS) was conducted at the MMAP House twice last March.
Atty. Conti and Chairman Manzala with MMAP leadership
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Opinion
STCW CONVENTION
F R Chowdhury is a former Director General of Shipping, Bangladesh. He is also an ExDeputy Chief Examiner of UKMCA, Maritime Administrator of Gibraltar and Maritime Adviser to GOP, Kingdom of Bahrain. The International Convention on Standards of Training, Certification and Watch-keeping (STCW) for Seafarers was originally adopted in 1978. This was to develop a unified standard for seafarers’ training and certification. It was a big and bold step; there was no such globally-agreed standard (except for ILO Officers’ Certification Convention of 1936). The ILO Convention did not deal on full context and was not followed globally. The United Kingdom; similarly, the USA, Russia, France and a few others. At the end of WWII, Britain gaxe independence to her colonies under the British Commonwealth. These countries kept UK system of training and certification, making it the most widely used system. Naval officers, redundant after the war, were issued with Certificate of Service, purely on experience on naval ships. The 1978 Convention was the first to provide a frame-work and structure of a certification system. The British, French or Dutch system fell out of usage since there is now a common international system. It became mandatory for Party States to make reference to the STCW Convention, with a cut-off deadline. The Convention also introduced revalidation of certificates whereby holder has to update with all recent technology.
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CAN IT BE IMPROVED? The first amendment was in 1991, introducing GMDSS (Global Maritime Distress & Safety Signals). In 1995, the Convention went through a major revision. Changes could come into force quickly through tacit approval. The regulations, outlined the general requirement of certification for each capacity/level. Then Code-A would contain a complete syllabus and assessment system making it mandatory part of the corresponding regulation. Code-B would contain more details but non-mandatory (yet helpful for understanding the system). The ’95 standards remained for 15 years; then a diplomatic conference was held in Manila, Philippines. Amendments were adopted on 25-June-2010 (which coincides with the Day of the Seafarers). One essential made rest identical with MLC-2006 Convention; concentrated on safe watch-keeping. This time they also considered all other factors for safe operation, recognizing ships require watch-ratings and experienced/qualified ratings to assist in safe operation such as berthing and un-berthing, securing vessel for bad weather, maintaining security and carrying out essential maintenance work. The result is the introduction of two new categories of ratings: Able Seafarer (Deck) and Able Seafarer (Engine Room). They are supposed to be better trained and more experienced than watch-ratings. Marine engineers also look after electrical matters on a ship. When the ship is large and complex with
lot of electrical equipment such as the case of a passenger ship, it is necessary to have additional hands specialised in electrical engineering. This resulted into specifying training requirements for Electrical Officer and Electrical Rating. Opportunity was also taken to introduce security related training for seafarers engaged at different levels. The tankers training was further streamlined and modernised.
1. Regulation I/2 should be further improved to state “Certificates of Competency and final certificates for identified capacities in the Convention shall be issued only by administration of a member state”. This will also include such capacities as Watch-rating (Navigational and Engine-room), Able Seafarer (deck and Engine), Electro-technical Officer and Electro-technical rating. 2. We must re-arrange regulations I/7 and I/8 in a more realistic manner. Regulation I/6 make it obligatory for the administration to review, assess, approve, supervise and monitor training courses and centres. It is the sole responsibility of the administration to ensure that institutes within its jurisdiction operate under its full control and supervision.
3. Regulation III/1 outlines minimum requirements of training for a Watch-keeping engineer officer. The training (in addition to those required under regulation VI and final education, training and assessment under A-III/1) has been shown in two different categories: •
18 months approved combined (mechanical and electrical) workshop skill training followed by 12 months sea-service in the engine department of which at least 6 months in watch-keeping duties under supervision of a certificated engineer officer with full record-keeping; or
•
6 months approved combined (mechanical and electrical) workshop skill training followed by 30 months sea-service in the engine department of
which at least 6 months on watch-keeping service under supervision of a certificated engineer officer. 4. Regulation VI/1 states “seafarers shall receive safety familiarization and basic training or instruction …” It is wrong and very confusing. The Convention will require constant updating to keep pace with development of technology. At this stage, the Convention shall be considered full and complete when the outlined changes/ clarifications are made. I hope some member states shall take the initiative to bring the matter to the IMO floor. <fazlu.chowdhury@btinternet.com>
It also introduced the need for the Administration to provide final document (after proper check and verification of specialised training as well as the mandatory period of supervised service on tankers) for officers to serve on tankers. All these changes and amendments have definitely improved the Convention and it now gives more unified approach to seafarers’ training and certification system. Manning is a matter for SOLAS (Chapter-V) but there has always been an integral relationship with STCW because all positions shown in the format of SMD are those identified in the STCW. The 2010 version of the Convention may be considered to have been given full and complete effect only when the format of the SMD includes all the newly identified positions though many ships may not require all of them. We look forward to future amendments to ensure that no ambiguity is left in the Convention and that all interpretation will lead to common results.
SYNERGY FOR MOTHER NATURE Ms. Doris Magsaysay-Ho and Mr. Akimitsu Ashida receive for their companies a green seedling from Ms. Loren Legarda to seal a partnership, a synergy for Mother Earth. Ms. Magsaysay-Ho is President and CEO of A. Magsaysay Inc.; Mr. Ashida is Chairman of Mitsui O.S.K. Lines. Ms. Legarda is member of the Senate and a known advocate of the environment. Senator Lergarda was the Principal Guest at the commencement exercises for Batch 2013 of the Magsaysay Institute of Shipping (MIS) coinciding with its 20th Anniversary celebrations held April 19th at the four-hectare campus in Dasmarinas, Cavite. MIS was established by Magsaysay Maritime Corporation, a sister company of Fairmont Shipping and Mitsui O.S.K. Lines to develop world-class seafarers.
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OPINION
Intra Asia Trade S
hipping industry is proving to be on stormy waters for ship owners, operators and investors. Executives are increasingly concerned about challenges facing the ocean freight sector, including weak cargo growth, new capacity coming into the market and increasing environmental issues.
most welcome, as capacity continues to increase at double digit rates.
The major problem is too much capacity chasing not enough cargo, resulting in on-going financial challenges.
This year there is 3.4 million TEU of containership capacity on the global order books, equivalent to 21% of the existing fleet.Many of these new ships are the 10,000+ TEU vessels that primarily operate on the Asia-Europe trades. This results in large and mid-size vessels being cascaded down into other trade lanes.
SeaIntel says, during the last four years, the top 20 container carriers have accumulated losses of USD 6.9 billion. During 2012, shipping lines collectively just about broke-even. The 2013 industry-level forecast from Drewry is a modest profit of USD 280 million - hardly an adequate return on global volumes now reaching 170 million TEU per annum. Estimates vary on the capacity imbalance –Barclays Bank estimates cargo demand will grow by 6.3% in 2013. Clarksons forecast 6.1%, others 5% growth.
Peaked destination. Major developed markets (USA and Europe) impact on demand growth on the traditional high volume trade lanes. The south-south trade (Asia – Indian sub continent - South America) is expected to show strong growth. This is
At Q1 of last year, there was 4.3 million of new capacity on order, more than 25% of the total worldwide fleet 16.3 million TEU. Thus, 2013 will add even more capacity.
However, this will not alleviate the rate pressure in the major trade lanes where shipping lines have been furiously fighting for volumes by reducing freight rates.
Lesson learned. The fundamental lesson from prior cycles - that reducing price per box does not increase the total amount of boxes to be moved – seems to have been lost along the way. Drewry reports freight rate declines of as much as 30% year-onyear on some major trades. The consequence of this brutal competition is the decline in freight rates – considered by some to reflect an
absence of courage and discipline. Many shipping lines that managed to increase container volumes have still experienced declines in revenues. One example being a 14% increase in volume with a corresponding 21% decline in revenue. For the industry to have any chance of establishing equilibrium in the supply and demand model within a largely commoditised sector, capacity needs to be removed from the market. At least, for the short to medium term. In the absence of any carriers going out of business (yet), then the short term prescription needs to accelerate the idling of container ships. During 2012, 178 ships (332,000 TEUs) were sold for scrap. Container ships currently parked-up have reduced total capacity by 800,000 TEU – almost 5% of the total global fleet. But for any sensible equilibrium to return to the current supply-demand imbalance, idled tonnage needs to reach at least two million TEUs.
SUNSHINE AMIDST THE STORM by Mark Millar
overtaken Trans-Pacific volumes. The combined container volumes on IntraAsia and Asia-Middle East are forecast to grow to six times current levels by 2030.
Comes Intra Asia. With healthy growth in recent years, Intra-Asia container volumes grew to 26 million TEU’s in 2012 and are projected to keep growing by a healthy average 7% per annum to reach 33 million TEU containers in 2015. All these in an environment with distinctly different geographic characteristics than North America or Western Europe, where contiguous land mass lends itself to long-haul road and rail cargo transport linkages. A significant proportion of the intra-Asia trade has no option but to travel on the water (island nations of the Philippines,
Indonesia and Japan. Even when countries do have land connections, the combination of infrastructure limitations and cross border inefficiencies often make water-borne transportation a much more efficient option. The average cargo journey within Asia is much smaller than other major trades. For example, Intra Asia container distances are typically 500-1,000 nautical miles, one tenth of the typical Asia-Europe route. Hence, the intraAsia trade is served predominantly by mid-size container vessels – typically, from 1,200 - 3,500 TEUs - and is very fragmented with many small and medium-sized ports with length and depth restrictions, numerous shipping lines, hundreds of local players providing barging services and thousands of freight forwarders.
The healthy growth in trade and commerce is fuelled by robust and rising consumer and industrial demand throughout Asia - most notably in China, India and the ASEAN nations. IndiaChina trade is projected to grow to $100 billion by 2015 - a 50% increase over current trade levels. ASEAN may become a ten trillion dollar economy by 2030. We truly are in the Asia Era! Industry thought leader Mark Millar has been engaged by clients as Speaker, MC, Moderator or Conference Chairman at more than 260 events in 20 countries and is recognised by the Global Institute of Logistics as “One of the most Progressive People in World Logistics” mark@markmillar.com
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Amongst all the storm clouds, the Intra Asia trade offers some rays of sunshine. For containerised ocean freight, intraregional trade accounts for 41% of global trade, of which the Intra-Asia represent 79%, value at $2.9 trillion. Intra-Asia container traffic has already
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Ports
MELBOURNE CONTAINER TERMINAL
ICTSI BID SHORTLISTED International Container Terminal Services (ICTSI) has been named among the short-list of bidders to build and operate Melbourne’s third international container terminal. ICTSI partners with Anglo Ports and they bring extensive and critical expertise to the project like container terminal development, operations and logistics chain know-how. ICTSI is an industry pioneer, earning container terminal expertise overseas, It now manages and operates a portfolio of 27 marine terminals in 19 countries. The company is led by Enrique K. Razon Jr., Chairman and President. Over the last decade, ICTSI has overseen a period of remarkable growth in both developed and emerging markets. Mr Razon, a dollar billionaire, has
PHOTO BY: JHON HENSON ONG
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substantial business interests that include gaming and mining. The ICTSI group has a market cap in excess of USD4 billion and in 2013 is expected to handle over 5m TEUs. Flagship Manila container terminal handled in 2012 about 1,826,176 TEUs. It will soon bring into service its new Manzanillo, Mexico terminal, developed on a BOT basis, with start-up 650,000 TEUs growing to 1.5m TEUs over time. This year, ICTSI celebrates 25th anniversary as it accepts the prestigious Best Managed Company in Asia for Transportation/Shipping Award from Euromoney. The award is based on the feedback of equity analysts at the largest banks and research organisations in the Asia Pacific. Analysts praised ICTSI for its leading role in promoting transparent
communication to investors, citing that “the company has a clear strategy and good visibility.” ICTSI possesses a range of blue chip investors with the majority based in Europe and the USA. Anglo Ports is based in Australia, headed up by Chairman Capt. Richard Setchell, former Chairman and Managing Director of P&O’s global ports empire. Capt. Setchell and his management team have intimate knowledge of container terminal operations on the Australian waterfront and a strong understanding of how best to meet new liner and cargo shipper requirements. The consortium of ICTSI and Anglo Ports was formerly short-listed bidder in the new Brisbane and Port Botany Third Container Terminal bidding processes.
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