Government issues draft Merchant Shipping Bill for public consultation

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Representative Image
Representative Image

New Delhi (Delhi) [India], November 26 (ANI): The Ministry of Ports, Shipping and Waterways on Thursday said it has issued a draft of Merchant Shipping Bill, 2020 for public consultation.

The draft bill aims to repeal and replace the Merchant Shipping Act, 1958.

The Merchant Shipping Bill, 2020 has been drafted, with the primary aim of promoting the growth of the Indian shipping industry by incorporating the best practices adopted by other advanced countries like the U.S., Japan, UK, Singapore and Australia, the Ministry of Ports, Shipping and Waterways said in a statement.

All up-to-date International Maritime Organization (IMO) Conventions/protocols, to which India is a party, have been adopted in it.

The statement said that adequate provisions are incorporated to ensure the safety and security of vessels, safety of life at sea, prevent marine pollution, provide for maritime liabilities and compensations, and ensure comprehensive adoption of India's obligations under International Conventions.

The press release highlighted the advantages of the draft bill.

Firstly, promoting ease of doing business- The Bill does away with requirement of general trading license for Indian vessels

Secondly, embracing digital technology- It enables electronic means of registration, and grants statutory recognition to electronic agreements, records, and log books, in addition to electronic licenses, certificates and payments.

Thirdly, Increasing tonnage and Vessel as a Tradable Asset-The Bill seeks to increase India's tonnage by widening the eligibility criteria for ownership of vessels and providing for the registration of bareboat charter cum demise, thereby increasing opportunities for international trade.

According to the release, "India as a Bankable Shipping Jurisdiction & avoidance of situations leading to wreck -The proposed Bill seeks to introduce for the first-time statutory framework for regulating maritime emergency response against maritime incidents. The provisions seek to provide for time effective implementation of response mechanisms in order to ensure that the same is prevented from becoming a wreck or other catastrophic event."

The release added, "Welfare of Indian seafarers on abandoned vessels and safety of abandoned vessels: Provisions for repatriation of abandoned seafarers have been enhanced, in line with the MLC regulations."

"Strengthening adjudication and predictability of claims: In order to strengthen the investigation and adjudication of claims arising out of the collision of vessels, assessors may be tasked by the High Courts to present their findings on the degrees of the fault of each vessel", it stated.

According to the release by the ministry, "India as an Active Enforcement Jurisdiction- The Bill incorporates powers of the Director-General to take action against vessels that are unsafe, and pose a threat to the safety of life at sea and environment, and includes a procedure for appeal from detention orders. The Bill also incorporates provisions that encourage active enforcement of pollution prevention standards and the Central Government has been granted the power to mandate compulsory insurance or such other financial security, for pollution damage."

The Bill seeks to provide increased opportunities for investment and provide greater impetus to a self-reliant domestic investment climate in the maritime industry. The provisions regulating the maritime education, training, certification and the recruitment and placement of seafarers and ease of registration of ships under the Indian flag will give an impetus to the quality and quantity of Indian seafarers. Consequently, it will boost employment opportunities for Indian seafarers in the national and international markets.

The benefits will be extended to ancillary sectors connected with the shipping industry in consonance with 'Atmanirbhar Bharat' initiatives of the government.

The release mentions, "It has been a priority of Prime Minister Shri Narendra Modi's government to replace all archaic colonial laws with modern and contemporary International laws with the active participation of people to enhance transparency in the governance. For the same, the Ministry of Ports, Shipping and Waterways recently issued two draft Bills for public consultation, namely 'Aids to Navigation Bill 2020' and 'Coastal Shipping Bill 2020' and now this historical 'Draft Merchant Shipping Bill 2020'is being issued, within a short span of time of four months."

It added: "Moreover, Major Port Authorities Bill 2020 is also under consideration of Rajya Sabha, which has been already passed by Lok Sabha in the last Parliament session. All these Bills are going to generate sweeping waves in the maritime scenario moving India towards a fully developed maritime economy." (ANI)