Around six Philippine companies have expressed interest to invest in new ships to modernize the maritime industry, months after the government announced a program of incentives.
Under MARINA’s Circular No. 2015-04 dated Sept. 7, 2015 the incentives will apply to those who will invest in an International Association of Classification Societies-classed brand new or newly constructed ships. Those who qualify will be given “protection of investment” and “route protection.”
“For purposes of recovering its investment, the domestic shipowner or operator granted ‘Pioneer Status’ shall be given protection of investment for six years by imposing a moratorium on the deployment of additional vessels or not allowing other vessels to ply the applied link/route…,” the circular says
MARINA will provide “priority” in issuance of certificates of public convenience, which will be released within 10 working days instead of months. There will also be special ramp or berth facility for the ships, and a 50% discount in applications and renewal fees.
“We are in total agreement with the industry. The only problem is we can only go so far, as far as incentives are concerned. The major incentive has to come from [Department of] Finance so we have no control over that.” Maritime Industry Authority (MARINA) Administrator Maximo Q. Mejia, Jr.commented.