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Thursday, July 24, 2008
Arroyo orders re-audit of 8 Sulpicio ships
CEBU CITY -- President Gloria Macapagal-Arroyo ordered the Maritime Industry Authority (Marina) to hasten the second audit of Sulpicio Lines' eight vessels, saying she wanted the shipping company to resume full operations soon.
During their meeting with Arroyo in Cebu Wednesday, Sulpicio's owners said they have corrected the defects and are now ready for Marina's re-audit.
Arroyo Watch: Sun.Star blog on President Arroyo
To solve the shortage of cargo ships for now, Transportation Undersecretary Maria Elena Bautista said some shipping lines such as MNC Shipping, Negros Navigation and Aboitiz Transport System will operate additional vessels with a combined total capacity of 1,800 container vans.
The ship owners also agreed to defer an increase in freight rates.
Trade and Industry Secretary Peter Favila, on the other hand, said he is meeting regularly with manufacturers, retailers and dealers to make sure that the supply of basic commodities remains adequate in all regions.
Transportation Secretary Leandro Mendoza said that Marina auditors will conduct the re-audit today and report the results to the Marina Board. The board will then decide whether to lift the suspension on Sulpicio Lines' passenger vessels.
Mendoza also said that the Board of Marina Inquiry (BMI) will submit its investigation report and recommendations on the sinking of Princess of the Stars on Monday.
"By Wednesday, we will have some decisions on the matter," Mendoza said.
The audit team created after the sinking of MV Princess of the Stars last June 21 reported some deficiencies in Sulpicio vessels. For the company to resume operations, these defects have to be corrected.
The vessels were audited based on provisions of the National Safety Management (NSM) Code and the International Safety Management (ISM) Code.
Mendoza said that in their meeting yesterday, the shipowners agreed with the grounding of all the shipping company's vessels if one of its ships sink.
They, however, said there must be a timeframe to complete the audit and re-audit.
Mendoza also said that President Arroyo instructed Marina to improve the salaries of ship officers and crew to encourage them to continue working in the country.
He said Sulpicio Lines reported that the captain of the mv Princess of the Stars received a salary of P60,000 a month. His counterparts abroad, however, earn $5,000 or more than P210,000 a month.
Mendoza said the President also suggested that insurance companies shoulder all the claims during an accident at sea, as adopted by the International Club of Insurers.
He said, however, that small and medium shipping firms are asking for assistance from the government because they cannot afford the high insurance premiums.
Meanwhile, Bautista said that Sulpicio and Titan, a salvage firm, will sign an agreement for a survey to locate the endosulfan shipment inside the sunken Princess of the Stars.
The survey, Bautista said, was recommended by experts from the International Maritime Organizations who are in the country to advise the government.
"We don't know if the container of endosulfan is well-sealed or not sealed, in good state or in bad state. So the agreement, as recommended by experts, is to first conduct a survey," Bautista said.
She said the plan is to bore a hole in the side of the vessel and send one or two people with a camera to take pictures of the cargo deck.
From the photos, experts will try to identify the containers of the Endosulfan and Bayer shipments and check how they can be pulled out safely.
Bautista said Sulpicio and Titan were supposed to sign the contract Wednesday but DOTC and Marina officials changed the terms of reference based on the recommendations of the experts.
"The survey can be done in about seven to 10 days and then from there, there can be a full assessment of how the procedure will be undertaken to retrieve the bio-fuels, hydro-carbon and the chemicals", Bautista said.
She said the plan will cost $7.5 million because the salvage firm will have to bring all their equipment to the Philippines so that these can be used immediately if needed. (EOB of Sun.Star Cebu)
For more Philippine news, visit Sun.Star Iloilo. (July 24, 2008 issue)
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