CEBU CITY — In an archipelagic nation where waterborne transit acts as the country’s economic lifeblood, lawmakers, maritime regulators, and domestic shipping leaders have convened in Cebu on July 31 for a crucial strategy meeting to address pressing industry bottlenecks, overhaul outdated policies, and chart a course toward a safer, more competitive domestic shipping sector.
The high-level discussions brought together lawmakers from the House Committee on Transportation, senior officials from the Maritime Industry Authority (MARINA), and executive leadership from the Philippine Coastwise Shipping Association (PCSA)—the nation's largest maritime group representing over 50 companies and a fleet of more than 800 vessels, with honored guest, former president Gloria Macapagal-Aroyo, President Emeritus of the organization.
Opening the proceedings, Rep. Reynante Arrogancia, Vice-Chair of the House Committee on Transportation, praised the shipping sector for maintaining fixed shipping volumes, securing 8,000 jobs, and ensuring the continued vitality of the Strong Republic Nautical Highway.
"We do not view ourselves merely as regulators, but as partners in your growth," Arrogancia affirmed, emphasizing that the primary objective of legislative oversight is to streamline policies, address operational bottlenecks, and modernize the domestic fleet.
Echoing these collaborative sentiments, Adm. Loumer Bernabe, MARINA Deputy Administrator for Operations, commended the PCSA for pushing industry standards forward. Bernabe highlighted the need for rigorous maritime safety regulations and accountability, especially in the wake of recent maritime tragedies, noting that safety and economic viability must go hand-in-hand to safeguard national supply chains and food security.
Rep. Franz Pumaren, Chairman of the House Committee on Transportation, outlined an ambitious legislative agenda designed to modernize maritime governance and enhance safety across the archipelago. Key initiatives currently under committee review include:
Pilotage Reform (House Bill No. 5485): Known as the proposed Open Harbor Pilotage Services Act, this bill aims to curb monopolies, prevent conflicts of interest, and establish transparent rates by creating an independent Pilotage Board.
National Transportation Safety Board (NTSB): Legislation to create an independent investigative body tasked with conducting impartial inquiries into major transport disasters.
Strengthening Maritime Safety: Amendments to the Domestic Shipping Development Act of 2004 to protect passengers, alongside legislative measures to bolster the Philippine Coast Guard (PCG).
Digital Transformation at MARINA: Upgrading agency capabilities for faster crew certification, digital investor registration, and streamlined compliance tracking.
"Safety and competitiveness are catalysts for each other. Reliable operators earn public confidence and attract long-term investment. Regulation must protect the public while encouraging responsible innovation,” said Pumaren.
PCSA points out regulatory strain and red tape
Despite shared goals for modernization, PCSA President Lucio Lim Jr. presented a candid assessment of the operational crises burdening vessel operators on the ground revealing a critical personnel bottleneck within MARINA staffing shortages, noting the agency currently operates with only 1,200 total staff nationwide—including just 152 qualified inspectors and surveyors—causing severe delays in vessel inspections and documentation processing.
PCSA also criticized redundant Coast Guard clearances policy of physically checking every single vessel prior to departure. Calling the practice inefficient and prone to corruption, Lim advocated for adopting a "master’s code of departure clearance" for cargo vessels to save valuable operational time.
Misapplication of International Conventions, Lim urged regulators to re-evaluate the application of international maritime conventions (such as STCW, MLC, and ISPS) on domestic fleets, pointing out that applying international standards to domestic routes significantly inflates operational costs for local shipowners.
Scrapping the "Rural Terminal Fee". While praising the efficiency of Roll-on/Roll-off (RoRo) ports for fast inter-island trade, Lim called for the complete abolition of the ₱550 rural terminal fee on freight trucks. Lim noted that terminal fees account for 15% to 25% of total freight costs on short-haul routes, placing Visayas and Mindanao at an economic disadvantage compared to regions served by toll-free national highways.
The meeting concluded with a commitment from congressional leaders to maintain open channels of communication through Technical Working Groups (TWGs) involving port authorities, harbor pilots, shipping operators, and maritime regulators.
By bridging operational realities with
legislative policy, both government and private stakeholders aim to build a
resilient, modern, and competitive Philippine maritime sector worthy of the
commuting public and regional commerce. (Photos: MBCNewman)
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