Republic of the Philippines

Department of Transportation and Communications

MARITIME INDUSTRY AUTHORITY
Parkview Plaza (Masagana Telamart, nc!"
Taft #venue cor! T!M! $alaw %treet, &rmita, Manila
2014 AMENDMENTS TO THE REVISED RULES AND
REGULATIONS IMPLEMENTING REPUBLIC ACT NO. 9295,
ENTITLED AN ACT PROMOTING THE DEVELOPMENT OF
PHILIPPINE DOMESTIC SHIPPING, SHIPBUILDING, AND SHIP
REPAIR AND SHIP BREAKING, ORDAINING REFORMS IN
GOVERNMENT POLICIES TOARDS SHIPPING IN THE
PHILIPPINES, AND FOR OTHER PURPOSES !
RULE I
GENERAL PROVISIONS
S"#$%&' 1. This '()* #mendments to Rules and Regulations, hereinafter
called +RR of '()*, is promulgated pursuant to Paragraph )-, %ection )( of R#
.o! /'/0, otherwise known as the +Domestic %hipping Development #ct of
'((*,!
S"#$%&' 2. The following terms as defined under %ection 1 of the R2RR of R#
.o! /'/0 are hereb3 amended to read as follows:
"Domestic Ship Operator" or "Domestic Ship Owner" or
C&()*'+! ma3 be used interchangeabl3 and shall mean a citizen
of the Philippines, or a commercial partnership wholl3 owned b3
4ilipinos, or a corporation at least si5t3 percent (6(7" of the capital of
which is owned b3 4ilipinos, which is dul3 authorized b3 the M#R.#
to engage in the business of domestic shipping8
Newspaper of General Circulation shall mean a newspaper for
the dissemination of information of a general character, which has
been established, printed and published at regular intervals in the
countr3 for the past 3ear!
Stoppage of Service/Operation shall mean an3 cessation of a
vessel9s service in its authorized route or portions thereof!,
S"#$%&' ,! # %pecial Permit as herein defined is introduced and added under
the same section:

Special Permit (SP) as used under Section 15 shall mean a
temporary authority to operate issued by the MARINA to a domestic
shipowner/operator with valid ! to allow "or a deviation "rom its
! under the circumstances enumerated in this Revised Rules#
Page ) of );

S"#$%&' 4. %ections 0, 6, -, ; and / of Rule , are hereb3 modified and
renumbered to insert Titles ( to 2<" and to read, as follows-
+TT<&
#uthorit3 to =perate
S"#$%&' 5. F&.( &/ A0$1&.%$+ $& O)".*$" > The authorization shall be
in the form of a:
0!)! Certificate of Public Convenience (CPC" for a domestic
shipowner?operator engaged in domestic shipping! #
Provisional #uthorit3 (P#" ma3 be issued pending the issuance
of a CPC, provided the application falls under an3 of the
circumstances enumerated under %ection )0 hereof! # %pecial
Permit (%P" ma3 be issued to an e5isting CPC holder if one of
the instances as provided for under %ection )6 hereof is
present8
0!'! %P for a foreign shipowner?operator temporaril3 engaged in
trade and commerce within the Philippine territorial waters,
pursuant to MC .o! '())2(* and its subse@uent amendments!
TT<&
Domestic %hipping
S"#$%&' 2. 1& (*+ 30*4%/+ *5 D&("5$%# S1%) O)".*$&.6 or
6D&("5$%# S1%) O7'".6 or C&()*'+ 2 The following ma3 @ualif3 as
domestic ship owners or domestic ship operators or compan3:
6!)! Citizens of the Philippines8 or,
6!'! Commercial partnership wholl3 owned b3 4ilipinos, or,
6!1! Corporation at least si5t3 (6(7" of the capital of which is
owned b3 4ilipinos!
TT<&
Certificate of Public Convenience
S"#$%&' 8. 1& *." ."30%."9 $& 5"#0." CPC 2 The following shall be
re@uired to secure CPC:
-!)! Those engaged in domestic shipping as defined under %ection
1, Rule hereof8
-!'! #n3 person, natural or Auridical, who, although not engaged in
domestic shipping as defined herein, owns or operates ships
in the transport of passengers or cargoes, or both, for hire or
compensation!
Page ' of );

S"#$%&' :. T+)"5 &/ A))4%#*$%&' /&. CPC ; #n application for CPC shall
be categorized as follows:

;!)! ssuance?&5tension?Renewal of CPC8 and,
;!'! #mendment of CPC!
S"#$%&' 9. 1"." $& /%4" ; The #pplication for issuance, e5tension or
renewal of CPC shall be filed with the M#R.# Central =ffice or the
M#R.# Regional =ffice (MR=" where the applicant has its principal
place of business or office
S"#$%&' 10. R04"5 %' $1" I550*'#"<E=$"'5%&'<R"'"7*4<A("'9("'$ &/
CPC > The #pplication for ssuance?&5tension?Renewal?#mendment of
CPC shall be governed b3 the e5isting M#R.# Rules of Procedures and
its subse@uent amendments! +
S"#$%&' 5! %ection -!* is hereb3 amended and renumbered as %ection )) to
))!1!); to insert a new title and read, as follows:
+TT<& 2#
#pplication for ssuance?&5tension?Renewal of CPC
S"#$%&' 2! %ection )) is inserted to read, as follows:
S"#$%&' 11. R"30%."("'$5 ; The applicant shall compl3 with the
following:,
S"#$%&' 8. %ection -!*!' is hereb3 amended to read as follows:
11.2. >0.%59%#$%&'*4 R"30%."("'$5
))!'!)! Proof of pa3ment of filing or processing fees,
S"#$%&' :! %ection -!*!1 is hereb3 amended and renumbered as %ection ))!1! to
insert new?modified re@uirements, and to read, as follows:
11.,. D&#0("'$*.+ R"30%."("'$5
))!1!)! #pplication stating the service #pplicant proposes to
offer, whether liner or tramping or both!
))!1!)!)! 4or liner service, the domestic shipowner or
operator shall indicate the name of its ship(s",
the route(s" to be served and the proposed
reasonable?practicable schedule of trips?sailing
fre@uencies per route?link!
))!1!)!'! 4or tramping service, the domestic shipowner
or operator shall indicate the name of its
ship(s" and its area of operation?service! The
domestic shipowner or operator shall indicate
in its proposed route(s" the e5act location of
Page 1 of );

the ports of origin and destination! n case
there is no port, the #pplicant shall indicate the
baranga3, town, beach, sitio in the #pplication8
4or the above items, the #pplicant shall also indicate the
limitations to the area(s" of operation or route(s" to be
served as indicated in the license issued to the ship
under M#R.# MC .o! ))( and its subse@uent
amendments!
))!1!'! #ffidavit of Publication of the .otice of Bearing in a
newspaper of general or regional circulation, as
applicable!
S"#$%&' 9. %ections -!*!1 and -!*!* are hereb3 amended and renumbered as
%ections ))!1!1 and ))!1!* and to read as follows:

))!1!1! 4easibilit3 stud3 or an3 stud3 or document that will
show probable economic?beneficial effect to the port,
province or region it proposes to serve!
))!1!*! .otarized %pecial Power of #ttorne3 or .otarized
%ecretar39s Certificate and Coard Resolution, where a
non2law3er represents a sole proprietor or corporation,
respectivel3!
S"#$%&' 10! %ections -!*!1!' to -!*!1!)* are hereb3 renumbered as %ections
))!1!0 to ))!1!)1!
S"#$%&' 11! %ection -!*!1!)0 is hereb3 renumbered as %ection ))!1!)* and
amended to read, as follows:
+ ))!1!)*! nsurance Coverage8
))!1!)*!)! Passenger nsurance Coverage as re@uired under Rule D
of this '()* #mendment and an3 subse@uent
amendments!
))!1!)*!'! =ther insurance coverage as ma3 be re@uired!
S"#$%&' 12! %ections -!*!1!)6 are hereb3 renumbered as ))!1!)0!
S"#$%&' 1,. %ection -!*!1!)- and tems (a" to (i", e5cept for tem (d" which is
deleted, are hereb3 renumbered as ))!1!)6 to ))!1!)6!);!, and a new provision
is inserted under the last item to read, as follows:
+#ll documentar3 re@uirements must be valid upon filing of the #pplication!,
S"#$%&' 14! %ections -!6 -!6!- are hereb3 renumbered as %ection )'!) to )'!/
and amended to introduce the following:
T%$4" III?B
A))4%#*$%&' /&. A("'9("'$ &/ CPC
)'!1! Change in %hip9s .ame8
Page * of );

)'!/! Change in the Contract Period of Careboat Chartered %hips!,
S"#$%&' 15. %ection -!; is hereb3 inserted under the preceding section!
S"#$%&' 12. %ections -!- to -!-!-!* are hereb3 renumbered as %ections )1 to
)1!1!/!) and amended to modif3 and introduce the following:
S"#$%&' 1,. R"30%."("'$5 ? The applicant shall compl3 with the
following:
1,.1. @0*4%/%#*$%&' ."30%."("'$5 ; #s provided under %ection
))!)! hereof!
1,.2. >0.%59%#$%&'*4 ."30%."("'$5 ; #s provided under %ection
))!'! hereof!
1,.,. D&#0("'$*.+ ."30%."("'$5 ; The following shall be
submitted in addition to the documentar3 re@uirements
provided under %ection ))!1! as applicable:
1,.,.1. Permanent #ddition or Deletion of a route?port?link:
1,.,.1.1. #pplication for #mendment of CPC
stating the reason(s" thereof!
1,.,.2. Permanent #ddition?Reduction or
Dropping?Replacement of %hip?4leet:
1,.,.2.1. #pplication for #mendment of CPC
identif3ing the ship to be added or
dropped?replaced and reason(s" thereof8
1,.,.2.2. 4or permanent addition, 4inancial
%tatements reflecting changes?adAustments
in the capitalization re@uirement, as
applicable8
1,.,.,. Change in %hip9s .ame:
1,.,.,.1. #pplication for #mendment of CPC stating
the ship9s new name8 and,
1,.,.,.2. %hip Documents and %afet3 Certificates
under %ections ))!1!- and ))!1!;,
respectivel3!
1,.,.4. Change in the name of entit3:
1,.,.4.1. #pplication for #mendment of CPC stating
the change in name of the entit38
1,.,.4.2. M#R.# #ccreditation Certificate reflecting
the new name of the entit38 and,
1,.,.4.,. %hip Documents and %afet3 Certificates
under %ections ))!1!- and ))!1!;,
respectivel3, showing the new name of the
entit3!
Page 0 of );

1,.,.5. Change in the t3pe of operation or t3pe of service:
1,.,.5.1. #pplication for #mendment of CPC stating
the new t3pe of operation or service8 and,
1,.,.5.2. %hip Documents and %afet3 Certificates
under %ections ))!1!- and ))!1!;,
respectivel3, showing the new t3pe of
operation or service!
1,.,.2. Change in the t3pe of cargo to be carried:
1,.,.2.1. #pplication for #mendment of CPC stating
the reason(s" thereof8
1,.,.2.2. %hip documents and ship safet3
certificates under %ections ))!1!- and
))!1!; hereof, showing the new t3pe of
cargo to be carried, as applicable, e!g!,
black to white products, persistent oil to
non2persistent oil8
1,.,.8. Change in the hull of the ship and other ship
particulars
1,.,.8.1. #pplication for #mendment of CPC stating
the reason(s" thereof8
1,.,.8.2. %hip documents?ship safet3 certificates
under %ections ))!1!- and ))!1!;,,
showing the change in the hull of the ship
and other ship particulars8
1,.,.:. Change in %ailing 4re@uencies?%chedule of Trips
1,.,.:.1. #pplication for #mendment of CPC stating
the reason(s" thereof8
1,.,.:.2. Proposed change in sailing
fre@uencies?schedule8 and,
1,.,.:.,. Certificate of Certhing %pace #vailabilit3 as
provided under %ection ))!1!)1!
1,.,.9. Change in the Contract Period of Careboat Chartered
%hips!
1,.,.9.1. #pplication for #mendment of CPC stating
the reason(s" thereof8 and,
1,.,.9.2. Careboat Charter Contract reflecting the
change thereof!
S"#$%&' 18! %ection -!* is hereb3 amended to read, as follows:
T%$4" III?C
F%'*'#%*4 EA*40*$%&'
Page 6 of );

S"#$%&' 14. 1"' 9""("9 $& B" /%'*'#%*44+ #*)*B4" > The financial
capabilit3 of the applicant shall be determined based on the following
standards:,
S"#$%&' 1:. %ections -!*!)!' and its sub2sections are hereb3 renumbered as
%ections )*!) to )*!'!'!0!
S"#$%&' 19. %ection -!*!)!1 is hereb3 deleted!:
S"#$%&' 20. Title 2D is hereb3 introduced to read, as follows:

+TT<& > D
Provisional #uthorit3
S"#$%&' 15. I550*'#" &/ P.&A%5%&'*4 A0$1&.%$+
)0!)! # Provisional #uthorit3 (P#" ma3 be warranted under an3 of
the following instances:
)0!)!)! =peration in un2served or under2served
route(s", e!g! in terms of @ualit3 of service or
fre@uenc3, as ma3 be determined b3
M#R.#8
)0!)!'! =peration of ships compl3ing with
international standards, e!g! brand new and
internationall3 classed ships8
)0!)!1! =peration of ships under &= /(/ and its RR
and other similar laws?rules and regulations8
)0!)!*! =ther analogous circumstances as ma3 be
determined b3 M#R.#
)0!'! The following documentar3 re@uirements shall be
submitted?complied with:
)0!'!)! .otarized Motion in the prescribed form8
)0!'!'! Eualification re@uirements under %ection ))!)8
)0!'!1! Documentar3 Re@uirements under %ection ))!1, as
applicable8
)0!'!*! 4or liner service, Certificate of Certhing %pace
#vailabilit3 for ever3 port covered b3 the route or the
ports where the ship intends to call, issued b3
PP#?CP#?PM=?<FGs?Private Ports indicating the
following:
)0!'!*!)! Certhing %pace .umber8
)0!'!*!'! Time that it can be accommodated b3 the
berth8
)0!'!*!1! That the ship can be accommodated at the
berth given the draft limitations of the port!
)0!'!0! Proof of Pa3ment of Processing 4ee(s"!
Page - of );

)0!1! The P# shall have a ma5imum validit3 of two ('" months
from issuance which until the final resolution of the main
CPC #pplication!,
S"#$%&' 21. Title 2& is hereb3 introduced to read, as follows:

+TT<& 2&
%pecial Permit
S"#$%&' 12. I550*'#" &/ S)"#%*4 P".(%$ CSPD > .o domestic
shipowner?operator shall deviate from its CPC2authorized routes?areas of
operations or t3pe of service, or from authorized schedules?fre@uencies,
where applicable, e5cept upon the grant of %P b3 the M#R.#
)6!)! The issuance of %P shall onl3 be granted to
shipowners?operators with valid CPC8
)6!'! The issuance of %P ma3 be warranted under an3 of the
following instances:
)6!'!)! =peration in routes?links?ports?areas of operation
where the applicant2movant is not authorized such
as fiesta, peak season, etc8
)6!'!'! Charter of local ship as substitute for a
dr3docked?inoperational ship8
)6!'!1! =peration in routes?ports?links where there are no
e5isting operators or when such services are
necessar3 for the development of an3 coastal area,
island or region in the countr38
)6!'!*! 4ortuitous event?4orce maAeure8
)6!'!0! To meet emergenc3 sealift re@uirements such as in
calamit3 situations and?or where national interest or
securit3 is involved8
)6!'!6! Contracted vo3age, provided there are e5isting
operators in the CPC authorized route to be
vacated8
)6!'!-! Conversion of ship9s operations from liner to
tramping and vice2versa8
)6!'!;! .avigation trips and marine research?studies as
re@uested b3 maritime institution and other related
entities8
)6!1! The following documentar3 re@uirements shall be
submitted?complied with:
Page ; of );

)6!1!)! .otarized Motion in the prescribed form8
)6!1!'! Documentar3 Re@uirements under %ection ))!1!, as
applicable8
)6!1!1! 4or liner service, Certificate of Certhing %pace #vailabilit3
for ever3 port covered b3 the route or the ports where the
ship intends to call, issued b3 PP#?CP#?PM=?<FGs?Private
Ports! indicating the following:
)6!1!1!)! Certhing %pace .umber8
)6!1!1!'! Time that it can be accommodated b3 the berth8
and,
)6!1!1!1! That the ship can be accommodated at the berth
given the draft limitations of the port!
)6!*! # %pecial Permit shall be issued on a per circumstance
basis for a period of not more than three (1" months! +

S"#$%&' 22! Title 24 is hereb3 introduced to read, as follows:
+TT<& 24
Routes and %ailing %chedule?4re@uenc3 of Trips
S"#$%&' 18. F4"=%B%4%$+ %' $1" O)".*$%&'5 ? # CPC grantee shall have
the fle5ibilit3 to operate its ships in the liner service under an3 of its
authorized sailing schedule?fre@uenc3 of trips, subAect to the approval b3
M#R.# of the ship?s @ualified to serve the proposed route?s or port?s in
terms of safet3 and suitabilit3!
S"#$%&' 1:. D"$".(%'*$%&' &/ S*%4%'E S#1"904"<F."30"'#+ &/ T.%)5 >
The following guidelines shall be adopted:
);!)! .otwithstanding the submission of a Certificate of Certhing
%pace #vailabilit3 issued b3 concerned port authorities, the
determination of sailing schedule?fre@uenc3 of trips shall
remain with the M#R.#!
);!'! The sailing schedule?fre@uenc3 of trips in the liner service
shall be reasonable, viable and practicable, on the basis of
an3 of the following consideration:
);!'!)! #vailabilit3 of berthing space?port facilities for
ever3 port covered b3 the route the ports where
the ship intends to call8
);!'!'! Travel time8
);!'!1! Distance to be traversed8
);!'!*! Restrictions as to nighttime and da3time
navigation
);!'!0! Condition of channel ship traffic in sealanes
which allows limited number of ships in certain
hours or period8
);!'!6! Time for embarkation?disembarkation of
passengers?cargoes8
);!'!-! Time for securit3 inspection b3
authorized?relevant government agencies
Page / of );

(Compliance with the two ('" hour port sta3
polic3 of PCF"8
);!'!;! =ther analogous instances!
);!1! #ll routes?links and schedule of trips?sailing fre@uencies
granted under a CPC?%P shall at all times be served b3 the
domestic shipowner?operator8,
S"#$%&' 2,! Title 2F is hereb3 inserted and %ection -!0 is hereb3 renumbered
as %ection )/ and amended to read, as follows:
+TT<& 2F
Dalidit3 of CPC
S"#$%&' 19. P".%&9 &/ V*4%9%$+ &/ CPC ? The CPC to be issued to a ship
whose hull other than wood, shall be valid for a period of not more than
twent32five ('0" 3ears, e5cept for chartered ships whose validit3 shall be
based on the length of the M#R.#2approved charter agreement or the
Certificate of Philippine Registr3!
The CPC of wooden2hulled ships shall have a validit3 of five (0" 3ears
without preAudice to the revised rules on licensing of such ships!,
S"#$%&' 24. Title 2B is hereb3 introduced to read, as follows:
TT<& 2B
&5emption from ssuance of CPC
S"#$%&' 20. 1& *." "="()$"9 /.&( 5"#0.%'E CPC 2 =wners?=perators
of the following ships shall not be re@uired to secure CPC:
'(!)! %hips used solel3 and e5clusivel3 for compan3?personal use for
which the operation is not offered to the public for hire or
compensation!
'(!'! =ther t3pes of ships as ma3 be determined b3 M#R.#!
S"#$%&' 21. R"30%."("'$5 ; =wners?=perators of the above ships shall
be re@uired to file a Petition for &5emption from securing CPC and shall
compl3 with the following:

21.1. >0.%59%#$%&'*4 R"30%."("'$5
')!)!)! Proof of pa3ment of filing or processing fees8 and
')!)!'! Publication of the .otice of Bearing in a
newspaper of general or regional circulation
21.2. D&#0("'$*.+ R"30%."("'$5
')!'!)! Dul3 accomplished form prescribed b3 the M#R.#8
Page )( of );

')!'!'! .otarized %pecial Power of #ttorne3 or .otarized
%ecretar39s Certificate and Coard Resolution, where a
non2law3er represents a sole proprietor or
corporation, respectivel38
')!'!1! Proof of Pa3ment of applicable Processing 4ee(s"8
')!'!*! Charter Contracts, as applicable! n case of local
charter of ships, there is no need to reflect the
charterer9s name in the ship9s documents e5cept in
the insurance, %afet3 Management Certificate
(%MC", Document of Compliance (D=C", Radio?%hip
%tation <icense (R%<?%%<", and other documents as
ma3be deemed necessar38
')!'!0! %hip9s Documents:
')!'!0!)! Certificate of Philippine Registr3 (CPR"8
')!'!0!'! Certificate of =wnership (C="8 and,
')!'!0!1! Coastwise <icense (CH<" or Ca3 and River
<icense (CR<", or Pleasure Iacht <icense
(PI<"8
')!'!6! %hip %afet3 Documents:
')!'!6!)! %hip %afet3 Certificates:
a! 4or Passenger %hips:
2 Passenger %hip %afet3 Certificate8
and,
2 Minimum %afe Manning Certificate
b! 4or Cargo %hips:
2 Cargo %hip %afet3 Certificate8 and,
2 Minimum %afe Manning Certificate!
c! 4or Tankers (other than gas tankers":
2 Cargo %hip %afet3 Construction
Certificate8
2 Cargo %hip %afet3 &@uipment
Certificate8 and,
2 Minimum %afe Manning Certificate
d! 4or Tankers Carr3ing Fas:
2 Cargo %hip %afet3 Construction
Certificate8
2 Cargo %hip %afet3 &@uipment
Certificate8
2 Minimum %afe Manning Certificate8
and,
2 Certificate of 4itness
Page )) of );

e! 4or Tugs, Dredgers and Carges:
2 Cargo %hip %afet3 Certificate8 and,
2 Minimum %afe Manning Certificate
f! 4or Bigh %peed Crafts:
2 Bigh %peed Craft %afet3 Certificate8
and,
2 Minimum %afe Manning Certificate
g! 4or =ther %hips:
2 Passenger?Cargo %hip %afet3
Certificate8 and,
2 Minimum %afe Manning Certificate
h! %uch other certificates?documents as
ma3 be prescribed b3 the M#R.#!
')!'!6!'! Radio?%hip %tation <icense (R%<?%%<",
regardless of tonnage8
')!'!6!1! =il Pollution Coverage:
a! Civil <iabilit3 Convention Certificate
(C<C" for Tankers and Carges Carr3ing
Persistent =il, as applicable8
b! =il Pollution coverage for tankers and
barges carr3ing non2persistent oil8 and,
c! Third Part3 <iabilit3 (TP<" for <i@uefied
Petroleum Fas?<i@uefied .itrogen Fas
(<.F" Carriers
')!'!-! Pictures of the ship, showing the name, port side,
starboard side and astern view (with the size of 0, 5
-,"!
')!1! The CPC &5emption shall be amended under the following
instances and upon compliance with the Aurisdictional and
documentar3 re@uirements provided under %ections ')!)! and
')!' hereof:
')!1!)! Change in the name of the entit38 or,
')!1!'! Change in the t3pe of cargo to be carried8 or,
')!1!1! Change in the hull of the ship and other ship
particulars8 or,
')!1!*! Change in the Charter Period of Careboat Chartered
%hips8 or,
')!1!0! Permanent addition?reduction or
dropping?replacement of ship?fleet8 or8
Page )' of );

')!1!6! Change of name of ship!
# change in the legal personalit3 of the CPC &5empt grantee
shall re@uire the filing of a new petition for CPC &5emption!
S"#$%&' 25. Title 2 is hereb3 introduced to amend %ection -!)( and to read, as
follows:
TT<& 2
Temporar3 %toppage of %ervice?=perations
S"#$%&' 22. I'5$*'#"5 $1*$ (*+ 7*..*'$ $"()&.*.+ 5$&))*E" &/
5".A%#"<&)".*$%&'5 ? The grantee of a CPC shall ensure the public of
regular service in authorized route or link! :
''!)! %toppage of operations in a route or link shall not be allowed
e5cept under the following grounds:
''!)!)! Maintenance or dr3docking?la32up8
''!)!'! Machine or engine trouble8
''!)!1! Maritime casualt38
''!)!*! &mergenc3 sea lift operation8
''!)!0! Peace and securit3 problems in the route8
''!)!6! Port repairs8
''!)!-! 4ortuitous event or force maAeure8
''!)!;! Market consideration8 and,
''!)!/! %ale of e5isting ship?fleet!
''!'! f the stoppage is e5pected or mandator3, a notice of
temporar3 stoppage of operations shall be filed with the
M#R.# or Maritime Regional =ffice, at least fifteen ()0"
da3s prior to its effectivit3 and posting at conspicuous places
at the ports, terminals and ships! f the stoppage is
une5pected or unscheduled, the notice shall be filed within
two ('" da3s after the stoppage of operation! The notice shall
likewise indicate the schedule of resumption of service in the
route or link! n both cases, an =rder shall be issued
authorizing the temporar3 stoppage of the operation of a
particular ship for a specified period!
''!1! #uthorized stoppage of operations shall not e5ceed si5 (6"
months, otherwise, the same shall be considered as
abandonment of the authorized route or portions thereof!
''!*! #n3 unauthorized stoppage of operations for a period of three
(1" months shall be considered abandonment of service
which shall result to imposition of fines and penalties, without
preAudice to cancellation?revocation of its authorit3 to operate
subAect to due process!
Page )1 of );

S"#$%&' 22. Title 2J is hereb3 introduced to read, as follows:
TT<& 2J
Cancellation of CPC
S"#$%&' 2,. T+)"5 &/ C*'#"44*$%&' &/ CPC! The cancellation of CPC
shall be voluntar3 or involuntar3!
'1!)! Doluntar3 Cancellation! # CPC grantee who desires to stop from
operating its ship(s" shall file an application for voluntar3
cancellation of its CPC!
'1!)!)! Documentar3 Re@uirements:
'1!)!)!)! Dul3 notarized #pplication accompanied b3
verification under oath and certification of
non2forum shopping stating the reason(s"
for cancellation8
'1!)!)!'! =riginal Cop3 of the CPC?Decision!
'1!)!'! f upon post evaluation the documents submitted are
found to be in order, the M#R.# shall issue a
Decision granting the #pplication for Cancellation!
The Decision shall take effect immediatel3 upon
issuance thereof!
'1!'! nvoluntar3 Cancellation! The M#R.# ma3 cancel the CPC of
a grantee, after due notice and hearing, for violation of R# .o!
/'/0, its RR and an3 M#R.# Rules!
S"#$%&' 28! Title 2$ is hereb3 introduced to read, as follows:
TT<& 2$
%ale, Transfer and Conve3ance of %hips covered b3 a CPC
S"#$%&' 24. A)).&A*4<C&'/%.(*$%&' &/ $1" S*4", T.*'5/". *'9
C&'A"+*'#" &/ S1%)5 #&A"."9 B+ * CPC 2 #n3 sale, transfer and
conve3ance of ships covered b3 a CPC shall be subAect to approval of
M#R.#!
'*!)! The #pplication for approval of the sale, transfer and
conve3ance of ships covered b3 a CPC shall be filed either
b3 the vendor or the vendee with the M#R.# Central =ffice
or Regional =ffice where the CPC of the ship was issued8
'*!'!Jurisdictional re@uirements:
'*!'!)! Publication in newspaper of general circulation:
'*!1! Documentar3 re@uirements:
Page )* of );

'*!1!)! #pplication for #pproval of %ale, Transfer and
Conve3ance of %hip8
'*!1!'! #ffidavit of publication in a newspaper of general
circulation, together with the newspaper clipping8 and,
'*!1!1! Cop3 of the whole newspaper where the .otice of
Bearing was published!
'*!1!*! Dul3 notarized Deed of %ale8
'*!1!0! Certificate of =wnership8
'*!1!6! Certificate of Dessel Registr38
'*!1!-! Clearance from M<#= or MR= as to unpaid fines
and penalties!
'*!1!;! Clearance from D%= or MR= where the ship is last
registered as to liens and encumbrances
'*!*! #n3 ship previousl3 covered b3 a CPC which will be
sold and transferred shall re@uire M#R.# approval
prior to registration under the name of the vendee or
new owner?operator!,
S"#$%&' 2:. %ection ; is hereb3 renumbered as %ection '0!
S"#$%&' 29! %ection ;!'!' is hereb3 renumbered as %ection '0!'!' and amended
to read, as follows:
'0!'!)! The rates charged are e5cessive or unreasonable based on
M#R.#9s monitoring functions!
S"#$%&' ,0. %ections ;!1 to ;!1!* are hereb3 renumbered as %ection '0!1 to
'1!1!* and amended to read as follows:
'0!1! The M#R.# shall determine the validit3 and veracit3 of the
foregoing circumstances, through the conduct of, but not
limited to an3 of the following activities:

'0!1!)! &valuation of rates charged8
'0!1!'! 4inancial evaluation8
'0!1!1! #ssessment of the @ualit3 of shipping service
provided, prescribed sailing schedule?fre@uenc3
or prevailing market conditions8 or
'0!1!*! Market surve3?evaluation!
'0!*! n order to validate?verif3 the circumstances cited under '0!',
the M#R.# ma3 motu proprio re@uire the submission of
additional documents, afterwhich appropriate measures ma3
be prescribed to address?correct the deficiencies resulting
therefrom!
S"#$%&' ,1. %ections ;!6 to ;!6!) to ;!6!' are hereb3 renumbered as %ections
'0!0 to '0!0!1 and amended to read as follows:
Page )0 of );

'0!)! Re@uire the submission to the M#R.# of @uarterl3 reports
of the actual rates charged b3 their ship?s for each categor3
of passage and freight, as well as other special rates
charged, not later than thirt3 (1(" da3s after each @uarter!
'0!'! #ssess the actual rates charged vis$%$vis the level and
@ualit3 of service provided under e5isting M#R.# rules
and regulations8 and?or,
S"#$%&' ,2. %ection / is hereb3 renumbered as %ection '6, Title 2M of Rule !
S"#$%&' ,,. %ection )( is hereb3 renumbered as %ection '-, Title 2. of Rule
!
S"#$%&' ,4. %ections )), )' and )1 of Rule D are hereb3 renumbered as
%ections ';, '/ and 1(, respectivel3!

S"#$%&' ,5. %ections )* and )0 of Rule D are hereb3 renumbered and
amended to read as follows:
RULE V
COMPULSORY
INSURANCE COVERAGE
S"#$%&' ,1. Compulsor! "nsurance Coverage for Passenger an#
Cargo! > To meet its financial responsibilit3 for an3 liabilit3 which a
domestic ship operator ma3 incur for an3 breach of the contract of
carriage, ever3 domestic ship operators shall be re@uired to submit
annuall3 the following:
1)!)! #de@uate insurance coverage for each passenger in an
amount not less than two hundred thousand pesos
(Php'((,(((!((" per passenger8 and the total amount of
such coverage shall be e@uivalent to the total authorized
number of passengers of the ship! The amount shall be
without preAudice to an3 subse@uent regulation amending the
same!
1)!'! The M#R.# shall re@uire ever3 domestic shipowner or
operator to secure ade@uate cargo liabilit3 insurance, to
meet its financial responsibilit3 for an3 liabilit3 which ma3 be
incurred for an3 breach of the contract of carriage!
S"#$%&' ,2. O$1". I'50.*'#" C&A".*E" ? The M#R.# shall re@uire
ever3 domestic shipowner or operator, and other maritime entities
concerned operating an3 t3pe of ships, for hire or compensation in the
domestic trade, and tankers which re@uire coverage as stipulated in
M#R.# Memorandum Circular .o! );* to obtain an ade@uate marine
insurance covering liabilities arising out from oil pollution!,
S"#$%&' ,2. %ection )6 of Rule D is hereb3 renumbered as %ection 1-!
Page )6 of );

S"#$%&' ,8! %ections )- and ); of Rule D are hereb3 renumbered %ections
1; and 1/, respectivel3!
S"#$%&' ,:! %ections )/ and '( of Rule D are hereb3 renumbered as %ections
*( and *) of Rule K!
S"#$%&' ,9. %ections '), '' and '1 of Rule K are hereb3 renumbered as
%ections *' to *'!' and amended to read, as follows:
RULE F
TRANSITORY PROVISIONS
S"#$%&'. 42. Perio# of $ransition! > Gpon effectivit3 of this R2RR of
'()*, all domestic shipowners or operators shall compl3 with the
provisions herein setforth! #ll CPC grantees under the R2RR and RR of
R# .o! /'/0 shall file an #pplication for #mendment of CPC under this
%R2RR!
*'!) 4or &5isting Frantees of CPC
*'!)!)! #ll e5isting grantees of CPC shall rationalize their
operations and shall file an #pplication for Re2
issuance of CPC with the Central =ffice or M#R.#
Regional =ffice where the original CPC was issued!
*'!)!'! Gpon evaluation of the application and if found that
there is no change in the operations as previousl3
authorized in the CPC issued, the #pplicant shall not
be re@uired to compl3 with the Aurisdictional
re@uirements of this #uthorit3! =nl3 Certificate (CPC
shall be issued to #pplicant!
*'!)!1! f there is an3 change, modification or amendment in
the operations of the CPC grantee, #pplicant shall
compl3 with the Aurisdictional, @ualification and
documentar3 re@uirements setforth herein and
M#R.# Rules of Procedure and its subse@uent
amendments! Gpon compliance therewith, a Decision
shall be issued for the Compan3 together with the
Certificate (CPC"!
*'!)!*! The validit3 of re2issued CPC shall be co2terminus
with that of the previousl3 issued CPC!
Page )- of );

*'!)!0! 4or purposes of cancellation?revocation, the grantee
shall surrender its CPC under the R2RR of R# .o!
/'/0 upon re2issuance of the new CPC?Decision!
*'!'! The implementation of the transitor3 provisions of R# /'/0 on
retirement and classification of ships is hereb3 deferred in view
of the ongoing harmonization of polic3 proposals on
categorization of navigational areas, licensing and classification
and retirement of ships, and the e5tension?e5pansion of the
investment incentives in the domestic shipping industr3 and the
shipbuilding and ship repair sector!,
S"#$%&' 40. %ection '* of Rule K is hereb3 renumbered as %ection *1!
S"#$%&' 41! %ections '0 to '- are hereb3 renumbered as %ections ** to *6 and
amended to read, as follows:
S"#$%&' 44. Separa%ilit! Clause & f, for an3 reason, an3 section,
subsection, sentence, clause or term of this '()* amendments to the
Rules and Regulations implementing R# .o! /'/0 is held to be illegal,
invalid or unconstitutional, such parts not affected b3 such declaration
shall remain in full force and effect!
S"#$%&' 45. &epealing Clause & #ll other issuances, rules and
regulations or parts thereof, which are inconsistent with the provisions of
this '()* amendments to the Rules and Regulations implementing R#
.o! /'/0 are hereb3 repealed, amended or modified accordingl3!
S"#$%&' 42. 'ffectivit! & This '()* amendments to the RR
mplementing Rules and Regulations shall take effect immediatel3 upon its
publication once in a newspaper of general circulation!
Manila, Philippines, LL LLLLLLLLLLL'()*!
MAFIMO @ ME>IA >R, P1D
#dministrator
SECRETARYGS CERTIFICATE
This is to certif3 that the '()* #mendments to the Revised Rules and
Regulations of Republic #ct .o! /'/0 was approved during the Coard Meeting of the
Maritime ndustr3 Coard held on LLLLLLLLLLLLLLLLLL!
ATTY. VIRGILIO B. CALAG
#cting Corporate Coard %ecretar3
Date of Publication: LLLLLLLLLLLLLLLLLL
Publisher: +LLLLLLLLLLLLLLLLLLLLLL,
Page ); of );