Coastal Shipping

Permit Application
2014

Coastal Shipping permit application

The Coastal Shipping (Permit to Foreign Vessel) (Application for Permit)
Regulations, 5773 – 2012
On the 31st of October 2012 the Minister of Transportation and Infrastructure published the
official version of the Coastal Shipping (Permit to Foreign Vessel) Application for Permit)
Regulations, 577-2012 (hereinafter the “Regulations”).

These Regulations enable the enforcement of the already existing provisions of the Coastal
Shipping (Permit to Foreign Vessel) Law, 5766-2005 (hereinafter the “Law”) by detailing in full
the procedure governing the application for permit, the various pre conditions to be fulfilled
technical, and manning wise, and terms of such Permit.

According to the Law, coastal shipping by a foreign vessel shall be prohibited unless a Permit
is issued by the Shipping and Ports Directorate of the Ministry of Transportation and
Infrastructure in accordance with the terms and conditions to be set forth in specific
regulations. Given that these Regulations have been published only now, de facto the law
may be presently implemented in full.

According to the Law, “Coastal Shipping” is very broadly defined, and includes carriage of
goods and passengers originating and destined to/from a port, vessel, facility or structure
located in coastal or internal waters of Israel without calling a foreign port thereby, and also
any other operation performed in such waters excluding fishing, oil and natural gas drilling
and production, placing of pipes for the conduction of same on the sea bed or underneath.

We have concluded that, on the basis of the law, the Regulations, and the various protocols
of the Economic Committee of the Knesset (Israeli Parliament) whereby the Regulations were
discussed, off shore activities including carriage of goods and passengers to form the drilling
plants – originating or destined to/from Israeli ports – fall within the definition of term “Coastal
Shipping”, as defined in the Law.

We have also concluded that the territorial extent of the Law and the Regulations includes, at
least the Internal Waters, Coastal Waters (12 Nautical Miles), Contiguous Zone(24 Nautical
Miles) and, Exclusive Economic Zone (200 Nautical Miles). Although no formal reference has
been made to the United Nations Convention on the Law of the sea (UNCLOS), we assume
the provision of said Convention were considered as guiding limits when enacting the Law,
although not necessarily binding as may be implied for the Protocols of the Economic
Committee of the Knesset (Israeli Parliament).

According to the Regulations, various detailed pre conditions and procedures must be fulfilled
in order to entitle a foreign vessel to obtain a Permit, including ongoing technical supervision
and fulfillment of technical requirements. Additionally, partial crewing of the vessels involved
in coastal shipping is required, of no less than 2 crew members, one of which an officer on a
vessel who’se safe manning requires officers.

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Permit Application
2014

1 Obtaining a permit

Within the frame of the regulations, each vessel must pass an engineering inspection and a
technical inspection carried out by the Ministry of Transport, and maintains a certain amount
of Israeli crew members on board. As Israeli mariners with relevant certification apparently
are currently not available, the requirement for Israeli crew members is currently being
reviewed.

1.1 Applying for permit

According to the Ministry of Transport’s requirements, in order to submit an application for a

permit, for each vessel:

 Please fill section 2 below

 Please send us the following documents, and make sure all of them are endorsed and
valid:
1. Certificate of registry
2. Registration certificate of owning entity, including registration number,
3. Class certificate
4. Ownership documentation
5. P&I certificate
6. Hull and machinery insurance certificate
7. Minimum safe manning certificate
8. Contractual commitment linking vessels with Israeli customers-
please note that a linkage between owning entity all the way to the Israeli
customer must be shown. For example, if a vessel that is owned by Company
A, is managed by company B under a bareboat charter and then chartered to
company C under a regular charter, than all links in the chain must be shown.
9. A letterhead document from owner or manager stating that Coral Seventy
One Shipping acts on owner’s behalf for the purpose of permitting the vessel
to work legally in Israeli waters.
10. Letterhead document (can be digital or scanned) detailing the ownership of
vessel’s owner.
For example- if vessel X is registered as owned by company Y, a list of
owners of Y.
11. Signed and stamped Letterhead document (can be digital or scanned),
produced by owners of the vessel and a similar for operators of the vessel,
stating:

“I hereby confirm that the Owners have not been convicted and/or that no
bills of indictment in crime offences as provided in section 6 of the Coastal
Shipping (Permit for Foreign Vessels) Law, 5766 - 2005 were transgressed
or submitted outside of Israel, and hereby grant the Owners’ consent for
delivery of information regarding their matter in respect of the existence of
such convictions or bills of indictment in crime offences, including from the
Israeli Criminal Registry.”

12. A Signed letterhead (can be digital or scanned), by owners stating that all
submitted documents are real and valid

Vessels of 25 years of age or more may require technical inspection. Inspection is similar to
the one required for a regular permit, please see 1.2.2 below for details.

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Permit Application
2014

After all documents have been received and reviewed, the ministry will issue a temporary 30
day permit.

1.2 Inspections

During the 30 day period of the temporary permit, vessel must undergo engineering and
technical inspections. MOT engineering department and technical inspectors will conduct
inspections. Further documents and access to the vessel for physical inspection may be
required.

1.2.1 Engineering inspection

For the engineering inspection, please submit, all of them to be final versions, approved by
class where applicable:

1. General Arrangement
2. Safety and Fire-Fighting Plans
3. Stability Booklet and Damage Stability Calculations (if exist)
4. Midship Sections or steel plan or construction drawings (at least one)
5. Detailed specifications (Hull, Machinery etc.)
6. Fuel, fire, hydraulic, bilge, sanitary, etc. systems drawings
7. Electric Diagrams
8. Brief description of operations, mooring and maintenance of the Vessel
9. Last Docking Report including thickness measurements
10. Certificate of Classification (including Endorsement for Annual Survey)
11. International Load Line Certificate (including Endorsement for Annual
Survey)
12. International Cargo Ship Safety Construction Certificate (including
Endorsement for Annual Survey)
13. International Tonnage Certificate

Please note that according to regulations, ministry’s engineer may ask for further documents
as they may deem required. In addition, the engineer may ask to visit the vessel.

1.2.2 Technical inspection

Upon receiving the engineering approval, the vessel will undergo a technical inspection.
Inspectors will need to visit the vessel.

Please note the technical inspection is carried by PSC (Port State Control). Please make sure
vessel is ready for inspection in order to avoid PSC sanctions.

1.3 Israeli crewing of vessels

Regulations require crewing vessels practicing coastal shipping with at least two (ministry has
the authority to require a third) Israeli crew members, one of which an officer.

The responsibility of verifying that Israelis are signed on lies with the PSC inspectors doing
the technical inspections. It is therefore advisable to have the Israelis signed on prior to the
technical inspection.

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Permit Application
2014

2 Vessel details form

2.1 Vessel’s details

Name
IMO number
Flag state
Vessel Type (AHT,
other)
Classification society
P+I Club

2.2 Owners details

Name
Phone number
Email
Fax number
Address
Registration number

2.3 Operator’s details (if different than owner)

Name
Phone number
Email
Fax number
Address

2.4 Charterer’s details

Name
Phone number
Email
Fax number
Address

2.5 Israeli Client details (if different than charterer)

Name
Phone number
Email
Fax number
Address

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Permit Application
2014

2.6 Agent’s details

Name Coral Seventy One Shipping Ltd
Phone number 04-8671266
Email seventy1@coral-maritime.co.il
Fax number 04-8667374
Address Matam Center, Building no. 30, Haifa

2.7 Activity in Israeli waters

Requested activity

Starting date
Ending date