Maritime discussions from October 2024
Maritime Review Africa
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South Africa’s ocean economy is often seen as being fragmented when it comes to governmental discussions. It’s not surprising, therefore, that maritime-related issues pop up across various ministries and within different parliamentary portfolio committees.
A question to the Minister of Tourism revealed the number of tourists using sea transport as a mode of travel during 2022. According to Stats SA, International Tourism Report 2023, 5,607 tourists were noted to use some form of sea transportation during their visits to South Africa.
Let’s take a look at some of the other discussions and questions during the course of October.
DEPARTMENT OF MINERAL AND PETROLEUM RESOURCES
The Minister was asked whether his department has appointed any transaction advisors, commercial/trading advisors or international best practice advisors to weigh in on oil and gas deals or whether PetroSA had appointed experts to assist with engagements with Total over Blocks 11B/12B.
According to the Minister, although the Department does appoint transaction advisors from time to time, the ministry in not involved in the commercial contracts relating to the oil and gas sector. ?
The Minister added that the Petroleum Agency of South Africa (PASA) has experienced professionals who engage with all applicants and right holders in the upstream oil and gas sector. Other than a set of attorneys, no other technical advisors were contracted for block 11B/12B by PetroSA.
DEPARTMENT OF PUBLIC WORKS AND INFRASTRUCTURE
Although discussion related to maritime infrastructure, reference was made to freight transport being included within the project pipeline associated with Infrastructure South Africa (ISA) of projects within a minimum value of R1 billion.
ISA aims to create an enabling environment by unblocking and unlocking government processes including permits, licenses, authorisations and permissions to accelerate the implementation of major infrastructure projects. It is also focused on promoting investment opportunities both locally and internationally.
DISCUSSING THE MARINE OIL POLLUTION, PREPAREDNESS AND RESPONSE COOPERTION BILL
The Department of Transport (DoT) gave a briefing on the Marine Oil Pollution Preparedness, Response and Cooperation Bill to the Public Infrastructure & Minister in the Presidency Committee on 9 October and responded to questions including:
Mthunzi Madiya, Deputy Director-General: Maritime, confirmed that an impact assessment had indeed been conducted and this was done at the commencement of developing the Bill and that the DoT had received a certificate to confirm this exercise.
Dumisani Ntuli, Chief Director: Maritime Transport Policy and Legislation explained that the limit of the fines had increased to R35,000,000, highlighting the country’s zero-tolerance stance on oil pollution in the marine sector. He also confirmed that there was a system in place to collect levies.
Levies are related to risk assessments undertaken by the South African Maritime Safety Authority (SAMSA) who would revise levies for ships and offshore handling facilities and sea ports.
Noting that South Africa has submitted its instruments of accession to the Oil Pollution Preparedness and Response and Corporation Convention, Ntuli emphasised that the Bill fulfilled the Constitutional requirements for it to be enforced in the country. He highlighted the importance of full implementation of the Bill.
Ntuli also confirmed that the SAMSA would take advantage of technical assistance offered by the International Maritime Organisation (IMO) to provide training, while Madiya noted the cooperation of Namibia and Angola under the Benguela Current Convention.
The Bill was first introduced to Parliament in March 2022 and subsequently approved by the National Assembly in October 2023. Due to the 2024 elections, the processing of the Bill could not be completed and it lapsed. This was a resuscitation of the Bill as passed by the National Assembly.
The next step is to brief the nine Provincial Legislatures. An advertisement to call for written submissions until 30 November 2024 is due to be issued and these will be considered during the first week of December. It is envisaged that the Bill will be finalised within the first quarter of 2025. ??