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    Polluters now face stiffer penalties
    Butch Fernandez
    Reporter
     

    STIFFER penalties for polluters in the shipping industry are in store with the third-reading approval by the Senate late Monday of Senate Bill 2600.

    Also known as the Oil Compensation Act of 2007, it imposes liability on owners of ships involved in oil pollution based on the vessel’s tonnage.

    Damages include expenses incurred in clean- up operations at sea or on shore, damage to health or loss of life as well as environmental restoration, the bill, sponsored by Senator Pia Cayetano-Sebastian, provided.

    SB 2600 also establishes a separate fund to cover incidents causing oil pollution damage, which fund shall be constituted by owners of ships registered in the Philippines “representing the limit of their liability with the Maritime Industry Authority.”

    It mandates the creation of an Oil Pollution Management Fund, to be administered by the Philippine Coast Guard, comprising fines imposed by the law, “as well as grants, donations, endowments and specific allotments under the General Appropriations Act.”

    “All owners of ships, whether registered in the Philippines or not, shall be required annually to maintain insurance or financial security for oil pollution damage, which shall be attested to by a certificate in the form established by the 1969 Civil Liability Convention,” the bill added.

    Despite an early adjournment of the special session's first day, the Senate managed to pass on third reading the proposed law against oil polluters.

    “Senate bill 2600 lays down tougher rules to make oil polluters pay, and make them pay heavily, so that they will be more conscious of the need to protect the environment,” Senator Cayetano-Sebastian said. She cited lessons learned in the two worst oil spills that damaged the country’s coastal waters in the last two years, including the Guimaras oil spill in August 2006, and the Napocor barge oil spill at Semirara island last December 2005.

    Some affected residents at Guimaras reportedly received compensation for economic losses from the International Oil Pollution Compensation Fund, in amounts ranging only from P4,000 to P32,000 per family.

    The bill, said Cayetano-Sebastian, will allow the government and affected residents to compel payment from those responsible for long-term damage in future spills.

    SB 2600 consolidates six bills in the Senate and House Bill 4363.

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