Jersey Shipping Register: Memorandum of Understanding (MOU) with UK Maritime & Coastguard Agency

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A decision made 21 November 2013:

Decision Reference: MD-E-2013-0106
Decision Summary Title :	Shipping Register MOU		Date of Decision Summary:	18 November 2013
Decision Summary Author:	Registrar of Shipping		Decision Summary: Public or Exempt? (State clauses from Code of Practice booklet)	Public
Type of Report: Oral or Written?	Written		Person Giving Oral Report:	n/a
Written Report Title :	Jersey Shipping Register MOU with Maritime & Coastguard Agency		Date of Written Report:	18 November 2013
Written Report Author:	Registrar of Shipping		Written Report : Public or Exempt? (State clauses from Code of Practice booklet)	Public
Subject: Jersey Shipping Register Memorandum of Understanding (MOU) with Maritime & Coastguard Agency.
Decision(s): The Minister decided to authorise the Registrar of Shipping to sign a new MOU with the UK Maritime & Coastguard Agency.
Reason(s) for Decision: The current Agreement with the United Kingdom dates from July 2004 and set a limit of 150gt on commercial ship size for registration in Jersey. That Agreement is now defunct in that the UK issued an Order in Council authorising a new limit of 400gt on 15 May 2013. Crucially the Island’s legal and procedural arrangements are in place and the Maritime & Coastguard Agency has agreed to sign the MOU.
Resource Implications: There are no new financial, property, Information Computer Technology (ICT) or human resources issues arising. The associated additional survey and certification work which may arise will be carried out by the Jersey Marine Surveyor or approved Recognised Organisations. The work is carried out on a strictly user-pays fee basis.
Action required: The Registrar of Shipping is to sign the MOU on behalf of the Minister at the earliest opportunity.
Signature: Senator A J H Maclean		Position: Minister
Date Signed:		Date of Decision (If different from Date Signed):

Jersey Shipping Register: Memorandum of Understanding (MOU) with UK Maritime & Coastguard Agency

A Memorandum of Understanding between the Jersey Shipping Register and the Maritime & Coastguard Agency of the United Kingdom.

Report

Background

The current Memorandum of Understanding with the United Kingdom dates from July 2004 and this set a limit of 150gt on commercial ship size for registration in Jersey. This makes Jersey what is called a Category 2 jurisdiction for the purpose of registering British ships in the Island.

That Understanding has served the Island well but it is now defunct following discussion and consultation over the last three years, in particular with local industry and other member jurisdictions of the Red Ensign Conference.

As a result of a Conference decision in May 2012, the UK issued an Order in Council authorising a new limit of 400gt on 15 May 2013. The Jersey Registry has taken the lead in seeking this change and to implement the new limit by developing the relevant legislation.

Considerations

The MOU could have been an amended version of the existing one or a completely new version. There were disadvantages in the former. In particular, over time greater clarity has developed in the roles the MCA and the individual jurisdictions regarding the safety management of British shipping. The role of the latter is in many cases to be fully effective maritime administrations in their own right and to act as more equal partners at an international level.

Another issue is that in order to register larger commercial shipping the Registry in Jersey and its associated maritime administration within Economic Development are required to operate more closely to the standards of a full Category 1 (i.e. unrestricted) register. The Jersey Registry now has its own Marine Surveyor and Agreements with major ship Classification Societies.

This enhanced role is underpinned by a carefully developed set of Quality Objectives by which standards can be measured. The Category 1 set of Objectives have now been included in the new draft MOU for Jersey and this will make it that much easier if the States were ever to agree to full Category 1 status.

Considerations were also given to the need for any further restrictions within the new 400gt limit for commercial ships. It was decided that the age and inspection history of vessels should be taken into account when considering a registration application. Additionally, certain cargo and passenger vessels should be prohibited where the legislation and degree of supervision are not in place. These limits can be changed in future by a simple exchange of letters if circumstances warrant. The MOU sets out in Annex 5 the initial limits for the types of shipping eligible.

It is for each Category 2 jurisdiction to develop their administration to be able to take advantage of these new arrangements or to continue to maintain a small largely private pleasure yacht register. If they wish to develop, they too would need to sign a new Understanding, At the moment it is understood that Jersey continues to lead in this matter.

Legal advice has been taken to ensure the Understanding is valid and does not impose on the Island any unwarranted or unreasonable obligation.

Next steps

A formal political signing occasion may be arranged to take place in the near future. However, following a visit to the Island in September and further preparatory work, the Maritime and Coastguard Agency has signalled its willingness to agree the new MOU.

Jersey can take advantage of this opportunity for growth and the most effective way for this to happen is for the Registrar to be authorised to sign the Understanding at an administrative level at the earliest opportunity.

18 November 2013