- Panama prioritizes younger, cleaner vessels while removing non-compliant ships.
- Authorities implement strict measures to prevent the misuse of vessel registration.
- Immediate deregistration of sanctioned vessels strengthens compliance and security.
Panama reports that it is reaffirming its dedication to having a cutting-edge and green merchant fleet. Panama is stepping up regulations for better monitoring of its fleet, the elimination of non-compliant ships, and transparency in ship registries. It is doing so to bring its maritime industry more in line with global standards so that vessel registration becomes more answerable and its ships are unable to engage in illegal activities.
Commitment to a Modernized and Cleaner Fleet
“Our vision is to maintain a modernized fleet with younger vessels powered by cleaner energy sources. We are enforcing regulations that establish expedited procedures for deregistering non-compliant, polluting, or opaque-background vessels, while also enhancing fleet monitoring and updating data on Panama-flagged ships,” stated Rina Berrocal, Acting Director General of the Merchant Marine.
Zero-Tolerance Policy Regarding Misuse of Vessel Registration
AMP’s Deputy Administrator, Alexander De Gracia, informed that to accomplish this mission, the Panamanian Ship Registry has implemented a zero-tolerance policy towards misuse of vessel registration. This action encompasses significant legal tools like Executive Decree No. 512 of 2024 and Resolution No. 106-003-DGMM, effective January 3, 2025.
Implementation of Executive Decree No. 512
By Executive Decree No. 512, when the Directorate General of the Merchant Marine (DGGM) detects a ship or its owner on an international sanctions list, deregistration proceedings are initiated instantly. To date, since it was enacted, this decree has been used against 125 ships, with 107 being cancelled and 18 pending review. Of the ships deregistered, 83 were listed by the U.S. Office of Foreign Assets Control (OFAC), 32 were flagged by the European Union, and 10 appeared on the United Kingdom’s sanctions lists.
Additional Legal Mechanisms for Deregistration
Beyond Executive Decree No. 512, Panama has established further legal measures to remove vessels involved in illicit activities. Article 49 of the General Merchant Marine Law (Law No. 57 of 2008) requires the automatic revocation of registration for vessels involved in smuggling, illegal trade, piracy, or any other criminal operation. Furthermore, Executive Decree No. 245 of 21 November 2022 imposes sanctions on fishing ships engaged in Illegal, Unreported, and Unregulated (IUU) fishing, and Executive Decree No. 32 of 4 February 2018 specifies measures against boats and maritime corporations that have connections with financing terrorism.
Increasing Oversight and Compliance
To further solidify Panama’s position as a premier maritime authority, the government continues to enhance regulations and enhance fleet management. These changes guarantee a more accurate and efficient method of monitoring vessels, bringing Panama’s ship registry in line with global maritime governance standards.
Panama’s Commitment to Responsible Ship Registry Management
By taking these firm measures, Panama reiterates its commitment to having a transparent, accountable, and internationally compliant ship registry. By imposing stringent regulations and eliminating non-compliant ships, the nation continues to assert its leadership as a global model of responsible fleet management.
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Source: Panama Maritime Authority
