On June 25, Shanghai MSA released a notice on its official website to extend the validity of the Circular on Strengthening Safety Management of Vessels with E&M Equipment Failures.

Under this notice, Shanghai MSA’s E&M special inspections will last until June 30, 2029.

This means that the dedicated inspections on electrical and mechanical systems at Shanghai Port will become a regular part of safety inspections.

Based on past experience, vessels with electrical and mechanical failures at Shanghai Port will basically face a 100% detention rate.

After this extension circular was issued, some shipowners will lose sleep over it again. We strongly advise those shabby small vessels flying the flags of Belize, Mongolia, Sierra Leone and other such countries not to go to Shanghai Port to court trouble. If you dare to sail there, you’ll regret it bitterly – the maritime authorities in Shanghai always mean business.

Considering that everyone may have forgotten Circular No.1 of 2022 issued by Shanghai MSA two years ago, we dug it up in this issue. Highlighting its key provisions, we’ve marked them out for you to refresh your memory. After all, this special inspection campaign is here to stay for the long haul. To all the ship operators planning to call at Shanghai Port, we urge you to forward this article to your vessels. Before berthing, pray to Mazu for safety, clean the filters, and switch to distillate oil. Under no circumstances let electrical and mechanical failures occur! Should the main and auxiliary engines break down, detention would be the least of your worries. If you end up on Shanghai MSA’s blacklist by luck, more troubles are yet to come!

01 What is Vessel Equipment Failure?

According to the circular, vessel electrical and mechanical (E&M) equipment failure refers to a state where the vessel’s maneuverability is restricted due to abnormalities in its E&M equipment and auxiliary systems during navigation, berthing or unberthing operations. It does not include difficulties in vessel power output or steering gear operation caused by external factors such as grounding or fishing net entanglement.

Please note that the highlighted content will not be treated as an E&M failure, and no dedicated E&M safety inspection will be triggered.

02 What to Do After an E&M Equipment Failure?

According to the circular, once an E&M equipment failure occurs, the emergency response plan must be activated immediately. Report orally to the command center of the maritime administrative authority in the jurisdiction, follow maritime instructions, and then complete the two tasks below:

1. Submit a written report to the maritime administrative authority in the jurisdiction, including details of the vessel failure and handling measures, basic vessel information, as well as information of the vessel owner, ship management company, ship operator, shipping agent and classification society.

2.For vessels required to hold a Safety Management Certificate (SMC) as stipulated, in addition to investigating and analyzing the non-conformity and formulating corrective actions, they must also conduct a safety management system (SMS) review and submit the review report to the maritime administrative authority for verification. For vessels not mandatorily required to hold an SMC, they shall submit a failure cause explanation and a voyage safety guarantee.

03 Penalties for Failure to Report E&M Equipment Failures

In case of failure to report, Shanghai MSA will impose penalties in accordance with the provisions of Article 110 of the Maritime Traffic Safety Law of the People’s Republic of China.

There are two tiers of penalty standards:

1.For mere false reporting or concealment of facts, the penalty is relatively light: a fine of 3,000 to 30,000 yuan shall be imposed on the management company or shipowner; a fine of 2,000 to 20,000 yuan on the captain and liable crew members, plus a suspension of their competency certificates for 6 to 24 months.

2.If serious consequences are caused, the penalty is relatively severe: a fine of 10,000 to 100,000 yuan shall be imposed on the management company or shipowner; the captain and liable crew members shall have their competency certificates revoked.

04 In case of E&M equipment failure, under which circumstances will the safety inspection procedure be triggered?

Under the following five circumstances, PSC and FSC will intervene promptly and initiate the safety inspection procedure, resulting in almost 100% detention.

1.E&M equipment failure occurs in fairways or precautionary areas;

2.E&M equipment failure occurs in fairways or precautionary areas with repair time exceeding 2 hours;

3.E&M equipment failure leads to an emergency situation, danger or accident, or obviously impacts the navigational safety and order of the jurisdiction;

4.E&M equipment failure occurs twice or more in Shanghai Port waters within 12 months;

5.Vessels owned, operated or managed by the same shipowner, operator or manager have incurred E&M equipment failures three times or more in total in Shanghai Port waters within 12 months, and the total number of such failures during this period exceeds 10% of the total fleet size.

05 What is the "List of Vessels Posing Hazards to Maritime Traffic Safety in Shanghai Port Waters" and what special "measures" will be imposed on listed vessels?

Regardless of domestic or international voyage, and regardless of high-quality flagged or flag-of-convenience vessels, vessels falling into either of the following two categories will be placed on the "List of Vessels Posing Hazards to Maritime Traffic Safety in Shanghai Port Waters" for special management by Shanghai MSA. Once added to the list, vessels will face severe restrictions and intensified supervision.

First, vessels must report to Shanghai MSA via VHF in advance before entering Shanghai Port.

For domestic voyage vessels: They shall proceed to Lvhua Shan Anchorage or other designated areas in accordance with instructions from the maritime administrative authority of the jurisdiction to undergo vessel safety inspection. They may only resume operation after rectifying all deficiencies and passing the re-inspection. (Exemption: Domestic voyage vessels entering the Shanghai section of the Yangtze River may be exempted from the safety inspection requirement if they voluntarily arrange for tugboat escort or obtain pilotage services.)

For international voyage vessels: They shall conduct E&M equipment tests, and submit test videos (proving the tests are conducted on board the vessel itself) and a captain's declaration to the maritime administrative authority of the jurisdiction. The maritime administrative authority will decide whether to conduct a vessel safety inspection based on epidemic prevention and control requirements. (Exemption: International voyage vessels entering the Shanghai section of the Yangtze River may be exempted from both the safety inspection and the requirement to submit supporting documents if they voluntarily arrange for tugboat escort, or the flag State administration or recognized organization issues an additional survey report.)

Second, vessels on the list will also be subject to the following 5 punitive measures:

1.They are not eligible for priority and convenience measures issued by Shanghai MSA, including administrative services and vessel traffic flow organization.

2.Integrity points deduction will be imposed on the shipping companies and liable crew members.

3.Interviews will be conducted in accordance with the provisions of the Measures for the Administration of Interviews Concerning Maritime Traffic Safety.

4.For shipping companies registered in Shanghai that assume safety and pollution prevention responsibilities, the local maritime administrative authority will conduct supervisory inspections on them at least once every three months. For shipping companies registered outside Shanghai that assume safety and pollution prevention responsibilities, the authority will circulate a notice to the local maritime administrative authorities and put forward suggestions for enhanced supervision and administration.

5.The relevant information will be circulated to the associated banks and insurance institutions.

The original and unabridged text of Circular No. 1 of 2022 issued by Shanghai MSA is presented below for your reference.

上海海事局关于加强机电设备故障船舶安全管理的通告

                                                                                             上海海事局通告2022年第1号

为进一步加强水上安全隐患和风险管理，压实主体责任，保障船舶进出上海港安全，维护水上交通安全秩序，根据《中华人民共和国海上交通安全法》《中华人民共和国船舶安全监督规则》等有关要求，现就加强在航机电设备故障船舶管理的有关事项通告如下：

一、船舶所有人、经营人或管理人应当切实履行安全生产主体责任，督促船员履行安全管理职责。船长应当对船舶机电设备进行自查，确认船舶处于适航状态。

二、船舶机电设备故障是指船舶在航行或靠离泊操作过程中，由于船舶机电设备及其附属系统的异常而导致船舶操纵能力受限的状态，但不包括船舶搁浅、渔网缠绕等外界因素而致的船舶动力输出或舵机转向困难。

三、船舶发生机电设备故障时，应当根据当时气象、船况、通航环境等条件，立即采取有效的安全应急措施，避免发生事故或险情，并向辖区海事管理机构指挥中心口头报告，服从辖区海事管理机构的指挥。船舶应在状态稳定且安全后，再及时完成以下措施：

（一）向辖区海事管理机构书面报告船舶故障及处置情况、船舶基本信息、船舶所有人、船舶管理公司、船舶经营人、船舶代理公司、船级社等信息。

（二）按规定应持有安全管理证书的船舶，除按照不符合规定情况进行调查分析和制定纠正措施外，还须开展安全管理体系复查，并将管理复查报告递交海事管理机构核查。不强制持有安全管理证书的船舶，应当递交故障原因说明和航行安全保证书。

船舶发生机电设备故障后，隐瞒不报或未如实报告的，海事管理机构将按照《中华人民共和国海上交通安全法》第一百一十条的规定处罚。

四、符合下列情形的船舶，应当接受辖区海事管理机构的故障原因调查和船舶安全检查：

（一）在航道和警戒区内发生机电设备故障的；

（二）上述第（一）项水域外发生机电设备故障，且修复时间超过2小时的；

（三）因机电设备故障造成紧迫局面、险情事故或对辖区通航安全秩序造成明显影响的；

（四）12个月内在上海港水域发生机电设备故障2次及以上的；

（五）12个月内船舶所有人、经营人或管理人所属船舶在上海港水域发生机电设备故障累计3次及以上，且在该时段内发生机电设备故障的累计次数超过船队艘数总量的10%。

五、根据《中华人民共和国海上交通安全法》第九十一条规定，上海海事局对符合上述第四条第（四）（五）项条件的船舶，纳入“危害上海港水上交通安全隐患船舶清单”（以下简称“清单”）并公布。对纳入“清单”的船舶，上海海事局将依法采取责令立即或者限期改正、限制操作，禁止进出港口、驱逐出港，暂扣有关证书、文书或者责令其停航、改航、驶往指定地点或者停止作业等措施。

上海海事局对“清单”实施动态管理，不满足上述第四条第（四）（五）项条件的船舶，自动脱离“清单”。

六、纳入“清单”的船舶在进入上海海事局辖区水域前，应当通过VHF向拟通过水域的第一个辖区海事管理机构报告，并满足以下要求：

（一）国内航行船舶应当根据辖区海事管理机构的指令，驶往绿华山锚地或其它指定地点，接受船舶安全检查，缺陷整改完毕并安检复查合格；

（二）国际航行船舶应当开展机电设备测试，向辖区海事管理机构提交能够证明是本船测试的视频和船长声明，海事管理机构根据疫情管控要求决定是否开展船舶安全检查。

国内航行船舶进入长江上海段水域，自主采取拖轮伴航措施或者取得引航服务的，可以免于本条前款第（一）项船舶安全检查的要求；国际航行船舶进入长江上海段水域，自主采取拖轮伴航措施或者船旗国主管机关/认可组织出具附加检验报告的，可以免于本条前款第（二）项的船舶安全检查和提交证明材料的要求。

七、上海海事局对“清单”船舶及其所有人、经营人或管理人等利益相关方实施以下监督措施：

（一）不享受上海海事局颁布的包括政务服务、船舶交通流组织在内的优先便利措施；

（二）按照有关规定对航运公司和责任船员实施诚信记分；

（三）根据《水上交通安全约谈管理规定》的要求，约谈相关单位；

（四）注册地在上海且承担安全与防污染责任的航运公司，辖区海事管理机构至少每三个月实施一次航运公司监督检查。注册地在上海以外且承担安全与防污染责任的航运公司，通报当地海事管理机构，提出加强监督管理建议；

（五）将相关情况通报与其关联的银行、保险机构。

本通告自2022年7月1日起实施，有效期2年。

特此通告。

中华人民共和国上海海事局

2022年6月2日

--------------------------------------------Reprinted from PSCReady