Legislative Changes Take Effect on 24 July 2021 to Implement Salvage Convention

As a global maritime hub, Singapore is one of the key jurisdictions for admiralty and shipping dispute resolution. In 2019, the Merchant Shipping (Miscellaneous Amendments) Bill 2018 was passed in Parliament to implement, among other things, two key developments, namely, the International Convention on Salvage, 1989 (“Salvage Convention“) and the 1996 Protocol to the Convention on Limitation of Liability for Maritime Claims, 1976 (“1996 Protocol“). The provisions relating to the 1996 Protocol that serve to increase the limits of liability for claims against shipowners came into force on 29 December 2019. 

With effect from 24 July 2021, the relevant provisions in several pieces of legislation came into effect to implement the Salvage Convention. These revisions mainly aim to allow special compensation claims arising from salvage operations that averted and mitigated the effect of environmental damage even if the vessels or their cargo were not salvaged successfully. They also extend the Singapore High Court’s admiralty jurisdiction to such special compensation claims, thereby allowing enforcement of such claims through ship arrest.

In this Update, we look at the key aspects of the legislative revisions that took effect from 24 July 2021 to implement the Salvage Convention and the potential impact on the shipping industry.

For more information, click here to read the full Legal Update.

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