7 January 2005 (Friday)

A bill to increase the limits of shipowners' liability and govern regional carriers' liability according to an internationally accepted liability regime was gazetted today (7 January).

The Merchant Shipping (Limitation of Shipowners Liability) (Amendment) Bill 2005 will update the limits of shipowners' liability in line with the new ones stipulated in a protocol to amend the International Convention on Limitation of Liability for Maritime Claims ("LLMC"). The Bill will also expand the coverage of the Merchant Shipping (Limitation of Shipowners Liability) Ordinance, so that the liability regime applicable to international carriages will also be applicable to regional carriages between Hong Kong and Macau as well as Hong Kong and Mainland ports.

A spokesperson for the Economic Development and Labour Bureau said, "The LLMC establishes a mechanism for shipowners to limit their liabilities in marine accidents. A protocol to increase the liability limits in the LLMC was adopted by the International Maritime Organisation (IMO) in 1996 and entered into force in 2004. We propose to implement the protocol in Hong Kong so that the liability limits we apply will be in line with the highest international standards adopted by the IMO. This will be consistent with our policy objective to maintain Hong Kong's status as an international maritime centre."

"The extension of the liability regime applicable to international carriages to regional carriages will enable regional carriers to limit their liabilities for certain maritime claims to a reasonable level. At the same time, passengers will be able to settle their claims in accordance with an internationally accepted liability regime," the spokesperson said.

The Bill will be introduced into the Legislative Council on 19 January 2005.