**Executive Summary**
DGS Order No. 04 of 2021, issued on January 22, 2021, addresses the extension of validity for ships' statutory surveys and audits, originally permitted under DGS Order 23 of 2020 due to the COVID-19 pandemic. The order extends DGS Order 23 of 2020 until March 31st, 2021, subject to certain conditions. It urges ship-owners to diligently complete surveys by due dates to avoid extension requests.
**Key Points / Main Content**
* **Extension of DGS Order 23/2020**: DGS Order 23 of 2020 is extended until March 31st, 2021, under specified conditions.
* **Docking Survey (DS) Extension Conditions**:
* DS extensions are only granted upon submission of a firm Stemming Agreement with the dry dock.
* No further extension is possible if the dock fails to meet the agreed date.
* For vessels with prior extensions, no further extension will be considered without valid reasons for changing the stemming date.
* Owners cannot cite non-availability of D-2 compliant Ballast Water Management (BWM) systems as a reason for DS extension. In such cases, owners must complete dry-docking surveys and operate on the Indian coast only with D-1 compliance.
* **Annual, Intermediate, Renewal SMC, and MLC Surveys/Audits/Inspections**:
* No extensions are granted unless due diligence can be demonstrated by mail correspondence between owner and RO, at least 3 months prior to expiry date/window-range date and RO surveyor couldn't board due to travel/lockdown restrictions.
* **Requests beyond DGS Order 23/2020**:
* Requests for extensions exceeding the period in DGS Order 23 of 2020 will only be considered under exceptional circumstances on a case-by-case basis, with regard to the type and age of the vessel.
* Owners requesting under this clause must undertake that the vessel operate only in Indian coast.
* **RO Cooperation**:
* In case of travel restrictions and non-availability of RO surveyor, ROs with prior statutory survey contracts with the owner, shall cooperate to complete surveys by allowing another RO with presence in the required port.
**Impact Analysis**
**Stakeholder:** Ship-owners
**Impact:** Must exercise due diligence to complete statutory surveys/audits/inspections by due dates and avoid requesting extensions. Extensions may be granted only in exceptional circumstances as per specified conditions.
**Action Required:** Fulfill conditions to request extensions (Stemming Agreement submission for DS extension requests). Ensure due diligence of completing surveys/audits/inspections in advance and maintain communication with ROs.
**Stakeholder:** Recognised Organisations (ROs)
**Impact:** May need to cooperate with other ROs in situations where travel restrictions prevent their surveyors from attending a ship for statutory surveys/audits/inspections.
**Action Required:** Cooperate and assist other RO's where possible to complete surveys, SMC Audits, or MLC inspections.
Key Entities Referenced
Directorate General of Shipping: The issuing authority and primary subject of the order, responsible for shipping regulations.
DGS Order 23 of 2020: Referenced order that permitted extension of Ship's Statutory Surveys due to COVID-19.
Recognised Organisation (RO): Organizations authorized to conduct inspections and surveys on behalf of the Directorate.
BWM Convention: Ballast Water Management Convention mentioned in context of compliance with Regulation D-2.
Ships Statutory Surveys and Audits: Subject matter; validity extension due to COVID-19 and other reasons.
ffi
ffi
E-dtsqqi
q[{fr (t({'T{' GOVERNMENT OF INDIA
qtr{, cl-d qftsE1 etr wdqr{ {irftq
T,IINISTRY OF PORTS, SHIPPING A D WAIERWAYS
lH
+q-fi a6ffiqTmq,
DIRECTORATE GENERAL OF SHIPPING, MUMBAI
File No: 26-11/6912020-NA - DGS Date t 22.01.2021
DGS Order No. 04 of 2021
Subiect: Extension of Validitv of Ships Statutorv Su rveys and Audits
whereas vide DGS order 23 of 2020 dated, 19.08.2020, the Directorate has permitted
extension ofShip's statutory surveys, due to the covlD-l9 global pandemic, after fulfilment of
certain requirements.
2. Whereas the applicability of the aforesaid DGS Order was extended by the Directorate vide
DGS Order 34 of 2020 dated 03.11.2020 but was restricted only to those ships and to Companies
whose Audits / Surveys / Inspections were getting overdue on/prior to 3l December 2020, either
because of expiry of window period or validity period or the I't extension period arising due to
COVID- I 9 pandemic circumstances.
3. whereas the Directorate has granted 2nd extension, even though the grant of l.t extension was
based on firm commitment from Docks, as the Dock could not meet its commitment, after
having satisfactorily complying with the stiputated conditions / inspections by the Recognised
Organisation (RO).
4. Noting that, the Directorate is still receiving a number of requests for extension of Docking
Surveys due in January 2021 or beyond either due to non-availability of Docks / postponement
of committed docking date by dry docks or stating reasons such as extra time required by
supplier to supply of Ballast water Management system in compliance with Regulation D-2 of
the BWM Convention.
5. Taking all the above into consideration, it is urged that the ship-owners shall exercise due
diligence and put best effort to complete the statutory surveys / audits / inspections of ship /
company by the due dates, and avoid submitting requests for extensions ofdue dates.
Nevertheless, in exceptional circumstances, the Directorate may grant extension to the DGS
order 23 of 2020 till3l't March 2021 upon fulfilling following additionat conditions:
efr riBf,, *er tsE r, srd Ri6 2ffi Aq{, 6igr.fq &, oigffi'f ($) $*{- rooo+z
9th Ftoor, BETA Building, l-Think Techno Campus, Kanjur Village Road, Kanjurmarg (E), Mumbai400042
dr{rtel No.: +91-22-2 s7sZ}4ot1t2.l3 ftfi/Fax.: +91-22-2575 2029/35 {-l-f,/Email: dgship{gs@nic.in Aq{t{z/Website: www.dgshipping.gov.in(i)
Docking Survey (DS) extension shalt only be granted upon submission of a firm
Stemming Agreement with the dry dock, other conditions shall remain the same as
per DGS order 23 of 2020.It may be noted that no further extension can be granted if
the dock fails to adhere to the ageed / commitment date as per the stemming
agreement.
(ii) In-case of all those vessels where an extension has already been obtained alter
submission of firm stemming agreement, no further extension will be considered
unless valid reasons are fumished by the applicant towards the change in the
stemming date. Also, the period of further extension sought shall be within the
maximum period considered undbr DCS Order 23 of2020.
(iii) Owners sighting non-availability of Ballast Water Management (BWM) system
complying with D-2 standard or delay in receiving from the supplier as the reason for
getting DS extension shall not be considered. In such circumstances of detay in
receiving the BWM system, the owners must complete the dry-docking surveys of
the vessel and will be permitted to operate the vessel on Indian coast only with
compliance of D-l standard of BWM system.
(iv) No extension shall be granted for Annual Surveys and Intermediate / Renewal SMC
Audits / MLC Inspections unless the mail correspondence between the owner and
Ro can demonstrate that due-diligence was carried out to complete these surveys /
audits / inspections well in advance, that is, atJeast 3-months prior to expiry date /
window-range date and that no RO Surveyor could board due to lock-down / travel
restriction-
(v) Any request for extension beyond the maximum period indicated in DGS Order 23 of
2020 will only be considered under exceptional circumstances on a case to case
basis, and shall be based upon a satisfactory inspections I trials / structural
assessment with regard to the type and age ofthe vessel, as decided between the RO
and Directorate. In-case of any request under this clause the owner shall undertake
that the vessel will operate only in Indian coast.
Page 2 of 36. In case of prevailing travel restrictions and non-availability of surveyor of Ro, which
has a prior contract for statutory Surveys with the owner, all Ros shall cooperate as far as
possible for completion of Annual surveys / sMC Audits / MLC Inspections by allowing
another RO having presence in a particular port to complete the same.
laa:*
(Amitabh Kumar) I
Director General of Shipping
& Additional Secretary to the Govt. of India
Page 3 of 3