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Panama tightens oversight on oil transfer operations
27 May 2025
In a move aligned with the standards of the International Maritime Organization (IMO), Panama has strengthened its requirements for ship-to-ship (STS) oil transfer operations involving tankers registered under its flag. The objective: to shut the door on the so-called “shadow fleet” and reinforce the country’s standing as a responsible flag State.
The Panama Maritime Authority (PMA), through its Directorate General of Merchant Marine (DGMM), issued Resolution No. 106-035-DGMM of 2025 (published in Official Gazette 30271–A on May 6, 2025), which introduces stricter controls and mandatory traceability for offshore STS transfers of hydrocarbons.
“This initiative addresses the growing use of opaque vessels to circumvent international sanctions, transport undeclared crude, or evade environmental safety regulations—practices commonly associated with what is known as the shadow or dark fleet,” explained DGMM Acting Director, Engineer Rina Berrocal.
Effective immediately, all Panama-flagged vessels with a gross tonnage of 150 or more must notify the Flag State at least 48 hours in advance of any planned STS operation, providing detailed technical, logistical, and operational information.
The mandatory notification must include the following key data:
- Identification details of participating vessels (name, flag, IMO number)
- Coordinates and estimated time of the STS operation
- Type and quantity of hydrocarbons to be transferred
- Transfer method (underway or at anchor)
- Contact information of the Designated Person Ashore (DPA)
- Confirmation of the STS plan in accordance with Regulation 41 of the MARPOL Convention
In addition, vessels must update their STS operational plans to reflect this new notification requirement and retain onboard an electronic acknowledgment of receipt.
“This new regulation reinforces Panama’s role as a flag State committed to maritime safety, operational transparency, and the prevention of fraudulent use of its registry, in full alignment with IMO regulations and the MARPOL Convention,” Berrocal emphasized.
“This is not just about safeguarding the reputation of the Panamanian registry,” she warned, “but about ensuring that our vessels are not used as platforms for illicit activities that undermine global trade and harm the environment.”
PMA RECOVERS USD $8.5 MILLION IN OWED WAGES FOR SEAFARERS
27 May 2025
The Panama Maritime Authority (PMA) has strengthened its collaborative ties with the International Transport Workers’ Federation (ITF) during a recent visit by ITF delegates to the General Directorate of Seafarers (DGGM). The meeting focused on reinforcing the protection and well-being of seafarers sailing under the Panamanian flag.
A central highlight of the meeting was the DGGM’s significant achievement in recovering USD $8.5 million in outstanding wages for seafarers by the end of 2024. This figure marks a 52.70% increase compared to the previous year’s recovery of USD $5,593,941.82—underscoring Panama’s commitment as a responsible maritime administration to ensuring decent work and compliance with international labor standards.
PMA’s proactive approach was further demonstrated through its handling of 271 inquiries and 312 labor-related complaints in 2024, which facilitated the safe repatriation of 368 crew members of various nationalities. These efforts were made possible through effective coordination with shipowners, operators, and Protection & Indemnity (P&I) Clubs. Additionally, the DGGM conducted 343 maritime labor inspections aboard both domestic and international service vessels.
Looking ahead to the remainder of 2025, the PMA reaffirms its commitment to the rigorous enforcement of national regulations and international conventions ratified by Panama, including the International Convention on Standards of Training, Certification and Watchkeeping for Seafarers (STCW), as amended, and the Maritime Labour Convention, 2006, as amended (MLC 2006).
Steve Trowsdale, ITF Inspectorate Coordinator, commended Panama’s efforts—particularly its management of labor complaints and the recovery of owed wages. He emphasized the productive nature of the dialogue, noting the value of exchanging perspectives and identifying areas for improvement, all in pursuit of a shared goal: safeguarding the rights and welfare of seafarers.
The ITF delegation also included Edgar Ortiz, ITF Regional Secretary for the Americas; Vladimir Small Ortiz, ITF National Coordinator and member of the Union of Marine Engineers (UIM); and Bernardo Campos, retired UIM member. The group was welcomed by senior officials from the DGGM.
This engagement highlights the importance of sustained collaboration between the PMA and ITF in ensuring fair treatment and proper working conditions for seafarers—with a particular emphasis on the timely resolution of wage claims and labor disputes.