Registering on the Rock

GIBRALTAR is a Category 1 Red Ensign Group Register and a prominent registry within the Red Ensign Group. The extensive facilities on offer include full registration, bareboat registration, provisional registration and the registration of ships under construction. Geographically, Gibraltar is well-situated at the entrance to the Mediterranean and is also classed as a European Union (EU) member state register.

The advantages of registering in Gibraltar are numerous. In addition to the fiscal advantages, and the fact that Gibraltar’s maritime legal system is well-established and modelled on the English legal system, companies or legal entities incorporated locally or under the laws of another member state of the EU are qualified to own vessels locally. Foreign maritime entities may also be registered.

The type of registration being undertaken, namely full or bareboat or otherwise, will dictate the nature of the documentation to be provided. On registration, vessels are required to undergo a survey by a surveyor appointed by the maritime administrator. These surveys are mostly delegated to class. Once the inspection is completed and the vessel approved, the formalities of registration can be dealt with.

Manning requirements follow the international conventions adopted by the UK. All vessels over 500gt must obtain a safe manning document which is issued locally by the maritime administrator. Safety certificates and other certificates will also be issued by the maritime administrator or surveyors appointed by him. Tonnage measurement surveys and certificates of survey will be provided by the classification societies. To ensure that standards continue to be met, the maritime administrator, or his surveyors, will inspect vessels once every five years.

Following the promulgation of new legislation, it is now necessary for flag states to endorse training and other certificates held by officers serving on Gibraltar-registered ships. Ratings do not require a flag state endorsement but must hold certificates in respect of basic training. All officers employed on a vessel must be duly certificated in accordance with the role they are undertaking. The Gibraltar Merchant Shipping (Manning, Training, Certification and Related Seafarers Matters) Regulations 2002 have now been fully implemented. Endorsements are obtained by way of application to the ship’s registry.

A radio licence is also a prerequisite for registration. This is obtainable through the Gibraltar regulatory authority and renewable annually. Details of the radio equipment on board need to be supplied to the authority. On registration, and subsequently annually, by no later than December 31 in any year, tonnage taxes are also payable. These are based on the gross tonnage of the vessel.

Bareboat registrations both in and out of Gibraltar are an attractive form of registration for many shipowners. A bareboat registration into Gibraltar allows a shipowner to maintain the principal registration of the vessel in another registry of another jurisdiction and subsequently bareboat-register the vessel in Gibraltar for two-year periods at a time. Similarly, a bareboat registration out of Gibraltar allows a shipowner to register a vessel in Gibraltar but then bareboat-register the vessel out in another registry of another jurisdiction. This can be very attractive both from a political and fiscal point of view. Certificates of registration remain in force for one year where the registration is a full registration and for two years where the registration is a bareboat registration.

The efficiency of the staff at the ship’s registry, coupled with the advantages of registering in Gibraltar and competitive rates compared with other jurisdictions, make Gibraltar an attractive jurisdiction for shipowners when considering where to register their vessels.