Sunken fuel tanker owner unable to pay Philippines US$1B for oil spill

Mar 15, 2023 News

Kaieteur News – The owner of the sunken fuel tanker, that has caused an oil spill in the Philippines, is unable to pay US$1B the Government is seeking to restore its contaminated shoreline and water.

The Philippines is a country located in Asia. It is situated in the western Pacific Ocean and consists of over 7,000 islands that are broadly categorised under three main geographical divisions.

On February 28, MT Princess Empress was carrying over 200,000 gallons when it sank off Oriental Mindoro southwest of the capital Manila, discharging its cargo of industrial fuel oil into the waters around the province threatening the country’s marine rich economy and biodiversity in several areas.

The Malina Times, Philippines National daily newspaper, reported on Tuesday that at a public hearing by the Senate Committee on Environment, Natural Resources and Climate Change, it was disclosed that MT Princess Empress operated in Philippines water without the amended Certificate of Public Convenience (CPC), or the permit to operate issued by the Maritime Industry Authority (Marina) to water transport providers.

With this development, the Philippine Coast Guard (PCG) told the committee chaired by Senator Cynthia Villar that it may recommend the filing of appropriate charges against the RDC Reield Marine Services, owner of the vessel.

During the hearing, Villar informed local government officials of Oriental Mindoro led by Governor Humerlito Dolor not to expect much on getting the damage and insurance claims from the RDC Reield Marine Services, after she was informed by Marina and PCG that MT Princess Empress has no CPC that allows RDC to operate.

Scenes from the ongoing cleanup of Philippines oil spill (DENR photos)

On the other hand, Fritzee Tee, Vice President of the RDC Reield Marine Services, said during the hearing that they are a small family business corporation that is incapable of complying with the insurance claims of the local government of Oriental Mindoro, amounting to US$1 billion in damages.

Governor Dolor said the sunken MT Princess Empress carrying 800,000 liters of oil has left a negative impact on the livelihood and daily lives of more than 99,000 individuals or 19,900 families. He said the damage is heavy, especially in Pola, where the oil spill reached the shorelines.

Kaieteur News had reported that the mayor of one of the towns have confirmed that residents are falling ill. CNN’s Kathleen Magramo reporting from Hong Kong stated that Jennifer Cruz, mayor of the coastal town of Pola, which has been heavily affected by the spill, told CNN affiliate CNN Philippines last week that more than 50 residents had fallen ill, with symptoms of cough, dizziness, eye irritation and fever.

“In the span of nine days, it’s getting worse. The stench from the oil is getting stronger as the weather is also getting hotter,” Cruz told CNN Philippines. “More people are also getting sick. I also was not able to visit one of the affected areas because I started feeling unwell due to the smell.”

Philippines authorities have declared a state of calamity for nine towns and banned swimming and fishing as they battle one of the region’s worst ever disasters.

Notably, the scale of the environmental impact is yet to be determined, according to authorities. According to information from the Philippines Environmental body, officials are concerned about the oil slick affecting marine protected areas as well as the island of Boracay, the country’s most important tourist destination.

The Philippines Coast Guard had reported that the vessel encountered engine trouble on Tuesday February 28, due to overheating and drifted due to rough sea conditions.  However, it is not clear what caused it to sink, but all 20 crew members were rescued by a passing vessel before it went down.

• Asia, Malina Times, MT Princess Empress, Pacific Ocean, Philippines