The Disproportionality of the Ferry Losses in the Philippines

Many times the question of if our ferries are safe is asked. This is especially true when a ferry has an accident or is lost especially when the casualty count is high. Rather than answering the question straight, if I am asked, I might answer it “it depends” because that is probably the most exact answer to the question anyway but then many will be puzzled by that answer (pilosopo ba?). Read on and you will be enlightened further and maybe your views about the safety our ferries might change.

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Even if a car is new it doesn’t mean it won’t take a dip into the water. Same principle applies with ships. Photo by Zed Garett (happened just today — what a timely photo for my article). Thanks a lot to the photo owner.

But first a clarification. I am purposely limiting this topic to ferries because tackling all the ship types at once will be very heavy and tedious as we have more freighters than ferries and add to that the other types like the tugs, tankers, etc. The ferry losses is the segment that actually raises the hackles of the people of the country who are mainly uneducated on the topic of maritime losses. This relative ignorance is further fanned by our also-uneducated media whose writers and editors cannot even seem to get the ferries’ names right (it seems they are too lazy to verify with MARINA, the maritime authority). Of course, it is well-known that our media is on the sensationalistic side and so oftentimes accuracy, objectivity and balance are lost with that (do these sell anyway?).

Another limitation I also pose here is I won’t include our wooden-hulled passenger crafts in the discussion. Those crafts are really flimsy especially those equipped with outriggers, the motor bancas. This ship type (those are ships because any sea craft having a passenger capacity of 12 is not a boat) lacks the basic safety equipment that even without a storm they can sink like when an outrigger breaks or when the hull develops a leak big enough that water can’t be bailed fast enough. But I would rather not comment on their seamanship or lack of formal maritime education because in my decades of traveling at sea I found that many of them are actually very good in reading the wind and the waves, a nautical skill that is not taught in maritime schools anymore. Also excluded in the discussion are the wooden-hulled lanchas and batels which were formerly called as motor boats which are not called as motor launches.

My topic here is about the disproportionality (or lack of proportionality) of our maritime losses to clarify that our ferry losses are not proportional with regards to the area and to the ship type (the implication is not all sink). Like what I just mentioned earlier, our wooden-hulled crafts especially the motor bancas are prone to losses especially in areas notorious for its dangerous waves like in Surigao. But these sea crafts continue to exist because in many cases these are the most practical crafts for certain routes like the routes to our small islands and islets or the coastal barrios that have no roads (or if taking the roundabout road will take too long). Motor bancas can land even on bare shores which the other crafts can’t do and moreover these can operate profitably on the barest minimum of passengers and cargo something which is impossible in steel-hulled vessels which have engines that are much, much bigger and are heavier.

The liners, our multi-day ships, among our class of ferries are also very vulnerable to losses (a surprise?) and much more than others classes pro rata to their small number. Relative to their small number, we have lost a lot of liners in the past for a variety of reasons – capsizing, foundering, beaching, wrecking, collision, fire, bombing and explosion. And this might come as a surprise to many because in the main it is our liners that are the biggest, these hold the highest of the certificates (and in insurance many have the comprehensive P & I or “Protection and Indemnity”), these have our most experienced and best crewmen supposedly (unlike in smaller ferries where a Second Mate can serve as Captain of the ship) and much pride of its shipping company is riding on them (well, not all, as we had liners that were no more than the average overnight ferry).

But this vulnerability is actually completely true. We lost the SuperFerry 3 (fire in a shipyard in 2000), SuperFerry 6 (fire while sailing in 2000 too), the SuperFerry 7 (fire in port in 1997), SuperFerry 9 (capsizing in 2009), the SuperFerry 14 (firebombing in 2000 but the official report says otherwise). A total of five SuperFerries when only a total of 20 ships ever carried the name “SuperFerry” (it seems it is not a good name?). The St. Thomas Aquinas, the former SuperFerry 2 was lost in a collision in 2013 and the St. Gregory The Great, the former SuperFerry 20 was also lost (taking a shortcut and hitting the reefs and she was no longer repaired and just sold after equipment was taken out). These two ferries were already under 2GO when they were lost. Not included here were the groundings of the Dona Virginia and the Our Lady of Banneux (technically under Cebu Ferries Corporation then but an actual liner) from which they were never repaired and ending their sailing careers).

Sulpicio Lines is much-lambasted and derided by most of our people but actually they have less losses from their “Princess” and “Don/Dona” series of ships in the comparative period as the existence of the “SuperFerries” of WG&A (William, Gothong & Aboitiz and its successor company Aboitiz Transport System (ATS). However, it is true that in passenger casualties the total of Sulpicio Lines is much, much higher because they have the tendency to sail straight into storms like the revered Compania Maritima before them (in terms of ship losses and not in casualties) and that historical company took a lot of losses from those risk-takings too (and more than even Sulpicio Lines).

From 1996 when the WG&A was formed, Sulpicio Lines only lost the Philippine Princess (fire while under refitting in 1997), the Princess of the Orient (capsizing in a storm in 1998), the Iloilo Princess (fire and capsizing while under refitting in 2003), the Princess of the World (fire while sailing in 2005) and the Princess of the Stars (capsizing in a storm in 2008) and the Princess of the Pacific (serious grounding incident resulting in complete total loss in 2004). That is until they were suspended in 2008 when only one liner was left sailing for them, the Princess of the South which did not sink.

In the comparative period, WG&A and ATS employed a total of 24 liners (the overnight ferries of Cebu Ferries Corporation was obviously not included here are they are not multiday liners). Sulpicio Lines had a total of 22 liners in the parallel period so their numbers are about even. But the ship loss total of WG&A, ATS and 2GO is clearly higher and the public was never made aware of this. Maybe some good PR works while it seems Sulpicio Lines never took care of that and all they knew was feeding their passengers well (unli rice or smorgasbord, anyone?). But then however those liner losses are scandalous in number, by whatever measure. Imagine losing more than one liner per year on the average.

Some of the liners of WG&A and ATS were not SuperFerries in name but but the Our Ladies, the two Cities and a Dona from William Lines had perfect safety records as none of them was ever lost. Now, does the choice of name matter in safety? Or the “lesser” ferries do try harder and are more careful? That discrepancy certainly made me think and it might be worth a study.

Negros Navigation was far safer than the WG&A and Sulpicio Lines losing only the St. Francis Xavier in 1999. Do naming of liners after saints enhance their safety? Conversely, do naming of liners with the qualifier “Super” means the ship will sink faster? Questions, questions. But the lightly-regarded and revived Carlos A. Gothong Lines Incorporated (CAGLI) tops them all with absolutely no losses. Now for a company that sometimes have difficulty painting their ships that is something (while the spic-and-span WG&A and ATS which repaints their liners while sailing tops the losses department). Does it mean it is better not to repaint liners well? I observed in the eastern seaboard that the ships that are not painted well have no losses (until the dumb Archipelago Ferries let its stalled Maharlika II sank into the waves in 2014 without rescuing it and thereby breaking the record – that ship was newly painted when it went under so the repainting might have doomed her?). Well, in my earlier thesis and later in this article I find it funny that the ships which are more rusty does not sink as long as it is not a Batangas ship (ah, the disproportionality again). While those that can always afford new paint like WG&A and successor ATS sink. Is a new coat of paint a sign of danger for the ship? Or is it the P & I insurance that did them in? Funny, funny. Negros Navigation when it was already in trouble and lacks the money already did not have one ship sinking. So the illiquidity which Negros Navigation suffered means more safety? Har, har! Whatever, I want to commend them and top honcho Sulficio Tagud for taking the high road and not just let the ships sink just to collect insurance. And last note, in multi-day liner operations before, Aleson Shipping Lines never lost a ship.

Liners sink at a faster rate pro rata compared to overnight ferries (if the wooden-hulled ferries of the past are not counted) and that is a big puzzle to me. And of course nobody will know for sure because nobody studied that as we don’t have the equivalent of the National Transportation Safety Board (NTSB) of the USA which call in true experts and go in depth why the transportation accidents happened. Is it because while on a voyage the liners are practically running 24 hours a days and systems, equipment and personnel are stressed more? Is it because the ships reach their reliability/cycles earlier in terms of hours of usage like the electrical lines which is a cause of fire? Or are their crew simply more tired and believes that their ships with high certifications are less vulnerable to sinking (as if those certificates will keep the ship afloat)?

In the earlier decades and even recently it is known that liners take more chances with storms and maybe because they think they can battle the waves better because they are bigger. There are shipping companies who were known to be more brave (or foolhardy?) in sailing ships when there are storms about and among them the old Compania Maritima and Sulpicio Lines almost surely top the list. Now, however, the field is more level as all Philippine ships are barred from sailing when the center wind of the storm reaches 60kph. And for the smaller ships less than 250gt they are not permitted to sail when the center wind is already 45kph or when the local weather agency PAGASA declares a “gale warning” even though there is no a gale. When the suspensions are in effect better just watch the foreign ships still continue sailing for they are not covered by the suspension and most actually use INMARSAT or equivalent which is just a curiosity in the local maritime world until now when that is already well-established outside of the Philippines (the lousy PAGASA which can’t do localized forecasts seems to be already good for them since it is free while they have to pay for INMARSAT).

Liners also sink faster than short-distance ferries whose sailing durations are all short and whose crews probably know their particular seas and routes more. When to think most short-distance ferries which are always small are captained in the main by Second or Third Mates and whose engine department are headed by Second or sometimes by just Marine Diesel Mechanics who have not even finished college but passed an exam just the same (well, competence in running and maintaining a machine well is not necessarily dictated by diplomas, trust me). Even though liners might be using ECDIS don’t be too sure they will reach their destination better than the lowly short-distance ferry using just what is called as dead reckoning. In truth, ECDIS or whatever better bridge equipment does not guarantee better seamanship or navigation. After all it will not show the wind and wave which only something like INMARSAT can.

So in liners disproportionality already exist. And their international certifications don’t even save them from disasters. So, I advise those who take liners, don’t be very sure and make the necessary precautions like memorizing the different alarms and making sure where your life vests are. And don’t jump to the water too early. Liners are tall and that plunge could hurt you. And when in the water at night tie yourselves together so as not to drift (a whistle is a big help in calling attention if you are drifting). Note the water can be cold at night and hypothermia can set in. Take a selfie too before jumping and upload it. Who knows if it will be your last photo. Your loved ones will sure prize it. Ah, don’t take all I said in this paragraph too seriously.

In overnight ferries there seems to be disproportionality with regards to companies and not to home port (if analyzed pro rata to the size of the fleet which means the size of the fleets are taken into consideration) and to the routes. Well, for practical purposes there are only a few home ports for overnight ferries – Cebu, Zamboanga, Batangas, Manila, Lucena and Iloilo, in that order maybe in terms of sailings (a clarification, there are overnight ships originating from say northern Mindanao but all of those ferries are actually based in Cebu). Analyzing, some overnight ferry companies deserve the Gold Award while some should be suspended from service, maybe.

It must be noted that one of the biggest overnight ferries two decades ago and which dominated the Visayas-Mindanao waters for nearly a decade, the Cebu Ferries Corporation (CFC), a subsidiary of WG&A and successor Aboitiz Transport System (ATS) did not lose a single ship ever until it they left Cebu for Batangas and became the “Batangas Ferries” and even there their perfect streak continued. Maybe some of their people need to be recruited by other companies or sent there by MARINA to share the experience. They can lecture on the topic, “On How Not To Sink”. Maybe it is not just with the choice of name that they were safe? Or was it in the livery? The only problem it seems is they did not send their Captains to their liners like the St. Thomas Aquinas who made a dumb mistake trying to test the hardness of the ice-classed bow of the Sulpicio Express Siete.

In the Cebu-based regional shipping companies which are operators of overnight ferries it is probably Lite Ferries who is the Valedictorian having lost no ships even though their fleet is already big. Maybe that will come as a surprise to many but whatever they deserve a big round of applause. Another company whose Captains might need to be recruited by other shipping companies or pry open their secret if there is any. Are they better readers of SOLAS? One thing I am sure though is its owner does not belong to the same fraternity as one former Batangas shipping company owner who threatens mayhem if his ship sinks.

There are other overnight ferry companies in Cebu that could have shared First Honors with Lite Ferries but in a tie-breaker Lite Ferries wins because they have the most ships and not by a small margin at that. Others with perfect records are the defunct Palacio Lines (well, some might argue that that is a Samar shipping company but I digress). Now I can’t understand why an overnight ferry company with a perfect safety record will go under as a company. Seems something is not right. Aside from Palacio Lines there are a lot of there Cebu-based overnight ferry companies that have perfect safety records in terms of having no ship losses. Some of these are still extant and sailing and some have already quit the business (it’s a waste, isn’t it, for them to just go away like that).

Among these is the legendary Gabisan Shipping Lines, VG Shipping, Kinswell Shipping, Roly Shipping, Jadestar Shipping, South Pacific Transport and many other smaller shipping lines with just one or two ships (most of these are already gone now but still their perfect records remain). I just don’t know why they can’t catch a break from MARINA as in they are not given special citations and handed more privileges in sailing because after all they have proven they know their stuff in shipping. But no, when MARINA goes headhunting in safety they are lambasted in the same vein as those which had sunk ships as if they are just as guilty. Actually, to set the record straight about half of the overnight ferry companies in the whole Philippines never had any ship losses. This is true even in Zamboanga where Magnolia Shipping Lines, Ever Lines and a lot of other operators with just one or two steel-hulled ferries have perfect safety records. Now, can’t MARINA even for once credit them properly and publish their names because the way I feel at times with media reports and with MARINA statements it is as if all our shipping companies already had sunk ships which is simply not the case. In the liner sector that is true but in the overnight ferry and short-distance sector, combined, most shipping companies never had any ship losses. Don’t they deserve credit and more respect and recognition? But no, they are sunk not beneath the waves but in obscurity and that is one of the purpose of this article, to set the record straight.

In Manila, the old MBRS Lines and its successor Romblon Shipping Line never lost a ship (but the company is dead now anyway, sunk by the intermodal). In Lucena, Kalayaan Shipping Lines might have a perfect safety record too at least in steel-hulled ferries. In Batangas, there are operators of just one or two ferries which have not lost a ship (do they take care not to lose one because that will mean the shutdown of operations?). In Iloilo, did Milagrosa Shipping Lines already lost a ship? In number half of the overnight ferry operators never lost a ship although in the number of ships owned theirs comprise just the minority, to clarify.

It is in short-distance ferries that I noticed a lot more of disproportionalities especially in the recent decades when maritime databases were able to keep track with them (the wooden-hulled short-distance ferries generally doesn’t have IMO Numbers so keeping track of them is difficult but these lanchas or batels were our early short-distance ferries aside from the motor bancas). For this sector or segment I would rather stick to steel-hulled ferries like what I mentioned early on especially since there is no way to track the hundreds and hundreds of motor bancas and their losses which are not even properly reported at times.

There are areas, routes and short-distance companies that have perfect safety records (again, wooden hulled ferries are not included here and that also mean the earlier years). In the eastern seaboard where the typhoons first strike and where it is fiercest the routes and shipping companies there have a perfect safety record ever since the steel-hulled ships first appeared in 1979. This was only broken in 2013 due to the dumbness of a stranger which invaded the Masbate waters (is that part of the eastern seaboard anyway? but Masbate is in Bicol). They withdrew from Bicol after that incident to just sail the more benign Camotes Sea waters. And that is one of the reasons why I was furious at Archipelago Ferries for not coming to the aid of their stalled ship for 6 hours when their good ship was just just two hours sailing away and so the stricken ship slid off the waves (shouldn’t someone be hanged for that?). Because of that the perfect record of the local shipping companies based in the eastern seaboard was broken. I just hope the crewmen of Maharlika Cuatro which failed to respond to an SOS then are not employed in the FastCats now.

Short-distance ferries also does not sink in the Tablas Sea crossings or in the routes to Marinduque from Lucena. However, I do not know what is the curse of the Verde Island Passage that many ships have been already lost there when to think practically the same shipping companies ply the three routes mentioned. To think the Tablas Sea wind and waves could be rougher than that in Verde Island Passage. Did they assign their lousier crews there? Just asking. As they say the proof is in the pudding (and the pudding tastes bad).

I just wonder too about the luck of the Mindanao Sea crossings. The waves there could also be rough and the crossing is longer but none was ever lost among the short-distance ferries running the Dumaguete-Dapitan, Samboan-Dapitan and Jagna-Balingoan routes. Like in Tablas Strait, do the longer route makes the crews more careful? Are the crews there better trained and has better seamanship?

The many routes connecting Cebu island and Negros island and Negros island and Panay island are also safe. Hard to find there a short-distance steel-hulled ferry that sank. That is also true for the steel-hulled ferries connecting Masbate island to Cebu island when the distance there is also long for a short-distance ferry and the wind and waves are no less dangerous. What is their secret there? Is it just that Camotes Sea navigators are lousier? With exceptions, of course because Gabisan Shipping surely will not agree.

I could go to the less obscure, short-distance routes. Just the same I will tell you these are also safe. Never heard of a steel ferry going to Alabat that sank. Or to Dinagat and Siargao islands (sure their motor bancas sink). Or the routes to Basilan from Zamboanga. Not even a RORO to Guimaras have sunk or a RORO to Bantayan island. That is also true for the short-distance connections within Romblon island served by steel-hulled ships (the Princess Camille that capsized in Romblon port in 2003 was an overnight ferry from Batangas). No steel-hulled ferry connecting Leyte and Bohol was ever lost too. And that is also true for the route connecting Siquijor to Dumaguete.

So a lot of our short-distance routes and the ferries plying them are actually safe. Who can argue against a perfect safety record? A little rust will not sink ships nor would a non-functioning firefighting pump (and the ship is not in the middle of an ocean anyway). Those are just a little margins that are not that critical. Does not look good to the eye but to a passenger like me it is more important if MARINA enforces their Memorandum Circular that ferries should feed its passengers if the arrival of the ship exceeds 7am. And I am more concerned if the ship is clean especially the rest rooms and if there is clean drinking water. Besides, trust me, our mariners are not that negligent or dumb that they will leave the ramps unclosed and then sail like what some Europeans did.

So are our ferries safe? Yes, it is except for the liners, some shipping companies and some routes and areas. Never mind if they are old. It is not necessarily the factor that will sink ships (a ship if it loses motive power still has the flotation of a barge). It is actually the lack of seamanship that sinks ships (old ship, new ship can both collide or fail to heed the weather). And trust the short-distance ferries on the fringes and don’t underestimate them. The crew won’t let their ships sink if their families, relatives, friends, schoolmates, etc. are aboard. Well, not all. Be a little wary in Verde Island Passage and in Camotes Sea.

Let us be more objective. Our ferries and mariners are not really that bad, contrary to what hecklers say.

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Was It Choking Or Indigestion For Starlite Ferries?

Almost since its establishment I tried to monitor the Starlite Ferries which was founded by Alfonso Cusi who has Mindoro origins. Starlite Ferries was easier to track since unlike her pair Montenegro Shipping Lines Inc. which is related in a way to them in patronship, Starlite Ferries did not expand beyond Mindoro unlike the other one which can be found practically all over the Philippines (and so it has the distinction of being a national shipping line without being a liner company). Starlite Ferries, meanwhile, remained a short-distance ferry company and in this segment they basically carry rolling cargo or in layman’s term we call that as vehicles and passengers, of course.

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Starlite Pioneer by Raymond A. Lapus

Over the years of its existence, Starlite consistently added ferries to its fleet (although they had sales and disposals too) until they reached some 11 passenger ships in 2013, to wit, the Starlite Jupiter, Starlite Phoenix (a fastcraft), Starlite Juno (a fastcraft), Starlite Neptune, Starlite Polaris, Starlite Annapolis, Starlite Atlantic, Starlite Navigator, Starlite Ferry, Starlite Pacific and the Starlite Nautica. In their track record, aside from surplus ships acquired from Japan they were not anathema to buying the discards of other local shipping company like when the Shipshape/Safeship ferry dual ferry companies quit operations and they took over its fleet (but not the routes to Romblon). And from Cebu they got a ferry from the defunct FJP Lines which is better known as Palacio Lines. Actually, the first three ships of Starlite Ferries which are no longer existing now were from other local shipping companies.

However, over the years, what I noticed with Starlite Ferries is although their fleet is already relatively big by local standards they did not get out of the confines of Mindoro where they were just serving four routes. These are the Batangas-Calapan, Batangas-Puerto Galera, Batangas-Abra de Ilog and Roxas-Caticlan routes. The longest of this route is the last named that takes four hours of sailing time while the other routes take two to two-and-a-half hours depending on the ship. With such length of sailing time it can be gleaned that actually their 11 ferries is  a little bit over already than their need for the four routes.

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Starlite Reliance by Carl Jakosalem

So it came as a bombshell for me and many others that they will be getting 10 new ferries from Japan through a loan with a government loan window (and the first one, the Starlite Pioneer arrived in 2015). They were too proud of the coup and acquisition, of course, and they crowed about it in the media with all the jeers about the old ferries but I was skeptical. My first question is where will they put it. It is easy to apply for new routes but the approval is another matter. They do not own MARINA (Maritime Industry Authority), the maritime regulatory agency, it is no longer the reign of the nina bonita Maria Elena Bautista who did a lot for her patron and its pet Montenegro Lines. And I was sure the players that will be affected by their planned entry will fight tooth and nail (who wouldn’t?) and the approval process for franchises goes through public hearings anyway and if there is real opposition then it will be difficult to rig it (what are lawyers for anyway?). Getting route franchises is not as easy as getting it from a grocery shelf unless it is a missionary route which no shipping company has plied before except for motor bancas. And there is no more possibility now that a program like the “Strong Republic Nautical Highway” of Gloria which created new routes (and made it appear that old routes are “new routes”). It was the time of Noynoy when their new ferries came and Al Cusi who is identified with Gloria was out of power.

It is obvious that they can only absorb the new ferries well if they can dispose all their old ferries. But regarding the price it will be, “Are they buying or are they selling?”. That means forced selling will not gain them a good price and with the ferry structure in the country and their fleet size I am not even sure if there will be enough buyers especially when banks are averse to extending loans to shipping companies. Pinoys are averse to the breaking of still-good ships unless one’s name is starts with “A” and ends with “z” or maybe connected to 2GO (well, Negros Navigation’s case then was different as there was force majeure in it).

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Starlite Eagle by Carl Jakosalem

And they might be forced to sell their old ships if they have honor because after all the owner Al Cusi is one of the hecklers of our old ferries and pushing for their forced retirement (and the sauce for the goose should also be the sauce for the gander but then Al Cusi was not selling old ferries until his end in shipping). I thought those in government should lead by example? By 2016, with the ascension of Digong, Al Cusi was back in power and my fears of an administrative fiat to phase out old ships intensified.

Then a news item came out that they will enter the prime Ormoc route. My immediate thought was of a dogfight not only in sailing but also in the approval process of a franchise. The Ormoc route from Cebu has a lot of parallel routes competing with it (like Palompon, Baybay, Hilongos, Bato and Albuera routes) and all of them will raise a howl against the entry of an outsider especially one with good ships, naturally. I was even titillated how that will play out (it could have been a good boxing match or worse an MMA fight). But then nothing came out of that news. Well, certainly Al Cusi knows how to pick a good route, I thought, but he might have underestimated the opposition (of course, the better the route, the fiercer will be the opposition).

And then another news item was published that Starlite Ferries will go into Southeast Asia routes. Well, really? That was my thought as I had doubts again. It is Indonesia that is the most archipelagic in our region but I knew the rates there are too cheap and sometimes as ROROs there is practically no fare charged in the old ships if patrons don’t want to pay (and so I remember the problem of some of our operators in our ARMM Region where collection of fares can be a problem and rates are really so low). They wanna go there with brand-new ships, I thought? Won’t there be demand for reciprocity? Oh, well, I would welcome Indonesian ferries in our waters especially if they are liners, why not? Now, what a way of upsetting the cart, I mused. But then nothing came out of that too.

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Starlite Saturn by Raymond A. Lapus

The logical is actually to phase out his old ferries immediately as there is no way to create a bonanza of new routes given how difficult it is to secure new routes in the country and actually the situation is the feasibility of routes are limited as it is dictated by people and goods movements and not by wish, simple geography as in nearness or MARINA inducement. They can try the Pilar-Aroroy route that was validated by three titled international experts on shipping with all the feasibility study calculations but then as known by the locals it wouldn’t last and they were proven right as the route lasted only a few months (Archipelago Philippine Ferries tried it). Plus they might have to dredge Pilar port as that is shallow for their ships (the government will pass on to them their dredging responsibilities and they will be lucky to earn a thank you). MARINA has actually a lot of routes that they were promoting like the Pasacao to Burias route, the Cataingan to Maripipi route, et cetera but shipping operators not biting as they are not fools unlike some sitting in some MARINA chairs. With Starlite Ferries obliged to pay the bank amortization they cannot simply let their ships gather barnacles in Batangas Bay.

But where will he sell his old ferries? Many of the ships of Starlite Ferries are not fit to be small short-distance ferry-ROROs, the type most needed and most flexible to field (that will survive better in low-density routes) and now the problem is that is being supplanted now in many cases by the passenger-cargo LCTs and RORO Cargo LCTs which may be slow but are cheap to operate (and so many of these are arriving from China brand-new and not surplus with good terms). The reinforcements that entered San Bernardino Strait and Surigao Strait were actually LCTs (the former are operated by SulitFerry, a 2GO enterprise) and there are LCTs that are new arrivals in Tablas Strait that belong to Orange Navigation, a sister company of Besta Shipping.

Cebu won’t buy it as what is mainly needed there are overnight ships and generally bigger than what Starlite Ferries have. The actual direction of ferry sales is from Cebu to Batangas and not the other way around. It is also hard to sell the Starlite ferries to Zamboanga as only one shipping line has the capability there to buy (Aleson Shipping Line) and they have enough ships already and they can afford to buy direct from Japan. It won’t be Manila as there are no more overnight ships there remaining to Mindoro and Romblon (Starlite Ferries helped sank Moreta Shipping Lines, MBRS Lines and its successor Romblon Shipping Lines). The operators to Coron and Cuyo are not that big and the Starlite ships are too big for those routes. It is really hard to dispose of 11 ferries unless Starlite gives it on a lay-away plan but then they have to pay the bank for their new acquisitions.

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Starlite Archer by John Edmund

I feared Al Cusi with his Malacanang clout and political clout (he is vice-president of the ruling party now) will resort to administrative fiat through the Department of Transportation. But that will be bloody and when the old operators feared something was afoot with the Tugade trial balloons they were ready with deep questions like if there is a study that shows old ferries are unsafe (good question) and MARINA was put on the defensive. These old operators are not patsies, they can hire good lawyers and they have congressmen as padrinos that Tugade and Cusi cannot just push around.

And so came the announcement that there will be no phase-out of old ferries (which is nonsense anyway as phase-out should be based on technical evaluations and not on age). It seems that was a big blow to Starlite Ferries which by that time was already shouldering the burden and amortizing five new ferries with five more on the pipeline and their old ferries still around and unsold (their other new ferries are Starlite Reliance, Starlite Eagle, Starlite Saturn and Starlite Archer). Trying to force their old ferries in some near routes might just mean competing with their sister Montenegro Lines and their shared patron saint will look askance to that.

I guess the financial burden of the new ships were getting heavier by the day for Starlite Ferries. With a surplus of ferries they were even able to send Starlite Annapolis to Mandaue just to get some new engines if what I heard was true. There is really no way to cram 15 ferries (as Starlite Atlantic was lost maneuvering in a typhoon) in just four short-distance routes. I just don’t know, should have they converted some of their new ships into overnight ferries and competed in the longer Batangas to Caticlan route? But the accommodations of the former Cebu Ferries ship of 2GO are superior to them. How about the Batangas to Roxas City route that is irregularly served by Asian Marine Transport Corporation?

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The most senior now in the fleet of Starlite Ferries

But instead of fighting to resolve their problem, Al Cusi took the easy way and sold out. Well, it is never easy to finance five new ferries with five more still on the way with no new routes coming. They might drown in debt and default. Or end up just helping the bank make their living (in Tagalog, “ipinaghahanapbuhay na lang ang bangko”).

I wonder why Al Cusi did not just get two or three units for testing and evaluation and proceed slowly. With that they might have known with less pain and pressure that although their ferries are new it does not have a technological edge nor an advance over the old ferries unlike the new FastCats. They knew already that intermodal vehicles are mainly locked like the Dimple Star buses are locked to them and so newness of the ship will not easily sell and not even to private car owners whose main concern is what RORO is leaving first (and that is also the main concern of the passengers who do not even have a free choice if they are bus passengers).

It looks to me the 10 new ROROS ordered by Starlite Ferries was a simple case of indigestion or worse a choking. It looks like more of the latter and so Al Cusi spit it out and settled for a half billion pesos as consolation for the sale of Starlite Ferries to the Udenna group, the new hotshot in shipping which also owns Trans-Asia Shipping Lines of Cebu now. That might be a good decision for Udenna as their Trans-Asia Shipping Lines lacks ferries now whereas Starlite Ferries has a surplus and so it might be a good match. Converting the ships into overnight ferries is not difficult nor would it cost much although the ships of Starlite Ferries is a little small than what Trans-Asia Shipping Lines was accustomed to (but then it is also possible to lengthen the upcoming ferries).

Now I don’t really know exactly where Starlite Ferries is headed and it will not be as easy to guess that but in all likelihood a Starlite and Trans-Asia marriage might work out especially since the Udenna group has the money to smoothen out the kinks.

Nice experiment but it seems the 10 new ships was too much for Starlite Ferries to chew.

The Uneven and Controversial Record of Breaking of Passenger Ships in the Philippines

In the recent decades it is only in the 1980’s where I saw a relatively massive ship-breaking of Philippine ferries. Two big factors worked in confluence in that. One, the backbone of Philippine ferries of the postwar years, the former “FS” ships were already breaking down on its own because they were already 40 years old on the average which was already far beyond their estimated design life. Moreover, there was already a shortage of parts and to keep other “FS” ships running some others have to be cannibalized. And these ships were actually badly outgunned already by the newer ferries and as cargo carriers (some were used in that role when they were no longer competitive), they were already overtaken already by the newly-fielded container ships and by cargo ships with fixed schedules like the ships of Sea Transport.

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An example of a former “FS” ship (Credits to Manila Chronicle and Gorio Belen)

The other big factor was the great economic crisis of the 1980’s, the greatest since World War II when there was a contraction of the economy, inflation and the exchange rate were runaway and there was simply no loans available then and interest rates were sky high. Such situation will simply contract the need for ships. This was exacerbated by companies falling by the wayside, bankrupt and shuttered. That even included our auto manufacturing plants. In shipping, a significant percentage of our shipping companies folded and with it went their ships because the remaining shipping companies were just in survival mode and in no mood to take over their ships. That was the second main reason why many of our former “FS” were broken up in the 1980’s. Most of them were scrapped locally specifically in Navotas. The passenger ships of the shipping companies that went belly up in the 1980’s like Compania Maritima also ended up in the breakers and they were not limited to ex-”FS” ships. The 1980’s was really a cruel decade for shipping.

Earlier, in the 1970’s, the former Type “C1” ships were also lost as a class because their engines were no longer good. That also was true of the former Type “N” ships. These ships simply surrendered because they were no longer reliable and parts were hard to come by. And that is one truth in shipping. If a ship is no longer good especially the engines and it cannot be re-engined anymore then it goes to the breakers and no government order to cull is needed for that.

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An example of a former Type “C1” ship (Credits to Phil. Herald and Gorio Belen)

After the 1980’s, ship-breaking followed three main trends. One is the trend set by William, Gothong and Aboitiz (WG&A) and later by its successor Aboitiz Transport System (ATS). WG&A has the penchant to dispose of ship they think are already superfluous. That is actually what happens in mergers and acquisitions (M&A’s). There will always an excess in assets including ships and personnel and the new entity will try to dispose of them to junk “non-performing assets” (NPA’s). That is the reason why still-good liners and overnight ships were disposed to the breakers. There was really no good technical reason to send them there and die.

On the other hand, WG&A and its subsidiary Cebu Ferries Corporation (CFC) had some ships that were nearly ready for the breakers because their engines were already beginning to get unreliable. WG&A tried to sell them as still “good” ships and a few shipping companies got conned buying ROROs with problematic engines and obsolete cruisers. The stinged companies like Sampaguita Shipping had to dispose later these ships.

Our Lady of Banneux (Mis-identified as SF10)

Our Lady of Naju (Mis-identified as OLO Banneux)

Probably the OLO Banneux but Identified as OLO Naju

Sold to raise cash (From http://www.greenshipbreaking.com)

When the two partners in WG&A divested, the Aboitiz family had to dispose of ships to pay them off. This was the reason why Aboitiz Transport System (ATS), the successor company to WG&A had to sell a series of still-good ships, passenger and container, to China breakers early this millennium. In effect, the Gothong and Chiongbian families were paid with cash from scrap metal and their old ships were gone forever.

Aboitiz Transport System also had to sell other ships to the breakers (their liners are too big to be overnight ferries) in order to acquire newer ferries. That was done in the middle of the 2000’s.This is called renewal of the fleet and this is done all the time in other countries. Of course, a company will try to sell their weaker ferries in order to acquire new ones. This pattern also carried over into the successor company of ATS, the shipping company 2GO.

But again the reason to sell was not always based on technical reasons (as in the ship is no longer reliable) but on other considerations. I have observed that the creation of WG&A and its subsequent dissolution created a lot of crooked reasons for selling ships that were not based on the condition of the ship. Some of those were simply connected to cutting of routes and frequencies and the need to come up with cash.

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Sold before its time for crooked reasons (Photo by Vinz Sanchez)

Meanwhile, competitor Negros Navigation Company (NENACO) was hit with illiquidity after their massive expansion fueled by bank loans backfired and they had to seek court protection from garnishment proceedings. However, these resulted in ships being laid up and offered for sale. These ships ended up in the hands of foreign breakers because liners were in excess then (and ATS does not buy ferries from competitors) as budget airlines and intermodal buses cut into their revenue..

But the next chopping of ships en masse was even more cruel. This was as a consequence of Sulpicio Lines getting suspended from sailing after the Princess of the Stars capsized in 2008. Stringent conditions were placed by MARINA, the maritime regulatory agency on Sulpicio Lines’ return to passenger operations. Meanwhile, the bulk of their fleet rotted in their Mandaue wharf and in the middle of Mactan Channel. Along with strong public backlash, Sulpicio Lines lost heart and sold off their entire fleet to foreign breakers and a great passenger fleet that took five decades to build was lost in just one stroke. Those who knew shipping knew this great passenger fleet won’t ever be replaced again. Ironically, it is the government bureaucrats regulating them which did not know that.

Princesses laid up

None of these survived the suspension

As a general rule, companies that do not run into trouble do not send ships to the breakers. WG&A (divestment of partners), Negros Navigation (illiquidity) and Sulpicio Lines (suspension) all ran trouble (and MARINA, the maritime regulatory agency tasked with the country’s maritime development was of no help to them whatsoever). Non-liners frequently do not run into trouble and if ever they fold, many of their ships are taken over by other shipping companies (as their ships are easier to sell). That is what happened to the likes of Bicolandia Shipping Lines, San Juan Ferry, Western Samar Shipping Lines, Kinswell Shipping Lines, Shipsafe/Safeship, Mt. Samat Ferry Express, Moreta Shipping Lines, etc. But this did not happen to most of the big fleet of Viva Shipping Lines and its legal-fiction companies, to Sampaguita Shipping and SKT Shipping/Kong San Teo Shipping, both of Zamboanga, Tamula Shipping and many others..

Again, another rule, it is easier taking over a failed small company and small ferries because the sums involved are not astronomic. If it is a big liner company that gets into trouble, it is only the foreign ship-breakers that have the money to buy their ships.

Princess of Negros when she was for sale

A photo when this ship was for sale; ended in the breakers

I just hope our government understands more our ferry companies, their travails and the difficulty of keeping ferry companies afloat. From my observation with government it seems many of them think ferry companies are raking in money. It is not the lure of money which keeps them in shipping but simply their passion for shipping.

Our shipping sector is actually in distress but I still have to hear or read a government pronouncement acknowledging that. They push the shipping companies to modernize in a tone that as if buying ships is just as easy as acquiring buses. But the inescapable truth is our ferries are actually graying now. And so I fear for them, not because they will sink but we all know nothing lasts forever. I wonder if there will be a mass extinction of ferries in the future, say a decade from now like what happened to the “ex-FS” and ex-”C1” ships. If that happens maybe we will more LCTs and maybe surplus ferries from China.

Is There Enough Cargo To Move Around?

In the last few years there has been an upsurge in the ships that move cargo. First, that became noticeable with the LCTs that became ore carriers of the black sand mining in a few provinces and particularly in Surigao where opening of mines close to the sea boomed. That happened because of the sudden great demand then of metals in China.

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An aggregates carrier LCT off Taganito, Surigao

Just after the peak of that demand, a fleet of brand-new LCTs built in China appeared in north Mactan Channel. That happened when the demand for metallic ores in China was beginning to wane. And so initially those LCTs especially those owned by Broadway One Shipping and Cebu Sea Charterers were just anchored in the channel. Those LCTs were only known by their numbers but in size those were bigger than the average Philippine LCT. Generally, their powers and speeds were also higher and better.

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Row of newly-arrived LCTs in north Mactan Channel

With nowhere to go these LCTs including those owned by others but also built in China (like the Poseidon LCTs, the Meiling LCTs, those owned by Premium Megastructures Inc., Adnama Resources, etc.) became aggregates carriers and Cargo RORO LCTs and in the latter it challenged in the business then dominated by Goldenbridge Shipping which had a route from Labogon, Mandaue to Hindang, Leyte. Sand is gold in Cebu because of its construction needs and it is not readily available in the island in quantity because of its upraised sea floor origins which meant just a lot of limestone. And so sand is transported from Leyte whose land is volcanic in origin and thus there is plenty of sand and hard rock. Aggregates carrier LCTs go as far as Samar and some also go to Bohol.

The value of Cargo RORO LCTs was highlighted when the super-typhoon “Yolanda” struck and lots of trucks have to move to Leyte and long queues of truck formed in Matnog and Lipata ports and there was also a lot of needed bottoms for trucks crossing from Cebu to Leyte. The LCTs filled this need and suddenly the Cargo RORO LCT segment was here to stay. It challenged not only old LCT operators like Mandaue Transport and Simpoi Shipping but also the overnight ferry companies operating ROROs that Roble Shipping even felt the need to charter LCTs from Asian Shipping Corporation (ASC), owner of many LCTs for charter. Now Cargo RORO LCTs connects many islands and it is also a viable transporter now of container vans from Manila to the Visayas and Mindanao, a mode pioneered by Ocean Transport that also started by chartering LCTs from Asian Shipping Corporation before acquiring their own China-built LCTs.

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On the left is an LCT of Asian Shipping Corporation chartered by Roble Shipping

I can understand the need and value of LCTs which have proven their uses and versatility recently and that is why it is still continuing to increase in number. But in the same period I also noticed the rise in the numbers of our container ships and general-purpose cargo ships which are mainly freighters on tramper duty. In general that is a surprise for me as I know our local inter-island trade is flat and intermodal trucks have already stolen a significant portion of their cargo and that can be shown in the queue of trucks in many short-distance crossings like in the routes to Panay, the routes to Eastern Visayas and Surigao and Cargo RORO LCTs are used by these intermodal trucks along with short-distance ferry-ROROs. Cargo RORO LCTs are also used by tractor-trailers hauling container vans to serve islands where local container ships are now gone or where the service is weak or the rate expensive. Examples of these are Samar, Leyte and Bohol islands.

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A Cargo-RORO LCT

I have been contacted by a writer doing the history of Delgado Brothers or Delbros which once dominated the Manila ports and which was also involved in shipping then (it was also the first employer of my late father). Delbros happened to by one of the two dominant leasers of container vans locally together with Waterfront and they cannot resolve the problem of flat leasing for several years already and they cannot fathom the reason why. I told her the reason is simple – the intermodal trucks are stealing their business.

But in recent years I have seen our container shipping companies add and add container ships. Most remarkable is Oceanic Container Lines (OCLI) which has the most number of container ships now. Notable too is Philippine Span Asia Container Corporation (PSACC), the new name of the controversial Sulpicio Lines. Lorenzo Shipping and Solid Shipping have also added a few. There are new players which are Moreta Shipping Lines which was formerly in overnight ferries, Meridian Shipping and Seaborne Shipping and these new players are also expanding their route networks. To this might be added Trans-Asia Shipping Lines Incorporated (TASLI) which now has a container ship to Manila.

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A deck loading ship

Another notable addition is Fiesta Cargo and Logistics (this is not the exact name of the company) which operates true deck loading ships. These ships have flat decks like those in LCTs and booms for cargo handling. Aside from this and container ships, the Asian Marine Transport Corporation (AMTC) also added a few RORO Cargo ships, their forte and choice of transport.

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A RORO Cargo ship

For NMC Container Lines and 2GO there was no noticeable addition although the latter have chartered container ships from Caprotec and they also charter ships from Ocean Transport (or is it Key West?). Hard to say because of the rumored split between the two. Escano/Loadstar meanwhile seems to be exhibiting a decline in their fleet.

In general-cargo ships a few companies showed newly-acquired ones and probably topping the list is Avega Brothers which from chartering ships from Asian Shipping Corporation went on a spree of acquiring trampers that though Manila in origin they regularly anchor ships now in north Mactan Channel. Medallion Transport and Roble Shipping also both acquired a significant number of freighters. Aside from the three mentioned many other shipping companies also added freighters to their fleet.

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Asian Shipping Corporation LCTs in their Mandaue port

Asian Shipping Corporation which specializes in chartering ships and operating barges aside from LCTs needs special mention because of the rate they are adding ships annually. As of last year their fleet total is nearly 200 ships already including the lowly tugs but MARINA (Maritime Industry Authority) has noted that they already have the biggest fleet in the country in terms of Gross Tonnage (GT), the traditional method of comparing ship and fleet size and that they have already displaced 2GO from its old Number 1 perch. 2GO temporarily regained the top ranking with their acquisition of the liner St. Therese of Child Jesus but I wonder if they did not slide to Number 2 again with the sale of the liner St. Joan of Arc. For an operator of supposedly “lowly” ships the achievement of Asian Shipping Corporation certainly has to be lauded.

But all of these leads me to the question, “Is there enough cargo to move around?” I know many of the trampers are just carriers of cement and other construction/hardware/electrical materials that they are practically “cement carriers”. Some are “copra carriers”. And these trampers are also carrier of bagged flour of various kinds and also other bagged products like fertilizers and feeds. But our freighters seldom carry rice and corn now unlike in the past. Ditto for cassava – the volume now is small.

Is there really a significant rise in the volume of these products? Maybe in cement and related materials because of the construction boom. But I wonder about the others. Are there other products being carried now? What I know is a lot of grocery items is now carried by the intermodal trucks.

Coal might be big now because of the rise in number of our coal plants. But freighters do not carry that. Other types of fuel are carried by the tankers.

There are incentives now from the government on the acquisition of new ships and it even opened a loan window with the government-owned Development Bank of the Philippines (DBP). Are shipping companies taking advantage of that just to hoard ships?

What I know is shipping rates in the country are high if compared to other countries. That can cover low cargo volume. The most visible show of that are our container ships. Seldom will one see them full or even near that. Well, operating ships is expensive especially since MARINA exactions adds to the cost.

Whatever, newer ships are always good. I just want to see where this would lead. Lower rates? Probably not. Better service? That is hard to measure on cargo ships. More availability of ships? Maybe one can count on that.

Anyway, this article is just meant as an update on one aspect of our cargo shipping.

My Recent Trip to Masbate, Batangas, Mindoro and Bicol (Part 1)

I promised myself before that if I am in Cebu and if the Super Shuttle RORO 3 (SSR3) of Asian Marine Transport Corp. (AMTC) is running then I will take her to Batangas and that ship calls on Masbate on the way to there. I already inquired about her in AMTC Ouano last Sinulog but she was not running continuously yet then. She is my choice as she is the only direct trip to Batangas and she is the cheapest way to there. I also intended to take her on my way back to Cebu after I go on a short visit to Mindoro.

We thought she was just running recently but I found out she was already in the route since March but her schedule is irregular as it is already the cargo that determines when she leaves port making her more of a cargo-passenger ship or a RORO Cargo ship.

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When I verified she was sailing, I tried to get a ticket in their Gorordo office in Cebu but they were no longer issuing tickets there and so I just got one when I went to AMTC Ouano where she is docked. We left on a Monday midnight but actually I nearly left the ship even though I already had a ticket because upon boarding I found out many of her comforts were already gone when to think she wasn’t really a very comfortable ship to start with.

Gone already was the restaurant and the aircon sitting accommodation called “Theater”. Both were already closed. Of course the Tourist was never opened for since the very start SSR3 didn’t have enough passengers. Although I paid for the cheaper Seating accommodation in “Theater” they bumped me into the more uncomfortable Economy.

The Economy was the same and the mattresses are folded and the reason is to cut down on the dust settling in. But then it was still dusty as nobody takes care to clean them anymore and AMTC Ouano is dusty since the concrete has already turned into muck and the dust floating even diffracts my shots. The toilet and bath is also deteriorated too and less than clean (and its flies even go to the Economy section). The Economy is also hot even then but I found out the noise and vibration from the propeller shaft has lessened. There was no linen available. The Economy is basically for truck crews now and the passenger total was less than five.

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The only place to while away time in SSR3 where there is air. On the kiosk on the right some food is available. Getting hungry is a possibility in the ship. The seats are dusty.

For meals there is rice and the service crew of the kiosk in the bridge level will cook canned food in a single-burner stove when ordered and eggs are available plus drinks, biscuits and noodles. Even that kiosk is also deteriorated too and the seats are dusty. In the ship there were more apprentices than passengers and truck/vehicle crews (there was one pick-up in the load). But what they had were apprentices that do not know how to clean a ship.

My condition demands more comfort than the average person and I feared I won’t be able to sleep. I suffered in the trip but I tried the best I can to survive. But I cannot remember the last time I rode a more uncomfortable ship that has a reclining accommodation. Even the unimproved Lapu-lapu Ferry of more than ten years ago to Cataingan, Masbate with folding cots was more comfortable because it was airy and there was passenger service unlike in SSR3. In SSR3 I never saw a crewman in uniform and most of the persons doing some jobs were just apprentices. Now I wonder what they will learn after their apprenticeship expires when they don’t even tend to the ship and the passengers.

When I woke up in the morning we were still in the middle of Visayan Sea and it was the Samar Sea islands that were dominating the seascape. I knew there is just a small chance of a ship encounter as this place has few ships sailing at daytime. It is a long time before the islands seemed to move and the very few passengers and crewmen at the lounge by the kiosk don’t know them better than me. Until we passed by Cataingan Bay the Masbate land when we were astride it already seemed featureless. I just tried to view the islands in the east especially when we were approaching Naranjo islands. Yeah, with so many islands in the place and lots of fishes I was imagining the place as the birthplace of the Tausugs and the Badjaos which linguistic research says it is and they even have a descendant in the place, the Abaknons.

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Islands in Samar Sea

Until the ship reaches the Uson area with its offshore islands Masbate island is not exciting to watch passing by. Maybe the lack of a true mountain range is the reason and though there is a coastal road few developments are visible. It is the islands on the starboard of the ship that seems to provide variety. And I was peering into it as if I am trying to peer into history and the peoples of the area. I feel that what is called Masbateno now could be the mother language of many languages. If our people came from Formosa and Bicol is their landing place on the way south and Bicol with its many dialects is a Visayan language then Masbate and the islands in Samar Sea might have been the key to the diaspora south.

The Uson area of Masbate also has a fascination to me as that was the only place in Masbate island that the Spaniards was able to control and the rest was controlled by the Moros. In Uson the Spaniards was able to established a galleon-building yard and the area south of the Bicol mountain ranges hosted the bulk of the galleon-building yards of the past as it had the best shipwrights then. I cannot help but think of that when I pass the place. By the way after Uson the ship will sail astride Ticao island too which was very important then to the galleon trade.

As forecast soon we were enveloped in heavy rain and visibility was hampered. The positive thing is everything cooled. It was a reminder that it was already habagat (southwest monsoon) season. We were now leaving the area where there is a gap in the far land mass. To the knowledgeable they know it is the San Bernardino Strait, the way of the galleons in the past into the Pacific Ocean (which is anything but pacific). It was also the way of our seafaring ancestors to Formosa and China, the Pintados with their boats that are even longer than the galleons. Their shipbuilding stopped when the Spaniards issued an edict outlawing them because they needed their skills for the galleons.

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Masbate port. We will try to dock sideways between the two ferries.

We arrived in Masbate after more than 14 hours of sailing and we had a long time docking because the Captain tried a 45-degree docking. Maybe the linear space was not enough for sideways docking. But then the Sta. Clara ferry Jack Daniel suddenly left ahead of time and maybe her Captain was apprehensive of our docking maneuver and she was not waiting for any more vehicles anyway. But with that the last chance I can take pictures of buses in Masbate port was gone. Regarding ferries there were still two Montenegro Shipping Lines Inc. (MSLI) High Speed Crafts plus a small RORO of them that will spend the night in port.

I then just made my way to Masbate bus terminal where I found four buses and a few motor bancas in the nearby boat landing area for most have already left as it was already 4 o’clock in the afternoon and the activities in the two Masbate ports was already dying. I was clearly dissatisfied with my Masbate ship and bus spotting. My only consolation was eating the Reuben burger of Bigg’s Masbate but it cost over P200 already. I try to eat in Bigg’s whenever I am in Bicol because they can’t be found outside the region except for two of their outlets.

We left Masbate after more than three hours when night had already fallen after taking in livestock trucks and that meant cattle, carabao and goat (thanks there were no hogs). Masbate is known for livestock and the cattle was obviously for fattening. It was headed for Batangas and I assume when it reaches the market it will already be “Batangas beef”. The car deck of SSR3 when we left Masbate and actually they did not fully load it in Mandaue so the cargo in Masbate can still be loaded.

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For conversion to “Batangas cattle”

After dinnertime (there was actually no dinner), I was able to find a truck crewman that knows the area and like me has been around the country as he drifted from one job into another beginning with fishing. In terms of knowledge of the sea the contract fishermen in the big fishing fleets have almost the same knowledge as the seaman. Amazingly, he also knows buses. He has already lived in many places. We talked even past the Aroroy headland and lighthouse.

I was able to find a more comfortable position on an upper deck which I normally won’t take because of my condition but the only breeze was there. The alternative is to sleep on a bench in the bridge deck by the canteen. Even there it was dusty but at least it was airy. A practical passenger actually slept there and I also spent time there after a hypoglycemic attack when I needed to cool down.

In terms of uncleanliness I do not know if SSR3 has descended to the level of Viva Shipping Lines. Sorry to say it and no offense meant but SSR3 is only good for truck crews whixh is a hardy bunch and not passengers and may this serve as a warning. Cleaning is not part of the routine of the crew and the apprentices. If there is no regular schedule then MARINA could just withhold the passenger license like with what they did with Gothong Lines. It won’t matter on the part of AMTC anyway because for all practical purposes SSR3 is just a RORO Cargo ship now and she gets full anyway according to what I heard.

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Marinduque behind

When I woke up in the morning we were just between Marinduque island and the Batangas headland which corresponds to the town of San Juan. I laughed because that route will make one feel what the view is if the Starhorse ferry was still sailing the San Juan to Marinduque route. Astride San Juan the plains of Naujan of Mindoro, the former developed area of Mindoro before Calapan was very visible along with the two tall mountains of Mindoro. Up ahead were the islands in the Verde Island Passage. But I was wondering why our ship was following the coastal route. Were we reclassified into a “coaster”?

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Mindoro up ahead

I was able to engage in some productive exchanges with people connected with AMTC before entering Batangas Bay. From Matuco Point I was already busy taking photos of ships. The only positive thing about SSR3 was I was able to charge all my batteries. As usual there were a lot of ships in Batangas port and in the bay. Maybe my most notable finding was the reappearance of the former Siquijor Island II which is now The Pegasus. Our trip from Masbate lasted over 16 hours and it was near lunch when we arrived.

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Batangas port

Disembarking from the ship the ATI (Asian Terminals Inc.) shuttle picked us up. Nobody walks around in Batangas port because ISPS tells them any passenger is a possible saboteur and ATI is the new operator. I really cannot understand this practice of government of handing over fully-developed ports with a lot of traffic to private operators for just a small rental when a port like Batangas costs in the billions. A chance to engage in “golden signatures”, perhaps?

I did not have much time in Batangas port because upon surveying the ticketing booths I noticed the Starlite Pioneer was leaving at 1pm and I wanted to take that to assess the design of the new ship series of Starlite Ferries. I did not even have enough time to take enough bus pictures or have a proper lunch. But one thing I noticed in Starlite Ferries is a lot of passengers have food in see-through plastic meal boxes. I found out later that was already the new way of selling meals in Batangas and Calapan. Neat and practical and the price just matches that of fast food chains and there is less garbage and mess in the ship.

I found out the new Starlite Ferries has no meaningful difference over the older ferries except the side passageways are wider and there was an elevator for disabled persons. A wing passenger ramp like in Cebu is a better improvement for Batangas ferries because what they do is hold the passengers so that the vehicles can load or unload first. A wing ramp will enable simultaneous passenger and cargo loading and unloading which the Batangas ferries can’t do unlike in Central Visayas.

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By the way the passenger bridges of Batangas port are no longer used as shuttles just whisk away the passengers to their ship. So the design was wrong? Well, one does not need to go to the second floor of the passenger terminal building anymore and then go down to wharf level near the ship. Bus passengers meanwhile has to go down to pay the passenger terminal fee and board again their bus up to the ferry. Well it seems “cattle-herding” won’t go anytime soon in the ISPS ports. Why can’t the port assign collectors to go up the buses? It seems passenger comfort is an unknown objective to them. If passengers can move their asses so should they can for they are paid after. Maybe they can recruit former bus conductors to do that job for them.

Starlite Ferries built an open-air Economy section on top of the Japan-built passenger section to increase passenger capacity much like what shipping companies do with the surplus ships from Japan. It should have been my accommodation but the good thing is they upgraded us to the aircon section. That was a nice facility to cool down when ship spotting. My senior citizen fare was only P171 and I wondered how they computed that since it was lower than what I expected. Their fare are like the Economy of Oceanjet and FastCat which is about equivalent to the Economy of MSLI and I heard MSLI is suffering as a result. It is really good if there is true competition as fares go down.

It is nice taking a ferry to Calapan as there are many ships anchored in Batangas Bay and there are also encounters with ships from Calapan and ships traversing the Verde Island Passage. Sabang of Puerto Galera also becomes visible along with Maricaban island and Verde island. Traversing the strait one might think it was not habagat yet as the sea shows no sign of it. Approaching Calapan one has view of the town (it is a city), the settlements to the port and the port itself which looks very long now with many buildings already.

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A part of Calapan port

We arrived in Calapan port at past 3pm. Starlite Pioneer was not able to deliver on their 1 hour 45 minute promised crossing time and we took two hours in the 24-nautical mile route. I thought the cruising speed of the ship was 14.5 knots? That is what they advertised. But anyway the crew was nice and I was able to charge batteries a little. And riding a new ship is always nice.

Upon arrival in Calapan, I realized I had no time anymore to go to Puerto Galera because if I do so I will arrive there when the sun is already setting down and I still wanted to roam Calapan port and take photos of ships and buses there if there are any around (there was none as it was still to early for the buses from Panay and Occidental Mindoro). I was also interested in the Mindoro jeeps which are actually trucks in disguise as they can’t be found anywhere else.

After finding an eatery where I was able to charge battery I went to Calapan market to visit old haunts (I did business in Mindoro before) and see what changed, what remained. When I visited Calapan three years ago with two PSSS Moderators as hosts I was not able to figure out well the market as we were more on the outskirts and the new developments in Calapan. Roaming the market, I just did it on foot to better absorb things. I already tried to find our old place. I can no longer find it. The place of a lady Chinese friend was shuttered already. And the legendary Ampo was no longer there too.

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Calapan public market and terminal

Before leaving the city I took my first food that can be called a meal. That was also my rest. Then a heavy rain fell and that precluded any more roaming or getting around. Getting a tricycle also got difficult. It was already a little dark when I arrived back in the port and roaming and taking shots were compromised. I got back to the eatery to retrieve my battery. I was able to interview the owner a little about the old ferries of Calapan when all were still wooden-hulled and moving cargo were all mano-mano (by hands).

In Calapan port I made calls and verification through others of my possible rides. I have the phone of AMTC Batangas but they were not answering calls. They had a notice in their ticketing office that boarding of SSR3 is 6pm the next day. If that is the case then I can while away the time in Batangas port, the city and the terminal (or go to Puerto Galera). But I was warned aboard the ship that it usually takes 3 days before SSR3 heads back to Cebu. Even the crewman aboard SSR3 was not taking my calls.

My alternative if it really that long was to take the 7am St. Francis Xavier of 2GO the next day in the North Harbor of Manila. It will cost me more but I can cover North Harbor again. But I anticipated a problem with the 2GO ship. All charging are charged there at P5 for 10 minutes. It will cost me a fortune to charge all my batteries which take a total of over 12 hours. And that is what I cannot understand about 2GO when the likes of Trans-Asia can offer free charging by the bunk and that is also what I found out about the refurbished Filipinas Maasin of Cokaliong which was my ship back to Cebu. It’s hard when there are stockholders to please like in 2GO. They always expect dividends from profits.

I tried to avoid an early Calapan departure because I know there are less passenger comforts in Batangas port than in Calapan port. The first one is an ISPS port in the fullest sense and the passengers have a very small “corral” to roam around with few “grazing” areas like stores. That is not a problem in Calapan. If needed I can take a tricycle and head back to the city if I want a better eat or surroundings. If I go early there is no sense arriving in Manila at 2am. Manila is more dangerous and going to North Harbor early is also no good as the terminal is not open much ahead of the departure time (why waste power?).

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Issuance of free ferry tickets for bus passengers in Calapan port

So I decided on an 11pm FastCat where I can have a nice rest. I declined the Starlite ferry at the same time because it is the older Starlite Jupiter. I am not sure if it has individual seats in an air-conditioned compartment and visually I dislike seeing people sleeping on seats (Batangas ferries are known for scrimping on bunks unlike in Cebu). If it was a new Starlite ferry that is different from the Starlite Pioneer I would have taken it because I need charging.

While waiting in Calapan port I was able to befriend two guards and I had a lively conversation with them that I was able to get more sense of Calapan-Batangas shipping now. We also had some talks of the past of Mindoro. Nothing beats a good talk when one is just waiting anyway. While i was talking to them the buses from Panay island and Occidental Mindoro kept arriving and after a short wait they board their ferries. Dimple Star is already the dominant bus in the routes that cross from Batangas going south.

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The FastCat and the Starlite Jupiter arrived one after the other in Batangas after leaving one after the other in Calapan. Are the new ferries limiting their speeds already to save on fuel? We took nearly two hours to Calapan. My FastCat was the M5 and I have not ridden it before like the Starlite Jupiter. Their fares are about the same but I got the feeling the FastCat is more comfortable as it is a new ferry.

When I arrived in Batangas port at 1 am there was only one bus available, an N. De la Rosa Transit which is a Cubao/Kamias bus and passes through the Cubao underpass. I didn’t like it. I don’t want to go down in Makati and so I waited. But there was no other bus because a 2GO ship arrived ahead of us and vacuumed the waiting buses. At that hour going to the Batangas Grand Terminal will cost money by tricycle. Yes, one can get marooned in Batangas port after midnight.

Until 3am arrived. The N. De la Rosa bus has not yet left. Seems it was waiting for the 1am ferries from Calapan. 3am is the critical hour for me. If my bus is not leaving by that time then there is no more point going after a 7am ferry in North Harbor as I might just miss it. Good i hedged my bet and didn’t get a 2GO ticket yet although their ticketing office was open.

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A view of Batangas port while waiting for a bus

And from there my plans changed in an instant. Good I was from Luzon and I know the other alternatives. I can’t wait for the other 2GO ferries in North Harbor as the next two departures are at night and the arrival in Cebu will also be at night and what is the use of that for ship spotting? It is also not a good alternative to wait for the SSR3 for 3 days. I was also not prepared for any long-ranging diversion in terms of days as I was not prepared for that in many ways.

I have to go some other way back….

(To be continued…)

Chelsea Shipping Is The New Goliath of Philippine Shipping

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The Chelsea Dominance. The declaration of intent?

When the “new shipping world” was being built there was Phoenix Petroleum first which was not into shipping anyway. Many thought Phoenix Petroleum would end up like the “independent” oil players then which had a few gasoline stations here and there but were never a threat to the major oil players which have foreign genes. But with the smiling face of the world-famous Manny Pacquiao as mascot, Phoenix Petroleum grew until it challenged the Big 3 which were Petron, Shell and Chevron (which was the former Caltex and Mobil). That was blasphemy for the oldtimers which saw Filoil never got anywhere before.

Phoenix Petroleum got far because they changed the rule of the game. Where before local oil companies had to invest in local refineries to be granted permission to operate, Phoenix Petroleum simply had to import fuel from Singapore and it so happened in Southeast Asia oil prices are only high in the Philippines because a lot of taxes are tacked on to the price of fuel as oil is the milking cow for taxes of the government which rules a vast horde of people exempted from paying taxes because they are too poor.

Along the way to being the fourth Oil Major, Phoenix Petroleum established Chelsea Shipping to handle their fuel transport needs and the company operated a fleet of tankers. But Chelsea Shipping never operated the biggest tanker fleet in the country and their fleet never exceeded ten tankers.

But this year, 2017, Chelsea Shipping made a lot of sea-shaking moves in shipping. Early this year rumor leaked out already that they have already acquired majority control of Trans-Asia Shipping Lines Inc. (TASLI), a Cebu-based regional shipping company with Visayas-Mindanao routes. A bare few months later a boardroom fight erupted in 2GO, the only national liner shipping company left when Dennis Uy, the principal of both Phoenix Petroleum and Chelsea Shipping tried to claim what they felt was their rightful representation after buying shares and the old management group represented by Sulficio Tagud, the old top honcho resisted. But in the end Tagud and company waved the white flag after 2GO gained market value because of the fight and Dennis Uy took control of 2GO.

Weeks passed and the local shipping world was rocked again by a new development when it was announced that Chelsea Shipping is acquiring Starlite Ferries Inc., a Batangas-based regional shipping company lock, stock and barrel. Starlite Ferries has routes to and from Mindoro and its fleet is being reinforced by newbuilds from Japan acquired from a loan from a government-owned bank. It seems the coffers of Phoenix Petroleum and Chelsea Shipping are overflowing to the brim. Is there another acquisition in the making?

Chelsea Shipping now has foothold to the top three passenger shipping hubs in the country which are Cebu, Manila and Batangas. In tankers they are also strong in another hub which is Davao which has the cheapest fuel in the whole country courtesy of Phoenix Petroleum and which piqued Ramon Ang enough that he chopped the fuel prices of Petron. And so Davao fares remained among the highest in the country. Does it make sense? Nope. Maybe it is the moves of Chelsea and Dennis Uy which only makes sense.

I do not know if a second “Great Merger” will happen in Philippine shipping after the first “Great Merger” of 1996 which created William, Gothong and Aboitiz or WG&A, the predecessor company of 2GO. That first one ended in disaster and it only resulted in the death of two great historical shipping companies.

Will history repeat itself? I have my doubts. This time around there is only one top honcho which is Dennis Uy unlike before there was a big merged company with three heads pursuing some kind of a mirage. Actually it could be great for Philippine shipping as Dennis Uy and his patron are both loaded and might have the money to make moves in shipping without going to the banks. Who knows if the moribund shipping industry is revived with their coming?

Now if only Manny V. Pangilinan (MVP) bought out Negros Navigation Company (NENACO) outright some 15 years ago instead of being just a “white knight”. NENACO is one of the merged companies in 2GO. We really need investors with deep pockets in shipping. That is what might turn things around and not due to some government blah-blah.

Is there a renaissance of Philippine shipping in the horizon?

Camotes Sea and Bohol Strait Are Graveyards of Failed Shipping Companies (Part 1)

The Camotes Sea and Bohol Strait are two of the busiest shipping lanes in the country. These are the seas connecting Leyte and Bohol to the trade and commercial center of the central part of the country which is Cebu. Ships from Cebu going to Samar, Masbate, Mindanao and even Luzon have to pass through these seas also along with the foreign ships calling in Cebu. Over-all, the related Camotes Sea and Bohol Strait as sea connections are only rivaled by Manila Bay and the Verde Island Passage in the density of ships sailing and the three are the busiest shipping corridors in the country. There are many shipping companies operating here, both ferry and cargo. However, in terms of absolute numbers, this is also the area with the most number of failed shipping companies in the last 15 or 20 years when a Ph.D. from Philippine Institute of Development Studies (PIDS) said there is no competition or there is no effective competition or there is just mild competition in most routes here. Of course, she was definitely wrong if we sift through the evidence and among the most persuasive of evidences will be the number of shipping companies that failed. Why would they fail if there is no or only mild or no significant competition? Did they commit suicide? Of course not!

The greatest failure in this area is, of course, the big Cebu Ferries Corporation (CFC), the subsidiary of the giant merged shipping company WG&A Philippines which was probably the biggest regional shipping company ever. Their old ships were gone and dead before their time is up because those were sent to the hangmen of ships, the shipbreakers. Their newer ferries, the MV Cebu Ferry 1, the MV Cebu Ferry 2 and the MV Cebu Ferry 3 (the Cebu Ferry series) were transferred to the successor company 2GO Travel and those ferries were sent to Batangas and they are jokingly called the “Batangas Ferries” because they were no longer in Cebu.

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Cebu Ferry 1 leaving Cebu for Batangas

Once upon a time, this company ruled the roost here when they had so many ferries, many of which were hand-me-down liners or equal to liners in caliber. These hand-me-downs were actually much better and bigger than the overnight ferries of their competition. Their only drawback were their big and generally thirsty engines which was needed for speed requirement of the liner routes. Before the Cebu Ferries series came, some ten ships that passed to the Cebu Ferries Corporation fleet were sent to the breakers and most of them were still sailing good when they were sent to the cutters.

For more on this shipping company, I have a separate article:

https://psssonline.wordpress.com/2016/05/15/the-grand-start-of-cebu-ferries-corporation-cfc/

Probably the next biggest casualty in this area is the Palacio Lines (a.k.a. FJP Lines) which had its origins in Western Samar. In their heyday they had routes from Cebu to Bantayan island, Masbate, Northern Samar, Western Samar, Leyte, Bohol, Siquijor, Negros Oriental and Misamis Occidental. They lost some routes because of paradigm changes like in Bantayan island when they were torpedoed by the short-distance ferry-ROROs from Hagnaya (which is a much shorter route than their route from Cebu City). Palacio Lines was slow in betting on ROROs and they did not immediately see that the paradigm will shift to the intermodal system (as they still acquired cruisers even in the early 1990s).

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Don Martin Sr. 8 not sailing before she was sold to breakers

Later, there were complaints about their ships which progressively got older and less reliable and soon competition was outstripping them. And finally the pressure from these (like Cokaliong Shipping Lines and Lite Ferries) ultimately did them in. They stopped sailing and soon they sold their remaining ferries one by one. This included their MV Bantayan (sold to Orlines Sea-Land Transport), MV Calbayog (sold to Starlite Ferries) and MV Don Martin Sr. 6 (supposedly sold to a Lucena concern). Meanwhile, their biggest ship, the MV Don Martin Sr. 8 was sent to the breakers. And the cruiser ships of the company were even laid up earlier. Their cargo ship, the MV Don Martin which was the first vessel of the company was also sold and this ended up with Quincela Shipping in Manila.

Former fleet: Calbayog, Bantayan, Don Martin Sr. Don Martin Sr. 3, Don Martin Sr. 6, Don Martin Sr. 7, Don Martin Sr. 8, Don Martin

The Rose Shipping Company which is also known as Vicente Atilano (after the owner) is probably the next most prominent loser in the shipping wars in this place. Originally they were a Zamboanga del Sur shipping company from the old town of Margosatubig. Leaving that area, they tried their luck here and they fully engaged in the wars in the Leyte routes especially against Aboitiz Shipping Corporation. One of their weakness, however, is their total reliance on cruiser ferries. Being obsolete, this type of ship progressively cannot compete with the ROROs in revenues (but not in comfort and service). Rolling cargo revenue is actually bigger and more significant than passenger revenues. They then stopped sailing and most of their ships had no takers even if for sale because almost nobody looks around for cruisers anymore. Their only notable ship sales were the MV April Rose which went to Atienza Shipping Lines in Manila and the MV Yellow Rose which went to Medallion Transport. Their MV Cherry Rose and MV Pink Rose were broken up while their MV White Rose and MV Tiffany Rose are missing and are presumed to be broken up. Their MV Pink Rose and MV Red Rose can’t also be found now and in all likelihood have been scrapped too by now.

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The Pink Rose in her last days

Maypalad Shipping which was earlier known as K&T Shipping is one of the older shipping companies in the area. They have disparate routes from as far as Lanao del Norte, Leyte, Southern Leyte and Samar. They seemed to have never really recovered from the sinking of their MV Kalibo Star which was their newest ship then and progressively their ships got older. They were also victims of routes that bit by bit weakened because of competition from other routes (like the Liloan route losing to the Bato and Hilongos routes and the Tacloban route losing to the Ormoc and Baybay routes). In due time, they had no good routes left and their ships were also unable to compete in the bigger routes.

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Part of the Maypalad Shipping fleet after it ceased operations

Among these bigger failures, it is Maypalad Shipping which has a fleet of cargo ships but upon being defunct all of these got anchored too in Mactan Channel. Their MV Cebu Star and MV Guiuan were broken up now while their MV Cabalian Star, MV Leyte Star and MV Tacloban Star could all also be gone now. Their MV Samar Star is the only sure extant ship now along with one freighter which may be too far gone now. Three other cargo ships of their wer also broken or sold to breakers and their LCT is also missing.

Roly Shipping and Godspeed Shipping and Ernesto Alvarado are actually legal-fiction entities of the other. They had routes before to Leyte and Bohol. But being a cruiser ferry company, they slow lost to the ROROs since this type of ship earns more revenues because the rolling cargo revenue is such that they can actually afford not to carry passengers as shown by the Cargo RORO LCTs. Some of their earlier ships were gone a long time ago (the MV Flo Succour, the MV Reyjumar-A, the MV Isabel 2 and the MV Tubigon Ferry). The tried to fight back with fast cruisers, the MV Roly 2, the MV Mega Asiana and the MV Tagbilaran Ferry but ultimately they lost too and quit a few years ago when the banks seized their ships and were laid up. The pressure of tightening competition was simply too great and the revenues were not enough to sustain operations. There were also allegations of internal rot.

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Mega Asiana and Tagbilaran Ferry cannibalized

Jadestar Shipping is another cruiser ferry company which just had a single route, the Cebu-Tubigon route. Then the ROROs of Lite Shipping came to Tubigon, four schedules in all daily. With a full load of rolling cargo these ships will not need any passengers to earn. And then a new paradigm came, the cheap but not-so-speedy but fastcrafts of the legal-fiction entities Sea Highway Carrier and SITI Inter-island and Cargo Services which were more popularly known as Star Crafts. Squeezed by two better competitors, Jadestar Shipping found they could not sustain operations and quit a few years ago (in connection with this, Island Shipping which also operated cruiser ships in the Cebu-Tubigon route also quit showing cruisers cannot beat ROROs).

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Jadestar Seis now in Ibnerizam Shipping fleet in Zamboanga

Some of the ships Jadestar Shipping were sold to other shipping companies like the MV Jadestar Tres which went to Wellington Lim and became a cargo ship and the MV Jadestar Seis which went to the Ibnerizam Shipping of Zamboanga). Two of their ships was broken up earlier and this were the MV Jadestar Nueve and MV Jadestar Doce. Head-on, the cruisers can only compete now in Zamboanga (but then that is another situation).

Former fleet: Jadestar, Jadestar Dos (cargo), Jadestar Tres, Jadestar Seis, Jadestar Nueve, Jadestar Doce.

Kinswell Shipping made a big splash when they started in 2002 because what they introduced were China-built vessels that were not of the usual design or hull material. Some of these are actually very small and not bigger than boats and were a little queer. But their Medium Speed Crafts (MSCs) could have been winners had they been handled well. One sold one, the MV Gloria G-1 is sailing well for Gabisan Shipping and the comparable Star Crafts were also successful.

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The derelict Kinswell boats

They tried many routes and the name of the ships reflected where they were sailing. The smallest ones were the first to quit sailing as it found no great patronage because they simply bobbed too much in unsettled seas. Now they are jut anchored near the Tayud shipyards. Being fiberglass they will not sink or rust and so up to this day those remain as floating markers outside Cansaga Bay. All their three bigger ships, the MSCs were sold, the MV Kinswell, MV Kinswell II and lastly, the MV Kinswell Cebu. They have no more sailing ships left.

Former fleet: Kinswell, Kinswell II, Kinswell Cebu (2), Kins Bantayan, Kins Ormoc, Kins Danao, Cadiznon 3, Kins Camotes.

San Juan Shipping of Leyte is another hard-luck company. They were doing relatively well with their first two ferries, the MV Sr. San Jose, a beautiful cruiser and the MV John Carrier-1, a small ferry even though competition to the Leyte route was already stiffening. Now, I wonder how they were sweet-talked into purchasing the MV Dona Cristina of the Cebu Ferries Corporation. This overnight ferry was a former regional ship of the Carlos A. Gothong Lines, Inc. (CAGLI) whose old ships invariably has a history of engine troubles (except for MV Our Lady of Mt. Carmel). However, it was already WG&A, the merged shipping company which sold the ship to them. Maybe they thought that since the name WG&A was glistening then, then the ship must be good.

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The remains of San Juan Ferry (Photo by Kontiki Diving Club-Cebu)

This ship which became the MV San Juan Ferry in their fleet and became the flagship and biggest ship. San Juan Shipping spent money to refurbish this ship. However, the ship brought misery to them when a explosion hit the ship and caught fire while on trials off Liloan, Cebu. The ship then sank. San Juan Shipping never recovered from that debacle especially since competition then to Leyte was very fierce. They then sold out to Lite Ferries lock, stock and barrel and it was there that Lite Ferries gained a foothold to Leyte.

M.Y. Lines is unique in a sense that when wooden motor boats were already on their way out they sort of made a revival out of it. They had two big, wooden motor boats in a fleet of three but one, the beautiful MV M.Y. Katrina was wrecked in a typhoon and scrapped. They bounced from one route to another and was never able to fully settle especially since they were using non-ROROs when ROROs had already come into full force and was proving its superiority. They tried to find niche routes in northwestern Leyte but was never able to really discover one. One thing that torpedoed them there was the opening of the Bogo-Palompon route and the rolling of Ceres buses from Cebu to that corner of Leyte. Later, their ferries were seized by the banks and laid up.

Former fleet: M.Y. Katrina, Michael-3, Sunriser

(To be continued)

The Other Passenger Ships Built in 1967 That Came to the Philippines

There were other ships built in 1967 that also came to the Philippines. Their number is about the same as those still existing until now. If they are gone now it is not because they sank or was lost (except for a few). Most of the reasons why they are gone circles around the situation that they were no longer wanted and there were no other takers. Sometimes that is just the simple reason why ships including ferries are retired, disposed off and broken up.

All of these ferries were built abroad and there were no local-builds (it looks like shipping companies hold on longer to the ships that they built). Some of these were gone even before the turn of the millennium but then they still they lasted more than 30 years of service. So, here then are the passenger ships built in 1967 that came to our country but are no longer around.

Maybe we should start with the grandest of them all, the cruise ship Dona Montserrat of Negros Navigation Company which came in late 1974 but unfortunately she did not last long. She was a fine ship, no doubt, but it seems she was way ahead of her time as most Filipinos don’t have enough money yet for cruises and if they have they would rather go on trips abroad ait is more sosyal. But then Dona Montserrat had voyages even to Hongkong too. Negros Navigation Company bought this cruise ship for $3.4M, a big sum in those days.

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Dona Montserrat by Dimas Almada

The Dona Montserrat was originally the Cabo Izarra and built by SECN (Navantia Carenas) in Matagorda, Spain for Ybarra Line. She was a cruiser ship with three passenger decks and with all the amenities of a cruise ship of her size during her period. These included 110 staterooms for 273 passengers, dining salon with international and Filipino cuisine, main lounge, penthouse, library, game room, swimming pool and bars. The ship was fully air-conditioned, fully carpeted and she had a well-equipped galley. Music (as in a band) and entertainment nightly was available in Dona Montserrat. The primary route of this cruise ship was Manila-Corregidor-Iloilo-Zamboanga-Davao aside from cruises to special destinations like Sicogon island and Hongkong.

This cruise ship measured 104.9 meters Length by 15.8 meters Breadth by 10.3 meters Depth, a Depth which means she is a stable ship. Her Gross Register Tonnage was 4,339 tons and her Net Register Tonnage was 1,675 tons. She was powered by two B&W engines developing 7,800 horsepower giving her a top sustained speed of 19.5 knots. So during her time she was the passenger ship with the highest power sailing in the country and in terms of size she was about equal to the bigger fast cruiser liners that arrived in the country in the latter half of the 1970’s.

In less than 5 years, however, Dona Montserrat quit sailing and she was sold to China where she was used a cruise ship.

The next ship in this list was also a cruise ship but she came later, in 1999, but was more successful and was also built in Spain. She was the Coco Explorer No.1 of Coco Explorer Inc. She was more successful maybe because she was able to attract foreign tourists who wanted to explore our hidden coves and islands, do diving tours and being smaller and of shallower draft she was more fit in this role.

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Coco Explorer No.1 by Dimas Almada

The Coco Explorer No.1 was the former Sta. Maria de la Caridad and she was built by Union Levante in Valencia, Spain. This cruise ship measures only 66.9 meters by 11.0 meters by 5.1 meters and her Gross Tonnage is only 1,199 and her Net Tonnage is only 562. In size she is just like many of the Cebu to Leyte overnight ferries but she is not as tall. This ship was powered by MWM engines of 2,000 horsepower total and her design speed was 15 knots. The Coco Explorer No.1 was a cruiser ship.

In 2005, the Coco Explorer No.1 was sold to China for breaking up. Maybe age caught up with her and there was already competition by smaller tour-dive ships in the waters she used to go which was mainly in the direction of Palawan. Moreover, the places which were her haunts were already accessible by other means and there were already facilities like resorts and hotels.

The next ship on this list was a beautiful ship and once was a flagship of Negros Navigation Company which was the Don Julio. This ferry was built brand-new for Nenaco by Maizuru Heavy Industries in Maizuru Japan. She measured 95.7 meters by 13.9 meters by 7.5 meters with a Gross Tonnage of 2,381 and a Net Tonnage of 1,111. Her later passenger capacity was 994 with accommodations from Suite to Economy classes. The Don Julio was a cruiser ship where cargo was handled by a boom in the bow which meant slow cargo handling. Cruiser ships also have less cargo capacity compared to RORO ferries. And maybe these were the reasons why she fell into disfavor later in the company.

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Don Julio by John Ward

The ship has a single Hitachi engine of 4,400 horsepower and her sustained top speed was 17.5 knots qualifying her as a fast cruiser liner of her era. Her main routes were to Iloilo and Bacolod but when she got old and bigger ships came along she was shunted to minor routes like Roxas City. Later, when she can no longer be accommodated in the fleet of Negros Navigation she was transferred to Jensen Shipping and among the routes of the company was Cebu to Iloilo. Later, this ship disappeared without trace and not because she sank. It was simply that databases lost track of her. It was sad because the person after she was named, Congressman Julio Ledesma IV was interested in buying her for posterity.

The Don Julio was a sister ship of the Dona Florentina and the Don Juan, both of Negros Navigation Company and the Cebu City of William Lines, all of which became flagships of their fleets one time or another. Now, that is a distinguised company.

The next ship on this list should be the Iligan City of William Lines which later became the Sampaguita Ferry 3 of Sampaguita Shipping Corporation of Zamboanga City. Originally, this ship was Amami Maru of Amami Kaiun of Japan. She was built by Mitsubishi Heavy Industries in Shimoneseki, Japan and her external measurements were 83.1 meters by 12.0 meters by 4.5 meters. Her Gross Tonnage was 1,512 and her Net Tonnage was 562 and her passenger capacity was 635 persons. She was equipped with a single Mitsubishi engine of 3,800 horsepower which gave her a sustained top speed of 17 knots.

This ship was a cruiser ship and thus she had the same disadvantages of the Don Julio when the RORO ferries came. She was mainly fielded by William Lines in the Cebu-Iligan route and she stayed there until the merger which created WG&A in 1996. She was then transferred to the WG&A subsidiary Cebu Ferries Corporation where she was tried in the Cebu-Roxas City route and other routes. She was not successful and she was one of the ships offered for sale by Cebu Ferries Corporation immediately. By then she was no longer a satisfactory ship as her passenger accommodations were already tiny compared to the current standards of the times then.

In 1997, Iligan City was purchased by Sampaguita Shipping Corporation of Zamboanga City where unmodified she became the Sampaguita Ferry 3. During that time Sampaguita Shipping was building up its fleet to have modern and comfortable overnight ferries for its long routes using bank loans. They also used the abbreviation “SF”, a takeoff from the SF SuperFerry as in they are the SuperFerry of Zamboanga. Well, they even built a modern terminal a la SuperFerry near the entrance of Zamboanga port.

However, Sampaguita Shipping was hit by bad timing because soon the highways out of Zamboanga City became paved and they eventually lost to the buses. Competition also became very tight in Zamboanga which was a product of the deregulation policies and incentives laid out by the Ramos Administration. Modern and new High Speed Crafts (HSCs) even came to Zamboanga City like Weesam Express and the fastcrafts of A. Sakaluran. Under the crushing load of its debts, Sampaguita Shipping defaulted, collapsed and ceased operations. The last heard of Sampaguita Ferry 3 was she was sold to the breakers.

We will then come to three overnight ferries that first came to Carlos A. Gothong Lines Incorporated (CAGLI) locally. The first was the Dona Lili which was very well-known in the Cebu-Nasipit route battling the big Nasipit Princess of Sulpicio Lines. This ship was built in Japan as the Seiran Maru by Taguma Shipbuilding & Engineering Corporation in their Innoshima yard. And in 1980 this ferry came to CAGLI as one of the earliest RORO ships of the company and in the archipelago.

The Dona Lili had the external measurements 69.0 meters by 12.0 meters by 4.5 meters. Her Gross Register Tonnage in Japan was 856 tons and in conversion here to Gross Tonnage the figure was left unchanged. The ship’s Net Tonnage was 448 and her passenger capacity was 732 persons. The Dona Lili was powered by two Daihatsu marine engines with a total of 2,600 horsepower and her sustained top speed when still new was 15.5 knots. In size, she is just like the Cebu to Leyte overnight ferries of today.

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Credits to PDI and Gorio Belen

When the merger that resulted in WG&A came she was transferred to its subsidiary Cebu Ferries Corporation and in this company she was assigned the Cebu-Tacloban route with also a route to Camiguin. But when Cebu Ferries Corporation dropped its Tacloban route because it was losing to the shorter Ormoc route, it seems Dona Lili did not sail again. By that time Cebu Ferries had an excess of ships because they already dropped a third or more of its former routes and so the older and smaller ferries especially the cruisers had nowhere to go especially since WG&A can drop former liners to Cebu Ferries. With that situation, Dona Lili dropped from sight never to be seen again and not because she sank.

The next ferry that came to Carlos A. Gothong Lines Inc. was their second Don Benjamin (they had an earlier Don Benjamin which was a former “FS” ship) which arrived in 1982. This is a ship that served their Iligan and Ozamis overnight routes for them from Cebu but this ship only lasted until just before the mid-1990’s because of engine issues.

The second Don Benjamin was the former Shin Kanaya Maru in Japan and she was built by the Shimoda Dockyard in Shimoda, Japan. This ship measured 61.0 meters by 13.7 meters by 2.9 meters and in Japan her Gross Register Tonnage was 877 tons. Locally her Gross Tonnage was just 685 and her Net Tonnage was just 268 both of which looks suspiciously low. The second Don Benjamin was a smaller ship than Dona Lili.

Don Benjamin

Don Benjamin partially scrapped by Edison Sy

The Don Benjamin was powered by a single Nippon Hatsudoki engine, a generic Japan engine of 2,550 horsepower. That was good for a sustained top speed of 15 knots. However, her engine seems to be the reason for her undoing as Hatsudoki engines are not long lasting and even early in the 1990’s she was already plagued by unreliability. When the new ship Our Lady of Naju came for Carlos A. Gothong Lines in 1994, she was sent to a Navotas breaker. During those times, re-engining then was not yet common. She was a rare ferry that did not last 30 years in service.

The third ferry from Carlos A. Gothong Lines Inc. was the Dona Casandra, a ship that came also in 1982. She was built as the Mishima in Japan by Hashihama Zosen in Hashihama yard. This ship had the measurements 53.8 meters by 11.0 meters by 3.7 meters, dimensions which were less than the war-surplus “FS” ships. Her Japan Gross Register Tonnage was 487 tons. What I find suspicious in her specifications was her Deadweight Tonnage (DWT) which was only 180 tons in Japan. Was she meant to just carry a few sedans and light trucks?

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Dona Casandra (Credits to Times Journal and Gorio Belen)

Here, after addition of more metal and passenger accommodations her Gross Tonnage rose to 682 but I was not able to obtain her Net Tonnage. The declared passenger capacity of the ferry was 650 persons. The Dona Casandra was powered by two Daihatsu marine engines with a total of 2,000 horsepower and her design speed was 14 knots.

The Dona Casandra did not last long in service because once in a voyage from Butuan to Cebu she foundered on November 21, 1983 in a rough Mindanao Sea experiencing the disturbance of a distant typhoon. She was then carrying lumber aside from passengers. The sinking caused the loss of lives of the bulk of the passengers and crew but the exact number was never established as the ship sank without trace. Was her load to much for her load capacity in DWT and in a rough sea and considering she has added metal to her structure?

The Lorenzo Shipping Corporation also had ships in this list which are about the same size as the mentioned ships of Gothong Lines (once from 1972 to 1979 the two had combined operations). Lorenzo Shipping once was also in passenger shipping and it was even in liner operations albeit not in high profile but later they quit passenger shipping to become an all-cargo operation and maybe that is why many people can’t connect their name to passenger shipping.

The first should be the Dona Okai which was the biggest of the three. This ship was also known as Dona Oka 1 and Don Okai in Lorenzo Shipping. What names! The Dona Okai was paired with another ship of the same size in the fleet of Lorenzo Shipping to do their unique Manila-Dipolog-Zamboanga-Pagadian-Dadiangas route which took nearly two weeks to compete and that is why two ships have to be paired in that route so a weekly schedule can be maintained.

The Dona Okai was originally the Ryoho Maru of the Kashima Kisen K.K. shipping company in Japan. She actually had three owners before coming to the Philippines in 1979. When she was sold to Ebisu Kisen K.K. she was converted into a chemical tanker. When she was sold to Daiei Kaiun K.K. In 1973 she was converted back into cargo ship.

The Dona Okai was a cruiser ship built by the Asakawa Shipbuilding Company in Imabari, Japan. She measured 74.2 meters by 10.5 meters by 5.4 meters. In Japan her Gross Register Tonnage was 1,093 but this rose to 1,173 in the country with a Net Register Tonnage of 780. The ship was equipped with a single Makita engine of 1,500 horsepower which gave her a top speed of 12.5 knots.

In 1992, Lorenzo Shipping sold her into another shipping company. She is now deleted from maritime databases which happens when ten years has passed and there is no further news about the ship. She might be a broken-up ship by now.

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Lorenzo Shipping schedule, 2/5/80 (Credits to Times Journal and Gorio Belen

The second ship of Lorenzo Shipping was the Dona Lilian which had the external dimensions of 63.7 meters by 9.6 meters by 4.8 meters and in Japan her Gross Register Tonnage was 753 tons. This ferry was a cruiser ship which arrived in the country in 1978.

The Dona Lilian was the former Seiun Maru No.5 of Tsurumi Kisen K.K. of Japan. She was built by Imabari Zosen in Imabari, Japan. In the Philippines her Gross Register Tonnage remained unchanged and her Net Register Tonnage was 487. She was powered by a single Makita engine of 1,300 horsepower and her sustained top speed was just 11 knots, just about the same as freighters of her size as she is a little low on power.

This Lorenzo ferry held for the company the Iloilo and Pulupandan combined route from Manila and one of the last ferries to sail to Pulupandan as this port can only dock shallow draft vessels then (the reason why when ferries grew in size the route was abandoned). When the company eventually withdrew from the Pulupandan route because it can’t compete with the Negros Navigation ships using Banago port in Bacolod, she found herself on the Davao route. However, on a voyage with two distant typhoons affecting local weather conditions, she foundered in heavy seas off Tandag, Surigao del Sur on December 6, 1982.

Lorenzo Shipping had to other ships in this list, the Don Francisco. This ship was actually the second Don Francisco as there had been an earlier ship by that name in the Lorenzo fleet which was a former “FS” ship converted into passenger-cargo use. When the earlier Don Francisco was lost in the earlier part of the year 1978, this ship came to replace the lost ship in the same year 1978.

The second Don Francisco was first known in Japan as the Zensho Maru of the Marujutoko Unyusoko K.K. shipping company. She was built by the Higaki Shipbuilding Company in Imabari, Japan. Her external dimensions were 53.4 meters by 9.3 meters and her Japan Gross Register Tonnage was 496 and she has a speed of 10.5 knots. In terms of external dimensions, cubic volume and speed, this ship is very much alike the once-dominant former “FS” ships converted into ferry use here. This ship is also a cruiser ship.

The ship shouldered on in various capacity under Lorenzo Shipping until when the company was already taking a step back already from passenger ship (the company later on became an all-cargo company utilizing container ships until she was sold to the Magsaysay Group which continued to use the same name). This ship then disappeared from maritime databases but it is assumed that she did not sink and most likely she had just been quietly scrapped.

Another ship built in 1967 that is no longer around was the former Nadayoshi Maru No.2, a fishing vessel in Japan by Kanasashi Shipbuilding Company in Shizuoka, Japan. In 1974 this ship came into the Philippines and in her first rebuild she was converted into the passenger-cargo ship Gingoog City in 1987 and the name is already suggestive of her route.

In 1991, this ship was sold to the new shipping company Cokaliong Shipping Lines Incorporated (CSLI) which was already expanding their fleet and she became the Filipinas Siargao. This ship measures 49.5 meters by 7.8 meters by 3.6 meters with a Gross Tonnage of 327. Her Net Tonnage of 181 and the passenger capacity is 292 person in bunks as this was an overnight ferry-cruiser. The ship is powered by a single Hanshin engine of 900 horsepower.

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Filipinas Siargao (Parsed from a framed photo in Cokaliong Tower)

In 1997 the Filipinas Siargao was sold to Ting Guan in Mandaue as scrap because Cokaliong Shipping Lines is already converting to RORO ships. She lasted exactly 30 years.

Another ferry that was built in 1967 that was sold to local breakers under the same conditions in almost the same period but a little later was the beautiful cruiser Sr. San Jose which was even a little bigger than the Filipinas Siargao. The ship was a Cebu to Leyte ferry of the San Juan Shipping of Leyte.

The ship was originally the Tanshu Maru of Kansai Kisen K.K. of Japan. She was built by Hashihama Zosen in Hashihama, Japan. She had three owners in Japan the last of which was the Fukahi Kaiun. The ship had the measurements 54.0 meters by 8.6 meters by 2.3 meters. Her Gross Tonnage was 498 and her Net Tonnage was 185 with a passenger capacity of 558 persons. The Sr. San Jose was powered by a single Akasaka engine of 1,470 horsepower giving her a sustained top speed of 15 knots when new.

The ship together with her company was sold to Lite Ferries in the aftermath of the explosion, burning and sinking of the company’s flagship San Juan Ferry in 2000. When she was sold, Lite Ferries was already fully into ROROs and no further use was needed of her especially since her engines were no longer that good. She was then sold to the breakers.

The next ship on this list is a lost ship but not violently. She was the Princess Camille of the Shipsafe Shipping. The ship had the overnight route Batangas-Romblon but on a voyage on March 21, 2003 she developed a leak in the hull in Romblon port the next day which resulted in her capsizing in the port but her passengers were safe.

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Princess Camille remains by Arnel Hutalla

The Princess Camille was the former New Olympia of the Nanbi Kaiun K.K. She was built by the renowned Kanda Shipbuilding Company in Kure, Japan. The measurements of the ship was 39.2 meters by 11.2 meters by 3.4 meters which means she was not a big ferry, just the size of a basic, short-distance ferry-RORO (she is a RORO). Her Gross Tonnage was just 350 and her Net Tonnage was 197. The Princess Camille was equipped with a single Daihatsu engine of 900 horsepower and her top speed was 12 knots. The Princess Camille came to the Philippines when she was already 30 years of age. She reached 36 years of sailing.

The ship was no longer salvaged and her company soon collapsed especially since there was very tight competition then in Southern Tagalog shipping.

There are 13 ferries in this list. Three of the 13 were lost at sea .

One thing I can say is if ferries are no longer relevant then they quit sailing and the shipping owners does not need the government to tell them that.

And another thing is if the engine is no longer good and won’t be re-engined anymore then they also send the ships to the breakers and no government order is also needed for that because on their own shipping owners has enough common sense aside from financial sense.

I now leave it to the readers to weigh the careers of these ferries built in 1967 that are no longer around.

The Bill Rider To Kill 35-Year Old Ships

Maybe they are golfing buddies but one thing sure is both of them are in the Cabinet of President Rodrigo Duterte. And maybe Secretary Arthur Tugade offered to carry the cudgels (or golf bags) for Secretary Alfonso Cusi for the latter’s new ships cannot win over the competition in a level playing field because it has no definite technical advantage unlike the FastCats which definitely have low fuel consumption relative to their rolling cargo capacity. The new Starlite ferries might be new and are thrifty compared to the old ferries but they still have to amortize their ships whereas their competitors’ ships are already basically paid for already and that really matters a lot.

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A very good ferry that is 35 years old

There was a bill to give President Rodrigo Duterte new Starlite ferries to solve our traffic problems. And it seems a rider was inserted that will cull ferries that are already 35 years old which meant ferries built in 1982 or earlier. There was even a rumor that new ferries will be given exclusive routes. This is what I was saying in another article of mine that there seems to be moves to target and retire old ship via legislative or administrative fiat. It seems that without that kind of assistance the new Starlite ferries or the new SWM ferry would have a hard time competing. Knowing short-distance ferries have fixed schedules and two-hour gaps are in the rules then that just simply negates the advantage of new ferries as passengers, drivers and car owners normally take the next available RORO. And besides they don’t perceive the old ferries have a definitely disadvantage in safety.

The fact is in many routes no steel-hulled ferry has ever sunk and that includes many heavily-traveled routes like the Matnog-Allen/San Isidro route, the routes from Tabaco to Catanduanes, the Pilar-Masbate route, the routes from Bogo to Cawayan, Cataingan and Palompon, the routes connecting Leyte and Bohol, the Roxas-Caticlan route, the routes from Lucena to Marinduque, the Bacolod-Dumangas route, the Iloilo-Bacolod route, the routes from southwest Cebu to southeastern Negros Oriental, the Dumaguete-Siquijor routes, the Dumaguete-Dapitan route, the Ozamis-Mukas route, the routes from Balingoan to Camiguin, the Zamboanga-Basilan routes and many, many other routes too numerous to list. And old ferries basically plied these routes.

In a conference called by MARINA earlier this year (2017), they admitted that they have no study that says old age is the cause of the loss of ships (well, they can’t even if they make a study because actually one big cause of the mishaps is navigational errors and some ships were lost while not sailing like a force majeure caused by a typhoon and accidents in shipyards or while doing afloat ship repair or ASR). Now after a stalemate where MARINA can’t force its way it seems they simply passed the (golf )ball to Secretary Tugade’s club who I suspect can be influenced but does not know shipping. I don’t think he is even aware that culling 35-year old ship will mean cutting up approximately half of our short-distance and overnight ferry-RORO fleets which are very essential in bridging our islands by moving cargo, people and vehicles. These sectors are actually more important than the liners and the container ships as they connect ports that are beyond the reach of their Manila-based counterparts.

If half of our RORO fleet outside the liners and container ship is suddenly discarded there would definitely be a shipping crisis of major proportion. Some shipping firms like George & Peter Lines, VG Shipping, J&N Shipping, Southern Pacific Transport, Denica Lines, JVS Shipping, Aurelio Shipping, CSGA Ferry, Millennium Shipping, Milagrosa J Shipping and the Camiguin ferry companies will suddenly end up defunct for they will lose all their ferries. And some shipping companies will only retain one ferry out of a former fleet. Actually ferry companies in Cebu province will lose more than half of their ferries and there is no need to emphasize the importance and weight of Cebu shipping to the country. The would be like that of 1986 (or even worse) when we severely lacked ferries because so many shipping companies collapsed in the crisis spawned by the Aquino assassination and the former “FS” ships also gave out because of old age (but unlike now the old ships are not expiring yet because of advances in metallurgy and technology and the availability of replacement engines). I thought the current administration is seeking growth. Is killing ships the way to do that? Replacing nearly 200 ferries is never easy. Can anybody guess how much will that cost?

I have always wondered why in our government the decision-makers in transport are the ones who do not ride them. Like in shipping I wonder if Secretary Tugade ever rode a scheduled ferry for I know he is a certified landlubber from Cagayan province. That is also true in buses and jeeps; the decision-makers also don’t ride those. These decision-makers do not really know their fields inside-out and yet they decide its fates and maybe it is only the whispers to their ears that count. I thought when I was still studying that it should be the experts that should decide and not the political hacks. It has been a long time already when our Cabinet was dominated by technocrats or those who really studied their fields. In the US most of the men in Cabinet are there because of political connections. But at least they know when to bring in and to consult the experts. Not here because for a long time already those who feel and act like they are the “experts” are the politicians, the media people and the bishops when actually they practically know nothing and true experts are just used as decoration.

We only have just over 300 ferry-ROROs (there are also a few cruisers and true motor launches but our liners is just over a dozen). So that means we are practically just talking about overnight ferries and short-distance ferries in this issue. Add to that a little over 40 HSCs (High Speed Crafts) too. The others are Moro boats, motor boats and motor bancas which are too numerous to count (they are much more than in numbers than our steel-hulled crafts) and should not be included here (anyway practically none of them are over 35 years old, amazingly). In the ROROs, the LCTs are included.

If 35-year old ferries are to lose licenses the following will have to be sent to the breakers (or be converted into cargo ships if cargo ships over 35 years old will not be culled but the freighter Fortuner breaking into two recently after loading with steel bars will not help their case):

Montenegro Lines/Marina Ferries: Maria Angela, Maria Beatriz, Maria Diana, Maria Erlinda, Maria Gloria, Maria Helena, Maria Isabel, Maria Josefa, Marie Kristina, Maria Matilde, Maria Rebecca, Maria Sofia, Marie Teresa, Maria Xenia, Maria Yasmina, Maria Zenaida, City of Sorsogon, City of Masbate, City of Tabaco, City of Calapan, Maria Timotea, Reina del Rosario, Reina Genoveva, Reina Hosanna, Reina Neptuna and Reina Quelita. A total of 26 ferries and fastcrafts. The four whose names start with “City” are fastcrafts. Hernan Montenegro will cry a bucket of tears and expect Gloria Macapagal Arroyo to fight like hell against the bill in Congress.

Asian Marine Transport Corporation (AMTC): Super Shuttle Ferry 1, Super Shuttle Ferry 2, Super Shuttle Ferry 3, Super Shuttle Ferry 5, Super Shuttle Ferry 6, Super Shuttle Ferry 9, Super Shuttle Ferry 15 and Super Shuttle Ferry 23. A total of 8 ferries.

Trans-Asia Shipping Lines Inc. (TASLI): The new Trans-Asia that is not yet finished, Trans-Asia 2, Trans-Asia 9, Trans-Asia 10 and Asia Philippines. A total of 5 ferries.

Cokaliong Shipping Lines Inc. (CSLI): Filipinas Iligan, Filipinas Butuan, Filipinas Iloilo, Filipinas Maasin, Filipinas Dapitan, Filipinas Dinagat and Filipinas Dumaguete. A total of 7 ferries.

Roble Shipping: Wonderful Stars, Joyful Stars, Theresian Stars, Beautiful Stars and Ormoc Star. A total of 5 ferries. Add to this the Asian Star and Asian Star II which were the former Blessed Star and Sacred Stars sent to Theresian Stars shipping company.

Lite Ferries: Lite Ferry 1, Lite Ferry 2, Lite Ferry 3, Lite Ferry 6, Lite Ferry 7, Lite Ferry 8, Lite Ferry 15, Lite Ferry 20 and Lite Ferry 21. A total of 9 ferries.

Island Shipping: Island RORO I, Super Island Express I, Super Island Express II, Super Island Express III, Island Express II, Island Express III and Island Express V. A total of 7 ferries although I doubt the existence of some now.

Medallion Transport: Lady of Love, Lady of All Nations, Lady of Miraculous Medal, Lady of Sacred Heart, Lady of Charity, Lady of Guadalupe-Cebu and Lady of Angels. A total of 7 ferries and I am not even sure the Lady of Good Voyage will survive.

Aznar Shipping: Melrivic 1, Melrivic Two, Melrivic Three, Melrivic Seven, Melrivic Nine and their fastcrafts.

George & Peter Lines: GP Ferry-2, Zamboanga Ferry and Georich

Gabisan Shipping: Gloria Two, Gloria Three, Gloria V

Jomalia Shipping: Mika Mari, Mika Mari III, Mika Mari V, Mika Mari VI

Maayo Shipping: LCT Giok Chong, LCT Martin, LCT Wilcox

Cuadro Alas Navigation: Santander Express, Santander Express II, Santander Express IV

GL Shipping: GL Express and probably GL Express 2

J&N Shipping: J&N Carrier and J&N Ferry. Ubay will suddenly lose its connection to Cebu.

Southern Pacific Transport: South Pacific and Fiji-II

VG Shipping: VG RORO II and VG 1.

Rose Shipping: Yellow Rose

Maypalad Shipping: Samar Star

Lapu-lapu Shipping: Lapu-lapu Ferry 1

Golden Star: Anluis

Metro Ferry: Princesa (but not Carmen Uno)

PAR Transport: Leonor 3 and probably Leonor 5

R&D: Lady Star (this is laid up)

Orlines Sea-Land Transport: Siquijor Island 1

Sta. Clara Shipping/Penafrancia Shipping: Hansel Jobett, Mac Bryan, Nathan Matthew, Don Benito Ambrosio II, Don Herculano and Eugene Elson. A total of 6 ferries.

Regina Shipping Lines: Regina Calixta IV

168 Shipping: Star Ferry-II

Denica Lines: Marina Express and Odyssey

Province of Camarines Sur: Princess Elaine (a fastcraft)

Kalayaan Shipping: Kalayaan VII

Rolly Fruelda: Elreen 2

Tour-cruise ships of Manila: Pacific Explorer, Eco Explorer, Discovery Palawan, 7017 Islands, Oceana Maria Scuba

Atienza Shipping Lines: April Rose

JVS Shipping: D’ASEAN Journey, D’Sea Journey

Aurelio Shipping: San Carlo Uno

Quincela Shipping: Q-Carrelyn VII

Starlite Shipping: Starlite Annapolis, Starlite Ferry, Starlite Navigator and Starlite Polaris. A total of 5 ferries.

Besta Shipping Lines: Baleno VII

Navios Shipping Lines: Grand Unity and Grand Venture 1

CSGA Ferry: Princess Annavell

Tri-Star Megalink: LCT Tabuelan Navistar

Millennium Shipping: Lakbayan Uno and Millennium Uno

Milagrosa J Shipping: Milagrosa J-3 and Milagrosa J-5

Aleson Shipping: Estrella del Mar, Stephanie Marie, Neveen, Danica Joy, Ciara Joie, Ciara Joie 2. A total of 6 ships.

Ever Lines: Ever Queen of Asia, Ever Queen Emilia, Ever Transport, Ever Sweet, Ever Queen of Pacific. A total of 5 ships.

Magnolia Shipping: Magnolia, Magnolia Grandiflora, Magnolia Fragrance

Evenesser Shipping/Ibnerizam Shipping/Sing Shipping: Bounty Cruiser, Jadestar Legacy, KC Beatrice

Province of Tawi-tawi: Tawi-tawi Pearl 1, LCT Tanah Tawi-tawi

ZDS-ATOM FSA: LCT Mabuhay

Sarangani Transport: Song of Dolly-3

Mae Wess/CW Cole: The Venue, LCT Nicole II Starferry

KSJ Shipping: Fortune Angels

Philstone Shipping: Yuhum, Kalinaw, Royal Princess

Davemyr Shipping: Dona Pepita

Hijos de Juan Corrales: Hijos-1

Daima Shipping: Swallow I and Swallow II

Ocean Fast Ferries: Oceanjet 7

A total of about 187 steel-hulled ferries to be culled including a few fastcrafts. Again, Moro boats (whose number is about 130 plus), motor boats, motor launches (like most of the crafts of Metro Ferry) and passenger-cargo motor bancas, big and small are not included. Anyway almost all of them will survive as the local-built, wooden-hulled crafts are generally below 35 years old in age (few wooden-hulled crafts reach 35 years of age).

In my database about 250 steel-hulled ferries will survive including over a dozen liners and more than 3 dozen HSC plus a sprinkling of Medium Speed Crafts (MSCs) like the two Anika Gayle ships (this count does not include the FastCats). If liners, HSCs and MSCs are not included (but the FastCats are included) so the comparison will be basically ferry-ROROs (that are not liners) then about 180 will be culled and about a little less 200 will survive (very few of the 180 and 200 are cruisers like the Georich and Yellow Rose). So that means killing nearly half of our ROPAXes.

If the plan to cull 35-year old ships is immediately implemented one sure response will the be multiplying of LCTs from China (not the local LCTs as basically those are not people carriers although some can and will be converted and the bulk of them are less than 35 years old). Will they call the transition from ferry-ROROs to passenger-cargo LCTs as “progress”?

If ships that are not ferries will not be culled then many of the ferries that will be culled might be converted into Cargo RORO ships that will not carry passengers like what happened to Trans-Asia 5 (but she is too beautiful as a comparison). People then will have to find alternate means of transport. Maybe the intermodal buses will mushroom. Or probably the Camotes motor boats like the Junmar ships will multiply. Otherwise there is our trusty motor banca to take. But I thought they want to phase that out too including the motor boats? Again, will they call that as “progress”?

I imagine for the remaining ferries, passenger loads of 100% will be a daily common occurrence, peak season or not. Maybe the ticket scalpers will return too to make a living. And it will matter a lot if one knows a crewman of a ship. Or better yet one of the owners. But if I talk of shipping of the 1980’s, will Secretary Tugade understand? I am sure he has no understanding of the shipping difficulties of that period.

Do MARINA and Secretary Tugade think that passengers are that important to the shipping companies? Those in the know knows that is not so and shipping companies can live by cargo and rolling cargo alone and that is the reason why the Cargo RORO LCTs are thriving. If the bill is passed I imagine the likes of Roble Shipping will just be doing cargo and rolling cargo basically plus maybe two ROPAXes to Ormoc and Hilongos, their prized ports and that will also include their freighters and Cargo RORO LCTs. I don’t think Secretary Tugade knows that the bulk of the sailing ships of Roble Shipping is not into passengers (and that includes their freighters). So in the end it will be the passengers that will really suffer. 

I wonder if Secretary Tugade knows some of the ships he wants to cull are actually re-engined now and some do not have any history of trouble and are still very good condition like the sister ships Filipinas Iligan and Filipinas Butuan. In other countries they base renewal of ship papers on technical inspection and not in some kind of arbitrary cut-off in age. As pointed out by the ship owners and PSSS (Philippine Ship Spotters Society), there is no mandatory retirement of ships in other countries and the IMO (International Maritime Organization) has no protocol on that (gusto yata mas magaling pa tayo sa kanila; mahilig din naman ang Philippine bureaucrats sa hambog). For the haters of old ships to say there is such a thing is just a bald lie and they resort to that because they have their own vested interest. Now what they want is a legislative fiat which is clearly anti-competition.

Give exclusive routes to the new ships? To where? To Sabah and Indonesia? Does Secretary Tugade think he can simply dissolve the franchises held by the shipping companies? It seems that Secretary Tugade is also applying into the Impunity Club a.k.a “What Are We In Power For” Club. It can smash a ship owner’s head like a golf ball.

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A very good ship that is over 35 years old (Photo by Jonathan Bordon)

The current dispensation is saying that former Secretaries Roxas and Abaya left a lot of mess in transport. Do they want their own mess too?

Time Will Come The LCTs Will Take Away The Business Of The Container Ships

It was a friend of mine who worked as trusted man of someone high up in shipping who told me that MARINA has set it just to 30 or 35% load for a container ship to be profitable. I was aghast by that because that will mean terrible inefficiency and high rates for the shippers. That was twenty years ago and in that same time span our local shipping industry has been under attack for very high rates and it has been pointed out that from Davao it is much cheaper to send a container van to Hongkong or Singapore which are much farther than Manila. But even after two decades there has been no change in the situation of the industry. If there was, it is the rates went up geometrically higher. And of course that was unacceptable but our bureaucrazy only acts to change things if there is already an imminent revolt.

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Intermodal trucks for loading in BALWHARTECO Port in Allen, Samar

As they say water seeks its own path and one cannot hold or bottle it forever. One big response by shippers that I saw was in the widespread deployment of intermodal trucks that use our highways and then boards short-distance ROROs at the end of the road and then continue on to the next island. The intermodal truck might then still board another short-distance RORO to another island. I found out there are even trucks whose origin is Mactan island which are bound to Manila and will traverse Cebu island, Negros island, Panay island and Mindoro island before landing in Batangas port. And of course intermodal trucks from Manila or CALABARZON find its way to Davao regularly and there are some that reach as far as Zamboanga.

Consolidation” of the local cargo shipping industry especially the container sector has long been proposed by experts both local and foreign. But it has fallen into deaf ears and the national government will not wield the proverbial stick to make this come true and so it lays until now where it started, that is as proposals. “Consolidation” would have led to greater efficiency and thus lower rates. But locally, businesses and not only shipping wants to see efficiency not to lower rates (of course, they will pay lip service to that) but to higher profits. And so greed rules and trumps everything and the higher national interest and greater good do not matter in the end.

Our different shipping companies are republics of their own and historically they have never been into cooperation, consolidation or merger (except the “Great Merger” which produced WG&A and which had been a disaster to local shipping) even though some are related by blood. If there has been a CISO (Conference of Inter-island Ship Owners) in the past, it is only because they want to present a common front vis-a-vis the government and also to make sure that the agreed rates are being observed by all (however, in other countries that will ruled as “cartelization” and subject to penalties or even jail terms; but not here as that term is practically unknown and even Economics teachers here do not know that). Oh, well, actually the cartel master locally is MARINA which sets the rates. Historically, they set the maximum rates but like what happened to LTFRB they treat the maximum rate as also the minimum and MARINA in the end serves just the needs of the shipping companies and not the general public. But before it be misconstrued that they are servile to shipping companies, the truth is shipping companies fear MARINA as their livelihood and fortune is dependent on the decisions of MARINA. If the rates are drastically brought down then they might all go down.

That is the reason why the shipping companies will fight toe and nail for the retention of the Anti-Cabotage Law which bars foreign shipping companies from sailing local or inter-island routes. If the Congress (which has the power to repeal the Anti-Cabotage Law) allows the entry of the much more efficient and capable foreign ships then local cargo rates will drastically go down but our local shipping companies will drown. Regarding the Philippine Competition Commission (PCC), that entity will not amount to anything in shipping because that only checks mergers and mergers are a near-impossibility in shipping.

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LCT Raenell of Asian Shipping Corporation in Mandaue

And so shippers and other related interests will find new ways to bring down rates some other way. One of these is the employment of the cheap and cheap-to-operate LCTs which has only 1,000 horsepower on the average which is just about a third of the power of the container ships. True, they will probably only run at about 7 to 8 knots compared to the 11 to 12 knots of the container ships. So they will take three days to Cebu where a container van will only take two days. But, hey, the bulk of cargo is not express anyway and a difference of one day will not really matter, in the main. Nowadays if one really wants it fast one takes to the plane and use air cargo which is P20/kilo at the lowest now.

It is through the use of chartered LCTs from Asian Shipping Corporation that Ocean Transport had their start. Using big LCTs (by local standards), 94 TEUs can be fitted with the container vans stacked like Lego and handled by big forklifts. The LCTs cost P70,000 a day, fuel and crew included and so the transport cost one way is just over P200,000 not including cargo handling in Manila and possible cargo handling in Cebu. Plus of course other labor, office, yard and anciliary costs and maybe insurance. Under the table money, I have only the vaguest of ideas. But in this calculation one can see the movement of a TEU to Cebu via chartered LCTs is just P4,000, starting. That will not be the actual rate but one can see how low it is via LCT when the normal commercial rate for a TEU to Cebu is probably 5 times of that. The LCT might have just a capacity of 94 TEUs and the container van has 300 TEU but if they are only a third full on the average then the actual load of the two is just about equal and the LCT has probably only has a third of the horsepower of the container ship. The LCT usually has about 100% load. So it is very easy to see which is more efficient and why an LCT can give much, much cheaper rates.

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Roble Shipping was the next to follow the shipping model of Ocean Transport and like the first they were also very quiet about it. Maybe the two fear that if it becomes known widespread that the LCT mode is successful some shipping companies will lobby MARINA and MARINA will institute a crackdown and maybe cite “safety” again which is the usual bogey of MARINA. It has been a long time that the LCTs, being flat-bottomed and not that resilient against capsizing has been tagged with safety issues. It does not help either that being open-decked and having a low freeboard some issues were also attached by some to those. [Note: Ocean Transport and Roble Shipping now operates their own LCTs regularly carrying container vans from Manila to Cebu.]

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LCT Akira of Ocean Transport by John Carlos Cabanillas

The longest route I have seen LCTs bring container vans regularly is from Manila to Cagayan de Oro. And so locally it is proven now that LCTs can be container carriers for 500 nautical miles. I do not know if they are capable of Southern Mindanao routes which is up to 800 nautical miles but I think they can do it if needed. Of course, LCTs are normally earlier to seek shelter than container ships when there are storms. But if MARINA and the Coast Guard suspends voyages at 45kph wind speed then the container ships might not have an advantage anymore.

The LCTs are looked down upon by many but they should know that China which is already the biggest shipbuilding country in the world and is already a shipping power widely uses LCTs to move their cargo internally and on shorter distances. Actually most of our new LCTs now are from China and many came here brand-new. In terms of age, our LCTs might be younger than our container ships now. And LCTs are the backbone of our Cargo RORO LCT fleet which not only move trucks but also trucks and trailers bearing container vans especially to islands that are not served well by container ships like Bohol, Leyte and Samar.

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LCT PMI-3 from Leyte

If MARINA won’t crack down, I see intermodal trucks and LCTs further taking away the business of the container ships which is still growing in number but I know their cargo volume is not increasing. Consolidation would have been easy for them if they will just open their eyes and be open-minded and it does not mean that they would have to merge, an anathema to many executives as that might mean losing their positions and careers that they have built over the years. Actually the simplest consolidation is the swapping of container vans. There is no container company that has daily departures even from Manila and the simplest is they should load their containers to their partner shipping companies which has the nearest departure. That will mean ships being fuller and at the end of the month they can reconcile their figures and charges would have to be paid for the difference but of course it should be on friendship or partner rates.

With that, less ships might have to be employed, there would be less sailings and that would have to mean savings that should be passed on to consumers if they have any integrity. With consolidation too there might be enough containers vans to ports and islands that they have already abandoned or bypassed and so the container ships can come back there and sailing level might be maintained (now isn’t that neat?). Internationally, this system I mentioned is already being used and not only in shipping. I don’t see any valid reason why the local shipping companies can’t do it. It will only be impossible if their distrust of each other is too much and their owners and executives are too obtuse. The national government should also wield the stick after incentives are laid out. They can even set the rules and the system. It is high time already as for the past two decades after constant criticisms I have not seen our local container companies try to bring down container rates to acceptable world standards. They are just being kept afloat by the blood of the shippers. And that is why forwarder companies are making great strides and container shipping is just where they were two decades before. That is also the true reason they won’t venture out to foreign waters because they simply cannot compete. Regarding their charge that our ports are too shallow that is baloney because much bigger foreign ships use the same major ports that they do.

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LCT Poseidon 15 in Verde Island Passage

I wish the LCTs well for maybe it is them that will be able to bring down container rates even though they might not look modern or beautiful. If they drown the container ships then it is the fault of the container shipping companies themselves.