Shipping & Transport- Russia

The new Law on Seaports in the Russian Federation was presented to the Duma (the lower chamber of the Russian Parliament) on March 23 2007. The law was drafted pursuant to the provisions of the Maritime Code, which regulates all legal matters relating to the functioning and development of seaports. The law determines the legal and economic conditions for activities conducted in seaports, including the construction, reconstruction and use of infrastructure, and determines the state regulation of such activities.

The law defines a 'seaport' as the property (on land and water) of organizations which provide services in the area of a port. It further states that port boundaries are determined by the government. This provision entails both social and political changes. Soviet-era legislation typically placed one port under the control of one organization (eg, Lenmortorgport in Leningrad), but one port may now have many organizations, each rendering different services.

The law defines special marine terms (and their variants) and systematizes the regulations contained in other laws. In particular, it:

• regulates the creation of seaports and all related procedures (eg, their official designation and registration);
• defines the terms 'area of water' and 'port territory';
• introduces the terms 'marine terminal' - the agglomeration of technologically connected seaport infrastructure for transshipment or other cargo purposes - and 'marine terminal operator'; and
• adds the term 'marine passenger port' to the existing types of port identified by law, such as commercial ports, fishing ports, special services ports and ports for the transportation of certain specified cargoes (eg, timber and oil).

One of the instruments of governmental control over seaports established by the law is the State Register of Seaports. The government will determine the order of registration. A seaport must confirm:

• its name and function;
• a list of its marine terminal operators and the services they provide;
• details of the potential for developing transshipment or passenger facilities;
• the boundaries of the port development and its waters; and
• the seasons in which it is open to shipping.
• Once registered, the seaport is officially open. The official closing of a seaport is carried out by the government.

The rules governing the provision of services limit the services which may be supplied according to the type of port in question - for example, passenger ports may provide only passenger and logistics services, whereas a fishing port may not provide passenger or transshipment services. All registered seaports may offer general services (ie, services rendered to consignors and consignees, boatmen, passengers and other persons specified in legislation) and marine terminal operators are obliged to render such services if they are technically able to do so.

Each seaport must have an administration which exercises governmental control. Its responsibilities include:

• ensuring safe navigation and berthing;
• cooperating with the state authorities on issues relating to the seaport's function; and
• issuing permission for building or assembly work at the port or in its waters.
• The administration may publish regulations which are binding on captains of vessels and other individuals and legal persons conducting business at the port.

The law introduces a new harbour charge for icebreaking, which is added to the existing dues (including general navy dues, lighthouse dues, canal dues, mooring dues, environmental dues and piloting dues). The amount charged and other conditions will be set by the government.

In regulating the provision of transshipment services, the law sets out regulations on the ownership of infrastructure. Customs practice in particular seaports will be included in the Customs Code and registered by the Chamber of Industry and Commerce. The legal provisions must be available for examination by all persons concerned.

The rules on investment agreements require investors to undertake major repairs or reconstruction of infrastructure and to use such infrastructure once the seaport is operating in accordance with its purpose. The federal authorities will grant the right to own and operate such infrastructure for between 15 and 49 years. This clause is intended to encourage investment.

ILO