Ministry of Infrastructure publishes Ordinance that regulates the qualification of companies in the BR do Mar Program
Brazil’s Ministry of Infrastructure (MInfra) published, on August 3, 2022, Ordinance No. 976/2022, of July 27, 2022 (Ordinance) that establishes specific procedures and guidelines for qualification of Brazilian Shipping Company (EBN) and EBN with conditional authorization (EBN-CON) for BR do Mar Program.
EBN-CON is defined as cabotage transportation companies headquartered in Brazil and incorporated in accordance with Brazilian law, authorized to operate by ANTAQ provided that for:
i. the exclusive fulfillment of long-term transportation agreements, under the terms of Brazil’s Executive Branch regulation, pending issuance; and
ii. the exclusive provision of special cabotage operations for a 36-month period, extendable for up to 12 months, pursuant to Brazil’s Executive Branch regulation, pending issuance.
The ordinance establishes that the authorization requests by EBNs and EBN-CON must be made by means of an application to the National Secretariat of Ports and Waterway Transportation (SNPTA), by electronic protocol on the MInfra portal, using the models and documents listed in the annexes of the Ordinance.
Brazilian Navy’s Department of Navigation and Waterways (DNHI) has jurisdiction over the analysis of the application documents by means of administrative procedure. Qualification shall be granted on a non-transferable basis.
MInfra shall continue to follow up, monitor, and evaluate the company’s compliance with the BR do Mar Law’s guidelines.
Company may be disqualified in case of: (i) non-compliance with any obligation under BR do Mar Program; (ii) non-submission of mandatory documentation and/or information; and (iii) action or omission that hinders fiscalization. In this case, Company will be prevented from obtaining new qualification within 2 years.
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