4.1 Conditions of Ownership and Types of Registration A vessel may be registered under the Cyprus flag if more than one half of the shares in the ship are owned by: (a) A Cypriot, or (b) a corporation established and operating under and in accordance with the laws of the Republic of Cyprus and having its registered office in the Republic; or (c) A corporation incorporated outside the Republic in which the controlling interest is vested in Cypriots (physical persons), if specially authorized by a decision of the Council of Ministers of the Republic. This is why, all non-Cypriot owners who wish to register their ships under the Cyprus flag must incorporate a company in Cyprus. The Company which will either acquire the ship in its name, or bareboat charter the ship. The main types of vessel registration in Cyprus are provisional, permanent and parallel registration. All documents which refer to Cypriot ships must be drawn up in a language comprehensible to the competent officers under the law. This provision makes the registration of vessels faster and saves on translation expenses as the documents do not have to be in Greek. In practice, most of the documents are admissible in English. 4.2 Age Limits The age of a vessel is calculated by deducting the year when its keel was laid from the year when the application for registration of the vessel was filed with the Registrar of Cyprus Ships. The year of conversion or modification or major reconstruction and the year of completion or delivery of a vessel, are considered irrelevant and will be ignored. Vessels are divided into two main categories according to their age: (a) Vessels of less than 15 years of age. Vessels of any size and type (except fishing vessels) having an age not exceeding 15 years may be registered under the Cyprus flag as long as they comply with the provisions contained in the merchant shipping legislation and the circulars of the Department of Merchant Shipping. (b) Vessels over 15 years of age. Vessels over 15 years of age, including fishing vessels, may be registered in the Cyprus Register of Ships under additional conditions. These conditions must be met concurrently with the submission of the application for registration and must be complied with at all times while the vessel remains registered, irrespective of any subsequent transfer of ownership. 4.3 Tonnage Particulars (a) Cargo vessels with gross tonnage of 1000 and over, ocean-going tug boats with gross tonnage of over 500 and mobile offshore drilling. (i) Over 15 years but not exceeding 17 years of age - vessels in this category may be registered provided they pass a special inspection; (ii) Over 17 years but not exceeding 20 years of age - a vessel in this category may be registered provided it passes a special inspection and is operated by a ship management company certificated for compliance with the ISM Code; (iii) Over 20 years but not exceeding 23 years of age – a vessel in this category may be registered provided it passes a special inspection and is subject to subsequent annual special inspections. It must also be operated by a Cyprus ship management company, which is certificated for compliance with the ISM Code. (b) Cargo vessels with a gross tonnage of less than 1000. Only cargo vessels not exceeding 20 years of age may be registered. However, they are subject to a special inspection if they are subsequently detained on account of deficiencies or violations of international conventions by flag or port state control authorities. 4.4 Passenger Vessels, Fishing Vessels and Pleasure Craft (a) Passenger Vessels. (i) Over 15 years but not exceeding 25 years of age – a vessel in this category may be registered provided it passes a special inspection and is subject to subsequent annual special inspections; (ii) Over 25 years of age - A vessel in this category may be registered provided it passes a special inspection and is subject to subsequent annual special inspections and it is operated by a Cyprus ship management company, which must be certificated for compliance with the ISM Code. In both cases, whenever the vessel is engaged in regular service, which includes at least two calls per month to a Cypriot port, at least 25 percent of its crew should be Cypriot. This requirement can be waived if a confirmation is given by the Limassol District Labour Office that no Cypriot seamen are available. Also, in that case, the vessel must engage at least 1 Cypriot student or graduate of a Marine Officer's School, if available for sea training for a period of up to 6 months. (b) Fishing Vessels, Fish Factory Vessels. There are detailed requirements for the registration of fishing and fish factory vessels of any age covering ownership, safety, fishing activities and hygiene. Further information can be obtained from the Department of Merchant Shipping. (c) Auxiliary Vessels and Pleasure Craft. (i) Vessels up to 25 years of age may be registered without any additional conditions; (ii) Vessels over 25 years of age may be registered provided they belong beneficially to residents of Cyprus and their management and operations are controlled from Cyprus. Further information can be obtained from the Department of Merchant Shipping. 4.5 Ownership Applications for registration must be accompanied by all relevant documentary evidence attesting compliance with the various conditions that need to be fulfilled at the time of the provisional registration (or the directly permanent registration, as the case may be.). Residents of Cyprus, for the purposes of this policy, include: (a) Cypriot citizens, and; (b) Persons who have had their ordinary residence in Cyprus for the last 12 months have been issued with a work permit and are liable to Cyprus income tax. 4.6 Special Inspection Where a special inspection is required, it is carried out by the surveyors of the Department of Merchant Shipping at the expense of the ship-owner. The inspection of the ship should be carried out before its provisional or directly permanent registration. If this is not practically possible, it should be conducted within 3 months from the date of provisional or parallel-in registration, or within 1 month from the date of permanent registration, if affected directly. 4.7 Management and Operation – ISM Code Requirements The information about the management and operation of a vessel is shown on the Joint Declaration on the Operation of a Ship. A vessel is considered as managed and operated by a ship management company if that company holds, or is issued with, a valid Document of Compliance (the “DoC”) or Interim DoC. In addition, the vessel is issued with a Safety Management Certificate (the “SMC”) or Interim SMC indicating that it is operated by the company in question. The Doc and SMC must be issued either by or on behalf of the Cyprus government. All vessels, irrespective of type, of 500 gross tonnage and upwards must hold a valid SMC. The management companies must hold a valid DoC. 4.8 Inspectors Cyprus has established a worldwide network of inspectors of Cyprus ships. They verify and enforce compliance, by Cyprus ships, with national and international maritime legislation on matters of safety, pollution prevention and the living and working conditions on board Cyprus ships. Some of these inspectors are also authorized to perform inspections. The number of inspectors is increasing every year. The government aims to be able to perform inspections in all major ports in the world. Currently, there are inspectors in around 30 ports, including Buenos Aires, Rio de Janeiro, Vancouver, Hamburg, Piraeus, Calcutta, Osaka and Singapore.
4.1 Conditions of Ownership and Types of Registration
A vessel may be registered under the Cyprus flag if more than one half of the shares in the ship are owned by:
(a) A Cypriot, or
(b) a corporation established and operating under and in accordance with the laws of the Republic of Cyprus and having its registered office in the Republic; or
(c) A corporation incorporated outside the Republic in which the controlling interest is vested in Cypriots (physical persons), if specially authorized by a decision of the Council of Ministers of the Republic.
This is why, all non-Cypriot owners who wish to register their ships under the Cyprus flag must incorporate a company in Cyprus. The Company which will either acquire the ship in its name, or bareboat charter the ship.
The main types of vessel registration in Cyprus are provisional, permanent and parallel registration.
All documents which refer to Cypriot ships must be drawn up in a language comprehensible to the competent officers under the law. This provision makes the registration of vessels faster and saves on translation expenses as the documents do not have to be in Greek. In practice, most of the documents are admissible in English.
4.2 Age Limits
The age of a vessel is calculated by deducting the year when its keel was laid from the year when the application for registration of the vessel was filed with the Registrar of Cyprus Ships. The year of conversion or modification or major reconstruction and the year of completion or delivery of a vessel, are considered irrelevant and will be ignored.
Vessels are divided into two main categories according to their age:
(a) Vessels of less than 15 years of age. Vessels of any size and type (except fishing vessels) having an age not exceeding 15 years may be registered under the Cyprus flag as long as they comply with the provisions contained in the merchant shipping legislation and the circulars of the Department of Merchant Shipping.
(b) Vessels over 15 years of age. Vessels over 15 years of age, including fishing vessels, may be registered in the Cyprus Register of Ships under additional conditions. These conditions must be met concurrently with the submission of the application for registration and must be complied with at all times while the vessel remains registered, irrespective of any subsequent transfer of ownership.
4.3 Tonnage Particulars
(a) Cargo vessels with gross tonnage of 1000 and over, ocean-going tug boats with gross tonnage of over 500 and mobile offshore drilling.
(i) Over 15 years but not exceeding 17 years of age - vessels in this category may be registered provided they pass a special inspection;
(ii) Over 17 years but not exceeding 20 years of age - a vessel in this category may be registered provided it passes a special inspection and is operated by a ship management company certificated for compliance with the ISM Code;
(iii) Over 20 years but not exceeding 23 years of age – a vessel in this category may be registered provided it passes a special inspection and is subject to subsequent annual special inspections. It must also be operated by a Cyprus ship management company, which is certificated for compliance with the ISM Code.
(b) Cargo vessels with a gross tonnage of less than 1000. Only cargo vessels not exceeding 20 years of age may be registered. However, they are subject to a special inspection if they are subsequently detained on account of deficiencies or violations of international conventions by flag or port state control authorities.
4.4 Passenger Vessels, Fishing Vessels and Pleasure Craft
(a) Passenger Vessels.
(i) Over 15 years but not exceeding 25 years of age – a vessel in this category may be registered provided it passes a special inspection and is subject to subsequent annual special inspections;
(ii) Over 25 years of age - A vessel in this category may be registered provided it passes a special inspection and is subject to subsequent annual special inspections and it is operated by a Cyprus ship management company, which must be certificated for compliance with the ISM Code.
In both cases, whenever the vessel is engaged in regular service, which includes at least two calls per month to a Cypriot port, at least 25 percent of its crew should be Cypriot. This requirement can be waived if a confirmation is given by the Limassol District Labour Office that no Cypriot seamen are available. Also, in that case, the vessel must engage at least 1 Cypriot student or graduate of a Marine Officer's School, if available for sea training for a period of up to 6 months.
(b) Fishing Vessels, Fish Factory Vessels.
There are detailed requirements for the registration of fishing and fish factory vessels of any age covering ownership, safety, fishing activities and hygiene. Further information can be obtained from the Department of Merchant Shipping.
(c) Auxiliary Vessels and Pleasure Craft.
(i) Vessels up to 25 years of age may be registered without any additional conditions;
(ii) Vessels over 25 years of age may be registered provided they belong beneficially to residents of Cyprus and their management and operations are controlled from Cyprus.
Further information can be obtained from the Department of Merchant Shipping.
4.5 Ownership
Applications for registration must be accompanied by all relevant documentary evidence attesting compliance with the various conditions that need to be fulfilled at the time of the provisional registration (or the directly permanent registration, as the case may be.).
Residents of Cyprus, for the purposes of this policy, include:
(a) Cypriot citizens, and;
(b) Persons who have had their ordinary residence in Cyprus for the last 12 months have been issued with a work permit and are liable to Cyprus income tax.
4.6 Special Inspection
Where a special inspection is required, it is carried out by the surveyors of the Department of Merchant Shipping at the expense of the ship-owner. The inspection of the ship should be carried out before its provisional or directly permanent registration. If this is not practically possible, it should be conducted within 3 months from the date of provisional or parallel-in registration, or within 1 month from the date of permanent registration, if affected directly.
4.7 Management and Operation – ISM Code Requirements
The information about the management and operation of a vessel is shown on the Joint Declaration on the Operation of a Ship. A vessel is considered as managed and operated by a ship management company if that company holds, or is issued with, a valid Document of Compliance (the “DoC”) or Interim DoC. In addition, the vessel is issued with a Safety Management Certificate (the “SMC”) or Interim SMC indicating that it is operated by the company in question. The Doc and SMC must be issued either by or on behalf of the Cyprus government.
All vessels, irrespective of type, of 500 gross tonnage and upwards must hold a valid SMC. The management companies must hold a valid DoC.
4.8 Inspectors
Cyprus has established a worldwide network of inspectors of Cyprus ships. They verify and enforce compliance, by Cyprus ships, with national and international maritime legislation on matters of safety, pollution prevention and the living and working conditions on board Cyprus ships. Some of these inspectors are also authorized to perform inspections. The number of inspectors is increasing every year. The government aims to be able to perform inspections in all major ports in the world. Currently, there are inspectors in around 30 ports, including Buenos Aires, Rio de Janeiro, Vancouver, Hamburg, Piraeus, Calcutta, Osaka and Singapore.