Panama's circular on ODS phase-out and HCFC prohibition

The Panama Maritime Authority issued a Merchant Marine Circular MMC-376 on phase-out and prohibition of installing equipment containing ozone-depleting substances (ODS), including hydrochlorofluorocarbons (HCFCs), in Panamanian-flagged vessels.

This circular was published on 1 March 2024.

This circular addresses ship owners/operators, legal representatives of Panamanian-flagged vessels, Panamanian Merchant Marine Consulates, and Recognized Organizations (RO's).

ODS, encompassing chlorofluorocarbons (CFCs) and halons, historically utilized in older refrigeration and fire-fighting systems, portable equipment, and insulation foams. Although Hydrochlorofluorocarbons (HCFCs) were introduced as interim substitutes for CFCs, they remain classified as ODS.

The production and use of ODS are being phased out globally under the provisions of the Montreal Protocol, an international agreement to protect the Earth's ozone layer. ​

Regulation 12 of MARPOL Annex VI prohibits the installation of equipment containing ODS, including HCFCs, on ships constructed on or after January 1, 2020. ​The prohibition does not apply to permanently sealed equipment without charging connections or removable components, such as small domestic refrigerators, air conditioners, and water coolers. ​Existing ships with systems and equipment containing HCFCs are allowed to continue in service and may be replenished as necessary, but deliberate discharge of ODS to the atmosphere is prohibited. ​

The ship's refrigeration system must be in good working condition with minimum natural consumption of refrigerant, and maintenance should be carried out according to manufacturers' instructions without deliberate discharge of refrigerant to the atmosphere. ​

When servicing or decommissioning systems or equipment containing HCFCs, the HCFC must be collected in a controlled manner and, if not reused onboard, landed at appropriate reception facilities for banking or destruction. ​

Any redundant equipment or material containing HCFCs should be landed ashore for appropriate decommissioning or disposal, including during the dismantling of a ship at the end of its service life. ​

Ships with existing systems and equipment containing HCFCs are likely to undergo detailed inspections by port state control authorities, who will verify compliance with the records related to usage, servicing, maintenance, and HCFC consumption. ​

For more information or inquiries regarding the circular and compliance guidelines, ship owners/operators can contact SEGUMAR Panama through provided channels.

For more information, please see the document below (available only to subscribers):

Phase Out and Prohibition on Installation of Equipment Containing ODS, Including Hydrochlorofluorocarbons (HCFCS)