SEA/1617

STATES PARTIES TO LAW OF SEA CONVENTION CONCLUDE NINTH MEETING AT HEADQUARTERS

28 May 1999


Press Release
SEA/1617


STATES PARTIES TO LAW OF SEA CONVENTION CONCLUDE NINTH MEETING AT HEADQUARTERS

19990528 Elect Seven Judges to International Tribunal, Adopt Tribunal Budget during Two-Week Session

The States parties to the Convention on the Law of the Sea concluded their ninth annual meeting this afternoon by adopting the budget, as orally amended, for the International Tribunal for the Law of the Sea for the year 2000, which reflected an increase of nearly 10 per cent above the 1999 budget.

The Tribunal is the central forum for the settlement of disputes arising from the interpretation or application of the Convention. Established by the Convention, it is comprised of 21 judges, reflecting equitable geographical representation and serving under a system of rotation, which ensures that seven seats are vacated for election every three years. On 24 May, the States parties re-elected six members to the court for nine-year terms; a seventh, from the African Group of States, was newly elected.

The Tribunal had sought an even greater increase for the year 2000 budget than what was received, based on the anticipated judicial workload, the administrative work and the operation of its permanent premises at a suburb outside Hamburg, to which it was expected to move at the beginning of next year. Also, according to the proposal, the actual demands of the Tribunal's work had shown that neither the staff nor the associated resources were adequate.

Nonetheless, the President of the International Tribunal, Judge Thomas Mensah (Ghana), expressed his deep appreciation for the adoption of the year 2000 budget. Although the court had not received precisely what it needed, he said its members understood that what they got was what the governments in their various circumstances were able to provide. He would do everything possible to use those resources rationally and be able to say next time that the Tribunal had been able to achieve its objectives.

In related actions, the States parties adopted a series of amendments to the judges' pension scheme. It was agreed at the eighth meeting of States

parties that a pension scheme, comparable to the one used for members of the International Court of Justice, should be established for Tribunal members. Today's decision was based on a revised proposal submitted by the Tribunal in March, which had reflected relevant General Assembly decisions concerning judges' pensions, as well as the views expressed during the consideration of the matter at the eighth meeting of the States parties.

Following a detailed discussion concerning the contributions to be made by the least developed countries who were States parties to the Convention, it was decided that the contributions to the court would be based on the criteria used to assess payments for the regular budget of the United Nations. The minimum rates of payments by countries would be somewhat more for the Tribunal than for the Organization, in accordance with payments made to the International Seabed Authority. [States parties agreed to a floor rate of 0.01 per cent to the Tribunal, while the Organization required 0.001 per cent. The same ceiling rate of 25 per cent would apply.]

A decision concerning a series of financial regulations governing the Tribunal was deferred until the tenth meeting of States parties. It was, meanwhile, decided that the Tribunal's Registrar would present a final performance report on the use of the budget appropriations each year to the meetings of States parties, pending the adoption of the financial regulations of the Tribunal.

During the discussion of other matters, the President of the meeting, Peter Tomka (Slovakia), withdrew consideration of a decision relating to the Commission on the Limits of the Continental Shelf, specifically relating to the possible establishment of a trust fund to finance the participation of members of developing countries in the work of the Commission. Rather, he recommended requesting that the Commission provide a written assessment of the actual needs and financial estimates, in view of the possible establishment of a trust fund to finance the participation of members from developing countries in the work of the Commission.

The meeting President also proposed the dates for the next meeting, from 22 to 26 May 2000, and noted that the Secretary-General of the International Seabed Authority would have the opportunity to present orally updated information on the current status of that body's work at that meeting.

In closing, he said the past three years had constituted a phase in the development of an important institution, which had now found its proper place. While the budget adopted for the year 2000 might not be ideal, it seemed reasonable and in keeping with the ambitions cherished by all for the peaceful settlement of disputes in the maritime field.

Regarding the unfinished business of the financial regulations of the Tribunal, he encouraged delegations to submit their proposals before 30 November, in order to make it possible to definitively adopt those

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regulations at the next meeting. He congratulated States parties on the adoption of regulations pertaining to judges' pensions. At the same time, he urged States parties in arrears to pay their contributions in full, as the very existence of the Tribunal depended on it.

Convention

The Convention on the Law of the Sea entered into force on 16 November 1994. It embodies a comprehensive framework and detailed rules governing nearly all aspects of jurisdiction over ocean space and exploitation of ocean resources, including defining the outer limits to which coastal States can claim jurisdiction in their adjacent waters. Its underlying purpose is to define States' rights and obligations in the use of the oceans, so as to avoid conflicts and promote stability in international relations.

There are presently 130 parties to the Convention, comprising 129 States and one entity, the European Community.

Budget of Tribunal

The Tribunal's budget proposals were contained in documents SPLOS/WP.10 and SPLOS/WP.10/Add.1. The meeting of States parties also had before it adjustments and supplementary proposals, as contained in documents SPLOS/WP.9 and SPLOS/WP.11, for its consideration of related budgetary matters.

According to the draft budget proposals, the actual demands of the work, including the requirements of the cases already dealt with in the initial period, had shown that neither the staff nor the associated resources provided were adequate. The budgetary arrangements first established for the Tribunal had been based on the determination of the States parties that there should be an evolutionary approach optimizing efficiency. Consequently, in the first two years of its functional phase, and even thereafter, the Tribunal continues to operate with limited staff and resources.

Moreover, the report continues, the Tribunal is scheduled to move at the beginning of the year 2000 from its temporary premises to its permanent premises. The new building and its grounds are being provided by the German authorities free of cost and rent, but the Tribunal will be responsible for all the maintenance, as well as operational expenses. Thus, the expenditures for the year 2000 will be determined largely by the following factors: the anticipated judicial workload; the Tribunal's administrative work; and the operation of its permanent premises.

Under the proposal, the Tribunal requests the sum of $8,705,576 for its operational costs, which is $1,721,759 more than the budget approved for the year 1999.

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The budget document also outlines the work programme of the Tribunal for the year 2000, with the following costs anticipated: $2,126,181.96 to cover the remuneration and expenses for the 21 judges of the Tribunal; $1,368,700 to cover costs associated with the Professional staff of the Registry; $1,293,905 to cover costs associated with the General Service staff of the Registry and $3,916,789.04 for administrative expenses.

In addition, the Tribunal requests an adjustment of the remuneration of the judges for the financial year 1999, based on the review and approval of the General Assembly of the United Nations, at its fifty-third session, of the remuneration of the Judges of the International Court of Justice.

In the event that the meeting of States parties approves the adjustment of remuneration of the judges contained in document SPLOS/WP.10 and that the new level of remuneration will apply effective from 1 January 1999, the Tribunal requests the meeting of States parties to approve a supplementary appropriation in the sum of $171,023.64 (document SPLOS/WP.11).

The eighth meeting of States parties had authorized the establishment of a working capital fund to enable the Tribunal to deal with cases whenever they are submitted and to ensure that the financial operations can be undertaken in accordance with the normal requirements of the applicable regulations and practices. In addition, the eighth meeting of States parties also approved a supplementary appropriation for 1998 to cover expenses for the proceedings in the M/V "Saiga" (No. 1) case. The draft document, therefore, contains the budgetary performance of the supplementary appropriation.

Elections

Elections were held on Monday, 24 May, to fill the seats of seven judges vacated by a system of rotation of Tribunal members. Of those, all but one were re-elections of judges currently serving on the Tribunal. The seven members, elected for a nine-year term beginning on 1 October, were two each from the African and Asian Groups of States, and one each from the Eastern European Group, Latin American and Caribbean Group, and the Western European and Other States Group.

The elected Tribunal members are: José Luis Jesus (Cape Verde); Joseph Akl (Lebanon); Vicente Marotta Rangel (Brazil); Rudiger Wolfrum (Germany); P. Chandrasekhara Rao (India); Paul Bamelo Engo (Cameroon); and Anatoly Kolodkin (Russian Federation). (For additional details about the elections, see Press Release SEA/1616 of 24 May.)

Since the initial election of judges in 1996, the Tribunal has held seven sessions at its seat in Hamburg, Germany, and has dealt with one case for the prompt release in of a vessel and its crew, and with a request for provisional measures. The Tribunal, having ordered the release in 1997 of the merchant ship off the coast of West Africa and its crew on the basis of the

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determination of the bond, is now dealing with the merits of the case, which raise important issues concerning freedom of navigation, the enforcement of customs laws, bunkering and the right of hot pursuit.

Tribunal members will also address the question of whether the bond posted by Saint Vincent and the Grenadines should be paid to the Republic of Guinea or returned to Saint Vincent and the Grenadines, and whether any damages are due to the parties.

Commission on Limits of Continental Shelf

The Commission is the body established by the Convention to assist coastal States wishing to claim extended jurisdiction over their continental shelf jurisdiction beyond 200 nautical miles from their coasts. In cases where the actual shelf -- the natural prolongation of the land territory of coastal States -- extends beyond 200 miles, coastal States can claim jurisdiction over areas that may extend up to 350 miles or more, provided they meet certain technical criteria established in the Convention.

International Seabed Authority

The Authority is the controlling body for regulating all resource- related activities in the international seabed area. It was established in 1994 when the Convention on the Law of the Sea entered into force, and was financed by the United Nations regular budget until 1998. The Convention states that the deep seabed area and its resources are "the common heritage of mankind", and "all rights in the resources of the Area are vested in mankind as a whole, on whose behalf the Authority shall act".

Other Matters

At the closing meeting a representative of the Seamen's Church Institute of New York and New Jersey, Douglas B. Stevenson, expressed the Institute's concern about the shift in focus of maritime law from promoting efficient and practical commercial interests and protecting people, to accommodating the differing interests of coastal States and flag States, dealing with the exploitation of the ocean's resources, and freedom of navigation. Although the Law of the Sea Convention addressed a variety of interests, it fell short of protecting the seafarers.

He also drew attention to a disputed sum of cargo allegedly lost in July 1997 by a vessel sailing from India to Nigeria. When the vessel arrived in Port Sapele, Nigeria, the cargo owner, a Nigerian business, had falsely claimed a $17 million loss for cargo that was worth only about $200,000. Although acceptable security was provided to the Nigerian court that would allow the ship to leave Nigeria, pending adjudication of the claim, the cargo owner used armed force to hold the ship and crew hostage, in order to extort money out of an insurance company for a cargo claim.

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A Nigerian representative said the meeting of States parties was not the adequate forum for "this type of smear on the Government of the Federal Republic of Nigeria". He had taken note of the report and wished to place on record that he was not happy with that particular version of events. He promised to look into that aspect of the report and bring to the attention of this Assembly the proper accounting of events.

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For information media. Not an official record.