04 September 2007

Your Excellencies
Mr. Efthimios Mitropoulos, Secretary-General of the International Maritime Organisation,

Distinguished Participants,
Ladies and Gentlemen,

It is my pleasure to welcome everyone to Singapore for this Meeting on the Straits of Malacca and Singapore. This is the third chapter in the series of Meetings on the Straits organised under the IMO's "Protection of Vital Shipping Lanes" initiative.

2. I am very pleased to say that this series of meetings has achieved significant and concrete progress. It is an important launch pad for the new framework which we will put in place to advance our dialogue and partnership with users of the Straits. 3. The Singapore Meeting will witness the launch of a historic framework for co-operation in the Straits, known as the Co-operative Mechanism. This Mechanism has taken two years to develop since its inception in Jakarta in 2005 through to its development in Kuala Lumpur last year. But it is two years well-spent, and it will set future co-operation between the littoral States and users of the Straits on a firm footing.

Launch of the Co-operative Mechanism - A Milestone Achievement

4. With the launch of the Co-operative Mechanism today, we will witness a milestone in maritime history. For the first time, the spirit and intent of Article 43 of the United Nations Convention on the Law of the Sea (UNCLOS) will come to concrete actualisation through the establishment of a concrete formal framework.

5. At this point, I want to commend the officials from the three littoral States who have put in many months and long hours of hard work to develop the Co-operative Mechanism. I am sure the process has been challenging. However, the fact that the Mechanism is established within two years of inception is a commendable achievement and bears testament to the robust and excellent relations among the three littoral States.

6. The Co-operative Mechanism is a holistic framework that will give user States and interested stakeholders an opportunity to co-operate in enhancing the navigational safety and environmental protection of the Straits. While the Tripartite Technical Experts Group (TTEG) comprising officials from the littoral States had already been working on these areas, it is now timely to open participation to greater numbers of user States and stakeholders.

7. The Co-operative Mechanism is firmly built on the fundamental principles of respect for national sovereignty and adherence with international law. Yet, the Mechanism takes an open and inclusive approach to allow all interested users of the Straits to get involved in issues important to the continued safe and sustainable use of the Straits. Three concurrent platforms are offered, namely the Co-operation Forum for open dialogues and discussions, the Project Co-ordination
Committee to oversee projects, and the Aids to Navigation Fund to receive direct financial contribution for renewal and maintenance of critical aids to navigation.

Co-operation Forum

8. The first key component of the Mechanism is the Co-operation Forum, which allows all stakeholders - maritime nations, regional economies, shipping industry associations - to meet the littoral states on a regular basis and exchange views on issues pertaining to the Straits. It will be a platform for open dialogue on latest initiatives and projects, future needs of the Straits, new technologies, feedback from the industry, and more. The ideas and perspectives exchanged will keep the Co-operative Mechanism fresh and responsive to changes.

9. Through this cross-fertilisation of thoughts and ideas, new projects for the Straits will surface over time. Feedback will help the littoral states better prioritize its efforts in ensuring navigational safety and environmental protection. It can also enable user states and other stakeholders to determine the areas where they are able to contribute.

Projects Coordination Committee

10. So far the littoral states have identified six projects for current needs that demand the most urgent attention. The implementation of these projects will require co-ordination, given that they deal with the same geographical region and could have synergies. The Co-operative Mechanism therefore includes a Project Co-ordination Committee (PCC) to provide the necessary oversight and ensure that resources are efficiently utilized.

11. The Committee will include the littoral states and contributors to the various projects, and will follow a set of procedures to ensure proper governance and transparency. It is also designed to encourage stakeholders to contribute to the projects by making it possible for them to have a role in their overall co-ordination.

12. Potential contributors may take their pick from a range of projects to which they wish to contribute. They have the flexibility to contribute financially, or in-kind through provision of technical assistance. Contributors also have the flexibility to contribute either in full or in-part to a project, and have the option of co-sponsoring a project together with other contributors.

13. The current six projects deal with a variety of needs, ranging, from the removal of wrecks and improvement of response capability to emergencies, to the maintenance and replacement of aids to navigation. Each of these projects enhances different aspects of the Straits' safety and environment. Each represents an opportunity for user States, the shipping industry and other stakeholders to engage together for mutual benefit. As discussions at the Co-operation Forum progresses, I am sure more projects will be added.

Aids to Navigation Fund

14. The Aids to Navigation Fund is the third component of the Co-operative Mechanism. It is meant to ensure sustained support for the maintenance of aids to navigation in the Straits, such as beacons and buoys, which are critical infrastructure for safe shipping.

15. Navigational aids are particularly crucial for the Straits given its physical characteristics.With only 1.5 nautical miles at its narrowest point, the Straits poses considerable navigational challenges. The occasional lack of visibility caused by seasonal rains in this region adds to the difficulties. It is therefore important to ensure that aids to navigation in the Straits are properly maintained.

16. As a fund focused on aids to navigation, the fund gives donors the assurance that their contributions will be channeled towards a clear specific need. The fund will have proper financial, reporting and audit guidelines to ensure transparency and accountability. As with any contribution to the projects, donations to the fund will be purely voluntary in nature.

Conclusion

17. During the course of our meeting, participants will hear more about the details of the Cooperative Mechanism and its components. We will also hear from user States and the industry their views on the Mechanism. We welcome your ideas and feedback. There will also be presentations by experts on the topics of navigational safety, environmental protection and maritime security. I look forward to a good exchange of ideas and views.

18. In conclusion, the launch of the Co-operative Mechanism marks the beginning of a journey. The challenge before us is to operationalise the components under the Mechanism and its associated projects. I would like to call upon all user States and stakeholders to pledge their support, be it financial or in-kind, towards the Co-operative Mechanism and its various projects. Your concrete support will serve to endorse the bold direction that the littoral States have taken, and reaffirm the need for international co-operation in ensuring the safety, security and environmental protection of the Straits.

19. On this note, let me wish one and all a fruitful meeting over the next three days. Let us remember that our collective efforts will help ensure that the Straits of Malacca and Singapore remains safe and open for international trade and commerce that will in time, bring economic progress and development for all