Malaysia

Cabotage exemption revocation a chance to produce skilled local workforce: OMS

It is also an opportunity to make Malaysia a hub for installation, maintenance of submarine cables in region

Updated 5 years ago · Published on 04 Dec 2020 11:25AM

Cabotage exemption revocation a chance to produce skilled local workforce: OMS
Transport Minister Datuk Seri Wee Ka Siong says the decision to cancel the cabotage policy exemption given to foreign vessels was made following discussions with various stakeholders. – Twitter pic, December 4, 2020

SHAH ALAM – The government’s decision to revoke the cabotage policy exemption given to foreign vessels is an opportunity for the country’s submarine cable installation and maintenance industry to produce highly skilled local workers in the field.

Optic Marine Services Sdn Bhd (OMS) chief executive Ronnie Lim Hai Liang said with the exemption, it was not possible for local companies to recruit new skilled manpower while accelerating the transfer of technology due to increased demand.

He said the cabotage policy will support local players and make Malaysia a hub for the installation and maintenance of submarine cables in the region.

“With the expertise established in this company, we will train local engineers and crew to realise the dream of making Malaysia the hub of this industry,” he told reporters here today.

He said OMS owns five cable-laying vessels, but only one is operating in Malaysia, with the rest in Indonesia and France.

“We are in the process of getting a 14,000-tonne vessel capable of installing and repairing submarine cables up to a depth of 8,000m.

“The new vessel will be equipped with suitable equipment to carry out new cable installation work on the seabed and cable maintenance in Malaysia, as well as at the regional level.”

He said the firm has conducted cable installation and maintenance in all Asean countries, adding that it just finished installation works in Argentina.

“The longest installation is almost 6,800km on the seabed of Papua New Guinea, and we have also provided installation services in Indonesia.”

OMS, in operation since 1983, has been active in the submarine cable installation and maintenance industry since 2008. It currently has 70 skilled workers in the field.

On Tuesday, Transport Minister Datuk Seri Wee Ka Siong told the Dewan Rakyat about the decision to revoke the cabotage exemption effective November 15, and the cabinet was informed of the matter two days earlier.

The decision was not made unilaterally, but after the ministry held discussions with various stakeholders, he said.

He said the move was made to reduce the outflow of foreign exchange in the form of freight or charter party payments, and minimise the country’s dependence on foreign vessels by increasing the involvement of local shipping firms. – Bernama, December 4, 2020

Related News

Malaysia / 10mth

MCA: Leadership transition must carefully be managed to avoid any internal turmoil, says former party veep

Malaysia / 10mth

Ka Siong missed crucial chance to address MCA’s ‘existential crisis’ - says ex veep

Malaysia / 1y

MIC & MCA: The emergence of a third force in Malaysian politics?

Malaysia / 1y

MCA committed to contesting future elections, aims to regains seats - Wee

Malaysia / 2y

Something fishy: More leaders berate Rafizi as Padu deadline draws near

Business / 2y

Fresh opportunities for Sabah's sluggish shipping industry as Putrajaya discontinues National Load Centre policy

Spotlight

Malaysia

JPJ temporarily suspends VTA and registration for Chery Omoda 5

Malaysia

Eligibility for PTPTN repayment deferment to be verified with LHDN

Malaysia

Budget allocates two rounds of cash aid to millions of Malaysians in 70th Merdeka year

Malaysia

No Malaysians killed or injured in Riyadh airport attack, says Wisma Putra

Malaysia

JAIS probes viral religious ritual footage, says AI manipulation not ruled out

Malaysia

10-tonne truck ploughs into 11 vehicles: Police probe possible brake failure

World

Trump weighs joining Saudi strikes after deadly Houthi attack on Riyadh airport

You may be interested

Malaysia

Malaysia, Egypt seek higher-level partnership after 67 years of diplomatic ties

Malaysia

AMK slams Eric See-To for using the Quran as a tool for political attacks

Malaysia

RM7.1b security funding targets crime, border threats

Malaysia

Perak state government leaves school bullying and alleged teacher assault cases to police

Malaysia

PAS Senator comes forward in defence of Eric See-To

Malaysia

‘It's Deepavali and not Diwali’ – says MIC deputy president

Malaysia

MCMC probes Facebook post suspected of insulting Islam

Malaysia

Man loses RM12.47 million; cryptocurrency assets vanish