Commonwealth Numbered Acts

SHIPS (CAPITAL GRANTS) ACT 1987 No. 74, 1987 - SECT 8

8. (1) Subject to this section and section 9, where:

   (a)  a shipowner purchases an eligible ship that has never been
        commissioned; and

   (b)  the ship becomes an Australian trading ship; a grant is payable to the
        shipowner in respect of the ship.

(2) Subject to this section and section 9, where:

   (a)  a shipowner purchases an eligible ship that has been commissioned but:

        (i)    whose construction was completed within the 5 years immediately
               before the purchase; and

        (ii)   which was not registered in Australia before the purchase; and

   (b)  the ship becomes an Australian trading ship; a grant is payable to the
        shipowner in respect of the ship.

(3) Subject to this section and section 9, where:

   (a)  a shipowner converts an ineligible ship registered in Australia into
        an eligible ship by extensively modifying the ship; and

   (b)  after the conversion, the ship is an Australian trading ship; a grant
        is payable to the shipowner in respect of the ship.

(4) A grant is not payable to a shipowner in respect of the purchase or
conversion of a ship unless:

   (a)  there is a category certificate for the ship;

   (b)  the shipowner has remained the ship's owner at all times after the
        purchase or conversion;

   (c)  the ship is in commission;

   (d)  the ship has been an Australian trading ship at all times while it has
        been in commission after the purchase or conversion;

   (e)  at least one crew has been engaged for the ship;

   (f)  all members of the ship's crew or crews after the purchase or
        conversion were Australian residents or members in accordance with an
        approval under subsection 22 (7); and

   (g)  the number of each crew of the ship engaged after the purchase or
        conversion for a voyage of the ship did not exceed the
        maximum crew number for the voyage.

(5) A grant is not payable to a shipowner in respect of a ship unless the
shipowner intends to:

   (a)  remain the owner of the ship for at least the 5 years beginning on the
        payment of the grant; and

   (b)  do all things reasonable to ensure that:

        (i)    while the ship is in commission in those years, the ship will
               be an Australian trading ship;

        (ii)   while the ship is owned by the shipowner, the ship does not
               make a voyage so that it falls into a category not specified in
               its category certificate;

        (iii)  while the ship is owned by the shipowner, all members of its
               crews will be Australian residents or members in accordance
               with an approval under subsection 22 (7); and

        (iv)   when the ship is on a voyage while owned by the shipowner, the
               number of its crew will not exceed the maximum crew number for
               the voyage.