(1) Subject to
subsection (2), if any oil residues that cannot be discharged from a ship into
State waters without the commission of an offence against section 8(1) are not
retained on board the ship while the ship is in State waters, the master and
the owner of the ship are each guilty of an offence punishable, upon
conviction, by a fine not exceeding —
(a) if
the offender is a natural person — $50 000; or
(b) if
the offender is a body corporate — $250 000.
(2) Oil residues may
be discharged from a ship to a reception facility provided in accordance with
Regulation 12 of Annex I to the Convention.