Clause 11

by deleting the word “vessel” wherever it appears in subsection (1)(b)(i) and (ii) and substituting in each case the word “ship”;

by deleting the words “on or after 22nd February 2010” in subsection (1)(e) and substituting the words “at any time in the period between 22 February 2010 and 23 February 2015 (both dates inclusive)”;

by deleting the word “and” at the end of subsection (1)(e);

by deleting the words “, a foreign dredger, a foreign seismic ship or any foreign vessel used for offshore oil or gas activity” in subsection (1)(g)(i) and substituting the words “used for a prescribed purpose”;

by deleting sub‑paragraphs (ii) and (iii) of subsection (1)(g) and substituting the following sub‑paragraphs:“(ii)the assignment to another of all its rights as the buyer under a contract for the construction of a ship for a prescribed purpose that, at the time of assignment, is intended to be a foreign ship to be used for that or any other prescribed purpose; or

the sale of all of the issued ordinary shares in a special purpose company of the approved international shipping enterprise where, at the time of the sale of the shares, the special purpose company —

owns any foreign ship that is used for a prescribed purpose;

is the buyer under a contract for the construction of a foreign ship for a prescribed purpose that is intended to be used for that or any other prescribed purpose; (C)owns a Singapore ship within the meaning of section 13A(16) or a ship that is provisionally registered under the Merchant Shipping Act (Cap. 179); or

is the buyer under a contract for the construction of a ship that, at the time of the sale, is intended to be registered or is provisionally registered under the Merchant Shipping Act;”;

by deleting the words “ship, dredger, seismic ship or any vessel used for offshore oil or gas activity” in subsection (1AA)(a) and substituting the words “foreign ship used for a prescribed purpose”;

by deleting paragraph (b) of subsection (1AA) and substituting the following paragraph:“(b)any income of an approved international shipping enterprise from carrying on a business of trading in foreign ships used for a prescribed purpose, or of constructing for sale foreign ships for a prescribed purpose.”;

by deleting the full‑stop at the end of paragraph (g) of subsection (1) and substituting a semi‑colon, and by inserting immediately thereafter the following paragraphs:“(h)on or after 24 February 2015 from providing prescribed ship management services to any qualifying special purpose vehicle in respect of ships owned or operated by the qualifying special purpose vehicle, unless the conditions of its approval otherwise provides;

on or after 24 February 2015 from —

any mobilisation or holding of any ship used or to be used for offshore oil or gas activity outside the limits of the port of Singapore; or

the demobilisation of any ship after it has been so used,where the mobilisation, holding or demobilisation is undertaken by the approved international shipping enterprise itself using a foreign ship;

on or after 24 February 2015 from —

any mobilisation or holding of a foreign ship owned or operated by the approved international shipping enterprise and used or to be used for offshore oil or gas activity outside the limits of the port of Singapore; or

the demobilisation of a foreign ship owned or operated by the approved international shipping enterprise after it has been so used; and

on or after 24 February 2015 from the leasing of any container (other than finance leasing) carried out in connection with its operation of foreign ships and that is incidental to such operation.”;

by inserting, immediately after subsection (1AA), the following subsection:“(1AB) Unless the Minister or such person as he may appoint permits in a particular case, subsection (1)(h) does not apply to the provision by an approved international shipping enterprise of prescribed ship management services to a qualifying special purpose vehicle, if at least 50% of the total number of the issued ordinary shares of the enterprise are beneficially owned, whether directly or indirectly, by another approved international shipping enterprise.”;

by deleting “2016” in subsection (2A) and substituting “2021”;

by inserting, immediately after the words “paragraphs (a) to (f)” in subsection (4), the words “and (h) to (k)”;

by inserting, immediately after the definition of “approved” in subsection (6), the following definitions:“ “container” has the same meaning as in section 43ZA(7);“demobilisation”, “finance leasing”, “holding”, “mobilisation” and “prescribed ship management services” have the same meanings as in section 13A(16);”;

by deleting the definition of “international shipping enterprise” in subsection (6) and substituting the following definition:“ “international shipping enterprise” means a company resident in Singapore —

owning or operating ships; or

which has a qualifying special purpose vehicle which owns or operates ships;”;

by deleting the definition of “qualifying special purpose vehicle” in subsection (6);

by inserting, immediately after the definition of “international shipping enterprise” in subsection (6), the following definitions:“ “prescribed purpose”, in relation to a ship, means use for —

the carriage of passengers, mail, livestock or goods;

dredging, seismic, or offshore oil or gas activity;

a towing or salvage operation; or

the mobilisation, holding or demobilisation of another ship;“ship” has the same meaning as in section 2(1) of the Merchant Shipping Act;”;

by deleting the words “and (f)” in the definition of “special purpose company” in subsection (6) and substituting the words “, (f), (i) and (j)”;

by inserting, immediately after subsection (6), the following subsection:“(7) In this section, “qualifying special purpose vehicle”, in relation to a company referred to in paragraph (b) of the definition of “international shipping enterprise” in subsection (6) or an approved international shipping enterprise (called in this subsection the entity), means —

an approved company —

which is incorporated and resident in Singapore; and

at least 50% of the total number of the issued ordinary shares of which are beneficially owned, whether directly or indirectly, by —

the entity; or

a company which beneficially owns (whether directly or indirectly) at least 50% of the total number of the issued ordinary shares of the entity;

an approved company —

which is incorporated outside Singapore; and

at least 25% of the total number of the issued ordinary shares of which are beneficially owned, whether directly or indirectly, by the entity;

an approved partnership —

which is registered or formed outside Singapore; and

of which the entity is entitled, whether directly or indirectly, to at least 25% of its income;

an approved company —

which is incorporated and resident in Singapore, and at least 50% of the total number of the issued ordinary shares of which are beneficially owned directly by another company which is a qualifying special purpose vehicle by virtue of paragraph (a)(ii)(B); or

which is incorporated outside Singapore, and at least 25% of the total number of the issued ordinary shares of which are beneficially owned directly by another company which is a qualifying special purpose vehicle by virtue of paragraph (a)(ii)(B); or

an approved partnership which is registered or formed outside Singapore and one of the partners of which is a company which is a qualifying special purpose vehicle by virtue of paragraph (a)(ii)(B), and is entitled to at least 25% of its income.”;

by deleting the word “or” at the end of subsection (7)(d)(ii);

by deleting the full‑stop at the end of paragraph (e) of subsection (7) and substituting the word “; or”, and by inserting immediately thereafter the following paragraph:“(f)any other partnership or company that is approved under subsection (8) as a qualifying special purpose vehicle of the entity, so long as it satisfies the conditions imposed under that subsection.”; and

by inserting, immediately after subsection (7), the following subsection:“(8) The Minister or such person as the Minister may appoint may, in a particular case, and subject to such conditions as the Minister or person considers fit to impose, approve any partnership or company not specified in paragraphs (a) to (e) of subsection (7), as a qualifying special purpose vehicle of the entity mentioned in that subsection.”.