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Penningtons: Heightened enforcement against illegal anchoring in Malaysian waters

Max Lim and Yong Yee Lee from the Singapore office of UK law firm Penningtons shared insights on Malaysia cracking down on unauthorised maritime activity including illegal anchoring and STS transfers.

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Max Lim, Partner, and Yong Yee Lee, Associate, from the Singapore office of London-based international law firm Penningtons Manches Cooper on Wednesday (6 August) shared insights on Malaysia taking steps to strengthen enforcement to stop unauthorised maritime activity including illegal anchoring and ship-to-ship transfers: 

In recent years, Malaysia has intensified its surveillance and enforcement efforts to address growing concerns over unauthorised activities within its waters. 

One key focus is illegal anchoring which has led to the detention of dozens of foreign flagged vessels, fines and, in some cases, reputational damage for the vessel owners. 

A new era of strict enforcement

In July 2025 the Malaysian Maritime Enforcement Agency (MMEA) and the Malaysian Marine Department reaffirmed their zero-tolerance approach to unauthorised anchoring. 

The MMEA is also commonly referred to as the APMM (Agensi Penguatkuasaan Maritim Malaysia). 

The MMEA and Marine Department issued fresh warnings, heralding a crackdown on unauthorised maritime activity, including illegal anchoring and ship-to-ship (STS) transfers. Notably, this move follows a series of high-profile detentions involving bulk carriers and tankers that failed to obtain proper anchorage permits. Some were even unaware that they had entered restricted waters. 

At the same time, the authorities reaffirmed the requirement for all vessels to keep their AIS (Automatic Identification System) switched on at all times while in Malaysian waters.

Framework

Malaysia regulates anchoring under various statutes, shipping notices, port circulars and technical circulars issued by the MMEA and Marine Department.

Vessels may only anchor in designated areas with prior approval from the Marine Department.

Violations can result in detention, fines and criminal liability for the master and shipowner.

Implications of illegal anchoring in Malaysian waters

  • Immediate detention: vessels found at anchor without valid authorisation may be boarded and detained and, in some cases, escorted to port.
  • Fines and penalties: monetary penalties may reach up to RM 100,000 (approximately USD 21,000) per offence or imprisonment for responsible individuals.
  • Operational delays: detained ships may be held for extended periods, disrupting operations, and leading to potential exposure under charterparties.

Practical recommendations

  • Ensure anchoring occurs only in designated zones with official approval.
  • Submit timely applications for anchorage and STS activities with clear documentation of intent and purpose.
  • Keep AIS active at all times, as required, and promptly notify the Marine Department if temporary deactivation is necessary.
  • Educate bridge and operations teams on local laws and consequences of non-compliance.

Conclusion

Malaysia’s maritime enforcement posture reflects a broader regional trend of coastal states asserting their jurisdictional rights over their waters. Shipowners, charterers and operators must remain vigilant, as ignorance of local laws offers no defence.

Related: UK law firm Penningtons appoints Max Lim as shipping disputes partner in Singapore

 

Photo credit: Malaysian Maritime Enforcement Agency
Published: 7 August, 2025

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LNG Bunkering

PIL’s LNG dual-fuel boxship “Kota Elok” arrives in Singapore on maiden call

As the first of 13 new 13,000 TEU vessels joining its fleet, Kota Elok is equipped to operate on LNG and low-sulphur fuel oil that helps reduce our greenhouse gas emissions.

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PIL's LNG dual-fuel boxship “Kota Elok” arrives in Singapore on maiden call

Singapore-based Pacific International Lines Pte Ltd on Monday (20 July) said its first 13,000 TEU LNG dual-fuel container vessel, Kota Elok, recently made her maiden call to Singapore on 15 July.

As the first of 13 new 13,000 TEU vessels joining its fleet, Kota Elok is equipped to operate on liquefied natural gas (LNG) and low-sulphur fuel oil that helps reduce our greenhouse gas emissions. 

The vessel also incorporated energy-saving features and digital technologies to reduce fuel consumption and enhance operational performance, as well as a bow windshield to improve aerodynamics, contributing to improved fuel efficiency and lower emissions over the course of long-haul voyages.

“Following Singapore, Kota Elok will continue her voyage on our East Coast Service 1 (ES1) route to South America, calling at ports in Brazil, Uruguay, and Argentina before returning to Asia,” the company said in a social media post. 

Kota Elok also became PIL’s first vessel to receive Lloyd’s Register certification for compliance with the IACS UR E26 and UR E27 cyber security requirements.

Developed by the International Association of Classification Societies (IACS), UR E26 and UR E27 are mandatory cyber resilience requirements for newbuild vessels contracted from 1 July 2024. 

 

Photo credit: Pacific International Lines
Published: 21 July, 2026

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LNG Bunkering

CIMC SOE secures order for 12,000-cbm LNG bunkering vessel from Sinopec Clean Energy

Once operational, the vessel is expected to strengthen Sinopec’s domestic coastal LNG bunkering network and help address gaps in China’s alternative fuel bunkering infrastructure.

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CIMC SOE secures order for 12,000-cbm LNG bunkering vessel from Sinopec Clean Energy

China’s Nantong CIMC Sinopacific Offshore & Engineering Co., Ltd. (CIMC SOE) recently signed a contract with Sinopec (Beijing) Clean Energy Co., Ltd. to build a 12,000-cubic metre (m3) LNG bunkering vessel, according to Chinese maritime media.

The vessel is scheduled for delivery in 2028 and will support Sinopec’s efforts to expand its presence in the marine clean energy sector.

Once operational, the vessel is expected to strengthen Sinopec’s domestic coastal LNG bunkering network and help address gaps in China’s LNG bunkering infrastructure.

With this signing , CIMC Pacific Offshore Engineering’s LNG bunkering vessel orderbook is further strengthened, maintaining its leading position in the global market for small and medium-sized LNG bunkering vessels.

The contract also marked another milestone for CIMC SOE, which has seen a sharp increase in orders and business performance this year amid a surge in domestic LNG vessel demand.

 

Photo credit: Nantong CIMC Sinopacific Offshore & Engineering
Published: 21 July, 2026

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Nuclear

ABS awards AiP to Korean institute for SMR-powered container ship concept design

KRISO says AiP recognises the technical feasibility and safety of its concept design, marking an important milestone toward the development of next-generation nuclear-powered commercial ships.

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ABS awards AiP to Korean institute for SMR-powered container ship concept design

Korea Research Institute of Ships & Ocean Engineering (KRISO) on Thursday (16 July) received Approval in Principle (AiP) from the American Bureau of Shipping (ABS) for its concept design of a 15,000 TEU Small Modular Reactor (SMR)-powered container ship utilising Molten Salt Reactor (MSR) technology.

KRISO said the AiP recognises the technical feasibility and safety of its concept design, marking an important milestone toward the development of next-generation nuclear-powered commercial ships.

“This achievement demonstrates international recognition of KRISO’s technological capabilities in the rapidly evolving field of nuclear-powered shipping, supporting the transition toward low-carbon maritime transport,” it said. 

Building on this milestone, KRISO will continue advancing basic and detailed ship design, paving the way for future demonstration and commercialisation of SMR-powered vessels. 

Through continued R&D and international collaboration, KRISO remains committed to strengthening next-generation maritime technologies and contributing to the safe deployment of nuclear propulsion in the maritime industry.

 

Photo credit: Korea Research Institute of Ships & Ocean Engineering
Published: 21 July, 2026

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