Parliament committee mulls business ban for shipowners over environmental fines

The parliament’s Environment and Climate Change Committee on Monday decided to discuss measures to halt the business activities of shipowners who fail to pay fines for environmental damages caused by vessels running aground on reefs.

In recent years, multiple incidents have resulted in damage to reefs due to foreign vessels. Despite imposing fines amounting to millions, the state has recovered only a small portion of the penalties, and no legal action has been initiated against the defaulters.

The committee has previously questioned relevant agencies on the issue. However, Maafannu West MP Mohamed Musthafa Ibrahim said Monday that one institution appeared to be shifting responsibility to another.

He noted that regardless of the fines imposed, businesses can continue their operations in the Maldives. He specifically mentioned MM Export, an Indian company that has incurred the highest penalties for reef damage but remains actively engaged in trade.

According to Ibrahim, MM Export is involved in importing wheat and flour, as well as other sectors, including dredging and excavation. He added that while there is general agreement that such companies should be barred from operating without settling their fines, no mechanism currently exists to enforce such action.

To address the issue, Ibrahim proposed three motions to the committee:

The Attorney General’s Office has also acknowledged that significant fines have been imposed on vessels, but the funds remain unrecovered, posing a challenge to enforcement efforts.