Overview:
Palau’s temporary management of its Open Ship Registry has been extended for up to a year — not through a standalone bill, but as a rider attached to the country’s newly signed cybersecurity law. Here’s what led to the last-minute maneuver, and why officials say more time was needed.
By: L.N. Reklai
KOROR, Palau — President Surangel Whipps Jr. signed legislation this month extending the operation of Palau’s temporary Open Ship Registry management contract, using a rider attached to the country’s new cybersecurity law rather than a standalone bill.
The extension, tucked into RPPL 12-8, the Palau Cybersecurity Act, allows the current interim operator to continue managing the registry for six months, with the option of an additional six-month extension. Whipps signed the act into law July 21.
The rider addresses a looming deadline tied to the registry’s management transition. Palau terminated its contract with Palau International Ship Registry in December 2025. The Palau Congress, the Olbiil Era Kelulau, subsequently authorized Whipps to hire an interim company to run the registry while the government conducted a bidding process for a new long-term manager. That authorization gave the administration six months to complete the procurement.
With that deadline approaching, the national procurement office and Minister of Public Infrastructure & Industry Charles Obichang appeared before a joint congressional hearing in July to request more time. Officials asked lawmakers to extend both the evaluation period for the long-term contract and the current interim operator’s authority to keep running the registry, saying the move was needed to “ensure the continued and uninterrupted operation of the Registry in the event of a lapse in contractual arrangements.”
Procurement Director Nabeyama told lawmakers the review of bidders’ technical and contractual qualifications has required outside experts and has taken longer than expected. Nabeyama walked OEK members through the procurement process in detail, emphasizing steps taken to keep the evaluation impartial.
Some OEK members questioned why the administration waited so long to request the extension. Obichang apologized, acknowledging that officials underestimated the time and effort the procurement process would require.
To limit any gap after the first interim contract expired, lawmakers attached the extension authorization to the cybersecurity bill as a rider, allowing it to take effect with Whipps’ signature on July 21.
