150 



other way. The International Registry Au- 

 thority will also have to keep in mind that 

 its purposes will be defeated if it fixes the 

 rates of payment so high as to discourage 

 exploration and exploitation of the mineral 

 resources of the deep seas. 



Powers and Duties of Registering 

 Nations 



Each Xation registering a claim should 

 agree to enact domestic legislation to assure 

 that : 



• The business entity on whose behalf the 

 claim is registered complies with the con- 

 ditions imposed by the International Reg- 

 istry Authority and reasonably accom- 

 modates other uses of the subsea area 

 covered by the registered claim, the super- 

 jacent and surface waters, and the air 

 above them along the lines specified in the 

 Convention on the Continental Shelf. 



• The specified fees and payments are sub- 

 mitted to the International Registry 

 Authority. 



• Its civil and criminal laws are applied to 

 protect exploration and exploitation ac- 

 tivities under its registered claims, includ- 

 ing the personnel involved, and the neces- 

 sary installations and other devices against 

 piracy, theft, violence, and other unlawful 

 interference. 



The registering nation's failure to dis- 

 charge these obligations effectively should 

 suliject its registered claims to revocation by 

 the International Registry Authority. 



The registering nation, of course, will be 

 able to apply any other of its domestic laws 

 not inconsistent with the recommended 

 framework to the exploration and exploita- 

 tion activities under its registered claims, 

 such as laws concerning working conditions ; 

 the production and marketing of the ex- 

 tracted minerals; and the taxation of the 

 income from sucli activities. 



Limited Policing Functions for the 

 Registry Authority 



The Commission does not recommend that 

 the International Registry Authority be 

 given initial policing functions. However, be- 

 cause we recommend that the Authority be 

 empowered to cancel a registered claim if the 

 registering nation fails to discharge its ob- 

 ligations properly, the Authority must have 

 the means to perform this function fairly 

 and with full knowledge of the facts. Accord- 

 ingly, the Authority should be empowered to 

 inspect all stations, installations, equipment, 

 and otlier devices used in operations under a 

 registered claim and to conduct appropriate 

 hearings. 



Dispute Settlement 



The International Registry Authority ini- 

 tially should settle disputes arising under the 

 recommended framework. At the request of 

 any party to the dispute, however, the Au- 

 thority's initial decision, including a decision 

 to revoke a registered claim, should be subject 

 to review by an independent arbitration 

 agency possessing expertise in resolving the 

 kinds of issues likely to be presented. 



The Commission's recommendations set 

 forth above are intended to create interna- 

 tional machinery for the international recog- 

 nition of claims to exclusive access to subsea 

 minerals in large enough areas for long 

 enough periods of time to make operations 

 profitable. In this way, nations and private 

 entrepreneurs will be encouraged to make the 

 scientific and technological efforts and the 

 other major capital investments needed to 

 develop the mineral resources of the deep 

 seas. 



The recommendations will minimize inter- 

 national conflict. While the "first-come, first- 

 registered" principle governing the Interna- 

 tional Registry Authority may stimulate a 



