PPA: Cargo-handling rate increase
will have to wait
THE Philippine Ports Authority (PPA) is deferring
its decision over a rate increase petition filed by cargo
handlers, saying it is not justifiable at the moment.
ÒWe still have to further study if there is really
a need for an increase,Ó PPA assistant general manager
for corporate and special projects Raul Santos told PortCalls.
A panel created to determine if the increase is warranted
will ultimately decide on the matter.
Domestic cargo handlers, headed by the Philippine Chamber
of Arrastre and Stevedoring Service Operators (PCASSO), are
once again asking for a rate increase after enforcing a 15%
across-the-board hike in December of 2005.
PCASO said the 15% is the balance of the 30% it originally
requested from the PPA in 2005.
The group said the approved 15% increase is not even enough
to cover expenses related to labor, fuel and power and other
economic disturbances in the past few years.
Santos, however, believes otherwise considering the decrease
in fuel prices in the past few months.
The PCASSO petition covers arrastre and stevedoring services
at the Manila North Harbor, and does not involve cargo-handling
operators International Container Terminal Services, Inc.,
and Asian Terminals, Inc.
A check at both terminals revealed they have no plans to ask
for another rate increase at the present time.
Last year, the PPA had approved a 15% across-the-board cargo-handling
rate increase but later held its implementation pending resolution
of issues related to inflation targets by the National Economic
and Development Authority.
Shippers, led by the Distribution Management Association of
the Philippines, said any increase will be passed on to consumers.
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Southern
Mindanao to receive more port funds
THE Philippine Ports Authority (PPA) will
spend at least P120 million this year, mostly to develop smaller
ports in southern Mindanao, a report by port district manager
office-Southern Mindanao Abdussabor Sawadjaan said.
Part of the budget will go to the P24.93-million phase II
Maco Port development in Compostela Valley Province. The project
includes extension of the existing reinforced concrete pier
and the installation of a breasting dolphin, which will be
used as a protective structure for docking vessels. The port
mainly handles wooden chips from Davao region.
The Port of Mabila, in Balut Island, Sarangani Municipality,
Davao del Sur Province, meanwhile, will receive P42.84 million
for rehabilitation work which started in late 2006. Underway
are the construction of a roll-on roll-off (ro-ro) ramp, breasting
dolphins, mooring structures, rubber dock fenders, rubber
tire fenders and installation of modern port lighting facilities.
Sawadjaan said Mabila is considered one of the major trading
partners of General Santos and with links to Davao City, additional
infrastructure will propel its prospects for commerce and
tourism.
PPA is also bidding out a P13.48-million project for the construction
of a ro-ro ramp in the Port of Banay-Banay, in Davao Oriental.
Banay-Banay, recognized mainly for its chrome deposits and
its rice varieties in Davao region, is being positioned as
a trading hub for the direct transport of raw products to
Cebu City, China and other countries.
PPA has also allocated P20 million for the development of
San Isidro Port in Davao Oriental and P43 million for Babak
Port, the nearest link of mainland Davao City to Igacos, a
key tourist destination in the Davao region.
In Western Min-danao, the ports of Ipil, Margosatubig, and
Pagadian — all in Zamboanga del Sur — will receive
an estimated P60.1 million for various rehabilitation, reclamation,
expansion, and ro-ro projects for 2007.
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Subic to host x-ray machines
THE Subic Bay Metropolitan Authority (SBMA)
has agreed to install non-intrusive scanning machines in its
premises to be operated by Customs officials.
Customs commissioner Napoleon Morales said the SBMA is allotting
four hectares in which to install the x-ray scanners, in addition
to five hectares near Tipo gate to serve as site for a new
P50-million Customs building. The present Customs building
is being reclaimed by SBMA for its own use.
Container traffic in Subic is expected to double when the
modernized Container Terminal 1 is completed next month and
Terminal 2 by July also of this year.
The $215-million terminal, whose operation is being bid out
this year, is eyed to process an estimated 100,000 to 150,000
containers by yearend, increasing to 250,000 by 2008.
The new terminals cover a total area of 41 hectares and will
have two berths.
With a draft of up to 13.7 meters, the SBMA said the terminal
can accommodate Panamax vessels and its larger sibling, the
post-Panamax class container ships.
Present cargo operator International Container Terminal Service,
Inc. (ICTSI) has already submitted its proposal to operate
the port. SBMA is asking other port operators to challenge
the proposal. If unchallenged, SBMA may award the management
and operations of the port by June.
Under the port’s terms of reference, the minimum bid
is $1.5 million annually in lease and concession fees and
revenue sharing per container of 10% to 14% per container.
The winning bidder will operate the new terminal for 30 years.
SBMA hopes to generate at least $45 million in lease and concession
fees for the 30-year period to cover its investment, $3.5
million per year as its share in the port, and an estimated
$1 million in annual wharfage fee.
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ICTSI
orders equipment for Syria port concession
INTERNATIONAL Container Terminal Services
Inc. (ICTSI) has ordered two new Liebherr LHM 400 mobile harbor
cranes to provide specialized over-the-quay container handling
power at its new Tartous container terminal concession in
Syria.
The two new mobiles are the first cranes to be ordered for
such duty in Syria, where geared vessels have traditionally
undertaken container handling.
The units, scheduled for delivery on July 1, 2007 will both
feature a 41-ton lifting capacity under the spreader and the
ability to serve Panamax-dimension vessels with up to 13 rows
of containers on deck.
Their arrival is intended to facilitate the terminal’s
start-up following ICTSI signing a 10-year Tartous container
terminal concession at the end of November 2006. Initial operations
will commence in May 2007.
The two mobile harbor cranes are for use by Tartous International
Container Terminal prior to the arrival of two ship-to-shore
gantries to be ordered soon by the Tartous General Port Company
directly, and scheduled for delivery in 2008.
ICTSI plans to invest about $39 million on the new container
terminal over the lifetime of the concession. Located on the
North Quay, Pier B in the port of Tartous, the facility features
a 540m quay and 250,000 square meter back-up area.
In addition to the two mobiles, investments are also now underway
in terminal superstructure, landside container handling equipment,
a container terminal management system incorporating user
friendly client interfaces, and in human resources and training.
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