More scanners in response to US cargo security initiatives
ON top of non-intrusive scanners, the Bureau
of Customs (BOC) will install gamma ray scanners in three
major ports this year to further comply with the US Megaport
Initiative.
BOC scanning project head Atty Julito Doria said the bureau
is looking at Cebu for Visayas, Subic and Clark for Luzon,
and Cagayan de Oro or Davao for Mindanao as site of the new
scanners.
“These are major hubs. The proposal for the US Megaport
Initiative expansion concentrates on these locations. This
is in preparation for not only for complying with previous
US laws but most especially the 100% scanning of all boxed
cargoes bound for the US,” Doria said.
The latter legislation takes effect in 2012.
“Hopefully with these steps, the country’s exports
to the US will be spared from thorough scanning, thereby reducing
cost and queuing time in Philippine ports,” Doria added.
The BOC official said the Philippines will not spend a cent
in acquiring the gamma ray scanners as these will be donated
by the US Department of Energy (DOE).
The US will install the scanners in the proposed areas and
will maintain and manage them for three years before transferring
liability to the Philippine government.
It is not clear whether there will be charges later on to
recover cost of operation after the scanners are turned over
to the government.
For now, only the Manila International Container Port operated
by International Container Terminal Services, Inc. and the
South Harbor operated by Asian Terminals, Inc. are equipped
with the US Megaport Initiative scanners.
In addition, the US will install nuclear detectors to further
strengthen measures against the US entry of materials used
for weapons of mass destruction.
The US DOE is coordinating with the local nuclear research
institute as an initial step in the installation of the multimillion-dollar
nuclear scanners.
PPA, liner group work out solution to rental arrears
PHILIPPINE Ports Authority (PPA) officials
are in discussion with the Philippine Liners and Shippers
Association (PLSA) for a possible compromise agreement on
the latter’s rental arrears at the Manila South Harbor.
There has been a deadlock in negotiations since 2005. The
liners refuse to settle their arrears contesting that a public
hearing or proper notification was not made prior to the issuance
of charges by the PPA. These charges, the liners claim, are
based on rates that use recently appraised property values.
PPA has not enforced provisions of the lease agreements, which
allow it to revoke the occupancy contract anytime during the
lease period in case of non-compliance with any of the agreement
terms and conditions.
This has prompted the Commission on Audit (COA) to call PPA’s
attention in 2005 to ensure that it collected the P494.99
million in arrears during that year alone.
In a recent report, the COA asked the PPA to either write
off the accounts or settle them immediately as this may thwart
the agency’s capacity to grow, execute strategies, and
attain objectives.
“Continuous reporting of the accounts which are not
virtually certain of collection and the recognition of income
that may never be realized may damage the agency’s reputation
exposing it to loss of public expectation or perception of
mismanagement of operations,” COA said in its report.
It added that PPA should determine which of the accounts have
a real chance of getting collected and those that don’t
should no longer be reflected in the books of PPA.
Based on COA computations, arrears of the South Harbor lessees
have ballooned to P531.86 million by end 2006.
Instead of hiking rates, 2GO and Gothong scrap discounts
2GO and Gothong Lines have stopped giving
discounts rather than increase rates, according to the Maritime
Industry Authority (Marina).
In an interview, Marina administrator Vicente Suazo, Jr.,
said the two firms merely reverted to their previous rates,
contrary to some shippers’ claims that both jacked up
rates without following the rule on increases.
“The two firms informed the Authority that they will
stop giving discounts to shippers to prevent any rate increase
that will be detrimental to the public. Both firms have also
complied with the publication requirement,” Suazo said.
“There is also no such thing as a peak season surcharge.
It is just a matter of reverting back to their original rates
to prevent any increase especially now that there is a very
shallow market,” he added.
The development was triggered by the companies’ inability
to further cope with substantial increases in bunker fuel
since 2004.
2GO, the logistics arm of Aboitiz Transport System Corp, previously
gave its Road Ro-Ro Terminal System clients a 15% discount.
2GO started giving discounts in 2004 in response to the government’s
call for reduced logistics rates.
Gothong gave the same amount of discount to its clients.
THE Bureau of Customs (BOC) will receive
assistance from four countries to fast track the completion
of its computerization project.
Customs deputy commissioner Alexander Arevalo, in an interview,
said the bureau is ironing out the grant from the US Agency
for International Development, the Japan International Cooperation
Agency (JICA), European Union (EU) and another from Korea.
“This would be a first… wherein JICA would combine
a TA (technical assistance) and a grant and they would like
to try it with the Philippine customs agency,” Arevalo
said.
The BOC is awaiting approval of the $10-million TA/grant from
JICA as well as a $500,000 technical sustainability aid from
USAID. The 1-2 million euro assistance from the EU has been
approved in principle. Korea, on the other hand, has yet to
finish its grant study.
JICA will put up a knowledge-base system that will cover data
mining, data warehousing, and statistical analysis, primarily
leveraging on improved data to increase BOC’s collection.
The USAID grant will be used to ensure technical sustainability
of the agency’s e-government projects.
In February this year, the BOC received from the EU 1.3-million
euros for the upgrade of its information technology infrastructure.
The grant covers upgrade of the agency’s maintenance
facility, development of an evaluation database, and the establishment
of a BOC training center, including the development of training
ware for its employees.
The EU grant will also be used to partly fund implementation
of the National Single Window System, a facility that allows
parties in trade and transport to lodge standardized documents
with a single entry point to fulfill all import, export and
transit-related regulatory requirements.
TANKER operators and oil companies are seeking
deferment of the implementation of Republic Act 9483 or the
Oil Pollution Compensation Act until a new law is passed.
The Philippine Petroleum Sea Transport Association (Philpesta),
Association of Tankers Owners of the Philippines (Atophil),
and the “Big 3” oil firms Shell, Chevron (Caltex)
and Petron claimed RA 9483 was poorly crafted and will translate
into higher shipping rates and prices in general.
RA 9483 seeks to implement the 1992 Civil Liability Convention
(CLC) and the 1992 International Oil Pollution Fund (IOPF)
Convention. The law requires tanker operators to contribute
P0.10 of freight to the oil pollution fund for every liter
for every delivery. It also obligates oil firms to contribute
to the IOPF once 150,000 tons of oil is delivered to them.
In a joint position paper, the groups said they are not totally
opposed to the law as it establishes vital aspects in tanker
operations but decried the fact that they were not consulted
in its crafting.
It added that the law is silent on whether international vessels
that will spill oil on Philippine waters is subject to the
same law as Philippine-flagged vessels.
“The law should not only target Philippine-flagged vessels.
(It) should subject all oil-carrying vessels including international
tankers and should not choose which to punish. It also does
not implement the CLC and the IOPC conventions as provided
for in its title but merely provides a domestic regime for
oil pollution compensation,” the group explained in
their paper presented during their first consultation meeting
with the Maritime Industry Authority and the transportation
department on the implementing guidelines of the act.
“Instead, if the government wants a separate law to
cover oil pollution made by vessels on Philippine waters,
it should have completely adopted the full International Maritime
Organization convention on maritime pollution instead of choosing
only certain provisions of the convention,” the group
stressed, adding that the failure only exposes the country
to liability for not properly implementing its treaty obligations.
“The 10-centavo contribution is also a pass-on cost
on our part. It is not us that will suffer but the end users
as they have to pay not only the high price of oil but eventually
transportation and the cost of basic commodities,” the
group added.
The group explained their current insurance coverage such
as the Protection and Indemnity Club of London and the IOPF
are enough to cover any liability of the ship owner during
spillage.
