Pilotage fee compromise deal struck at Mindanao port

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The Philippine Liner Shipping Association (PLSA) and the United Harbor Pilots Association of the Philippines (UHPAP) have agreed on a compromise deal that will resume suspended vessel services at the Port of Cotabato, also known as Polloc Port, in Mindanao following a dispute on pilotage fees.

Since the latter part of November, vessel operators ATS Consolidated, Inc, Lorenzo Shipping Corp, and Span Asia Carrier Corp have dropped Polloc from their ports of call due to exorbitant fees levied by UHPAP members stationed at the port.

Prior to the compromise agreement, the operators claimed to have been paying pilotage fee of P13,000 per move for vessels 500 to 3,000 gross revenue tons (GRT); P17,000 per move for vessels above 3,000 to 7,000 GRT; and P29,000 per move for vessels 7,001 GRT and above.

The compromise agreement, brokered by the Office of the Acting Regional Governor of the Autonomous Region of Muslim Mindanao, sets the all-in cost for pilotage rates for vessels 500 to 3,000 GRT at P2,850 per move; for vessels 3,001 to 7,000 GRT, P3,850 per move; and for vessels 7,001 GRT and above, P5,350 per move.

The fee for pilot service launch and utilization for line handling is also now P1,500 while professional pilotage fees is P300, the same under Executive Order 1088. All fees are value-added tax inclusive.

Additional remuneration for pilots in lieu of tug is P1,050 per move for vessels 500 to 3,000 GRT; P2,050 per move for vessels 3,001 to 7,000 GRT; and P3,550 per move for vessels 7,001 GRT and above.

The compromise agreement also provides that unpaid pilotage services prior to the deal will be paid by shipping lines to UHPAP Polloc at rates per move provided in EO 1088 at P300 whether for docking or undocking.

Polloc port handles about 100 twenty-foot equivalent units a month.

Port of Cotabato photo from http://ppasomin.com.ph/ppasomin/pmo_cot.html#