Home » Maritime, Ports/Terminals, Uncategorized » PPA extends for a year HOA of cargo handlers, terminal operators

The Philippine Ports Authority (PPA) has again extended for another year the hold over authorities (HOA) of cargo-handling/terminal operators with HOAs that have expired or are about to expire to ensure uninterrupted operation at the country’s ports.

PPA general manager Atty. Jay Daniel Santiago, in PPA Administrative Order (AO) No. 17-2019 dated December 18, 2019, said cargo-handling service providers with expired or expiring HOAs should file their letter of intent for the issuance of HOA two months prior to the expiration of their HOAs.

Unless otherwise revoked, the new HOA will be valid for one year or until a new contract and Notice to Proceed are concluded, in accordance with PPA AO 12-2018, or until new guidelines on the selection and award of contract under the Port Terminal Management Regulatory Framework (PTMRF) are released, whichever comes first.

Embodied in PPA AO 03-2016, the PTMRF outlines guidelines on the awarding of terminal management contracts. Under the new port terminal framework, concessions will be performance- or outcome-based, instead of investment-based or based on the number of equipment or facilities to be provided by the concessionaire.

Prior to AO 17-2019, PPA in 2018 had also extended the HOAs that were about to expire pending the implementation of the PTMRF.

The issuance of the HOA will be subject to compliance with certain conditions. Among these are that the cargo-handling operator has no outstanding financial obligation with PPA, and has submitted an updated portworkers retirement and separation fund.

The cargo-handling operator must also have complied with the requirements of concerned government agencies such as Social Security System, Philippine Health Insurance Corporation, and Department of Labor and Employment.

It must also not have any pending case with PPA. – Roumina Pablo

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