The Philippine Ports Authority (PPA) is allowing its lessees to pay their unpaid accumulated rents in monthly installments beginning this month, without incurring penalties or interest.
PPA Administrative Order (AO) No. 04-2020 grants lessees unable to settle their monthly rentals for the period March 15 to July 31, 2020 the option to pay cumulative rents in monthly installment for five months starting August, without interest and penalties.
The August 3 order took effect on August 6, said PPA.
Lessees who intend to pay in full this month the cumulative rentals from March to July will also not be imposed interest and penalties, according to the same order.
AO 04-2020 applies to all PPA lessees with existing lease contract, agreement, or undertaking and who are affected by community quarantines imposed to stop the spread of COVID-19.
Meanwhile rental payments due from August 1, including the computed monthly installment, should be paid on the due date. Interest and penalty charges will be imposed on late payment of rental due for August onwards, reckoned from the day following the due date.
PPA said AO 04-2020 aims to provide temporary economic relief to its lessees affected by the pandemic as well as the community quarantines, which have been in place since March 15.
AO 04-2020 is also pursuant to Office of the President Administrative Order No. 30, which suspends deadlines for payment of monetary obligations and/or submission of documents during the community quarantine.
It is likewise in line with Inter-Agency Task Force for the Management of Emerging Infectious Diseases Resolution No. 38, which provides a 30-day grace period for residential and commercial rents that fall due during the community quarantines to residential lessees, micro, small and medium enterprises, and other sectors that are not permitted to operate during that period.
Earlier, PPA approved until July 31 all pending applications for accreditation and permit to operate received prior to or after March 15.
