Tuesday, May 24, 2022
HomeBreaking NewsPPA proceeds with P877.6M container monitoring project

PPA proceeds with P877.6M container monitoring project

  • PPA proceeds with P877.6M container monitoring project
  • The Philippine Ports Authority signed on May 2 the project contract with joint venture NextIX Inc. and Shiptek Solutions Corp
  • A notice to proceed was also issued
  • The JV was ordered to begin work on the system upon receipt of the notice to proceed

The Philippine Ports Authority (PPA) is proceeding with the P877.6-million container registry and monitoring system for inbound containers following the May 2 contract signing with winning bidder, the joint venture of NextIX Inc. and Shiptek Solutions Corp.

PPA issued the notice to proceed also on May 2. The joint venture will implement the Trusted Operator Program-Container Registry and Monitoring System (TOP-CRMS) and Empty Container Storage Shared Service Facility (ECSSSF), and was instructed to begin work upon receipt of the notice to proceed.

The JV was the lone bidder for the project when the opening of bids was conducted on March 22.

The project covers the supply, delivery of full technology stack, financing, technical implementation services, and provision of managed services to implement the TOP-CRMS of PPA.

In its bidding documents, PPA said it intended to procure a TOP-CRMS “that will introduce rational, cohesive, and integrated solutions which will solve persistent systematic problems affecting the overall performance and efficiencies of the PPA in areas related to its frontline and regulatory services, third-party managed services, enforcement services, and inter-agency services.”

The TOP-CRMS consists of inter-related program components, namely, the TOP; the container identification and control program; the container tracking program; and the container availability and insurance program.

The TOP will provide conventional and mobility systems and technology infrastructure to capture, store, and process subscription and transactional activities and integrated services made available to trusted operators.

The container identification and control program will enable PPA to digitally capture all inbound shipping containers in advance before its entry to any port in the country.

The container tracking program will enable PPA to digitally tag all inbound shipping containers with a tracking device to provide full visibility of the utilization, movement, and location of every foreign-owned container.

The container availability and insurance program, on the other hand, will provide local importers access to container insurance services and provide PPA the ability to monitor financial transactions required by shipping lines for all inbound containers to safeguard government revenue interests.

TOP-CRMS will be rolled out in two pilot ports that account for 98% of all container traffic–the Manila South Harbor and Manila International Container Terminal.

Under the contract, completion of services for technical implementation phase should not exceed 12 months from the joint venture’s receipt of the notice to proceed, while the managed services will come one year after the system goes live or the operationalization commissioning of the technical implementation phase.

PPA conducted a virtual public hearing in June last year for its proposal to record and monitor in realtime the movement of all import containers.

In October 2021, PPA issued Administrative Order No. 04-2021, prescribing the policy on the registration and monitoring of containers entering and leaving PPA ports, including scheduling, loading, unloading, release and movement of all containers.

READ: PPA to require registration of foreign boxes, container insurance

Under the policy, PPA will adopt a system for the registration and monitoring of containers. Features would include a facility to record all containers passing in and out of the port terminals.

Foreign containers in PH to require registration, container insurance – Bing video

The system requires registration of all import containers and securing a container insurance policy. The insurance policy will be used in place of the container deposit and container maintenance fees “to protect local importers from additional transaction costs.”

AO 04-2021 covers all containers originating in foreign ports that will be unloaded at government or private ports under administrative jurisdiction of PPA.

PPA has scheduled a May 11 public consultation on TOP-CRMS operating guidelines.

Stakeholders earlier voiced concerns that the proposed system might just duplicate those already in place for containers, particularly containers set for discharge from terminals.

An alliance of customs brokers and truckers had also requested a moratorium on all bidding for the TOP-CRMS and ECSSSF pending a public hearing and clarification of issues raised by stakeholders. – Roumina Pablo

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