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PPA revises rules on waste reception fee

  • The Philippine Ports Authority has amended rules on waste reception fee imposed on ships calling government and private ports under PPA jurisdiction
  • PPA Administrative Order No. 08-2021 amends the type and classification of vessels to be charged waste reception fee
  • It also prescribes the per round trip collection of waste reception fee for vessels with short travel time, particularly for domestic vessels
  • AO 08-2021 was published on December 20 and takes effect on December 21

The Philippine Ports Authority (PPA) has amended its rules on the waste reception fee for imposition on ships calling government and private ports under its jurisdiction.

PPA Administrative Order (AO) No. 08-2021 amends the type and classification of vessels subject to the charge of waste reception fee under PPA AO 01-2020. It includes the prescription of a per round trip collection of waste reception fee for vessels with short travel time, particularly for domestic vessels.

READ: PPA adjusts waste reception fee at all ports

AO 01-2020, issued February last year, prescribes the port authority’s new rates for waste reception fees and amends the rates under AO 02-2003 issued in 2003. Under AO 01-2020, the fixed fee is collected per call and the type and classification of vessels covered starts with domestic passenger/cargo vessels with a capacity of more than 15 passengers and up to 6 gross tonnages (GT).

Various domestic and foreign shipping organizations last year wrote to PPA to strongly oppose the increases in waste reception fees under AO 01-2020, saying the fees were “clearly excessive and unreasonable, and thus, inflationary,” among other reasons. Implementation of AO 01-2020 at Manila port was suspended during the height of the pandemic last year.

AO 08-2021, published on December 20 and effective on December 21, applies to all ships calling government and private ports under the jurisdiction of PPA.

The waste reception fee is a total fixed fee (flat rate) and additional service fee that must be paid to the port reception facility (PRF) provider upon the issuance of waste delivery receipt.

The fixed fee is the flat rate imposed on every vessel and covers the costs of the provision of appropriate receptacles for receiving ship-generated garbage, the management of ship-generated waste, and other related wastes and any necessary cleaning arrangements and administration for wastes collected one cubic meter (cu.m.) or less, including zero waste.

Additional service fee, meanwhile, is a fee, in addition to the fixed fee, for the collection of wastes in excess of more than one cu.m. and collection of oily waste, noxious liquid substance.

Under AO 08-2021, only one fixed fee will be levied per round trip of a domestic ship engaging in short travel time from and back to the same port of origin, with the fee to be paid at the port of origin.

Only one-half of the prescribed fixed fee will be levied per trip for a domestic ship engaging in short travel time from one port of origin to one port of destination if the ship does not make a round trip, and the fee should be paid at the port of destination.

Only one fixed fee will be levied for a ship that is docked at wharf, pier, anchorage, or breakwater (inside or outside) for a continuous period. In the duration of docking, mandatory delivery of prescribed waste should be conducted every two days and additional fee will be imposed as stipulated under prescribed waste reception fees.

The fixed fee for motor bancas and domestic passenger/cargo vessels with capacity of more than 15 passengers and up to 35 GT is P500 per one round trip, while the additional service fee is P500 per cu.m. of excess baggage.

For domestic passenger/cargo vessels above 35 GT up to 400 GT, the fixed fee is P750 per one round trip for short travel and P750 per call for long travel. The additional service fee for excess garbage is P750 per cu.m.

For domestic passenger/cargo vessels above 400 GT and up to 1,000 GT, the fixed fee is P1,000 per round trip for short trip and P1,000 per trip for long travel, while the additional service fee for garbage is P1,000 per cu.m. For domestic vessels exceeding 1,000 GT, the fixed fee is P2,000 and the additional service fee for excess garbage is P1,800 per cu.m.

For all covered types of domestic vessels, the additional service fee for oily wastes and noxious liquid substance is P6,500 per cu.m., similar to the rate under AO 01-2020.

For foreign passenger/cargo vessels, the waste reception fee remains the same as that prescribed in AO 01-2020. For vessels up to 1,000 GT, the fixed fee is P10,000 per call with additional service fee of P10,000 per cu.m. of excess garbage. For vessels exceeding 1,000 GT, the fixed fee is P15,000 and the additional service fee is P15,000 per cu.m. The additional service fee for oily wastes and noxious liquid substance is still P20,000 per cu.m.

Exempt from paying waste reception fee are the following:

  • Motor bancas with capacity of less than 15 passengers but required to deliver all prescribed waste to the PRF before leaving the port/terminal
  • Vessels, such as warships, naval auxiliary ships or other ships owned or operated by the Philippines and other flag states used for the time being, only on government non-commercial service
  • Vessels calling at the first port after dry-docking will be exempted from the payment of corresponding fees, provided that the said vessel can present a certification issued by a Maritime Industry Authority-accredited shipyard operator attesting to the fact that the vessel has been to the shipyard for dry-docking
  • A ship categorized as dredger, survey ship, tug/pilot boat and other comparable nature is not “bound” for another port/terminal

The waste reception fee will be billed through a cash and carry system, electronic commerce payment system, revolving fund, or such other payment arrangements mutually agreed by the PRF provider and the shipping company/agent. – Roumina Pablo

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