Shipping lines, PH terminal operators ink new crane productivity rate

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Seated L to R: Cecile Bitare (Association of International Shipping Lines-Port Operations Committee co-chairman), Christian Gonzalez (International Container Terminal Services, Inc vice president and Manila International Container Terminal general manager), Ernst Schulze (Asian Terminals, Inc executive vice president) and Joey Ilagan (AISL-POC chairman) sign the new productivity rate agreement between AISL, ICTSI and ATI. Witnessing the signing (L to R) are Leopoldo Dela Cruz (ICTSI), Atty Max Cruz (AISL general manager), Klaus Schroeder (AISL president), Sean Perez (ATI vice president for Commercial Services and Marketing), Sashe Vasudevan (ATI vice president for Operations), Jose Tristan Carpio (ATI assistant vice president for Treasury & Special Projects) and Voltaire Wycoco (ICTSI).
Seated L to R: Cecile Bitare (Association of International Shipping Lines-Port Operations Committee co-chairman), Christian Gonzalez (International Container Terminal Services, Inc vice president and Manila International Container Terminal general manager), Ernst Schulze (Asian Terminals, Inc executive vice president) and Joey Ilagan (AISL-POC chairman) sign the new productivity rate agreement between AISL, ICTSI and ATI. Witnessing the signing (L to R) are Leopoldo Dela Cruz (ICTSI), Atty Max Cruz (AISL general manager), Klaus Schroeder (AISL president), Sean Perez (ATI vice president for Commercial Services and Marketing), Sashe Vasudevan (ATI vice president for Operations), Jose Tristan Carpio (ATI assistant vice president for Treasury & Special Projects) and Voltaire Wycoco (ICTSI).

The Association of International Shipping Lines (AISL) through its Port Operations Committee recently concluded an agreement with Manila-based International Container Terminal Services, Inc (ICTSI) and Asian Terminals, Inc (ATI) for an improved productivity rate of 24 moves net per crane hour.

The existing crane productivity rate required from the two port operators is 22 moves per hour per Philippine Ports Authority (PPA) Operations Memo Order No. 03-2002 dated January 11, 2002.

The need for improved crane productivity is in response to the 17% tariff adjustment on vessel-related charges recently granted by PPA to ICTSI/ATI. The new charge will be implemented in two tranches — 6% effective November 18, 2011 and 11% on May 18, 2012.

With the change in productivity rate, the parties will formally request PPA for immediate amendment of PPA Operations Memo Order No. 03-2002. The PPA meeting will also tackle “exclusions” and “deductions” in the determination of productivity. It was agreed that the new productivity rate shall take effect upon effectivity of approval by the Authority.

AISL president Klaus Schroeder welcomed the signing of a productivity agreement, saying improved crane productivity rate is a measurable mechanism to soften the impact of the tariff increase.

AISL general manager Atty Max Cruz added the agreement is a testament to ongoing efforts of AISL and ICTSI/ATI in setting a higher and more competitive standard of efficiency and reliability in port operations.

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