Special PPA unit to operate Leyte’s Palompon port

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Special PPA unit to operate Leyte’s Palompom port
Palompon port in Leyte is now operated by a special unit of the Philippine Ports Authority. The agency took over port management from Bluesky Arrastre and Stevedoring Services, which was operating the port under a holdover arrangement Photo courtesy of PPA.
  • A special takeover unit created by the Philippine Ports Authority will operate Palompon port in Leyte
  • Palompon Port Services took over the management and operations of Palompon port on January 24 from cargo-handling service provider, Bluesky Arrastre and Stevedoring Services Inc.
  • Bluesky’s cargo-handling contract expired in 2015 and it has been operating the port on a hold-over capacity since its last authority to do so expired on December 31, 2022

The Philippine Ports Authority (PPA) has created a special takeover unit to operate Palompon port in Leyte.

The PPA Palompon Port Services (PPS) took over the management and operations of Palompon port on January 24 from its previous cargo-handling service provider, Bluesky Arrastre and Stevedoring Services Inc., PPA said in a statement.

PPS was created under PPA Memorandum Order No. 01-2023 dated January 13, 2023 to ensure continuous and efficient delivery of services at Palompon port, which handles passengers and roll-on/roll-off vessels.

Bluesky’s contract as cargo-handling service provider expired in 2015 and the company has since been operating the port on a hold-over capacity until its last hold-over authorization expired on December 31, 2022.

PPA last year said it will be creating STUs to operate busy ports that currently have no cargo-handling and terminal operators. The STUs will take over and operate the ports, and may bring in the minimum cargo-handling equipment required, which they may lease from the previous operators, PPA said.

READ: PPA special takeover units as interim operators of unmanaged ports

The STUs will run the ports until the contracts to manage and operate the facilities have been turned over to winners of public biddings to be held by PPA for new private cargo-handling service providers.

The creation of STUs is not new, as PPA over the past years has been forming such units to take over the operations of ports when necessary, such as when the existing cargo-handling operator’s contract has expired and no operator has been selected yet.

READ: Special PPA unit to run 2 Samal ports