Cargo handling equipment in North Harbor sufficient: PPA

The Philippine Ports Authority (PPA) has found out for the second time that the North Harbor has sufficient cargo handling equipment and even exceeded the requirement in its 25-year contract.

In an inventory report by the team tasked by the Acting Port Manager to conduct the inventory, Team Leader Virgilio Padua said 125 various types of equipment were needed to be delivered by the operator of the port, Manila North Harbour Port, Inc. (MNHPI), but the company actually brought in 153 units.

“The total minimum cargo handling equipment requirement per contract is 125 units of various types/capacities. The actual delivery made by the Team showed that MNHPI has 153 equipment available for its use which is in excess of the minimum equipment requirement,” the report said.

The said report was also signed by team members Marieta Odicta, Benjamin Villegas, Willy De Jesus, Renato De Leon, Jr. and Enrico Mendoza.

Because of the excess in the expected equipment at North Harbor, the team said “a more efficient operation at North Harbor” will be ensured.

The inventory was ordered by the General Manager of the Philippine Ports Authority, acting on a request by the Philippine Liners Shipping Association (PLSA), to validate the number of Cargo Handling Equipment being utilized by MNHPI in order to determine its compliance with the equipment requirement in its contract with PPA.

In the report, the team said it started its actual inventory of equipment at the MNHPI motor pool located at Pier 16, moving on a per pier basis from Pier 2 up to the Marine Slipway. The team also made a courtesy call to the shipping lines with existing lease agreements with MNHPI to seek assistance in identifying the leased equipment. All inventoried equipment was photographed for easy reference.

The report said MNHPI owns 33 equipment of various types and capacities while 58 equipment were leased from shipping lines while 62 were being rented out from third party service providers other than shipping lines.

MNHPI also has advanced payments of more than P100 million to port and transport workers for their past services as part of its commitment to comply with the terms of contract with the PPA.

The cash advance payments were made as part of the company’s commitment to ensure labor peace.
On November 19, 2009, the PPA awarded to MNHPI the contract to develop, manage, operate and maintain the North Harbor.

The project will raise more than P6.8 billion in revenues for the PPA over 25 years and decrease port rates at an average of 10-15%. Aside from the absorption of existing port workers, MNHPI is set to hire additional 5,000-10,000 workers for the project.

Jobs will be generated directly and indirectly by the ambitious construction and modern operations entailed in the project. ?