The Department of Transportation has ironed out its differences with the Bureau of Customs over the proposed provisions in the draft Customs Administrative Order on the jurisdiction over container yards and facilitation of permits within the South Harbor and the Manila International Container Port.
“The PPA [Philippine Ports Authority] and BoC have discussed each other’s requirements and are working together to address the need of Customs for an area where they can secure seized and abandoned cargoes, among other concerns. The free-flowing of containers in and out of the port is essential to prevent another port congestion,” DOTr Assistant Secretary for Maritime Fernando Perez said.
“We don’t want a repeat of 2014. Therefore, it is necessary for all agencies to work together in crafting this CAO,” he added.
The issue stemmed from several provisions in the draft CAO allowing BoC to establish temporary storage for overstaying and abandoned cargoes within container port terminals that are under the jurisdiction of the PPA.
BoC commissioner Nicanor Faeldon, PPA general manager Jay Santiago, BoC’s lawyer Althea Acas, and other DOTr ranking officials had a meeting last July 17 to discuss the provisions of the Customs order and settle the issue.
“After our discussion with the Bureau of Customs, we were able to sort the differences in so far as interpretation of the CAO is concerned,” Santiago said.
He added that the BoC has the mandate to regulate bonded container yards outside port terminals. However, those inside port terminals, whether operated by PPA or by private operators, should be regarded as components of the entire terminals. Hence, these fall under the supervision of PPA and should not be treated separately.
The collection of fees and permits, as well as licensing within port terminals, shall be under the supervision of the PPA, while those outside shall be handled by the BoC.
“As far as port terminals are concerned, that should still remain with the PPA but doon sa container yards outside of the ports, that will be under the supervision of the BoC,” Santiago said.
Atty. Acas, project manager of BoC’s Project Management Office, for her part, said she welcomed the development “as we continue to improve our system of storage and facilitation of trading goods in partnership with the PPA and our stakeholders.”
At present, the draft CAO is being presented to stakeholders for further fine-tuning and amendments, and is pending approval from the Finance Department.
A draft CAO seeks to implement Section 307 of Republic Act 10863 by imposing rates for storage services in identified customs facilities and warehouses.
PPA assistant general manager Hector Miole said Section 804 of RA 10863 allows the BoC to impose an annual supervision fee on operators of CFWs and customs bonded warehouses, but not for warehousing and storage services.
He said the draft order must be amended to clarify that it is the PPA and not the BoC that has the duty to provide warehousing and storage services and impose fees.
Miole also rejected the BOC’s plan to declare CFWs as part of the BoC’s premises since these facilities are under the PPA. With PNA