Manila North Harbor Port Inc. is seeking an approval from the Philippine Ports Authority to impose higher cranage rate at Manila North Harbor to offset rising costs.
MNHPI, jointly owned by San Miguel Corp. and International Container Terminal Services Inc., filed a petition before the PPA to impose a 28.46-percent increase in cranage tariff from December 2013 up to December 2017.
For a 20-foot equivalent unit and below containers, the proposed cranage rate is P1,654.56 for loaded from P1,288 and P1,391.22 for empty from P1,083.
For above 20-foot, the proposed cranage rate is P2,314.85 for loaded from P1,802 and P1,396 for empty from P1793.30.
“[This is] to reflect the depreciation of the peso against the US dollar and the year-on-year upward increase of general price level of goods and services, both having an impact on the continued viability of the port’s quay crane operations,” MNHPI said
“With the upward trend in cost of operating quay container cranes such as hiring of skilled crane operators, power costs, and spare parts, the year-on-year inflation has likewise contributed to the increased cost of cranage operations,” it added.
MNHPI to date has eight units of quay container cranes, servicing the requirements of shipping lines, or over the required six units as of 2018.
The cost of total cargo handing equipment acquisitions as of December 2017 was at P5.3 billion, with P3.7 billion related to the cost of equipment complement for cranage operations.
Port development cost to date is at P5.8 billion, with P2.8 billion related to civil infrastructure necessary for crane operations.
The company’s total investment for crane operations was at P6.5 billion.
MNHPI won the 25-year contract to manage, develop and operate the 52-hectare seaport terminal.
The company earlier committed to invest P14.5 billion to develop the port facility.