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Friday, May 3, 2024

ARTA nixes PPA proposal to curb port congestion

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The Anti-Red Tape Authority (ARTA) thumbs down the proposed implementation of the Philippine Port Authority’s (PPA) Trusted Operator Program – Container Registry and Monitoring System (TOPS-CRMS) after a thorough re-evaluation of the regulatory impact assessment of the project.

ARTA Secretary Ernesto Perez attested to the impartiality of the review which according to him was not influenced by external factors.

“Our re-evaluation was diligent, and it stands as our final recommendation, unless either party provides relevant additional documents,” Perez said.

Based in its findings, ARTA recommends that PPA explore cost-effective alternatives to address potential congestion without burdening stakeholders. However, the final decision on implementing the regulation rests with the PPA and the PPA Board.

ARTA conducted the re-assessment on request of various stakeholders to be affected by the proposed regulation. 

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The re-evaluation process is pursuant to ARTA’s mandate to review the proposed regulation by the PPA under Section 17 (g) of Republic Act No. 11032, or the Ease Doing Business Law. 

The agency released the report to relevant agencies last July 25.

The re-evaluation process, based on several grounds, considered valuable input and data from both government agencies and private stakeholders. 

A key concern for re-evaluation was the PPA’s statement during a June 2023 consultation meeting, stating that there is currently no port congestion. This contradicts the system’s intended purpose, as stated in the submitted RIS.

Although it was noted that the TOP-CRMS was preventive for future congestion, the costs of implementation for the industry should be thoughtfully considered, the agency said.

ARTA remains open to considering new evidence that could impact the evaluation outcome, reflecting their commitment to transparency and fair, evidence-based decision-making. 

This is in line with a directive of President Ferdinand Marcos, Jr. in his 2023 State of the Nation Address (SONA) to solidify the Philippines’ reputation as an attractive and reliable investment destination through an enabling business environment and upholding the rule of law.

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