Stakeholders decry new PPA order

MEMBERS of the ‘Aduana Business Club, Inc.’ (ABCI), an alliance of waterfront stakeholders, decried the latest administrative order of the Philippine Ports Authority (PPA), on the “registration and monitoring” of cargo containers, saying no public consultation was made and that it is just a “duplication” of one of the functions of the Bureau of Customs.

Abraham ‘Abe’ Rebao, ABCI vice president for trucking, in a talk with Pinoy Exposé, stressed they were never consulted by the PPA in coming out with Administrative Order (AO) 04-2021 dated September 22, 2021 and which is expected to be implemented this October 19, 2021.

The order, signed by PPA administrator, Atty. Jay Daniel Santiago, is to become the new “policy” in the registration and monitoring of containers entering and leaving the PPA ports including the scheduling, loading, unloading, release and movement of all containers.”

Aside from this, the order claimed it would generate an “explicit and non-repudiable” record of accountabilities” that would allow the PPA to “monitor the movement of containers from the time of entry, discharge, return and storage and re-export” while also promoting “competitiveness” and “cost-saving mechanisms” for the “mutual benefit” of importers and “foreign carriers” thru an “insurance policy from authorized and accredited insurance providers as an available option in lieu of the current container deposit and container maintenance fees.”

But aside from not conducting any public hearing, Rebao said the stated objectives is a just a “duplication” of the functions of the Container and Cargo Control Division (CCCD) of the Bureau of Customs.

“Yung monitoring, ginagawa na, matagal na, ng CCCD ng BOC,” Rebao said.

He said they also consider the new insurance fee to be collected from them by the PPA as another “burden” as importers and cargo handlers are already mandated by customs laws to insure their cargoes and as also a requirement by the Association of International Shipping Lines (AISL).

Rebao added their group is also “suspicious” of the PPA’s intention to acquire another technology service provider in order to implement the container registration program and the “monopoly” on insurance that would arise with the PPA having the authority to name the insurance companies that would be accredited.

“Nagpapasalamat kami kay BBM dahil sa lahat ng kandidato (pangulo), siya lang ang nagpahayag ng suporta sa aming sektor” — Abraham Rebao, ABCI VP for trucking

Santiago himself admitted that no prior consultation was made with the waterfront stakeholders and that this would only come once AO 4-2021 takes effect, when ABCI members have no more time to issue its appeal and opposition.

Paragraph 6 of the order reads, “PPA shall prescribe the implementing operational guidelines on container registration and monitoring. Prior consultation with affected sectors shall be conducted prior to the implementation of the guidelines.”

Similar to ‘TABS’

At the height of the so-called ‘port congestion’ at the country’s two major ports, the Port of Manila (POM) and the Manila International Container Port (MICP), the Aquino administration, in 2015, introduced the ‘Terminal Appointment Booking System’ (TABS), another ‘technology-driven’ trucking appointment system.

Initially a “free service” provided to ABCI members by the private arrastre operators and the PPA for POM and MICP, ABCI members are now paying between P300 to P500 per truck before they are allowed inside the container yards.

However, Rabe noted that despite the “deceptive low amount” for registration with the TABS system, the “penalty” imposed is a hefty P5,600 per day for trucks entering the container yard behind or ahead of their allotted time frame.

Instead of contributing to the ease of doing business, lowering costs and contributing to trade facilitation, the ABCI and the Confederation of Truckers Association of the Philippines (CTAP), have derisively called TABS as the ‘The Aquino Business Syndicate’ as all fees for TABS go into the private bank accounts of the arrastre operators and since the controversial program was initiated by the past administration.

He further noted that thru the initiative of the BOC under Comm. Rey Leonardo Guerrero, the problem of port congestion at the POM and MICP had already been addressed but still, TABS has remained, generating at least “P1.2 billion” each year for the arrastre operators, Rabe claimed.

‘Thankful’ to BBM, Gadon

In the course of this paper’s discussion with Rabe, he also expressed ABCI’s gratitude to former senator, Ferdinand ‘Bongbong/BBM’ Marcos, who, he said, was the “only” presidential candidate “to offer” his support in solving the problems of the country’s trucking sector as represented by 400,000-strong CTAP.

“Nagpapasalamat kami kay BBM dahil sa lahat ng kandidato, siya lang ang nagpahayag ng suporta sa aming sektor,” Rabe said, as he also acknowledged the support given to the group by Atty. Larry Gadon, who is running for the Senate under the ticket of BBM.

Gadon had vowed to block the implementation of AO 4-2021 until all the concerns of CTAP/ABCI have been addressed.

Gadon also promised to bring the issue to the personal attention of transport secretary, Arthur Tugade.

The PPA is an agency under the Department of Transportation.