Delayed Manila harbour project gets green light

The Philippine Ports Authority (PPA) has finally given the go-signal for the take-over by a private consortium of Manila's dilapidated North Harbour after a labour row was settled, the Philippine Daily Inquirer reported.

The harbour was ready for take-over in January but PPA general manager Oscar Sevilla stayed the order “so there will be no bloodshed” between waterfront labour groups and Manila North Harbour Port (MNHPI).

The take-over was delayed mainly due to disagreements between MNHPI and several labour groups at the facility regarding the terms of the workers' employment under the new management.

The waterfront workers had initially denounced the deal with MNHPI as being disadvantageous to the government.

Last November, MNHPI won the 25-year contract to modernise the North Harbour in an auction where it was declared the only qualified bidder.

The PPA admitted that Manila's old harbour was “on the brink of collapse” and that its privatisation was long overdue.

MNHPI also had an initial dispute with shipping lines, which warned that the new concession fees proposed by the company would result in hikes in cargo rates.

There were also some questions from port officials about MNHPI's equipment and readiness to operate the North Harbour.

Sevilla said all the issues had been clarified or resolved in accordance with a PPA-MNHPI joint committee resolution.

The government hopes the modernisation project will boost inter-island shipping and trade. The harbour will reportedly be dredged to accommodate bigger ships and fitted with modern cranes and other equipment to handle larger container vans.

The consortium is a joint venture between Harbour Centre Port Terminal owned by Reghis Romero II and Metro Pacific Investment Corporation, the local infrastructure giant chaired by Manuel Pangilinan.
 
(Source: Cargo News Asia)