PPA awards contract to assess port operation in Batangas, Manila

MANILA, Philippines - The Philippine Ports Authority (PPA) has approved the conduct of a feasibility study for the  strategic utilization of the Port of Batangas as part of government efforts to decongest the Port of Manila.

PPA general manager Juan Sta. Ana issued a notice of award to the joint venture of Science & Vision for Tech. Inc. and Syconsult Inc. after the tandem passed the technical and financial requirement for the P16.27-million contract.

The project involves the review of existing studies, including that of the Japan International Cooperation Agency, the assessment of past and existing performances of the ports of Manila and Batangas, as well as the formulation and evaluation of a strategic plan.

Science & Vision together with Syconsult submitted a bid of P16.19 million for the project.

“Pursuant to the provisions of the bid/tender documents, you are instructed to enter into and execute the corresponding contract with this office and furnish us a performance security,” Sta. Ana stated in the notice dated Sept. 23.

The PPA executive said the winning bidder could submit cash or cashier’s/manager’s check equivalent to five percent of the total contract price; a bank draft/guarantee or irrevocable letter of credit equivalent to five percent of the total contract price; or surety bond callable upon equivalent to 30 percent of the contract price.

Earlier, Sta. Ana called for a careful assessment of the planned diversion of cargo shipments to the Subic Bay Freeport and Batangas Port amid the congestion at the Port of Manila.

Sta. Ana said the impact of the transfer of cargo shipments to Subic Bay and the Port of Batangas as proposed by the Japan International Cooperation Agency (JICA) should be looked into carefully by the government.

“It’s a way to go forward. While our move is to decongest Metro Manila, we should study on how to properly divert these cargoes to Subic and Batangas,” he stressed.

Transportation Secretary Joseph Emilio Abaya earlier said the government is looking at promoting Subic and Batangas as alternative seaports to decongest the Manila International Container Terminal (MICT) being operated by International Container Terminal Services Inc. (ICTSI) of tycoon Enrique Razon.

The JICA study pushed for the transfer of cargo shipments to the underutilized ports of Subic and Batangas with capacity utilization at 5.6 percent and 4.2 percent, respectively.

Port operators, however, have warned that the proposed diversion of cargo to Subic and Batangas would make the cost of shipping more expensive. Other port operators include publicly-listed Asian Terminals Inc. (South Harbor) and the Romero-owned Manila North Harbor Port Inc. (North Harbor).