PPA toll hike under fire

Installation of x-ray machine provokes outrage from public after 100% hike in terminal fee

The Philippine Ports Authority (PPA) is at the receiving end of a public outrage over its proposal to increase by 100% the terminal fee which is operated by a private entity at the city wharf. Actually, the 100% increase will not go to the pockets of the terminal operator—Starlight Marine Services, Inc. but to the PPA. The terminal fee remains at P11.25 but under the PPA proposal it will be raised to P21.04. Raul Oblenda, general manager of the PPA Tagbilaran port justified the increase saying that it is necessary to defray the cost of an x-ray machine which it bought recently in line with the anti-terrorism campaign of the government. Leading the pack of oppositors against the hike in terminal fee was lawyer Victor de la Serna who threatened to sue Oblenda if he pushes thru with his increase plan. The strong opposition against PPA's proposal was registered in practically all commentary radio programs in the city's radio stations.

LINK TO CONTRACT EXTENTION

As early as two months ago, DYTR's Cuentas Claras was harping the information why it took so long for PPA-Tagbilaran to buy an x-ray machine considering the volume of passengers passing the city wharf.. Records of the PPA showed that the outgoing volume of passengers per year at the city pier is 664,438. During those times when the radio program aired its broadcast, it was revealed that the PPA was hedging to buy the x-ray machine because it wanted the private terminal operator to buy the same. Citing reliable information, the radio program even hinted that the reason the terminal operator refused to buy the x-ray machine because it wanted first to get an extension of the lease contract with the PPA to operate the private terminal.

The PPA stuck to its guns not to buy the x-ray machine because apparently it was of the belief that it was the terminal operator's duty to buy the x-ray machine. Until out of the blue, the port agency decided to buy the x-ray machine because it can not give to the terminal operator the contract extension it requested. The terminal building which was constructed under the Build-Operate-Transfer scheme has a life span of 15 years and the contract is due to expire in year 2015. According to PPA sources, the private operator is asking for an extension of seven years but the request was turned down by the PPA. This refusal to extend the contract by another seven years was the reason cited why the private operator refused to buy the x-ray machine even if it would be installed in the private terminal building. The link between the contract extension and the purchase of the x-ray machine was confirmed by Nenette Nicasio, operations manager of Starlight Marine Services, Inc. in an interview last Monday during the Cuentas Claras program.

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