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VOL. LIII No. 108
City of Tagbilaran, Bohol, Philippines
Sunday, May 27, 2007
ADVERTISERS
MAJOR EVENTS
KAMPI dismisses bomb
  allegation
Sec. Yap urges full
  productivity
Cabinet NEDA approves
  two major projects here
(Ex-Mayor) Msgr.
  Gonzaga, Bishop Medroso
  comment on priest
  elected governor
GMA asked to exempt
  Panglao from CARP
7 lady v-mayors elected
P20 terminal fee starts
  on Tuesday
"Yoyoy" buried today

Ex-city dad Lim dies, 81

OPINION
Obiter Dictum
Juan L. Mercado
Sundry
One Voice
Viewpoints
LINKS
   
 

P20 terminal fee
starts on Tuesday
By KIT BAGAIPO

   
 

The Philippine Ports Authority (PPA) implements an increase of the passenger terminal fee at the Tagbilaran City Port effective on Tuesday from the present P11 to P20.

This even as some groups opposing the terminal fee hike, one led by former Bohol Gov. Rolando Butalid, is calling for a public hearing to be initiated by either the Sanggunian of the city or provincial government.

The increase was proposed by the PPA back in November 2006 to recover the costs of a newly-installed Luggage X-Ray Machine and Passengers' Walk-through Detector which aims to beef up the port's security amid clamor for tight security for passengers taking vessels at the Tagbilaran wharf.

The volume of passengers coming in and out of the city port has gone up as Bohol is now a prime tourist destination.

A public advisory issued by Acting Port Manager Aurelio Gambuta explained that the port fee hike will be incorporated into the current P11 terminal fee collected by Starlight, who operates the port terminal building.

PPA General Manager Oscar Sevilla approved the port fee increase last April 20 as a result of a recommendation given by the Port Management Advisory Council (PMAC) which conducted a public hearing last November 16, 2006.

OPPOSITION

Fomer Gov. Butalid, in an interview with the Chronicle, said that the terminal building should already be operated by the PPA after it has been operated by Starlight, a private port operations contractor, for the past ten years.

Butalid stressed that the costs of constructing the "low-cost, bodega-style" terminal building have long been recovered by Starlight with a considerable margin of profit.

Butalid pointed out that a P20 terminal fee per passenger is "unreasonable and burdensome."

   

He asks for transparency as to the actual cost of the X-Ray machine and Walk-through detector where the cost-recovery should be based and spread over the equipment's life span.

This way, the former governor said, the PPA "would not have to collect an expensive fee but just enough to recover the cost."

Butalid argued that the P20 increase hits the low-income class and the students.
He said majority of port users and passengers belong to the "masa" who "just pass the terminal on their way to the vessels" as they have to "occupy their cots and guard their cargoes and belongings."

"Even most passengers of fast crafts do not also use the terminal except as passageway" since most passengers arrive just a few minutes before scheduled departure, Butalid stressed.

Butalid is requesting for the active participation of the Bohol Chamber of Commerce and Industry (BCCI) in a public hearing that should be conducted by the Sangguniang Panlalawigan or the Sangguniang Panlungsod.

"The plight of low-income passengers and students" should be considered in the public hearing, he added.

MACHINE COST-RECOVERY

The X-Ray machine for luggage and Walk-through Detector for passengers cost P7 million, according to a computation presented by the PPA.

The P9 added to the existing P11 terminal fee collected by Starlight will accrue to the PPA for the X-Ray machine's operating costs, maintenance and return on asset (ROA).
The X-Ray machine and Detector, which is already operational, is installed not only at the local wharf but in 30 other ports nationwide as part of upgrading security measures in local ports.

The machine's ROA is pegged at P700,000 (10% of cost, P7 million). At an estimated serviceable life span of 10 years, depreciation costs of P700,000 will be charged per year.

Operating costs of the machine is estimated at P3.8-million annually. This includes salaries of the operating crew, power consumption and a 10% on-cost maintenance.

The X-Ray and Detector will be operated by six personnel (security guards/operators) on three 8-hour shifts.

The new equipment also comes with additional air-conditioning units.

The increase is already computed with 12% value-added tax.

"UNFAIR AND UNREASONABLE"

Butalid stressed that it is time the government should assume operations of the port terminal in order to protect passengers and port users from "excessive" fees.

He said the rentals of the coffee shop and convenience store operating inside the terminal building and the ticketing offices of several shipping firms is "substantial enough" to defray operation and maintenance costs.

The former governor noted that Starlight have been operating since 1997, and yet, there has never been an accounting given to the public or the government.

Even audits to determine the building cost and the income derived from its operations is not provided, he said.

 
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