Question & AnswerQ&A (PPA ADMINISTRATIVE ORDER NO. 06-95)
The Order applies to all parties seeking clearance to develop, permit to construct, and/or operate a private port facility, and specifies roles of PPA units in processing these applications.
A private port is a port facility constructed and owned by a private person or entity authorized by the government, classified by operation and purpose into private non-commercial ports, private commercial ports, private river ports, and marinas.
A Private Non-Commercial Port is used mainly for the owner's own business and does not offer port services to the public, while a Private Commercial Port offers port services as its principal business to general port users.
It is a lease contract granted by DENR for constructing and operating a private port on foreshore and offshore area for not more than 25 years, renewable for another 25 years, subject to laws and regulations.
The Certificate is valid for 25 years but not to exceed the term of its foreshore lease contract and may be renewed for another 25 years co-terminous with the renewed lease.
Applications must include a minimum investment for at least one concrete berth 65 meters long with a draft of at least 5 meters MLLW, location details, project scope, port layout, development plan, and company profile.
Fees are graduated: below P10 million project cost, P10,000; P10 million and above, P10,000 plus 0.1% of excess over 10 million but not exceeding P100,000, plus 10% VAT.
They must register within 30 days of notice; failure leads to loss of discounted port privileges and possible legal remedies. A 100% port charge penalty may apply after a moratorium period.
Penalties under Section 43 of P.D. 857, as amended, including fines not less than P20,000 for constructing private port facilities without prior clearance and permit to construct.
PPA officials and authorized employees may enter private port premises anytime to observe and inspect port operations and facilities in exercise of supervisory authority.
No, sale, transfer, conveyance, or assignment of operating permits require prior written clearance from the Authority.
Private commercial ports pay P20,000 annually; private non-commercial ports pay P10,000; marinas and private river ports pay P5,000 each per annum.
They are forwarded to the Authority for assessment; if feasible, a lease agreement is prepared, and rental is based on prevailing market value.
They must register with PPA to obtain Certificate of Registration/Permit to Operate and enjoy privileges such as discounted port dues.