QuestionsQuestions (PPA ADMINISTRATIVE ORDER NO. 08-96)
The Order cites (1) Section 2(f), Article II; (2) Section 6-a(ii),(iii),(v),(x), 6-b(xv), Article IV; and (3) Section 20(a), Article VII of PD 857 as amended by LOI 1005-A, plus Executive Order No. 159 (Feb. 23, 1994) and Executive Order No. 212 (Nov. 28, 1994).
It is titled “Regulations for the Registration and/or Grant of Permits for the Operation of Ancillary Services in the Ports,” and is known and cited as the “Port Ancillary Services Regulations (PANSER).”
It applies to all ancillary services to cargoes, vessels and port users transacting business in all government ports under PPA jurisdiction, including permits to operate ancillary services in port premises covered by lease contracts.
Ancillary services mean services other than cargo handling, porterage services and pilotage services, performed inside the port (including harbors/fairways and extensions) involving equipment/facilities/utilities/manpower/expertise and goods.
PPA will: (1) provide ancillary services itself or contract them to private companies; (2) encourage private sector participation; (3) maintain continuous service via licensing capable operators with appropriate capabilities and service contracts; (4) ensure port users’ freedom to choose authorized providers; (5) ensure ancillary services are non-exclusive; and (6) conduct public bidding when prior contracts expire.
Any qualified person (natural or juridical) and existing operators without a PPA permit, or those operating in a “hold-over capacity,” must apply for a permit to operate ancillary service from the local Port Management Office (PMO) where the applicant intends to operate.
All applications are filed/processed by the concerned PMO; those filed at Port District or Head Office are immediately transmitted to the PMOs. For approvals: 1-year permits—PMO approval; 2-year permits—forwarded to the District Manager; 3 years or above—forwarded to the Office of the AGM for Operations/POSD technical processing/evaluation/review per delegation of authority.
Authentication must be strictly accomplished by the Port Manager concerned by signing every consecutively numbered document accompanying each application. The PMO must specifically authenticate the correctness/veracity of the copy of Ancillary Service Rates as prescribed/restructured by the Authority or as proposed by the applicant.
Permits are generally valid for one (1) year, while contracts are generally valid for 2–3 years or more from the date of approval (as stated in Section 6.3).
Failure to file within the prescribed period without justifiable reason is a ground for non-extension. If renewal is not yet issued despite valid reasons, the applicant continues to operate on a “hold-over capacity” subject to the terms and conditions of the previous permit.
Rates applicable are those agreed upon by the parties. In the absence of agreement or if there is conflict, the Authority establishes the applicable rates.
A minimum of 10% of gross income derived from services under Annex A Group I is remitted to the Authority not later than the 10th day of each month.
Port Ancillary Services II are those under Annex A Group II. A regulatory fee is collected annually (as described in Annex A and Section 8.2) in consideration of the permit to operate.
The operator must submit on a monthly basis its gross income earned from ancillary services to the PMO by submitting its financial statement, without prejudice to PPA’s right to examine the books of accounts.
Examples include: violation of PD 857 and regulations/permit conditions; engaging in unauthorized activities; failure to pay required fees due for more than three (3) months; failure to maintain efficient/effective service; misrepresentation/falsification in the application; and using the permit for nefarious/illegal/immoral/vicious activity.
The operator must send written notice to the Port Manager at least 30 days before cessation. Withdrawal/suspension results in automatic cancellation of the permit, though the effect is determined by the Port Manager considering reasons and continuity needs.
Violations are subject to administrative fines and penalties under Section 43 of PD 857, as amended by Executive Order No. 513 and its implementing regulations.
Any two examples: Bunkering; Canteen Service; Cargo Surveying; Chandling; Cleaning Service; Container Repair; Communication Service; Fumigation; Laundering; Light errage/Barging; Parking/Garage Services; Reproduction; Security Service; Shops/Stores; Transport; Towing/Tugging; Water Suppliers; Water Taxi; Weighbridge/Truck Scale.