Title
CEZA Port Management and Operation Rules
Law
Ceza Administrative Order No. 001, S. 2002, November 15, 2002
Decision Date
Nov 15, 2002
CEZA Administrative Order No. 001-2002 establishes interim rules and regulations for the management and operation of ports within the Cagayan Freeport, ensuring compliance with international standards, efficient service for port users, and safeguarding against illegal activities.
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Objectives of the Rules

  • Establish port operation systems.
  • Ensure smooth port operations.
  • Define roles of involved agencies.
  • Protect against illegal activities.
  • Regulate fees and services.
  • Provide competitive services to port users.
  • Regulate port activities properly.

Scope and Applicability

  • Applies to all port personnel, port users, and business entities operating within the Cagayan Freeport.

Key Definitions

  • Defines terms such as Cagayan Freeport, CEZA, BOC, BID, BOQ, port users, vessels, accreditation, harbor pilot, pilotage service, different types of cargo and charges, and others as related to port operations.

Application and Permit to Use the Port

  • Port users must apply and secure permission from CEZA before port activities.
  • Application requires notarized form, business registration, board resolution, and processing fee.
  • CEZA may hold a pre-approval meeting to evaluate applications based on legality, environmental impact, infrastructure capacity, and applicant records.
  • Approved applicants receive a Permit to Use and are listed as Authorized Users.

Vessel Entry and Exit Procedures

  • Authorized users must file an Entry Pass 72 hours before ETA detailing vessel and cargo information.
  • Required import/export documents include Bill of Lading, Commercial Invoice, Packing List, and relevant agency documents.
  • CEZA approves Vessel Entry Pass based on legal and safety criteria.
  • Pre-arrival meetings coordinate cargo handling, safety, and documentation.
  • Exit clearance requires settlement of port charges and compliance with government agencies.
  • Departing vessels without exit clearance face fines and possible bans.

Port Tariffs and Charges

  • Charges include port dues, dockage fees, usage fees, lay-up fees, and wharfage fees differentiated by vessel and cargo types (foreign/domestic, containerized/non-containerized).
  • Cargo handling tariffs applied based on cargo classification.
  • Specific exemptions apply (e.g., vessels with engine trouble, donations, government vessels).

Pilotage Services

  • Pilotage is compulsory for vessels navigating within the port.
  • Fees for pilotage services are based on vessel tonnage, differing for foreign and domestic vessels.
  • Harbor pilots must be accredited by CEZA after passing government examinations.
  • Accreditation requires submission of licenses, clearances, membership endorsements, and a performance bond.
  • Pilot conduct is regulated; pilots must remit a government share of fees.
  • CEZA supervises and evaluates harbor pilots and may suspend or revoke accreditation for violations.
  • Penalties apply for non-compliance with compulsory pilotage.

Boarding Formalities

  • Boarding by CEZA, BOC, BID, BOQ, and shipper/agent verifies vessel suitability.
  • Boarding occurs at anchorage or berth, restricted to authorized personnel.
  • Government agencies have specific documentary and inspection responsibilities.

Loading and Unloading Operations

  • Cargo operations start only after clearance from boarding parties.
  • CEZA accredited cargo handling operators only may perform services.
  • Accreditation requires submission of legal documents, financial statements, and fees.
  • CEZA evaluates operators for compliance and suitability.
  • Multiple operators may be accredited to promote competition.
  • Operators must maintain detailed records and report cargo operations daily.
  • Cargo handling tariffs and government shares are prescribed.

Storage and Stockpiling

  • Storage available only in open areas with defined free storage periods.
  • Charges apply for storage beyond free period, differentiated by cargo type.
  • Users must secure a Permit to Occupy for storage areas.
  • Lease charges are based on area or lot size.

Environmental Protection

  • Strict prohibitions on harmful discharges into territorial and navigable waters.
  • Cleanup responsibility lies primarily on the spiller; CEZA supervises.
  • Violations incur escalating fines and possible denial of vessel entry.

Port Safety and Security

  • Entry of persons and vehicles require CEZA-issued permits and IDs, color-coded by category.
  • Security measures include searches, delivery receipt submissions, firearms/electronics registration, and prohibition of alcohol.
  • Fees imposed on vehicles operating within the port.

Supplementary Orders and Effectivity

  • CEZA may issue circulars and memoranda for enforcement and implementation.
  • The order took effect on November 5, 2002, superseding prior CEZA orders on port operation.
  • Termination of this order occurs upon takeover by a port concessionaire with approved guidelines.

This comprehensive framework establishes a legal, operational, and regulatory regime governing the management and operation of ports within the Cagayan Freeport, emphasizing efficiency, safety, environmental protection, and compliance with national and international standards.


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