OCTOBER 24, 2016, MANILA—Net income of the Philippine Ports Authority (PPA) soared in the first nine months of the year despite the continuing drop in storage fees due to the introduction of the terminal truck appointment and booking system (TABS) early this year.
Latest data from the PPA showed that all aspects of its revenue sources posted significant increases coupled with the modest decline in total expenses.
“Net income increased by 16.11% to P5.99 billion from only the P5.16 billion raked in last year,” PPA General Manager Jay Daniel R. Santiago told the members of the PPA Board in their regular meeting Friday.
“The decrease in storage fee of about 39.56% brought about by the implementation of several anti-port congestion measures has been offset in the other revenue items as operations became more efficient and effective due to these measures, specifically TABS that hastened the movement of inbound and outbound containers at the Manila Ports,” Santiago explained.
“The modest increase in the Fund Management income of about 6% to P68 million due to the hike in interest rates for special/high-yield savings deposits has also contributed to the strong revenue performance of the agency,” Santiago added.
Gross revenues, on the other hand, rose 8% to P10.62 billion for the period in review from P9.84 billion posted a year earlier wherein port revenues reached P10.55 billion from P9.78 billion accumulated in the same period last year.
Total expenses, meanwhile, decrease by 1.13% to P4.63 billion from P4.69 billion in the first 9 months of 2015 because of the gradual disbursement in the implementation of repair and maintenance projects complemented by the decrease in Depreciation charges. Operating expenses declined by 2.56% to P4.49 billion from P4.61 billion a year earlier. However, non-operating expense increased by 81% to P145.02 million from only P80.11 million registered in the Jan-Sept 2015 period.
As of the moment, combined yard utilization at the two Manila ports is at 65% or approximately 52,900 TEUs are inside the terminals while yard productivity remains high ranging from 20-30 moves an hour. The efficient yard management for both terminals is attributed mainly to the truck Terminal Appointment Booking System (TABS) imposed recently that catapulted port efficiency by at least 96%. Prior to the TABS, the average daily gate-outs at the Manila ports is at 4,500 to 5,000 TEUs as compared to the post-TABS imposition of 7,000 to 7,500 TEUs daily gate-outs.
The recent decision of the Metro Mayors, through the Inter-Agency Council on Traffic to impose a no-window ban hours for private vehicles, is also expected to further ease the withdrawal and deposit of containers from and to the Manila Ports particularly Christmas cargoes.