House panel OKs P50B capitalization for PPA

Tagbilaran City, Bohol port

  

By JUNE BLANCO and ROY PADEL

  

QUEZON CITY – The Philippine Ports Authority (PPA) is another step closer to building more roll on-roll off (roro) and fast craft ports.

This after the House Committee on Transportation approved House Bill 4396 authored by Rep. Erico Aumentado (2nd District, Bohol), seeking to increase PPA’s capitalization to P50 billion.

General Manager Juan “Boy” Sta. Ana expressed elation over the new PPA capitalization, saying on top of building more roro and fast craft ports, it can better maintain and improve the existing ports under the PPA system nationwide.

The approval came after Aumentado justified the measure, saying that PPA has consistently remitted to the national treasury not less than P1 billion pesos yearly as 50% of its net revenues from operation. The solon said the PPA is one of the few government owned and controlled corporations that give dividend every year to the national government instead of being subsidized by the latter.

To recall, the original capital of PPA amounted to P5 billion only. The amount has been exhausted, Aumentado explained, that is why PPA needs a bigger capitalization to accomplish its mission and vision.

As of now, PPA has estimated assets of P150 billion, but it needs liquidity or capital to build and improve more ports and support infrastructure like terminal buildings and fast craft facilities.

To note, during Aumentado’s governorship of Bohol, PPA improved by leaps and bounds the ports of Tagbilaran, Tubigon, Ubay and Jagna – all of which have become major components of the strong Republic Nautical Highway (SRNH).

Due to its additional capitalization, PPA will have funds for the Bohol cruise port in Loon and fast craft berths at the Getafe port and for other ports development in the 2nd District of Bohol.

Getafe now has two Star fast crafts owned by the Ouanos plying everyday from Cebu and back to bring more tourists, business and commerce to Bohol, while Tubigon port has additional fast crafts with the entry of Lite Shipping of Lucio Lim Jr. and soon, that of former PPA General Manager Alfonso Cusi.

Other ports needing improvement are the Ubay port which requires a new access road and causeway, as well as dredging, to accommodate bigger vessels and the Tapal wharf also in Ubay which is now handling the bulk of cargoes from all points of the country in the 2nd District.

The Department of Public Works and Highways (DPWH) is undertaking the construction of a new access road to the Ubay port costing P37.4 million to prevent accidents in its present narrow access road passing through the busy Ubay market. It will also provide a better entry and exit road for thickly populated barangay Tapon for easy access to fire trucks in case of conflagrations and facilitate the delivery of basic social services as education, health and sanitation therein.

The ports in Clarin and Bien Unido are now also being developed by The Department of Transportation and Communications (DOTC) as feeder ports for tourism, cargoes and passengers. They are also eyed for PPA possible development due to their strategic locations.