Priok port wants to set new levies

By Prapti Widinugraheni

JAKARTA (JP): Users of Jakarta's Tanjung Priok port have protested against the management's plans to collect levies for the operation of new barge cranes, saying they cannot afford to pay more fees on top of those already imposed by the port.

T. Tadano, the chairman of the Intra Asia Discussion Agreement, said here yesterday that executives of state-owned PT Pelabuhan Indonesia II, which manages the port, had proposed to charge port users an additional US$26.30 per box to finance the new barge cranes which are expected to arrive here later this month.

"If the port management wants to use barge cranes to increase productivity, that's up to them, but they cannot ask private companies to pay for this. They must do so themselves," he said.

"But there has been no final word on this and the port's management and users are still negotiating," he told The Jakarta Post.

Tadano said that after port users unanimously refused to pay the additional levies last month, the port management proposed established a small committee consisting of representatives of domestic and foreign shipping lines as well as national importers and shippers to discuss the issue.

However, he doubted the discussions would be productive if it was only aimed at reaching an agreement on a certain amount of fees.

"It will be difficult for our customers to understand the need for these additional fees. So if that is all that the committee will discuss, I don't think it will be very useful... But we are open to talk about any other ideas on how to increase port productivity," he said.

Tadano said Pelabuhan II currently imposes a container handling charge of $62 per 20-feet full-container load and $93 for a 40-feet load. The proposed additional charge of $26.30 would be the same for both container sizes.

He said that Pelabuhan II had originally planned to start imposing the additional levies in August.

Barens Saragih, Secretary General of the Indonesian National Ship-owners' Association also considered it would not be fair to put additional burdens on users. "We are already suffering losses from the lengthy wait we have to put up with," he told the Post.

He pointed out that presently only six of the port's eight cranes were operating properly.

Pelabuhan II was blasted by port users last year for its inefficient management which led to prolonged waiting times for ships.

Foreign shipping lines, which had threatened to impose a "Jakarta Port Congestion Surcharge", agreed to postpone the surcharge after the port's managers promised to launch a crash program to improve port services.

Since then, the government has repeatedly claimed that the port has improved efficiency and cut back the average waiting time of ships.

Port users, however, still consider the improvements insignificant, and are urging more serious efforts to boost the port's productivity.

Tadano, who is also the chairman of the Overseas Ship owners' Representative Association, said yesterday that port users have no intention of imposing a port congestion surcharge on Tanjung Priok. "But we might consider doing so if things stay the same," he added.

A spokesman for Pelabuhan II, Henry, confirmed yesterday that two new cranes would be arriving at Pelabuhan II's container terminal this month.

He refused to disclose how this would be financed, but claimed that private companies had offered to participate in financing the equipment.

"The Minister of Transportation has also offered private firms and investors the chance to contribute funds, because it is almost impossible for Pelabuhan II or the government to finance it themselves," he told the Post.

He added that many firms had expressed their interest, "but nothing has been finalized yet".

Henry rejected reports saying that foreign shipping lines are considering imposing a port surcharge on Tanjung Priok. However, he conceded that port users often complained about the slow operation of the port's cranes during their regular meetings with the port management.