New operator to take over North Harbor

The joint venture company of Metro Pacific Investments Corp. and the Harbour Centre may finally take over the operations of the Manila North Harbor this week. This was after the Philippine Ports Authority (PPA) lifted the order suspending the turnover of the port to Manila Harbor Port, Inc. In a statement, Manila Harbor said it had received a notice of turnover from the port regulator dated April 8, and had been ordered to enforce the notice to proceed by April 15. The joint venture won the contract to manage the port in August 2009 for 25 years. It bid P14.5 billion to manage and develop the port, and take over the operations of the Manila North Harbor from the government. But the PPA deferred the turnover of North Harbor to Manila Harbor due to concerns about labor security and concession fees. The port agency moved the turnover to February 15 from January 15 pending talks with labor groups and ship liners. But talks between the Manila Harbor and the labor groups failed to materialize. Last week, Manila Harbor and the Alliance of Port/Transport Workers and Porters-North Harbor signed deal for the “advance payment of past service benefits to port workers to be absorbed equivalent to 26 days for every year of service and extend financial assistance to bona fide porters at the harbor" and the absorption of 1,000 workers. Another workers’ group in the port, however, is contesting the agreement. Manila Harbor earlier said it would use much of the P14.5 billion earmarked for the port to build a modern passenger terminal and other facilities, as well as buy heavy equipment and modern computers. The group earlier said it would buy more cargo and crane equipment as part of a plan to develop two new terminals for North Harbor. Privatization of the port is expected to bring in P6.8 billion in revenues for the government. The joint venture earlier allayed labor fears, saying that absorbed employees would be considered as new hires and would be governed by new contracts.