CPA seeks to lease city lot; Rama wants twice the price

CEBU, Philippines - The Cebu Port Authority is seeking the Cebu City government’s assistance in decongesting the port area by allowing it to lease a city-owned portion of the North Reclamation Area (NRA) so it can extend its container yard.

Mayor Michael Rama agreed, but only if the CPA would pay a monthly rent of P100 per square meter instead of the proposed P50.

CPA General Manager Edmund Tan said that with the increasing shipping and traffic of cargo both for import and export, the Cebu International Port (CIP) is now congested.

In March 7 letter, Tan requested Rama to allow CPA to lease Block 27A at the NRA for a monthly rate of P50 per square meter.

The area is currently utilized as t City Traffic Operations Management (CITOM) impounding area.

 â€œWe respectfully seek your assistance as we need more space for cargoes so that we can decongest the port, avoid delays, and increase port efficiency in the transport of goods to and from the port of Cebu,” said Tan.

He said that with the utter lack of port space, the port of Cebu is now being by-passed by some vessels.

“If this continues, we are afraid that not only will the economy of Cebu suffer but also the economy of the entire Visayas region,” the CPA general manager warned, citing Cebu’s booming economic environment.

He added that they have been receiving complaints from port stakeholders, shipping lines, cargo handlers, and businessmen, among others, about port congestion since this seriously affects their respective businesses.

The CPA manager said that if granted, they would pave and fence the lot at their own expense to make it more suitable as a container yard.

A copy of Tan’s letter was furnished to the City Council, which referred the matter to Rama’s office and to CITOM during its regular session last Wednesday.

Rama, in an interview last Friday, said he has already answered CPA and gave a counter-proposal of P100 per square meter  as monthly lease.

“Kung musugot sila (If CPA agrees to) P100 per square meter, (then it would be a done) deal,” the mayor said.

Rama earlier said he wants to relocate the port either to Consolacion town or in Liloan town up north to address traffic congestion at the NRA.

In response, Tan said the CPA would establish a new port in Liloan but would not relocate the existing port.  (FREEMAN)