Banago Port now under PPA

BACOLOD CITY ,Philippines  — The Banago Port in this city is now under the Philippine Ports Authority (PPA) after the Department of Environment and Natural Resources (DENR) turned over its operations last Tuesday.

DENR Secretary Ramon Paje and PPA general manager Juan Sta. Ana signed the memorandum of agreement for its turnover.

PPA assistant general manager for operation Raul Santos, in his message during the turnover, said the MOA guarantees peaceful, orderly and continuous operation of the port and its facilities while waiting for the approval of an executive order on port zone delineation.

Santos said the turnover will allow PPA to proceed in calibrated phases with the urgent rehabilitation and improvement of Banago Port like the establishment of two Roll On-Roll Off (RORO) ramps that will cost around P30 million.

The other developments like the Banago Port Complex that will house the PPA administration building will have to wait for the City Council to endorse the proposal to the Regional Development Council, he said.

The development of the port will complement other existing government and private ports under the PPA’s Ports Management Office in the province in order to serve the increasing traffic volume in the locality, he said.

“The turnover symbolizes the government’s resolve for the further development of seaports in Negros Occidental for the benefit of the public, the businessmen and the producers here,” Santos said.

Bacolod City Rep. Anthony Golez, who facilitated the consultations between the DENR and PPA prior to the turnover, witnessed the event. He said the Banago Port will be the first city public commercial port to be operated by PPA.

In 2010, the Banago Port serviced about 361 vessels, handled about 436,000 tons of cargo and received 414,000 passengers where the trend shows a steady volume for cargo while an increase in passenger volume was noted, a report from the Philippine Information Agency-Bacolod said.

The turnover was preceded by the expiration of the Foreshore Lease Contract between Negros Navigation Company (NENACO) and the DENR in August 2009.

On August 10, 1961, the Philippine government, through the DENR secretary, entered into a foreshore lease contract with Negros Navigation (NENACO) for a period of 25 years. Before the contract expired in 1986, NENACO renewed it on August 10, 1984 for a second 25-year term until August 9, 2009.

Since 1961, NENACO had introduced port works and improvement of facilities in the leased foreshore area, which it operated as a private port. On August 9, 2009, after the second contract expired, the facilities were reverted to the government by operation of law. PPA then asserted that, pursuant to Sections 30, 31 and 40 of Presidential Decree No. 857, it already owned the port facilities.