'Reclamation may lead to additional shipping costs'

THE Association of International Shipping Lines (AISL) has expressed concerns on the ongoing reclamation projects in Manila that may result in additional shipping costs for vessels entering the port.

AISL President Patrick Ronas said that reclamation projects could lead to increased expenses in the shipping industry, primarily due to the extended navigation routes and heightened complexity associated with such projects.

While reclamation initiatives often bring about urban development and expanded real estate, they simultaneously introduce longer shipping routes, translating into supplementary costs for the shipping sector.

«We anticipate the imposition of additional costs for ships entering the ports in Manila because the reclamation projects create a new channel and move essential facilities, such as quarantine and pilot stations, farther from the traditional entry points. Tugboat operators are already requesting additional time to guide ships through the new channels. To maintain cost-effectiveness in maritime transportation, addressing these challenges will necessitate careful planning and mitigation strategies,» Ronas said.

There are four ongoing reclamation projects, with adjacent areas commonly used by ships heading to the South Harbor, which manages seven ships per month.

The Manila International Container Terminal will also be affected.

It is estimated that approximately 200 ships may be impacted each month. Of particular concern are the additional pilot charges projected to be around P104,000 per vessel, potentially amounting to P 7.3 million in extra monthly costs for the industry in South Harbor alone.

While the shipping industry is supportive of progress and development, addressing and mitigating these financial impacts is essential for the sustainability of the sector and maintaining competitive rates. Ronas stressed the importance of obtaining clarifications from the Philippine Ports Authority.

«Our primary concern is that once these additional costs are imposed, it may not be a one-time occurrence; it could persist for the next one to two years due to the permanent nature of the reclamation structures. We are not opposed to progress, but our main