Topic 3 (PPA)

• What is the main aim of the policy outlined in Article II?

  To create an integrated system for port planning, development, and operations.
• What are the key objectives of the port policy?

  1. Coordinating planning and operations for efficient cargo movement.
  2. Promoting regional growth by dispersing industries through port development.
  3. Ensuring smooth waterborne commerce across all ports.
  4. Expanding port functions to include port district development.
  5. Generating sufficient revenue from port services to cover costs.
• What does the term "Authority" refer to in Article III?

  The Philippine Ports Authority.
• What is a "Port" as defined in Article III?

  A place where ships dock, load, or unload cargo.
• What is a "Port District"?

  Areas under PPA control for port management and development.
• What do "Terminal Facilities" include?

  Wharves, piers, and related infrastructure used in port operations.
• What is a "Warehouse"?

  A building used for cargo storage.
• What is the purpose of the Philippine Ports Authority (PPA) as established in Section 4?

  To oversee all port management in the Philippines.
• Who is the Chairman of the Board of Directors of the PPA?

  The Secretary of Transportation and Communications.
• Who serves as the Vice Chairman of the PPA Board?

  The General Manager of the Authority.
• Who acts as a member of the PPA Board of Directors?

  The Director-General of the National Economic and Development Authority (NEDA).
• How are the General Manager and Assistant General Managers appointed?

  By the President, based on the recommendation of the Board.
• What is the selection process for other officials and employees of the PPA?

  Selected based on merit and fitness following a merit-based system aligned with Civil Service rules.
• Who are the members of the PPA Board as per Article V?

  • Secretary of Public Works and Highways
  • Secretary of Finance
  • Secretary of Natural Resources
  • Secretary of Trade and Industry
  • Administrator of MARINA
  • One representative from the private sector
• What are the responsibilities of the General Manager of the PPA?

  Implement policies, oversee operations, approve expenditures, submit budgets, and conduct research.
• What are the duties of the Assistant General Managers?


  Assist in policy implementation, support the General Manager, and perform other assigned functions.
• What is the role of the National Port Advisory Council?

  To assist the Authority in policy formulation.
• What is the authorized capital of the PPA as stated in Section 10?


  ₱5 billion.
• What can the PPA do to raise funds according to Section 13?

  Raise funds through loans, credits, or borrowing instruments with necessary approvals.
• What is the responsibility of the Board regarding the annual budget?

  To prepare the annual budget, including estimates of income and expenditure.
• What happens to the remaining income at the end of each year?

  It is used to create reserves for future needs.
• What is the PPA authorized to do with its funds when not immediately required?

  Invest its funds in government-approved securities.
• What is the role of the Auditor appointed by the Board?


  To audit the Authority’s accounts and submit an annual report.
• What can the President do regarding port dues as stated in Section 19?

  Adjust port dues upon recommendation from the PPA.
• What is the minimum government share from cargo-handling services?

  Not less than 10% of gross income.
• Under what circumstances can dues be remitted or reduced?

  For vessels sheltering from bad weather or in cases involving foreign governments.
• What actions can the PPA take if a vessel refuses to pay dues?

  Arrest the vessel or seize goods on board until payment is settled.
• When are rates for goods payable?

  Upon landing or shipping.
• What happens to goods not claimed within a prescribed period?

  They can be sold by the PPA to pay government dues and other charges.
• What tax exemption does the PPA have?


  The PPA and its subsidiaries are exempt from paying real property taxes for its assets.
• What is transferred to the PPA for management as stated in Section 30?

  All public port facilities, quays, and related assets.
• What intangible assets are transferred to the PPA?

  Powers and rights from other government agencies related to port operations.
• What is the PPA responsible for according to Section 37?

  Planning, engineering, construction, expansion, rehabilitation, and dredging of all ports under its system.
• What happens to debts and liabilities upon the transfer of assets to the PPA?

  All debts and liabilities associated with those assets are transferred to the PPA.
• What does the Coast Guard retain control of?

  Facilities necessary for enforcing maritime safety and security.
• What are the specific responsibilities of the PPA in port development?

  Planning, detailed engineering, construction, dredging, supervision, and maintenance of ports.
• What penalties can be imposed for violations of PPA regulations?

  Fines and imprisonment, depending on the nature of the offense.
• What is the fine for a vessel berthing without a pilot?

  Not exceeding ₱10,000.
• What is the fine for unauthorized unloading/loading of cargo for domestic vessels?

  Up to ₱5,000.
• What is the fine for unauthorized unloading/loading of cargo for overseas vessels?

  Up to ₱10,000.