The Hindu Business Line : Tuticorin Port to levy fee for vessel stay at anchorage

IN a bid to discourage ships from remaining at its anchorage for longer periods, the Tuticorin Port Trust (TPT) has decided to levy a fee for stay of vessels at anchorage.

As an interim arrangement, the new levy will be linked to berth hire charges prevailing at the port. The Tariff Authority for Major Ports (TAMP) has allowed TPT to prescribe an anchorage fee at 25 per cent of the berth hire charges for stay of vessels in any area inside the harbour basin but without occupying any of the berths/jetties either individually or by means of double banking and 10 per cent of the applicable berth hire charges for stay of vessels in any area outside the harbour basin but within the notified port limits.

The rate will be the ceiling level and the exemptions allowed would be the floor levels in line with the general policy decision of the Government.

While clearing the proposal, TAMP has advised TPT to propose separate Gross Registered Tonnage (GRT) based rates with reference to the location of the anchorage and depth available thereat without linking it with berth hire charges at the time of the next general revision of its Scale of Rates.

However, the anchorage fee will not be levied if vessels stay at anchorage due to non-availability of berths/jetties and if they stay for less than 24 hours after the pilot has disembarked. Besides, the levy of anchorage fee will be exempted in case of vessels engaged in transhipment operation which sail out within 24 hours on completion of operation.

Similarly, the vessels coming from or sailing to Maldives for loading/discharging cargo are exempted from the levy of anchorage fee. But, for vessels coming from or sailing to Colombo, the anchorage charge would accrue only for stay beyond 48 hours at the anchorage.

Users such as the Tuticorin Steamer Agents Association (TSAA) and the Indian Chamber of Commerce & Industry (ICCI) have opposed the levy of anchorage fee arguing that the rates were exorbitant and the imposition of a new charge would have an adverse impact of driving away traffic from the port.

"There is no proper justification for the levy. The port does not incur any expenditure nor does it provide any service to vessels for their stay at outer roads at anchorage. Besides, the port is not facing any congestion of vessels waiting at anchorage," the TSAA had submitted.

However, the Port Trust was of the view that the intention of the anchorage fee was neither to gain monetarily nor to ease the congestion. "It is aimed to deter vessels from staying at the anchorage and to reduce the turn around time of the ship," a Port Trust official said.

Since the basic vessel-related charges are not proposed to be increased, the anchorage fee will not diminish attraction of vessels towards Tuticorin. Besides, the Port Trust has stated that it has to ensure safety and security of vessels anchored within port limits. "We have to spend Rs 70 lakh by July 2004 for implementation of the ISPS code. Further, the port also incurs operational and maintenance costs on patrolling launches and providing security to the vessel at anchorage," he added.

The views expressed by the Port Trust were endorsed by TAMP. "The port's concern about discouraging cluttering of anchorage points cannot be dismissed lightly. Ports cannot be a free parking space for vessels. If vessels chose to stay at anchorage, they have to pay. The principle of `user pays' must be borne in mind", the TAMP had noted in a gazette notification issued recently.

The practice of charging vessels for stay at anchorages falling within port limits has been followed so far by Mumbai, Mormugao, Chennai, Visakhapatnam and Kolkata ports.