The government may have to step in to get shipping companies to use ports in Subic and Batangas and free up Manila’s congested ports.
According to Transportation Secretary Joseph Emilio Abaya, the DOTC may consider government guarantees to offset the extra cost that shipping to ports away from the capital will mean. “I know people are allergic with that phrase (take or pay). We’ve had some horrible experiences with it. But done well and really carefully studied this would (help solve) the problem,” he said in an Inquirer report.
He was referring to take-or-pay agreements with power companies during the administration of President Fidel V. Ramos. The agreements, meant to address a power crisis, meant power firms were paid for electricity whether the power was consumed or not.
That option for shipping is still under study for now, with the DOTC asking the Japan International Cooperation Agency for help in coming up with solutions to crowding in Manila’s ports.
