COMPULSORY TUG ASSISTANCE REQUIREMENT AT THE MANILA INTERNATIONAL CONTAINER TERMINAL (MICT), PORT OF MANILA

1.1    Sections 6 (a) (ii), (iii), (v) and 20 of-P.D. 857

1.2    Section 12 of PPA AO No. 03-85

2.         Scope — This Order shall cover all
foreign and domestic vessels with 500 gross registered tonnage and above
which dock/undock/moor/unmoor within the jurisdictional area of the
Manila International Container Terminal (MICT).

3.         Objective — To protect government port
facilities and ensure the safe maneuvering of vessels within the MICT
jurisdiction, through the use of tugs.

4.         Guidelines

4.1    Responsibility for Ensuring Availability of Tug Assistance
— The Authority (PPA), in coordination with the MICT Terminal Operator
and in consultation with shipping clients, shall provide tug assistance
service by authorizing shipping companies or private entities to provide
such service on a non-exclusive basis.

4.2    Permit to Operate Tug Assistance — No operator
shall provide tug assistance within the MICT harbor limits unless in
possession of an annual Permit duly issued by the Authority, subject to
the terms and requirements as it may deem proper (such as the MARINA/PCG
Inspection Certificate, tug capacities and fleet availability), in
addition to the requirements of other agencies. The tug operator shall
provide the necessary equipment and expertise required to render
efficient and safe service at MICT.

Tugboats towing barges/lighters are exempted from the above
required annual permit when utilized solely for their own
barges/lighters. Otherwise, the above PPA Permit is required when
servicing other vessels for purposes of this regulation.

4.3    Table of Tug Requirements — Mandatory tug
assistance requirements, under normal weather and port conditions, shall
be determined on the basis of the gross registered tonnage (GRT) of the
vessel and the capacity of tugs (horsepower-BHP) in accordance with the
following:

Vessel Gross Tonnage (GRT)	Number of Tugs	Capacity (BHP/TUG)
500-below 3,000	1	1 x 1,000
3,000-10,000
– without bow thruster	2	2 x 1,000
– with bow thruster	1	1 x 1,000
10,001-20,000
– without bow thruster	2	2 x 2,400
– with bow thruster	1	1 x 2,400
(1,000 HP or above)
30,001 and above
– without bow thruster	2	2 x 3,000
– with bow thruster	1	1 x 3,000
(1,000 HP or above)

4.3.1    The Master of the vessel, in consultation with the Harbor
Pilot, may require additional tugs depending on the prevailing weather
and-port conditions.

4.3.2    The tug operator authorized by PPA and nominated by the
shipping line shall coordinate with ICTSI and the harbor pilot in
ensuring the provision of the required tugs (capacity/BHP of which shall
not be lower than as prescribed under Section 4.3 of this Order).

4.3.3    A vessel with bow and stern thrusters which are both
functional is exempted from the above tug requirement, but the Master of
said vessel, in consultation with the harbor pilot, may still avail of
tug assistance for the protection of the vessel and port facilities.

4.3.4    Non-propelled vessels (such as barges/lighters) are
required to maintain their own tugboats while at berth, in accordance
with PPA Memorandum Circular No. 22 86.

4.4    Rates for Tug Services — Consistent with existing
applicable regulations, the Authority shall prescribe fees and rates for
tug assistance in consultation with port users concerned. In the
absence of prescribed or applicable fees, the rates chargeable shall be
those that are agreed upon between the shipping company and the tugboat
operator. In case of disagreement between them and after mediation has
failed, the Authority shall determine the applicable rates.

4.5    Liability for Damages —- Any damage incurred by a
vessel to port facilities and/or other vessels while under tug
assistance shall be the liability of the parties declared at fault in
accordance with applicable laws and regulations.

5.         Authority of the Port District Manager, PDO-Manila to Issue Additional Regulations
— In coordination with shipping lines, tug operators, harbor pilots and
the MICT Terminal Operator, the District Manager, PDO-Manila, shall
have the authority to issue specific guidelines which are necessary to
ensure a more responsive and effective implementation of this Order.

6.         Separability Clause — If for any reason,
any section or part of this Order is declared invalid by competent
Authority, the declared or invalid section or part thereof shall not
affect the other sections or parts to which such declaration or nullity
does not apply or relate.

7.         Repealing Clause — All PPA Orders which are inconsistent herewith are hereby repealed or amended accordingly.

8.         Effectivity — This Order shall take effect fifteen (15) days after its publication in a newspaper of general circulation.

Adopted: 03 May 2000

(SGD.) JUAN O. PEÑA
General Manager