Singapore’s Maritime and Port Authority (MPA) has announced the decision to grant an additional 10% concession on port dues for container vessels calling at the Port of Singapore.
The container vessels will be eligible for the concession, which will be into force from today through over a one-year period, only if they are carrying out cargo works with a port stay of not more than five days.
The concession will be granted with the existing port dues concessions such as the Green Port Programme incentives and the 20% concession introduced in 1996.
This move is expected to contribute more than S$17m to the annual savings procured by the container lines.
Singapore’s Infrastructure Coordinating and Transport Minister Khaw Boon Wan said: "The measures are another reflection of the Singapore Government’s consistent commitment to stand with and help our partners through challenging times."
The new measures were worked out by MPA along with PSA Corporation (PSA) to help the container lines cope with the challenging economic environment.
PSA pledges to work with their customers to improve vessel productivity at the port and optimise network planning activities such as service deployments and phasing in and out of vessels, with the aim of reducing their operational costs.
It is also engaging container lines willing a long-term strategic presence in the Port of Singapore.
The port’s maritime performance last year is anticipated to have been affected due to a combined effect of the weak global economic conditions and structural changes in the maritime industry.
The total volume of bunkers sold in the Port of Singapore increased to 6.5%.
The growth of 45.2 million tonnes registered an increase from 2014’s 42.4 million tonnes, reportedly ranking Singapore as the world’s top bunkering port last year.
However, container throughput totalled 30.9 million twenty-foot equivalent units (TEUs) last year, which recorded a drop of 8.7% from the 33.9 million TEUs registered in 2014.
Image: A view of Singapore port. Photo: courtesy of Kroisenbrunner via Wikipedia.