Philippine Ports Authority

Internal Audit Department

Domestic-Vessel Charges and Cargoes Charges
PMO __________________
Audit Period _________________
Auditor: ____________________________

Audit Criteria Questions Yes No Auditor’s Findings

VESSEL Secure copy of the following: Resource Personnel:
 Dockage Report of the Sampled
Usage Population (vessel)
 NOA/ABA
 Official Receipt and Computation
Sheet

To Do:
Working paper per IAD computation
against PMO collected charges
Reference:PPA Site
Charges on Vessels

5. Vessels engaged in domestic trade that

berth or drop anchor at any government port
shall be charged a DOMESTIC DOCKAGE
FEE (USAGE FEE) as follows:

Jan 01, 2009

6 to 100 GRT per calendar day 82.00
or fraction thereof
Over 100 GRT per calendar day .80
or fraction thereof

5.1 Domestic vessels calling at officially

registered private ports shall be charged at
one-half (1/2) of the Domestic Dockage
Fees at a government port.

5.2 Registered bay and river trade vessels

shall also be charged one-half (1/2) of the
required Domestic Dockage Fee but in no

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 Audit Criteria Questions Yes No Auditor’s Findings
case less than or more than the following
charges for a calendar day or fraction
thereof:

Jan 01, 2009

Not less than 82.00
Not more than 413.00

5.3 Lay-up fee for domestic vessels shall be

one-half (1/2) of the applicable Domestic
Dockage Fee.

6. Yachts/pleasure crafts staying at a duly

registered marina that comply with PPA
rules on private ports, specifically on
payment of privilege fees shall be liable of
payment of Domestic Dockage Fees (Usage
Fee)

7. Yachts/pleasure crafts from 6 GT ip to

100 GRT calling at port government ports
shall be liable to the payment of DOMESTIC
DOCKAGE FEE (Usage Fee) at P40.00 per
calendar day or faction thereof. Please
crafts of more than 100 GRT shall be
charged at P.40 per GRT per calendar day
or fraction thereof.

8. Idle vessel occupying dockside berth at

any government port despite a shifting order
from the Port Manager or his authorized
representative to give way to an incoming
operating vessel, shall be assessed a
charge of 300% of applicable dockage fee
for fpreign vessels and 500% of applicable
DOMESTIC DOCKAGE FEE (Usage Fee)
for Domestic vessels, provided that the
payment of such assessed fees shall be
made by the owners, agents or
representatives prior to actual departure
from berth.

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 Audit Criteria Questions Yes No Auditor’s Findings

9. Vessel occupying dockside berth at any

government port, but are subject of a
restraining order, injunction, writ of
attached, and other similar orders by a
competent court or authority shall be
assessed a charge of 600% of the
applicable dockage for foreign vessels and
1000% of the applicable DOMESTIC
DOCKAGE FEE (Usage Fee) for domestic
vessels; provided, that the payment of such
assessed fees shall be made by the party
granted the favorable judgement or order,
and, provided further, that the same is made
immediately after the court or competent
authority’s decision.
PILOTAGE Secure copy of the following: Resource Personnel:
 Certificate of Services Rendered
(CSR) if it not direct charging
 Official Receipt and Computation
Sheet

To Do:
Working paper per IAD computation
against PMO collected charges
PPA Administrative Order 04-2003
Guidelines on the Pilotage Services To
Be Rendered In All Ports And The
Corresponding Fees Therefor

2. Required Pilotage Services for Entering

and Leaving the Port (pages 3-13)

5. Applicable Pilotage Rate

5.1.2 For Coastwise Vessel

100 and under 500 GRT 41.70

500 and under 600 GRT 55.60
600 and under 1,000 GRT 69.60

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 Audit Criteria Questions Yes No Auditor’s Findings
1,000 and under 3,000 GRT 139.20
3,000 and under 5,000 GRT 194.80
5,000 GRT and over 300.00

5.2 There shall be one fee for either

docking or mooring or anchoring and
another fee for either undocking or
unmooring or leaving anchorage.

5.3 There shall be a uniform fee of 100% of

the EO 1088 rates for each of the special
services listed in Section 3 hereof and as
requested by the Master of the vessel of
ship’s agent

Section 3 Special Services

Shifting
Bow-out Docking
Ship to ship Docking / Undocking
Dead Ship Docking / Undocking or
Mooring /Unmooring
Meeting vessel at a point other than
the Pilot’s Boarding
Station/Quarantine Anchorage except
in Aparri where this is a regular
service
Conduction of vessel provided the
distance is not less than five (5)
nautical miles
Unwristing
Mediterranean Mooring/Docking
Channeling In / Channeling Out

6. Payment of Pilotage Service Fee. Xxx

6.3 Pilotage service rendered on Sunday,

holiday or between 1800H to 600H, a
premium fee of one hundred over the
regular pilotage fees for vessels engaged in
foreign trade and fifty (50%) percent for

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 Audit Criteria Questions Yes No Auditor’s Findings
coastwise vessels. However, no premium
fee shall be considered for service rendered
after 18ooH if it shall be proven that the
service can be completed before such hour,
after the one (1) hour grace period has
expired.

The additional premium fee for Sunday,

holiday or night service shall be based on
only one (1) regular service fee regardless
of how many movements have been
rendered to the vessel, whether regular or
special. For uniformity of implementation
attached as Annexes showing the sample
computations Annex 1 for a foreign vessel
with pilotage service and premium, Annex 2
for domestic vessel and Annex 3 for
pilotage service rendered on Sunday and
nighttime.
Line Handling

Basis CH Approved Tariff

EXCEPTION
From Port Charges
Reference: PPA Website
1. Notwithstanding the above
provisions of duly BOI-registered
firms as well as those granted
special exemptions by law enacted
or decreed after January 1976 shall
be exempted from payment of port
charges until otherwise revoked or
amended.
2. Vessels for drydocking or repair at
any duly authorized drydocking
shipyard facilities shall be exempted
from dockage/usage fees from the
time it calls at a shipyard facility up
to the time the drydocking or
repair is completed.
3. Vessels (foreign or

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 Audit Criteria Questions Yes No Auditor’s Findings
domestic)certified for
shipbreaking at the duly accredited
shipbreaking yard shall be
exempted from all vessel charges.
Scraps resulting from the
shipbreaking of foreign vessels
which are re-exported or sold
locally shall be exempted from
wharfage. Scraps resulting from
the shipbreaking of domestic
vessels shall likewise be exempted
from wharfage.
4. Vessels in distress or those
calling at any port for
humanitarian reasons shall be
also be exempted from all vessels
charges.
5. Donations from international or
local organizations duly
authorized or registered by the
DSWD or the Office of the
President shall be exempted from
wharfage and storage charges
provided there is evidence that the
same is requested for
release/delivery within seven (7)
days from notice of arrival.
6. Foreign naval and other state not
engaged in commercial shopping
services shall be exempted from
payment of all vessel charges in the
foreign government owning such
vessels also grant reciprocal
privileges to vessels owned by the
Philippine government which are
similarly situated.
CARGOES Secure copy of the following: Resource Personnel:
 Cargo Manifest of the Sampled
Wharfage Population (vessel)
 Bill of Lading of the Sampled
Population (vessel)
 Official Receipt and Computation

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 Audit Criteria Questions Yes No Auditor’s Findings
Sheet
 Discharging/Loading Tally Sheet

To Do:
Working paper per IAD computation
against PMO collected charges
PPA Memorandum Order 09-83
Guideline in the Collection of Wharfage
Dues on Domestic Cargo and
Government Share on Arrastre Income

Section 3. Definition of Terms-

1. “Direct Collection” – A system
whereby PPA directly bills and
collects whafage dues and
government share on arrastre
income from shiippers/ consignees.

Reference :(PPA WEB SITE)

Charges on Cargoes

2. All non-containerized domestic cargoes

shall be charged WHARFAGE as they
enter or leave a government-owned
wharf on the basis of their total revenue
or metric tonnage rounded off to the
nearest ton, as follows:

DOMESTIC WHARFAGE FEE Jan 01,2009

Non-Containerized Cargoes 9.00

Cargoes in Sack/Bag/Bulk
/Uncrated Live Animals/Steel
Products and Lumber/Heavy Lift

Per Metric Ton

Others 7.00

Per Revenue Ton

Minimum Charge 15.00

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 Audit Criteria Questions Yes No Auditor’s Findings
10’ Box or shorter 63.00
20’ Box 126.00
30’ Box 157.00
40’ Box 189.00
45’Box 221.00

2.1 Domestic cargoes, whether

containerized or not, that are
loaded/discharged at anchor
without using any government
wharf or at officially registered
private ports shall be charged
one-half (1/2) of the usual
Domestic Wharfage Fee.

Provided that if cargoes in a

box are owned by more than
one shipper/consignee (LCL)
the WHARFAGE for non-
containerized cargo shall
apply.

PROVIDED FURTHER that

NO WHARFAGE shall be
charged on empty containers
i.e without contents of any
sort.

The WHAFAGE for all foreign

and domestic cargoes whether
containerized or not that are
loaded or discharged from a
vessel at ancho without using
any government wharf or at an
officially registered private port
whether exclusively or
commercially, shall be one-
half (1/2) of the corresponding
charge a government-owned
port.

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 Audit Criteria Questions Yes No Auditor’s Findings
Arrastre & Stevedoring Secure copy of the following:
 CargoManifest of the Sampled
Population (vessel)
 Bill of Lading of the Sampled
Population (vessel)
 Official Receipt and Computation
Sheet
 PMO’s CH Approved Tariff Rate
 Monthly Gross Income Report
(MGIR) request breakdown for
other Income

To Do:
Working paper per IAD computation
against PMO collected charges
PPA MC 37-2002
Guidelines in the Collection of Port
Charges and Cargo Handling
Charges for Domestic Operations
4.7 Modified Cash and Carry System
4.7.2 Wharfage, arrastre and stevedoring
charges and storage fees for the
Modified Cash and Carry System
shall be paid by the
Shipper/Consignee’s Liner
Representative following the
process flow for Inbound Xxx…
4.7.6 Post Billing
4.7.6.1 PPA shall reconcile the
payment against the Bill of
lading, Final Manifest and any
other container inventory
record and shall issued a Bill of
Charge (Annex 12) for any
underpayment or Confirmation
notice if payment is in order
(Annex 13), not later than 30
calendar days from the date of
departure of the vessel.
4.7.6.2 Shipper/Consignee’s Liner
Representative shall pay within
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 Audit Criteria Questions Yes No Auditor’s Findings
calendar days from receipt of
the Bill of Charge

5. Operating Guidelines Common to all

Prescribed Collection Systems
5.1 Usage Fee
5.1.1. Usage fee shall be paid by the
Shipping line prior to the
approval of the departure
clearance of the vessel based
on the Dockage Report Xxx..
5.1.2. In case of delay in the
departure of the vessel, the
additional usage fees shall be
paid by the shipping Line prior
to the approval of the extended
departure clearance based on
the Dockage Report.
5.2 Storage
5.2.1. Storage fee for inbound cargo
shall be collected prior to the
approval of the Gate
Pass/Equipment Interchange
Receipt (EIR) or any similar
document before its release from
the pier.
5.2.2 Storage fee for outbound cargo
shall be billed by PPA to the
Shipping Line based on the Bill
of Lading and/or Final Outward
Coasting Manifest within one
calendar day after departure of
the carrying vessel. Payment
shall be made within three
calendar days after departure of
the carrying vessel.
5.2.3 Storage fees for empty containers
is chargeable against the
Shipping Line.(*** CHARGES)
5.3 Stripping or stuffing Charges,
Stand-By Time, Line Handling and
Other Cargo Handling and Port

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 Audit Criteria Questions Yes No Auditor’s Findings
Related Services
5.3.2 Container rates shall not apply to
containers that are stripped or stuffed at
the pier/wharf/terminal inside the port,
instead, the regular or existing arrastre
charges shall be applied against the
cargo (contents)
Take note of the CH approved tariff
rate applied to stripping/stuffing

5.7 Accountable Forms

5.7.1 The following documents are
accountable forms should be pre-numbered
5.7.1.1. Computation Sheet (CS)
5.7.1.2. Discharging/Loading Tally Sheet
(DLTS)
5.7.1.3. Summary of Port Charges (SOPC)
5.7.1.4 Bill of Charges (BOC)
5.7.1.5. Credit Memo (CM)

5.2 The Cargo Handling Operator (CHO)

shall distribute within two calendar days
from the date of vessel departure the
accomplished Discharging/Tally Sheet…

Reference: PPA website

Charges in Storage
1. STORAGE shall be charged on
cargoes that remain in any
government-owned port beyond the
“free-storage period” (FSP). The
said period is defined for all types of
cargoes as follows:

For Domestic Cargo:

Entering any port Two (2) calendar days after

the date of cargo entry into
the port
Discharged at any Two (2) calendar days after
port the day that the last item of
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 Audit Criteria Questions Yes No Auditor’s Findings
cargo unloaded from the
carrying vessel
PROVIDED that if the cargo is not loaded
as scheduled the resulting fee shall be paid
by whoever is at fault.

2. STORAGE for non-containerized

cargoes shall be determined on the
basis of the number of the calendar
days that the cargo stays in the pot
the “free-storage period” and the
total revenue tonnage of the cargo
according to the following schedule
per revenue ton per day or fraction:
Domestic Cargo: 5.65
3. STORAGE of a container whether
or not it contains cargo shall be
determined on the basis of calendar
days the cargo stays in the port
after the prescribed
free-storage period”
DOMESTIC BOX
10 ft 63.45
20 ft 180.50
30 ft 314.90
40 ft 360.95

4. The PPA Board of Directors shall

have the power to adjust or
suspend the “free-storage period”
and/or increase the storage charges
for ports declared by it as
congested. PROVIDED, that
foreign transshipment shall not be
subject to the said escalation.

PPA Memorandum Circular No. 01-2011

Revocation of PPA Memorandum
Circular No. 01-2009 (50%-50%) sharing
in the Arrastre Fees in Instances Where
Cargo Handling (CH) Operators Utilizes
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 Audit Criteria Questions Yes No Auditor’s Findings
Equipment of the Shipping Lines in
Rendering Services to Vessels and
Cargo Owner

Consistent with the requirement in the CH

Contract, the Authority shall now strictly
implement the policy where the authorized
CH Operator are obliged to procure their
equipment either by purchase or lease.

Xxx..
In the event where the shipping company is
willing to allow the CH Operator to use the
equipment, any arrangement at regards the
payment shall be internal between the CH
operator and the shipping company.

The payment of arrastre shall be 100%

Auditee:

______________________

Signature Over Printed Name

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