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The fuel surcharge adjustment that Phividec Industrial Authority has authorized Mindanao Container Terminal to impose from September 22-28 has been set at 5.6%, the highest so far
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The imposition of FSA is pursuant to PIA Board Resolution No. 3894 and a Department of Transportation order authorizing port and terminal operators to implement an FSA mechanism to recover incremental operating costs caused by rising fuel prices
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The imposition of FSA started in September and done through a weekly fuel price advisory
The fuel surcharge adjustment (FSA) that Phividec Industrial Authority (PIA) has authorized Mindanao Container Terminal (MCT) to impose from September 22-28 has been set at 5.6%, the highest since the mechanism started this month.
Based on the latest available retail fuel price data issued by the Department of Energy for September 15-21, the prevailing retail pump price of petroleum products in Mindanao was P93.40 per liter. Under the approved FSA computation framework, MCT has a fuel cost component equivalent to 6.20% of its authorized tariff.
With this, MCT has been authorized to impose an FSA of 5.6% on applicable port service charges, subject to the terms and conditions prescribed under the implementing guidelines of PIA Resolution No. 3894, according to PIA FSA Advisory No. 004. This is so far the highest FSA, and higher than the 5.1% in the previous week covering September 15-21.
READ: Phividec allows MCT to impose 4.4% fuel surcharge for Sept 8-14
The weekly FSA, which took effect this September, is based on PIA Board Resolution No. 3894 and Department of Transportation (DOTr) Department Order No. 2026-009. The order allows port and terminal operators to implement an FSA mechanism to recover higher operating costs arising from rising fuel prices.
The measure follows Executive Order No. 110, which declared a state of national energy emergency amid risks to global oil supplies from the Middle East conflict and directed government agencies to implement measures to mitigate its impact.
MCT is located at the PHIVIDEC Industrial Estate, which is overseen by PIA. Mindanao International Container Terminal Services, Inc. has a concession agreement with PIA to operate and manage MCT.
Aside from PIA, the Philippine Ports Authority (PPA) is also implementing the FSA mechanism under DO No. 2026-009 for cargo handling operators, terminal operators, and other service providers operating within ports under PPA’s jurisdiction. A similar fuel-based adjustment mechanism is also being implemented for harbor pilotage service providers operating within all PPA-administered ports and pilotage districts.— Roumina Pablo
