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Asian Terminals Inc. has applied to renew its contract with the Philippine Ports Authority to operate Manila South Harbor beyond 2038
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PPA’s Committee on Seaport Terminal Management Contract Renewal received ATI’s application in December 2025
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As part of procedures, stakeholders are given five calendar days from the date of publication of the notice on the renewal application to submit their comments
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ATI president Eusebio Tanco said at least half of the extended term of the contract has already been completed as of November 18, 2025 and that ATI meets the other criteria for the renewal under PPA rules
Asian Terminals Inc. (ATI) has applied to renew its contract with the Philippine Ports Authority (PPA) to operate Manila South Harbor (MSH) beyond 2038.
In a recently posted notice, PPA said its Committee on Seaport Terminal Management Contract Renewal received ATI’s application in December 2025.
PPA in 1988 granted the 25-year contract for the management, operation and development of MSH to ATI (then Marina Port Services Inc.), and extended the contract in 2007 for another 25 years or until May 18, 2038.
The application for renewal is pursuant to PPA Administrative Order (AO) No. 007-2023, which provides the new guidelines on the renewal of existing contracts on seaport terminal management services. PPA previously did not have a provision for contract renewal.
The guidelines are in line with changes under Republic Act (R.A) No. 11659, or the Amended Public Service Act, and its implementing rules and regulations (IRR).
Under the law, which relaxes foreign ownership restrictions in certain industries, seaports remain as public utilities.
Under AO 007-2023, a holder of a valid and existing contract or agreement for the provision of seaport terminal management services may apply for renewal when at least half of the stipulated duration of the existing contract or agreement has been completed.
The application for renewal must also be filed no later than three years before the expiration of the contract.
In its application dated December 12, 2025, ATI president Eusebio Tanco said at least half of the extended term of the contract has already been completed as of November 18, 2025.
Tanco said ATI meets the other criteria under AO 07-2023.
ATI possesses all the qualifications and none of the disqualifications provided for under R.A. No. 11659 and its IRR, including, but not limited to, the nationality requirement.
ATI also “exhibited exemplary record in the delivery of services at the Manila South Harbor in accordance with the current Contract and latest relevant performance audit.”
Moreover, the port operator has made substantial investments on infrastructure, technology or equipment for its operations under its existing contract.
ATI noted it is compliant with revenue or remittance commitments under the current contract or agreement, and with no outstanding obligations, financial or otherwise, with PPA.
READ: ATI income jumps 34.4% to P4.26B in Jan-Sept 2025
It also does not have a pending case against the PPA or any of its directors or officers, in their official capacity, in any court of law or administrative body.
ATI has also complied with other requirements under AO 007-2023, including, submission of a business plan study covering all the core services of MSH, and payment of the non-refundable application fee of P1 million.
Under the guidelines, the Committee on Seaport Terminal Management Contract Renewal, chaired by PPA assistant general manager for finance, legal and administration Elmer Nonnatus Cadano, will evaluate whether or not the concessionaire is qualified for a renewed concession.
As part of the procedures, the notice of application for renewal of contract was published to allow all interested parties to submit their comments on the application within a period of five calendar days from the date of publication.
The Committee may recommend either returning the application if the concessionaire is found to be unqualified for renewal, or commence with the negotiation of the terms and conditions of the renewal of contract if the concessionaire is found to be qualified.
In case the concessionaire is qualified, the negotiation for the terms and conditions for the renewal of contract within 60 days will commence from the day of approval of the general manager.
If the PPA Board disapproves, and the Committee and the concessionaire fail to agree on mutually acceptable terms and conditions one year prior to the expiration of the existing contract, all negotiations will automatically cease.
Aside from ATI, International Container Terminal Services, Inc. has also applied to renew its contract to operate Manila International Container Terminal beyond 2038.
READ: PPA preparing to negotiate with ICTSI on MICT contract renewal
PPA earlier also renewed the contract of Oroport Cargo Handling Services, Inc. for Cagayan De Oro port and PCBSI Port Terminal Management Corp. for Dapitan port.
