The Anti-Red Tape Authority (ARTA) has valiantly put an end to the ill-conceived Trusted Operator Program – Container Registry and Monitoring System (TOP-CRMS) being pushed by Philippine Ports Authority (PPA) but opposed by 24 influential business groups, including five prominent foreign chambers operating in the country, according to prominent business groups.
The Alliance of Concerned Truck Owners and Organizations (ACTOO), Alliance of International Shipping Lines (AISL) and Alliance of Container Yard Operators of the Philippines (ACYOP) hailed ARTA’s decision.
They said the results of ARTA’s re-evaluation of the Regulatory Impact Statement (RIS) on the proposed implementing operational guidelines of TOP-CRMS, released on July 25, unequivocally highlighted the multiple flaws in PPA’s proposition.
ACTOO, AISL and ACYOP hailed ARTA’s decision as a savior for the industries affected by TOP-CRMS.
“The business community commends ARTA’s unwavering dedication to protecting the interests of stakeholders and fostering a conducive environment for economic growth as mandated by the Ease of Doing Business Law or Republic Act 11032,” they said.
“ARTA has unequivocally put the final nail in the coffin of TOP-CRMS,” they added.
“ARTA’s recommendation fully aligns with the concerns raised by industry operators, who firmly believe that the PPA’s proposal would have detrimental effects on the economy,” said Patrick Ronas, President of AISL.
Ronas emphasized that PPA AO 04-2021 would have added a staggering P35 billion to annual importation costs, undoubtedly fueling inflation in the Philippines once more.
“ARTA’s recommendation is in perfect alignment with what our group has consistently pointed out – the inefficiency, duplicity, and detrimental effects of PPA’s TOP-CRMS on truck owners and operators,” according to University of the Philippines Professor Rina Papa, ACTOO Director.
“On behalf of off-terminal and off-dock container storage facility operators in the country, we thank ARTA for its recommendations and for preventing what could have been severe negative consequences of TOP-CRMS. This arbitrary project would have rendered the industry dead if implemented,” said Roger Lalu, chairman of ACYOP.
In its report, ARTA determined that the fees associated with the implementation of TOP-CRMS would impose a significant financial burden on stakeholders, particularly concerning the use of PPA-authorized Container Staging Facilities outside the port.
“ARTA’s findings will be immensely helpful to Senator Grace Poe’s Committee on Public Service as they diligently study the TOP-CRMS. With ARTA’s findings, we expect the committee to recommend a total revocation of TOP-CRMS,” they said.
Furthermore, ARTA’s examination revealed that there exists no sound legal or empirical basis to justify the need for such a new regulation or for the PPA’s interference in instances where evidence indicates a genuine issue or a legitimate need for intervention, in accordance with Principle 2 of the Philippine Good Regulatory Principle (PGRP).
Another issue brought to light by ARTA was the conflicting mandates of the PPA, acting both as a regulator and a port operator, which would have resulted in the collection of additional fees by requiring stakeholders to register with the TOP-CRMS for accreditation.
“ARTA’s firm stand against the imprudent TOP-CRMS has averted a potential catastrophe for industries that would have otherwise been burdened with unnecessary costs and stifling regulations,” Ronas said.
Just days before the State of the Nation Address, 24 business groups, including prominent foreign chambers in the country, have joined forces to urge President Ferdinand Marcos Jr. to scrap the PPA’s contentious container registry, monitoring, and storage program.
The foreign business groups who joined local business community in the fight versus TOP-CRMS include the American Chamber of Commerce of the Philippines, Inc. (AMCHAM), European Chamber of Commerce of the Philippines (ECCP), Japanese Chamber of Commerce and Industry of the Philippines, Inc. (JCCIPI), Canadian Chamber of Commerce of the Philippines, Inc. (CANCHAM), and Korean Chamber of Commerce of the Philippines (KCCP).
The local business groups include the Philippine Chamber of Commerce and Industry (PCCI), Supply Chain Management Association of the Philippines (SCMAP), Philippine Association of Meat Processors (PAMPI), Alliance of Container Yard Operators of the Philippines (ACYOP), Pasig Port Users United, Philippine Liner Shipping Association (PLSA), Philippine Ships’ Agents Association (PSAA), Practicing Customs Brokers Association of the Philippines, Inc. (PCBAPI), Philippine Association of Multinational Companies Regional Headquarters, Inc (PAMURI), Philippine Exporters Confederation, Inc. (PHILEXPORT), Semiconductor and Electronics Industries in the Philippines Foundation, Inc. (SEIPI), Alliance of Concerned Truck owners and Organizations (ACTOO), Association of International Shipping Lines, Inc. (AISL), Customs Brokers Federation of the Philippines (CBFP), Philippine Coastwise Shipping Association, Philippine Multimodal Transport and Logistics Association, Inc. (PMTLAI), Port Users Confederation of the Philippines, Inc. (PUC), and United Portusers Confederation of the Philippine, Inc. (UPC).
