Ports security is very vital because marine transport is a very thriving and extensively used form of conveyance, especially for cargo transportation.
It becomes important that proper monitoring and inspection of the transferred cargo is carried out extensively and ports security facilities, and other necessary infrastructures for deference are put in place in order to meet the ISPS requirements for port auditing purposes.
This is a basic requirement for SIPA to meet, under its Development and Expansion budget. Not by means of tailoring mechanisms for enhancing sky rocketed tariffs, and charging unreasonable and unjustified charges.
Maritime Industry is one of the biggest on the planet and ensuring operations at sea continues safely by taking determined efforts. The implementation of maritime security takes both knowledge and vigilance and it is essential for enhancing security enforcement without slowing the timely flow of international commerce.
This means that SIPA management in its development policy, must put aside big budget, or solicit funds from the state, through long soft loans or other bilateral means for development purposes, rather than killing innocent poor indigenous people who strive to make ends meet.
SIPA serves as an important transportation hub, that facilitates goods, movement of goods, the distribution of freights including raw materials parts and finished.
Consumers products, by all modes of transportation, including marine, air, rail, and truck t OK business in the local communities and the world wide. This means that it is pivotal for SIPA to install the appropriate Infrastructures that could accommodate the port activities prescribed therein. This is a basic operational cost for SIPA not an Excuse for fundraising on the expense of the poor indigenous people.
Objective of port pricing is to promote the most effective and efficient use of facilities. A principle objective of port pricing is to ensure that port facilities are used in the most efficient manner. The pricing system can influence the utilization of assets particularly when the demand for services is price elastic.
But not applying unjustified accelerated and uncontrollable sky rocketed tariffs implemented by the SIPA Board of management.
PORT PRICING STRATEGY
Pricing is an important aspect guiding the interaction between economic Actors in the port industry. Ports authority is a State Owned Enterprise. Usually called a public entity, or statutory body operated department or enterprise. that plays a pivotal social and socio-economic role that oversees services and facilities in a port.
Therefore they are responsible for setting the pricing structure for port users. These services may include Infrastructural services related to use of docks, quays locks, port sites, and concessions. Service to vehicles, and cages, terminal operations, warehousing and distribution activities, mooring, landing, and security surveillance, tallying, marking and weighing, inland transport operations, forwarding and supply chain.
Management, shipping, agency and customs, waste disposal, cargo, surveying , bunking. and water supply. The basic principle is that users pay a reasonable and affordable price or tariff for the services offered to them. and the facilities they use. Price has the greatest effect on the profitability of both the provider and user of services and is one of the "P" components of marketing( product price promotion and place)
This means that if SIPA offered unreasonable and unjustified accelerated prices for its services. Private companies will create their international own ports for the safe landing and cheaper tariffs.
This is what happens to Leroy international seaport, most of the importers preferred ports with reasonable charges, so they duvet their cargoes from SIPA to Leroy International seaport. Because SIPA is fundraising on the expense of poor people who strive to make ends meet.
SIPA Unjustified Vehicle Charges
Disclaimer: The views and opinions expressed in this letter are those of Everest Edgar Kairi and do not necessarily reflect the official policy or position of Solomon Times Online.
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