The Panama Canal Authority’s (PCA) board of directors has approved a plan to change the canal’s toll system and admeasurement standards as reported by Canal De Panama.
Increased ship charges
The proposed adjustments will increase ship charges by an average of 8%. A public comment session will run until May 17, followed by a public hearing on May 20. The changes are scheduled to take effect on January 1, 2023.
According to the PCA, the plan offers a streamlined structure to avoid misunderstanding and misinterpretations while also stabilising pricing. More than 400 toll rates have been established as a result of the current framework. The improvements are aimed at lowering that number dramatically.
Relative worth
Tolls “represent the value offered by the Canal to its users” and “will be regulated so that their relative worth is maintained over time,” according to the proposed amendments.
Tariffs based on the locks utilised for passage, as well as the kind and size of the vessel, will replace pricing bands.
The Panamanian authorities, trying to increase income at a time when most shipping segments have been doing well, are following in the footsteps of Egypt’s Suez Canal Authority, which has pushed through two rapid toll hikes this year.
Did you subscribe to our newsletter?
It’s free! Click here to subscribe!
Source: Canal De Panama
