TARIFF AUTHORITY FOR MAJOR PORTS

NOTIFICATION

New Delhi, the 7th January, 2002

No. TAMP/119/2001-CHPT.—In exercise of the powers conferred by Section 48 of the Major Port Trusts Act,

1963 (3 8 of 1963), the Tariff Authority for Major Ports hereby approves the proposal of the Chennai Port Trust for

inclusion of the rate of the crane charges for handling pine-wood in its Scale of Rates as in the Order appended hereto.

ORDER

Case No.TAMP/119/2001-CHPT

The Chennai Port Trust (CHPT)

Applicant

(Passed on this 1st day of January 2002)

This Authority had passed an Order on 5 November 2001 in case No.TAMP/66/2001-

CHPT relating to a representation submitted by M/s. Gupta Global Exim Pvt. Limited about fixation of

wharfage for soft timber logs on a 'per Cubic Meter' basis at the Chennai Port Trust (CHPT). This

Authority then modified Item 88 of the Wharfage schedule in the Scale of Rates of the CHPT to include

wharfage for pine-wood. The Order of this Authority modifying the Scale of Rates was notified in the

Gazette of India Extraordinary (Part III Section 4) on 20 November 2001 vide Gazette No.300.

With reference to the above Order, the CHPT has now submitted a proposal for

inclusion of crane charges for handling pine-wood in the Scale of Rates of the CHPT. In its proposal,

the CHPT has made the following points:

(i).

On the basis of a representation received from M/s. Gupta Global Exim Pvt. Limited,

the Authority passed an Order amending the Scale of Rates of the CHPT by including

wharfage for pine wood irrespective of the form In which it comes and of Its end use.

THE GAZETTE OF INDIA: EXTRAORDINARY

[PART ID—SEC. 4]

(ii).

In the joint hearing on the representation of M/s. Gupta Globle Exim Pvt. Limited held

on 5 October 2001, it was discussed only about the wharfage charges being levied on

the timber logs, match wood and timber in other forms and on the wharfage to be

levied on the new cargo of pine logs / wood to be imported from New Zealand.

(iii).

The Authority passed its Order before receiving a proposal from the CHPT for

amendment of both the wharfage and crane charges in the Scale of Rates for import of

new cargo of pine logs/wood.

(iv).

Since the crane charges for handling the timber is separately provided in the Scale of

Rates of the CHPT, and as when the wharfage, for pine logs / wood is amended, the

crane charges for handling the pine logs / wood are also required to be amended

simultaneously in the Scale of Rates,

(v).

It is proposed to amend Item No.1 (ii) (c) in Scale A-General, Chapter III, Book-I of the

Scale of Rates of the CHPT as given below:

Item No.

1 (ii) (c)

Classification for purposes of this

Scale

Timber including pine-wood irrespective

of the form in which it comes and of its

endues but excluding other logs as

specified in item ii (a) and (b) as above

Rs. Ps.

38.60

Charge

Per Cubic metre

per hoist

Since the CHPT has not proposed any increase in crane charges for timber and

proposed to adopt the lowest of the existing crane charges for pine-wood, consultation with users was

found not necessary in this case.

With reference to the totality of information available in this case, the following position

emerges:

(i).

The CHPT levies wharfage and cranage separately on timber traffic. The residual

entry in the wharfage schedule applicable for timber has already been modified to

include 'pine-wood'. The cranage schedule also contains a residuary entry; and, the

proposal is to elaborate it in tune with the prescription made under wharfage schedule.

(ii)*

The proposal is not for any increase in cranage charges. It seeks application of the

lowest of the existing charges for pine-wood. Further, this proposal is made only to

bring internal consistency in the Scale of Rates. That being so, this Authority is

inclined to approve the proposal of the CHPT.

(iii).

It is true that a corresponding change in cranage should have been done alongwith the

change made in the wharfage schedule. Neither the CHPT nor the users consulted in

the earlier proceeding pointed out the inter-relationship between the wharfage and

cranage schedules for timber. Admittedly, this aspect has also escaped our attention.

(iv).

The understanding of the CHPT about the tariff setting process is not correct. This

Authority need not wait for a Port Trusts' proposal to effect any change in the Scale of

Rates. Besides Port Trusts's proposals, this Authority can decide suo motu as well as

pass appropriate orders on representation from users.

Before deciding the

representation made by M/s. Gupta Global Exim Pvt. Ltd. about wharfage on pine-

wood, the CHPT was consulted. Although it did not make any written submission,

despite a reminder, the CHPT did participate in the joint hearing set up in that case. At

the Joint hearing, the CHPT did not indicate that it would submit a formal proposal.

That being so, the case was decided based on the records available and information

provided. This being the factual position, the CHPT cannot rake up an issue about

deciding a case without its proposal.

(v).

The wharfage schedule for timber was amended vide this Authority's Order dated 5

November 2001. This Order was notified in the Gazette of India on 20 November 2001

and hence the amendment came into effect from that date. Since the instant proposal

is for levy of an other component of handling charges and it is being approved to bring

in internal consistency in the Scale of Rates, it now becomes necessary to amend the

crane charges schedule, as proposed by the CHPT, with retrospective effect from the

date of amendment of the relevant wharfage schedule.

In the result, and for the reasons given above, this Authority approves the following

modification of Item No.1 (ii) (c) in Chapter Ill-Charges for Cranes and Fork Lift Trucks; Scale A-

General of the Scale of Rates of the CHPT:

Item No.

1 (ii) (c)

Classification for purposes of this

Scale

Timber including pine-wood irrespective

of the form in which it comes and of its

endues but excluding other logs as

specified In item ii (a) and (b) as above

Rs. P.

38.60

Charge

Per Cubic metre

per hoist

This Order will come into effect retrospectively from 20 November 2001.

S. SATHYAM, Chairman

[ADVT IMV/143/2002/Exty.]

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