MARINA phase out order cripples tourist industry

Resort and hotel owners claim that the tourist industry of Puerto Galera was severely affected when MARINA implemented the phase out of all wooden hulled ferries last July 1. They said that many of their guests are finding it too difficult and too stressful to travel from Batangas pier to Puerto Galera and vice versa. As word got around about the hassles of traveling, many tourists are now postponing, cancelling while some are opting to go to other destinations.

MARINA said that only steel hulled or fiberglass vessels are now allowed to ferry passengers which meant less number of trips with only 2 car ferries and 2 fast craft vessels serving the Batangas-Puerto Galera route. Before, there were about 14 wooden hulled ferries and the departure was almost every hour. Now if one misses a trip, the waiting time for the next available ferry departure might be 3 to 4 hours long.

The resort owners added that another damaging repercussion of the phase out was the subsequent closure of White Beach and the Sabang jetty pier as entry points for passenger ferries. This means that their guests need to travel from and to either Balatero port or Muelle pier. This is more inconvenience and additional travel time especially for tourists staying in Sabang. The road to Sabang remains unfinished and unsafe with numerous potholes that make for a very bumpy ride on trikes and jeepneys.

Allan Nash of El Galleon Dive Resort and an icon in the Puerto Galera dive industry said that the difficulties now being experienced by the tourists are just “disgusting”. He said that what is happening now is the worst ever as many resorts report of dramatic decline in their occupancy rate.

Add to this, Nash said, that resorts cannot even use their own boats to fetch their guests as the motorbanca association will not allow them to do so.

Several resort owners are posting on Facebook the bad experiences of their guests while they travel to Puerto Galera. Tourists are confused when they arrived at Batangas pier since the car ferries ticket booth is in Terminal 2 while the fast craft vessels ticket booth is in Terminal 3. Oftentimes, they fall prey to unscrupulous persons who feed them wrong information to rip them off.

There are also many reports of over-charging trike drivers which prompted Mayor Rockey Ilagan to allow jeepneys to operate in Balatero and Muelle pier. The Mayor warned the trike drivers that severe penalties will be meted out to those caught over-charging.

How did it start?

Last June 18, owners of shipping lines operating the Batangas-Puerto Galera route received a letter from MARINA terminating the CPC (Certificate of Public Conveyance) of all wooden hulled ferries.

A CPC is the franchise issued by MARINA for a shipping operator to ferry passengers and cargoes within Philippine waters.

MARINA said that they conducted a market study and determined that the Batangas-Puerto Galera route can be “fully served” by operators of steel-hulled ships or ships with technically-improved hull material.

By fully served, MARINA means the route wherein the public need or demand for water transport is sufficiently met on a daily basis.
Atty. Sharon Aledo of MARINA said that the current ferries operating in Puerto Galera – MV Polaris of Starlite Ferries Inc. (RoRo), MV San Carlos of Atienza Interisland Ferries, Inc. (RoRo), MV Genesis 1 of RDI Genesis Shipping, Inc. (fast craft) and MV Golden Raptor of MSL Shipping Lines (fast craft) – will be able to handle the volume of passengers for the time being.

Aledo who also heads the Legal Department and Franchising office said that in case more ships are needed, MARINA can give more franchise to interested ship operators.

Aledo said that the phase out had been known to all ship operators since 2016 when the MARINA issued the Memorandum Circular 2016-02 or The Revised Rules On The Phase Out Of Wooden Hulled Ships Carrying Passengers In Domestic Shipping.

Aledo said the ship operators should have modernized their ships since they knew already that the day of the phase out will happen.
Some of the ship operators thought that since their franchise go beyond the year 2018 deadline that they can still sail until the expiration of their CPC.

However, the MARINA Memorandum Circular clearly states that the validity of the CPC shall not exceed the phase out period which was set on July 1, 2018.

White Beach and Sabang Pier

MARINA ordered shipping operators to actively use the ports of Muelle and Balatero, and that the Sabang wharf and White Beach are to be used only by private ferries or bancas used for tourism, site-seeing and diving purposes.

This means that the operators of wooden hulled private ferries or bancas may still be allowed to sail and dock at any location including Sabang and White Beach provided that they comply with the conditions set forth by the MARINA.

The non-use of White Beach as an entry point places in limbo the newly constructed passenger terminal designed and donated by world renowned architect Andy Locsin. A Facebook post by a representative of Mr. Locsin is now offering the building for rent at 75,000 pesos per month.

FSL and Mayor Ilagan

Mayor Rockey Ilagan whose family owns the Father and Son Shipping Lines (FSL) had written letters to MARINA seeking to postpone the implementation of the phase out and the continued use of White Beach and Sabang pier. MARINA apparently declined the Mayor’s appeal and went on with the implementation.

Mayor Ilagan said that FSL once employed more than 150 people for their 7 wooden hulled ferries. The other shipping companies like MSL, QLV, Galerian and Rhealaine also had hundreds of employees who lost their job as a result of the phase out.

The Mayor added that he will be converting his ferries into floating restaurants that can cruise inside the Puerto Galera Bay.

The Mayor added that he had known that the phase out will happen and that is the reason why he started his new shipping company, RDI Genesis Shipping Inc, and has now one operating fast craft. He said that another fast craft will be ready by September.

The Mayor said that this might in the beginning have a bad effect for tourism as tourists would need to wait for several hours to catch a trip to and from Puerto Galera.

MSL and others

Leopoldo Villanueva Jr., owner of Minolo Shipping Lines, argued that the route is not fully served contrary to MARINA’s finding. He added that this negatively affect the tourist industry because there will be lesser trip schedules and the waiting time will be much longer.

“I am appealing to MARINA to give us more time, and that after 6 months if we cannot provide the modernized vessels then they can do the phase out and that will be OK for me.”

“I have already talked with the Director and Atty. Aledo but they do not want to listen to us and want to do the implementation come what may… It is as if we are talking to deaf people.”

Villanueva also laments the authority given to the operators of the wooden hulled private ferries since they are not yet covered by the phase out and may still operate their business.

Leny Del Mundo of QLV Shipping Lines and owner of Mindorinne Oriental said that the closure of White Beach to passenger ferries will cause a huge inconvenience to tourists going to White Beach and also Sabang.