Penal Berth Hire

08 Nov 2024 / Visakhapatnam, India

Visakhapatnam Port Authority has introduced the levy of Penal Berth Hire for vessels causing abnormal delays, as follows:

  • Penal Berth Hire = 2 X Normal Berth Hire PLUS Normal Berth Hire, for the Extra time caused due to delays.
  • Abnormal delays – The delay types are mentioned in the circular. Delays can be attributed to vessel, stevedores, survey, shipper/receiver, etc.

Penal Berth Hire for such delays (additional time) will be on the vessel/owner account.

Prescribed Timings:
a) Cargo commencement – Should be within 2 hours of vessel’s berthing
b) Readiness for Sailing – Vessel to be ready for sailing, within 2 hours of cargo completion
c) Stoppage of cargo during cargo operation (for any reasons mentioned in the circular) – maximum time is 1 hour

Any additional time delay beyond the prescribed time (due to any delays), will be considered for Penal Berth Hire.

For vessels which are “Not Ready” for berthing upon arrival, the port gives oral instruction to vessels over VHF (from Port Signal Station), asking them not to enter and to wait outside the Port Limits. This is a recent practice started by the port.

Reasons the port considers vessels “Not Ready” for berthing:

1) Pre-arrival documents not ready – Such as: Vessel Profile is yet to be accepted by Port, Manifest not filed/ready, Pre-Arrival documents not in Order.

2) Vessel/Master “Not Ready for immediate Berthing” due to any reasons, which can be commercial, operational or vessel-related.

3) Cargo documentation not ready – Shipper/Receiver Cargo documentation is not ready, completed, which also includes obtaining of required plot permission to stack/receive the cargo.

Vessel agent should make a “Pilot Request” for berthing, to consider vessel is “Ready for berthing”. They should ensure everything is in order, both from the vessel side and from the cargo receiver/shipper side, prior to making the request. Wrong requests will be penalised.

For further details and information about operations in India, contact GAC India at [email protected]

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