PORTS (PRIVATISATION) ACT 1990

No port undertakings of a port authority shall be transferred or disposed of to any person except pursuant to and in accordance with the provisions of this Act.

Transfer of port undertakings

The port privatization plan required by subsection (1) shall—

Where any matter is not included in the port privatization plan and the Minister considers that it should be so included, the

Minister may direct the port authority to consider the matter and report to the Minister concerning its inclusion in the port privatization plan.

No port privatization plan shall be put into effect until it has been approved by the Minister.

Every port privatization plan shall be put into effect in the form approved by the Minister.

The Minister may grant approval of part of a port privatization plan if he considers it appropriate and this Act shall apply to that part as if it were a port privatization plan.

The Minister may, after consultation with the port authority as he considers appropriate or on the application of the port authority, amend any approved port privatization plan.

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Port undertakings to be transferred to licensed operator

the approval of the plan by the Minister under section 5;

the execution of any necessary agreement between the port authority and the operator; and

the issue of the licence to the operator under subsection 9(3).

Liabilities in respect of port undertakings

The liabilities so identified shall remain liabilities of the port authority except to the extent of any written agreement to the contrary between—

.

Any application for the grant of a licence under this Part shall be made in writing and shall contain, or be accompanied by, such information and documents as may be specified by the port authority for the purposes of determining the application and the suitability of the applicant for the licence.

Upon receiving any application made in accordance with subsection (2), the port authority may—

Every licence issued under subsection (3) shall set out the duration of the licence and shall further prescribe—

The issue of a licence to a port operator by a port authority under subsection (3) shall not impose any liability on the port authority for any loss or damage occasioned by any act, omission or default of such operator.

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Suspension and revocation of licence

A licensed operator may appeal to the Minister against the suspension or revocation of its licence by the port authority under subsection (1).

Every such appeal shall be made in writing within thirty days from the date on which the decision of the port authority is served on the licensed operator.

The decision of the Minister under this section shall be final and conclusive.

A decision of the port authority under subsection (1) shall be of immediate effect notwithstanding any appeal made under subsection (2).

Where a licence is suspended or revoked under subsection

, the port authority may, if it considers that such suspension or revocation would materially affect the movement of cargoes or passengers at the port and with the consent of the Minister—

If upon the expiry of the period prescribed in such notice the licensed operator fails to carry out the duties mentioned therein, the port authority may engage any other person to perform those duties and all costs and expenses incurred by the port authority in respect thereof shall on demand be immediately reimbursed by the licensed operator.

A person engaged by a port authority under subsection (2)

may enter into any of the premises of the licensed operator and bring into the premises any equipment or machinery as may be necessary or proper for the purposes of carrying out those duties.

In every licence issued under section 9, there shall, in the absence of any express provision therein to the contrary, be the implied condition that any person engaged by a port authority under subsection (2) may in respect of the duties stated in the notice given by the port authority—

Where any equipment or machinery of the licensed operator is temporarily taken over and operated under subsection (4), adequate compensation shall be paid to the licensed operator by the person taking over and operating such equipment or machinery.

The person engaged by a port authority under subsection (2)

shall continue to perform the duties for which he was engaged notwithstanding any dispute as to adequate compensation referred to in subsection (5).

A port authority shall not be liable for any damage or injury occasioned by any act, omission or default of the person engaged by the port authority under subsection (2).

A licensed operator shall have due regard to the efficiency, economy and safety of operation in respect of the services and facilities provided by it.

Submission of reports, accounts, statistical information, etc.

within three months after the end of each financial year or such longer period as the port authority may allow, submit to the port authority—

a report of its operation during that financial year containing such information as is necessary to enable the port authority to make an informed assessment of such operation; and

submit to the port authority—

such statistical information relating to its operation as may be required by the port authority from time to time;

A port authority may require a licensed operator to submit such further or additional information as it may deem necessary either by way of an explanation, amplification or otherwise with reference to any report or information forwarded by the licensed operator under subsection (1) and such information shall be submitted within the period and in such manner as the port authority may require.

Ports (Privatization)

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Licensed operator to keep port authority informed of certain matters

any change in the control of the licensed operator;

any industrial dispute between the licensed operator and its employees;

any industrial accident or mishap involving any servant, employee or agent of the licensed operator;

any fire occurrence within its premises;

any theft or pilferage within its premises or any theft or pilferage involving any cargo in its possession or control;

and

any proceeding or claim instituted or made against the licensed operator which may affect its ability to perform any condition under the licence.

For the purposes of paragraph (1)(a), the expression “control”

in relation to a licensed operator means the power to direct the management and policy of the licensed operator.

Without prejudice to the generality of subsection (1), by-laws may be made—

Section 13 of the Statutory and Local Authorities Pensions

Act 1980 [Act 239] shall apply to an officer or servant of a port authority who is employed by any licensed operator in accordance with an approved port privatization plan as though such officer or servant was appointed with the approval of the Government to serve in an organization pursuant to that section.

Imposition and variation of charges by a licensed operator

give any discount at such rate as it thinks fit;

impose interest on any sum outstanding; and

in the case of any package facility or package service provided by it, levy such higher charges not exceeding such percentage of the prescribed charges as may be approved by the port authority.

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Where, in respect of any facility or service provided by a licensed operator, no charges have been prescribed under any by-law, the licensed operator shall, notwithstanding the provisions of any written law, be entitled to levy charges at the rate as may be approved in writing by the port authority.

For the purposes of this section, “package facility” or “package service” means a combination of two or more facilities or services in respect of which the charges have been prescribed under any by-law.

Inspectorial power

suspend the licence of the licensed operator, take temporary possession of any undertaking of such licensed operator and operate it in such manner as it deems fit; or

withdraw either partially or totally the use of any port service or facility from any person or class of persons or from the public at large.

If any doubt arises as to the existence of an emergency or whether any act done under subsection (1) was in the interest of public safety, a certificate signed by the Prime Minister and exhibited at such places as the Minister deems fit shall be conclusive proof on the point.

Where the port authority takes possession of any port undertaking under paragraph (1)(a) adequate compensation shall be paid.

Ports (Privatization)

Section 16A of the Port Authorities Act 1963 [Act 488] is amended by inserting after the words “this Act” in subsections (1)

and (3) the words “or the Ports (Privatization) Act 1989”.

Section 33A of the Penang Port Commission Act 1955 [Act 140] is amended by inserting after the words “this Act” in subsections

and (3) the words “or the Ports (Privatization) Act 1989”.

Section 27A of the Bintulu Port Authority Act 1981 [Act 243] is amended by inserting after the words “this Act” in subsections

and (3) the words “or the Ports (Privatization) Act 1989”.

Transitional provision