M7: Ports

Ports are ‘places on a waterway with facilities for loading and unloading ships’ and play a
key role in the humanitarian supply chain.

Port Authority
Ports usually have a governing body referred to as the Port Authority, Port Management, or
Port Administration. ‘Port Authority’ is used widely to indicate any of these three terms.
The port authority is usually an independent public organisation that regulates and, either
directly or indirectly, controls operations at ports. Within the context of a port, the port
authority can function as any of the following:
• Landlord for private service providers that manage port operations.
• Regulator of port economic activities and operations.
• Regulator responsible for all marine, safety and environmental port regulations.
• Planning for future port operations and capital investments.
• Operator of nautical services and facilities.
• Marketer and promoter of port services.
• Cargo handler and storage provider.
• Provider of ancillary activities.
Ports have different administrative structures, each with inherent strengths and
weaknesses.
The four principal administrative structures are:
• Service Ports
• Landlord Ports
• Tool Ports
• Fully Privatised Ports
The type of administrative structure as well as the port’s management competency level will
greatly influence the level of efficiency as well as the type of assistance that a humanitarian
organisation can provide and expect to receive. This in turn will determine the type of
operational and long-term relationships that can be established with a port.
Service Ports are predominantly public in character, with the port authority offering a
complete set of services. The port owns, maintains and operates all assets, including labour
contracting.
Landlord Ports are characterised by a mixture of public and private administration.
Typically, in a landlord port, the port authority serves as the regulatory authority and
landlord while port operations (such as cargo handling) are carried out by private
companies.
In Tool Ports, the port authority owns, develops and maintains the port infrastructure, with
port staff operating all port owned equipment. Other services (on board and on quay) are
provided by private companies licensed by the port. Operational responsibilities are divided,
with the port owning and operating cargo handling equipment. Private companies contract
directly with ship owners or charterers/cargo owners. Some ports will allow private service

47
providers to bring additional equipment (including specialised equipment) to the port at
their own cost or at discounted rates.
In Fully Privatised Ports the land is either sold or leased to private entities.
Regulatory and management authority is also delegated to one or more service providers.

Port Management Structure

For WFP, the most important offices are:
1. CEO and Corporate services (The Port Authority).
2. Harbour master/marine operation.
3. Landside Operations and Berthing Arrangements – These are crucial for the
allocation of labour, equipment and interpreting port regulations.
4. Finance (account reconciliation) – 80-90% of trade is through seaborne, underlying
importance of ports for WFP.
FOR EXAMPLE, THE DIAGRAM BELOW ILLUSTRATES THE ORGANIZATIONAL STRUCTURE OF THE KENYA PORTS AUTHORITY.

48
 WFP & Ports
Often WFP works in ports with limited capacities in a variety of aspects.
As part of WFP’s mandate to improve governments’ capacity in places that we work, WFP
participates in projects aimed at improving port capacities.
These are either done through special operations or in limited ways using either LTSH
funding or specific donations. Common forms of assistance include:
• Port equipment: purchase or rehabilitation: forklifts, tractors, weighbridges, etc.
• Facility rehabilitation: warehouses, etc.
• Long and medium-term investments: incorporate supervisory/oversight role in the
use of the donations.
• Obtain concessions for WFP in return for the donations. Can be in the form of
rebates on port charges, free & exclusive storage, and extended free period.

ISPS Code & WFP Port Operations

Functional requirements:
• Gathering and assessing information on security threats.
• Requiring the maintenance of communication protocols between ships and port
facilities.
• Preventing unauthorised access to Port facilities, ships and restricted areas.
• Preventing the introduction of unauthorised weapons, incendiary devices,
explosives, etc., to ships and port facilities.
• Provides means of raising alarm in reaction to security threat or incidents.
• Requiring ships and port facilities to have security plans based on security
assessments.
• Requiring drills and exercises to familiarise with the approved plans.
These functional requirements place obligations on governments, port facility management,
shipping company and the ship calling that port. They have a direct consequence to an
organisation’s operation within that environment.
Both port facility and ship security plans are sensitive documents and will generally not be
universally shared. The port operations office must however understand the implications
and the restrictions these documents are likely to have on cargo operations. Port operations
officers must also understand the process and requirements of the code, as often-times
where there is no security officer they will be called upon to provide inputs and even carry
out security assessments. See Annex

ADDITIONAL READING
• Annex : ISPS Code & Sample Port Tariff

49