Port Governance Tasks: Management of Concession Agreements

Port Governance Tasks: Management of Concession Agreements

Concessions of rights to operate and provide port services, with the public sector retaining port ownership and authority, have been the most common practice worldwide. Commonly, concessions are granted for specific terminals (i.e. container terminal, cruise terminal) and for providing specific services. Beyond determining the main terminal characteristics such as size, location, and waterside and landside access, and the conditions and the process of granting such concessions, (public) port authorities or other public agencies, need to monitor and manage the implementation of concession agreements. Monitoring general compliance, service level agreements, public services obligations, and implementations of business plans by concessionaires are tasks that are as important as the evaluation of the concession agreements, their renegotiation, the investigation of any breaches, and the organization and facilitation of consultations on the port operations provided.