SAAFF denounces R25 000 NPA penalty

Alan Peat THE NATIONAL Ports Authority (NPA) plans to impose a R25 000 penalty for undeclared, late or wrongly declared cargo dues (the former wharfage). This it intends to apply even when these are accidental omissions and not illegal commissions. But it has encountered strong opposition, according to Dave Watts, executive of the Kwa Zulu Natal SA Association of Freight Forwarders (SAAFF). "The magnitude of the penalty bears no resemblance to the severity of the offence, Watts said, and far exceeds former levels of penalties for improper submission of wharfage charges. In a letter to the NPAÕs Nico Walters, SAAFF in KZN (speaking on behalf of the national association) protested about this "utterly unacceptable" penalty. "There is just no precedence for this," said Watts. "Previously, we only paid a nominal penalty for late fees. "But there is no value of goods in which this new penalty is fair. "ItÕs excessive in the extreme, and bears no relation to the alleged offence." Unless the penalty is suitably adjusted, SAAFF is recommending to all members and clients that this penalty should be deducted from the account before payment is made. SAAFF has already involved a couple of shipping lines in the dispute, pointing out that shipowners are also being faced with possible impositions of the penalty fee for containers/cargo under their control. "We are also approaching the ASL (Association of Shipping Lines) and Asabosa (Association of Ships Agents and Brokers of SA) about this matter," added Watts. SAAFF also condemned the wording of this amendment to Section 7 of the new NPA tariff, suggesting that certain sections contradicted other parts of the regulations. "ItÕs completely inoperable the way it stands," said Watts. During the wait for a reply to its protests, SAAFF has been informed in a communication from Walters that the original imposition date of May 1 has been postponed till July 1.