PPA remits P3.5B dividends to NG

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    The Philippine Ports Authority (PPA) has remitted P3.5 billion to the government coffers for fiscal year 2020.

    PPA’s dividend remittance accounted for 56 percent of its net income last year and is higher than the 50 percent of annual net income remittance mandated by law.

    Jay Daniel Santiago, PPA general manager, said the PPA board has approved to remit 56 percent of the 2020 net income to the national coffers to assist the government in its coronavirus disease 2019 (COVID-19) response.

    For 2020, PPA posted a net income after tax of P6.138 billion, down 16 percent from 2019 primarily because of the pandemic.

    PPA said despite the reduced net earnings in 2020, the dividend in review ranked second highest since the first full year of the Duterte administration.

    Since 2016, PPA said, it has remained the top-performing DOTr agency and was able to remit dividends totaling P17.2 billion to help in the implementation of various government social and health programs.

    PPA also posted a total of P14.87 billion in income tax to the Bureau of Internal Revenue since 2016, with the biggest tax paid recorded in 2018 at P5.90 billion.

    For 2021, PPA said it is optimistic cargo traffic volume would increase by 7 percent as compared to last year, consistent with the National Economic and Development Authority’s forecast.

    However, improvements in cargo traffic would depend on how government will address the easing of movement of people given the travel restrictions in place to combat the spread of the COVID-19.

    PPA data showed the country’s cargo traffic stood at 230 million metric tons (MMT) in 2020, lower than the 266.4 MMT in 2019.