Plan to up Kuwait Ports Authority efficiency

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‘Lack of cash delivery delays projects’

KUWAIT CITY, July 10: According to informed sources, the government aims to raise the efficiency of the Kuwait Ports Authority, which is currently working on implementing a set of construction projects including the expansion of ports and the establishment of logistical cities, with the aim of increasing its competitiveness and raising its operational efficiency.

The new projects would increase the financial returns, which will be reflected on the authority’s income to form an additional tributary to the state treasury from non-oil revenues, reports Al-Qabas daily. They indicated that a government report was issued recently concerning raising the efficiency of the Kuwait Ports Authority, urging it to address the observations of the State Audit Bureau contained in its latest report, in addition to emphasizing the implementation of the authority’s plans and programs contained in the country’s development plan. The report indicated the continued decline in disbursement and the delay in implementing many projects included in the special development plan in ports.

The total appropriations estimated in the authority’s budget for the 2021/2022 fiscal year, for example, amounted to KD 46 million, and only 0.7 percent was disbursed of this amount, estimated at KD 324 thousand. It highlighted the decrease in the annual revenues of the storage areas affiliated to the authority due to its delay in inventorying and evaluating the state’s real estate properties in the ports and the land belonging to the authority, and its external storage facilities, which prevented them from being optimally utilized.

Benefit
The report stressed the need to use these properties and quickly develop and benefit from them in order to benefit the authority as well as the companies operating in the activities and services provided by the ports. The report affirmed the necessity of overcoming the difficulties facing the Kuwait Supply Company regarding storage areas and rehabilitating warehouses that benefit from them, given that the company is an important source of food security in Kuwait.

The government report concluded that the Kuwait Ports Authority should implement seven recommendations, which are as follows:

1. Speeding up the implementation of development plan projects according to their approved schedules and developing their implementation capabilities.

2. Studying the prices and tariffs applied in the authority’s ports, amending them if necessary, and having them approved by the concerned authority.

3. Coordinating with the Kuwait Supply Company regarding storage areas, overcoming the difficulties facing the company, and rehabilitating warehouses that benefit from them.

4. Working to identify the components of unexploited areas and usable areas, develop and invest them, and work to maximize their revenues in accordance with the laws and regulations.

5. Developing security and safety systems, tightening control over them, adhering to preventive conditions, and ensuring the security and safety of all storage spaces and areas.

6. Updating the controls for qualifying companies, contractors and dealers with the authority and taking the necessary punitive measures towards companies that fail to implement their obligations.

7. Taking the necessary measures to implement the final court rulings issued in favor of the Kuwait Ports Authority.

The sources explained that the main objectives of the Kuwait Ports Authority in its next development plan are as follows:

1. Receiving commercial ships of larger sizes than they are now.

2. Achieving faster handling services for containers and various types of goods.

3. Developing the current capabilities to re-ship goods from Kuwait to other ports.

4. Attracting a number of international companies to work in the country.

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