It is giving competitive rates to attract containers from emerging markets in Indo-China and existing markets in Indonesia and Thailand for onward transhipment to long-haul destinations in Europe and the United States.

In efforts to attract its key target of main line operators, PTP Chief Executive Officer Mohd Sidik Shaik Osman said the port had designed its port tariff to be user-friendly, comprising a few main components including consolidated marine charges and handling charges.

"Although it has been said that PTP's tariff as a whole is higher than other Malaysian ports, we view this as positive sign given that PTP was designed to be South-East Asia's premier transhipment hub and not to complete against Malaysian ports.

"We are no doubt cheaper than other major regional ports and PTP with its large land base is able to offer total logistics solutions to shipping lines.

"We view tariffs as only one form of costs and PTP has taken this a step further by offering port users and line total cost solutions," said Sidik in an interview.

He said the main components of PTP's tariffs are handling and marine and storage related charges, and it was usually the first two that were the focus of shipping lines.

Sidik said that PTP's consolidated marine charges was believed to be the first of its kind in the country where all port charges including towage, port dues, pilotage and dockage were consolidate into one single charge.

He said the single consolidated charge was based on length of vessel and length of stay at wharf.

"The charges are subdivided into various length categories of vessels ranging from below 100m to exceeding 300m. By consolidating the charges, PTP has made marine based charges user-friendly and cost-competitive.

"Over and above the charges, PTP enables lines to save costs by ensuring that vessels depart ahead of or on schedule."

On the main category of charges, Sidik said that handling rates had been designed and benchmarket to be competitive against other regional ports.

In comparison to published tariff rates, he said that PTP was able to offer 30% savings upfront to lines.

He said that handling charges, as with other ports, were dependent on size and status of containers.

He said that PTP's categorisation of charges were based on twenty-foot container, forty-foot container and above forty-foot container.

On status, he said that the charges varied from empty containers, laden containers, transhipment and dangerous goods.

"It is this category that is always the focus of shipping lines and ports."

Sidik said that tariffs in general needed to be dynamic and reflect market conditions. With low tariffs, ports would be unable to invest further in expansion and upgrading of equipment.

"We believe that with the primary goal of providing efficient and effective solutions, a competitive tariff must be beneficial both to the port and the user."

He said that PTP's higher tariffs were related to the world-class facilities it had to offer - mainly its 2.16km linear-wharf deep draft container terminal backed by excellent services and the latest generation of port equipment.

"Our strategic location at the confluence of the world's busiest trade routes enable lines to enjoy a minimum diversion time of 45 minutes to the port.

"With these advantages, we are able to offer port users an efficient and integrated solution to their requirements."