The initiative proposes that shippers pay a fee of US$1 for every tonne of cargo passing through the port
The communist deputy leader of Chile’s Valparaíso Region, Luis Cuello, is seeking to introduce a new port royalty scheme requiring shipping companies to make a direct financial contribution to the municipalities and regions in which the maritime terminals they use are located.
The initiative proposes a compensation of US$1 for each tonne of cargo transferred. According to Cuello, the central objective is for the wealth generated by port activity to not only be transitory but also contribute to local development, financing infrastructure projects, creating jobs, and improving the quality of life for residents of port cities.
Coello described the proposal as an “act of territorial justice”, comparing it to the royalty that mining companies must pay in the region. He said shipping companies had a duty to pay for the negative externalities of the industry – such as road wear and tear, traffic congestion, and the environmental impact of their activities.
Despite warnings from businesses that the new measure could lead to a loss of competitiveness of the Port of Valparaíso compared to other ports in the region, Cuello insisted that the royalty is a reasonable amount that does not compromise foreign trade.
According to information published by PortalPortuario, the proposal “aims to force a thorough discussion on fiscal decentralisation and the social role of companies operating in the country’s main logistics hubs”.
