LA, Long Beach ports raise fees

The US West Coast MTO Agreement has announced a 2.5 percent increase in the Traffic Mitigation Fee (TMF) at the Ports of Los Angeles and Long Beach, in order to address labour cost increases scheduled to take effect on July 1, reported PR Newswires.

Beginning August 1, the TMF will be increased by US$1.50 to $61.50 per TEU and $123 per FEU.

On August 1, 2011, the TMF was increased for the first time since 2006. The $10 per TEU increase came after hourly labour costs increased more than 31 percent for the same period.

The Traffic Mitigation Fee helps pay for the night and Saturday marine terminal shifts created by the PierPass OffPeak programme to relieve daytime congestion in and around the ports. It also provides a financial incentive to move cargo during less congested times.

The TMF is charged for non-exempt containers moving during peak hours (Monday through Friday, 3 am to 6 pm).