Wisdom of defending the indefensible

In the view of the author, however, such public sector organisations are few and far between, and where they do exist they operate in accordance with well-defined commercial principles and benchmarks.
It is not for no reason that over 80 per cent of the world’s container handling capacity is now in the hands of the private sector.
The truth is that where public sector operated port facilities are still in place they are generally quite inefficient, delivering performances that do not match up to those of their commercial counterparts. Further, this is true with respect to both day-to-day operations and the important dimension of planning for the future.
What are the brakes that hold them back? These can extend from political influence, ingrained conservative attitudes, vested interest, insufficient knowledge to a general lack of will to get to grips with a comprehensive reform process.
Many years ago the World Bank compiled its Port Reform Tool Kit (today in its second edition) which effectively provided ports with a route map to implement PPPs in conjunction with front line cargo handling operations and to put port management bodies onto a landlord footing. It was extremely helpful and very successful.
Nevertheless, despite the positive experience with PPPs worldwide and the landlord port model there continue to be public sector port bodies that face significant problems that are not willing to admit the time for change has arrived or even to consider seriously the potential benefits of structural reforms.
It is thus refreshing to see in the recent release of an Expression of Interest by the Port Authority of Trinidad and Tobago (PATT) statements that frankly admit the shortcomings of the current public sector led port operations and going on from this exhibit an open-minded willingness to tap private sector investment and expertise to right the wrongs.
The EOI is very candid, highlighting key problem areas under the existing arrangements across PATT’s various divisions – cargo operations at Port of Spain, cargo and cruise operations at the port of Scarborough, regional cargo activities at CARICOM wharves and cruise activities at the Port of Spain – and calling for proposals from the private sector to address these as well as identifying areas of opportunity.
It is human nature to soldier on with a system that has been adhered to and defended for multiple years. It is to PATT’s immense credit that it has chosen, on a public stage, to no longer defend the indefensible. There are certainly lessons within its approach that others can learn from. It’s not too late!