TOC selection considers business possibility first

The government will consider business possibilities more than cost competitiveness in choosing new TOCs (Terminal Operation Company) from this year. MOMAF (Ministry of Maritime Affaires & Fisheries) announced December 5 that it would choose a TOC that could grow newly established wharf business during the early phases and plan definite guides.
For the evaluation criterion and relative weighting of them, the cost valuation section, like funds for port modernization, was dropped from 70 points out of 100 to 30 while the business possibility valuation section, like cargo attraction ability and company confidence, was raised to 70. The TOC equity rate of local autonomous entities and public enterprises was lowered from unlimited weighting to less than 25%. The purpose of the TOC system is to see the best terminal operation under private management.
One insider from MOMAF said, "We will apply this new guide selecting a TOC for the Gunsan Port container wharf [50,000 ton class 2 berths]."
Meanwhile, the TOC system introduced in 1997, is when a company hires a wharf from a country and undertakes complete management, paying a portion of the gross as port charterage and keeping the rest.