The provincial government wants to establish a new public corporation to oversee shipping, port management, and logistics. A recent feasibility study concluded that the island needs the new organization, but it’s not going to be easy to convince Seoul of the need. Mike Laidman reports.
Report
Currently, Jeju Province is the permit authority for port use, and the Federation of Shipping Associations is responsible for both terminal and parking lot maintenance.
[slug] Feasibility study concludes ‘Jeju Port Corporation’ needed
Demand for cruises is increasing both domestically and internationally and the island is likely to go ahead with plans to build a new port. As such, the province is considering establishing a new public corporation, tentatively titled the ‘Jeju Port Corporation.’
Once established, the corporation would be given the authority that currently resides with the provincial government and the Federation of Shipping Associations. This includes the power to administer and operate Jeju’s harbors and cruise terminals, as well as logistics and shipping operations at the Jeju port.
The province commissioned the Evaluation Institute of Regional Public Corporations to conduct a feasibility study to see whether the establishment is needed from the perspectives of public interest and the economy.
Recording Jang Seok-o / Researcher We concluded that a Jeju Port Corporation would benefit the island in the area of port management. <씽크:장석오/지방공기업평가원 책임연구원> "제주도의 해운물류 항만과 관련한 전략적 차원에서도 공사를 설립해 운영하는 것이 적절한 것으로 판단하고 있습니다."
The institute suggests having between 42 and 52 employees and two divisions: management support and terminal operation.
[slug] ‘Profit-oriented management would burden port users’
At a public hearing, a few concerns were raised. One of them; port users could become burdened if the new corporation focuses too heavily on profits.
Participants at the public hearing requested that the province come up with measures for port users to get government grants from Seoul.
Interview Gang Gong-pil / Shipping industry representative The Jeju Port Corporation, once founded, should pay salaries and make a profit. That means the corporation has to earn money from port fees. <강공필/해운업 관계자> "공사가 공사 이익을 내야 하고 직원 봉급을 줘야 하는데 그럼 돈이 어디서 나올것이냐 결론적으로 부두를 이용하는 사람들한테 돈을 받아야 한다는 얘기입니다."
The feasibility study results support the island’s plan, but it’s expected to be an uphill battle to persuade Seoul.
[slug] Persuading Seoul is crucial
Because the national government is merging and downsizing public organizations nationwide in an effort to curb inefficiency, persuading Seoul to support the island’s proposal is crucial.
[Reporter] Mike Laidman [Camera] Kim Seung-cheol
Jeju Island is planning to hold another public hearing to seek input and enact ordinances to found the new organization during the first half of next year.
Provincial officials are now gearing up for a consultation with the Ministry of Interior in November.
