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Ceturtdiena 09.04.2020 | Name days: Valērija, Žubīte
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Latvian government sets term for Riga and Ventspils port board members – five years

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Riga Freeport, Ventspils Freeport, Transport Ministry, Latvia, operations, terms, approvalOn Tuesday, 28 January, Latvian government adopted amendments to the by-laws of Riga and Ventspils port management boards, setting the term at five years for port board members.

From now on it is planned to set clear requirements in relation to land lease fee calculation and the order in relation to financial and non-financial goal, complaint processing, as well as set the term of office for board members – five years. This way it is planned to ensure stable and sustainable work of the board, making it independent from political influence, as reported by Transport Ministry.

The current by-laws of Riga Freeport authority and Ventspils Freeport authority do not provide any term restrictions for board members.

Similarly to capital associations, it is also necessary to improve internal control procedures at port authorities and create internal audit units under port management. It is planned for port authorities to approve medium term internal audit plans and annual audit plans, the ministry explains.

The proposed legislative draft also provides for port authorities to approve corruption prevention policies and monitor implementation of said policies. The freeports’ authorities are also expected to publish the corruption prevention plan and annual account on their respective website.

By adopting good management principles, those employed in port authorities will have a duty to report illegal activities or acts of negligence to the freeport’s authority or board. This will ensure transparency of internal processes and improve the possibility of preventing possible illegalities.

It is expected for ports to update their main financial indexes and informative reports four times a year – like it is done by capital associations. This will introduce better transparency for port authority activities, explains the ministry. It is also planned to publish updates about accomplishment of non-financial goals, information about marketing strategy, promotional and cooperation contracts on the official websites of ports.

Read also: Minister: the state may have to invest in port terminals to secure freights

Each port authority will have a duty to review complaints and publish decisions and information in accordance with Regulation (EU) 2017/352 of the European Parliament and of the Council of 15 February 2017, which provides for transparency of port finances and establishment of power service provision system to prevent conflicts in questions regarding the competence to review complaints about possible violations of said regulation.

During meetings, port authorities will have to review submissions from businessmen addressed to them about their work at ports. This will help report to port authorities problems and complicated situations to help resolve them as quickly as possible. Businessmen will also be allowed to voice opinions in topics related to their economic operations.


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