The Tariff Analysis Tool is designed to enable the Haitian National Port Authority (APN) to test the effects of adjustments to port authority tariffs on APN cash flows. The Tool provides a systematic simulation of the cash flows generated by APN, allowing users to develop multiple tariff and traffic demand scenarios and change operational assumptions. Revenues can be modified to reflect changes in APN’s port tariffs as well as other revenue sources.
The Tool is structured to reflect the terminal operator’s concession contract payment terms, which include fixed and variable fee revenues generated for APN. The fixed fee comprises the annual lease payment to APN by the terminal operator holding the concession, while the variable fee consists of a royalty payment paid to APN based on a per unit charge for cargo handled. The Tool also allows users to incorporate charges not currently imposed by APN, such as security surcharges and miscellaneous charges related to services provided by the port authority.
The Tool provides for the use of five different scenarios, four of which are based on the structure of Scenario 1, which forms the base case scenario. All five scenarios reflect seven general categories of port authority charges, and users can assign a different scenario to each of the seven categories. Additionally, port authority revenues are affected by both the level of charges imposed by the port authority and cargo and ship volumes handled. The Tool allows for adjustments to demand forecasts using three different demand scenarios.
The Tariff Analysis Tool structure is composed of six components, including macroeconomic assumptions, revenue scenarios, port revenue forecasts, demand forecasts, port operational expenses, and port authority capital expenses. The Tool’s input components are presented in Chapter 3 of the User Manual, and include:
* Macroeconomic assumptions, such as inflation rates and exchange rates
* Revenue scenarios, which reflect changes in APN’s port tariffs and other revenue sources
* Port revenue forecasts, which estimate the revenue generated by APN based on cargo and ship volumes handled
* Demand forecasts, which estimate the demand for cargo and ship services
* Port operational expenses, which include costs associated with maintaining and operating the port
* Port authority capital expenses, which include costs associated with investing in new infrastructure and equipment
The Tool’s output components are presented in Chapter 4 of the User Manual, and include:
* Pro forma financial statements, which provide a snapshot of APN’s financial performance based on the input assumptions
* Income statements and cash flow statements, which provide a detailed breakdown of APN’s financial performance
* Graphical depictions of the pro forma financial statements, which provide a visual representation of APN’s financial performance
The Tariff Analysis Tool is designed to provide users with a comprehensive understanding of the impact of changes to port authority tariffs on APN’s financial performance. By allowing users to develop multiple tariff and traffic demand scenarios and change operational assumptions, the Tool provides a flexible and user-friendly platform for analyzing the effects of different scenarios on APN’s financial performance.