PPC moves to shield supply chains from global energy shocks


PETALING JAYA: The Penang Port Commission (PPC) is stepping up measures to keep supply chains running smoothly as global energy uncertainty continues to disrupt logistics and drive up costs.

Its chairman Datuk Yeoh Soon Hin said five key steps are in place to help the port stay resilient amid rising oil prices and ongoing tensions in the Middle East.

"The world is facing multiple challenges, including conflicts in the Middle East and fluctuations in international oil prices.

"These developments have a direct impact on supply chains, logistics costs and energy prices, placing additional pressure on ports and industrial operations globally," he said in a statement after a recent board meeting.

ALSO READ: Penang Port triggers emergency monitoring as Middle East conflict disrupts shipping

He said that while the conflicts are happening outside the region, their effects are already being felt across supply chains.

Among the steps taken is closer tracking of geopolitical and energy market developments, backed by stronger data systems and early warning mechanisms to help the port respond quickly.

PPC is also working more closely with shipping lines and logistics players to adjust routes and transport arrangements where needed to minimise disruptions.

At the same time, the commission is tightening its spending and focusing on more efficient use of resources to maintain service levels, Yeoh added.

It has also stepped up engagement with government agencies, industry partners and port users to ensure better coordination as conditions continue to shift.

ALSO READ: PPC strengthens global maritime monitoring

In addition, PPC has directed Penang Port Sdn Bhd to study how fuel price increases affect logistics and supply chains, and to find ways to reduce the impact.

Yeoh said the Transport Ministry is also keeping a close watch on the situation, including fuel price movements and coordination across the transport sector.

"In an environment of heightened global uncertainty, PPC will continue to pursue a development strategy that balances prudence with forward planning, enhancing the flexibility and resilience of our port systems," he said.

He said PPC will also continue to monitor developments and adjust its approach where necessary to protect operations and support economic stability.

 

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