Sabah to implement interim measures to ease Sepanggar Container Port congestion, says DCM

KOTA KINABALU (Feb 6): The Sabah government will implement a series of interim measures to ease congestion at Sepanggar Container Port, said Deputy Chief Minister III Datuk Ewon Benedick.

He said his State Ministry of Industrial Development, Entrepreneurship and Transport (Mindet), had submitted proposed interim solutions to the Sabah Cabinet, which were approved at the meeting on Feb 4.

“The Chief Minister and members of the state Cabinet have been briefed on the congestion issue and have agreed to the proposed interim solutions,” he said in a statement.

Among the key measures is the creation of a temporary container yard to increase storage and handling capacity, expected to begin operations by the end of March 2026.

Ewon said revised deterrent charges, which had been decided earlier, would also be enforced to encourage faster container clearance and reduce congestion at storage areas.

“The state government will also tighten enforcement against containers that exceed the permitted storage period.

“Records show that 120 containers have exceeded the stipulated storage duration, including 103 containers that have already obtained Customs clearance but are still at the port, with some remaining there for more than a year,” he said.

As such, Section 46 of the Sabah Ports Authority Enactment 1981 will be enforced to allow for disposal or auction of these containers.

To improve container turnaround, Ewon said the free storage period during peak seasons would be reduced from five days to three days.

At the same time, all transport companies will be required to use the Vehicle Booking System (VBS) to better organise vehicle movements in a more controlled and systematic manner, without any financial implications for operators.

He added that the operating hours of government agencies at Sepanggar Container Port would be aligned with the port’s 24-hour operations through overtime work, including weekends and public holidays, to expedite cargo assessment and clearance processes.

In addition, the port operator will upgrade machinery and container-handling equipment through the addition of assets and operational support to enhance efficiency and capacity.

To support smoother logistics flow, a trailer parking site at Kota Kinabalu Industrial Park has also been identified for use, particularly to accommodate containers transported out after office hours when consignees are unable to receive deliveries outside their operating times.

Ewon said he would personally monitor the implementation of the interim action plan and continue engagement with all stakeholders, including parties responsible for the delayed Sepanggar Port expansion project.

He stressed his commitment to providing leadership in addressing port congestion, as it has significant implications for supply chains as well as Sabah’s industrial and entrepreneurial sectors, and is crucial for boosting investor confidence.

“As long as all parties play their respective roles and place Sabah’s interests as a priority, this issue can be resolved.

“Within my first 100 days at Mindet, this interim action plan is being implemented so that we can then focus on other issues under the ministry’s responsibility,” he said.

Ewon also said he would make follow-up visits to Sandakan Port and Tawau Port as part of ongoing efforts to improve port management in the state.

Previously, he had conducted various engagement sessions and site visits to Sepanggar Container Port to assess container movements firsthand, from unloading from vessels to final delivery destinations.

“The congestion is due to a significant increase in container traffic, with data showing 398,000 TEUs recorded in 2025 alone, as well as delays in the implementation of the Sepanggar Port expansion project,” he said.

He explained that Sepanggar Container Port was originally designed specifically for container operations and not for roll-on roll-off (roro) vehicle operations.

“I have consistently said that all parties must play their roles and prioritise Sabah’s interests in finding solutions to this congestion issue,” he added.