Lift-on, Lift-off LOLO
Definition
Lift-on, Lift-off (LOLO) charges are integral to the handling of containers at ports and terminals, involving the use of cranes to load and unload containers from vessels. This fee is typically levied by the terminal operator or port authority and is paid by the shipping line or freight forwarder, which often passes it on to the cargo owner as part of the overall shipping costs. These charges arise due to the necessity of utilizing specialized equipment and skilled labor to safely and efficiently transfer containers between the ship and the dock.
LOLO fees are applicable in scenarios where containers need to be moved from the ship to the dock or vice versa, using crane operations. The fee is generally calculated based on the number of containers handled, irrespective of their size or weight, although some terminals might differentiate charges slightly depending on container size. This cost is distinct from other terminal handling charges (THC) as it specifically covers the crane operation aspect of container handling, rather than encompassing broader terminal services.
In practice, it is essential for shippers and freight forwarders to be aware of the LOLO charges applicable at different ports, as these can vary significantly depending on the port's infrastructure, location, and handling capabilities. Additionally, coordinating the timing of container movements is crucial to avoid delays and minimize extra costs, as LOLO operations are often scheduled and any deviation can result in additional fees. Understanding the specifics of LOLO charges can aid in accurate cost estimation and efficient logistical planning, ensuring smooth cargo transitions at ports.
Summary
Lift-On/Lift-Off charges for container handling using cranes, a fundamental terminal operation.