The Labuan Port Authority (LPA) is a Federal Statutory Body under the supervision of the Ministry of Transport Malaysia (MOT). The background of LPA's establishment is divided into two phases: the initial operational phase under the extension of powers, and its reconstitution as a separate Federal Board in 2024. The primary purpose of LPA is to serve as the Authority and Regulatory Body for Labuan Port, with operations located in the Federal Territory of Labuan and within the Victoria Bay Port Limits.
a. PHASE 1: Establishment and Initial Operations (2017–2024)
LPA was established through the extension of the functions of the Bintulu Port Authority (BPA) under the Bintulu Port Authority (Extension of Function) Order 2017 [P.U. (A) 35/2017], which came into force on 31 January 2017.
i.Initial Legal Basis: This Order was made using the provisions of Sections 66A, 66B, and 66C of the Bintulu Port Authority Act 1981 (Act 243), enabling LPA to function as a statutory body and port regulatory authority.
ii.Regulation Prior to LPA: Before this extension of functions, Labuan Port was regulated by the Marine Department Malaysia (JLM) under the Merchant Shipping Ordinance (MSO) 1952.
iii.Port Limits: The declaration of new port limits, known as the Victoria Bay Port Limits, was made on 17 January 2017.
iv.Key Role: LPA was tasked with the primary scope of development, administration, marketing, and the provision of port services. This is vital to ensure Labuan Port functions as an efficient gateway, consistent with its status as an International Offshore Financial Centre (declared on 1 October 1990).
v.Terminal Operator: Labuan Port Authority appointed Straits Inter Logistic Berhad (SILB) as the new terminal operator effective 1 April 2020. Terminal operations and facility management at the Labuan Liberty Terminal are currently managed by SILB's subsidiary, Megah Port Management Sdn. Bhd.
b. PHASE 2: Transition of LPA to a New Federal Act
The status of LPA under Act 243 was officially terminated following the handover of Bintulu Port to the Sarawak Government.
i.Revocation of Extension of Functions: The Bintulu Port Authority (Extension of Function) Order 2017 was revoked through the Bintulu Port Authority (Extension of Function) (Revocation) Order 2024 [P.U. (A) 341] on 15 November 2024.
ii.Reconstitution as a Separate Entity: LPA was established as a separate entity effective under the Port Authorities Act 1963 (Act 488), via the Port Authorities (Labuan Federal Territory Port and Victoria Bay Port) Order 2024 [P.U. (A) 342], also effective 15 November 2024.
iii.Impact: This Order officially confirms LPA as a standalone Federal Board under Act 488. It also transfers all powers, rights, liabilities, properties, and obligations previously held by BPA to the new Labuan Port Authority.
iv.Continuity of By-Laws: The Labuan Port Authority (Victoria Bay Port) (Scale of Rates, Dues, and Charges) By-Laws 2020 [P.U. (A) 108/2020] previously enacted remain in force and are deemed to have been made by the new LPA until amended or revoked.
As the Port Authority and Regulatory Body, LPA's vision is to make Labuan Port the most efficient, safe, and competitive port in Malaysia. To realize this vision, LPA has outlined the following mission:
1.To ensure the smooth execution of port operations by port operators;
2.To ensure port users receive quality services to meet the needs of Labuan Island;
3.To take immediate action on complaints and consider public feedback regarding port services and facilities;
4.To produce a professional, skilled, and trained workforce to enhance service quality and productivity;
5.To ensure port users comply with all port guidelines and conduct handling works according to LPA laws and regulations;
6.To promote and encourage the growth, development, and infrastructure of the port for the convenience of its users; and
7.To establish comprehensive port facilities to improve the performance of container and break-bulk cargo handling services.
1.To conduct regulatory activities for port services that are of high quality and competitive in Malaysia;
2.To ensure the port service delivery system meets the requirements and needs of Labuan Island;
3.To ensure infrastructure development aligns with user requirements from time to time; and
4.To establish Labuan Port as an efficient node within the national transportation chain and provide value-added services.