threatenspp43.com

BlueGrowthScenariosandDriversforSustainableGrowthfromtheOceans,SeasandCoastsMaritimeSub-FunctionProfileReportShortSeaShipping(1.
2)CallfortendersNo.
MARE/2010/01Client:EuropeanCommission,DGMARERotterdam/Utrecht/Brussels,13thAugust2012TheresearchforthisprofilereportwascarriedoutintheperiodApril–August2011.
ThisreporthasservedasaninputtothemainstudyfindingsandthesehavebeenvalidatedbyanExpertmeetingheldon9/10thNovember2011inBrussels.
ThecurrentreportservesasabackgroundtotheFinalReportonBlueGrowth.
ContentsSummarydescription71StateofPlay91.
1Descriptionandvaluechain91.
2Descriptionofthecurrentstructures101.
3Regulatoryenvironment121.
4Strengthsandweaknessesofshortseashipping(SSS)122Researchandtechnology152.
1Reductionofsulphurandotheremissions152.
2Othertechnologicaldevelopments173Futuredevelopments183.
1Externaldriversandkeyfactorsaffectingtheperformanceofthecluster193.
2Assessmentofresponsecapacityandcommercialisationpotential193.
3Mostlikelyfuturedevelopments213.
4Impacts,synergiesandtensions224Roleofpolicy254.
1Policyandpoliticalrelevance254.
2DomainsforEUpolicy25Annex1Bibliography27Annex2Stakeholdercatalogue29Annex3Casestudies31Casestudy:CleanShippingNetwork31CaseStudy:Grimaldi'sProposalforMotorwayoftheSea31Annex4Tableofcross-linksandsynergies35SummarydescriptionShortseashippingisanimportanttransportmodeintheEuropeantransportnetwork,cateringtoapproximately40%ofallintra-Europeantransport.
Thesectorisconsideredmature,butdoesstillshowsomeeconomicgrowth.
Technologydevelopment,bothattheshipbuildingstageandinareassuchassecurityandsurveillance,mainlyrelatestopublicpolicyinitiatives.
Thetransportedvolumesofcargowillgenerallydevelopalongwitheconomicdevelopment.
Additionalgrowthofvolumemayberealisedbystimulatingmodalshift,providedthattheadditionalcostsofcomplyingwithemissionregulationsdonotformtoomuchofacounter-effect.
TheemissionofSO2ofthesectorwilldrasticallyreduce,duetothestrictregulationsinECAsinparticularandingeneralduetoIMOregulations.
CurrentR&Deffortsaremainlyaimedatrealisingthisreduction,throughamixofmeasures:usinglowsulphurcontentfuel,usingscrubbersandbyusingLNGasamarinefuel.
LNGwillbecomeanalternativesourceoffuelforasubstantialshareoftheshortseavesselsonceasuitabledistributioninfrastructureissetup.
Expertsestimatethatthismaytakeatleast5to10years.
ExternaldriversaffectingtheSSSsub-functionare:Fuelpriceincreaseswillleadtopressuresonthesub-function;TheEuropeanSingleMarketwillcontributetofurtherexportsanddemandforshort-seashipping;TradewithNeighbourhoodcountries–growthinTurkey,Russia,UkraineandNorthAfricawillspurthedemandforshort-seashipping;Congestionofroadtransportwillleadtoreducedcompetitivenessofthisalternative(whileexpectationsforrailandinlandwaterwaysremainmodest).
Thesector'sresponsecapacityischaracterisedbydiversityincapacitytorespond;largerplayerswillbeabletoinvestandadjustfasterthansmalloperators.
Levelsoftechnologicaladjustmentsarelow.
Pricecompetitiondrivesanincreaseinshipsize.
1StateofPlay1.
1Descriptionandvaluechain1.
1.
1DefinitionanddemarcationShortseashippinginthisreportisdefinedas:intra-Europeanmaritimeshipping.
ShortseashippingformsanimportantmeansoftransportwithintheEuropeantransportsystem.
Itfulfilsseveralfunctions:ItcaterstothetransportneedsofEuropeaneconomiesbyprovidingmaritimepoint-to-pointtransportofallkindsofcommodities;ItprovidesthemaritimelinkthatconnectstheEuropeanroadnetworkacrosstheseas,intheformofRo-Rotransport;Itservesasfeedertransportdistributingcontainerflowsfromthemajorintercontinentalhubstosmallerports,orviceversa.
ThedefinitionofshortseatransportchoseninthisreportexcludesfeederandRo-RoconnectionswithEuropeanneighbouringcountries,suchasthosefoundintheMediterraneanandBlackSea.
Intheshippingindustry,thesearegenerallydefinedasshortseashipping.
However,Eurostatstatisticsdonotincludetheselinksintheirfiguresforintra-Europeanshipping.
Thedefinitionalsoexcludespassengerferryservices,thoughthereisnostrictdistinctionpossiblebetweenRo-Roservicesandferrypassengerservices.
ThisreportincludesallservicesprimarilyaimedatRo-Rofreight,thoughoftentheseservicesalso(toalimitedextent)catertopassengersandtheirvehicles.
Inpractice,thereisawholepaletteofferry/Ro-RoservicesinbetweentheextremesofapurecargoRo-Roserviceandapurepassengerferryservice.
Inthefirsttwofunctionsmentionedabove,shortseashippingoftenfunctionsasanalternativetransportmodalitytoroadtransport.
ThishasbeenpartofECpolicysincetheearlynineties,whentheECstartedpromotingshortseashippingasawaytoreducecongestiononroadsandtoreduceemissionsfromtransport.
Itshouldalsobenotedthatcontainerfeedertransportisoftencombinedwithcontainerpoint-to-pointtransport.
Adifferentwaytomakeasubdivisionofshippingservicesinthesectorisasfollows:Linershipping,withfixedsailingschedulesandfixeditineraries.
Thismostlyconcernscontainer(eitherpoint-to-pointorfeederservices)andRo-Roservices.
Shippingwithfixedcontracts,mainlyfordrybulk(ores,coal,cereals)orliquidbulk(crudeoil,LNG,fuels,basechemicals),oftenunderlongtermcontracts(mostcommonly5to10years)forthetransportofbulkcommoditiesbetweentwoports.
Inshortseashippingthisisonlydonewithsmalltomedium-sizedvessels,whereaslargevesselsaredominantinthissegmentinintercontinentalshipping.
Trampshipping:spotcontractsforsinglevoyages,usuallymedium-sizedvessels(handysizeandpanamax),whichcancallatallornearlyallseaports.
1.
1.
2Valuechain/economicsectorsShippingitselfisaservicetomanyotherfunctions,oftenlinkingvariousstagesofaproductionprocessthatareatdifferentphysicallocationsorprovidingpartofthedistributionchainoffinishedgoods.
Theshortseashippingvaluechainconsistsof:Shipbuildingandmarineequipment–deliveringthetransportequipmentScenariosandDriversforSustainableGrowthfromtheOceansandseas10Operationofships–shippingfreightPortservicesandlogistics–operatingterminals,handlingcargoes,storage,VAL,portmanagementOthermaritimeservices(bunkering,shiprepair,pilotage,etc.
)Maritimeworks–constructingports,maintainingaccesschannels1.
2Descriptionofthecurrentstructures1.
2.
1EconomicperformanceIntra-EUanddomesticshippingaccountedforrespectively25%and11%ofallEUmaritimetransportin20091.
Thisequals978mlntonoffreight;downfrom1,088mlntonin2008.
ThisdownwardtrendisaresultoftheeconomiccrisisthatstartedinAutumn2008,whichhittheshippingsectorhard.
EurostatalsopublishesfiguresspecificforSSS,usingadefinitionthatincludesintra-EUanddomesticshippingaswellasallshortdistancemaritimetransportinvolvingEUneighboringstatesburwitheitheroriginordestinationinamemberstate.
ThetotalvolumeofSSSin2009accordingtothisdefinitionwas1,685milliontonsoffreight,implyingthatjustunder600milliontonsoffreightconcernedSSSbetweenamemberstateandanon-memberstate.
ThedivisionperbasinisasinTable1:DivisionofEuropeanSSSovertheseabasins(milliontonnes)BasinPercentageVolumeBalticSea19.
6%330NorthSea26.
4%445AtlanticOcean13.
7%231MediterraneanSea29.
7%500BlackSea6.
4%108Others4.
3%73Total100.
0%1,685Source:EurostatAdifferentiationinvolumestovarioustypesofshippingisgiveninTable2.
Nearlyhalfofthetotalisliquidbulkshipping;thesecondlargestisdrybulkshipping.
Ro-Roandcontainershippingeachhaveasimilarshareataround12%.
Table2:DivisionofEuropeanSSSintotypesofshipping(milliontonnes)TypeofshippingPercentageVolumeLiquidbulk49.
7%837Drybulk20.
1%339Ro-Ro12.
1%204Container11.
7%197Other6.
4%108Total100.
0%1,685Source:EurostatForemploymentandvalueadded,adifferentiationforshortseashippingandotherformsofshippingcannotbemade.
Here,onlystatementsreferringtothetotalshippingfunction(deepseaandshortseashipping)canbemade:1Source:EurostatTotalshippingfunctionemploysappr.
2.
5mlnFTE(Eurostat,2007data),84%ofwhichinports.
(Ecorys,2009).
Theemploymentonboardshipsisrelativelysmallcomparedtothewholemaritimesector.
Moreover,alargeshareofcrewpositionsisnolongerfulfilledbyEuropeans;Totalshippingfunctionvalueaddedisappr.
188bnEUR(Eurostat,2007data),82%ofwhichinportservices.
1.
2.
2Mainsub-functionplayersTheshortseashippingsectorisrelativelyfragmented;howeverthereareafewmainplayerstobementioned.
Therearedifferencesbetweenthetypesofshipping.
BulkshippingThebulkSSSmarketaccountsfornearly70%ofthetotal(50%liquidbulkand20%drybulk).
Liquidbulktransportconcernstransportofcrudeoil,oilproductsandchemicals,whereasdrybulkrelatestocommoditiessuchascoal,ironoreandotheroresandvarioustypesofcereals.
Thismarketsegmentisquitefragmented,withalotofsmallerplayersactiveonthemarket.
Inthissegment,afairshareofspotcontractsisfound.
Ro-RoshippingTheRo-Roshippingmarketisdominatedbyafewlargeplayers,oftenwithaspecificgeographicalfocus.
Ro-Roshippingisalsoverymuchintegratedwithferrytraffic:manyRo-Rovesselsarero-paxvesselsthatcatertoRo-Rofreightaswellastopassengersandtheirvehicles.
SomecompaniesareinprincipleRo-Rooperatorsthatalsocatertopassengers,suchasDFDSSeaways,Finnlines(ownedbyGrimaldiGroup),GrimaldiLinesandGrandiNaviVeloci.
Viceversa,anumberofcompaniesaimedatpassengerferrytransportalsocatertotrucksandRo-Ro,examplesareStenaLinesandP&OFerries.
ManyRo-Roplayersarealsoactiveaslogisticsserviceproviderand/orintermodaloperator.
CobelfretRo-RoisanexampleofalogisticsserviceproviderthatintegratedintoRo-Roservices.
ContainershippingAdistinctioncanbemadebetweencontainerfeedershippingandpoint-to-pointcontainertransport.
Thefirstisdirectlylinkedtothemainintercontinentalcontainerlinesasitformspartoftheglobalcontainersupplychains,thesecondconcernsintra-Europeancontainertransport.
Inpractice,thesetwocontainerflowsareoftencombined.
Feedershipsusuallyalsocatertothepoint-to-pointcontainertransportmarkettocreateeconomiesofscale.
Someoftheintercontinentalcontainercarriersoperatetheirownfeederlines,suchasMaersk,CMA-CGMandMSC.
OthercompaniesarepurelyEuropeanshortseacontainer(feederand/orpoint-to-point)operators,suchas:Unifeeder,Seago(arecentlystartedjointventureofMaerskandSafmarine)andUnitedFeederServices.
Somecontaineroperatorshavealsointegratedintohinterlandtransportandlogisticsservices,thoughlesssothanRo-Rooperators.
OthershippingThissegmentmainlyconsistsofgeneralcargoshipping,whichincludescargoonpalletsorinbigbagsandbreakbulkcargosuchastimberandsteelproducts.
Italsoincludesprojectcargo.
Thissegmentisalsoquitefragmentedwithmanysmallplayersactiveinthemarket.
OthermarketplayersBesidesthecarriers,therearemanypartiesactiveintheshippingmarketprovidingservicestothecarriers.
Examplesaremarineterminaloperators,financiers(banks),insurancecompanies,shipbuildersandrepairers,classificationsocieties.
ScenariosandDriversforSustainableGrowthfromtheOceansandseas12MarketdominationAfirmstatementonwhodominatesthemarketcannotbemade.
Inthefirstplace,itdependsonthetypeofshipping.
Inbulkshipping,oftentheproducersortheusersofthecommoditydominatethemarket,suchasoilcompaniesorchemicalfirms.
Theytendtohaveinvestedlargesumsintheirrefineriesandchemicalcomplexesandwishtokeepafirmcontrolofthetransportoftheinputsoroutputsoftheseproductionfacilities.
Inthebulkmarkets,theusers/producersarequiteconcentratedandthemaritimetransportmarketisquitefragmented.
InRo-Roandcontainertransport,severallargecarriersdominatethemarket,especiallytheonesthatintegratedintohinterlandtransportandlogisticsservices.
Here,thereversecanbeseenasinbulkshipping:thetransportmarketisrelativelyconcentratedwhereasthetransportusersarequitefragmented.
Itshouldhoweverbementionedthatmarketdominationmeansthatthesecompaniesadoptaroleoftransportchaindirector,ratherthandictateprices.
Competitionbetweenthemaritimetransportcompaniesisfirm,keepingpricesdown.
1.
3RegulatoryenvironmentTherearenospecificregulationsforshortseashipping.
Shortseashippingoperationsneedtobecompliantwithmaritimeregulations,bothatworldwidelevelandatEUlevel.
Theownershipandmanagementchainsurroundinganyshipcanembracemanycountriesandshipsspendtheireconomiclifemovingbetweendifferentjurisdictions,oftenfarfromthecountryofregistry.
Forthatreasonthereisaneedforinternationalstandardstoregulateshipping-whichcanbeadoptedandacceptedbyall.
AnimportantroleinthisplaystheInternationalMaritimeOrganization(IMO)whowasadoptedinGenevain1948.
ThemaintaskofIMOhasbeentodevelopandmaintainacomprehensiveregulatoryframeworkforshippingincludingsafety,environmentalconcernslikeNOxemissions,legalmatters,technicalco-operation,maritimesecurityandtheefficiencyofshipping.
Themostrelevantregulationsregardingshortseashippingarelistedbelow:PortStateControlregulationsrequiringshipstomeetinternationalsafety,securityandenvironmentalstandardsandinvolvinginspectionsinportsofcall.
TherulesareapprovedthroughtheParisMoUonPortStateControl.
IMOregulationsonnavigationandshipsafetyandenvironment,broughttogetherintheSOLASandMARPOLmaritimelegislativeframeworks.
ECDirective2000/59onportreceptionfacilities,withtheaimofsubstantiallyreducingdischargesofship-generatedwasteandcargoresiduesintothesea.
NewEUlegislationthatcameintoeffecton1January2010pertainstotheEUSulphurDirective2005/33/EC,whichdefineslimitsonthesulphurcontentofmarinefuels.
Regulation(EC)No725/2004onenhancingshipandportfacilitysecurityandDirective2005/65/ECwhichcomplementsthesecuritymeasuresintroducedbyRegulation(EC)No725/2004.
1.
4Strengthsandweaknessesofshortseashipping(SSS)ThestrengthsofSSSinaglobalperspectivearethefollowing:Shippinghasthelowestunitcostofalltransportmodesandisthereforethebestoptionforthetransportoffreightoverlargedistances.
Shippinghasarelativelylowenvironmentalfootprintpertonkilometrecomparedtoothermodesoftransport.
TheEuropeanshortseashippingsectorisnotveryvulnerabletocompetitionfromotherpartsoftheworld:maritimecabotageisonlyallowedtoCommunityregisteredshippingcompanies.
Europestillhasatechnologybasedadvantageinthesectorofmarineequipmentsupplierscomparedtootherpartsoftheworld.
TheweaknessesofSSSinaglobalperspectivecomprise:About30to40%oftheoperationalcostsofshortseashippingconsistsoffuelcosts.
Thisimpliesthesectorisvulnerabletovariationsinthepriceoffossilfuels.
Thesectorisdependentontheeconomicclimate.
Thedecreasesinshippingvolumesasaresultofthe2008crisisdemonstratethis.
ShipbuildersfaceintensecompetitionfrommainlyFarEasterncompetitorsthatareabletoproduceatlowercosts.
InfactonlyspecialisedshipbuildingstilltakesplaceinEurope.
AsianmarineequipmentsuppliersarecatchingupwhichthreatensthepositionoftheEuropeanmarineequipmentindustry.
Constraints:Lackofadequateinfrastructurecaninsomeregionsbeaconstrainttofurthergrowthoftheshippingsector.
Thismainlyconcernsmaritimeinfrastructureinsecondaryports.
Increasingly,connectionstothehinterlandtransportnetworkarebecomingabottleneck,thoughmoresotohubportsreceivinglargevesselsandlargervolumes,whichalmostbydefinitionarerelatedtointercontinentalshipping.
2ResearchandtechnologyIntheSSSsector,thefocusofresearchandtechnologydevelopmentsisonthereductionofemissions(section2.
1)andonincreasingthefuelefficiencyofships(section2.
2).
2.
1ReductionofsulphurandotheremissionsTheemissionsofharmfulsubstancesbytransportareamajorconcern.
Inmaritimetransport,thisconcernsinparticulartheemissionsofSO2asshipsuseheavyfueloilwhichhasarelativelyhighsulphurcontent.
Recentdevelopmentsintechnologythereforeconcentrateonthereductionofsulphuremissions.
IMOMARPOLAnnexVIsetslimitsonsulphuroxide(SOx)andnitrogenoxide(NOx)emissionsbyshipsandprohibitsdeliberateemissionsofozonedepletingsubstances.
TheIMOemissionstandardsapplytoshipsover400GTandenginesover130kW.
TherevisedAnnexVIallowsforEmissionControlAreas(ECAs)tobedesignatedforSOxandparticulatematter,orNOx,orallthreetypesofemissionsfromships.
IntheseECAsastricteremissionstandardisenforceable.
TheBalticSeaAreaandtheNorthSeawereadoptedasSOxEmissionControlArea(SECA)inJuly2005.
Here,stricteremissionstandardsapply.
Asper1July2010,themaximumsulphurcontentoffueltobeusedinthesetwoareasis1.
0%,tobefurtherreducedto0.
1%per1January2015.
AccordingtoDetNorskeVeritas(DNV),therearethreemainsolutionstocomply:1.
theuseoflowsulphurfuel;2.
theuseofscrubberstocleanexhaustgasesfromstandardmarinefueloils(undercertainconditionsIMOregulationsallowtheuseofhighsulphurfueloilifscrubbersareused);3.
theuseofLNGasmarinefuel.
2.
1.
1LowsulphurfuelStandardheavyfueloilisaresidualoilfromtherefiningprocess.
Ittypicallyhasasulphur(SO2)contentof3.
5%-4.
5%.
Lowsulphurfuelsmayconsistofspeciallyrefinedresidualoils,ofultra-lowsulphurdieseloildesignedformotorvehiclesortrains,orofbio-fuels.
Refineryproducedultra-lowsulphurfuelmayhaveasulphurcontentaslowas0.
0015%;bio-dieselnaturallycontainszerosulphurcontent2.
ThefollowingtableshowsIMO-regulationsforthemaximumsulphurcontentofmarinefueloil.
Table3:OverviewofIMOregulationsonmaximumsulphurcontentanddatesofvalidityDatesGeneralrequirementsRequirementsinECAPriorto1July20101.
5%After1July20101.
0%Priorto1January20124.
5%After1January20123.
5%After1January20150.
1%After1January20200.
5%Source:IMOresolutionMEPC.
176(58)2See:http://www.
drew-marine.
com/fm_lowsulfur_solutions.
htmlScenariosandDriversforSustainableGrowthfromtheOceansandseas16Lowsulphurfueloilisinfactanoildistillate,ratherthanaresidualsuchasstandardheavyfueloil.
Thisadditionalprocessingwilladdtothecostofthefuel.
Currently,thepricedifferenceinRotterdambetweenstandardintermediatefueloiland1%sulphurcontentfueloilis35.
5USDpermetricton;thedifferencewith0.
1%sulphurcontentfueloilis323.
5USDpermetricton3.
Withabout30%-40%ofthecostsofshippingrelatedtofuelconsumption,thismakesadifference.
Apartfromthepricedifferenceduetoadditionalprocessing,theshippingindustryfearsthatworldwiderefiningcapacitywillnotbesufficienttoforeseeintheincreaseddemandforoildistillates,resultinginupwardpressureonfuelprices.
Oneoftheintervieweesalsoraisedtheissueoftheresidualfuels:whatwillhappentotheseiftheyarenolongerusedasshippingfuelsWilltheresidualsbecomeawasteoftherefiningprocessTherearealsosomeoperationalchallengesinvolvedwithlowsulphurfueloils,suchascompatibility,lubricityandbiologicalcontamination.
Thesecanhaveanimpactonengineperformanceandwear.
However,theseoperationalchallengescanbeovercomeandgenerallydonotformabarriertotheuseoflowsulphurcontentfuels.
2.
1.
2ScrubbersScrubbingisagenerictermfortechniquesthatcleanexhaustgases.
Inmaritimeshipping,scrubberscanbeappliedtoextractSO2,NOxandPMparticlesfromfuelexhausts.
TrialsbymembersoftheExhaustGasCleaningSystemsAssociation(EGCSA)showthatcurrentlyavailablesystemscanreachreductionsinparticulatematterofupto80%4,whereastheorganisationisconfidentthatfurtherdevelopmentcansubstantiallyimprovethisfigure.
Theadvantageofusingscrubbersisthattheshippingindustrycancontinuetousethe"dirty"residualoils,whichischeaperthanusingdistillateswithlowsulphurcontents.
Undercertainconditions,IMOregulationsallowtheuseofhighsulphurcombinedwiththeuseofscrubbers.
Trialshaveshownthatscrubberscaneffectivelybeappliedtoverylargemoderncontainervessels.
Thedisadvantageisthatretrofittingisnotcheap;retrofittingscrubbersonanaveragesizedvesselsuchasanAframaxtanker5wouldbearound1millionUSD.
2.
1.
3LNGfuelledshipsLNGisanalternativetoheavyfueloilforshippropulsion.
Thetechnologyisexisting;thefirstLNGfuelledvesselwasaferryinNorway,theGlutra.
ItwasagovernmentfundedprototypetestingtheuseofLNGasfuel.
BasedontheexperienceofbuildingandrunningtheGlutra,DNVhaswrittenregulationsfortheuseofferriespoweredbyLNG.
Sincethefirsttrials,severalNorwegianferrieshaveswitchedtoLNG.
ThecurrentworldfleetofLNGfuelledvesselsis22intotal6,ofwhich21operateinNorway.
Theorderbookscontainanother17shipsscheduledfordeliveryin2011to2013.
ThedriveforswitchingtonaturalgasenginescomesfromtheestablishmentoftheEmissionControlAreafortheBalticSeaandpartsTheNorthSea.
Byutilisingnaturalgas,SOx,NOxandparticulatematteremissionsarereducedbyupto80%,whileCO2canbereducedbybetween15%and25%comparedtoregularmarinediesel(MDO)orheavyfueloil(HofFO).
3Source:Bunkerworld,pricesRotterdam,1August20114Bruckner-Menchelli,N.
,Scrubbersversusdistillates,BunkerworldMay/June2009,pg245Sizeclassofbetween80,000dwtand120,000dwt6AsperFebruary2011,seeBlikolm,L.
P.
AreviewoftheWorldfleetofLNGfuelledships,blogpostonblogs.
dnv.
comTherearesomedisadvantagestousingLNGasmarinefuel.
ThefirstisthatLNGrequirestwo-and-a-halftimesasmuchtankspaceastraditionalfueloiltanks,makingitunsuitableforcoveringlargedistances.
Thismayofcoursebemoreofanissuetointercontinentalshippingthantoshortseashipping.
Thesecondissueisthelackofinfrastructureforbunkering.
AdensenetworkisneededasthedistancestobecoveredonLNGgenerallywillbeshorterthanfortraditionallyfuelledships.
TherearealsostrictregulationsforLNGterminals,forinstanceregardingtheminimaldistancefrompopulatedareasandregardinglimitationsonmarinetrafficinthevicinityofLNGterminals.
2.
1.
4WhichofthethreesolutionswillprevailAsdiscussedabove,eachofthethreesolutionshasitsadvantagesanddisadvantages.
Generally,itisexpectedthatthesolutionwillultimatelybesoughtintheuseoflowsulphurfueldistillates,perhapsincombinationwithscrubbingtechniquestoreduceparticlematteremissionsevenfurther.
Intheshorttomediumterm,consideringthepossiblelackofcapacitytoprovideasufficientsupplyoflowsulphurdistillates,scrubbingmaybeagoodoptiontoreducetheemissionsfromacontinueduseofresiduals,especiallyasretrofittingonoldervessels.
Forshortseashippingapplications,LNGcanofferagoodalternativetomarinefueloil.
Intervieweesconsiderthatanother5to10yearsmaybeneededtosetupasuitabledistributioninfrastructure.
2.
2OthertechnologicaldevelopmentsOthertechnologicaldevelopmentsalsomostlyaimatreducingthefossilfuelconsumption,perhapsnotdrivenbyregulationssuchasthesulphurcontentreduction,butratherbyattemptsoftheshippingindustrytoreduceunitcosts.
2.
2.
1IncreaseinscaleTheshipsusedforSSSareexpectedtocontinuetoincreaseinsize.
Theshippingindustryhasbeencharacterisedbyanincreaseinscaleinsearchoflowerunitcostsfordecades.
Economiesofscalearereachedthroughtheeffectthatthecostsofoperatingavesseldonotriseproportionallytothesizeofavessel.
Anaverageintercontinentalcontainershipoftheseventiesisnowtheaveragesizeofacontainerfeedership.
Inshortseashipping,thisincreaseinscaleisseenjustasmuchasinintercontinentalshipping.
Unitcostshavealsobeenreducedbyimprovementsinengineperformanceandadvancesinshipdesign.
Itmaybeexpectedthatthiswillcontinuealongwiththeprogressoftechnologicaldevelopments.
2.
2.
2AlternativesourcesofenergyAttemptstoreducethedependencyonfossilfuelortoreduceemissionshaveresultedinanumberoftechnologicalinnovationsordevelopments.
Examplesare:Theprovisionofelectricalpowerfromshorebasedpoweroutletswhileshipsareinport(suggestedforimplementationbyregulationsintheInnoSuTradeliverables7).
.
Thismeansvesselsnolongerneedtokeeptheirauxiliaryenginesrunningtogenerateelectricalpowerwhileberthedinports.
Theadvantageisthatthereisareductionfromship'semissionsinoften7InnovationinSurfaceTransport(InnoSuTra)isanEU7thframeworkprogrammaproject,seewww.
innosutra.
euScenariosandDriversforSustainableGrowthfromtheOceansandseas18denselypopulatedportareas.
Criticastershoweverclaimthatonly20%ofaship'sinportemissionsareproducedwhileberthedandthat80%isproducedwhilstmanoeuvringthevesselinsidetheportarea.
Theuseofkite-shapedsails.
Severaltestsweredoneafewyearsago,showingthatkite-shapedsailsmayreducethefuelconsumptionofoceangoingvesselsby20%to30%8.
Theuseofkitesismoresuitableforintercontinentaltrafficthatmaintainsasimilarcourseforaprolongedperiod,ratherthanforshortseashipping.
Theapplicationofsolarpanelsontheshipsdeck.
Solarpowerisnotsuitableforsippropulsion,butcanbeusedtogenerateelectricalpowerforthrusters,hydraulicandsteeringgear.
NYKownstheAurigaLeader,acarcarrierequippedwithsolarpanelsthatprovide10%oftheship'selectricalpowerrequirement9.
Thedisadvantageofsolarpanelsistheamountofdeckspaceneeded.
Carcarriersortankersmayhavesufficientsparedeckspace,butcontainershipswillhavehardlyanysparedeckspaceatall.
2.
2.
3Research&TechnologyminingpatternsNoResearch&Technologyminingpatternshavebeenidentifiedforthissubfunction.
8Seeforinstance:http://www.
treehugger.
com/files/2008/03/beluga-skysails-cargo-ship-kites.
php9Seeforinstance:http://inhabitat.
com/auriga-leader-cargo-ship-gets-power-from-solar-panels/3Futuredevelopments3.
1ExternaldriversandkeyfactorsaffectingtheperformanceoftheclusterThissectionlistsseveralexternaldrivers,definedasdevelopmentsexternaltotheSSSsectorthatwillinfluencethesector.
3.
1.
1ExternaldriversFuelpriceincreasesExpectedincreasesofthefuelpricewillhavegreatimpactonthecurrentstructureofthesector,asalargeshareofthecostsconsistsoffuelcosts.
LargercompaniesmaybeinabetterpositiontotakecounteractingmeasuresthanSMEs,asthesemaylackthesizeandvolumetofinancesuchmeasures.
Especiallyonshorterdistancesshortseashippingcompeteswithlandmodesroadandrail.
Fuelpriceincreasescouldinprincipleimplyashiftfromroad/railtothemoreenergyefficientshortseashipping.
EuropeanSingleMarketAlthoughthecurrentcrisisisspreadingrumoursofweaknessesfortheEUsinglemarket,itislikelythatthecurrentprocessofintegrationincreasesandacceleratesinthenearfuture.
ThisismainlyduetothegreaterroleofEUcentralpolicy,greaterneedforinternalmarketefficiencyandincreasingshiftsinexportpatternsthatmightleadtoincreasedinternaltrade.
TradewithNeighbourhoodCountriesEUtrademightshifttowardssouthernandeasternneighbourcountries,duetothefactthatthesecountriesarerichinnaturalresourcesandarefacinganear-futureofeconomicgrowth.
Russia,Turkey,UkraineandgenerallyNeighbourCountriesintheBlackseaandSouthernMediterraneanarelikelytoincreasetheirroleasEUeconomicpartner.
Theymightthereforetriggergreaterexchangethroughsea-transportconnectingthoseareas,withaconsequentpotentialboostforshort-seashippingintheBaltic,MediterraneanandBlackSea.
TradewiththeNorthernAfricancountrieswillhavedecreasedasaresultoftheArabSpringdevelopments,howeverthelongertermeffectmaybeanincreaseoftradeoncethedusthassettledandthecountrieshavereturnedtopoliticalstability.
Thepacewithwhichthiswillberealisedishoweveruncertainstill.
CongestionofroadtransportAlthoughstilltheprimarymeansofintra-EUtransport,roadtransportislikelytofaceincreasedproblemswithcongestionanddelays.
Thesectoralsofacesanincreasingshortageofqualifiedemployees,moresothantheshippingsectorthathasfoundapartialsolutionbyemployingseamenfromoutsidetheEU.
Athirdtrendistheincreaseinroadcharges,suchastheGermanMautsystemfortrucksover12tonsapplicablesinceJanuary2005,whichislikelytotranslateintoincreasingcostsforroadtransport.
Thesetrendsmighthaveadirecteffectinthefutureonthe(price-)competitivenessofshort-seacomparedtoroadtransport.
3.
2AssessmentofresponsecapacityandcommercialisationpotentialPricecompetitiondrivesincreaseinshipsizePricecompetitionisdrivingshipsizeincreaseinsearchoflowerunitcosts.
Thisisveryobviousinintercontinentalshipping,butistakingplaceinshortseashippingjustaswell.
AsideeffectisthatScenariosandDriversforSustainableGrowthfromtheOceansandseas20lowerunitcostsarelargelyrealisedbyreducingfuelconsumptionperunit,whichhelpsreducingemissionsfromshipping.
Diversityamongstplayersinreachingadequateeconomyofscale(andleadingroleofshippers)ThemarketishighlyfragmentedandfewbigplayersareconfrontedwithseveralSMEsandmicro-enterprisesspreadacrossportsinEUcoastalregions.
Consequently,fewbigplayersarewell-structuredtocapturethevalueofandbuildonlargeeconomyofscale,whilstthemajorityofSmall-andMicro-Enterpriseshavelowifanycapacitytosucceedinacompetitivemarket.
Moreover,largeandpowerfulshipperscaneasilyexercisepowerpressureandcontroloversuchsmall-andmicro-enterprises,withaconsequentkeyroleinshapingthemarket.
DiversityamongstthecapacityofterminaloperatorsandlowlevelofoverallorganisationSimilarlytotheshipoperators,terminaloperatorsarelargelysmallandlackingcapacity,moreover,duetothehighfragmentationanddispersionoftheoperatorsacrossEUmaritimeregions,theleveloforganisationamongstoperatorsacrosstheEUislowandnotmucheffective,withfewlargeoperatorsleadingthesectorandmanysmall-microonesleftalonetocopewithanemergingdemandforcontrol,securityandprofessionalism.
IncreasedinteractionbetweenregionalportsInmanyportregions,multipleseaportsarelocatedwithinclosevicinityofeachother.
ExamplesaretheportofRotterdam,withregionalportssuchasDordrechtandMoerdijk,ortheportofLeHavre,linkedtoRouenandCaen.
WhileatahigherlevelLeHavreandRotterdamcompete,atregionalleveltheportscooperate,byusinginter-portservices,sharingfacilitiesorbyspecialisingasameanstooptimiselanduse.
Thisimpliessynergiesstrengtheningtheregionasawhole,withpositiveemploymentandcompetitivenessimpacts.
Policymakersplaytheirrolebytakingmeasurestosupportthese.
10LowcapacityfortechnologicaladjustmentFromatechnologicalpointofview,theshortseashippingsectorisintheconditiontorespondtothestructuralchangesconcerningsulphurcontentoffuelandemissionsneededtoachieveEUtargets,asthereareseveraloptionscurrentlyavailableforcompliance.
Nonetheless,itisunlikelythatsuchafragmentedandSMEs-intensesectorcanautonomouslyacceleratethepathofadjustmentsneededtoachievetheexpectedEUgoalsoncarbonemissions.
Commerciallyspeaking,andparticularlyforsmall-andmedium-enterprises,thereisonemajorconcernwithinthesector:howwilltheincreasedcostsinfluencethecompetitivepositionofthesectorHowcanthesectoracceleratethemitigationpathandmaintainitscompetitivenessItisuncleartowhatextenttheadditionalcostsofmitigationmeasurestoloweremissionregulationscanbepassedontotheclients.
Intervieweesalsopointedouttheriskofareversemodalshift:ifshortseashippingcostsincreasetoomuch,thencargo-ownersmightreverttoroadtransportasanalternative.
Thiswouldbeadevelopmentcontrarytothemodalshiftfromroadtoshortseathatwasrealisedinthepast20yearsofEUpolicyinthisfield.
PoordevelopmentsinmaritimetrafficmonitoringThereisacurrentlackinthedevelopmentofaEuropean-widemaritimetrafficmonitoringsystem:itmayhelpincreasingefficiencyinports,throughabetterdistributionofinformation.
TheideaisthatshipsaretrackedduringtheirjourneythroughEuropeanwaters,alongwithalltheinformationavailableoncargoanditsdestination.
Thisinformationcanbesharedwiththerelevant10OECD,2011,TheCompetitivenessofGlobalPort-Cities:TheCaseoftheSeineAxis(LeHavre,Rouen,Paris,Caen)–Francestakeholdersinportsforplanningpurposes,thusmakingthelogisticprocessmoreefficient.
Nonetheless,itcurrentlyappearsimpossibleforthesector,duetoproliferationofsmallplayers,topromotejointinitiativesaimedatgatheringdataandprovidingadequatebusinessintelligence.
EquipmentmanufacturingwithinEU(althoughincreasinglychallengedbyAsiancompetition)Untilrecently,afactorofstrengthforthesectorwastheleadingpositionofEUcompaniesinthemanufacturingofmarineequipmentneededforshort-seashipping.
Nonetheless,fiercecompetitionisemergingfromglobalregionsandparticularlyChinaandAsia.
AlthoughEuropeisstillholdingtheleadershipinthisarea,thisisanadvantagethatisbounddodecreasethroughtime.
3.
3MostlikelyfuturedevelopmentsSectordependingonEUgrowth(althoughgrowingatafasterpacethanthelatter)Tradebeingconnectedtoglobaleconomicgrowth,thesectorishighlydependantontheeconomicgrowthoftheEU.
Nonetheless,beingaspecificcomponentofoverallgrowth,tradetendtogrowatafasterpacethanoverallEUgrowthandmightbenefitfrommoderateEUoverallgrowth,aswellasanincreasedEUinternalmarketintegration.
IncreaseddisadvantagesforroadtransportsboostingmodalshiftAkeydriverforfuturegrowthofthesectoristhe(relative)shiftfromroadtoshort-seatransports.
Aspriceisthekeyfactorformodalshiftingofshippingcompanyfromroadtoshort-sea,increasingcongestionandgrowingconcernsandregulationoverCO2emissioninroadtransportmightrapidlyincreasethecompetitivenessofshort-seashippingoverroadtransportintheshort-midfuture.
PotentialforrapidreductionofemissionsAs"greentechnology"isalreadylargelyavailableforshort-seashipping,anincreaseofpotentialvolumesforthesectormightprovidedirecteconomicincentivesforstructuralchangesthroughtheadoptionofgreentechnologiesintheshortterms.
Suchmarketdynamicsmightthereforetriggerarapidaccelerationinthereductionofemissionwithinthesector.
Themostlikelydynamicsinthefuturedevelopmentofthesectorarethereforeasfollows:Thetransportedvolumesofcargowillgenerallydevelopalongwitheconomicdevelopment.
Additionalgrowthofvolumemayberealisedbystimulatingmodalshift,providedthattheadditionalcostsofcomplyingwithemissionregulationsdonotformtoomuchofacountereffect.
TheemissionofSO2ofthesectorwilldrasticallyreduce,duetothestrictregulationsinECAsinparticularandingeneralduetotheIMOregulations.
Thiswillberealisedthroughamixofmeasures:usinglowsulphurcontentfuel,usingscrubbersandbyusingLNGasamarinefuel.
Itisnotyetcleariftherefiningindustrywillbeabletorespondintimewithsufficientcapacitytosatisfythedemandforlowsulphurfuelsanditisnotclearwhatpricedevelopmentswilltakeplace.
ItmaybeexpectedthatLNGwillbecomeanalternativesourceoffuelforasubstantialshareoftheshortseavesselsonceasuitabledistributioninfrastructureissetup.
Expertsestimatethatthismaytakeatleast5to10years.
Otheremissions,suchasNOx,CO2andPMmayalsobeexpectedtobereduced,ingeneralasaresultoftheongoingscaleincreaseleadingtolowerfuelconsumptionpertonkilometre,inparticularasaresultofamoresubstantialapplicationofLNGasmarinefuel.
ScenariosandDriversforSustainableGrowthfromtheOceansandseas22Marinetrafficcontrolwillnolongerberestrictedtoportsanddesignatedareas,butaEuropean-widenetworkofmaritimetrafficcontrolcentreswillcovertheentireEuropeanwaters.
Thiswillincreasetrafficsafety,environmentalsecurityandwillhelpincreasingtheefficiencyoflogisticsinports.
3.
3.
1ConstraintsandframeworkconditionsInfrastructure:lackofcapacityinsecondaryportsAlthoughinthemainEuropeanportsthemaritimeinfrastructureiswelldeveloped,inmostofsecondaryportsacrossEUmaritimeregionsalackofportcapacitymayformaconstrainttofurthergrowth.
Manyports,especiallythemainports,faceanincreasingpressureontheirhinterlandtransportsector.
Alackofsufficienthinterlandlinksmayconstraintheflowsofcargobetweenportsandhinterland,whichmightprovideabarrierinthedevelopmentofafullyintegratedEUshort-seanetwork.
DevelopmentsinmaritimetrafficmonitoringInthefieldofsecurity,amajorchangeiscurrentlytakingshape.
EMSAisdevelopingamaritimetrafficcontrolsystembasedonsatelliteimaging,whichwillallowmaritimetrafficcontrolcentrestofollowthemovesofeachshipwithinEuropeanwaters.
Currently,maritimetrafficcontroldoesnotextendbeyondportboundariesandafewverybusyareas,suchastheEnglishChannel.
Whateverashipdoesoutsidetheseboundariescannotbemonitored,atleastnotcontinuously.
Therearepatrolswithaircraftaimedatdetectingillegaldischargesatopensea,butthereisnocontinuousmonitoringofvesselmanoeuvresanddischarges.
Withatrafficcontrolsystembasedonrealtimesatelliteimaging,maritimetrafficcontrolwillbecomemuchlikeairtrafficcontrol:thereiscontinuousinformationonlocationandmovementoftheship.
Thismandatoryreportingbreakswiththelongstandingprincipleoffreemaritimepassageandmaythereforebecalledamajorchange.
Itisalsopossiblethatmandatoryroutingwillbeintroduced.
Suchintensifiedformoftrafficcontrolisexpectedtoresultinahighertrafficsafety,moreenvironmentalsecurityandmoreefficientuseofports.
3.
4Impacts,synergiesandtensions3.
4.
1ImpactsThefollowingtablegivesanoverviewofthemainimpactsforshortseashipping.
Basedonthedeskresearchandtheinterviewsthemostimportantsynergiesandtensionsare:Growingeconomicandemploymentpotentials,particularlyinthosebasins(Baltic,Mediterranean,BlackSea)thatcantakegreateradvantagefromthelinkwithdeep-seashippingandhubswithgrowingnoon-EUcountries(i.
e.
Russia,Turkey,etc.
)GenerallypotentialforincreasedefficiencyinenergyandenvironmentalimpactsinthoseareaswithastringentECAregulation(NorthSea,Baltic)thatrequiresquickadaptationCO2-neutraltechnologicalforthesector.
Whilstinotherbasinsnegativeimpactsmightcontinueandincrease.
Short-seashippinghaspotentiallynegativeimpactfornaturalenvironmentandaquaticlife,intheabsenceofsoundregulatoryframeworkandsustainablestrategies.
DataforBlackSeathougharescarceandestimationsarebasedonsuggestionsemergingthroughinterviews.
Itisthendifficulttoprovideanyestimationforarcticandoutermostseabasins.
Table4:Impactmatrixofthemedium-termandlonger-termdevelopmentsFunctionIndicatorsBal-ticNorthSeaMedi-terr.
BlackSeaAtlan-ticArc-ticOutermost1.
EconomicimpactsMarketshare2.
EmploymentimpactsEmploymentNaturalhabitats-0--0Energyconsumption3.
EnvironmentalimpactsAquaticlife-0--0Source:EcorysonInterviews++=Strongpositiveexpectedtrend+=Mildpositiveexpectedtrend0=Norelevantchange-=Mildnegativeexpectedtrend--=Strongnegativeexpectedtrend=Noclearinformation/expectations3.
4.
2SynergiesandtensionsThefollowingtablegivesanoverviewofthesynergiesandtensionsbetweenshort-seashippingandothersubfunctions.
Basedonthedeskresearchandtheinterviewsthemostimportantsynergiesandtensionsaremostlyamongstthefollowingfourcategories:Sub-functionswhicharepartofshort-seashippingvaluechain,andincreaseinperformanceimpliesgrowingdemandforthissector(deep-seashippingandtoacertainextentrawmaterials),orgreaterappealingduetogreaterin-landintegration(inlandwaterwaytransport).
Sub-functionwhichmightbenegativelyaffectedbygrowthisshort-seashipping,butmightalsobenefitduetoeconomiesofscaleandsynergiesintransports(coastaltourismandliving)Sub-functionwhichdefinitelybenefitfromshort-seashippingduetoconsequenceingreaterdevelopmentofsecurityinfrastructuresandsystems(monitoringandsurveillance)Sub-functionsthatmightbenegativelyaffectedbygrowthisshort-seashippingintheabsenceofsoundregulations(nutritionandecosystem),butmightalsobenefitduetoeconomiesofscaleandsynergiesintransports(coastaltourismandliving).
Table5:Shortseashipping:SynergiesandtensionsSubfunctionAffectedMaritimetransportandshipbuilding+growthmarketpositivelyaffectingshipbuildingsectorFood,nutrition,healthandecosystemservices-riskofdamagetoeco-systemservicesdueshippingandportactivities-Synergyisexpectedinoff-shoreknow-howEnergyandrawmaterials-spatialconflictwithoffshorewindfarmsLeisure,workingandliving++sourceofincomeforlocalcommunities--pollutionandnegativeimpactfromdevelopmentonnaturalandlivingenvironment(tensionwithNaturaScenariosandDriversforSustainableGrowthfromtheOceansandseas242000)Coastalprotection+portinfrastructurecontributingtocoastalprotectionMaritimemonitoringandsurveillance0/+ShippingisanimportantusercommunityfortracingSource:EcorysonInterviews++=Strongpotentialpositiveimpactonothersubfunctions/seabasins+=Considerablepotentialpositiveimpactonothersubfunctions0=Negligibleimpactonothersubfunctions/seabasins-=Considerablepotentialnegativeimpactonothersubfunctions--=Strongpotentialnegativeimpactonothersubfunctions4Roleofpolicy4.
1PolicyandpoliticalrelevanceTherearethreemaindomainsinwhichgovernmentalpoliciesinfluencethesector:1.
emissionregulations;2.
policiesaimedatcreatingamodalshifttowardsshortseashipping3.
standardsforsecurityandconsequentenforcementofruleoflaw.
EmissionregulationsEmissionregulationsfortheshippingsectoraredecideduponatIMOlevel.
Asthisrequiresworldwideconsent,theprocessgenerallyisslowerthanBrusselswouldliketosee.
TheECAsintheBalticandNorthSeaareinasenseanacceleratedversionofstricteremissionregulations,thoughnotinitiatedbytheEU.
ECAscanbenominatedbymemberstatesandtheEUcanendorsethenomination,butIMOdecidesuponthedeclarationofECAs.
ModalshiftSincetheearlyninetiestheEUhaspromotedamodalshiftfromroadtoalternativemeansoftransport,oneofwhichisshortseashipping.
Theresulthasbeenamoreorlessconstantshareofshortseashipping(atabout40%)inEuropeantransport.
MajorpoliciesaimedatshortseashippingweretheMotorwaysoftheSeasconcept,whichtargetedinfrastructure,andtheMarcoPoloprogramme,whichfinanciallysupportedtheinitiationofsustainablefreighttransport,includingshortsea.
ArecentexampleistheBlueBeltproject,apilotwith250shortseashipsaimedatreducingtheadministrativeburdenofshippinginordertomakeitmoreattractivecomparedtoroadtransport.
IntervieweesmentionedthatMarcoPolosupporthasencounteredissueswithcompetitiondistortion.
Thereareseveralcasesinwhichthefinancialsupportreceivedbyoneoperatorwaschallengedbyanotheroperator,forinstanceprovidingacompetingservicefromanearbyport.
ItisexpectedthatcompetitionissueswillincreasinglyreducetheopportunitiesofMarcoPolofunding.
SecuritypolicyIncreasingneedforsecurityisalsoamajorareacallingforpolicyintervention,inordertobetterregulatesuchafragmentedmarketandprovideclearstandardandrulesacrosstheEUmaritimeregions.
Atregionallevelpolicyinfluencesthecooperationwithinandbetweenports,e.
g.
bydevelopingregionalportdevelopmentstrategies,entailingcooperationagreementsbetweenportcities,orestablishingframeworksfortheinstitutionalorganisationofports.
4.
2DomainsforEUpolicyEmissionregulationsEmissionregulationsfortheshippingsectorarethedomainofIMO.
TheEUusedtobeanobserverwithinIMO,butisnowincreasinglyactingasadelegate,raisingitsvoicewithintheIMOonbehalfoftheEU27.
Theseapplytotheoverallshippingsector,butshortseashippingisaffectedmoreasmanyshortseaservicesarewithintheECAsintheBalticandNorthSea.
ScenariosandDriversforSustainableGrowthfromtheOceansandseas26ModalshiftItmaybeexpectedthattheEUwillcontinuetopromoteshortseashippingasamoresustainabletransportmode,asisalsoindicatedintheWhitePaperontransport2011.
TheWhitepaper2011specificallymentionsabolitionofbarrierstoshortseashipping.
ThefollowingboxgivesanexplanationontheFP7SKEMAproject,whichaimstosetupaknowledgePlatformof(EU)projectandstudyoutputsinthefieldofEuropeanmaritimetransportandlogistics.
SKEMASustainableKnowledgePlatformfortheEuropeanMaritimeandLogisticIndustry11(2008–2011)Fundingprogramme:FP7ProjectDuration:36MonthsTotalProjectValue:2.
3mEUGrant-Aid:2.
3mWebsite:http://www.
skematransport.
eu/Coordinator:AthensUniversityofEconomicsandBusinessResearchCentre(GREECE)Partners:NauticalEnterpriseLtd,IrishExportersAssociation,DublinPortCompany(Ireland);INLECOMSystemsLtd,SeaandWater(UK);ChalmweatekniskahoegskolaAB,OresundLogistics(Sweden);PortelServiciostelematicos,S.
A.
CompaniaTransmediterranea(Spain);CentrefortheDevelopmentofTransportandLogisticsinEurope(Netherlands);Valtionteknillinentutkimiskesus(Finland);EBOSTechnologiesLtd.
(Cyprus);MaritimeAdministrationofLatvia(Latvia).
Relevance:Shortseashippingisamaturebutfragmentedsector.
Thecreationofaknowledgeplatformwillhelpthemainstakeholdersincollectingandexchanginginformation.
ProjectDescription:TheSKEMAKnowledgePlatformcontainsaKnowledgeBasethatispopulatedbyprojectStudiesandoutputsfromworkshopsandcasestudiesaddressingkeychallengesfortheEuropeanmaritimetransportandlogisticsindustry.
TheStudieswillbeconstructedtofacilitateimprovedusabilityandaccessibilityofvaluableresultsfrompreviousprojects,studies&publications.
Results:-FacilitatestheexchangeofinformationamongststakeholdersintheEuropeanmaritimetransportandlogisticsindustry,raisesawarenessofrelevantresearch(e.
g.
theplatformpresenteasyaccesstoallthemainmaritimerelatedEUcurrentandpastprojects).
-AssistsintherecognitionofobstaclesthathindertheimplementationofEuropeanpoliciesandinproposingandassessingsolutions;-Providesbasematerialthatwillhelpintheformulationofadviceonvariouspolicyinitiatives,suchaslegislation,(includingsimplification),standardisation,research,networkingandco-operationbetweenadministrations.
11http://www.
marine.
ie/NR/rdonlyres/CB79A224-4103-48B6-B585-1EB488C5A467/0/FP7_SKEMA.
pdf,Annex1BibliographyBlikom,L.
P.
(2011),AreviewoftheWorldfleetofLNGfuelledships,blogpostonblogs.
dnv.
comBlueBeltPilotProject(2011),informationflyerBruckner-Menchelli,N.
(2009),Scrubbersversusdistillates,BunkerworldMay/June2009,pg24Bunkerworldforums(2010),WillLNGtakeoverasthemainmarinefuelsomedayCOM(2011)144final,WhitePaperRoadmaptoaSingleEuropeanTransportArea–TowardsacompetitiveandresourceefficienttransportsystemDirective2005/EC/33onthesulphurcontentofmarinefuelsDrewMarine(2010),LowsulphurregulatorysolutionsEcofriendlyllc.
com(2011),NorwayandPolandbuildLNGvesselsandLNGconversions.
Ecorys(2009),StudyontheLabourMarketandEmploymentConditionsinIntra-CommunityRegularMaritimeTransportServicesCarriedoutbyShipsunderMemberStates'orThirdCountries'Flags.
IMO(2008)resolutionMEPC.
176(58)Parsons,S.
(2009),Theworld'sfirstcargoshippropelledbysolarpanels.
Richard,M.
G.
(2008),Cargoshipwithkites:firsttrans-atlantictripasucces!
Stokholm,R.
M.
andJ.
S.
Roaldsy(2002),LNGusedtopowertheferry"Glutra"inNorway.
–TheworldfirstferrytorunonLNG.
Annex2StakeholdercatalogueIntervieweeOrganisationCity/countrySpecificthemeInterviewerFacetoface,ortelephoneAntonisMichail,MartinaFontanetESPOBrussels,BelgiumSSS-portsEricvanDrunenFace-2-faceAlphonsGuinierECSABrussels,BelgiumSSS-shipownersEricvanDrunenFace-2-faceYannickTexierEMSABrussels,BelgiumSSS-safety,securityEricvanDrunenTelWillydeDeckerShortsea.
beAntwerp,BelgiumSSS–promotionEricvanDrunenFace-2-faceWyeKeongLaiVallettaGatewayTerminalsValletta,MaltaSSS–portoperations,MediterraneanEricvanDrunenFace-2-faceDiederikBlomSamskipRotterdam,theNetherlandsSSS–shippingcompanyBaltic/NorthSeaEricvanDrunenTelStijnEfftingPortofRotterdamRotterdam,theNetherlandsSSS–strategicportdevelopmentEricvanDrunenFace-2-faceGlennMurphyIrishMaritimeDevelopmentOrganisationDublinIrelandSSSMatteoBocciTelJohnvanderHorstUnifeederRotterdam,theNetherlandsSSSfeedershippingBalticandNorthSeaMarjanvanSchijndelTelPaulKyprianouGrimaldilinesNaples,ItalySSS–Ro-rooperatorMediterraneanMatteoBocciTelAnnex3CasestudiesCasestudy:CleanShippingNetworkTheCleanShippingNetworkwassetupin2007withtheaimtocreateatoolforlargeSwedishcargoownerstoevaluatetheenvironmentalperformanceofcarrierswhenprocuring.
Theindexisbasedonfivemajorareas:CO2,NOx,SOx,ParticulateMatter(PM),waterandwastecontrol,chemicals.
Thescoresfrom20questionsforthedifferentareasareweightedequallytoarriveatanoverallscore.
Bynow27largecargoownershavejoinedthecleanshippingnetwork,includingVolvo,IKEA,H&M.
recently,thefirstnon-Swedishcompanieshavestartedjoiningthenetwork,withPhilipsTheparticipatingcompanieshaveaccesstothecleanshippingindexdatabase,enablingthemtochooseacarrieronthebasisofitsenvironmentalperformance.
IntheCleanShippingIndexDatabaseallenvironmentalinformationregardingthesubmittedshipsisavailableandmembersofthenetworkcancomparethedifferentshippingcompaniestoeachother.
Theycanseehowwelltheyperformwithinthedifferentareasoftheindex,expressedingood,mediumorlowperformance,indicatedbygreen,yellowandredcoloursrespectively.
TheselevelsarerecommendationssetupbytheCleanShippingProject.
Forshippingcompanies,thedatabaseprovidesanewpossibilitytocheckhowwelltheyperformenvironmentallycomparedtoothershippingcompanies.
Theycanthenusethisinformationasbenchmarkingtowardstheirclientsandcustomers.
CaseStudy:Grimaldi'sProposalforMotorwayoftheSeaThiscasestudyillustratesinbriefthemainfindingsemergingfromGrimaldiGroupexperienceintheEUMarcoPoloprogrammewithintheMotorwayoftheSeainitiative.
FirstlytheEUpolicyisintroduced,thentheprogrammeisbrieflypresentedandfinallysomeemergingfindingsandpolicysuggestionsrehighlighted.
TheMotorwaysoftheSeasThe"MotorwaysoftheSea"isaconceptenteringits10thyearofagethisyear.
Infactitofficiallyemergedinthe2001WhitePaper"Europeantransportpolicyfor2010:timetodecide"12publishedbytheEuropeanCommissioninSeptember2001.
Thedocumentacknowledgedthefactthat"[…]transportisakeyfactorinmoderneconomies.
Butthereisapermanentcontradictionbetweensociety,whichdemandsevermoremobility,andpublicopinion,whichisbecomingincreasinglyintolerantofchronicdelaysandthepoorqualityofsometransportservices"(p.
6).
Moreover,itstressedtherelevanceofsomegeneralpre-conditionsandchallenges,-congestion,sustainabilityandinter-modalcoordinationoftransportmeans-tobetackledbya"comprehensiveEUpolicygoingbeyondEUtransportpolicy"(p.
12).
Withinthiscontext,theconcept"MotorwayoftheSea"wasintroducedwiththeaimofpromotinganintegrated,multi-modalandcomprehensivepolicyaimingat(WhitePaper,2001,pp43/46).
MappingEuropeindustrialports;Offeringinnovativeservices;12http://ec.
europa.
eu/transport/white_paper/documents/doc/lb_com_2001_0370_en.
pdfScenariosandDriversforSustainableGrowthfromtheOceansandseas32Supportingintermodalservices.
TheMarcoPoloProjectMarcoPoloisaProgrammemanagedbyDirectorateGeneralMobilityandTransport.
Theprogrammestartedin2001andisnowatitssecondterm,withagrantbudgetofabout450millionfortheperiod2007-2013.
Theprogramme"[…]co-fundsdirectmodal-shiftortrafficavoidanceprojectsandprojectsprovidingsupportingserviceswhichenablefreighttoswitchfromroadtoothermodesefficientlyandprofitably"13.
Thefiveprojectcategoriesaresetoutasfollows14:Modalshiftsfromroadtorailandwaterbornesystems;Catalystactionswhichpromotemodalshift;Motorwaysoftheseabetweenmajorports;Trafficavoidance;Commonlearningactions.
MarcoPoloisintendedasuser-driven,inthesensethat"companieswithaprojecttotransfertrafficfromroadtoothermodesortoavoidroadtransportmayqualifyforagrant,[ifthe]projecthastoinvolveacross-borderroute"15andbeeconomicallyaswellasecologicallysustainable.
TheexperienceofGrimaldiEstablishedin1947,theGrimaldiGroupisa"fullyintegratedmultinationallogisticsGroupspecialisinginmaritimetransport[…]operatinginover25countries"16.
TheGrouphasbeenamongstthoseprivatecompaniespioneeringthedevelopmentofshortseashipping,inrelationtotheMotorwaysoftheSeainEurope.
TheMotorwayoftheSeaprojectalsoincludedFinnlinesandMinoanLines,thereforebridgingtheMediterranean,NorthernEuropeandtheBalticSeas.
Particularly,theprojectwasdividedintwo:southern(Mediterranean)andnorthern(NorthandBaltic).
Figure1:Grimaldi'sMotorwaysoftheSeasinEUsouthernandnorthernbasinsSource:grimaldi.
napoli.
itTheshort-seanetworkintheMediterraneanhas12shipsdeployedandcoversboththeEast/WestandtheNorth/Southdirections,withmostrecentdevelopmentsreportedlyestablishedbetweenItaly(includingSicilyandSardinia)andSpain,Tunisia,Libya,Morocco,MaltaandGreece.
Theshort-13http://ec.
europa.
eu/transport/marcopolo/about/index_en.
htm14http://ec.
europa.
eu/transport/marcopolo/about/funding-areas/index_en.
htm15http://ec.
europa.
eu/transport/marcopolo/about/index_en.
htm16http://www.
grimaldi.
napoli.
it/en/about_us.
htmlseanetworkinthenorthisprovidedthroughFinnlinesintheBalticSea,andoffersregularservicesbetweenFinlandandGermany,Scandinavia,GreatBritain,Poland,BelgiumandSpain-includingweeklyservicerunningbetweenLübeck-Travemünde(Germany)andSt.
Petersburg(Russia).
SomeemergingsuggestionsAsemergingthroughinterviewsheld,GrimaldiexperiencewiththeMarcoPoloProgrammewasextremelypositiveandEUsupportwasmuchappreciated.
Nonetheless,atthispointintime–andafter10yearssincethelaunchoftheinitiative–somelimitationsseemedtobeevident.
Itisnowdifficulttopromotenewportsandroutesinthemorematurebasins(andparticularlytheMediterranean),whilstissuesarenowofaverydifferentnature.
Ingeneraltermstheperceptionisthatofanun-faircompetitionamongstseaandroadtransports,duetoi)greatercostsintroducedforseatransportbyEUpolicyandregulationsparticularlyinNorthernEurope;ii)excessinfinancialandcustomcontrolsacrossEUportsifcomparedwiththoserequiredforroadtransportsacrossEurope;iii)unfairpossibilityofmitigateroadtransportcostsduetofiscaldeductionschemeswhicharenotsimilarlyavailableforseatransports.
Proposalshavebeenpresentedinarecentassessmentofpossibledevelopments17:IntroduceEuropeaneco-bonusschemes;SustaininfomobilityacrossEUbasins;Promotevesselefficiency,environmentalsustainabilityandproductivity.
TheItalianexperience,inintroducingeconomicincentivestomakeanincentiveforthetransferoftrucksfromlandtosea,ispraised.
Furthermore,aroleforEUpolicyisenvisagedtofacilitateandregulatetheexchangeofinformationbetweenvesselsandportoperators,authorities,custom,terminals,passengers.
Finally,itissuggestedthattheEUshouldsustainandfacilitatetechnologicaldevelopmentthroughadaptationmeasuresforLNGacrossthewholesupply-chainintheMediterranean,inordertohavediffusionofLNGinshort-seavessels.
Also,EUsupportiswelcomeintermsofresearchandinnovation,todesignofnewvesselswherelargerquantitiescanbetransportedwithlowerenergyandfuelconsumption,thereforemakingmotorwaysoftheseaacrosstheEUevenmoreenvironmentalfriendly18.
17http://tentea.
ec.
europa.
eu/download/MoS/events/genova2011/day2/9_grimaldi.
pdf18http://tentea.
ec.
europa.
eu/download/MoS/events/genova2011/day2/9_grimaldi.
pdfScenariosandDriversforSustainableGrowthfromtheOceansandseas34Eco-bonusSchemeinItaly19Ecobonusisanationalincentive,introducedin2002(L.
365/2002)tosupporttheroadhaulagefirmstoshiftmoreandmoregoodsamountsfromtheroadtoseafreight.
Tothispurposethe2008FinancialLawallocated77mlnayearforthreeyearperiod2007-2009.
Beyondthefinancialsupporttotheoperatorsthereareothermeasuresaddressedtopromotetheassociationsofsmallenterprisestousethemaritimecourses,trainingactivitiesandthepurchaseofhardwareandsoftwaretooptimizethesecurity.
The31January2007Beneficiariesarecontractorstruckcompanies,associatedalsoeachotherorwithseaoperatorsworkinginItalymakingatleast80annualtripsalongthesameroute.
Thereimbursementcannotexceedamaximumof30%ofthefeeofeveryconnection.
In2008TransportMinistryhasallocatedatotalfinancingof231Milliondistributedinthreeyears.
ToobtainfundsoperatorhastofillaspecificformandtosubmittoMinistrywithinJanuary.
Companymustcommititselftomaintainthesamenumberoftripsandthesamequantityofgoodsusingcombinesroad-seatransportforthreeyearsperiodfollowingtheyearinwhichithasrequestedincentive.
Source:Analysisofeuromedgovernanceframework(2009),p.
819http://www.
medgov.
net/sites/default/files/thematic_report_transport%5B1%5D.
pdfAnnex4Tableofcross-linksandsynergiesFunctionaffectedSub-functionGeneralBalticNorthSeaMediter-raneanBlackSeaAtlanticArcticOutermostAffectedRemarks1.
1Deepseashipping++000Deepseageneratesfreightandispartofvaluechain1.
2Shortseashipping(incl.
RoRo)1.
3Passengerferryservices00Combinedcargo/passenger(e.
g.
RoRo)increasesfeasibilityoflines1.
Maritimetransportandshipbuilding1.
4Inlandwaterwaytransport.
+0++0+++00Inlandwaterwayispartofthevaluechain2.
1Catchingfishforhumanconsumption000000002.
2Catchingfishforanimalfeeding000000002.
3Growingaquaticproducts00000000Mayinsomecasescompetewithportspace,butthiseffectislimited2.
4Highvalueuseofmarineresources(health,cosmetics,well-being,etc.
)000000002.
Food,nutrition,healthandeco-systemservices2.
5Agricultureonsaline00000000ScenariosandDriversforSustainableGrowthfromtheOceansandseas36FunctionaffectedSub-functionGeneralBalticNorthSeaMediter-raneanBlackSeaAtlanticArcticOutermostAffectedRemarkssoils3.
1Oil,gasandmethanehydratesSynergyisexpectedinoff-shoreknow-how3.
2OffshorewindenergySynergyisexpectedinoff-shoreknow-how.
3.
3Marinerenewables(wave,tidal,OTEC,thermal,biofuels,etc.
)nananananananana3.
4Carboncaptureandstorage000000003.
5Aggregatesmining(sand,gravel,etc.
)+/-0+/-00+/-00Dredginghelpstodeepenwaterchannels.
Negativeinfluenceincompetitionforspace.
3.
6Mineralrawmaterials+0+00+00Combineduseofships3.
Energyandrawmaterials3.
7Securingfreshwatersupply(desalination)000000004.
1Coastlinetourism++++0+0+Shortseacanprovidesynergiesfortourismservicesandstimulatedemand4.
2Yachtingandmarinas000000004.
Leisure,workingandliving4.
3Cruiseincluding00000000FunctionaffectedSub-functionGeneralBalticNorthSeaMediter-raneanBlackSeaAtlanticArcticOutermostAffectedRemarksportcities4.
4Working+0++0+++Expectedjobsinandaroundports4.
5Living000000005.
1Protectionagainstfloodinganderosion0+Portsfunctionascoastalprotectionmechanismsinsomecases5.
2Preventingsaltwaterintrusionandwaterqualityprotection000000005.
Coastalprotection5.
3ProtectionofhabitatsCoastalareasareoftensensitiveareas.
Portsmaythereforecompetewithhabitats6.
1TraceabilityandsecurityofgoodssupplychainsShippingisanimportantusercommunityfortracing6.
2PreventandprotectagainstillegalmovementofpeopleandgoodsShippingisanimportantusercommunityfortracing6.
Maritimemonitoringandsurveillance6.
3Environmentalmonitoring00000000Explanation:++=Strongpositiveimpactonothersubfunctions/seabasinsexpected+=Considerablepositiveimpactonothersubfunctionsexpected0=Negligibleimpactonothersubfunctions/seabasinsexpected-=Considerablenegativeimpactonothersubfunctionsexpected--=StrongnegativeimpactonothersubfunctionsexpectedP.
O.
Box41753006ADRotterdamTheNetherlandsWatermanweg443067GGRotterdamTheNetherlandsT+31(0)104538800F+31(0)104530768Enetherlands@ecorys.
comWwww.
ecorys.
nlSoundanalysis,inspiringideasBELGIUM–BULGARIA-HUNGARY-THENETHERLANDS–POLAND-RUSSIANFEDERATION–SOUTHAFRICA-SPAIN-TURKEY–UNITEDKINGDOM