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Displaying items by tag: EU Port Regulation Deal

#PortRegulation - The European Commission, Council and Parliament after 15 years of discussions, have reached an agreement on a Port Regulation, a legal European framework for organising the port services and financial transparency for ports in Europe.

This week at the 4th trilogue meeting, the Dutch Presidency and the EP main negotiators reached a compromise. The port regulation can however only be considered as adopted after the formal approval by both the Parliament and the Council following their respective procedures. This formal approval process is expected to take place in autumn.

The European Sea Ports Organisation (ESPO) believes that the final compromise is, in many ways, a significant improvement on the original Commission proposal of May 2013. European ports welcome in particular:

A flexible framework for the organisation of port services respecting the diversity of port in Europe by allowing different tools (limitation, PSO, internal operator,…);
More financial transparency when ports receive public funding;

The way the initially very prescriptive provisions on customers and stakeholder relations have been amended in favour of more realistic general principles on how to deal with stakeholders and port users;

The fact that the concept of an “Independent Supervisory Body” was abandoned in favor of a more hands-on and less bureaucratic provision setting out a good mechanism for handling complaints;
The decision not to enlarge the scope of the directive on the award of concession contracts 2014/23/EU through this regulation.

ESPO however regrets that national governments have not shown more ambition in moving towards a clear framework for port authorities to set their own charges and develop their own financial strategy. European ports believe that the plea for less public funding for ports can only be realised if port authorities can manage themselves their financial situation and decide how to structure and optimise their income.

ESPO and its members considered the principle of autonomy as put forward in the initial Commission proposal and fully supported by the European Parliament as one of the main assets of the Port Regulation and an important condition for unleashing the potential of all European ports in Europe.

ESPO fully recognizes that the final text of Article 14 will be giving port authorities in Europe the possibility to determine the level and structure of the port infrastructure charges and to enter into individual negotiations with their customers. It remains however unclear to what extent national governments may limit this negotiating power of port authorities by setting general requirements within their national ports policy.

“The final text of Article 14 on infrastructure charges may be seen as a sort of consolidation of the current 2-tier system consisting of ports which can develop their charging system in an autonomous way and those ports that do not have these basic management tools. We must hope however that Member States will use this opportunity to review the way they consider ports and to realise that giving port authorities the power to negotiate and to develop their own charging policy is the best way to enhance the competitiveness of European ports and the level playing field”, says Secretary General Isabelle Ryckbost.

“We would like to thank the Commission, the Council and the Parliament for their constructive cooperation during this legislative process. Our special thanks go to the Rapporteur, Knut Fleckenstein, for his continuous support in favour of giving European ports more autonomy. We regret that the port regulation has not delivered fully on that point.” says ESPO Chairman Santiago Garcia Mila.

Published in Ports & Shipping

Ferry & Car Ferry News The ferry industry on the Irish Sea, is just like any other sector of the shipping industry, in that it is made up of a myriad of ship operators, owners, managers, charterers all contributing to providing a network of routes carried out by a variety of ships designed for different albeit similar purposes.

All this ferry activity involves conventional ferry tonnage, 'ro-pax', where the vessel's primary design is to carry more freight capacity rather than passengers. This is in some cases though, is in complete variance to the fast ferry craft where they carry many more passengers and charging a premium.

In reporting the ferry scene, we examine the constantly changing trends of this sector, as rival ferry operators are competing in an intensive environment, battling out for market share following the fallout of the economic crisis. All this has consequences some immediately felt, while at times, the effects can be drawn out over time, leading to the expense of others, through reduced competition or takeover or even face complete removal from the marketplace, as witnessed in recent years.

Arising from these challenging times, there are of course winners and losers, as exemplified in the trend to run high-speed ferry craft only during the peak-season summer months and on shorter distance routes. In addition, where fastcraft had once dominated the ferry scene, during the heady days from the mid-90's onwards, they have been replaced by recent newcomers in the form of the 'fast ferry' and with increased levels of luxury, yet seeming to form as a cost-effective alternative.

Irish Sea Ferry Routes

Irrespective of the type of vessel deployed on Irish Sea routes (between 2-9 hours), it is the ferry companies that keep the wheels of industry moving as freight vehicles literally (roll-on and roll-off) ships coupled with motoring tourists and the humble 'foot' passenger transported 363 days a year.

As such the exclusive freight-only operators provide important trading routes between Ireland and the UK, where the freight haulage customer is 'king' to generating year-round revenue to the ferry operator. However, custom built tonnage entering service in recent years has exceeded the level of capacity of the Irish Sea in certain quarters of the freight market.

A prime example of the necessity for trade in which we consumers often expect daily, though arguably question how it reached our shores, is the delivery of just in time perishable products to fill our supermarket shelves.

A visual manifestation of this is the arrival every morning and evening into our main ports, where a combination of ferries, ro-pax vessels and fast-craft all descend at the same time. In essence this a marine version to our road-based rush hour traffic going in and out along the commuter belts.

Across the Celtic Sea, the ferry scene coverage is also about those overnight direct ferry routes from Ireland connecting the north-western French ports in Brittany and Normandy.

Due to the seasonality of these routes to Europe, the ferry scene may be in the majority running between February to November, however by no means does this lessen operator competition.

Noting there have been plans over the years to run a direct Irish –Iberian ferry service, which would open up existing and develop new freight markets. Should a direct service open, it would bring new opportunities also for holidaymakers, where Spain is the most visited country in the EU visited by Irish holidaymakers ... heading for the sun!