New Growth for Greek Ports The European Perspective
“A Unique Opportunity”
Dimitrios Theologitis – Head of UnitPorts & Inland Navigation, European Commission
1 October 2012
The EU Port Policy Review
• EU 2020 & Growth prospects: shift in global economy, shift in EU economy, transformation of shipping logistics, new environmental and energy requirements: Engines for Growth
• Every individual port included in the trans-European Transport Networks has significant cross-border effects and EU relevance
• Port connections (sea-side, land-side) are a key factor for the smooth functioning of the internal and international market
• To a large extent, quality, efficiency and reliability of ports determine the overall performance of the TEN-T
A «three pillar» approach
• Five years after the 2007 Communication on a European Ports Policy
1. TEN-T Guidelines and Connecting Europe Facility
2. Administrative Facilitation
3. Transparency and Regulated Market Access
2. Administrative Facilitation
• European Maritime Transport Space without Barriers• Ongoing activity since 2009
• Actions in several fields:• Customs simplification for intra-EU traffic
• “Automatic” authorised operator• Third country call
• Phytosanitary and veterinary controls• Electronic transmission of documents – Reporting Formalities
Directive, e-Maritime, Blue Belt, Blue Lanes
• Blue Belt pilot project report (Staff Working Doc)
Transparency and Market Access
• Transparency• State Aid, accounting, charging
• Concessions• Horizontal Directive
• Port Services• Types, principles, pricing
• Port Labour• Free market access, training and qualification
Port services examined
• Pilotage• Towage• Mooring• Dredging• Icebreaking• Environmental and waste removal• Passenger• Security
Port services: Principles and pricing
• Principles• Safety, security, environment• Training and qualification• Public service obligation• No discrimination between private and public
But conditions!
• Pricing• Cost-base vs efficiency (price cap)
Concertation – conciliation mechanism
• Proportionality, non-discrimination
2012 – 2013 Consultation process
• Full impact assessment: studies, research, evidence gathering, consultations
• Bilateral discussions with Transport / National Port Authorities in Member States
• Dialogue with main European organisations (workers, port authorities, operators, providers and users of port services)
• Conference on EU ports (25-26 Sep 2012):interim conclusions and way forward
• (Still) not possible to prejudge the outcome at this stage, either as to the extent or as the form of any proposals (2013)
The Greek Port Policy Review
• Strategy• Organisation• Legislation• Infrastructure• Financial aspects• Administrative simplification• Administration (and administrative capacity)
Ports Strategy
• (Ideally) Part of a country-wide transport strategy• Vision – strategic goals
• Principles• (High-level) practical aspects
• Organisation, legislation, infrastructure, administration…
• Implementation strategy• Priorities, consultations• Time plan
Organisation
• “Landlord model” – or “Facilitator port”
• Legislator• The Ministry (or Ministries)
• Regulator• Clear description of tasks
Implementation of the model, oversight of “The Plan”, sanctioningCalls for tender? For land concessionsPrice arbitration for port-specific services
• Management• The Port Authorities
Calls for tender? For port services
• Operations• The local offices
Legislation – Land concessions
• One law for all concessions• Otherwise risk of distortion of competition
• Calls for tender according to stable criteria• Typology of terminals
• Contracts are administrative acts• Performance criteria• Supplementary conditions, e.g.
• General use – non-discrimination• Modal split, environment
• (“Spanish” model?)• …the case of no interest…
• Port authority operates – or not…
Legislation – Port-specific services
• The “Three Principles”• Safety, security, environmental protection• Training and qualification• Public service obligations
• Opening of the market(s)• But not all need be covered by service
concessionsE.g. towage, waste removal
• …in case of no commercial interest…• Organised by Port Authorities
• (The “Danish” model?)• The case of exclusive rights (most common)
• Pricing!The Regulator as arbitrator
Legislation -- Labour
• Is it a port-specific issue?• Stevedoring (under different terminology)
common in other industries as well
• Freedom to provide and to contract services• Operators can employ their own personnel
• Personnel needs to be properly trained and qualified• Avoid “social dumping”
• Change of concessionnaire• EU legislation on “Transfer of undertakings”
applies
• Dir on Temporary Work Agencies also applies
Ports with no commercial interest
• Actually, the case “…of no commercial interest…” is the rule
• All the more reason to provide rules for what effectively is the majority of the ports
• E.g. municipal ports need to be regulated as well• Rules need not be different• Legislation must cover the different structures
• “Door must remain open” for commercial competition• Opportunities can arise in unexpected areas
Port Authorities
• Principles• Optimisation• Cost efficiency• No duplication• Better co-ordination
• Grouping in Regional Port Authorities• Number and geographical coverage• Which ports are included
• Tasks• Development of its ports within the general ports
strategic planning
The operational level
• An “operational antenna” in each port• Oversees the good functioning of the port
• Port-specific services• Billing for ports and service dues
• Emergencies• Safety and security problems• Environmental issues
Financial aspects
• Revenue• Port dues, port-specific services, concessions
• Expense• Running and major investments, port
maintenance
• Sustainability of Port Authorities and Regulator• Clear allocation of funding streams• “Who gets what”
• Structure needs to be motivational• In order for Port Authorities to perform well
• Important given the multitude of medium-sized and small ports and their organisation
Administrative simplification
• Greece, a traditional shipping country, with nearly 25% of the world fleet is very inefficient in logistics• Only in rank 69 (out of 155) in the Logistics
Performance Index of the World Bank• 2nd worst of the EU
• Inefficiencies lead to loss of trade• URGENT need to introduce
• Port Community Systems• Single Window(s)
Directive 2010/65
• Benchmarking!
Administration
• Political influence only at the level of the Strategy• (Most of) the remaining tasks is administration• In-house administrative capacity
• Involvement of Ministry officials• Continuity
• Recruitment criteria• Substantial training needs
• For new and existing personnel• AND for managers!
• Thank you for your kind attention• [email protected]