Post on 31-Mar-2015
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The dredging industry and the European port system: challenges and opportunities
Prof. Dr. Theo NotteboomPresident, ITMMA - University of AntwerpPart-time professor in Maritime Transport - Antwerp Maritime Academy
CEDA Dredging Days
Antwerp, 1-3 October 2008
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CEDA - Antwerp – 2 Oct 2008Prof. Dr. T. Notteboom
Dredging companies have been involved in major port-related projects in Europe, but its seems the center of activity is shifting to elsewhere
DEMERiver Scheldt (BE/NL) Maintenance and deepening dredging work in the access channels of the River Scheldt
and in the access channels to the Antwerp locks Belgian Coast (BE) Maintenance access channelsDeurganckdock - Antwerp (BE) Dredging and dry earthmoving for the construction of the dockVerrebroekdok - Antwerp (BE) Dredging and dry earthmoving for the construction of the dockKallo Lock - Antwerp (BE) Maintenance dredging in the access channelKluizendock - Ghent (BE) Dredging for the quay wall and construction of a mooring dock including reclamation works. Port of Ostend (BE) Renovation of the outer portPort 2000 - Le Havre (F) Major port extension in the estuary of the river Seine Altenwerder - I and II - Hamburg (D) Extension of the Port of Hamburg, dredging and reclamation worksAusserweser (D) Capital and maintenance dredging in the approach channel of the Outer Weser.
Reclamation of the dredged material in the Uberseehafendock in Bremen.Rossaveel (Ireland) Harbour extension at the Ferry Terminal Ancona (I) Construction of inner dyke. Construction of caisson quay. Giioa Tauro (I) Construction of a new quay. Port of Monopoli (I) Restructuring and adjustment of the port. Port of Ortona (I) Partial removal of northern quay. Port of Trapani (I) Dredging works, extension of main breakwater and construction of new minor breakwater and quay wall construction. Porto Nuovo di Crotone (I) Dredging, pilling and construction of blocks for building a quay wall. Muelle Sur de la Cabezuela (E) Construction of a 451m long quay wall with floating caissons and a quay terrain of 5ha.Sagunto - Valencia (E) Building of a new quay wall.
Jan De NulRiver Scheldt (BE/NL) Maintenance and deepening works in the Western Scheldt and the Scheldt Estuary between Vlissingen and New Sealock at WintamBelgian Coast (BE) Maintenance dredging in the Northsea and the access channels and ports of Oostende and ZeebruggeZeebrugge (BE) Execution of Dredging Works in the Albert II DockVerrebroekdok - Antwerp (BE) Involvement in the construction of the quay wall at VerrebroekAmericadock - Antwerp (BE) Involvement in the renovation of the Americadok.River Elbe (D) Subcontract for the maintenance dredging in the Elbe in Hamburg with transport to and disposal in the NorthseaCadiz (E) Extension of the Quay Marques de Comillas in Cadiz . Barcelona (E) Dredging and demolition works around collapsed quay-wall of Muelle Prat Sagunto - Valencia (E) Sagunto - Extension of the Southern Quay in the Port of SaguntoValencia (E) Dredging in the Channel of Copa AmericaLeixoes (P) Maintenance dredging in the Port of LeixoesPort of Bilbao (E) Dredging and reclamation for the quay ZierbenaPort of Castellon (E) Dredging works for the extension of the Port of Castellon
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CEDA - Antwerp – 2 Oct 2008Prof. Dr. T. Notteboom
Some relevant questions to the dredging industry
What about the growth path for European port activities ? In what sectors ?
Where are the growth markets for port development in Europe ?
Do upstream river ports have a future ? What about transhipment ?
Are we slowly approaching the end of an era of large port infrastructure works in Europe ?
What role for the dredging industry in sustainable port development ?
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CEDA - Antwerp – 2 Oct 2008Prof. Dr. T. Notteboom
General observations
European ports find themselves embedded in ever-changing economic and logistics systems.
The European port industry overall is a healthy industry
A blend of different port types and sizes
No lack of port competition in Europe
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CEDA - Antwerp – 2 Oct 2008Prof. Dr. T. Notteboom
1. General observationsEuropean port traffic - 2005
0
200
400
600
800
1000
1200
1400
1600
RoRo - 260 ports ConventionalGeneral Cargo - 340
ports
Liquid Bulk - 330ports
Dry Bulk - 350 ports Containers (est.) -132 ports
Mill
ion
met
ric
ton
nes
415m10.3%
253m6.3%
1.58b39.1%
977m24.1%
811m20.1%
Figures 2005
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CEDA - Antwerp – 2 Oct 2008Prof. Dr. T. Notteboom
For more details on European port volumesESPO/ITMMA reports (www.espo.be)
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CEDA - Antwerp – 2 Oct 2008Prof. Dr. T. Notteboom
Port competition is changingCargo concentration … but more ports
Share of top 15 ports - 2007Total European container traffic = 90 mln TEU
Rotterdam12.0%
Hamburg11.0%
Antwerpen9.1%
Other32.1%
Gioia Tauro3.8%
Algeciras3.8%Felixstowe
3.6%Valencia
3.4%Barcelona
2.9%Le Havre
2.9%
Marsaxlokk2.1% Zeebrugge
2.2%
Constanza1.6%
Southampton2.0%
Genoa2.1%
Bremen5.5%
Share of top 15 ports - 1985Total European container traffic = 17.2 mln TEU
Rotterdam15.5%
Antwerp7.2%
Hamburg6.7%
Other39.1%
Felixstowe4.2%
Le Havre3.3%
Marseille2.8%
Leghorn2.8%
Barcelona2.1%
Tilbury2.3%
Genoa1.9%
Algeciras2.0%
Southhampton1.2%
Zeebrugge1.3%
Valencia1.8%
Bremen5.7%
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CEDA - Antwerp – 2 Oct 2008Prof. Dr. T. Notteboom
Middle East – Far East
Main shipping route
Americas
Americas
Transhipment/interlining port (transhipment incidence >75%)
Logistics core region
Multi-port gateway region
Inland corridor
Main shipping route
Gateway port
Gateway port also handlingsubstantial transhipment flows
Multi-port gateway regions1. Rhine-Scheldt Delta2. Helgoland Bay3. UK SE Coast4. Spanish Med5. Ligurian Range 6. Seine Estuary7. Black Sea West8. South Finland9. Portugese Range10. North Adriatic 11. Gdansk Bay
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2
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5
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9
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3
8
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CEDA - Antwerp – 2 Oct 2008Prof. Dr. T. Notteboom
The challenge of the peripheryEvolution of the share of the market leader in each gateway region (in %)
1985 1995 2007 Trend for market share of leader Main challengers in the peripheryRS Delta 62.6 61.8 50.3 Decreasing, leader unchanged (Rotterdam) Zeebrugge (+), Amsterdam (-), Flushing (?)
Helgoland Bay 54.0 65.2 66.8 Increasing, leader unchanged (Hamburg) Wilhelmshaven (°), Cuxhaven (x)
UK SE Coast 48.1 54.3 47.3 Fluctuation, leader unchanged (Felixstowe) London Gateway (°), Bathside Bay-Harwich (°)
Dibden Bay (X), Teesport (?)
Spanish Med 52.2 49.3 53.4 Fluctuation, change in leader (Valencia overtook Barc.) -
Ligurian Range 48.2 30.0 45.6 Fluctuation, change in leader (Genoa overtook Leghorn) -
Seine Estuary 80.8 89.0 94.3 Increasing, leader unchanged (Le Havre) -
Black Sea West n.a. n.a. 90.4 Increasing, leader unchanged (Constanza) -
South Finland n.a. 60.3 40.9 Decreasing, change in leader (Kotka overtook Helsinki) Kotka (+)
Portugese Range 57.9 58.4 48.7 Recent decrease, leader unchanged (Lisbon) Sines (+)
North Adriatic 50.5 41.3 41.3 Fluctation, change in leader (Venice overtook Ravenna) Trieste (+)
Gdansk Bay 100.0 99.6 86.4 Decreasing, leader unchanged (Gdynia) -
(+) (some) terminal(s) already in operation; strong results(-) (some) terminal(s) already in operation; moderate results(°) Terminal under construction(?) No container terminal yet, planning phase(x) Container terminal was planned, but plans abandonned or rejected
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CEDA - Antwerp – 2 Oct 2008Prof. Dr. T. Notteboom
Source: Notteboom & Rodrigue (2005)
0 50 100 150 20025Kilometers
France
Belgium
Lux
Germany
NetherlandsROTTERDAM
Zeeland Seaports
ANTWERPZeebrugge
GhentOstend
BrusselsLille
Liège
WielsbekeGenk
DuisburgEmmerich
Nijmegem
Avelgem
Born
Venlo
Valenciennes
GrimbergenWillebroek
DeurneMeerhout
Duesseldorf
Cologne
Krefeld
Neuss
Bonn
Andernach
Dortmund
Amsterdam
Alkmaar
BeverwijkZaandam
HarlingenLeeuwarden Veendam
Meppel
GroningenDrachten
Kampen AlmeloHengelo
ZutphenEdeHillegom
UtrechtA. a/d Rijn
TilburgOosterhout
Helmond
Gorinchem
MoerdijkDen Bosch
Oss
Valburg
Stein
Gennep
Mertert
Koblenz
Dormagen
Seaport in Rhine-Scheldt Delta
Delta seaport system with multi-zone polarisation
Inland Container Terminal (barge or multimodal)
Growth region EuropeanDistribution (outside seaport system)
Port competition is changing Port regionalization is unfolding
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CEDA - Antwerp – 2 Oct 2008Prof. Dr. T. Notteboom
Lattakia Lattakia .. Beirut Beirut ..
Haifa Haifa ..Ashod Ashod ..
.. Bar Bar.. Barcelona Barcelona.. Civitavecchia Civitavecchia
.. Ancona Ancona
.. Constanza Constanza
Fos Fos ..
Genoa Genoa ..
Haydarpasa Haydarpasa .... Izmir Izmir
.. Koper Koper
.. La Spezia La Spezia
Limassol Limassol ..
Leghorn Leghorn ..
Mersin Mersin ..
Naples Naples ..
.. Odessa Odessa
.. Piraeus Piraeus
.. Ravenna Ravenna
SalernoSalerno.. .. Thessaloniki Thessaloniki
VeniceVenice..Trieste Trieste ..
.. Valencia Valencia
.. Kumport Kumport
.. Varna Varna
.. Armaport Armaport
GemlikGemlik
.. Ilyichevsk Ilyichevsk
..TartousTartous
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Port dynamics in the Med
.. Gioia Tauro Gioia Tauro
.. Port Said Port Said Alessandria Alessandria ..
.. Malta Malta
.. Taranto Taranto
.. Damietta Damietta
.. Algeciras Algeciras
.. Cagliari Cagliari
Main shipping lane
Med ports going north ?Med ports going north ?
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CEDA - Antwerp – 2 Oct 2008Prof. Dr. T. Notteboom
Transhipment hubs under scrutiny and its impact on inland freight distributionThe market shares of ports in the West Mediterranean. Ports grouped according to the diversion distance from the main shipping route (1975-2007)
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
1975
1977
1979
1981
1983
1985
1987
1989
1991
1993
1995
1997
1999
2001
2003
2005
2007
Sh
are
in
TE
U t
hro
ug
hp
ut
We
st-M
ed
West-Mediterranean ports with one-way diversion distance > 250 nm
West-Mediterranean ports with one-way diversion distance 100-250 nm
West-Mediterranean ports with one-way diversion distance < 100 nm
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CEDA - Antwerp – 2 Oct 2008Prof. Dr. T. Notteboom
Port competition and the role of upstream portsEvolution of the market shares in the Le Havre-Hamburg range
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
1975
1977
1979
1981
1983
1985
1987
1989
1991
1993
1995
1997
1999
2001
2003
2005
2007
Sh
are
in T
EU
th
rou
gh
pu
t L
e H
av
re-H
am
bu
rg r
an
ge
Small and medium-sizedcoastal ports
Large coastal ports
Small and medium-sizedupstream ports
Large upstream ports
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CEDA - Antwerp – 2 Oct 2008Prof. Dr. T. Notteboom
Ports live in a turbulent world
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CEDA - Antwerp – 2 Oct 2008Prof. Dr. T. Notteboom
The environment is changing
Fear for impact of economic downturn
Impact of high fuel costs
Pressure on (infrastructural) capacity
Environmental and security issues are omnipresent
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CEDA - Antwerp – 2 Oct 2008Prof. Dr. T. Notteboom
Fear for impact of economic downturnWorld Container Traffic, 1980-2008. Reaching Peak Growth?
0
100
200
300
400
500
600
700
800
900
1000
1980 1985 1990 1995 2000 2005 2010 2015 2020
Mill
ion
TE
U
Divergence
Adoption Acceleration Peak Growth Maturity
1966-1992
1992-2002
2002-2010(?)2010(?) -
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CEDA - Antwerp – 2 Oct 2008Prof. Dr. T. Notteboom
Rising bunker pricesBunker price for CST 380 in Rotterdam ($ per ton)
Source: based on data Clarksons Research Services Ltd
0
50
100
150
200
250
300
350
400
450
500
550
600
650
700
750
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
Bu
nk
er
pri
ce
in
$ p
er
ton
fo
r C
ST
38
0 i
n R
ott
erd
am
481.5 $4 January 2008
219.5 $19 January 2007
331 $5 May 2006
50.5 $11 December 1998
129 $3 December 2004
707 $18 July 2008
481 $19 Sept 2008
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CEDA - Antwerp – 2 Oct 2008Prof. Dr. T. Notteboom
Pressure on infrastructural capacityNew large port infrastructure projects are still coming on stream, but it takes much longer than expected and less projects make it to the finish
Development of initial plans
Proposed date for start operations
(first phase)
Date for start terminal operations
Le Havre ‘Port 2000’ – France 1994 2003 2006
Antwerp – Deurganck Dock - Belgium 1995 2001 2005
Rotterdam – Euromax Terminal – the Netherlands
2000 2004 2008
Rotterdam – Maasvlakte II – the Netherlands 1991 2002 2013/2014
Deepening Westerscheldt -the Netherlands/Belgium
1998 2003 2008
Wilhelmshaven/JadeWeserPort - Germany NA 2006 2010/2011
Cuxhaven - Germany NA 2006 Never
Dibden Bay – UK NA 2000 Never
London Gateway – UK NA 2006 2013
Felixstowe South – UK NA 2006 2008
Hull Quay 2000/2005 NA 2000 2011
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CEDA - Antwerp – 2 Oct 2008Prof. Dr. T. Notteboom
Realising terminals takes (more) time
Environmental considerations are prominent in port planning: balancing of economic, social and environmental values
Emancipation process and local rationality (cf. NIMBY) of pressure groups
(Pitfalls in) regulations and procedures slow down decision-making process
Port managers spend a lot of time in embedding the port in local community
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CEDA - Antwerp – 2 Oct 2008Prof. Dr. T. Notteboom
Securing port capacity
Notwithstanding new capacity will come on stream in the coming years, delays due to port congestion could become a structural problem in the longer term:
1. Limitations to terminal productivity increases 2. Public support for port development is lacking3. Rules and procedures4. Governments’ retreat in the funding of ports5. Investment climate6. Weak support for ‘port co-opetition’-model
The battle for securing port capacity will continue
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CEDA - Antwerp – 2 Oct 2008Prof. Dr. T. Notteboom
Sustainability is key to allow further port development
The sustainability objective has given rise to important spin-off activities for the dredging industry.
Environmental impact of port projects not only one-sided negative: port projects can be instigator of environmental initiatives that would otherwise not develop.
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CEDA - Antwerp – 2 Oct 2008Prof. Dr. T. Notteboom
Sustainability is key to allow further port developmentHarmonizing ecology and economy: the Antwerp co-habitation model (compensation: 6-7% of total cost price!)
Source: Port of Antwerp
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CEDA - Antwerp – 2 Oct 2008Prof. Dr. T. Notteboom
Sustainability is key to allow further port development
The dredging industry plays a key role:
Technological innovation to secure port expansion; Disposal of dredged material (e.g. La Spezia, Antwerp)
Assist in environmental planning linked to port expansion projects;
Coordinate with port authorities, terminal operators, government departments and organisations (e.g. Ecoports/Green Ports) to help legislators in setting realistic environmental targets;
Share best practices to help develop environmental standards taking into account the unique nature of each port and each dredging project
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CEDA - Antwerp – 2 Oct 2008Prof. Dr. T. Notteboom