Presentation Bauermeister WG IMP 1st meet 10 01 21

Baltic Sea Ports: Tasks, development potentials andcurrent issuesDr. Ulrich BauermeisterManaging Director – Port of RostockOpening new horizons www.rostock-port.de2 | Baltic Sea ports: Tasks, development potentials and current issues –Dr. Ulrich Bauermeister –21. January 20101. Baltic Sea ports - „What are we talking about?“2. Key success factors of sea ports - “How to ensure the success of ports?“3. Sea port development - „Which steps are to be taken to maintain the competitiveness?“4. Current economic development - „What is the status quo of our economy?“5. Current issues for the port industry - „How to deal with current problems?“Opening new horizons www.rostock-port.de3 | Baltic Sea ports: Tasks, development potentials and current issues –Dr. Ulrich Bauermeister –21. January 2010Categories of sea ports around the Baltic SeaCategory Landlord Port Tool Port Service PortSpecifications • Independent companies • Companiesfor port • One companyresponsible for services independent from responsible forinfrastructure(port the owner of infrastructure infrastructure,authority),suprastructure and suprastructure suprastructure and alland port services kinds of port servicesShareholder / • public(infrastructure) • Public/private • publicOwner • private (suprastructure (infrastructure and • privateand port services) suprastructure)• private (port services)Countries • Germany (e.g. Rostock) • Poland (e.g. Gdynia) • Scandinavia• Poland(e.g. Gdansk) • Smallersea portstrend to privatization (formal privatization of infrastructure)Opening new horizons www.rostock-port.de4 | Baltic Sea ports: Tasks, development potentials and current issues –Dr. Ulrich Bauermeister –21. January 2010Functions of sea portsLogistic functionDomestic InternationalBasic function Industrial functioncommodity flow commodity flowImport ExportSea PortsExport ImportInternational National RegionalBasic functionLogistics functionIndustrial functionOpening new horizons www.rostock-port.de5 | Baltic Sea ports: Tasks, development potentials and current issues –Dr. Ulrich Bauermeister –21. January 2010Sea ports as part of intermodal transport chainsPorts are intermodal hubs / knots with ...• ... the highest demand for consolidation and distribution• ... distinctive peaks and valleys• ... the most possible variety of goods and transport equipment• ... an optional spectrum of basic and complementary function• ... a numerous palette of market playersOpening new horizons www.rostock-port.de6 | Baltic Sea ports: Tasks, development potentials and current issues –Dr. Ulrich Bauermeister –21. January 2010Sea ports as multidimensional systemsEconomy• Development• Transport demand• InfrastructureShareholder / Owner Surrounding area• Private Institutions • City• Public Institutions • Region• Mixed • Federal StateSea portsMaritime IndustryCompetition• Ship owner• Ports• Ship agents• Transport modes• Passenger / Freight• Geographical range• HaulersRegulations• European Law• State Law• OrganizationsOpening new horizons www.rostock-port.de7 | Baltic Sea ports: Tasks, development potentials and current issues –Dr. Ulrich Bauermeister –21. January 20101. Baltic Sea ports - „What are we talking about?“2. Key success factors of sea ports - “How to ensure the success of ports?“3. Sea port development - „Which steps to are be taken to maintain the competitiveness?“4. Current economic development - „What is the status quo of our economy?“5. Current issues for the port industry - „How to deal with current problems?“Opening new horizons www.rostock-port.de8 | Baltic Sea ports: Tasks, development potentials and current issues –Dr. Ulrich Bauermeister –21. January 2010Key success factors for sea portsLocation and connections Infrastructure and suprastructure• Important economic centre in the direct hinterland • High capacity links between the port andits hinterland• regularly servedshipping links • Connection to the traffic network as direct as possible• High frequencies on shipping links (“like a bridge”) • Intermodal terminal / facilities• Good and direct accessibility by sea (short sea channel) • Port infrastructure and suprastructure according tocustomers need• Co-modality between different traffic modesPort services Complementary function• Broad variety of shipping and rail service (intermodal; • Areas for the settlement of production facilitiesconventional) companies • Additional logistical facilities• Many, from infrastructure company independent,port • Cruise port facilitiesand providing of touristic servicesservice provider• Providing different services to handle all kinds of cargo(universal port)Opening new horizons www.rostock-port.de9 | Baltic Sea ports: Tasks, development potentials and current issues –Dr. Ulrich Bauermeister –21. January 2010Key success factors for sea portsThe location of a seaport in a geographicalrange and itshinterland connectionsare the most importantfactors of successOpening new horizons www.rostock-port.de10 | Baltic Sea ports: Tasks, development potentials and current issues –Dr. Ulrich Bauermeister –21. January 20101. Baltic Sea ports - „What are we talking about?“2. Key success factors of sea ports - “How to ensure the success of ports?“3. Sea port development - „Which steps are to be taken to maintain the competitiveness?“4. Current economic development - „What is the status quo of our economy?“5. Current issues for the port industry - „How to deal with current problems?“Opening new horizons www.rostock-port.de11 | Baltic Sea ports: Tasks, development potentials and current issues –Dr. Ulrich Bauermeister –21. January 2010Port development as iterative processReason / Motivation• Development of vessels size• Increasing cargo handling volume• Demand for additionally services• Changing production and logistical processes• Development of new transport modes• Increase of efficiency• Close eye on what is going on in the market• Close connection with the customers (land based and seaside)Procedure Tools / Instruments• Analysis of potentials, risks and sustainability • European or state funding programmes• Feasibility studies • Standardized valuation instruments• Involvement of person/institutions concerned • In-house knowledge and external consultants• Cost benefit analysis• ImplementationOpening new horizons www.rostock-port.de12 | Baltic Sea ports: Tasks, development potentials and current issues –Dr. Ulrich Bauermeister –21. January 2010External port developmentDevelopment process ResultBuying real estate around the port area and Fulfilling future needs for portfarther surrounding areas areas and to keep a distancebetween ports and cities (areas forliving, leisure and work)Lobbying at federal and European level Assure the accessibility of the portregarding hinterland connections and seaways from its hinterland on road and railMonitoring of new regulations on local, federal Minimize the negative impact onand European level ports and maritime industryOpening new horizons www.rostock-port.de13 | Baltic Sea ports: Tasks, development potentials and current issues –Dr. Ulrich Bauermeister –21. January 2010Internal port developmentDevelopment process ResultSelect ion of a development/port strategy (focus Organization model for the porton infrastructure; focus on cargo handlingactivities; focus on additional logistic activities)Adaption of port infrastructure and port areas Configuration of port areasaccording to customers needPromotion of competition between all port High quality at competitive pricesservice companies (adequate market potential) and avoidance of monopolies ifpossible in order to strengthen themarket positionReasonable - entity specific - lease contract for Efficient allocation of port area toreal estate and buildings ensure the flexibility regardingrenewing of contractsOpening new horizons www.rostock-port.de14 | Baltic Sea ports: Tasks, development potentials and current issues –Dr. Ulrich Bauermeister –21. January 20101. Baltic Sea ports - „What are we talking about?“2. Key success factors of sea ports - “How to ensure the success of ports?“3. Sea port development - „Which steps are to be taken to maintain the competitiveness?“4. Current economic development - „What is the status quo of our economy?“5. Current issues for the port industry - „How to deal with current problems?“Opening new horizons www.rostock-port.de15 | Baltic Sea ports: Tasks, development potentials and current issues –Dr. Ulrich Bauermeister –21. January 2010Some theses about ports and economy• as a rule-of-thumb: the relation between foreign trade and transport volumeis about 1 : 2,5• the current downturn in cargo handling volume (mainly the downturn in theBaltic States) fits that ratio• the last years showed a structural change of goods (produced / transported)from high volumes with low value to small volumes with high value• RoRo- and ferry services have been affected by economic changes in ahigher degree than bulk cargoOpening new horizons www.rostock-port.de16 | Baltic Sea ports: Tasks, development potentials and current issues –Dr. Ulrich Bauermeister –21. January 2010Factors affecting the international trade in the futureOpening new horizons www.rostock-port.de17 | Baltic Sea ports: Tasks, development potentials and current issues –Dr. Ulrich Bauermeister –21. January 2010Economic slowdown or market downturn %-Wachstum des Produktionspotentials tatsächliche Entwicklung = KonjunkturQP Produktionspotentialmax QP Entwicklungspfad des ProduktionspotentialstGDP ø QP durchschnittlicher EntwicklungspfadtQP= GDP * 100tGDP normal pattern of thet-1max QP economic developmenttø QPt pattern of the current crisis2007 2008 Year (t)Opening new horizons www.rostock-port.de18 | Baltic Sea ports: Tasks, development potentials and current issues –Dr. Ulrich Bauermeister –21. January 2010Relocation of transport flows in the futureOpening new horizons www.rostock-port.de19 | Baltic Sea ports: Tasks, development potentials and current issues –Dr. Ulrich Bauermeister –21. January 20101. Baltic Sea ports - „What are we talking about?“2. Key success factors of sea ports - “How to ensure the success of ports?“3. Sea port development - „Which steps are to be taken to maintain the competitiveness?“4. Current economic development - „What is the status quo of our economy?“5. Current issues for the port industry - „How to deal with current problems?“Opening new horizons www.rostock-port.de20 | Baltic Sea ports: Tasks, development potentials and current issues –Dr. Ulrich Bauermeister –21. January 2010Theses: Accommodations needed to be fit for the future• extension / upgrading of existing seaways and hinterland connections• construction of new and high capacity hinterland links to and from ports• a level playing field between land based transports and maritime transport (notonly air pollution, but also land consumption, noise and use of scarce resources)• reasonable environmental legislation and regulation to avoid a devaluation onport infrastructures due to decreasing utilization of ports• acquisition of land around the ports and a reasonable designation of categoriesfor land usage (rezoning / change of use of surrounding areas) to fulfill therequirements on a logistic and industrial locationOpening new horizons www.rostock-port.de21 | Baltic Sea ports: Tasks, development potentials and current issues –Dr. Ulrich Bauermeister –21. January 2010Level playing field for all transport modes• Highly competitive land based transportsystem parallel to shipping routes• Latent risk of traffic shift from sea toroad with serious consequences for portauthorities in the Baltic Sea RegionOpening new horizons www.rostock-port.de22 | Baltic Sea ports: Tasks, development potentials and current issues –Dr. Ulrich Bauermeister –21. January 2010New IMO regulation about ship emissions (influence on ports)• Emissions of noise, from cargo • Pollutions from ships (SO , NO , CO ,2 x 2handling activities and traffic flows particle matter, other emissions)• Traffic node• Cargo handling and logistic activities• Industrial location• Other pollutions from industrialproduction• Resources for buildings andScope of the IMOmaintaining land based infrastructureregulationLand SeaOpening new horizons www.rostock-port.de23 | Baltic Sea ports: Tasks, development potentials and current issues –Dr. Ulrich Bauermeister –21. January 2010Thank you for your attention!Opening new horizons www.rostock-port.de