Schulte Report on WG Maritime Policy

Final Reportby the Chairman of theBSPC Working Group on Integrated Maritime PolicyJochen Schulte, MP(State Parliament Mecklenburg-Vorpommern)on the occasion of the20th Baltic Sea Parliamentary Conference (BSPC)Second Session29 August 2011Helsinki, FinlandNot to be released before the speech is commencedCheck against delivery!INTRODUCTION:Ladies and Gentlemen,in my capacity as the Chairman of the BSPC Working Group on Integrated Maritime Policy, I’d like to thank you for the invitation to Helsinki and to the Eduskunta, giving me the chance to present you the Final Report on our activities.Almost exactly a year ago, I have presented the Interim Report of our Maritime Working Group at Mariehamn and - in order to avoid duplications - I will in this report focus on the most recent developments and issues that have been in the centre of work of our Group in the past year.For our people who live to a large extent at, off and with the sea, an integrated maritime policy in the Baltic Sea Region means first and foremost to find common, Baltic-wide answers to common challenges. The global development of the recent years that began as a financial and economic crisis and meanwhile affects the stability of entire national economies has also affected the maritime economies in our regions. The economies in the Baltic Sea area are still suffering from the effects of the crisis and are in the process of undergoing radical changes and resulting adaptations. A development of which even us politicians do not know in detail where it will finally lead us.Ladies and Gentlemen,Safeguarding and strengthening the competitiveness and the future viability of our region is to a considerable extent related to our maritime industries. At the same time, we must succeed in finding a balance with the aims of marine environmental protection and improving the environmental status of the Baltic Sea throughout this transitional period. And this, ladies and gentlemen, has been a major focus of our work in the second year of the Working Group’s mandate.This task can only be successfully addressed with an integrated approach. This also means that such an integrated approach must involve the different actors of the different maritime sectors and decision-makers at different political levels. Under this premise we have, in the course of our 6 Working Group sessions during both years of our mandate heard altogether 42 experts and stakeholders. This included presentations by shipping companies and shipowners’ associations, shipbuilders, ports authorities and national maritime authorities and administrations, maritime safety authorities, environmental agencies and organisations, transport agencies, maritime research institutes, regional and national ministries and European institutions. A detailed list of the experts heard can be found in the written Final Report.For some it may seem that we have dealt too much with details and technical specifications. But – as in many other areas - the questions connected with this topic are so complex that it would be a fundamental mistake to try to find adequate answers to the questions raised without excellent experts. Only on a solid basis politicians can develop the necessary far-reaching, soundly-based political recommendations.Furthermore, Ladies and Gentlemen, we actively engaged in efforts to strengthen the cooperation between different actors and organisations and on different levels of political decision-making in the Baltic Sea Region in the maritime policy field.This year, for the first time, we therefore have actively participated as Working Group at the European Maritime Day – on this point may I address a special word of thanks to my esteemed colleague Roger Jansson, Vice Chairman of this Working Group.And we have, also for the first time, had a joint working session with our - so to speak - natural partner, the CBSS. I will come back to that later.WORKING GROUP MEETINGS – SECOND YEAR:Ladies and Gentlemen,Before addressing main results that have become part of the Draft Resolution I would like to begin with a brief overview on the subjects discussed in the second year of the Working Group.The forth meeting of the Working Group convened in November 2010 in Tallinn. In Estonia our colleague Roger Jansson was elected new Vice Chair.This meeting focused on options for the reduction of emissions from maritime shipping, maritime vessel and traffic monitoring and maritime shipping in ice-conditions including presentations by Lloyd’s Register Hamburg, Hamburg Shipbuilding Research Institute, the Danish Maritime Authority, the Estonian Maritime Administration and the Finnish Transport Agency. I am very pleased that Mr Are Piel from the Estonian Maritime Administration joins us again today and will give an updated presentation of the Gulf of Finland Ship Reporting System (GOFREP) as an example for a harmonised maritime surveillance system to the Conference.The fifth meeting of the Working Group was held in the Swedish Parliament in Stockholm in March this year, concentrating on ways for improving competitiveness in the maritime sector, seeing expert presentations by representatives of the German Shipowners’ Association and the Northern German Chamber of Industry and Commerce on the economic impact of IMO’s new sulphur regulations in the Baltic Sea, a former director of the International Oil Pollution Compensation Funds on oil spill liability and the Chairman of HELCOM Response on Response capacities to combat oil-spills and hazardous substances in the Baltic Sea Region, a representative of the Shortsea Promotion Centre, Finland, on measures to improve co-modality and a representative of the European Commission as well as of the joint VASAB-HELCOM Maritime Spatial Planning Working Group on Maritime Spatial Planning in the Baltic Sea Region.The meeting was also attended, dear colleagues, by the Chairman of the CBSS Expert Group on Maritime Policy, Mr Lars Almklov. He gave an overview of the Expert Group’s work. Also against this background, the Working Group agreed on participating in a Joint Event of the three maritime groups of CBSS, BSPC and BSSSC on the occasion of the European Maritime Day on 20th May 2011 in Gdansk.In June 2011 the sixth and final meeting of the Working Group took place at the State Parliament of Mecklenburg-Vorpommern in Schwerin, Germany. Under the general theme of port infrastructure, representatives of the Neptun and P + S Shipyards, of the Ports of Stockholm, Trelleborg and Rostock, and of the Baltic Energy Forum gave expert presentations on challenges for port infrastructure, ports as logistic centres, ports as sustainable cruise destinations, ecological specifications for shipowners and Clean Baltic Shipping. In order to combine the expert presentations with some practical experiences, a visit to Rostock Port and Caterpillar Motors in Rostock -where the group was given a presentation on the development of environmentally-friendly dual-fuel engines for ships - and to Warnemünde Cruise Terminal were also part of the meeting.For the first time at the Working Group session in June 2011, representatives of the CBSS Expert Group on Maritime Policy (the outgoing Norwegian Chair Mr Lars Almklov and the incoming German Chair Mr Dietrich Seele) and of the BSSSC Working Group on Maritime Policy (Chairman Mr Stefan Musiolik and WG member Ms Marlene Rothe) joined the Working Group members for a common working group session with a discussion on possibilities for a closer cooperation in the maritime field between the three organisations.Ladies and Gentlemen, please allow me now to give you a short overview on the main results achieved from the point of view of the Working Group in its second year. As has already been pointed out, these results are based on the expert hearings and discussions in the group.One of the central themes of the second year was securing the long term competitiveness of the maritime economy and strengthening the region as business and technology location.At the same time, the efficient and sustainable improvement of climate and environmental protection in maritime traffic was considered as a similar important objective.Ladies and Gentlemen,To combine both fundamental targets was seen as essential for a long term positive and sustainable development of the Baltic Sea Region and its maritime sector.Shipping and the maritime economy are among the most important economic branches in every Baltic Sea country. They contribute significantly to growth and employment in the region.A competitive maritime sector can, moreover, create impulses for growth also for many other branches in the region, interfering in one way or another with maritime policy issues.Fostering the competitiveness and long-term viability of the maritime economy, in particular of the shipbuilding and the shipping sector, maritime and port industries, was therefore seen as crucial by working group members.The Baltic Sea area should be promoted as a place for maritime business.Concerns of the Working Group members that have already been expressed in the Interim Report regarding imminent competitive disadvantages for Baltic Sea shipping as a consequence of the designation of the Baltic Sea as Sulphur Emission Control Area (SECA) have even increased during the second year of work.According to different new studies - although they are partly being disputed as for example most recently a study carried out by the Institute of Shipping Economics and Logistics Bremen (2010), - the use of low-sulphur marine fuels according to new IMO requirements lead to significantly higher costs in maritime traffic. Nevertheless, none of the Working Group members takes the view that, for this reason, the protection of our environment for future generations should be questioned. Nonwithstanding this, efforts must be made to prevent that sea transport will lose significant transport shares to land transport.Indeed all members of the Working Group agreed that we cannot risk that traffic flows will be shifted from sea to road after having attempted for years - at least I can state that for Germany - to get traffic moved from road to sea.While supporting the IMO environmental regulations in general, many members of the Working Group believed that the decision was made with too little consideration for the possible consequences for the maritime-related sectors in the region.For an effective and uniform environmental standard and to avoid distortions of competition to the disadvantage of the Baltic Sea area, the Working Group reaffirms and extends the demand of the 18th BSPC to work actively within the IMO for a European-wide solution for SECAs and a speedy designation of further sea areas, such as the Mediterranean Sea, as SECAs.Furthermore, the Working Group recommends after an intensive discussion that adequate, accompanying measures should be taken in order to prevent unwanted modal shifts from sea to road weakening the competitive position of Baltic Sea Shipping.Dear colleagues,Even if different solution approaches were suggested by experts and discussed by the Working Group - in the end strengthening the competitiveness of Baltic Sea shipping will have to include the ecological concerns of the region.At the end - and I emphasize: at the end -, all Working Group members agreed that according to the IMO decision the aim of a reduction of sulphur emissions on the Baltic Sea should be maintained. Nevertheless, dear colleagues, this was initially also openly discussed.But, Ladies and Gentlemen,As the environmental damages cannot be limited regionally or nationally the same goes for competition which also does not end at the borders of the Baltic Sea states. And therefore, a fundamental requirement remains that the sulphur content in ship fuels not only has to be reduced for the Baltic Sea area, but also for other sea basins.Indeed, this form of equal treatment would ensure that our region will not be exposed to severe disadvantages compared to other regions. In the competition with other regions, a level playing field would be reached in this respect. Besides, this would also serve environmental aspects.Furthermore, the Working Group agreed, after intensive discussions during the Schwerin session, on taking up some examples of possible counter measures in order to prevent a modal shift to road traffic.The Working Group supports in this respect any measures for low-emission shipping. In particular, it has been pointed out by experts that the stricter environmental requirements offer great chances for the development of innovative, environmentally-friendly solutions for the shipping sector, including the use of alternative fuels and energy sources and innovative ship propulsion systems. And from my own experience, I can say that it is very impressive to see a huge new ship engine operated with liquefied natural gas – as we have during our final meeting including an excursion to the world’s largest manufacturer of ship engines in Rostock.But, Ladies and Gentlemen,If we want innovative, environmentally-friendly solutions, the business operating conditions for affected companies have to be coherent and, moreover, the infrastructural framework has to be developed.Dear colleagues,Let me take up another point from the Final Report of the Working Group.The whole field of new marine technologies is a maritime growth area.Baltic maritime technology companies have excellent technical know-how and a high innovation potential that should be further developed, e. g. in the sector of offshore energy generation.The Working Group therefore recommends that integrated activities of the Baltic Sea Region in the areas of maritime research, technology and innovation in order to use the growth potential of new maritime sectors such as energy generation in offshore technologies, security and surveillance techniques as well as maritime environmental technology should be supported and access to maritime future markets should be enhanced.Ladies and Gentlemen,Shipping and Shipbuilding policy will in any case remain priority themes for the Baltic Sea area and in particular for us as parliamentarians representing the regional interests of our people and industries. And in my view, we will have to continue to address these issues in future conferences.This sounds almost self-evident and banal. But only apparently, and I would expressively warn against neglecting these basic topics. Viable future strategies for the maritime sector will have to be developed. Efforts should be focused on the development of innovative, environmentally-friendly, maritime technologies and solutions. With the necessary accompanying measures, the new environmental requirements and their implementation could be turned into a competitive advantage for the maritime sector in the Baltic Sea Region, offering new possibilities for shipbuilding and supplier industries, as for example engine manufacturers, but also others, to advance innovative techniques for more climate and environmental protection.Regarding maritime transport and ports policy the Working Group focused in its second year on inter-modal transport solutions and measures to improve co-modality as well as on environmental port services and products. Experts have emphasized that, for the further development of environmentally-friendly maritime transport systems, the efficiency of combined traffic has to be increased and the integration between transport modes needs to be further developed.The infrastructure of a port being a key to its success, it requires continuous development and adaptation. The differing regulations regarding ports in the Baltic Sea Region complicating cross-border maritime transport and causing competitive distortions have been criticized by experts requesting a harmonization of procedures and regulations in the Baltic Sea area. Administrative obstacles for cross-border maritime traffic should be reduced to a minimum. Initiatives intending to increase the efficiency and productivity of European sea ports by simplifying administrative and customs procedures and making increased use of information and communication technologies (e-maritime), like the European Commission’s initiative “Towards a European maritime transport space without barriers” are therefore welcomed.It should be taken into account that ports become more and more modern service providers, in particular with regard to environmental requirements for maritime transport. Experts gave an insight into current challenges for ports operators. A topic of much discussion was the usage of liquefied natural gas and development of the necessary port infrastructure needed around the Baltic Sea.Another current issue is the availability of systems and reception facilities for waste water from ships in the ports of the Baltic Sea. Port representatives presented examples for sustainable waste management systems for ports using incentives. A topic of debate remains the usage of shore side electricity. Some see it as one possible measure to reduce emissions from ships while they stay in ports, but common standards and uniform technical interfaces around the Baltic Sea would be needed. The project Clean Baltic Shipping which was presented to the Working Group by its project leader, offers a number of environment- and climate-friendly solutions for shipping and for ports and could be used as a competitive advantage for the Baltic Sea Region. The Working Group recommends supporting a sustainable port development and environmental port services in order to reduce environmental pollution for port residents and simultaneously strengthen the competitiveness of the Baltic Sea ports.For further details I would ask you to refer to the Working Group’s Final Report, which will be available to you here in Helsinki and on the Internet.COOPERATION AND FOLLOW-UP OF THE WORKING GROUPLadies and Gentlemen,Maritime issues will continue to play a key role in the Baltic Sea area and therefore have a major influence on the work of the BSPC also in the future. I firmly believe that our preoccupation as BSPC with this subject matter will, of course, not end with the Final Report our Working Group. Many current issues of maritime policy, dear colleagues, are in fact undergoing a dynamic development and need to be further treated. Therefore we have to think about how to continue our work in the best way.Allow me to point out in this respect, that in its June 2011 progress report on the EU Strategy for the Baltic Sea Region the European Commission particularly mentioned the enhanced cooperation of BSPC, CBSS and BSSSC in maritime affairs as a best practice example for maritime governance.I think this is a big success and recognition accorded our work and we should build up on this first step in the near future. And this is something the BSPC has been working on in recent years: Common consultations together with the CBSS, the governments of the Baltic Sea States. The joint event of the three maritime expert and working groups of CBSS, BSPC and BSSSC in connection with the European Maritime Day in Gdansk on 20th May this year was a promising start for an intensified and more structured dialogue of our organisations on maritime issues. Representatives of all three organisations were very actively involved in the preparation and worked out common ideas for the presentation. During that event, in which our Working Group was represented by Vice Chairman Roger Jansson, the three maritime policy groups presented themselves and their work together to a larger European public and discussed under the motto “Common vision, linking efforts, strengthening visibility” possible ways for a closer cooperation to achieve common goals for the Baltic Sea Region.A Report by Vice-Chairman Roger Jansson on the joint event is enclosed as attachment to the Final Report of the Working Group.The first practical result of this joint event was the agreement about a common maritime working group session with representatives of all three organisations which took place on the occasion of the sixth meeting of our Working Group in June 2011 in Schwerin.I was very pleased that the chairmen of the maritime expert and working groups of CBSS and BSSSC followed my invitation to continue our intensified dialogue started in Gdansk within the framework of the Schwerin Working Group session and thereby demonstrated their great interest in working together more closely and in a more structured way with the parliamentary level of Baltic Sea cooperation.During that meeting, the (at that time designated) Chairman of the CBSS Expert Group on Maritime Policy, Mr Dietrich Seele, gave an outlook on the priorities and the work programme of the 2011/2012 German CBSS Presidency.The Chairman of the BSSSC Working Group on Maritime Policy gave a report on his working group’s activities. In particular he informed about recent developments in the Clean Baltic Shipping project and invited the BSPC to become a member of the Political Committee supporting that project.During our common session with representatives of the CBSS and BSSSC maritime working groups, also in this respect there were also already discussed future possibilities for a closer cooperation in maritime affairs. The Chairman of the CBSS Expert Group on Maritime Policy Mr Seele, for example, mentioned a number of concrete possibilities for joint activities and initiatives, ranging from mutual and regular information exchange, common monitoring of maritime activities of the EU Baltic Sea Strategy, creating an inventory of existing regional or national maritime policies, to developing jointly political guidelines for the future.In my view, dear colleagues, strengthening visibility and raising awareness in the maritime policy field is also an important aspect. This opinion was share by the Chairman of the CBSS Expert Group on Maritime Policy. He pointed out that Germany during the CBSS Presidency would like to generate more transparency and efficiency in the architecture of the Baltic Sea cooperation as a whole and to strengthen the Baltic Sea Region as a very efficient pillar of the worldwide architecture of maritime policy.In the result, the Chairman of the CBSS Expert Group on Maritime Policy therefore understood the common session in Schwerin as starting point and as Core Group for the cooperation with further organisations, which should be involved in the future.Many of these suggestions brought forward by the Chairman of the CBSS Expert Group on Maritime Policy correspond with earlier requests that have been raised by the BSPC.At this point, I would like to stress that I think we really made a step forward there in cooperation matters which - as you know - has always been a request from the BSPC.In earlier BSPC Resolutions as well as in the current one, we have for a long time been asking the CBSS and other organisations active in the Baltic Sea area for a closer cooperation.Now, we really have the chance and we should use it actively.To me, the current (German) CBSS Presidency, as well as already the previous Norwegian Presidency, seems very interested and willing to engage into further steps for deepening the dialogue and finding out about possibilities for common initiatives and strategies for the benefit of the Baltic Sea Region.Both, the current German and also the precedent Norwegian CBSS Presidency, have been very engaged in bringing forward common activities, Mr Lars Almklov and Mr Dietrich Seele having repeatedly participated in our Working Group sessions and in the joint event at the European Maritime Day. Furthermore, the German CBSS Presidency has announced that maritime issues will continue to play an important role on its agenda for the next year.In my view, a regular, more structured dialogue between our and other organisations would strengthen our own possibilities to deal with the challenges of the region in an efficient way and for the widest possible impact in the region.Ladies and Gentlemen,The next concrete possibility for further steps is imminent: The Second Annual Forum of the EU Strategy for the Baltic Sea Region will take place in Gdansk between 24th and 26th October 2011 and would offer the possibility for another joint event of our three organisations.This important event, organised by the European Commission and the Baltic Development Forum will give all regional stakeholders a chance to give inputs for the revision of the Strategy.All stakeholders are invited to join this open exchange of views on the status and future of the Strategy. I think it would by very important for us to be present at this event, in particular for working actively towards the inclusion of further maritime-related topics and projects in the revised Strategy.Ladies and GentlemenAnd we should think about the role we want to play in future Baltic maritime policy issues and in building up structures for cooperation in a Baltic maritime framework.CBSS and BSSSC will have maritime working groups at least for the following year (the BSSSC Working Group is a steady one, and the German CBSS Presidency is open for a prolongation of their Maritime Expert Group).For me, the particular advantages and the values of the format of a parliamentary Working Group and of the parliamentary dialogue - apart from being able to work together on an equal footing with the two other maritime working groups and possibly other organisations - arethat it allows to involve a large number of different stakeholders and civil society into a broad dialogue. It can promote publicity and awareness for maritime issues (possible public expert hearings). At the same time, it gives the people in our common Baltic Sea area the chance to participate actively in shaping the future maritime policy for the Baltic Sea Region.In my opinion at this moment we have good changes for a real step forward to achieve concrete results in maritime policy issues for the Baltic Sea Region.CLOSING REMARKS:Ladies and Gentlemen,Concluding I’d like to thank you again for the trust placed in the Working Group and in myself by the Standing Committee and the entire BSPC.I would like to express my personal thanks to my parliamentary colleagues in the Working Group for the friendly and constructive cooperation we enjoyed. Altogether it has been 22 members from very different regions, including myself 23. 23 personalities that have indeed found together for 1 Working Group and that have demonstrated that the Baltic Sea is not separating, but connecting us.Also, on behalf of all members of the Working Group, I’d like to use the opportunity to thank the experts. Without their substantive contributions, the work of this Group would not have been possible.Furthermore, I would like to thank the parliaments of Estonia and Sweden, who have been good hosts for us during two of our three meetings held in the past year.Finally, I wish to express my thanks to the Secretariat of the BSPC.Thank you for your attention. I wish us all every success in our future common work.Landtag Mecklenburg-VorpommernJochen SchulteSchloss SchwerinLennéstraße 119053 Schwerin (DEUTSCHLAND)Phone: +49 385 525.2336Fax: +49 385 525.2338eMail: jochen.schulte@landtag-mv.deWeb: www.landt-mv.de