datum ferry / roro 13 m. tonnes general cargo 0.5 mil. tonnes bulk cargo 6 m. tonnes liquid cargo 3...

Datum

Ferry / RoRo13 m. tonnes

General Cargo

0.5 Mil. tonnes

Bulk Cargo6 m.

tonnes

Liquid Cargo3 m.

tonnes

Intermodal Cargo

77,000 units

Total Cargo23 m.

tonnes / 444,000

units

Port Services in the Port of Rostock

Dr. Ulrich Bauermeister, Managing Director

Hafen-Entwicklungsgesellschaft Rostock mbH

Datum01. Oktober

2012

Opening new horizons www.rostock.port.deOpening new horizons www.rostock-port.de

2 Port Services in the Port of Rostock

An account of a liberal system of port services which respects the principles of safety, public service and free market access.

Legislative framework for ports in GermanyNo special laws, ports are part of the economy and all laws, regulations etc. apply to port activities as to the whole economy.

European Union the treaty etc. are fully applicableEuropean regulations (e.g. the reaty)…

Port service in the Port of Rostock

Datum01. Oktober

2012



My part today is to discuss possible internal structures which way comply with

task.

Background of my statement is the Port of Rostock

My statement is based on the experiences at the Port of Rostock

Datum01. Oktober

2012



• EU• Federal government (Customs)• State (Police)• International Organizations - IMO ISPSEconomic development • International • National • Regional

Public

• Forwarders• Brokers / Agents• Haulers• Shipper• Passengers• Trams

Port infrastructure

HandlingBasic

function

Storage

Port collective economy

Correspondence ports

Competition

• Ship-owner• Ships

Shareholders Hinterland

infrastructure

Within the range

Intermodal

Seaward infrastruct

ure

Distribution(Complementary

function)

Ports are multidimensional interactive systems

Datum01. Oktober

2012



Some definitions, how I use the terms

Superstructure means facilities rising above the general surface of the port. Superstructure are sheds, terminal buildings, warehouses, tanks and equipment like gantry cranes, container bridges, other cranes and so on (ISL 1990 S. 66).

Infrastructure covers the basic engineering facilities below the surface. The main facilities required by ships and land carriers are channels, aids to navigation, turning areas, locks, docks, quay walls, roods and railway tracks. There is a strong tendency towards public provisions of infrastructure (ISL 1990 S. 66).

Concerning the port services there are sovereign tasks like immigration, customs, police forces, fire fighting or health inspection which are reserved exclusively to the public authorities responsibilities.

Services needed for ships, cargo handling, storage and so on should be provided by private companies.

Datum01. Oktober

2012



The function of a port is basically to transfer cargo between inland feeder transport, coastal transportation and seangoing ships.

International National Regional

Gate of goods = Basic function

Logistics function

Growth pool with structure determinant

industries

Functions of ports and their impact

Datum01. Oktober

2012


7 Port Services in the Port of Rostock• Subordinate functions include interfeeder transfer, cargo consolidation, cargo storage and cargo manipulation as well as cargo packaging and processing.

• A multipurpose port, an entity of many specialized terminals with the increasing specialization in handling and transfer techniques of both bulk and general cargoes, and the resulting requirements for massive investments in specialized handling and storage equipment, specialized ports and port facilities are on the rise.

• A modern port also requires a different approach to port management. In many instances port users or operators have opted to purchase or lease major terminal facilities or berthes to assure integrated control and management of all important factors required to perform port functions.

• This in turn will make the multipurpose terminal (port) or berth largely obsolete as an increasing percentage of cargoes is handled through specialized (by physical form) facilities.

Datum01. Oktober

2012



The primary function of a port is to provide for efficient, low-cost, inter- and intramodal transfer, inspection, storage, form change, and control of cargo (Frankel 1987 S: 7).

It should act as an integral part of a chain of transport links designed to move cargoes from origin to destination.

Ports are the critical junction between major transportation links.

To fulfil their function to the benefit of the other partners in the logistic chain – from the origin via manufacturing to the consumer – there must be and effective organization.

Datum01. Oktober

2012



Organisational forms of seaports are varying all over the world. These concepts differ by the intensity of public provision of the essential services and facilities in the Port and intensity of competition between services providers of all kinds (ISL 1990 S. 63).

Landlord port authorityThe responsibilities of the port authority are limited to the provision of the basic infrastructure, the general services and some other services of common interest.Landlord port authorities assume a rule of the developer of an industrial estate who leases the facilities but does not take part in the operational activities of the leaseholders (ISL 1990 S. 67).

Datum01. Oktober

2012



Tool portIn a tool port the authority is providing not only the infrastructure but also the whole or at least a major part of the superstructure facilities. It is not engaged in the cargo handling but it is supplying the “tools” needed for handling to private enterprises. The provision of port services is left to private organisations or independent agencies (ISL 1990 S. 68).

Service or operating portAll services and facilities for ships, cargo and land carriers are provided by the port authority.

Datum01. Oktober

2012



In a landlord port there are many opportunities for private initiative and competition among private operators.

The following conditions must be met for the proper functioning of a landlord port

• The throughput of the port must be sufficient to facilitate the competition between private operators and to finance their infrastructure (port internal competition). The necessary quantity depends on the kind of cargo. Even if there is not a quantity sufficient to have competition in one field of throughput (crude oil, hard coal or iron ore etc.) it makes sense to run the port as a landlord port and to organize competition in other fields of handling and services.• The political and social climate must be favorable for private economic activities also in port business.

The Port of Rostock is a landlord port.

Datum01. Oktober

2012



Because of their increasing need to provide efficient interfaces or intermodal transfer as transportation services ports are even more and more integrated in a national level which is not necessary always. On a regional or local scale a seaport might be seen quite differently. The impact of a seaport on a regional or local economy explains the interest regional or municipal authorities are taking in seaports.

External benefits for the public are arising from port activities e. g. taxes, jobs depending directly indirectly on port activities.

Datum01. Oktober

2012



Die Beschäftigungseffekte der Rostocker Seehafenwirtschaft haben 2005 gegenüber 1998 sowie 2008gegenüber 2005 zugenommen. Dabei liegt die Zuwachsrate bei den indirekten Beschäftigungseffekten deutlich über der der direkten Beschäftigungseffekte.

1998

2005

2008

Total direct employment 4.443

5.697

6.644

There of in Mecklenburg-Vorpommern

3.713

5.034

5.906

Indirect employment - 3.165

5.879


1.370

2.296

2.923

Employment totally - 8.862

12.523


5.083

7.300

8.829

Comparison of the effects of employment of the port economy in rostock

Datum01. Oktober

2012



Hochrechnung: Nettolöhne und gehälter der hafenorientiert Beschäftigten nach Wohnsitz (in T€)

Gesamt Hansestadt Rostock

LK Doberan, Güstrow

Übrige Gebiete MV

andere Regionen

I Seehafenverkehrswirtschaft 86.976,8

46.604,8 14.851,3 7.945,4 17.575,2

1.1

Seehafenumschlag, Lagerei, Hafenverwaltung 17.921,4

12.232,1 5.310,1 379,3 0

1.2

Seehafenspedition und Schiffsmaklerei 1.628,9 1.221,6 81,5 244,3 81,5

1.3

Transportunternehmen 3.623,1 2.860,4 572,0 190,7 0

1.4

Lotsen, Bugsieren 3.169,0 1.728,5 828,3 612,2 0

1.5

Fährreederei, Seereederei 53.459,0

24.799,2 6.903,8 5.632,0 16.124,0

1.6

Schiffsversorgung, Bebunkerung, Schiffsentsorgung

2.967,0 1.059,6 141,3 494,5 1.271,6

1.7

Seeversicherung, Gutachten, Ladungskontrolle 296,6 296,6 0 0 0

1.8

Wartung und Reparatur von Schiffs- und Hafenanlagen, Ladeeinheiten

3.727,6 2.256,1 980,9 392,4 98,1

1.9

Sonstige Seehafenverkehrswirtschaft 184,2 150,7 33,5 0 0

II Seehafenverbundene Wirtschaft 50.667,1

4.2252,4 835,5 4.595,3 2.983,9

III Seehafen- und maritimorientierte Behörden und Institutionen

19.531,7

15900,8 3317,9 125,2 187,8

Seehafenwirtschaft gesamt 157.175,6

104.758,1 190.04,6 12.665,9 20.747,0

Net wages of employee directly and indirectly depending on part business projection

Datum01. Oktober

2012



The healthy economic development of waterfront and coastal areas depends largely on an effective port development. Full access to the open sea and the

hinterland by road and rail is of paramount importance. This in our view is a public task.

DatumRoad and rail

Road distance (km)

Rostock

Kiel Lübeck

Wien 1.074 1.198

1.172

Prag 593 733 629

Budapest

1.118 1.258

1.154

Rail distance (km)

Rostock

Kiel Lübeck

Wien 1.119 1.219

1.136

Prag 609 761 678

Budapest

1.390 1.490

1.407

DatumAccess to the open sea

Distance in sea miles

Rostock

Kiel Lübeck

Gedser 26 72 62

Trelleborg

72 140 127

Helsinki 583 673 639

Datum01. Oktober

2012



Besides the expenses for running port infrastructure are not covered in full by the revenues. The port estate cannot be enlarged to extend. So it is necessary that the port estate is used efficiently for different port purposes.

Furthermore because of the longtime investment in infrastructure in general and port infrastructure especially and the resulting risk to earn the investment book investing in seaport infrastructure is not an activity private companies would want to get financially involved in.

To decide in what organisational form the functions of a port should be fullfilled an answer the a in my view decisive question is necessary: What ist the driving force to get all participants in port to offer their goods and services for efficient low-cost, inter- and intramodal transfer etc. at the most favorable price and in high quality?

Is it panning or intra and interports competition? Our answer is competition, not for it´s own sake, but as a german economist and former minister of economics, Karl Schiller, has put it: “Wettbewerb soweit wie möglich, Planung soweit wie möglich (K. Schillers Bochumer Regel).

Datum01. Oktober

2012



Competition as far as possible, planning as far as necessary.

So the landlord port authority HERO ensures an open business environment benefitting for many actors, such as authorities, business, labourforce of all kind, the local and regional bodies and last bus not least the consumers. Fair competition where ever possible between ports and inside the port is the vital stimulus for industrial and commercial development.

Datum01. Oktober

2012



Seehafen Rostock - History

196019901991

1994

1997

2001

Opening Seehafen Rostock in East Germany Rebranding in „Seehafen Rostock AG“Owner transfer to Hanseatic city of Rostock and Federal State of MV Rebranding in „Seehafen Rostock GmbH“

Seehafen Rostock GmbH

Seehafen RostockVerwaltungsgesellschaft74,9% Hanseatic city of Rostock

25,1% Federal State of Mecklenburg-Vorpommern

Seehafen RostockUmschlagsgesellschaft100% Hanseatic city of Rostock

Privatisation by selling to private investors

Rebranding in „Hafen-Entwicklungsgesellschaft Rostock mbH“

Further service providers at the port

since 1997100%private

100% private equity

Datum01. Oktober

2012



Until 1990

the Port of Rostock was an important part of the centrally planned and managed national economy of the GDR, a division of “Kombinat für Seeverkehr”

Property transfer to Treuhand AG, the managing entity for reprivatising “public property”

1991 formal privatization and change of the legal form into a joint stock company (Aktiengesellschaft; AG), obtaining the ownership of the port infrastructure and to operate the seaport in all its aspects as objective

transfer of corporate shares of Seehafen Rostock AG to the Hanseatic City of Rostock (74,9%) and Federal State of Mecklenburg-Vorpommern (25,1%)

1992 change of the legal form a limited company (German: GmbH); the sharesholder structure remains unchanged

1994 Adaption of the “Landlord Port Authority model”: Organizational separation from each other independent companies; an infrastructure company (Hafen-Entwicklungsgesellschaft Rostock [HERO]) owning all areas and real estate, especially quay walls and dedicated quay roads behind (except from warehouses) and a cargo handling company (Seehafen Rostock Umschlagsgesellschaft [SHR-U]), obtaining the ownership of all operational assets like machineries and warehouses

1997 Privatization of Seehafen Rostock Umschlagsgesellschaft

1. Development of the Port of Rostock since 1989

Datum01. Oktober

2012



2. After the organisational separation into an infrastructure company (HERO) and a cargo handling company (Seehafen Rostock Umschlagsgesellschaft) it was necessary to make a fundamental choice: What is the way forward? The following decisions have been adopted:

a. Construction, provision and maintenance of infrastructure is a public obligation provided by publicly owned Hafen-Entwicklungsgesellschaft, acting on the basis of private-sector principles b. Cargo handling and any other port services are not in the responsibility of the public sector, they are be privately and competitively organised provided. c. Sovereign functions like harbour master, police, customs inspection and fire-fighters are available to the individual user free of charge. The relevant public authorities are paid for that out of tax revenues.

Datum01. Oktober

2012



The choice made is a landlord port model, intraport and interports competition as far as possible. The adaption of the landlord model, leading to a port internal competition, is only possible, if the cargo handling volume had reached a critical level. This level is different depending on the specific type of goods and reached at this point, when the volume is not sufficient for recovering the costs for all assets (machineries etc.) needed to provide the handling services. If this cannot completely ensured, other organization models (service port, tool port) have to be adapted for the entire handling volume or specific types of goods. Cost covering should be in the focus also for port operators adapting these kinds of organization forms.

Datum01. Oktober

2012



3. Following the restructuring, Seehafen Rostock Umschlagsgesellschaft and all its assets sold to private investors, more port service providers settled due to property leasing. As a result the service quality in the port has risen and the services are offered at competitive market prices. 4. HERO is neither acting as a cargo handling company nor as a port service provider, otherwise we would act as competitor in its own right to our lessees and were able to cross-subsidize our tariffs. We are responsible for safety and security (ISPS) in the port, provide a platform and act as driving force for all area location marketing of a single company activities, due to the fact, that in a competitive port environment a comprehensive marketing in most case is not successful. By the way, successful location marketing is in our own interest because infrastructure is an asset of local nature, that can not be mored.

Datum01. Oktober

2012



HERO is mainly financed by incomes from rentals and leases as well as port dues and wharfage according to the kind of cargo transported on the ship. All tariffs are available to the public, cp. www.rostock-port.de Charges for Watercrafts – How to find the Rostock Port Regulations • www.rostock-port.de • Click “english” • Click “downloads” • Click under Printed Materials “Regulations and Harbour charges valid from January 2, 2012” • http://www.rostock-port.de/en/rostock-port/hero/company-profile/charges-for-watercrafts.html

http://www.rostock-port.de/


http://www.rostock-port.de/en/rostock-port/hero/company-profile/charges-for-watercrafts.html


Datum01. Oktober

2012



5. HERO’s activities are focused on fostering the economical development of the port in order to create as much as possible positive economic effects for the city and the region (employment; added value). The principle of absorption costing is the basis for all tasks of the company. The infrastructure company HERO as the landlord port authority leases its property to operating and/or handling companies, apart from quay walls and quay roads, which remains available to the third parties at every time. That ensures the possibility of continuously handling of goods independent from the lessee of the area behind the quay. The handling company “Seehafen Rostock Umschlagsgesellschaft” in the beginning hold a monopoly in the cargo handling market for some years after the organisational separation. The harbour master in its role as regulatory authority (ensuring the safety and efficiency of all port operations) is independent from HERO (infrastructure company) and organisationally assigned to the city administration.

Datum01. Oktober

2012



Tug boat services are privatized since 1990, they are ordered by shipping companies or vessel operator on a direct way. Dredging services are provided by private companies and will be tendered when required. Mooring services have been provided by Seehafen Rostock Umschlagsgesellschaft from the beginning. Due to economical reasons (they were unable to cover their costs), these services are nowadays offered by HERO. Other (cherry picking) service provider have not been active until today. Costs arising from mooring services are published in the public directories as mentioned above.

Datum01. Oktober

2012



Pilotage services are offered by WiRoSt, an organization of a public nature (pilots association). The obligation to use pilotage services will be imposed/set by the harbour masters office (e.g. for vessels with dangerous goods or due to weather conditions) or requested by the ship owner itself. Fees for such services have to be paid by the vessel operator directly; the owner is free to contract any qualified service provider. Pilotage in my view is a public task - you will be surprised by this statement - not a public good. It is a public task because you will have sufficient supply only in busy ports, in other places there will be no offer or only very expensive. That would distort the competition. The question is how to organize it, what languages are allowed for pilotages exemptions etc. A public authority is in charge for monitoring the maritime traffic. For Rostock, a department of Wasser- und Schifffahrtsamt Stralsund - a subordinated authority of Wasser- und Schifffahrtsdirektion Nord (WSD Nord) - is responsible for that. WSD Nord by itself is a subordinated department of the national transport ministry.

Datum01. Oktober

2012



6. Currently a process of concentration can be observed, the reason for that is the ongoing development towards bigger and bigger vessels and organisational changes within the entire transport chain. 7. A business model for all ports worldwide, regardless of its location, function (e.g. island port as part of general public interest) and its hinterland, does not exist. But, there are market-oriented, sustainable principles, which should be taken into account when it comes to make a decision for a specific organization form of a port. There are, of course, different stakeholder defending their own interests - be it against the risk to leave the familiar or because the existing system generates the most possible personal benefit.

Changing always means, the one loosing something or having to learn new duress etc. will heavily complain. All the others – even those who will take advantages out of the changes – keep silent.

Datum01. Oktober

2012



Anyway, most important from my point of view the highest possible benefit for the general public, the taxpayer is achieved, if and when a cost-covering fee for any service be charged. Only if this is the case, the management decision about the economic principles/organisation forms was definitely right, the services offered market oriented and the activities of the public sector is limited to services of general public interests as well as the provision of essential public goods. Regulatory tasks such as pilotage, police and safety at work are task of public interest. This applies even to the provision of public infrastructure, which should only be provided against payment and the principle of reimbursement of costs. Everything else results in a distortion of the market and the competition as well as a less than optimal resource allocation, not inducing the highest possible macroeconomic success.

Datum01. Oktober

2012



Profile of Hafen-Entwicklungsgesellschaft Rostock mbH I

• The company is the legal successor to Seehafen Rostock Verwaltungsgesellschaft mbH

• Shareholders are the Federal State of MV and the Hanseatic City of Rostock

• The company is committed to neutrality in respect of competition among all port-based companies

• The port of Rostock as a maritime center is „development area B“. The company gets support for the creation of necessary infrastructure conditions and in applying for subsidies from the state government

Datum01. Oktober

2012



• Management and maintenance of port infrastructure

• Project development

• Site marketing

• Location of business (companies)

• Land leasing

• Leasing of offices, workshops and areas for storage, distribution and other matters of logistics

• Development and management of the ferry terminal

• Port services

Profile of Hafen-Entwicklungsgesellschaft Rostock mbH II

Datum01. Oktober

2012



• Extensive service and provision

- Edificial service- Provision of ISDN – telecommunication

connections- Provision, development, maintenance of

hardware and software- Web – hosting, VPN – Networks and data

funk- Water supply- Sewage disposal- waste management

Profile of Hafen-Entwicklungsgesellschaft Rostock mbH III

Datum01. Oktober

2012



The Port of Rostock is a landlord port. The “Hafen-Entwicklungsgesellschaft” HERO is the landlord port authority. The infrastructure, land, berthes etc. belong to and are managed by HERO. We are responsible for managing the port estate, planning and caring for the infrastructure facilities. We lease the land to single companies for maximum 30 years for port use or for other industrial uses, like oil mills, manufacturing very hughe machines or pieces, which can only be produced in and shipped via a port.

We take harbour dues and wharfage and for special services like mooring, waste disposal, screening of trailers at the gates of the ferry terminal extra fees according to the published tariff. The tariff is transparent and fair, because it is “compulsory” for every customer, the principle of transparency, non-discrimination and fair pricing applies adequately.

Charges for Watercrafts – How to find the Rostock Port Regulations• www.rostock-port.de• Click “english”• Click “downloads”• Click under Printed Materials “Regulations and Harbour charges valid from January 2, 2012”• http://www.rostock-port.de/en/rostock-port/hero/company-profile/charges-for-watercrafts.html

Summary




datum ferry / roro 13 m. tonnes general cargo 0.5 mil. tonnes bulk cargo 6 m. tonnes liquid cargo 3...

Documents