Bulk Distributor Nov/Dec 18 | Page 6

6 B ULK D ISTRIBUTOR Intermodal Swissterminal ĮůĞƐĐŽŵƉůĂŝŶƚ against Gateway Basel Nord A row is brewing over the funding of a planned container handling facility in Basel, Switzerland. Swissterminal, a family-owned firm providing container terminal services in the Basel area, has lodged a formal complaint with the Swiss Federal Administrative Court against the federal funding for the planned container terminal project Gateway Basel Nord. The complaint follows the decision of the Swiss Federal Office of Transport (FOT) in July 2018 to fund publicly three quarters of the costs of the first project stage. Swissterminal considers the federal-funded project a severe threat to competition in terms of container terminal handling services. In its complaint to the Swiss Federal Administrative Court the company claims a breach of economic freedom as well as a restriction of competition law and international regulations for free trade. Swissterminal also argues that it is directly affected by the future project, but that it has not been granted any participatory rights in the current planning procedure. The complaint filed with the court on 14 September is directed against both Gateway Basel Nord AG (GBN AG), in which national rail operator Schweizerische Bundesbahnen (SBB) is the main shareholder, and the FOT. The complaint calls for a repeal of the decree issued on 4 July 2018 as it violates applicable law in many November/December 2018 Swissterminal argues that the funding for Gateway Basel Nord could be deemed illegal ways, according to Swissterminal. The complaint states that the FOT has not carried out the mandatory fact-finding process in a proper manner, but rather in an extremely biased way, because it simply followed the reasoning of the future gateway operators without any verification. Examples of this are the forecasted volume development, the claimed productivity growth, and the predicted shift of traffic from road to rail. The complainant furthermore argues that the FOT failed to assess the legitimacy of market entry of GBN AG as a state-owned enterprise. GBN AG’s main shareholder is SBB Cargo, which is a subsidiary of SBB AG and therefore 100 percent state-owned. At the same time, SBB is a co-owner of Hupac, which is a minority shareholder of GBN AG. However, the authorities have not considered whether this kind of state involvement complies with applicable law pertaining to the existing market, which is heavily sustained by private companies, Swissterminal argues. In Swissterminal’s view, the financing of the remaining quarter of Gateway Basel Nord is questionable as well. Even though this part of the funds required should be met by GBN AG itself, the fact is that SBB Cargo is highly indebted and does not have the appropriate means for funding itself, the firm argues. It therefore needs to be examined whether the money required originates from funds that SBB AG received for its subsidised business unit. If so, this would represent an unlawful cross-subsidisation. Another key issue of the complaint is the infringement of economic freedom and fair competition through the federal government’s commitment to subsidise nearly CHF83 million. The federal funds will finance a project through which private market players will be squeezed out of the market and ultimately eliminates or, at least, massively distorts current competition. The FOT’s decision also violates international regulations because the free trade agreements between Switzerland and the EU “clearly rule out” such kinds of federal subsidies that lead to impediments to the international movement of goods linked to the European Union’s market. Swissterminal also records that it has not been granted any kind of participatory rights in connection with the current subsidy procedure, even though Gateway Basel Nord affects its business environment to a higher extent than any other company in the market. The federal office’s refusal went so far that Swissterminal only received the decree issued on 4 July 2018 after filing a formal request. However, at the time of issuing filing the complaint Swissterminal had not been granted access to the files underlying the FOT’s decision. 'ŽŝŶŐ/'ƚŽĐƵƚĞŵŝƐƐŝŽŶƐ B eaulieu International Group (BIG), based in Waregem, Belgium, recently released the results of its multimodal logistics platform which uses waterway transport to reduce its dependency on trucks. BIG is a vertically integrated maker of flooring solutions, fibres and yarns, plus associated raw materials, such as polymers. As such it operates a complex chemical supply chain. According to BIG the programme reduced the company’s container transport-related CO2 emissions by 36 percent in 2017 and is scheduled to achieve a further 55 percent reduction in the coming years. Since the start of the programme in 2015, it has grown substantially and now 60 percent of BIG’s output by container is transported via barges starting at the River Terminal Wielsbeke (RTW). RTW acts as BIG’s global inland hub, connecting the company to major shipping routes and destinations around the world via Port of Antwerp. The container transport organisation was set up in close co- operation with RTW operator Delcatrans, which provides barge transport services, and Manuport Logistics, which acts as 4PL partner for BIG. Previously all container cargo went by truck to Antwerp, a distance of 90km. By changing to water transport, journey times have become more reliable as traffic congestion doesn’t have to be factored in; there are fewer trucks on the roads reducing traffic for other road users; and the company’s CO2 emissions have fallen. In 2017 the company shipped 3,000 containers via combined road and barge transport, reducing CO2 emissions by 300 tonnes, compared with pure road transport. “BIG is committed to providing efficient and sustainable transport solutions,” explained Isabelle Vandamme, group supply chain & procurement director. “That’s why barge transport from RTW to Port of Antwerp is so important for us and will continue to be so in the coming years. In fact, our target is to increase barge use by 10 percent this year and barge capacity is planned to increase from 60 to 90 TEU.” Comparing average CO2 emissions per tonne/km, road transport emits 62g CO2/tonne-km, against 34g CO2/tonne-km using intermodal road and barge. RTW handled 15,000 TEU via barge in 2017, of which more than one-third (5,100 TEU) came from BIG. River Terminal Wielsbeke acts as BIG’s global inland hub, connecting the company to major shipping routes and destinations around the world via Port of Antwerp With more than 72 million tonnes, a record volume of goods was transported on Flemish waterways in 2017. This was an increase of 6.5 percent over the previous year. In terms of containers, a new best performance was achieved with 832,000 TEU, an increase of 11.5 percent on 2016. “Even though this sustainability programme is primarily the responsibility of our transport and logistics departments,” added Luc Speecke, chief operating officer, “we believe its success wouldn’t have been possible without the support of our entire organisation, and this philosophy carries through to the other sustainability programmes that we are currently investigating and testing. If these programmes prove to be as successful as we expect, we will shortly roll them out across the entire company.” • In Port of Antwerp, Antwerp Terminal Services began making up the planning for loading and unloading operations for barges in the PSA, DP World and MPET container terminals. The operation is done using the Quintic planning software and the BTS (Barge Traffic System) for berth reservation. Central barge planning and monitoring will ensure efficient, co- ordinated timing of loading and unloading, resulting in a planned sailing schedule for each barge, without conflicts, says Antwerp Port Authority. This will simplify and optimise the entire scheduling cycle. The central barge planning is closely involved in co-ordination between the deepsea terminals and consolidation hubs, thus helping to consolidate smaller container barge volumes. The project is being introduced in stages, with the aim of having 24/7 scheduling and monitoring of container barge operations by the end of the year. If the final evaluation is positive then the initiative will be further developed. Another initiative in port’s action plan for container barges, is the extension of the timeframe related to the reduced basic rate from 36 to 48 hours. This extension comes in response to demand from the container barge sector as barges have to wait longer in the container terminals before they can be handled, due to delays at the terminals. The new regime was introduced by the Port Authority on 11 September.