Northern Europe ECAs Yield No Competitive Advantage For Mediterranean Ports

A study commissioned by the Port of Rotterdam Authority and Deltalinqs that investigated the environmental footprint logistics chains in Europe has concluded that imposing a Sulphur Emission Control Area (SECA) on the Mediterranean will result in reduced emission of sulphur dioxide, but would also result in practically no changes to the market share of the various ports.

Researchers from Panteia, the company commissioned to conduct the study, called this a ‘quick win’ in the fight against air pollution.

Although air pollution is stricter in the North and the Baltic Sea with the implementation of Emission Control Areas (ECAs), southern ports where no such zone exists, the researchers believe that the southern ports do not gain any competitive advantage from this.

The study stated that northern ports have relatively low ecological footprints because large container vessels call there and a lot of the hinterland transport is done by inland shipping and rail and it is not purely down to the implementation of ECAs.

According to the study, a 20,000 TEU container ship will emit far less pollutants than a 10,000 TEU ship, with as much as a 50% difference rate.  The larger ships call more frequently at the large north European ports than the smaller south European ones, due to the more dense population of the north, reducing emissions.

However, the report showed that further improvements can be made by using liquefied natural gas (LNG) as fuel and making logistics more efficient through IT, which can reap up to 10% CO2 reductions.

The researchers of the study interviewed a number of shippers and logistics companies, revealing that price is the most important criterion but that service and reliability follow closely behind.  Sustainability was said to be a deal marker, but not a deal breaker yet.

The study concluded that legislation and incentives are vital to ensuring that logistics are made more sustainable and hence the role of port authorities, transport companies and governments is critical to encouraging or facilitating the use of alternative fuels such as LNG or biofuels, to stimulating inland shipping and rail, and developing IT solutions and other technical innovations to make logistic chains more efficient. 

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