Multi-year Expert Meeting on Transport, Trade Logistics and Trade Facilitation:

8th Session: Climate Change Adaptation for Seaports in Support of the 2030 Sustainable Development Agenda

27–28 October 2020

Ministry of Transport, Introduction and Trade Logistics

Presentation by

Dr. Mansour Alturki Deputy Minister for Planning & Information Ministry of Transport Saudi Arabia

This expert paper is reproduced by the UNCTAD secretariat in the form and language in which it has been received. The views expressed are those of the author and do not necessarily reflect the views of the UNCTAD.

Multi-year Expert Meeting on Transport, Trade Logistics and Trade Facilitation, 8th Session

Ministry of Transport, Saudi Arabia October 2020

ƒ Introduction ƒ Saudi Vision 2030 ƒ National Transport Logistic Strategy 2030 ƒ Ministry of Transport, Saudi Arabia

ƒ Transport logistics ƒ Successful Logistics Hub ƒ Strategic Objectives ƒ MOT Aim

Contents ƒ Saudi Vision 2030 ƒ National Transport Logistic Strategy 2030 ƒ Ministry of Transport, Saudi Arabia

Introduction

“MY FIRST OBJECTIVE IS FOR OUR COUNTRY TO BE A PIONEER AND SUCCESSFUL GLOBAL MODEL OF EXCELLENCE, ON ALL FRONTS, AND I WILL WORK WITH YOU TO ACHIEVE THAT.”

HRH KING SALMAN BIN ABDULAZIZ AL SAUD Custodian of the Two Holy Mosques “ All success stories start with a vision, and Successful Visions are based on Strong Pillars. ” HRH PRINCE MOHAMMED BIN SALMAN BIN ABDULAZIZ AL-SAUD

Saudi Vision 2030

Pillars

Our status as the Our leading investment Our strategic geographical heart of the Arab and capabilities position. Islamic worlds.

6 National Transport Logistic Strategy 2030

Sector’s aspiration translate into objectives and targets

Transform KSA into a Enhance financial and leading logistics hub Aspirations economical sustainability

Enable livability across Improve performance of the Kingdom public entities

7

MOT is positioned as the orchestrator for the entire sector

Oversight

ƒ Land borders

ƒ Logistics Hub

ƒ Logistics Services

ƒ Air

ƒ Sea

ƒ Rail Aviation ƒ Roads Regulators

8 MOT’s new mandate is centered around five pillars

ƒ Develops integrated sector ƒ Deploys strategy & ƒ Oversees capital ƒ Supports development of ƒ Acts as a legal one-stop strategy interfaces with regulators deployment plans and energy & environment shop for all sector players and key public sector partners manages ad-hoc requests preservation regulations ƒ Consolidates sector for transport infrastructure ƒ Identifies / mitigates key masterplans ƒ Manages and monitors MOT ƒ Supports development of issues facing the sector specific projects ƒ Manages MOT transport safety regulations ƒ Develops tools & data to representation across ƒ Identifies capability building support planning & strategy various boards ƒ Supports the development of opportunities technologies and tools ƒ Develops & manages ƒ Manages PPP/ PSP/ ƒ Shapes the development of strategic partnerships alternate funding and the logistics sector supports funding provision

Source: MOT NTLS

9

ƒ Successful Logistics Hub ƒ Strategic Objectives ƒ Maritime Trade ƒ Climate Changes ƒ MOT Aim

Transport logistics NTLS has developed an optimized multimodal transportation and logistics masterplan to be a key enabler to demand drivers

▪ Ports capacity will expand to enable O/D and T/S aspiration of building a global logistics hub

▪ Airports capacity will be upgraded mainly in JED & RUH.

▪ Rail routes emerge as priority links to be deployed.

▪ Focused interventions on Roads will be sufficient to serve traffic demand till 2030

▪ high-quality network of Logistic Zones/interfaces will enable intermodal interfaces, e-commerce and other future modes of trades

11

Successful Logistics Hubs

Main dimensions for successful hubs

Planning and interfaces

Digital integrated Capabilities platform Infrastructure

Scale

Ops. excellence Intermodal Communication operation

Regulations, licensing & documentation

12 Programs have been defined to deliver on strategic objectives

Our aspirations and strategic goals for 2030 Enablers

1 Position KSA as a global logistics hub Improve performance of public entities

2 Enable liveability across the Kingdom

3 Enhance financial and economic sustainability

Detailed Next 13

Programs have been defined to deliver on strategic objectives

A global Red Sea based Position KSA marine logistics hub, centred Two-hub, world-class, aviation around JIP/KAP as a global system, centred around two hubs in logistics hub RUH and JED

• Enhance capillarity and domestic Our connectivity, by deploying a aspirations targeted rail and hyperloop and strategic network, while improving quality of roads goals for 2030

• Enhance enablement Enable e-commerce and other ecosystem to improve future modes of trade by improving Kingdom attractiveness as intermodal interfaces and deploying logistic platform i.e. faster a high-quality network of logistic and cheaper to move goods zones/interfaces

14 Maritime trade accounts for +75% of non-oil trade value and is crucial for KSA logistics aspirations

West coast (Red Sea) 2017 GDP, USD bn East coast (Arabian Gulf) • In the West, KSA is Total GDP in West • East Coast growth is surrounded by relatively coast catchment area limited to Saudi O/D small economies with low volumes as most of the Iraq trade volumes, although Iran GCC T/S volumes are USD 496bn 198 they lie on an important Kuwait captured by competing global shipping route Jordan 440 ports with ambitious 120 40 growth plans Bahrain UAE Egypt 35 Qatar Pakistan 383 235 168 305 KAP Oman 73 Sudan JIP 118 Yemen Eritrea Total GDP in East 3 18 coast catchment Djibouti area 2 USD 1,720bn Ethiopia

81

15

Kingdom’s ports will accommodate all transportable types

Current ports network (2019), mil TEU Ports specializations

Multi-purpose ports ƒ Islamic Port – Strong container and T/S component Mixed Port ƒ Dammam port Mixed Port Dry Bulk ƒ Duba port 1 Ras Al- Duba 1 Khair Jubail Bulk Container ports ƒ King Abdullah Port – Largely T/S dedicated, with minor capacity for cargo Yanbu Dammam ƒ Yanbu Commercial port (minor and part of the Yanbu port complex) Mixed Port ƒ Jubail Commercial port (minor and part of the Jubail port complex) KAP Containers hub w/ Bulk (liquid and dry) ports some bulk and cargo ƒ Yanbu industrial port (liquid and dry bulk) JIP ƒ Jubail industrial port (liquid and dry bulk) Bulk ƒ Ras Al Khair port (dry bulk) Jizan ƒ Jizan port (dry bulk and cargo mostly)

16 Programs have been defined to deliver on strategic objectives

One of the safest transport Enable systems globally building on One of the most environment world-class infrastructure, liveability friendly systems globally building strict regulations and a across the on strict regulations and a safety-culture sustainability-oriented culture Kingdom

Kingdom’s main cities, amongst Our least congested cities globally, aspirations enabled by smart-infrastructure and strategic and tech-enabled PT goals for 2030

Leading practices in customer experience in rail and public transportation to attract passengers from different modes, thereby reducing congestion and emissions

17

MOT is committed to decrease the CO2 emission and fuel consumed by passenger cars which have direct impact on climate change

There are 3 main strategic steps that KSA can take to reduce this Millions of tones of CO2 from passenger cars in KSA, holding 2018 fleet emissions steady 22 22 20 +26.9% 18 17

0 Shape consumer 2018 2030 behaviour to shift from passenger cars Electrify the public to alternative means Billions of liters of fuel consumed transport system, of transport by passenger cars in KSA, holding i.e., bus fleet 2018 fleet emissions steady

Shift new passenger 10 9.4 car sales towards 9 electric models +26.9% 8 7.4 7 0 2018 2030 18 MOT is committed to decrease the CO2 emission and fuel consumed by passenger cars which have direct impact on climate change in affirmative way.

MOT aim meets UNCTAD aim to translate ambitious targets into action and focus on the important issue of climate change adaptation to achieve a better and more sustainable future for all by 2030.

MOT Aim

UNITED NATIONS CONFERENCE ON TRADE AND DEVELOPMENT PROSEPERITY FOR ALL

Ministry of Transportation, Saudi Arabia

Ministry of Transportation, Saudi Arabia October 2020

Thank you

*References Available Upon Request.