PORT OF AMSTERDAM ANNUAL REPORT 2016
Full steam ahead GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS Contents 2
General Foreword Directors 3 Port of Amsterdam Profile 6 The market 9 Full steam ahead 16
Value How do we create value for our stakeholders 24 Sustainability 38 Lessons learned in 2016 44
Financial results 45 Governance Organisation 49 Risk Management 51 2016 Annual report Supervisory Board Report 57
Financial statements 61
Other information 93 GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS Foreword directors
Last year was a year of change for us. In 2015 we made At the start of the year we firmed up our strategic plan, placing an emphasis on ten strategic key objectives. We know exactly what we want to do and achieve with these projects. This has created 3 a number of decisions and plans; in 2016 we started to much more clarity – the port transition as outlined in our Vision 2030 is actually taking shape. We are firmly committed to initiatives that improve quality of life, sustainability and the circular economy of implement them. the city and the port region.
In the meantime, last year was marked by unpredictability and market fluctuations driven by Our responsibilities include providing 1,349 companies (including 710 port-based businesses), surprising political developments in the form of Brexit and the US presidential elections. which together contribute 67,335 jobs, with excellent port infrastructure such as quays and rail We monitor such changes and trends in the market and society closely as they can affect our connections. Every year the companies in the Amsterdam port region (North Sea Canal Area, business operations and the port region. Meanwhile we continue to move full steam ahead in the NSCA) contribute 6.6 billion euro in added value to the Dutch economy, of which 4 billion is pursuit of our goals. generated by the port of Amsterdam. Whereas a port’s performance is traditionally measured in tonnes, we now also look at the added value of the port activities. Nevertheless, attracting cargo Our organisation started to implement its plans in 2016, as well as commencing work on to our port remains an important task for us as a company. After all we are still an international the construction of the new sea lock at IJmuiden. A major step towards creating new growth hub and logistical lifeline to the Dutch and European hinterland. Around three quarters of our opportunities for the region. transhipment comes from the energy cluster. These tonnes generate direct income that pays for our infrastructure, whilst the surrounding industry is a large source of employment. Encouraged by sustainability objectives and for economic reasons, the Port of Amsterdam has started to transform its port with initiatives that create new added value for the metropolitan region.
So that the port can continue to grow. The accelerated energy transition is being carried out in 2016 Annual report collaboration with the terminals by on the one hand creating physical space and on the other hand Michiel de Brauw, CFO: establishing a loyal base of start-ups and scale-ups that offer diversification and innovation aimed “We know exactly at circular and biobased activities. Excellent examples, described in greater detail later in this what we want to do document, include the arrival of super yacht builder Royal Van Lent-Feadship and our innovative and achieve with our Prodock testing ground. 10 key objectives.”
The transition must take shape over the coming years with the help of investment in technology and sustainability. This is how we aim to meet our strategic key objectives, by focusing on the circular economy with innovative, biobased companies. In 2016 we received an SDE+ (Renewable Energy Incentive) grant to install the first 19,000 square metres of solar panels on our roofs in the port area. GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
This marks the first step towards achieving our goal of 100,000 square metres of solar panels by 2020. In December we also bought a 50/50 interest in a wind farm in the port of Amsterdam. “Encouraged by 4 Over the next few years we will work with our customers to achieve the most effective transition to sustainability objectives cleaner fuels. It will take time for this change to become successful. The transition from an economy that still largely depends on fossil fuels to one that can operate on an entirely sustainable and circular basis will be a gradual process. and for economic reasons,
Our commitment to sustainable development extends to the very core of our organisation. the Port of Amsterdam Sustainability and circularity are an important part of our strategy. By pursuing these goals we are contributing directly towards the sustainability objectives of the city and the port region. has started to transform Our sense of social responsibility is not limited to issues of sustainability, but also applies in a broader sense to the chain in which we are active. We aspire to be a port where ‘morally clean’ raw its port with initiatives materials and goods are shipped, which are extracted or produced with respect for people and the environment. In the last year we have invested a great deal of energy in providing insight into our role within the commercial chain. These efforts will form the basis for the broader development of that create new our chain policy in 2017. added value for
Our relationship with the city continues to play an essential role in all changes that affect our 2016 Annual report activities. For example in the Municipality of Amsterdam’s desire to relocate the Amsterdam the metropolitan Passenger Terminal (PTA) and to construct a bridge over the IJ. Amsterdam is growing and needs to take all necessary steps to steer this growth in the right direction with new homes and excellent region.” logistics. We recognise the developments in the city and, like the municipality, acknowledge the need for improved river bank connections. The safe and unobstructed passage of shipping traffic via the IJ is a key precondition, as is the space to continue to develop as a port and contribute towards the development of the Amsterdam Metropolitan Region. In other words: we welcome each and every decision that supports the positive development of both the city and the port, and takes into account the interests of shipping traffic.
KOEN OVERTOOM, CEO GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
In the meantime we are working to make our organisation more flexible and more efficient, The port of Amsterdam has grown to become what it is today over a period of 700 years. We are first and foremost through greater investment in IT and process digitisation. The guiding factor extremely grateful to Dertje Meijer for everything she has done for the port authority over the past 5 in these efforts is not just financial return, but also the positive impact on sustainability and fifteen years, seven of which were spent as Managing Director and CEO. The port will look very society. We expect our revenue to remain stable over the coming years. However, our future different over the coming decades. In the meantime our aim is to maintain the attraction of, and quality dividend agreements with our shareholder will need to take into account the corporation tax to be of life in, the port area for its inhabitants and visitors, and to continuously innovate to ensure a smarter, introduced for all sea ports in the Netherlands from 2017. faster and cleaner response to the requirements of our customers and our environment.
The organisational structure has changed since Dertje Meijer’s departure on 1 August 2016. Based on this new setting, we look forward with high levels of ambition and energy to the opportunities and challenges in 2017. We are proud of and grateful for the dynamic and enthusiastic way in which our workforce is taking this exciting organisation forward; working together to create a Koen Overtoom, CEO: “Our relationship with bright, sustainable future. the city continues to play an essential role in all changes that affect our activities.” The Board of Directors of Havenbedrijf Amsterdam N.V. (Port of Amsterdam) Koen Overtoom Michiel de Brauw
30 March 2017 2016 Annual report GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS Port of Amsterdam
Optimising the links between these three elements leads to collateral benefits, synergy and innovation. profile 6 From its strategic central location in Europe, the port ‘Vision 2030’ was produced in collaboration with our stakeholders, including the port’s business community, knowledge institutes, interest groups, NGOs and the government. A medium-term of Amsterdam is a key international logistics hub. vision was chosen based on the fact that the world is rapidly changing. The port must be able to adapt quickly and respond promptly to new developments and innovations. The port provides facilities for the transport, storage 5 CLUSTERS and handling of a wide range of goods. As a port To ensure the most effective approach to the market, our Commercial Sector works with five authority we have three main tasks: clusters: Energy, Logistics, Minerals, Recycling & Agribulk, Real Estate & Cruise. The clusters are a logical combination of chains and represent key economic sectors in the Netherlands and the rest 1. Optimisation of the provision of services and the business climate in the port region; of the world. They strengthen the port of Amsterdam’s national and international position and 2. Construction and maintenance of the infrastructure, renovating the port and managing the encourage potential synergies between the parties. Westpoort Amsterdam port area; 3. Promoting swift, safe and environmentally benign handling of shipping traffic from 12 miles 3 ROLES off the coast at IJmuiden to the Oranje locks, partly through legislation and enforcement.
This task has been assigned to us by the Central Nautical Management (Centraal Nautisch To boost innovation and promote synergy between the clusters (port), industry (region) and 2016 Annual report Beheer, CNB). services sector (city), we have defined three roles:
CITY, REGION AND PORT • Marketmaker: Strengthening the port’s five clusters by facilitating customers and laying top-class foundations at a nautical, infrastructural and commercial level (space, accessibility, In the report entitled ‘Vision 2030’ we described how the port aims to develop in the medium safety, efficiency, business climate); term up to 2030. The Amsterdam port region is a dynamic metropolitan port that combines • Matchmaker: Connecting people, ideas, flows, processes and sectors, to create synergy and the forces of the three strong elements at the very heart of Amsterdam: port, city and region. innovation throughout the chain and the region; Respectively, they represent a major logistics hub that acts as a key gateway to Europe for raw • Co-creator: Achieving innovations that improve the port, by developing, participating and materials and goods, a multifaceted urban services sector, and an industrial hotspot that is home investing as a partner. to a leading food sector, steel production industry and high-quality manufacturing companies. GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
VALUE CREATION INFORMATION 2015 2016 Port of Amsterdam’s net result in €m 52.58 71.9 7 We seek improvements and alternatives by engaging in positive, constructive dialogue with Revenue (m) 146.81 149.14 our customers, civil society organisations and authorities. We aim to translate opportunities % Non-fossil revenue 57% 55% into business by making it possible as a network port to quickly bring together the right people, Port ranking in Western Europe 4th 4th organisations and knowledge. Market share Hamburg Le Havre-range 7.9 7.8
Added value (port-based) in NZKG (in bn) 6.623 7 We work with our customers to create a sustainable port that has a minimal impact on the Added value (port-based) in NZKG, of which direct (in bn) 4.038 4 environment and that attracts sustainable innovations. This also means greater added value for the Added value (port-based) in NZKG, of which indirect (in bn) 2.585 - region, and more employment. We pursue our mission to create ground-breaking value based on 659 710 five sustainability themes. Port-based companies in NZKG Number of companies in the Westpoort port area 1,240 1,349
Total jobs 67, 335 -
Indirect jobs 32,862 -
Direct jobs 34,473 -
Customer satisfaction (figure) 7.1 7.4
Number of innovative start-ups in the port 0 5
Total ESI discounts in € 159,784 219,826 Annual report 2016 Annual report Ships with environment-related (ESI) discount (%) 15% 17%
Number of employees 374 375 2,187 2,122 Port of Amsterdam’s CO2 footprint (in tonnes of CO2) -7.5% -3% Reduction in CO2 compared to 2014 (%)
WATCH ON YOUTUBE http://bit.ly/2nqMNSh GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
PORT-RELATED NUMBER OF JOBS PROMOTING CLEAN % OF SEAGOING VESSELS WITH AN PORT OF AMSTERDAM’S EMPLOYMENT IN NORTH SHIPPING ENVIRONMENTAL (ESI) DISCOUNT NET PROFIT SEA CANAL AREA TOTAL: DIRECT: 2015 2016
2014 2014 15% 17.0% 68,335 34,157 8 TOTAL ESI DISCOUNTS IN € 2016 2016 2015 2015 2015 67,335 34,473 159,784 219,826 € 71.9 MLN
4TH PORT IN WESTERN CUSTOMER INNOVATIVE NEW NUMBER OF EMPLOYEES EUROPE SATISFACTION SCORE BUSINESSES (START-UPS) IN THE PORT
AANTAL MEDEWERKERS 2014 2016 358358374 375 7.1 7.4 2013 2014 2015 2016
5 2016 Annual report
FOOTPRINT 2016 REVENUE IN MILLIONS PORT-RELATED ADDED TOTAL DIRECT MARKET SHARE EMISSIONS IN TONNES OF VALUE* IN NORTH SEA HAMBURG-LE HAVRE-RANGE CARBON DIOXIDE CANAL AREA (IN € BILLION)
2015 6.6 4.0
2122 2016 7. 0 4.0 2015 2016 2015 2016 REDUCTION 3% 146.81 7.9 COMPARED TO 2014 149.14 7.8 GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS The market
As a port authority our market consists of shipping ENERGY AGREEMENT 9 (handling, sea and river cruises), various companies 2016 witnessed a key development in the energy industry that has a direct impact on the port. The Energy Agreement signed in 2013 was reviewed, and additional resolutions adopted in located in our port area and their customers. order to meet the agreed objectives for 2020. Central government aims to ensure that 14% of all energy we use in the Netherlands comes from sustainable sources by 2020. One of the effects of Although the economy grew in 2016, further pressure these measures is a mandatory energy saving target for energy-intensive industry that will enter into force on 1 January 2018. According to the Energy Agreement Progress Report, presented was placed on the competitive position of mainly in December 2016, greenhouse gas reduction will increase to 25% by 2020 compared to 1990, complying with the Urgenda judgment3. fossil fuel-dependent companies. We are therefore (In the Sustainability section of this annual report we will focus on the consequences of the accelerating the energy transition in collaboration Measures for the operation of our customers and the port in general.) with the terminals and creating space for activities There has been much talk about the closure of the coal-fired power stations in the Netherlands and how this will contribute towards achieving the country’s climate objectives. Unfortunately there that contribute towards a sustainable and circular was no government decision on this matter in 2016, leading to uncertainty for companies and employees. economy. By creating physical space we are also 2016 Annual report attracting new cargo flows and manufacturing companies.
3 Source: rijksoverheid.nl GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS 10
INFORMATION 2014 2015 2016 TRANSHIPMENT Transhipment in Amsterdam (m tonnes) 79.8 78.6 79.2 Growth of transhipment in Amsterdam in % 1.70% -1.60% 0.90%
The total transhipment in the sea ports in the North Sea Canal Area (the ports of Amsterdam, Container cargo in tonnes per TEU (Amsterdam) 11.1 11.9 11.8 IJmuiden, Beverwijk and Zaanstad) grew by 1.0% to 97 million tonnes in 2016. Transhipment Transhipment in Velsen IJmuiden (m tonnes) 17.5 16.8 16.8 in the port of Amsterdam rose in 2016 by 0.9% to 79.2 million tonnes. The total in 2015 was Transhipment in Beverwijk (m tonnes) 0.239 0.3 0.7 78.6 million tonnes. In IJmuiden transhipment remained the same at 16.8 million tonnes, Transhipment in Zaanstad (m tonnes) 0.232 0.3 0.2 Beverwijk saw a rise in transhipment to 700,000 tonnes (+133%), and in Zaanstad transhipment Transhipment in NZKG (m tonnes) 97.8 96.0 97.0 fell to around 200,000 tonnes (-33%). The increase in Amsterdam was largely due to a 5% higher transhipment of other dry bulk (including ores and fertilizer) in 2016: 8.7 million tonnes Growth of transhipment in NZKG in % 2 0 1 compared to 8 million tonnes in 2015. Transhipment of petrol and diesel rose by 8.1% to 42.6 Imports into Amsterdam (m tonnes) 52.94 50.91 49.06 million tonnes, while transhipment of agribulk fell by 14% to 6.4 million tonnes. Transhipment Exports from Amsterdam (m tonnes) 26.85 27.64 30.27 of containers remained unchanged in 2016 compared to 2015 at 600,000 tonnes (TEU 51,475). Share of AMR cluster (% of total transhipment) 19 18 17 2016 Annual report Ro/Ro, vehicles and other mixed cargo fell from 2.2 million tonnes to 1.7 million tonnes. In 2016 a Share of GCL cluster (% of total transhipment) 4 4 4 further net 9.7 hectares of land was issued to companies in line with our forecast. Share of energy cluster (% of total transhipment) 77 77 79
Cargo lightering at IJ piles in Velsen (m tonnes) - 1.7 2.1 In the first half of the year transhipment in Amsterdam declined by a further 7% compared to one year previously. This was largely due to the fact that coal deliveries dropped by more than a quarter as the result of a sharp fall in the price of coal. Cargo owners therefore decided to first use up their available stocks before building up new coal reserves. The price of coal rose again in mid-2016 and with it coal transhipment, however coal transhipment ultimately fell overall across the year by 6.3% to 16.3 million tonnes. GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
OIL PRODUCTS IMPORTS (IN MILLIONS OF TONNES) 2015 17.3 2016 17.6
EXPORTS (IN MILLIONS OF TONNES) INFORMATION 2015 2016 Import of coal (m tonnes) 16.5 15.8 2015 22.2 2016
24.9 11 Export of coal (m tonnes) 0.9 0.5 TRANSHIPMENT (IN MILLIONS OF TONNES) Coal transhipment as % of total transhipment in Amsterdam 22 21 2015 39.4 2016 Transhipment of oil products in Amsterdam (m tonnes) 39.4 42.6 42.6 Export of oil products (m tonnes) 22.2 24.9
Import of oil products 17.3 17.6
Transport from or to NZKG of coke and coal 21.5 20.0 IMPORT INTO PORT COAL Total allocated at year end 1288.2 1293.3 OF AMSTERDAM Gross allocation of plots (ha) 21.9 12.3
Net allocation of plots (ha) -0.6 9.7
Land ready for allocation (ha) 1,609.40 1,610.7
Repossessed plots (ha) 22.50 2.6
Strategic stock of plots at year end 321.2 316.2 2015 2016 Strategic stock of plots 16% 19% 50.8 Intensification of revenue (tonnes/m²) 8.5 8.5 49.0 Increase in port tariffs in % 1.1 0.7 IMPORTS (IN MILLIONS OF TONNES) 2015 2016 2016 Annual report Total ESI discounts in € 159,784 219,826 16.5 Ships with environment-related (ESI) discount (%) 15 17 CONTAINER TRANSHIPMENT 15.8 Number of innovative start-ups in the port 0 5 EXPORTS (IN MILLIONS OF TONNES) 2015 2016 0.9 0.5 TRANSHIPMENT IN % OF TOTAL TRANSHIPMENT – AMSTERDAM 11.8 2015 2016 22% TONNES PER TEU 21% GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
TRANSHIPMENT IN NORTH AMSTERDAM BEVERWIJK IJMUIDEN ZAANSTAD LAND ISSUE GROSS (IN HECTARES) SEA CANAL AREA 2015 78.6 2016 (IN MILLIONS OF TONNES) 79.2 2015 21.9 2016 12.3
NET (IN HECTARES) 2015 96.0 +0.9% +133% 0% -33.0% 2015 2016 9.7 -0.6 12 2016 97.0 2015 2016 16.8 16.8 ISSUABLE LAND (IN HECTARES) 2016 2015 2016 2015 2016 DIFFERENCE +1% 0.7 2015 0.2 1,609.40 1,610.7 0.3 0.3
RECLAIMED LAND
2015 22.5 2016 2.6 PROMOTING CLEAN EXPORT FROM PORT IN MILLIONS OF TONNES SHIPPING OF AMSTERDAM STRATEGIC STOCK OF LAND AT YEAR-END 2015 2016
2014 2015 321.2 2016 316.2 15% 27.60 17.0% STRATEGIC STOCK 2015 OF LAND 30.20 2015 16% 2016 19% % OF SEAGOING VESSELS WITH AN ENVIRONMENTAL (ESI) DISCOUNT Annual report 2016 Annual report
INNOVATIVE NEW BUSINESSES AGRIBULK, GENERAL CARGO & (START-UPS) IN THE PORT MINERALS & LOGISTICS SHARE PER ENERGY RECYCLING (INCL. FOOD) CLUSTER (% OF TOTAL TRANSHIPMENT) 79% 17% 4% 5 GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
Jeroen Brauns, Managing Director of VCK Port Logistics: “All Weather Terminal 4 is an appropriate continuation and further innovation of a concept made possible by our partnership with the Port of Amsterdam. What we started as pioneers in Europe has resulted in a unique combination of facilities.” RECORD NUMBER OF RIVER CRUISES 13 A record number of river cruise ships visited the port of Amsterdam in 2016. After the previous record was smashed in 2015, the number of calls rose again in 2016 to 1,876. To relieve the pressure on the city and improve the regional offering, additional berths were created for river cruise ships in May in collaboration with the Municipality of Zaanstad. As the existing jetty in Zaanstad was The terminal of oil company BP was sold in 2016 to Zenith Energy, a Canadian oil and gas not long enough to accommodate river cruise ships, work was carried out to extend it. Shore- company. The transfer took place on 1 April. Zenith Energy then immediately started to upgrade based power was of course also installed here. the existing terminal; a huge operation for which 400 employees are deployed every day.
In April the VCK Group, a customer that has been established at the port for over 100 years, commenced construction of the fourth All Weather Terminal. Sea-going vessels carrying weather-sensitive freight will be able to transfer their cargo dry to other modes of transport in all weather conditions at the new terminal. The terminal will be operational from 2017. The VCK Group will then have a covered transhipment capacity of 1.5 to 2 million tonnes.
SHIPBUILDING
Royal Van Lent-Feadship has started to set up in the Moezelhaven, at the location previously 2016 Annual report occupied by steel company ODS. The arrival of this super yacht builder will bring significant added value to the port in the form of job opportunities. The construction work is scheduled for completion in two years’ time. Royal Van Lent-Feadship is expected to offer employment for around 300 people and the first yacht is expected to be produced in four years’ time. The yacht- building industry appears to be shifting slowly but surely from southern Europe to more northern ports. With its central location, Amsterdam seems to offer an attractive alternative, which also presents opportunities for the future provision of maintenance and repair services in the port of Amsterdam. GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
SUSTAINABLE DEVELOPMENTS INFORMATION 2015 2016 Number of sea cruises calling in Amsterdam 139 125 14 Our customers took steps towards cleaner shipping in 2016. One example is the new sea-going Number of sea cruises calling in IJmuiden 43 32 vessel the Fure West, a chemical and oil tanker owned by Swedish shipping company FureTank, Number of river cruises calling in Amsterdam 1,769 1,876 which last year became the first sea-going vessel in Amsterdam to bunker LNG (liquefied natural Number of river cruises calling in Zaanstad 0 66 gas). The ‘truck-to-ship’ bunkering was carried out safely at the Green Quay in the Amerikahaven. Sea cruises in Amsterdam and IJmuiden 182 157 Inland vessels have been able to bunker LNG in the Amerikahaven since 2013, and in 2016 this River cruises in Amsterdam and Zaanstad 1,769 1,942 option was also introduced for sea-going vessels. The new facility is part of our sustainability Sea cruise passengers in Amsterdam 280,169 281,907 agenda. Sea cruise passengers in IJmuiden 0 52,581 4 47,420 467,000 Rietlanden Terminals marked another first in 2016 as the first company in the Amsterdam port River cruise passengers in Amsterdam and Zaanstad area to use GTL (gas to liquids) fuel for its floating cranes. This fuel, made of natural gas, replaces Sea cruise passengers in the region 280,169 329,581 sulphurous diesel fuel and is therefore much cleaner. With a terminal that consumes three million Nautical accidents 44 44 litres of fuel each year, this will make a massive contribution towards making the company and its Of which significant 21 11 environment more sustainable. Groundings 4 8
Number of security plans (out of 90) tested in relation to the European regulation 34 34 CONSTRUCTION PROJECTS IN THE MINERVAHAVEN AREA Security plan compliance inspections 151 243 Dynamic turn around time in minutes 239 231 Work has started on the development of an area that offers added value for everyone in the 2016 Annual report Number of ship movements in the North Sea Canal Area 16,341 16,599 Minervahaven. For a long time, this port functioned as a buffer zone between the emerging Number of ship visits to Amsterdam 4,876 4,748 housing and the port operators. It currently forms a natural link between the residential and the Number of ship visits to NZKG 7,162 6,982 working environment. 2016 saw the start of many construction projects on plots that had already 35,755 31,203 been allocated. The Phillips-Van Heusen Corporation (PVH), one of the world’s largest clothing Total number of ships passing through the lock companies incorporating brands such as Tommy Hilfiger and Calvin Klein, has already set up business in the Minervahaven. As a result this zone is creating value for the city in the form of jobs and as a recreational area, amongst other things through the creation of a range of catering facilities. GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
PORT SECURITY DYNAMIC NAUTICAL ACCIDENTS SEA CRUISE ARRIVALS AMSTERDAM TURNAROUND-TIME 2015 2016 139 125
IJMUIDEN 15 2015 2016 2015 2016 239MIN MIN NUMBER OF INSPECTIONS 231 TOTAL: 43 32 OF COMPLIANCE WITH SECURITY PLANS 2015 2016 2015 2016 44 44 SHIPPING MOVEMENTS IN RIVER CRUISE ARRIVALS NUMBER OF SHIP VISITS 151 243 THE NORTH SEA CANAL OF WHICH SIGNIFICANT AMSTERDAM AND ZAANDSTAD NUMBER OF SECURITY PLANS 2015 2016 TESTED FOR COMPLIANCE WITH EUROPEAN REGULATION 21 11 2015 2016 RUNNING AGROUND 2015 2016 2015 2016 2015 2016 34 34 1,769 OF 90 OF 90 16,341 16,599 4 8 1,942 Annual report 2016 Annual report AMSTERDAM
NUMBER OF SEA CRUISE AMSTERDAM NUMBER OF RIVER CRUISE TOTAL NUMBER OF SHIPS 2015 2016 PASSENGERS PASSENGERS AMSTERDAM ACCOMMODATED AND ZAANSTAD 4,876 4,748 2015 2016 NSCA 280,169 281,907 2015 2016
2015 2016 2015 2016 7,162 6,982 447,420 467,000 35,755 31,203 GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS Full steam ahead
As an organisation we recognise the importance Division is responsible day and night for shipping traffic management, operation of the locks in IJmuiden, inspections to assess compliance with safety and environmental regulations, and 16 of our scope for action; our goal is to always be the monitoring and enforcement of nautical legislation. It also grants exemptions and licences, provides nautical advice and develops new regulations. The Harbour Master’s Division carries able to anticipate and adapt to unexpected market out these public duties for various contracting authorities: the Ministry of Infrastructure and the Environment, the Directorate-General for Public Works and Water Management, the Central developments. Our strategy focuses on further Nautical Management for the North Sea Canal Area (CNB) and the Municipality of Amsterdam. Marleen van de Kerkhof manages the Harbour Master’s Division as the Director of the CNB. strengthening the organisation and creating value for PORT SAFETY NAUTICAL ACCIDENTS the port area as a whole.
As described in our ‘Vision 2030’, the Amsterdam port region aims to become a dynamic metropolitan port that combines the forces of three strong elements: the world-class logistics hub, NUMBER OF INSPECTIONS the first-rate regional industry and the multifaceted urban services sector. We aim to continue OF COMPLIANCE WITH TOTAL: to develop the port over the coming years to create an integrated maritime industrial hub where SECURITY PLANS 2015 2016 2015 2016 raw materials, goods, waste streams, data, people and ideas will be brought together, where new technologies will be given a chance, where there will be room for experimentation, and that 151 243 44 44 benefits the Amsterdam Metropolitan Area. 2016 Annual report
24/7 STRATEGIC GOALS
The key precondition for this development In 2015 the foundations were laid to translate our Vision 2030 into specific strategic objectives. is that the port is available and active for Our strategic plan was fleshed out at the start of 2016 with three strategic goals that will help us shipping 24/7. Together with the North move the port full steam ahead towards our vision. Sea Canal, the IJ is the lifeline to our BEKIJK OP YOUTUBE hinterland. To safeguard the safe, swift The first strategic goal is to strengthen the existing commercial clusters, the second to establish and environmentally responsible handling Amsterdam as a preferred port, and the third to promote diversification and innovation. of shipping traffic, the Harbour Master’s http://bit.ly/2jqEqXU GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
Innovation enables us to adopt a smarter and more efficient approach to developments and changes. Robotisation, sensor technology, automation and digitisation of logistics will have a 17 major impact on our port in the future. We are looking on a small scale, often based on a problem experienced by an internal or external customer, at potential applications of these innovative developments and digitisation. We then start the procedure together with the customer and, if it proves successful, we implement and scale up the solution. This is one of the ways we are working to make the port future proof.
Our strong position as a logistics hub means that we form the basis for a great deal of activity. A large proportion of our transhipment volume (79%) – and therefore our income – was generated by the port area’s coal and oil terminals in 2016. We support our customers who actively pursue their goals in these areas, and also aim to diversify; by actively targeting new segments we are becoming the port described in our Vision 2030. Thanks to new technologies and other, circular the signature in late 2016 of an agreement with Eneco to supply the electricity we generate via our or biobased, innovations our port is becoming more future proof: a port area that is becoming ever wind turbines and solar panels via a software platform to companies in the port area from 2017. faster, smarter and cleaner. This will make it possible to share any surplus energy generated. We coordinate local energy generation and consumption via a local market place using this ‘smart grid’. This means that the THE TEN STRATEGIC KEY OBJECTIVES Amsterdam port area offers extra added value, particularly for companies that carry out a lot of cooling and freezing activities.
Our strategy for 2017-2021 (‘Smarter, faster, cleaner’), approved by the Supervisory Board in 2016 Annual report October 2015, identifies ten strategic key objectives. In 2016 we started to translate these projects 2. GREENLANE FOR PERMITS [VIEW ANIMATION] into actual practice. Innovative, circular initiatives in particular are often faced with long permitting procedures. This project, launched in 2016, will accelerate the permitting process for these UPSCALING OF SUSTAINABLE ENERGY [VIEW ANIMATION] companies. As customers have an interest in a smooth and clear permitting and renewal procedure Sustainable energy is one of our five sustainability themes: we aim to play an active role when setting up business or expanding their activities, we are reaching agreements with the North in the energy transition by increasing our capacity to generate and store sustainable Sea Canal Area Environmental Department and our customers. Smarter and faster wherever energy. By also using smart software to better coordinate demand and supply, energy costs are possible! The Greenlane project has led to three new customer-focused elements: greater reduced for companies and residents in the Amsterdam Metropolitan Region (Metropoolregio exchange of information, process integration (resulting in time savings and better quality of Amsterdam, MRA) creating more favourable conditions for establishing businesses. This information exchange) and a leaflet that provides customers with a guide to ensuring a smoother strategic project, which was launched in 2016, covers a number of developments. They include permitting process. GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
3. AVERIJHAVEN[VIEW ANIMATION] 7. PLUG & PLAY PLOTS [VIEW ANIMATION] In order to pass through the sea lock, vessels must be positioned no deeper than 13.75 The construction of ‘plug & play’ plots and quays allows customers to set up business 18 metres. We want to introduce a quay and mooring on the seaward side of the locks quickly and immediately commence their activities. This project, aimed at customers at IJmuiden where sea-going vessels can lighter their bulk cargo. The large vessels will then be that do not require a long-term environmental permit, is designed to intensify utilisation of the positioned higher in the water and will be able to proceed through the lock to Amsterdam. The available space in the port area. The first two ‘turn-key’ plots were made available in 2016. quay will also enable us to offer a better service to the offshore ‘wind’ and ‘oil/gas’ sector, helping to diversify port activities.. 8. PORT UTILITIES COMPANY [VIEW ANIMATION] We are analysing how we can better safeguard the capacity required for nautical 4. DIGITAL PORT [VIEW ANIMATION] services in the long term. This includes a specific focus on the capacity of towing The essence of Digital Port is that we use developments in digitisation to work in the services and collaboration in the PPS Safe Port initiative. We will then implement the most efficient and customer-focused manner possible. Taking advantage of digital data most effective options. and collaborating with our customers in a digital environment enables us not only to strengthen our own organisation, but also to improve our customers’ logistics processes. In doing so this 9. RAIL SERVICE CENTER [VIEW ANIMATION] programme contributes towards our diversification objective, namely to strengthen clusters and With the Rail Service Center we aim to further strengthen the port’s logistics hub networks and to establish a preferred port. function by making better use of existing rail facilities. In this context we act as a matchmaker between shippers and logistics service providers, in order to combine cargo flows and 5. CRUISE MARKET PROGRAMME [VIEW ANIMATION] set up new shuttle services from the Rail Service Center. With this project we aim to realise our growth ambitions for sea and river cruises. Following completion of the new sea lock in 2019, even the very largest cruise ships 10.ATTRACT GAMECHANGERS [VIEW ANIMATION] 2016 Annual report will be able to access the city. We are also making further investments in infrastructure such as To guarantee the long-term continuity of our port authority, we actively focus on terminals and terminal buildings, taking into account potential plans for bridges over the IJ. attracting start-ups and scale-ups that ensure greater diversification in our port. As part of this project we look at what facilities we can offer these companies, for example at our Prodock 6. BIOBASED AND CIRCULAR ECONOMY test site and in terms of financing. [VIEW ANIMATION] The supply of fossil fuel is finite. Our goal is to allocate 25 hectares of land in the port These ten strategic key objectives, on top of our existing and usual activities, should lead to extra to new biobased and circular activities by 2020. We are working in close collaboration with the revenue and greater scope for action. As the world can change suddenly and rapidly, however, scientific field and innovative companies in the chemical manufacturing industry to research and we also need to be capable of a flexible response. Our focus lies on our ten strategic key objectives, test new possibilities in this field. but our priorities may change where specific developments impact on the implementation of these projects. GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
THE POWER OF COOPERATION On top of this, based on our partnership with the Municipality of Zaanstad we have rented a plot on the port-based HoogTij site in Zaandam, in order to construct a quay for companies that want 19 Cooperation with our stakeholders is essential to achieving the goals we have set ourselves. For to set up business there on a ‘plug-and-play’ basis. the various market clusters we enter into smart partnerships and we work on networks aimed at knowledge sharing, synergy and combining capacity for innovation, thus creating value for the During 2016 we also agreed rules with lock users regarding cooperation in relation to the metropolis as a whole. Noordersluispassage at IJmuiden. Dynamic lock planning using a lock planning module has made this process more transparent, which should lead to optimal lock capacity utilisation. The central theme of the second Port Conference organised by the Municipality of Amsterdam, Oram, the Greater Amsterdam Employers Service Point and ourselves was therefore ‘Working Along with Albeton we have invested in a structure to cover the concrete firm’s conveyor belt in together on innovation’. The conference took place in Prodock on 8 November 2016 and was the last year. This has helped to significantly improve quality of life by lowering sound and dust attended by more than 100 participants. emissions and made an important contribution to meeting our best-efforts obligation to reduce the noise contour on the Hembrug site. The decision has also been taken to replace the diesel crane In addition to the previously mentioned collaboration with the Municipality of Zaanstad in in 2017 with a cleaner electric crane. relation to river cruises, we have also intensified our collaboration with the Port of Rotterdam Authority in the last year. After joining the HaMIS (Harbour Master Management Information REPUTATION SURVEY System) in 2015, we have helped to develop this system further in 2016. We have also started to harmonise our other harbour master processes wherever possible. The ‘Melding Schip 2.0’ service What is the Port of Amsterdam’s reputation from the perspective of its different stakeholders? In enables shipping agents in Amsterdam and Rotterdam to make reports according to a standardised late 2015 we commissioned Bureau Hofkes Reputatiemanagement to carry out our first reputation procedure, making the process clearer and more efficient. survey. Six groups of contacts took part in the survey: strategic partners, suppliers, government 2016 Annual report contacts, civil society organisations, knowledge institutes and media. They identified the aspects of our behaviour and collaboration that are important to them, and rated our performance on these aspects. The results were translated into recommendations in 2016. It is interesting to note Achmed Baâdoud - New-West Urban that they varied considerably between the different stakeholder groups. For example government District Council Chairman said during contacts and civil society organisations rate our capacity for innovation as moderate, whereas the port conference: “The port is not a knowledge institutes gave us a high rating for this aspect. Compared to the period before we snapshot but a moving picture, everything became an independent entity, stakeholders generally consider us to be more open, more decisive changes so quickly.” and more professional. GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
CIRCULAR INNOVATION 20 There has been a growing desire not just on our part but also on the part of society for a move towards a biobased, circular economy: an economy focusing on reuse and in which biomass is used as a raw material for non-food applications. As our port area is a perfect candidate for such a Roon van Maanen, Head of Circular & shift, we are looking for companies and joint ventures to stimulate this transition. Renewables: “The arrival of Advanced Minerals, a Waternet initiative, shows One example is our strategic partnership with the Innovation Lab Chemistry Amsterdam (ILCA) that PRODOCK is a suitable location located in Amsterdam Science Park. Through this collaboration born in 2014 we are working and offers a valuable platform for to boost Amsterdam’s appeal for the chemical sector in order to attract more companies that innovations. This plant also contributes can help to achieve our ambitions for a circular and biobased economy. We presented the latest towards the circular ambitions of the developments in the chemical industry in Amsterdam together with the ILCA during the annual port authority and its partners in press morning held by the Association of the Dutch Chemical Industry (VNCI). Our collaboration Clean Capital.” with ILCA was further reinforced on 1 April when the ILCA seconded one of their project leaders to us.
The website cleancapital.nl was launched on 30 August. This is a platform that creates a link A consortium of twelve parties (including the Port of Amsterdam, Orgaworld, AEB, Twence, the between demand and supply of residual materials, sustainable energy innovations and circular Dutch Waste Management Association, Knowaste, Biobased Delta and Waternet) has launched raw materials. It is also a place where companies can register their residual materials. Clean Capital the innovative Waste2Aromatics project with the aim of stimulating the circular economy. The 2016 Annual report then explores whether, and if so how, raw materials can be recovered. The platform has already led collaboration will look at which valuable raw materials can be recovered from waste for the to several leads in 2016 in relation to sustainable energy and the conversion of residual materials chemical industry. Aromatics are extracted from organic waste, nappies, sludge and manure, into valuable raw materials. Clean Capital was launched in December 2013 and is a joint venture by which are used in processes such as plastics manufacturing. This is a major step towards a circular AEB, Waternet and the Port of Amsterdam. It develops innovative and sustainable projects in the economy and the commercial production of bio-aromatics at competitive prices. Aromatics are fields of energy transition, biobased and circular economy. Individual innovative, sustainable and one of the key raw materials for the chemical industry: 40% of chemicals are aromatic in nature. profitable projects can be developed in collaboration with the three Clean Capital partners. One The standard extraction of aromatics from crude oil produces considerably higher CO2 emissions. specific example is The Calcite Factory. This is a Waternet pilot plant in Prodock where calcium is recovered from drinking water and can then be reused in products such as ceramics and carpets. GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
COLLABORATION WITH SENSORS Based on our partnership with The Things Network, which we started in 2016, we have installed a Long Range radio antenna (LoRa antenna) in the port of Amsterdam. LoRa is suitable for long 21 As part of the ‘IJ piles’ pilot project we collaborated in 2016 with the company 30MHz, which distance communication with limited power. Providing wireless access to sensors using these develops sensor applications in Prodock, in connection with supervision and safety. Sea-going LoRa antennas means that a large crowdsourced public network can be created over very long vessels that have too deep a draught to safely transport their cargo into the North Sea Canal distances, allowing us to contribute towards a global open data network for sensors. At the end discharge some of their freight outside the locks at IJmuiden into vessels with a smaller draught. of 2016 we launched a pilot to make the availability of vacant parking spaces for trucks in the port These sea-going vessels moor at lightering piles. To ensure that these piles remain in a condition area online visible. that is acceptable for their mooring function, 30MHz attaches special sensors that closely monitor all movements of and collisions with the IJ piles. Making it possible to schedule inspections and DEMONSTRATOR FOR INLAND VESSELS maintenance more efficiently. CARRYING HAZARDOUS SUBSTANCES
For safety and efficiency reasons it is important to know the location of inland vessels carrying oil products. To increase and improve cooperation within the logistics chain for inland vessels carrying hazardous substances we worked with our partners in 2016 to develop an application that makes all information available within one system. The ‘demonstrator’ shows ship movements in real time on the port of Amsterdam map. The application was developed by the Netherlands Organisation for Applied Scientific Research (TNO) in collaboration with the shippers (Bugro), charterers (Unibarge, Somtrans, TankMatch, Interstream Barging), surveyors
(SGS, Saybolt), terminals (Vopak, Eurotank, Oiltanking), Security Region Amsterdam- 2016 Annual report Amstelland, sector association BLN-Schuttevaer and digital service provider UAB-Online. The privacy of the various parties in the chain is safeguarded and only information that can safely be shared is visible. The Estimated Time of Arrival (ETA) module states vessels’ expected arrival time at the port, improving efficiency in the port area through better planning opportunities. A berth module also shows occupancy for each berth. The next step will be to further develop the demonstrator into an operational tool. The chain parties are once again closely involved in this process. GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS 22
PPS SAFE PORT
Five public and two private parties have taken the initiative to jointly improve safety in the port area. Under the chairmanship of CEO Koen Overtoom, we took part in 2016 within this public- private partnership in a steering committee whose aim is to construct a physical fire-fighting service facility in the port area. The facility can be extended to encompass other safety aspects at a NEW CNB JOINT REGULATIONS later stage. We have exchanged initial ideas for this initiative with the Harbour Master’s Division, the North Sea Canal Area Environmental Department, ORAM, AMAS, and the Municipality of In September 2016, a unanimous decision was reached during a board meeting of the Central Amsterdam police and fire services regarding exchange of information, a joint fire service, the Nautical Management (CNB) to revise the CNB’s Joint Regulations following a period of 22 years. development of expertise in port safety, accommodation and training facilities. The revision concerns an amendment to the current laws and regulations, thereby safeguarding
the collaboration between the four municipalities in the face of the increased complexity that 2016 Annual report marks the CNB’s environment and professional field. GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS Value 23 Annual report 2016 Annual report GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS How do we create value for our stakeholders? 24
With the public mandate of the Harbour Master’s CUSTOMERS KNOWLEDGE INSTITUTIONS
Companies that set up business in the port area or Research institutions, universities of applied Division and as the operator of the port area we port region. Companies that handle, transport and sciences and research universities. manufacture goods, that provide services or that develop new services. Whatever their business, have a dual function. We manage and develop the these are companies that are always on the lookout CIVIL SOCIETY for a positive, healthy, versatile business climate. ORGANISATIONS
Organisations with a social objective. port area whilst also being responsible for ensuring PARTNERS We have many different partnerships. We work LOCAL RESIDENTS with partner organisations to achieve our joint ambitions. Private individuals and organisations based around smooth, safe and sustainable shipping traffic within the port region.
AUTHORITIES SUPPLIERS our port. Municipalities, Provinces, Central Government (ministries), government organisations and the EU. Parties that supply services or goods to the Port We liaise at all levels in both official and political of Amsterdam. This places us at the heart of an environment with a single common goal: to add as much value as matters. possible to the area to the benefit of all our stakeholders. We do this by asking our stakeholders MEDIA PORT OF AMSTERDAM
Journalistic organisations and opinion leaders. Our own organisation, from employees to the 2016 Annual report questions and listening to them, by innovating, by taking the initiative, and by connecting our Supervisory Board and our shareholder. diverse group of stakeholders. One of the ways we do this is by conducting a customer satisfaction survey (CSS), a waterway users survey, an employee satisfaction survey (ESS) and content strategy survey, and a reputation survey. In the process of developing a content strategy, the port authority defined 9 stakeholder target groups in 2015: customers, partners, authorities, media, The needs of these stakeholders range from a demand for information, authority and assistance knowledge institutions, civil society organisations, local residents, suppliers and port authority to dialogue and expertise. We often target our activities at combinations of target groups to create employees. scope for dialogue. In this report we have clustered our stakeholders into groups with related issues in 2016: GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
The city Customers Energy transition Civil society Local residents Employees (as this topic received a organisations great deal of attention, it is addressed separately in this annual report) Stakeholders: Stakeholders: 25
The city Customers
In October 2016 the population of Amsterdam totalled 834,713. This means that the city has The port revolves around our customers’ activities. This is why we try to provide every company grown by, on average, more than 11,000 residents per year since 2009 (756,347 residents). A with the best possible support and are constantly searching for new companies that add value to growing city also leads to new social debates. In November, Alderman for Economic Affairs the port, city and the region in line with our vision. Kajsa Ollongren expressed the desire to remove the PTA cruise terminal from the city centre. The current location, on Piet Heinkade, places too much pressure on the city centre. The construction We use the port tariffs and ground lease/rental payments we receive to create value for our of a new cycle and pedestrian bridge across the IJ, to accommodate the rapidly growing volume of customers by for instance managing infrastructure, offering facilities, and achieving logistical traffic travelling North, played an important role in the city council’s discussions on this matter. efficiency. We acknowledge that our customers depend on us, and aim to welcome, understand and support them to the best of our ability. All projects in 2016 were characterised by customer- In order to gear the port’s interests as closely as possible to developments in the city and the rest oriented thinking. of the region, it is important to us to maintain a constant dialogue with all stakeholders involved. Improved river bank connections create value for the city, but will need to be designed in a way CUSTOMER SATISFACTION that ensures safe and unobstructed passage for shipping traffic. The companies in the port will also 2016 Annual report need to have sufficient scope to create value for the city. We are keen to hear what the companies in the port think of us and how we can further improve our services. This is why we carry out an annual customer satisfaction survey. The results of the 2015 survey were announced in 2016. The overall score for satisfaction was 7.4. The previous year’s score was 7.2. Our ambition is to score 7.75 for customer satisfaction in 2017 and 9 by 2020.
ACCESSIBILITY
Customer-oriented thinking also played a central role when it came to implementation activities VIEW ON YOUTUBE http://bit.ly/2nwkmDX in 2016, such as road surfacing and railway maintenance. Since last year we have coordinated all activities that affect accessibility with our customers. For instance, before the activities take place GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
we talk to the administrators such as ProRail and the Directorate-General for Public Works and For instance it emerged that there was some dissatisfaction with the star connection in the Water Management about how we can minimise the impact on our customers’ accessibility and harbour master telephone menu, which led to the decision to remove this in 2017. It was also 26 logistics planning. suggested that the compulsory electronic reports to the authorities should be simplified. The decision has been taken to improve this system in 2017 together with the Port of Rotterdam SHIPPING Authority and Portbase.
Up until 2016, we did not have a sufficient overview of inland shipping. Since 2015 we have INDUSTRY processed inland harbour dues and listened more closely to the needs of inland shipping. Based on these needs and due to the low customer satisfaction score in the baseline measurement in As part of our ambition to add more non-tonne based value to the port area, one of our priorities 2015, we launched a project entitled ‘A focus on inland shipping customers’ in 2016. Following on is to support and encourage innovative manufacturing companies. Prodock was officially opened from this we agreed with inland shipping representatives to improve facilities for the disposal of on 1 June 2016. Prodock is a community of innovative start-ups and scale-ups, brought together household waste, drinking water points, car landing berths and shore-based power. The decision in a 2,500 m² warehouse. The warehouse features internal and external workshops where new was also taken to reduce the shore-based power fee, which was higher in our port than in the rest products and pilot set-ups can be tested. By the end of 2016 five customers had set up business in of the Netherlands, with effect from 2017. Prodock: Blackwood Technology, 30Mhz, 3dFix, Drone Addicts and The Calcite Factory. These companies are active in the technological manufacturing industry and involved in biobased In addition we devised a ‘customer journey’ to improve the service and information we provide to initiatives. To attract new types of companies, we have joined together with Schiphol, KLM, TU inland shipping. The inland harbour dues return has subsequently been adjusted: a longer return Delft NS and fund manager NBI to set up the Mainport Innovation Fund II. This is an investment deadline was adopted in 2016 and customers can now amend their return themselves following fund targeting ‘early stage tech starters’ in the field of transport, logistics, airports and sea ports. submission. On 13 September 2016 we also joined the Inland Shipping Berthing Information In 2016 the fund made its first investment in Viriciti: a start-up that uses smart software to enable 2016 Annual report System (BLIS) in the interests of our inland shipping customer group. BLIS provides the inland electric buses and trucks to drive for longer. shipping sector with a more convenient overview of, and more detailed information about, current occupancy (and dimensions) of the public berths in the port of Amsterdam. This enables captains of inland vessels to optimise their course, resulting in time savings, lower fuel costs, fewer emissions and a better flow of traffic in the port.
In 2016 we organised a customer arena for shipping agents: the Agent arena. This group of customers had expressed criticisms on certain points and our goal in setting up the arena was to create transparency in relation to these criticisms. By giving the agents the opportunity to have their say, and listening carefully, we have gained a better understanding of the problem areas. GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
Stakeholders:
SOLAR ENERGY
Energy transition 27 2016 saw the start of the ‘ Sun in the port’ project. During the kick-off in Prodock on 21 June we Back in 2008, when demand was still high, we went against the market trend and stopped new announced our ambition to have no less than 100,000 m² (15 MW) of solar panels in the port by fossil companies from setting up business in the port. This has since proved to be a wise decision, 2020. In 2016 we received the SDE+ grant for the installation of 19,000 m² of solar panels, spread which is now assisting our transition to the handling, storage and production of sustainable over seven roofs in the port. Most of this roof space (around 15,000 m²) is owned by the Port of energy. However, we also help our existing customers to intensify their existing activities. This Amsterdam itself. Customers will also be approached to install solar panels on the roofs of their requires customers to be innovative and efficient. To stimulate and support our customers, this buildings. To this end, we launched a programme this year to relieve the burden on our customers was the focus of two of our key objectives in 2016. in the realisation phase via an options menu. We aim to install solar panels with a surface area of at least 30,000 m² by 2018. Through our strategic programme ‘Upscaling sustainable energy production and storage’ we aim, as a metropolitan port, to play an active role in the energy transition by increasing our capacity to Robin Schipper, Commercial Manager for Circular generate and store renewable energy in the port area. We started to implement this programme in & Renewables: “Our goal is to double the number 2016 with a number of new steps in the field of wind and solar energy. of square meters of solar panels every year over the coming period. Alongside biofuel and wind energy we are now focusing heavily on solar energy in order to generate sustainable energy for both our customers and the population of Amsterdam.” Annual report 2016 Annual report Machiel Bode, ING Sector Manager for Transport & Logistics: “The circular economy can become an influential factor and Amsterdam’s profile provides an WIND ENERGY excellent starting position for growth in waste recycling and storage, The government wants to achieve an onshore (on land) wind energy capacity of 6,000 MW by the handling of and trade 2020. The provinces have a key role in granting licences. Whereas other provinces have chosen in biofuels.’’ to meet the government’s target as a minimum, the Province of North-Holland has set an upper limit for the number of wind turbines. The province also applies a ‘2 for 1’ scheme under which, for every new wind turbine to be installed, two old wind turbines must first be dismantled. GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
INTERNATIONAL 28 Via our international division, Port of Amsterdam International (PoAI), we also work to create value in and around ports outside the Netherlands. PoAI makes the expertise and experience within Port of Amsterdam in relation to port development and management and cruise terminal development and management available to parties abroad. This enables PoAI to implement the ‘Port of Partnerships’ by, amongst other things, entering into alliances with ports in other countries where port of Amsterdam customers are active.
Examples include an agreement concluded by PoAI in 2016, together with its partners within The Amsterdam currently has 37 wind turbines with a total wind energy capacity of 65 MW. To Amsterdam Port Consultants, with Port of Fujairah in the United Arab Emirates to further increase this capacity to at least 100 MW, licence applications were submitted in 2016 for four improve maritime services in this port. Fujairah is one of the three largest oil ports in the world. new lines totalling 28 wind turbines. Eighteen of these were rejected. The plans for ten new wind Close collaboration with this port is an attractive prospect for the port authority: it is a central turbines meet the requirements imposed by the province on new wind farms and are still being location for the global trade in oil products and a site where our customers (including Vopak) are processed. This includes a wind farm consisting of six new wind turbines on Nieuwe Hemweg active. Moreover, the traders in Fujairah are largely the same as those in Amsterdam (such as BP, and four new wind turbines on Noordzeeweg, alongside the four existing wind turbines in Shell and Vitol). This partnership allows us to assist our customers from Amsterdam in their this location. These plans will now be submitted to an advisory committee and the Provincial international activities. At the same time we can create additional value for Amsterdam, because Executive. We have appealed against the province’s decision to reject our application for the remaining eighteen wind turbines. 2016 Annual report
MARKET PLACE FOR SUSTAINABLE ENERGY Varishna Tewarie of FMO (the Dutch development bank): “I feel that the joint We are currently also working on creating a local energy market place in collaboration with venture between Port of Amsterdam customers and partners. As a port authority we believe that linking supply and demand for International and FMO is an excellent sustainable energy in the port area offers huge opportunities. Sustainably generated energy can example of partners that complement one then be made available to customers with little intervention from parties in the chain. What’s another. Together we have extensively more, purchasing of this green energy can be driven by supply with low prices in the case of a analysed the cocoa chain and identified surplus. investment opportunities for the Netherlands and the Ivory Coast.” GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
Louis Posner, Chair of the APA Supervisory Board: “It became clear during the run-up that PoAI and APA are on the same wavelength in terms of their vision for Aruba and aspirations we can now stay ahead of the very latest developments, exchange knowledge and attract cargo for the partnership. This agreement is packages. It is a partnership that is very important to both parties. a great example of how Aruba and the Netherlands reinforce one another.” 29 Knowledge development is one of the strategic pillars of PoAI. Examples include a collaboration between PoAI and development bank FMO to launch a project in 2016, commissioned by the Dutch embassy in the Ivory Coast, with the aim of gathering information about the development of the cocoa sector in the Ivory Coast and to analyse the entire logistics chain. Amsterdam is one of the largest cocoa-importing ports in the world and an important region for cocoa processing. The Ivory Coast is the world’s largest producer of cocoa. Developments in the Ivory Coast are therefore of key importance to the port of Amsterdam. The insight gained, including into the social risks, enables our customers to more accurately assess their opportunities and helps us determine the Since 2015, PoAI has contributed in Benin towards the renovation and modernisation of the port best way to position our port and support our customers. What’s more, we see it as our chain in the capital city of Cotonou, with a focus on quality control. By cultivating its relationship with responsibility to focus on the traceability of cocoa trade flows and sustainable storage capacity as the Ministry of Foreign Affairs, PoAI is helping to strengthen the port authority’s network. part of our analysis. In 2016, PoAI entered into a long-term cooperation agreement with Aruba Ports Authority The Dutch Ministry of Foreign Affairs (BuZa) is a major client of PoAI. In addition to the (APA) focusing on the joint implementation of APA’s commercial strategy and vision, the assignment in the Ivory Coast, PoAI is also carrying out a contract for the Dutch embassy in Benin. transformation of a large port site in Oranjestad into a multifunctional area, and the mutual enhancement of the parties’ international ambitions. A Port of Amsterdam employee has been
seconded since January 2017 to Aruba, where he will act as Chief Commercial Officer on the APA 2016 Annual report management team. Several experts from Amsterdam have also been intensively involved in this project, including in the areas of strategy, infrastructure, spatial development and finances. This means that APA has access to experienced professionals, while the Port of Amsterdam employees Gert-Jan Nieuwenhuizen, Managing benefit from an opportunity for further personal development in an international context, thus Director of Port of Amsterdam strengthening the port authority. For PoAI, this well-founded partnership provides an excellent International: “The partnership ensures basis from which to further expand its activities in the Caribbean. that our port authorities strengthen each other on several fronts. We are looking forward to continuing the highly effective and pleasant collaboration with APA and the government of Aruba.” GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
Stakeholders:
NOISE DISTRIBUTION PLANS
Civil society organisations 30 In 2016 we drew up a Noise Distribution Plan to examine the best distribution of sound in the area. Based on noise capacity applications by noise-producing companies, the maximum When we try to create value in relation to a social issue, we often serve the same purpose as civil permitted volume of noise pollution is distributed over a specific surface area. If all available noise society organisations such as environmental, nature or human rights organisations. However, capacity were allocated to just one company, this could obstruct other companies and place them this makes value creation more complex. A specific example is the installation of a wind farm: at a disadvantage. The plan therefore not only helps local residents, but also offers our customers some will view it as improving sustainability, whereas others will see it as landscape pollution. far more certainty with regard to good locations. In addition, we have produced a distribution To try to understand and take into account everyone’s viewpoint as well as possible, we held plan for nitrogen deposition based on the same principle: we examine the best distribution of the discussions in 2016 with various organisations such as Fossielvrij, Natuur& Milieu, Bettercoal, maximum permitted nitrogen emission over a specific area. In both distribution plans we work Ruigoord and MVO Nederland as part of our constant strive for improvement and to tighten up together with the Municipality of Amsterdam, the Municipality of Zaanstad and the province. our policy.
SUPPLY CHAIN RESPONSIBILITY
In 2016 we started to formulate a chain policy based partly on the OECD guidelines, which we welcome, and the United Nations’ Sustainable Development Goals. The aim of this chain policy is, based on our own perspective for action, to analyse social risks in the chain of goods and raw materials transported from and to the terminals in our port and to reduce the negative social impact.
We are working with the Port of Rotterdam Authority to develop our chain policy. 2016 Annual report
In 2016 we received negative press on two occasions in response to so-called ‘Colombian blood coal’ and ‘dirty diesel’ in the chain of our terminals.
DIRTY DIESEL West Africa is supplied with diesel and petrol from the ports of Amsterdam, Rotterdam and Antwerp. A 2016 research report by the Swiss pressure group Public Eye, which had requested random substance lists from tank storage companies, revealed that the sulphur and benzene content of the fuel greatly exceeded the levels permitted in Europe. Suppliers must adhere to the laws in the countries to which they supply their fuels, but due to much lower environmental GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
requirements diesel in Africa can contain many times more sulphur than in Europe. The fuel sold (Foreign Trade and Development Cooperation) in 2014 with the aim of improving social and at the pump in West Africa contains the same amount of sulphur as was used in Europe until 1999. environmental conditions in mines around the world. The purpose of this working visit was to 31 High-sulphur petrol is cheaper and is still used in developing countries for this reason. We are in gain a better insight into the South African coal supply chain and how we can potentially influence favour of clean, sustainable fuels and are pushing for international agreements and clear rules for social and environmental conditions surrounding coal mines. maximum sulphur and benzene levels in petrol and diesel. The supply chain policy we are developing will also be defined in detail for our international COLOMBIAN ‘BLOOD COAL’ division Port of Amsterdam International, our business location policy and our purchasing policy. In 2016 human rights organisation Pax published a report claiming that the international mining In 2016 we started to formulate a sustainable purchasing policy, which will be completed by companies Drummond and Prodeco had associated with criminal paramilitary groups in the mid-2017. Colombian region of Cesar (22,905 km²) between the years 1996 and 2006, and still profit from these links. As a result, Pax refers to coal from this region as ‘blood coal’. In response to the report, PLASTIC SOUP Amsterdam city council insisted that we set out in our strategy for the next few years how we will meet our responsibilities for cargo handled in the Amsterdam port area. Around thirty percent of In 2016, Amsterdam was the first city in the Netherlands to join forces with parties in the the coal handled in Amsterdam comes from Colombia. Colombia states that the local situation in supply chain to ensure cleaner water in and around the city. On 7 September the Municipality of this regard improves when western countries invest in its economy and prosperity. Our presence Amsterdam, Waternet, NRK, PlasticsEurope, the Plastic Soup Foundation, Berenschot and Port means that we can help to improve the situation; walking out would lead to a greater risk of this of Amsterdam put their signatures to the cooperation agreement ‘ Clean waters in and around situation deteriorating. Amsterdam’. This three-year programme is a response to the currently large volumes of floating
BETTERCOAL 2016 Annual report Together with the major coal terminals in Amsterdam we have signed up to BetterCoal: an initiative by big energy companies seeking to improve human rights and working conditions in Eduard de Visser, Director of Strategy mining regions. In 2016 we worked with BetterCoal to organise several meetings with the various & Innovation, Port of Amsterdam: “The energy companies and Port of Rotterdam Authority with the aim of creating greater transparency basic principle of the ‘Clean waters in within the chain. BetterCoal is investigating whether the mines where the coal imported to our and around Amsterdam’ cooperation ports is produced are indeed ethically ‘clean’. agreement is that waste retrieved via clean-up operations can be reused in In late November, a delegation of energy producers, the Ministry of Foreign Affairs, Action Aid, a different way. That fits in perfectly EMO and the Rotterdam and Amsterdam port authorities paid a working visit to South Africa with our aspirations to contribute more with BetterCoal. The energy companies entered into an agreement with Minister Ploumen towards the (where possible local) circular economy.” GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
debris located in the waters of Amsterdam and on shore sides. This ‘local plastic soup’ not only has a negative impact on quality of life in Amsterdam; its movement can also cause many other 32 environmental problems. Efforts are being made to achieve a permanent reduction in floating debris in the North Sea Canal and the IJ. Our contribution towards the programme focuses primarily on cleaning up rock-fill embankments. Read more about the strength of collaboration.
CLEAN SHIPPING
SHORE-BASED POWER
At the quay, cruise ships generate the electricity they need using auxiliary motors. This results
in fine particle and CO2 emissions. As part of a European action plan to make sea cruise shipping cleaner, the port has therefore started to explore the possibility of supplying cruise ships at the Passenger Terminal with electricity via shore-based power. The costs were previously found to be
Clean shipping is vital to the future of our port, and is therefore an issue of great importance to us. too high, and shipping companies were at that time unwilling to adapt their vessels. Today, more 2016 Annual report Together with the other sea ports in the Netherlands we sponsored the documentary Seablind in and more vessels are suitable for shore-based power. One alternative for the shipping companies is 2016. This documentary by Bernice Notenboom addresses pollution caused by ocean shipping. to switch their fuel to LNG, which is also significantly cleaner than fuel oil. Bernice organised a number of events in June 2016, including a film screening. A number of customers accepted our invitation to attend the screening at Undercurrent (Amsterdam North). A pilot has also been launched at five shore-based power points, involving the smart purchasing The showing included a discussion on the topic of clean shipping in which our harbour master of sustainable energy from the port of Amsterdam. As we know exactly when inland vessels Marleen van de Kerkhof took part. In 2016 we started to formulate a clean shipping programme, and river cruise vessels will arrive in port, the exact purchase profile is known two days in which will be completed in the first half of 2017. The aim of the programme is to achieve cleaner advance. This information allows the port to buy in green energy according to a highly precise fuel and a cleaner port. and automated process. The reduction in energy bills has led to a reduction in shore-based power prices for inland vessels and river cruise vessels, making it more attractive for them to consume green energy. GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
Stakeholders:
Local residents 33
Living on or near to the banks of the IJ offers beautiful views, with plenty of optical space and vibrancy at the same time. However, the port area is characterised by a wide range of activities, making inconvenience to local residents difficult to avoid in some places. We want to create a pleasant and, most importantly, healthy, liveable environment. We do this by reducing excessive noise, dust, light and odour levels and by increasing the attractiveness of the port (with cycle paths, nature, viewpoints and suchlike).
DEGASSING GEURINZICHT
Vessels are required to clean their own tanks via degassing. A ban on degassing while sailing We made efforts to improve quality of life around the port area with a number of projects in 2016. was introduced in North-Holland on 1 March 2017. The ban applies to benzene and a number of One example is the GeurInzicht project (so-called E-noses, electronic noses). Odours emitted by substances containing > 10% benzene. industry and shipping in the port area were measured with sensors at 41 sites in the port, in order to develop targeted solutions to reduce odour nuisance for local residents. The E noses project was The Provincial Executive of North-Holland agreed to this amendment of the provincial in full swing in 2016. Geurinzicht falls within our theme of environment and living environment. environmental bylaw on 20 December 2016. The measure contributes towards a better environment and cleaner inland shipping. We are committed to encouraging sufficient degassing 2016 Annual report capacity within the region and are discussing this situation with market operators. We are also working with partners to devise an enforcement strategy. GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
GOLDEN DECIBEL AWARD agreement confirming the rules for the use of the water to the north of the Surinamekade and the Sumatrakade. 34 The ‘Hoorbaar minder’ (Audibly less) project showed that successful initiatives can also be very simple. We found a solution to the nuisance experienced by local residents around industrial sites from truck back-up beepers by replacing these ‘beepers’ with ‘puffers’. This innovation brought us a Golden Decibel Award in 2016 and lead to a huge international spin-off.
Renee Hoogendoorn, on behalf of the SAFETY DEAL ‘Stop Industrialisation of the Eastern Port Area’ action committee, whose members In 2016 we concluded a safety deal with our customer Sonneborn. Under this agreement also included Gerrit Jan Zijlstra, Eric Sonneborn started last year to produce its own sulphuric acid (SO ), which was previously 3 Petzinger and Menzo Meijer: “It was a transported to this site by road. This reduces the risk to local residents as the sulphuric acid challenging process that took a great deal remains further away from the inhabited areas in the port’s vicinity. Sonneborn produces ‘white of time and perseverance.” oils’: the company makes crude oil clean using a chemical process and then uses this oil as an ingredient for vaseline or other creams.
GOOD NEIGHBOURS
Along with residents of the Surinamekade and the Sumatrakade we found a successful solution 2016 Annual report in 2016 to the nuisance potentially caused to residents by the additional berths for inland vessels on both quays. After the licences to increase the number of berths had already been obtained, it Renee Hoogendoorn, namens Actiecomité emerged during an information evening we had organised that the residents had major objections ‘StopMarleen Industrialisatie van de Kerkhof, Oostelijk harbour waarin against the expansion. The port and the city are good neighbours, and talking to one another and master,ook Gerrit Port Jan of Zijlstra,Amsterdam: Eric “WhenPetzinger you en searching for a solution led to mutual understanding between the residents and our customers. lookMenzo at theMeijer IJ you zitting see namen:a backyard; “Het waswhen We therefore reached a compromise without the need for legal intervention: the additional I eenlook stevig at the traject IJ I see dat the heel A1 veelof shipping. tijd en berths will only be used for barges that previously moored in the western port area, while larger Listeningdoorzettingsvermogen to one another heeft is the gekost’.” start of inland vessels will be berthed further away from the residential area. This is an excellent example a long-term partnership. of a successful combination of the interests of two different stakeholders. On 28 November Trust is key.” the residents of KNSM Island, the Eastern part of the city and the port authority signed an GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
Stakeholders:
“The port was in a very Employees 35 As an organisation we aim to offer our employees a pleasant, safe and motivating environment. strong position: it had After all, we rely as a port authority on motivated employees in order to create value for external already obtained planning stakeholders. consent. Yet they sought a connection. It’s a win-win- win situation. A sterling effort and an example of new democracy in which Annual report 2016 Annual report different parties
pull together and Our 2016 Employee Day was therefore entirely dedicated to a customer-oriented approach. Since we introduced this process in 2015, a customer-oriented approach has become a central move forward.” theme for the entire organisation as evident from the assessment cycle, training programmes and workshops. We adopt a customer-oriented approach in not only our external but also our internal activities: the value we create internally by providing one another with a good level of service has a
ALDERMAN ERIC VAN DER BURG, positive effect on external customers. The four building blocks for a customer-oriented approach MUNICIPALITY OF AMSTERDAM are ‘clear’, ‘easy’, ‘personal’ and ‘wow’ (striving for exceptional results). GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
ONLINE LEARNING PORTAL to re-enact the logistical organisation within a port area in game form and experiment with other ways of working. This gives the participants a different perspective on the port’s synchromodal 36 In 2016 we focused heavily on digitisation, to make things easier for internal customers accessibility, allowing them to identify potential improvements through new forms of (employees, managers) and to clarify processes. As part of our efforts in this area, all employees cooperation. were granted access to an unlimited online learning portal where they can follow training courses 24/7 from a range of devices. We offered these tools to enhance our employees’ ability to adapt: INFORMATION 2014 2015 2016 we believe that everyone must be able to adapt to developments in the outside world and that this Absenteeism 3.4% 3.2% 3.8% makes us more resilient. Special tailored e-learning modules have been developed for the Harbour Employee satisfaction 8 - 7.3 Master’s Division with modules such as Incident Plan, Vessel Visit and North Sea Canal Area Number of trainees 10 11 21 Topography. Number of employees 358 374 375 Number of FTEs 346 361.4 363.2 SCRUM Female 109 116 118 Male 249 258 257 In the summer we started to work towards our strategic key objectives according to the scrum %Female 30.4 31 31 methodology from the world of IT. The method is all about creating customer value: scrum is a %Male 69.6 69 69 value-driven approach in which the customer rapidly sees the results of the work we do. Making Inflow 20 32 32 continuous adjustments means that interim results are clear very quickly and provides insight into Outflow 14 16 35 how the work has contributed towards the established goal. The work becomes effectively more focused and therefore more customer-oriented. We learned a great deal from the initial results Percentage of wage bill spent on training 2.7 3.5 2.8 2016 Annual report of the scrum approach, and have consequently decided to continue to apply this method to our < 30 years 12 15 13 projects in future. 30 – 40 years 71 77 80 40 – 50 years 113 112 107 SERIOUS GAMING 50 – 60 years 131 137 137 > 60 years 30 33 38
We set up a serious gaming project in 2016 as a basis for smarter logistics from, to and within the Average age 48 47 47 port. This programme is a collaboration with the Netherlands Organisation for Applied Scientific Number of employees commuting by - 205 214 Research (TNO), TU Delft, ProRail, Port of Rotterdam Authority, the Directorate-General for bicycle/train Public Works and Water Management and the Top Consortium for Knowledge and Innovation (TKI) top sector logistics. ‘Serious games’ enable logistics service providers and infra managers GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
% WOMEN % MEN 2013 29.7 70.3
NUMBER OF EMPLOYEES 2014 < 30 30-40 40-50 50-60 > 60 30.4 69.6
2015 31.0 69.0 AGE DISTRIBUTION IN NUMBER OF EMPLOYEES
2016 AVERAGE AGE 37 363.2 FTE 374361.4 FTE 375 31.0 69.0 2016: 47 358342.2 FTE 358346 FTE 2016 2013 2014 2015 2016 2015 15 13 77 80 112 107 137 137 33 38
INFLOW NUMBER OF EMPLOYEES: AND OUTFLOW 35 32 214 32 20 Employees 21 16
14 travel to work by bicycle/train interns 2014 2015 2016 (THERE WERE 11 IN 2015) Annual report 2016 Annual report
ABSENTEEISM DUE TO ILLNESS PERCENTAGE OF THE WAGE 3.8% BILL SPENT ON TRAINING 3.6% 3.5% 3.4% 3.2% 2.7% 2.8%
2013 2014 2015 2016 2014 2015 2016 GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS Sustainability
As one of Europe’s largest energy ports we are 38 aware of growing public concerns about the port’s environmental impact on the surrounding area and that of fossil fuels on our climate. We therefore strive to enhance both prosperity and well-being in and around the port area, and to be one of Europe’s leading ports when it comes to sustainability. We want to be an economically strong port with a In 2016 we further refined our sustainability policy with a particular focus on the energy transition, the circular economy and our chain responsibility. Sustainable development is a strong competitive position, which looks after the fundamental part of our strategy. environment and the surrounding area and pays In 2016 we developed a sustainability agenda that explains our ambitions and objectives using five 2016 Annual report sustainability themes, established based on the materiality analysis shown below. attention to social factors. Only then can we continue A Sustainability Manager was appointed in 2015 to monitor and reinforce these ambitions. This manager reports to the CFO (CSR portfolio holder). A Sustainability Steering Committee to create value for our stakeholders in the long term. was also set up last year, and sustainability was integrated into the quarterly report. In addition, we have started to embed sustainability risks more firmly in the port’s general risk management. This included the continued development of monitoring of and reporting on sustainability in 2016, and we have ensured that this annual report is in line with the GRI G4 global sustainability reporting guidelines. GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
MATERIAL TOPICS 39
Our stakeholders have different needs. We 10 maintain a dialogue with them so that we can assist them as effectively as possible. Together 9 we identify what is needed in order to improve Connection with the city sustainability in the port of Amsterdam. 8 Based on a reputation survey, a customer Capacity for innovation 7 Supply chain responsibility satisfaction survey and various meetings (such Safety as environmental dialogue, dilemma sessions Port’s environmental impact 6 Multimodal accesibility and strategy meetings) we have identified a Sustainable energy production number of topics that are important to our 5 Accessibility Intensifying use of the available space stakeholders and therefore play a vital role Clean shipping in a successful, sustainable future for our 4 Customer satisfaction Biobased and circular economy company. These relevant topics are: 3 Transparancy STAKEHOLDER THEMES STAKEHOLDER Good emloyment practices
2 Sustainable operations Annual report 2016 Annual report 1 Labour market and training
0 0 1 2 3 4 5 6 7 8 9 10 IMPACT ON OPERATIONS
Topics that are very important to both the organisation and our stakeholders are shown in red above. However, all material topics are important to us and we have translated them into five sustainability themes. We have formulated objectives for all these themes, which form the basis for our sustainability agenda. GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
ENVIRON- ENERGY MENTAL TRANSITION CLEAN RESPONSIBLE ISSUES AND WORK AND AND AND SAFE COMMERCIAL THE LIVING KNOWLEDGE CIRCULAR SHIPPING CHAIN ENVIRON- ECONOMY MENT
Supply chain responsibility ENERGY TRANSITION AND CIRCULAR ECONOMY We want to take forward the international consensus that greenhouse gases should be reduced 40 Capacity for innovation as soon as possible by encouraging the generation of renewable energy and an energy cycle that
Connection with the city converts waste flows from the city into new raw materials and fuels, by providing an attractive breeding ground for innovation and industrial exchange of heat and energy. Sustainable energy production ENVIRONMENTAL ISSUES AND THE LIVING ENVIRONMENT Port's environmental impact The growing Amsterdam Metropolitan Region is also witnessing a rise in adverse effects
Safety on health, excessive light, noise and dust levels, and CO2 emissions. We are committed to reducing the port’s environmental impact and working to create a healthy and attractive living Customer satisfaction environment. Biobased and circular eco- nomy CLEAN AND SAFE SHIPPING Multimodal accessibility The increase in shipping affects safety, the environment and our climate. We guarantee safety on the IJ and encourage clean shipping. Accessibility
Clean shipping WORK AND KNOWLEDGE The port is an important source of employment and knowledge development for the region.
Good employment practices 2016 Annual report Responsible employment practices are also one of our key priorities. Intensifying use of the availa- ble space RESPONSIBLE COMMERCIAL CHAIN Transparency Production and commercial chains are becoming more complex, making it difficult to trace the source of raw materials, what is happening with suppliers, how products are manufactured and Labour market and training where they are transported. As a committed supply chain partner we believe we play a role in Sustainable operations promoting a responsible commercial chain.
The material topics customer satisfaction and transparency are placed elsewhere within the organisation.. GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS 41 Annual report 2016 Annual report GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
The previous chapters describe our efforts to integrate sustainability into our processes, for COMPLAINTS instance in the areas of sustainable energy and encouraging clean shipping. Naturally we 42 have a clear goal to reduce our CO2 footprint. We have committed ourselves to reducing our One hundred and five complaints were recorded in 2016: 84 odour, 6 sound, 6 dust and 9 other organisation’s CO2 footprint by 25% compared to 2014. As much as 53% of our CO2 footprint in (soil, gas, smoke and fire). The number was down from 2015. We have made efforts to improve 2014 was determined by our vessels’ diesel consumption. As a result, we launched a pilot in 2016 the quality of life in the surrounding area in 2016 via further analysis of the eNose network and involving the use of (a 30% blend of) sustainable biofuel (HVO) for patrol vessels. The pilot proved the extension of the ‘Hoorbaar Minder’ (Audibly less) project, which saw more than 300 back-up to be a success and all vessels will start to run on this fuel from 2017, achieving an estimated CO2 alarms (beepers) replaced with a hissing sound source in 2016. During a review of this project, reduction of at least 10%. (See table for our CO2 footprint). Zaanstad residents stated that these alarms were no longer a source of nuisance.
INFORMATION 2014 2015 2016
Port of Amsterdam’s CO footprint (in tonnes of CO ) 2,364 2,187 2,122 Dirk Kronemeijer, CEO of Goodfuels: 2 2
“The port authority is taking the Reduction in CO2 compared to 2014 (%) - -7.5 -3 transition from fossil to sustainable very seriously and is putting its money where PM10 particles in ug/m3 (norm=max 40 ug/m3) 21.6 17.3 20.4
its mouth is. I am impressed by the port’s 23.5 21.9 25.3 2016 Annual report NO2 nitrogen in ug/m3 (norm=max 40 ug/m3) leadership and entrepreneurship and am SO sulphur in ug/m3 (has no normal limit) 2.4 1.7 1.1 proud that our sustainable fuel company 2 has been able to contribute towards this. Reports of Disturbance - 144 105 Together we are moving full steam ahead Number of shore-based power points in the port 176 164 166 in terms of both sustainable shipping and of Amsterdam the development of new biofuels, Shore-based power consumption (in millions of kWh) 2.68 2.1 2.5 and the major economic opportunities in this area.” Ships’ waste collected in m3 40,500 39,000 38,780
37 37 37 Number of wind turbines GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
AVERAGE AIR QUALITY TESTS WIND ENERGY
21.6 20.4 PM10 17.3 PARTICULATE 43 MATTER The maximum standard 37 for PM is 40 ug/m . WIND TURBINES 2014 2015 2016 10 3
NUMBER OF SHORE POWER FACILITIES IN PORT OF GREEN DEAL: AMSTERDAM COLLECTION OF SHIP WASTE IN M3 2015 2016 25.3 164 166 23.5 NO2 SHORE POWER 21.9 CONSUMPTION NITROGEN 2015: 2016: DIOXIDE 2014: 40,500 2015: 39,000 2.1 2.5 The maximum standard for 2016: NO is 40 ug/m . 2014 2015 2016 2 3 38,780 Annual report 2016 Annual report
NUMBER OF COMPLAINTS FOOTPRINT 2016 REPORTED EMISSIONS IN TONNES OF CARBON DIOXIDE 2.4 1.7 SO2 1.1 SULPHUR DIOXIDE 2122 SO has no annual 2 2015: 2016: 2014 2015 2016 average standard limit. REDUCTION 3% COMPARED 144 105 TO 2015 GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS Lessons learned in 2016
The world ushered in a new, in some cases surprising, With the help of the right knowledge and techniques we will continue to do in 2017 as we have done in 2016: strive to achieve the future objectives we described in our Vision 2030. Thanks to 44 era in the year 2016. Change brings uncertainty but and despite all changes and influences, we are in the driving seat and continuing to pursue our course full steam ahead. always creates a new dynamic with new opportunities.
We have learned valuable lessons in the last year. Investing proved easier said than done. We recognise that we have little experience of investment and need to improve our skills in this area. As a newly independent company we are still lacking knowledge and experience of project management with regard to the complexity of starting up new businesses. Because we want to do this properly and effectively, it takes time and delays the investment process. This is regrettable. The lesson we have learned is that we need to be better prepared to deal with our limitations. We are translating the insight we have gained to our strategic HR policy.
Another important lesson we have learned is that we need to be better prepared for questions regarding supply chain responsibility. We have been faced with questions on this issue from the public, represented by the media. The internal question of how actively we respond, the internal debate regarding where our actual versus instinctive responsibility lies, and to what extent we 2016 Annual report want to be transparent. These discussions are still ongoing and will continue to be a focus of attention in the new year. We believe that transparency and openness lead to closer cooperation to identify solutions to complex issues.
In today’s rapidly changing world, we as an organisation need to be able to rapidly adapt to and anticipate market trends. At the same time, it is essential to not only have the required ability to adapt but also take on a leading role. GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS Financial results 45 Annual report 2016 Annual report GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
AMOUNTS IN € REVENUE 46 2016 2015 Revenue was up by €2.3 million in 2016 to €149.1 million (2015: €146.8 million). This rise is mainly due to: Revenue 149.141.193 146,813,007
Personnel expenses -36.978.779 -35,513,699 • an increase in sea harbour dues of €1.8 million; • an increase in rent, ground lease and quay fees of €3.6 million; Depreciation and amortisation -21.687.599 -21,822,596 • an increase in inland harbour dues of €0.3 million; Other operating expenses -14.649.469 -33,957,721 • an increase in services for third parties and dredging and land depot of €0.2 million; • a reduction in other operating income of €-3.6 million.
The increases in sea harbour dues, rent, ground lease and quay fees are mainly due to a higher price resulting from indexation of tariffs, a rise in transhipment, and the allocation of new plots. OPERATING RESULT 75,825,346 55,518,991
Financial income and expenditure - 4,465,113 -3,100,571 The reduction in other operating income relates to non-recurring income that does not result from normal business operations. In 2015, this related to the income on the sale of part of the Share in results of participating interests 533,521 165,057 Westerhoofd port area leading to a book profit of€ 3.6 million. There was no non-recurring income in 2016. NET RESULT 71,893,754 52,583,477 Annual report 2016 Annual report PERSONNEL COSTS
Personnel expenses rose by €0.2 million in 2016, excluding €2.3 million in severance payments (2015: €1.0 million). This rise is mainly due to an increase in the number of FTE and CLA adjustments amounting to €1.0 million. There was also a reduction of €-0.8 million due to the specific creation of provision in 2015 for service anniversary payments and projects. GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
OTHER OPERATING EXPENSES 47 Other operating expenses fell by €19.4 million in 2016, due to the €-11.2 million release of the provision for RON N.V. and a release of the provision for home insulation for which an allocation was made in 2016 (€-4.4 million). The provision for interest claims, due to deferred payment of debts, was also cumulated with the corresponding interest income (€-0.9 million). Finally, five tugboats were hired in 2015 due to a fault with the sea lock. This had an impact of €-1.1 compared with 2016.
FINANCIAL INCOME AND EXPENDITURE
Financial expenditure was €4.5 million in 2016 compared to €3.1 million in 2015. This movement was mainly due to interest expense relating to decontamination provisions (movement of €5.3 million) and interest on employee benefits (impact of€ 0.4 million). The interest income, due to deferred payment of debts, was also cumulated with the corresponding provision (impact of €0.9 million). This was offset by repayment of the loan to the Municipality of Amsterdam at the end of December 2015 (interest expense in 2015: €5.2 million).
DEVELOPMENT OF THE BALANCE SHEET 2016 Annual report
The balance sheet total fell by €22.6 million largely due to redemption of the credit facility and normal depreciation and amortisation of tangible and intangible fixed assets. Solvency, calculated as the percentage of equity in the balance sheet total, rose from 64.9% to 71.4% mainly as a result of the increase in net result and fall in the balance sheet total.
A more detailed explanation of the above financial results can be found in the notes to the financial statements. GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS Governance 48 Annual report 2016 Annual report GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
Concept Organogram Supervisory Board Havenbedrijf Amsterdam NV 2017
Organisation CEO CFO (State) harbor master
ORGANISATIONAL STRUCTURE Investment Control Internal Audit
49
Business Control Havenbedrijf Amsterdam N.V. is an unlisted public limited company with a mitigated two-tier Management support board structure. One element of this is that the members of the Board of Directors in accordance Finance & Control with the articles of association and the Supervisory Board members are appointed by the General Strategy & Innovation Meeting of the shareholder on the nomination of the Supervisory Board. The General Meeting and Information technology the Works Council have rights of recommendation with regard to the nomination of Supervisory Human Resources
Board members. The Havenbedrijf Amsterdam N.V. governance structure is based on Book 2 General affairs of the Dutch Civil Code, the Articles of Association and the internal regulations (including the Communications department Legal Affairs management regulations and the Supervisory Board regulations). The Municipality of Amsterdam is the sole shareholder. The shareholder exercises influence via the General Meeting. The approval Commercial Infrastructure & Harbor master’s Sector Environment division of the General Meeting is required for the company’s strategic long-term and medium-term Havenmeester vision, amongst other things.
Havenbedrijf Amsterdam N.V.
Bouw- en Handelsmaatschappij Regionale Ontwikkelingsmaatschappij Hallum Cruise B.V. “Hallum” B.V. voor het Noordzeekanaalgebied N.V. FINANCIAL INTEREST : 100% FINANCIAL INTEREST : 100% FINANCIAL INTEREST : 33,33% Annual report 2016 Annual report
Bin 2 Barrel Holding B.V. Waterkant B.V. RON Achtersluispolder I B.V. FINANCIAL INTEREST : 10% FINANCIAL INTEREST : 100% FINANCIAL INTEREST : 100% 2 schema’s’s nog vertalen Port of Amsterdam Activities B.V. Waterkant C.V. RON Deelnemingen I B.V. FINANCIAL INTEREST : 100% FINANCIAL INTEREST : 100% FINANCIAL INTEREST: 100%
Port of Amsterdam International B.V. RON Deelnemingen II B.V. FINANCIAL INTEREST : 100% FINANCIAL INTEREST : 100%
Portbase B.V. RON Nieuw Bruynzeel B.V. FINANCIAL INTEREST : 25% FINANCIAL INTEREST : 100%
Sail Beheer B.V. RON WESTZAAN B.V. FINANCIAL INTEREST : 47,50% FINANCIAL INTEREST : 100%
Mainport Innovation Fund II Ringvaart Participatie B.V. FINANCIAL INTEREST: 23,03% FINANCIAL INTEREST : 100% GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
BOARD OF DIRECTORS The General Meeting appointed a new chair of the Supervisory Board with effect from 1 August 2016. The vice-chair had taken over the duties of the chair from 1 January to 1 August. The 50 Until August 2016, the Board of Directors in accordance with the articles of association consisted Supervisory Board consisted of six members in 2016 except during the period from 1 August to 1 of three directors. Following the departure of the Chief Executive Officer on 1 August 2016, the October, at which time there were seven members. Board of Directors continued with two members. The Board of Directors consisted of a Chief Executive Officer (CEO), a Chief Operating Officer (COO) and a Chief Financial Officer (CFO). The Supervisory Board comprised three committees in 2016: the Audit Committee, the The Chief Operating Officer has temporarily deputised for the role of CEO since August. On 2 Appointment Committee and the Remuneration Committee. A Strategy Committee was December, the Supervisory Board decided to set the company’s number of members of the Board introduced on 1 January 2017. The committees meet independently and carry out preparatory of Directors in accordance with the articles of association at two. The General Meeting appointed work in a number of sub-areas for the Supervisory Board. the Chief Operating Officer as Chief Executive Officer on 6 December 2016 on the nomination of the Supervisory Board. The duties associated with the role of COO were divided between the CEO and the CFO. The harbour master’s position within the senior management structure was adjusted accordingly. In the new structure the harbour master takes part in meetings of the Board of Directors and Supervisory Board in an independent advisory role, thus providing greater nautical/maritime input.
The members of the Board of Directors hold collective responsibility for the management of the company and the general affairs of the company’s business. Tasks are allocated between the members in mutual consultation, subject to the approval of the Supervisory Board. The internal 2016 Annual report affairs of the Board of Directors are laid down in the management regulations.
SUPERVISORY BOARD
The Supervisory Board supervises the company’s Board of Directors and its business, and advises the Board of Directors. The internal affairs of the Supervisory Board are laid down in the Supervisory Board regulations. One element of the regulations is the Supervisory Board Profile, which includes further requirements with regard to expertise and experience. The Supervisory Board consists of a number to be determined by the general meeting of at least three and at most seven members. GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS Risk management
Creating social value is not solely a product RISK CATEGORY RISK APPETITE NOTES
Strategic Moderate Port of Amsterdam is prepared to take moderate risks in 51 of entrepreneurship – creating and exploiting the pursuit of its goals. We are constantly seeking a balance between our social function (low risk acceptance) and our commercial ambitions (high risk acceptance) opportunities – but also of avoiding risks or limiting Operational Very low Port of Amsterdam focuses primarily on the smooth, safe their impact. By making a conscious choice between and clean handling of shipping. It is also our responsibility to guarantee the continuity of our customers’ business operations by providing safe infrastructure. We strive to minimise the risks our objectives and the risks we are prepared to take, that could jeopardise these tasks. Our risk acceptance in this area is very low. we aim to ensure that our business practices are Compliance Nil Port of Amsterdam aims to comply with all applicable laws and regulations, with a particular focus on legislation and sustainable and socially responsible. This improves regulations relating to safety and security, the environment, competition, the tendering process and privacy/information security. our chances of achieving our strategic goals. Financial Low We maintain a sound financial position to safeguard access to the financial markets. Port of Amsterdam is not prepared to The table on the right provides an insight into take risks that jeopardise this access. In this context we exercise caution in respect of financial instruments and derivatives. our risk appetite. 2016 Annual report GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
THE RISK MANAGEMENT AND CONTROL SYSTEM appetite in 2016. 52 The aim of the risk management and internal control system is to identify, manage, and report Process descriptions are available for our key processes such as contract revenue, sea harbour dues on risks. The system used is based on the internationally accepted standards of the Committee of and purchasing, which set out measures to manage financial reporting risks. With effect from Sponsoring Organizations of the Treadway Commission (COSO). 2016, the process owner will issue an in-control statement each quarter on the management of these processes. Risk management is primarily the responsibility of the line employees. They are responsible for risk identification, risk management and reporting, and are supported in this by the secondary In terms of compliance, a programme was launched in 2016 that identified the laws and staff departments such as legal affairs (compliance risks), treasury (financial risks), financial regulations with the highest risk profile. Compliance officers were appointed, who have up-to- control (reporting risks) and risk management. date knowledge of the laws and regulations. Compliance risk awareness was raised by updating the business code and introducing dilemma sessions. The risk management and control system is embedded within the organisation via the planning and control cycle based on the departments’ annual plans and budgets. Monitoring takes place THE MAIN RISKS during the year by providing insight into the port authority’s financial performance on a monthly basis. An assessment is carried out each quarter to determine the extent to which key performance Risks are the impact of uncertainties on achieving our objectives. Uncertainties result from a full indicators have been achieved, and the expectations for the remainder of the year. A progress or partial lack of information about, insight into or knowledge of an event, its consequences, or the report is also produced on the strategic key objectives and the management of key risks. likelihood that an event will occur. We have assessed our risks and compared them with our risk appetite. This assessment forms the basis for taking measures to influence the likelihood of a risk
Risks relating to incurring expenditure and assuming obligations are limited to the set occurring or to limit the consequences of a risk. Our main risks in 2016 are described below. 2016 Annual report authorisation limits, internal powers and the list of authorised signatories, which are also embedded in our systems. Finally, the business code sets out our standards and values. STRATEGIC RISKS
The risk management system has undergone several improvements in the last year. This includes risks and uncertainties that prevent us from achieving our objectives.
In 2016 we introduced a Risk Management Steering Committee. The steering committee BRIDGE OVER THE IJ supervises the organisation and functioning of risk management. As the steering committee Risk: The Municipality plans to build a bridge over the IJ in around 2021. This could potentially assesses the content of the risk reports every quarter, significant improvements have been made in restrict the smooth and safe passage of vessels. The construction of a bridge will also limit access to terms of addressing risks within the management teams and risk reporting in the past year. the sea cruise terminal. The committee also started to formulate a risk policy and further elaborate the company’s risk GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
Measures: Along with the Directorate-General for Public Works and Water Management, the PHASE-OUT OF COAL-FIRED POWER STATIONS Harbour Master’s Division is taking part in various local authority task forces in order to influence Risk: As a result of the Van Weyenbert/Van Veldhoven motion to phase out coal and the court 53 the Municipality’s choice of riverbank connection (bridges and/or tunnels) and how this is ruling in the matter of Urgenda, Minister Kamp commissioned research into the phase-out of implemented. There will be no compromise in terms of the requirements for safe passage of coal-fired power stations in the Netherlands. Further to this research, Minister Kamp sent a letter shipping over the IJ. In addition, the feasibility of alternative locations for the sea cruise terminal to the house in January 2017 stating that he does not see any need for the early closure of more coal- (PTA) is being examined in collaboration with the Municipality of Amsterdam. fired power stations in the Netherlands, as the Minister believes that the CO2 emission targets for 2020 can be achieved without these measures. His letter asserted that if it emerges during the DISTRIBUTION OF ENVIRONMENTAL ALLOWANCE National Energy survey in November 2017 that the Urgenda standards for CO2 emissions are not Risk: The noise allowance around Westpoort was increased at the end of 2015. The amendment being achieved, the Hemweg coal-fired power station may be closed early in 2020. to the Programme Tackling Nitrogen (Programma Aanpak Stikstof, PAS) was approved in 2016. Measures: Developments in The Hague are being closely monitored. We are working in close This provides scope for existing customers to grow and for new customers to set up business. If collaboration with Nuon to come up with different arrangements for the power station. We the total environmental allowance is distributed unevenly across Westpoort there will not be are discussing with the coal terminals in the port how we can bring about an accelerated energy sufficient environmental allowance available for the plots that have not yet been allocated, making transition. Our strategy takes into account a 5% reduction in coal transhipment per year, and a them less attractive to buyers. coal-free port from 2030. Measures: A noise distribution plan will be drawn up to avoid a lack of noise allowance on individual plots. This noise distribution will be embedded in a zoning plan. Port of Amsterdam ACCEPTANCE BY THE SURROUNDING AREAS will work with the Province of North-Holland to produce a nitrogen deposition allowance Risk: Reduced support among stakeholders places pressure on port activities, which could prevent distribution plan, which will be confirmed in the first half of 2017. us from achieving our ambitions in full. Measures: Our relationship with our surrounding areas is improving by means of intensive 2016 Annual report TRANSFORMATION stakeholder management. Examples include environmental dialogues in IJmond and Westpoort, Risk: The port area within the A10 ring road could become more of a residential area. Under the participation in various local authority task forces, the regional programme and internal current agreements, this area is scheduled for transfer to the Municipality of Amsterdam in 2040. knowledge sharing on regional developments. There are also a number of ongoing quality of life There is a risk that customers located in this area, particularly those that handle agricultural projects such as atomisation activities during lightering, the installation of E-noses to gain more products, will start to look at setting up business elsewhere in the future. insight into and find more targeted solutions to odour complaints, and the replacement of back-up Measures: The port authority maintains a strategic stock of land so that it can offer attractive beeping with a hissing sound that does not travel as far. alternative business locations with the best possible infrastructure in the Amsterdam port area to these agricultural product customers in particular. GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
STRATEGIC HR POLICY Amsterdam, could lead to insufficient capacity on the railways. Risk: An inability to attract and develop employees with the right, essential knowledge and skills Measures: We are active in various working groups and steering committees to draw attention 54 to achieve the port authority’s objectives. to the need for proper goods transport in the interest of our customers. Together with the Municipality of Amsterdam and other parties we are seeking measures such as diversions and a Measures: We plan to take a more effective approach towards recruiting the right person to railway overpass to guarantee both sufficient capacity on the rail corridors and emplacements and the right job, staff development, working conditions/absenteeism, vitality and mobility via an a safe and smooth flow of traffic at railway crossings. integrated HR policy. We have used a management development programme for a number of years. The HavenFit programme was also launched at the start of 2017, which focuses on long- The effectiveness of the measures taken are discussed with customers and terminals during term staff employability. member sessions and fed back to ProRail.
OPERATIONAL RISKS CONSEQUENTIAL DAMAGE RESULTING FROM EMERGENCIES Risk: When a major incident or a series of more minor incidents occurs on the water and/or This includes risks and uncertainties that influence the effectiveness and efficiency of the port land this has an impact on employee and visitor safety, accessibility of the port area and Port of authority’s operational activities. Amsterdam’s reputation. It could also lead to a loss of support for the port, and the port authority could be left with irrecoverable damage. SEA LOCK Risk: Disruptions due to the construction of a new sea lock complex in IJmuiden, which will limit Measures: The Harbour Master’s Division supervises and enforces nautical facilities and business access to the port. The construction of the new lock is expected to cause ten hours of additional operations on and along the water. The environmental department grants licences and supervises disruptions in 2017. This will affect the North Lock. and enforces these licences. 2016 Annual report Measures: The division of roles in the event of scheduled and unscheduled disruptions is set out in the working agreements between the Central Nautical Management (Centraal Nautisch Beheer, Port of Amsterdam ensures that the external spaces and road infrastructure comply with the CNB) and the Directorate-General for Public Works and Water Management (Rijkswaterstaat, applicable laws and regulations. The maintenance level of public spaces remains high (level B). RWS). Monthly consultations are held on planning in the event of disruptions, which can be Safety contours and zones are also included and enforced in the zoning plans. amended by agreement if desired. The CNB gives waterway users and nautical service providers timely notice of any disruptions. To limit the consequences of a fire, Port of Amsterdam takes an active approach towards compliance with the regulations concerning the removal of asbestos roofs in the port area and ACCESSIBILITY BY RAIL Sloterdijk sites. In addition, the fire service will be allocated a new site in the port area. This will Risk: Activities on and around the railways, for example in connection with the ‘Third Rail’ take place in 2017. in Germany (the extension of the Betuwe line) and the High Frequency Rail Programme in GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
TERRORIST ATTACK IN THE PORT FINANCIAL RISKS Risk: A terrorist attack in the port. This has implications in terms of employee and visitor safety, 55 accessibility of the area and Port of Amsterdam’s reputation. It could also lead to a loss of support These are risks and uncertainties relating to the company’s financial position and opportunities to for the port, and the port authority could be left with irrecoverable damage. attract funding.
Measures: The Port Security Plan applies in the threat phase. The measures in the plan are FINANCING OF THE SEALOCK regularly rehearsed in multidisciplinary teams. Various staff members from the Harbour Master’s Risk: Due to a favourable tendering process for the new lock, the Province of North-Holland and Division carry out surveillance. As Port Security Officer, the Division supervises compliance central government feel that an imbalance has arisen in the financing of the lock. Discussions with the Port Security Act (Havenbeveiligingswet). Each company also has its own ‘Port security are being held on this issue and the agreements between central government, the Province of plan’. These plans are assessed by the integrated assessment team, which includes members of North-Holland and the Municipality of Amsterdam regarding financial contributions towards the the fire service, the police service and customs, and compliance with the plans is supervised by construction of the new lock have therefore not yet been finalised. International Ship & Port Facility (ISPS) inspectors. In an attack phase, the North Sea Canal Area Incident Response Plan comes into effect. Measures: Port of Amsterdam does not have a formal role in the discussions regarding the financing imbalance, as the administrative agreement has been concluded between the ICT/DATA SECURITY Municipality of Amsterdam, the Province of North-Holland and central government. Port of Risk: Poor IT security processes lead to an inability to sufficiently guarantee available and stable Amsterdam will contribute towards the financing of the new lock as an interested party. The IT facilities. This could result in the failure of critical systems, or unavailable or unreliable data. amount of the contribution will be determined at a later time. Measures: The annual EDP audit carried out by EY concluded that our basic IT is in order. The security level used (NOREA) is a very high target level. To better safeguard our data and offer the In consultation with the Municipality of Amsterdam as shareholder, the shift of financing to the 2016 Annual report best possible protection against cyber attacks and data leaks, we are currently working to transfer port authority will in no way restrict implementation of the strategic plan. our data centre to the cloud. The setting up of the Security Management process will reduce, but can never entirely eliminate, the risk of an external cyber attack. CONSEQUENTIAL LOSSES RESULTING FROM CUSTOMER LIQUIDATION Risk: If a customer goes into liquidation, the port authority may be left with losses. These losses could consist of a default risk, residual soil contamination, residual assets that need to be demolished, or inventories with a negative value. Measures: An analysis was carried out in 2016 to identify customers that present a risk of soil contamination and properties and inventories with a negative value. Regular internal discussion of this risk has increased risk awareness. In negotiations with the customer we seek to obtain assurances such as bank guarantees and the acceptance of responsibility for soil decontamination. GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
COMPLIANCE RISKS 56 These are risks and uncertainties arising from laws and regulations that have a direct impact on the port authority and its business processes.
COMPLIANCE Risk: There is a risk that Amsterdam, due to the lack of a ‘level playing field’ in Europe, will become a less attractive place of business compared to other European ports as a result of compliance with laws and regulations such as the corporation tax for sea ports introduced on 1 1-2017.
Measures: The lack of a ‘level playing field’ has been placed on the European agenda via joint lobbying by all companies and central government. Annual report 2016 Annual report GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS Report of the supervisory board 57
2016 saw a lot of hard work on the future of the required for these developments was below the expected level in 2016, and will therefore remain a key focus for the Supervisory Board and Board of Directors in the coming years. Amsterdam port region. A challenging future, with The Supervisory Board shares the Board of Directors’ view that a port’s success can no longer be new requirements and new opportunities. Plus a expressed solely in terms of tonnes of transhipment, but that a port’s role in creating added value, such as additional employment in the port area, is at least equally relevant. new management team. The appointment of Chief Operating Officer Koen Overtoom as Chief Executive Officer (CEO) and the departure of Dertje Meijer have reduced the Board of Directors to two members.
Together with Chief Financial Officer Michiel de 2016 Annual report Brauw (CFO), Koen Overtoom has been responsible for managing Port of Amsterdam since December.
Good progress was made in the construction of the new sea lock in IJmuiden in 2016. The Board of Directors is actively implementing our Vision 2030 and making real headway towards establishing the metropolitan port that Port of Amsterdam wants to achieve. Excellent examples include the focus on the generation of renewable energy for the port community and obtaining and processing residual materials from the city as new raw materials. The investment volume GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
The future of sea and river cruise activities in the port of Amsterdam must be viewed in a Establishing Amsterdam as a preferred port is one of the key objectives. A simple and user- metropolitan context. Continuing to facilitate the future growth of cruise activities at a high friendly licensing process is an important precondition for a positive business climate, and the 58 level will be a challenge. A bridge over the IJ is a real possibility, but will have an impact on the port authority has sought to cooperate with the North Sea Canal Area Environmental Department waterway and potentially also on the Passenger Terminal Amsterdam situated on the IJhaven. The in this area. The director of the Environmental Department visited the Supervisory Board in issue of the bridge requires a joint, constructive approach, and the Supervisory Board wishes to January 2016 and provided clarification on the collaboration. emphasise the importance of a city-facing port. January 2017 saw the introduction of corporation tax for sea port companies in the Netherlands. The development of the HoogTij industrial site located on the north side of the North Sea Channel The Board of Directors duly and regularly informed the Supervisory Board in preparation for the is an excellent boost for the port region. The Province of North-Holland, Municipality of Zaanstad corporation tax obligation and its financial impact on the port authority. and Port of Amsterdam are working together in the North Sea Canal Area Regional Development Corporation and in 2016 gave the green light to the construction of a quay on the HoogTij site. In December, the Supervisory Board opted for a new senior management structure and reduced the Board of Directors from three to two members. This decision by the Supervisory Board MEETINGS was supported both internally by the Port of Amsterdam works council and externally by the businesses in the port. In the new structure the harbour master takes part in meetings of the The Supervisory Board met on seven occasions in 2016, of which two meetings were held on Board of Directors and Supervisory Board in an independent advisory role, thus providing greater site in the port of Amsterdam and one in the port of Rotterdam. In May the Supervisory Board nautical/maritime input. was invited to the VCK Logistics Waterland Terminal: the covered all-weather terminal in the Westhaven for the handling of climate-sensitive freight. In December a meeting was held at One of the key arguments in favour of the new structure is that it promotes a strong management
Prodock, the Port of Amsterdam’s testing ground for innovative start-ups. layer below the Board of Directors. This layer will now have greater leeway and responsibility, and 2016 Annual report will therefore become more empowered. The 2016 joint annual retreat of the Supervisory Board and Board of Directors took place in Rotterdam, with a programme including working visits to Shell and Broekman Logistics. At Shell, The Supervisory Board is fully confident that Koen Overtoom and Michiel de Brauw, assisted by discussions took place on the energy transition - a theme that is also very relevant for the port of harbour master Marleen van de Kerkhof, will successfully manage the company. Amsterdam. One of the main items on the agenda of the Board of Directors and Supervisory Board in 2016 was the elaboration of our Vision 2030 into a medium-term strategy and specific strategic AUDIT COMMITTEE key objectives. The discussions covered topics such as developments in the coal market, the Board of Director’s ambitions in terms of renewable energy and recycling, and the financial impact of In 2016 the Audit Committee consisted of Ingrid Doerga (chair), Dook van den Boer (member) these developments in the medium term. until the end of September, and Philip Stibbe from December onwards. The committee met on four occasions in 2016, all of which meetings were attended by the CFO, the CEO and, depending GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
on the topics addressed, the external auditor, the internal auditor and various senior staff policy that applies to the Port of Amsterdam Board of Directors. The committee has assessed the members. Several separate discussions were also held with the CFO. implications and is advising the Supervisory Board in this matter. 59
The Audit Committee addressed a large number of topics in 2016: In December, the Supervisory Board decided to continue with the Remuneration Committee on an ad hoc basis. This means that the committee will no longer have permanent members as of • the 2015 financial statements, including the external auditor’s findings and the audit report, 2017, and mutual working agreements will be reached where necessary. the 2016 interim audit findings, and the structure of the 2017 audit plan; • the 2017 budget; APPOINTMENT COMMITTEE • the financing structure, liquidity and balance sheet ratio, monthly reports and dividend proposal; In 2016 the Appointment Committee consisted of Dook van den Boer and Philip Stibbe. Van den • the IT security policy, purchasing policy, internal control procedures and reports; Boer stood in for René Smit, who as former chair decided he should not be involved in the process • the tax position and the associated valuation. of recruiting a new chair of the Supervisory Board.
The internal audit function was carried out by external parties in 2016. Port of Amsterdam The Appointment Committee had a busy year with the recruitment of a new chair of the recruited tax expertise in 2016 and a permanent internal auditor for 2017. The Audit Committee Supervisory Board and a new chair of the Board of Directors. Both vacancies were successfully advised on the redesign of the port authority’s financial and IT pillar. The Audit Committee has filled with the agreement of the shareholder – the Municipality of Amsterdam. found that significant improvements were made in Port of Amsterdam’s internal control in 2016, and expects this trend to continue. The findings of the Audit Committee are reported to the As with the Remuneration Committee, the Supervisory Board has decided to continue with the plenary meeting of the Supervisory Board. Appointment Committee on an ad hoc basis in 2017. 2016 Annual report
REMUNERATION COMMITTEE STRATEGY COMMITTEE
The members of the Remuneration Committee in 2016 were Willemijn Maas (chair) and Jeroen A new Strategy Committee has been set up. This committee will start at the beginning of 2017 and de Haas. The committee held appraisal interviews and performance reviews with the Board of its permanent members are Jeroen de Haas (chair), Willemijn Maas and Philip Stibbe. Directors and assessed the variable remuneration criteria based on the annual results. It then prepared a proposal in respect of each member of the Board of Directors for the Supervisory Board. EVALUATION OF THE SUPERVISORY BOARD
In 2016 the Amsterdam Municipal Executive adopted a new remuneration policy for its The Supervisory Board carried out a self-evaluation in 2016 with support from an independent participating interests. Some elements of this policy differ from the current remuneration third party. The reference framework for the evaluation was the Dutch Corporate Governance GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
VIEW ON YOUTUBE http://bit.ly/2o1StVv
Code plus current insights on sound corporate governance. The Board opted for a self-evaluation with an emphasis on boardroom dynamics. 60
PERSONNEL MATTERS
There were two personnel changes within the Supervisory Board in 2016. Koos van der Steenhoven was appointed chair with effect from 1 August. Van der Steenhoven works for the Senior Civil Service within the Ministry of the Interior and Kingdom Relations. His previous roles We would also like to thank our fellow supervisory board member Dook van den Boer, who include secretary-general of that Ministry and of the Ministry of Education, Culture and Science. decided against reappointment for a new period. Van den Boer had been a committed supervisory board member since the port authority’s privatisation in 2013 and has made a positive contribution Dook van den Boer stood down from the Supervisory Board at the end of his term of office on 1 towards strengthening cooperation within the North Sea Canal Area October. Van den Boer was a member of the Audit Committee, and stood in for the chair of the Supervisory Board from December 2015 to August 2016. .
Chief Executive Officer Dertje Meijer resigned from the Port of Amsterdam Board of Directors Koos van der Steenhoven (Chair) with effect from 1 August. She had worked for the company since 2001, and served for seven years as Chief Executive Officer. Koen Overtoom is her successor. The General Meeting of Shareholders Ingrid Doerga of Havenbedrijf Amsterdam N.V. appointed Overtoom on 6 December on the nomination of the
Supervisory Board. Overtoom has worked for the port authority since 2002 and had served as Jeroen de Haas 2016 Annual report Chief Operating Officer (COO) since the company’s privatisation in April 2013. Overtoom had been acting CEO since 1 August 2016. Willemijn Maas
WORD OF THANKS René Smit
The Supervisory Board would like to thank Dertje Meijer for her contribution towards the Philip Stibbe port of Amsterdam. Under her management Port of Amsterdam has achieved key milestones including the company’s privatisation in 2013, the new major sea lock in IJmuiden currently under construction, and the publication of our Vision 2030, which sets out the port authority’s course for the coming years. GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
Financial statements for 2016 61 Annual report 2016 Annual report 1. Notes to the statements financial2016 66 2016 for statement flow Cash Statement of profitand loss for 2016 64 31 at as 2016 sheet December Balance 63 12. 3. 2. 9. 8. 7. 6. 16. 13. 11. 5. 4. 10. 15. 14. Contents GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
Intangible Intangible fixed assets 66 results of determination and valuation sheet balance for policies Accounting Provisions Shareholders’ equity 78 equivalents cash and Cash Depreciation, amortisation andDepreciation, impairment losses amortisation 85 liabilities and assets Contingent Financial instruments Financial fixed assets Tangible fixed assets Non-current liabilities Non-current Trade and other receivables Personnel expenses Personnel income operating Other Revenue Current liabilities, accrued liabilities and deferred income deferred and liabilities accrued liabilities, Current 87 80 87 78 74 76 84 82 73 87 77 65 88 83 27. 26. 93 information Other 24. 17. 25. 18. 23. 19. 21. 20. 22.
Independent auditor’s report Profit appropriation under the Articles of Association of Articles the under appropriation Profit Net proposal result appropriation expenses operating Other Subsequent events Subsequent profit 2015 the of Appropriation Share in of interests results participating Financial income and expenditure 88 Board Supervisory and Directors of Board the of members the of Remuneration External auditor’s fees External Related parties 90 91 91 88 93 91 91 88
93 88
Annual report 2016 62 Balance sheetasat31December2016 GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS Results fortheyear Other reserve Legal andstatutoryreserves Share premium Cash andcashequivalents Financial fixedassets Tangible fixedassets Amounts in€ Before profit appropriation Current liabilities Non-current liabilities Issued share capital Trade andotherreceivables Intangible fixedassets Fixed assets ASSETS Total assets TOTAL AND LIABILITIES EQUITY Current assets Provisions Shareholders' equity LIABILITIES 10 9 8 NOTES 6 4 3 5 2 7 300,584,972 494,420,014 40,001,479 64,973,109 54,774,037 34,071,998 71,893,754 26,052,957 20,530,727 9,108,125 397,134 591,578 45,000 558,722,442 159,748,625 504,119,717 398,973,817 558,722,442 54,602,725 2016 47,881,102 106,184,459 300,584,972 503,500,305 66,541,980 31,453,327 52,583,477 23,181,896 21,589,157 7,132,439 1,156,826 684,718 45,000 581,259,829 204,179,766 511,789,570 377,080,063 581,259,829 69,470,259 2015
Annual report 2016 63 for 2016 Statement ofprofit andloss GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS NET RESULT Share inresults ofparticipatinginterests Financial incomeandexpenditure Total operating costs Other operatingexpenses Depreciation ofintangibleandtangiblefixedassets Personnel expenses Total income Other operatingincome Revenue AMOUNTS IN€ OPERATING RESULT NOTES 19 18 17 16 15 14 13 149,141,193 75,825,346 73,315,847 71,893,754 149,141,193 14,649,469 21,687,599 36,978,779 -4,465,113 533,521 2016 - 146,813,007 52,583,477 91,294,016 55,518,991 143,175,224 33,957,721 21,822,596 35,513,699 -3,100,571 3,637,783 165,057 2015
Annual report 2016 64 for 2016 statement Cash flow GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS CHANGE IN CASH AND CASH EQUIVALENTS CASH AND CASH IN CHANGE FLOW CASH NET New current accountdebttocredit institutions Cash flowfromfinancingactivities: ACTIVITIES INVESTING IN USED CASH NET Investments inintangiblefixedassets ACTIVITIES OPERATING FROM CASH NET Interest paid Interest received ACTIVITIES OPERATING FROM FLOW CASH Change incurrent liabilities Change incurrent receivables Depreciation andamortisation Adjustments for: OPERATING RESULT AMOUNTS IN€ Cash andcashequivalentsasat1January Movement inprovisions New othernon-current liabilities Investments intangiblefixedassets Cash flowfrominvestingactivities: Cash andcashequivalents asat31December Redemption ofground lease Repayment ofnon-current liabilities Group companypaid-inshare premium Book profit ondisposals Third-party contributionforinvestmentsintangiblefixedassets Dividends paid Change infinancialfixedasset provision Disposals ofintangiblefixedassets Net cashusedfrom financingactivities Disposals oftangiblefixedassets Repayment ofnon-current receivables TOELICHTING 16 2 6
9 3 6/10 9 9 4 14 3 7 4 2 en16 3 en14 -59,999,311 -12,603,985 -50,000,000 -11,639,643 12,313,023 21,539,425 47,881,102 18,204,637 34,071,998 -6,182,651 -2,130,858 -2,000,000 1,085,410 -205,763 561,504 566,699 767,688 148,174 -54,087 -4,712 2016 - - 101,798,907 101,798,907 -109,437,324 75,825,346 96,701,666 97,209,083 -1,580,863 -13,809,104 -13,809,104
-105,000,000 -50,000,000 -19,578,766 17,246,338 -2,155,484 -3,637,783 21,822,596 60,000,000 73,646,092 47,881,102 -5,176,019 -2,948,346 1,990,013 1,698,869 3,935,203 -700,000 -315,078 -263,508 781,987 975,663 40,334 2015 - -13,886,641 86,558,467 83,081,317 55,518,991 88,531,150 -94,959,666 -25,764,990 -25,764,990
Annual report 2016 65 located at De Ruijterkade 7 in Amsterdam, is principally engaged inthe following engaged activities: isprincipally Ruijterkade 7inAmsterdam, at De located the N.V. Company, Amsterdam of Amsterdam, no. (Port 57398879), Havenbedrijf of Comm. Ch. ACTIVITIES OF THE COMPANY known before the preparationstatements. of the financial before they became and the if potential end originating losses recognised of are year the reporting Liabilities haveas theyby the realised date. sheet been balance Profits are insofar onlyrecognised Income the to which to year allocated are they and refer. expenses isstated. measurement basis another at nominal unless value stated are cost convention. andof liabilities the historical Assets have been statements prepared on the basis ). The financial voor Jaarverslaggeving de Board (Raad Accounting by) issued the Standards Dutch voor Jaarverslaggeving de (Richtlijnen Standards ) and the provisions 2BW 9Boek (Titel Code Accounting of Book the Civil 2of Dutch the9, Dutch provisionsPart have of been in statements accordanceprepared withthe statutory The financial DETERMINATION RESULTS OF 1. ACCOUNTING SHEET VALUATION FOR POLICIES BALANCE AND statements 2016 financial Notes tothe GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS • • • promoting swift, safe and environmentally benign handling of shipping traffic from 12 and environmentallyfrom safe handling of benign shipping promoting traffic swift, WestpoortAmsterdam area; port the and the renovating managing port and of maintenance construction the infrastructure, marketing well and as as promotionalbusinesses, activities; and types new cargo attracting customers, involves This on region. current port focusing and development the business optimising services for climate companies inthe based Havenbedrijf Amsterdam N.V. the Amsterdam following interests: has Havenbedrijf participating RELATIONSHIPSINTRA-GROUP The sole shareholder N.V. Amsterdam of of Amsterdam. isthe Havenbedrijf municipality SHAREHOLDER on the sheet. balance acounterpart premium as share with acquired and on sites alease’ payment and ‘Land the buyout as payment capitalised been has contribution of made acapital the buyout of has Amsterdam the Municipality the transaction, on the economic Based of realities of of and Amsterdam. Port Amsterdam the municipality between agreed as payments are deemedhaveto settled, of 50 been period years inthe first The ground annual ownership lease of legal sites. the port of has Amsterdam The Municipality Upon itsincorporation the company 2013. on acquired sites alease. 1January the port from the to public company limited transferred witheffect of was the Amsterdam Municipal Port and by conducted the 2013 business on 1April established N.V. Amsterdam was Havenbedrijf COMPANY FORMATION Hallum Cruise B.V. Cruise Hallum PARTICIPATING INTEREST Bouw- en Handelsmaatschappij Hallum B.V. (hereinafter Hallum B.V.) Hallum B.V. Hallum (hereinafter Handelsmaatschappij en Bouw- Regionale Ontwikkelingsmaatschappij N.V. RONRegionale Ontwikkelingsmaatschappij N.V.) (hereinafter enforcement. on of the regulations partly off basis the at to locks, and IJmuiden themiles Oranje coast INTEREST 33.33% 100% 100% PLACE OFBUSINESS Amsterdam Amsterdam Amsterdam
Annual report 2016 66 time of decontamination (in the future), price indexes price and anticipated impacttime on of decontamination decontamination (inthe future), known the decontamination expected on costs, the currently based provisionThis iscalculated Soil decontamination provision tables. career of redundancy,the retention inflation well probability assumptions as as and retirement, and trends, salary projected used, the relateto interest percentages elementsThe estimated primarily Employee benefitsprovision approach. aforward-looking according to Any made are such changes life. inthe useful achange require assumptions that relating assets to and inthe estimates whether any have the occurred itisassessed year changes During statements. 2and setout 3of are the inparts used notesThe the to depreciation/amortisation financial periods on zero to astraight-line which economicthe basis. depreciated are estimated of the life assets, on of the basis class for asset have determined been each The depreciation/amortisation periods Depreciation/amortisation and residual value accountingmain the judgements including underlying and estimates, assumptions, are: The estimates. judgements and various makes various Board forms Management Amsterdam theof Port In applying statements, the the for accounting financial preparing and policies rules ESTIMATES IN THE PREPARATION OF THE FINANCIAL STATEMENTS consolidation isnegligible compared withthe whole 217.304). of (DASB of Amsterdam Port the of joint significance interests if the companiesparticipating financial tobe included in the ofapplies Amsterdam Port the exemption the obligation from consolidate to the figures of FROMEXEMPTION THE CONSOLIDATION REQUIREMENT GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS loss. inthe of statement profit and portfolios) directly recognised and are publishing customer rights developed logos, and internally relating research brands, to expenditure (e.g. capitalisation that inconnectionasset do withanintangible fixedExpenses not meet the conditions for An intangible fixed asset is recognised intheif: sheetrecognised balance is asset An intangible fixed ASSETS FIXED INTANGIBLE Assets and liabilities are only are if and that: andto the netextent liabilities ofstatements other each Assets inthe financial NETTING included are inthe of statement variations profit and loss. rate exchange These date. rate on the at the transaction recognised exchange are year the financial during applyingconverted at the rate Transactions at inforeign the sheet currencies balance date. are Trade debts and and other obligations stated. receivables, inforeignotherwise currencies unless AmountsEUR, are in presented EUR. have drawn been up in statements financial These CURRENCYREPORTING AND FOREIGN CURRENCIES costs of technological developments inthisfield. • • • • bereliably the determined. can costs of the asset and flow to economicthe will asset company; inan benefits embodied it islikely the that future there is a firm intention there isafirm settleto the net amounttwo simultaneously. items or the and there net to isareliable instrument and and settle the simultaneously the legal liability; asset
Annual report 2016 67 The estimated economic useful life for the intangible fixed assets is as follows: for is theassets life intangible fixed economic The estimated useful amount. capitalised equivalentmaintained to the is reserve A legal feasibility. and financial commercial theDevelopment applicable if conditions capitalised costs are technical, to met are withregard at cost. carried are construction assets underyear. at Intangible the fixed endamortisation of financial method each reassessed are Economic into and account. value any theof life depreciation/ residual acquisition, taking of the cost on of the afixedpercentage basis calculated years, withamaximum oflife twenty economicon the of theestimated basis systematically amortised are assets Intangible fixed applicable. at cost andcumulative net and impairmentsif depreciation of carried are assets Intangible fixed Licences/right ofuse Software andprograms developedinhouse into use. Freehold land and tangible fixed assets under construction are carried at cost. carried Freehold under are assets into land fixed construction and use. tangible commences at the account Depreciation time when is taken oftaking the value. any asset residual of the cost on of the afixedof percentage acquisition, basis economicestimated and calculated life on theand net isbased and depreciation impairments applicable. of accumulated if Depreciation contributions, at cost minus investmentTangible and grants carried third-party are assets fixed ASSETS FIXED TANGIBLE GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS 3 years 3 years changes over thisis accounted inaccounting time, changes achange for estimate. as undergo and/or value any life residual the method, depreciation useful concerning If expectations residual value into account: value residual any taking life, on useful the follows, estimated based on as astraight-line basis depreciated are components. the to Tangible respective isallocated expense which assets the fixed aggregate the according to component majorScheduled iscapitalised maintenance approach under inthe of statement recognised profit and loss. is disposal or from loss resulting The gain or disposal. itsuse from expected unitsare performance is asset no fixed inthe longer sheettangible recognised balance future or disposal when on no Tangible assets put fixedoutvalued at cost of or the A are operation value. lower realisable net which the and grants contributions which income. to inlower relate, results charged depreciation Investment and the grants contributions cost of from acquisition deducted are to of the assets production portion costs. of theattributable indirect costs and labour an direct costs, costs consist of material applicable.if The manufacturing cost and net of impairments Tangiblemanufacturing at under are stated assets fixedconstruction Computer equipment,networks,officeequipment Installations Vessels Buildings Jetties Quay walls,sheetpiledocksandcanals Ground worksandroad works (relating tolongleasefrom theMunicipality ofAmsterdam uptoandincluding31-03-2063) Land andsitesacquired onalease 10-20 years 10-20 years 10-50 years 10-50 years 8-25 years 10-50 jaar 10 years 50 years 5 years
Annual report 2016 68 the realisable value of the cash-generating unit to which the asset belongs is determined. An whichbelongs unitto the isdetermined. asset ofthe the value realisable cash-generating Ifitisnot of theasset, possible the value realisable individual determine to isdetermined. asset value theof the realisable Ifsuchexist, indications to impairment. may besubject asset fixed is made of whether anassessment sheet balance each date On there any are a indications that Impairment of fixedassets amortisation process. inthe of statement recognised profit are andinterest Income the method. via loss and expenditure at cost amortised inaccordance withthe effective loans and carried other are receivable receivables the their recognition, initial After costs. allocable transaction plus the directly value at fair carried are assets the fixed recognition, loans initial At under and other recognised financial receivables Loans receivable and other receivables at the acquisition valued are policy and net price commercial of impairments applicable. if and financial of interests overterms which in no influence is significant exerted Participating interest. participating amounts of the from provisions from is taken deducted already receivable for uncollectibility interest pay to itsdebts the amount (for Indetermining itsshare). of thisprovision, account by the companyguaranteed obligation enable to or the the participating company anactual has Aprovisionat zero. of isincluded allorthe debts part if of interest are the relevant participating valued are value interests net withanegative asset Participating the to shares. attached rights influenceSignificant is if shareholders’ deemedthe exist to isinterest than 20% more of the voting on of the the basis accounting apply that policies calculated of the to Amsterdam. Port butvalue, valuenot is belowasset at asset netThis zero. net carried are exerted can be influence significant policies Non-consolidated interests over whose and participating financial business Participating interests FIXED ASSETS FINANCIAL GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS reliably estimated. reliably estimated. forsheet the date settlement outflow of islikely which and acash the amount can be of which Provisions obligations for formed enforceable are or on legally existing constructive the balance Provisions nominal value. at equivalents carried are and cash months. three of than Cash less deposits withamaturity accounts and depositsdemand on current resources, equivalents consist of and cash cash Cash andCash equivalents cash and other receivables. provisions These of the on ofassessment trade the individual determined are basis deducted. are for of Provisions possible uncollectibility due the to losses risk deemed cost. amortised necessary on recognition initial value and subsequently at fair at and carried The other are trade receivables Trade and other receivables of profit and loss. inthe statement expenses as directly Impairment recognised are losses and inuse. thevalue value isthewhich higher value The of realisable itbelongs the net exceeds the value. realisable realisable unitto amount or of of the an asset cash-generating theimpairment carrying if loss isrecognised
Annual report 2016 69 indexation of pensions. include ratio non- funding policy statutory comply to in connection withfailure withthe 104.2% taken recent in by ABP years Measures for more five than years. mustratio not 104.2% than beless and the that funding must be128% ratio the that funding The law states 98.7%). (2015: 91.7% was 2016 December at 31 as ratio funding months. over twelve policy ABP’s isanaverage ratio funding The of policy 2015. as ratio’ funding thea short space must ‘policy of use pension time, funds within sharply can fluctuate ratio funding current As the 2016. December 31 on situation financial isasnapshot ratio of the funding This 97.2%). (2015: 96.6% was on ratio 31/12/2016 funding ABP’s the payment of the contribution annual payable the to pension provider. there no were (and 2015) provision obligations from end year apart At 2016 inthe sheet. balance for the expenses to lead company plans, the pension provider’s recovery and included are ina payable the to pension provider. any additional These obligations, including obligations under obligations exist on inaddition the the to sheet balance payment date, of the contribution annual whether so,which if for and, assessing abasis The pension as administration agreement isused inthe of statement anexpense profit andas loss. provider approach’. Inthisapproach, the contribution bepaid to the to pension provider isshown by payments the to the ABP.according to ‘obligation stated are the to Pension pension liabilities scheme is financed salary pension The average scheme. sectoral ABP) Burgerlijk Pensioenfonds, The company’s Employees for Pension employees Public Fund inthe General part (Algemeen take Pension provision impact on decontamination costs of technological developments inthisfield. indexes price and anticipatedinto time of account decontamination (inthe the future), expected at taking the location(s) concerned, decontamination expenditure ofpresent the value expected The provision and decontamination demolition at for the liabilities deferred isstated of buildings Provision for decontamination liabilities GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS liabilities. liabilities. recordedcurrent are underyear payments financial lease relating inadvance the to received next Ground liabilities. The redemption under non-current contract. amounts carried are received have anoption lessees Site of the at over present redeem to the ground value term leases Redemption of ground leases occurred. has deficit the operating inwhich income lost been which to or isrecognised, the relates inwhich has grant expenditure the to of statement profit operations relatedto credited andGrants are intheloss in year which the Grants related to operations which the and grants contributions which income. to inlower relate, results charged depreciation Investment and the grants contributions cost of from acquisition deducted are to of the assets Investment grants recognition and subsequently at cost. amortised on initial value at fair carried are loans stated and liabilities and current The non-current liabilitiesNon-current and current liabilities inorder required settle to and the losses. relevant liabilities expenditure nominal of the value expected at the The other provisions provisions homes. These relating insulating to liabilities concern carried are Other provisions bonds at the corporate sheet balance date. yield) (effective of high-quality rate place at Discounting the market takes at present value. isstated The liability the sheet balance date. settle to and the on losses of relevantis the liabilities estimate the best amounts necessary are that employeesformer unemployment whostated entitled are non-statutory to The liability benefits. employeeOther deferred and payments benefits payments due anniversaries are to dueservice to Employee benefits
Annual report 2016 70 to economic benefits as well as all significant risks have been transferred to the buyer.transferred risks have been economicto as allsignificant as well benefits assets fixed rights recognised are tangiblefromassets significant all when sale the fixed of Book profits arising tangible of sale the on profits Book incomeOther operating mainly consists of book profitstangible assets. saleon the fixed of Other operating income the to period. same isallocated The cost of these services performed. up be to the to inproportion sheet balance date services costs services the of to estimated the total inthe of context the on the costs based incurred performed, inproportion the to services carried is fromservices to the buyer. Revenue have arising risks transferred been allsignificant well as inthe of statement recognised economic profit to rights and as loss whenbenefits allsignificant is sales from Revenue and any less arising discounts. tax Revenue isexclusive of turnover Revenue set are outyear under the the financial contingent liabilities. after Liabilities of the contract. term inthe of statement recognised profit are and leases overloss the relating operating to Liabilities Operating leases fee. and for period aspecified for anagreed ceded another to party is anasset use to the right agreement if alease as isclassed isentered into. Acontract contract on the economic based at the realities time whether a anagreement isa‘lease’ It isassessed Lease agreements GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS longer apply with effect from the 2017 financial year. financial longer the apply 2017 from witheffect exemption This no will of tax. corporation exempt are the activities levy from thethat current 3and 7of Tax the Corporation paragraphs (Wet Act op de vennootschapsbelasting), thismeans 2 Article to inthe companyAll shares Pursuant held are of Amsterdam. by the Municipality Taxes calculation. present value on a whose provisionsto based isdetermined liabilities sheet balance value and non-current added are Interest expenses of andaccount the liabilities. interest relevant rate assets the effective into Interest income on taking atime recognised are proportionate and interest expenses basis, Financial income and expenditure income under aprofit financial expenditure. andand as stated is recognised and policy, commercial dividendfinancial of the terms which in no influence significant is exerted of the N.V.basis interests accounting over Amsterdam of policies Forparticipating Havenbedrijf the on policies resultis companydetermined the This and influence. financial significant exerts the to company attributable the share interests over whose intheof results participating business inthe of interests statement recognised profit inthe of andThe results share participating is loss Share in the results of participating interests and the condition for the provision creating satisfied. been have otherwise drawnstatements known up were if they before became therecognised financial are year financial or be foreseen cannot and before possible can the that from losses end of the Liabilities they relate. which to year the to and reporting allocated are basis on anhistorical determined are The expenses Expenses
Annual report 2016 71 component. repaymentas for of the liabilities repayment component interest paid and for as the interest are presented contract of thelease finance payable instalments The by virtue lease flows. of cash fromexcluded the are statement finance leasing, including equivalents, or cash ofno cash transfer that activities.Transactions involve from financing dividends flow paid included are inthe cash Interest paid and fromactivities. dividends included are flowoperating received under the cash andreceived Interest equivalents. cash and flow consistcash statement of inthe cash resources cash The method. been in accordanceprepared withthehas indirect flow statement The cash statement flow Cash GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
Annual report 2016 72 Depreciation rates 2016 AT VALUE AS 31 DECEMBER BOOK Commissioning Depreciation andamortisation Disposals (cumulativedepreciation) Divestments (acquisitionvalue) Investments 2016 AT VALUE AS 1JANUARY BOOK Cumulative depreciation Cumulative acquisitionvalue INTANGIBLE2. ASSETS FIXED GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS Cumulative depreciation Cumulative acquisitionvalue COSTS OFRESEARCH AND DEVELOPMENT 471,378 -927,919 1,399,297 -1,166,809 232,488 232,488 1,399,297 -238,890 -238,890 33% - - - - CONCESSIONS, LICENCES AND INTELLECTUAL -841,519 1,526,967 PROPERTY 153,327 153,327 -1,119,627 685,448 1,272,954 -532,121 -383,947 -254,013 105,839 33% - -
CONSTRUCTION ASSETSUNDER - - - 205,763 205,763 205,763 205,763 205,763 205,763 - - - - - 1,156,826 - -1,769,438 -565,248 -2,286,436 591,578 591,578 2,926,264 2,878,014 TOTAL -622,837 -254,013 105,839 205,763 the development modules. of E-learning and Log monitor), Duty way and water Digital (berths Port Digital the projects such as concern under primarily construction The assets DataWarehouse payroll and the AFAS programme. ZHG system, The most of important Ophelia these are: inuse. but still are in full, investmentsA few have amortised been assets inintangible fixed €249,724). (2015: €113,001 amount at of: year-end as 2016 includeitem licences withacarrying forThis the benefit of the operations of Amsterdam. Port business of applications and majorin new ICT of maintenance these applications investment relateto property licences andConcessions, intellectual Warehouse. the Data applications for the collection of and dues harbour the expansion of such as software, proprietary to withrespect paid third to parties andThe costs development of research the relate to amounts
Annual report 2016 73 Divestments (acquisitionvalue) Depreciation rates DECEMBER 2016 AT VALUE AS 31 BOOK Cumulative acquisitionvalue Investments JANUARY 2016 AT VALUE AS 1 BOOK Cumulative acquisitionvalue 3. TANGIBLE ASSETS FIXED GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS Disposals (cumulativedepreciation) Cumulative depreciation Cumulative depreciation Third-party contributions Commissioning Depreciation andamortisation PREPAID GROUND LEASE FORLAND 276,320,478 282,333,539 - -6,013,061 300,354,830 300,354,830 AND SITES -24,034,352 -18,021,291 -6,013,061 0-2% - - - - 60,497,340 60,497,340 63,387,450 - AND ROAD 81,478,710 -2,890,110 -2,890,110 -24,753,849 -18,091,260 85,251,189 GROUND -6,662,589 4,326,297 -553,818 WORKS WORKS 2-10% - - 119,240,353 116,439,092 116,439,092 134,636,211 - - -2,801,261 -2,801,261 136,480,763 -20,041,671 -15,395,858 -4,645,813 2,058,422 -213,870 WORKS WATER 2-10% - FIXED ASSETS 31,963,248 - 30,167,737 30,167,737 -10,308,278 -1,795,511 -13,903,403 42,271,526 TANGIBLE 44,071,140 -3,595,125 1,799,614 5%-20% OTHER - - -
UNDER CON- 10,995,367 10,995,367 STRUCTION - 6,575,715 4,419,652 - 10,995,367 -8,184,333 12,603,985 6,575,715 ASSETS - - - - 503,500,305 494,420,014 494,420,014 - -9,080,291 577,153,289 -82,733,275 -20,916,588 565,316,992 -61,816,687 12,603,985 -767,688 TOTAL - -
Annual report 2016 74 There were no disposals in the financial year. inthe financial noThere were disposals Disposals million). investment alsobeen has inthe (€1.5 Prodock building istheinvestment Nieuwe Hemweg major inthisrespect project (€1million). maintenance There The most important Investments mainlycomprise major of maintenance the infrastructure. Investments Weather million), Termination becompleted which will in2017. (€3.1 under isthe development quay inthe construction item assets The largest projectfor the 4thAll under construction Assets equipment. computer include installations, assets equipment fixed vessels, Other tangible and office Other tangible fixedassets of the area. entire port worksGround, road and water investments concern inthe infrastructure works water and road Ground, amounts over period. a50-year the prepaid the to ofof ischarging ground statement profit Amsterdam lease and inequal loss Port on the sheet. balance acounterpart premium for as withshare ground land and lease sites” contribution of the buyout payment and “Prepaid the buyout as payment capitalised been has made acapital has on the the economic Municipality Based of50 years). realities the transaction, and conditions isprovidedterms of ground the lease principal at the (in end ofperiod the first Anoption of and the the Amsterdam. update to and Port Amsterdam ground general revise lease of the municipality between agreed as are deemedhaveto settled, of 50 been period years first payments The ground annual ownership lease of inthe legal sites. the port has Amsterdam Upon of itsincorporation the company The Municipality on acquired sites alease. the port sites and land for lease ground Prepaid GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS
Annual report 2016 75 PARTICIPATING INTERESTS IN GROUP COMPANIES million). isanamount receivable Havengebouw due N.V.other from non-current main (€0.4 The paid infull. million), which was include receivables B.V. anamount (€10.4 ACT The non-current due from full. paid inthe under year million review. was paid in RON debt This from was receivable N.V.The of non-current €11.2 ASSETS FIXED FINANCIAL 4. GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS 2016 AT VALUE AS 31 DECEMBER BOOK Share inresults Paid-in share premium 2016 AT VALUE AS 1JANUARY BOOK DECEMBER 2016 AT VALUE AS 31 BOOK Paid-in share premium JANUARY 2016 AT VALUE AS 1 BOOK Repayments Interest Movement inprovisions influence isexerted interests overwhichsignificant Share inresult ofparticipating Current portion PARTICIPATING INTERESTSIN HALLUM CRUISEB.V. GROUP COMPANIES 6,018,265 - - - 2,000,000 8,551,786 8,551,786 3,605,187 3,761,351 3,761,351 156,164 533,521 - - 2,790,435 NON-CURRENT RECEIVABLES HALLUM B.V. 2,413,078 377,357 - 1,114,174 1,114,174
-468,059 -12,200,819 11,639,643 556,339 471,400 2,000,000 RON N.V. 2,000,000 - - - 8,551,786 7,132,439 7,132,439 -468,059 6,018,265 -12,200,819 9,108,125 11,639,643 2,000,000 2,000,000 TOTAL 471,400 533,521 TOTAL 533,521
Annual report 2016 76 PREPAYMENTS AND ACCRUED INCOME €13,508,925). (2015: invoicedcontracts but the to sumof not €15,270,300 yet receivables, the paid trade have eliminated been from and invoices The receivables ground trade group lease pending. from companiesThe receivables ordinary concern €1,758,593). (2015: receivables trade the total from deducted been has A provision for debts doubtful of €1,245,600 OTHER AND 5. RECEIVABLES TRADE GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS Other receivables Taxes andsocialsecuritycontributions Grants tobereceived Prepaid expenses Prepayments andaccruedincome Prepaid discountandtransitionalschemes Amounts owedbygroup companies TOTAL AS ATTOTAL AS 31 DECEMBER Invoices pending ATTOTAL AS 31 DECEMBER Trade receivables 20,530,727 20,530,727 11,912,783 11,912,783 2,696,404 1,179,119 5,070,651 2,183,573 8,126,983 783,036 490,961 2016 2016 - 223,418 622,256 1,166,313 1,587,117 12,236,962 3,018,965 5,618,893 12,236,962 12,236,962 21,589,157 8,951,681 400,514 2015 2015
Annual report 2016 77
1 JANUARY 2016 AT AS BALANCE 2016 31 DECEMBER AT AS BALANCE Paid-up share capital 7. EQUITY SHAREHOLDERS’ flow statement. setout are inthe The changes cash available. freely equivalents are and cash equivalents placed on The cash deposit and at the cash sheet balance date. noThere are cash EQUIVALENTS CASH AND CASH 6. GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS reserves Changes inlegal 2015 Dividend paidfor for 2015 Profit appropriation financial year Results for2016 TOTAL AS ATTOTAL AS 31 DECEMBER Cash atbank 45,000 45,000 CAPITAL - - - - - ISSUED SHARE
300,584,972 300,584,972 300,584,972 300,584,972 - - - - - PREMIUM RESERVE SHARE
684,718 684,718 LEGAL AND STATUTORY RESERVES - - - - 397,134 397,134 -287,584 34,071,998 34,071,998 26,052,957 23,181,896 - - -50,000,000 RESERVE 52,583,477 2016 OTHER 287,584
52,583,477 71,893,754 71,893,754 - - -52,583,477 FOR THE 71,893,754 RESULTS YEAR 47,881,102 -
47,881,102 377,080,063 398,973,817 - - - -50,000,000 71,893,754 TOTAL 2015
Annual report 2016 78 213,340). €213,340). (2015: amounted€164,646 to reserves the year-endAt legal 2016 reserve. withthe inthe exception processed revaluation are that of of assets reserves revaluations interests isincluded of the in the participating inassets legal and decreases inthe increases share paymentunable realise to of of the The Amsterdam’s without Port positive results limitation. the that company the to extent created been interests has is for participating reserve The legal (2015: amountedto €232,488 reserves theAt year-end legal feasibility. 2016 and financial commercial development costs whereby the applicable conditions technical, to have met been withregard for development reserve up The the legal created to been amountinterests. costs has of capital for of ismaintained the costs of capitalisation development reserve The legal and participating STATUTORY AND RESERVES LEGAL on the sheet. balance acounterpart premium as with share payment for ground land and lease and sites” “Prepaid the buyout as payment capitalised been has contribution of made acapital the buyout of has Amsterdam the Municipality the transaction, on the economic Based of realities of of and Amsterdam. Port Amsterdam the municipality between agreed as payments are deemedhaveto settled, of 50 been period years inthe first Upon itsincorporation the company The ground annual lease on acquired sites alease. the port SHARE PREMIUM RESERVE of anominal of shares each. €1 value ordinary and consists of 45,000 is€45,000 upon 2013 and incorporation paid-up on capital 1January share The issued of €1. withavalue each shares, divided into 225,000 is€225,000 The authorised capital CAPITALSHARE GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS 471,378). €471,378).
Annual report 2016 79 Interest accrualandchangeindiscountrate Release Withdrawals BOOK VALUE AS AT 31 DECEMBER 2016 AT VALUE AS 31 DECEMBER BOOK Allocations BOOK VALUE AS AT 1 JANUARY 2016 AT VALUE AS 1JANUARY BOOK standard Port of Amsterdam contract provisions ofcontract Amsterdam Port stipulate thestandard ground must bedelivered of inits Amsterdam Port to statements do not includeThe financial any provision the For for these contamination sites, soil on other sites. interest isadded of the to €1,395,876. provision. The provision nature ashort-term has indexes and anticipated impact on decontamination costs of technological developments Annual inthis field. price time of known decontamination (inthe the decontamination future), expected on costs, the currently based isestimated decontamination expenditure expected This at the locations concerned. decontamination expenditure The provision or at the ground of present of on the lease value lease. asite isstated expected termination Amsterdam The provision pollution the to relates residual decontamination for liabilities of accepted deferred by Port DEFERRED DECONTAMINATION LIABILITIES DECONTAMINATION LIABILITIES 8. PROVISIONS GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS Demolition ofbuildings TOTAL AS ATTOTAL AS 31 DECEMBER Deferred decontaminationliabilities DECONTAMINATION 26,859,519 26,859,519 51,511,009 51,511,009 LIABILITIES 20,734,599 -1,022,961 4,939,852 - 1,934,808 2,384,540 51,511,009 51,511,009 EMPLOYEE 51,140,601 BENEFITS 1,185,017 370,408 -559,288 -352,218 176,221 2016
PROVISIONS 878,488 878,488 2,659,000 -1,659,000 -131,512 OTHER 10,000 - 26,859,519 26,859,519
556,150 26,303,369 54,774,037 31,453,327 31,453,327 21,929,616 -2,218,288 -1,506,691 5,116,073 TOTAL 2015
Annual report 2016 80 interest isadded the to employeeThe provisionsof €280,983. benefits. havenature ashort-term payments. Annual benefit anniversary paymentsemployees service to former future statutory and obligations inconnectionProvisions withnon- (2017-2020) have for formed been long-term EMPLOYEE BENEFITS interestAnnual isadded of the to €30,301. provision. The provision nature ashort-term has indexesprice and the anticipated impact on the costs of technological developments inthisfield. time of demolition known the expected costs, on the currently based (intheestimated future), is expenditure expected This at the locations concerned. expenditure of thevalue expected The provision or at the ground present of on lease lease. asite isstated termination Amsterdam The provision for demolition the to relates demolition of buildings of costs accepted by Port DEMOLITION OF BUILDINGS of long time. place period over avery take alsousually of will these Decontamination sites known of the prior termination to contract. which the means that contamination isnot isterminated, the until isnot contract lessee measured belargely paid by will the polluter. by the the Inaddition, contamination caused expenditure decontamination future that Itistherefore expected of on the termination contract. state original GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS TOTAL AS ATTOTAL AS 31 DECEMBER Anniversary bonus employees Former 2.384.540 1.710.071 674.469 2016 736.510 1.934.808 1.198.298 2015 of the Westpoort noise The zone. net isalmost present value identical the to nominal value. The other provisions aprovision concern noise for of inhomes reducing aresult the expansion as OTHER PROVISIONS
Annual report 2016 81 Covenant Houthavens (€ includes for contributions the third parties implementation liabilities’ from ‘otherThe received item non-current of the LIABILITIESOTHER NON-CURRENT sum of € the to liabilities, isrecorded under payments Ground current lease relating inadvance 2017 ground to received lease. paymentsGround lease the relateto inadvance received redemption of future inrespect amounts lessees from received GROUND LEASE PAYMENTS RECEIVED IN ADVANCE ATTOTAL AS 31 DECEMBER Ground leasepaymentsreceived inadvance 9. LIABILITIES NON-CURRENT GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS OTHER NON-CURRENTLIABILITIES Other non-current liabilities 2,175,659 (2016: € (2016: 2,175,659 1.1 million) and the guarantee deposits received (€ deposits million) received and the guarantee 1.1 2,193,245). 2,193,245). REPAYMENT 1-5 YEARS 8,648,848 8,648,848 8,648,848 - REPAYMENT 56,324,261 > 5YEARS 56,324,261 54,027,975 1.1 million). 1.1 2,296,286 64,973,109 64,973,109 62,676,823 2,296,286 TOTAL 2016
66,541,980 66,541,980 64,807,681 1,734,299 TOTAL 2015
Annual report 2016 82 presented as ‘amountspresented as institutions’. owed credit to however, and in2015, used was The facility 2016. December at 31 not as had used been facility This for additional costs. withdue regard valued been has arrangement financing for This thisloan. furnished been has No collateral met comfortably in 2016. was requirement This capital. 30%of the at to least total must equate shareholder’sadjusted equity concluded alsobeen provider Anagreement has withthe +0.5%. credit stipulates that therate on the 3or1-month, based 6months at 3-month aninterest rate 1, of or cash 6-month Euribor for and periodically conditions market beused on terms and standard can isbased The facility of of construction the lock only new at sea IJmuiden. at beclaimed the can start of thisfacility €50million million. the to agreement’ sumof €110 facilities a‘Revolving ofhas Amsterdam Port AMOUNTS OWED TO CREDIT INSTITUTIONS INCOME DEFERRED AND 10. CURRENT LIABILITIES, ACCRUED LIABILITIES GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS TOTAL AS AT 31 DECEMBER AT TOTAL AS 31 DECEMBER Trade creditors Amountsowedtocredit institutions Taxes andsocialsecuritycontributions Pensions Contractrevenue received inadvance Otherliabilitiesanddeferred income 40,001,479 40,001,479 19,756,898 16,072,845 1,554,495 2,293,946 323,295 2016 - 106,184,459 5,048,558 5,457,589 326,156 59,999,311 20,594,850 14,757,995 2015 OTHER LIABILITIES AND DEFERRED INCOME TOTAL AS AT 31 DECEMBER AT TOTAL AS 31 DECEMBER Incentivesanddiscountspayable Holidaypay/days Grantsreceived inadvance Revenuereceived inadvance Otherliabilities 16,072,845 16,072,845 2,686,919 2,498,179 1,577,990 8,637,076 672,681 2016 900,709 3,294,217 1,730,554 2,534,696 14,757,995 6,297,819 2015
Annual report 2016 83 Amsterdam has formed aprovision formed has forAmsterdam debts. doubtful of Port provide to asked are payment abankguarantee. customers history. large customers’ New due the to payment applied isnot terms and necessary our limitthisrisk to instruments of The financial use customers. of large inthe case risks credits ofmainly incurs Amsterdam Port CREDIT RISK pounds. British involve amounts dollars small and inUS transactions and very transactions relatemainly to currency Foreign almost exclusively transactions inEUR. ofperforms Amsterdam Port CURRENCY RISK in2016. contracts did notenter of Amsterdam Port of into fixed-interest any loans and receivables. derivatives value fair risks on the alsoincurs of Amsterdam Port flows. cash of future inrespect risks incurs of Amsterdam Port agreements, interest rate and debts For receivables withvariable liabilities. employee current decontamination liabilities, and benefits and interest-bearing non-current cash theequivalents, provision cash and for assets), fixed under financial (particularly on receivables interest-bearing risk aninterest rate N.V. Amsterdam incurs Havenbedrijf INTEREST-RATE RISK risk-averse.risks is defensive and financial to respect with 2012 from policy the underlying of treasury Amsterdam’s Port management, principle isthat risks isincludedrisk below. ofTheto policy the company financial to regard With withrespect made reference is to the eachnotes item. instruments, on financial For the notes on primary GENERAL 11. FINANCIAL INSTRUMENTS GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS Netherlands, which restrictions. means there no are monetary takeplace in the flows cash as almost all risk flow no cash to exposure ofhas Amsterdam Port RISK FLOW CASH 2016. December at 31 not as had used been facility This and rates. infavourable terms resulting arrangement, financing into amore advantageous the ofconverted itsfunding end Amsterdam Port of 2015 At the reputation of of Amsterdam. Port or losses damaging unacceptable without incurring conditions, obligationsdifficult and inboth financial normal and future meet to current available is liquidity sufficient possible, as far as isthat, management risk Theon premise of time. liquidity obligations itsfinancial unable of being of fulfil to Amsterdam Port the to relates risk risk Liquidity RISK LIQUIDITY follows: as bankswere of withwhich of currently the Amsterdam Port parties the S&Pratings 2016, at December for As agood when ofstrives spread Amsterdam Port depositingthat any surpluses. under are that the of supervision aprofessionalstanding principle is Asecond supervisor. basic witha institutions good credit of only withhighly Amsterdam reputed does financial business Port isthat financing external equivalents and attracting and cash The principle for depositing cash COUNTERPARTY RISK • • • ABN AMRO:ABN A A+ Rabobank: AAA BNG:
Annual report 2016 84 The following agreements are currently inforce:The following agreements currently are The other 2040. agreements the remained same. there at until least remain roadinside can the ring the that companies existing decided the on Municipal Executive sites the located port agreement, coalition Inthe 2014 anddepend process therefore are uncertain. on thisdecision-making still consequences forof Amsterdam Port in2025.The financial bereassessed will transformation and content The rate of withthe non-port the sites. starting strategy, transformation of would Amsterdam agradual the pursue that Municipality determined itwas of July 2013, meeting Council adopted Transformation which intheIn the City was Havenstad Strategy, Transformation area PROVISIONAL ARRANGEMENTS statements. inthe financial known recognised and are disputes claims us to In accordance consequences withthe applicable theof the financial legal accounting standards, DISPUTES AND CLAIMS ONGOING follows:The most as off-balance are important sheet arrangements operations. business the development concern commitments primarily and and of maintenance internal area the port and arrangements These and parties. commitmentsrights withmunicipalities and external financial on made provisional long-term and taken ofhas arrangements Amsterdam Port 12. LIABILITIES AND CONTINGENT ASSETS GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS • • • New allocations New or and inconsultation up with expansions 2029, to possible are withaterm environmental contours; withinthe existing 2040, location at until least Existing at companies their remain current can Covenant Houthaven/NDSM; Port of Amsterdam will gain possession of the buildings ‘without financial consideration’. ‘without financial of possession the buildings gain of will Amsterdam Port 30months month million and every after by bereduced 0.1 will the ODS to fee of Amsterdam, Port and ODS the to According acquired agreements are by between reached athird party. buildings € was at 1May 2015 as for fee The the agreed buildings lease. on along-term and of let on alsotook Amsterdam date Port itto that over ODS OGA) the land from Amsterdam, Gemeente of Development Amsterdam (Ontwikkelingsbedrijf The Municipality 2015. Authority on B.V. 1May (ODS) ODS from site on of took the ODS Amsterdam Port former over the buildings ODS was at year-end as 2016 of maximum Amsterdam’s contribution liability The remaining is€3million. Port for Amaximum made been the available sumof time. innovationthat €9million has fund. regulations) help that improve to the and environmental living environment situation at existing beyond extend that the minimum companies’ (measures obligations under theandstatutory laws which companies bepaid acontribution exceed that the can environmental towards measures To shipyard. setup been NDSM from aninnovation give has thisagreement concrete fund form, the companies there and established the development of housing inHouthaven and on the the development of facilitating and the port between balance agreement achieve isto the right The the aimof companies Province the of Amsterdam, North-Holland inthe and port. various concluded ofhas the Amsterdam CovenantPort Houthavens of withthe municipality Covenant Houthavens • • • 2.0 million). €2.0 million (2015: €1.9 level. The land must bedelivered whereby means ‘industry’ clean, clean amount for allof the new investments carrying the on full transfer; reimbursed not of will be Amsterdam Port that withthe Municipality,agreed withthe possibility Major new investments exceeds that 2029must be period withadepreciation inthe area amount; at the then-applicable carrying at the time of assets transformation of for Amsterdam Port allcurrent reimburse will The city the Municipality; 3 million, provided3 million, the
Annual report 2016 85 amount, covered in part by a right of mortgage on property underlying on the property transaction. of mortgage by aright amount, covered inpart conditions and up million at amaximum to premium anannual of over of the 0.55% €23.3 principal specific to subject the to province of North-Holland of and Zaanstad the municipality security providedof Amsterdam Port 2016 February in project, the Hoogtij of refinancing For the purpose Hoogtij Project inclusive. 2018 December 31 to 2016 applies namely 1January The guarantee from for of years, amaximum three period Waterkant plan if obligations the isunable C.V. under social meet to from itsfinancial that plan. million) ensuing up anamount to €1.0 million (2015: surety of ofstands €0.9 Amsterdam Port Waterkant guarantee the and timing method because of decontamination notestimated, are yet known or determinable. the amount bereasonably cannot as decontamination liabilities of the costs beincurred to No provisions area. inthe have for formed been transformation located are contaminants these and Some ofresponsibility. expense decontamination at Amsterdam’s of Port are the known of contamination have identified been for area inthe port whichVarious the types costs of Soil remediation million). €0.2 million (2015: forofis€0.1 Amsterdam Port liability The remaining studios. contribute to the to renovation, expansion undertaken of and construction artists’ has Amsterdam concluded been An agreement has withthe Ruigoord foundation, under which of Port Ruigoord million). €2.3 million is€0.7 (2015: 2016 December at 31 as liability have not yet The acquired been remaining buildings by The athird remaining party. €350.000. inapayment resulting of 2016, included inlate inanew contract ofOne the was properties GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS framework agreements for the management and maintenance of the port area, for agreements forframework example. the and of management maintenance area, the port A number of contingent have entered alsobeen into liabilities with suppliers of inthe form etc. cleaning road maintenance of plants and shrubs, services, IT of vehicles, officerents, leasing settled, been have for not that multi-year ground contracts concern These leases operations. business internal and and of maintenance infrastructure, area the port relating ground to third leases, parties anumber ofhad obligations of Amsterdam Port towards multi-year financial theAt end of 2015, MULTI-YEAR OBLIGATIONS FINANCIAL assets. and of development the purchase inrespect of intangible fixed and tangible €8.9) million (2015: the to sumof third €3.7 parties towards liabilities of assumed Amsterdam Port theAt end of 2016, COMMITMENTS INVESTMENT TOTAL period >5years 1 year<=period5years period <1year 118.5 MILJOEN 96.0 miljoen 16.4 miljoen 6.1 miljoen 2016 95.5miljoen 121.2 MILJOEN 18.1miljoen 7.6 miljoen 2015
Annual report 2016 86 dit het resultaat op de verkoop Westerhoofd. deel een het het resultaat haventerrein van dit van betrof voortkomen. In2015 incidentelebetreffen niet uitde die baten bedrijfsuitoefening reguliere bedrijfsopbrengsten overige million). De million) and and land dredging depot €0.6 (€0.6 parties Plan million),of income Waste the the public Port from Westpoort space inthe OGA (€3.0 area forThe other on theperformed OGA to management revenues the relate mainlyto charged fees 13. REVENUE andyear isindexed annually. whereby income of the 20-40years, lease isafixed The agreements amount have aterm per 2016. inthe of statement recognised profit and in receiptsloss was million inlease sumof €76.8 A total bebroken can down these follows: contracts revenue minimum from as lease The future andrelating to sites quays. property, contracts lease alessor intoThe entered financial as group has Rental and ground lease contracts MULTI-YEAR RIGHTS FINANCIAL GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS TOTAL Other revenues Rent, ground leaseandquayfees Inland harbourdues Sea harbourdues TOTAL period >5years 1 year<=period5years period <1year 0.9 million), income from services for third million), income services costs (€0.9 from of million), energy internalisation €2.2 149,141,193 79,357,589 53,741,675 8,574,558 7,467,371 2016 1,991.0 MILLION 8,307,422 75,783,079 7,125,068 51,959,655 143,175,224 1,618.3 million 296.3 million 76.4 million 2016 2015 basis and brokenbasis down activities: according to the ofhad following Amsterdam Port number of employees on afull-time at year-end, calculated 15. EXPENSES PERSONNEL area. the thisrelatedto income on of the of the sale In2015, Westerhoofd part operations. business port income does normal that not from result The other income operating non-recurring to relates 14. OTHER OPERATING INCOME TOTAL Operation ofportsitesandoverheads Nautical activities TOTAL Wages andsalaries TOTAL Book profit onsaleofassets Charged-on employeeexpenses Other personnelexpenses Pension costs Social securitycontributions 36,978,779 23,858,796 7,328,497 2,811,636 3,684,851 -705,001 363.2 2016 2016 2016 187.6 175.6 - - 35,513,699 3,637,783 7,218,293 2,782,969 3,637,783 22,667,155 361.4 186.7 174.7 3,347,827 -502,545 2015 2015 2015
Annual report 2016 87 million is recognised undermillion isrecognised other expenditure. of theA release provision RON from receivable N.V. for the the to non-current sumof €11.2 17. OTHER OPERATING EXPENSES intangible assets. under isalsorecognised amortisation of A book loss on adivestment the to sumof €148,174 16. DEPRECIATION, AMORTISATION IMPAIRMENT AND LOSSES GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS TOTAL Other expenses Rental andground leasecharges Research andconsultancyexpenses Accommodation expenses Communication, marketingandacquisition Environment andspatialplanning ICT costs Management andmaintenanceexpenses TOTAL Depreciation oftangiblefixedassets Amortisation ofintangibleassets 14,649,469 21,687,599 21,687,599 20,916,588 -9,400,378 1,878,189 2,443,982 2,433,421 2,760,766 5,883,948 8,030,185 619,356 771,011 2016 2016 21,822,596 33,957,721 575,382 4,258,892 1,571,765 2,518,450 2,840,149 6,710,181 21,247,214 4,861,251 2,485,494 8,711,539 2015 2015 The shareholder adopted the remuneration applicable policy of of members to the Port Remuneration policy DIRECTORS SUPERVISORY AND BOARDDIRECTORS BOARD THE OF OF 20. REMUNERATION MEMBERS THE OF 19. RESULTS IN SHARE PARTICIPATING OF INTERESTS 18. INCOME EXPENDITURE AND FINANCIAL Interest onemployeebenefits Interest ondecontaminationprovisions Interest onMunicipalityofAmsterdam loan Interest onlatepaymentstocreditors TOTAL Results ofHallumB.V. Results ofRONN.V. TOTAL TOTAL FINANCIAL EXPENSES TOTAL FINANCIAL INCOME Interest duetodeferred paymentofdebts Results ofHallumCruiseB.V. Other interest income Interest onemployeebenefits Interest ondecontaminationprovisions 156,164 -176,221 - 4,465,113 4,465,113 - -5,169,142 -5,169,142 -4,939,852 704,029 704,029 533,521 377,357 318,662 385,367 -11,936 -41,133 2016 2015
- - - 165,057 165,057 -5,238,181 -3,100,571 -2,742 267,302 239,150 307,188 -5,235,439 1,248,353 - 2,137,610 - -142,131 382,805 2015 2015
-
Annual report 2016 88 inclusive of holiday pay and exclusive of employer’s social security contributions. inclusive of holiday pay and exclusive of security employer’s social The amounts are stated cases. inindividual salaries increase Board can theaddition, Supervisory In Agreement. inthe Labour Collective agreed cost increase the to wage isequal that a percentage by period in the 2015-2016 of increased were the of members the Board ofThe salaries Directors Fixed remuneration of pension including contribution the to sum She asalary received 2016. December 31 to 2016 August following 1 the to aconsultant Board of from her Directors of as resignation, the Amsterdam Port to affiliated Inaddition Meijer was the to above-mentioned remuneration, Dertje 2016. December appointed by the shareholderand of of Board was of chair the Amsterdam Directors Port on 6 from 2016 1 August chairman acting was Overtoom Koen Officer Operating Chief 2016. 1 August from witheffect Meijer of stood ofBoard of down chair the Amsterdam Directors Port as Dertje present aproposal for anew remuneration policy. remuneration Board will Following policy, of the anevaluation current the Supervisory 2016. up drew anew remuneration interests inFebruary Amsterdam for framework itsparticipating remuneration variable andpensionof a salary, of The contribution. afixed basic Municipality remuneration This anemployee offers policy Board. consisting benefits package Supervisory on of the the aproposal basis from 2013, on 5December in2016 Board ofAmsterdam Directors GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS TOTAAL D. Meijer DIRECTORS K.J. Overtoom M.R. deBrauw 80,080 for this role. €80,080 1 START OF 01-11-2015 01-04-2013 01-04-2013 TERM 01-11-2019 01-08-2016 01-04-2017 END OF TERM REMUNE- 392,750 RATION 138,375 102,389 151,986 FIXED VARIABLE REMUNE- RATION 29,037 13,838 15,199 - SEVERANCE 99,595 PAYMENT 99,595 - - CONTRIBU- PENSION 15,193 40,471 15,710 TION 9,568 561,853 182,895 TOTAL 211,552 167,406 2016 the end of 2016. hisappointed on 1October term board member at supervisory den as resigned Boer Dook van period. intervening den took Boer Dook van on 2015. the role on inthechair 1December chair of acting Van who der Steenhoven stood down succeeds Smit, René 2016. as 1August from Board witheffect appointed der Steenhoven ofKoos van was chair the Supervisory SUPERVISORY BOARD MEMBERS pension scheme the scheme isthe as same for ofemployees. Amsterdam Port ) pension Their ABP scheme. Pensioenfonds, Employees Burgerlijk Public (Algemeen for Pension Fund inthe General part take ofThe members the Board of Directors costs Pension equally. valued are objectives and objectives social The commercial following objectives: Variable remuneration on of of the objectives Amsterdam. isbased Port strategic and they performance that followset insuch the away commercial from or arise are criteria These Board. by the established Supervisory criteria of performance remuneration on of the isdetermined anumber basis variable annual of Director’s remuneration of variable amaximumgranted of The of Board 10% their salary. gross may be under ofThe of members the the association Board articles of Directors Variable remuneration • • • • one of or the more organisation. relating the to objectives performance one of or the more team; relating the to objectives performance one objectives; or more social of Amsterdam; Port result of one financial the relatedto overall or more objectives, commercial
Annual report 2016 89 TOTAL K. vanderSteenhoven P.G. Stibbe W.J. Maas J.F.J.M. deHaas R.I. Doerga R.M. Smit J.F.C. vandenBoer standard. linked the to on WNT board amaximum members, based remuneration for new supervisory of is The new remuneration interests Amsterdam of for the policy Municipality participating on one of served themembers aforementioned committees in2016. orCommittee the Appointment All remuneration anannual receive Committee of €5,000. of aremuneration receive Board members Supervisory 1August. from witheffect intotal) (€26,850 publieke semipublieke en 2standard topfunctionarissen bezoldiging normering WNT) sector, for Remuneration) (Wet (Standards Act Sector and Semi-Public inthe Public Senior Executives year. per The shareholder€30,000 setthe remuneration by received the of at 15% new chair the appointed, the remunerationUntil Board was the was new chair of of the chair the Supervisory GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS 20,000 per year. In addition, members who serve on the Audit Committee, the on Remuneration the who Committee, year. members Audit per Inaddition, serve €20,000 AANVANG TERMIJN 01-08-2016 15-04-2014 06-03-2013 15-12-2015 06-03-2013 06-03-2013 06-03-2013
01-10- 2016 TERMIJN 01-08-2020 15-04-2018 06-03-2017 08-12-2019 06-03-2017 06-03-2017 EINDE
157,854 11,187 25,000 25,000 25,000 25,000 25,000 21,667 2016 148,333 25,000 25,000 18,750 25,000 29,583 25,000 2015 - supply the green energy generated to local companies local to supply generated and households. the Itisone energy green of steps the next workof and Eneco will Amsterdam together of inthe area wind Both energy. companies aimto of which as Port The 2016, interest inWindpark Ruigoord acquired on 30December B.V. was 2016. sold August on 19 mbHwas Beteiligungsgesellschaft Duisburg/Amsterdam The interest inHafen the following interests:has participating istheshareholder of of 100% Amsterdam Amsterdam Port Municipality of of Amsterdam. Port The principle. place length on of the take theTransactions basis arm’s withrelated parties 21. RELATED PARTIES Windpark Ruigoord B.V.Windpark Bin2Barrel HoldingB.V. Sail BeheerB.V. Keyrail B.V. Portbase B.V. Hafen Duisburg/Amsterdam BeteiligungsgesellschaftmbH Port ofAmsterdam B.V. International Port ofAmsterdam ActivitiesB.V. Mainport InnovationFundIIB.V. Waterkant C.V. Regionale OntwikkelingsmaatschappijN.V. Amsterdam Westpoint v.o.f Bouw- enHandelsmaatschappijHallumB.V. Waterkant B.V. Hallum CruiseB.V. DEELNEMING PER31DECEMBER: IN PROCENTEN LC O BUSINESS OF PLACE Amsterdam Amsterdam Amsterdam Zwijndrecht Amsterdam Amsterdam Amsterdam Amsterdam Amsterdam Amsterdam Amsterdam Amsterdam Amsterdam Rotterdam Duisburg 100% 33,33% 100% 33,33% 100% 100% 23,03% 47,5% 2016 100% 100% 50% 10% 15% 25% 0% 2015 33,33% 47,5% 23,03% 33,33% 100% 100% 50% 10% 100% 100% 100% 100% 15% 25% 34%
Annual report 2016 90 statement ofstatement profit and loss. as costs inthe year financial relating the to fees 2016 the total recognised ofhas Amsterdam Port follows: &Young auditor Ernst The breakdown of the paid fees the to external Accountants LLPisas AUDITOR’S FEES EXTERNAL 22. note costs (see of 15 statements): the notes the to staff financial Total of Board under part of remuneration the association. as articles isrecognised Supervisory namely and (key management) the of of the management Amsterdam, Board of Port Directors The relateentirely notes relatedon parties to the statements. thesenior notes the to financial 20ofFor abreakdown section to refer of please the remuneration by received management, association of articles the under Board Supervisory and Directors of Board the with Transactions ofwithin the Amsterdam. port the companies partnership in the strategic entered inorder into in2015 improve to sustainability GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS TOTAL Other non-auditengagements Other auditengagements Financial statementaudit 100,490 100,490 12,890 82,500 2016 5,100 140,743 5,900 18,530 116,313 2015 financial statements in forming an opinion. in forming statements financial of the for users importance at the or sheet balance of are as date material situation the actual about the which information sheet balance provide date There have no been events after further 25. SUBSEQUENT EVENTS beadded million, the to other reserves. and the that €21.9 remainder of the capital netshare result, proposes over adividend that the of outstanding Board of €50million bedistributed Directors the Code, Civil 1of the Dutch 2:392paragraph and Article of association of articles Amsterdam of the Port Inaccordance withthe provisions million. of 24.3 Article is€71.9 The net in2016 result NET RESULT24. APPROPRIATION PROPOSAL effect. that to submitted the appropriationMeeting alsodetermined of the profit in accordance withthe proposal General The adopted were Meeting Maystatements of 09 General 2016. inthe financial The 2015 23. APPROPRIATION 2015 THE OF PROFIT
Annual report 2016 91 signed: P.G.signed: Stibbe (Philip) Smit (René) R.M. signed: Maas W.J. (Willemijn) signed: Haas de J.F.J.M. (Jeroen) signed: signed: R.I. (Ingrid) Doerga Chairman Steenhoven der van (Koos) K. signed: SUPERVISORY BOARD statements: financial 2016 the For AMSTERDAM, MARCH 30 2017 GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS CFO Brauw de (Michiel) M.R. signed: CEO Overtoom (Koen) K.J. signed: DIRECTORS OF BOARD
Annual report 2016 92 accordance with Part 9 of Book 2 of the Dutch Civil Code. 9of Book Civil 2of theaccordance Dutch withPart in and of for itsresults 2016, 2016 December at N.V.’s 31 position Amsterdam as of Havenbedrijf In our opinion view theof the accompanyingfair and financial true give a statements financial Amsterdam. report annual N.V., in Amsterdam Havenbedrijf based the statements of We financial the have audited 2016 in included 2016 statement opinionOur financial the of audit the on Report To: the shareholders N.V. Amsterdam of and Havenbedrijf the Board of Directors 27. INDEPENDENT AUDITOR’S REPORT setalowerdividend rate) limit(afixed has of € Executive continuity. N.V.’s Amsterdam not financial TheMunicipal will Amsterdam jeopardise Havenbedrijf minimum dividend any that and provisions dividend contains payments guarantee to which serve N.V.. Amsterdam 25)of The dividend provides (Article Havenbedrijf policy forof a Association the relevant provisions (Havenovereenkomst, Agreement 9)and inthe the Article Port Articles ismade Reference to of the dividend Amsterdam. concerning the to municipality distribution N.V. anindependent Amsterdam became When Havenbedrijf entity, agreements made were ASSOCIATION OF ARTICLES THE 26. PROFIT APPROPRIATION UNDER information Other GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS 25.6 million. million. 25.6 Based on we conclude the followingBased the that other performed, procedures information: other consists that of: information contains thereport thereon, annual report and statements our In additionauditor’s the to financial Report on other information included in the annual report for our opinion. We believe and the that evidence audit appropriateto issufficient we haveprovide obtained abasis of Code Ethics). Dutch Verordening beroepsregels en accountants (VGBA, gedrags- we haveindependence complied regulations inthe withthe Netherlands. Furthermore, independence) to for Professional aregulation and other withrespect Accountants, relevant of Code Ethics (ViO, de accountants onafhankelijkheid bij assurance-opdrachten van inzake We independent are N.V. Amsterdam of inaccordance Havenbedrijf withthe Verordening section for of report. responsibilities our statements the of audit the financial inthe Our described further are under responsibilities those Our standards on Auditing. We law, our conducted inaccordance audit Standards withDutch the including Dutch for our opinion Basis The financial statements comprise: statements The financial • • • • • te information. other and report; the Directors’ information. of the the notes accounting comprising and asummary policies other explanatory the of statement profit and forloss 2016; 2016; December the at 31 sheet balance as
Annual report 2016 93 financial statements. financial significant doubtto continue on the mayas a company’s cast that inthegoing concern ability but should do to no events Management so. alternative and realistic or disclose circumstances has of accounting either intends management unless liquidate to the company operations, or cease to mentioned, theusing basis should going management concern statements prepare the financial framework reporting on the financial continue to Based the agoing company’s concern. as ability responsible is management ofassessing for the preparation part statements, of theAs financial error. or fraud whether dueto misstatement, frommaterial free are that statements preparation of financial enable to the responsible control isnecessary for determine such management internal as is management Furthermore, Code. 9of Book Civil 2of thein accordance Dutch withPart isresponsibleManagement for thestatements presentation preparation of and the fair financial statements for thefinancial of management Responsibilities Description of the responsibilities for the financialstatements Code. Book Civil 2of the and inaccordance 9, Dutch the withTitle report other details Directors’ isresponsibleThe for up the Board of including drawing the Directors other information, statements. financial the inour of audit than scope of isless thescope those of performed the performed procedures 720.The Standard and Code the 9of Dutch the Book requirements Civil 2of the of Dutch Part we comply these procedures, By with performing misstatements. material contains information have we considered statements or whether ourthrough otherwise, of audit the the financial other We on our knowledge obtained Based the and have other read understanding information. GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS • • contains the information as required by Part 9 of book 2 of the Dutch Civil Code. 9of book Civil 2of the by required Dutch Part as thecontains information misstatements; and is consistent statements does material not withthe contain financial independence includede: audit Our requirements. requirements ethical and on Auditing, Standards throughout inaccordance withDutch the audit, We professional have judgement exercised professional and have maintained skepticism ofour and procedures of audit identified the the evaluation effect on misstatements our opinion. and timing extent of thenature, effects Themateriality statements. on of the these financial basis taken influence to theeconomic they could beexpected users reasonably of decisions aggregate, or individually inthe if, and or considered are error material fraud from may arise Misstatements and fraud. may errors not have uncovered allmaterial but which not withahigh, means we level absolute, of performed been assurance, has audit Our and evidenceappropriate sufficient audit for our opinion. obtain to allows the inamanner that assignment us audit objective plan isto andOur perform statements of for thefinancial theaudit responsibilities Our • • • • accounting, and based on the audit evidence obtained, whether a material uncertainty exists exists uncertainty on whether theaccounting, and evidence audit based obtained, amaterial concluding on of the of appropriateness the use going of basis management’s concern made byaccounting management; and related disclosures estimates the appropriateness of accounting and evaluating of the used reasonableness policies opinion of on the the control; company’s effectiveness internal but not of for an expressing the purpose appropriate are that procedures inthe circumstances, control of internal relevant the anunderstanding to inorder audit obtaining design to audit control; of or internal themisrepresentations, override may involve fraud for error,as collusion, one forgery, from intentional resulting omissions, ishigher than fraud from resulting misstatement ofopinion. amaterial not The risk detecting and evidenceappropriate audit to issufficient and that provide obtaining for abasis our risks, responsive procedures audit those to orwhether error, designing and performing due fraud to statements, of the misstatement financial of material the risks and assessing identifying
Annual report 2016 94 signed by J.M.A. Drost RA signed by J.M.A. &YoungErnst Accountants LLP 2017 30March Amsterdam, our audit. control during we identify that ininternal findings including significantany oftiming the findings, and audit significant audit the among plannedWe scope and other matters, communicate regarding, withmanagement GENERAL VALUE FINANCIAL RESULTS GOVERNANCE FINANCIAL STATEMENTS • • in a manner that achieves fair presentation. achieves fair in amanner that represent whether thestatements underlying andevents the evaluating financial transactions theincluding disclosures and content statements, of the financial structure presentation, the overall evaluating acompanyconditions continue to may cause agoing cease to concern; as events or However, future the evidence audit up report. of obtained the to our date auditor’s our on conclusions opinion. Our based are modify to inadequate, are or, such disclosures if statements inthe financial the to attention relateddisclosures draw to report inour auditor’s werequired are exists, uncertainty continue Ifwe conclude agoing amaterial that concern. as eventsrelated to significant ordoubtto conditions on the may company’s cast that ability
Annual report 2016 95 96
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www.portofamsterdam.com 2016 Annual report Design and execution NR6 www.portofamsterdam.com/en/port- amsterdam/get-acquainted-port-amsterdam Photography Adopted on 3 May 2017 Daisy Komen, Eveline Renaud