PUBLIC FINANCING AND CHARGING PRACTICES OF SEAPORTS IN THE EU Final Bremen, June 2006 Ordered by: EUROPEAN COMMISSION DIRECTORATE-GENERAL FOR ENERGY AND TRANSPORT DIRECTORATE G – Maritime and inland waterway transport; intermodality, Short Sea Shipping, Inland Waterways, and Ports Prepared by: Institute of Shipping Economics and Logistics Universitätsallee GW 1, Block A Prof. Dr. Manfred Zachcial 28359 Bremen Dr. Holger Kramer Germany Dr. Burkhard Lemper Tel.: +49-421-22096-63 Wiebke Duhme Fax: +49-421-22096-77 http://www.isl.org Erasmus University Rotterdam . Vrije Universiteit Brussels MARCONSULT s.r.l., Genoa Napier University Edinburgh; Transport Research Institute Centro de Estudos de Gestao, Lisbon Prof. H. N. Psaraftis , Athens Contents Contents Page Index of Tables XXIV Index of Figures XXXIV 1 Introduction 1 1.1 Explanatory remark 1 1.2 Structure of the report 1 1.3 Background information 1 1.4 Scope of the study 2 1.5 Limitations in the scope of the study 6 1.5.1 Sources of information 6 1.5.2 Problem of confidentiality 7 1.5.3 Aspects from the port sector related to the scope of the study 7 2 Country reports for WP I and WP II 10 2.1 Italy 10 2.1.1 Task 1.A: Identification of system for public financing of seaports in Italy 10 2.1.1.1 The institutional set-up of ports established by the 1994 reform 10 2.1.1.2 The classification of ports and the basic rules on financing port infrastructure 12 2.1.1.3 The powers of the regions in port matters 13 PUBLIC FINANCING AND CHARGING PRACTICES OF SEAPORTS IN THE EU I Contents 2.1.2 The present responsibility for financing and realising port infrastructure and the procedures to be followed to get public funds 14 2.1.2.1 An attempt to describe the present share of responsibilities for financing and realising port infrastructure 14 2.1.2.2 The system in force for the allocation of public funds to the port works 15 2.1.2.2.1 The system in force at the national level 15 2.1.2.2.2 Public funds allocated to ports from 1998 to 2004 16 2.1.2.2.3 The present procedure for granting public funds to port works 18 2.1.2.2.4 Other sources of public funds 19 2.1.2.2.5 Specific laws in favour of single ports 20 2.1.2.2.6 Aids assigned by regions 21 2.1.2.2.7 Communitarian funds 21 2.1.3 Task I b: public financing in the ports of Genoa, Gioia Tauro and Trieste 21 2.1.4 Public financing in the port of Genoa 23 2.1.4.1.1 Recall of the commercial position of the port 23 2.1.4.1.2 The financing of port infrastructure 24 2.1.5 Public financing in the Port of Gioia Tauro 29 2.1.5.1 Recall of the commercial position 29 2.1.5.2 The financing of port infrastructure 30 2.1.6 Public financing in the Port of Trieste 35 2.1.6.1 Recall of the commercial position 35 2.1.6.2 The financing of port infrastructure 35 PUBLIC FINANCING AND CHARGING PRACTICES OF SEAPORTS IN THE EU II Contents 2.1.7 WP2: charging practices of seaports in italy: General framework of the charging system of Italian ports 38 2.1.7.1 Port dues 38 2.1.7.1.1 State tax on cargo 39 2.1.7.1.2 Port tax on loaded and unloaded cargo 39 2.1.7.1.3 Anchorage tax 39 2.1.8 Task II a: Charging practices related to port operators 39 2.1.9 Task II b: charging practices related to ship operators 40 2.1.10 General view of the financial flows within italian ports 41 2.1.11 Final considerations 42 2.1.12 Annex 44 2.2 Slovenia 46 2.2.1 The slovenian situation, the port of Koper and the position of Luka Koper 46 2.2.2 The present slovenian ports basic legislative framework 46 2.2.3 The port of Koper and the Luka Koper company (General and Historical Introduction) 48 2.2.4 The port of Koper’s traffic and the countries served 49 2.2.4.1 Port governing body history 51 2.2.5 The governing body 1960/1992: the socially owned company luka koper d.o.o. 51 2.2.6 The governing body from 1993 till now: the joint stock company Luka Koper d.d. 52 2.2.7 The governing body: Luka Koper’s d.d. present organizational structure. 55 2.2.8 The governing body: Luka Koper d.d. last activity’s results 55 2.2.9 The governing body:Luka Koper d.d. and its subsidiaries and associated companies 56 2.2.9.1 Subsidiary companies 56 PUBLIC FINANCING AND CHARGING PRACTICES OF SEAPORTS IN THE EU III Contents 2.2.9.2 Associated companies 57 2.2.9.3 Luka Koper d.d and its relationship with slovenian central authorities 58 2.2.10 The situation during the years 1957/1992 58 2.2.11 The situation as from 1993 58 2.2.11.1 The february 2000 lease agreement 59 2.2.11.2 The maritime code 2002 and the decree 14th december 2002 60 2.2.12 The problems still open between the two parties 60 2.2.13 The temporary settlement of the relationships 61 2.2.14 WP1: public financing of seaports in Slovenia 63 2.2.14.1 Task Ia: identification of system for public financing of seaports in Slovenia 63 2.2.14.2 Task I b: public financing in the port of Koper 63 2.2.15 WP2: charging practices of seaports in slovenia 66 2.2.15.1 Task II a : charging practices related to port operators 66 2.2.15.2 Task II b : charging practices related to ship operators 67 2.2.16 Conclusions 68 2.3 The Netherlands 71 2.3.1 Work package 1 71 2.3.1.1 System for public financing of seaports in the Netherlands 71 2.3.1.1.1 Introduction 71 2.3.1.1.2 Governance Structure 72 2.3.1.1.3 Financing of port investment and activities 74 2.3.1.1.4 Port authorities 77 2.3.1.1.5 Municipality 77 PUBLIC FINANCING AND CHARGING PRACTICES OF SEAPORTS IN THE EU IV Contents 2.3.1.1.6 State 78 2.3.1.2 Public financing in the port of Rotterdam 79 2.3.1.2.1 Introduction 79 2.3.1.2.2 Governance structure 80 2.3.1.2.3 Public investment in port infrastructure in Rotterdam in 2003 80 2.3.2 Work package 2 83 2.3.2.1 Charging practices to terminal operators at national level 83 2.3.2.1.1 Rents and leases 84 2.3.2.1.2 Quay fees 85 2.3.2.2 Charging practices to ship operators at national level 85 2.3.2.2.1 Harbour dues for seagoing vessels 86 2.3.2.2.2 Harbour dues for inland vessels 86 2.3.2.2.3 Quay dues 86 2.3.2.2.4 Buoy dues 87 2.3.2.2.5 Waste disposal dues 87 2.3.2.2.6 Vessel traffic system 87 2.3.2.2.7 Reporting of vessels 87 2.3.2.2.8 Pilotage 87 2.3.2.2.9 Towage 88 2.3.2.2.10 Mooring and unmooring 88 2.3.3 References 88 1.1.1.1 Bibliographical references 88 1.1.1.2 Interviews 89 2.4 Estonia 90 2.4.1 Work package 1 90 PUBLIC FINANCING AND CHARGING PRACTICES OF SEAPORTS IN THE EU V Contents 2.4.1.1 System for public financing of seaports in Estonia 90 2.4.1.1.1 Introduction 90 2.4.1.1.2 Governance Structure 92 2.4.1.2 Public Financing in the port of Tallin 94 2.4.1.2.1 Introduction 94 2.4.2 Work package 2 96 2.4.2.1 Charging practices to terminal operators at national level 96 2.4.2.2 Charging practices to ship operators at national level 97 2.4.3 References 98 2.4.3.1 Bibliographical references 98 2.4.3.2 Interviews 98 2.5 Latvia 99 2.5.1 Work package 1 99 2.5.1.1 System for public financing of seaports in the Latvia 99 2.5.1.1.1 Introduction 99 2.5.1.1.2 Governance Structure 103 2.5.1.1.3 Financing of port investment and activities 104 2.5.1.2 Public Financing in the port of Riga 106 2.5.1.2.1 Introduction 106 2.5.1.2.2 Governance Structure 106 2.5.1.2.3 Public Financing in the Free Port of Riga 108 2.5.2 Work package 2 108 2.5.2.1 Charging practices to terminal operators at national level 108 PUBLIC FINANCING AND CHARGING PRACTICES OF SEAPORTS IN THE EU VI Contents 2.5.2.2 Charging practices to ship operators at national level 109 2.5.3 References 110 2.5.3.1 Bibliographical References 110 2.5.3.2 Interviews 111 2.6 Lithuania 112 2.6.1 Work package 1 112 2.6.1.1 System for public financing of seaports in the Lithuania 112 2.6.1.1.1 Introduction 112 2.6.1.1.2 Governance Structure 113 2.6.1.1.3 Financing of port investment and activities at national level 115 2.6.1.2 Public financing in the port of Klaipeda 115 2.6.1.2.1 Investment in the port of Klaipeda 116 2.6.2 Work package 2 117 2.6.2.1 Charging practices to terminal operators at national level 117 2.6.2.2 Charging practices to ship operators at national level 118 2.6.2.2.1 Vessel dues 119 2.6.2.2.2 Navigation dues 119 2.6.2.2.3 Berth dues 119 2.6.2.2.4 Tonnage dues 120 2.6.2.2.5 Sanitary dues 120 2.6.2.2.6 Passenger dues 121 2.6.2.2.7 Pilotage dues 121 2.6.3 References 122 2.6.3.1 Bibliographical References 122 PUBLIC FINANCING AND CHARGING PRACTICES OF SEAPORTS IN THE EU VII Contents 2.6.3.2 Interviews 122 2.7 Cyprus 123 2.7.1 Work package 1 123 2.7.1.1 System for public financing of seaports in Cyprus 123 2.7.1.1.1 Introduction 123 2.7.1.1.2 Governance Structure 125 2.7.1.1.3 Financing of port investment and activities – General investment responsibilities 127 2.7.2 Work package 2 128 2.7.2.1 Charging practices to terminal operators at national level 130 2.7.2.2 Charging practices to ship operators at national level 130 2.7.3 References 131 2.7.3.1 Bibliographical references 131 2.7.3.2 Interviews 132 2.8 Sweden 133 2.8.1 Work package 1 133 2.8.1.1 System for public financing of seaports in the Sweden 133 2.8.1.1.1 Introduction 133 2.8.1.1.2 Governance structure 134 2.8.1.2 The System for Public Financing of Seaports in Sweden 135 2.8.1.3 Infrastructure finance in the port of Gothenburg 136 2.8.2 Work package 2 139 2.8.2.1 Charging practises of seaports 139 PUBLIC FINANCING AND CHARGING PRACTICES OF SEAPORTS IN THE EU VIII Contents 2.8.2.1.1 Charging practises related to port operators at national level 139 2.8.2.1.2 Charging practises related to ship operators at national level 140 2.8.3 References 140 2.8.3.1 Bibliographical references 140 2.8.3.2 Interviews 142 2.9 Germany 143 2.9.1 The Framework