Modeling the cost sensitivity of intermodal inland waterway terminals: A scenario based approach

Cost characteristics of differently sized inland waterway terminals (IWTs) have not received much scientific attention. This observation is remarkable given the importance of costs in transportation decision-making. Classification of differently sized IWTs and their cost structure will lead to more insight into the container cost per terminal. Therefore, the goal of our research was to determine both the characteristics of the cost structure associated with different inland waterway (IWW) container terminal types and the sensitivity of the system to cost/TEU changes in input and operational conditions. We show that terminals with a higher container throughput encounter fewer costs, and can therefore charge a lower price. Assumed delays of 2 h per day on the waterside cause a 4.7–6.6% cost increase per container, mainly caused by extra labor costs. It is also assumed that the changing climate will influence terminal operations and results in extreme water levels (lasting two weeks occurring four times a year) causing a cost increase of 1.0–3.4%. Subsidies can cause cost reductions of 0.3–10.4% depending on the exact form, with the smaller terminals benefiting more because their investment costs are higher relative to operational costs. A subsidy can lower costs by up to 10.4%, but it is questionable whether small and medium terminals will have a lower cost price than the market price, showing that it is important for small and medium terminals to quickly grow in size.     

Charting a New Paradigm of Container Hub Port Development Policy: The Asian Doctrine

This paper proposes the conceptual model of the Asian (Port) Doctrine to explain the successful development of top ranking container ports in Asia during the past four decades. This paper draws a new paradigm for the role of government as a third governance approach in addition to Anglo-Saxon and European doctrines by describing how Asian countries have developed container hub ports by investing in infrastructure as social overhead capital to support export-led growth. We survey characteristics and outcomes in major Asian container port developments and one European port in terms of a port development policy. The findings are presented in a comparative overview of government investment in functional elements of port, maritime infrastructure and landside connections to container ports. This paper confirms that the existing two doctrines—Anglo-Saxon and European doctrines—are not sufficient to explain the Asian success in major container port developments. The proposed framework contends that a newly proposed Asian Doctrine can accomplish this with the help of cross-subsidization, strategic and administered port pricing mechanism.     

Carbon dioxide emissions from port container distribution: Spatial characteristics and driving factors

Port carbon dioxide (CO₂) emissions in China have become an ever-increasing public concern due to their significant impacts on human health and the environment. However, existing studies focus mainly on CO₂ emissions from vessels calling at the ports and cargo handling within the ports, paying little attention to the inland distribution networks. To fill this gap, this paper proposes an easily implemented method for calculating CO₂ emissions from port container distribution (PCD) and investigates their spatial characteristics and driving factors. By analyzing 30 container ports in China, the main findings are as follows. First, road transportation is the major contributor of CO₂ emissions from PCD due to the lack of rail and inland water transportation. Second, PCD carbon emissions exhibit significant local spatial clustering. That is, ports with similar geographical locations tend to present a similar pattern of PCD carbon emissions. Third, as suggested by the spatial Durbin model, PCD carbon emissions are negatively determined by local gross domestic product, number of port berths, but are positively determined by local tertiary industry value and highway freight volume, and waterway freight volume in both local and neighboring ports. These results provide empirical insights into cross-port collaboration in reducing PCD carbon emissions.     

Container Terminal Development in Mainland China and Its Impact on the Competitiveness of the Port of Hong Kong

In recent years, China's container ports have experienced a significant expansion in throughput and capacity. This paper provides a review of the sector and analyses the recent development of container ports and terminals within Mainland China. It then focuses in more depth on the competition between the ports of Shenzhen and Hong Kong. In particular, the port of Shenzhen is analysed in the context of Robinson's criteria for hub port development to try to discern whether it will become the dominant regional hub. The discussion concludes that despite Shenzhen's current competitive advantages, Hong Kong will, in all probability, retain its dominant role.     

Strategic responses to institutional forces pressuring sustainability practice adoption: Case-based evidence from inland port operations

This article investigates strategic responses of inland ports to institutional forces pressuring their adoption of sustainability practices. We postulate that even though inland port operators strive for economic viability, there are growing pressures from various stakeholders for continuous enhancement of their environmental and social sustainability practices. We apply institutional theory to classify the effects of these forces based on five institutional antecedents – cause, constituents, content, control, and context – and further expand our theoretical framework with resource dependence tenets to discuss the spectrum of strategic responses available to inland ports to deal with institutional forces. We examine our theoretical arguments with empirical evidence collected from four inland ports using a case study-based approach. We conclude that while inland ports have a strong disposition towards social sustainability, economic considerations are still most emphasized, and environmental issues are mostly regarded in compliance with the legally mandated minimum. The most important sources of institutional pressure are identified as cause, constituents, and control. In a further step, we present evidence of the inland ports’ potential strategic responses. The study also provides insights for managers and policy makers on strategic options as appropriate organizational responses to proliferating institutional pressures for sustainability practices adoption.     

广西沿海港口的航道建设

文章介绍了广西沿海三港—防城港、钦州港和北海港进港航道的现状和建设情况。指出科学合理地确定航道的建设规模、走向和选取合适的航道尺度,是广西沿海港口航道工程建设的关键和重点。     

Competition dynamics between container ports in East Asia

This paper unveils the competitive dynamics between the major container ports in East Asia by analyzing their extent and intensity. Time series data, with the longest series dating back to 1970 ending 2001, on container throughput for the ports of Hong Kong, Kaohsiung, Keelung, Kobe, Nagoya, Osaka, Pusan, Taichung, Tokyo and Yokohama are computed. Cointegration tests are employed to determine the existence of long run relationship between various port pairs. Error correction models are constructed to determine short run inter-port dynamics. The results reveal that Hong Kong and Pusan are beneficiaries from inter-port competition in the region for the past three decades. The study suggests that inter-port competition in the region would intensify in the future as the centre of gravity of cargo volume shifts to mainland China. Moreover, concentration of services by shipping lines at the primary load centers might lead to intense competition between the primary load centers and ports located in close proximity that share their hinterlands.     

Power unit ‐ Cargo space link in inland waterway navigation

This paper deals with transportation technology regarding links between power unit or motor ship and ship cargo space. These links can be divided into two groups: rigid and flexible. Rigid link, established between power unit and cargo space, is dominant in maritime and road transport (sea ships and trucks), and occasionally in transport on inland waterways (self‐propelled barges). Flexible link is used in railroad transport (between the locomotive and railroad units), partially in road transport (systems with trailers and semitrailers), and in inland waterway transport (push‐towing, pulling systems and combinations of these systems). The main goal of this research is determination of possible link types and organization of fleet for transport on inland waterways in case of flexible link.     

Can ports increase traffic while reducing inputs? Technical efficiency of Spanish Port Authorities using a directional distance function approach

The focus of this paper is on the productive efficiency of ports. We estimate a directional technology distance function using parametric techniques to analyze the production technology and technical efficiency of a set of Spanish Port Authorities observed over the period 1993–2012. Technical inefficiency is conceived as the ability of ports to simultaneously expand a given output and contract variable inputs while maintaining quasi-fixed inputs and other outputs constant. Thus, for containerized cargo we address the following question: Given the amount of quasi-fixed inputs used by the firm and given the volume of the other outputs (liquids, solids, non-containerized cargo and passenger traffic), could ports increase their containerized merchandise while simultaneously reducing their variable inputs? Similar questions are asked for solid bulk and non-containerized general cargo. Our results show evidence of technical inefficiency among the ports in our sample. In particular, if the ports operated efficiently, we find that containerized cargo could be expanded by an average of over 6.4%, with an equivalent reduction in variable inputs. Solid bulk cargo and general non-containerized cargo could be increased by 4.1% and 6.1% respectively, with corresponding reductions in variable inputs. An implication of our results is that there is ample scope for specialization on the part of ports with no increase in infrastructure costs. Given that large investments in infrastructure have been made in Spanish port over the last decade, this opens the possibility of moving towards a management model based on taking advantage of existing capacity rather than new investments.     

Modal-split effects of climate change: The effect of low water levels on the competitive position of inland waterway transport in the river Rhine area

Future climate change is expected to affect inland waterway transport in most main natural waterways in Europe. For the river Rhine it is expected that, in summer, more and longer periods with low water levels will occur. In periods of low water levels inland waterway vessels have to reduce their load factors and, as a result, transport prices per tonne will increase. One possible consequence of these higher transport prices is a deterioration of the competitive position of inland waterway transport compared with rail and road transport, and thus a change in modal split. We study this issue using a GIS-based software model called NODUS which provides a tool for the detailed analysis of freight transportation over extensive multimodal networks. We assess the effect of low water levels on the costs of transport operations for inland waterway transport in North West Europe under several climate scenarios. It turns out, that the effect on the modal split is limited. Under the most extreme climate scenario, inland waterway transport would lose about 5.4% of the quantity that is currently being transported annually in the part of the European inland waterway transport market considered. The very dry year of 2003 can be seen as an analogue for this scenario.     

Cluster analysis of the competitiveness of container ports in Brazil

The container cargo proportion of total maritime transport increased from 3% in 1980 to 16% in 2011. The largest Brazilian port, the port of Santos, is the 42nd largest container port in the world. However, Santos’ performance indicators are much lower than those of the world’s largest ports, so comparisons with them are difficult. This article focuses on the Brazilian container terminals that handled containers in 2009 and compares port competitiveness. This study classified seventeen Brazilian container terminals into three distinct groups based on the following competitiveness criteria: number of containers handled, berth length, number of berths, terminal tariffs (in US$), berth depth, rate of medium consignment (in containers/ship), medium board (containers/hour), average waiting time for mooring (in hours/ship), and average waiting time for load or unload cargo (in hours/ship). This classification used a hierarchical cluster analysis. The classification shows that the terminal of Tecon in the port of Santos has the best performance of all, while small terminals (<150,000 container units) are the worst performing terminals in Brazil.     

Forecasting the impacts of climate change on inland waterways

Inland waterways are vulnerable to climate change as river navigation depends on water levels. Droughts can severely disrupt inland navigation services by reducing water levels either to completely non-navigable ones or to levels that oblige operators to reduce vessel load. We analyse the impacts of droughts induced by climate change using projections of river discharge data provided by eleven different climate model runs. We consider location specific characteristics by focusing the analysis on four specific locations of the Rhine and the Danube where a substantial part of the total freight activity in the European Union (EU) takes place. For the majority of the cases and scenarios considered, a decrease of the number of low water level days is projected, leading to fewer drought related disruptions in the operation of the inland waterway transport system. Although the uncertainties from the climate projections should not be neglected, the navigation sector could benefit from global warming which means that European inland waterways might be one of the few sectors where climate change can have negligible, or even positive, impact. The average economic benefit, for the cases considered, from the decrease of low water levels by the end of the century is projected to be almost €8million annually.     

The Impact of Container Type Diversification on Regional British Port Development Strategies

Abstract

Despite a concentration of container traffic in the southeast of the UK over the last few decades, regional ports are attempting new development strategies to capture or retain specific traffic segments. These include intra-European short-sea traffic and a potentially increasing feeder market. These trends are reflected in the movement of different container types, which result in a number of planning challenges related to changing infrastructural and operational requirements. This paper uses highly disaggregated data on container type movements to address three issues that can inform these planning challenges. First, the imbalance of trade resulting in empty container repositioning; second, the requirement for gauge-cleared rail routes to cater for the increasing proportion of high-cube containers; and third, the specialisation of European short-sea traffic at secondary UK ports. The results reveal the disproportionate repositioning of empty containers at Scottish ports and the importance of 45?ft, high-cube and pallet-wide containers at regional ports, highlighting their focus on intra-European short-sea traffic and raising difficulties relating to their lower quality of landside infrastructure (particularly rail) in comparison to the large south-eastern ports. The potential repercussions on hinterland infrastructure development raise questions about both public and private sector responses to regional port development.     

The impact of competition on container port (in)efficiency

There are many studies on container port efficiency and that seek to understand what factors, such as technical and scale efficiency, private versus public terminal management or macro-economic factors, play on the efficiency score of a given port. There are fewer studies that focus on the role played by the inter-port competitive environment. This role remains difficult to assess. In fact, on the one hand, a port subject to high inter-port competition may record higher efficiency scores due to the pressure from the competitive environment. On the other hand, a port subject to high competition may be forced to over-invest and could therefore records a lower efficiency score. This article investigates this issue and examines how the degree of competition measured at different levels (local, regional and global level) impacts the efficiency score of a given container port. To do so, we implement a truncated regression with a parametric bootstrapping model. The model applied to information gathered for 200 container ports in 2007 and 2010 leads to the following conclusions: port efficiency decreases with competition intensity when measured in a range of 400–800 km (regional level); and the effect from competition is not significant when competition is measured at a local (less than 300 km) or at a global (more than 800 km) level. Estimates also show a tendency for ports who invested from 2007 to 2010 to experience a general decrease in efficiency scores, an element which could be explained by the time lag between the investment and the subsequent potential increase in container throughput.     

Port Administrative Structure Change Worldwide: Its Implication for Restructuring Port Authorities in Taiwan

Abstract

This paper aims to review the evolution of the port authority’s role and recent changes in port administrative structure worldwide, and to discuss its implication for restructuring Taiwanese port authorities. It is found that the port authority is expected to play a proactive role in strategically managing overall port operations, and aggressively market its ports to port customers with a view to increasing cargo throughput and economic growth in its region. The change in the port authority’s role has driven a change in port administrative management structure worldwide. The proposed restructuring of port authorities in Taiwan is accompanied by some potential pitfalls. These include that the legislative framework of the programme is driven by political rather than professional concerns, and the port authority’s dual role as a regulator and as an operator at ports is against the principles of ‘separation of port administration (regulatory functions) and business management’ recently adopted worldwide. These pitfalls can impede the achievement of the objectives, including directing port authorities towards becoming independent commercially oriented entities. Therefore, this paper recommends that port corporatization approach will be a good alternative for restructuring Taiwanese port authorities.     

A queuing model analysis of the performance of the Hong Kong container terminals

The growth of container‐handling industry and its impact on Hong Kong's economy have aroused considerable attention in recent decades. Within the recent twenty years, the rapid growth of container‐handling industry has led Hong Kong to become one of the world's busiest container port with over 11 million T.E.U. s (Twenty Feet Equivalent Units) container throughput in one year period. Also the container throughput is expected to reach 15.5 million T.E.U. s by year 2004.

As the success of container‐handling industry is significant, many studies have been conducted relating to this subject. In this paper, an application of a queuing theory model to Kwai Chung Container Terminals is developed and described. Specifically, we consider seasonal changes at the Terminals and focus on their effects on inter‐arrival time and service time of container vessel.

A crucial component of the study relates to the empirical data collected. Besides verifying the validity of the model, those data provide guidelines for developing schemes to manage the seasonal fluctuation of container throughput of the Terminals.     

Traffic consolidation in East Asian container ports: A network flow analysis

The proliferation of hub-and-spoke operations in maritime container transportation has resulted in the widespread consolidation of traffic flows. Utilising liner shipping network configurations, this paper assesses the impact of freight traffic consolidation in the container port industry by exploring the spatial pattern of traffic flow movements and identifying the variety of roles that container ports play within this context. On the basis of the network concept, the spatial inequality of freight traffic consolidation is determined by the density and direction of all meaningful connections (i.e. significant flows) identified by applying Multiple Linkage Analysis (MLA) to an initial traffic flow matrix.The effectiveness of the chosen methodology is tested empirically using a sample comprising the 18 major container ports in East Asia, together with another 21 important container ports located on the East–West trading route. Based on this sample network, the spatial structure of traffic flow consolidation reveals the nature and structure of hub-and-spoke operations within a port system, the relative hub-dependence of ports, the variety of roles which individual ports play within the overall structure of inter-port interactions and the hierarchical configuration of the port industry structure. The paper concludes that MLA offers new insights into the distributional inequality of traffic flows, the spatial and economic interactions between ports and the extent to which hinterlands overlap. Furthermore, the analysis clearly shows that inter-port relationships can no longer be evaluated as isolated phenomena; any change in a specific port’s competitiveness will directly impact upon the structure of the whole maritime transportation system. Port authorities and terminal operators will need, therefore, to carefully analyse and disentangle specific inter-port relationships in order to provide the most appropriate basis for their decision making.     

Post-entry container port capacity expansion

Port capacity development is a critical strategy for the growth of a new port, as well as for the development of existing ones, when both new and existing ports serve the same hinterland but have different competitive conditions. To study this strategy, we develop a two-stage duopoly model that comprises the pricing and capacity decisions of two heterogeneous players serving an increasing market. We identify the necessary condition for a port to increase its profit through capacity expansion, and characterize the condition when preemptive pricing by the dominant player is neither credible nor effective in preventing the smaller player from gaining market share. We also find the pure-strategy Nash equilibrium in the capacity expansion game for two ports that have different price sensitivities, as well as different operation and capacity investment costs. We apply the model results to the container port competition between Hong Kong and Shenzhen after Shenzhen port started its container operation in 1991. Our analysis explains the transition of market power from monopoly to duopoly, the fast development of Shenzhen Port, and the possible market structure changes with the continuing increase in demand.     

Automated shunting of rail container wagons in ports and terminal areas

The development of intermodal container transport is hampered in part by the cost associated with the shunting of trains in marshalling yards, inland and port railway terminals. Many new technologies have been developed in the past decade, but have still not been applied because of high capital investment costs, lack of sufficient market demand and uncertain rates of return. The key for increasing the competitiveness of intermodal container transport by rail is the operation of heavy haul container trains between port and inland railway terminals more frequently with fast, flexible and automatic transhipment, shunting and coupling of container wagons. The operation of self-driven railcars equipped with automatic centre coupling on terminal tracks, which can also be train-hauled on conventional hinterland railway lines, would enable a reduction of shunting and transhipment time and costs in intermodal container terminals by more than 30%.     

新冠肺炎疫情下的沿海港口发展及供给侧调整方向

本文依据AIS航迹观测和实际调研情况,分析港口供给侧受新冠肺炎疫情影响、港口供给侧保障水平,发现本次疫情对我国全年港口吞吐量存在较小影响,但港口运输进入低速增长期。同时,从码头、通道、服务、政策四方面,提出了提高港口资源利用效率、促进运输结构调整、探索智慧港口发展与建设、优化审批流程等相关建议。