Public goods and the public financing of major European seaports

Seaports are recognized for their importance in facilitating trade growth and associated economic development. These attributes often give rise to the notion that seaports, or infrastructure elements of seaports, are public goods. Public goods are regarded as goods or services which a market acting in isolation might have difficulty in providing, or at least providing in sufficient quantity and/or at a competitive price. An important element of a public good relates to its non-rival consumption, the implication being that it is impossible to exclude anyone, whether they pay or not. Key questions this paper seeks to address are, what constitutes public goods in seaports, to what extent is it necessary for the public sector to provide these goods, and can such intervention lead to market distortion in respect of competing ports? The paper describes the more common examples of public goods in seaports. This is followed by discussion of public and private sector investment at major north European seaports. The paper considers the potential for market distortion due to public sector expenditure on so-called public goods in seaports, and proposes that a more cohesive policy for major ports, particularly those very large containerports serving a common European hinterland, is necessary in order to deliver a sustainable transport system in the long term.     

Influential factors in the design of port infrastructure tariffs

ABSTRACT

The main aim of this article is to examine the factors influential to the practical process of port infrastructure tariff design. The analysis is based on the survey data of 67 seaports representing the Australasian, East Asian, European, North American and South American regions. Exploratory factor analysis (EFA) was first carried out to identify the factors influential to the selection of the infrastructure tariff design model. Subsequently, confirmatory factor analysis (CFA) was used to confirm the relationship between the variables. The findings showed that demand, knowledge about pricing theories, the dynamics of port and shipping sectors (including competition and ship size), pricing objectives and port cost consideration are influential factors in infrastructure tariff design. Most ports use a mix of pricing approaches including price discrimination, cost-based pricing and market-based pricing. Ports are aware of the basic pricing approaches but have limited knowledge of their application. Based on the results of analysis, policy implications for port management in designing port infrastructure tariffs, limitations and recommendations for future research are discussed.     

The foreign non-fuel cargo-traffic demand of the major British seaports in 1980 and 1985, a Markov Chain approach

Projections of the future traffic demand of British seaports are of great importance to port management bodies because of the huge capital investment required for installing modern port facilities. In this paper, the author uses a first order Markov Chain model to forecast the non-fuel cargo traffic demand of the major British seaports in 1980 and 1985.     

Comparative analysis of port competency requirements in Vietnam and Korea

ABSTRACT

Much research has been conducted recently on the changing role of ports in the context of international logistics and supply chain management focusing on issues such as port efficiency and competitiveness. However, little research has been found on the critical aspect that contributes to making a port efficient and effective, especially, in the new era: the port human capital. As seaports play a critical role in the supply chain, it is thus important that the port personnel possess necessary competencies to contribute to port efficiency and turn the port into an effective supply chain partner. In this paper, this research issue is explored through a conceptual model of competencies and validated empirically by a survey with port executives in Vietnam and Korea. As a result, important managerial insights are drawn to the design and implementation of human resource development policy for ports.     

A dynamic model for marginal cost pricing of port infrastructures

ABSTRACT

A dynamic model for marginal cost pricing of port infrastructures links costs to system performance by combining a power-law function with time-dependent queueing analysis. Additionally, the model incorporates the marginal cost of capacity, including the effects of economies of scale. This allows the calculation of the marginal cost price under a dynamic framework. The model accounts for nonlinear behaviour of port demand, which is sensitive to price and service levels. The effects over time of cost and service levels on the port’s operational performance are quantified. The proposed model allows determining the optimal timing for capacity investment. The model is a starting point for the application of marginal cost pricing to ports. However, for practical application of such pricing method it is necessary to apply a system’s approach, as productivity and costs must be assessed at the terminal’s component level. This should allow the derivation of a marginal cost function at the terminal’s component level.     

Marketing communications for seaports: a matter of survival and growth

Perhaps the most critical issue facing seaports is their survival and growth in today's highly competitive environment. Seaports are facing challenging times as the once monopolistic position of having captive markets diminishes. This situation is being replaced by growing sections of the hinterland now being considered by competing seaports as being contestable. In effect, for many business opportunities, captive and contestable hinterland regions are blurring resulting in attracting and retaining trade throughput becoming a major key to seaport survival and growth. One strategic tool that seaport management can utilize to both attract new customers and retain current customers is the use of marketing communications. An examination of the literature on marketing communication efforts by seaports tends to focus mainly on advertising and activities more suited to promoting physical products. Instead, this paper argues the need for a much broader approach to marketing communications that takes into account the challenges of seaports that are service-based businesses. That is, there tends to be a greater need for marketing communication efforts to be able to tangibilise the intangible service offered by seaports to reduce perceptions of increased risk and uncertainty on using another seaport. The purpose of this paper is to examine the benefits to seaports of managing marketing communications strategically and holistically for effective outcomes. More specifically, this paper explains the role of public relations, publicity, personnel selling, sales promotions, word-of-mouth communications, electronic communications, and the management of the seaport's servicescape and the sources of physical evidence provided by seaports in developing a broader and services-based approach to marketing communications. This includes thinking wider than attracting and retaining customers as being the purpose of marketing communications but to also include informing and educating other stakeholders such as employees and the local community about the benefits provided by the seaport. Also discussed is the necessity of a consistent message being provided by all marketing communication activities to customers and stakeholders that results in the development of a desired image of the seaport and appropriate positioning of the seaport in relation to competitors. To facilitate discussion, results from a recent empirical study of the Australian seaport sector are used.     

A model system for the ex-ante assessment of city logistics measures

This paper proposes a model system developed in order to support ex-ante assessment of city logistics measures. The model system allows us to simulate the choices of each decision-maker involved in the urban freight transport and logistics and to investigate how the policies and the following measures can influence her/his choices.The model system is an open architecture and consists of two levels: commodity and vehicle. The commodity level allows us to analyse the attraction and acquisition movements taking into account the effects due to city logistics policy implementation affecting the end-consumer and retailer/wholesaler/producer (restocker) choices. The freight sold in each urban shop (or in general urban business) is estimated starting from consumption demand and, then, the restocker’s choices for restocking are analysed in depth. The vehicle level focuses on the restocking process and the links between retailer and wholesaler/producer operating in the study area. This level allows us to investigate the impacts of implementing city logistics measures on journey time, timing and path used for restocking the urban retail businesses.     

集装箱码头仿真和优化研究进展

当今90%的国际货物要经过海港,并且80%的海上运输货物要用集装箱运输。集装箱码头的设计者和管理者为了节省费用和快速有效地满足集装箱运输的需求,使用了缩短船舶在港停泊时间,高效利用人力、泊位、堆场和装卸设备资源等措施。为了进一步研究集装箱码头系统,通过查阅相关研究文献,总结了集装箱码头仿真和优化研究的主要问题和某些研究的局限性,展望了未来的研究趋势。     

Inland container terminal—function and rationale

Increasing commercial and recreational pressures on urban waterfront lands, growing demand by seaports for back-up areas and changes in cargo-distribution concepts have caused the relocation of several port functions and the establishment of inland container terminals.     

The role of dry port in hub-and-spoke network under Belt and Road Initiative

Dry port plays increasingly an important role in the integration of inland regions with seaports, and cross-border inland ports especially in the context of Belt and Road Initiative (BRI) originally proposed by China. This paper studies a logistics network connecting the inland regions by dry ports based on a two-stage logistical gravity model. First, a basic logistical gravity model is developed to analyze the radiated inland regions from dry ports, where the logistical quality of dry ports is calculated by principal component analysis. Second, considering mutual impacts among dry ports, seaports and cross-border inland ports, the influence of logistical gravity on the network is examined by using a coefficient based on the Ordered Weighted Averaging Operator in multi-attribute decision theory. An improved logistical gravity model is further developed to investigate the logistical connections among various ports (e.g. dry ports, seaports and cross-border inland ports; hub and feeder ports). Then, a hub-and-spoke network can be established. Dry ports are potential to connect to the Silk Road Economic Belt and the 21st-Century Maritime Silk Road. So a Chinese case is used to verify the proposed method. The strategies of embedding inland regions in the BRI are discussed based on the experimental studies.     

Widening the Panama Canal and U.S. ports: historical and economic impact analyses

ABSTRACT

The economic history of the U.S. illustrates how the role of many cities has been changed by being seaports or located on navigable rivers or lakes. Based on the widening of the Panama Canal in 2016, the West Coast ports that include the west coast seaports of California, Oregon, and Washington were expected to become less important, while the freight shares of the East Coast and Gulf ports would increase. By how much it has been not easy to measure or predict so far, but this study attempted to define some of the key parameters in the measurement. As well as several relevant background topics, both the demand- and supply-side versions of the National Interstate Economic Model, have been applied for the measurement of economic impacts. U.S. port authorities and policy makers at the local and national levels who respond and develop plans for coping with the new realities of the Panama Canal are able to understand the extent to which changes in shippers’ and land-mode transporters’ behaviors would undermine the logistics and the costs of their activities. Therefore, this study is important for a diverse spectrum of port development strategies in the U.S. to respond to the Canal expansion.     

Inland container terminal—function and rationale

Increasing commercial and recreational pressures on urban waterfront lands, growing demand by seaports for back-up areas and changes in cargo-distribution concepts have caused the relocation of several port functions and the establishment of inland container terminals.     

The impact of port choice on inland transportation

The Belgian government intends to shift part of its funding away from Antwerp and towards other seaports, particularly Ghent and Zeebrugge. In the long run, this policy change will undoubtedly influence the port choice and probably cause a traffic diversion at the expense of Antwerp. This will have a great influence on the structure of inland transportation.

The impact of port choice on inland transportation is the central theme of this paper. To this end a disaggregated model of the demand for freight transport is constructed.     

The new governance structure of French seaports: an initial post-evaluation

France undertook a large port reform in 2008, which came into force in 2010–2011. It mostly applies a landlord port model to major French seaports, with the prediction that doing so will restore competiveness. This article presents the 2008 port reform, discusses why it was needed, notably with regard to the underperformance of container traffic, and details how new governing bodies are sharing their responsibilities amongst themselves. To this end, a textual analysis of the agenda items for the governing bodies created since 2011 of the largest French seaport, Port of Marseille, provides a means to compare the items discussed by the former management bodies. This analysis identifies a trend, in which the supervisory board focuses on global issues, the advisory board addresses local issues, and the board of directors considers internal issues. Even if ongoing, this transition creates favorable conditions to work more efficiently and may represent a step toward the better performance of French seaports.     

Economic policies and seaports: The economic functions of seaports

This paper argues that the economic functions of seaports are to benefit those whose trade passes through them, i.e. through providing increments to consumers' and producers' surpluses. Whilst recent developments in the technologies of seaports (containers, bigger ships, more rapid handling of bulk cargoes) have increased technical efficiency, they have also provided such economies of scale as to reduce some opportunities for competition and, therefore, the probability that cost reductions are actually passed on in this way. For this purpose port costs need to be considered in their entirety, i.e. as generalized transport costs per tonne, comprising money, time and the risks of loss, damage and delay. Such cost reductions will lead to expanded trade in a variety of ways.

This statement of the economic function of seaports is contrasted with views that they should try to increase employment in their locality, or that they should maximize profits.     

基于模糊随机模拟的船舶经济指标期望值模型

模糊和随机两类不确定因素常常是同时存在的,有时又融合在一起。所以建立基于随机模拟、模糊模拟的期望值计算模型是非常有实用价值的。在航运市场中船价、运价、油价等因素不仅受国家政治经济的影响,还受航运市场的供需关系及相关市场的影响,带有很大的随机性。而船舶的实际营运时间不仅与船舶的技术状况、企业管理有关,还与港口航道状况、天气气象等有密切的关系,带有很大的模糊性。基于以上特点,文章采用随机模拟和模糊模拟相结合的方法建立了船舶经济指标期望值模型。     

纵摇低磁舰船的涡流磁场计算

低磁材料舰船的磁性防护要求高,其中摇摆产生的涡流磁场占总磁场的比例很大,正确分析其涡流磁场具有重要意义。以低磁旋转椭球壳作为船体模型,从涡流磁场的电磁场方程及涡流密度的边值问题出发,建立了地磁场中纵摇旋转椭球壳涡流磁场的数学模型,利用分离变量法对涡流电流进行了求解,从而根据毕奥-萨伐定律推导出旋转椭球壳纵摇至任意角度产生的涡流磁场,为低磁钢壳体舰船纵摇的涡流磁场分析论证提供了理论基础。     

Modelling cyclic container freight index using system dynamics

ABSTRACT

This paper investigates the cyclical nature of container shipping market represented by a containerized freight index and proposes a predictive cyclical model of the market. In contrast to the traditional spectral analysis (univariate), system dynamics reflect the drivers of the market in both supply and demand side, and therefore, it is a multi-variate system equilibrium approach consisting of various causal spillovers from sub-components of the market. This study is the first to analyze the cycle of container market using system dynamics. By utilizing system dynamics cyclicality approach, one-step ahead predictions are generated for monthly containerized freight index and compared to conventional benchmarks for post-sample validation. Our study can also help policymakers and shipping liners for better management and invest timing of container ship.     

Activity based travel demand models as a tool for evaluating sustainable transportation policies

India is in the course of an economic transition. The economic growth nurtured the life in the cities and cities have become a major livelihood destination for everyone. This migration of people contributed to the increased urbanization of Indian cities. The booming economy fostered the well-being and shaped the lifestyle of people in such a way that the dependency on private vehicle has become an unavoidable affair. Along with population growth, the increased vehicle ownership gave rise to overall spurt in travel demand. But the supply side lagged behind the demand adding to many of the transport related externalities such as accidents, congestion, pollution, inequity etc. The importance of sustainability is understood in the current urban transport scenario leading to the development and promotion of sustainable transport polices. The core agenda of these polices is to target the travel behavior of people and change the way they travel by creating a different travel environment. However, the impacts of many such policies are either unknown or complex. Hence, before adopting and implementing such policies, it is important for the decision makers to be aware of the impacts of them. The role of travel demand models comes here as they predict the future travel demand under different policy scenarios. This paper reviews the ability of travel demand models applied in India in analyzing the sustainable transport policies. The study found that the conventional model system in India, which is trip based four step aggregate methodology, is inadequate in analyzing the sustainable transport policies. A review of alternative approach, known as activity based travel demand modeling found that they are capable of handling such policies better than conventional models and are assistive to the decision makers in arriving at right mix of polices specific to the situations. Since there is no operational activity based travel demand model system developed in India, the study at the end envisaged a conceptual framework of an integrated activity based travel demand model based on the requirements identified from the review. This can potentially replace the existing travel demand models and can be used for planning applications once the modification & validation have been done according to the existing activity-travel behavior of individuals.     

基于神经网络的道路通行能力与交通需求匹配度判别研究

交通的供需是否匹配关系到城市和枢纽的发展前景。文中在探讨道路通行能力与需求匹配特性的基础上,用BP神经网络理论建立一种交通匹配预测模型。该模型发挥神经网络的优势,对数据并行处理和分布存储,通过训练、学习产生一个非线性映射,自适应地对数据进行预测。通过相关数据实验证明,该神经网络模型有较高的精度,并有较好的适用性。