Adapting the shipping sector to stricter emissions regulations: Fuel switching or installing a scrubber?

This paper examines how the existing fleet in the shipping industry can be adapted to the new emission regulations through the two main techniques that currently exist: (a) the use of low-sulphur marine diesels; and (b) the installation of scrubbers. A method is presented here for drawing up an economic assessment of both these techniques under uncertainty. It enables the best option to be selected at any given time taking into account fuel prices (spot and futures), scrubber installation costs, the time that the vessel operates in an Emission Control Area (ECA) and the remaining useful lifetime of the vessel. The paper also considers the possibility of an unexpected change from a non-ECA navigation area to an ECA. The assessment is carried out in a manner consistent with marine diesel and crude oil spot and futures market quotes. Our results show the net present value of investing in the installation of scrubbers and investing in changing fuel types for different assumptions on how vessels are operated. We also analyse increases in fuel consumption and CO₂ emissions as a consequence of using scrubbers and how they affects the financial analysis if such incremental emissions must be paid under a CO₂ pricing mechanism.     

Personal security as a transport issue: a state‐of‐the‐art review

The possibility of experiencing attack, assault, violence, robbery, harassment or other anti‐social behaviour has become an important influence on traveller decision‐making. Fear and apprehension about personal security can affect all aspects of travel choice (e.g. choice of route, mode, time of journey, etc.), including whether to travel at all. Indeed, in some locations an informal curfew is reported to operate. However, both the degree and widespread extent of such fears indicate that unacceptable constraints on personal liberty do exist in many locations.

This paper firstly reviews the extent and nature of the problem considering recorded crime statistics, reported levels of fear and apprehension when using transport facilities and subsequent modifications to travel behaviour. Secondly, a range of possible responses by transport operators, policing agencies and national and local government are examined under four broad headings: policing and staffing; situational crime prevention; social crime prevention; and the level and quality of transport service provision.

It is concluded that personal security considerations need to be explicitly incorporated into decisions concerning the design, planning, operation and management of transport systems. It is also important that institutional structures exist to permit the issue both to be recognized and tackled.     

A network‐based model for estimating the market share of a new high‐speed rail system

This paper presents a novel application of static traffic assignment methods, but with a variable time value, for estimating the market share of high‐speed rail (HSR) in the northwest–southeast (NW–SE) corridor of Korea currently served by air, conventional rail and highway modes. The proposed model employs a time–space network structure to capture the interrelations among competing transportation modes, and to reflect their supply‐ and demand‐side constraints as well as interactions through properly formulated link‐node structures. The embedded cost function for each network link offers the flexibility for incorporating all associated factors, such as travel time and fare, in the model computation, and enables the use of a distribution rather than a constant to represent the time–value variation among all transportation mode users. To capture the value‐of‐time (VOT) of tripmakers along the target corridor realistically, this study has developed a calibration method with aggregate demand information and key system performance data from the NW–SE corridor.     

Transport in a high‐density urban environment: the experience of Hong Kong

In Hong Kong the high cost of land reclamation servicing has made it necessary to plan land use through zoning commercial and industrial activity and by adopting very high densities for residential accommodation. Traffic has concentrated along particular corridors where its volume now exceeds road capacity. The imperative development of an urban rail system has affected the economic stability of most public transport. Simultaneously, private motoring has increased so rapidly that fiscal restraints have been imposed, generating a serious proposal for electronic road pricing. The future growth of links with China will end Hong Kong's relative isolation and present new transport planning challenges.     

Does a carbon tax affect the feasibility of Arctic shipping?

The Arctic route has huge potential for shipping between Europe and Northeast Asia with significant savings in transit time and distance. However, GHG emissions from shipping would harm the environment of Arctic area. Potential Market Based Measures of GHG emission reduction (such as carbon tax) are under consideration but they may affect the economic viability of Northern Sea Route (NSR) for containerships. This paper investigates the economic viability of NSR against Suez Canal Route (SCR) under 2 proposed carbon tax schemes (fixed vs. progressive). Three different fuel oil types (Heavy Fuel Oil, Light Fuel Oil, Liquified Natural Gas) are used as main bunker fuel for the calculation of economic feasibility. Our result reveals that when there is no carbon tax on NSR nor SCR, or both routes are under a carbon tax scheme, no matter fixed or progressive, NSR is more economically viable, regardless of fuel type choice. When only NSR is under a carbon tax scheme, the viability depends on specific carbon tax scheme and fuel choice, but for the majority of containership sizes, NSR has lower unit cost. The result also suggests that for a given route, a progressive scheme in preferable than a fixed one and LNG would be an appealing fuel with lower unit cost.     

Container Railfreight Services in North‐west Europe: Diversity of Organizational Forms in a Liberalizing Environment

Abstract

The institutional environment of rail transport has changed as a result of recent European directives, but the changes have taken different forms from one country to another. In the case of international maritime chains, the development of door‐to‐door services makes inland haulage from the loading and discharging ports extremely important, and it highlights the need to reshape the rail freight industry. This paper analyses the degree of involvement of different actors drawn from the maritime industry in developing and commercializing rail services in the changing regulatory environment. Several maritime operators, shipping lines, port‐handling companies and port authorities have been involved in some container rail services since the early days of liberalization. Their commitments take very different forms, however. Whereas contracts are mainly used for the provision of service, particularly for train haulage, integration by means of shareholding or creating subsidiaries or joint ventures is used for marketing. Important differences between France, the UK, Germany and the Netherlands are detailed. In the latter two countries, there is more involvement in the provision of rail services. Marketing rail services appear to be the main strategic issue for the maritime operators in all four countries     

From hierarchy to networking: the evolution of the “twenty-first-century Maritime Silk Road” container shipping system

ABSTRACT

Container shipping gives a rise of international trade since the 1960s. Based on navigation data start from the mid-1990s to 2016, this paper empirically analyses the spatial pattern of China’s international maritime linkages along the “twenty-first-century Maritime Silk Road”. We interpret such evolutionary dynamics in terms of growth, hierarchical diffusion and networking phases. Networking is a new stage of the evolution of the port system, which is approached based on the graph theory, complex network methods and geomatics, the paper discusses the networking’s basic characteristics: multi-hub spatial agglomeration, the connection of the network develops across space, functional differentiation and a division of labour appear among ports. Our results show that, while the scope of China’s maritime linkages had expanded overtime, more foreign ports become connected to the “Maritime Silk Road”. In addition, the external linkages of domestic ports tend to be dispersed, reflecting upon the decline of Pearl River Delta ports and the rise of Yangtze River Delta ports, with mixed evidence for the Bohai Rim region. Lastly, the analysis underlines the emergence of a polycentric shipping system, from the Hong Kong dominance to the more diversified Shanghai/Ningbo/Shenzhen configuration. Academic and managerial implications are included.     

Justice in transport as justice in accessibility: applying Walzer’s ‘Spheres of Justice’ to the transport sector

This paper seeks to provide a theoretical basis for a distributive approach to transport. Using the theory developed by Michael Walzer in his ??Spheres of Justice?? (1983), I argue that the transport good, defined as accessibility, should be distributed in a so-called separate sphere, i.e. independent from the way in which other key goods, like money or power, are allocated. I subsequently explore what kind of justice principle could guide the distribution of the transport good, once a separate sphere would be established. This preliminary exploration results in the elimination of a number of widely supported distributive principles, and in the tentative identification of a criterion matching the particularities of the transport good. The explorations in the paper are not intended as final answers, but rather seek to open the debate about the need for an explicit distributive transport policy and the distributive principle that should guide such a policy.     

The development of a mobility index based on a factor analysis of the socio‐economic characteristics of households

Anthony J. Faria is an associate professor and Chairman of Marketing in the Faculty of Business Administration at the University of Windsor. A graduate of Michigan State University, he received his Ph.D. degree in 1974. Dr. Faria is a member of the American Marketing Association, Southern Case Research Association, the Association for Business Simulation and Experiential Learning, and the North American Simulation and Gaming Association. Dr. Faria has authored a marketing simulation game entitled COMPETE: A Dynamic Marketing Simulation and has published in the Journal of Marketing, Journal of Small Business Management, Pittsburgh Business Review, Traffic Quarterly, Retail Control, Atlanta Economic Review, Retail Directions, Department Store Economist, The Southern Business Review, Business and Society, and the Marquette Business Review. In addition, he has participated in various seminars for the business community.     

Longer and heavier vehicles in Belgium: A threat for the intermodal sector?

To achieve transport cost reductions and to reduce the environmental impact of road transport, different European countries are allowing or testing longer and heavier vehicles on their road network. In Belgium, the Flanders region started a trial in 2015 allowing a limited number of longer and heavier vehicles on a selection of approved routes. A concern among intermodal operators is however that an allowance of longer and heavier vehicles could trigger a reverse modal shift away from rail and inland waterways container transport. Starting from experiences in other European countries, this paper discusses the potential spatial impact of allowing longer and heavier vehicles on the market areas of intermodal transhipment terminals using a geographic information systems-based location analysis model. In a second step, external transport costs are incorporated in this model, to quantify the spatially diversified societal costs of a potential reverse modal shift.     

Modelling journey‐to‐work fuel consumption: a case study of Bayridge subdivision

Fuel consumption is calculated using a modelling procedure for automobiles travelling on three alternative street patterns designed for a subdivision in Kingston Township, Ontario. The modelling procedure is described. The results indicate that grid and solar superblock street patterns, compared to the existing street pattern, offer small fuel savings to a tripmaker in the portion of the work trip travelled in the subdivision.     

Freighter operators' choice of airport: a three‐stage process

With increasing levels of congestion at the major cargo hubs and further restrictions on noise and night‐time flying, freighter operators' airport choice is a complex and important issue. The aim is to identify the factors that affect the airport choice of freighter operators through a review of the published literature. The literature reviewed includes work relating to passenger hub location, airport quality and airline network configuration, and other works relating to airport choice to paint a full picture of the current research in this area. The literature shows that freighter operators initially choose a shortlist of possible airports based on geography and then investigate any restrictions in place, such as capacity caps or noise limits that might block operations from that airport. Only when these hurdles have been cleared do freighter operators consider attributes of airport quality such as charges and terminal facilities, as well as other influences such as freight forwarder presence and airport marketing. Of particular prominence is the impact of legislation on airport choice.     

A study of rail demand in a two‐tier fares environment

A method based on logit analysis is suggested for predicting the effects on patronage and revenue of relative changes in peak and offpeak fares. The method also permits the ready estimation of consequent changes in service profitability. Data was collected specifically for this study from British Rail's Teesside corridor to achieve model calibration. Results show the extent to which demand in peak and offpeak fare‐periods is complementary when fare restrictions are applied only to the morning peak.     

Centralized resource allocation with emission resistance in a two-stage production system: Evidence from a Taiwan’s container shipping company

This paper proposes a centralized network data envelopment analysis model that combines the centralized data envelopment analysis model and network data envelopment analysis to allocate resources among sub-units. In the proposed model, this paper also considers the situations in which undesirable outputs are jointly produced with desirable outputs, the reduction of undesirable outputs is associated with the reduction of energy inputs, and some inputs are dedicated to the specific sub-unit while some inputs are shared among sub-units. To comprehensively investigate this issue, two cases are discussed. One case explores the situation in which common inputs are shared among the first process of sub-units, while the other case explores the situation in which common inputs are also shared among two processes of sub-units. The proposed model is illustrated in an empirical example of 14 Asian shipping routes operated by a Taiwanese container shipping company. In order to avoid organizational resistance, minor and major adjustment policies are demonstrated. The minor adjustment policy transfers inputs among routes but maintains the original levels of input resources, whereas the major adjustment policy reduces the total amount of input resources. The results provide valuable information for the centralized decision-maker on how to reallocate resources among the sub-units.     

Role of Bus‐Based Park and Ride in the UK: A Temporal and Evaluative Review

Abstract

The number of bus‐based Park and Ride (P&R) schemes in the UK has grown substantially over the past 40 years as a result of its encouragement by the Government as a tool to deal with increasing traffic congestion and traffic‐related pollution. The aim of this article is to analyse the degree to which P&R is effective in the contemporary policy context. The authors identify phases of development of P&R since its emergence as a local solution to transport capacity constraints in historic towns. Policy goals are identified against which a review of literature is used to highlight its effectiveness. It is concluded that P&R may increase the distance travelled by its users due to low load factors on dedicated buses, public transport abstraction and trip generation, although it is highlighted that there are areas in which further research is required to clarify its impacts.     

Transport innovation and passenger needs — changing perspectives on the role of Dial‐a‐Ride systems

The changing role of Dial‐a‐Ride systems in the period 1969 to 1985 is reviewed as a case study in transport innovation. The first phase Dial‐a‐Ride systems were conceived and planned as transport services to complement and even replace conventional transit. However, their failure to attract any sizeable part of the public transport market combined with their high operating costs led to their demise in the mid‐1970s, to be superseded by the second phase Dial‐a‐Ride systems as paratransit services to the elderly and handicapped. These later systems were often initiated by community‐based transport agencies which have demonstrated their ability as transport innovators in meeting passenger needs. It is suggested that other transport services could learn valuable lessons from the experiences of community Dial‐a‐Ride, and that Dial‐a‐Ride itself will prove historically to be an important transitional agent in the reorganization of passenger transport services in the post‐deregulation environment of the late 1980s and 1990s.     

Investigation of carriers’ ability to transfer toll increases: an empirical analysis of freight agents’ relative market power

Transportation - Design of effective freight policies requires a comprehensive understanding of freight agents’ interactions. A critical component of the interaction is the freight...     

Airlines’ reaction to high-speed rail entries: Empirical study of the Northeast Asian market

We investigate the impact of the commencement of high-speed rail (HSR) services on airlines’ domestic available seats on affected routes in China, Japan, and South Korea. The study is based on a dataset covering the 1994–2012 period. We use the propensity score matching method to pair HSR affected routes with routes without HSR services. The difference-in-difference approach is used to estimate the impact of HSR entry. We find that HSR entries may, on average, lead to a more significant drop in airlines’ seat capacity in China than in Japan and Korea given similar HSR service speed. In China, HSR services with a maximum speed about 200 km/h can produce strong negative impacts on medium-haul air routes but induce more air seat capacity on long-haul routes. HSR services with a maximum speed of 300 km/h have little extra impact on medium-haul routes but a strong negative impact on long-haul routes. Finally, although HSR has a strong negative impact in Japan’s short-haul and medium-haul air markets, little impact is observed in its long-haul markets.