PLA currently leads a project to set up a partnership between Port of Rotterdam Authority, the port business community, two leading universities, and the city of Rotterdam, to establish an ambitious partnership to jointly invest in developing and transferring knowledge that is valuable for the port community. A formal launch is expected Q1 2015. PLA has led the process of achieving agreement, provided advise on effective organizational structures and advised on relevant areas for knowledge development.
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Assisting an important Mediterranean port
Summer 2014, PLA assisted an important Mediterranean port by analyzing state aid decisions of the European Union. PLA provided an overview of EU transport policies, focused on maritime transport and intermodality, as well as a broad overview of the EU legal framework within which seaports operate. In this project we also analyzed the EU reasoning on state aid in ports and how port infrastructure in the port was financed in comparison to other European ports. Finally, we defined a set of relevant criteria for the port to assess whether potential projects are likely to be eligibility for EU funding.
Port executive course
Organized by the web-based initiative PortEconomics, where Peter de Langen is co-director, the two-days Port Executive Seminar took place in Naples in October 2014. The course provided to the participants, including PLA consultant Jordi Caballé, the opportunity to enhance their knowledge on terminal operations and port authorities strategies. Peter provided two course contributions and moderated the round table discussion with the participation of the president of Port Authority of Naples, a senior manager of Grimaldi Group, the President of Naples Association of Ship Agents, and the Vice President of Contship Italia.
Investing in innovation stimulation
COMMENT: What drives the competitiveness of ports? Is it sufficient draft to accommodate ever larger vessels, productivity, high quality hinterland infrastructure or well-functioning port community systems, asks Peter de Langen.
These factors are clearly relevant, but may not be sources of lasting competitive advantage. In this respect, the quality of the innovation ecosystem is too often downplayed.
Ports can be regarded as clusters of hundreds, or in some cases thousands, of firms. Rotterdam’s port complex consists of more than 2,000 companies – or to be precise ‘establishments’, as most are owned by multinational companies. Private investment is vital for the continued existence of this complex. Taking Rotterdam as an example again, investment below €1.5bn per year would leave its port complex wanting.
In many ports, especially in mature economies, achieving such an investment level is a huge challenge. And in that challenge, innovation ecosystems may play a crucial role. After all, innovations are required for increasing productivity, new business development and start-ups. Various ‘megatrends’ increase the relevance of innovations: the transition towards sustainability transport, the transition of energy sources, increased safety requirements, and the larger availability of data all create ‘opportunity spaces’; innovation is required to fill these.
Different elements make up an innovation ecosystem, including an entrepreneurial culture, the availability of venture capital, education institutions, incubators and regulation that encourages innovation.
In how many ports do all the actors involved purposefully invest in the quality of the innovation regime? A search through annual reports of port authorities – often treated as the organisation responsible for the competitiveness of the port – reveals that innovation is mentioned, but structural investments in the innovation ecosystem are often limited.
Singapore stands out as an example, with the port authority having set up a €90m maritime innovation fund. It may be relevant for other ports to explore how they can create value through investments in the port innovation ecosystem.
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For Peter de Langen's department at Eindhoven University of Technology http://opac.ieis.tue.nl/
For Port of Rotterdam’s port vision: www.portcompass2030.com
For the European port performance project http://pprism.espo.be/
For the magazine Port Strategy www.portstrategy.com