FOUR TAKEAWAYS FROM THE ESPO ‘TRENDS IN EU PORTS’ GOVERNANCE 2022’ REPORT
The European Seaports Organization (ESPO) periodically assesses developments in port governance, and recently published its findings for 2022. The following four takeaways are relevant.
First, the ports have embraced the concept of a port business ecosystem. The ‘port managing bodies’ (PMBs – the term ESPO uses) see themselves as ‘active managers of an extensive port ecosystem’. With apologies for the focus on ‘semantics’: my only concern is their use of ‘managers’ instead of ‘developers’. In my view, they can rightly claim to be the developers of the port business ecosystem, but it is a bridge too far to claim to manage it. After all, the third parties in the ecosystem often are large and independently operating multinationals (like APMT, Amazon, Cargill, and Shell) with major investments in the port. The PMBs certainly are not ‘managing’ their ecosystem in a similar way as Apple or Amazon manage their ecosystem. Beyond semantics, a focus on developing is, in my opinion, appropriate; the port business ecosystem really takes shape through the active development of land, port infrastructure and additional services.
Second, the study demonstrates ports are actively aiming to broaden their ecosystems. Compared to 2016, an increasing share (73 per cent compared to 66 per cent) of port managing bodies host industrial plants. Most ports have a strategy to develop circular economy activities in the port, with the vast majority of ports (86 per cent) willing to take up a role as facilitator.
Third, there is a trend towards consolidation of port development. In 2022, half of European port managing bodies manage two or more ports, compared to 44 per cent in 2016. Important steps have been taken in North Sea Port (Ghent, Vlissingen, Terneuzen), HAROPA PORT (Le Havre, Rouen, Paris) and Port of Antwerp-Bruges (Antwerp, Zeebrugge). Consolidation has been widely advocated, and there is a clear case for ongoing consolidation, for instance in Spain and Portugal.
Finally, ports are actively shaping the energy transition, amongst others by developing sustainable energy projects in or around the port. Here the port managing bodies (PMBs) provide land, but also initiate such projects (51 per cent), act as (co-)investor (24 per cent) and in some cases even operate sustainable energy generation facilities (11 per cent). All of these developments take place without major institutional changes: the vast majority of PMBs continue to be public and aimed at ‘value for society’, not financial return.