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Displaying items by tag: Theo Notteboom

Concession contracts are widely used to structure the relationship between public managing bodies of ports who own the land and terminal operators who are granted the right to exploit the land for an agreed period of time. Academic literature primarily discusses concession contracts related to cargo terminals. However, common arrangements in concession contracts for cargo handling services may or may not work in a cruise setting.  

PortEconomics co-directors Theo Notteboom and Thanos Pallis, together with Grace Wang (Department of Maritime Administration, Texas A&M University, Galveston, US) presented a methodological study, titled 'Incentives in Cruise Terminal Concession Contracts', with three sections in order to contribute to the literature on concession contracts and to seek a meaningful application to cruise ports, during the annual conference of the International Association of Maritime Economists - IAME 2014, that was held in Norfolk, Virginia, USA.

In their study, the scholars first, outlined the conflict of interests between port authority and the contracting parties. Due to asymmetric information, terminal operator might engage in activities that are undesirable from a port authority's standpoint after the concession agreement is signed. A conflict over which actions should be taken might emerge.

Second they used the Port of Galveston located in Texas to show the existing incentive mechanism. Assignment and renewal of berth and terminal use, fees, and the minimum passenger guarantee are discussed. Lastly, they established the survey content based on the case study. Survey results can be incorporated into a game theory to model cruise lines' behavior.

You may freely download the paper and presentation @PortEconomics:


Published in Members News

Norfolk APMPortEconomics members head to Norfolk Virginia to join port researchers and maritime economists along the world and participate at the annual conference of the International Association of Maritime Economists (IAME 2014) and the meeting of the Port Performance Research Network (PPRN) that is traditionally held at the eve of the IAME.

The annual conference of the IAME and the meeting of the Port Performance Research Network (PPRN) are the places that every year provide unique global meetings for academics, key industry practitioners, and policy makers from diverse backgrounds and interests to meet, discuss and debate critical and challenging issues that will affect the future direction of international port, shipping and logistics research and practice.

The International Association of Maritime Economists (IAME) is an international forum for the exchange of research and information among those interested in maritime and maritime-related issues. Membership is drawn from all continents and representation includes academics, industry and government. IAME is led by the PortEconomics co-director Theo Notteboom, who currently acts as elected President, Thanos Pallis, who currently is the Secretary of the Association, while a number of the PortEconomics team members serve as elected members the present IAME Council.

PPRN is an informal network of maritime economists interested in issues of port policy management and economics that was established at the IAME 2001 meeting in Hong Kong to undertake empirical testing of port governance, and is currently coordinated by the memebrs of the PortEconomics team Mary Brooks and Thanos Pallis

The forthcoming PPRN meeting, which is sponsored by PortEconomics, and will further discuss frameworks and structure future research lines, including the following themes that have progressed since the Marseille 2013 meeting:

• The measurement of port performance
• Users (and other stakeholders) perspectives and the measurement of port effectiveness
• Port Authority growth and internationalization strategies
• Energy efficiency in ports
• Climate Change impacts on Ports
and a number of other issues that will dominate research in port economics, management, and policy in the forthcoming years.

The PortEconomics team will travel to Norfolk, Virginia, US, presenting state of the art studies in port economics, policy and managemnet, shaping the work of IAME and the PPRN - with the members of the team willing to meet and further associate with those interested in the progress of port research. 

The 2014 version of IAME Conference will take place 16-18 July 2014 and more information on its program can be obtained via the official website of the event IAME 2014

The 12th PPRN meeting will take place on 15th July; and you might download its programme via PortEconomics: icon 12 PPRN meeting Programme (sponsored by PortEconomics)


Published in Members News

PortEconomics co-director Theo Notteboom gave a presentation during a high-level seminar on the 'Future perspectives for port concessions' organized by ENIDH (Escola Nautica Infante D. Henrique) in late May in Lisbon, Portugal.

Theo elaborated on the increasing role of performance targets in terminal concessions, in particular through the inclusion of volume guarantees, modal split targets and environmental objectives in concession contracts. Theo's presentation was followed by a lively debate between Mr. Pedro Galvão (President of CPC), Mr. João Franco (President of APS – the port of Sines), Mr. João Carvalho (President of IMT - Institute of Mobility and Transport) and Mr. Carlos Vasconcelos (President of MSC Portugal).

The main discussion revolved around the choice for licenses vs. concessions, the magnitude of concession fees in Portuguese ports, the level playing field and development plans in the Portuguese port system, performance targets in concessions and the role of the regulator in setting/influencing port tariffs. The Secretary of State for Transport, Mr. Sérgio Monteiro, closed the seminar by giving his reflections on the port policy debate in Portugal and Europe as a whole.


Published in Members News

PortEconomics co-director Theo Notteboom along with Lu Chen of ITMMA - University of Antwerp in Belgium jointly published a study in the academic journal International Journal of Logistics Systems and Management on "Cost perspective on the location of value-added logistics services in supply chains".

The study discusses the location of VALS and its impact on supply chain configurations and logistics costs. In particular, the research focuses on: 1) the importance of VALS in cost terms to the supply chain; 2) the impact of location decisions regarding VALS on the supply chain, taking into account logistics time costs and out-of-pocket costs; 3) the role of the logistics characteristics of products and the nature of VALS in the location decisions regarding VALS.

The study presents an evaluation model for optimising the location of VALS which is empirically applied to the cost flow associated with a container filled with sportswear shoes and is relevant to seaports as many ports are vying to attract logistics activities (see e.g. port-centric logistics) and understanding the required locational qualities for VALS can help ports to target the right activities.

You may freely download authors' version @porteconomics.euicon 2014-IJLSM-Lu-Notteboom-Cost model on VALS

Published in PortStudies

PortEconomics co-director Theo Notteboom, along with Kyriaki Mitroussi (Cardiff University) published a port study entitled 'Getting the work done: motivation needs and processes for seafarers and dock workers' in the academic journal WMU Journal of Maritime Affairs.

In the study, Theo and Kyriaki argue that most of current literature on motivation at work is acontextual neglecting therole of contextual layers found in distinct industries or professional environments. The aim is to extend traditional notions of work motivation by considering more explicitly the importance and impact of professional/industry contexts and extant processes in them on work motivation.

The focus is on dock workers performing cargo handling operations in seaports; as well as on the other maritime-related professional environment, seafarers working on board merchant vessels. The study critically reviews the context and constituents of the two professions in view of adding a dimension/layer of industry context and environment to mainstream literature on motivation.

You may freely download authors' version @porteconomics.eu2014-WMU Journal-Mitroussi K. and Notteboom T. (2014) 

Published in PortStudies

As the schedule for the application of the strict sulphur limits - enacted by IMO from 2015 - in the emission control areas (ECA) is fast approaching, ports not only find it their responsibility to quickly adapt to the upcoming emission regulations, but they also intend to rapidly respond to port users' environmental needs for obtaining competitive advantage.

Liquefied natural gas (LNG) is one of the attractive fuels for ships that can help ports to achieve these goals.

PortEconomics co-director Theo Noteboom along with Siyang Wang, ITMMA-University of Antwerp, studied on the current development status of LNG bunkering facilities in North-European ports.

All ports considered are located within the two European ECAs (The Baltic Sea and the North Sea). Eight ports are included in the study. These ports cover large world-class gateway ports such as Rotterdam, Antwerp, Hamburg and Bremen, and also four medium-sized to smaller ports like Zeebrugge, Gothenburg, Stockholm and Helsingborg (in Sweden). The eight ports all share the traditional 'Hanseatic' culture featuring municipal governance and their port authorities are either public or hybrid public/private. In addition, all eight ports operate according to the 'landlord' model while they intend to go beyond the traditional approach by adding more facilitating and coordinating roles.

Although the selected ports all aim for an LNG-fuelled future, the development plans vary in line with different market expectations and operational conditions.

You can freely download and read the article @PortEconomics: icon PTI62-The development of LNG bunkering facilities in North-European ports-Wang-Notteboom


Porteconomisnew Port Technology International
Published in Viewpoints
Friday, 16 May 2014 07:56

Outlook for European Ports 2014

Theo Notteboom, PortEconomics co-director, provided an outlook of trends in the European port industry to port authorities and port sector experts that gathered in Sweden during the ESPO 2014 Conference.

Theo presented the signs of recovery, although the traffic volumes are below those of 2008. There is a recovery in dry bulk while liquid bulk is declining, whereas Container business is on the rise with 27%. The LNG market for bunkering is a very important and booming market that will play a significant role in the future. LNG for bunkering is expected to increase to 20-30% between 2025-2030. The steel industry is under a moderate growth of 2%. There is a 'war' regarding distribution networks as a new wave of them is underway (especially for container transport), lthough there are a lot to do especially for the optimization of hinterland accessibility..Container shipping alliances distribute the flows, and this is something that creates opportunities for some ports.

The EU port traffic is still below the 2008 volumes but is recovering.. In 2013 we observed zero growth, whereas in 2014 the growth of the European port market is expected to be 1.8-2%. Container market are estimated to growth by 3%, while liquid bulk will decrease by 2,5%-3%. Finally the other cargoes are expected to grow by 3-6%. The outcome is that the EU ports are still fragmented while they are facing commonalities challenges.

You might download and read Theo's Notteboom "Outlook for European Ports" as presented at ESPO 2014 via PortEconomics: icon 2014-ESPO Conference-Gothenburg-Notteboom-final

PortEconomics co-directors and several members of the PortEconomics team are in Gothenburg, Sweden, to attend the European Sea Ports Organisation 2014 Conference. While they shape discussion of the conference they provide to the readers of PortEconomic everything that they would like to know via the "PortEconomics ESPO 2014 diary

Portopia ESPO 2014
PortEconomics co-director Theo Notteboom concludes bringing the PORTOPIA project central stage


Published in Members News

"Essays on the relationship between terminal scale and port competition" is the theme of the doctoral thesis that was concluded by PortEconomics member Vicky Kaselimi

The research presented in this work is primarily concerned with the scale of container terminals and its ensuing relation with inter- and intra-port competition. It supports the notion that good social science is also problem driven and not only methodology driven. It proceeds to this aim by implementing modelling application and empirical testing where possible.

The instigation behind the research lies on the observation that stakeholders when engaged in concessioning procedures face dilemmas concerning terminal developments. The terminal scale under consideration is defined as the revealed "preferred" scale. While bearing in mind that no answer can be given to the question of which is the revealed "preferred" scale at such a broad and general level, the thesis focuses on terminal scale and competition and models their inter-relationship in an exploratory way. A two-fold approach is implemented using large sample statistical analysis on one hand and case study game theoretic analysis on the other hand.

The tools developed in the study are linked with port policy and management. In combination with specific terminal data, they can be used by the relevant decision makers as a guide in dealing with real problems related to issues on the configuration of terminal plots and hence achieve an effective infrastructure planning. This can prove of vital importance when market forces alone are not sufficient. The final decision lies in their hands, who depending on their objectives, specific strategy and priorities, act accordingly to satisfy the conflicting interests of the different stakeholders involved.

The succesfuly defended research was conducted at ITMMA - University of Antwerp under the supervision of PortEconomics co-director Theo Notteboom, and was supported by a scholarship of the Greek state scholarship foundation.

You may freely download the Thesis icon 2013-Kaselimi PhD-Essays on the relationship between terminal scale and port competition 

Published in Members News

The Black Sea region accounts for only 2.5 percent of global seaborne trade. While its significance is quite limited on a global scale (eg. seaborne trade in the North Sea region accounts for 17 percent of the world total), the Black Sea is an important area of development due to its geographical size and resource base. Ukraine and Russia are two major powers in the Black Sea port sector.

In an article, published in Port Technolgy International [issue 61], PortEconomics co-director Theo Notteboom, joined by Kateryna Grushevska (Phd at ITMMA-University of Antwerp) zoom in on port activity in Ukraine with a specific focus on dry bulk cargo. Theo and Kateryna discuss the current status of and future outlook for the major deep-sea ports of Odessa, Ilyichevsk, Yuzhnyi and Nikolaev which together represent about 60 percent of dry bulk traffic in the Ukrainian port system.

You can freely download and read the article @PortEconomics: icon PTI61-Dry bulk cargo in Ukrainian ports-Grushevska-Notteboom


Porteconomisnew Port Technology International
Published in Viewpoints

PortEconomcs associate member Francesco Parola, along with PortEconomics co-director Theo Notteboom, PortEconomcs member Jean-Paul Rodrigue and Giovanni Satta (Department of Economics, University of Genoa) have published a port study in the 33rd issue of the scholarly Journal of the Transport Geography. The study provides an analysis of factors underlying foreign entry strategies of terminal operators in container ports.

1982002 542134565903132 1221757004 nPort reforms around the world have opened regional container port terminal markets. The emergence of a wide array of global terminal operators has led to a differentiation in entry strategies driven by their respective strategy and objectives and by factors exogenous to the firm. The study looks at antecedent factors that (could) play a role in a company's entry mode strategy in a public-private partnership (PPP) setting. More specifically, we analyse to what extent firm-specific, external, project and cross-cultural factors play a (decisive) role in the choice between direct PPPs (i.e. stepping into a new PPP arrangement such as a new concession agreement) and indirect PPPs (i.e. stepping into an existing PPP arrangement through acquisitions).

You may freely download the authors' version @porteconomics.euicon 2014-JTG-Parola,

Published in PortStudies
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