British Ports Association luncheon
Thank you for inviting me to join you at this year’s British Ports Association lunch.
I am among the first to appreciate the importance of BPA members to the economy. Some 35% of the UK’s tonnage is handled by ports outside the ten largest, an important fact that isn’t always recognised as fully as it should be.
Inevitably, it’s the large ports that catch the headlines and there are several BPA members among the top ten. But small to medium ports continue to make significant contributions to their local and regional economies.
Most are also experiencing long-term growth and it’s important for this growth be sustainable.
The Department for Transport has developed a lot of its current policy framework based on the Stern Review on the Economics of Climate Change and the Eddington Transport Study, which looked at competitiveness in the context of sustainability.
These reports have helped reshape the way we think about developing policy and the new approach was set out in a document we published last October called ‘Toward a Sustainable Transport System’ – or TaSTS.
TaSTS goes some way to countering the myth that society has to choose between being 'rich and dirty' or 'poor and green'.
The report also recognises that we have to balance our commitment to a globally competitive economy with our environmental obligations.
One of the key principles of Eddington's recommendations was the need to consider journeys rather than modes. So this means not only looking at the shipping leg of the journey, but port operations as well and the onward transit of goods to distribution centres and end destinations.
This could result in a more co-ordinated approach to inland transport, and for example greater use of coastal shipping to move aggregates.
The role of feeder ports in container trades could become more important with opportunities to grow coastal transhipment from the busier deepsea hubs – and so on.
It could also mean port users making greater use of rail connections at ports and rail’s Strategic Freight Network.
Options like these need to be considered in our future transport planning using the evidence available on each element of a journey to make targeted improvements to our transport network.
As for the Planning Bill, this is continuing its passage through Parliament.
I know there were concerns about the Bill in the ports industry and elsewhere. But we’ve taken on board the need for greater speed in the system and greater clarity about what will be expected of applicants and others at each stage of the planning process.
It's the Department's intention to consult on a National Policy Statement on ports, as contemplated by the Bill, once it has become law.
Primarily, this will be to inform the new Infrastructure Planning Commission on the largest development applications, and it will effectively represent the closure of the Ports Policy Review.
But more immediately perhaps, almost all of you should have an interest in the draft Marine Bill, which is currently out to consultation. Although it's a DEFRA consultation, be assured that DfT officials have been closely involved in the preparations.
We want to make sure that the arrangements for marine spatial planning and the creation of a Marine Management Organization – also known as MMO - will work in harmony with the practicalities of the ports and shipping world.
For example, the MMO will eventually deal with the majority of harbour revision orders (and associated consents) for works in England and Wales. So it is crucial for the system to work from the word 'go'.
Therefore it would help us greatly if you take this opportunity to feed in comments based on your experience and expertise. The closing-date is 26th June and I hope many of you will find the time to study the most relevant parts of the draft Bill [long and detailed though it is] and respond.
I want to take this opportunity also to remind you about the value we see in Port Master Plans. The concept of Master Plans was successfully pioneered by airport operators, both large and small. They see them as being of real benefit. We're now consulting on draft guidance for ports and, again, will look forward to comments from the industry.
I know that the voluntary Port Marine Safety Code, published in 2000, was welcomed by the industry. However, in more recent times MCA verification visits have revealed that that some ports are not as compliant as they might have thought.
This is now a real challenge for the whole ports industry, not just those ports — and not necessarily BPA members, I do realize — where particular shortfalls have been found. If we are to continue the voluntary approach, even after we've obtained the proposed new powers of direction, you all must demonstrate to critics that it does work.
That includes skills and occupational standards, which are the bedrock of good safety practice.
For example, the onus is now upon the industry to press ahead with National Occupational Standards for harbour masters and pilots. This is now, frankly, overdue, and while I appreciate that there may have been resourcing problems in the past, the time has now come for you to make sure the resources are available.
Such standards will recognize where excellent performance is already well established in this industry, as well as 'raising the bar' for new entrants.
Safety costs money, but ignoring it can cost a great deal more. The Code is a good one and Government supports a voluntary approach. In order to support the Code still further, we intend to introduce the Marine Navigation Bill.
The Bill would give powers to the Secretary of State to give direction to harbour authorities and includes measures to improve the administration of lighthouse authorities and wreck removal.
A draft will be published shortly followed by a 12 week consultation period. Again, we want to hear from you. So please — once again — take this opportunity to add your views and comments.
Landside, the Department is supporting the new Ports and Shipping Partnership. This brings together the ports and shipping industry, combining the health and safety elements for both industries.
The new partnership enables us to continue with the successful Safer Ports Initiative and now is the time to push this forward.
Initiatives like this one serve to highlight how the ports sector in the UK has changed substantially over the last twenty years and for the better. But whatever their size, ports remain the heart of their communities and are as vital to our economy as ever.
You’re the people who make them safe, sustainable and profitable. By setting directions and supporting the industry as fully as it can, the Government wants to ensure that these fundamental aspirations aren’t in conflict.
Be assured, we want to see a thriving and profitable ports industry that continues to deliver value to many different customers in many different markets and I will do all I can to ensure this continues to be the case.
Delivered: 29 April 2008
(This speech represented existing departmental policy but the words may not have been the same as those used by the Minister.)
