Antwerp-Bruges €335m terminal renewal underway

Port of Antwerp-Bruges and PSA Antwerp has given the green light for the renewal of the quayside and terminal at Europa Terminal. The works, which will take about nine years and be carried out in three phases, will ensure that the latest generation of container ships can continue to call at Antwerp. These renovations will also result in an efficient and sustainable terminal that contributes to the transition towards a climate-neutral port.

In order to remain a top-class world port, it must be able to offer its customers a well-functioning infrastructure and additional container capacity. Port of Antwerp-Bruges and PSA Antwerp are therefore investing in the renewal of the Europa Terminal. It was officially inaugurated in 1990 as the first tidal container terminal in Antwerp. With the renewal, which will cost €335m, Port of Antwerp-Bruges aims to strengthen its competitive position while taking steps towards becoming a sustainable port.

The depth of vessels that can moor at the 1,200m quayside will be increased from 13.5m to 16m. Because ships must be able to continue to moor during the extensive works and in order to minimise operational impact, the port authorities are tackling the quayside in three major phases. In addition, they will create additional temporary moorings for inland navigation, so it can guarantee that its customers will receive a smooth service. The works will be spread over about nine years and have been carefully plotted based on expected traffic.

The renovation of the terminal will also contribute to the transition towards a climate-neutral port. Electrification and other optimisations will reduce CO2 emissions per container by 50% and wind turbines will increase the share of renewable energy.

The new quayside will be given a new orientation to ensure sufficient distance between passing ships and the terminal, and to protect the nearby Galgenschoor nature reserve. The works include in the final phase the construction of an underwater dam to provide additional protection for the nature reserve and ensure it does not subside.

During the entire process, all parties involved will take the necessary measures to minimise disruption, in close consultation with the surrounding area.

Following a tender process, the contract for the works was concluded today with a temporary company of four contractors, Artes-Roegiers, Artes-Depret, Herbosch-Kiere and Boskalis, all with extensive experience in large-scale hydraulic engineering projects.

Jacques Vandermeiren, CEO Port of Antwerp-Bruges: “With the modernisation of the Europa Terminal we are underlining our ambitions as a container port. As a world-class port, it is essential that we continue to play at the highest level and are able to accommodate the biggest ships. We are, however, aware of the impact of our activities on the surrounding area and local residents. That is why we are committed to reducing mooring emissions, among other things. With a new efficient and sustainable terminal, we are building the port infrastructure of the future.”

Annick De Ridder, Port Alderwoman of the City of Antwerp and Chairwoman of the Board of Directors of Port of Antwerp-Bruges: “Our port is the economic engine of Flanders. Interventions are needed to make it function optimally. With the deepening of the Europa Terminal from 13.5 to 16m, together with PSA Antwerp, we are ensuring that we can continue to receive the largest container ships. I look forward to the further progress of the works and an even brighter future for container handling in our port.”

Cameron Thorpe, CEO PSA Belgium: “At PSA Belgium, we are delighted that construction works on the quayside are underway. This will allow us to start the transformation process of Europa Terminal with a highly sustainable investment while increasing capacity by more than 700,000 TEU annually. This reflects our confidence in the future of Port of Antwerp-Bruges and underlines the PSA Group’s commitment in Belgium.”

Jurgen De Wachter, General Manager at PSA Antwerp Container Business: “The development of the Europa Terminal will future-proof our operations and service levels, by reducing our carbon footprint by more than half, improving the safety of our people and meeting our customers’ increasing demand for mega-ship capacity.”

Artes-Roegiers, Artes-Depret, Herbosch-Kiere and Boskalis: “We are very happy to undertake this project. It is a strategic project for the future of the port. It is technically complex and will be carried out in phases without too much disruption to container traffic. It will be a technical and operational feat, but one that we can handle thanks to our extensive expertise. Sound agreements have also been made about this with Port of Antwerp-Bruges and PSA.”

UK ports “could face backlogs until 2025”

It could take five years for UK ports to get back to pre-pandemic freight levels, with rising costs, bottlenecks, driver shortages and Brexit delaying recovery. In 2022, there could be even more disruption due to labour disputes and logistics issues, costing British businesses millions. According to research published by Asset Alliance Group, port delays have already caused 1 in 5 companies to lose potential business.

With almost 40 million tonnes of cargo handled in the first three quarters of last year, London is the busiest port in the country, followed by Grimsby & Immingham in Lincolnshire, handling 36.8 million tonnes. The Port of Felixstowe (pictured) is actually Britain’s largest and busiest, but it had the most cancellations of any European port in the last half of 2021, putting it in seventh place.

Due to supply chain issues, the country currently has the highest shipping costs on the continent – three of the 10 busiest ports in the UK are also the most expensive in Europe. The average cost of sending a 20ft container from the world’s busiest port in Shanghai to the UK is 24% higher than any other port on the continent. Liverpool, Southampton and London cost more per journey than the European average of £6,409, at £9,112, £8,306 and £7,900 respectively.

Bottlenecks and delays

Port bottlenecks and increased stockpiling are still widespread, and 75% of companies in the container logistics industry plan to rethink their logistics strategy for 2022. One of the biggest challenges this year for more than half of those surveyed is finding slots on vessels. The HGV driver shortage is another major blocker. Haulage shortages at the country’s busiest ports cause delays of up to 10 days.

Fortunately, it looks like the driver shortage is slowly improving. With a gap of around 45,000 drivers, 27,144 HGV vocational tests were taken at the end of last year – a 54% increase on the year before.

Businesses can do a few things to plan around delays and bottlenecks this year:

  • Investigate backup transportation: Some companies are looking at emergency transportation backup, like air, rail or road, to avoid potential lost sales or delays.
  • Use alternative routes: Not all ports are equally congested, and rerouting could be a successful strategy, provided there are enough drivers to access alternative ports.
  • Source from alternative suppliers: With most companies reviewing their sustainability policies and looking to domestic sourcing, alternative suppliers could eliminate the need to use ports.

“With sites located close to all the major ports – Manchester, central to Liverpool and Grimsby /Immingham; Ipswich covering London and Felixstowe; Newmains supporting Scotland; and our new office in Belfast covering Northern Ireland – we are situated ideally to support those who choose shipping via port or air for their freight movement,” says Brian Kempson, Sales Director, Truck and Trailer Sales, Asset Alliance Group.

Synergy takes over Maersk’s technical management business

Synergy Marine Pte. Ltd., a subsidiary of Synergy Group, has signed an agreement to take over Maersk Tankers’ technical management business. This will strengthen Synergy Group’s position within technical management, and Maersk Tankers will become a service company focused on commercial management.

“Maersk Tankers has been transformed from a traditional tanker company into a service company over the past few years,” says Christian M. Ingerslev, CEO of Maersk Tankers. “The agreement with Synergy Group marks the next big step on our strategic course, offering both the technical and commercial businesses optimum conditions in which to thrive. Maersk Tankers will become a service company focused on the commercial management market, delivering financially and environmentally viable solutions for shipowners.”

The technical management business, which has been part of Maersk Tankers since 1928, maintains vessels to ensure their safe, efficient and cost-competitive operation. It employs close to 3,300 people, of which 140 work onshore. Synergy Group, a leading ship manager founded in 2006 and with 14,000 seafarers and more than 1,000 shore-based employees, has been carefully chosen as the new owner to grow and develop the technical management business.

“At Synergy, we have always strived to provide high-quality services to our ship-owning partners,” says Captain Rajesh Unni, founder and CEO of Synergy Group. “Being considered the right owner of Maersk Tankers’ technical management business is testament to our beliefs and philosophy of working towards creating a platform for high-quality and technically adept services. The crew’s well-being is paramount, and we are committed to providing sustainably responsible services.”

Under the agreement, Synergy Group will take over the entire technical management business of Maersk Tankers. This includes customer and supplier contracts, as well as the technical management of 82 vessels, including the vessels in Maersk Product Tankers. More vessels mean access to more data, which Synergy Group will use to optimise vessel performance and reduce the environmental impact of shipping.

The vast majority of the employees in Maersk Tankers’ technical management business will become part of the Synergy Group, which will strengthen the company’s presence in Denmark, Singapore and India.

Following the takeover, the two companies will work together on the management of the vessels in Maersk Product Tankers.

The takeover of the technical management business is expected to be completed during November 2021.

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