Systematic policy analysis framework

The following horizontal system elements were distinguished for the policy analysis framework, which are vital to the strength and success of inland waterway transport:

I. Markets & Awareness II. Fleet

III. Employment & Education IV. Infrastructure

V. River Information Services (RIS)

The markets and awareness field focuses mainly on transport demand and the users of inland waterway transport. As the IWT market is characterised by a high market power from the demand side, the needs of users are highly important to take into account as well as raising the awareness about the potential of IWT.

The categories Fleet, Employment & Education and Infrastructure and RIS are four different areas focussing on the crucial production elements that are essential for IWT to provide services. Basically a vessel, workers and a waterway is needed to provide transport services. Each component in this production system is of vital importance for the quality and quantity of the performance.

Last but not least River Information Services are of growing importance due to the overall need in logistics for efficient integrated solutions. By using ICT efficiency can be improved as well as the integration of IWT in logistics (e.g.

tracking and tracing, eFreight). ICT and in particular RIS therefore play an important role in the development of the performance of Inland Waterway Transport.

The analytical approach largely follows the NAIADES action fields which have also proven suitable for the present purpose. In addition, three vertical dimensions were added to the areas. In each of these fields one could look at the various types of policy objectives (see figure 2.4), namely outputs on:

 Multimodality and logistics: Improve logistics supply chain integration and increase (multi-) modal share of IWT.

 Environment, climate change and safety: Reduce external costs and carbon footprint of IWT operations.

 General market conditions: Improving the general framework conditions for efficient and sustainable IWT operations.

This structure is the analytical framework to structure the policy measures of the study.

Figure 2.8 Policy analysis framework

The theme ‘Multimodality & logistics’ is important for IWT as this is the ‘key’

to integrating inland waterway transport in door-to-door supply chains. It is therefore essential to focus on the current situation in intermodal transport by barge and to make an outlook on how this market is developing, what new opportunities there are and what policy actions are needed to ensure that the potential of IWT can be exploited. Attention is paid to intermodality and logistics in each of the horizontal fields.

For instance when looking at ‘Markets & Awareness’, it can be noted that container transport is still the market segment with the steepest growth rates, additionally boosted by intercontinental trade patterns (such as Asia-Europe) and major expansions in seaports for container handling capacity. For example the expansions on Maasvlakte II area in Rotterdam points towards a massive increase of container transport by barge and also an increase of modal split (currently 35% with a target of 45% in 2030). Such a great challenge and growth potential requires also that the IWT mode is prepared for such a transport demand in terms of fleet capacity, education of staff as well as the

necessary inland port connections to serve the clients in the hinterland.

Moreover there are possible opportunities in ‘new’ markets such as door-to-door multimodal transport.

Specific attention is paid to the ‘Environment, climate change & safety’

aspects, in particular to air pollution, energy consumption and alternative fuels.

The environment is one of the key areas in which action must be taken for the next decades, given the problems with fossil fuel dependency, climate change and air quality concerns. With respect to air quality, inland shipping had an excellent position in the past, but with the fast renewal of trucks — in contrast to IWT — and more stringent emission standards every 3-4 years, additional action in the field of IWT is required. The specific technical characteristics of inland vessels (e.g. long lifetimes of engines and the limited market for replacing engines) ask for a targeted approach. Finally, both the European climate change strategy and efforts towards the internalisation of external costs will impact the IWT sector. Therefore efforts should be aimed at a further reduction of external costs (air pollution, emissions of greenhouse gases, safety).

Not all policy measures that will be needed to strengthen IWT can be directly subsumed in one of the two output categories distinguished so far. These apply in particular to all type of measures that are needed the improve the market conditions of IWT (e.g. providing general information and statistics on various issues, level playing field, harmonised regulations, well functioning labour market). All these types of measures are categorised as measures aiming at

‘Improving market conditions’.

Another more general structuring dimension of the study is related to typical market segments of the industry. The study distinguishes various types of industry supply chains / segments, for example:

 Coal fired power plants

 Steel industry

 Petroleum and chemical industry

 Containerised goods

 Agribulk

 Construction industry, and

 Sea River transport

Also the main four corridors relevant for inland waterway transport in the European Union have been distinguished:

 Rhine corridor

 North-South corridor

 East-West corridor

 Danube corridor

The analysis of the current situation as well as the forecast for the medium and long-term was carried out according to the above analysis framework.