Rapporteur:	Panagiotis GKOFAS
Co-rapporteur:	Pierre Jean COULON

Legal basis	Rule 52(2) of the Rules of Procedure Own-initiative opinion
Plenary Assembly decision	25.1.2023
Section responsible	Section for Transport, Energy, Infrastructure and the Information Society
Adopted in section	6.10.2023
Adopted at plenary	25.10.2023
Plenary session No	582
Outcome of vote (for/against/abstentions)	166/1/3

1.   Conclusions and recommendations

1.1.

Maritime and inland water transportation development should be considered a top priority as regards mobility and facilitating trade, since this will help achieve core European equity and efficiency objectives, such as those set out on the European Green Deal and Sustainable Development Goals agenda, in the 2023 IMO Greenhouse Gas Strategy and in other European Commission communications.

1.2.

Investments in maritime infrastructure should focus on better safety, eco-friendly transportation and cheaper transportation for the public, businesses, travellers and tourists.

1.3.

It is important to fund new investment in resilient ports and hubs to meet the objective of more economic and sustainable goods transportation and business activities.

1.4.

The green transition of the shipping sector must take into account country-specific, sector-specific and job-specific characteristics in order to maintain Europe’s competitive advantages and reduce transition gaps, inequality and the depopulation of some regions.

1.5.

State aid regulations must be carefully reviewed when it comes to the production of ships for European water transportation for the purpose of meeting population needs and tackling labour mobility in remote areas and ensuring sustainable and safe navigation and better coastal monitoring, rather than for the purpose of profitable shipping activities, which can be further developed via market instruments.

1.6.

The revision of the regulatory framework should focus on the effective implementation of rules on substandard shipping and seafarers’ rights to equal terms of employment. The European Maritime Safety Agency (EMSA) should be given a greater institutional and technical role to help implement an upgraded and sustainable maritime transportation policy.

1.7.

It is essential to redesign ports and update the sea cadastre for water transportation to reduce the impact of noise and air pollution on urban areas.

1.8.

In order to implement an effective and just pricing mechanism, a type of ‘transportation equivalent’ could be carefully designed and activated, especially for Mediterranean Sea, Baltic Sea and North Sea countries with small and disperse inhabited islands and for non-accessible inland water/offshore river areas. This could entail subsidising transportation charges for professionals and businesses working and operating in those areas, granting permanent VAT or tax exemptions for transportation of local goods or lowering energy rates.

1.9.

To meet the goal of accelerating the shipping industry’s pace of electrification, as set out in EU regulations and the smart shipping agenda, incentives could be provided for the production and roll-out of certain digital and energy-saving technologies for the shipping transportation sector.

1.10.

Allocative efficiency should be pursued via pricing mechanisms or mechanisms providing incentives for businesses to transport goods and services from or to distant overseas regions, especially for businesses who employ personnel in those areas.

1.11.

It is essential for highly skilled workers to be recruited and be part of a modern maritime transportation sector. The participation of women in the maritime sector should be promoted. Existing employees must be further trained in the areas of sustainable tourism, the green economy, efficient use of resources and operational crisis management for natural and human disasters. Establishing modern and well-equipped schools and universities specialising in the maritime economy and water transportation management could provide added value to coastal areas and economies that depend on the blue economy.

1.12.

Digitalising the marine sector will make it possible to take a more integrated approach and improve the quality of services for both tourism and the water leisure industry.

2.   Introduction — Background

2.1.

The European Economic and Social Committee (EESC) stresses that maritime transport constitutes a sector-specific market, from local ferry transport serving cities and archipelagos via inland waterways and short sea routes, to long-distance ferry, bulk carrier and container ship transport routes, as well as cruise ships. This opinion does not address all these sectors but focuses on equity and efficiency considerations for maritime transportation, mainly as regards the goal of making it easier for members of the public, tourists and professionals to access remote areas, while also addressing the current challenges hampering effective implementation of the green and digital transitions in the maritime sector.

2.2.

The energy crisis created severe difficulties for global transportation and shipping industries, while it induced further restructure on the fuel market, transportation of oil and transportation costs. The tourism sector is considerably affected by energy costs and fluctuations in inflation and global real income.

2.3.

According to official data (1), more than 80 % of global trade by volume and 70 % of the value is transported via ships. Although the environmental impact of sea trade is lower in unit terms (due to economies of size) compared to other forms of transportation, the European fleet still requires further technological upgrades to achieve the greenhouse gas emission climate objectives, as set by the 2023 IMO Greenhouse Gas Strategy (2).

2.4.

Following the European Commission Communication on NAIADES III (3) and the European Parliament’s publication FuelEU Maritime (4), it seems that a consensus exists across institutions and stakeholders in the EU that the development of water transportation contributes significantly to the EU’s decarbonisation strategy, which can be achieved through innovation in water transport (fleets, ports, digitalisation) and modal shifts.

2.5.

The green transition has posed new challenges to the adjustment process of maritime development for the adoption of a more blue, eco-friendly ecosystem. The designed investments should serve the objective of an effective blue transition and blue growth in the maritime sector.

2.6.

The European continent has a very specific landscape and maritime environment. The coastal landscape of the European continent is expected to experience considerable changes and risks in the near future, with regard to the evolution of the climate crisis and extreme weather conditions.

2.7.

The contribution of maritime transportation to the European economy is significant, although the level of economic activity could be further expanded and include more intersectoral and interregional cooperation. The pandemic and energy crises showed the need to develop minimum standards for ensuring enough critical raw materials and foods, a strategic purpose which can be served viably via the further development of maritime and inland water transportation.

2.8.

The development of a modern water transportation industry with gradual and effective implementation of decarbonisation targets is vital for the European economy transition and for the removal of critical dependencies on the energy sector. However, the capacity of operators to replace their fleets must be taken into account, especially as investment in the sector is long-term.

2.9.

European maritime policy should focus on the provision of state aid to regional ports and maritime infrastructure to enable increasing commercial capacities and the green transition of local and regional economies.

2.10.

The regulatory framework for sea workers and seafarers should be carefully reviewed to ensure full compliance of involved stakeholders and entrepreneurial activities to the European framework of human rights, respect of labour laws and the green transition.

2.11.

The recruitment of more high-skilled employees in the maritime sector and inland water services could serve the strategic purpose of quality of services and travel safety.

2.12.

Maritime transportation policies should create the appropriate conditions and provide incentives for SMEs and agri-food businesses to enable them to reduce transportation costs and improve green performance.

3.   General comments

3.1.   Greening initiatives that will allow for a balanced and super-added value growth of the blue economy

3.1.1.

Reducing pollution from shipping is a key objective for the European Sustainable Development Goals agenda. Investments in production and operation of electric and low-emission ships, and use of eco-friendly fuels, such as hydrogen and biofuels, in European waters (rivers, seas, canals, oceans) are essential for the paradigm change.

3.1.2.

The European Union should have a leading contribution towards the reduction of emissions and decarbonisation targets set by the International Maritime Organization (5) (IMO). This should be done by open and transparent consultation for upgrading the regulatory framework of the IMO in a consistent and effective manner.

3.1.3.

The resilience of public infrastructure, marinas and ports is a core objective for Europe’s 2050 Development Strategy. This means that a European maritime policy should focus on transport infrastructure, port capacity and performance, traceability and cost-effective methods of domestic shipping and yachting production. The risk of increased dependence on third countries must be taken into account.

3.1.4.

Maritime transportation is the most efficient mode of transport, recording lower carbon emissions compared to road and air transport in terms of CO2 emissions per passenger or tonne/kilometre, due to scale economies and massive transportation capacity. Of course, the EU regulatory framework should focus on vastly improving the sector’s environmental performance. Shifting passengers’ and businesses’ preferences to modern intermodal transportation patterns involving sea routes and inland waterways will contribute to further improvements on the environmental footprint.

3.1.5.

Noise and air pollution produced by maritime port activities should not be ignored, as it pertains to both the quality of life of local residents and to the health of workers and inhabitants of areas near ports. This entails considerable socioeconomic costs and extra financial burdens on healthcare systems. The same applies to the residents of the hinterland area of navigable inland waterways. Improving the performance of inland waterway transport goes hand in hand with the socioeconomic development of the hinterland; however, this development cannot come at the expense of the residents’ quality of life, despite inland waterway transport creating less nuisance than road transport.

3.2.   The digital transition shall be in line with investment opportunities in the maritime sector

3.2.1.

Digitisation and connectivity of ports and ships will serve the objectives of productivity, security, better monitoring and tackling economic crimes. The ongoing revisions of the Directives on port State control and flag State control should enhance EMSA’s and national authorities’ capacity to develop the appropriate tools for fulfilling their demanding roles.

3.2.2.

The adoption of upgraded technologies, the implementation of smart port concept and green trade logistics systems (use of electronic documents) will accelerate the level of trade transactions and remove legal and regulatory restrictions.

3.2.3.

The digital transition shall offer higher quality of service, speed, transparency and availability of ports and marinas.

3.3.   Public and private sector investments

3.3.1.

Investments in the maritime transportation sector should take into account risks and shortages in food chains, critical raw materials and technological and medical supplies.

3.3.2.

Member States shall be encouraged to develop investment synergies that will enhance intermodal value chains, including maritime transportation, and improve ports, quality of fleets, equal access of passengers and businesses (6).

3.3.3.

National plans for recovery and resilience could be further adjusted to include sustainable investments in port infrastructure, electrified and low-emission ship carriers, digitalisation of commodities and passengers’ transportation.

3.3.4.

The gradual development of an EU maritime cluster can signify a great opportunity for the whole EU maritime industry. By deploying the appropriate financing schemes and investment incentives for cluster collaboration, research and innovation, the EU can set the fundamentals for creating a competitive and resilient environment for a sustainable and safe maritime sector, addressing climate and digital transition challenges.

3.4.   Access equivalence

3.4.1.

Public and private sector investments should be directed to the reduction of costs of transportation for habitants, tourists, merchants and professionals and for business sectors related to the maritime sector across mainland seaside areas and islands.

3.4.2.

Upgrading the effective functioning of maritime transportation is critical for all economies, internationally and locally. Small islands in the European periphery and developing states are the most dependent actors on maritime economy. Vulnerable and distant/rural economies and societies depend heavily on sea transport networks for accessing labour and commodities markets. These populations are quite overburdened by disproportionately high transportation costs and low connectivity, which is time costly.

3.5.   Gender equality

3.5.1.

The participation of women in the maritime labour market is still reported to be very low, although new opportunities exist in the field of monitoring and digitisation to improve this condition.

3.5.2.

The maritime industry should also build women’s skills and achieve gender equality. Highly skilled personnel should be incentivised to work in the maritime transportation sector, by placing greater emphasis on improving working conditions in the sector, particularly improving the balance between family and working life, wages and job security. International agreements and cooperation with the relevant IMO and UN agencies could provide the necessary regulatory and institutional framework for these incentives to work effectively.

3.6.   Harmonisation of processes

3.6.1.

The harmonisation process/electronic monitoring and digital mapping of marinas and small ports in European countries (seat availability, cost, employees or professional skippers’ availability and credentials) is essential for the high standards of quality and safety in tourism and trade via water transportation.

3.6.2.

Maritime transportation is characterised by major diversities in the quantity and quality of commercial and industrial fleets. Tourists, professionals and habitants must rely on better and safer conditions for travelling across Europe, either inland or by sea. This demands further public and private investments in sustainable water transportation, infrastructure, new ships and other sea transportation means, based on the criteria of the European Sustainable Development Goals agenda and the green transition.

3.6.3.

The EU port and marinas optimisation strategy should focus on the better time management of ships and yachts while approaching a station. The Commission should develop a midterm plan to reduce time inefficiencies and minimise extra energy consumption.

3.7.   Trade

3.7.1.

In general, European trade policy should provide incentives for enhancing the resilience of the maritime transportation sector, by minimising export and import restrictions that cause disruptions in value chains, especially during crises.

3.7.2.

Maritime transportation is a central sector to the effective management of products and raw materials circulation across world. After some years of recession, due to the pandemic crisis and reduction of global sales, the maritime transportation industry is experiencing considerable recovery.

3.7.3.

The decarbonisation process will inevitably drive fluctuations in the global prices of raw materials, energy and commodities, the majority of which are transported via vessels. EU policies should focus on the inflationary impact of this, in particular on lower income social groups and workers.

3.7.4.

Digitalisation transformed trade and transport during and after pandemic period. The increasing volume on e-commerce and sales has altered the structure of global trade.

3.7.5.

Maritime transportation and trade operate at suboptimal levels of price transparency; stakeholders lack sufficient information on total costs as regards fees, commissions, or other charges, thus hampering the competitiveness advantages that the maritime sector might offer.

3.7.6.

The maritime transportation sector is highly sensitive to fluctuations in global prices and geopolitical risks or trade tensions.

3.7.7.

Trade agreements concluded by the European Union with third countries should in future be considered as vehicles for the EU’s environmental and social progress and maritime safety objectives.

4.   Special comments

4.1.

European budget authorities should focus on the creation of pilot projects in the maritime and inland water transportation, as part of a comprehensive, sustainable approach involving intermodal transportation, which will combine regional and peripheral needs, green transition and endorsement of digital innovation in the sector.

4.2.

With regard to the preparedness of the local population, maritime training and education on navigation, crisis/disaster management on waters, swimming, first aid at sea etc. should be considered a key priority for the European population, especially for those who live in coastal areas. A quota of participation on the high skilled positions in the shipping industry could be applied to increase the inclusion of more women in the sector.

4.3.

The EESC believes that the evolution of technology brought on by this greening should drive job creation in the maritime transport sector, and change perceptions of it in a way that would see traditional jobs at sea evolving towards high-added-value jobs on land, allowing for the recruitment of more women. Digitalising fleets, standardising shipping construction and making the physical environment of vessels more work-friendly could make the maritime sector more suitable for female employees.

4.4.

Duly qualified seafarers are essential in ensuring navigation that is both safe and respectful of the environment. The viability of this dynamic sector depends on the capacity to continue to attract a sufficient number of quality new arrivals and to retain experienced seafarers, including women and other under-represented groups.

4.5.

Repair activities for traditional boats/ships (sight-seeing, short destinations, leisure) could be incentivised via tax or investment mechanisms with criteria of greening, safety and employment, to ensure the maintenance of skills and traditional footprint in certain areas.

4.6.

Social partners’ role is fundamental to ensure that the green transition in water transportation is functional, and collective agreements could be adjusted in this modern environment, without posing threats to employment rights, the green transition and competitiveness advantages of Member States. Towards this direction, control mechanisms could be applied via the real time monitoring of the number of personnel employed in ships and the registry of sea workers.

4.7.

The revision of the EU regulatory framework for flag State and port State control is expected to make inspection mechanisms more efficient, but it is essential to also ensure that crew and other personnel, no matter their nationality or place of residence, who are working in the maritime sector or on vessels operating regularly between EU ports — regardless of their flag State — enjoy equal terms of employment and working conditions.

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(1)  https://unctad.org/news/transport-newsletter-article-no-107-understanding-maritime-decarbonization

(2)  https://www.imo.org/en/MediaCentre/PressBriefings/pages/Revised-GHG-reduction-strategy-for-global-shipping-adopted-.aspx

(3)   OJ C 275, 18.7.2022, p. 18.

(4)   OJ C 152, 6.4.2022, p. 145.

(5)  https://www.imo.org/en/OurWork/Environment/Pages/2023-IMO-Strategy-on-Reduction-of-GHG-Emissions-from-Ships.aspx

(6)   OJ C 374, 16.9.2021, p. 1.