How to get NRS on the railway Agenda? Kjell Stokvik Managing Director
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1 How to get NRS on the railway Agenda? Kjell Stokvik Managing Director
2 CHNL s Goals & Objectives Promote cooperation and networking activities on Arctic shipping and logistics with partners coming from businesses, academia and public authorities Build up an international network of partners with leading expertise in Arctic maritime transportation and logistics CHNL as a key mediator of knowledge on maritime transportation and logistics in the Arctic
3 CHNL s Homepage:
4 Energy & Mineral Resources in the Arctic Source: Nordregio at
5 Natural Resource Transport in the Barents
6 NSR as a Short Cut between European and NE Asian Markets Cargo Transport from Murmansk/Kirkenes Country via Suez via NSR +/- (nm) (nm) (days) Japan (Kobe) 12,291 6, Korea (Busan) 12,266 6, China (Ningbo) 11,848 6, Cargo Transport from Rotterdam Country via Suez via NSR +/- (nm) (nm) (days) Japan (Kobe) 10,969 7, Korea (Busan) 10,754 7, China (Ningbo) 10,336 8, Source: Rosatomflot
7 From other ports 21 Geography of voyages Transit s 19 From NSR ports 697 Number of voyages Transits 19 Between NSR ports 251 From Asian ports 36 From European ports 59 From Eastern Russia 46 From European Russia 576 From NSR ports 697 From other ports 21 Total 1705 From Europea n ports 59 From Europea n Russia 576 Fm MRM Fm ARH Between NSR ports 251 From Eastern Russia 46 From Asian ports 36
8 Project Goals & Objectives Analysis on current shipping activity and maritime infrastructure, future significance of Arctic transshipment hubs, and the important role that Arctic businesses and industries play in the future development of NSR/NEP Provide the needed data for assessing the feasibility and reliability of using this alternative shipping route in the future by commercial shipping companies Provide Norwegian and South Korean commercial shipping and support industries and major service providers for the oil and gas industry and logistics operators - with critical data and information on current transport and logistics operations on NSR Shipping industry can better assess their involvement in future transport and infrastructure development projects and investments in the Arctic and along the NSR
9 Arctic Maritime Infrastructure Several deficiencies in the current marine transport infrastructure have been identified (e.g. AC s AMSA 2009) Essential to plan a new logistics and marine transportation system in the Arctic Logistics solutions should take advantage of the Arctic resource potential and Arctic shipping opportunities Provide the needed safety and reliability of operations and adequate pollution prevention to safeguard the fragile Arctic environment
10 Arctic Maritime Infrastructure Three Steps in Assessing Infrastructure Needs Inventory of existing transport infrastructure Modeling and design of future transport infrastructure based on various development scenarios Cost estimates and financing; international cooperation
11 1st Step Assessment Study Inventory of northern and Arctic infrastructure ports, airports and response capabilities AC s Arctic Maritime & Aviation Transportation Infrastructure Initiative (AMATII) Arctic Maritime & Aviation Infrastructure Database and Interactive Web-Based Map
12 Assessment of New and Planned Infrastructure along the NSR Major Arctic Ports Smaller Arctic Ports Arctic Transshipment Hubs Arctic River Transport Infrastructure Arctic Railway Infrastructure Floating Support Infrastructure Nuclear Icebreakers Diesel Icebreakers Icebreakers for Arctic Port Operations Shipbuilding Industries High Ice-Class Cargo Vessels Oil Terminals and Shelf Development Arctic LNG Projects Emergency Response Infrastructure Monitoring and Forecasting Infrastructure Arctic Communication System Aviation and Security Infrastructure
13 2nd Step Modeling Study Circumpolar Arctic modeling of the needed infrastructure for reliable and safe cargo transport, resource extraction, and to carry out emergency response and search and rescue activities Results should be displayed as interactive GIS maps with effective visualization show how the whole logistics system should operate and function A joint industry-academic exercise based on the most logical, sensible and environmentally sound solutions
14 NSR s Future Transshipment Hubs Feeder Ships Feeder Ships Year-Round Cargo Transportation NSR WEST Eastbound Westbound NSR EAST Transshipment Hub A High Ice- Class Vessels High Ice- Class Vessels Transshipment Hub B
15 NSR s Future Transshipment Hubs To Northwest Europe To East Coast of America Kirkenes-Murmansk To West Coast of America Provideniya Anadyr Nome Anchorage Dutch Harbor Adak Island Petropavlovsk-Kamchatsky To Northeast Asia An image of the Arctic sea ice on March 24, 2016 (maximum ice extent)
16 Year-Round Navigation on the NSR between two Transshipment Hubs
17 3rd Step Cost & Financing Study The costs of various infrastructure components needs to be estimated Some kind of funding mechanism needs to be put in place e.g. transnational «Arctic Development Bank» or «Arctic Bank» Public-Private Partnerships (PPPs) between Arctic States governments and energy/mining companies, shipping companies, and other interested parties that see benefit in better access to Arctic resources and shorter trade routes Guggenheim (2016)
18 New Arctic Transportation & Logistics System The new logistics system would be an integrated network of navigable seaways, ports, terminals and offshore structures interconnected with main railroads, airports, roadways, pipelines, and river transport
19 Concluding remarks Artic Railway project should look to Barents region as primary area of the potential cargo for short term and add NRS on long term Artic Railway should to be linked other project such as the Baltic railway ( tunnel ) /the Belt and road Initiative from China PPP should be looked at as option for financing Artic railway will be an catalyst for regional development
20 Foto: Statkraft Windmills at Kjollefjord, Finnmark Erlend Bullvåg Nord University Business School Bodø April
21 BIN AREA Russia 2017 America 2018
22 Project Partners (April 2017)
23 Key findings Population growth rate in BIN area is one third of the Nordic countries Tertiary education attainment lags 5 % behind Job creation speed is less than half of the average 25 % of the hydropower production and almost 40 % of the wind power production of the Nordics The intensity of patenting activity is 2.5 times lower; but rather good performance in three counties Growth in number of active LLC is 6% less Production value of private sector lags 10% behind There are many good examples of innovative companies and cross-border cooperation Large growth potential! Recommendations Encourage growth in the young population, redefining the role of the elderly Planning of educational systems that satisfies the demand for life-long learning Stimulating cross-border cooperation on innovation Promoting the BIN area as an attractive place for establishing power intensive industries Identify underlying reasons as to what makes some BIN counties more successful than others Mutual learning Strengthening transportation infrastructure in the East-West direction
24
25 Municipality level development
26 Employment growth, all industries except agriculture, forestry and fishing, , %
27 Growth in production value
28 Growth in production value expressed as index
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