Sustainable Port GOTHENBURG PORT AUTHORITY 2014

Transcription

1 THE PORT OF SCANDINAVIA N E Sustainable Port SUSTAINABILITY REPORT OF GOTHENBURG PORT AUTHORITY 2014

2 OUR MISSION IS TO STRENGTHEN SWEDEN S COMPETITIVENESS THROUGH SUSTAINABLE GROWTH In an increasingly globalised world, the Port of Gothenburg plays a central role in Swedish trade and industry. With a constant focus on sustainable growth, our task is to create conditions for a strong, efficient and sustainable Scandinavian freight hub. The Port of Gothenburg works on several fronts to create sustainable growth. We are a market-oriented port company that focuses firmly on our customers. We also strive to be an attractive workplace that accepts its corporate social responsibility in terms of both employment and counteracting marginalisation. In addition to contributing to the realisation of the city s local environmental goals, we are committed to implementing a range of proactive and internationally recognised environmental initiatives. The Port of Gothenburg has led the way for nearly 400 years. Through growth and development with care and concern for people and the environment, we shall continue to do so for at least another 400 years. 400 years of foreign trade 4 CEO s executive summary 6 Sustainable relations 8 Route to a greener port 12 OUR ENVIRONMENTAL RESPONSIBILITY 14 OUR FINANCIAL RESPONSIBILITY 18 OUR SOCIAL RESPONSIBILITY 24 Key figures 28 Read more and download your digital copy of the Sustainability Report on 3

3 VISION The Port of Gothenburg shall be the obvious freight hub for maritime transport in Scandinavia. BUSINESS CONCEPT Gothenburg Port Authority creates the conditions for a strong, efficient and sustainable Scandinavian freight hub. 400 years of foreign trade With direct connections to most continents and regular departures to ports throughout Europe, the Port of Gothenburg is Scandinavia s largest freight hub. This makes us the gateway to the world for a significant part of Swedish industry. For the past 400 years, we have played a major role in advancing Swedish foreign trade. Swedish industry has always had a need for direct traffic to other parts of the world our history bears testimony to this. 30% Almost 30 % of Sweden s foreign trade passes through the Port of Gothenburg. In an export-dependent country like Sweden, which extends over a vast longitudinal area but is sparsely populated, there is considerable need for a strong freight hub that offers shipping services to key markets. Many of our forest and iron ore assets are found in the north of Sweden, and these need to be transported out of the country as efficiently as possible. We are the only port in Scandinavia to offer a range of services that combine frequent transport throughout Europe and direct traffic to other continents. Large vessels can now make direct calls. To make the voyage all the way to Scandinavia worthwhile, we need to collect large enough quantities of freight in one place. Consolidation of freight is therefore vital to Sweden s competitiveness. It is most likely that every single day you come into contact with something that has passed through the Port of Gothenburg at some point. A wide range of consumer products are imported via Gothenburg clothing, food, electronics, energy products and much more. Sweden, in turn, exports timber, paper, steel and vehicles. Almost 30 % of Sweden s total foreign trade moves through the Port of Gothenburg. We may be large in Scandinavia, but in an international perspective, we are relatively small. In order to offer more direct routes to key markets and thus compete with the larger ports, we need to grow. This we intend to achieve sustainably. Growth will guarantee the competitiveness and efficiency of the business sector s transport despite Sweden s geographical distance, far removed from major import and export markets. Since 2010, the Port of Gothenburg has been operated by a port company Gothenburg Port Authority that develops, maintains and promotes the port in its entirety. The company aims to create the conditions for a strong, efficient and sustainable Scandinavian freight hub. Cargo-handling at the terminals is managed by private terminal operators, who are members of global networks and are experts in efficient freight management. 4 5

4 COLLABORATION key to lasting success In 2014, steps were taken toward the Port s vision of becoming a major maritime freight hub in Scandinavia. A new logistics centre opened, a new port terminal for forest products was built, and a new plan for developing a stronger port was adopted. Our vision is anchored in our firm conviction that strong, sustainable freight hubs create added value for our customers. Volumes may fluctuate with the economy and global competition. There was modest growth in the global container and energy flows in For the European Roro flows and export of new cars from Gothenburg, growth was more significant. An all-time high for cruise ships calling also confirms Gothenburg s status as a popular cruise destination. We firmly believe in a growing market for Swedish foreign trade. Flows to the port are forecast to increase although at a slightly slower rate than before. Despite a slowdown in volume growth and a tough investment programme, the port company reported an acceptable profit, which is important for future investments. We will continue to focus on efficient operations in CORE NETWORK PORTS The European Union (EU) has designated the Port of Gothenburg as one of the five Swedish ports in the list of Europe s Core and Comprehensive Networks. We are a node in one of the freight routes on the EU s priority list for European freight logistics a system chosen to manage infrastructure resources. Efficiency and logic requires that the Swedish Government prioritises the Swedish freight corridors and core ports and allows national infrastructure investments to synchronise with those initiated by other actors in Europe. NEW INVESTMENT INITIATIVES IN 2015 To meet increased demand, we will be continuing our investments in nearby logistic areas. Double railway tracks in the Port Link system and construction of a new entrance will facilitate future entry and exit. In early 2015, new product lines intended to expedite the handling of the new low-sulphur marine fuel became operational in the Energy Port. We also aim to attract larger volumes of forest products. The new terminal for timber transshipment is a complement to the existing ones and significantly improves our capacity to transport Swedish forest products into the world. Additionally, we shall be making calls more financially beneficial by focusing on cost efficiency and excellent service. By cooperating closely with terminal operators and other stakeholders the Port of Gothenburg will be perceived as the obvious freight hub for maritime transport. Our customers and partners are also making substantial investments, clearly demonstrating their confidence in the Port s future. Examples include APM Terminals investment in new straddle carriers and large cranes, and Preem s investment in pine tree oils. SUSTAINABILITY To serve as a high-frequency freight hub with a good network of services, the port and its volumes must grow sustainably. We must maintain a balance between the three dimensions financial, environmental and social responsibility and be proactive and transparent in our sustainability work. This will ensure our financial strength, create the right conditions for our customers and employees and contribute to the development of society. In 2015, we shall also adopt the City of Gothenburg s ambitious environmental programme, where the port and logistics activities are an important key. ENVIRONMENT Early this year the new, stricter sulphur directive for marine fuel came into effect. We have now linked the port tariff to two different environmental indices, offering discounts to vessels operating on liquefied natural gas (LNG). We know that shipping is the most energy-efficient option for transporting freight over long distances. Supporting clean shipping in this way is yet another excellent contribution to our environmental work. PLANNING AND COLLOBORATION VITAL Logistics Sweden faces some major challenges. We are far from many major growth regions, and the industry must adapt to more stringent environ mental demands. Positive development of Swedish business requires efficient ports and dynamic maritime and land logistics systems. Consequently, the Port of Gothenburg will continue its long-term planning and collaboration with other stakeholders to ensure that Scandinavia s leading freight hub develops and becomes the obvious choice for its customers. The port must grow sustainably in order to function as a high-frequency freight hub. Magnus Kårestedt, CEO, Gothenburg Port Authority 6 7

5 Sustainable relations By being attentive and listening to our stakeholders, we shall become better at identifying key issues and how to prioritise them. The following is a summary of our key stakeholder groups, the forum for the individual dialogues, their expectations, and examples of what we do. 66% with of our customers associate our brand the environment and sustainability.! Did you know? As a Group, Göteborgs Stadshus AB owns all the companies within the City of Gothenburg. OUR OWNERS DIALOGUE THROUGH: Presidium Meetings. Board Meetings. Owner Dialogue. Reports. Newsletters. EXPECTATIONS: Create conditions for growth, employment and sustainable development in Gothenburg. Be the obvious freight hub for shipping in the Nordic Region. Be proactive in social sustainability issues. EXAMPLES OF WHAT WE DO: New terminal for forest products. New logistics centre. Require social accountability when procuring. EMPLOYEES DIALOGUE THROUGH: Performance reviews. Workplace meetings. Employee Satisfaction Index. Work Environment Committee. EXPECTATIONS: Safe and secure work environment. Attractive employer offering good terms of employment and skills development opportunities. EXAMPLES OF WHAT WE DO: Focus on systematic work environment improvement projects. Health promotion measures such as health and fitness allowances and health screening. SUPPLIERS DIALOGUE THROUGH: Kick-off meetings to launch general agreements. Follow-up meetings. Project meetings on a regular basis. Trade organisations. EXPECTATIONS: Responsible, reliable and competent client with sound business ethics. Sustainability as a parameter when procuring/technical options. Develop partner relations as a work method. EXAMPLES OF WHAT WE DO: Code of Conduct since Social responsibility when purchasing. TERMINALS DIALOGUE THROUGH: Regular meetings. EXPECTATIONS: Appropriate infrastructure within, and to and from, the port. Long-term conditions for conducting port activities. Steady and stable flows with large volumes of freight. EXAMPLES OF WHAT WE DO: Designated a core port. Investment in port infrastructure. Realise the adopted general plan. Joint climate programme. CUSTOMERS * DIALOGUE THROUGH: Customer Satisfaction Index. Customer visits. Newsletters. Trade organisations. Website. Port Day. Energy Port Day. EXPECTATIONS: Efficient full service port. Extensive range of services. Cost efficiency. Clear sustainability goals. EXAMPLES OF WHAT WE DO: Investment in port infrastructure. New terminal for forest products. Marketing and promotion of the freight hub. Lobbying key issues. Efficient, safe and environmentallyadapted process through Gothenburg Approach. * Shipping lines, freight forwarders, cargo owners, railway operators, tenants. See also terminals. SOCIETY AND GENERAL COMMUNITY * DIALOGUE THROUGH: Field trips. Social media/web. Media contacts. Mail and telephone. EXPECTATIONS: Reliable and responsible actor. Clean, quiet environment. Be proactive in addressing the challenges facing our society. Create jobs. EXAMPLES OF WHAT WE DO: Code of Conduct since Demonstrate social responsibility during procurement processes. Open the workplace for interns and job training. * Local community, local residents, trade organisations, politicians and media. PUBLIC AGENCIES * DIALOGUE THROUGH: Regular meetings and dialogue on the local, regional, national and international levels. EXPECTATIONS: Comply with laws and legislation, permits and directives/ terms and conditions. Reliable partner. Communicate our long-term plans. Develop appropriate/adequate infrastructure. Be proactive in addressing the challenges facing our society. EXAMPLES OF WHAT WE DO: Comply with the City of Gothenburg s environment and climate programme. Develop environmentally-differentiated port tariff. Realise the adopted general plan. * The Environment Department, the County Administrative Board, the Swedish Agency for Marine and Water Management, the Swedish Maritime Administration, the Swedish Transport Agency, the Swedish Civil Contingencies Agency, the Swedish Transport Administration, EU institutions. PORT COMMUNITY * DIALOGUE THROUGH: Collaboration committees. Networks/forums. Reference groups. Port Day. EXPECTATIONS: High level of safety. Good communication options. Proactive environmental work. Promotion of the port in its entirety. EXAMPLES OF WHAT WE DO: Environmentally-differentiated port tariff. Training in the application of the ISPS Code for all employees and terminal companies. Targeted promotion of development plans, liner services, etc. * A number of different actors instrumental to our success. Some of these are also members of other stakeholder groups. 8 9

6 Sustainable relations target groups It is important for the Port of Gothenburg to be highly credible in all our contacts. This creates the conditions for a strong, efficient and sustainable freight hub. We quite simply must be the driving force leading future development in the port cluster. We shall achieve this goal by being a reliable, neutral and responsible partner in our dealings with our stakeholders. Here, representatives of some of our stakeholders express their expectations regarding the Port of Gothenburg s sustainability work. The respondents represent our stakeholder groups customers, terminal operators, our owners and our employees.! Did you know? Our goal is for our brand to be synonymous with social responsibility. KAROLINA KJELLGREN HEAD OF NORDIC, WALLENIUS WILHELMSEN LOGISTICS The Port of Gothenburg shall be an active member of the local maritime cluster. One organisation is needed to drive development in shipping, and this is where the Port plays a pivotal role. With regard to environmental work, we consider you to be at the forefront. We expect the Port of Gothenburg to continue having positive dialogue with us, your customers, and in this way work to find new instruments to drive development. In addition, there must be a long-term approach in the work for sustainable growth. Interaction between the financial, environmental and social aspects is a prerequisite if we are to achieve a truly sustainable impact. ROMAN GRABER BUSINESS DEVELOPMENT MANAGER, GOTHENBURG RORO We expect the Port of Gothenburg to apply a long-term approach to their sustainability work, thereby creating stable conditions for our business the project to deepen the fairways is one such example. We look forward to continuing our work to ensure even more customers use the onshore power supply and LNG, and are convinced that having a long-term approach to these issues is advantageous. We, the terminals and the Port of Gothenburg, have a shared responsibility to drive the environmental and sustainability process so collaboration, in the form of our joint climate programme for example, is an important aspect of sustainability. LARS-BERTIL EKMAN CEO, GÖTEBORGS STADSHUS AB My basic assumption is that the Port of Gothenburg has the capacity to develop in accordance with the owner s directive. They should be able to manage their investments and balance their economy. The Port s proactive environmental work is widely recognised and, as a consequence, the Port has received a variety of awards. My vision for the future is that the Port will continue along this path. Social sustainability is a major challenge for the Port as it is for other companies in the city. This is one area in which we all need to step up. Social sustainability is a prerequisite for a better city in which to live, which in turn will attract expertise in the business sector and subsequently benefit the Port of Gothenburg as a logistics hub. ÅSA KÄRNEBRO BERGSTRÖM DEPUTY HARBOUR MASTER, PORT OF GOTHENBURG It is key that we have a vision to develop the port sustainably, and it is good that the organisation is receptive to novel ways of thinking and gives us employees the chance to dare to try new concepts for improvement, as this helps generate innovation. Our employees have been very dedicated and involved in the new system for managing port calls, and this is expected to have a positive effect in terms of safety, the environment and efficiency. I value the fact that we accept our social responsibility, for example, welcoming school classes on field trips. Those of us working here are appreciative of the opportunity to meet young adults and talk about the port s activities

7 Route to a greener port Sustainable growth is a central catchword for us. It is vital to guarantee the business sector a strong freight hub with direct routes to key markets. We shall also make it easier for shipping lines, terminal operators and land carriers to minimise their carbon footprint. Here are some examples of our green voyage through the decades. The Little Egret is one of many species of wetland birds that will benefit from the wetland pool in Torsviken.! Did you know? Gothenburg Port Authority is scheduled to become a climate neutral company in STENA LINE CONNECTS TO ONSHORE POWER SUPPLY Stena Line s Stena Germanica and Stena Scandinavica ferries turn off their engines at the quayside in the Port of Gothenburg and connect to low voltage for their on-board power supply ENVIRONMENTALLY- DRIVEN TARIFFS Environmentally-driven port tariffs are introduced with higher fees for vessels discharging more air pollution, and lower fees for those with good environmental performance FIRST RAIL SHUTTLE 2000 UNIQUE ONSHORE POWER SUPPLY The first rail shuttle for container goods departed for Karlstad. Today there are about 25 daily shuttles to as many locations all around Sweden and Norway. The trains replace 700 trucks on our roads every day, saving over 60,000 tonnes of carbon dioxide annually. Using state-of-the-art technology the first ship could connect to high voltage power at the quay. The Port of Gothenburg became the first in the world to offer this service to commercial shipping, thus significantly reducing emissions. Stora Enso was the driving force ELECTRIC RAIL TRACKS The 10-km freight railway linking the port with the Swedish railways becomes electric. Now trains no longer have to switch to diesel locomotives and emissions from rail traffic decrease VAPOUR RECOVERY SYSTEM First vapour recovery facility opened. It takes care of the gases formed when loading tankers with petrol. The gas is converted into liquid fuel which is fed back into the vessel GREEN BUNKERING Green bunkering regulations introduced to minimise the risk of spillage when loading vessels with fuel in the port and the surrounding areas. All bunker operators must have special training. This has radically decreased the risk of spillage MORE ONSHORE POWER CONNECTIONS Stena Line connects its German ferries to onshore power supply. Meanwhile innovative technology that converts 50 hertz frequency on land to 60 hertz the most common frequency on ships is introduced SIGNIFICANT INVESTMENT 2011 SUPPORT FOR ENVIRONMENTAL SHIPPING COMPANIES 2012 COLLABORATION AGREEMENT FOR LNG Port of Gothenburg signs LNG agreement with the Port of Rotterdam. The goal is for ships to be able to load LNG in both ports by A Letter of Intent is also signed with Vopak and Swedegas, who have plans for a Gothenburg LNG terminal. Port of Gothenburg launches a campaign whereby vessels opting for cleaner fuels in its fairways are financially compensated. LNG ventures and vessels classed as green under the Clean Shipping Index can also receive support. The project is funded from the environmentally-driven port tariffs. Period billion SEK invested in deeper fairways and three new Super Post Panamax cranes so that the Port can receive giant container vessels. A single trip to Hamburg by such a container vessel fully-loaded is equivalent to approximately 5,000 trucks/truckloads POOL FOR WILDFOWL Port of Gothenburg submits an application to build a wading or wetland pool for wetland birds in Torsviken. In this way the natural environment is restored after the area has been dredged for almost forty years. The wetland pool is scheduled to be ready in DISCOUNT OFF PORT TARIFF Gothenburg Port Authority gives 20 % discount off the port tariff to vessels operating on liquid natural gas (LNG), in addition to the 10 % discount given to environmentally-adapted vessels. The premium is based on the CSI and ESI environmental indices LEADING THE WORLD S PORTS World Ports Climate Initiative is formed and the Port gets to lead a project that will inspire ports the world over to offer 2008 vessels quayside power supply. LNG ORIENTATION Port of Gothenburg begins project to make Liquefied Natural Gas available as ship fuel in the docks

8 OUR ENVIRONMENTAL RESPONSIBILITY The Port of Gothenburg applies a proactive approach in its initiatives to minimise the environmental impact of shipping and contribute to sustainable transport. One major challenge facing us is to achieve our growth ambitions while creating minimal environmental impact. BRITISH WASTE BECOMES HEAT AND ELECTRICITY DFDS Seaways Roro vessels deliver processed waste (RDF) from the UK to West Sweden s recycling and waste company Renova. This sorted waste is an excellent energy source that is incinerated to generate heat and electricity. Our environmental responsibility can be divided into three main areas: minimising our carbon footprint, reducing the environmental impact locally, and reducing the use and consumption of resources. The Port s environmental work is based on the City of Gothenburg s environment and climate programme and our environmental goals are therefore adapted to realise the City s objectives. To help our customers minimise their environmental impact, the Port of Gothenburg offers a variety of tools and incentives. We provide a port tariff discount to environmentally-adapted vessels, an extra discount to those operating on LNG (liquefied natural gas), and are at the forefront in terms of offering quayside onshore power supply. For the past three years we have also been running an environmental campaign that rewards vessels operating on low-sulphur fuel. Our initiatives are conducted in close collaboration with our terminal operators and we have several joint environmental projects, including a joint climate programme. We are also active in international environmental work, both to learn more and to share our experiences in terms of new fuels and connecting to onshore power supply. Read more on tonnes Gothenburg Port Authority conducted an environmental campaign that ran from 2011 to As a consequence of the campaign, the eight shipping lines participating were able to reduce their sulphur emissions in Gothenburg by 383 tonnes. COMPLIANCE WITH THE CITY OF GOTHENBURG S ENVIRONMENTAL AND CLIMATE PROGRAMME In 2014, the City of Gothenburg drew up an entirely new environmental programme and a new climate programme. These now constitute the basis for the Port of Gothenburg s own environmental and climate work. 20% REDUCTION IN C0 2 EMISSIONS BY 2030 The Port of Gothenburg conducts its operations in accordance with the City of Gothenburg s climate programme. This means that we are currently working to ensure that shipping in Gothenburg can reduce its carbon emissions by at least 20 % by 2030, as compared to the 2010 level

9 New environmental discounts LNG The Port of Gothenburg gives a 20 % discount off port tariffs for vessels operating on LNG, plus a 10 % discount off port dues given to vessels with good environmental performance. Important to dredge with concern for the environment To ensure that all vessels honestly comply with our fuel requirements, the Port of Gothenburg, in collaboration with Chalmers University of Technology, has developed a sniffer which is fitted at the entrance to the port and analyses the sulphur content in exhaust plumes. LNG ENVIRONMENTAL PERMIT GRANTED FOR LNG The County Administrative Board in Västra Götaland has granted Swedegas and Vopak LNG Holding a permit for an LNG terminal in the Port of Gothenburg. The terminal will supply shipping, industry and heavy transport with liquefied natural gas. On 1st January 2015, tough new sulphur emission regulations were introduced for shipping in the Baltic and North Seas. One way to address this change is to use LNG as a marine fuel, which will cut sulphur and particulate emissions to almost zero, nitrogen emissions by %, and carbon dioxide emissions by 25 %. Consequently, vessels operating on LNG will be rewarded. We hope our new port tariff will help accelerate the transition to LNG. Everyone agrees that this will happen sooner or later, but we would like to help speed this development, says Edvard Molitor, Senior Manager Environment, Port of Gothenburg. Targets & Results Greenhouse gas emissions (tonnes carbon credits) Two indices are used as the basis for the premiums offered to vessels with good environmental performance: the Clean Shipping Index, which is an environmental index where the cargo owners make demands on shipping, and the Environmental Ship Index, which is used in many ports worldwide. We have chosen ESI because this is the index most widely used internationally. Our customers have specifically requested that we base our rebate system on the one used internationally, says Edvard Molitor. Results 2013 Targets 2014 Results 2014 Port of Gothenburg * 190, , ,000 Gothenburg Port Authority *Refers to: Shipping in Gothenburg Municipality, Terminal companies: APM Terminals Gothenburg AB, Gothenburg Roro AB and Logent Ports & Terminals AB, and bunkering petrol in the Energy Port and Gothenburg Port Authority. In 2014, approximately 200,000 m 3 of silt and clay were dredged from Göta River. Everything has been done with the greatest care and concern for the environment. Every three to five years the fairways and port must be dredged as part of the general maintenance programme. This is necessary in order to maintain the flow of water and the depth of navigation channels. Failure to dredge leads to fairways becoming too shallow for large ocean-going vessels. Dredging should be carried out in such a way as to minimise disturbance to the flora and fauna, so no work that stirs up the sediment is performed in spring, summer and autumn, periods when fish migrate along Göta River. Dredging spoils are deposited in Lundby Port on Hisingen, where they are covered with over one metre of clean sea sand. This is an established method that has been used successfully in other dredging activities. Sea sand prevents contaminants from spreading and negatively impacting the environment. DISSERTATIONS ON SUSTAINABILITY AWARDED The students from the School of Business, Economics and Law at Gothenburg University behind this year s best dissertations on sustainable freight transport are Emelie Wallgren, Katja Dvali, Marie Alderman and Ekaterina Ilina. Together they will share the 30,000 SEK prize which was presented on Port Day on 5th November. 6,500 tonnes In 2014, connecting to onshore power in the Port of Gothenburg reduced carbon emissions by 6,500 tonnes

10 OUR FINANCIAL RESPONSIBILITY Gothenburg Port Authority is responsible for developing Scandinavia s largest freight hub in a long-term, sustainable way. This responsibility extends far beyond West Sweden, since Nordic industry relies heavily on the port for its competitiveness. Our financial responsibility can be divided into three main areas development of the freight hub, financial strength, and focus on the customer. The range of liner services plays a central role in the development of the freight hub. Today, the Port of Gothenburg has direct connections to nearly all continents, and regular departures throughout Europe. The more freight that can be collected in Gothenburg, the greater the potential for efficient transport all over the world. The port plays a prominent role in the development of the Gothenburg region. About 22,000 people in 320 companies have a direct or indirect connection to the Port of Gothenburg. The future development of the port affects many people. Having sound financial strength means being a wholly independently financed company. There are some major investments ahead; investments that are necessary to strengthen Sweden s competitiveness. In order to achieve a sustainable profit margin and fund investments, our focus will be on efficiency initiatives and value-added activities of benefit to our customers. Our business applies a customer-centric approach. By offering terms and conditions in the form of the right infrastructure and the right services, our customers should be in a position to develop their business. The Port of Gothenburg encourages competition on all levels in order to keep prices down. From raw material to end consumer What really happens when Swedish companies export their products out into the world? In 2014, we introduced a website, Made in Sweden, which follows the route successful Swedish products take from raw material to end consumer. In this new web solution followers can, with the help of texts, images and animations, identify the route Swedish exports take from their manufacture, via the Port of Gothenburg, all the way to the end user. We would like to draw attention to smart Swedish export companies and their importance to the country. At the same time, we would like to increase awareness of the importance of logistics for Swedish exports, where the freight hub, Port of Gothenburg, plays a significant role, says Cecilia Carlsson, Head of Communications. In 2014, Made in Sweden focused on three Swedish companies: Tomoku Hus AB, Absolut Vodka and BillerudKorsnäs. Read more on: /madeinsweden NEW CONTAINER LINE TO SPAIN In December, German shipping line OPDR joined forces with X-Press Feeders to launch a joint freight service to the UK and Spain. The new service will include a weekly call at the Port of Gothenburg. RECORD SEASON FOR CRUISES In 2014, 73 ships with a total of 110,000 visitors called at the Port of Gothenburg. During the year, cruises generated a substantial revenue of 60 MSEK to the City of Gothenburg. NUMBER OF CRUISE SHIPS CALLING Targets & Results Results 2013 Targets 2014 Results 2014 Equity / assets ratio % 41.5 > Profit / loss, MSEK Every day goods from all corners of the globe pass through the Port of Gothenburg technology, clothing and food on their way to Scandinavian consumers. In the port they meet Swedish exports such as paper, vehicles and wood on their way out into the world. NEW RORO LINE WITH CARS TO GOTHENBURG In April, shipping of Renault and Nissan cars from Zeebrügge to the Roro terminal in the Port of Gothenburg got underway. Two vessels from EML NV will service this route every five days

11 The Port invests in the future In 2010, the Port of Gothenburg changed from a port with joint responsibility for development and terminal operations to a dedicated port company, Gothenburg Port Authority. Terminal operations were outsourced to external operators. INVESTMENTS and CASH FLOW, MSEK Investment initiatives Cash flow ! Did you know? In 2015, we plan to invest between 400 and 500 MSEK. Owned by the city Gothenburg Port Authority is owned by the City of Gothenburg and Göteborgs Stadshus AB, a parent company registered in We are independently financed and receive no funding from the City of Gothenburg and its inhabitants. The majority of the company s profit is reinvested in initiatives to develop the port. Our primary aim is to strengthen Swedish trade and commerce and create competitive advantages for industry in the Nordic Region. We also have significant local impact as we create jobs in and around Gothenburg, directly and indirectly. 661 MSEK Port of Gothenburg Group s turnover in MSEK Port of Gothenburg Group s investments in 2014 Revenues from rents and leases Charges from energy goods Concession charges from customers and partners Port charges Over eight billion SEK for a new Port of Gothenburg Today, if the Port of Gothenburg were to be constructed from scratch it would cost approximately 8.5 billion SEK. Our quays were built in the 1960s and 70s, or even earlier, so substantial maintenance work is required. In 2014, we invested some 100 MSEK in planned maintenance, 60 MSEK of which have been reported as direct investments. In addition, the Port has an extensive investment programme. In 2014, investments totalled about 390 MSEK (including re-investments in the maintenance plan). In 2015, we plan to invest between 400 and 500 MSEK to ensure that our customers can develop their operations, both in the short and the long terms. The majority will go to infrastructure in and around the port. The entire Scandinavian business sector should have easy access to the Port s global offerings. Targets & Results THE MAJOR INVESTMENT INITIATIVES IN 2014 Construction of berths in the container terminal, 191 MSEK Reinvestment in existing facilities, 62 MSEK Surface upgrade in the container terminal, 23 MSEK EXAMPLES OF NEW INITIATIVES IN 2015 Reinvestment in existing facilities Construction of berths in the container terminal Port of Gothenburg Logistic Park new logistics area Arendal II future port terminal Port Entry new port entrance for truck traffic Results 2013 Targets 2014 Results 2014 Energy Cruises Containers 858, , ,000 Roro 551, , , 000 Cars 163, , ,000 Maintenance of and investments in quays /terminals Dredging the harbour Gothenburg Port Authority Responsibility for wharfage / navigation process, traffic information and surveillance Revenues and how they are spent Road and rail infrastructure in the vicinity of the port Safety, health and environment work, climate-friendly transport concepts Pipelines and marine loading arms Marketing the Port of Gothenburg as a hub for freight Development of logistics land / logistics centre 20 21

12 Forest volumes to Gothenburg via Railport Scandinavia Dedicated forest terminals, smart train solutions and global routes. Businesses in the Port of Gothenburg are determined to attract more forestry-goods volumes to the port. We are now poised to offer the Swedish forestry industry a long-term, sustainable solution. Stig-Göran Thorén, Senior Manager Business Development, Gothenburg Port Authority THE PORT IS GROWING The Port of Gothenburg continues to grow, thus creating conditions for new companies to establish themselves as well as more job opportunities in the logistics sector. In 2013, the import warehouse received its first tenant, Schenker Logistics. In 2016, the Port of Gothenburg Logistic Park, with 400,000 m 2 of logistics space, will be ready for occupancy. The railway infrastructure is also being strengthened with the expansion of the Port Link linking the Port of Gothenburg to the rest of Sweden into a double-track system. Particular attention will be paid to offering more terminal space for transshipment of export freight. Vessels can increase their cargo, the ports will be deeper and warehouses bigger. By consolidating large quantities of freight, we will have more efficient logistics solutions and a higher output ratio. It will be cost-effective and minimise the carbon footprint if we can bring in a container, offload it into a warehouse near the port, load it with export freight and ship it out again, says Arvid Guthed, Vice President Port Development. The development plans to the year 2035 are presented in greater detail in the new general plan adopted in It is important that both the market and the relevant public agencies have a clear picture of our long-term development, says Arvid Guthed. Read more on NEW MASTER PLAN In 2014, a new master plan, detailing the port s development up to the year 2035, was adopted. CONTAINERS BY RAIL % % % Percentage of containers transported by rail in the container terminal (APM Terminals). The Port of Gothenburg will improve its capacity to receive larger volumes of paper and forest products. To this end, there are now several new terminals for transshipment of paper, pulp and lumber. In addition, there are new train solutions that will enhance the capacity to receive sawn timber at the port. We have been attentive and adapted our operations to align with the forestry industry s requirements. We can now offer the industry a long-term and environmentally-adapted solution. Our mission is to be instrumental in increasing Swedish forestry exports, says Stig-Göran Thorén, Senior Manager Business Development, Port of Gothenburg. There are currently some 25 daily rail shuttles operating under RAILPORT Scandinavia, linking the Port of Gothenburg with a number of inland terminals/ dry ports in Sweden and Norway. As a direct consequence, large quantities of goods can reach the Port s customers, quickly and efficiently. Furthermore, the use of rail shuttles positively affects our environmental impact. In 2014, there was a 60,000-tonne reduction in carbon emissions as a result of freight being transported to the Port of Gothenburg by rail instead of by truck. There are also several system trains that operate to and from the port such as for Stora Enso s paper exports. Gothenburg offers the most extensive range of shipping services in the Nordic Region, both within Europe and to other continents. Every week the Port has about 210 ship calls. By offering daily services to all parts of the world, the forestry industry can collect its export volumes here and create a cost-effective, climate-smart logistics solution, says Stig-Göran Thorén. Read more on NEW FOREST TERMINAL IN THE VICINITY OF THE PORT Soren Tyhr AB s terminal for the transshipment of sawn timber opened in autumn It is adjacent to the Roro and container terminals, connected to the rail tracks, and has the capacity to handle over 1,000,000 m 3 of timber annually FREIGHT BY RAIL (million tonnes)

13 OUR SOCIAL RESPONSIBILITY As a central player for Scandinavia s largest port cluster, we have an important role and must be proactive in developing our social responsibility. We shall make a difference by being part of the solution to society s challenges, both locally and globally. How we succeed and what we do impacts our society as a whole. Our social responsibility is based on three main areas: contributing to local and regional employment, contributing to a sound work environment and the well-being of our employees, and being part of the solution to society s challenges. We have a number of ongoing initiatives that aim to increase job opportunities and counteract marginalisation. Examples of these are opening up our workplace and offering job training opportunities, receiving trainees and temporary summer employees, and demanding corporate social stipulations during procurement processes. The health of our employees is our prime concern. All employees are entitled to health and fitness allowances, health screening and subsidised public transport travel cards. Our employees, customers and partners should, moreover, have confidence in, and feel they can rely on, our approach to our workplace environment. We aim to be part of the solution to society s challenges by sharing our knowledge and our time. We give school children the opportunity to learn more about working life through field trips, we share our environmental knowledge with other ports, and our employees have the opportunity to do voluntary work during working hours. In 2014, we took on a number of the challenges in CSR West Sweden s initiatives for a Fair Workplace, Environmental Responsibility and Social Responsibility. CSR = Corporate Social Responsibility (a company s responsibility to society) 8,000 directly employed by the Port of Gothenburg 14,000 indirectly employed by the Port of Gothenburg EMPHASIS ON IMPROVING THE WORKPLACE ENVIRONMENT In 2014, emphasis was placed on further improving the workplace environment. We have reduced the use of chemical products containing Bisphenol A from thirteen products down to one. A new user-friendly deviation management system for workplace environment and other issues has been introduced. We have also developed our processes in terms of our approach to risk assessments and safety inspections. GUIDELINES IN EVERYDAY LIFE The Port s activities affect many people. For our mission to succeed, it is important that we are accountable and reliable. Consequently, a Code of Conduct was drawn up in It provides guidance on how the Board, management, employees and insourced personnel shall act in their daily work. The 2014 Employee Satisfaction Index shows that 95 % of our employees do their utmost to live up to our Code of Conduct! Read more on COLLABORATION WITH SCHOOLS IN THE GOTHENBURG REGION Targets & Results ESI Employee Satisfaction Index Results 2013 Target 2014 Results It is important for us at the Port of Gothenburg to share our time and knowledge, and give young adults a chance to experience working life. Consequently, every term we accept two pupils from the 8th or 9th year as trainees, and also welcome 7th - 9th year classes on field trips to the port. Members of our staff also provide information about our business activities to principals and guidance counsellors

14 Subsequent to its commitment to strengthen its employer s branding initiatives, Gothenburg Port Authority has chosen to invest in internal equal opportunity measures, the well-being of its employees and to grow sustainably with concern for the environment and society. Excerpt from recruitment firm Jobtip s motivation to Karriärföretag 2015 (Career Companies 2015). HEALTH AND FITNESS FACTS GOTHENBURG PORT AUTHORITY (total of 124 employees) 53 employees had medical check-ups. 51 employees took advantage of the public transport allowance. 41 employees took advantage of the health and fitness allowance. In 2014, the Port of Gothenburg accepted seven thesis students and eight trainees.! Did you know? We offer our employees the opportunity to work as volunteers at Gothenburg s Rescue Mission. Successful initiatives for social responsibility in procurement processes Promoting physical and mental health, investing in young adults and actively engaging in global development issues these are examples of challenges the Port of Gothenburg s engineering consultants have accepted when signing new general agreements. The City of Gothenburg s goal is that at least 50 % of all service contracts should be subject to social considerations. The aim is to improve employment opportunities for individuals least likely otherwise to enter the labour market. The Port of Gothenburg often needs particular skills and expertise, making it harder to meet these needs, but the Port still wants to be able to influence developments. To this end we have included, in our general agreements for engineering consultants, a clause stating that suppliers should accept the challenges stipulated in CSR West Sweden s initiatives for a Fair Workplace, Environmental Responsibility and Social Responsibility. The follow-up conducted in 2014 revealed very positive results, says Eva Wegsjö Sande, Purchasing Manager. Together, the 38 suppliers with general agreements accepted over 500 challenges. The Port of Gothenburg is the first member of CSR Western Sweden to place these demands on their suppliers a fact that has generated a degree of curiosity and good testimonials from other companies during the year. Many companies would probably have implemented some of these initiatives regardless, but the responses in the follow-up indicate that our demands have driven the work in the right direction, says Eva Wegsjö Sande. For 2015 the aim is to develop the requirements within the area, for instance by requesting that individuals least likely otherwise to enter the labour market should be employed when suitable assignments are available. When, for example, long specific contracts such as in construction are involved, this is clearly feasible, says Eva Wegsjö Sande. What our employees thought in 2014 In terms of skills development, the situation has improved, but in terms of commitment and stress, the response was less positive. This was some of the feedback when this year s Employee Satisfaction Index (ESI) was reviewed. However, 2014 still ended with good news, as Jobtip named the Port of Gothenburg one of Sweden s hundred most exciting companies in which to pursue a career. Overall Rating for the Port of Gothenburg in the Employee Satisfaction Index was 59 compared to our target of 65, and last year s result of 63. Down from previous years. Obviously, we shall be reviewing this and get back with proposals for measures to be taken. The fact that skills development received a higher rating, even though there is still room for improvement, was very positive, says Birgitta Tideström Dahllöf, Vice President, Business Planning & HR. Eighty-eight per cent of the workforce responded to the survey. The questions are based on eleven areas that represent the work situation in the company. The aim is to determine how employees feel and how they see the Port of Gothenburg as an employer. Some departments had a particularly heavy workload last year, due in part to new systems. Consequently, the negative ESI results were not entirely unexpected. We have, for example, arranged lectures on stress management and mindfulness. The health screening offered all employees highlighted stress and recoveryrelated issues all in order to identify the root of the problems. We also had a student here at the company who conducted a mini-survey and wrote an essay on the subject. Obviously, we will be working on the basis of the results received. At end 2014 there was some good news when Dagens Industri and recruitment firm Jobtip named the Port of Gothenburg as one of Sweden s hundred most exciting companies in which to pursue a career. It is the employees who submit nominations for this prize, and we were selected from among 1,200 nominees. What a great feeling! Jobtip, a recruitment firm, named the Port of Gothenburg as one of Sweden s hundred most exciting companies in which to pursue a career

15 Key figures The following key figures have been produced by Gothenburg Port Authority. We are not claiming any special level of reporting and have therefore chosen not to have a third party audit. The aim is to provide an interesting and easily accessible statement of relevant statistics to facilitate comparisons with other organisations. FINANCIAL OVERVIEW Net sales Port of Gothenburg Group, MSEK Operating profit Port of Gothenburg Group, MSEK Profit/loss for items affecting comparability, MSEK NKI, Customer Satisfaction Index No info* Equity/assets ratio**, Port of Gothenburg Group Cash flow from operating activities, Port of Gothenburg Group, MSEK Costs in investment activities, Port of Gothenburg Group, MSEK * No NKI conducted in ** When calculating the equity ratio for 2013, adjustments have been made for double-booked dividends (299 MSEK). Services Number of direct routes via Port of Gothenburg Number of direct ships calls to other parts of the world, automotive and containers Number of shipping lines calling at the port (excluding tankers) Number of train operators in Railport Scandinavia Number of cruise ships calling Production Planned maintenance, MSEK Volumes Container, TEU * 900, , ,000 Million tonnes of cargo in total Roro (rolling goods), units 538, , ,000 New cars, numbers 163, , ,000 Energy, million tonnes Passengers, millions Containers by rail, TEU 411, , ,000 Goods by rail, million tonnes Percentage of containers by rail in container terminal (APM Terminals), % Percentage of Gothenburg Roro by rail, % Percentage of total import/export, full containers, % 46 / / / 53 Swedish market share containers, % ** 57 ** Swedish market share Roro, % ** 21 ** Swedish market share cars, % ** 23 ** * TEU converted to 20-foot containers. ** January September ENVIRONMENT Onshore power supply Percentage of vessels calling that can connect onshore power *, % Percentage of laytime when onshore power can be used *, % Quantity consumed, MWh 10,340 10,520 10,710 Environmental benefits: Sulphur dioxide, tonnes Nitric oxide, tonnes Particulates tonnes Carbon dioxide, tonnes * Excluding bunker boats. Environmentally-differentiated port tariff , ,400 Number of vessels participating in the sulphur programme Environmental benefits of the sulphur programme: Sulphur dioxide, tonnes Nitric oxide, tonnes Particulates, tonnes Shipping emissions in Gothenburg Municipality Sulphur dioxide, tonnes Nitric oxide, tonnes 2,800 2,600 2,800 Particulates, tonnes ,500 Carbon dioxide, tonnes 160, , ,000 Hydrocarbons, tonnes Climate and energy consumption Gothenburg Port Authority s total emission of greenhouse gases - direct *, tonnes of carbon dioxide equivalents 1) Gothenburg Port Authority s total emission of greenhouse gases indirect energy **, tonnes of carbon dioxide equivalents 2) Total emissions of greenhouse gases other indirect ***, tonnes of carbon dioxide equivalents 3) 190, , ,000 Diesel working vessels, litres 4) 28,000 35,000 35,000 Diesel production vehicles, litres 4) 18,000 21,000 12,000 Petrol production vehicles, litres 4) 8,900 5,700 3,200 Vehicle gas, Nm 3, production vehicles 4) 5,400 9,300 9,900 Natural gas buildings, MWh 4) 1,600 1,400 1,000**** Diesel fire pump, litres 4) 2, ,800 Electricity, MWh 5) 7,000 7,300 6,600 District heating, MWh 5) 1,100 1, **** Heating of pipes MWh 5) 2,000 2,000 2,000**** Electrical efficiency, kwh /m 2 : Energy Port s workshop / building 510 Amerikaskjulet, HK / building 036 Galären /building 660 Building 642 * Scope 1 GHG Protocol. ** Scope 2 GHG Protocol. *** Scope 3 GHG Protocol. **** Normally corrected annually. 1) Refers to: Two working vessels, production vehicles, heating of buildings (natural gas) and fire pumps at Tor Harbour. 2) Refers to: Electricity and district heat used in buildings, street lights and heating of pipes in the Energy Port. 3) Refers to: Shipping in Gothenburg Municipality, Terminal companies: APM Terminals Gothenburg AB, Gothenburg Roro AB, Logent Ports & Terminals AB and the loading of petrol to vessels in the Energy Port and Gothenburg Port Authority s business travel. 4) Direct energy consumption per primary energy source. 5) Indirect energy consumption per primary energy source