• 2016 August 4 14:19

    The Freeport of Riga: The State Audit Office approach assessing Krievu Sala project is short-sighted and bureaucratic

    The Freeport of Riga Authority says the State Audit Office in the preparation of a report on implementation of the project “The Krievu Sala Infrastructure Development for Relocation of the Port Operation from the City Center” has demonstrated absolutely formal approach, without taking into consideration the port’s and stevedores’ work specifics. One of the critical remarks, expressed by the Auditor General Mrs.Elita Krumina in response to the statement, distributed by the Freeport yesterday, stating that the FPR does not see and does not acknowledge any violations in implementation of the Krievu Sala project, is that the Freeport has inefficiently utilized resources by transferring the “open warehouse” from the project territory to the equivalent area on Krievu Island.

    “I want to emphasize that, first of all, we are talking not about the “warehouse” within the meaning of the State Audit Office, but about an open-space storage area – where various cargo such as lumber, construction materials, peat, etc. is placed, and then loaded on ships and transshipped to the designated ports in other countries. In the present case the stevedoring company has been working on the territory of the Krievu Island since the nineties, at that time due to the growing volume of freight it was possible to attract and handle additional cargo volumes. One of the main objectives of the Freeport is to promote transshipped cargo volume increase and not hinder the entrepreneur with all kinds of formal restrictions,”explains the Freeport of Riga CEO Mr.Leonids Loginovs.

    “Secondly - to anyone who understands business processes, it is clear that the company's downtime does not foster cargo volume growth and involvement of human and technical resources, which in turn results in loss of revenue, or actual losses. According to the State Audit Office, the Freeport should have taken this territory away from the stevedore before term during the Krievu Sala project development, not allowing the stevedoring company to handle cargo. The Freeport, in its turn, followed the logic of the economy - from 2009 to 2011, when the project documentation was elaborated, the preparations and planning activities were carried out, the stevedoring company was not prevented from continuing its operation on that territory, the certain part of which belonged to Krievu Island, in order to handle growing cargo volumes,” continues Mr.Loginovs.

    At the time when the construction of railway access tracks to the new berths was started on Krievu Island, the stevedoring company had to leave this area. With the aim to ensure the continuous operation of the successful merchant on this territory and not lose the increasing amount of cargo that would otherwise have gone to Tallinn port or Klaipeda port, it was decided to allot the equivalent area of 12 hectares at another location on Krievu Island to the company, and in compliance with the relevant laws and regulations to organize an identical cargo storage area. Consequently, the State Audit Office reproaches in regards of wasteful spending are absurd. The Freeport considers that there is no reason to talk about any losses - on the contrary, eliminating downtime and making it possible to run a successful company on that territory resulted in revenues from rental and taxes significantly exceeding the Freeport’s expenses due to relocation. For example, the turnover of the stevedoring company, working on the territory, from 2009 to 2010 increased by 323 thousand tons, the state budget has received additional revenues in the amount of nearly 4 million Euros, while the Freeport income has grown by almost 400 thousand Euros. Provided, the Freeport of Riga was guided by the principles of the State Audit Office, the mentioned funds would have been received not by the Latvian national budget, but would go to Estonia or Lithuania.




2018 May 26

23:58 Costa Cruises fleet capacity to rise by 43% by 2021

2018 May 25

18:07 AIDAmira joins to the AIDA Cruises fleet
17:51 Azerbaijan Caspian Shipping Company cooperates with Columbia Shipmanagement to organize internship for ACSC 20 staff members
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17:40 IMO takes first steps to address autonomous ships
17:30 Marine Technics carried supplied marine pumps MT-Azcue for cargo vessels of different types
17:18 Container Terminal St. Petersburg in 1Q invested more than € 3.5 million in development, upgrade programme
17:04 Med Marine tugboat joins the company’s harbour fleet in Turkey’s Izmit Bay
16:59 Aleksandr Bryntsev appointed as Director General of Murmansk Shipping Company (photo)
16:25 Sovcomflot to provide technical supervision for the construction of Rosneft’s new LNG-fuelled tankers
16:04 Sanmar supplies a powerful tug to Forth Estuary Towage in Scotland
15:41 SMM advance press conference covered trends in SMMart Shipping
15:04 Seaspan accepts delivery of fourth 10000 TEU SAVER containership in four ship series
14:03 Port of Oakland online shipping platform goes live
13:33 MSC Splendida enters Busan Port
13:08 Klaipėda LNG terminal receives the 50th cargo
12:32 Transport and logistics sector of Latvia continues work with Chinese partners
12:03 Panama Canal nominated as finalist for Lloyd’s List’s Environment Award
11:50 Taganrog Sea Commercial Port handled 333,000 tonnes in QI’2018, up 4% Y-o-Y
11:24 Multipurpose Reloading Complex handled 1.02 million tonnes of cargo in QI’2018, down 20% Y-o-Y
11:03 Port of Amsterdam launches digital business guide
10:49 NOVATEK and TOTAL become partners in Arctic LNG 2 project
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10:11 Brent Crude futures price down 0.19% to $78.64, Light Sweet Crude – down 2.25% to $43.97
09:56 Bunker prices are slightly up at the Port of Saint-Petersburg, Russia (graph)
09:33 Baltic Dry Index up to 1,109 points
09:22 ITF backs US dock workers in dispute with port authorities
08:20 Port of Vancouver makes history with the arrival of the 25 millionth
07:18 First eleven companies participate in Nextlogic

2018 May 24

19:04 Coal to Vostochny Port to be transported on Kuzbass-Vostochny Port route by innovative rolling stock
18:07 ZIM posts Q1 2018 results
17:31 Bureau Veritas publishes vital resource for decommissioning industry
17:24 Italy’s first, fully-automated gantry cranes reach Vado Ligure
17:17 Best quarter performance ever at CTSP terminal: 168,500 TEUs, a 7.8% container traffic growth
17:09 Successful testing programme with enhanced Wärtsilä’s navigation systems promotes operational safety and efficiency
16:57 MSC optimises its Transpacific-USWC network
16:15 MABUX: Bunker prices continue upward trend
15:12 UCL Port’s 1Q volumes decline 3.9% Y/Y to 9.4 million tonnes
15:10 ABS evaluation demonstrates feasibility of LPG as fuel strategy for Dorian LPG
14:58 MAN to equip world’s first LNG-powered fishing trawler
14:55 VARD secures contract for one stern trawler for Nergård Havfiske
13:06 TCSP Group’s 1Q volumes fall 8.4% Y/Y to 3.88 million tonnes
12:08 Sea Port of St. Petersburg sees strong growth in 1Q volumes
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09:08 akquinet and IDENTEC SOLUTIONS join forces to revolutionize refrigerated container management
08:39 Maersk Line starts new transatlantic service between Europe’s Mediterranean region and Canada
08:34 Compagnie Maritime Monégasque and Damen join forces to introduce Fast Marine Access in Brazil

2018 May 23

17:54 Container Terminal Saint-Petersburg invested RUB 256 million in modernization of its facilities in QI’2018
17:27 Greece suggests arranging cruise lines to Russia
17:00 Rosmorrechflot comes out for replacement of shipbuilding subsidies with cheap financing
16:16 Agreement on Enhancing International Arctic Scientific Cooperation enters into force
15:48 New Belgium container connection bolsters Port of Hull
15:25 DALO chooses SARIS to support SAR operations
15:03 FESCO transports three transformers from Novorossiysk for Moscow central heating and power plants
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14:21 Hapag-Lloyd update on restrictions for DG cargo handling at FIFA World Cup in Russia
13:59 Cargo transportation by Ukraine’s water transport fell by 18.5% to 1.0 million tonnes in 4M’18
13:36 SASCO BoD elected Aleksey Pavlov as Director General of the company
13:13 “K” Line announces delivery of special coal carrier “CORONA XANADU”
12:52 Tallink Grupp to list shares also on Helsinki Stock Exchange