Ports: provision of services and financial transparency

 

SUMMARY OF:

Regulation (EU) 2017/352 — rules on the provision of port services and on the financial transparency of ports

WHAT IS THE AIM OF THE REGULATION?

• It is the first piece of EU legislation specifically on ports. It sets out rules on financial transparency, provision of port services and infrastructure charges.
• It was amended by Regulation (EU) 2020/697 to allow the managing body of a port or the competent authority to provide flexibility in respect of the levying of port infrastructure charges in the context of the COVID-19 outbreak.

KEY POINTS

The legislation applies to the following:

• bunkering*
• cargo-handling
• mooring
• passenger services
• collection of waste and cargo residues from ships
• pilots who guide vessels to ensure their safe navigation in and around the port
• towing*.

Port managers:

• may require service providers to meet minimum requirements, such as professional qualifications, suitable equipment and sufficient financial resources;
• must ensure these minimum requirements are transparent, objective, non-discriminatory, proportionate and relevant to the services being provided;
• may limit the number of service providers for specific reasons, notably if the area involved is reserved for other use;
• must give potential service providers the opportunity to be heard by publishing any planned restrictions at least 3 months before a decision is taken;
• may decide to provide the service itself or do so through a company or organisation that they control as if it were one of their own departments.

If a limitation is applied, then a selection procedure that must be open to all interested parties, non-discriminatory and transparent, will follow.

EU countries:

• may impose public service obligations on port operators to ensure uninterrupted and affordable services, for instance, or on safety, security and environmental grounds;
• must ensure the levy of a port infrastructure charge — this does not prevent service providers from applying their own charges;
• may exempt ports in the EU’s outermost regions* from the legislation;
• must provide for procedures to handle complaints that arise and establish penalties for breaches of the legislation.

Port service providers:

• must ensure that employees receive the necessary training, especially on health and safety, to carry out their work;
• must see to it that training is regularly updated to handle technological developments.

The financial relationship between national authorities and port managers must be transparent and clearly show:

• public funds made directly, or though intermediaries, to port managing bodies;
• the use to which the funds are put;
• charges provided by an internal operator meeting public service obligations.

The regulation does not:

• affect national social and labour rules or EU legislation on public procurement or concession contracts;
• apply to port service contracts concluded before 15 February 2017 and limited in time (contracts dating from before 15 February 2017 with no time limits must conform by 1 July 2025).

The European Commission must send an assessment of the legislation’s application to the European Parliament and the Council by 24 March 2023 at the latest.

Amendment following the outbreak of the COVID-19 pandemic

• Amending Regulation (EU) 2020/697 introduces a new transitional rule giving the manager of a port or the competent authority the possibility to decide to waive, suspend, reduce or defer the collection of port infrastructure charges for the period from 1 March 2020 to 31 October 2020.
• The port manager or the competent authority must ensure that port users and representatives or associations of port users are informed accordingly.
• The waiver, suspension, reduction or deferral of the payment of port infrastructure charges must be granted in a transparent, objective and non-discriminatory way.

FROM WHEN DOES THE REGULATION APPLY?

It has applied since 24 March 2019.

BACKGROUND

For more information, see:

• Ports (European Commission).

KEY TERMS

MAIN DOCUMENT

Regulation (EU) 2017/352 of the European Parliament and of the Council of 15 February 2017 establishing a framework for the provision of port services and common rules on the financial transparency of ports (OJ L 57, 3.3.2017, pp. 1-18)

Successive amendments to Regulation (EU) 2017/352 have been incorporated into the original text. This consolidated version is of documentary value only.

last update 08.07.2020