Irish subsidy 'like asking users of Heathrow to pay for runway maintenance in Dublin'

Tabnabs

Light Dues will still rise
16 Mar 2010
Jesper Kjaedegaard says the Irish subsidy is ‘a bit like asking the users of Heathrow Airport to pay for runway maintenance in Dublin.’

Jesper Kjaedegaard says the Irish subsidy is ‘a bit like asking the users of Heathrow Airport to pay for runway maintenance in Dublin.’

Although the UK Government has softened its April Light Dues hike to 2%, according to Maritime UK this could still cause significant harm to UK trade.

The president of Maritime UK, Jesper Kjaedegaard said, ‘It is very disappointing that Government has not withdrawn this increase altogether. All the dangers outlined by industry during consultation will remain, and today’s announcement sends out a message that our island nation is not open for business.’

Mr Kjaedegaard added that that this latest announced rise to Light Dues was ‘ill-advised’ in its timing, coming just days before the publication of an in depth report by consultancy firm Atkins. ‘As a result of its haste, government has now adopted a policy that could drive international business away from our country at a time when we need to be doing everything possible to attract it.’

Minister Paul Clark said that he is reducing by 2p the increase in light dues to be paid on and after 1 April so that the rate will stand at 41p per net registered tonne from that time – but this still means an increase for a typical container vessel of some £1,775.

However, the biggest rise took place last year when the rate went up from 35p to 39p per net registered tonne. This was accompanied by an increase in the maximum sum payable for a single port call from £12,250 to £20,500, and resulted in shipping turning away from the UK as the annual fees charged to the largest vessels more than doubled.

Mr Kjaedegaard, in his role as president of the Chamber of Shipping, said the nub of the matter is the need to put an end to the use of this tax to subsidise navigation aids around the Republic of Ireland, saying, ‘It’s a bit like asking the users of Heathrow Airport to pay for runway maintenance in Dublin.’

He pointed out that for a typical Panamax container ship, this tax amounts to £13,650 per call (increasing to £15,425 on 1 April).

The Atkins report was due out as MJ went to press and it may upset some by going too far and others by not going far enough. Government MinisterPaul Clark, however, in his statement to the Commons last week alluded to a number of measures, including the creation of a GLA joint strategic board, the use of an annual target reduction calculator for GLA running costs, and the development of a ‘roadmap’ agreed with the Irish Government on the financing of the Commissioners of Irish Lights.

The Chamber of Shipping says it remains hopeful that the ‘roadmap’ suggested by Paul Clark will give a substantial answer to the lingering Irish question.

source

Yet another post colonial bullet that the Irish Government continues to dodge, but not for much longer and it will be very interesting to see how well they cope when having to pay for the service themselves.

Sponge Bob

This is rather disingenous. Owners of LARGE container ships keep threatening to bugger off to Rotterdam from Felixtowe. That is because they pay 50% of light dues (paid by tonnage) but only account for 25% of movements. They want a big bastard ship discount.

These ships are getting bigger all the time. They have the UK by the balls because VERY FEW SHIPS control a greater % of trade EACH and can threaten to bugger off to Rotterdam or Valencia.

The overall structure is explained here

http://www.dft.gov.uk/pgr/shippingports/ports/irishlightsevidence?page=4

We can always up the charges for UK Airlines to overfly Ireland and spend THAT money on Navigation aids instead

dowlingm

While the CIL is co-funded by UK and Ireland and discussion of the extent of the shared funding might be appropriate, it's probably more economical to have one set of guys do it rather than create a whole new structure to look after NI lighthouses.

Edit: CIL FAQ re: Light Dues: http://www.cil.ie/sh609x4337.html

As for transnational navigation structures - I bet the Dutch aren't forking out for the full costs of Eurocontrol ATC just because it's based in Maastricht!!

Disclosure: a relative of mine works for CIL.

Victor

Aren't these fees paid only when you reach port? But surely quite a few ships pass Ireland on the way to the UK and this is what the subsidy covers.

Victor

Sponge Bob wrote: »

We can always up the charges for UK Airlines to overfly Ireland and spend THAT money on Navigation aids instead

That might be an interesting analogy as many Irish ports maintain their own lights. Its unclear what happens in other areas. http://en.wikipedia.org/wiki/Lighthouses_in_Ireland

Also http://en.wikipedia.org/wiki/Commissioners_of_Irish_Lights

It is funded by ships that use these seas on a pooled basis with those dues raised by the United Kingdom. This recognises that a large volume of shipping — typically transatlantic — relies on its lights but never puts in to a port in the Republic of Ireland.

Victor

http://www.irishtimes.com/newspaper/ireland/2010/0317/1224266439099.html

Lighthouses may lose British subsidy - report

LORNA SIGGINS Marine Correspondent

LIGHTHOUSES MAY become self-financing and lose their British subsidy if the recommendations of a joint British-Irish report are implemented.

The consultancy study – commissioned by the British and Irish departments of transport – also suggests that leisure craft over a certain size should pay a contribution towards marine navigation.However, this would only work if there was a compulsory register of leisure craft, rather than the existing voluntary system, according to the report.

The Atkins report on the lighthouse services says that over half the cost of the Irish network is being subsidised from British sources.

The three general lighthouses authorities for Britain, Ireland and the Channel Islands are paid for through “light dues” collected on merchant shipping using ports. Dues are calculated on the tonnage of ships.

The cost of the Irish lighthouse and marine navigation service has increased in recent years, partly due to the euro-sterling exchange rate, and higher wages, the report notes.

Less than €5 million in light dues from shipping was collected in the Republic in 2008-9, compared to running costs of more than €16 million for the service. The Department of Transport also makes a contribution.

The lighthouse service is automated, with staff assigned to offshore maintenance of lighthouses, buoys and other aids.

Some 19 per cent of aids of navigation are on the Irish coastline, and the Commissioners of Irish Lights (CIL) has some 29 per cent of all staff.

The CIL is an all-island body which was held up as a model of cross-Border co-operation in the 1998 Belfast Agreement, the report notes. However, it states that light dues collected from shipping generally have fallen by 50 per cent in the past decade and savings will have to be made.

It makes some 50 recommendations – including a separate financing model for Ireland – which would be developed on a transnational basis.

This would result in two separate general lighthouse funds for the two islands, which would be underpinned by legislation from 2014-2015, it suggests.

The report states leisure craft could pay a contribution. Ideally, this should be based on a compulsory register of yachts, it notes.

The CIL describes the report as “an excellent long-term blueprint for ensuring continuing maritime safety”.

“In this our bicentenary year, it should be noted that CIL’s long history has been dedicated to the safety of the mariner,” CIL chief executive Dr Stuart Ruttle said.

“Safety is always our overriding concern. But we are also very aware of our obligations to government and the shipping industry to minimise costs and to deliver value for money. Many of the recommendations in this report can be implemented quickly. Others will prove challenging and we will need to consult widely . . . before deciding how to proceed.”

Fratton Fred

Isn't there a report due out today on the future of a lot of Lighthouses in the UK?

schemingbohemia

think it was only 6 lighthouses that were being discussed in the report being issued today.

can't find the article online and trinity house website doesn't have any info but it was mentioned on bbc news this morning

Capt'n Midnight

Victor wrote: »

Aren't these fees paid only when you reach port? But surely quite a few ships pass Ireland on the way to the UK and this is what the subsidy covers.

Yeah lets turn off the lights and see how they like it :rolleyes:

RNLI is another similar organisation, maybe we should close all the non-profitable lifeboat stations too ?

Then again the rescue chopper near Wales is being reduced to day light hours, so looks like the RAF will pick up the cost on that one.

Irish subsidy 'like asking users of Heathrow to pay for runway maintenance in Dublin'

No it's more like transatlantic users of Heathrow having to pay for Radar , weather forecasting and Air Traffic control down in Shannon

In the pacific there are small island airports that are funded by planes that don't ever intend to land there.

Victor

http://www.transport.ie/pressRelease.aspx?Id=182

Statement by the Minister for Transport, Mr. Noel Dempsey T.D., on the publication of the Atkins Report – Assessment of the Provision of Marine Aids to Navigation around the United Kingdom & Ireland
16 - 03 - 2010
Back to Press Releases

The Minister for Transport positioned today’s publication as part of an ongoing process of development and modernisation of the Irish Maritime Administration.

The publication of the Atkins Report on the Assessment of the Provision of Marine Aids to Navigation around the United Kingdom and Ireland outlines a road map for changes ensuring that the Commissioners for Irish Lights (CIL) continue, alongside their UK equivalents, to be European and world leaders in delivering a reliable, efficient and cost effective AtoN (Aids to Navigation) service for the benefit and safety of all mariners in the medium-to longer-term with the economic and international prestige that this provides.

In undertaking their review, Atkins undertook an analysis of current GLA costs, internal structures, governance, operating and management practices and inter-GLA working arrangements. The review places particular emphasis on reform of the charging system for light dues and examining structural reform options to decrease costs and improve effectiveness.

The Atkins Report makes over 50 recommendations concerning the management of the GLAs, the GLF, and the charging of light dues. Key recommendations include:

* The creation of a GLA Joint Strategic Board to drive efficiencies;
* The use of an annual target reduction calculator for GLA running costs; and
* The development of a “roadmap” agreed between the Irish and UK Governments on the financing of the Commissioners of Irish Lights, setting out an incentivised financial model, which retains the all-Ireland body while allowing its costs within the Republic of Ireland to be covered wholly from Irish sources.

The process of implementing any changes will require full consultation between both Governments and relevant stakeholders. Consequently, there will be plenty of opportunity for discussion on options, to ensure they represent the best way forward before any decisions are finalised.

The Atkins Report, which is being published today, and which will be available on the Department’s website, is the latest development in an ongoing strategy for the improvement of Ireland’s maritime administration.

Other developments in the modernisation of Ireland’s maritime administration include:


* The enactment of the Merchant Shipping Bill aimed at improving safety at sea;

· Further development of the new Vessel Registration Bill, which is intended to modernise provisions for vessel registration taking account of safety, security and environmental considerations.
· Improved capacity in the Marine Survey Office’s capability for inspections of vessels.
· The undertaking of a new ten year contract for the provision of the Irish Coast Guard’s helicopter search and rescue service.
· Commissioning of new radio equipment for the Irish Coast Guard.
· The Irish Maritime Administration will partake in an International Maritime Organisation (IMO) audit this year under the Voluntary IMO Member State Audit Scheme (VIMSAS), which will benchmark the Administration in terms of IMO best practice.

ENDS

NOTE FOR EDITORS

In September 2009, Atkins was tasked by the Department of Transport in Ireland and the Department for Transport in the UK, to carry out an independent assessment of the provision of aids to navigation, such as lighthouses and navigation buoys, around the coasts of Ireland and Britain.

The aim of the assessment was to examine current structures and practices and set out recommendations in relation to the ongoing provision of reliable, efficient and cost-effective AtoN services, operating to the highest international standards, for the benefit and safety of all mariners.

Ireland and the UK operate an integrated system for the provision of marine aids to navigation in order to meet our respective obligations under the UN’s Safety of Life at Sea (SOLAS) Convention.

The provision of AtoNs is undertaken by three General Lighthouse Authorities (GLAs): Trinity House for England and Wales, the Channel Isles and Gibraltar; the Northern Lighthouse Board for Scotland and the Isle of Man, and, the Commissioners of Irish Lights for the island of Ireland. The GLAs draw funding from a single General Lighthouse Fund (GLF) that is largely funded from Light Dues, a charge or levy on commercial shipping calling at Irish and UK ports.

Under the current charging system, light dues income derived from shipping traffic to Irish ports is less than that needed to finance the full system of lights required by Ireland's extensive coastline. This system needs to change, and the rates levels, collection and apportionment of revenues needs to be structured in the future to provide sufficient income to the GLF and allow costs appropriate to the Republic of Ireland to be covered from Irish sources.

murphaph

I think it would be very unfair to remove this cross payment (it's not a subsidy..these ships use Irish lighthouses to navigate safely to the UK).

Run_to_da_hills

CIL is one institure that will see a lot of crows flying from the chimney if the British subsidy is dropped. It is way over staffed compaired to workers, I could also see the annual commissioners trip on the tenders being slashed.

Tabnabs

murphaph wrote: »

I think it would be very unfair to remove this cross payment (it's not a subsidy..these ships use Irish lighthouses to navigate safely to the UK).

Not only do they not use Irish Lighthouses, they don't use UK lighthouses either (hint - satellite navigation;)) Buoyage is the main usage for shipping

Sponge Bob

We don't really need lights any more in this age of AIS and Satnavs and Loran.

What we should do is poison the AIS collision feeds and send the mega container ships on go arounds in circles south of Cork . Dat would teach them bhoy

Cookie_Monster

Sponge Bob wrote: »

We don't really need lights any more in this age of AIS and Satnavs and Loran.

still required for small boating traffic and as a backup in case of system failures

Run_to_da_hills

Cookie_Monster wrote: »

still required for small boating traffic and as a backup in case of system failures

And the small boating community that depend on them are the very ones that don't pay any dues.

Lighthouse dues is calculated by the gross tonnage of the vessel.

Pigeon Reaper

System failures would be worrying especially if the equipment went down but then few people now head out without backups. Of more concern was the incident with the French navy 2/3 years ago giving some strange signals around Lambay. At one stage my boat was doing 200knts North while the bow was pointed at Irelands Eye. Loran has it's problems too with many sites now defunct.

Victor

Pigeon Reaper wrote: »

System failures would be worrying especially if the equipment went down but then few people now head out without backups. Of more concern was the incident with the French navy 2/3 years ago giving some strange signals around Lambay. At one stage my boat was doing 200knts North while the bow was pointed at Irelands Eye. Loran has it's problems too with many sites now defunct.

Thats the problem, especially with satellite-based systems, which are 20,000km away, compared to an electromagnetic interference which may be very close. Double the distance between the transmitter and receiver and you reduce the signal received to a quarter.

http://en.wikipedia.org/wiki/Radio_propagation#Free_space_propagation

http://www.irishtimes.com/newspaper/ireland/2010/0215/1224264468635.html
http://www.irishtimes.com/newspaper/ireland/2010/0318/1224266512968.html
http://news.bbc.co.uk/2/hi/science/nature/8533157.stm
http://www.boston.com/news/world/asia/articles/2007/01/19/china_shoots_down_satellite_drawing_protests_worldwide/
http://www.cil.ie/sh616y.html
http://www.cil.ie/sh621x4177.html
http://www.cil.ie/sh636y.html