This Commission Staff Working Document is the mid-term (second) progress report on the implementation of the NAIADES Action Programme for the promotion of inland waterway transport. It covers the period from 2006 until now. The report gives an overview on the achievements reached so far, the measures still under way or to be tackled and outlines the next steps until 2013. Its main conclusions are as follows:

NAIADES plays an important strategic role: it has created a universally acknowledged European momentum in the inland waterway transport sector and raised it high on the political agenda of all stakeholders; it has become clear that the programme cannot be pursued at EU level alone but together with the Member States and the inland navigation sector itself; a number of measures cannot be accomplished "on their own" as they are interrelated with other policies such as intermodality with other transport modes or the internalisation of external costs, which go beyond a modal sectoral approach; the programme is not equipped with a dedicated EU budget. It is widely acknowledged that the lack of dedicated resources turned out to be a disadvantage for the implementation of the programme, which could only to a limited extent be compensated for by the PLATINA programme; the overall objectives of the current programme - competitiveness, intermodal integration, awareness raising; energy-efficiency and environmentally-friendliness of the fleet; removal of infrastructure bottlenecks; research and technological development; technology and innovation transfer into the sector and last but not least employment, education and training and working conditions - remain valid in the future; to further exploit the potential of inland waterway transport, the strengthening of its market position, its integration into co-modal transport chains, enhanced nodal interoperability, the deployment of new technologies, including River Information Services (RIS) and their interoperability with other intelligent transport systems, will gain increasing importance; to ensure the long-term development and successful implementation of a European inland waterway transport policy also in the wider strategic transport policy framework, the programme needs support - possibly from existing funds such as infrastructure, research and structural funds.

The European Commission has presented its first activity report on the implementation of the NAIADES programme. The NAIADES programme, covering 2006 to 2013, was set up to promote the use of inland waterway transport and focuses on five strategic areas:

Improving market conditions. Modernising the fleet. Developing human capital. Strengthening the image of inland waterways. Amending the infrastructure.

Both Council and Parliament have endorsed this programme, as has industry. This Communication is the first progress report analysing both the programmes’ implementation and achievements thus far. It gives an outline of the financial support offered within the context of the action programme and reports on organisational developments.

Implementation of the programme:

Since the adoption of NAIADES, four legislative acts have been approved concerning:

technical requirements for inland waterway vessels (this creates harmonised modern requirements for inland waterway vessels covering the entire EU waterway network); raising the financial rate for priority projects and for RIS projects from 10 -20% and for cross-border sections up to 30%; the “Marco Polo II” programmes, which will continue to promote shifting modes of transport from road to other forms; and statistical returns in respect of carriage of goods by inland waterways.

As well as the adoption of these legislative acts, the Commission has sought to improve market conditions by, inter alia , producing a “Funding Handbook” the purpose of which is to list an inventory of European national and regional aid schemes. This should be of particular use to SMEs which characterise the market for inland waterways. In terms of modernising the fleet the Commission has presented proposals relating to the transport of dangerous goods (including by inland waterways) as well as proposing a reduction in the maximum permissible sulphur content of gas oils. The Commission has asked the “Central Commission for Navigation on the Rhine” (CCNR) to create a market observation instrument. Further, the Commission is hoping to establish a network of promotion centres for inland waterway transport as a way in which to improve the image of inland waterways. As far as the provision of adequate infrastructure is concerned, Mrs Karla Peijs has been appointed European coordinator with a brief to facilitate the realisation of the inland waterway priority axis Rhine/Meuse-Main-Danube and the Seine-Scheldt link. In 2007 three Regulations were adopted in relation to the River Information Services (RIS). These refer to technical guidelines for the planning, implementation and operational use of RIS; on technical specifications relating to vessel tracing systems (Inland AIS) and notices to skippers.

As for the Member States, all are actively engaged in inland waterway transport policy. Indeed one Member State has adapted a comprehensive national action programme entailing some forty measures. Other Member States are encouraging the modernisation of their fleets by offering tax-free reinvestment schemes and financial aid. Aid is given to those wishing to improve both the economic and environmental performance of their fleet such as grants for cleaner engines, more efficient propulsion techniques, new hull constructions etc. From an industrial point of view, a constructive dialogue with the social partners has emerged within the context of the NAIADES programme. Headway has been made on two major issues: sector-specific working arrangements and professional qualification requirements.

Financial support programmes:

A continuous stream of investment into logistics, fleet modernisation, human resources and the marketing of inland waters is needed. Whilst primary responsibility for this rests with industry, the NAIADES action programme acts as an incentive to further encourage investment in this sector. Within this context, the Council has asked the Commission to submit a proposal for a “European Inland Waterway Transport Innovation Fund”. The European Parliament, in a Resolution on NAIADES, supported this initiative and specified that any such fund should be a key instrument of the NAIADES Action Programme. The Commission has undertaken exploratory work on the development of such a fund, in close cooperation with experts.

Any future programme of an “Innovation Fund” would target IWT carriers and operators. Industry will be encouraged:

to establish new market and transport services in the inland waterway transport sector; to modernise the fleet with a view to improved safety, efficiency and higher environmental standards; to train and to educate those working in the inland waterway sector; and to improve the image of the sector with targeted public relations campaigns.

The programme would run from 2009 to 2013. Financial support for inland waterway services would also be available, in parallel, with the Marco Polo programme for improvements under TEN-T; the Cohesion policy and the RT&D framework programme. Funding for this new instrument could derive from the existing “Inland Waterway Reserve Fund” created under Regulation (EC) 718/1999 though to use it would require the creation of a new legal instrument. The report estimates that the reserve fund amounts to approximately EUR 40 million in today’s figures.

Modernising the organisational structure:

The Commission has undertaken an impact assessment regarding the future modernisation of the inland waterways structure in which four options were considered. This study concluded that, even though the current framework may have its shortcomings, no clear advantage would be gained should a new legislative system be adopted. Thus, the report concludes, it is preferable to continue operations under the existing institutional framework and to improve, modernise and coordinate working methods wherever possible. The Commission does not propose the creation of additional structures to the existing institutional framework. For strategic policy developments the European Commission will continue to play a coordinating role.

Conclusions:

The report concludes by noting that in spite of the fact that NAIADES has only been operational for a year and a half the inland waterway infrastructure has already been strengthened. The Commission remains committed to the completion of the programme and fully intends to maintain momentum. Thus, within the coming years the following will be prioritised:

Funding: completion of the “Funding Handbook” and the possible compilation of “State aid guidelines”. The human factor: a cluster of actions will focus on the human factor including specific working time arrangements; defining professional qualification requirements at an EU level; the harmonisation of minimum manning requirements; and the development of a uniform boat master’s certificate. Improvements to the infrastructure: in addition to the implementation of the RIS, an indicative development plan to improve and maintain inland waterways and ports will be elaborated. This exercise will take account of environmental issues and it will build upon the ongoing dialogue between the international navigation and protection commission for the Rhine and the Danube. Organisational support: to help support implementation of NAIADES, the Commission will look for support from all interested parties; from the Member States; from the river commissions and from industry. This could take the form of an “IWT think tank”. Calls for proposals under the RTD 7 th framework programme could also help facilitate this initiative by, for example, supporting actions designed specifically to target inland waterway transport.

The European Parliament adopted the resolution based on the own-initiative report drawn up by Corien WORTMANN-KOOL (EPP-ED, NL) in response to the Commission communication on an integrated European Action Programme for inland waterway transport (NAIADES). (Please see the summary of 12/09/2006.) The report was adopted by 464 votes in favour to 5 against with 2 abstentions.

The committee adopted the own-initiative report drawn up by Corien WORTMANN-KOOL (EPP-ED, NL) in response to the Commission communication on an integrated European Action Programme for inland waterway transport (NAIADES). MEPs welcomed the Commission initiative and called on the Member States to further develop national policies to stimulate inland waterway transport (IWT) and to encourage regional, local and port authorities and industries to do likewise.

The report stressed that existing markets should be consolidated, in particular by making infrastructure more reliable and better integrated across the whole supply chain. As the sector consists mainly of small businesses, the Commission and the Member States were urged to improve access to finance - especially risk capital - for start-ups. And the Commission was asked to publish as soon as possible state aid guidelines for IWT support schemes and to adopt 'de minimis' rules that take due account of the needs of the sector.

The committee pointed out that "the reliability of the waterway network and the availability of multi-functional (inland) ports is the most important condition for the further development of IWT", and said that Member States must step up their efforts to ensure adequate and reliable infrastructure. The waterway system needed to be integrated with maritime navigation by developing access to the sea, improving interfaces between inland waterway and maritime systems, and investing in new combined inland waterway and seagoing vessels. The report called on the Commission to draw up a European Development Plan for the sector, which should include an up-to-date inventory of the European inland waterway infrastructure. The Commission was also asked to designate as soon as possible - and no later than the end of 2006 - a European Trans-European Transport Network (TEN-T) coordinator for IWT to support the implementation of priority projects, drawing on experience with existing coordinators.

The committee pointed out that, in 2007, stricter Community limits would have to be laid down for SOx, PM, NOx and CO2 emissions, in particular by promoting low-sulphur fuel. It therefore called on the Commission and Member States to provide incentives to accelerate the introduction and use of fuel-efficient and environmentally friendly engines in IWT, and asked the Commission to submit a proposal setting stricter standards for inland shipping fuels. The committee also stressed the need to encourage the development of clean and efficient vessels under the 7th Framework Programme on Research and Development. Among other recommendations, MEPs wanted the Commission to submit in 2007 a proposal for a European Waterway Transport Innovation Fund for financing new demand-based investments and innovative concepts of European interest in the area of logistics, technology and the environment requiring cross-border cooperation and interoperability.

Lastly, the report stressed the need to continue efforts to harmonise manning requirements and boat masters' certificates, to promote the mutual recognition of qualifications and to develop common training standards for the sector.

In the light of the Commission communication on the promotion of inland waterway transport "Naiades" -, and taking into account the results of a high-level meeting on the subject organised by the Presidency in Vienna on 14 and 15 February, 2006 the Council adopted the following conclusions:

The Council felt that the approach presented in the Commission’s European Action Programme offered a comprehensive framework for effective inland waterway transport policies both at European and national level.

The Commission was invited to elaborate, on the basis of consultations with all relevant stakeholders and of appropriate impact assessments, detailed proposals on the recommendations included in the Commission's Communication, in particular:

- to provide a source of funding information such as a funding handbook containing a repertory of European, national and regional aid instruments relevant for inland waterway transport;

- to submit a proposal for a European Inland Waterway Transport Innovation Fund;

- to develop, in consultation with the Member States and the inland navigation industry, guidelines on State aid to inland waterway transport that would facilitate the adoption of national schemes promoting access to finance for inland waterway transport companies;

- to screen for barriers which hamper the development of European inland navigation, thereby taking into account the experience of the industry and the work already undertaken by the UNECE, and to examine potential solutions and best practices;

- to further pursue appropriate legislative harmonisation as identified in the European Action Programme, in particular in the fields of technical requirements for inland navigation vessels, the transport of dangerous goods, manning requirements, and boat master certificates;

- to create, in co-operation with national educational institutions, a common framework for education and training standards and to support specific training programmes in the field of inland waterway transport as well as in the field of logistics, with an emphasis on the integration of inland navigation into multimodal supply chains;

- to define strategic inland waterway transport research and development in the Seventh Framework Programme on Research and Development;

- to facilitate access of the inland navigation industry to Community aid programmes, especially attracting new enterprises;

- to support existing and new promotion centres, where appropriate in cooperation between the public and the private sector, to promote the use of inland waterway transport among potential users;

- to follow developments in inland waterway transport market and to collect and disseminate factual data and information on inland navigation and on its potential;

- to give appropriate weight to inland waterway projects within the framework of TEN-T;

- to insert RIS as part of the Multi-annual Indicative Programme of TEN-T;

- to assure the relative advantage of inland navigation as regards impact on the environment and transport safety also in the future;

- to take the needs of inland waterway transport constantly into consideration, both in the application and planning of Community actions and in regional cooperation with relevant third countries;

- to submit progress reports at two-yearly intervals, evaluating the results of the actions undertaken in order to promote inland waterway transport.

The Member States were invited to do the following, in the light of the European Action Programme and taking due account of the principle of subsidiarity:

- to develop national policies to stimulate inland waterway transport, and to encourage regional, local and port authorities and industries to do likewise;

- to strive for providing sufficient financial resources and incentives for the targeted implementation of the proposed measures, in particular through cost-effective national schemes for the support of inland navigation;

- to establish promotion centres for inland waterway transport and to provide appropriate political, practical and financial support from administrations and the inland navigation sector to safeguard support services on a continuous basis;

- to appoint national focal points according to the objectives of the European Action Programme in order to provide advice concerning legal requirements and administrative procedures;

- to contribute to the creation of a common framework for education and training standards, both regarding personnel on board as well as regarding the logistic chain;

- to screen national and regional legislation for administrative and procedural requirements, which may constitute an unnecessary and inappropriate burden for the development of inland waterway transport;

- to develop spatial planning and economic policies at federal, regional and local levels to encourage waterside sites for logistics purposes;

- to pursue inland waterway transport and infrastructure projects that promote viable inland waterway transport services, including those projects interlinking Member States and supported by Community programmes such as TEN-T;

- to consider how national programmes and projects can contribute to the European Development Plan for improvement and maintenance of inland waterway infrastructure the Commission intends to create;

- to contribute to the development of procedures for a structured dialogue with all involved stakeholders on environmental issues concerning inland waterway infrastructure projects;

- to communicate to the Commission the measures adopted to implement the European Action Programme.

The Inland Navigation Industry were invited to:

- step up its efforts to further develop inland waterway transport on the basis of the sector ’ s spirit of entrepreneurship;

- to contribute to the relevant measures of the European Action programme, in particular: by modernising the inland navigation fleet, by investigating new market opportunities, by improving the logistics efficiency, safety and environmental performance of inland waterway transport, by investing in human capital and improving working and social conditions, and by promoting inland navigation as a valuable partner in business.

PURPOSE: to present a Communication on the promotion of inland waterway transport “NAIADES”.

CONTENT: this Communication sets out an integrated action programme for the promotion of an EU inland waterway transport network and is being presented within the context of the Commission’s “White Paper on European Transport Policy for 2010: Time to decide”, in which the importance of inland waterway transport was emphasised.

Europe ’s freight transport system has much room for improvement. Congestion, capacity problems and delays affect mobility and economic competitiveness. Yet, together with rail and short sea shipping, inland waterway transport can contribute to the sustainability of the transport system as recommended by the White Paper, in both an economic and environmentally friendly manner. The growth potential of inland waterway transport remains positive.

In the last two decades inland shipping has successfully entered new markets, such as the hinterland transport of maritime containers which have experienced a two digit annual growth rate. In some regions inland shipping has already conquered a modal share of more than 40% - i.e. in catchments areas of major seaports. Between 1997 and 2004 traffic growth rates in tonne-km, in Belgium of more than 50% and in France of more than 35% have been achieved. The sector is made up of some 12 500 vessels the equivalent loading capacity of 440 000 trucks. Inland navigation has the best performance in terms of external costs, in particular pollution and safety and has a huge capacity to deploy. In other areas, an increase in inland navigation can lead to significant transport cost reductions. Moreover, inland waterway transport is safer than other modes of transport. For example, the number of yearly fatalities in the Netherlands (the country with the highest density of inland waterway transport) caused by was next to zero. If inland navigation cargoes were carried by road, emissions to air in Europe would be at least 10% higher.

In spite of these huge environmental, social and economic advantages, inland waterway transport in the EU remains under-utilised. The challenges facing the EU’s inland waterway transport system include a fragmented market structure combined with strong competition. This has resulted in limited re-investment. Working conditions on board and career possibility are considered less attractive than in other fields of transport. Public authorities and even the transport and logistics industry are often unaware of the advantages of inland waterway transport. Information and Communication technologies such as the River Information Services still require further development. Lastly, the institutional framework for inland navigation in Europe is fragmented. This leads to an ineffective use of administrative resources and a lack of political attention.

To address these challenges the Commission is proposing the creation of an action programme called NAIADES – Navigation and inland waterway action and development in Europe. This action plan focuses on five strategic inter-dependant areas for a comprehensive Inland Waterway Transport policy (IWT).

The five areas covered are :

§ Market : the Commission’s aim is to expand reliable door-to-door inland navigation services whilst at the same time trying to integrate inland navigation within the transport logistics chain. Similarly, it will try to stimulate the development of a general administrative and regulatory framework supportive of a prosperous inland waterway sector;

§ Fleet : the action programme will seek to improve vessel design as well as the introduction of technologies to further reduce fuel consumption and harmful emissions from new and existing vessels – e.g. hydrodynamics, improved propulsion, fuel-efficiency and filtering. It will also propose research into commercially viable non-carbon fuels such as hydrogen fuel cells and zero-emission engines. The use of bio fuels such as bio diesel will also be exploited;

§ Jobs : the action plan will seek to improve upon working and social conditions through a constructive social dialogue at a European level as well as investing in human capital;

§ Image : the Commission notes that the image of inland navigation sector has not kept pace with the logistics and technological performance. General awareness and knowledge of the real potential of the sector in terms of quality and reliability need to be improved. As such the action plan hopes to promote inland navigation as a successful partner in business, to set up and expand European IWT promotion and to monitor trends and developments within the IWT market;

§ Infrastructure : the action plan, therefore, foresees the creation of a European Development Plan for the improvement and maintenance of waterway infrastructures and trans-shipment facilities on a trans-European basis. Such a plan should be orientated along the TEN-T network but should also include smaller networks. A European Coordinator could facilitate its implementation. In other initiatives the Commission is seeking support for the implementation of the River Information Services.

To conclude, the report remarks that in order to enable inland waterway transport to be fully exploited and its full potential to be realised a number of framework conditions first need to be met. The proposed NAIADES will help to set up the right framework conditions. It sets up an integrated action programme focusing on five strategic areas fundamental to the further development of the inland waterway transport sector. These key areas are rounded off by a modernisation process that should help boost IWT. Based on Council and Parliamentary discussions, the Commission will present, where appropriate, legislative proposals and implement the policy measures. Each of these proposals will be preceded by a thorough impact assessment. The time frame for the implementation of the plan is the period 2006-2013. The Commission invites the European Parliament and the Council to endorse this Communication and to support the action plan.

PURPOSE: to present a Communication on the promotion of inland waterway transport “NAIADES”.

CONTENT: this Communication sets out an integrated action programme for the promotion of an EU inland waterway transport network and is being presented within the context of the Commission’s “White Paper on European Transport Policy for 2010: Time to decide”, in which the importance of inland waterway transport was emphasised.

Europe ’s freight transport system has much room for improvement. Congestion, capacity problems and delays affect mobility and economic competitiveness. Yet, together with rail and short sea shipping, inland waterway transport can contribute to the sustainability of the transport system as recommended by the White Paper, in both an economic and environmentally friendly manner. The growth potential of inland waterway transport remains positive.

In the last two decades inland shipping has successfully entered new markets, such as the hinterland transport of maritime containers which have experienced a two digit annual growth rate. In some regions inland shipping has already conquered a modal share of more than 40% - i.e. in catchments areas of major seaports. Between 1997 and 2004 traffic growth rates in tonne-km, in Belgium of more than 50% and in France of more than 35% have been achieved. The sector is made up of some 12 500 vessels the equivalent loading capacity of 440 000 trucks. Inland navigation has the best performance in terms of external costs, in particular pollution and safety and has a huge capacity to deploy. In other areas, an increase in inland navigation can lead to significant transport cost reductions. Moreover, inland waterway transport is safer than other modes of transport. For example, the number of yearly fatalities in the Netherlands (the country with the highest density of inland waterway transport) caused by was next to zero. If inland navigation cargoes were carried by road, emissions to air in Europe would be at least 10% higher.

In spite of these huge environmental, social and economic advantages, inland waterway transport in the EU remains under-utilised. The challenges facing the EU’s inland waterway transport system include a fragmented market structure combined with strong competition. This has resulted in limited re-investment. Working conditions on board and career possibility are considered less attractive than in other fields of transport. Public authorities and even the transport and logistics industry are often unaware of the advantages of inland waterway transport. Information and Communication technologies such as the River Information Services still require further development. Lastly, the institutional framework for inland navigation in Europe is fragmented. This leads to an ineffective use of administrative resources and a lack of political attention.

To address these challenges the Commission is proposing the creation of an action programme called NAIADES – Navigation and inland waterway action and development in Europe. This action plan focuses on five strategic inter-dependant areas for a comprehensive Inland Waterway Transport policy (IWT).

The five areas covered are :

§ Market : the Commission’s aim is to expand reliable door-to-door inland navigation services whilst at the same time trying to integrate inland navigation within the transport logistics chain. Similarly, it will try to stimulate the development of a general administrative and regulatory framework supportive of a prosperous inland waterway sector;

§ Fleet : the action programme will seek to improve vessel design as well as the introduction of technologies to further reduce fuel consumption and harmful emissions from new and existing vessels – e.g. hydrodynamics, improved propulsion, fuel-efficiency and filtering. It will also propose research into commercially viable non-carbon fuels such as hydrogen fuel cells and zero-emission engines. The use of bio fuels such as bio diesel will also be exploited;

§ Jobs : the action plan will seek to improve upon working and social conditions through a constructive social dialogue at a European level as well as investing in human capital;

§ Image : the Commission notes that the image of inland navigation sector has not kept pace with the logistics and technological performance. General awareness and knowledge of the real potential of the sector in terms of quality and reliability need to be improved. As such the action plan hopes to promote inland navigation as a successful partner in business, to set up and expand European IWT promotion and to monitor trends and developments within the IWT market;

§ Infrastructure : the action plan, therefore, foresees the creation of a European Development Plan for the improvement and maintenance of waterway infrastructures and trans-shipment facilities on a trans-European basis. Such a plan should be orientated along the TEN-T network but should also include smaller networks. A European Coordinator could facilitate its implementation. In other initiatives the Commission is seeking support for the implementation of the River Information Services.

To conclude, the report remarks that in order to enable inland waterway transport to be fully exploited and its full potential to be realised a number of framework conditions first need to be met. The proposed NAIADES will help to set up the right framework conditions. It sets up an integrated action programme focusing on five strategic areas fundamental to the further development of the inland waterway transport sector. These key areas are rounded off by a modernisation process that should help boost IWT. Based on Council and Parliamentary discussions, the Commission will present, where appropriate, legislative proposals and implement the policy measures. Each of these proposals will be preceded by a thorough impact assessment. The time frame for the implementation of the plan is the period 2006-2013. The Commission invites the European Parliament and the Council to endorse this Communication and to support the action plan.