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ABP sees a decarbonised and digitised future
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Associated British Ports’ (ABP) five ports in South Wales have a revolutionary history. The ports of Swansea, Port Talbot, Barry, Cardiff and Newport have long been trading ores, energy, cargo and ideas. They played a key role in the creation of the modern industrial world and looking ahead, will now need to play a pivotal role in Wales’ transition to low carbon economy. ABP's Welsh ports have an equally revolutionary future; a future inextricably bound, to slow the rate of climate change and put in place the systems that can one day begin to revers it. The five ports will play a central part in the transition Wales must make towards a decarbonised and fully digitised economy over the next thirty years.
Aerial view of the Port of Port Talbot
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ABP’s objective is to make sure that the future works for Wales. The organisation understands that the issues are complex and a different way of thinking is needed to succeed. ABP’s recently-published strategy Future Ports: Wales Vision describes a sea change in thinking. It recognises that the issues are not just port industry issues but form part of a broader societal challenge. A coherent response and delivery will need teamwork across stakeholders, academia, customers and communities. We need a new approach to realise the huge potential of Wales’ strategic port locations; to build the foundations of a new cycle of innovation and prosperity and time is of the essence.”
To achieve a faster pace of change, ABP will work within the policy framework established by both Welsh and UK Government. The race is on as neighboring Spain, Portugal, Ireland and France have already identified some of the opportunities and are backing them with EU investment right now.
During ABP’s Future Ports: Wales Vision launch Andrew Harston, Director ABP Wales and Short Sea Ports said: “The only way through the complexity is to imagine a changed world, understand its opportunities, and focus on the outcomes we need. We cannot make hard and fast predictions, but we can sketch the outlines of what needs doing.
How ports can deliver Wales’ coming transformation
The next three decades will see dramatic structural changes in the Welsh economy as it decarbonises and digitises. The pace of this change is likely to accelerate: a growth loop will be created as technological innovation and scale economies drive cost reductions, which drive further scale economies. This change is expected to be rapid and wide scale; it will disrupt established ways of working, demanding new ones whilst also creating major opportunities for companies and stakeholders which are ready to make the changes necessary.
ABP connects Wales to the global economy and delivers on its commitment to Keep Britain Trading. This commitment remains but there are changes needed to deliver on this and ABP sees a dynamic and developing role for its South Wales ports in the future. Located next to two-thirds of Wales’ population, ABP’s ports are vital assets in helping Wales make the strategic realignments demanded by decarbonisation and digitisation. To do so and to prosper, ABP must learn to do new things and in new ways, and
The future vision for Port Talbot
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partner this capacity for innovation with an ability to design and implement change quickly.
Simon Brown, Divisional Port Manager for Wales & South West at ABP said:“We know that ports can’t make the changes alone. It will be necessary develop a shared vision based on new ways of working between business, government, academia and communities. Greater collaboration will make sure that we share risks, rewards, and intelligence, and deliver better outcomes for the economy, the environment and our societies.
“On this journey there will undoubtedly be difficult decisions to be made and challenges to overcome. But there’s also a tremendous prize on offer: a new appetite for innovation, a dramatically reduced carbon footprint, and thousands of highly skilled, globally competitive jobs for Wales.”
The missions for delivery
transformational opportunity for Wales. ABP recognises the immense potential in creating world-class Floating Offshore Wind (FLOW) capabilities and will actively pursue with its partners to shape growth in this area.
Simon Brown, Divisional Port Manager for Wales & South West at ABP said: "There is no doubt that we have to be bolder and go further, faster. We need to take the opportunity provided by FLOW for example. The Swansea Bay City Region undoubtedly has what’s needed to become a world-class hub for FLOW over the next 10 years.”
Likewise, ABP is committed to cocreating zero-carbon energy from tidal and on-port sources, and will work with government and stakeholders to develop plans for a network of tidal lagoons.
ABP’s plans can be described in four port-centric ‘missions’ which set out the innovations which will ensure its ports achieve their potential systemwide impact. ABP’s missions set out time-limited, outcome-focused tasks that could cut through organisational silos and reconfigure the relationship between public and private sector.
Ports cannot do everything alone but collaborative working will enable the ports to create skilled jobs, growing prosperity and a better quality of life, all in a secure climate.
Decarbonising energy generation
Wales needs to position itself for a technological revolution in the way that energy is created, distributed and used. This emerging marketplace creates a The emergence of FLOW in the Celtic Sea presents huge opportunities and government investment can create infectious momentum. ABP’s own experience at Green Port Hull, a partnership between government, ABP and Siemens, has shown how this can work.
Decarbonising manufacturing
Achieving net zero will demand fundamental changes in the way that South Wales’ manufacturing industry works. From the foundational industries of steel and chemicals, to upstream manufacturing sectors, South Wales’ ports will be indispensable in getting energy into manufacturing sites, emissions out to sequestration points, and providing space to grow. ABP is committed to co-create a decarbonised Port Talbot Steelworks with Tata and its other industrial partners as a priority. ABP is also committed to developing new low-carbon manufacturing facilities and playing a vital role supporting largescale carbon capture.
Decarbonising the logistics industry
South Wales’ ports are likely to play a vital new role in local logistics. The efficiency gains which accompany the ‘internet of things’ will drive down logistics costs, and stimulate the demand-side further, creating accelerating growth in activity. The sooner this shift happens, the sooner we will get the productivity benefits and carbon savings that Wales needs.
The logistics industry is looking to innovate, and ABP’s ports have a unique offer. The emergence of zero-carbon freight villages on sites, driven by three strategic advantages - connectivity between transport modes, proximity to population centres, and the ability to decarbonise the ‘last mile’: high capacity energy connections, allowing hundreds of delivery vehicles to recharge, balanced by large capacity energy storage facilities that can respond to peaks in energy demand.
Creating growth environments for communities, businesses and ecosystems
ABP’s ports at Swansea, Cardiff and Barry have seen radical shifts over the past three decades: industrial areas have been reborn as successful new communities, using innovative relationships between ABP and government. Over coming years, the organisation will work with stakeholders to review whether there is scope for a new cycle of industrial, logistics and residential-led regeneration at South Wales’ ports, alongside creating new opportunities for biodiverse natural environments.
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Solar energy powers ABP’s Port of Barry
In the coming years, ABP will also be considering the next cycle of change at its ports. Those changes would be about quality ‘place-making’ and the creation of new environments for communities to live and prosper. Port developments in Copenhagen, Rotterdam and Malmo would be design benchmarks. A new approach will need integration with urban growth plans plus public sector policy support, possibly including joint ventures and new delivery vehicles.
Target 2030
ABP believes that innovation will be central to growth but the innovation needed is not just about changes in technology and markets. Business practices, mindsets, and the way the public and private sectors interact will be integral. ABP is planning big investments in Wales but cannot make them alone. Effective change can only be delivered within a supportive policy environment and close liaison with government at all levels.
By 2030, South Wales’ Ports will have translated their central role in the first industrial revolution, into being key enablers of the decarbonisation and digitisation revolutions. That transformational role will be the result of new relationships between South Wales’ ports, customers, investors, academia, and the public sector and based on the sharing of intelligence, risk and reward. ABP has commited that by 2030, its ports will have helped put Wales on a new pathway to a dramatically reduced carbon footprint whilst creating thousands of high productivity, highskilled and globally competitive jobs.
More information on the Future Ports: Wales Vision visit: www.abports.co.uk/future-ports-walesvision/ If you would like to see how these concepts might be implemented at port level, take a look at: www.abports.co.uk/future-ports-porttalbot/
