NEWS FROM PORT OF HAMINAKOTKA 2/2024
Charging stations planned for heavy-duty transport at the Port of HaminaKotka p. 2
Eastern Baltic Sea becoming increasingly popular as a cruise destination p. 7
The Port of HaminaKotka is taking new steps towards more environmentally benign logistics by introducing charging infrastructure for heavy-duty vehicles at the Mussalo Harbour.
Space has been reserved at the port area for two operators who intend to build charging stations suitable for heavy-duty traffic. A similar charging station is also planned in Hamina. The charging infrastructure project supports the goal of Finland to reduce emissions from traffic and promotes the sustainable development and competitiveness of the port.
Lauri Keskinen , Head of Charging as a Service Business at Plugit Finland Oy, says that the company is planning a charging station consisting of four parallel drive-through charging points. The charging power of each is 360 kW. The charging service is started with Plugit’s mobile app, RFID tag or card payment. The charging time depends on the chargers and also on the vehicles using the charger, but the charging time is planned to be about 20–45
minutes. Based on customer demand, the company is prepared to deploy technology enabling megawatt-level charging at the port, which will significantly shorten the charging time.
A land lease agreement for Plugit Finland Oy’s charging station has been signed with the City of Kotka, and the project is planned to be implemented in 2025 according to the current plan.
“The schedule will be more specific, but contacts from potential customers and partners are already welcome,” Lauri Keskinen says.
Pragmacharge Oy is one of the two companies planning the charging station. According to Mika Lehmusto , Director of Operations of Pragmacharge, the current plan is to build four driving lines at the charging station in the first phase, which would enable the
simultaneous charging of a maximum of eight full trailer trucks. At a later stage, it is possible to build two more driving lines. The power of a single charging point is 400 kW, which means that the charging time of a heavy-duty vehicle would typically be about 30–45 minutes. In the future, it will be possible to increase the power and build 1.2 MW megacharging points based on customer demand. The cabling for this purpose will be completed now.
A land lease agreement has been signed with the City of Kotka, and the planning of the project has been actively in progress since last spring.
“It is our goal is to start construction work around mid-2025 and to open the charging station during the summer,” Mika Lehmusto says in describing the company’s plans.
Since 2015, merchant shipping has paid half of the fairway dues in Finland under temporary legislation. Contrary to its own Government Programme, the Finnish Government submitted a Government bill in the autumn to amend the Act on Fairway Dues and to repeal the temporary legislation on fairway dues, which means that the fairway dues will be restored to the full amounts from 2025.
Businesses, the biggest workers’ organisation SAK and a large number of other parties, including Port of HaminaKotka Ltd, have firmly opposed the full restoration of payments. The change in the fairway dues will significantly increase the logistics costs of exporting industries and weaken competitiveness. Exports are crucial for Finland, and the Port of HaminaKotka is by far the big -
gest export port in Finland. Restoring the fairway dues in full will significantly impair the competitiveness of Finnish manufacture and exports, because Finland already has the highest logistics costs in Europe and these costs will continue to rise significantly.
The change in the fairway dues will in particular deteriorate the position of Eastern Finland with its ageing industry. This will also create uncertainty for capital investments, because a significant part of recent investments, for example in the Port of HaminaKotka, are based on the legislative project LVM033:00/2023 defined in the Government Programme. According to it, the halving of the fairway dues will continue until the end of 2027. Before the most recent decision, the Government planned to permanently adjust
the fairway dues to the halved level.
The new decision on the fairway dues is based on the goal of balancing public finances, and the Government has calculated that it will receive 34 million euros to the State Treasury as a result of the decision.
“The Government is making a bad mistake here. The increase in the fairway dues will reduce export revenues more than what the Government thinks it will receive in additional tax revenue. Moreover, jobs will be lost in logistics companies, and it will be difficult, if not impossible, to restore those jobs. Considering that 96% of Finnish foreign trade, which is already facing problems, is transported by sea, it seems absurd to increase the costs of shipping,” says Kimmo Naski, CEO of Port of HaminaKotka Ltd.
The roots of the wood-processing company MM Kotkamills go back more than 150 years, when the Norwegian sawmill was established in Kotka. In terms of foreign trade, the sawmill had a central location at the mouth of the River Kymijoki and beside the sea. Co-operation with the port was in a key role from the very beginning, as sawn timber was exported from Finland as soon as the operations started. Later, the company expanded its operations to the production of other wood-processing products, such as pulp, paper and board. Europe is the most important market area for MM Kotkamills, but the company’s products are exported all over the world.
About 97% of MM Kotkamills’ production is exported. The company’s main products include board used for food and pharmaceutical packaging and saturating kraft paper, which is supplied to manufacturers of high-pressure laminates. End products made from saturating kraft paper familiar to ordinary consumers include flooring and tabletop laminates.
The company’s central location in the vicinity of the port enables fast and efficient transport of the products. The short distance from the mill to the port reduces both transport costs and environmental impacts.
“Mayr-Melnhof Group (MM Group), MM Kotkamills’ parent company, is committed to significant emission reduction targets. The company endeavours to reduce direct and indirect carbon dioxide emissions by 50.4% from the 2019 level by 2031, and the longterm goal is to be carbon neutral by 2050," says Päivi Suutari, Managing Director of MM Kotkamills.
The trend in the economic situation in Europe has a significant impact on the company’s business. The demand for saturating kraft papers in particular is highly dependent on the situa-
tion in the construction industry. This is declining in Europe. The Covid pandemic caused a temporary spike in demand for both saturating kraft paper and board, because consumers did a lot of renovations and bought more packaged foods in shops.
“However, as a result of the current economic downturn, there has been a shift back to cheaper packaging materials, in other words to plastic packaging, which has reduced the demand for packaging board,” says Päivi Suutari.
The production of cupboard has been discontinued at MM Kotkamills due to the Single Use Plastics Directive of the European Union. The directive guides the market to other types of products, which caused a reduction in demand for cupboard, and the business for the product was no longer economically viable. However, the company continues to develop products intended for the food industry and focuses on issues such as the grease resistance of packaging board. Despite the fact that there will be additional capacity in the production of consumer packaging board next year due to competitors’ investments, MM Kotkamills is actively involved in the competition with its high-quality special products. Products made from renewable and easily recyclable materials are believed to be ultimate winners in this market.
The decision made by the Finnish Government in the budget session to restore the fairway dues for shipping in full is a significant
(ETS) will also increase the costs of maritime transport, which is why cutting costs is essential for the company.
The MM Group has operations in different parts of Europe, and as far as Finland is concerned, competitiveness is crucially affected by reliability. According to Päivi Suutari, long supply disturbances erode credibility in the eyes of both European and global customers. This is why smooth logistics are vital for industrial production to continue in Finland in the future.
Despite the challenging economic circumstances and the unstable global situation, the company looks into the future with optimism.
“We are eagerly waiting for the construction industry to pick up. With new construction projects, demand for saturating kraft paper, which is used as a raw material especially for building and interior decoration materials, is expected to grow rapidly. We also believe that the board grades we manufacture from renewable materials and the packaging made from them meet the consumers’ wishes to find sustainable alternatives,” Päivi Suutari says.
challenge for MM Kotkamills. It will deteriorate the company’s competitiveness as compared to European companies, because the majority of customers are located in Central Europe, and transport costs will become even higher due to the changes in the fairway dues. When the new fairway dues enter into force, the company aims to adapt to the situation by streamlining its own logistics by means such as optimising filling rates. The EU’s Emissions Trading System
The General Assembly of the Baltic Ports Organization (BPO) was held on 5 September 2024 in Klaipeda, Lithuania in connection with the annual Baltic Ports Conference. The meeting voted to extend the election of members of the BPO Board for the term 2024-26. As a result, Dr Kimmo Naski (Port of HaminaKotka) remains in the position of Chairman, Dr Gernot Tesch
(Port of Rostock) as Deputy Chairman and Martynas Armonaitis (Port of Klaipeda) as Deputy Chairman. A new member of the BPO Board , Mr Alan Aleksandrowicz from the Port of Gdansk, was also elected.
The next Baltic Ports Conference will be held in Gdansk, Poland, on 7-8 October 2025.
BPO’s aim is to facilitate co-operation between the Baltic Sea ports and to monitor and improve the possibilities for shipping in the Baltic Sea region. BPO has 5 working groups: Environmental, Comprehensive Ports, Cruise Managers, Digitalization and Offshore Wind Energy Working Group.
The Kymenlaakso Rescue Department, the Port of HaminaKotka and other authorities and operators in the area organised a joint major accident exercise in the Mussalo industrial and port area in Kotka on 17 October 2024.
The exercise was used for testing the functioning of the internal and external rescue plans of those obliged to submit safety reports in the Mussalo industrial and port area as well as of sites with a risk of major accident. The exercise also reviewed initial measures, contacts, leadership and communications in the event of a major accident. At the same time, other operators in the industrial and port area arranged exercises in accordance with their emergency plans for a large-scale accident.
As part of the major accident exercise, the school ship Merikarhu moored at the quay at the Liquid Harbour in Mussalo was used for an exercise in a situation where an acetylene cylinder, which had been damaged in rough sea, exploded on the deck of the vessel while the cylinder was waiting for transfer. As a result of the explosion, a piece of material flew into a methanol storage tank, and the force of the explosion caused an ammonia leak in a tank on the deck of the vessel and a hydraulic oil leak in the hydraulic equipment on the deck. The ammonia leak caused a gas cloud that spread to the area of adjacent operators and to the nearby residential area.
The preparations for the major accident exercise require much work, and the planning process begins months before the exercise date. During
the preparations, the authorities and operators participating in the exercise learn about each other’s activities, and the persons involved become familiar with each other, which makes the operations smoother both in the exercise and in real situations.
According to Maria Kämäräinen, Manager, Security and Rescue, of Port of HaminaKotka Ltd, the best result of the exercise is the feedback gathered of it. This feedback is discussed both
among the participants individually and together within a larger group.
“Exercises are really useful in developing the operations, because exercises always reveal areas for improvement both in one’s own operations and in terms of co-operation in the area. It has been great to hear that those who participated in the major accident exercise felt that the exercise improved their readiness for real accidents,” Maria Kämäräinen says.
This year, the international cruise ship season of the Port of HaminaKotka extended from June to September, and a total of six cruise ships visited the Port, bringing with them about 6000 visitors. The Covid-19 pandemic together with the unstable geopolitical situation and the consequent absence of St Petersburg as a port and travel destination have affected international cruise traffic on the Eastern Baltic Sea since 2020. Expert estimates suggest that the cruise market will pick up from 2026 onwards.
Consumers are increasingly interested in cruise ports on the Eastern Baltic Sea, and alternative ports suitable for Baltic Sea cruise itineraries, such as HaminaKotka, are becoming more and more interesting. In terms of cruise itineraries, the location of the Port of Hamina-
Kotka near Tallinn and Helsinki is good, and Helsinki Airport enables it to serve as a turnaround port - if necessary. As the climate warms up, the pleasant Nordic weather attracts travellers and creates demand, especially during the hottest summer months.
The Kotka-Hamina region offers a wide range of things to do for cruise passengers. Cruise passengers favour nature sites in particular, not forgetting museums, churches and other cultural attractions. New excursion products are developed constantly together with tour operators based on feedback from cruise lines.
“The clientele of international cruises is get-
ting younger, and the more mature generation of cruise guests are in a better physical condition. Especially nature activities, such as white-water rafting and walking tours in urban parks and nature reserves, are very popular, and they are actually among the best things we have to offer in our region,” says Petra Cranston , Project Manager, Cruise Business, of Port of HaminaKotka Ltd.
The year 2025 is expected to be similar to 2024 in terms of visits by international cruise ships.
“In 2025, we can again welcome vessels making their inaugural call here. This is the result of long-term sales and marketing efforts,” Petra Cranston says.
The Sirena of Oceania Cruises made its inaugural call at Kantasatama in Kotka on 11 September 2024. Photograph: Emilia Piispanen
This year, Port of HaminaKotka Ltd will donate the funds intended for Christmas gifts and cards to the bird sanctuary in Pyhtää. The bird sanctuary in Pyhtää is a wild bird sanctuary whose main task is to rehabilitate injured birds and release them back into the wild. Birds arrive at the sanctuary from all parts of Finland, mainly from Southern, Southeastern and Eastern Finland. The sanctuary works in co-operation with veterinarians and various rescue authorities.
The bird sanctuary in Pyhtää was founded in 1998, and it is one of the two official wild bird sanctuaries in Finland. In addition to rehabilitating injured birds and releasing them back into the
wild, the bird sanctuary is to maintain the populations of wild birds in Finnish nature and thus support biodiversity. Birds are also helped through advisory work and environmental education emphasising nature conservation. The sanctuary enables people to participate in aid work, which at best leads to curiosity and respect for the lifesustaining natural environment and its species.
The bird sanctuary in Pyhtää takes care of a lot of waterfowl, and they are also retrieved from ports from time to time. As an example, a long-tailed duck once arrived at Mussalo Harbour in Kotka with a cargo ship. The bird was in care at the bird sanctuary in Pyhtää for several months before being released. Swallows and nightjars that have
accidentally flown into warehouses have been picked up from Hietanen Harbour. Other birds rescued from the port include a water rail that travelled as a stowaway on a ship, and a Northern gannet that collided with a cargo ship. These two are less common birds in Finland.
In addition to waterfowl, the bird sanctuary takes care of some rock pigeons and in winter owls, which cannot catch moles and mice under the hardened snow, but come to people’s gardens in search of food. The bird sanctuary also attends to small mammals, such as hedgehogs and squirrels.
Arto Hokkanen of the bird sanctuary in Pyhtää says that the bird sanctuary has operated as an association since 2019. He would like to have continuity in the annual subsidies granted by the government so that the operation of the bird sanctuary could be secured.
“Donations made by companies and individuals are really important. The donation by Port of HaminaKotka Ltd will be used for our daily activities, such as food and bedding as well as water, which we need a lot when caring for waterfowl,” Arto Hokkanen says.
Port of HaminaKotka Ltd and Kotkan Satamatalot Oy
Port of HaminaKotka Ltd involved in the Pink Ribbon campaign of Cancer Foundation
Port of HaminaKotka Ltd will again be involved this year in the Pink Ribbon campaign of Cancer Foundation Finland by giving a Pink Ribbon to all members of its personnel. The proceeds from the Pink Ribbons purchased from the local association are used for work to support cancer patients and their loved ones in the Kymenlaakso region. Each year, research themes related to different cancers are highlighted in the campaign. This year’s theme is lung cancer. The 2024 Pink Ribbon was designed by the band Vesterinen Yhtyeineen.
