‘We show what has to be done – and how to do it’

Smart quay walls, the construction of Europe’s largest green hydrogen factory, a hydrogen pipeline to the German Ruhr area, the first inland vessels propelled by green electricity, a digital twin of the entire Port and a digital route planner for container shipping. This is only a handful of the many initiatives being set up. The Port Authority currently has more than 50 energy transition-related projects and another 30 digitalisation-related projects on the go.

These are in line with the immensity of what Castelein calls the ‘Port industrial complex’. “We directly and indirectly employ 565 thousand people here and are good for 8.2% of the gross national product, 63 billion euros.” The Port Authority is responsible for 13% of the national C02 emissions and consequently has a ‘significant footprint’.

Pioneer

Because of the size of this footprint, the Port of Rotterdam will play a key role in the national energy transition. “We can realise 35% of our 2030 greenhouse gas emission reduction target of 55% here”, says Castelein. “We can make an enormous impact.” But how do you lead a complex which is traditionally 50% fossil energy-driven to a climate-neutral future while retaining its current economic position?

Rotterdam is at the forefront “So far, a transition of this kind has not been achieved anywhere in the world”, Castelein continues. “A great many parties are needed to this end: knowledge partners, such as TU Delft, and public and private parties too. Legislation also plays a big role and we have to keep a close eye on our competitiveness. Nobody knows what the blueprint will look like.”

Greening and digitalisation go hand in hand

The Port Authority is trying to implement the energy transition along the lines of four major themes: increasing the efficiency of existing industry and building infrastructure for the transition, producing and using renewable energy such as green electricity and hydrogen, making all production processes circular and finally making all transport movements passing through the port CO2 neutral.

All this goes hand in hand with digitalisation. A smart route planner can ensure that ships moor faster. The Port’s digital twin contributes here as well: not only does this help by enabling ships to navigate autonomously, it also reduces waiting times and optimises mooring, loading and departure times.

Maritime innovation ecosystem

Castelein summarises the situation: “It is like playing multiple games of chess simultaneously. There is no one silver bullet. They are all incremental steps.” The digitalisation of the Port, including the logistics chain and infrastructure, is a project that will take many years. “It is, in fact, a never-ending project. But it is incredibly exciting and wonderful to be involved in it.”

What is the Port Authority’s role in all this? “We take on the role we think is necessary to make a difference”, says Castelein. For example, the Port Authority promotes and facilitates a maritime innovation ecosystem: dozens of start-ups have been set up in the Innovation Dock at the RDM Campus. With PortXL, the Port Authority has its own innovation programme; this enables it to bring promising maritime start-ups from all over the world to Rotterdam to grow further.

300 million

The Port Authority examines what is necessary for every initiative. “You need different partners for the electrification of inland vessels than when you are developing a hydrogen corridor to North Rhine-Westphalia. We keep an eye on what is going on – continuously: what big processes are required to make the various chains smarter and more sustainable and how can we make a difference?”

The Port Authority also invests a considerable amount, about three hundred million euros annually, to enable all these activities.

The legislator is slowing things down

It is no easy process, the CEO emphasizes. The Port has arisen over many decades; it is efficient but not always sustainable. “Making anything sustainable implies disruption. It is always uncomfortable, because parties have to think in the broader context.” A factory which emits too much heat has to ‘look beyond its own value chain’ to think up a sustainable solution for this and collaborate with another party. “That is, by definition, awkward.”

Legislation also slows innovation. Whether pertaining to the storage of CO2, reuse of waste material, the blending of renewable fuels or the use of drones, “We have noticed that the companies concerned are very enthusiastic but that the legislative framework is lagging behind technological progress.”

Noblesse oblige

Nonetheless, Castelein is optimistic. “We have the people, means, knowledge and infrastructure. It is our responsibility to show what has to be done – and how to do it. We have very ambitious plans and a lot of concrete projects, so we are confident that we will succeed.”

And maintain the leading position the Port of Rotterdam currently holds and its employment opportunities. Castelein expects jobs to disappear because of the increasing digitalisation but that new jobs will be created too. Personnel can retrain to use drones, for example. “The reality of the last thirty years is that despite all the automation, only more jobs have been created in the port area.”

Dredging

A lot, however, remains just the same. The Port Authority is, it is true, basically developing into a high tech-company but the nature of the activities is not actually changing very much. “Whether you take the decision to deepen the Port based on historic expectations or because smart quay walls indicate that it is necessary, you still have to dredge it.”