Select Committee on Transport Minutes of Evidence


APPENDIX 12

Memorandum submitted by Stena Line Ports Ltd

  We are responding to the invitation from The Transport Committee to submit evidence and information to assist them in their inquiry into the remit and work of the Department for Transport's Executive Agencies concerned with surface transport—the DVO group (Driving Standards Agency (DSA); Driver and Vehicle Licensing Agency (DVLA); Vehicle Certification Agency (VCA); and Vehicle & Operator Services Agency (VOSA)); and the Highways Agency (HA).

  We are specifically addressing our concerns at the way in which VOSA operate and in particular, the uneven way in which they conduct inspections in different areas of the country, which directly leads to commercial disadvantage. In addition, we hold that their approach to inspections may even be anti-competitive under European Law. In short, as the operator of the Port of Holyhead, Anglesey we have concerns about the impact on our business of roadside checks being carried out by VOSA in the vicinity of the Port of Holyhead.

  Let me first say that Stena Line supports the work of the UK Government in identifying and dealing with breaches of the law in respect of transport units on UK roads. It is clear from the evidence of their records that this work is necessary and, considering the ever-increasing numbers of foreign vehicles trading into the UK with different interpretation of roadworthiness standards, contributes to making our roads safer.

  However, as mentioned, these roadside checks are regularly carried out in close proximity to the port and we are concerned that legitimate haulage operators may re-route LGV vehicles to avoid the time delays and inconvenience of these indiscriminate checks. The continued use of these by VOSA concentrating on the area around Holyhead may potentially have a serious adverse effect on both our business and that of our ferry customers.

  We understand that the roadside checks being carried out by VOSA are made pursuant to powers given to VOSA in 2003. At that time North Wales was selected as one of the six police authorities that took part in a pilot scheme to use the new powers. We have recently written to VOSA requesting clarification of the pilot scheme, its duration and reasons for the selection of North Wales over other possible locations.

  For clarification we wish to advise that this letter comes to you from The Port of Holyhead which is itself owned by Stena Line Ports Limited a subsidiary of Stena AB, based in Sweden. Stena AB also owns ships and operates 18 important ferry routes for freight and passengers throughout Northern Europe specifically on the Irish Sea, the North Sea and around Scandinavia and these include:

    —  Stranraer to Belfast.

    —  Fleetwood to Larne.

    —  Holyhead to Dun Laoghaire and Dublin.

    —  Fishguard to Rosslare.

    —  Harwich to Hook of Holland and Europoort.

    —  Killingholme to Hook of Holland.

  Stena Line, as well as providing ferry services, are also terminal managers and operators on most of their routes. In addition to Holyhead, Stena are the statutory port authority in Stranraer and Fishguard.

  In this letter I hope to draw the Committee's attention to VOSA activities at their new inspection facility on the A55 at Dalar Hir which is within a few miles from Holyhead port. At this location they are able to ensure that all freight vehicles coming to or from the port have to go through their facility. As you can imagine, freight drivers get to know when inspections are being carried out. It is widely held that when checks are being made, operators quickly become aware and there follows a degree of diversion to other ferry services, for example, those connecting to Birkenhead and Liverpool.

  This might mean that a proportion of the so-called "real offenders" will divert to other routes or delay shipping goods, so bypassing the A55 checks completely. They do this in the knowledge that the likelihood of being pulled up elsewhere is much reduced or virtually nil. Consequently we see volumes affected through Holyhead when checks are being made but these volume losses are not confined to potential lawbreakers, as bone fide operators will also divert to avoid the hassle factor and associated delays and to ensure more predictable journey times. At the same time, they may avoid the potential of being compromised and/or fined as a result of having what they may consider as being relatively minor infringements identified.

  On 13 July we met with VOSA at our Holyhead port and were able to highlight the problems we were facing as a result of their actions. The concerns expressed at the meeting were not confined to the port. Indeed, the meeting uniquely saw both service providers represented (Irish Ferries and Stena Line Freight who are customers of the port). These operators of ferry services equally voiced the concerns they have that VOSA activities are placing them at a disadvantage versus their competitors using other west coast ports. The reductions in volumes they experience are clearly reflected in the volumes we see and upon which the port relies for its existence.

  As a measure of the degree of concern a wide range of interested and concerned parties heavily supported the meeting. I detail below the persons present at the meeting.


Port of Holyhead Wyn Parry Port Manager
British Ports AssociationDavid Whitehead Director
Stena Line FreightFrank Nieuwenhuys Freight Commercial Manager
Stena Line FreightDeclan O'Sullivan Area Sales Manager, Republic of Ireland
Stena Line FreightEmyr Williams Freight manager Holyhead Port
Stena Line FreightKevin Arman Freight Reservations
Stena LineGarth Halanen Ship Management
UK Chamber of ShippingTim Reardon Manager Shipping Policy
Irish FerriesEugene Carron Freight Manager
Irish FerriesIan Fenwick Irish Ferries Manager Holyhead Port


  In its terms of reference, The Committee sets out to determine the agencies' accountability, transparency and performance. It also requests any other relevant information.

ACCOUNTABILITY

  1.  It is not clear to us how to complain about the activities of this agency, VOSA seem to be able to determine how they will operate and can in their defence simply state that they are identifying dangerous vehicles and are removing them from our roads. We have no issue with this ambition and would be supportive of more checks throughout the country, but not all concentrated in one place.

  2.  We have made known our concerns to various parties including Welsh Office Under Secretary Nick Ainger MP, Local Member of Parliament, Mr Albert Owen MP, North Wales Police Force Chief Constable Mr Richard Brunstrom and Local Trading Standards Officers. However, while the views of these parties has been generally sympathetic to our concerns, the defence put up by VOSA in line with point 1 above, has remained their main justification for continuing their distorted level of checks when compared with other UK locations.

TRANSPARENCY

  1.  Figures for vehicle inspections at sites around the country and prohibitions issued do not appear to be publicly available.

  2.  The Port of Holyhead was given figures by VOSA specifically prepared by them for the meeting on the 13 July. VOSA informed us that they had compiled the figures to provide evidence of prohibitions issued and therefore to defend their actions. However, in doing so they also demonstrated that the whole system was unfairly stacked against traffic using Holyhead Port. Extracts from these statistics underpinning our case are included as an addendum. Full details available on request.

PERFORMANCE

  1.  For the reasons stated above we do not believe the performance of VOSA is consistent across the country. Moreover, we consider that the level playing field necessary for the free movement of goods is being compromised by having such a severe concentration of activity directed at Holyhead alone, placing it at a commercial disadvantage. A consequence of this is that the long-term disadvantages experienced may lead us to review future levels of investment in port infrastructure, effectively inhibiting free trade.

  2.  Although not at that point yet it is possible that we could (i) see lack of interest by other ferry operators wishing to commence a service to/from Holyhead and/or (ii) in an extreme case, one of our existing customers could withdraw from Holyhead in favour of an alternative less aggressively policed port location eg Mostyn, Liverpool, Birkenhead, Heysham.

  3.  Until now the Anglesey Trading Standards group and VOSA have both been using the site with the former carrying out similar weight checks on vehicles. This duplication of activity has worsened the perception of Holyhead in the eyes of the haulage industry. Although we understand that Anglesey Trading Standards may now eventually withdraw this overlap has been ongoing for some years and so far, has not ceased.

  4.  The entire "freight vehicle dredging" of the A55 when checks are being made is backed-up by VOSA officers through their admission that mobile units are being deployed on all other roads and routes into and out of Holyhead when the site at Dalar Hir is operational. We have been told this is to catch vehicles that may divert early from the A55 to avoid being pulled in to the site. We see this as extremely heavy handed and demonstrates that the way in which the port is effectively blockaded is entirely unique and out of kilter with any other port location, possibly within the whole of the rest of Europe and Scandinavia.

  5.  The A55 site operates in an entirely different way than other ports. We were led to understand that ALL VEHICLES MUST DRIVE THROUGH the Holyhead site and must queue and stop; the procedure at other ports where VOSA operate within the port itself is that vehicles cannot be stopped by VOSA but can only be approached if already stationary.

  6.  The number of vehicles stopped at other ports is wholly disproportionate when compared with the number stopped at Holyhead.

OTHER RELEVANT INFORMATION

  1.  We have already highlighted that the A55 activities of VOSA potentially constitutes an infringement of European Law and may represent interference with the free movement of goods between European member states. The European Court of Justice (ECJ) takes seriously any attempts to restrict movement, and it will be seen that seldom has the ECJ been prepared to allow such infringement unless with very good reason.

  2.  As citizens, we are alarmed that vehicles being stopped outside Holyhead and found to have had grave defects may have already driven across mainland Europe and indeed, if arriving via the Channel ports, will potentially have covered more than 400 miles on UK roads prior to arriving for shipment into Ireland. Other vehicles in equally dangerous condition not destined to Ireland may complete many hundreds of miles within the UK and then head back to the continent without any checks (or apparent threat of checks) being in evidence. Such vehicles may well travel back and forth over many weeks; the evidence of photographs shown to us by VOSA on 13 July was that some of the vehicles with extremely dangerous defects "had been in that condition for many months".

  I am sure you will concur that the activities of VOSA are unfairly directed towards Holyhead, trade between Ireland and other member states of the EU and North Wales. We are frustrated in that we have no course of action other than that which we have already taken. We continue to endure the effects of action taken by an agency that appear to act in an uneven way, setting their own agenda and priorities. Instead of investing in new sites elsewhere recent upgrading and investment by VOSA was ploughed into the same Holyhead facility to increase its capacity, potency and dominance.

9 January 2006









  VehType Date 2002
  HGV
Checksite lookup Data 1999-2000 2000-01 2001-02 2002-03 2003-04 2004-05


Cheriton (Channel   Tunnel outbound
Sum of Vol
Sum of Mechanical   Prohibition
5
0
64
22
139
71
Coquelles (UK Zone   Channel Tunnel) Sum of Vol
Sum of Mechanical   Prohibition
4
4
2
0
16
5
34
30
185
88
421
191
Port of BirkenheadSum of Vol
Sum of Mechanical   Prohibition
10
3
42
12
150
37
Port of DoverSum of Vol
Sum of Mechanical   Prohibition
14
3
3
3
16
6
22
17
166
103
477
281
Port of FishguardSum of Vol
Sum of Mechanical   Prohibition
1
1
1
1
1
1
55
2
30
0
82
7
Port of FleetwoodSum of Vol
Sum of Mechanical   Prohibition
8
2
2
0
2
1
5
1
Port of FolkestoneSum of Vol
Sum of Mechanical   Prohibition
1
0
Port of HarwichSum of Vol
Sum of Mechanical   Prohibition
2
2
209
1
112
1
14
2
11
0
14
0
Port of HeyshamSum of Vol
Sum of Mechanical   Prohibition
8
1
2
0
4
0
5
1
7
4
Port of HolyheadSum of Vol
Sum of Mechanical Prohibition
71
7
88
7
53
3
75
8
258
79
1,005
234
Port of HullSum of Vol
Sum of Mechanical   Prohibition
3
0
21
1
74
0
11
1
171
7
Port of LiverpoolSum of Vol
Sum of Mechanical   Prohibition
13
0
24
3
1
0
1
0
33
4
33
4
Port of MostynSum of Vol
Sum of Mechanical   Prohibition
13
4
Port of NewhavenSum of Vol
Sum of Mechanical   Prohibition
19
2
14
0
4
1
11
3
Port of PembrokeSum of Vol
Sum of Mechanical   Prohibition
22
2
11
0
8
2
71
7
91
21
79
11
Port of PlymouthSum of Vol
Sum of Mechanical   Prohibition
5
0
Port of PooleSum of Vol
Sum of Mechanical   Prohibition
14
1
2
0
6
0
Port of PortsmouthSum of Vol
Sum of Mechanical   Prohibition
8
0
3
1
2
0
Port of PurfleetSum of Vol
Sum of Mechanical   Prohibition
2
0
15
3
Port of RamsgateSum of Vol
Sum of Mechanical   Prohibition
60
26
Port of RosythSum of Vol
Sum of Mechanical   Prohibition
44
1
44
4
65
5
Port of SheernessSum of Vol
Sum of Mechanical   Prohibition
1
0
2
1
37
6
39
14
Inland ChecksSum of Vol
Sum of Mechanical   Prohibition
1,946
139
1,989
156
1,841
182
1,542
163
2,505
457
4,408
796
Total Sum of Vol2,108 2,3372,0921,972 3,5057,190
Total Sum of Mechanical Prohibition 161172203 2358041,695








 
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Prepared 27 July 2006