Select Committee on Environment, Food and Rural Affairs Minutes of Evidence


Memorandum submitted by the Commercial Boat Operators Association (BW 42)

1.  WHO WE ARE AND WHAT WE DO

  1.1  The Commercial Boat Operators Association (CBOA) is a trade association representing firms which carry cargo and provide engineering services on Britain's inland waterways. We have 175 members, including associates.

  1.2  Department for Transport statistics showed that 48.7 million metric tonnes were carried on the waterways in 2005 including the inland part of major estuaries. Only about 1.75 million tonnes were carried on the waterways operated by British Waterways.

  1.3  Cargoes carried include aggregates, fuel oil, rice, steel industry materials and products, residual domestic waste, abnormal indivisible loads (such as power station generators) and bagged domestic coal.

  1.4  Many operators' craft can carry 500 tonnes or more—taking the equivalent of 25 20-tonne capacity lorries off the road.

  1.5  Water transport can play an important role in reducing lorry traffic. If is far more environmentally friendly:

    —  Emits 80% less CO2 per tonne kilometre than road haulage.

    —  Is a far better user of energy resources.

  1.6  Road congestion is an increasing problem for industry, regardless of pollution aspects. In congested urban areas in the conurbations and elsewhere, water transport can help to relieve congestion.

2.  OUR RELATIONSHIP WITH BRITISH WATERWAYS (BW)

  2.1  Whilst in general we have a good and harmonious relationship with BW, especially with members of its Freight Department, we have certain issues with the organisation. Recently BW published on its website what would appear to amount to a policy declaration in which they made certain assertions about the freight traffic over BW's waterways, to which CBOA takes exception. In particular we challenge the assertion that freight costs BW £1 million a year and doesn't pay. To this we would make the following comments:

    (a)  How is this figure arrived at? It seems very high in view of the fact that the waterways concerned are used by other, leisure, traffic. If the cost of employing lockkeepers is included in this figure is this allocated directly to freight costs? If so, then it is unfair to blame freight for subsidising other users.

    (b)  Why should BW expect freight to pay for itself? None of its other navigation based activities do so (pleasure boating, fishing, towpath usage etc), and it is accepted that the leisure use of the canal system is a worthy reason for maintaining it as a navigable system. The rail freight track doesn't pay for itself, nor do the roads. It is this fact that underlies the proposal for road pricing.

    (c)  BW maintains that it has to dredge for a new traffic without knowing how long the traffic will last and that the dredging is the same for one barge as for 20.  (They contrast that with a property investment with known income). Our reply to this is that if the traffic has a Freight Facilities Grant (FFG) attached, then that gives some security that the traffic will last; in any case BW has a statutory duty to keep to the standards laid down in the Transport Act, 1968.

  2.2  So far as the smaller waterways are concerned, our members' main activities here are concerned with the retail of solid and liquid fuels. These activities are perennial ones, but are particularly vital during the winter months, which are a period nowadays used by BW for maintenance stoppages. While CBOA acknowledges the need for these stoppages, and also acknowledges that much has been done in recent years to secure alternative routes avoiding them, it has to be said that much is still unsatisfactory. Increasingly customers are persons who live aboard their craft all the year round. As house prices increase and as more people take early retirement, so the numbers of what have come to be called "liveaboards" increase. These all require servicing with fuels and other retail commodities. Furthermore it can be shown that if the smaller waterways are maintained in a state fit for these smaller loaded craft to pass, they are equally fit for the larger leisure and residential craft that are rapidly becoming the norm. Thus the argument that freight transport puts an unreasonable burden on BW on the smaller waterways is not valid. If BW is to accept the larger leisure craft it makes little or no difference to the maintenance standards required to accept loaded freight vessels. It has long been accepted that on most canals the passage of deep drafted freight boats helps keep the channel clear and reduces the need for dredging on any waterway.

  2.3  Another area where CBOA finds itself at odds with BW is the continued pressure upon wharves and waterside sites for redevelopment. We appreciate that the redevelopment of much waterside land has helped provide funds for BW's core work, but we take issue over whether these activities have been allowed to flourish at the expense of freight activities. The part that the waterway system might play in relieving road congestion is seemingly never taken into account when such developments are authorised. A case in point is the redevelopment of the Brent Meadow site in West London. This could have made a superb modern inland terminal for waterborne freight, with direct access to the motorway and rail networks as well as tidal water, but it has instead been developed as a residential area right under the flight path for Heathrow.

  2.4  CBOA feels that the planning process could play a significant role in facilitating the development of waterborne freight carriage. Documents such as "Planning for freight on inland waterways "highlight the fact that there is much guidance issued by the Government which if applied would assist in the development of waterborne freight carriage. One of the reasons why this guidance has not resulted in a significant increase in tonnage carried is that British Waterways are more often than not the only body consulted by local and regional bodies when they are drafting regional and local strategies. And as freight is not high up their agenda opportunities are being lost. An example of this is the redevelopment of Diglis Basin on the Severn the planning authority spoke to no-one regarding the impact of the redevelopment of the last remaining freight wharf in Worcester. This was due to the fact that the applicant for the planning permission to redevelop the site was British Waterways itself.

  2.5  CBOA feels that there is also considerable scope for improving BW's relationships with other navigation authorities, notably the Environment Agency (EA). EA's toll structure has seriously inhibited our members from developing retail activities as described in 2.2 above on the Upper Thames. Yet the Upper Thames forms a link between three BW navigations (the Grand Union, Kennet & Avon and Oxford Canals) and two independent navigations (the River Wey and the Basingstoke Canal) and two more potential restored navigations (the Wilts & Berks and Thames & Severn Canals). Whilst we do not claim that large scale freight will be attracted to any of these navigations, we are concerned that business opportunities are denied to our members through what essentially amounts to red tape. Should development of a Grand Union to Fens link take shape we would make the same comments regarding the potential for either localised freight or retail operations. A single licence for freight operations rather than the payment of mileage tolls would seem to be an obvious step forward.

  2.6  We are not satisfied that the complete responsibility for BW, certainly for any transport function, should rest with DEFRA. Rather we feel it would be more appropriate were the promotion and investment in new freight facilities should sit with the DfT. The commercial waterway network is a transport system and should be managed and funded accordingly. We would hope that the Government would consider a committee of enquiry to specifically look at who within government should be responsible for British waterways. It is clear to us that unless the DfT take a more proactive role freight will never be any higher on the priority list for British Waterways.

  2.7  The DfT have been instrumental in supporting the Sea and Water (S&W) Agency; supplying about 66% of the Agency's income; this is welcome, but it must be borne in mind that S&W do not get into the physical business of getting freight onto water and need to be expanded. It may be argued that the carriers should promote water transport themselves, as does the Rail Freight companies, but CBOA would reply that the water freight industry is very largely comprised of small operators, often one-man businesses, and it does not have the resources of larger freight operators. This is a result of historical factors that it is not possible to go into here. CBOA itself is perforce a voluntary association. It has in the past canvassed traffics, but is not essentially a freight agency. BW is in the unique position of being able to assist in such promotion. This was of course the case both before and after nationalisation, when such operators as the Grand Union Canal Carrying Company and its nationalised successors vigorously sought and promoted freight traffic.

  2.8  There are other agencies involved in water freight promotion. Yorkshire Forward has incorporated the Yorkshire waterways into its transport policies and is currently funding research into the cost of bringing container barges to Leeds; it is also listing wharves in its area. CBOA contends that such Agencies should be encouraged to work closely with BW at all levels in order to promote freight usage.

  2.9  CBOA is not convinced that BW has done enough to attract new freight to the waterways. Currently the Freight Department is in danger of being disbanded, and hitherto it has been treated very much as a poor relation. We are aware that BW has appointed "freight champions" at regional level, but this we contend is a mere palliative. The getting and maintaining of freight contracts is a somewhat specialised and time-consuming process. The "Freight Champions" are merely given this requirement as an addition to their other responsibilities, and (so far as we are aware) have little or no experience of or expertise in freight transport, so it is not surprising that in the main the results have been negligible. We are aware of individuals within BW who have the undoubted ability to do this job, and who have delivered some freight contracts, but they have not been given the backing, nor the resources to do more than scratch the surface. The fact that there are no Board members with logistics expertise we believe highlights the fact that freight carriage is not a high priority. There is expertise in other areas of British Waterways activities but not freight. Why is that?

  2.10  There is currently an undoubted opportunity in East London for the development of freight contracts in connection with the 2012 Olympics. Given the right sort of encouragement this could have an invigorating effect on freight prospects elsewhere. CBOA is believes that short haul freight is viable in certain circumstances in many urban areas, especially those where there are long stretches of lock-free water. Such conditions exist in West London, in the Birmingham/Wolverhampton corridor, the Manchester/Wigan/Runcorn area of Merseyside/North West and between Coventry, Nuneaton and Atherstone in North Warwickshire.

3.  CONCLUSION

  In conclusion CBOA feels that this is not the place wherein to expatiate upon the advantages of inland waterway freight transport. This has been done already and by the Government in several publications It does however feel that in spite of earlier promises by the current administration to increase the volume of freight traffic on the inland waterways, not nearly enough has been done, either by Government or British Waterways.

The Commercial Boat Operators Association

January 2007





 
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