Master Plan & Sustainability Framework Published
NAPIER PORT 30 YEAR MASTER PLAN
Preliminary Draft
BUILDING
FUTURE
CONNECTIONS
Nurture the seed and it will grow.
DOCUMENT
ENVIRONMENTAL
CREDENTIALS
The paper stock used is Forest Stewardship Council
®
(FSC
®
) certified stock from responsible sources, using
elemental chlorine-free (ECF) production processes.
It is produced under the strict ISO14001 and EU
EMAS environmental management systems, and carries
the internationally recognised EU Flower eco label.
POIPOIA TE KA
̄
KANO KIA PUA
̄
WAI.
CONTENTS
Message from the Chairman ..................................................................................2
Chief Executive welcome ........................................................................................4
SECTION ONE: PORT OVERVIEW
Napier Port at a glance .........................................................................................10
Our purpose and strategy ....................................................................................12
Cargo through the port .........................................................................................14
Our services ............................................................................................................16
Strategy in action: more than connecting cargoes to the world .................18
Our locations...........................................................................................................20
6 Wharf: building future connections ................................................................24
SECTION TWO: DEVELOPING THE MASTER PLAN
Master plan process ..............................................................................................28
Stakeholder input ...................................................................................................29
Trade outlook...........................................................................................................36
Future vessels .........................................................................................................38
SECTION THREE: THE 30 YEAR PLAN
A snapshot of options ...........................................................................................42
Optimise, grow capacity, partner and preserve ..............................................44
Feedback .................................................................................................................49
BUILDING FUTURE CONNECTIONS
°
1
POIPOIA TE KA
̄
KANO KIA PUA
̄
WAI
NURTURE THE SEED AND IT WILL GROW.
Te ̄ na ̄ koutou,
This Master Plan provides a vision
for how we plan to shape the
development of Napier Port over
the next 30 years.
In developing our plan, we spoke
to our customers, our community
and other stakeholders about what
they need from us.
These insights validated a number
of projects we already have underway:
building 6 Wharf by the end of 2022,
developing our inland freight hubs
and the arrival of a third tug. These
are the right decisions to ensure
we can handle growth in cargo and
the larger ship sizes expected over
the next 30 years. It also shows we
can explore a number of other
options if needed to efficiently
service increasing trade volumes
and keep pace with growth for
our customers and our region.
We recognise that awareness and
support for our operations is vital
for sustainable growth and we
are committed to engaging with
our community and stakeholders
as we pursue new developments
and opportunities.
Just as we need to understand
the issues facing our stakeholders,
we want to ensure our stakeholders
understand the challenges and
opportunities facing us. That’s why
we’ve made our preliminary draft
public and why we will publicly
consult on our Master Plan every
five years.
We welcome your feedback and
look forward to ongoing discussions
as the future unfolds.
Nga ̄ mihi,
MESSAGE
FROM THE
CHAIRMAN
ALASDAIR MACLEOD
CHAIRMAN
2
°
BUILDING FUTURE CONNECTIONS
BUILDING FUTURE CONNECTIONS
°
3
NAPIER PORT HAS BEEN
CONNECTING HAWKE’S BAY
AND THE CENTRAL NORTH
ISLAND WITH THE PEOPLE AND
MARKETS OF THE WORLD FOR
NEARLY 150 YEARS.
HAWKE'S
B AY
CENTRAL
NORTH ISLAND
4
°
BUILDING FUTURE CONNECTIONS
Te ̄ na ̄ koutou,
Napier Port has been connecting
Hawke’s Bay and central North Island
with the people and markets of the
world for nearly 150 years.
We’re New Zealand’s fourth-largest
container port by total TEUs (twenty-
foot equivalent units) and have
experienced growth in cargo volumes
over the last 10 years.
As the most efficient link to international
markets for the region’s exporters and
importers, we are critical
to the Hawke’s Bay economy
and our community.
Ensuring we have the right
infrastructure in place as we grow –
enough land, equipment, machinery,
technology, and efficient road and rail
connections – is paramount.
This Master Plan looks at the options
to develop infrastructure over the next
30 years so we can continue to get our
customers’ cargo to market efficiently
and in top condition.
BUILDING FUTURE CONNECTIONS
We have already made a number of
investments that are critical to support
growth. The most significant being
building 6 Wharf by the end of 2022.
Other investments include:
• Purchasing and developing
11.6 hectares of empty container
storage at Thames Street;
• Establishing an inland port in Manawatu
with Ports Of Auckland and Halls
Transport to connect the region’s
exporter base with Napier Port;
• Securing 12.3 hectares of port-owned land
in Whakatu for future development; and
• Buying a third tug boat that is due to be
operational by the end of 2019.
BUILDING FUTURE CONNECTIONS
°
5
BUILDING 6 WHARF BY THE END OF 2022 IS CRUCIAL
The Master Plan has confirmed that our plans to build a new wharf
(6 Wharf) by the end of 2022 are absolutely critical to support future growth.
The new 350 metre wharf will help to increase capacity and improve
operational performance. It will:
• Allow us to welcome more and larger ships;
• Release congestion constraints and inefficient operations across
existing wharves;
• Cut ship movements by 100 per year (the port will no longer
need to move ships in and out to make room for other vessels);
• Increase capacity for both bulk and container operations; and
• Cut vessel turnaround times.
6
°
BUILDING FUTURE CONNECTIONS
There are other options that we’ll need to explore to manage growth long term.
Whatever options we do pursue will be pursued with four objectives in mind:
OPTIMISE
Maximising productivity with our existing assets and footprint is the Napier Port way.
To grow sustainably and in line with community expectations, we must continue to
improve use of existing land and infrastructure before investing in more. Harnessing data
and using technology to optimise operations will help ensure we do this successfully.
PARTNER
To drive growth we’ll need to work closely with others. Ongoing consultation
and communication remains at the heart of ensuring we deliver successfully
and sustainably in the years ahead.
PRESERVE
As we grow, we need to preserve access to the transport corridors and industrial
precincts around our operations to move freight efficiently. This means making sure
land use near our operations is compatible. Equally we must preserve community
access to valued natural and cultural environments and resources, such as our
shorelines and the marine environment, including protecting kai moana and taonga
of significance to mana whenua hapu ̄.
GROW PORT CAPACITY
While we will maximise capability and efficiency, we will also need additional
infrastructure over the next 30 years. This plan reinforces and responds to the
need for 6 Wharf, and our ongoing investment in our freight hubs. It also looks at the
other options we may need to pursue to service growing volumes.
RATIONALISE, PARTNER,
PRESERVE AND GROW
TODD DAWSON
CHIEF EXECUTIVE
The export and import of goods into and
out of Napier Port is essential for our
customers' and communities’ prosperity.
The circumstances of our stakeholders
are likely to change and, of course, trade is
subject to fluctuations and changes in timing.
This is therefore a living document that we’ll
update each year as a business and consult
on every five years.
We’re committed to communicating our plans,
reporting on our progress - socially, financially
and environmentally - and taking others with us
as we go. And we welcome your feedback
at any time. To have your say, email
masterplan@napierport.co.nz or call
our infrastructure team on 06 833 4387.
Na ̄ ku iti noa, Na ̄
BUILDING FUTURE CONNECTIONS
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7
8
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SECTION ONE
SECTION ONE
PORT OVERVIEW
SECTION ONE
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BUILDING FUTURE CONNECTIONS
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9
IN THE 2018 FINANCIAL YEAR:
5
2
2
2
1
1
1
1
3
3
2
NAPIER PORT
AT A GLANCE
COMMERCIAL SHIPPING
LINES CALL AT NAPIER PORT
10
METRES IS THE LARGEST
CRUISE SHIP RECEIVED
348
Number of commercial
berths: 5 wharves
providing 6 commercial
berths and a new wharf
planned for 2022
(6 Wharf)
The Port is positioned on
New Zealand's main shipping
route with core national rail
and road network connectivity
SHIP VISITS
680
+
WE MANAGED...
5
+
MILLION TONNES OF CARGO
WE WELCOMED...
260,000
+
TEUS OF DRY AND REFRIGERATED
CONTAINERISED CARGO
70
+
CRUISE SHIPS
IN THE 2018/19
CRUISE SEASON
115,000
+
PASSENGERS IN THE 2018/19
CRUISE SEASON
$
23
MILLION BROUGHT INTO
HAWKE'S BAY BY CRUISE
TOURISM*
*Estimated amount according to Statistics NZ.
1
2
3
4
5
6
10
°
BUILDING FUTURE CONNECTIONS
°
SECTION ONE
WE EMPLOY OVER
280 PEOPLE
HECTARES OF
PORT-OWNED LAND
70
+
OUR AWARD-
WINNING 'CULTURE
OF CARE' PROMOTES
SAFETY, RESILIENCE
AND INNOVATION
AMONGST OUR
PEOPLE
13
MINUTE AVERAGE
TRUCK TURNAROUND
TIME IN PEAK SEASON
COMMUNITY INITIATIVES
THAT CONTRIBUTE TO THE
WELLBEING AND GROWTH
OF HAWKE’S BAY
OPERATING
150
YEARS
NEARLY
HAWKE’S BAY’S
$8.1 BILLION ECONOMY
$
8.1B
FULL AND PART-TIME JOBS
IN OUR REGION
27,000
WE SUPPORT:
SECTION ONE
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BUILDING FUTURE CONNECTIONS
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11
TOGETHER WE BUILD
A THRIVING REGION
BY CONNECTING YOU
TO THE WORLD
Napier Port connects Hawke's Bay and the surrounding region with
the people and markets of the world.
We’re a major contributor to Hawke’s Bay’s $8.1 billion economy and associated
with around 27,000 full and part-time jobs in the region.
Located on the east coast of New Zealand’s North Island, we are on the main
transit route for international shipping services and connected to core national
road and rail networks.
Our strategic location and cargo handling capacity make us a key connection
in the supply chain, but it’s the service we provide and our innovative systems
that are the foundation to our success.
Napier
Hastings
Wairoa
Gisborne
Taupo
Wellington
Palmerston
North
Whanganui
New Plymouth
Ohakune
5
2
2
2
1
1
1
1
3
3
2
THAMES STREET
CONTAINER DEPOT
11.6 hectares' empty container
storage, located en route to the port
.
WHAKATU
12.3 hectares in centre of
Hawke's Bay future industrial heart.
RAIL CONNECTIONS
40+ trains per week into port.
MANAWATU
INLAND PORT
Partnership with
Ports of Auckland
and Halls Group
12
°
BUILDING FUTURE CONNECTIONS
°
SECTION ONE
OUR STRATEGY
FOR SUCCESS
Our strategy guides our actions and how we manage our business.
This includes the infrastructure that supports our operations and allow
us to connect our customers to their international markets.
We take pride in delivering more than expected; working with our
customers to understand how we can help them achieve their goals,
harnessing data and technology to optimise our operations; and using
our connected infrastructure for a seamless supply chain across our
region and beyond.
We also deliver in a safe and sustainable way, building collaborative
partnerships with our customers and stakeholders and a ‘culture of care’,
which encourages care for our people, the local community and the
environment. See page 18 for our strategy in action.
OUR
GOALS
OUR TEAM
PLANS
OUR
FOCUS
OUR
PURPOSE
OUR
FOUNDATION
BUSINESS OBJECTIVES
TOGETHER WE BUILD A THRIVING REGION
BY CONNECTING OUR CUSTOMERS, PEOPLE
AND COMMUNITY TO THE WORLD
CULTURE OF CARE
SECTION ONE
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BUILDING FUTURE CONNECTIONS
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13
21
%
IMPORTS
79
%
EXPORTS
With its high sunshine hours and fertile
soils, Hawke's Bay is a major New Zealand
producer, processor and exporter of primary
products with nearly 80 percent of cargo
through the port exported.
Hawke’s Bay is New Zealand's largest
apple and pear (pipfruit) exporter, with
approximately 61%
2
of New Zealand's
total planted area of pipfruit; and is a key
player in New Zealand’s forestry industry
– the region’s forestry exports represent
approximately 11%
3
of New Zealand's total.
CARGO THROUGH THE PORT
Napier Port handles over 30 different export and import commodity products
and has seen solid demand for its services over the last 10 years.
2
Hawke's Bay Regional Council - Regional Pest Management Plan 2018 - 2038.
³Ministry of Transport (Freight Information Gathering System); 2018.
VOLUME THROUGH NAPIER PORT BY TRANSPORT MODE
2,500,000
2,000,000
1,500,000
1,000,000
500,000
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
TONNES
Bulk
Exports
Bulk
Imports
Containerised
Exports
Containerised
Imports
VOLUME THROUGH NAPIER PORT BY CARGO TYPE
3,500,000
3,000,000
2,500,000
2,000,000
1,500,000
1,000,000
500,000
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
TONNES
Other
industries
Forestry
& logging
Agriculture,
food &
beverages
14
°
BUILDING FUTURE CONNECTIONS
°
SECTION ONE
NAPIER PORT IMPORT PRODUCT MIX
(FY2018, BY WEIGHT)
Logs (
54.8
%
)
Meat (
4.9
%
)
Woodpulp (
11.9
%
)
Apple & Pears (
6.6
%
)
Timber (
7. 4
%
)
Other (
14.4
%
)
Fertiliser (
34.4
%
)
Oil Products (
26.4
%
)
General Cargo (
15.1
%
)
Foodstuffs (
10.8
%
)
Cement (
5.2
%
)
Other (
8.1
%
)
NAPIER PORT EXPORT PRODUCT MIX
(FY2018, BY WEIGHT)
Trade is diversified across containerised and bulk
cargo products as well as cruise tourism.
Our container trade is diversified across a range of largely
export-driven primary produce, including forestry products,
pipfruit, vegetables, meat and wine. Approximately
75 percent of all containers imported are empty containers
to service regional exporters.
The majority of bulk cargo exports through the port are log
and forestry products, while the key bulk cargo imports are
fertiliser, petrochemicals and cement.
Napier Port is also the gateway to the Hawke’s Bay region
for a growing number of cruise visits. In the 2018/2019
cruise season, we hosted over 115,000 passengers on
70 cruise ship visits compared with 57 ship calls the
previous financial year.
This year we had six visits from Ovation of the Seas –
the largest ship to berth at Napier Port and the largest cruise
ship to visit New Zealand waters, capable of handling around
4,900 passengers.
SECTION ONE
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BUILDING FUTURE CONNECTIONS
°
15
TO EUROPE
& WEST AFRICA
TO EAST
COAST OF
SOUTH
AMERICA
TO CENTRAL
AMERICA
TO WEST
COAST
OF NORTH
AMERICA
TO WEST
COAST
OF SOUTH
AMERICA
TO SOUTH EAST ASIA,
INDIA & EAST AFRICA/
MIDDLE EAST
NEW ZEALAND
HONG KONG
SINGAPORE
PHILADELPHIA
MANZANILLO
NAPIER
OUR
SERVICES
Napier Port receives and processes cargo and
manages the arrival and departure of general
cargo, container and cruise vessels 24 hours
a day, 364 days a year.
We’ve developed a range of value-add services
for our customers, supported by our team.
1. Shipping connections:
Connecting Hawke’s Bay to the world
Napier Port provides the complete infrastructure and
range of international port services to support global
connections. We are connected with six international
weekly container services operated by 10 major
international shipping lines, giving customers access
to all of New Zealand’s global markets. Bulk cargo
vessels are generally contracted or chartered directly
by the cargo owner. We also provide a regular service
to the Chatham Islands and other domestic service
connections.
2. Marine services
We welcome vessels of all sizes and our marine
services include:
• Pilotage,
• Towage, and
• Berthage and mooring services.
3. Cargo handling services
Container handling: Our container terminal is one
of New Zealand’s largest and a one-stop shop for
receiving and delivering containerised cargo.
Facilities include:
• 16 hectares of dedicated container terminal space
• Six mobile harbour cranes
• 1,000+ connection points for refrigerated cargo
• Flexible fleet of heavy machines including full and
empty container handlers
• A contract team from SSA New Zealand
that provides dedicated stevedoring services
including lashing and unlashing containers
on-board the vessel
• Empty container terminal off-port for the management
of empty containers, including wash, repair and
pre-trip facilities
• Longer operating hours in the peak
season from February to June.
Bulk cargoes:
• We welcome bulk cargo including steel, timber, dry and
liquid bulk.
• Our fixed and rolling infrastructure has been designed to
support the efficient storage and handling of bulk cargoes,
including log storage facilities and a range of eight to
18 tonne forklifts for timber and steel product handling.
• We also have dedicated and flexible log storage areas on
port and bookends that allow logs to be stacked higher.
4. Cruise services
From October to April every year, Napier Port welcomes
cruise ships from around the world. We work closely with
cruise ship agents, hospitality and tourism organisations,
and the New Zealand Customs Service to ensure a smooth
experience for passengers visiting our region.
5. Port Pack
Our on-site packing and devanning facility, Port Pack is one
of the largest packing facilities in New Zealand, accessible
by road and rail. It offers a central delivery point where bulk
cargo is packed into containers before moving to Napier
Port’s container terminal.
6. Depot services include surveying, cleaning,
repairing, pre-trip inspections and container
storage.
7. Leasing of space and warehousing.
16
°
BUILDING FUTURE CONNECTIONS
°
SECTION ONE
TO EUROPE
& WEST AFRICA
TO EAST
COAST OF
SOUTH
AMERICA
TO CENTRAL
AMERICA
TO WEST
COAST
OF NORTH
AMERICA
TO WEST
COAST
OF SOUTH
AMERICA
TO SOUTH EAST ASIA,
INDIA & EAST AFRICA/
MIDDLE EAST
NEW ZEALAND
HONG KONG
SINGAPORE
PHILADELPHIA
MANZANILLO
NAPIER
CONTAINERSBULK CARGOCRUISE
MARINE
HANDLING
SERVICES
PILOTAGE, TOWAGE, BERTHAGE AND LINES (MOORING)
WHARFAGE, MARSHALLING
(1)
, RECEIVING AND DELIVERY
(2)
, AND STORAGE
CRANES
STEVEDORING
VALUE-ADDED SERVICES
LOG HANDLING AND FUMIGATION
NAPIER PORT
EXTERNAL SERVICE PROVIDERS
SECTION ONE
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BUILDING FUTURE CONNECTIONS
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17
C
O
N
N
E
C
T
I
O
N
C
U
S
T
O
M
E
R
P
A
R
T
N
E
R
S
H
I
P
S
C
O
L
L
A
B
O
R
A
T
I
V
E
CUSTOMER CONNECTION
Napier Port works closely with our
importers and exporters to provide
the systems, infrastructure and
innovative solutions they need
to get their products to market
efficiently and in top condition.
Efficient: For our customers time
is money. We’ve developed tailored
on-port warehousing and container
packing services for multiple
customers; and introduced port-wide
initiatives to cut waiting times, such
as a vehicle booking service to
improve truck turnaround times.
In top condition: We’re focused on
getting our customers’ products to
market in top condition and invest in
solutions that preserve their quality.
For example, our large-scale cargo
towers keep high-value refrigerated
products – such as pipfruit and
meat – in premium condition and
maximise the efficient use of our
footprint. We also work on bespoke
solutions with customers, such as the
product damage reporting app we’ve
developed for pulp exporter WPI so
they can trace where product damage
has occurred in transit.
COLLABORATIVE PARTNERSHIPS
We foster collaborative partnerships with those that have shared
aspirations and interests to build a thriving region and sustainable
business. This includes national and local government, the port and
transport industries and our local community.
STRATEGY IN ACTION:
MORE THAN CONNECTING
CARGOES TO THE WORLD
Engaging early: Our team are part of
industry, stakeholder and community
groups. We’ve established working
groups, regular meetings and specific
events with key stakeholders to
address operational issues and consult
on proposed developments early, such
as our planned new wharf.
Sponsorship and community
partnerships: Napier Port is committed
to nurturing the community we’re part
of. Our partnerships include sponsoring
the Napier Port Harbour to Hills
triathlon, which helps build a stronger,
healthier community and showcases
our stunning region. Support for
the arts and education includes our
sponsorship of MTG Hawke’s Bay.
We also support water safety and
recreation, and celebrate our maritime
connection and the achievements
of our primary sector, such as the
Napier Port Hawke’s Bay Primary
Sector Awards.
Engaging iwi and mana whenua
hapu ̄ : Napier Port shares common
goals with iwi and mana whenua–
a long-term commitment to the people
of our region, our environment and
our economy. We’re developing the
first long-term cultural monitoring
programme to help protect, monitor
and assess the health of the marine
environment – using cultural indicators
– during the planned development of
6 Wharf. We’ve also employed Napier
Port’s first Pou Tikanga – Infrastructure
Environmental and Cultural Advisor
and started a formal programme to
strengthen our cultural capability.
Protecting wildlife: We work closely
with the Department of Conservation
and local experts to understand the
behaviour and needs of the flora
and fauna on-port. This helps us to
protect the species that live here and
their habitats. We are developing
New Zealand’s first on-port sanctuary
to protect the korora ̄ , or little blue
penguin. The sanctuary is also
providing research and education
opportunities with our community,
including local schools.
18
°
BUILDING FUTURE CONNECTIONS
°
SECTION ONE
A
N
D
T
E
C
H
N
O
L
O
G
Y
H
A
R
N
E
S
S
I
N
G
D
A
T
A
I
N
F
R
A
S
T
R
U
C
T
U
R
E
N
E
T
W
O
R
K
E
D
OUR FOUNDATION:
CULTURE OF CARE
Our culture of care is pivotal to
achieving our strategy, goals and
objectives. We support a strong
and resilient culture, encouraging
care for our people, the local
community and the environment.
We are committed to ensuring the
safety of our people and others who
visit and work at Napier Port sites;
and we value wellbeing, personal
and professional development, and
diversity at work.
We’re also focused on protecting
our environment and ensuring we
have the systems in place to protect
biodiversity, minimise waste and
conserve energy.
We’ve developed a sustainability
framework, based on the United
Nations Sustainable Development
Goals, and are now creating a
sustainability strategy that will detail
key strategies, actions and targets
over the short and long term to guide
us into the future in a balanced and
sustainable way.
HARNESSING DATA
AND TECHNOLOGY
A key focus of Napier Port’s
strategy is to capture and harness
data and technology to deliver
productivity gains for customers.
We’re small and agile enough to test
new technologies but big enough to
invest. We encourage our people to
innovate and have developed a number
of world-leading technologies that
benefit our customers.
NZ’s only mobile harbour crane
simulator: In 2015, we invested in
a mobile harbour crane simulator to
reduce the time it takes to train our
own staff and allow them to be trained
in a safe and controlled environment.
The introduction of the simulator has
also led to strong collaboration with
our teams and other ports.
Building intelligent software
solutions: Napier Port looks for
innovative ways to manage cargo
and improve productivity. A recent
example includes developing software
to streamline container planning, which
has allowed us to reduce the time it
takes us to plan how we stow export
containers on a vessel.
NETWORKED
INFRASTRUCTURE
We connect our businesses to
their markets with an established
and growing infrastructure
network, which we operate as an
integrated and intelligent system.
Extending services beyond the port
gate: Napier Port’s on-port footprint
is finite. We’re looking outside the
gate to find customer solutions and
integrate them with a supply chain that
brings the port closer to its customer.
We’ve invested in the Manawatu Inland
Port, developed a Thames Street
container depot facility and purchased
industrial land in Whakatu, which is
earmarked for a future freight hub.
See page 22 and 23 for more
information on our freight hubs.
SECTION ONE
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BUILDING FUTURE CONNECTIONS
°
19
NAPIER PORT’S KEY FEATURES AND STRENGTHS
• Around 50 hectares of land on-port
• Easiest and fastest access to international markets for high-value
international exports
• Strategic location on the eastern shipping lane and easy port of
call for shipping lines
• Good accessibility for shipping lines with easy to navigate shipping channels
• Full access to international markets for exporters
• Reliable and high-quality service to container shipping lines
• Good road and rail connections, connected to principal road and rail networks
• 1,000 connection points for refrigerated cargo
• Capacity to grow
• Full container services: handling, marshalling, storage, crane operation,
stevedoring and packing
• Operates 364 days a year, 24 hours a day.
NAPIER PORT
Napier Port is an established long-term infrastructure asset
made up of approximately 50-hectares of land on-port and a
1.5-kilometre breakwater.
The port is a key gateway to and from global markets for Hawke’s
Bay and central New Zealand. The majority of Hawke’s Bay primary
produce exporters are located within 100 kilometres of the port,
providing a nearby, cost-effective route to market with excellent road
and rail connectivity.
OUR
LOCATIONS
20
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BUILDING FUTURE CONNECTIONS
°
SECTION ONE
SECTION ONE
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BUILDING FUTURE CONNECTIONS
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21
KEY FEATURES
AND STRENGTHS
• 11.6 hectares of empty container storage
• Open six days a week and supported
by eight dedicated and experienced staff
• Located en route to port and easily
accessible from key arterial road
infrastructure
• Industrial zoning.
THAMES STREET
EMPTY CONTAINER DEPOT
The empty container depot at Thames Street is a key logistics hub in central
Napier's industrial area that we have developed over the past four years to
free up space on-port.
Around 5 hectares is already in use while a secondary, adjacent site provides the
port with capacity to grow. The area is situated around 3.5 kilometres from the port
with good road networks and rail connectivity options for the future.
22
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BUILDING FUTURE CONNECTIONS
°
SECTION ONE
KEY FEATURES
AND STRENGTHS
• 12.3 hectares
• Ready for future development
• Road and rail connections
• In the centre of Hawke’s Bay’s future
industrial heart
• Provides the port with capacity to grow.
KEY FEATURES
AND STRENGTHS
• 1.9 hectares
• 2,170 m
2
warehousing
• Container yard
• Container wash facilities
• 1,200 m
2
cross dock facility
• Road and rail connections.
MANAWATU
INLAND PORT
In partnership with Ports of Auckland and
Halls Transport, Napier Port has developed
a 1.9 hectare container yard and
2,170 square metre warehousing
facility at the Manawatu Inland
Port. Palmerston North is the
logistics epicentre for the
lower North Island.
WHAKATU
12.3 hectares of land has been purchased in Hawke’s Bay’s
industrial area of Whakatu – with good road and rail
connections – for the potential development of an inland port.
This provides an opportunity to expand our container storage
capacity and improve container handling performance as well
as reduce truck volumes as the port grows.
SECTION ONE
°
BUILDING FUTURE CONNECTIONS
°
23
6 WHARF:
BUILDING FUTURE
CONNECTIONS
Napier Port has a major project underway to build a new wharf
that will support ongoing growth for our customers and region.
In November 2018, following significant consultation, we secured six resource
consents to build the wharf at the northern end of the container terminal,
and deepen parts of the harbour so we can welcome more and bigger ships
amidst regional growth.
The wharf will be long enough and the berth pocket deep enough to handle
the largest vessels we expect will visit Napier Port in the next 30 years.
Napier Port plans to start 6 Wharf at the end of 2019 and expects to
complete it in 2022.
BENEFITS OF 6 WHARF
• Reduced congestion
6 Wharf will significantly improve
operating efficiency by reducing
secondary vessel movements
(temporarily moving vessels off
wharves to accommodate other
vessels) by an estimated 100
movements per year and providing
capacity to handle an increased
number of ship visits. It also frees
up capacity on other berths.
• Ability to handle larger vessels
6 Wharf will be able to handle
container ships up to 320 metres in
length and with a 48-metre beam, and
cruise ships up to 360 metres long.
We’ve received resource consents
to dredge up to 14.5 metres in the
swing basin and harbour entrance
to accommodate larger vessels.
• Extend our container vessel
capacity
Use of the port’s current container
wharf, 5 Wharf, was 66 percent
during the summer peak period
in 2018/19, which is above best
practice guidelines.
• Berthing of all vessels 24 hours
a day
Currently the berthing of some larger
container vessels are limited to
daylight hours.
• Operational agility
6 Wharf will be multi-purpose, used
for both container and cruise ships,
and adaptable. This includes offering
the potential to support twin lift ship-
to-shore gantry cranes in the future
if needed (Napier Port currently uses
mobile harbour cranes).
• Operational resilience
In addition to increased berthing
options, 6 Wharf’s design improves
the port’s resilience to a significant
earthquake.
24
°
BUILDING FUTURE CONNECTIONS
°
SECTION ONE
SECTION ONE
°
BUILDING FUTURE CONNECTIONS
°
25
26
°
BUILDING FUTURE CONNECTIONS
°
SECTION TWO
SECTION TWO
DEVELOPING THE MASTER PLAN
SECTION TWO
°
BUILDING FUTURE CONNECTIONS
°
27
MASTER PLAN
PROCESS
Napier Port’s 2019 Master Plan builds on our
2012 plan but for the first time includes widespread
customer, industry and public input.
It provides the blueprint for how we plan to invest and
develop our infrastructure – such as buildings, equipment,
roads and rail – to support our operations, our customers
and the regional economy over the next 30 years. We
consulted with stakeholders, looked at future trade scenarios
and trends, as well as changes in the shipping industry,
to determine the investments we may need to explore in
the coming years. We will use the Master Plan to guide
conversations with our stakeholders and ensure sustainable
development of the port.
APPLYING A RECOGNISED
MASTER PLANNING PROCESS
We started working on the Master Plan in July 2018,
adopting a contemporary three-step process that is
aligned to international best practice.
Public consultation took place in November 2018 and
ongoing dialogue with our stakeholders about our future
plans is an integral part of the Master Plan. We welcome
feedback at any time.
• Gathering information and
collecting data, such as trade and
shipping forecasts
• Identifying and mapping existing
infrastructure, supply chains,
social and environment assets,
and resources
• Customer interviews and
public consultation on issues for
Napier Port to consider
and prioritise
• Identify key issues/strategic
objectives.
JUL - DEC 2018
STAGE ONE
Baseline research
• Establish options evaluation
framework
• Define trade scenarios
• Infrastructure needs analysis
of land, berths, equipment,
services and transport
• Define and identify plausible
development options
• Evaluate options.
JAN - APR 2019
STAGE TWO
Master Plan
development options
• Refined analysis
• Produce draft Master Plan
• Release preliminary draft of
Master Plan to public/industry
for feedback
• Review and incorporate feedback
• Finalise Master Plan.
MAY - DEC 2019
STAGE THREE
Finalise Master Plan
ONGOING STAKEHOLDER ENGAGEMENT AND FEEDBACK
28
°
BUILDING FUTURE CONNECTIONS
°
SECTION TWO
CARGO
OWNER
CARGO
INFLUENCERS
EXPORTER
TRANSPORT
OPERATOR
FREIGHT
COLLECTIVE
IMPORTER
FREIGHT
FORWARDER
THIRD
PARTY
LOGISTICS
PROVIDER
SHIPPING
LINES &
AGENTS
1. WHAT OUR CUSTOMERS TOLD US
The Port’s primary focus is to facilitate trade, ensuring we
have the right infrastructure at the right place and time to
service shipping lines and shippers in our catchment.
We have three main customers with varying infrastructure
and service requirements.
1. Bulk cargo owners: the exporters and importers of cargo
that is shipped unpackaged in large quantities.
2. Containerised cargo owners: exporters and importers
of cargo shipped in 20-foot or 40-foot containers, either
refrigerated or dry (ambient) containers.
3. Shipping lines: the companies that run and operate the
vessels that visit Napier Port.
Additionally there are a number of other commercial
relationships we have with freight forwarders, transport
operators, freight collectives and third-party logistics
providers.
CONTAINER SHIPPING LINES
The state of international and domestic freight markets
are volatile, which is expected to continue. This is driving
a number of key trends in the global container shipping
industry, including:
• Growing vessel sizes; and
• Shipping line consolidation as lines strive for economies
of scale and increased efficiency.
The companies we spoke with told us Napier Port needs to
focus on the following issues and opportunities to maintain
our relevance as a port of call for them in the future:
• Accommodate ships that are longer, wider and able
to carry more goods as shipping lines aim to maximise
each port visit.
• We need infrastructure to improve capacity, productivity and
service levels. For example, infrastructure that will allow us
to ease port congestion, handle larger vessels and ensure
no late or missed calls.
• Our infrastructure and operations must be resilient to
changes in call frequencies and patterns by shipping lines
as they look to reduce their costs and improve profitability.
• Napier Port needs to provide consistent operational
performance and add value from arrival to departure.
STAKEHOLDER INPUT HAS HELPED TO SHAPE THE PLAN
We undertook a materiality assessment to produce this plan, which involved in-depth interviews with customers, a public
online survey, and insights from discussions and documents produced by local and central government, business and
industry groups and transport agencies. This helped us to identify the issues and opportunities that matter most to our
stakeholders.
SECTION TWO
°
BUILDING FUTURE CONNECTIONS
°
29
PIPFRUIT EXPORTERS (CONTAINERISED)
Hawke’s Bay accounts for approximately 61 percent of
New Zealand’s total planted area of pipfruit (apples and
pears) and seven percent of Napier Port’s export volumes.
Growth is expected to continue, with the industry targeting
around 50 percent volume growth in the next 12 years.
For our pipfruit clients, getting their products to market quickly
is key to preserving the quality and presentation of their fruit.
Whatever the port can do to help the product retain its quality
and high-consumer appeal – firmness, crispness, juiciness,
good physical appearance and flavour – is vital including
the following:
• We need to ensure we provide and maintain operational
excellence to keep international shipping lines calling at
Napier Port to maximise international connectivity and
reduce export timelines.
• Dedicated berths that are not affected by congestion
in the cruise season or from other trades.
• Provide a high-level of protection with strong controls
in place to manage biosecurity risks, pests and disease
as cargo volumes and tourism grows. Any significant
biosecurity event could threaten supply and demand for
pipfruit exports and increase production costs for growers
and producers.
• Opportunities to streamline the export process.
Developments such as our inland hubs are helping to
reduce congestion and waiting time on-port, assisting with
getting products to market more quickly.
• Good road connectivity to the port is vital, and potentially
rail in the future, as well as options to increase the amount
of product in each trip.
• The sector is open to strengthening collaboration with
Napier Port to address the anticipated future growth
in pipfruit and industry challenges, such as
the need for more labour and cool
store capacity.
30
°
BUILDING FUTURE CONNECTIONS
°
SECTION TWO
5
https://www.stats.govt.nz/information-releases/cruise-ship-traveller-and-expenditure-statistics-year-ended-june-2018
EXPORTERS OF FORESTRY PRODUCTS
Forestry harvests in Hawke’s Bay have increased in volume
and are expected to grow over the next five to ten years as
more trees come to maturity.
For our pulp, lumber and log exporters, getting their products
to market quickly, cost-effectively and in top condition is key.
They are looking for the port to increase its capacity and to
reduce supply chain costs over time.
a) Pulp and lumber exporters are generally looking for:
• The infrastructure and efficient on-port operations to keep
export costs down, ease congestion and ensure no late or
missed calls for shipping line services.
• Transporting pulp in containers is attractive as it simplifies
the handling and has been found to extend the customer
reach across Asia.
• Infrastructure and services to support larger ship sizes so
they can export larger parcels and keep costs down.
• As volumes grow, ensuring the port continues to have the
necessary site storage/warehousing facilities.
• Continued collaboration with KiwiRail to improve rail
connections to the port and protect against service
reliability risks so exports can switch to rail transport
modes if required.
b) Log exporters are generally looking for:
• Faster ship turnaround times, achieved by alleviating berth
and weighbridge congestion.
• Improved rail infrastructure and services, such as ease
of rail access and handling, as well as better truck
accessibility through town and into the port.
• As volumes grow, ensuring the port continues to have the
necessary site storage and labour in place.
• Ways to help manage sustainability challenges, such as
bark entering the marine environment and challenges with
fumigation as legislation to recapture or ensure no methyl
bromide emissions at the end of fumigation comes into
place in 2020.
CRUISE SECTOR
With Hawke’s Bay’s wide range of tourist attractions, Napier
Port is a growing gateway for cruise visits and one of the key
ports of call in New Zealand. In 2018 cruise tourism brought
an estimated $23 million into the Hawke’s Bay economy
5
.
The number of visits to Hawke’s Bay has increased over
the past seven seasons. The port expects 87 visits in the
2019/2020 season and for the number of calls to continue
to increase each year through to 2048.
Our cruise ship customers are looking for ports that provide
the best experience for their customers and infrastructure that
supports trends in their industry, including:
• Ensuring there are no delays or changes to the schedule.
• No limit on the number of cruise calls each season.
• A safe and secure port with safe shipping channels that
allow for easy navigation.
• Infrastructure that supports growing cruise ship sizes.
• Working towards dedicated berth and on-port facilities
that improve the transfer experiences for passengers
and support guests to walk off a ship into the city.
FERTILISER, LIQUID BULK
AND BITUMEN IMPORTS
For import clients, an efficient, secure, reliable and productive
port is key to delivering products to consumers quickly and
when they need it. The following are just some
of their key requirements:
• Ensuring Napier Port has the infrastructure and services
to respond to potential growth, prevent port and
berth congestion, and support an increase in the share
of products that can be distributed by rail.
• Initiatives to work with customers to improve their supply
chains in the future.
SECTION TWO
°
BUILDING FUTURE CONNECTIONS
°
31
PEOPLE/COMMUNITYENVIRONMENTPROSPERITY
1. Napier Port's 'vision
for the future'
2. Reducing impacts
on neighbours
3. Creating a positive link
between Napier Port
and Napier City
4. Port security and
the safety of people
working there
5. Clarity on staged
development
6. Protecting our environment
and minimising Napier Port's
impacts
7. Clarity of the need for future
dredging programmes
8. Management of separation
distances (port buffers)
9. Climate change resilience
10. Growing Hawke's Bay's economy
11. Growing cargo volumes
12. Commercial shipping fleet growth
13. Attracting different types of cargo
14. The relationship between Napier Port and Inland
Port Facilities (Thames Street & Whakatu)
15. Seismic resilience (lifeline utility)
16. Protecting port access/supply chains (sea channels)
1 7. Protecting port access/supply chains (road corridor)
18. Protecting port access/supply chains (rail corridor)
19. Cruise opportunities
20. Commercial fishing vessels access
10
17
11
16
1
6
4
18
14
12
7
5
15
19
9
8
3
13
2
20
IMPORTANCE TO NAPIER PORTHIGHLOW
IMPORTANCE TO EXTERNAL STAKEHOLDERS
HIGH
LOW
345678910
3
4
5
6
7
8
9
10
2. WHAT THE COMMUNITY AND OUR TEAMS TOLD US
We ran an online survey that the general public, port staff and our customers were invited to participate in to tell us
what they think are the most ‘important issues’ for Napier Port to focus on.
32
°
BUILDING FUTURE CONNECTIONS
°
SECTION TWO
1. Port security and the safety of people
working there.
2. Growing Hawke’s Bay’s economy.
3. Napier Port’s vision for the future.
4. Protecting port access/supply chains
(sea channels).
5. Protecting our environment and
minimising Napier Port’s impacts.
6. Growing cargo volumes.
7. Protecting port access/supply chains
(rail corridors).
8. Protecting port access/supply chains
(road corridors).
PeoplePlanetProsperity
WHAT SOME HAD TO SAY
IN OUR SURVEY RESPONSES:
“We need direct calls by lines to get our sensitive
cargo to market quickly.”
“We need to keep growing, as sustainably and
cleanly as possible.”
“Attracting different types of cargo will assist in diversity
and protect the port against a downturn.”
“Larger and wider vessels are more common.
We need these direct calls to ensure our cargo
gets to market quickly.”
“Whakatu is a good development option.”
“We need better road infrastructure and design.”
“Inland ports are key in the next 10 years.”
“Less trucks on the road the better.”
“Keep the waterfront road open to trucks.”
“(We need) better wharf conditions for (cruise) visitors.”
“Cruise ships are most welcome as they
make a negligible impact on port noise.”
“(Cruise ships are) Good for the local economy.”
“Thank you so much for this survey – great initiative
and demonstrates that you are getting on with the job.”
The top eight issues respondents asked us
to prioritise (in order), which can be broadly
classified into three themes, are as follows:
SECTION TWO
°
BUILDING FUTURE CONNECTIONS
°
33
3. OTHER STAKEHOLDER VIEWS THAT HAVE HELPED TO INFORM OUR PLAN
As well as the formal materiality assessment, we have spoken
with the following, either specifically about the Master Plan
or through regular meetings, relationships and forums we
have. We also used stakeholder feedback from key groups
and individuals we consulted with before applying for
resource consents to build a new wharf and undertake further
dredging; and the experience of previous international ports'
master plans.
KIWIRAIL
We recognise the environmental and community benefits of
rail-based distribution, particularly for those living near the
port and our transport corridors, as we grow.
We work with KiwiRail and our customers to explore mutually
beneficial ways to use more rail where it is commercially
viable and can deliver strong connections for our customers.
Rail-based distribution also has a potential role to play as we
develop our off-site depots.
The recent $1 billion boost from Government to KiwiRail,
which will see further investment in rolling stock and a range
of rail projects, provides opportunities to improve rail’s
economic viability and reliability for our customers to make
the supply chain more efficient and sustainable.
LOCAL GOVERNMENT
We work in consultation with Hawke’s Bay Regional
Council, Napier City Council and Hastings District Council,
who provide the infrastructure and services to benefit the
Hawke’s Bay community. This includes land use planning
and development assessment processes.
They help to support and improve efficiencies for the
port and supply chain, including through the following:
• Zone land to preserve industrial land supply
and prevent unsuited zoning.
• Approving developments that are compatible
with port operations.
• Setting the noise levels for port operations.
• Ensuring development approvals do not restrict
the 24-hour nature of our services.
• Maintaining truck access routes.
• Providing new and upgraded road infrastructure
and maintenance.
In the development of this Master Plan we specifically used
the Napier District Plan and the Ahuriri Estuary and Coastal
Edge Masterplan, both produced by Napier City Council.
NOISE LIAISON COMMITTEE
• Regular meetings are held between residents living close
to Napier Port and port management to discuss how we
can help to minimise the impacts of our operations on
our neighbours.
REGIONAL TRANSPORT COMMITTEE
• We’re also involved with the Regional Transport
Committee, which includes the NZ Transport Agency.
It was set up to prepare and implement a regional land
transport plan. The plan sets out policies and objectives
for the region’s transport system and contains a
programme of roading, public transport, walking,
cycling and road safety activities.
34
°
BUILDING FUTURE CONNECTIONS
°
SECTION TWO
DEVELOPING SUSTAINABLY
There is a growing awareness amongst our
stakeholders of the importance of ensuring we
grow sustainably.
While we’re delivering for our customers and
the economy, we’re focused on ensuring that
we consider the impact on the planet, our people
and our community.
Over the years, we’ve worked hard to improve our
environmental, social and economic performance.
But we also know that we can do more to
integrate and embed sustainability into our
decision-making and daily operations.
At the end of 2018, we started work on
our Sustainability Framework. It focuses
on four interconnected themes: people/
manaakitanga, planet/kaitiakitanga, prosperity/
o ̄ hanga ora and partnerships/rangapu ̄ .
The next step is to develop a detailed
Sustainability Strategy. Using this framework,
we will consult with our stakeholders to develop
specific goals, targets and actions to report on.
Our work is being guided by the United Nations
Sustainable Development Goals, which are globally
recognised and provide a blueprint to build a better
and more sustainable future for all.
INVOLVING OUR STAKEHOLDERS,
AN ONGOING OPPORTUNITY
Involving our stakeholders in the Master Plan process
was the first step for Napier Port.
We were happy with the response and have learned
that there are more opportunities to reach out and build
a stronger understanding of our stakeholders’ views.
Awareness and support for our operations is vital for
sustainable growth and we are committed to proactively
and openly engaging as we pursue new developments
and opportunities.
PEOPLE
Manaakitanga
We are focused on the
safety, well-being/hauora and
development of our people
and our community.
PLANET
Kaitiakitanga
We are focused on
protecting/tiaki and enhancing
the environment/taiao
in which we operate.
PROSPERITY
O
-
hanga ora
We are focused on sustainable
business growth and supporting
the prosperity of our region.
PARTNERSHIPS
Rangapu
-
We are focused on authentic
partnerships with our community,
stakeholders and mana
whenua hapu ̄.
SECTION TWO
°
BUILDING FUTURE CONNECTIONS
°
35
PLANNING FOR GROWTH
Over the last 10 years we have seen a general positive gain in tonnage and a stable trade
pattern in the primary sector supported by strong trade growth with China in particular.
The future trade scenarios that have informed this plan show growth is expected to continue.
TRADE OUTLOOK
As well as consultation, a number of different future trade scenarios based on
different growth estimates and projections were used to determine the infrastructure
we may need over the next 30 years.
The development options outlined in this Master Plan provide us with flexibility to adapt to the
different growth scenarios. We will only pursue the different development options as required
in response to actual trade volumes.
Full Empty
Logs Other
CONTAINER VOLUMES
FY2009 TO FY2020F, 000 TEUS
BULK CARGO VOLUMES
FY2009 TO FY2020F, 000 TONNES
Note: Full container includes DLRs; Increase in FY2017 container volumes partially due to the impact of the Kaikoura earthquake on CentrePort Wellington.
FY2009FY2010FY2011FY2012FY2013FY2014FY2015FY2016FY2017FY2020F*FY2019FY2018
272
271
266
167
181
188
204
206
220
256
257
288
300
200
100
250
150
50
0
FY2009FY2010FY2011FY2012FY2013FY2014FY2015FY2016FY2017FY2020F*FY2019FY2018
3,317
3,404
3,071
1,6 96
2,072
2,240
2,156
2,370
2,445
2,185
2,025
2,506
3,500
2,500
1,500
500
3,000
2,000
1,000
0
* Source: Napier Port Holdings Limited Product Disclosure Statement dated 15 July 2019.
36
°
BUILDING FUTURE CONNECTIONS
°
SECTION TWO
SECTION TWO
°
BUILDING FUTURE CONNECTIONS
°
37
CONTAINER SHIPS
The trend for larger container
vessel sizes to visit Napier Port
looks set to continue as trade
volumes increase.
The largest container vessel
currently calling at Napier Port
has a maximum capacity of
5,762 TEUs. Based on growth
indicators and shipping industry
trends, ships of between 8,000
TEUs to 12,000 TEUs could be
expected here on some service
routes within the next 30 years,
with a beam (width) of up to
48 metres and a length of up to
335 metres. The exact timing is
difficult to predict but we could
be looking as early as within the
next 10 years for at least 8,000
TEU vessels to start visiting.
0
1,0002,0003,0004,0005,0006,0007,0008,0009,000
2019
2024
2029
2034
2039
2044
2048
YEAR
AVERAGE TEU SIZE
FUTURE VESSELS:
SHIPS KEEP GETTING BIGGER
Vessel sizes, in particular container ships, are getting bigger to service the worldwide increase in container trade and the
consolidation of freight networks by shipping lines to achieve economies of scale. As vessels on the major East–West
container shipping routes are replaced by new and larger vessels, existing larger tonnage vessels are cascaded down into
smaller trade lanes like New Zealand.
AVERAGE SIZE OF CONTAINER SHIPS
VISITING NAPIER PORT
38
°
BUILDING FUTURE CONNECTIONS
°
SECTION TWO
FUTURE SHIP CALLS: MORE SHIPS TOO
Based on future trade scenarios, the number of vessel calls
to Napier Port per year is also expected to increase, largely
off the back of the growing log volumes and tourism.
To some extent the growth in container volumes is
expected to be served in the first instance by increased
ship sizes, which can accommodate more cargo.
OVATION
OF THE SEAS
348m
long cruise ship
More than
passengers
4,000
crew
1,300
CRUISE SHIPS
Cruise ships are also growing in size
6
. Napier Port is able to service the largest size ships that are currently visiting
New Zealand’s shores. In January 2017, we welcomed the Ovation of the Seas.
6
Source: Company information. (1) Sourced from Stats NZ. (2) Includes
passengers and crew
In the next 30 years we expect to welcome the Oasis Class,
which are cruise ships that are around 360 metres long,
51 metres wide and 9.8 metres deep.
Other vessels carrying logs, fertiliser, tallow and oil are also
increasing in size though not as significantly.
SECTION TWO
°
BUILDING FUTURE CONNECTIONS
°
39
SECTION THREE
THE 30 YEAR PLAN
40
°
BUILDING FUTURE CONNECTIONS
°
SECTION THREE
SECTION THREE
THE 30 YEAR PLAN
SECTION THREE
°
BUILDING FUTURE CONNECTIONS
°
41
A SNAPSHOT OF OPTIONS
DEVELOPMENT OF PORT INFRASTRUCTURE TO FACILITATE FUTURE GROWTH
We have already made a number of critical investments to support growth. However, over the next 30 years there are options
we will need to explore to support sustainable growth. The timing and actions are dependent on actual trade volumes and
developed in consultation with relevant stakeholders.
LOG, PULP AND FERTILISER FACILITIES
• As log volumes grow we need to increase the amount of on-port storage and
reduce the time logs stay on-port.
• The port will continue to work with industry and our tenants on the
legislative controls around the use of methyl bromide.
• Continue to work with customers to improve controls around handling of logs
and fertiliser to reduce impacts on the environment.
• Increase on-port pulp storage facilities to suit the largest truck sizes visiting the port.
• Create more paved and covered areas for equipment maintenance
and repair to enhance working conditions and environmental management.
• Under a high-growth trade scenario for log volumes, explore options
to remove on-port storage sheds and expand the log storage footprint.
CONTAINER TERMINAL
• We will need more space to store full
containers as volumes grow.
• Continue the staged relocation of empty depot container
services to the Thames Street Empty Container Depot to free
up space on port for stacking full containers as we grow.
• Progressively look to develop our land parcel in Whakatu
to support exporters and importers in the surrounding area.
• Start the phased expansion of the container yard
behind 6 Wharf as required in response to
trade volumes.
• Add extra entrance gates to the container terminal.
• Napier Port uses mobile harbour cranes, which
provide flexibility and seismic resilience (as they
can be moved). However, at some point in the
future the port may need to explore gantry cranes
as volumes grow.
• Increase the power supply network in
line with the future growth of the container
terminal.
SHIPPING CHANNELS
• We have resource consent
to undertake dredging in
stages as required to a
depth of up to 14.5 metres.
We will only deepen as
required in response to
visiting ship sizes.
1 WHARF
42
°
BUILDING FUTURE CONNECTIONS
°
SECTION THREE
6 WHARF
• Build 6 Wharf and
undertake associated
stage one dredging by
2022 to reduce congestion,
reduce secondary ship movements,
welcome more and bigger ships and
provide us with better access to 4 Wharf.
• Invest in new mobile harbour cranes to service
wider-beam container vessels, and ensure we
can accommodate gantry cranes if required in
the longer-term.
• Investigate options for a dedicated cruise terminal
facility long term (beyond 10 years).
• 6 Wharf provides more flexibility to establish dedicated
berths aligned to specific cargo types to reduce double-
handling and cargo transfers around the port.
EASTERN ENTRANCE
• As volumes grow add an additional
lane to the eastern entrance to prevent
congestion and reduce truck waiting
times during busy periods.
• Explore options to reconfigure rail
sidings to enhance efficiency and safety.
COASTAL
STABILISATION
• Longer-term, undertake
coastal stabilisation to
enhance the coastal
interface along the eastern
boundary beach area
and increase the port’s
resilience against high
storms and climate change.
DEDICATED SERVICE
CRAFT BERTHING AREA
• Consider options for the
establishment of a dedicated
service craft berthing area
for vessels, such as tugs and
pilot boats.
3 WHARF
• Longer-term (10 years or beyond)
improve the functionality of
3 Wharf by realigning it so it
can handle heavy machinery,
accommodate larger vessels
and enhance vessel navigation.
This realignment will only take
place as required in response
to trade volumes.
RAIL TERMINAL
• Develop an on-port
rail terminal to further
accommodate a shift
towards more cargo
being transported
on rail.
2 WHARF
3 WHARF
4 WHARF
5 WHARF
WESTERN ENTRANCE
• The port needs to maintain its focus
on initiatives that will help reduce noise,
road traffic, visual impacts and emissions
as volumes grow.
• Upgrade the western junction to further
accommodate a shift towards more rail,
including considering reconfiguring the
entrance and exit gates.
SECTION THREE
°
BUILDING FUTURE CONNECTIONS
°
43
OPTIMISE,
GROW CAPACITY,
PARTNER AND
PRESERVE
Over the next 30 years we will need to
explore a number of options to address
growth sustainably.
The timing of the actions are dependent on
actual trade volumes and will be developed
in consultation with our customers and
relevant stakeholders.
These options set out a pathway to guide
our decision-making and inform discussion.
We’re committed to communicating our
plans and taking others with us as we go.
We know we need 6 Wharf, our inland freight
hubs and a new tug to support growth; but
whether, and when, we pursue the remaining
options will depend on actual trade volumes.
Whatever options we do pursue will be pursued
in line with our sustainability strategy and four
objectives in mind:
6 WHARF
The Master Plan process has confirmed that our
plans to build a new wharf (6 Wharf) by the end
of 2022 are absolutely critical to support future
growth. 6 Wharf puts Napier Port in a good position
to address operational constraints and handle
growing trade volumes.
We have all the necessary resource consents to
build the wharf and undertake associated dredging
and plan to start work at the end of 2019, with
completion planned in 2022.
See page 21 for more information on 6 Wharf.
INLAND SITES SUPPORTING
PORT CAPACITY
Our freight hub in Thames Street, inland port at
Manawatu and the 12.3 hectares of port-owned
land in Whakatu provide the necessary flexibility
to facilitate future growth.
All are well connected to road and rail, and can be
further developed as inland terminals with off-site
cargo storage facilities and other logistics services.
They offer a sustainable solution to meet the needs
of growing freight volumes by freeing up space
on-port for customer solutions that require direct
access to berths and other on-port infrastructure.
For more information on our freight hubs
and intermodal terminal see page 22.
GROW CAPACITY
Even with more efficient operations and land use,
additional port capacity is needed over the next
30 years to service growing trade volumes.
PARTNER
Work with key stakeholders to achieve our objectives.
PRESERVE
Ensure we protect and improve our environment
as we grow.
OPTIMISE
Maximise productivity with the existing land
and infrastructure we have.
PLANS ALREADY UNDERWAY
44
°
BUILDING FUTURE CONNECTIONS
°
SECTION THREE
Napier Port’s on-port land and infrastructure
is in demand and finite. To ensure we
operate sustainably, both financially and
environmentally, we need to continue making
the most of what we have, optimising the use
of our existing infrastructure and resources.
Our options over the next 30 years
• The completion of 6 Wharf will help
us to proactively manage commercial
berth allocations to minimise the
movement of cargo around the port and
allow us to proactively manage the cruise
berth allocations to minimise impacts on
other trade.
• Reconfigure the container yard to allow
it to function more effectively with 6 Wharf.
This includes optimising the stacking of
refrigerated containers and enhancing the
power supply.
• Prioritise the allocation of on-port land for
uses that require a direct connection to
berths for importing and exporting trade by
exploring potential options within the port
boundary.
• Staged relocation of empty depot
container services to Thames Street empty
container depot to free up space on-port
for container stacking.
• Facilitate local expansion of on-port
product storage for cement, bitumen
and specialist liquid bulk products.
• Support the growth of the Port Pack
service offering on-port and longer term
(beyond 10 years).
• Expand the log stacking area behind berth
number 4 to better match the average
parcel size characteristics of export logs.
• Optimise port equipment and operational
zones to improve operational efficiency
and land use productivity. This includes
weighbridge locations and wash
bay facilities.
• Investigate options to shift non-seasonal
trade to quieter seasons to free-up space
on-port during the busy season.
• Continue to work with the NZ Transport
Agency and customers to trial future
transport options and/or larger vehicles,
such as B Double trucks, to mitigate
against future increases in road vehicle
movements.
• Look to improve the effectiveness of rail
infrastructure on the port and work with
customers to grow the share of cargo that
is transferred to the port by rail.
• Improve the intensity of log stacking
across the port footprint.
• Consolidate container maintenance and
repair to free up port land for cargo users.
• Enhance biosecurity controls at the port
as cargo and tourism increases.
• Longer term, undertake coastal
stabilisation to beach areas to improve
available land footprint.
• Add extra entrance gates to the container
terminal and consider reconfiguration
of the entrance and exit gates.
OPTIMISE
Maximise productivity with the existing land and infrastructure.
SECTION THREE
°
BUILDING FUTURE CONNECTIONS
°
45
Our options over the next 30 years
• Build 6 Wharf by 2022 to reduce
congestion and welcome more and bigger
ships as well as provide us with better
access to 4 Wharf.
• Invest in new mobile harbour cranes to
service the wider-beam container vessels
and maintain the option to install new
gantry cranes on 6 Wharf. Explore options
to invest in new container yard handling
and stacking equipment.
• Improve the functionality of 3 Wharf
to provide more storage room for logs,
enhance navigation and accomodate
larger vessels and volumes in response
to trade volumes.
• Progressively look to develop our land
parcel in Whakatu to support exporters
and importers in the surrounding area.
• Investigate options for a dedicated cruise
terminal facility in longer term (beyond 10
years) allowing passengers to walk to the
city and improving passenger experience.
• Consider options for the establishment
of a dedicated service craft berthing area.
• Start the phased expansion of the
container yard behind 6 Wharf in future
in response to actual trade volumes.
• Develop an on-port rail terminal and
upgrade the western junction further to
accommodate a shift towards more cargo
being transported on rail.
• Add an additional lane to the eastern
entrance to remove congestion and reduce
truck waiting times during busy periods.
• Under a high log growth scenario, explore
options to remove on-port storage sheds
and expand the log storage footprint.
GROW CAPACITY
Even with improved productivity and use of existing land, new infrastructure will be
required over the next 30 years to efficiently service growing trade volumes and
facilitate growth for our customers and region.
46
°
BUILDING FUTURE CONNECTIONS
°
SECTION THREE
PARTNER AND PRESERVE
We recognise that we cannot achieve the objectives in this plan without working
in partnership with our many stakeholders in a coordinated way. We also recognise
the need to ensure we protect our environment.
Napier Port will not achieve optimum
capacity if road and rail connections to and
from our facilities are limited. Communicating
with NZTA, KiwiRail and other government
agencies is vital.
We will also continue to communicate openly
with port customers and users, government
agencies, the industry and the community,
and recognise that strong governance and
communication is crucial in the management
and delivery of sustainable solutions that
protect shared interests.
Our options over the next 30 years
• As truck volumes increase, we will
advocate and work closely with NZTA and
our customers to promote the increased
number of TEU transported per truck,
such as B-Double trucks.
• Explore options for further visual and noise
impact mitigation features at the interfaces
of the port and the community.
• Work with NZTA and other partners
to secure timely delivery of road and
intersection upgrades near our port and
depots to meet growing freight demands.
• Continue to work with the pipfruit industry
to unlock capacity constraints in their
supply chain using port land assets and
operational systems.
• Work with KiwiRail to improve the
freight rail system to facilitate a reliable
and cost-effective mode of transport.
We will also support opportunities to
increase the amount of freight in one visit,
such as double-stacking trains. Provide
the infrastructure to support the use
of rail which is more energy efficient
than road and helps to reduce noise
and air emissions.
• Explore opportunities to develop
(common) multi-user facilities or services
on or off-port as a means of addressing
future trade growth and supply chain
efficiency challenges.
• The Port will continue to work with the
Napier City Council and the New Zealand
Transport Authority to advocate for
ensuring land use surrounding the main
highway corridors remains compatible.
• Continue to consult and communicate
transparently with our customers to
understand changing needs. We will
do this through regular meetings and
engaging on issues of importance as well
as the public consultation process around
our Master Plan, which will take place
every five years.
• We will also engage with our community
and other stakeholders around operation
and construction activities, initiatives
and interventions we are taking to
manage against adverse effects, such
as noise, trucking movements,
and new development options that
may impact them.
• We will ensure we use our channels
to receive and respond to feedback on
operational impacts and opportunities are
provided to have input into development
and planning processes, including the
Master Plan process.
• 6 Wharf will ensure we have the
infrastructure in place to receive larger
vessels, which are more environmentally
friendly than multiple smaller ships.
• Implement improved surface water
run-off system controls as part of new
port development to reduce impacts on
the marine environment.
• Continue to enhance and follow best
practice environmental practices as
identified in our Sustainability Framework
and strategy.
See our Sustainability Framework: ‘Building a Sustainable Future’ for more information on our
strategy to improve environmental and social outcomes and embed care for people, planet,
partnerships and place into our everyday operations and long-term planning.
SECTION THREE
°
BUILDING FUTURE CONNECTIONS
°
47
48
°
BUILDING FUTURE CONNECTIONS
°
SECTION THREE
FEEDBACK
Napier Port’s Master Plan provides a blueprint to guide our infrastructure investment over
the next 30 years and support sustainable growth of our port, customers and the regional
economy. We will finalise the plan early next year and update it as a business every year,
consulting with our community every five years. To provide feedback on this preliminary draft
or discuss our plans at any time, email masterplan@napierport.co.nz or call our infrastructure
team on 06 833 4387.
SECTION THREE
°
BUILDING FUTURE CONNECTIONS
°
49
napierport.co.nz Napier Port Napier Port @napierport
---
SUSTAINABILITY FRAMEWORK
He
-
Ritenga Whakauka
BUILDING A
SUSTAINABLE
FUTURE
POIPOIA TE KA
̄
KANO KIA PUA
̄
WAI.
Nurture the seed and it will grow.
DOCUMENT
ENVIRONMENTAL
CREDENTIALS
The paper stock used is Forest Stewardship Council
®
(FSC
®
) certified stock from responsible sources, using
elemental chlorine-free (ECF) production processes.
It is produced under the strict ISO14001 and EU
EMAS environmental management systems, and carries
the internationally recognised EU Flower eco label.
CONTENTS
02
MESSAGE
FROM THE
CHAIRMAN
04
MESSAGE
FROM THE
CHIEF
EXECUTIVE
06
ABOUT
NAPIER PORT
10
DEVELOPING OUR
SUSTAINABILITY
FRAMEWORK AND
STRATEGY
14
STRATEGY
DEVELOPMENT
19
SUSTAINABILITY
AT NAPIER PORT
TO DAY
25
FEEDBACK
NAPIER PORT SUSTAINABILITY FRAMEWORK
°
1
POIPOIA TE KA
̄
KANO KIA PUA
̄
WAI
NURTURE THE SEED AND IT WILL GROW.
Te
-
na
-
ākoutou,
Napier Port’s core purpose is to build
a thriving region by connecting our
customers, people and community
to the world – not just economically,
but environmentally and socially too.
Developing this Sustainability
Framework has involved reviewing
our existing programmes, strategies
and policies, as well as speaking
with stakeholders, to identify the
sustainability issues that we are
in the best position to influence
and improve.
It is heartening to see that we are
already doing a lot to build a more
resilient business, a healthier region
and to make progress against global
sustainability challenges.
However, we also know we can
and must do more.
This framework provides a blueprint
for how Napier Port plans to build
sustainable growth and where we are
likely to focus our efforts in the future
(see page 12). We are in a good
position to make progress at a local
level on important international issues
such as equality, climate change,
biodiversity, biosecurity, water
management and economic growth.
Now we need to work with our
stakeholders, and port teams,
to develop a comprehensive
Sustainability Strategy with targets,
actions and reporting mechanisms
to ensure success.
As a Board, we wholeheartedly
support this framework and
Napier Port’s sustainability journey.
We look forward to forging a strong
and sustainable future together.
Nga ̄ mihi,
MESSAGE
FROM THE
CHAIRMAN
ALASDAIR MACLEOD
CHAIRMAN
2
°
BUILDING A SUSTAINABLE FUTURE
NAPIER PORT SUSTAINABILITY FRAMEWORK
°
3
WE ARE FOCUSED ON
WHAT WE CAN ACHIEVE
LOCALLY TO RESPOND
TO GLOBAL CHALLENGES.
4
°
BUILDING A SUSTAINABLE FUTURE
Te
-
na
-
ākoutou,
Napier Port is proud to connect
our region with the people and
markets of the world.
We support Hawke's Bay's
$8.1 billion
1
economy by providing
a key gateway to global markets for
the region's exporters and importers.
Napier Port has strong social,
cultural and environmental values and
recognises the importance of leaving a
positive legacy for future generations.
MESSAGE
FROM THE
CHIEF
EXECUTIVE
WE’RE BUILDING
A SUSTAINABLE FUTURE
At the end of 2018, we started work on this sustainability
framework. It focuses on four interconnected themes: people/
manaakitanga, planet/kaitiakitanga, prosperity/o
-
hanga ora and
partnerships/rangapu
-
.
The next step is to develop a detailed Sustainability Strategy.
Using this framework, we will consult with our stakeholders
to develop specific goals, targets and actions to pursue and
report on.
Our work is being guided by the United Nations Sustainable
Development Goals, which are globally recognised and
provide a blueprint to build a better and more sustainable
future for all.
We are focused on what we can achieve locally to respond
to global challenges like climate change, environmental
impacts and prosperity.
The final strategy will be made public in the second half of
2020. In coming years, we will publicly report on progress,
our successes and our shortfalls.
It is our long-term goal to work towards Global Reporting
Initiative (GRI) reporting, which is the global best practice
for reporting on economic, environmental and social impacts.
In the interim we will use the GRI framework, demonstrating
our commitment to full transparency.
We welcome your involvement in our sustainability
journey. To share your thoughts, email sustainability@
napierport.co.nz or call our team on 06 833 4387.
Nga
-
mihi nui.
TODD DAWSON
CHIEF EXECUTIVE
1
New Zealand's regional economies 2018 | Stats NZ. (2019).
Retrieved 6 August 2019, from https://www.stats.govt.nz/
infographics/new-zealands-regional-economies-2018
NAPIER PORT SUSTAINABILITY FRAMEWORK
°
5
TO EUROPE
& WEST AFRICA
TO EAST
COAST OF
SOUTH
AMERICA
TO CENTRAL
AMERICA
TO WEST
COAST
OF NORTH
AMERICA
TO WEST
COAST
OF SOUTH
AMERICA
TO SOUTH EAST ASIA,
INDIA & EAST AFRICA/
MIDDLE EAST
NEW ZEALAND
HONG KONG
SINGAPORE
PHILADELPHIA
MANZANILLO
NAPIER
OUR PURPOSE:
TOGETHER, WE BUILD A THRIVING REGION
BY CONNECTING YOU TO THE WORLD.
Napier Port has been connecting Hawke’s Bay and its
surrounding regions with the people and markets of
the world for nearly 150 years.
We support Hawke’s Bay’s $8.1 billion economy
2
, directly
employ over 280 people and are indirectly associated with
thousands more full and part-time jobs in the region.
We plan, operate and maintain port land and shipping
channels, and ensure we have the cargo handling capacity,
facilities and infrastructure required to get our customers’
cargo to market quickly and in top condition.
Located in Napier City, amongst a growing community,
Napier Port is on the main transit route for international
shipping services, is connected to core national road and rail
networks, and operates 24 hours a day, 364 days a year.
While our strategic location and cargo handling capacity
make us a key connection in central New Zealand’s supply
chain, it’s our service that is the foundation to our success.
We take pride in delivering more than expected for
our customers and their cargo, building collaborative
relationships, supporting the local community and providing
safe and secure access to our services.
Our future is one forged side-be-side with our customers
and our community. Collectively, we can drive growth
and success that benefits our region, our people
and our environment.
ABOUT
NAPIER PORT
2
New Zealand's regional economies 2018 | Stats NZ. (2019). Retrieved 6 August 2019,
from https://www.stats.govt.nz/infographics/new-zealands-regional-economies-2018.
VOLUME THROUGH NAPIER PORT BY TRANSPORT MODE
2,500,000
2,000,000
1,500,000
1,000,000
500,000
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
TONNES
Bulk
exports
Bulk
imports
Containerised
exports
Containerised
imports
OUR TRADE
Increasing trade destined for, or originating from,
Hawke's Bay and its surrounding regions in the last
ten years has lifted cargo volumes through the port.
21
%
IMPORTS
79
%
EXPORTS
EXPORT /
IMPORT SPLIT
FY2018,
BY WEIGHT
VOLUME THROUGH NAPIER PORT BY CARGO TYPE
3,500,000
3,000,000
2,500,000
2,000,000
1,500,000
1,000,000
500,000
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
TONNES
Agriculture,
food &
beverages
Forestry
& logging
Other
industries
6
°
BUILDING A SUSTAINABLE FUTURE
TO EUROPE
& WEST AFRICA
TO EAST
COAST OF
SOUTH
AMERICA
TO CENTRAL
AMERICA
TO WEST
COAST
OF NORTH
AMERICA
TO WEST
COAST
OF SOUTH
AMERICA
TO SOUTH EAST ASIA,
INDIA & EAST AFRICA/
MIDDLE EAST
NEW ZEALAND
HONG KONG
SINGAPORE
PHILADELPHIA
MANZANILLO
NAPIER
NAPIER PORT HANDLED
5M
+
OUR CONNECTIONS
260,000
+
TEUS OF DRY AND REFRIGERATED
CONTAINERISED CARGO
115,000
+
PASSENGERS IN THE
2018/19 CRUISE SEASON
40
+
TRAINS TO
THE PORT
EACH WEEK
13
MINUTE TRUCK
TURNAROUND TIME
IN 2018 FINANCIAL
YEAR
680
+
SHIP VISITS IN 2018
FINANCIAL YEAR
DIFFERENT IMPORTS
AND EXPORTS
30
+
COMMERCIAL
SHIPPING LINES
10
TONNES OF
CARGO IN 2018
FINANCIAL YEAR
70
CRUISE SHIPS
IN THE 2018/19 CRUISE
SEASON
NAPIER PORT SUSTAINABILITY FRAMEWORK
°
7
OUR PORT, HUBS AND INFRASTRUCTURE
• Around 50 hectares of on-site port land
• Five existing wharves providing six commercial berths
and a new wharf planned for 2022
• Six mobile harbour cranes
• Two tugs and a third to be operational by the end of 2019
• Fleet of 35 heavy container handling machines
• Over 280 staff
• 1000+ connection points for refrigerated cargo
as at 31 March 2019
• 36,607 square metres of warehousing
• Around 16 hectares of container terminal space
• Receiving and delivery 6 days a week
• 10 hectares of dedicated log storage,
working 24/7
• Container terminal at Thames Street with
11.6 hectares of empty container storage
• Inland port in Manawatu with a 1.9
hectare container yard and a warehousing
facility with road and rail connections
to Napier Port
• 12.3 hectares of land in Whakatu ready
for future development.
Napier
Hastings
Wairoa
Gisborne
Taupo
Wellington
Palmerston
North
Whanganui
New Plymouth
Ohakune
5
2
2
2
1
1
1
1
3
3
2
THAMES ST
CONTAINER DEPOT
RAIL CONNECTIONS
MANAWATU
INLAND PORT
8
°
BUILDING A SUSTAINABLE FUTURE
2 WHARF
3 WHARF
4 WHARF
5 WHARF
1 WHARF
COLLABORATE TO LOOK AFTER PEOPLE,
PLANET AND PLACE TO ENSURE OUR
BUSINESS AND COMMUNITY THRIVES
Napier
Hastings
Wairoa
Gisborne
Taupo
Wellington
Palmerston
North
Whanganui
New Plymouth
Ohakune
5
2
2
2
1
1
1
1
3
3
2
OUR GOALS
CREATE VALUE BY GAINING RICH
INSIGHTS THROUGH DEEPER CUSTOMER
RELATIONSHIPS
SUPPORT AN EVOLVING SUPPLY
CHAIN WITH A RESILIENT AND AGILE
INFRASTRUCTURE NETWORK
EVERY MEMBER OF OUR TEAM STRIVES
TO IMPROVE CUSTOMER OUTCOMES
LEVERAGE INTELLIGENT
DATA TO CREATE NEW VALUE
OUR SUCCESS IS FOUNDED ON
A CULTURE OF CARE FOR OUR
CUSTOMERS, OUR COMMUNITY
AND EACH OTHER
OUR FOUNDATION
OUR FOCUS
Five high-level strategic goals support our focus areas
and guide strategic decisions and investment.
At the heart of Napier Port's strategy are four key
focus areas that guide our business.
NAPIER PORT SUSTAINABILITY FRAMEWORK
°
9
NOVEMBER 2018 – MAY 2019
DEVELOPING OUR
SUSTAINABILITY
FRAMEWORK
AND STRATEGY
Managing a port like Napier brings enormous responsibility to our customers, community,
partners in regional growth and the environment.
Over the years, we’ve worked hard to improve our environmental, social and economic
performance. But we know that we can do more to embed sustainability into our
decision-making and daily operations.
At the end of 2018, we started developing our sustainability framework and strategy,
adopting a robust five-stage process.
While we’re delivering for our customers and the economy, we’re focused
on considering our impact on the planet, our people and our community.
JUNE 2019 – SECOND HALF OF 2020
SUSTAINABILITY STRATEGY DEVELOPMENT PROCESS
PHASE ONEPHASE TWO
GAP ANALYSIS
Understanding our
current policies,
strategies, and
identifying gaps and
opportunities for
the future.
MATERIALITY
ASSESSMENT
Engaging with
internal and external
stakeholders
to identify key
sustainability
issues.
SUSTAINABILITY
FRAMEWORK
Using stakeholder
feedback to
determine a
framework with
which we can build
a sustainability
strategy.
STRATEGY
DEVELOPMENT
Building a robust
and comprehensive
sustainability
strategy, including
targets and actions.
REPORTING
Establishing
a robust and
transparent process
for reporting on our
sustainability goals.
COMPLETE
10
°
BUILDING A SUSTAINABLE FUTURE
PHASE ONE:
GAP ANALYSIS
A gap analysis highlighted a number of existing programmes,
strategies and policies across our business that will help
ensure a sustainable future. It also highlighted areas where
we have an opportunity to improve.
See page 19 for examples of our recent sustainability
achievements.
MATERIALITY ASSESSMENT
Our materiality assessment used the following information to
determine our framework and the most important issues for
us to focus on:
• Analysis of a survey on our master plan, which drew
around 100 responses from our community in late 2018
• Feedback from the key stakeholders we consulted with
before applying for resource consents to build a new wharf
(6 Wharf) and undertake further dredging
• An internal survey on sustainability involving our teams
from across the business, which drew 114 responses
• The experience of previous sustainability surveys
conducted throughout the port industry.
Feedback from our stakeholders helped to identify
the following issues as material topics for our
sustainability strategy:
• Employee wellbeing
• Positive organisational culture and leadership
• Managing the impacts of our port on the community
• The safety and security of the port and the people who
work here
• Biosecurity
• Biodiversity, habitat protection and enhancement –
fisheries, flora and fauna
• Water management (water quality and
stormwater management)
• Supporting Hawke’s Bay’s economy
• Protecting port access and supply chains
• Technology and innovation
• Port efficiency (shipping channels and land use allocations)
• Industry, community and partnerships with mana whenua
• Port communication
• Port education (helping the community understand more
about the port and operations)
• Government relationships.
NAPIER PORT SUSTAINABILITY FRAMEWORK
°
11
PEOPLE
MANAAKITANGA
Our role in facilitating trade and generating employment
is at the heart of delivering for our people and community;
and doing it safely will always be a priority.
It’s also about ensuring we encourage good health and
well-being amongst our teams, support access to quality
education, and promote gender equality and diversity
across our business. Napier Port’s ‘culture of care’ is our
foundation; a resilient and agile culture that encourages
care for our people, our community and our environment.
Exact actions will be detailed in our sustainability
strategy, but our future focus may include:
• Continuing to ensure the safety and wellbeing/hauora
of our teams, and expand our culture of care to our
tenants, contractors, and community.
• Progressing anti-bullying initiatives and
searching for further opportunities
to reduce social issues.
• Reviewing our sponsorship
programme and its
alignment to the Sustainable
Development Goals (SDGs).
• Partnering with educational
institutions on opportunities
aligned to SDG targets and
sustainability education.
• Growing our knowledge
and understanding of te reo
and te ao Ma ̄ ori.
• Expanding our summer intern
programme, targeting areas directly
related to our SDG targets.
SUSTAINABILITY
FRAMEWORK
The key issues identified through our gap analysis and materiality
assessment helped to shape a framework that we are using to
build our sustainability strategy. Our framework focuses on four
interconnected themes:
PARTNERSHIPS
Rangapu
-
We are focused on authentic
partnerships with our community,
stakeholders and mana
whenua hapu ̄.
PEOPLE
Manaakitanga
We are focused on the
safety, well-being/hauora and
development of our people
and our community.
PLANET
Kaitiakitanga
We are focused on
protecting/tiaki and enhancing
the environment/taiao
in which we operate.
PROSPERITY
O
-
hanga ora
We are focused on sustainable
business growth and supporting
the prosperity of our region.
12
°
BUILDING A SUSTAINABLE FUTURE
PLANET
KAITIAKITANGA
We rely on our world’s oceans. So it makes sense that
we contribute to clean and accessible water, manage
stormwater responsibly, and protect life above and below
the water.
With a large infrastructure network that operates 24/7,
we also have a role to play in conserving energy, prioritising
clean energy, and minimising waste.
Our future focus could include:
• Minimising our carbon footprint in line with
government targets and setting our own targets
and direction, such as:
- Exploring the use of alternative fuels like
hydrogen, biofuels and electricity.
- Considering investment in heavy equipment
(trucks, forklifts, cranes and marine plant)
powered by clean energy.
- Setting clear policies for offsetting unavoidable
carbon emissions.
- Working with key stakeholders to develop
strategies for expanding rail transport.
- Reviewing existing energy reduction targets
and how we'll achieve these.
• Expanding and sharing our knowledge and data on the
marine environment and taking a collaborative approach
to nurturing the health of our moana.
• Continuing to protect our local wildlife and sharing
learnings with our community about wildlife habitats
on our port.
• Considering the sustainability credentials of our suppliers,
tenants, contractors and customers.
• Developing policies that see relevant SDGs integrated
into future port developments.
• Ensuring end of life disposal is considered in the design
phase of projects and develop programmes that minimise
our waste.
PARTNERSHIPS
RANGAPU
-
We recognise our customers, community, stakeholders,
port users, government, investors and mana whenua
are central to our success.
Our future focus could include:
• Opportunities to partner with local authorities, customers,
mana whenua hapu ̄ , iwi, community groups and other
stakeholders related to the SDGs.
• Engaging local utility suppliers to ensure adequate
infrastructure for future developments.
• Working with customers, contractors and suppliers
to improve the sustainability of their supply chains
and to find solutions to their challenges.
PROSPERITY
O
-
HANGA ORA
We must continue to invest in infrastructure and technology
that supports economic growth, while recognising the need
to make the most of the assets we already have.
We play an active role in improving our community and
facilitating industry participation through partnerships,
grants and sponsorships; and robust governance to build
an effective and accountable port is vital.
Our future focus could include:
• Driving efficient operations by rationalising land use and
investing in strategic and sustainable infrastructure.
• Work/mahi with local, regional and national authorities
to protect access to the port and supply chains critical
for the efficient movement of cargo.
• Opportunities to partner with local authorities, commercial
partners and other stakeholders to realise the economic
potential of our community, and to provide fulfilling
employment.
• Developing plans to encourage tenants and port users
to adopt and make progress on sustainability practices.
• Working to ensure pay equity in our organisation and
prevent unconscious bias in recruitment.
NAPIER PORT SUSTAINABILITY FRAMEWORK
°
13
PHASE TWO:
STRATEGY
DEVELOPMENT
14
°
BUILDING A SUSTAINABLE FUTURE
DEVELOPING OUR SUSTAINABILITY STRATEGY
We're currently developing a comprehensive sustainability strategy, which builds on
this framework and is aligned to the United Nations Sustainable Development Goals.
We are focused on what we can achieve locally to respond to global challenges like climate
change, environmental issues and prosperity to achieve a better and more sustainable
future for all.
THE SDGS INVOLVE
US ALL TO BUILD A MORE
SUSTAINABLE, SAFER,
MORE PROSPEROUS
PLANET FOR ALL
HUMANITY
- UNITED NATIONS
ABOUT THE UNITED NATIONS SUSTAINABLE DEVELOPMENT GOALS
At the United Nations summit meeting in September 2015, world leaders adopted
17 global goals (and 169 targets) as a set of universal goals that aim to address the
urgent environmental, political and economic challenges facing our world.
These are known as the United Nations Sustainable Development Goals (SDGs).
More information on the SDGs can be found here: www.globalgoals.org
NAPIER PORT SUSTAINABILITY FRAMEWORK
°
15
NEXT STEPS
Using our sustainability framework and consulting with our teams and other stakeholders, our next step is to confirm the
SDGs and underlying targets that we will contribute to and measure ourselves against. There are 169 targets associated
with the 17 SDGs. We will consider each SDG and the interrelationship of each, as well as look at our current practices,
policies and programmes and future opportunities. Importantly, our final strategy will focus on the SDGs deemed to be
most relevant to our people, our environment, our future prosperity and our stakeholders.
Based on our work to date, we believe we are most closely aligned and best placed to take direct action on the following
14 SDGs. These 14 goals are also consistent with other ports that face similar sustainability challenges and opportunities.
United Nations Sustainable Development Goal
Ensure healthy lives and promote well-being for all at all ages
Ensure inclusive and equitable quality education and promote lifelong learning
opportunities for all
Achieve gender equality and empower all women and girls
Ensure availability and sustainable management of water and sanitation for all
Ensure access to affordable, reliable, sustainable and modern energy for all
Promote sustained, inclusive and sustainable economic growth, full and productive
employment and decent work for all
Build resilient infrastructure, promote inclusive and sustainable industrialisation
and foster innovation
Make cities and human settlements inclusive, safe, resilient and sustainable
Ensure sustainable consumption and production patterns
Take urgent action to combat climate change and its impacts
Conserve and sustainably use the oceans, seas and marine resources for
sustainable development
Protect, restore and promote sustainable use of terrestrial ecosystems, sustainably manage
forests, combat desertification, and halt and reverse land degradation and halt biodiversity loss
Promote peaceful and inclusive societies for sustainable development, provide access
to justice for all and build effective, accountable and inclusive institutions at all levels
Strengthen the means of implementation and revitalize the global partnership
for sustainable development
Sustainability
Framework area
PEOPLE
MANAAKITANGA
PLANET
KAITIAKITANGA
PROSPERITY
O
-
HANGA ORA
PARTNERSHIPS
RANGAPU
-
16
°
BUILDING A SUSTAINABLE FUTURE
REPORTING
We commit ourselves to transparently reporting on our
successes and areas for improvement.
It is our long-term goal to work towards Global Reporting
Initiative (GRI) reporting. GRI promotes credible non-
financial reporting by companies and is globally recognised
as a best practice example of sustainability reporting.
In the interim, we will use the GRI framework as a guide –
demonstrating our commitment to full transparency.
We are confident that this approach is consistent with that
outlined in the NZX Environmental, Social & Governance
Guidance Note.
For more information on GRI go to:
www.globalreporting.org
NAPIER PORT SUSTAINABILITY FRAMEWORK
°
17
18
°
BUILDING A SUSTAINABLE FUTURE
SUSTAINABILITY
AT NAPIER PORT
TODAY
Our gap analysis and materiality assessment has already highlighted a number
of existing programmes, strategies and policies across our business that are
helping to ensure a more sustainable future.
NAPIER PORT SUSTAINABILITY FRAMEWORK
°
19
SUSTAINABILITY IN ACTION
Here's a snapshot of some of our current sustainability practices, policies and
programmes and their relevance to nine of the United Nations Sustainable
Development Goals. As stated, as part of our detailed strategy work we are working
through all of the 17 SDGs and their targets to determine which are most relevant
in the short and long term, prioritising where we can make the most effective gains.
Our detailed strategy will be complete in the second half of 2020.
Napier Port is proud of our culture of care, which encourages
care for our people, community, and environment, and puts
safety above all else.
Health and safety is a shared responsibility and we expect
everyone who comes here to understand and uphold Napier
Port's strict health and safety standards, which are detailed
in our Individual and Company Safety Protocols.
Reporting is a critical part of our culture, where incidents are
shared without blame and questions are encouraged so we
can continually learn and improve.
While we stringently manage work-related health risks –
industrial noise, air quality and fatigue management, amongst
others – workplaces also affect physical, mental, economic
and social wellbeing. We support our team through wellness
initiatives including onsite health checks, molemaps, flu
vaccinations, a gym, counselling and advice services.
Our leaders are also trained in mental health first aid.
We understand the power of partnerships. Last year we
achieved a ‘Safeguard Award’ for our collaborative approach
to managing shipside safety for bulk cargo vessel visits, and
we are working with port tenants and users to establish a
Licence to Operate contract, which sets out safety standards
that businesses operating on port must adhere to.
GOOD HEALTH AND WELLBEING
KIA TU
-
HAUORA
QUALITY EDUCATION
TE KOANGA O
-
TO WHARE KURA
Napier Port builds educational opportunities to enhance
understanding of the critical role the port and export sector
plays in building prosperity.
Our port education programmes include:
• A ‘Learning Outside the Classroom’ course on
Napier Port’s role in the economy for primary school pupils;
• An NCEA Level 1 Economics paper based on Napier Port
activities;
• Supporting the MTG Hawke’s Bay to provide further
education and learning opportunities;
• A summer student programme, with interns in our
Infrastructure and Culture and Community teams; and
• Co-developing the Certificate in Port Operations,
a Level 3-4 NZQA qualification.
Education is ongoing so we support initiatives that help build
capacity and celebrate achievements such as the Napier
Port Hawke’s Bay Primary Sector Awards, the Hawke’s Bay
Export Awards, and the New Zealand Young Farmer Contest.
In 2015, we launched the country’s first mobile harbour
crane simulator, which has helped to improve education,
safety and efficiency at Napier Port and abroad.
20
°
BUILDING A SUSTAINABLE FUTURE
AFFORDABLE AND CLEAN ENERGY
PU
-
NGAO KE
-
We’re working to bring our energy consumption down.
Through a programme of sustainable procurement, we’re
moving across to more efficient forklifts as we upgrade our
heavy vehicle fleet.
To cater for the increasing volumes of refrigerated
containers, we’ve gone up – investing in more container
towers. Storing refrigerated containers in a tower, rather
than on the ground, means we can power them from the
grid, reducing our reliance on diesel-powered generators
with a much higher carbon footprint.
We’ve also installed an electric vehicle (EV) recharging
station, and have begun the transition to EVs as we
replace our light vehicle fleet. LED lights reduce electricity
consumption, so as part of a 20-year roll-out, Napier Port
has recently installed our first LED light tower. It will help
save energy and increase safety for our electricians.
We’re also exploring other technologies, such as wave
energy, that could help to bring our footprint down, and
searching for opportunities to use them as the country
transitions towards zero carbon emissions by 2050.
INDUSTRY, INNOVATION
AND INFRASTRUCTURE
AUAHATIA
To meet future challenges, we need to build, identify
and protect resilient infrastructure, promote inclusive
and sustainable industrialisation and foster innovation.
As well as our plans to build 6 Wharf, we’re increasingly
looking outside the gate to find solutions and integrate
ourselves into customer supply chains.
We’ve invested in the Manawatu Inland Port with Ports
of Auckland and Halls Group to connect the importers and
exporters of Manawatu with Napier Port. We’ve developed
a 11.6 hectare container depot facility at nearby Thames
Street to cater for growth in the supply of empty containers
to export customers. We’ve also purchased 12.3 hectares
of industrial land in Whakatu, earmarked as a future freight
hub to provide us with an opportunity to expand our storage
capacity. With its direct rail connection, it also has the
potential to reduce the number of trucks on the road
as the port grows.
We’re continually looking to find innovative ways to manage
cargo and improve productivity. Recently we’ve developed
software that has streamlined container planning, reducing
the time it takes to plan how export containers are stowed
on a vessel.
NAPIER PORT SUSTAINABILITY FRAMEWORK
°
21
DECENT WORK AND
ECONOMIC GROWTH
O
-
HANGA ORA
We support the Hawke's Bay economy, directly employ
over 280 people and are indirectly associated with
thousands more full and part-time jobs.
Napier Port recognises the value of diversity and focuses
on building an inclusive workplace culture and diverse
workforce through policies, plans and actions, such as our
Diversity and Inclusion Policy and our recruitment strategy.
The skill and motivation of our people is what sets us apart.
That’s why we benchmark our remuneration and have
a policy in place to ensure we get the teams we need
to find better solutions for our customers, our business
and the region.
We’re focused on developing our people. We’ve recently
strengthened training and progression pathways for a
number of teams, supported 35 of our people to complete
the Certificate in Port Operations and provide one-on-one
coaching for our leaders to develop their skills.
We’re future-proofing our business by building a new wharf
to support regional growth and employment. 6 Wharf, once
complete (expected in 2022), will help reduce congestion
at the port while our Master Plan focuses on rationalising
port lands, well-planned capital infrastructure, efficient use
of port facilities and protection of key supply chain areas
for future growth.
SUSTAINABLE CITIES
AND COMMUNITIES
KIA WHAKAUKAUKA NGA
-
PA
-
We’re focused on keeping those outside our port gates safe.
This year, in partnership with the New Zealand Transport
Agency and KiwiRail, we upgraded our western entrance on
Breakwater Road, installing traffic lights and rail barrier arms
to manage traffic going in and out of the port.
Strong, meaningful relationships with iwi and hapu ̄ are
integral to the future growth and success of our region.
We’re developing the first long-term marine cultural
monitoring programme with mana whenua hapu ̄ to protect,
monitor and assess the health of the marine environment –
using cultural indicators – during the planned development
of our new wharf.
We’ve also employed Napier Port’s first Pou Tikanga –
Infrastructure Environmental and Cultural Advisor and started
a formal programme to strengthen our cultural capability.
We appreciate that our growth can present challenges for
our neighbours. We’ve introduced measures to monitor
and control the level of dust and noise for those who live
close to our port.
22
°
BUILDING A SUSTAINABLE FUTURE
RESPONSIBLE CONSUMPTION
AND PRODUCTION
TU
̄
TIKA TE WHAKAPAUNGIA
Napier Port is in a good position to reduce waste generation
and has an on-port recycling programme. We also work in
partnership with local firm BioRich to give waste bark from
our log operation another life.
Every year, thousands of tonnes of waste bark is collected
by BioRich from Napier Port and combined with waste
products from many of our export customers to create rich
compost and mulch. From here, it is used by apple and
kiwifruit orchards, vineyards and crop farms across
Hawke's Bay.
LIFE BELOW WATER
TIAKI TANGAROA
Our waters are a vital resource, essential for humanity and
to manage the effects of climate change. Napier Port has
developed an environmental dashboard that will enable us
to monitor and report on water quality in real-time during
planned dredging to build 6 Wharf. It will also help us to
protect the cultural health of the marine environment, in
particular Pania Reef - a site of cultural significance to mana
whenua hapu
-
as the embodiment of their ancestor and a site
of mahinga kai species.
Prior to applying for resource consents for 6 Wharf we also
invested in a significant scientific study on Hawke’s Bay’s
marine environment, which included a multi-beam survey
of Pania Reef and allowed us to see the shape of the reef
in detail for the first time, helping us to manage our marine
environment more effectively.
LIFE ON LAND
TIAKI PAPA
We work closely with local experts to understand the
behaviour and needs of the flora and fauna of our port,
helping us to protect the species that live here and
their habitats.
This includes developing an on-port sanctuary to protect
the korora ̄ , or little blue penguin, and other birds.
The penguin sanctuary has provided education opportunities
to share the knowledge we have around the korora ̄ /little blue
penguin with students while creating nesting boxes that are
being used at the sanctuary.
We’ve also established settlement ponds at our Thames
Street depot providing a natural habitat for local wildlife;
and have supported the development of a new wetland at
Waitangi Regional Park that includes a haven for native fish
and birdlife. Napier Port provides a protected, predator-free
area for local seals to rest and suckle their pups when they
come ashore after their days at sea.
NAPIER PORT SUSTAINABILITY FRAMEWORK
°
23
24
°
BUILDING A SUSTAINABLE FUTURE
FEEDBACK
This framework provides direction on what we need to do to facilitate sustainable
growth of our port for our customers and our region in the years ahead.
From here we will develop a detailed strategy and outline the actions required.
To provide feedback on the framework, please email sustainability@napierport.co.nz
or call our team on 06 833 4387.
We are proud of our history and look forward to working together to build a better future.
NAPIER PORT SUSTAINABILITY FRAMEWORK
°
25
napierport.co.nz Napier Port Napier Port @napierport
---
NZX AND MEDIA RELEASE
14 November 2019
NAPIER PORT PUBLISHES MASTER PLAN AND
SUSTAINABILITY FRAMEWORK
Napier Port (NZX.NPH) today published two key documents, a preliminary draft of its 30-year Master
Plan and a Sustainability Framework.
“Building Future Connections” Napier Port’s 30-year Master Plan and its Sustainability Framework
together provide a vision for how Napier Port plans to support sustainable growth and achieve an
efficient supply chain for its customers and the Hawke’s Bay region long-term.
Napier Port chief executive Todd Dawson says the Master Plan shows the port is in a good position to
handle cargo growth and larger ship sizes.
“We consulted with customers, the community and other stakeholders about what they need from us
and what the future looks like for them. We also looked at different trade scenarios and the future of
the shipping industry.
“This work validated a number of projects already underway: building 6 Wharf by the end of 2022,
developing our inland freight hubs and the recent arrival of our third tug. Beyond the next 10 years,
there are options we can explore to seize future opportunities and keep pace with growth.”
The second of the documents, the Sustainability Framework is aligned to the United Nations
Sustainable Development Goals and outlines where Napier Port plans to focus its environmental,
and social efforts while delivering for its customers and Hawke’s Bay’s regional economy.
“We’re proud of the work we are already doing to address sustainability challenges and
opportunities. The framework documents some of that existing work while looking at where we can
focus our future efforts locally to advance international issues such as equality, climate change,
biodiversity, biosecurity, water management and economic growth.”
Mr Dawson says the port welcomes feedback on both plans by the end of the year.
Feedback will be used to inform the final Master Plan and a comprehensive Sustainability Strategy
that will be released next year. Email sustainability@napierport.co.nz or
masterplan@napierport.co.nz
ENDS
For more information:
Erin Harford-Wright
Senior Communications Advisor
DD: 06 833 4643 M: 027 870 4884
erinh@napierport.co.nz
About Napier Port
Napier Port is New Zealand’s fourth largest port by container volume. We are the main gateway for
Hawke’s Bay exports and operate a long-term regional infrastructure asset that supports the regional
economy. Our strategic purpose is to collaborate with the people and organisations that have a stake
in helping our region grow. View Napier Port’s investor centre: www.napierport.co.nz/investor-
centre/
Data sourced from publicly available filings. Our datasets may not be complete. Automated analysis can produce errors. If you believe any data on this page is incorrect, please contact us at hello@nzxplorer.co.nz. For informational purposes only. Not investment advice.