Pilotage tariffs increase by 1% in 2014

From January 1, 2014, the tariffs that pilots are allowed to charge shipping companies will increase by 1.02 percent compared with 2013. With its decision, the Netherlands Authority for Consumers and Markets (ACM) has set lower pilotage tariffs than the Dutch Pilots’ Corporation (NLc) had initially proposed.

“We agreed with the NLc on adjusting the tariff proposal and bringing it more in line with the most recent economic projections of the CPB Netherlands Bureau for Economic Policy Analysis. For 2014, it means an increase in the expected number of pilotage trips, which has a moderating effect on the tariffs,” explains Henk Don, Member of the Board of ACM. “In addition, it was possible to set the tariffs lower than the pilots had initially proposed themselves. This was because of the new collective labor agreement, and because of arrangements made with Flanders about cost settlements regarding pilotage services to Antwerp.” The harbor of Antwerp lies in the northern Belgian region of Flanders, the primary maritime access to which is the Western Scheldt, a Dutch waterway.

In September 2013, the Dutch Trade and Industry Appeals Tribunal (CBb) ruled in favor of ACM with regard to the stand-by scheme in the region of Scheldemonden. It was laid down in this scheme that the pilots in the Scheldemond region had fourteen additional days of standby duties (per year) in order to meet peaks in demand. ACM believes that the pilots are able to organize this scheme more efficiently. And that, too, affects the final tariffs.

“All in all, with these tariffs for 2014, we have struck a balance between the pilots’ interests and the interests of those that buy their services,” Mr. Don concludes.

Maritime pilots enjoy a monopoly position, which means an independent regulator must assess whether or not they charge unreasonably high tariffs. ACM annually sets the pilotage tariffs, in accordance with the 2008 Registered Pilots Oversight Act. NLc submits a tariff proposal halfway through the year, which ACM then assesses. ACM may deviate from the proposal if it believes that NLc’s proposal would insufficiently help in achieving the most efficient production process, productivity levels, and pilotage service quality levels.

Objections and appeals can be filed against ACM’s tariff decision.