Marine Board Seminar on Waterway and Harbor CapacityMeasurement Approaches: Port Capacity Methodology

Jim Brennan, Noridge Research Associates

Port Capacity Methodology

1. Marine terminal capacity is really multiple capacities and I will talk tothose.

2. The drivers of individual components of marine terminal capacity are manyand varied. I will then speak to the major ones.

3. The ports typically do not control many of the key drivers and brieflydiscuss those they control and do not control.

4. Discuss the implications for measuring and managing marine terminalcapacity.

Agenda

§ Why is Port Capacity Important§ What are the Critical Elements of Port

Capacity§ The Measurement Challenge§ Practical Approaches

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Estimated Container Throughput per Gross Terminal Acre for the World & North America's

High Volume Ports: 1999

Why is Port Capacity Important?

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Estimated Container Throughput per Gross Terminal Acre for Selected World & North

American Ports: 1999

Why is Port Capacity Important?

Why is Port Capacity Important?

§ Modern Container Terminal: $1 million per acre

§ Berths: $10-$20 million§ Environmental Mitigation:

$???§ Political Practicality

– Oakland– New York– Charleston

What Are the Critical Elements?

Container Terminal Throughput Capacity Analogy – Balancing Pipelines

Vessel Crane/Wharf

IntermodalRail

TerminalEquipment

Vessel Crane/Wharf

IntermodalRail

TerminalEquipment

IntermodalTruck

IntermodalTruck

GateGate

Cargo Flow Cargo Flow

Cargo Flow

Cargo Flow Cargo Flow

Cargo Flow

Peaking Factor-A Critical Driver of Capacity

§ Peaking is:– Periodic or random increases in activity (the “Christmas

rush” in the eastbound Transpacific trades– The simultaneous occurrence of activities that typically

occur independently of one another (the “bunching of vessel arrivals in winter months)

§ Peaking effectively diminishes capacity by creating inefficiencies § Failure to adjust for peaking will overstate

maximum practical capacity

Critical Port Capacity Components

§ Vessel Access: Approach channels and berth access§ Terminal Capacity§ Port-Inland Interfaces: Rail and truck§ Inland transport capacities:

– Rail and truck– Linehaul and destination(s)

Vessel Access

§ Approach Channels– Depth: MLW +2’-4’– Width: function of ports’ roles

• Bulk: 800’-1000’• Container: 500’-800’• Niche: 400’-600’

§ Berth Approaches– Depth: MLW +2’-4’– Width: 3x Vessel Beam

Measuring Approach Channel Capacity

§ Physical Parameters– Depth: typically at MLW– Width: minimum width

§ Operational Parameters– Vessel arrival and departure activity– Pilot and Coast Guard rules and practices for vessels

meeting and passing– Fleet characteristics: length, beam, draft

§ Weather parameters: wind, visibility, sea state

Terminal Capacity

§ Berth§ Vessel-Apron§ Apron to Storage§ Storage§ Storage to:

– Gate– Rail

§ Rail: if on-dock§ Gate

Measuring Marine Terminal Capacity

§ Simple in theory§ Difficult and sometimes complex in practice§ Data and operators’ incredulity/skepticism are

typically the biggest hurdles

Measuring Berth and Vessel-Apron Capacity

Berth Capacity§ Berth length§ Vessel arrival patterns§ Vessel-apron capacity§ Work rules and

practices§ Weather

Vessel-Apron Capacity§ Cargo handling

technology§ Amount of equipment§ Average cargo loaded or

discharged per vessel call§ Productivity, work rules

and practices

A Cautionary Note: Vessel-Apron Transfer

§ Arguably, there are more than a dozen factors that affect productivity§ Very few are directly controlled by a port

authority§ Many are not directly controlled by the stevedore§ Information, vessel design, and vessel deployment

are three critical factors beyond the control of the port, the stevedore or labor

Measuring Transfer Capacities

Apron to Storage§ Number and type of

cranes§ Vessel-apron

productivity§ Distance: apron to

storage§ Yard storage methods§ Other terminal activities

Storage to Rail or Gate§ Distances§ Yard storage and

handling methods§ Yard operating practices§ Rail yard capacities§ Gate capacity§ Number of drivers

assigned§ Information

Measuring Terminal Storage Capacity

§ Typically storage is the constraining component§ Dwell time is typically the key driver

– Slow movers (empty containers, breakbulk cargoes) typically drive dwell times

§ Dwell time is also the most elusive factor to quantify§ Velocity and stacking heights are critical success

factors

Measuring Terminal Storage Capacity

§ Net storage area available, times§ Storage density, times

– Containers per acreUnits of breakbulk cargo per square meter or acre

§ Average stacking height, times§ Turns per year (365 days divided by average

dwell time per unit)§ Adjusted for peaking

Measuring Gate Capacity

§ Number of lanes, times§ Average transactions per hour, times§ Operating hours per day§ Times operating days per week§ Times 52 weeks§ Adjusted for peaking

Measuring Rail Terminal Capacity

§ The process is analogous to marine terminal capacity– Multiple components– Interrelated– The smallest capacity determines maximum

practical capacity

§ The complexities are similar

Measuring Rail Terminal Capacity

§ The complexities are similar– Train arrivals/departures in lieu of vessel

arrivals/departures– Rail car types instead of vessel types– Working track lengths instead of berth lengths– Lift equipment is similar– Parking spaces instead of terminal storage – Gate operations are similar, although less complex in

rail terminal operations

Measuring Rail Terminl Capacity

Load Tracks§ Track length§ Rail car fleet mix§ Average slot utilization

per rail car§ Traffic imbalances§ Train schedules§ Storage track capacity

Storage (Parking)§ Net storage acres§ Parking

configuration§ Storage density§ Container/trailer

mix§ Dwell time