Selection Criteria of the Container Terminal Operational Model in the Port of Rijeka, Croatia

AUTHOR(S):

TITLE

Selection Criteria of the Container Terminal Operational Model in the Port of Rijeka, Croatia

ABSTRACT

The container terminal is an essential factor in the global supply chain and an important hub between modes of maritime and land transport. Public management system and global terminal operators have shown a strong interest in creating an efficient operational model of container terminals. With the growth of globalization and the consequent institutional reform in the port sector, joint venture between public and private partners have recently become a common operational model for port development. Private sector participation in joint venture models brings the necessary capital and know-how, and the expected effectiveness of core activities, construction, maintenance and operational activities. Port of Rijeka Container Terminal (PRCT) have a specific management model, where the Port of Rijeka Authority (PRA, the concession provider) and company Adriatic Gate Inc. (AGCT, concessionaire) have entered into a concession. The container terminal operational model can be categorized through a public, private or a combination of service delivery, the ownership of infrastructure, superstructure, handling equipment and stevedore activity. Some governments as part of the public management system and global terminal operators have shown a strong interest in creating an efficient container terminals operational model. With the growth of globalization and the consequent institutional reform in the port sector, public-private partnership has recently become a common operational model for port development. An important precondition for the conclusion of the concession agreement in Port of Rijeka Container Terminal (PRCT)is the obligation of investment in facilities superstructure and handling equipment by the concessionaire. In this article authors seek to find answers to the following questions in one hand what are the important criteria for choosing a container terminals operational model and to other what form of a operational model based on the share of the private sector, ownership and corporate performance is suitable for Port of Rijeka Container Terminal (PRCT).

KEYWORDS

Port of Rijeka Container Terminal, operational model, joint venture, public and private port relation

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Cite this paper

B. Hlača, S. Hirnig. (2016) Selection Criteria of the Container Terminal Operational Model in the Port of Rijeka, Croatia. International Journal of Economics and Management Systems, 1, 110-133