Logistics & Transport NZ

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Logistics & Transport

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Our rising stars

The trillion-dollar supply chain question

What He Pou a Rangi report means for freight

Volume 19 Issue 3 March 2021
THE OFFICIAL PUBLICATION OF CILT NEW ZEALAND
$15.00
ON THE COVER Aerial shot of Eastland Port’s Southern Log Yard
LOGISTICS & TRANSPORT NZ IS THE OFFICIAL JOURNAL OF THE CHARTERED INSTITUTE OF LOGISTICS & TRANSPORT NZ 13 Contents 12 In the next edition The editorial team welcomes expressions of interest for submitting an article for the June 2021 edition of this journal, especially from young professionals (those under the age of 35). Contributors should in the first instance contact the editorial convenor, Murray King (email murray.king@xtra.co.nz) to discuss their article. Deadline for the June 2021 edition: May 3. 8 6 Published under contract (print) by: Excel Digital 21 Jamaica Drive, Wellington 5028 Tel: 04 499 0912 Email: studio@exceldp.co.nz Advertising Contact: CILT national office Tel: 09 368 4970, Email: info@cilt.co.nz Editorial Contact: Daniel Paul, The PR Company Tel: 021 400 993 Email: daniel@theprcompany.co.nz CILT NZ National Office: PO Box 1281, Shortland Street, Auckland Tel: 09 368 4970 Fax: 09 368 4971 Disclaimer: This publication is the official magazine of the Chartered Institute of Logistics and Transport New Zealand Inc (CILT NZ). It is published quarterly. All material appearing in this publication is copyright and may not be reproduced without the permission of CILT NZ. The views expressed in this publication are not those of the editorial committee, CILT NZ, its council, officers or The PR company, unless expressly stated as such. SPREAD THE WORD ABOUT CILT … If you enjoy reading this magazine and think others would too, please share it with others – leave it on the coffee table at work, or out at reception Heeding our customers’ calls .............................................................................. 3 The PR Company ..................................................................................................... 3 Our rising stars ........................................................................................................ 4 The trillion-dollar supply chain question ........................................................ 6 Eastland Port – Paving the Way in Future and Environmentt ..................... 8 Are drones the key to future-proof conservation? ...................................... 11 What He Pou a Rangi report means for freight ............................................. 13 Foreign aviation research and a proposed departure tax could benefit New Zealand ............................................................................................. 15 CILT Mentoring Review ........................................................................................17 Workforce Development Council’s Orders in Council Proposals ............20 Also published under contract (web) by: Webstruxure 29 Tory St, Wellington Tel: 04 801 7053 Email: hello@webstruxure.co.nz Web: webstruxure.co.nz
Photo: Eastland Port

Heeding our customers’ calls

The Port of Tauranga Chief Executive retires at the end of June. In just a few months I will retire after 15 years at the helm of Port of Tauranga, by far New Zealand’s busiest and most productive port. I am proud of what we have built at Port of Tauranga, and the wide-ranging benefits shared by our customers, partners, shareholders and community. Our success has been a huge contributor to the growth and prosperity of our region and our country. Our distance to international markets, and our persistently strong dollar, means New Zealand must maintain and improve our international competitiveness. We must offer an efficient, low-cost and – more importantly – low carbon supply chain. Ports and their transport networks are critical, long run infrastructure assets and are vital to our country’s future prosperity.

Over the past decade, Port of Tauranga has heeded the calls from our customers to ensure New Zealand has a “big ship capable” port. We have invested heavily in infrastructure to accommodate bigger vessels and cargo exchanges, and unlock efficiency gains for importers and exporters.

Port of Tauranga is now the only port that can handle the large 9,500-container ships calling here weekly. These larger ships are also much more environmentally efficient, offering nearly a third lower carbon emissions per container. If we are serious as a country about meeting our decarbonisation objectives, then we must continue to provide infrastructure for vessels of this scale.

The need to relentlessly pursue a more efficient supply chain has never been more

The PR Company

ESTABLISHED by Daniel Paul, The PR Company has been in existence in various guises for over 30 years.

Daniel is a Fellow of the Public Relations Institute of New Zealand and has nearly 40 years’ experience in strategic communications and PR roles.

He has worked in senior positions in both the public and private sectors, including managing projects with some of New Zealand’s higher profile companies. Interestingly, he managed the launch of one of the first inter-Island fast ferry services, the

apparent than in the past six months, as the blockages at Ports of Auckland have caused chaos throughout the supply chain, congestion at many ports and delays for shippers and their customers.

We have done our best to accommodate diverted vessels and cargo, but have been hampered by capacity constraints on the rail network.

To avoid future congestion, Port of Tauranga is pursuing plans to convert existing port land into a fourth container berth.

The berth construction project will be accompanied by investment in technology to increase our storage capacity at the container terminal.

In addition, we are partnering with Tainui Group Holdings to develop an inland port at the Ruakura Superhub just outside Hamilton. The rail-linked Ruakura Superhub will be a game-changer for the Upper North Island supply chain and unlock even more efficiencies for importers and exporters.

These two projects are made possible through Port of Tauranga’s strong relationships with our customers and our suppliers. These relationships help us plan for the future with confidence and have seen us grow Port of Tauranga from a regional bulk export port into New Zealand’s international cargo hub. Of course, success is nothing without the ability to send our people home healthy. Our strong focus on safety has intensified even further in the past year, as we have had to

StraitRunner. He was responsible for all the PR planning, media interaction, government relations (regulatory requirements) and stakeholder relations needed to establish the service, and the subsequent branding and marketing. In doing so, he reported to the company’s three owners who disagreed on virtually every element of the company’s operations, differences Daniel was expected to “manage”, but which eventually led to the company’s collapse.

And he was used by NZ Red Cross to manage the media around the release of information relating to abducted nurse Louisa Akavi.

grapple with the threat posed by the Covid19 pandemic.

Our health and safety team, working with our operational teams, have made a huge effort to embed new procedures and protocols to keep our people and the community safe from Covid-19. I thank all of our people for their ongoing diligence, especially as many of them have to endure the discomfort of regular Covid-19 tests for border workers.

As I prepare to spend more time on the water and less time in the office, I am pleased to be leaving behind a company in excellent shape. I’m incredibly proud of the positive outcomes we have achieved for our customers and our community.

I am excited to see where the company goes next. There is a creative and innovative team to take the port into the future. Port of Tauranga is, and will continue to be, New Zealand’s Port for the Future.

LOGISTIC AND TRANSPORT’S NEWEST MAGAZINE EDITORS

James Paul (Daniel’s son) is a shareholder in the business, and has experience working on advocacy and promotional/media campaigns for various clients.

He is a former journalist who worked on both a provincial newspaper and for New Zealand’s largest online news platform, Stuff.

James is directly responsible for the public relations and communications activities of clients including the Crane Association of NZ, the NZ Institute of Building Surveyors, and Gas NZ.

March 2021 3

Our rising stars

Content withdrawn for privacy reasons

Rising Star Young Employee of the Year

The Rising Star Young Employee of the year recognises a young employee (under 35) in the transport and logistics sectors who embodies the mission of their employer, consistently produces quality work, and displays characteristics that are valued by their peers and colleagues, as well as managers.

No one has epitomised this better than Megan Crow, the recipient of the 2020 award, of C3 Ltd Transport Branch.

As C3 Transport driver, Von Moore, put it in his support of her nomination, Megan joined the company as “the young lady in the office”.

But as each day passed, Mr Moore and other colleagues watched her workload grow, soaking up as much knowledge as she could with each new job, and finetuned it to “make it easier for us the drivers”.

“As our transport department grows, so too does ‘the young lady in the office’. She has become a very capable and respected young leader.”

So, what are Megan’s thoughts on receiving such accolades, including the award?

“I was surprised, as I did not know I had been nominated. But it’s great to know what I am doing is making an impact.

“I’m passionate about running things well and making a difference. Helping change our dayto-day business processes from a paper-based operation to fully electronic was a highlight.

“I helped manage the project from the initial idea through to implementation. It’s completely changed with way we operate,

Megan Crow, winner of the CILT NZ Rising Star Young Employee of the Year Award 2020, with C3 Transport Manager Kevin Bird. Photos: Mel Waite
YOUNG
PROFESSIONALS
4 Logistics & Transport NZ
THE CILT NZ 2020 AWARDS recognised a number of outstanding Kiwis working in the transport and logistics sector – including two young people who have been recognised for their progress to date and ambition for the future.

and we’ve gained a lot of efficiencies within our organisation and the way we work with customers.”

Growing up near Wellington, Megan was lucky enough to be selected for a 12-month AFS Intercultural Program student exchange to Belgium.

Always having an interest in business, her time in Europe opened her eyes to the possibilities of international business and marketing.

That led her to study at Massey University towards obtaining a Bachelor of Business Studies (International Business), during which time Megan joined the Tauranga-based C3 front office to undertake administrative tasks.

Ten months later, and a degree to boot, she was promoted to Transport Coordinator where she was in charge of labour allocation, dispatch, account management and reporting tools for nearly two years.

As C3 moved to computerised dispatch systems – such as ICOST, Container Chain, E-Road logbooks and vehicle checks – Megan must stay two or three steps ahead of staff in her understanding of these applications.

As problems arose, she was able to troubleshoot and find a work around and do what she does best – work with drivers to educate them on the new systems.

That was no mean feat, according to Mr Moore, when dealing with 20 or so older drivers who aren’t as adept at dealing with new technology.

“In many cases Megan achieved this by not taking ‘no’, ‘I can’t do this’ or ‘this damn thing won’t work’ as an acceptable answer,” Mr Moore says.

“Her constantly positive attitude and pure zest for our department is contagious to say the least. Inspiring even the grumpiest of us to strive for betterment of our department and C3 as a whole, while no health and safety issue is left behind.

“Megan has been seen many a time, after work, helping someone with their own personal problems or helping them with the new-fangled dispatch/logbook tablets. Megan is able to do all of this while not losing sight of the job in hand and is always willing to listen to new ideas, then support them should they be of benefit to our tasks or wellbeing.”

As for being a young woman in a maledominated industry, Megan says she doesn’t give it much thought as the logistics industry is a fast-paced environment which recognises people for their expertise and commitment.

“Any young person wanting to make a big difference to the New Zealand economy should look closely at logistics. It is an industry with great variety – no two days are

ever the same – and you need to be able to think on your feet and always have plans A, B and C ready to go.

“The logistics industry is also one that changes as the world changes. In the current and uncertain COVID-19 climate, logistics has been an essential service offering job security.”

Young Employee of the Year Award Runner-up

Such was the calibre of talent submitted for the awards, it was hard for judges – including last year’s winner, Isabella Bennich-Wolter – to pick a runner-up.

Content withdrawn for privacy reasons

Content withdrawn for privacy reasons

March 2021 5

The trillion-dollar supply chain question

THERE IS A PINCH in New Zealand’s supply chain; the locales storing containers are full, containers aren’t being taken away, and the containers the country needs are not landing. So says current CILT NZ Vice President Dr Margaret Harris, who is also ContainerCo Manager - Strategy and Innovation. It is a situation befalling many ports and freighting companies, she adds.

According to the Ministry of Foreign Affairs and Trade’s (MFAT) October 2020 report –Monitoring the Operation of International Supply Chains – there is a reported fall in imports of nearly $1 billion in August, which led to the largest annual trade surplus since 2014.

The report states that the $1.3 billion annual goods trade surplus was the result of a rise in exports, particularly of kiwifruit and dairy products, and a decline in imports during the national lockdown, notably of crude oil, cars and other vehicles.

While COVID-19 has disrupted global sea freight to a lesser extent than air freight, some sea freight supply chain pressures have emerged recently.

Several industry stakeholders have reported sea freight import and export delays with vessels arriving five to seven days late to New Zealand.

This may have flow on delays for exporters to move goods offshore, according to MFAT. The delays have been attributed to multiple causes including deferred import activity from earlier in the year due to COVID-19 shutdowns in trading partners, the death of a worker at the Port of Auckland, and industrial action in Australian ports delaying vessel flows.

“These developments are occurring at a time when New Zealand typically enters peak import and export season and an intergovernmental group of officials led by the Ministry of Transport [MOT] is following developments closely,” the report states.

What does this mean for companies like ContainerCo on the ground? Dr Harris says they’ve “got way too many containers”.

The company stores, repairs, accepts and releases containers on behalf of major shipping lines, and this year has been the

perfect storm in terms of disrupting various parts of the supply chain.

According to Dr Harris, containers are arriving in New Zealand filled with plastic and finished goods. The company then readies them to export food, mostly milk powder and other food products.

Therefore, there is an imbalance of boxes in the country as the company can’t match what they require. For example, New Zealand needs a lot of refrigerated boxes but the country imports mostly plastic in dry boxes.

“What usually happens is the shipping company often has a few extra spots on the ship, and they pick up what they call evacuation boxes. They take a bunch of boxes that they don’t need away, and drop off a bunch of boxes that can be used which we fill up – matching the loads.”

Not only is this a mix and match problem in New Zealand, but one experienced around the world, Dr Harris says.

“The real problem is that when COVID-19 hit, the shipping companies assumed that global

6 Logistics & Transport NZ
Dr Margaret Harris says there is an imbalance of boxes in New Zealand as ContainerCo can’t match what they require. For example, New Zealand needs a lot of refrigerated boxes but the country imports mostly plastic in dry boxes. Photos: ContainerCo

demand would fall because there would be a recession. To be fair to them, that is what happened in the initial stages of the early lockdown, and the economy kind of tanked all over the world.

“The shipping companies accelerated their retirement scheme for some of their older vessels and cut routes, doing all sorts of things that are very sensible in a crisis of that kind. But the thing was, people who were trapped in their houses, looked at their kitchens and realised they hated it.

“They had all this extra money because they weren’t eating out at restaurants, and hired a kitchen designer, and everyone renovated their kitchen at once. Suddenly demand for all those products boomed and needed to come from overseas.”

There were constraints, however, as shipping rates “went through the roof”, which Dr Harris puts down to the various complex factors involved.

She says if you’ve got an empty slot on a boat, the shipping company has the option of either taking an empty container – which isn’t going to make them money – or they can take a box which can. Therefore, the shipping companies, says Dr Harris, have been prioritising full boxes over the empties being evacuated from New Zealand.

That has led to hundreds of containers being trapped inside New Zealand and choking up the system, as there is only a limited capacity to hold all of them.

“We’re at 130% capacity in one of our yards in Auckland and 240% in another. We got to that level of capacity asking our neighbours if we could stack our containers on their land, which they kindly agreed to,” Dr Harris says.

“We process all these containers in a batch. So, how we get above 100% is cutting into our working space, and the batches become smaller. Therefore, the container supply – the repair and upgrade – becomes much more constrained because you can’t make so many containers available per hour.

“It’s a really tricky problem for us, which we’re managing as best we can. My staff and colleagues are amazing.”

Luckily, MOT has been cognisant of the problem, and Dr Harris applauds their strength of conviction to try and fix the problems.

“I think the lockdown taught them an awful lot about the supply chain in an awfully short space of time. And now they understand how it all fits together, they can see what levers to pull, which is really fascinating. They’re bloody clever.”

“I would say that the quality of MOT policy that results from this fiasco will improve greatly. I mean, the quality of the policy was

already excellent, let’s not get ourselves wrong.

“But I just think the level of their understanding has taken a quantum leap in maybe the last year. The fact that these guys are ringing us up and telling us they understand what the problems are and asking how they can work with us to fix it, is not different from the norm but very encouraging.”

As for the supply chain’s pinch being relinquished anytime soon, Dr Harris isn’t sure or confident. She can’t say if the supply chain will get better or worse, because COVID-19 is such a complex and evolving situation.

“But I would say if it’s going to get better, it’ll get better over the wintertime because we import and export less during the winter.

“If we export less during the winter, we should be able to remove some of the excess containers from the system using the slots that come free on the ship.

“But potentially, the ships might not call into New Zealand because they’ll be desperately needed elsewhere, between China and America, China and Europe. These ships might just be re-routed and we won’t have so many call, and I'm a bit worried about that.”

Hundreds of containers are trapped inside New Zealand and choking up the system, as there is only a limited capacity to hold all of them. The pandemic provided all the right ingredients for the disruption of various parts of New Zealand’s supply chain.
March 2021 7

Eastland Port – Paving the Way in Future and Environmentt

ROBYNN HYDE LOOKS INTO WHAT MAKES EASTLAND PORT A MAJOR CONTRIBUTOR TO THE NATION’S EXPORTS, THE GROWTH OF ITS WHARF, AND ITS FIRST MAJOR DEVELOPMENT IN OVER A CENTURY.

Originally named Tu - ranga, the city of Gisborne with a current population of 37,000 (recorded June 2020) is characterised by its water gateway.

Renowned as New Zealand’s second largest export port of the nation’s log produce, it is also a thriving commercial shipping port. Last year the Taira - whiti-Gisborne region recorded 2.8 million tonnes of cargo exported, a sizeable effort considering the pandemic impact of 2020 that challenged the resilience of the port.

Trading dates back to the 1820’s when European flax was traded by Ma - ori from ships in the south-west of the bay. One of the first shore traders along the river was John Harris in 1831 who set up along the western side of the Tu - ranganui River.

The commodities of trade were flax, muskets, blankets and tobacco. Not long after Captain Read erected jetties on east and west sides of the river. It is on the Kaiti side of the river in 1852 where a public wharf was established; prompting the commencement of wharfage fees. The port’s debut harbourmaster and pilot arrived in 1874.

With the facilitation by the Gisborne Harbour Board, the breakwater was built in the early 1900’s. It was in 1909 that Gisborne Port handled 574 vessels (majority steam with smaller portion sail) made possible due to the dredging, blasting and the breakwater development.

The slipway was erected in 1926 as an area for the repair-work and reconditioning of craft. The river training wall built also in the 1920’s

played an important role of directing the river run so that the flow deviates away from the port in efforts to stop levels of sediment accumulation.

With a swell in local growth in early 1960 and a population of 23,000, Gisborne was known as an extensive market hub and a city that prospered from local agricultural exports such as dairy, cattle and pigs, freezing works and agriculture, wheat, and peach trees.

With further development to the port including excavation for diversion channel and the inner harbour work, it was in 1967 when overseas vessels commenced berthing at Gisborne at Wharf 7.

“Eastland Port’s operations have been at the heart of Taira - whiti since 1872, enabling our region’s most significant growth industries,”

8 Logistics & Transport NZ
Aerial shot of the wharf-side log yard, and the Training Wall at Eastland Port. Photos: Eastland Port

Eastland Group Chief Operating Officer

Andrew Gaddum reflects.

Diversification is the key

A new trade chapter opened with the diversification of Gisborne’s industries: forestry, agriculture, fisheries, horticulture. With this diversification, the supply chain of Eastland Port and the Taira - whiti-Gisborne region responded by providing future centric and environment friendly facilities to meet the demands of the export chain.

“By exporting more and building capability to ship more diverse products, local producers have a cheaper, easier and more environmentally friendly way to export their goods to market,” Mr Gaddum says.

Primary commodities and trades

The major trading commodities of the region are identified as agricultural outputs including beef, sheep, grain farming, while horticulture produces big yields in kiwifruit, squash, apples, citrus, macadamias, and pip fruit. Gisborne is the third largest producer of wine in New Zealand. It is the abundant forest plantation industry that underpins Gisborne as an exporter for log and wood products. Case in point being the overall performance of 2020 which records exports of 2,873,621 tonnes of logs and 17,109 tonnes collectively of squash, kiwifruit, apples, and fish.

It is the 2018/19 year that recorded exports from Eastland Port at just beneath 3 million tonnes, the majority of that being logs.

The shape of today

Eastland Port of Gisborne is a thriving port, operating as an export hub providing wharfage services, berthing, pilotage, mooring, towage, vessel hire, space facilities for customers to carry out storage, marshalling and warehousing of cargo. The port has regulated biosecurity-controlled zones and log debarking and anti-sap stain facilities are also features of the port. Eastland Port makes up part of the operation arm of Eastland Group with their shareholder being Trust Taira - whiti.

Land side features and wharf

Eastland Port has a river basin harbour with a channel depth of 9-10 metres. The port’s Wharf 7 and 8, equipped for berthing cargo and cruise vessels have a joint length of 364m. The swing basin of the port is 255m in diameter. The mean tide is 0.3m and anchorage is between 15-18m.

Live tracking, shipping schedules, environment monitoring, tidal measurements and vessel pre-arrival planning are an integral part of the operations and the port has invested in latest technologies for accuracy and safety.

Examples of this are the $1.8 million invested in high grade mooring system and a navigational safety upgrade.

Fishing boat berthage is carried out at the inner harbour Wharf 6 (numbers 4 and and 5 now removed for future upgrade) and the Marina is available for casual and permanent hire for small vessels not exceeding 20m.

Storage facilities: log, dry, breakbulk, cool room

The Upper Log Yard is a 2.84 hectares storage space allocated to suppliers of harvested logs from the regions and surrounding forest plantations. The Upper Log Yard has a muster point and an underpass for access from the Upper Log Yard to the wharf-side log yard. The Southern Log Yard is the largest storage yard on port at over 9 ha and operates the same as the Upper Log Yard. This on port storage site provides efficiencies for outgoing exports due to its close proximity to point of loading onto vessel on Wharf 8. The wharfside storage yard is designed for multitasking, currently operating as a log storage area but is forecasted to be the future parking spot for full container loads.

The zero-store chilled storage facility is a notable feature of the port providing the benefits of temperature-controlled storage of fresh kiwifruit produce that is packed on pallets and shipped. There are two cool storage facilities that has a total cool room capacity of 12,000 tonnes.

Matawhero Log Yard is another storage area of 5.7 ha which is located off port and provides capacity for the overflow from the on-port storage yard and also for new suppliers to Eastland Port.

The export efficiency of logs is bolstered by Eastland Port’s own debarking station. The debarking machines remove bark from logs before export on site at the port which elevates the overall performance of output efficiencies with the added benefit of adding to jobs and economy. Logs shipped in this clean condition have another benefit – the elimination of harsh treatments that are felt by other countries exporting wood products, especially during the brown marmorated stink bug season each year.

In addition to the aforementioned land features, Eastland Port boasts a primary muster station, trailer hoists, port workshop, paint locker, scaling yard, and un-chaining area. Secured areas include Customs bonded area, Quarantine bonded area, and International Ship and Ports Facility Security bonded area.

A dry store shed, office, meeting room, security hut and secondary muster station also feature.

ISO Stevedore office and facility provides a unified stevedore and marshalling service. The ISO team also run a bespoke workshop on the harbour to facilitate the repairs to machinery used for loading vessels.

Investing in enviro-aware initiatives

Two storm water treatment systems operate at the port; one in the Upper Log Yard and the other at the new wharf-side storage yard. These are able to treat 50 cubic metres of water per hour each. The Upper Log Yard also has the added feature of two rain gardens which filter storm water, a compliment to the storm water treatment system optimising removal of sediment and further cleanliness to sea water. They also plan to install a third water treatment system as part of the twin berth project which will sit in the Southern Log Yard and complete the treatment of all stormwater across port.

There are also two Seabins installed in the inner harbour to clean the water and collect hazard and waste material.

The port’s eco-friendly head office sits just outside of the port boundaries and runs on solar energy, and also features charging stations for electric cars. The port also boasts the largest electric vehicle in the country with the recent procurement of an electric water truck for dust suppression. The slipway will be refurbished to create a habitat for juvenile crayfish.

Infrastructure and redevelopment opportunities

Developing the Twin Berth is the long-time goal that has been taking shape and formation. The result of the development will see two 185-200 metre vessels berthing concurrently. This will be a pivotal achievement and will open up multiple lines of benefits, from jobs, improved productivity, and the ability to expand cargo exports via containers shipping.

Actualising the shift to containers will be a game changer as the current export methods are restricted to log vessels, breakbulk, and road transport to alternate ports.

“While logs are our primary export today, we want to create a coastal container terminal to expand the options for exporters, enabling more types of goods to be exported and imported via the blue highway,” Mr Gaddum said.

Having the ability to unload or load two vessels concurrently will bring significant a boost to port capacity, export volumes, and revenue.

Cont. on page 10

March 2021 9

The overall development plan will work in alignment with protecting the wellbeing of marine life and upholding the integrity of the sacred rock, Te-Toka-a-Taiau – as well as respecting iwi and hapu - of Tu - ranganui-aKiwa.

The upgrade to the infrastructure will see two consecutive stages of development. Stage one involves redeveloping the slipway and Wharf 7, with construction beginning in mid-2021. This is an integral stage to rebuild this section of the wharf so that it can have the support and durability to accommodate mobile cranes. Reducing and redeveloping the slipway will allow for the critical manoeuvre room for two vessels.

Stage two will involve extending Wharf 8, and dredging the harbour and channel, as well as the reclamation and refurbishment of 1.5ha of the existing breakwaters.

The challenges

The COVID-19 pandemic impacted the export trade out of Eastland Port and the Taira - whiti region, affecting jobs and the economy, but the port’s activity has already shown its willingness to recover.

Mr Gaddum says: “Our place in the community was starkly highlighted when COVID-19 first started impacting our major export market, China. Seemingly overnight, the entire forestry supply chain came to a

halt. Fortunately, exports have recovered strongly and the port is humming.”

In December 2020, Eastland Port exported 262,000 Japanese Agricultural Standard or tonnes via 11 vessels. Despite the challenges, the port still concluded the 2020 year with strong figures.

There will be expected minor disturbance to movement and berthing at the wharf during Stage one of the site’s redevelopment. This is due to the necessity to divert vessels to Wharf 8 causing some congestion due to the kiwi, squash, and log vessels. The port will manage this period by proactive planning and organisation.

Key Benefits from the Infrastructure Developments

Container shipping will mean mass reduction in carbon emissions

3,000 new jobs created*

Increase to local economy by $250 million

Boost to exports of commodities via container

*includes direct and indirect jobs such as forestry and horticulture industry

2020 outcomes for Eastland Port

Loaded 2.8 million tonnes of Taira - whiti exports onto 129 cargo ships.

2,873,621 tonnes of logs exported on 118 ships

11,262 tonnes of squash exported on 6 ships.

5,098 tonnes of kiwifruit exported on 5 ships

10 Logistics & Transport NZ
Aerial shot of the Southern Log Yard, a log ship berthed at Wharf 7, the slipway, and the outer breakwater at Eastland Port.

SAMUEL VYE, CO-FOUNDER OF TAURANGA’S ENVICO TECHNOLOGIES

SAMUEL VYE AND CAMERON BAKER founded Envico in 2018. The company was quickly recognised for its leading drone technology and automated ground devices for invasive pest management. Interest in Envico surged in 2019 which led to rapid internal expansion, including bringing several engineers on board, to develop technology for other areas of conservation, including drones for thermal mapping and seed pod delivery – a fast and efficient way to conduct native reforestation.

But how do drones compare to more traditional methods? Mr Vye explains: “It really comes down to cost efficiency, practicality and safety. Drones are easy to get up and running and they’re fast – they do what they need to do and then they return,

completing deliveries far faster than ground delivery. Plus, with drones, you don’t have people on the ground scrambling through dangerous territory, or flying helicopters in turbulent wind, which can cause accidents. If a drone goes down, it can be irritating and there are financial repercussions, but there’s no risk to the pilot.”

Despite the array of benefits of using drones for conservation, as well as for transport and logistics long-term, there are some issues standing in the way of the technology’s growth.

First, battery technology. According to Mr Vye, until we have a robust battery recycling method, and a renewable energy source for charging batteries, the environmental

impact means that they are not suitable for heavy-lift drone usage. Additionally, battery drones typically have short flight times of 10-20 minutes, so are unviable for many drone delivery or heavy payload applications. As a result, Envico is moving towards the petrol combustion engine to power its drones. “They can fly for much longer and carry more payload. Obviously, petrol powered drones do emit carbon, however based on calculations comparing our heavy lift drones to helicopters for agricultural/ forestry applications, for example, because our drones are lightweight and the specialist technology used, we do in fact have 85% reduction in carbon emissions compared to a manned helicopter,” Mr Vye clarifies.

Are drones the key to future-proof conservation?
(FORMERLY ENVIRONMENT & CONSERVATION TECHNOLOGIES), DISCUSSES
WITH DANIEL DUNT THE FUTURE OF DRONES IN CONSERVATION EFFORTS, PROBLEMS FACING THE INDUSTRY, AND WHY THIS INNOVATIVE TECHNOLOGY IS NOT ONLY FOR BIG BUSINESS.
Cont. on page 12 March 2021 11
Co-founders of Envico Technologies, Samuel Vye (left) and Cameron Baker. Photos: Envico Technologiess

So, while some environmentalists may be concerned with the idea of burning fuel, it may well be the best of a bad situation right now, until battery technology improves.

Mr Vye is convinced it will be another decade or more before we can seriously begin comparing the combustion engine to electrically powered for heavy-lift drones, but he’s positive that batteries will get there eventually.

Regulations are the other major problem facing drones right now: “Regulators are not managing to keep up with technological developments. New Zealand is still at a point where, commercially, it is complex to gain approval to fly beyond visual line of sight (BVLOS),” explains Mr Vye, which of course severely limits applications. The fix? “A robust structure for regulatory approval, including beyond visual line of sight. But first, you need to think about safety implications, like how a manned aircraft would not have an accident with a drone.” Aircraft need to be able to see each other, so an idea could be like airplanes, drones could use Automatic Dependent Surveillance-Broadcast (ADS-B).

In New Zealand, like other countries, the Government is running an air-space integration programme, which is all about how we put drones and manned aircraft in the same space without exclusion zones. This is a promising step towards setting up an infrastructure for drones, however all parties need to be happy and the setup must be

commercially viable for everyone involved, which is an ongoing conversation.

Thankfully, these concerns are mostly pertinent when you begin looking at longdistance drone operation, beyond visual line of sight, or in areas of heavy air traffic. So, while long-haul transportation might be a while away yet, using drones as a conservation tool as well in agriculture, is something we can benefit from right here and now. And it’s not only feasible for big business, either.

According to Mr Vye, there are many options when buying drones, because you can tailor the technology to exactly what it is you need, including size and type. At the same time, it’s not even necessary for businesses to buy their own drones – small drones perhaps, but large drones simply can be too complex to manage and operate, let alone gain the certification and approvals required. “Partnerships, going to suppliers ... that’s how small- to medium-sized businesses can truly benefit from heavy-lift drone technology. That way you benefit from the expertise of another organisation, their certifications, approvals and insurance. There is a whole host of factors to consider if purchasing a heavy-lift drone, far more than a small toy drone, so working with drone specialists can greatly reduce the risk.”

Much of the investment in drone technology and start-ups is currently toward passenger carriers which, much like the space sector,

is an attractive investment prospect for investors – it’s shiny and futuristic in ways conservation or utility drones are not. However, that’s changing and Envico Technologies are ready to step up. “Passenger drones are an exciting prospect, but the technology required for a viable and cost-efficient system fit for widespread deployment is way off in the future, whereas we’re ready to start using heavy-lift drones for commercial and utility applications right now, particularly as we can conduct BVLOS operations in rural environments.”

Envico has ruled out passenger drones for now and is focusing its attention on heavy lift drones for product carrying, which can carry weights of up to 200kg, for two hours and with a 100km range. To support its efforts, in the coming months it will announce a sister company which will focus on the manufacture and supply of these heavy-lift drones.

“The last couple of years has been a bit of a whirlwind, with requests from other countries and organisations who want our advice or services. And we are looking forward to working closely with those interested parties while continuing to push our innovations forward.”

In a matter of years, drones could be the go-to for time and cost-efficient conservation, and it looks like Envico could very well be leading the way – particularly in New Zealand.

12 Logistics & Transport NZ
Despite the array of benefits of using drones for conservation, as well as for transport and logistics long-term, there are some issues standing in the way of the technology’s growth.

What He Pou a Rangi report means for freight

CALLING FOR “transformational and lasting change across society and the economy” in response to the climate crisis, the Commission found New Zealand will miss its emissions reduction targets if it doesn’t engage in “strong and decisive action now”.

Therefore, the report recommended ambitious limits on the amount of greenhouse gases the country should be allowed to release over the next 15 years.

Three new targets for the country were set: an average reduction of 2% each year between 2022 and 2025, 17% each year between 2025 and 2030 and 36% each year between 2030 and 2035.

“Our carbon dioxide emissions per capita are higher than the global average. Aotearoa has made less progress reducing carbon dioxide emissions compared to many other developed countries,” the report stated.

“Since 1990, our carbon dioxide emissions have reduced by 5.2%. These reductions are slower than 32 out of 43 other Annex 1 countries.”

Annex 1 countries are defined as the industrialised countries that were members of the Organisation for Economic Co-operation and Development in 1992 and countries with economies in transition including Russia, Scandinavia and several other European states.

The report highlights our transport emissions per capita were high in 1990 and have remained high; at 3.4 tCO2 (total carbon dioxide) per person in 2018, our transport emissions per capita are higher than all but 4 of 43 Annex 1 countries.

While worldwide emissions intensity of transport increased substantially between 1990 and 2018, our transport emissions rose more than other developed countries.

The Commission found that overall, New Zealand is no longer ahead of comparable countries in carbon dioxide emissions per capita as high transport emissions have more than offset low electricity emissions.

“In 1990, Aotearoa was ranked 16th out of 43 Annex 1 countries for lowest carbon dioxide emissions per capita. In 2018, we had fallen to 25th out of 43, just below average.”

That is just snapshot of the hundreds of pages the Commission released in its advice to the Government about what and how to drastically reduce our greenhouse gas emissions to meet the Paris Agreement targets.

The Commission’s analysis shows that reducing transport emissions is crucial to meeting New Zealand’s emissions budgets and reaching net zero by 2050: this will have an immediate and lasting impact, the report states.

Transport emissions made up 36.3 percent of total long-lived gases in 2018, which is 16.6 Mt CO2-e, with most transport emissions coming by way of fossil fuels used to power vehicles: petrol and diesel used by cars, SUVs and trucks (91%), domestic flights (7%) and rail and coastal shipping (2%).

This means changing the way we travel and move goods; Kiwis should walk and cycle more and, more tellingly, freight will need to come off the road and onto rail and shipping.

The Commission recommends an integrated national transport network to encourage greater public transport patronage, the wide adoption of electric vehicles, and the use of low carbon fuels such as biofuels and hydrogen needs to increase in heavy trucks, trains, planes, and ships.

While tackling the “low hanging fruit” of decarbonising the country’s bus fleet by 2035 is a relatively easy initiative to achieve, it is a different story for the trucking industry, Road Transport Forum (RTF) Chief Executive Nick Leggett says.

“The first thing to say is that, as an industry, we support the Government’s aim of reaching net zero emissions by 2050. It’s going to take myriad industries and individuals working together with government to even get close to that point.

Cont. on page 14
THE HE POU A RANGI CLIMATE CHANGE COMMISSION’S REPORT SIGNALS SIGNIFICANT CHANGE TO THE WAY KIWIS GO ABOUT THEIR LIVES, BUT QUESTIONS REMAIN ABOUT HOW THE GOVERNMENT WILL GUIDE US TO OUR NEW ZERO-EMISSIONS DESTINATION BY 2050.
March 2021 13
New Plymouth-based company Hiringa Energy is developing a nationwide green hydrogen refuelling network. Photo: Hiringa Energy

“We know that the technology to decarbonise buses is available and coming on strong – look at all the cities around the country running fully electric buses. However, it’s far less certain for heavy transport, particularly for line haul operators, because the distance travelled is so much greater.

“That is exacerbated by a lack of infrastructure throughout the country’s transport routes. And should the infrastructure then be made available, outfitting trucks with batteries or the necessary charging apparatuses is likely to reduce businesses’ payloads.”

RTF members include the Road Transport Association New Zealand, National Road Carriers, and the New Zealand Trucking Association.

The affiliated representation of RTF is about 3,000 individual transport companies which in turn operate between 16,000-18,000 truckers involved in road freight transport as well as companies that provide services allied to road freight transport.

Employing about 53,000 people, representing 2% of the workforce, the road transport industry has a gross annual turnover of $6 billion and transports 70% of the New Zealand’s land-based freight every year, measured on a tonne/kilometre basis.

“For us, it’s about making incremental steps. That’s why the biofuel decision is positive. We might get a 3-4% emissions reduction throughout our diesel-using vehicles in our fleet. That’s meaningful, that’s practical, that’s real today.

“It’s not some future projection based on technology that doesn’t work. And so, it’s the incremental, it’s preparing the industry, it’s the industry being sustainable in its business practices today to get meaningful reductions in CO2 emissions, and continuing that as the technology develops.”

Another avenue that Mr Leggett suggests the Government could pursue is producing policy that incentivises the use of the Euro 6 standards for exhaust emissions, like that of the European Union’s sixth incarnation of the directive to reduce vehicle pollutants in both petrol and diesel cars.

A more widespread use of the highest quality diesel engines would encourage businesses to replace their existing fleet with the best possible diesel emission engine on the market, he says.

Methods such as fuel-efficient driving, better training around how to drive to reduce fuel consumption, better roads, and less congestion are all incremental changes that could contribute, too.

The aim is to have efficient and effective movement of freight, and continue to improve that so we don’t let the economy slip and reduce people’s ability to earn a living throughout our country, he says.

“If you look at the Climate Change Commission’s own estimates, they think we could get a modal shift of about 4 percent by 2030. While I think that’s ambitious, it is within the realm of possibility. But how many billions of dollars to we have to spend to get that?

“Rail cannot, and will never be able to, deliver for New Zealand’s freight task. Rail is just not a contestable mode for doing most of what we need to do. It doesn’t back up to a farm gate, it doesn’t go to the supermarket, and those are the things that people have got to remember in this discussion.

“But people get very hung up on the means, and the means doesn’t exist for our portion of the transport industry at this point. Hopefully, they will emerge but, in the meantime, we’ve got some stuff that we can do to start that journey.”

However, some in the private sector are following the Government’s lead in taking advantage of what they say is a gap in the market.

Take New Plymouth-based company Hiringa Energy for example; it is the first company in New Zealand dedicated to the supply of green hydrogen, and provide hydrogen solutions for the transport industry, the public sector, and transport operators. They are currently developing a nationwide green hydrogen refuelling network to offer a zero-emission fuel supply chain as a service for businesses and public transport operators across New Zealand.

Fuel cell electric vehicles (FCEVs) combine air and hydrogen to make water and electricity, while using the same drivetrains as electric vehicles but have a smaller battery.

Hydrogen storage is lighter than batteries so FCEVs carry more payload and drive further, and energy is stored as compressed hydrogen gas at 350 bar.

Hiringa Public Sector Advisor, Dion Cowley, says decarbonising heavy transport and public transport using hydrogen fuel cell vehicles is “low hanging fruit”, and the technology to do so is available now.

“New Zealand has excellent resources to generate green hydrogen right now and we see it playing a key role in New Zealand’s future energy mix.

“We begin the introduction of our refuelling network to New Zealand later this year. Phase one of the network roll-out includes

eight stations across the North and South Islands,” Mr Cowley says.

“This ready to execute project will deliver the infrastructure to enable the adoption of zero emission fuel solutions that are operationally efficient, practical, sustainable and convenient.”

The company believes its hydrogen FCEVs can achieve range between 500-700kms, payload capabilities comparable to Euro 6 models and refuelling times as conventional vehicles.

Additionally, they believe their technology is carbon emissions-free, has reduced noise, and high performance with instant torque and acceleration, with no degradation.

The Motor Industry Association (MIA) welcomed the report into required pathways to reduce New Zealand’s greenhouse gas emissions, stating it is a significant contribution to the debate and documents the challenge ahead for all New Zealanders.

Chief Executive, David Crawford, says the MIA has stated on many occasions that it supports well thought out and constructive policies that will lead to an increased rate in the reduction of CO2 emissions from New Zealand’s vehicle fleet.

“None of the policies suggested by the Climate Change Commission are unexpected other than the timelines for electric vehicle uptake and banning pure petrol or diesel vehicles. The task required to decarbonise our transport is monumental.”

Dr Jean-Paul Thull – past senior academic and transport advisor – believes that decreasing carbon dioxide will benefit overall air quality but not necessarily change the climate as there is evidence of higher-thannormal temperatures in the past, prior to heavy industry.

“Taking the debate about electric or Hydrogen power trains aside, decarbonisation can be embraced by applying external and internal accessibility planning principles.

“We need a strong focus on reducing traffic congestion associated with modern vehicle technology and ensuring a mix of appropriate modes and intelligent transportation system including pricing models to our congested transport corridors in regard to external accessibility.

“The toolbox for increased free flow can include options like introducing combined bus and heavy vehicle lanes, able to be used by private vehicles as a toll lane, shifting expensive sector public transport fares to time-based fares (e.g., 2 hours, 24 hours) and including public transport annual passes into salary packages by removing fringe benefit taxes.”

14 Logistics & Transport NZ

What He Pou a Rangi report means for freight

KIWIRAIL IS CAREFULLY considering the Climate Change Commission’s report and is encouraged by the commission’s support for rail, and its recognition of the part rail can play in meeting the country’s commitment to reducing emissions.

In FY20, using rail instead of road for freight meant a saving of nearly 237,000 tonnes of CO2e emissions. The commission’s proposal is to shift an additional 4% of New Zealand freight task from the road to rail and coastal shipping.

KiwiRail has the capacity to meet this increased demand. Improvements to the network’s resilience are being made as a result of substantial Government investment to address the legacy of underfunding in rail infrastructure and rolling stock.

The commission proposes the complete electrification of Auckland to Wellington and to electrify Hamilton to Tauranga (ECMT) by 2026. These are not currently on KiwiRail’s workplan, but we are open to exploring all options.

From Hamilton to Tauranga would require electrifying approximately 127 kilometres of single track of the East Coast Main Track line (and the Mission Bush branch). The biggest challenges in this section would be the supply of power from the grid, rather than the electrification of the line, and the need to replace the current signalling system as it is not compatible with having electric traction.

Other elements which would need to be considered include the availability of electric rolling stock, which would need to be bought on the international market, and making the necessary improvements to depots to accommodate that rolling stock.

A substantial part of the cost of electrification is civil works in the rail corridor and installing the foundations for the traction poles. This could be done by New Zealand firms that have a history in rail construction. However, currently these are generally at capacity with other rail upgrade projects and the City Rail Link underway, so it could be difficult for this work to scale up without major offshore support. Configuring and stringing the wires is specialist work.

Completing the work by 2026 would be very ambitious but not impossible.

The commission has used a figure from 2016 of $2.5 million per kilometre. These estimates will need to be reviewed and reassessed to reflect current costs, which may be as much as double that in some parts of the network. In addition, there are other factors to consider such as the cost of improving clearances in tunnels.

Separately, the introduction of two new rail-capable ferries middecade will have a big impact on KiwiRail’s carbon footprint. From day one they will reduce the Interislander’s emissions by about 40%, supporting our goal to reduce carbon emissions by 30% by 2030 and to be carbon neutral by 2050. The prospect of true low/zeroemissions propulsion systems for trains, and more particularly freight locomotives, is an exciting one that KiwiRail continues to monitor closely.

KiwiRail is committed to helping New Zealand meet its emission targets, and we continue to investigate the ways in which we can do this. New energy systems and improved technology will be part of our response.

Foreign aviation research and a proposed departure tax could benefit New Zealand

COVID-19 BROUGHT INTERNATIONAL tourism activity in New Zealand to a halt, devastating many businesses involved directly and indirectly with the sector. James Paul looks at the solutions the Parliamentary Commissioner for the Environment proposes to redesign the tourism industry.

West Coast residents made a plea to the Government for more support and a nearly $35 million wish list to keep communities afloat.

Nevertheless, the pandemic provided Parliamentary Commissioner for the Environment, Simon Upton, the opportunity to implore decisionmakers to address some of the long-standing environmental and social issues associated with New Zealand’s tourism industry.

In the report Not 100% – but four steps closer to sustainable tourism, Mr Upton says there is broad support for the idea that protecting tourism livelihoods in the short-term should not morph into a slow but inexorable return to the status quo in the long-term.

According to Statistics New Zealand’s International Travel and Migration, the number of visitors arriving by plane has increased steadily from 1.6 to 3.8 million between 2000 and 2019. In the year ended March 2019, 98% of international visitors arrived via plane.

The number of New Zealanders travelling overseas displayed similar growth, with annual departures increasing from 1.2 million to 3.1 million between 2000 and 2019.

Additionally, prior to the COVID-19 disruption, tourismrelated international aviation emissions had grown persistently, increasing by 25% between 2010 and 2017. In contrast, New Zealand’s gross emissions remained relatively static over the same period.

While the pressures of so many international tourists arriving in New Zealand have subsided due to the collapse in demand for air travel, the eventual recovery of key international markets makes it likely that this respite will only be temporary, the report states.

The Tourism Export Council of New Zealand (TECNZ) expects the industry’s recovery to return to pre-COVID-19 visitor levels by May 2024, in its 2020 New Zealand International Tourism Recovery Roadmap (the Roadmap).

Cont. on page 16

March 2021 15

Sourcing its data from Statistics New Zealand’s International Visitor Arrivals as at year end March 2020, the Roadmap highlights international visitor arrival recovery and timeline per year and market. Should the Roadmap’s prediction of a transTasman border opening occur by May 2021, it forecasts the number of Australian visitors to our shores will recover by 20% of preCOVID-19 levels (or 298,250 people).

It’s what is described in the Roadmap as the “reignite” phase, with the recovery trend continuing upwards to 100% of pre-COVID-19 levels of Australian visitors by May 2024 (1,491,252 people).

The Roadmap also assumes that 12 other countries’ arrivals will follow similar trends: a recovery of between 40-50% of people coming to New Zealand a year after the trans-Tasman border opens, with a full recovery in 2024.

Therefore, after wide consultation with industry groups, government departments and local authorities, the Commissioner has outlined four proposals to combat the environmental challenges facing New Zealand.

The first is to introduce a departure tax on all international flights leaving that reflects the environmental cost of doing so.

The proposal’s revenue would be utilised in two areas: supporting the development of low-emissions aviation technologies and providing funds for Pacific Island nations at risk of climate change.

Mr Upton proposes a departure tax could be incorporated into the ticket price with revenue collected by airlines to avoid inconveniencing passengers and passed to the relevant authority.

“Levying a departure tax on the basis of distance travelled provides a crude means of differentiating the tax based on the emissions attributable to a particular passenger’s travel. For the purpose of administrative simplicity, the tax could be differentiated based on broad distance bands.

“For example, a short-haul flight to Australia or the Pacific Islands would incur a lesser charge than a long-haul flight to Europe. The tax could further be differentiated by travel class to reflect the larger emissions footprint associated with business and first-class travel.

“In New Zealand’s case, a tax with three distance bands seems appropriate given key international tourist markets fall broadly into three distinct geographical regions: Australia/Pacific Islands, Asia, and North America/Europe.

“Accordingly, the tax could consist of a shorthaul band that covers flights to Australia and the Pacific Islands, a medium-haul band that applies to destinations in East and South-East Asia, and a long-haul band that covers the rest of the world.”

The report estimates that applying a range of rates to passenger movements for New Zealand’s top ten tourist markets in 2019 could generate between NZ$100–$400 million.

The lower bound estimate is based on a tax rate of NZ$35 per tonne of carbon dioxide – roughly equivalent to the New Zealand Emissions Trading Scheme price as of October 2020.

For passengers travelling economy class to the United Kingdom or the east coast of Australia, for example, that would translate into departure charges of around NZ$60 and NZ$6 respectively.

What may be interesting to Logistics and Transport readers is what Mr Upton describes as the “several additional layers of complexity” within the aviation sector.

“As a result of its inherently global character, international aviation is subject to unique governance and legal arrangements, with regulatory decisions typically made at the international level. Accordingly, attempts to introduce policy measures that could address emissions from this sector have often been pursued through multilateral agreements.

“These governance and legal settings are further compounded by technical challenges specific to the aviation sector. The absence of cost-effective technological solutions severely limits the set of potential mitigation strategies that can be deployed in the immediate term.”

While technological advancements in improved fuel efficiency from aircraft design has offered some reductions in the past –estimates show the average fuel burn of new aircraft fell by about 45% or 1.3% per year between 1968 and 2014 – such improvements are offset by growth in aviation activity.

Other sustainable aviation fuels and alternative energy sources – such as biofuels, carbon-based synthetic fuels, hydrogen and other non-carbon-based synthetic fuels (e.g., ammonia), and battery electric – have all received considerable attention as a way of decarbonising air travel.

However, they each have their own constraints, and the United Kingdom’s Committee on Climate Change considers that major technological breakthroughs in aviation are unlikely to make a significant difference to aviation emissions by 2050.

Nevertheless, Mr Upton believes that directing departure tax revenues towards research and development could enhance opportunities for aviation subsidies to support the introduction and deployment of lower carbon technologies.

While research and development will not have any immediate tangible impact on emissions, it forms a critical component of long-term efforts to decarbonise the aviation sector.

“Hypothecating revenue from aviation taxes for research and development appears to be increasingly perceived as an appropriate use of revenue,” the report states.

“For example, Germany recently announced its intention to reform its aviation taxation regime and hypothecate funds for the development of alternative fuels and energy sources.

“Ultimately, the emphasis here should be on fostering the development of a basket of technologies that, over time, have the potential to become cost competitive substitutes for conventional kerosenepowered jet engines.

“As in any other area of research and development policy, reserving public money for the development of a particular ‘winner’ technology comes with the risk of unintended consequences and the creation of ventures whose existence relies on ongoing public financial support.”

Researchers around the globe are investigating options for decarbonising aviation, and Mr Upton says New Zealand needs to get in on the action.

The development of carbon-neutral synthetic liquid fuel derived from sunlight and air is currently being progressed by researchers at ETH Zurich in Switzerland.

Delft University of Technology in the Netherlands have focused on more efficient aircraft designs and sustainable energy and propulsion technologies, including synthetic kerosene.

“Foreign aviation research programmes have often been established to assist their own aviation industry or advance national economic interests.

“Having the appropriate legal and governance arrangements in place would be needed to safeguard any investments and ensure New Zealand is able to appropriate any benefit from research activities conducted overseas.”

Read the full report here - www.pce. parliament.nz/media/197087/report-not100-but-four-steps-closer-to-sustainabletourism-pdf-24mb.pdf

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CILT Mentoring Review

WE ALL KNOW that one of the key ways to retain top talent is to invest in their development. CILT Mentoring has been active for quite a few years now and it is timely to remind CILT members about the programme and how it can be positioned as a core part of your leadership development programme. It is an excellent opportunity for senior management to provide rising talent with the opportunity to reflect upon their career, their life & dreams and learn from mentors.

Mentoring is often confused with coaching. Coaching focuses primarily on developing skills for performance improvement in the current business context, delivered by managers and colleagues or someone specifically brought in to help someone grow in the role. Mentoring, on the other hand, is much more holistic and focusses on the longer term and whole person beyond the boundaries of their current work situation. Mentoring usually sits outside the organisation and can give the feeling of a trusted counsellor or friend, praising achievement and providing inspiration about what is possible, as well as practical advice on how to foster the aspirations of the mentee.

So overall, mentoring is a more holistic directional support approach, giving mentees opportunities to share their views and dreams and get advice how to better understand or value their current environment, explore their potential and discuss possibilities. I believe most successful leaders had external mentors at some stage and not necessarily from their area of expertise. It is worth mentioning that there is usually more than one pathway to getting to live your dream and that life is full of surprises that requires us to adapt to. Mentoring is a journey to discover yourself, question your pathway and having someone trustworthy with whom you can discuss your plan. By listening to stories from your mentor, as a mentee you may gain a different perspective, in most cases a more openminded view, helping you with in many ways.

While recent CILT mentees came from a variety of organisations (e.g., South Port, Ports of Auckland, Christchurch Airport, various logistics companies, Waka Kotahi NZ Transport Agency (NZTA), Scion,

environmental/engineering consultancies), the mentors were carefully selected to match the mentees’ interests or personality and avoid any conflict of professional interests. It can take a while to identify a good match and requires good communication at all levels, especially dealing increasingly in a multi-cultural or multi-lingual environment. The gender of the mentees is pretty balanced, whereas the current trend seems a move to more female mentors.

There are currently 6 mentees under-way, Ports of Auckland/Nexus, Port of Napier, K+S Freighting, TIL, NZTA and I expect a few more for 2021-22 as a result of this article.

Statements of mentors:

(NZ) Limited

“I would like to congratulate CILT for running their mentoring programme.

I was recently involved in mentoring a young person from Ports of Auckland. It is refreshing to still see new and enthusiastic people working towards a career in the logistics and transport industries. Hopefully CILT’s mentoring programme will continue to encourage enthusiasm for those wishing to develop themselves for a future in a growth industry. ”

CFHRNZ, LFNZATD, FFin, FAIML CEO Zuri Limited, and formerly General Manager People, Foresight and Innovation at Ports of Auckland

“Being a mentor has been an excellent way to share my knowledge and experience, providing different perspectives to challenge my mentee. It’s been also an awesome giving back to the industry I love. More than that, it’s been personally rewarding to work with fresh, young talent. Mentoring is a relationship and the learning and sharing goes both ways. The care taken to match mentors and mentees is a true strength of the CILT programme because great things can spring from a balanced, trusting, mentoring experience for both mentee and mentor. ”

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“The CILT mentoring programme is a fantastic opportunity for both, mentee and mentor.

Looking back at what has been almost one year now of mentoring a young high potential professional, I am more convinced than ever that mentoring is not a one-way street. I have enjoyed sharing my life and work experience with my mentee and by that giving him some support, guidance and food for thought just as much as him challenging me and my status quo. Getting inspired by their fresh perspective is certainly one very positive take away for me as a mentor. ”

“I have recently been matched to my first CILT Mentee and feel the setup of the CILT programme is constructive and focussed. Previously when I’ve been involved with a mentorship programme, it has been a more informal approach, leaving contacts and outcomes to both parties. Like most bodies of work a defined time frame, and goals assist in reaching the Mentees targets. This up-and-coming workforce see the value of this type of programme should serve them well and encourages new blood into the industries served. ”

“I found the mentorship useful in terms of helping me determine what I really wanted to pursue in my career and what I enjoyed most in my work. Reflective discussions with my mentor as well as work to arrange a networking event for CILT was a really good experience for me. Without taking this time out, I doubt I would have made the changes that I have, which have led to a fulfilling career. ”

I am just embarking on my mentoring journey with CILT. With over 20 years’ experience in business and operations management in the Port and logistics industry, and mentoring a number of staff through their careers, I’m looking forward to working with my mentee to encourage and inspire him on his journey and life goals. ”

“The CILT mentoring programme is an exceptional opportunity for any young professional who is motivated towards excelling their career. The programme tactically pairs you with an industry leader that is believed to suit your personality, goals and ambitions. These mentors have a wealth of knowledge and experience which is an amazing opportunity to develop or re-focus your personal and career aspirations. I highly recommend getting involved in this mentoring programme for anyone who is relatively early in their career… the opportunities are endless, but the variability of its success is driven by the mentee. ”

“As a young transport and logistics professional at TIL Freight, I’m thankful for having this mentoring opportunity in 2021. For me this is a chance to expand viewpoints, develop craft, leadership agility and consider new ways of approaching situations. This is a development opportunity for pushing boundaries along with being part of a respected and rewarding programme.

CILT by pairing mentees and mentors together allows experienced individuals to share knowledge, experience and advice. Which helps anyone to learn and grow professionally in their career. ”

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Statements of sponsors:

“Ports of Auckland has been involved in the CILT mentoring programme – and other mentoring programmes – for many years. We find such programmes are very important. They allow us to nurture new talent, to identify leaders of the future and to learn from the young people being mentored. This last point is important. The people we are mentoring now will be the leaders of the future and they have a fresh perspective which it is important that we listen to and learn from. We are happy to keep being involved in the CILT programme. ”

“Christchurch Airport is a proud sponsor of CILT’s Mentoring Programme. We see significant value in seasoned technical and operational experts sharing their knowledge with young professionals beginning their careers in logistics and transport. This initiative provides the mentees with career and development opportunities and enables mentor organisations an insight into attracting and retaining young professionals. Programmes like this are critical to the ongoing economic, social and environmental sustainability of the transport and logistics industry. ”

As leader of the CILT mentoring programme, I wish to thank current and past mentoring sponsors.

“Napier Port are excited to be sponsoring the CILT Mentoring Program for 2021. This program is very well run and feedback from past mentees is very encouraging. We fully believe in training and development of our team and uplifting the skills and consciousness of our growing industry. Supply chain, logistics and transport are the backbone of any successful country. It is fantastic that CILT are continuing on with the march towards the professionalisation of our wider industry. ”

“Tranzliquid Logistics Ltd endorses CILT sponsorship, mentoring and training to discover your strengths and cultivate them vitally important in today’s ever-changing world. As our need to compete internationally grows constantly, smart experience in Logistics, Transport & Supply Chain industries creates value to NZ Inc competitiveness … this fits our DNA of people with an adventurous attitude. ”

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Workforce Development Council’s Orders in Council Proposals

VOCATIONAL EDUCATION is undergoing a big transformation since the introduction of Industry Training Organisations (ITOs), and government highlights that industry will have a direct say in training and skills through the establishments of Workforce Development Councils (WDCs). The WDCs claim to become a powerful voice for industry and their communities to ensure New Zealand’s workforce will be fit for now and the future.

The Manufacturing, Engineering and Logistics WDC interim Establishment Board (iEB) was appointed in June 2020 to develop the proposed content for its Order in Council. As part of the Order in Council development process, the iEB engaged with its industries, to test and seek initial feedback on its draft proposals, and to start building connections across the new WDC industry grouping. The Order in Council invited for further feedback from 16 December 2020 to 5 February 2021 as part of the formal consultation. You will find below the response from CILT through a formal submission:

“The Chartered Institute of Logistics and Transport (CILT) is most supportive of the basic statement of the Review of Vocational Education (RoVE) to create ‘A strong, unified, sustainable system for all vocational education that delivers the skills that learners, employers and communities need to thrive’.”

CILT welcomes the idea of establishing a strong industry voice in vocational education and wishes to provide active support to the WDC dealing with transport and logistics since this sector represents the basis of our economy and overall, our well-being. The logistics sector has grown and diversified rapidly over the last 20 years, being strongly associated with Intelligent Transport Systems and Information and Communication Technology, certainly changed from the past where the main focus was on loading and unloading aircraft, ships, trains or trucks. While 9/11 led to adoption of new worldwide safety regulations, COVID-19 has highlighted weak links within overall supply chains. Brexit is currently another good example of resilience testing from end-toend in supply chains and across many modes, Customs requirements and multiplicity of tax systems. These recent examples show the wide diversity of skills required by the industry and employers. RoVE offers a good opportunity to address a number of current issues within the Institutes of Technology or Polytechnic sector (ITPs).

The proposal for the logistics sector is to be under the umbrella of the Engineering, Manufacturing, Logistics WDC, concentrating on the operation side of logistics, warehousing, distribution covering the various modes. This is not something which CILT would support for the following reason.

Transport, logistics and supply chain management covers a huge employment sector (without the engineering and academic sides). This includes road, rail, air and maritime logistics, warehousing, cargo hubbing and distribution, warehousing and commercial storage, freight forwarding, national and international trade, importing and exporting. Considering the logistics sector is broad and multi-disciplinary in many ways, CILT would be keen to see a separate WDC for the entire logistics, transport, supply chain sector, including international trade. CILT is concerned that within the current WDC structural environment, an imbalance unduly favouring large manufacturing and/ or engineering companies may occur. There are many logistics companies, the bulk of which are small operations, and our concern is that most of these small companies or organisations will not receive fair representation.

WHERE TO FROM HERE? Up to now, students were able to access over 300 different courses, with different content, at various levels in supply chain management by checking career or NZQA websites, which gave little guidance to enrolling students. The various levels (3 to 6) are not helping create a pathway towards a certificate, diploma or even bachelor qualification, because of limited cross crediting of courses, as a result of competition between ITPs.

CILT proposes WDC should consider a basic pathway that would end up in a bachelor’s degree in Logistics and Transport Operations. A first year would cover generic core subjects, with the ability to specialise after satisfactorily passing that first year, probably by way of full-time study. We expect that the RoVE reform will simplify and remove competitive barriers between ITPs, allowing a student to pick and choose a number of courses that will be assigned with credit points. In an ideal world, some of these credit points may even be cross credited at university level 100 level courses. Such a pathway would have a certain number of basic courses that would have the same content across all ITPs offering these courses on campus or off campus. The

off-campus courses would be delivered by distance learning (through recorded lectures or offered simultaneously through modern software technology) with regular meetings on a regional campus with a dedicated examiner or course mentor. These personnel could include external professionals and/or academic/industry contractors. The second year would move into specialisation in one of the transport modes with a third year directed to applied operation strategies. This should meet requirements for a bachelor in Transport & Logistics (T&L) with focus on operations. Some of the courses can be split into part-time theory and part-time internship or full company interns. To avoid future costs to industry, it will be important to integrate within the specialisations relevant qualifications, e.g. the CBAFF UUI Course designed to become users of the Joint Border Management Systems, in accordance with NZ Customs Service regulations.

While this proposed system will increase transparency for employers in terms of content, employers would be encouraged to interact on a 5-year review basis on individual course content, direction of courses to ensure they get the right graduates. The specialisation courses will also be an opportunity for existing staff to refresh or upgrade along a transparent pathway. The current proposal of WDC to influence which courses will be run on which campus will then not be as crucial as each ITP will (by taking T&L as an example) become a Centre for Excellence for a particular mode. CILT applauds the concept of Centres of Vocational Excellence (something CILT proposed in an earlier submission), as it would re-deploy staff to concentrate on operational research dedicated to the New Zealand industry. We see here also an excellent opportunity for these centres to run international workshops and this is also a situation to attract funding for applied research.

In summary, CILT strongly recommends an individual WDC status for Transport & Logistics, including parts of MBIE-MFAT’s interests as our industry is unique to the economy of New Zealand. CILT will be thrilled to support WDC in a leadership role, considering that CILT has been wellestablished in New Zealand for over 60 years and has a large membership comprising individual professionals and corporate industry members who see CILT as a connection between them, government and education.

20 Logistics & Transport NZ

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