‘Security issues raise port operation risks’

FAVORING productivity over safety and the lack of security features among ports have resulted in higher risk operations, according to transport and logistics insurance provider TT Club.

terminals can be measured against a basic matrix. For example, cargo handling operations will fall into a higher end of risk assessment if they have poor equipment maintenance or lack staff training regimes,” TT Club Senior Underwriter Dorota Jilili told attendees of the recent Mediterranean Ports Conference in Barcelona, Spain.

A culture of favoring productiv- ity over safety, or scant attention to security are key characteristics of higher risk operations,” she said in a statement.

Jilili noted that landlord port authorities that do not provide operational services, but grant concessions to operators increase risk factors, such as poorly constructed contracts with concessionaires.

A lack of emergency response protocols or clarity of interface with port service providers also lead to greater risk, according to her.

“In this environment, it would be a fallacy to think that non- operational risks are entirely benign. Furthermore, the interactions between the port community stakeholders, for activities such as navigation, berthing or emergency response, are critical not just for liability but also ongoing successful outcomes,” Jilili said.

She also said port entities, both operational and landowning, should consider the effect of uninsured costs caused by accidents, as these could mean a delay in reestablishing the normal revenue streams, temporary additional labor and emergency supplies, and damage to reputation.