Italy: The New Parameters For Evaluating Concession Applications: Nature And Relevance Of The Infrastructure And Superstructure Investment Proposed By An Applicant

Last Updated: 8 October 2018
Article by Luca Brandimarte

After the summer break, we are ready to get back to examining the parameters contained in the important circular of the Italian Ministry of Infrastructure and Transport ("MIT"), i.e. circular No. 187, published in the Official Gazette of the Republic of Italy on 5 February 2018, which Port System Authorities ("PSAs") are required to consider when comparing applications for renewal and/or issuance of concessions under Article 18 of Law No. 84/94.

In the last issue of our newsletter, we reviewed the second of such parameters, concerning the ability to provide the best possible access conditions to port terminals to users and operators.

Let's now examine the third criterion set out in the MIT circular:

"the nature and relevance of infrastructure and superstructure investments such as systems, equipment and technologies aimed at the development of port productivity, protection of the environment and safety, in terms of both "safety" and "security", including assessment of the financing used in the form of public and private funds".

The aforementioned circular provides that, when there are multiple potential users applying for a concession over a maritime State-owned area under Article 18 of Law No. 84/94, competent PSAs shall assess competing applications including by taking into account the nature of the infrastructure and superstructure investment proposed by the person concerned. This is, of course, also provided with a view to improving and developing port productivity.

Therefore, in the eyes of connoisseurs, the scope of the parameter under examination might resemble the scope of the National Strategic Plan for Ports and Logistics ("Piano strategico nazionale della portualità e della logistica") ("PSNPL") , which among its goals includes the improvement of the entire port system by encouraging, inter alia, intermodal freight transport.

Let's now analyse the parameter set out in the MIT circular in more detail.

The parameter in question first and foremost considers that infrastructure and superstructure investments (such as systems, equipment and technologies to be used within a port area) are aimed at developing "port productivity", i.e. the ability of a given port terminal to generate high "throughput" (i.e. production volumes) in connection with the resources used . It follows from this that any appropriate investment on areas granted under concession should contribute to increasing the production capacity of a given port terminal and, accordingly, increasing the production capacity of the port area as a whole.

The aforementioned parameter also involves complying with port environmental and safety protection goals, in terms of both "safety" and "security". In particular, the criterion in question, would seem to support the adoption by concessionaires of a set of measures aimed, as for the "safety" profiles, to safeguard the safety of port workers and third parties operating on the quay. On the other hand, with regard to "security" profiles, the aforementioned criterion would suggest the adoption, by the terminal operator, of measures aimed at safeguarding the security of port facilities in order to prevent and annul any harmful actions (such as, by way of example, acts of terrorism and sabotage) against the same facilities.

Obviously, the parameter under examination does not seem to be absolute, but its purpose is to bring to the attention of the terminal operator a set of goals to be achieved in order to promote the best possible satisfaction of the general interest.

Finally, the parameter under c) of the above-mentioned circular, provides that, when assessing concession applications, PSAs shall also consider the origin of funds (i.e. the public and/or private nature of the funds to be invested) that port operators/applicants are willing to use to be able to afford any proposed infrastructure and superstructure investment.

In the synthesis of the ministerial criterion, therefore, the PSAs will have to assess the applications with greater attention, also in terms of greater coordination with the public administration, as well as a rational exploitation of public resources, and above all identify – for the same investments proposed by the various aspiring concessionaires – which are actually of public source and which of a private source, valuing for this purpose the abovementioned aspect in the relevant preliminary investigation performed by the Entity.

In light of all the above, it would therefore seem clear that the parameter of the MIT circular under examination, in accordance with the goals set out by the PSNPL, include among its goals that of increasing traffic for the benefit of individual port areas and is therefore strongly linked to the evaluation parameter under d), focused on traffic and development targets, which will be reviewed in the next issue of our newsletter.

However, it would seem equally clear that the parameter under examination is aligned with the other parameters of the MIT circular – already discussed – relating to the coherence of the applications for concessions with the provisions of the national sector planning instruments in force and to the capacity to ensure the widest access conditions to terminals for interested users and that it is also aimed at ensuring a homogeneous zoning of the port areas within the single port areas.

Nonetheless, what we would like to observe is that the importance of the criterion sub letter c), also requires a necessary qualitative homogeneity of the applications for the granting of concessions with regard to the investments that must be compared. Hence the importance of the Port Master Plan zoning, in light of the evident consideration that terminals of different nature (i.e. specialized in different types of traffic) can evidently require investments of a different nature and entity, the comparison of which could be difficult for the PSAs.

Footnote

1 In this regard, it is to be mentioned that some PSAs have already started to implement the contents of the MIT circular by enforcing its internal administrative procedures on maritime State-owned areas.

2 Introduced by Decree of the President of the Council of Ministers of 26 August 2015, aiming to: (i) improve the competitiveness of the port and logistic system, (ii) promote the growth of traffic, (iii) encourage the intermodality of cargo traffic.

3 Assessment of port productivity is carried out also considering the length of the quay and the square meters of a ramp granted under concession.

4 Reference is made, in particular, to the PSNPL, to the Port Regulatory Plan and to the Three-year Operational Plan.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

To print this article, all you need is to be registered on Mondaq.com.

Click to Login as an existing user or Register so you can print this article.

Authors
Similar Articles
Relevancy Powered by MondaqAI
 
Some comments from our readers…
“The articles are extremely timely and highly applicable”
“I often find critical information not available elsewhere”
“As in-house counsel, Mondaq’s service is of great value”

Related Topics
 
Similar Articles
Relevancy Powered by MondaqAI
Related Articles
 
Up-coming Events Search
Tools
Print
Font Size:
Translation
Channels
Mondaq on Twitter
 
Register for Access and our Free Biweekly Alert for
This service is completely free. Access 250,000 archived articles from 100+ countries and get a personalised email twice a week covering developments (and yes, our lawyers like to think you’ve read our Disclaimer).
 
Email Address
Company Name
Password
Confirm Password
Position
Mondaq Topics -- Select your Interests
 Accounting
 Anti-trust
 Commercial
 Compliance
 Consumer
 Criminal
 Employment
 Energy
 Environment
 Family
 Finance
 Government
 Healthcare
 Immigration
 Insolvency
 Insurance
 International
 IP
 Law Performance
 Law Practice
 Litigation
 Media & IT
 Privacy
 Real Estate
 Strategy
 Tax
 Technology
 Transport
 Wealth Mgt
Regions
Africa
Asia
Asia Pacific
Australasia
Canada
Caribbean
Europe
European Union
Latin America
Middle East
U.K.
United States
Worldwide Updates
Registration (you must scroll down to set your data preferences)

Mondaq Ltd requires you to register and provide information that personally identifies you, including your content preferences, for three primary purposes (full details of Mondaq’s use of your personal data can be found in our Privacy and Cookies Notice):

  • To allow you to personalize the Mondaq websites you are visiting to show content ("Content") relevant to your interests.
  • To enable features such as password reminder, news alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
  • To produce demographic feedback for our content providers ("Contributors") who contribute Content for free for your use.

Mondaq hopes that our registered users will support us in maintaining our free to view business model by consenting to our use of your personal data as described below.

Mondaq has a "free to view" business model. Our services are paid for by Contributors in exchange for Mondaq providing them with access to information about who accesses their content. Once personal data is transferred to our Contributors they become a data controller of this personal data. They use it to measure the response that their articles are receiving, as a form of market research. They may also use it to provide Mondaq users with information about their products and services.

Details of each Contributor to which your personal data will be transferred is clearly stated within the Content that you access. For full details of how this Contributor will use your personal data, you should review the Contributor’s own Privacy Notice.

Please indicate your preference below:

Yes, I am happy to support Mondaq in maintaining its free to view business model by agreeing to allow Mondaq to share my personal data with Contributors whose Content I access
No, I do not want Mondaq to share my personal data with Contributors

Also please let us know whether you are happy to receive communications promoting products and services offered by Mondaq:

Yes, I am happy to received promotional communications from Mondaq
No, please do not send me promotional communications from Mondaq
Terms & Conditions

Mondaq.com (the Website) is owned and managed by Mondaq Ltd (Mondaq). Mondaq grants you a non-exclusive, revocable licence to access the Website and associated services, such as the Mondaq News Alerts (Services), subject to and in consideration of your compliance with the following terms and conditions of use (Terms). Your use of the Website and/or Services constitutes your agreement to the Terms. Mondaq may terminate your use of the Website and Services if you are in breach of these Terms or if Mondaq decides to terminate the licence granted hereunder for any reason whatsoever.

Use of www.mondaq.com

To Use Mondaq.com you must be: eighteen (18) years old or over; legally capable of entering into binding contracts; and not in any way prohibited by the applicable law to enter into these Terms in the jurisdiction which you are currently located.

You may use the Website as an unregistered user, however, you are required to register as a user if you wish to read the full text of the Content or to receive the Services.

You may not modify, publish, transmit, transfer or sell, reproduce, create derivative works from, distribute, perform, link, display, or in any way exploit any of the Content, in whole or in part, except as expressly permitted in these Terms or with the prior written consent of Mondaq. You may not use electronic or other means to extract details or information from the Content. Nor shall you extract information about users or Contributors in order to offer them any services or products.

In your use of the Website and/or Services you shall: comply with all applicable laws, regulations, directives and legislations which apply to your Use of the Website and/or Services in whatever country you are physically located including without limitation any and all consumer law, export control laws and regulations; provide to us true, correct and accurate information and promptly inform us in the event that any information that you have provided to us changes or becomes inaccurate; notify Mondaq immediately of any circumstances where you have reason to believe that any Intellectual Property Rights or any other rights of any third party may have been infringed; co-operate with reasonable security or other checks or requests for information made by Mondaq from time to time; and at all times be fully liable for the breach of any of these Terms by a third party using your login details to access the Website and/or Services

however, you shall not: do anything likely to impair, interfere with or damage or cause harm or distress to any persons, or the network; do anything that will infringe any Intellectual Property Rights or other rights of Mondaq or any third party; or use the Website, Services and/or Content otherwise than in accordance with these Terms; use any trade marks or service marks of Mondaq or the Contributors, or do anything which may be seen to take unfair advantage of the reputation and goodwill of Mondaq or the Contributors, or the Website, Services and/or Content.

Mondaq reserves the right, in its sole discretion, to take any action that it deems necessary and appropriate in the event it considers that there is a breach or threatened breach of the Terms.

Mondaq’s Rights and Obligations

Unless otherwise expressly set out to the contrary, nothing in these Terms shall serve to transfer from Mondaq to you, any Intellectual Property Rights owned by and/or licensed to Mondaq and all rights, title and interest in and to such Intellectual Property Rights will remain exclusively with Mondaq and/or its licensors.

Mondaq shall use its reasonable endeavours to make the Website and Services available to you at all times, but we cannot guarantee an uninterrupted and fault free service.

Mondaq reserves the right to make changes to the services and/or the Website or part thereof, from time to time, and we may add, remove, modify and/or vary any elements of features and functionalities of the Website or the services.

Mondaq also reserves the right from time to time to monitor your Use of the Website and/or services.

Disclaimer

The Content is general information only. It is not intended to constitute legal advice or seek to be the complete and comprehensive statement of the law, nor is it intended to address your specific requirements or provide advice on which reliance should be placed. Mondaq and/or its Contributors and other suppliers make no representations about the suitability of the information contained in the Content for any purpose. All Content provided "as is" without warranty of any kind. Mondaq and/or its Contributors and other suppliers hereby exclude and disclaim all representations, warranties or guarantees with regard to the Content, including all implied warranties and conditions of merchantability, fitness for a particular purpose, title and non-infringement. To the maximum extent permitted by law, Mondaq expressly excludes all representations, warranties, obligations, and liabilities arising out of or in connection with all Content. In no event shall Mondaq and/or its respective suppliers be liable for any special, indirect or consequential damages or any damages whatsoever resulting from loss of use, data or profits, whether in an action of contract, negligence or other tortious action, arising out of or in connection with the use of the Content or performance of Mondaq’s Services.

General

Mondaq may alter or amend these Terms by amending them on the Website. By continuing to Use the Services and/or the Website after such amendment, you will be deemed to have accepted any amendment to these Terms.

These Terms shall be governed by and construed in accordance with the laws of England and Wales and you irrevocably submit to the exclusive jurisdiction of the courts of England and Wales to settle any dispute which may arise out of or in connection with these Terms. If you live outside the United Kingdom, English law shall apply only to the extent that English law shall not deprive you of any legal protection accorded in accordance with the law of the place where you are habitually resident ("Local Law"). In the event English law deprives you of any legal protection which is accorded to you under Local Law, then these terms shall be governed by Local Law and any dispute or claim arising out of or in connection with these Terms shall be subject to the non-exclusive jurisdiction of the courts where you are habitually resident.

You may print and keep a copy of these Terms, which form the entire agreement between you and Mondaq and supersede any other communications or advertising in respect of the Service and/or the Website.

No delay in exercising or non-exercise by you and/or Mondaq of any of its rights under or in connection with these Terms shall operate as a waiver or release of each of your or Mondaq’s right. Rather, any such waiver or release must be specifically granted in writing signed by the party granting it.

If any part of these Terms is held unenforceable, that part shall be enforced to the maximum extent permissible so as to give effect to the intent of the parties, and the Terms shall continue in full force and effect.

Mondaq shall not incur any liability to you on account of any loss or damage resulting from any delay or failure to perform all or any part of these Terms if such delay or failure is caused, in whole or in part, by events, occurrences, or causes beyond the control of Mondaq. Such events, occurrences or causes will include, without limitation, acts of God, strikes, lockouts, server and network failure, riots, acts of war, earthquakes, fire and explosions.

By clicking Register you state you have read and agree to our Terms and Conditions