1. New alternatives for financing a river dredging project (Argentina)
Raul S. Escalante – Sebastián García – Martín D. Civeira
HIDROVIA SA

2. The world
Argentina

3. General location

4. Argentine Waterways 3.000 km

5. Hidrovía S.A. is a bi-national Company formed by:
Jan de Nul NV (from Belgium)
Emepa S.A. (from Argentina)
With the object of doing:
Capital and maintenance dredging Jan De Nul
Aids to Navigation system Emepa

6. Waterway in charge of Hidrovía Santa Fe – Confluencia 640 Km
Santa Fe – Ocean
1000 Km

7. Dredging and AtoN services in Argentina
Owner: Argentine Government
Concession Expiring: 2021
Risk Contract
Incomes:
Santa Fe- Ocean: Toll Santa Fe- Confluencia: Argentine Government Financing

8. Santa Fe – Ocean Waterway
25 ft navigable depth
34 ft navigable depth
Year 2011

9. Santa Fe - Confluencia
10 ft navigable depth
Year 2011/ 2012

10. Vessels
Santa Fe – Confluencia
640 Km
Santa Fe – Ocean
1000 Km

11. Tasks performed Capital and maintenance dredging
Bathymetric surveys for depth control
Aids to Navigation: deployment and maintenance
Tide, waves and wind measurements
Environmental Management Plan
Projects and Studies Department
Traffic Control

12. Total goods movement (international and domestic) in the waterway (SFO) – Year 2010
Total: 111 million tons

13. Total goods movement (international and domestic) in the waterway (SFN) – Year 2010 (metric tons)
Total: 16 million tons

14. Toll and Subsidy 1995 – 2010 Santa Fe – Ocean

15. Toll 2010 Santa Fe – Ocean
1,2 $ / Ton

16. Toll Formula T = TD + TAtoN TD: Dredging toll
TAtoN: Aids to Navigation toll

17. Toll Formula - AtoN TAtoN = tb x NRT NRT: net register tonnage
tb: AtoN coefficient ($/ton)

18. Toll Formula - Dredging
TD = td x CF x NRT
td: Dredging coefficient ($/ ton)
CF: Correction Factor
NRT: net register tonnage

19. Toll Formula - Dredging

20. Commodities (soybean) price evolution

21. Port and River Costs River Pilotage
Variable Port costs: berth, different vessel and passenger taxes, tug…
Fixed Port costs: customs, maritime agency…

22. Costs Compared Pilotage (round trip Recalada-Rosario) 2,35
HV Toll ,20
Tugboat ,79
Port taxes ,30
Maritime Agent 0,29
Berth and port facilities (per day) 0,10
Commodities (soybeam Chicago) ,00

23. Other Practices Short Dredging Contract
Bidding process
Time consuming
Administrative aspects
Siltation after end of contract
Possible delays in payment

24. Other Practices Public Dredging
Governments can sometimes be quite efficient, but...
Delays
Objectives not accomplished
More “relaxed” controls

25. Dredging is an Aid to Navigation

26. Conclusions
Public financing is difficult to maintain through the years
Dredging and AtoN works in charge of the Government sometimes are not as efficient as they should
Our financing depends only on vessels using the waterway, which reasonable toll fees

27. Thanks for your attention