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Differences in Port Pricing Strategies: Case of Port and Fairway Fees in Northern Baltic Sea Countries

Author

Listed:
  • Tõnis Hunt

    (Estonian Maritime Academy, Tallinn University of Technology, Kopli 101, 11712 Tallinn, Estonia)

  • Ulla Tapaninen

    (Estonian Maritime Academy, Tallinn University of Technology, Kopli 101, 11712 Tallinn, Estonia)

  • Jonne Kotta

    (Estonian Maritime Academy, Tallinn University of Technology, Kopli 101, 11712 Tallinn, Estonia
    Estonian Marine Institute, University of Tartu, Mäealuse 14, 12618 Tallinn, Estonia)

Abstract

Ports and waterways are integral components of the maritime transport system, facilitating global trade and logistics. Governments, ports, and service providers levy charges on vessels for the use of fairways, port access, and associated services. This study analyzes the port and fairway fee strategies of seven major Baltic Sea ports across four countries: Estonia (Tallinn and Sillamäe), Latvia (Riga and Ventspils), Finland (Helsinki and HaminaKotka), and Sweden (Stockholm). The analysis evaluates the application of general port pricing principles in these ports’ strategies. The findings reveal that port fees are predominantly value-based, with tariff rates varying by vessel type and cargo. However, no uniform structure exists for fairway fees. Notably, incorporating environmental components into fairway fee calculations emerges as a promising mechanism to promote sustainability in maritime transport. By incentivizing the adoption of environmentally friendly vessels through differentiated fee structures, ports and policymakers can accelerate the transition toward greener shipping practices. This study highlights the role of economic instruments in advancing environmental objectives and emphasizes the need for a harmonized, sustainability-driven approach to fairway and port pricing in the Baltic Sea region.

Suggested Citation

  • Tõnis Hunt & Ulla Tapaninen & Jonne Kotta, 2025. "Differences in Port Pricing Strategies: Case of Port and Fairway Fees in Northern Baltic Sea Countries," Sustainability, MDPI, vol. 17(7), pages 1-17, April.
  • Handle: RePEc:gam:jsusta:v:17:y:2025:i:7:p:3275-:d:1629690
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    References listed on IDEAS

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    1. Ulla Tapaninen & Riina Palu, 2022. "Recovery of ro-pax ferry traffic from covid-19 under tightening environmental regulations: case Helsinki-Tallinn," Journal of Shipping and Trade, Springer, vol. 7(1), pages 1-17, December.
    2. Alexandre Lavissiere, 2018. "Vessel Port Dues: An Influence from Path Dependency rather than Geography of Ports," Post-Print hal-01954461, HAL.
    3. Meersman, Hilde & Strandenes, Siri Pettersen & Van de Voorde, Eddy, 2014. "Port Pricing: Principles, Structure and Models," Discussion Paper Series in Economics 14/2014, Norwegian School of Economics, Department of Economics.
    4. Merkel, Axel & Lindgren, Samuel, 2022. "Effects of fairway dues on the deployment and utilization of vessels: Lessons from a regression discontinuity design," Transport Policy, Elsevier, vol. 126(C), pages 204-214.
    5. Talley, Wayne K. & Ng, ManWo, 2013. "Maritime transport chain choice by carriers, ports and shippers," International Journal of Production Economics, Elsevier, vol. 142(2), pages 311-316.
    6. Merkel, Axel & Lindgren, Samuel, 2022. "Effects of fairway dues on the deployment and utilization of vessels: Lessons from a regression discontinuity design," Working Papers 2022:3, Swedish National Road & Transport Research Institute (VTI).
    Full references (including those not matched with items on IDEAS)

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