IDEAS home Printed from https://ideas.repec.org/a/ids/ijbsre/v11y2017i4p417-428.html
   My bibliography  Save this article

Cabotage and sulphur regulation change: cost effects to Northern Europe

Author

Listed:
  • Olli-Pekka Hilmola
  • Ain Kiisler
  • Per Hilletofth

Abstract

Change has been persistent in European Union regarding new directive and international agreements concerning the logistics sector. Recently, cabotage rules were implemented for road transports, and new demanding low sulphur levels applied at English Channel, North Sea and Baltic Sea for sea vessels. Our research concerns the implications to transportation costs of these changes in largest Estonian, Finnish and Swedish companies. Survey shows that cabotage regulation change has resulted in no change within road freight prices (some possibility for decline). On the contrary, sulphur regulation has resulted in freight cost increase (up to 6% higher than before). Interestingly, respondents show some movement in the use of different routes to or from Central Europe. Using a longer hinterland transportation route through Baltics has some momentum to grow, while others are under of somewhat pressure. However, this noted change is not significant, and does not concern most of the companies.

Suggested Citation

  • Olli-Pekka Hilmola & Ain Kiisler & Per Hilletofth, 2017. "Cabotage and sulphur regulation change: cost effects to Northern Europe," International Journal of Business and Systems Research, Inderscience Enterprises Ltd, vol. 11(4), pages 417-428.
    • Handle: RePEc:ids:ijbsre:v:11:y:2017:i:4:p:417-428
    as

    Download full text from publisher

    File URL: http://www.inderscience.com/link.php?id=87099
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ids:ijbsre:v:11:y:2017:i:4:p:417-428. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sarah Parker (email available below). General contact details of provider: http://www.inderscience.com/browse/index.php?journalID=206 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.