15% modal share goal

The aim is to increase the rail freight modal share in the North Sea Port from 10 to 15%. To do this, the port also recently invested in rail upgrades along the right side of the Ghent-Terneuzen Canal. Here, near the Mercator dock, a new rail yard with six tracks of 750 metres in length was opened just three days ago.

Not only Ghent: Lineas in Antwerp

The contract won by Lineas in Ghent is not the first similar initiative undertaken by the company in Belgian ports. For example, a similar project, albeit on a larger scale, was implemented at the port of Antwerp-Bruges, the largest in Belgium and one of the top three ports in Europe. As of last July, Lineas is now in charge of six of the nine rail zones created there.

Moreover, the Belgian company launched a joint venture with FS Logistix, the Italian state-owned rail freight group. The company, named Modalink, will manage the Antwerp Main Hub and operate the feeder services between the different quays at the port. All these initiatives are part of Lineas’ attempt to get out of a struggling financial period by focussing on traction services rather than intermodal operations.

“The expansion of the Mercator rail yard is a key lever for a more efficient and sustainable flow of goods in Ghent, at North Sea Port”, commented Flemish Prime Minister Matthias Diependaele. “Flanders is fully committed to multimodal accessibility: we do this via waterways, among other means, but our railways also offer opportunities.”

Companies such as Volvo Cars, Volvo Trucks, DFDS and ArcelorMittal stand to benefit from the Mercator expansion. They are all located in the vicinity of the rail yard. The infrastructure is of “great importance” to the companies, according to North Sea Port.

Future connection with the Netherlands

With the construction work now finalised, the Mercator rail yard has six tracks that are 750 metres or more in length. The three remaining tracks are 545, 580, and 623 metres long. The total investment for the upgrade amounted to 12,5 million euros, of which 8,5 million euros came from European funds. By 2029, the track bundle will also be equipped with signals and automatic switches.

North Sea Port says that a future investment will give the port a direct connection with the Netherlands. “This should allow shipments from Dutch companies to be combined with those from companies at the Kluizendok.” Kluizendok is a dock in the north of the port. “This will make rail transport in and around the port area more accessible for companies with smaller volumes.”

The Mercator rail yard expansion fits into a broader strategy to improve rail infrastructure in the port. Belgian infrastructure manager Infrabel has invested 17 million euros in 750-metre tracks elsewhere in the port in recent years.

The works on the ring started last year. North Sea Port took care of drainage and stabilisation works, after which Infrabel commenced laying the tracks. One and a half kilometres of tracks are being laid, together with nine new switches. The total investment amounts to 7 million euros, 4.7 million euros from NSP and 2.3 from Infrabel.

The warehouse will be located in Ghent’s Kluizendok on the left bank of the port. According to DSV, “the building will contain 6,000 square metres of temperature-controlled storage areas with ambient temperatures of 2-8°C, -20°C and -40°C.” Additionally, it will offer extra space for the storage of dangerous goods and will be able to accommodate multiple trucks at a time, considering that it will have 110 loading and unloading docks.

Also read:

• Belgium and Luxembourg aim to double shared rail freight volumes
• North Sea Port maintains rail share despite persisting challenges
• ProRail and Infrabel to improve rail infrastructure at the North Sea Port
• CEF funding: here are the top projects for rail freight

More rail in the plans

The North Sea Port always retained its ambition of becoming a true multimodal hub in Western Europe. This ambition leads it to develop rail freight consistently with a vision to acquire as many train services as possible by improving infrastructure and acquiring new rail links.

One of the latest developments in this regard concerns the 3.4 million euro funding that the North Sea Port received from CEF to develop the direct rail link between Terneuzen (NL) and Ghent (BE). On top of this EU funding, the Dutch and Belgian governments have also pledged approximately 240 million euros for the construction of this rail link, according to the North Sea port.

However, there’s more than that since the cross-border port is simultaneously undertaking other equally important projects. For instance, the plans include a new border-crossing railway line east of the Ghent-Terneuzen Canal between Zelzate (BE) and Axel (NL). Building a railway line east of the canal would relieve some pressure from the line on the west bank of the Canal as well as create additional capacity for more trains to run.

Moreover, the port aims to build a new railway arch east of the Sluiskil Bridge, a few kilometres south of Terneuzen. The bridge is expected to reach its maximum capacity by 2030, thus hindering the further growth of rail freight. Apart from ensuring enough capacity, the arch would also ensure that trains from the Axel Plain would be connected to the European network without deviating their route through Terneuzen.

The third and final project undertaken in the North Sea Port concerns establishing a rail connection at the Kluizendok in Zandeken, 20 kilometres north of Ghent. This new railway section would solve the problem of granting access to the Zandeken bundle to trains to and from the Zeeuws-Vlaanderen in the south of the Dutch region Zeeland.

A year of reforms

It was February 2022 when Lineas announced a sudden change of executive faces. Former CEO Geert Pauwels resigned due to the company’s poor financial performance, and Bernard Gustin was appointed as the company’s new head to help it get back on track.

Despite Lineas proceeding to acquisitions of operators and launching new routes, things didn’t appear so smooth in the background. Blame it on the pandemic, the floods of summer 2021 that impaired the company’s supply chains, or the increased operational costs due to the spiking energy prices; Lineas needed a change.

After Gustin took over, the Belgian private operator kept a low profile, mainly dealing with its financial reformation. A year later, Lineas might be signalling a fresh start with this new Ghent-Lyon rail service. Could this be a new beginning? Time will show. Nevertheless, the company seems to be implementing a more sober and step-by-step approach to its growth.

The study was carried out in order to solve the current bottlenecks identified by NSP, Infrabel, and ProRail. The first bottleneck is the increasing demand for rail transport that cannot be supported by the existing infrastructure. The second one is that low rail capacity represents an obstacle to the modal shift from road to rail.

Three solutions to improve rail freight at the North Sea Port

A first study that was presented by the Dutch and Belgian governments in 2019 highlighted three possible railway developments, as NSP claimed. The first is a new border-crossing railway line east of the Ghent-Terneuzen Canal between Zelzate (BE) and Axel (NL). Building a railway line east of the canal would relieve some pressure from the line on the west bank of the Canal as well as create additional capacity for more trains to run.

The second development proposed by this study is a new railway arch east of the Sluiskil Bridge, a handful of kilometres south of Terneuzen. As was mentioned in a Memorandum of Understanding signed in 2021 by various Dutch and Belgian representatives, the bridge is expected to reach its maximum capacity by 2030. As the MoU reported, this means that “from then on, the growth of rail freight transport can no longer be accommodated”. In addition, the arch would ensure that trains coming from the Axel Plain would be connected to the European network without having to deviate their route through Terneuzen.

The third and final project brought forward by the parties involved is to create a rail connection at the Kluizendok, in Zandeken, 20 kilometres north of Ghent. This new section would solve the problem of granting access to the Zandeken bundle to trains to and from the Zeeuws-Vlaanderen, in the south of the Dutch region Zeeland. Moreover, the MoU mentioned that “a northern access and expansion of the Zandeken bundle increases capacity on the west bank of the canal and optimizes logistics in the port complex”.

Rail Ghent Terneuzen

The new study is expected to start at the end of the summer of 2023. “ProRail and Infrabel will enter into dialogue with residents and organizations in the area”, NSP continued. Specifically for this project, NSP and the two IMs have launched a joint venture called Rail Ghent Terneuzen.

The MoU also contained estimated costs for the three projects mentioned above, which totalled 197,4 million euros. It needs to be mentioned that these estimates do not include VAT and were calculated with 2020 price levels. The Netherlands and Belgium would equally split the costs “if the conditions of the adaptive system are met, including administrative decision-making on taking the next step”.

In 2021, the Belgian government had already allocated 10,8 million euros for the construction of track sleeves near Zelzate. At the same time, the Netherlands decided to reserve 15 million euros for the Rail Ghent Terneuzen project. The parties involved, according to the MoU might also apply for European contribution.

At RailTech Belgium, sister publication RailTech gathers the Belgian rail sector and international players for a conference and pop-up exhibition on 6-7 June 2023. One of the conference’s topics is increasing rail capacity to and from the Belgian ports. Visit the website for more information.

Also read:

• Rail will have a role in Ghent’s upcoming circular industrial estate
• Infrabel, BASF and Combinant start rail transformation at port of Antwerp
• This Dutch trimodal terminal has big dreams for rail

The definition of circular industry is similar to the concept of circular economy, with more focus on production rather than consumption. As the European Parliament describes it, circularity involves sharing, leasing, reusing, repairing, refurbishing, and recycling existing materials and products as long as possible. In this way, the life cycle of products is extended, which would decrease the emissions produced in the process of making new products.

The North-C Circular industrial estate is a Brownfield Covenant

The development of the North-C Circular industrial estate has been classified as a Brownfield Covenant. A Brownfield Covenant implies the reallocation of industrial activities in highly polluted areas where the soil is contaminated, known as brownfields. Thanks to the Brownfield Covenant Act, approved in 2007, developers can sign a contract with the Government of Flanders and other stakeholders for the realization of a brownfield project.

Specifically for this project, NSP said that 40 hectares of the site present “historic dredging sludge depots that are impeding the immediate development of the site”. Being a brownfield covenant, it is necessary to hold public events to inform local residents, which should take place in the first half of 2023. After that, the project can actually start with studies, the draw-up of a Master Plan, an environmental impact report, and an environmental permit. NSP added that forest compensation will be carried out as much as possible in the vicinity of the facility. “It is currently expected that the first spade will go into the ground in late 2024”, they stated.

ArcelorMittal Belgium’s three steps to reduce emissions in Ghent

ArcelorMittal Belgium is also implementing a three-step plan to reduce CO2 emissions in the port of Ghent by 2030 and be climate-neutral by 2050. The first is to further improve resource and energy efficiency. The second is to embrace hydrogen as a reducing agent, while the final step is the development of the so-called Smart Carbon concepts.

To achieve the second step of the plan, ArcelorMittal Belgium will replace one of their two blast furnaces at the port of Ghent with an installation that uses natural gas and hydrogen to reduce iron ore. The new facility will have a Direct Reduced Iron (DRI) installation and two electric smelting furnaces. Producing iron through DRI allows for lower temperatures and fuel consumptions and therefore lower emissions. Direct reduction processes have various other benefits such as lower costs. On the other hand, DRI is highly susceptible to rusting and bulk iron is pyrophobic, meaning it can catch fire.

When it comes to Smart Caron concepts, ArcelorMittal Belgium is, for example, replacing fossil fuels by using waste woods from container parks. Moreover, the company’s Steelanol installation in Ghent is expected to convert steel gases into 80 million litres of sustainable ethanol every year. Finally, ArcelorMittal Belgium and NSP are working with Fluxys, the Belgian gas network operator, on a study into liquefying CO2 and building a CO2 storage hub.

Also read:

• How to reduce dust in the air from steel transport by train
• Lineas launches another rail link between Belgium and Italy
• 12 years, 133 million euros: Zeebrugge presents its new harbour lines

Zeehaven, the port’s backbone

“With almost 60 tracks, the Ghent-Zeehaven marshalling yard is the logistical hub for the port. Freight trains arrive here, depart again, are assembled, and switch between electric and diesel locomotives when necessary”, stressed Infrabel.

The Belgian IM started implementing some upgrade projects in the marshalling yard in 2019. The marshalling yard consists of three track bundles-D, E, and G. The upgrade project focuses on bundle D, which has three tracks. The goal is to extend the two tracks to receive freight trains up to 750 metres long.

“At the end of May 2022, we will complete the tracks’ extension, and trains can start using them. These longer tracks have been high on the wish list of the port and our customers for some time”, said Infrabel. In addition, the IM has done more work in Zeehaven’s Bundle D. “We have installed 23 new switches, renovated the existing tracks and sleepers and modernised the signalling and overhead wires. The total investment in Bundle D amounts to 7,4 million euros”.

Industrial sidings equally important

As Infrabel stressed, its number one priority apart from a sustainable modal shift is to make its customers happy and assist them in using rail freight more. As a result, investments in Ghent also focus on facilitating access to and from industrial sites located inside the port. Specifically, works concern three companies-Disteel, a subsidiary of ArcelorMittal, EOC (chemistry and latex products) and TWZ (tank cleaning).

In Wondelgelm, the industrial railway line L216 is currently undergoing a renovation that started last October and will finish this July. This line concerns Disteel, which receives a freight train with steel beams from Luxembourg every day. “These products are further processed and sent to large industrial customers and other construction contractors. This is not possible without this rail connection. So it is literally a lifeline”, explained Infrabel.

On the other hand, Infrabel renewed 4,3 kilometres of tracks, three switches and a level crossing on the industrial siding L217 in Evergem that serves companies EOC and TWZ.
“EOC receives one of the main ingredients to make latex only by rail. Without this rail connection, the company would find it difficult to carry out its activities. The same story goes for TWZ. This company is responsible for, among other things, the internal cleaning of rail cars. And, of course, you need a connection to the rail network for that”, said Infrabel.

Also read:

• Dutch fund allocates 105 million to cross-border rail in North Sea Port

Motivation

The decision of the Dutch government was taken on the advice of the independent committee for the National Growth Fund chaired by Jeroen Dijsselbloem. Because it is a cross-border project, in line with the Agreement of Intent concluded in 2021, it is expected that the necessary parallel steps will also be taken in Belgium in the coming years.

The approval of the contribution by the Growth Fund underlines the national and regional importance of this unique cross-border rail project and its contribution to the structural and sustainable economic growth of the Netherlands.

Fantastic news

Dutch State Secretary Vivianne Heijnen (Infrastructure and Water Management) commented: “It is fantastic news that the National Growth Fund has decided to invest 105 million euros in the cross-border rail section between Terneuzen and Ghent. I think it is very important that we better connect border regions. By looking beyond borders and improving connections with our neighbours, we make the Netherlands a little bigger in a figurative sense and we take advantage of opportunities in the field of the economy, employment and education.

Daan Schalck, CEO of North Sea Port added: “With this decision by the Dutch government, a crucial step has been taken in financing this cross-border railway. In addition to economic motives, North Sea Port is fully committed to improving sustainability and quality of life in and around the cross-border port area. A reduction in road transport in favor of sustainable alternatives such as rail is an ambition that we have implemented with our Connect 2025 strategic plan.