Jordan: Aqaba Container Terminal Releases First Ever Sustainability Report


Covering the period of 2006 to 2011, Jordan’s major cargo gateway documents five years of progress and growth in trade, productivity, safety, employee relations, infrastructure investment and environmental performance, as container volumes have more than doubled and employee compensation has more than tripled.

The Aqaba Container Terminal (ACT) has become the leading job creator in the Aqaba Special Economic Zone Authority, employing 704 predominantly local staff, and indirectly supporting 33,820 jobs (as of August 2010). Since assuming operational and managerial control of the Red Sea port in 2006, ACT has more than tripled employee wage and benefit payments from JOD 3.3 million ($4.7 million USD) to JOD 12 million ($16.9 million USD), while the Lost-Time Injury Frequency Rate (LTIF) has fallen from 8.81 per million man-hours worked in 2006 to 2.33 in 2010 with no fatalities during the past five years.

 “We are very proud to introduce this first comprehensive sustainability report which we believe will lay the foundation for even greater long-term success, both in business and community engagement” stated ACT CEO Soren Hansen.

The report, entitled, “Developing the Most Sustainable Gateway to Jordan and Beyond” is modeled after the principles established in the United Nations Global Compact and encompasses five key areas: terminal operations; safety, community investment, environmental performance and financial transparency and accountability.

Environmental aspects of the report include an analysis of Green House Gas (GHG) emissions produced for every container processed, which have declined by 11.37% from 2008 to 2010, and ACT’s total contribution towards protecting the local rare coral reefs during the ongoing port expansion project which will double quay length to 1,000 meters.

 “Realizing the crucial role the terminal plays locally and nationally with both economic and social impact, we have committed ourselves to overall sustainability in all facets of our operations, not the least of which are safety, health and community outreach” noted Hansen, adding “In order to maintain focus on our long-term goals, ACT will now produce these reports on an annual basis”.

Since 2008, ACT’s budget for training and development has been increased by 66%. At present, ACT provides medical insurance coverage for 3,600 people, with all staff receiving health and safety training pertaining to the home as well as the workplace.

ACT is a joint venture between Aqaba Development Corporation (ADC) and APM Terminals which manages and operates the facility in cooperation with ADC through a 25-year build-operate-transfer agreement signed in 2006. At present, ACT has an annual container throughput capacity of 850,000 TEUs and is the 2nd–largest container facility on the Red Sea, after Jeddah with volume of 619,000 TEUs in 2010. At completion of expansion and equipping ACT in 2013, annual container throughput capacity will be 2 million TEUs.

About Aqaba Container Terminal (ACT)

ACT  is  a  joint  venture  between  Aqaba  Development  Corporation  (ADC)  which  is  the  Jordanian  Government’s central development vehicle for the Aqaba Special Economic Zone (ASEZ) and APM  Terminals – one of the world’s leading container terminal operators.
After  signing  a  Terminal  Management  Contract  with  ADC  in  2004,  APM  Terminals  took  over  the  management and operation of the terminal. A further 25-year Joint Development Agreement (JDA)  was signed between ADC and the ACT in 2006.
The joint venture represents the first Public Private Partnership (PPP) initiative launched by ADC as  part  of  its  program  to  rehabilitate  and  expand  port  terminals  of  Aqaba  and  wider  logistics  and  transport infrastructure within ASEZ.

About APM Terminals

APM Terminals is taking a leading role in addressing the critical issues facing the transportation industry. With customers and business partners, the company has designed the world’s leading port and inland network to meet the shipping community’s needs today, tomorrow and in the future. With more than 60 ports and 132 inland facilities in 63 countries – the goal is to offer the market more solutions than ever before to help companies and countries achieve their ambitions.

World Maritime News Staff, December 1, 2011

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