Greek coastal shipping is at a turning point of historical importance, according to the annual report of XRTC Business Consultants, under the guidance of its founder and CEO, George Xiradakis.
With an aging fleet and increasingly stringent environmental commitments that are driving up costs and putting intense pressure on fares, the sector is called upon to balance the need for modernization amid economic challenges.
The study pointed out that the Modernization Fund, with available resources of 1.5 billion euros until 2030, can give impetus to “green” investments and replacement of old ships, while adding that in the international market, orders for new ships are mainly directed to Chinese shipyards, while the practice of long-term charters gives an outlet to smaller companies.
How will the renewal of the coastal shipping fleet be implemented
The study also highlighted the issue of transparency in the financial results of coastal shipping companies and the need for immediate renewal of the aging fleet.
The authors of the study expressed strong dissatisfaction with the fact that, despite the public nature of their work and the significant state subsidies they receive – especially for the barren lines – most companies are not required to publish balance sheets, with the exception of those listed on the Stock Exchange, which would significantly help financial institutions.
A positive development, as they said, was the launch, by the government, of the Modernization Fund, amounting to 300 million euros, which aims at the green transition and the renewal of the fleet.
It was also pointed out that through the leverage of private and bank capital, it is estimated that investments of more than 3 billion euros will be mobilized.
