AUTHORITY’S ACCOUNTS SHOW STRONG ASSET BASE

Milford Haven Port Authority saw a 29% increase in the value of assets during the last financial year, which its chief executive views as one that sets the organisation fair on a course for the challenges of the future.

The Authority’s accounts for the year ended December 2005 show a balance sheet value of £42.8m following further investments and a revaluation of assets, compared to £33.3m the previous year.

Whilst the Authority also experienced significant growth in its turnover, which rose to over £18m, a number of adjustments in its investments, the anticipated sale of a subsidiary company (which was completed in early 2006) and providing extra funding to its pension scheme resulted in a loss before tax of £2.2m.

Chief executive Ted Sangster said that overall, the year had seen some significant results, not least that 2005 was the second busiest year in its history for the tonnage of shipping handled (2004 was the busiest) and that the 37.4 million tonnes of cargo carried placed the port as the 5th largest in the UK, and the largest in Wales. This put the Authority and its commercial operations in a strong position to take advantage of the now imminent arrival of LNG and other development opportunities.

“As a trust port with no shareholders, our focus is on managing shipping with extremely high safety standards, providing or supporting an effective range of port services and delivering economic opportunities into the local economy,” he said.

“However, the ports industry is coming under scrutiny as to the role it plays in the UK’s economy as part of the Government’s review of its ports’ policy. The industry is committed to a market-led approach, and is not looking to any further direction or control from government, but rather to government’s support and understanding of port operations and developments through more effective regulatory and planning regimes.

“It is also important that the classification of major trust ports such as Milford Haven as part of the public sector - and therefore potentially subject to restrictions on financing - is reversed as a matter of urgency. This is an issue that we will be taking up with the Department of Trade and Industry as a priority now that the formal consultation has been completed.”

Mr Sangster also cited a number of highlights of the year, which he said were success stories which significantly strengthened the Authority’s ability to deliver long-term economic gains for Pembrokeshire:

The strengthening of the Authority’s executive team with the appointment of a new senior Commercial Director and the redefining of existing responsibilities following a detailed strategic review.

Continuing preparatory work for the arrival of LNG shipping in the Haven next year, including the visit to a state of the art simulator in Fleetwood, Lancashire, by a group of MPs, Welsh Assembly Members and councillors to see at first hand how the Authority’s pilots are trained.

The launch of the Recreation Plan which defines the strategies for supporting and developing leisure use of the Haven

The exchange of contracts which paved the way for the proposed Martello Quays development at Pembroke Dock, one of the largest housing and marina developments currently being planned in the UK.

Further investment in the marine facilities with £600k refurbishment of the Authority’s jetty and the commissioning of another pilot launch

The arrival of over 3,000 extra visitors and hundreds of crew members in five luxury cruise ships, providing a boost to the local economy.

“All in all, the year saw us deliver on all our key remits of safety, the environment and the development of the local economy,” said Mr Sangster.

“LNG is a hugely important issue for Pembrokeshire, but it is by no means the only opportunity as I hope is evident from this report, and we look forward to continuing to play our part in the development of the region’s economy.”