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The European Commission in 2006 came up with a set of proposals that could have spelt doom for small transport companies everywhere and vastly increased the cost of transporting goods around the UK as well as Europe. The proposals, thanks to the lobbying of the FPB and other business organisations, were withdrawn and await redrafting with different ideas.
The proposals by the European Commission would see member states award a ‘secure operator' status to those that meet the minimum security requirements. It would cost each operator 135,000 euros each in the first year and 130,000 euros each every year after that. That is the equivalent of £90,000 in the first year and around £87,000 every year after that; a price many smaller firms simply cannot afford.
Although we recognise that there is work to be done by both businesses and governments to prevent terror attacks, these precautions would not do that. They include documenting security management, training personnel, access controls etc.; none of which will stop a determined terrorist. A far more effective way of preventing terrorism is by acquiring high quality intelligence that is acted upon by governments.
The high cost of the proposals could quite easily be absorbed by those larger firms operating in the haulage industry. Smaller firms, however, would struggle to meet it. The FPB believes it would inevitably force some small hauliers to the wall and consequently push prices up in the sector, due to reduced competition.
The European Commission maintains that the certificate would be a voluntary measure, but that isn't realistic.
The fear is that market pressure would make it obligatory, with transport users having dealt with one certified company demanding the same certification from others. If hauliers who have the certificate are fast tracked through ports and entry points, their competitors will be at a disadvantage. There could also be cases of large transporters, which subcontract parts of their business, demanding the certificate from firms that submit tenders. |