The reason for the collaboration is that the ports see great opportunities in sharing experiences and developing joint projects within sustainability, innovation and logistics solutions. By formalizing the collaboration, both parties can benefit from each other's strengths and create added value for their customers.
"We see this partnership as an important strategic element in our continued growth and development. For our customers and for us, we see potential and good synergies by strengthening and developing our cooperation across the Kattegat. Port of Halland and Port of Grenaa have had a very good, positive and close cooperation for many years, and the announcement of this partnership agreement is a natural, but innovative, development in our cooperation", says Henrik Carstensen, CEO at Port of Grenaa.
"This collaboration means that we can offer our customers even more efficient and sustainable solutions by combining our resources and competencies. Together with the Port of Grenaa, we create new opportunities to optimize cargo flows, improve warehousing and facilitate the handling of complex projects", says Carl-Henrik Hägg, CEO Hallands Hamnar.
Investing in key segments
The collaboration will primarily focus on the Cargo Mobility, Energy and Offshore Wind segments.
"We choose to focus on these segments initially, as we see good opportunities to jointly create growth and strengthen the offering to customers here. The Port of Grenaa has a strong position in these segments and offers valuable expertise and resources that complement Port of Halland's own strengths," says Carl-Henrik Hägg.
In offshore wind, collaboration creates benefits throughout the deployment process. Transportation and handling of wind turbine components is streamlined when both ports' land, resources and expertise can be utilized, while also increasing the cost efficiency of the projects.
"We see it as a natural step towards attracting more wind turbine projects to the region and creating stronger logistics flows for our customers," continues Henrik Carstensen.
But it is also important to highlight our focus on the broad collaboration on our well-known segments: Stacking, Bulk and Recycling. The collaboration is also about optimizing warehousing and logistics for the existing flows of goods that pass through the respective ports. Something that we hope can provide environmental benefits.
When Fornæs Ship Recycling Aps came into being, it was a bit of a coincidence. Kresten Hjelm, founder of Fornæs Ship Recycling Aps, and his partner at the time were fishermen, and in the early 1990s they needed to get rid of one of their ships. Unlike today, back then you had to pay to have ships scrapped, and the two partners found it hard to see the point of paying DKK 150,000 to get rid of the ship.
The short story is that they decided to chop up the ship themselves in Grenaa. With a pitcher, angle grinder and other hand tools, they went to war and succeeded in getting rid of the ship. Fornæs Ship Recycling Aps was founded and has since grown. Today, they are one of the largest ship recycling companies in Denmark1. Their ideology is that as much as possible should be reused, recycled or upcycled - so that the residual product for landfill is as small as possible. This is good for the environment and good for the economy.
Since its inception in 1992, Fornæs Ship Recycling Aps has scrapped approximately 2000 vessels.
Fornæs Ship Recycling Aps is one of the veterans at the Port of Grenaa. For three decades, they have been located in different places at the port - both when it comes to the slipway, where all scrapping takes place, and when it comes to warehouse and administration. The slipway is located in the port area on Nordhavnsvej, while the warehouse and administration are located just a stone's throw from the port on Rolshøjvej in Grenaa.
Kick the tires before you buy
One of the basic principles that has followed the business throughout the years is that all ships purchased by the company are assessed on content and condition. This principle has been applied to all of the approximately 2,000 ships Fornæs Ship Recycling Aps has scrapped over the past thirty years. "When we buy a ship for scrapping, we are, in popular terms, out kicking the tires, so we know what we are buying," says Kresten Hjelm. He emphasizes that it can be a really bad deal to buy a ship that comes with 20 tons of concrete ballast. Especially if you haven't noticed it. So at Fornæs Ship Recycling Aps, they make an effort to select the right ships.
The slipway where the ships end their days. The photograph was taken on May 4, 2023 when the company took delivery of a new used crane, which is used for the heaviest tasks.
Recycling is the core business
Both Kresten Hjelm and Keld Kokholm, who together make up the company's management team, are from Northern Jutland. Therefore, it's only natural that a North Jutlandic mindset and a touch of modesty characterize the atmosphere as they show you around the large warehouses.
There is approximately 15,ooo m2 of storage under the roof, where you can find all kinds of equipment from scrapped ships.
Here in the halls, you'll find everything you need if you're looking for a used marine engine, a spare part or an inflatable boat. You just have to be sure that what you're looking for is something from a ship, because you'll find it here. Either on the floor, on a shelf or in one of the boxes.
"We recycle, others buy iron. This means we dismantle the ships with a wrench. Others use an excavator and a grab to dismantle the ships. We can't do that, because then it's not recycling, but only iron for remelting and residual waste for landfill that comes out of a ship," says Kresten Hjelm, while he and Keld Kokholm kindly show you around the large warehouses, which seem almost endless.
Ship recycling will be different in a few years
But what about the future and all the talk about sustainability, green transition and climate impact? Kresten Hjelm is in no doubt - according to him, it will always be good business to be 'green', to recycle and get the best, and the most, out of what is used. When it comes to the question of where Fornæs Ship Recycling Aps will be in ten years, he looks over to Keld Kokholm, who gives his prediction.
"We definitely won't have the same shop in ten years. It will be different. I think we'll see a much greater trend towards reuse, upcycling and recycling than we see today," he says, citing the evolution of ships. "Ships have become much more technical, there is much more electronics on board. It will require a lot more of us and our employees to handle it," explains Keld Kokholm, adding that the employees who will be scrapping the ships will have to be trained in a different way to handle the task.
By the time the ships arrive at the slipway, they have already been emptied of most of their equipment. Now all that's left is to cut up the hull, sort and drive away. Most for recycling and a small percentage for landfill.
There will still be plenty of rough work to disassemble the ship's structures, but it takes a completely different skill set to dismantle the sensitive electronics that now control most everything on a modern vessel. These days, the company is seeing a greater demand for documentation. Be it data sheets on parts, or documentation of a spare part's total operating time, or something else entirely. There are always new requirements to comply with. Either from the authorities or from customers. Fornæs Ship Recycling Aps handles these requirements professionally and safely, and is ready to scrap vessels for many years to come at the port of Grenaa.
FACTS ABOUT FORNÆS SHIP RECYCLING Aps:
Kresten Hjelm (left) and Keld Kokholm stay the course for Fornæs Ship Recycling Aps
- Kresten Hjelm is the founder of the company and Keld Kokholm has been co-owner and part of the management team since January 1, 2019.
- The company was incorporated on May 1, 1992
- The company has scrapped approximately 2000 vessels, the majority of which have been fishing vessels.
- There are 25 employees, of which five are in administration
- Profit for the year 2022 after tax DKK 2.008.659,-
According to a report published by CBS Maritime in 2021, Denmark is in the European super league when it comes to ship recycling and in the top 15 in the world when it comes to the number of ships that are recycled. Denmark is also one of the countries with the most approved ship recycling facilities on the EU list.
This is an opinion piece written by Henrik Carstensen, CEO Port of Grenaa. The post was published in finans.dk on September 12, 2023.
Trust and collaboration must be rebuilt after the Open Door process
To restart the good cooperation on wind turbine projects, the minister should consider alternative options for approval of the many serious "formerly open door projects".
The entire wind industry was in shock when the government slammed the door on the Open Door projects shortly before the summer vacation. There were many projects that were serious projects, close to the coast and created in close collaboration with the municipalities and local businesses.
I'm hardly the only local businessman who is left wondering. Both locally and in the government, we have a common understanding that we need to expand our green electricity in Denmark as soon as possible to ensure security of supply in Denmark and at the same time free ourselves from, for example, Russian gas. It was therefore obvious to approve as many serious Open Door projects as possible.
Specifically, we are of course still working to get the projects through and the green power produced. However, there is also a bigger issue in the whole Open Door process. It is a crucial prerequisite for an effective green transition in Denmark that we can trust each other across government, private window suppliers and manufacturers, municipalities and the business community. We must have confidence in a proper framework for development and predictability in the agreements we enter into with each other.
To restart the good cooperation, the minister could appropriately consider alternative options for approval of the many serious "formerly open door projects". This could be in a transitional arrangement, so that we in the local business community can quickly move forward with turning climate visions into reality.
Read our consultation response addressed to regional council chairman Anders Kühnau
Dear Anders,
This communication is submitted on behalf of Port of Grenaa, as well as the many companies represented at our port.
First of all, we can inform you that the Port of Grenaa is a large industrial port. Approximately 80 companies are represented at the port and these represent a total of approximately 2100 employees.
Our inquiry is made due to a strong concern from all stakeholders at Grenaa Harbor, related to Region Midtjylland's plans to close the emergency room in Grenaa today, as well as a permanent closure of the emergency medical vehicle.
Many of the companies at the Port of Grenaa work in the "hard industry" (blacksmiths, shipyard workers, electricians, etc.), which means a predominant and ongoing high risk of occupational injuries of both minor and major nature.
Today, these injuries can usually be treated at the emergency room in Grenaa during the daytime, but with the region's plans, this will mean that the injured will have to drive to Randers to be treated for injuries that cannot wait until after 16:00.
In addition to the extra driving time to/from Randers, there is a high risk that the injuries will be aggravated due to the long transportation, which in specific cases could have serious consequences.
Unfortunately, over the years we have experienced several serious accidents at the Port of Grenaa (primarily at the companies established at the port).
When these accidents happen - and other accidents in general - it has been a great positive security for the port's businesses that the emergency medical vehicle with specialized anaesthesiologists has been able to arrive quickly and thus contribute to a quick response to often very serious accidents and injuries.
Having an emergency medical vehicle in the immediate area means a high degree of certainty that the anesthesiologist on duty can quickly be present to provide life-saving emergency assistance.
As it is now, the emergency doctor is always much closer than the helicopter and can start treatment quickly. It should also be mentioned that in about 30% of cases, the helicopter may be exposed to weather conditions that prevent it from flying to the scene of an accident.
The Port of Grenaa and Norddjurs Municipality fight a daily battle to preserve the current jobs in the municipality, and at the same time we have a targeted effort to attract new companies to the area.
With your possible cutbacks, we feel confident that many of the existing companies may consider alternative locations for their business to ensure reasonable accessibility to e.g. emergency care and medical vans for their employees.
In addition, new potential businesses will certainly reconsider their plans to establish themselves in the municipality, as proximity to treatment for their employees means a lot to them.
Norddjurs Municipality generally has a strong focus on attracting new settlers, as they will help ensure that the municipality's businesses have a local workforce.
Your initiatives will certainly mean that new and potential settlers will reconsider whether they want to move to the municipality. This is sad for both Norddjurs Municipality and the many companies in the municipality (including the Port of Grenaa and the many companies we represent).
We hope that you will positively consider our request in the final negotiations next week regarding the closure of the emergency room in Grenaa and the closure of the emergency medical vehicle, as this - if the decision is adopted - could have disastrous consequences in many areas for the municipality and others and, in addition, cost human lives.
We are of course available to answer any further questions you may have, and we look forward to hearing your comments.
Many greetings and on behalf of Port of Grenaa
Bent Hansen, Chairman of the Board Laura Hay, Vice Chairman Henrik Carstensen, CEO
It has been a great pleasure to have the municipal council from Norddjurs Municipality visit the Port of Grenaa.
Today, we have held the annual dialog meeting, where the municipal council got an important insight into what is going on at the Port of Grenaa and what the future strategy is to keep the port in as good shape as possible.
This year's dialog meeting has been a little different than usual. Normally, the meeting takes place in the council chamber at Grenaa Town Hall, but this year the council has agreed to visit the harbor and see how things work.
The local politicians were on a harbor tour by bus, along with Chairman of the Board of Port of Grenaa Bent Hansen, Vice Chairman Laura Hay and CEO Henrik Carstensen.
They saw a port in top shape, a port that is ready to solve all the tasks that land on the quay every week and, not least, a port that for many years to come will be busy helping the wind industry when new offshore wind farms are built in the Kattegat and other areas.
This is an opinion piece written by Henrik Carstensen, CEO Port of Grenaa and board member of Danish Ports. The article was published in Morgenavisen Jyllands-Posten on August 1, 2023.
Rejection of open door projects has major consequences for local areas
If the peripheral municipalities are to keep up with the green transition, we need to ensure green power in the local areas. Several smaller coastal projects have now been rejected for open door projects, but these projects could have secured jobs, green investments and growth for the municipalities.
The projects have strong local political support and have been developed in collaboration with the municipalities, but unfortunately now have long prospects. Several of the smaller coastal projects that have been rejected are good examples of sound projects developed in close collaboration between developers, municipalities and other local stakeholders.
Both Grenaa and Hanstholm offer excellent opportunities for establishing Power-to-X or other energy-demanding facilities, and in both areas, the municipalities and others are working ambitiously together to create the best possible conditions for utilizing power locally.
In the local areas, there are several good solutions. For example, the power could be used to produce green marine fuel, which is needed in both ports and can be exported from the ports' existing facilities.
The green power could also be used for the facilities that need to be connected if CO2 storage is to be established in the underground off the respective harbors. There are many good solutions, but they all require power. No power - no basis for green business development.
When it comes to new offshore wind projects, future government tenders up to 2030 will be in the North Sea and inland waters as well as on Bornholm. Therefore, one can quickly conclude that now that the door scheme has been closed, there are areas that will be lacking offshore wind projects. Much to the chagrin of local communities, where there are many plans that combine green energy and local growth.
In Grenaa, this is a very unfortunate situation, as Norddjurs Municipality is actively working to become a powerhouse in green energy, and open door projects are a crucial element of this.
One set of rules in open door is also what we know as Green Pool, which means that the offshore wind developer must finance a pool of DKK 165,000 per megawatt to the relevant municipality where the project is established.
The Green Pool can be used for a wide range of municipal initiatives and is administered by the local municipality. The purpose is to focus on climate and the environment. In the two examples mentioned, Grenaa and Vigsø are now missing out on green pool funds of just over DKK 126 million.
Yesterday, almost 100 people gathered for an infrastructure conference at Aarhus Airport. The conference aimed to bring together all the good forces to make an extra effort to improve the infrastructure in Djursland and especially on the Grenaa to Aarhus line.
From Port of Grenaa , CEO Henrik Carstensen, Chairman of the Board Bent Hansen and Vice-Chairman of the Board Laura Hay Uggla participated, and all three had the opportunity to exchange views with Minister of Finance Nicolai Wammen.
"We keep pushing for a 2+1 road all the way to Grenaa and eventually we want a highway on the stretch from Grenaa to Aarhus," said Henrik Carstensen, CEO Port of Grenaa
160 billion and a little for Djursland
As mentioned, the government was represented by Finance Minister Nicolai Wammen. He had a presentation based on the infrastructure reform "Denmark Forward" for DKK 160 billion, of which DKK 106 billion has been allocated to new projects around the country, including the line from Grenaa to Aarhus.
Today, a very small part of the stretch is a highway, a slightly longer stretch is a 2+1 expressway and the last 18 km or so from the Feldballe junction to Grenaa is an ordinary country road.
The road and traffic pass through the two towns - Tirstrup and Trustrup. Here, of course, there is also the heavy truck traffic, which every day consists of hundreds of ton trucks. They drive along this route, on their way with goods to and from companies in Djursland.
Overall, it is heavy, cumbersome, shaky, slow and noisy - either living in the towns the road passes through (Tirstrup and Trustrup), or driving between Aarhus and Grenaa.
Wammen aware of the challenge
Of course, port infrastructure was also discussed at the conference and the fact that the role of ports is important for infrastructure. Nicolai Wammen fully agreed with this point of view. "I am fully aware of the wishes about Port of Grenaa and I think they are relevant. But as far as the DKK 160 billion (Denmark forward ed.) are concerned, they are allocated, so any new things that may come are something that must be financed in new rolls," he said, among other things, and was also in no doubt about the need for better infrastructure on the A15, especially in light of the high level of activity on Port of Grenaa.
CEO Henrik Carstensen would have liked the Minister of Finance to have brought a pool of money to buy some asphalt to expand the A15. Since that was not the case, it was nevertheless a positive port director who summed up the day's conference.
"We see it as a positive thing that the Minister for Finance has set aside time to be here today. And it is clear that he is aware of the wishes and problems with the infrastructure that we face at Port of Grenaa. The problems with the A15 are well known. We keep pushing for a 2+1 road all the way to Grenaa and eventually we want a highway on the stretch from Grenaa to Aarhus. This will contribute to economic growth, more settlement in the area and connect Djursland even closer to the growth center Aarhus and the whole of East Jutland," said CEO Henrik Carstensen after the conference at Aarhus Airport.