1. ENVIRONMENTAL IMPACT ASSESSMENT
 Requirements definition
 Preliminary plans formulation
 Impact assessment
 Evaluation and trade-off
 Test against the do-nothing alternative
 Use of stepped impact matrices or impact trees
(impact trees are networks with primary impact
branching at the first node and secondary or
dependent impacts at the next and subsequent
node.
Formulation of interdependence of impact

2. Ecological Considerations in Port and
Operation
1. Disturbances in water motion (surface and subsurface), as well as
the resultant effects on sediment flow, siltation, underwater, and
shore erosion.
2. Changes in submarine bottom structure and effects of structural
invasion, permanent or temporary, by dredging, reclamation, and
the like
3. Resulting ecological changes and disturbances of fish, shellfish,
and other marine life.
4. Oil spills through surface floating, flexible riser, mechanically
supported, or submarine pipelines.
5. Vessel collision, grounding, leakage, or waste disposal spills.
6. Tank vessel leakage, rupture, overflow, or similar spills.
7. Air pollution caused by effluents such as combustion, venting
cargo gases, and bulk loading operations.
8. Interference with recreational, fishing, and other industrial use of
the sea as well as nearby shore.
9. Aesthetic interference

3. Ecological Considerations in Port and
Operation
10.
Regularly occurring operational, spills during disconnect
operations.
11. Above subsurface noise and vibrations during construction and
operation of facility.
12. Effects on land use of terminal interface, particularly the pipe,
conveyor, hose, and/or shore connection.
13. Effects of vessel movement, maneuvering, and anchoring
pattern on marine biology; conflicting use of sea and coastal
zone.
14. Effect of filling operations on benthic organisms that are
located at the site
Disruptive effects at source location of foundation and ditch
excavations, as well as bottom sand and gravel removal.
15. Environmental disturbances caused by caused by construction
or separate port facilities and structures.
16.Relocation of fish and other marine life distribution causing
undue concentrations often near the structure while depleting
marine life in nearby locations with resulting imbalance

5. PHYSICAL ENVIRONMENT IMPACTS
1. Local physical conditions such as currents, water, depth, wind,
wind and current direction, salinity, waves, solids in suspension,
seabed or inlet formation, air/water temperatures, and the like.
2. Chemical and physical properties as well as the form or
cargoes handled .
3. Configuration of port facilities
4. Rate of emission, propagation, or intensity of ecological factors
such as pollutants, sediment movement, and so on.
5. Methods of cargo handling, transfer, and storage
6. Interface and feeder technology
7. Operational policies
8. Social environment

6. PHYSICAL AND CHEMICAL EFFECTS OF OIL SPILLS
1. Surface Effects
 Surface tension effect on wave motion and two-phase interphase, including effect on
oxygen content of subsurface water.
 Effect on surfacing or surface using marine and bird life (clinging to wings, causing death of
seabirds by drowning and poisoning, and the like.
 Corrosion effects on surface piercing and floating structures
 Coatings of shore and floating bodies
 Aesthetic
 Effects on near-shore aquaculture
 Effects on hydrodynamics (water motion, waves and so on)
2. Above Surface Effects
 Air pollution and odor resulting from volatility, flammability, toxicity, and corrosiveness of
resulting gases.
 Corrosion effects on above surface (solid or floating) structures
 Fire hazards from volatile gases and flammability of lighter petroleum components.
3. Surface Effects
 Corrosive effect on submerged structure
 Salutive and coagulating effects, especially of hydrocarbons and soluble impurities, which
affect the water chemistry
 Effect on subsurface water motion resulting from change in viscosity, surface tension, and
the like

7. SECONDARY BUILDUP AND SOCIETAL FACTORS

8. ENVIRONMENTAL IMPACT OF PORT DEVELOPMENT AND
OPERATIONS

10. Free Port Benefits
1. Large infrastructure and other investment
2. Technology transfer
3. Employment and jobs
4. Added port and transport revenues or transport
cost saving.
5. Foreign exchange earnings as investments,
salaries and port or transport are paid in foreign
exchange
6. Revenues from entrepot and transshipment trade
are otherwise attract

11. MAJOR FREE PORT INDUSTRIAL ACTIVITIES
1. Electrical assembly and manufacturing
2. Electronic assembly and manufacturing
3. Computer assembly and manufacturing
4. Instrument assembly and manufacturing
5. Signals assembly and manufacturing
6. Communications equipment assembly and manufacturing
7. Toy assembly and manufacturing
8. Shoe and leather goods manufacture
9. Clothing manufacture
10.Gas and diesel engine manufacture
11.Pharmaceutical manufacture
12.Cosmetic manufacture
13.Utensils manufacture
14.Fire mechanics and medical engineering manufacture
15.Container manufacture
16.Packaging and packaging material manufacture

12. MAJOR FREE PORT INDUSTRIAL ACTIVITIES
17. Plastics goods manufacture
18. Printing manufacture
19. Office machinery manufacture
20. Cameras and optical equipment manufacture
21. Musical instrument
22.Bicycles and motorcycle manufacture
23.Textile manufacture
24.Special chemicals manufacture
25.Automotive parts manufacture
26.Process equipment manufacture
27.Tool machinery manufacture
28.Navigational equipment and aids manufacture
29.Detection equipment manufacture
30.Other

13. USES OF FREE PORT ZONES
The types of industries located in free port zones usually engage in :
1. Labour-intensive manufacture
2. Assembly and/or packaging of goods
3. Manufacture of goods requiring inputs from a variety of distant
locations.
Typical Plants are:
• Electrical and electronic assembly
• Crane, earth-moving, materials-handling equipment
• Food processing
• Pleasure boat building
• Recreational (sports) equipment manufacture
• Marine survey equipment
• Furniture and wood product manufacture
• Clothing manufacture
• Domestic appliances manufacture
• Container and trailer manufacture.

14. TYPES OF FREE ZONES AND THEIR CONTRIBUTIONS
1. Free Trade Zones (FTZ). Defined area, in or near a port, where unrestricted
trade is permitted, free of customs duty. Activities include storage,
packaging, inspection and so on.
2. Industrial Free Zones (IFZ). Area or industrial estates outside customs
barrier adjacent or near a port, which offer duty free movement of goods, in
and out of zone, as well as fiscal, regulatory, and tax incentives. Usually
used to encourage establishment of export industries by domestic and
foreign investors.
3. Free Ports (FP). Port facilities and infrastructure, including warehousing,
industrial plants, and various support facilities that are included in a
custom free port. Free ports allow import/export of goods free of duty and
sometimes taxes, provide users/investors/operators fiscal, investment, and
regulatory incentives. Similarly, banking trade barriers and employment
rules are also relaxed within the free port.
4. Enterprise Zones (EZ). In these zones various incentives such as reduced
taxes, regulations, and low-cost financing of investments, land, and the like
are offered to expand employment, export, and import subsitution.

15. Economic Contribution of Free Ports: Free Industrial
Zones
1. Employment generation, direct and indirect. Total employment
generated usually exceeds direct employment by a factor.
2. Foreign exchange earnings, as an added value in usually of export goods.
3. Increase in export competitiveness
4. Increase in utilization of domestic resources, services and capital for
export generation.
5. Increase in potential for technology transfer
6. Increase in foreign capital investment
7. Training of domestic labor in new skills
8. Transfer of management know-how.
9. Development of marketing/sales opportunities for free zone and
domestically manufactured products
10. Increase in entrepot/transshipment trade.
11. Increased banking business.