A planned deepwater terminal at Bristol docks could transform the region into a distribution centre, spawning the prospect of large-scale “portcentric” development. But the channel that leads to its development is not completely clear.
The terminal would allow the biggest tankers to dock at Bristol, opening it up to Asia, with the potential of creating a major west coast logistics point. Bristol is well positioned to service the Midlands, with good motorway connection in all directions.
“The deep water terminal would have a staggering impact on the region and do the city no end of good,” says Tim Davies of Colliers International.
The new terminal could generate a wave of “portcentric” development in the Bristol region, as previously seen at Immingham, Southampton and Felixstowe, as retailers and logistics providers increasingly base their distribution operations at the big ports, saving journey times and cutting costs and fuel consumption.
The Bristol area is amply positioned to take advantage of this trend, with its good transport connections and large areas of developable land.
The West of England Local Enterprise Partnership says there is more than 1,200 acres of land available for development in Avonmouth and Severnside, alone.
Nearly 860 acres of this is a site on which ICI obtained an unrestricted B2 to B8 planning consent in 1957. This land is now in a number of different ownerships, but the consent still stands and would allow the creation of some 10m sq ft of space without further planning applications.
Inevitably, there remains some uncertainty about when, and even if, the deep water terminal will be built. The Bristol Port Company won planning consent for the £600m dock in 2010 but has not yet started work on the project, saying it is waiting for global economic conditions to improve.
Bristol Port Company may also be waiting for a decision on the Severn barrage. A barrage proposal from energy company Hafren, under consideration by a parliamentary committee, would force ships entering the port to pass through locks, making the terminal more difficult to access.
The barrage has been fiercely opposed in Bristol, with every candidate for last year’s mayoral election making their objections to it part of their platform, in large because it could stymie plans for the deep water terminal.
The UK government said in 2010 that it would not publicly fund a Severn barrage, but has not ruled out a privately funded scheme.
The Bristol Port Company would not comment on what effect an approval for the barrage might have on plans for the new terminal. Spokeswoman Sue Turner says: “The government has made it clear that it will not support a Welsh consortium’s plans to build a Severn barrage. This is good news as the barrage would have been hugely damaging to the Avonmouth/Severnside economy.”
Uncertainty about the timing of the new terminal appears to have discouraged developers or occupiers from speculating on the logistical advantages it would offer.
All of the major supermarkets already have distribution facilities in the region, the latest being Asda’s 700,000 sq ft distribution centre at Avonmouth, developed by Bericote. But, while many of these are linked to the port, they have not been built with the deep water terminal in mind.
Asda says its new facility will replace an existing one distributing fresh and frozen products, most of which are sourced from the UK. The location was chosen to “optimise for delivery mileage to our stores”, says a spokesman.
One occupier likely to benefit from a deep water dock is Yankee Candle, which has just taken the 170,000 sq ft former 4mation warehouse at Avonmouth. It is moving its headquarters from Bradley Stoke.
“Yankee Candle imports through the docks so being in Avonmouth was a bit of a no-brainer for them,” says Davies.
But with a three-year construction period for the terminal and ample development sites available, occupiers can afford to wait for the terminal to become a certainty.
