23rd PRIMAR Advisory Committee Meeting

23rd PRIMAR Advisory Committee Meeting, 22-23 November 2016, Riga, Latvia 23rd PRIMAR Advisory Committee Meeting Final Minutes of the Meeting Venue: Hotel Radisson Blu Daugava, Riga, Latvia Time: 22 November 2016, 0900 – 1700 23 November 2016, 0830 – 1430 Chairman: Stanisław Pietrzak, Poland Vice-chairman: Rainer Mustaniemi, Finland Welcome Stanislaw Pietrzak (SP), Chairman, Poland, welcomed all delegates and the IHB observer Mr. Yves Guillam (YG), wished them fruitful deliberations and thanked Latvia, the host country, for providing such an excellent conference facility. Janis Krastins (JK), Latvia, gave the introductory speech and Aigars Gailis (AG), Latvia, gave an overview of administrative arrangements. 1. Approval of Agenda Doc: PAC23/1/1 Draft Time Schedule and Program.doc Doc: Doc: PAC23/1/2 Draft Agenda.doc Doc: PAC23/1/3 List of Participants.doc Zeljko Bradaric (ZB), Croatia, indicated that it would like to be clarified whether the Croatian proposal to improve the PRIMAR Financial Model 6.0, which had been sent to the PAC Chairman and PAC members, would be presented and discussed under the agenda item 3.4. The Chairman confirmed it would and the Croatian proposal was included in the Agenda Item 3.4. Delegates approved the PAC 23’s Draft Time Schedule and Program along with the Draft Agenda. A few corrections to List of Participants were being made. 1/11 23rd PRIMAR Advisory Committee Meeting, 22-23 November 2016, Riga, Latvia 2. Minutes of the 22nd PAC Meeting Doc: PAC22 Final Minutes of the Meeting.pdf (includes PAC22 List of Actions and Decisions) Delegates approved the Minutes of the 22nd PAC Meeting. Chairman asked Hans Christoffer Lauritzen (HCL), PRIMAR, to go over the PAC22 Actions. HCL went over the Actions and informed that outcomes of Actions 1, 2, 4, 6 and 7 should be debated while discussing relevant items of the PAC23 Agenda. Delegates considered PAC22 Actions completed. 3. Financial Issues 3.1 PRIMAR Finances 2015 Doc: PAC 23 Agenda 3.1 2015 Budget vs. Actual Cost.ppt HCL gave an informative presentation on financial issues, the 2015 Budget vs. Realized Cost. Numbers reported in the presentation show substantial reduction in the realized operational costs. However, the fluctuating USD/NOK exchange rate may have an impact on the numbers in the future. PRIMAR 2015 financial results: - total revenue of ENC sales 13 % increase compared with 2014; - total cost of PRIMAR operation USD 2 091 275; - financial surplus (excess of cost coverage) of 275k USD paid back to member nations. 3.2 PRIMAR Budget 2016 Doc: PAC 23 Agenda item 3 Financial Issues-new 11.11.16.pdf HCL presented numbers representing PRIMAR finances for October 2016 and their estimations for the entire 2016. PRIMAR 2016 financial forecast: - total revenue of ENC sales 19 % increase compared with 2015; - total cost of PRIMAR operation USD 2 067 522; - estimated financial surplus (excess of cost coverage) of USD 420,000 to be paid back to member nations. PAC 23 approved funding the development of the PRIMAR Chart Catalogue from the current Java based platform to a web-based platform within the 2016 budget surplus up to 135 000 USD. Decision 1: PAC23 decided to approve the upgrade of the PRIMAR Chart Catalogue and to finance the completion with the 2016 budget surplus up to 135 000 USD considering the development of the S-128 Standard. Action 1: PRIMAR to upgrade the PRIMAR Chart Catalogue. 3.3 Report form PRIMAR Financial Working Group (PFWG) Doc: PAC 23 Agenda item 3 Financial Issues-new 11.11.16.pdf The PFWG had a formal meeting on 23-24 February in Stavanger, Norway. The meeting topics are in the HCL’s presentation, but the main ones were: how the surplus should be handled (distributed among nations, invested, or both), how commercial and national transactions should be split, and how high the price for the use of national services should 2/11 23rd PRIMAR Advisory Committee Meeting, 22-23 November 2016, Riga, Latvia be for the non-PRIMAR customers. The conclusion was to split the national and commercial transactions. Another issue discussed was whether PRIMAR may provide national services to the non- PRIMAR customers. In the PRIMAR strategic documents, there has been laid down that it may. The PFWG will have to deal with it. The Group has also put forward a new financial model, the 6.0, for the PRIMAR. 3.4 Proposal for new Financial Model for PRIMAR Doc: PAC 23 Agenda item 3 Financial Issues-new 11.11.16.pdf Doc: PRIMAR FM 6.0_Croatian input_sent to PAC Members 02112016.doc Doc: The Croatian Proposal for Improving the new PRIMAR Financial Model 6.0.pdf HCL reported on a new financial model for PRIMAR. The Financial Model 6.0 would replace the royalty-based model 5.0. As of 2017, PRIMAR would charge a fixed fee per ENC transaction for commercial and national transactions. Discussion on the PRIMAR new Financial Model has been started by Croatia. ZB, Croatia, as introduction presented general remarks based on a document PRIMAR FM 6.0_Croatian input_sent to PAC Members 02112016.doc. Dejan Lovrinčević (DL), Croatia, presented a document The Proposal for Improving the new PRIMAR Financial Model 6.0.pdf and explained in detail Croatian proposal. The key improvement to the FM 6.0 would be to introduce a coefficient correlated with the subscription duration. Croatia also could not see any reason to split transactions between commercial and national. It would be make FM 6.0 more complex, it says. In response to the Croatian proposal delegations expressed their positions and concerns about its feasibility. Among other things, the following was said: Bruno Frachon (BF), France, said that more time would be needed to look at the proposal. It touches strategic issues and more considerations and simulations are required with regard to the proposal. Croatian proposal would be favourable for France, but the current FM 6.0, as presented by PFWG, is good. BF also said it would be unfair if the PAC unified the FM 6.0; splitting transactions into commercial and national is right. The PFWG has worked out the FM 6.0 and it was analysed in terms of costs. HCL told nations that as for the FM 6.0 a move forward was required because the PFWG had been working on it for a very long time. A simpler financial model is needed in PRIMAR. The nations had expressed their will to split commercial and national transactions. We would backtrack from the original plans if we delay the implementation of model 6.0. HCL said and added that a decision to modify model 6.0 should be taken by PAC24. Birte Noer Borrevik (BNB), Norway, said that sufficient time was required to consider the Croatian modifications in particular it might have an impact on the 2017 budget. JK, Latvia, supported what had been agreed at PAC22. There were reasons to split transactions into commercial and national. Elizaveta Ratner (ER), Russia, proposed to have a period of time to assess whether the PFWG/PRIMAR FM 6.0 works as assumed. 3/11 23rd PRIMAR Advisory Committee Meeting, 22-23 November 2016, Riga, Latvia Finally, ZB, Croatia, stated that although Croatia cannot fully agree with the opinions expressed in discussion, but taking into account what was said by BNB that the Croatian modifications might have an impact on the 2017 budget, it was going to be co-operative but still in order to leave the possibility for improvement of the model during 2017, submitted two actions, Action 2 and Action 3. Regarding that ZB also said that Croatia expects more simulations to be done in which 2017 sales would be taken into account in order to improve the FM 6.0. even from January 2018. Croatia is ready to participate in these activities. Ultimately, PAC 23 approved the new financial model for PRIMAR. PAC 23 also approved Action 2 and Action 3 as it was proposed by Croatia. Financial Model 6.0 will be evaluated in 2017 and a PFWG meeting has been scheduled for May 2017 for possible follow-up actions additional with Action Item 2. After that PAC23 decided to distribute the 2016 budgetary surplus according to the FM 5.0 and then debated on the expected 2017 surplus. The participants agreed that a part of the expected 2017 surplus could be used for the future project to convert data from S-57 into S-101, but PRIMAR should first present a road map including financial breakdown for the transition from S-57 to S-101. The rest of the surplus should be distributed among member nations. Decision 2: Financial Model 6.0 approved as proposed. Decision 3: PAC23 decided to distribute 2016 budget surplus according to Financial Model 5.0. Action 2: PRIMAR Financial Working Group to make a report on the effect of the Model 6.0 that will be sent to all PAC members at least 10 days before the deadline for setting the ENC prices for 2018. Action 3: PFWG to make a report/simulation on the effect of introducing a coefficient in correlation with the subscription duration as proposed by Croatia that will be sent to all PAC members to 30 May 2017. Croatia will participate in the PFWG by correspondences. 3.5 PRIMAR Budget 2017 Doc: PAC 23 Agenda item 3 Financial Issues-new 11.11.16.pdf In his presentation, HCL presented numbers relevant to the 2017 budget and explained them. In the 2017 budget costs have been split into commercial and national transactions. Operational costs will remain circa on the same level. Also, costs generated by commercial operations are assumed to be the same as before. However, there are uncertainties, the main being NOK/USD exchange rate and the number of commercial transactions. The same split of costs has been done for national transactions. Surplus for royalties paid CHOs is estimated at USD 5,630,000. Continuing with his presentation, HCL proposed a fee of USD 2.3 (66% mark-up) for national services provided to non-members and requested the PAC to approve it. After a short discussion and PRIMAR’s explanations, the PAC was requested to approve the 2017 budget. PAC was requested to approve PRIMAR proposal of transaction fees: for commercial services USD 1.0., for national services USD 1.4. and for national services for 4/11 23rd PRIMAR Advisory Committee Meeting, 22-23 November 2016, Riga, Latvia non-PRIMAR nations USD 2.3. With no objections and abstentions, Chairman declared the budget and the fees approved. Decision 4: Financial budged for 2017 approved as proposed. Decision 5: PAC 23 has approved the 1.0 USD fee for commercial services transaction and 1.4 fee for national services transaction in 2017. PAC23 has approved the 2.3 USD fee for national services transaction for non-members in 2017. 4. Strategic Issues 4.1 Report from PRIMAR Strategy Working Group (PSWG) 4.3 Proposal for Updating Strategic Document Doc: 4.0 PAC 23 Agenda 2-4-5 Strategic Issues.pdf Doc: 4.3 PRIMAR Strategy-draft-v2-2016.doc LK (Laurent Kerleguer), France, the body’s Chairman, presented the Report from PRIMAR Strategy Working Group (PSWG). As for 2016, the works have been completed, but there is still some work to be done. PSWG has produced a draft document, but did not finish it yet. It needs more time to be finalized because of the S-101 development, which should be included in the strategic document. This work will continue in 2017. The Strategic plan will be updated with a PRIMAR plan and timeline for the transition to S-101. Action 4: PSWG to continue work on PRIMAR Strategy document to include S-101 Strategy. PRIMAR to propose a road map for the transition from S-57 to S-101. 4.2 Proposal for new PAC Statutes Doc: 4.0 PAC 23 Agenda 2-4-5 Strategic Issues.pdf Doc: 4.2 PAC Statutes 2016-v5.doc HCL gave a presentation Proposal for new PAC Statutes. Basically, the PAC Statutes remains the same, but there have been a few amendments proposed by PRIMAR and implemented. (1) The PAC vice Chairman is no longer selected from the list of member nations; now, he or she is elected by PAC members voting. (2) The list of countries and signatures has been removed from the Statutes. (3) From now on, the IHO Secretary is the permanent IHO observer at the PAC meetings. With no objections and abstentions, Chairman declared the proposals endorsed. Decision 6: New PAC statues endorsed as proposed. 4.4 RENC-RENC Cooperation Doc: 4.0 PAC 23 Agenda 2-4-5 Strategic Issues.pdf Report on the RENC-RENC cooperation, SP, PAC Chairman, gave a presentation on the cooperation. The meeting, where such cooperation has been discussed, was held in Monaco this year. Issues discussed there were: overlapping data, data flow between RENCs, structures of SC and PAC reports, and IHB-RENCs interaction. It has been decided that RENCs management will have monthly, on-line coordinating meetings. PRIMAR/IC-ENC Stavanger meeting will focus on technical cooperation. Delegations took note of the report. 5/11 23rd PRIMAR Advisory Committee Meeting, 22-23 November 2016, Riga, Latvia 4.5 PRIMAR Membership and Coverage Report Doc: 4.0 PAC 23 Agenda 2-4-5 Strategic Issues.pdf HCL was briefed on the development of PRIMAR ENC coverage and membership status. The PRIMAR ENC database now contains more than 15110 ENCs worldwide. Talks are ongoing with Albania and Vietnam regarding PRIMAR membership. The WENDWG RENC dataflow diagram was reviewed and discussed. An action was placed on IHO to update the catalogue to correctly reflect the ENCs that are available through RENC distribution. PRIMAR has conducted three ENC validation workshops for four different nations during 2016. The 14th PRIMAR TEWG meeting was held in Stavanger 24–25 May. Thirty participants from hydrographic offices and software suppliers attended the meeting. Topics covered were the new WEB Data Management tools in PRIMAR and ENC data overlap. S-58, S-101 and S-102 were also covered and a demonstration of S-57 to S-101 data converting was shown. Action 5: IHO Sec. to check the attribute RENC_Member in the IHO ENC Catalogue Database for ENC producers who distribute their ENCs through PRIMAR arrangement (RENC status). 5. Marketing/ENC Licensing Issues 5.1 Report from PRIMAR Marketing Group (PMG) Doc: 5.0 PAC 23 Agenda 5 Marketing Issues.pdf Jørgen Svendsen (JS), PRIMAR gave a report from PRIMAR Marketing Group (PMG). There has been no meeting of the PMG in 2016, with one being scheduled for spring 2017. Then, JS briefed on the PRIMAR marketing activities conducted in 2016, commercial distributors, governmental and Navy users, joint RENC PAYS Specifications, the IC-ENC PAYS planning fee, PRIMAR ENC sales volume and sales of subscription in 2016. During the discussion, BF, France, was interesting why do customers come to PRIMAR? Is it because of its service convenience, or is it because of ENCs cheaper than in IC-ENC. HCL was the opinion that it is for both reasons. Annika Kindeberg (AK), Sweden, would be happy to see ice data in PRIMAR services. 5.2 Status PRIMAR Web Chart Service Doc: 5.2 PAC23 PRIMAR Web Chart Service Report.pdf Doc: 5.2 Draft Appendix 9 WMS Schedule 1_HO_v 1.7 2015_final.doc JS, PRIMAR, gave a comprehensive presentation on PRIMAR Web Chart Service–distribution model, PRIMAR WMS coverage, price model, licences sales volume and areas it is going to focus on in 2017. Delegations took note of the presentation. 6/11 23rd PRIMAR Advisory Committee Meeting, 22-23 November 2016, Riga, Latvia 5.3 Marketing Activities in 2017 Doc: 5.0 PAC 23 Agenda 5 Marketing Issues.pdf JS, PRIMAR, briefed on the PRIMAR main marketing activities in 2017. He reminded that marketing plan 2015-2017 is valid. Delegations took note of the presentation. BF, France, advised nations that the Department of Maritime Administration of France had issued regulations stipulating that non-SOLAS vessels may use only official ENCs. YG, IHB, told the nations that IHO has been monitoring the use of ENCs. He also informed delegations about ENC-related events, related to PAC. 6. PRIMAR Operation/Development 6.1 Technical/Infrastructure Status Reports Doc: 6.0 PAC 23-1-2-3 Infrastructure Report .pdf Robert Sandvik (RS), PRIMAR, presented the Infrastructure Status Report. The report summarized the CHO ENC transactions and database status from 2010–2016. The following technological improvements and developments have been conducted within PRIMAR: • more S58 tests added to VPN functionality, more instances added to S57 Advisor, improvements to B2B interface. • VPN Java applets to WEB project. The applets that will change to WEB pages are Upload Cells, Release Pre-release Cells, Download Released Cells, Download Pre-release Cells and Delete Pre-release Cells. The new functionality is operational. • official ENC data report is included as functionality of PRIMAR VPN. This report lists status of all the ENCs from a PRIMAR member nation. The report can be automatically generated and subscribed. Delegations took note of the presentation. 6.2 PRIMAR Chart Catalogue to web project Doc: 6.0 PAC 23-1-2-3 Infrastructure Report .pdf Doc: 6.2 PRIMAR Development Proposal Oct 2016 .pdf RS briefed on PRIMAR development proposal “Chart Catalogue to Web”. Upgrading the PRIMAR Chart Catalogue from the current Java-based solution to a more modern and future-oriented web interface has been identified as a necessary upgrade of the PRIMAR infrastructure. This is a major upgrade expected to commence autumn 2016 estimated to be completed in 2017. 7/11 23rd PRIMAR Advisory Committee Meeting, 22-23 November 2016, Riga, Latvia 6.3 PRIMAR ENC Improver Doc: 6.0 PAC 23-1-2-3 Infrastructure Report .pdf RS gave an overview of the new PRIMAR service–ENC Improver. The Web-based PRIMAR ENC Improver allows an end-user with a valid ENC license to provide feedback to the Hydrographic Office on observed errors in an ENC. With easy functionality the end-user can draw in a snapshot of the ENC, attach pictures and describe the anomalies. This can then be sent to the HO. The PRIMAR ENC Improver has been out in operational use for Norwegian ENCs. This functionality can be expanded to cover ENCs of other HOs, if desired. Delegations took note of the presentation. Action 7: Interested members to contact PRIMAR for testing ENC Improver. 6.4 Future Navigation – PRIMAR S-102 Project Status Doc: 6.4 PAC 23-Agenda S-102.pdf HCL briefed on PRIMAR S-102 project. The pilot project for development of S-102 bathymetric data distribution is continuing. The S-102 project is estimated to be fully implemented Medio 2017. Expanding the PRIMAR ENC service with upload, validation, viewing, distribution, sales and customer support for bathymetric data on the S-102 format. Protecting the S-102 service with the new edition of IHO S-63 for access control and authentication. BF admitted an impressive progress had been made, but he also pointed out that pilots use more and more S-57 ENCs including bathymetric layers so the question is whether there will be a market for the new bathymetric products. HCL said that, e.g. in Norway the main users would just be the pilots. They want the project to be developed and the Navy would be happy to have better bathymetric data. YG, IHB, added that France was right, but question is more about the comparability of the data. There is a need to work more on this issue. Action 8: Interested members to contact PRIMAR for testing S-102 services. 7. Open Session 7.1 Open Session with IHB Doc: HSSCB-09A Stakeholders Events.pdf Doc: HSSCB-09A Stakeholders Events 2017 presentation.ppt YG, IHB gave a presentation with which he updated PAC nations about current relations of HSSC with Stakeholders, actions requested of HSSC, and IHO participation in other 2017 events. Delegations took note of the presentation. Action 6: PAC Members/IHO Member States invited to review the list of other stakeholders’ events in 2017 which would justify the involvement of the IHO. This list is available as Doc. HSSC8-09A on the HSSC-8 main page (pdf and ppt presentations). 8/11 23rd PRIMAR Advisory Committee Meeting, 22-23 November 2016, Riga, Latvia Action 9: PRIMAR in liaison with IHO Sec. to address the IHO catalogue issue in order to harmonize final presentation (view) of ENC available through IHO web taking into account fact that different sources/channels are used. 8. Election of new PAC Chair and Vice Chair Decision 7: Finland accepted PAC Chairmanship. Rainer Mustaniemi was elevated to the position of PAC Chair. Decision 8: PAC elected Bruno Frachon, France, as next PAC Vice Chair. 9. Any Other Business None 10. Time and Place for PAC24 Meeting Decision 9: Sweden volunteered to host the PAC 24. Action 10: Sweden volunteered to host the PAC 24. Sweden to decide on the venue and date in cooperation with PAC24 Chair (suggested November). 11. End of the Meeting 9/11  23rd PRIMAR Advisory Committee Meeting, 22-23 November 2016, Riga, Latvia 23rd PRIMAR Advisory Committee Meeting List of actions and decisions List of Actions Agenda Number Action Responsible Deadline item PAC23 3.2 PRIMAR to upgrade the PRIMAR Chart Catalogue. PRIMAR Nov 2017 action 1 PRIMAR Financial Working Group to make a PAC 23 report on the effect of the Model 6.0 that will be 3.4 PRIMAR/PFWG August 2017 action 2 sent to all PAC members at least 10 days before the deadline for setting the ENC prices for 2018. PFWG to make a report / simulation on the effect of introducing a coefficient in correlation with PAC 23 the subscription duration as proposed by Croatia 3.4 PRIMAR/PFWG 30 May 2017 action 3 that will be sent to all PAC members to 30 May 2017. Croatia will participate in the PFWG by correspondences. PSWG to continue work on PRIMAR Strategy PAC 23 document to include S-101 Strategy. PRIMAR to 4.3 PRIMAR/PSWG PAC24 action 4 propose a road map for the transition from S-57 to S-101. IHO Sec. to check the attribute RENC_Member in PAC 23 the IHO ENC Catalogue Database for ENC 4.5/7.1 ADCS WENDWG7 action 5 producers who distribute their ENCs through PRIMAR arrangement (RENC status). PAC Members/IHO Member States invited to review the list of other stakeholders’ events in PAC 23 2017 which would justify the involvement of the 5.3/7.1 Members 28 Feb 2017 action 6 IHO. This list is available as Doc. HSSC8-09A on the HSSC-8 main page (pdf, and ppt presentation)." PAC 23 Interested members to contact PRIMAR for Members 6.3 action 7 testing ENC Improver. PAC 23 Interested members to contact PRIMAR for Members 6.4 action 8 testing S-102 services. PRIMAR in liaison with IHO Sec. to address the IHO catalogue issue in order to harmonize final PAC 23 7.1 presentation (view) of ENC available through IHO PRIMAR WENDWG7/PAC24 action 9 web taking into account fact that different sources/channels are used Sweden volunteered to host the PAC 24. Sweden PAC 23 10 to decide on the venue and date in cooperation Sweden/Chair End of December action 10 with PAC24 Chair (suggested November). 10/11  23rd PRIMAR Advisory Committee Meeting, 22-23 November 2016, Riga, Latvia List of Decisions Agenda Number Decision Responsible Deadline item PAC23 decided to approve the upgrade of the PRIMAR Chart Catalogue and to finance the PAC23 3.2 completion with the 2016 budget surplus up to Decision 1 135 000 USD considering the development of the S-128 Standard. PAC23 3.4 Financial Model 6.0 approved as proposed. Decision 2 PAC23 PAC23 decided to distribute 2016 budget surplus 3.4 Decision 3 according to Financial Model 5.0. PAC23 3.5 Financial budged for 2017 approved as proposed. Decision 4 PAC 23 has approved the 1.0 USD fee for commercial services transaction and 1.4 fee for PAC23 3.5 national services transaction in 2017. PAC23 has Decision 5 approved the 2.3 USD fee for national services transaction for non-members in 2017. PAC23 4.2 New PAC statues endorsed as proposed. Decision 6 Finland accepted PAC Chairmanship. Rainer PAC23 8 Mustaniemi was elevated to the position of PAC Decision 7 Chair. PAC23 PAC elected Bruno Frachon, France as next PAC 8 Decision 8 Vice Chair. PAC23 10 Sweden volunteered to host the PAC 24. Decision 9 11/11