in Sweden - Göta Canal
   
 
   

   Analysis of the Göta Canal as the first major regional infrastructure system
 
   
  
                              
   


This study looked at the comparative development of the rail and canal transport systems in the Swedish county of Östergötland between 1832 and 1902. The canal infrastructure hardly changed during this period, which saw a decline both in the volume of freight and in the economic mix of transported products from the 1870s. By contrast, the railroad system grew rapidly during the second half of the 19th century, both in length of network and in transport volumes. Despite the higher cost of freight by rail, its share in movements of cheap, voluminous, bulk commodities rapidly increased. This was found to be the result of differential pricing, resulting in a broader economic mix, hence a more favourable load factor than that obtained by the canal system. The latter was also handicapped by the fact that the canal companies did not own the barges operating on their system, thus virtually precluding differential pricing. The supremacy of rail was further increased by the construction of new lines parallel to the canals at the turn of the century. All these factors combined explain the limited growth and momentum of the canal transport system.
The investigation showed that the value of rail freight in Östergötland (approximately twice the corresponding value for the Göta canal in the early 1870s), was multiplied by eight in the three last decades of the 19th century, while the value of Göta canal transport dropped by about 80%.

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   Commercial activities related to the canal, and their impact on the regional economy
 
   
  
                              
   


The Göta Canal directly and indirectly generates commercial activities and employment. The study investigated what and how many activities are directly related to the canal. 292 firms were identified as potentially dependent on the canal, because of the nature of their activities and/or their location close to the canal. Replies received from 179 firms (61% response rate) were analysed for impacts of the canal on turnover and employment. A separate analysis was made of the nature and volume of expenditure on visits to the canal.
Aggregated annual turnover for the companies involved was almost SEK 915 million. If canal activities came to an end, it was estimated that turnover would decrease by SEK 240 million a year. The decrease in employment was calculated at 140 full-time jobs.
Mean expenditure of tourists visiting the canal was estimated at SEK 41-50, mainly on meals, beverages etc. If these figures are aggregated according to the estimated total number of canal visitors a year, total expenditure would be somewhere between SEK 33.4 and 111.6 million.
Other data collected is indicated under each specific subject in the following paragraphs.

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   Value of existence of the Göta Canal as a vector for cultural tourism
 
   
  
                              
   


The Göta Canal is a unique resource in different ways - historically and environmentally. It is quite possible that some Swedish inhabitants appreciate the canal and are willing to pay for it, even if they do not use it actively. In other words, the canal may have an existence value. To investigate and estimate this value a survey was carried out in form of a questionnaire sent to 3000 Swedish inhabitants. The form of questionnaire and analysis followed the well-established stated preference approach, with estimations made by the contingent valuation method.
The mean existence value was estimated to be between SEK 56 and SEK 143 per household per year for 10 years. If the possibility of future visits to the Göta Canal is considered, the willingness to pay increases to SEK 295-139. The total existence value of the Göta Canal would, according to this result, be somewhere between 214 and 548 millions SEK per year for 10 years.

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   Impacts of the Göta Canal on real estate values
 
   
  
                              
   


The result of this study is that there exists a clearly significant, but rather small positive relation between purchase price and closeness to the canal. All other things being equal, being one metre closer to the canal would increase the value of the estate by some SEK 20-47 (i.e. per square metre), that is between 2,40 et 5,70 e.

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   The Göta Canal and trade and industry on a regional scale - what structure in the future?
 
   
  
                              
   


Summary of the three studies, all contributing to the definition of the future strategy.
The three research projects delivered conclusions which will be of value in assessing strategies for future ownership and management of the Göta Canal, at the same time establishing a transferable study methodology. The studies are summarised on a separate page. Read the three study summaries

Ownership structure
The Göta Canal Company was founded as a corporation in 1810, arousing enormous public interest. Opening for traffic in 1832, the canal continued to be privately owned until 1978, when the State decided to buy it. The theoretical framework for analysis of a cultural landmark like the Göta Canal is that of "public good". The crucial question regarding ownership is whether the public good thus identified is of a "club good" character or not. If it is found to be a club good, this means that non-payers can be excluded from use, which in turn implies that a privately-owned company can collect enough revenue to turn the operation of the canal into profitable business. Other aspects considered were the ownership implications of the local character of a public good and the possibility of earning money from franchising of canal-related activities. A key change in ownership structure which should now be considered involves sharing ownership with the municipalities along the canal, perhaps also opening up some of the capital to private owners. Inducing riparian municipalities to share ownership is motivated by the fact that the canal can be considered to a certain extent as a local public good. To list a portion of the company's stock and thereby open it up to private owners is motivated by the fact that the canal company could make money from franchising. The incentives to be an efficient franchiser are likely to be stronger for a private listed company.

Greening the blue ribbon
From being a route of transportation for people and goods the Göta Canal has become a popular destination for tourists from Sweden and neighbouring countries. For boat passengers the cultural heritage and the pleasant scenery along the canal are the main attractions. Bikers and walkers use the canal towpath, and many other people visit one of the locks during the season. There are more than 1.5 million visitors annually, and further growth is planned.
Local impacts on water quality were to be expected. During the summer season visitors generate wastes equal to that of a town of approximately 2500 inhabitants. To prevent effluent into the water abatement facilities are provided along the canal, both for boat passengers and for land tourists. All 17 guest harbours have basic facilities, among them showers and toilets. Under a programme starting in 1997, eight of the guest harbours have already obtained the "Blue Flag", which is a sign to boaters that these harbours are equipped to allow source separation of solid wastes, safe reception of oil, filters and batteries, and emptying of septic tanks.
Water quality in the Göta canal proper is not regularly monitored. However, long time series of monitoring data in the intermittent lakes indicate that water quality in the area generally is good. The strategy for water protection is that no waste emissions into the canal should be allowed, and the boats in the canal should all have closed wastewater tanks. With minor exceptions all urban areas near the canal are served by tertiary wastewater treatment plants, and wastewater from boat passengers and land tourists along the canal are managed by connecting the facilities to the pipe system. By this solution the marginal costs for wastewater treatment are quite low. Further, vegetal oils and non-poisonous paints are being introduced for the maintenance of locks and bridges.
Environmental quality is an essential part of the natural and cultural values of the canal area, but there are still some obstacles to overcome. To some extent the low population density along parts of the canal makes an extended waste and wastewater collection more expensive. New strategies may be needed. The division of costs and responsibilities between the Canal Company and the municipalities varies, and there is some lack of cooperation in canal management.

Collaboration among local authorities
A contemporary trend in Europe is the shift of political power in what at first sight seem to be two opposite directions; from the national state to the European Union and from the national central state level to regional and local authorities. On closer examination, however, these two processes are interconnected, forming different parts of a circle of redistribution of political power within the EU. The study examined aspects of both political and administrative co-operation between the municipalities in the central Swedish counties of Västra Götaland and Östergötland. Factors that are conducive or detrimental to intermunicipal co-operation were revealed. Regional development is
in a process of rapid transition, and in some respects has only just begun in the Sweden. The results therefore indicate an ongoing process, which will need to be monitored in future research.
The two counties differ considerably in their economic development and in the forms of co-operation they have developed. The municipalities in Västergötland have a longer and deeper tradition of co-operation, and have already developed forms of co-operation around the canal. In the east co-operation is recent and is in fact creating new networks of municipalities that have a common interest in canal development and the implementation of related policies. These networks consist of politicians and officials from both high and low levels of administration, in some cases extending to groups and representatives of private businesses. In theory policy networks can be quite large but they may also only consist of a few key people. The relative size and resources of the potential partners may influence co-operation, as may a municipality’s dependency on the outside world, and the importance that is placed on the issue.
In the case of the Göta Canal the incentive for co-operation is not only based on the belief that this will lead to more efficient marketing of the canal as an attraction and therefore economic advantages for the participating municipalities. It is also seen as a means of developing regional co-operation in general. The incentives for this include an awareness of the vulnerability of individual municipalities, the increased demands made upon the municipalities by the central authorities, changes in trade and industry, competition with other regions, and the development of a new political and administrative ethic.

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   Estimation of value of the Göta Canal to its users (based on a survey)
 
   
  
                              
   


This value considers the willingness to pay (WTP) from those who actually visit the canal, to navigate on it or to visit it by land. The stated preference approach was used, but also revealed preference by considering travelling costs etc. Data was collected through about 1000 interviews with "land tourists" and answers from ca 170 "navigators".The mean willingness to pay for a visit by land tourists was estimated at SEK 11:80. Around 40% of the respondents claimed that their WTP was zero, probably an effect of the framing of the question. The mean travelling cost was SEK 86.20, which could be considered as a ”price” the visitors actually paid. The mean duration of the visit was 3.5 – 4 hours. The typical visitor arrives by car, lives in the region, is around 50 years old and visits the canal together with family for recreation.
Among the navigators 85% found the fee reasonable and around 70% would accept an increase of 10%. 40% would even accept a 20% increase in fees.

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   The Göta Canal and cultural tourism (manual for tourist operators)
 
   
  
                              
   


The study shows that cultural heritage along the Göta Canal is little known. The Canal itself is an ikon of Swedish cultural heritage and attracts national and international tourism. However, local cultural environments with strong connections to the history of the canal offer potential for the development of cultural tourism at the local level. Examples are old storage buildings, traditional houses for the Canal company personnel, factories and industrial enterprises from the 19th century.
However, the study shows that knowledge of the history of these local environments along the canal is a prerequisite for development of cultural tourism. A method is proposed for building up knowledge of the ”unknown” cultural environments within the Göta Canal corridor, based on analysis of one example, the sugar refinery at Ljung, established in 1872. This canalside ruin is an expression of the early industrial history of Sweden and thus part of the country's cultural heritage. Its history is researched step by step, based on information from literature, research in museums and archives, map analysis and field studies.

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   Production of monitoring table for Swedish projects (newsletter in Swedish)
 
   
  
                              
   


In total four newsletters have been produced and distributed to all swedish regional partners including press and media. All of the swedish activities has been presented with articles written for the public in the newspaper.

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   Promotion of Swedish VEV projects (press and media coverage)
 
   
  
                              
   


Press releases have been produced in connection to the Swedish studies. As a result of this many articles on the Göta Canal have appeared in the local press. Also the regional TV channel has produced a 30 minute programme on the results of the Swedish studies.

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   Publications for optimum communication of project results
 
   
  
                              
   


All the Swedish studies have been published through the Linköping University Electronic Press (www.ep.liu.se). All reports are also being printed and distributed to the regional partners, the VEV leading partner, and to all Göta Canal board members. In all, 17 different authors (students, researchers) have contributed to the Swedish reports. English versions or summaries are available in most cases.

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   Pilot project for making available the maps of the Göta Canal (for appropriation by the public)
 
   
  
                              
   


The fascinating historical maps of the Göta Canal date from mid-18th century. They were all drawn on linen paper, some reinforced by cloth on the back. Over time the paper and the colours have lost their strength. Efforts were made by archive specialists to preserve and maintain these historical maps. Despite these efforts, most of the old Göta Canal maps are in a condition not suitable for public use. The aim of the project was
a) to develop a scanning method optimised for Internet use,
b) to design and construct a web site for public access to the historical Göta Canal maps.
The result is a web-site http://www.tema.liu.se/eu-gotakanal covering the whole Göta Canal corridor from Mem in the east to Sjötorp in the west. The historical maps for each canal site are presented in a two dimensional time-space arrangement with comments on each map in Swedish and English. About 200 historical canal maps are featured on the web site.
Connected to the map presentations is an answer-reply service.
The public access and public use of the maps have increased dramatically without any wear on the original maps. Increased interest in historic-geographical studies of the early Göta Canal history is recorded.

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   Publication on Internet of a bibliography of Swedish canals
 
   
  
                              
   


The bibliography contains about 12000 references to the Göta and Trollhätte canals in Sweden, covering the years 1720 - 2000, in journals, books, newspapers, conference papers and other publications in this field, from a wide range of countries. Collecting elderly and sometimes even recent references is a time-consuming process, due to the diversity of sources and the fact that more than one department often needs to be searched in order to get a true picture of the literature. The easy solution is to use online databases, with the advantages of Boolean search strategies (and, or, not) and other limitation facilities, but these do not cover the earliest time periods. Advantages and drawbacks of online searching were analysed.
The older works were included because of their enduring importance in providing a historical perspective. Finding them means lengthy manual searches through old catalogues, microfilms, national bibliographies or old bibliographies which were thought likely to contain useful references. Clearly, the bibliography as presented cannot pretend to be complete, nor to offer full coverage of all the literature in the field, but it will hopefully be revised as soon as new references appear (or old ones which may have been overlooked).
The bibliography should be of value to researchers, students, and anybody interested in these two canals. Specific areas of interest will be civil engineering and construction, tourism, daily life, economics, business, history, boats, etc.
The bibliography is organised in different sections.
— books and journal articles over the years 1516-2000 (ca. 3000 references)
— newspaper articles, mainly Swedish, covering the years 1764-2000: (ca. 7500 references from 200 Swedish newspapers),
— cartographic material, from the beginning of the 18th century to 1998,
— references on web sites mainly from the end of the 1990s.
A separate small bibliography lists the works by and about Thomas Telford, the father of British civil engineering, who had a considerable influence on how and where the Göta canal was built and what kind of construction plant was used.
It is important to note that most of these items are accessible through academic and public libraries in Sweden and abroad. Further research could be of value (a) by adding references to all the other canals in Sweden and (b) by adding annotations to the most important works of the widespread canal literature.

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   VEV Committees, Motala/Linköping, in May 2000
 
   
  
                              
   


The committee meetings took place as planned, with about 60 participants, of which more than half represented the partners' delegations from outside Sweden. Results of the Swedish actions were presented in some detail, and the Monitoring Committee took its final decisions on reallocation of budgets. The field trip on the Göta Canal, in a passenger boat from Motala to the top of Berg locks, gave valuable insight into the canal, its current use and its unrealised potential, particularly in relation to its industrial heritage.

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