News & Events

Trend: Shipping sails toward decarbonization

After decades of steering clear of specific climate commitments, the international maritime industry — responsible for 3 percent (and growing) of annual global greenhouse gas emissions — is navigating a course to halve its footprint by 2050. Not since Italian explorer Christopher Columbus set course for the New World in 1492 has the global shipping fleet faced such an uncharted challenge. The voyage embarked in mid-2018 when the International Maritime Organization (IMO), the United Nations agency that sets policies and standards worldwide, embraced its inaugural decarbonization strategy. This course falls short of what’s needed to achieve the 1.5 or 2 degrees Celsius temperature mitigation goals set by the Paris Agreement. Still, it is an important chart for the future. The first port of call came in early 2020, when a regulation capping sulfur emissions took effect, forcing ship owners to start phasing out the low-cost bunker fuels that have been keeping fleets afloat but that have exacerbated air pollution in coastal cities. “As a bilateral agreement, it may be the best we can get,” observes Ned Harvey, managing director of Rocky Mountain Institute, in charge of the think tank’s work on pathways for heavy transport. “No goal is a disaster. A science-based goal is optimal.” Like the jetliners that transport business travelers and vacationers around the planet, the 50,000-vessel tanker, freighter and cargo ship fleet that floats trillions of dollars worth of goods across Earth’s oceans sits outside the decision-making authority of any one nation. But its impact on climate change is titanic. More than 90 percent of global trade is tied to international shipping: We’re talking more than 10.7 billion metric tons per year. What’s more, activity could triple by 2050, due to the boom in e-commerce, infrastructure investments (especially in China and India) and the ambition of emerging […]

News & Events

Trend: Shipping sails toward decarbonization

After decades of steering clear of specific climate commitments, the international maritime industry — responsible for 3 percent (and growing) of annual global greenhouse gas emissions — is navigating a course to halve its footprint by 2050. Not since Italian explorer Christopher Columbus set course for the New World in 1492 has the global shipping fleet faced such an uncharted challenge. The voyage embarked in mid-2018 when the International Maritime Organization (IMO), the United Nations agency that sets policies and standards worldwide, embraced its inaugural decarbonization strategy. This course falls short of what’s needed to achieve the 1.5 or 2 degrees Celsius temperature mitigation goals set by the Paris Agreement. Still, it is an important chart for the future. The first port of call came in early 2020, when a regulation capping sulfur emissions took effect, forcing ship owners to start phasing out the low-cost bunker fuels that have been keeping fleets afloat but that have exacerbated air pollution in coastal cities. “As a bilateral agreement, it may be the best we can get,” observes Ned Harvey, managing director of Rocky Mountain Institute, in charge of the think tank’s work on pathways for heavy transport. “No goal is a disaster. A science-based goal is optimal.” Like the jetliners that transport business travelers and vacationers around the planet, the 50,000-vessel tanker, freighter and cargo ship fleet that floats trillions of dollars worth of goods across Earth’s oceans sits outside the decision-making authority of any one nation. But its impact on climate change is titanic. More than 90 percent of global trade is tied to international shipping: We’re talking more than 10.7 billion metric tons per year. What’s more, activity could triple by 2050, due to the boom in e-commerce, infrastructure investments (especially in China and India) and the ambition of emerging […]

Kanoo shipping launches operations in Antarctica

Kanoo shipping, a fully owned business division of Yusuf bin Ahmed Kanoo, YBA Kanoo, has launched its Antarctic operations through its office in South Africa by handling the private jet, Dassault Falcon 7X. The Seatrade Middle East & Africa Ship Agent of the year in 2018 & 2019, provides a range of services to support national bases in Antarctica, including logistics support for numerous flights and ship agency services for cargo vessels that sail to the ice shelf each year. “It is not often that a ship agent can possibly claim to be the first on a continent; but Kanoo Shipping have put in a claim following the handling of the first of this year’s flights supporting various Antarctic research bases. We have developed a great relationship with many of the Polar Research Organizations worldwide to support both their flights, personnel and equipment as well as their vessels through our Kanoo Shipping Africa operation based in Cape Town. The world is no longer big enough” Jonathan Bygrave, Divisional CEO of Kanoo Shipping said. Source: Kanoo Shipping

Container ships: is bigger always better?

Ever since the advent of containerised shipping in the 1960s, container ships have grown steadily larger. According to Allianz Global Corporate and Specialty (AGCS), by 2017, container-carrying capacity had increased by almost 1,500% from 1968. In 2017, the largest ships were around 21,400 TEU. Today, just two years later, ships ranging from 24,000-25,000 TEU are being ordered and built. Will there eventually come a point at which container ships are too large? Or is bigger always better? Lars Jensen, CEO of SeaIntelligence Consulting, says there are a number of economic reasons the ideal size of container ships will eventually hit an upper limit. “At an individual vessel size, larger vessels make sense. Sure, the overall cost of the vessel gets a bit more expensive, but fuel costs don’t go up much, so the cost per unit is lower. But from a global network perspective, it no longer makes sense,” Jensen says. He notes that after a certain point, filling the cargo for larger ships becomes a struggle. Shipping lines have to form alliances, which restricts the supply chain in direct opposition to contemporary demand trends. “The ultra-large vessels are dependent on the assumption that manufacturing takes place in a few concentrated areas and only a few places are foci of demand; however, this isn’t the case: demand is becoming more dispersed. You’re also seeing more desire to see goods delivered directly to smaller cities,” Jensen says. Logistical limitations The logistics of global shipping routes also are a natural limitation to ship size. “The Suez Canal is a limiting factor, as a connection between Asia and Europe. It’s a bottleneck in the overall path, and ships have to go through it,” says Matthias Becker, Managing Director, Wärtsilä Germany. “If ships are going beyond 50 metres width, they’re only allowed to have […]

‘Practical action to support women in the maritime sector’

Maritime UK’s important ‘Women in Maritime’ initiative hit the road around the country once again in late November with a public speaking workshop hosted by leading regional cluster organisation, Mersey Maritime at their offices in Birkenhead. Whilst we are all familiar with the driving focus of Maritime UK as the umbrella organisation that brings together the whole sector, its great strength lies in identifying those areas in which it can make a real and positive impact on the industry to help bring about actual and quantifiable change. The ‘Women in Maritime’ Taskforce, established earlier this year, has at its core focus the mission to address fairness, equality and inclusion within the sector which can often have a rather ‘masculine’ feel about it. The Taskforce brings together leaders from across the maritime sector to identify practical steps to increase the number of women in maritime. The aim is to achieve a balanced workforce at all levels and help improve culture, behaviour, outcomes, profitability and productivity. But it isn’t just about talking around these issues! Workshops such as the one hosted by Mersey Maritime are a practical manifestation of what the Taskforce is looking to achieve with the session facilitated by a professional in the field, Shola Kaye. Shola is a multi-award winning public speaker, speaker trainer and international performer. She has been teaching, training and coaching at corporates, universities and schools for more than a decade. Having worked for a number of blue-chip corporates in the high pressure industries of investment banking and IT management, Shola comments that she experienced the frustration of note making an impact, mainly through lack of confidence and not knowing how to frame and deliver her message. The workshop focused on some of the practical steps and techniques to help overcome these familiar challenges. Interaction and […]