Cargo throughput at major coastal hub ports increased 4.8% while international trade cargo throughput dropped 0.5%.

Crude oil shipments at major coastal ports declined 0.2% year-on-year. The port of Tianjin posted the highest rise in volume with a growth rate of 53%.

Metal ore shipments at major Chinese ports increased 0.7% while the port inventory grew 22.69%.

Due to a heatwave and lower than normal rainfall, shipping channels of Yangtze river were narrowing, negatively affected cargo transportation along Yangtze river. Cargo throughput at three major Yangtze River ports, Nanjing, Wuhan and Chongqing,declined 1.9% while the container volume increased 8.8% in mid-August.

Source: https://www.seatrade-maritime.com/ports/major-chinese-ports-container-volumes-increase-53-mid-august

 

CREWEXPRESS STCW REST HOURS SOFTWARE - Paris and Tokyo MoU have announced that they will jointly launch a new Concentrated Inspection Campaign (CIC) on Standards of Training, Certification and Watchkeeping for Seafarers (STCW) from 1st September 2022 to 30th November 2022

 


The Baltic Exchange’s main sea freight index snapped a three-session long streak of gains on Tuesday, due to a fall in capesize and supramax rates.

The overall index, which factors in rates for capesize, panamax, and supramax shipping vessels, was down 19 points, or about 1.7%, at 1,114 points, its lowest in over a week.

The (dry bulk) market lacks any positive indication in the near term and demand-side fundamentals have a fair amount of uncertainty, Allied Shipbroking said in a weekly note.

There is a considerable amount of market risk arising from the poor economic indicators of G20 economies, Allied added.

But over the mid to longer term, demand fundamentals remain positive, making the outlook for the dry bulk sector “cautiously positive”, Athens-based EastGate Shipping said.

The capesize index also snapped its three session gain streak, losing 116 points, or 13.7%, to 728 points.

Average daily earnings for capesizes, which typically transport 150,000-tonne cargoes such as coal and steel-making ingredient iron-ore used in construction, fell by $963 to $6,037.

The panamax index was up 86 points, or 6.48%, at 1,327 points, marking its biggest gains in almost seven months.

Average daily earnings for panamaxes, which usually carry coal or grain cargoes of about 60,000 to 70,000 tonnes, was up $774 to $12,715.

Major grain supplier, Brazil’s expected increased soyabean exports in the 2022/23 season “gives hope to earnings’ projections for the medium-sized bulkers that tend to carry the commodity in longhaul voyages”, EastGate said.

The supramax index fell for an eighth consecutive session, losing 11 points to 1,487 points.
Source: Reuters (Reporting by Harshit Verma in Bengaluru; editing by David Evans)

 

CREWEXPRESS STCW REST HOURS SOFTWARE - Paris and Tokyo MoU have announced that they will jointly launch a new Concentrated Inspection Campaign (CIC) on Standards of Training, Certification and Watchkeeping for Seafarers (STCW) from 1st September 2022 to 30th November 2022

 


An Iranian naval flotilla foiled a pirate attack on an Iranian merchant vessel in the Red Sea, the navy said, following a similar incident last month.

“A suspicious boat with 12 armed people on board approached the Iranian merchant ship in Bab Al-Mandab” strait on Thursday, the state news agency IRNA said, citing a statement by the navy.

It said a squadron had come into confrontation with the “pirates in the Red Sea,” adding that the invading boat “left the area” after the escort flotilla, “headed by the Jamaran destroyer… opened fire” at the vessel.

The incident comes after the Pentagon said on Tuesday that an Iranian ship seized an American military unmanned research vessel in the Gulf but released it after a US Navy patrol boat and helicopter were deployed to the location.

On August 10, a senior Iranian navy commander said the same naval flotilla thwarted an overnight attack on another vessel belonging to the Islamic republic.

Rear Admiral Mustafa Tajeddini said at the time that, following a help request by an Iranian ship in the Red Sea, the flotilla was dispatched to the scene and engaged fire with the attacking boats.

“After heavy exchanges, the attacking boats made off,” he added.

Like other countries dependent on the shipping lane through the Red Sea and Suez Canal, Iran stepped up its naval presence in the Gulf of Aden after a wave of attacks by Somalia-based pirates between 2000 and 2011.
Source: AFP

 

CREWEXPRESS STCW REST HOURS SOFTWARE - Paris and Tokyo MoU have announced that they will jointly launch a new Concentrated Inspection Campaign (CIC) on Standards of Training, Certification and Watchkeeping for Seafarers (STCW) from 1st September 2022 to 30th November 2022


While the talk of the town has been of the VLCC sector’s spike in rates in recent weeks, this article focuses on some of the key variables that have afflicted these vessels over the past few years and kept market sentiment so low for so long.

The VLCC-TCE is a weighted average of earnings for conventional, non scrubber fitted VLCCs, incorporating two key routes: the TD1-TCE (Middle East Gulf to US Gulf) and the TD3C-TCE (Middle East Gulf to China). This estimate had been valued below zero from the beginning of 2021 until August 2022. At its worst, the daily earnings figure stood at -34,845 USD/Day. This period remains the longest stint of negative earnings on record for these large crude carriers.

The poor earnings seen for VLCCs have linked directly to supply and demand and impacted how market participants responded in newbuilding and demolition activity prior to recent positive developments in the VLCC sector.

Supply and Demand
Supply growth over the past year had stayed relatively flat at c. 3.0% to 4.5%; the live fleet stood at 861 vessels in July 2022. However, demand had been volatile; down 8% in June 2021 compared to June 2020, yet up 10% year on year in December. June 2022 showed a decrease in demand of -3.2%, year on year. Figure 1 compares month on month supply growth with vessel demand (cargo miles) between 2021 and 2022.

COVID-19 had significant effects on supply and demand with June 2021 and 2022 showing an overall decrease in cargo mile growth. That seen in June 2021 was a result of the movement of 222 million barrels of oil into floating storage by July 9, 2020 (According to EIA figures), driven by a crash in the oil market. June 2020 saw high cargo mile figures, with countries filling storage tanks as a consequence of low prices.

Figure 1: VLCC supply and demand growth since June 2021.

Figure 2 displays month on month comparison of laden daily cargo miles between 2021 and 2022. Cargo miles in 2021 ranged from 18.5bn MT-NM to 21.6bn MT-NM compared with 2022 where it ranged from 18.7bn MT-NM to 22.2bn MT-NM.

2020 was the most volatile of the periods with a maximum cargo mile value of 719bn MT-NM in May to a low of 559bn MT-NM in November. As in Figure 3, the May 2020 peak in cargo miles resulted from the oil market price crash. In the first half of 2022, the trend of decreasing cargo miles on a daily and monthly scale was reflected in the poor VLCC earnings seen in this period.

Figure 2: VLCC laden global daily cargo miles in H1 2021 and 2022.

Newbuild and Demolition
Newbuilding orders from 2018 through to 2021 remained relatively stable, peaking at 40 vessels ordered in 2018 and remaining in the mid to low 30s in the 3 subsequent years. In total, 135 vessels have been contracted in these 4 years, worth a combined c. USD 12.0 bn. 2022 was yet to register a single newbuilding order until August 2022, a stark contrast compared to recent years.

Whilst VLCCs continue to be launched following ordering activity in earlier years, the orderbook has been shrinking, currently standing at 41 vessels. A common theme in the past 18 months had been oversupply; too many vessels were available in key loading regions, particularly the Middle East.

The combination of oversupply and lacklustre oil demand from China had aided the extended periods of negative earnings seen and forced market participants to think twice about contracting VLCCs with builders. Likewise, the skyrocketing price of raw materials for shipbuilding has increased newbuild values significantly; which currently stand c. 16% higher than this time last year at around USD 115.51 mil.

Figure 3: VLCC total laden cargo miles in 2020, 2021 and 2022.

Tightening yard space has catalysed this reversal in VLCC newbuilding orders; as Container and Gas vessels fill up slots, the overall attractiveness in newbuild VLCCs remains low, with little sign of interest at these prices.

With oversupply an issue in this particular vessel segment, you would expect demolition rates to be high, yet this is not the case. As seen in Figure 5, 2018 saw the largest scrapping numbers of the past 5 years with 29 vessels sent for breaking; the combined demolition value of these sales totalled USD 529.9 mil.

Only 19 VLCCs have been sold for scrap since 2019. 2021 having the largest figure since 2019 (10 vessels scrapped) is unsurprising due to the scrap steel prices increasing to over 600 USD/LDT, levels not seen since the financial crisis of 2008, by the end of last year. Yet, to not have these demolition numbers far higher, particularly with an ageing fleet and poor earnings at the time, suggests there are other variables at play.

Figure 4: VLCC newbuilding activity since 2018.

Where are these vessels that would otherwise be headed for scrapyards? There have been plenty of reports of what tend to be older VLCCs, often with unknown owners, outside of the spot market picking up discounted cargos from sanctioned exporters such as Iran and Venezuela. These vessels are elusive, often operating invisibly; AIS is often disabled or strategically used to hide their illicit activities.

These colloquially named “dark” vessels have been playing a large role in capping the earnings potential of above board VLCCs and helping, in part, to explain the reduced number of VLCCs being scrapped at present. A portion of vessels that require removal from the fleet are commonly engaged in nefarious activity to the benefit of their operators but to the detriment of the VLCC market as a whole.

Figure 5: VLCC demolition activity since 2018.

Summary
Previous years’ fleet supply had remained relatively stable and, with the orderbook standing at 41, is set to remain steady, particularly with the dearth of newbuilding orders seen in 2022. Demand, similarly, has remained relatively stable over the course of 2021 and 2022. The globe’s largest importer of oil, China, has seen its crude demand oscillate with the severity of their COVID-19 restrictions, particularly through Q2 2022, highlighted by the reduced cargo miles figures seen for VLCCs. With China crucial for VLCC utilisation, this is unsurprising.

Whilst supply and demand figures suggest relative stability, this is not reflected in the newbuilding and demolition statistics seen in recent years. In both markets, VLCC activity has declined rapidly; 2022 has only seen 2 newbuild orders for these large crude carriers, compared to the annual average through 2018 to 2021 of c. 34 vessels contracted per year. Whilst excess supply has been a detriment to market participants, demolition figures have not been up to scrap to aid the lacklustre earnings these vessels experienced until very recently.

Just 4 VLCCs have been sold for demolition in 2022, down from 10 in 2021 and down from 29 in 2018. This despite scrap steel prices remaining at high levels. A combination of caution from owners and illicitly trading vessels can help explain this. Smaller Tanker segments have seen upturns in earnings as a result of the conflict in Ukraine, and many hoped this would translate into an uptick for VLCCs; they were proved right.
Source: VesselsValue

 

CREWEXPRESS STCW REST HOURS SOFTWARE - Paris and Tokyo MoU have announced that they will jointly launch a new Concentrated Inspection Campaign (CIC) on Standards of Training, Certification and Watchkeeping for Seafarers (STCW) from 1st September 2022 to 30th November 2022

 


Speaking at the launch of the DNV publication Maritime Forecast to 2050 at SMM in Hamburg, Chairman Global Shipping, Logistics & Offshore, Citi and Chairman Poseidon Principles, Michael Parker, said that increased regulatory demands will change the profile of the shipping industry to the detriment of smaller shipowners.

“The bigger transition will lead to more consolidation because of the whole scale of net zero and the technology required. There is no god-given right to be a shipower, whatever size you are. Many small shipping companies were big shipping companies at one point,” said Parker

The panel was focussed and the industry’s transition to zero carbon over the coming decades, an undertaking that will require huge amounts of capital and capacity for data gathering, reporting and analysis. All of that investment will inherently involve risk, said Parker.

“The financial sector is going to look for a return, and I’m afraid it’s not going to get a return ultimately from smaller shipowners; the economics of capital and investing are not going to work.”

Cargo owners and financiers alike will oush the industry to decarbonise as they begin to account for and report on their scope three emissions.

Parker gave one example of the changing relationship between cargo owners and shipowners: Cargill said in the past it was willing to pay upfront the investment in energy saving and emissions-cutting retrofits for smaller bulker owners if banks would lend to Cargill to finance the retrofit. The charterer’s size and offer of employment for the vessels helped to reduce risk to financiers, and both charterer and environment benefit from a more efficient vessel.

“I think that’s probably the future model; if you can show that through retrofit you will extend the life of the vessel and reduce emissions, money will be made available.”

Sveining Oftedal, Specialist Director, Norwegian Ministry of Climate and Environment, said: “There will always be operators in the lower end of the market. It is happening today and it will happen in the future, in all types of industries. We can’t change that, it’s how business is.”

Rolf Habben Jansen, CEO, Hapag-Lloyd and Co-Chairman of the World Shipping Council, said: “If you are a really innovative player focused on a certain niche you can create a scale in a smaller market, but looking at the deepsea market for container shipping, over time it is going to be more difficult for smaller players to survive.”

Source: https://www.seatrade-maritime.com/sustainability-green-technology/no-god-given-right-be-shipowner-michael-parker

 

CREWEXPRESS STCW REST HOURS SOFTWARE - Paris and Tokyo MoU have announced that they will jointly launch a new Concentrated Inspection Campaign (CIC) on Standards of Training, Certification and Watchkeeping for Seafarers (STCW) from 1st September 2022 to 30th November 2022


The Port of South Louisiana was awarded $955,339 in Port Security grant funding from the Department of Homeland Security Federal Emergency Management Agency. The funding will go toward the enhancement of the Port of South Louisiana’s cyber security framework, as well as support enhancements to its Geographic Information System (GIS) that will provide up-to-date spatial information to port security personnel and public safety agencies in the Port’s 54-miles of jurisdiction along the lower Mississippi River.

As the nation’s leading grain exporter and one of the Western Hemisphere’s largest tonnage ports, the safety and security of the Port of South Louisiana, its personnel, and its tenants is critical during these challenging times. The cyber and terrorist threat landscape is evolving rapidly and protecting against potential external threats requires rapid monitoring and response.

“The commerce that happens along the Lower Mississippi River at the Port of South Louisiana is intertwined with the national security of the United States,” said Paul Matthews, Chief Executive Officer. “We are grateful to our federal partners for awarding these funds, which will go directly toward solidifying the sustainment of cyber security protection and assist in preventing an outside threat of causing human loss of life, structural devastation, or economic catastrophe.”

The Port of Louisiana received $695,389 for enhanced cyber security. This project is for the enhancement of the Port of South Louisiana’s cyber security framework.  It includes the following integrated layers of cyber security technologies: installation, configuration, initial and continuous assessment, 24/7 monitoring, management and vulnerability scanning, real-time detection, network remediation, quarterly penetration testing, advanced training, troubleshooting, decryption of ransomware encryption, and related functions to protect against technology advancement of cyber terrorist threats. The Port of South Louisiana will make a 25% match for a total project cost of $927,186.

The Port also received $259,950 for GIS Acquisition Phase 1. GIS is currently used by the Port as a tool for business development, to depict available sites within the district along with adjacent and/or proximate transportation infrastructure such as rail lines, pipelines, water lines, etc. The investment supports the improvement of the GIS that will provide up-to-date spatial information via a web viewer to port security personnel and public safety agencies in the Port’s 54-miles of jurisdiction along the lower Mississippi River, thus improving maritime domain awareness significantly; also the project will provide up-to-date information to maintain port-wide risk management for critical infrastructure, transportation and utility networks, and the location of hazardous materials. The Port of South Louisiana will make a 25% match for a total project cost of $346,600.

 

CREWEXPRESS STCW REST HOURS SOFTWARE - Paris and Tokyo MoU have announced that they will jointly launch a new Concentrated Inspection Campaign (CIC) on Standards of Training, Certification and Watchkeeping for Seafarers (STCW) from 1st September 2022 to 30th November 2022

 


According to Clarkson Research alternative fuel features in a record 37% of newbuildings orders by number, and 60% by tonnage, year-to-date. Leading the way are orders for LNG dual-fuel numbering 298 or 38% of all tonnage ordered so far in 2022.

There are lower numbers of orders for methanol and battery-powered newbuilds, the latter on smaller vessels. Some 71 newbuilds ordered are described as ammonia-ready, some LNG dual-fuel vessels, such as those ordered by Pacific International Lines (PIL) are also ammonia-ready.

Looking at the current fleet DNV in its Maritime Forecast 2050, launched at SMM 2022 on Tuesday, said there 1,349 alternative fuelled vessels currently in operation – just 1.2% of the world fleet – with LNG fuelled accounting for 923 of these vessels. In gross tonnage terms the alternative fuelled vessels account for 5.5% of the global fleet in current operation, with LNG fuelled 5.39% of the fleet.

Of newbuildings on order there are 1,046 with alternative fuel – including 543 with LNG and 417 battery/hybrid. In gross tonnage terms alternative fuelled vessels account for 33.2% of the newbuild orderbook, with 30.2% of all orders placed by tonnage for LNG-fuelled ships. Methanol, which is attracting increasing interest, accounts for 1.45% in tonnage terms, and battery/hybrid just 0.02% of tonnage given the small size of vessels.

LNG dominates despite the fact in its current form it can only offer a reduction in carbon emissions, and controversy remains around methane slip. Just this week a new initiative – Methane Abatement in Maritime – was launched that includes backing Shell, Lloyd’s Register and MSC is seeking to develop solutions to address methane slip.

While LNG remains a fossil fuel bio-LNG provides a potential pathway to carbon neutral or zero carbon operations for vessels fitted with LNG propulsion. Promoting industrial scale production of bio-methane and e-methane is one of the focus areas of a $1.5bn special energies fund also launched this week by shipowner CMA CGM, one of the pioneers in using LNG as marine fuel on very large vessels.

In a modelling of 24 different scenarios for shipping’s energy mix DNV’s Maritime Forecast to 2050 sees bio-LNG featuring significantly in all scenarios.

“It is hard to identify clear winners among the many different carbon-neutral fuel options given the uncertainties on price and availability, but we can outline under what conditions each will proliferate. Bio-LNG, bio-MGO and bio-methanol, which are relatively energy-dense hydrocarbons, would be the preferred fuels, given sufficient availability of sustainable biomass.”

Looking at bio-methanol, which would provide a zero-carbon option for methanol fuelled vessels, DNV said it was very sensitive to the cost of production compared to bio-MGO and bio-LNG.

The use of electro-fuels such as e-LNG, e-NH3 (ammonia), and e-methanol also require zero carbon electricity generation. “The availability of electrofuels depends firstly on the availability of renewable electricity to produce hydrogen by electrolysis. This requires the phasing out of fossil energy from power generation, which is still a long way off in most regions.”

While such fuels remain a long way off there is an urgent need to develop carbon neutral fuels at scale within the next few years. Some 2,000 ships are expected to be ordered annually between now and 2030.

“Carbon-neutral fuels must be made available for ships already within this decade, in decarbonization pathways assessed. By no later than 2030, 5% of the energy for shipping should come from carbon-neutral fuels. This will require substantial investments in both onboard technologies and onshore infrastructure,” said DNV Maritime CEO Knut Ørbeck-Nilssen.

The onboard technologies will require huge investments. DNV estimates investment ranging from $8bn to $28bn a year depending on which pathway the industry takes to achieve its goals. Much greater investments will be required in landside infrastructure and onshore supply chains estimated at between $30bn – $90bn.

Source: https://www.seatrade-maritime.com/sustainability-green-technology/alternative-fuelled-vessels-current-numbers-and-forecasts

CREWEXPRESS STCW REST HOURS SOFTWARE - Paris and Tokyo MoU have announced that they will jointly launch a new Concentrated Inspection Campaign (CIC) on Standards of Training, Certification and Watchkeeping for Seafarers (STCW) from 1st September 2022 to 30th November 2022


One of the key components of global trade is also one of the most vulnerable to cybersecurity threats – and if such an attack was successful, it would cause huge disruption with knock-on effects for people around the world.

According to the United Nations Conference on Trade and Development (UNCTAD), over 80% of the volume of international trade in goods is carried by sea and that percentage is even higher for developing countries.

The whole industry is reliant on a series of complex, ‘just in time’ supply chains. if just one element is disrupted, it can have massive repercussions.

One example: the disruption to supply chains around the globe in 2021 when Ever Given, one of the largest container ships in existence, was grounded in the Suez Canal, blocking one of the world’s busiest shipping channels and forcing many other ships to take much longer journeys around the Cape of Good Hope, severely delaying shipments of electronics, machinery, furniture, household goods, and more.

Ports and shipping are becoming increasingly connected to the internet and that’s making them a tempting target for hackers, especially when much of the sector is simultaneously reliant on legacy technology that can be decades old.

And the prospect of disruptive cyberattacks against shipping and ports isn’t just theoretical – they’re already happening.

In 2017, shipping giant Maersk had to deal with a backlog at ports when it was hit as part of the global NotPetya cyberattack. The company had to reinstall thousands of servers and tens of thousands of PCs to get back up and running again.

In 2021, a major cyberattack disrupted container operations at the South African port of Cape Town, restricting the movement of cargo until systems were restored. Both incidents, alongside the grounding of the Ever Given, demonstrate how disruption to shipping can have big consequences for the global supply chain, businesses and individuals.

Despite this, the maritime industry remains underprepared for cyberattacks.

“It’s a really big area measured in the trillions of dollars – but it’s also a bit sort of old guard in the sense of nothing happens, nothing changes very quickly,” says Kevin Jones, professor of computer science at the University of Plymouth and lead on the institution’s Maritime Cyber Threats Research Group.

“And there’s a mindset in the sector of ‘Once I leave port…nobody can touch me, I don’t need to worry about anything until I come back’. Those things were sort of true 30 or 40 years ago but they’re not true anymore.”

That sort of approach means that the industry has struggled to keep pace with cybersecurity threats, with legacy IT systems and a lack of visibility into networks making it a prime target for hackers – and that could have far-reaching consequences.

In a project alongside the Bank of England designed to test how insurance companies would react to such an incident, Plymouth’s Maritime Cyber Threats Research Group developed a scenario where attackers secretly gain control of ship controls and use this to crash them into ports and cranes, damaging ships and infrastructure, and losing cargo.

In this fictional scenario, the attackers also threaten to cause further accidents, unless the five biggest shipping companies pay a ransom of $50 million each. In order to prevent further attacks, much of the world’s shipping stops for days, crippling the global supply chain.

It’s an imagined event, but one based on worst-case scenarios of what attackers could achieve by targeting an industry that is struggling to keep up with cybersecurity – at a time when US Coast Guard Cyber Command has warned of a 68% rise of reported cyber incidents against the sector during the last year alone.

Part of the problem is the unusual nature of the operating environment: managing the technology on a vast container ship is a very different situation to sorting out the PCs in an office. When a vessel can be on the oceans for weeks or months at a time, it’s not as if a full IT refresh can be made at short notice – and a lack of connectivity can make it difficult to download security patches and software updates, even critical ones.

“The current state of the maritime industry from a cybersecurity point of view is pretty poor and that’s not solely down to owners and operators in the industry, it’s because of the complexity,” says Tom Scriven, principal consultant at cybersecurity company Mandiant, who previously spent eight years in the navy.

There are the issues of legacy systems, he notes, but also of new ships coming online that have increased connectivity that brings new problems, such as a lack of segmentation across internal networks, an increased threat surface from third parties and suppliers, and customers connecting in and out, he says.

All of these factors help to make maritime a prime target for hackers, with many different motives ranging from cyber espionage to general profiteering from cyber crime.

Scriven points to a hacking group Mandiant tracks as APT40, which is a cyber espionage operation linked to the Chinese state that targets the engineering, transportation, and defence industries, especially where the sectors overlap with maritime technologies. The group has conducted operations since at least 2013 in what researchers say are a means of supporting China’s efforts to modernise its navy by examining systems and stealing sensitive blueprints.

Mandiant has also detailed attacks against the Israeli shipping sector by cyber attackers. They are suspected to be the work of hackers operating out of Iran with the intention of conducting espionage and collecting intelligence in support of Iranian interests. The attacks include masquerading as legitimate cloud services to steal usernames and passwords, alongside attempts to trick victims into downloading malware.

Then there’s cyber criminals who are out for financial gain. These hackers want to make as much money as they can with as little effort as possible – and targeting the maritime industry could provide them with a big payday due to the combination of old, insecure networks and the fact that port infrastructure is vital to so many industries.

“If you were to find an operator or supplier similar in size in the European ecosystem – perhaps operated in Rotterdam, Antwerp or Felixstowe, and then you had the same success as an attacker – the ramifications of eight days of serious degraded container movement, the impact on an already stressed supply chain, would be horrific,” says Scriven.

But it’s not just ports that could be disrupted by cyberattacks against the maritime industry. There’s also the possibility that by targeting the right systems, cyber criminals could provide ships out in the open seas with bad information, tamper with their GPS tracking or provide false warnings that could move ships off course – either to cause disruption, or to direct them towards trouble, or even pirates who want to divert targets away from shipping lanes into less well-protected areas.

It might sound far-fetched, but this sort of disruption represents a very real threat, particularly in times of conflict.

“This has to be taken very, very seriously, because the implications of a major incident can be huge, especially in times of conflict,” says Captain Rahul Khanna, global head of marine consulting at Allianz and a veteran of 14 years at sea. “We’ve already seen that GPS spoofing has been done, it’s happening and we just hope there isn’t collateral damage in a conflict between countries. The industry overall needs to realise we need to learn from this.”

There are initiatives underway to help to improve cybersecurity across the sailing and shipping sectors, such as the International Maritime Organization’s maritime cyber-risk security program. It aims to provide guidelines that allow ship manufacturers, shipping companies and ports to identify, analyse and assess cyber risks and mitigate them to an acceptable level to support safe and secure shipping.

But for the most part, these are guidelines – and with ships, the systems that power them and even Internet of Things-connected devices inside modern vessels all being produced in different countries with differing levels of regulation, it isn’t anywhere near being joined up. That situation needs to change before things can improve.

“The industry overall needs to realize we must learn from this and it’s only a matter of time before somebody does come under attack, so what needs to be done is ensure the regulation requirements are implemented, especially in the critical parts of the industry that can have a lot more impact,” says Khanna.

Like any other industry, the basics can go a long way to helping improve security, such as applying security patches, using strong passwords and rolling out multi-factor authentication. The nature of shipping means it’s more challenging to find the time to provide this support around information security when rushing cargo around the globe, but taking care of security is more beneficial in the long run than leaving it aside.

It’s this sort of thing which the University of Plymouth’s Maritime Cyber Threats Research Group is discussing with vessel manufacturers as well as captains of ships as, ultimately, they’re the people responsible for the security of the infrastructure once they’re out on the high seas.

“Basic cyber awareness done in a context-specific way makes a huge difference, along with establishing proper protocols,” says Jones. “Some of it is knowing when to do things like patching and when to replace a lot of it is knowing what your risk exposure is.”

“Should you patch when en route? The answer is probably ‘yes’, if it’s a critical patch, if you know what you’re doing. But, should you patch when you’re sort of 20 minutes from New York? Probably not actually because, at that point, the risk sort of outweighs the reward,” he explains.

Jones and others hope that attempts to direct attention to cybersecurity issues in the maritime sector encourage action, improving the resilience of an industry that’s of great importance, particularly for global supply chains – and it’s better for everyone if attacks can be prevented before they happen rather than needing to be dealt with after they’ve occurred.

“Ultimately, if we don’t get this right, we all suffer,” says Jones.

Source: https://www.zdnet.com/article/this-overlooked-cybersecurity-risk-could-create-an-ocean-of-trouble-for-us-all/

 

CREWEXPRESS STCW REST HOURS SOFTWARE - Paris and Tokyo MoU have announced that they will jointly launch a new Concentrated Inspection Campaign (CIC) on Standards of Training, Certification and Watchkeeping for Seafarers (STCW) from 1st September 2022 to 30th November 2022

 


As a curtain-raiser to the opening today of SMM, the world’s largest shipping exhibition, class society DNV has unveiled the sixth edition of its Maritime Forecast to 2050 report with a new focus on how to overcome the “ultimate hurdle” of fuel availability.

“No industry can decarbonise in isolation so global industries need to make the right choices together, and sustainable energy should be directed to where it has the biggest impact on reducing GHG emissions. The ultimate hurdle is fuel availability and to overcome it, supply chains must be built through cross-industry alliances,” commented DNV Maritime CEO Knut Ørbeck-Nilssen.

“Carbon-neutral fuels must be made available for ships already within this decade, in decarbonisation pathways assessed. By no later than 2030, 5% of the energy for shipping should come from carbon-neutral fuels. This will require substantial investments in both onboard technologies and onshore infrastructure,” he continued.

In terms of fuel choice, the authors of the DNV report wrote that uncertainties around future price and availability means that a clear winner among the many options – ammonia, methanol, diesel or methane, produced from sustainable biomass, renewable electricity or fossil fuels with carbon capture and storage – cannot be identified yet or in the near future.

The fuel transition has already started, with 5.5% of ships in gross tonnage terms in operation and 33% of gross tonnage on order today able to operate on alternative fuel, largely dominated by LNG.

DNV forecasts that onboard technology investments required for the decarbonisation by 2050 pathway scenarios will range from $8bn to $28bn per year depending on which fuel type has the largest uptake between 2022 and 2050. The largest investments come in scenarios with high uptake of ammonia or methanol, which require more expensive fuel systems, according to DNV analysis.

Investments of between $30bn and $90bn per year to 2050 are needed for the onshore fuel supply chains, DNV forecast.

“Two thousand ships are expected to be ordered annually to 2030 but there is still no silver-bullet fuel solution available,” said Ørbeck-Nilssen. “Against this uncertainty, the new Maritime Forecast to 2050 report can serve as a beacon of expert advice and smart solutions to ensure vessels stay commercially competitive and compliant over their lifetimes, underpinned throughout by the enduring need for safety,” he concluded.

DNV’s updated projections for global trade predict an overall 29.55% growth between 2022 and 2050 in seaborne trade in tonne-miles. Most of the growth will come before 2030, after which DNV reckons global seaborne trade will stabilise.

“Growth in certain segments, especially gas and the container trade, will outpace the average rate. However, as the global demand for coal and oil peak, so will their trade, reducing their seaborne trade by more than two-thirds and one-third, respectively,” the report states.

 

CREWEXPRESS STCW REST HOURS SOFTWARE - Paris and Tokyo MoU have announced that they will jointly launch a new Concentrated Inspection Campaign (CIC) on Standards of Training, Certification and Watchkeeping for Seafarers (STCW) from 1st September 2022 to 30th November 2022

 


Korean Register (KR) will be closely collaborating with HHI and its subsidiary Avikus as well as the Liberian Registry (LISCR) to commercialise autonomous navigation technology.

The four parties signed a Memorandum of Understanding (MoU) at HHI’s headquarters in Ulsan, Korea to collaborate on bringing the Hyundai Intelligent Navigation Assistant System (HiNAS 2.0) to market.

HiNAS 2.0 will be installed on KR classed and LISCR registered ships in July of next year.

HiNAS 2.0 uses artificial intelligence (AI) to recognise the surrounding environment, such as weather and wave heights, and nearby ships, and then goes beyond providing simple information and controls the vessel’s steering commands and speed in real-time to avoid collision risk. The system uses augmented reality (AR) to guide optimal routes. The solution was developed for increasing fuel efficiency and to ease the operational burden on bridge teams.

The International Maritime Organization (IMO) categorises autonomous ship operations into four levels. A ship with automated process and decision support is referred to as the Level 1. Level 2 autonomous operations is described as a remote-controlled ship with seafarers on board. At Level 3, the ship is remotely controlled without any seafarers on board, and with Level 4, the ship is fully autonomous.

Most commercialised autonomous navigation systems are currently at Level 1, but HiNAS 2.0 is aiming to be the most advanced solution of the existing autonomous navigation systems at Level 2.

“We are focusing on research and development for autonomous navigation, and some of our technologies have already been commercialised, taking the lead in the global market. As a pioneer in the autonomous ship sector, we will advance our technologies through various collaborations with other market leaders,” said Won-ho Joo, HHI Senior Executive Vice President & Chief Technical Officer

“This collaboration is quite significant with the participation of different sectors, including a shipyard, an autonomous navigation solution developing company, a Classification Society and a flag registry. Based on the results of the collaboration, we will successfully commercialise the HiNAS 2.0 and enhance the safety and economic operation of ships,” explained Do-hyeong Lim, Avikus CEO.

Source: https://www.seatrade-maritime.com/technology/kr-hhi-and-liberian-registry-joint-autonomous-navigation-system

 

CREWEXPRESS STCW REST HOURS SOFTWARE - Paris and Tokyo MoU have announced that they will jointly launch a new Concentrated Inspection Campaign (CIC) on Standards of Training, Certification and Watchkeeping for Seafarers (STCW) from 1st September 2022 to 30th November 2022

 


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