Malaysia Marine and Heavy Engineering Holdings Berhad (MHB) has signed a strategic agreement with Bureau Veritas (BV) Solutions Marine & Offshore (M&O) to support industry-wide efforts to progress shipping’s decarbonisation.
This partnership, signed through MHB’s wholly owned subsidiary, Malaysia Marine and Heavy Engineering Sdn Bhd (MMHE), offers vessel owners and operators a wide range of vessel improvement opportunities and services. These services are targeted to increase vessel performance, thus enhancing the energy efficiency of vessels and contributing to the reduction of their carbon emissions. The collaboration also offers vessel improvement services and related services for Energy Efficiency eXisting ship Index (EEXI) and Carbon Intensity Indicator (CII) compliance.
MMHE, one of the most prominent liquefied natural gas carrier (LNGC) repair yards in Asia is the main contractor to provide the modification works on the vessels in its yard in Pasir Gudang, Johor, Malaysia. BV Solutions M&O, the marine and offshore independent technical advisory component of Bureau Veritas Group – a world leader in testing, inspection, and certification, will provide technical and consultation services on vessel improvements such as bow modification, vessel lengthening, vessel life extension, hull roughness, propeller modification assessments and other related advisory services.
Pandai Othman, MD & CEO of MMHE, said: “We are delighted to sign this agreement with BV Solutions M&O, a renowned marine consulting and service provider. Together, it allows us to bring the powerful combination of MMHE’s retrofit and conversion technical expertise, and BV Solutions M&O’s maritime technical advisory to market in supporting our customers’ decarbonisation strategies, thus accelerating the industry’s transition to cleaner shipping. Equipped with top-notch marine repair and conversion facilities and with more than 45 years’ experience in delivering energy and marine solutions, MMHE is set to become a hub for energy efficiency solutions in the maritime industry.”
Paul Shrieve, President of BV Solutions M&O, said: “We are very pleased to announce our collaboration with MMHE, a world-class shipyard with an exceptional history in marine repair and conversion services. By working together, we aim not only to raise awareness among our combined customer base of BV Solutions M&O’s advisory and technical expertise in the maritime and offshore industry, and MMHE’s role as one of the leading repair and conversion shipyards, but also to encourage adoption of energy efficiency technologies more widely in the industry as an essential step in shipping’s decarbonisation journey.”
Earlier this year, MMHE signed a strategic partnership with Silverstream Technologies (UK) Limited for air lubrication system retrofit opportunities for vessel owners and operators. These strategic collaborations signify MMHE’s initiative in supporting the maritime decarbonisation agenda that will take a significant step forward in January 2023 with the enforcement of the EEXI and CII regulations.
ClassNK has issued an Approval in Principle (AiP) for the design of a large-scale liquefied carbon dioxide (CO2) carrier developed through the Research and Development Project from NEDO by Mitsui O.S.K. Lines, Ltd. (MOL).
MOL has launched research and development (R&D) on the adoption of a large-scale liquefied CO2 carrier in response to a call for proposals by Japan’s New Energy and Industrial Technology Development Organization (NEDO) to complete the conceptual design, under a project entrusted by NEDO to Japan CCS Co., Ltd. (JCCS).
The vessel design is one element of NEDO’s “CCUS R&D and Demonstration Related Project/Large-scale CCUS Demonstration Project in Tomakomai/Demonstration Project on CO2 Transportation”. The large-scale liquefied CO2 carrier developed by MOL is intended as a practical solution to the need for long-distance transport of CO2 on a scale of 1 million tons a year, based on NEDO’s vision to implement CCUS technology by 2030.
ClassNK carried out the design review of the LCO2 carrier developed by MOL based on Part N of Rules for the Survey and Construction of Steel Ships incorporating the IGC Code. Upon confirming the conformity to the relevant rules, ClassNK issued the AiP for the design concept of the said carrier.
ClassNK will actively continue to take part in advanced initiatives toward decarbonization and also support the decarbonization of the entire maritime industry by incorporating the knowledge gained through collaboration with front runners into rules and guidelines.
Approval in Principle (AiP):
At the initial stage of designing or before the specific target ship to be implemented is decided, the design is examined based on the existing regulations such as international conventions and ship classification rules, and an Approval in Principle (AIP) is issued as proof of conformity with requirements. It also prevents the rework of regulatory aspects in the post-process, shortens the examination time at the time of class registration, and can be used as a technical basis for the external appeal of the design status.
Miss Katie departed from the shipyard on the morning of Saturday, August 13, and on the afternoon of of Friday, August 19 arrived in Wanchese, N.C., which will serve as her homeport.
“The completion of Miss Katie and her long-awaited arrival here on the Outer Banks is a historic moment and will be a game-changer for watermen in Dare County,” said Dare County Board of Commissioners Chairman Bob Woodard. “Commercial and recreational fishing are not just enormous economic drivers in our community; they’ve also been a way of life for thousands of folks here in Dare County for generations. It’s absolutely critical that we have the resources in place to properly dredge our channels and inlets that these watermen depend on as their highway to get to work every day—and thanks to the county’s partnership with EJE Dredging and the arrival of Miss Katie, we’ll be much better equipped to do just that.”
The completion of the highly anticipated shallow-draft hopper dredge is the result of a years-long collaboration between Dare County officials and Greenville, N.C., based EJE Dredging Service, a private partner that owns and operates the 156-foot-long dredge.
“With the arrival of the Miss Katie, we look forward to providing an open and navigable channel for the waterways in the region,” said Jordan Hennessy, vice president of EJE Dredging Service. “The Miss Katie has been specifically developed and designed to ensure she will be able to safely navigate the channels and inlets of North Carolina. The split-hull configuration will allow spoil discharge in shallow waters, thus preventing the vessel from grounding on her own hopper load.”
On May 20, 2019, the Dare County Board of Commissioners unanimously approved a contract for the construction and operation of a new shallow-draft hopper dredge that could be used to address the significant shoaling that occurs in various channels and inlets throughout Dare County.
Funding for the project came from a public-private partnership with the state of North Carolina, in which the legislature allocated $15 million from the Shallow Draft Navigation Channel Dredging and Aquatic Weed Fund for the purchase of the dredge, which will play an integral role in keeping Dare County waterways accessible.
Once the necessary Certificate of Inspection from the United States Coast Guard is received, Miss Katie will be scheduled to perform strategic dredging operations throughout the region in order to address the ongoing issues caused by shoaling.
Miss Katie’s operations will be managed by the Oregon Inlet Task Force, whose members will be responsible for scheduling, planning and monitoring the success of the dredging efforts that are undertaken.
“I can’t tell you how excited I am to stand here with Miss Katie behind me,” said Oregon Inlet Task Force Chairman and Dare County Commissioner Jim Tobin. “It’s been a long and arduous process, and I’m happy to declare that today it is complete. It’s official—and thanks to the crew that brought her up here, Miss Katie is home.”
EJE Dredging Service will host a ribbon-cutting and christening ceremony in partnership with Dare County to formally celebrate the completion of the project later this year.
Viking® named its newest river ship, the Viking Osiris, with a celebration in Luxor, Egypt. As part of the intimate event, the company’s first ceremonial godfather, George Herbert, the 8th Earl of Carnarvon, offered a blessing of good fortune and safe sailing for the ship—an evolution of the naval tradition that dates back thousands of years. Designed specifically to navigate the Nile, the state-of-the-art ship was built at Massara shipyard in Cairo and will sail Viking’s bestselling Pharaohs & Pyramids itinerary.
The naming of the Viking Osiris comes as Egypt marks several key events this year, including the highly anticipated opening of the new Grand Egyptian Museum outside of Cairo on the Giza Plateau and the 100th anniversary of the discovery of King Tutankhamun’s tomb by the world’s most famous Egyptologist, Howard Carter, and his benefactor and co-explorer, the 5th Earl of Carnarvon.
“Egypt has always drawn curious explorers for its rich history and ancient antiquities, and ever since we first began operating on the Nile River in 2004, our guests continue to be amazed by the country’s many cultural treasures. Today we are pleased to officially welcome the Viking Osiris to our growing fleet on the Nile River, which allows us to welcome even more curious explorers to this incredible destination,” said Torstein Hagen, Chairman of Viking. “During this milestone year for Egypt, we are also very grateful for the continued close friendship with the Carnarvon family, and that Lord Carnarvon has honoured us by serving as the first godfather in our history.”
“It is a great honour to be asked to be godfather to the Viking Osiris, one of the most beautiful river vessels to have ever graced the Nile. This is especially the case in the centenary year of my great-grandfather’s discovery of the tomb of the Pharaoh Tutankhamun, and no doubt he and my great-grandmother, Lady Almina, would have been delighted to board the Viking Osiris had it been sailing in their day,” said Lord Carnarvon. “The 5th Earl of Carnarvon was one of the great explorers and excavators of his time, and today you may join in his love of the glories of ancient Egypt, all in the exceptional comfort and style of the Viking Osiris.”
The 8th Earl of Carnarvon, Godfather of the Viking Osiris
The 8th Earl of Carnarvon is the son of Henry Herbert, the 7th Earl of Carnarvon, and Jeanie Margaret Wallop (1935–2019). His mother was born in Big Horn, Wyoming, to Oliver Wallop, who was the brother of the 8th Earl of Portsmouth. The 8th Earl of Carnarvon was educated at Eton College and St. John’s College, Oxford. He succeeded to the title of Earl of Carnarvon when his father passed away on September 11, 2001.
He lives at Highclere Castle with the 8th Countess of Carnarvon, and they run the estate and business together. He is a keen horseman and sits on the board of the Historic Houses Association (HHA). He also takes a considerable interest in conservation and farming and has been an investor in start-up technology businesses. Together, the Carnarvons are Viking’s first “godparents,” as Lady Carnarvon is the godmother of Viking’s newest ocean ship, the Viking Mars®, as well as the river ship, the Viking Skadi.
The 5th Earl of Carnarvon and the Discovery of King Tut’s Tomb
Nearly 100 years ago, in November 1922, the discovery of the tomb of Tutankhamun by the 5th Earl of Carnarvon and Howard Carter was considered the first global media event and has provided a legacy of understanding, knowledge and insight into a remarkable civilization. In her newest book, The Earl and the Pharaoh: From the Real Downton Abbey to the Discovery of Tutankhamun, the Countess of Carnarvon tells the behind-the-scenes story of this discovery and explores the unparalleled life of the 5th Earl.
Among many talents, he was an avid amateur photographer with an artistic eye for composition. His photographs are at Highclere Castle currently, stored in photo albums in the Library, and show the process of discovering and excavating the tomb of Tutankhamun, as well as scenes of daily life in Egypt of the period. With kind permission, the Carnarvons have allowed Vikings to share this private collection with guests sailing on board the Viking Osiris.
Viking and Highclere Castle
For years Viking has offered a variety of ways for its guests to experience life at Highclere Castle, which is the home of the Earl and Countess of Carnarvon and the historic estate best known as the filming location of Downton Abbey. Viking became a household name during its sponsorship of the celebrated MASTERPIECE series through the years Downton Abbey aired on PBS. Karine Hagen, Viking Executive Vice President, worked closely with the Carnarvon family to develop the Privileged Access Pre/Post Extensions that feature the estate, including the highly-rated Oxford & Highclere Castle and Great Homes, Gardens & Gin extensions.
Both are available for guests on select river and ocean voyages. For guests sailing the Pharaohs & Pyramids Nile River itinerary, Viking offers a five-day British Collections of Ancient Egypt Pre Extension, which gives guests an introduction to Egyptian antiquities in preparation for their Nile experience, including retracing the steps of Howard Carter and the 5th Earl of Carnarvon.
Guests experience Privileged Access to archives and museum exhibits not normally accessible to the public, including a private, early morning tour of the Egyptian Collection at the British Museum, as well as visits to Sir John Soane’s Museum, the Petrie Museum, the Ashmolean Museum and Oxford University’s Griffith Institute, which houses Carter’s archives. At Highclere Castle, guests also have the opportunity to view the Earl’s magnificent private collection of Egyptian artefacts.
The Carnarvon family has also welcomed viewers to Highclere Castle on Viking’s award-winning enrichment channel, Viking.TV (www.Viking.tv). In the ongoing series, At Home at Highclere, Lady Carnarvon offers virtual Privileged Access to the historic home and its grounds during which she is joined by Lord Carnarvon, who shares his memories and a look inside his ancestral home.
The Viking Osiris & Viking’s Growing Egypt Fleet
Hosting 82 guests in 41 staterooms, the new, state-of-the-art Viking Osiris is inspired by Viking’s award-winning river and ocean ships with the elegant Scandinavian design for which Viking is known. The vessel features several aspects familiar to Viking guests, such as a distinctive square bow and an indoor/outdoor Aquavit Terrace.
The Viking Osiris joins the Viking Ra, which launched in 2018. Additionally, in response to strong demand, the Viking Aton, an identical sister ship to the Viking Osiris, will join the fleet in 2023. During today’s naming event in Luxor, Hagen also announced that two more sister ships, the Viking Hathor and the Viking Sobek, are already under construction and will be delivered in 2024 and 2025, respectively.
Viking’s Pharaohs & Pyramids Itinerary
During the 12-day, Pharaohs & Pyramids itinerary, guests begin with a three-night stay at a first-class hotel in Cairo, where they can visit iconic sites such as the Great Pyramids of Giza, the necropolis of Sakkara, and the Mosque of Muhammad Ali. Beginning in late 2022, guests will also be able to visit the new Grand Egyptian Museum.
Guests then fly to Luxor, where they visit the Temples of Luxor and Karnak before boarding a Viking river ship for an eight-day, round-trip voyage on the Nile River, featuring Privileged Access to the tomb of Nefertari in the Valley of the Queens and the tomb of Tutankhamun in the Valley of the Kings, and excursions to the Temple of Khnum in Esna, the Dendera Temple complex in Qena, the temples at Abu Simbel and the High Dam in Aswan. Guests also visit a colourful Nubian village, where guests can experience a traditional elementary school. Finally, the journey concludes with a flight back to Cairo for a final night in the ancient city.
The Brazilian government and Sok Denizcilik Tic. Ve Ltd.Sti (SOK) of Aliaga, Turkey, the buyer of the Aircraft Carrier SÃO PAULO, was sent scrambling on August 9, when Turkish authority Eyüp Karahan General Director of Environmental Management, on behalf of Minister Çevre Yönetimi Genel Müdürü, sent a letter to the Brazilian agency IBAMA, Competent Authority for the Basel Convention, requiring a new Inventory of Hazardous Materials (IHM) to be conducted prior the export:
“… As a result of the Supreme Court’s interim injunction, news in the press, and the hazardous materials notices made to our Ministry, it has emerged that a new Inventory of Hazardous Materials for the ex-naval vessel in question should be prepared while the vessel is in Brazilian territorial waters before it comes to our country.”
Claiming for weeks that the export of the ship from Brazil to Turkey is illegal under the Basel and Barcelona Conventions and that the current IHM is not credible, environmental, and labour rights groups working on this matter in Turkey, Brazil, and internationally praised the Turkish action.
“Turkey is to be applauded for asking for a true and accurate survey and inventory. The current one is simply not believable based on what we know about older aircraft carriers. We have real concerns that the provided inventory grossly underestimates the hazardous and radioactive materials on board the São Paulo.” – Nicola Mulinaris – Senior Communication and Policy Advisor – NGO Shipbreaking Platform
It must be noted that Grieg Green, the survey company that issued the IHM for SOK, :
– admitted they had access to only 12% of the ship;
– did not have access to the IHM prepared by the Brazilian Navy;
– concluded there were no radioactive materials onboard;
– did not compare with the IHM issued by Bureau Veritas for the vessel’s sister ship CLEMENCEAU;
– did not adequately test (only six samples) Polychlorinated Biphenyls (PCBs) concluding there were none;
– concluded that there might be more asbestos onboard the aircraft carrier than the estimated 9 tons; and
– recommended further sampling during dismantling operations.
The SÃO PAULO’s sister ship CLEMENCEAU was estimated to have at least 760 tons of asbestos, a figure which was later confirmed by Bureau Veritas upon the dismantling of the CLEMENCEAU at the scrap yard ABLE UK.
IBAMA has responded to the Turkish request by saying the ship had already left Brazil so therefore it was not possible to fulfil the request that a new inventory is made in Brazilian territorial waters.
Indeed, just a few hours following the court injunction on August 4, the ship was hastily towed out to sea, and instead of following the towage plan which projected it sailing along the Brazilian coast, the tow train made an easterly heading to leave Brazilian territory as rapidly as possible.
Despite the federal injunction which is now considered out of force and the new demand for a new IHM by Turkey, neither IBAMA, the Brazilian Navy, nor SOK has made any move to turn the ship back to Brazil. It is currently moving at its top speed just off the coast of Mauritania and is just a few days away from the Strait of Gibraltar. Meanwhile, neither Spain, the UK nor Morocco have been notified or given consent for it to pass through their waters at Gibraltar as is required by the Basel Convention.
While IBAMA seems unwilling to respect the request by Turkey that the new survey be conducted in Brazil, they, nevertheless, wrote to the exporting company working with SOK, known as Oceans Prime Offshore Agenciamento Maritimo Ltda., to remind them that it is within the rights of the importing country to amend their import consent with new conditions. They suggested that a new IHM may be required “upon arrival” and would need to be paid for by SOK. However, doing the job in Turkey instead of Brazil is likely to be illegal.
“Under no circumstances should Turkey agree that the new survey be conducted in Turkey or any other country other than Brazil. Under the Basel Convention, a proper inventory of hazardous materials can only be conducted prior to export.” – Jim Puckett – Director – Basel Action Network (BAN)
“The rush by the Brazilian government to get out to sea without checking to see if Turkey has laws against such import, to alert transit countries, and before a court injunction can be properly served, is not an excuse for Turkey to ever allow this ship into our territory. It must go back now. It should not even be allowed to pass into the Mediterranean Sea.” – Asli Odman – Academic – Istanbul Health and Safety Labour Watch
COSCO Shipping’s newest bulk carrier departed China late last week on its maiden voyage to South America, but instead of the normal operations sailing empty outbound to get the pulp cargo, the company has come up with a novel application to transport new cars aboard bulk carriers. According to COSCO, the adaptations were developed during the construction of the vessel to make it multi-purpose and fill the shortage for vehicle transport vessels.
The 62,500 dwt vessel named COSCO Shipping Wisdom was built at China’s Dalian Shipyard as the fifteenth vessel in the class. She measures 662 feet in length with a 106-foot beam. Her six cargo holds which give the vessel hold capacity of 72,5000 cubic meters are outfitted with a dehumidification system to meet the strict quality requirements for pulp cargo during transportation.
The shipping company reports that modifications were made to the floor of the six holds to accommodate the feet for specially designed racks. The alterations do not affect the vessel’s loading capacity but permit them to place specially designed folding racks standing up to eight levels high into the holds on which cars will be loaded. The vessel can accommodate approximately 1,000 cars, which gives it a capacity similar to a smaller vehicle carrier. When the vessel reaches South America, the cars will be offloaded and the racks can then be folded and stowed so that vessel will load its normal pulp cargo for the return voyage.
COSCO reports that it has received strong demand for the new service and that it will permit them to increase the efficiency of the vessel which otherwise would have made the outbound voyage with no cargo. The company has signed agreements with major Chinese car manufacturers and plans to maintain outbound car transport as an ongoing service. They are also exploring fitting the racks to other vessels of the class.
The shipping line reports working with Dalian they were able to increase the efficiency of the ship and complete the construction despite the pandemic. In addition to the novel cargo arrangements, the COSCO Shipping Wisdom’s main and auxiliary engines are equipped with SCR systems, which meet the NOxTIERIII emission requirements. The ship was classed by the China Classification Society and also obtained additional notations such as smart ships and green ecological ships.
The delivery and naming ceremony for the new ship was conducted on August 10. She departed last Thursday, August 18 from the Taicang Port near Shanghai. She is bound for Valparaiso before proceeding to Lirquen where she will load the cargo of pulp for the return trip to China.
Source: https://maritime-executive.com/article/cosco-s-newest-bulker-transports-cars-outbound-from-china
NYSHEX’s first commercial software product, introduced earlier month, allows shippers to ascertain whether ocean carriers likely will provide container slots booked or reserved with them as far back as one year.
The software matches a carrier’s confirmed booking against a reservation, or pending booking, pointing out any shortfall or misalignment. Essentially, it gives shippers better visibility into short to medium-term container slot availability.
NYSHEX Allocation Management software directly addresses a critical, long-standing challenge for shippers of container cargo and their carriers: reliance on imperfect capacity allocation.
Moreover, Covid-19 supply chain snafus have further challenged capacity allocation efforts.
NYSHEX software essentially helps shippers gauge the likelihood of the contracted service being provided; it does not address capacity allocation planning methodology, Matthew Marshall, NYSHEX’s senior vice president, commercial, said during a recent interview.
The Saas (Software as a Service) tool, that NYSHEX developed internally, is the first of series of capacity allocation management modules that it plans to introduce later this month, Marshall said.
It is also NYSHEX’s first commercial software offering.
To date, seven-year-old NYSHEX has run a neutral booking exchange for containership capacity. Its contracts promote reliability through enforcement of strict contract terms that include fixed penalties for failure of either shippers or carriers to meet performance guarantees.
Additional NYSHEX software modules will help other supply chain partners — carriers and third-parties such as freight forwarders and NVOCCs (NonVessel Operating Common Carriers) — improve capacity allocation, Marshall said.
NYSHEX’s shipper-centric software reconciles a shipper’s pending booking request with a carrier’s confirmed booking. The confirmation offers reasonable assurance that the carrier will provide the contracted service.
“This is a designed solution for shippers,” Marshall said.
Typically, shippers seek booking confirmation about six to eight weeks before a scheduled sailing, Marshall said. That is the timeframe when accurate supply chain visibility becomes imperative to shippers and consignees and gives each adequate time to adjust bookings to correct any misalignment, Marshall said.
NYSHEX charges an undisclosed annual fee to lease the software, Marshall said. There also is one-time installation fee to format contracts, as well as a discounted, volume-based usage charge, starting at less than $10 per TEU, he said.
Shippers can upload their capacity allocations, often generated by ERP (Enterprise Resource Planning) software, into NYSHEX’s confirmation tool.
NYSHEX allocation management software is among the first such non-proprietary products offered. However, some Transportation Management Software packages include a similar module.
Also, at least one major international freight forwarder uses allocation management software, Marshall said.
The leveling off of demand and even declines in container volumes appear to be finally creating good news for shippers. After nearly two years when the balance of power shifted to the carriers, the recent market changes are helping shippers with the spot rate for standard containers set to fall below a threshold in September and transit times falling despite the industry being in a traditional peak season.
After repeated reports of falling spot prices, technology platform provider Shifl reports that its data analysis shows that the shipping rate for a standard 40-foot container from China to the U.S. West Coast is set to fall for the first time in approximately 20 months below the $5,000 threshold.
Shifl forecasts that the September spot rate between China and Southern California on average will drop to $4,900 for a 40-foot box. That would be a decline of 72 percent year-over-year from a high of $17,500 a year ago in September 2021. Rates, however between China and the U.S. East Coast have shown a smaller decline. Shifl points out that they are expected to be down 54 percent, or an average of $8,900 compared to $19,500 in September 2021.
“While spot rates continue to decline, they are still more than three times higher than they were prior to the pandemic,” comments Shabsie Levy, CEO and Founder of Shifl. “The rates, however, are at levels far lower than at the beginning of 2022, when consumer demand was very high. The pace of this continued decline points to the market returning to some semblance of the new normal.”
The continued decline in spot rates, Shifl predicts, will place continued pressure on the carriers. Carriers in their most recent financial reports highlighted that long-term contract rates were contributing to their extraordinary profits. Shifl’s analysis reports that for major lines such as Maersk and ONE, volumes were down overall in the second quarter with multi-year contracts accounting for up to 70 percent of their container moves.
“As the spot market rates continue to drop, carriers will be forced to renegotiate long-term contract rates that were set at the previous higher levels. Some customers have contracts that have built-in rider clauses pegging them with spot rates,” said Levy.
The declines in volumes are also benefitting shippers in other ways. Transit times are down on major routes despite persistent reports of port congestion in some areas such as the U.S. East Coast. However, even on the routes to the East Coast Shifl reports transit times peaked at 50 days in April and since then are down to 46 days on average.
The improvement has been more dramatic to the U.S. West Coast ports. From China, the average transit time is down from 50 days in December 2021 to an average of 32 days to the California ports.
Levy points out that the progress, however, is marginal when considering that transit times are still twice what they were between China and the U.S. West Coast before the pandemic. Transit times between China and New York are also 1.7 times longer than before the pandemic.
Part of the problem with transit times may be the continued congestion in ports primarily from empties. Shifl’s analysis shows that gate-out times for full import containers have increased. In Los Angeles, for example, Shifl reports gate-out times were up one day from June to July while in New York they jumped one day from May to the current plateau at four days.
These declines spell good news for both shippers and potentially U.S. consumers. Lower shipping prices should help to ease inflation and the out-of-stock conditions experienced during the surge in volumes. The easing in the market aligns with the forecast from many of the leading carriers that said they expected normalization in the markets coming by the third or fourth quarter of 2022.
Global chemical distributors belonging to International Chemical Trade Association have endorsed a safety guidance issued by organizations engaged in moving dangerous goods
A white paper, “Safety Guidance for Dangerous Goods Storage and Handling Facilities,” along with “Warehouse Checklist,” was issued last December by four global trade groups
ICTA promotes safe and sustainable chemical supply chains based on chemical distributors deep knowledge of chemicals and global markets
Global chemical traders have backed a safety guidance issued last December by a collective of organizations engaged in handling and moving dangerous goods.
Its latest endorser is International Chemical Trade Association (ICTA), which promotes safe and sustainable chemical supply chains. ICTA says it believes the chemical distribution industry has a key role in enabling chemistry to make a positive societal impact.
“Chemical supply chains rely on an interplay of different actors to deliver dangerous goods safely across the globe,” said Douglas Leech, chairman of the ICTA Transport & Security Committee.
Leech was quoted in a press release issued on August 18 by the International Cargo Handling Coordination Association (ICHCA), one of four global trade groups that issued the white paper, entitled “Safety Guidance for Dangerous Goods Storage and Handling Facilities.”
A pivotal element of the white paper is a warehouse checklist. A practical management tool, the checklist format is a significant addition to the other elements of the white paper.
Broken down into eight key functional areas of operation, the warehouse checklist’s 14 pages are designed to be comprehensive yet easily digestible as an everyday device for maintaining safety management vigilance.
“Chemical distributors cooperate closely with [logistics] and warehousing companies to make this happen. These guidelines will help them to jointly prevent incidents in their warehouses – keeping workers, neighbors, and the environment safe,” said Leech.
ICTA said that, aside from taking responsibility for their own operations, chemical distributors interact with their customers and suppliers to help them to work more safely and securely.
ICTA considers the white paper and the safety efforts that it represents as a step forward in guiding operators to improve their already high standards.
The safety guidance issuers were ICHCA, International Vessel Owners Dangerous Goods Association (IVODGA), National Cargo Bureau (NCB) and World Shipping Council (WSC). They are global trade organizations that drew on their combined expertise and experience in moving dangerous goods around the world to produce the guidance.
Richard Steele, ICHCA chief executive, welcomed the additional support from ICTA. “To make a real difference to the standards of safety in supply chains that feature hazardous materials, it is vital to reach all involved and create a critical mass of like-minded partners,” he said.
“The endorsement of our work by such an authoritative voice as ICTA is therefore decidedly welcome,” Steele said in the press release.
ICTA now joins a number of influential industry stakeholders that have endorsed the guidelines.
The early endorsers were Baltic and International Maritime Council (BIMCO), Bureau International des Containers (BIC), Container Owners Association (COA), Council on Safe Transportation of Hazardous Articles (COSTHA), Danish Shipping, International Chamber of Shipping (ICS), International Federation of Freight Forwarders Association (FIATA), International Group of P&I Clubs (IGP&I) and Through Transport Mutual Insurance Association Ltd (TT Club).
Established in 1952, ICHCA International is an independent, not-for-profit organization dedicated to improving the safety, productivity and efficiency of cargo handling and movement worldwide. It provides a focal point for informing, educating, lobbying and networking to improve knowledge and best practice across the cargo handling chain.
The maritime industry contributes nearly 940 million tons of CO2 emissions annually which accounts for nearly 2.5% of the world’s total CO2 emissions (Source: UK Research and Innovation)
But in less than 120 days from now, the IMO’s two new regulations – Energy Efficiency Existing Ship Index (EEXI) and Carbon Intensity Indicator (CII) – will apply to existing ships of 400 gt and above.
IMO’s intention is for these new regulations is to reduce the total greenhouse gas emissions from shipping operations by 50% by 2050 (against its 2008 emission levels) and carbon intensity of all ships by 40% by 2030.
The EEXI regulation is one of the most significant measures by the IMO to promote more environmentally friendly technologies and reduce the shipping industry’s carbon footprint. For CII, the annual rating ranging from A to E will be issued based on ratio of the total mass of CO2 emitted to the total transport work undertaken in each calendar year and if the rating is below ‘C’ corrective action must be taken immediately.
All of which raises interesting questions about the options available to ships of a certain age – let’s call them vintage assets. One engine manufacturer has warned that more than 80% of bulk carriers and container ships will be in the lowest C,D and E CII categories by 2030 if no action is taken, damaging their commercial viability.
Is scrapping the only commercially feasible option for vintage assets which fall foul of the new regulations? Taking a holistic approach, looking at the vessel’s full life cycle assessment, is there a case for extending the life of older vessels, rather than consigning them to the scrap heap?
If the purpose of EEXI and CII is to save the environment, phasing out vintage assets could be unintentionally counter-productive and lead to greater environmental damage.
How so?
Analysis clearly shows that newbuildings are responsible for significant energy consumption/GHG emissions when taking into account the transportation and handling of the raw materials used in steel production.
In their academic paper on “Assessing Environmental Impacts of Ships from a Life Cycle Perspective” joint authors Stefanos Chatzinkolaou and Nikolaos P. Ventikos state: “The Life Cycle Assessment (LCA) of building, operation and recycling is studied for a panamax tanker and impact on human health (climate change) and ecosystem quality is estimated. The results show that the “ship building has 40% impact and steel production process under the scope of ship building alone responsible for nearly 90% of the total CO2 emissions.”
For a universal approach – also now referred to as the Circular Economy – a life cycle assessment/material balance analysis of the ship’s operational life must also be evaluated.
Circular economies preserve value in the form of energy, labour, and materials with the maximum value extracted from resources before they become waste. It is a framework to tackle not only climate change but also biodiversity loss and pollution.
There are three simple ways shipping can become more Circular.
The first is to consume less – which ensures better use of resources. The second is to consume better. The third is to create systemic change.
And change is already happening. There are other methods to reduce EEXI including retrofitting clean technologies, waste heat recovery systems, air lubrication technology, wind-assisted propulsion, to name a few.
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