Kongsberg to Test Autonomous Short Sea Shipping

Jan. 23, 2020 - Konsgberg, a provider of next-generation technology for the maritime sector, will install and test autonomous technology on two short sea vessels after receiving a record-breaking funding grant from the EU.

The first vessel involved is Eidsvaag Pionner, which is owned by the Eidsvaag shipping company and operates along the Norwegian coast and fjord regions.

The second is a Belgian pallet shuttle barge owned by Blue Line Logistics NV, which operates on canals in Europe, transporting goods to and from large container ports.

The aim is to test and further develop key technology linked to fully autonomous navigation systems, intelligent machinery systems, self-diagnostics, prognostics and operation scheduling.

In order to do this, Kongsberg will develop cloud-based communications systems and advanced simulations to test and ensure that the autonomous vessels operate safely and optimally.

In a statement, the company said the EU had granted it $22.3 million (EUR 20.1 million), one of the largest grants ever awarded to a Norwegian firm.

The funding will be made through the AUTOSHIP project, a four-year scheme which is part of Horizon 2020, an EU research and innovation program.

“The Norwegian maritime cluster,” said Egil Haugsdal, CEO, Kongsberg Maritime “which Kongsberg is part of, is the world leader in autonomous shipping.

“Now we are further strengthening our position through the AUTOSHIP project which will accelerate the realisation of next-generation autonomous ships and create a roadmap for commercialising autonomous shipping in the EU in the next five years.

“There is increasing market demand for waterborne transport in the EU,” Haugsdal added.

Resolute Joins Consortium on Maritime Transportation Sustainability

Jan. 22, 2020 (Press Release) - Resolute Forest Products has joined the OCIANA™ Consortium, a cross-industry team representing world-class companies working to develop safe, secure, efficient and environmentally responsible maritime transportation solutions. The consortium will also focus on commercializing OCIANA vessel management system based on artificial intelligence. This initiative will allow us to explore ways of lowering greenhouse gas emissions in our supply chain.

The OCIANA system will support a path to safer, cleaner vessel operations as well as enhanced maritime risk assessment and management. It works by rapidly processing satellite data with other data sets harvested from ocean, weather and port activity to provide decision-making information in near real-time. Its implementation is expected to lower fuel costs and associated greenhouse gas emissions, improve port and terminal utilization, and improve efficiency in the maritime sector. This technology could play a significant role in the international maritime industry’s commitment to halve its emissions by 2050. Resolute will contribute to the initiative by providing input from our environment and global logistics teams. Participating in this initiative reinforces our commitment to reducing the company’s carbon footprint at all levels of our supply chain.

“Reinforcing our environmental credentials by taking appropriate steps to responsibly manage climate change is a primary area of focus of Resolute’s sustainability strategy. We are committed to reducing our environmental footprint, and are proud to be a part of the OCIANA Consortium,” said Pascale Lagacé, vice president, Environment, Energy and Innovation.

Global Spatial Technology Solutions (GSTS), an artificial intelligence company focused on the maritime domain, designed the OCIANA system. On January 15, 2020, Sustainable Development Technology Canada (SDTC) awarded GSTS a contract valued at C$2.94 million to further develop the system. The funding is part of the Government of Canada’s commitment to support the development of clean technologies that cut pollution, build healthier communities and create well-paying jobs.

Alongside Resolute, the OCIANA Consortium includes Canada Steamship Lines, National Research Council and the Port of Montreal.

SOURCE: Resolute Forest Products

Research Firm Says Outlook for the Container Shipping Market Remains Soft

Jan. 20, 2020 - The outlook for the container shipping market remains soft despite the welcome boost of the ‘phase one’ trade agreement signed by the US and China, according to Drewry’s recently published Container Forecaster report.

Drewry is now predicting that world container port throughput will increase by 3.3% in 2020, following an estimated 2.3% rise last year. The current year forecast represents a downgrade of 0.7 points on the previous outlook given at the end of September 2019.

“A swift and amicable end to the US-China trade dispute has the potential to give the global economy a boost. However, that outcome is still only a tantalising possibility and much more work is needed to be done to secure a more permanent trading arrangement between two countries that have a number of seemingly intractable differences to resolve,” said Simon Heaney, senior manager, container research at Drewry and editor of the Container Forecaster.

“It’s a step in the right direction that removes one layer of uncertainty, but as with previous truces the foundations are flimsy and there is still a reasonably high chance that hostilities will be resumed,” he added.

The report also highlighted the risk of further protectionist policies on the container market with the threat of extra duties being imposed by the US on cars and components shipped from Europe, which are a major commodity bloc for the containerised transportation industry.

In summary, for 2020, Drewry is forecasting faster demand growth than in 2019, a slight increase of overcapacity, higher rates (including bunkers) than in 2019 and a small reduction in (already low) annual carrier profits.

“Carriers should still prepare for a bumpy ride in 2020 and not assume that the previous China-centric trade flows will resume now that a resolution to the trade war is in sight,” said Heaney. “Having been down this road before, shippers will rightly be wary and are likely to continue examining contingency plans that will require more diverse shipping networks.”

The key risks to Drewry’s forecasts are:

• A bigger protectionist or economic slowdown impacting global trade (downside), or reversal of that trend (upside)
• Large orders for new containerships coming back (downside)
• Larger-than-expected obsolescence of old ships / more demolitions (both downside for owners concerned and upside for remaining market)
• Impact of higher or lower than expected bunker prices on carrier profits (upside or downside)
• Impact of higher or lower than expected bunker cost recovery by carriers from shippers on carrier profits (upside or downside)