Edicao Especial Paris Jan2017

FEUP LSTS New concepts of Operation The Laboratory of Underwater Systems and Technology is developing a new concept for AUV operations in remote areas. Pg.21

Aquaculture The next step Worldwide aquaculture production equalled fishing in 2015, but stronger growth is needed and off-shore aquculture is the way. Pg.27

Euromaritime 2017 special edition · director Gonçalo Magalhães Collaço

J O R N A L da

Biotechnology Bluebio Alliance The future of the world lies in biotechnology development and the Bluebio Alliance is working for it. Pg.16

MAR A success story

Hydrogen Propulsion The solution to achieve zero CO2 emissions Hydrogen is the solution to achieve zero CO2 emissions.

However, it is still too expensive to produce and, in the meantime, LNG and electric-diesel solutions seem to be way to meet the standards for the shipping industry. Pg.03

Investing in Portugal A quick guide

Portugal is moving again to the sea and there are lot of opportunities for investment.

Biotechnology, aquaculture, renewable off-shore energies are some of the sectors experiencing rapid expansion and here is a quick guide for potential investors. Pág.34

Madeira’s international shipping register, with a total of 453 registrations, is already amongst the best international shipping registers in the European Union. A success story. Pg.06

LNG A technical challenge The LNG industry is a relatively young industry and the storage of natural gas, mostly methane in liquid form, creates a tremendous technical challenge. Pg.29

Shipping Choppy waters ahead Technology is changing globalization and the new globalization will completely change the shipping industry. Automation, Robotics, 3D Printing are leading us to the verge of a new era. Pág.38

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Propulsion Seminar Naval Propulsion

Shipping: a moving industry The use of new forms of propulsion has been one of the solutions found by shipping to meet the most recent requirements for environmental sustainability and energy efficiency recommended by the environmental community

“Shipping is about to change abruptly and whoever does not adapt is out of business,” said naval engineer and Portuguese businessman closely involved with naval technologies Jorge Antunes during a debate on naval propulsion promoted by this newspaper in January this year at the Infante D. Henrique Nautical School (ENIDH), in Portugal. In an international context of seeking more energy efficiency in shipping and clean energy at sea, which will lead to profound changes in shipping, the propulsion of ships is one of the factors subject to further investigation and application of resources. But it is not the only one, because, according to another speaker, Pedro Ponte, a naval engineer and member of the Board of Directors of the Portuguese ports of Setúbal and Sesimbra, ships “must be seen as a whole”, in which Propulsion is only of the factors involved in its energy efficiency and should not

be looked at in isolation. In addition, Pedro Ponte believes that more than just propulsion, “what is at stake at present is energy efficiency”, regardless of whether it is by this means or by new solutions in terms of fuel, hull, paint or ship dynamics. His concern is not only for shipping, which accounts for 3% of global emissions, but also for all modes of transport, which makes the highway and railroad potential beneficiaries of the solutions found in the shipping industry.

Difficult context

However, this adaptation to an uncertain future is taking place in a complex and difficult framework, both technically and economically. On the one hand, the Paris Agreement of 2016 on the environment has exposed and has consolidated the need for environmental commitments, even though there is no express reference to shipping.

However, both under the International Maritime Organization (IMO) and in the European Union (EU), and other international fora, a lot of legislation has been developed for the reduction of emissions of shipping to the atmosphere, including carbon dioxide (CO2), sulfur oxide (SOx) and nitrogen oxide (NOx), which acquires greater force after the Paris Agreement. Amongst the most recent and most stringent rules in the sector is the obligation to reduce sulfur content in marine fuels to a limit of 0.5% by 2020, as defined by the IMO in September 2016, as well as defined by the International Convention for the Control and Management of Ships (Ballast Water and Sediments, or BWM Convention) last year. In addition, it should be recalled that there are Emissions Control Areas (ECAs), where the limits of sulfur and nitrogen content in marine fuels are already more restrictive than in most seas. China itself has recently defined similar zones in its waters, something unthinkable until a few years ago. In the debate of ENIDH, Pedro Ponte also recalled the measures on the registration of emissions of ships, proposed by the IMO, “which wants to maintain this register in a closed circuit”, and the European Commission (EC), “which wants to give more transparency to this information.” Many other guidelines are under discussion in these and other forums.

Not all of these guidelines are uncontentious or free from difficulties. For Jorge Antunes, for example, “the West is not prepared to produce diesel with the requirements imposed by IMO in sufficient quantity, due to the inadequacy of refineries”, by 2020. A reality already advanced

by BIMCO, an international association linked to maritime transport, which, in addition to the question of quantity, also raised doubts about the quality and safety of this type of fuel. In this context, Jorge Antunes added other data: if 650 million tons of CO2 were emitted in 2010, this figure should be 1.4 billion tons by 2050; the energy efficiency of a ship is 30%, which means that 70% of the energy generated on board is wasted and returned to the environment, “and a container with many refrigerated containers on the deck is even still less efficient from this point of view”; technology already exists to reduce CO2 emissions on any ship, “but the shipowners say they are broke and do not want to invest in it.”

This and various other variants meant that electric propulsion and liquefied natural gas (LNG) were the stars of the debate, reflecting the high degree of involvement of the sector in these two solutions.

electric propulsion

Dores Costa, professor and Director of ENIDH, speaking in the debate, sought to downplay electric propulsion, simplifying the 03

Propulsion Seminar concept. “It’s just an electric motor running the propeller instead of a conventional machine,” he said. But he reminded the audience that the electric motor requires electricity. “And how do we get it?”, he asked. After a technical explanation, he concluded that “electric propulsion does not eliminate environmental problems”, although it has several advantages, such as the maneuverability and the liberation of space. However, he considered that only “power electronics makes electric propulsion competitive”, although, again, it is not free of complexities, because it generates harmonic currents which are deformations of electrical currents and currents in the waves. António Carvalho, responsible for the maritime solutions of Siemens in Portugal, also present in the debate, considered that “storage of energy is the Achilles heel” of this solution.

He recalled that research has been carried out in this area, aiming to obtain “batteries of low weight and acceptable price”, noting that “it is in this direction that the electric propulsion is moving.” Jorge Antunes maintains that “electricity will be the way the power will reach the shaft, but the propeller will continue to be the propeller, eventually overcome by dynamic magnetic propulsion.”

One of the issues posed by electric propulsion is the supply of ships from a ground station and the technology that this implies, called shore side power (SSP). For the definition of this model, it is necessary to take into account the types of ship that use a port, the type of operation of the ship, if it operates with means of shipboard, among other variants. The SSP “allows the generators to be disconnected when a ship is in port,

but if we turn to a thermal power station for this supply, we do not issue from the ship, but we emit from the thermal power station,” Pedro Ponte said, admitting that there are ports “which are not prepared for this type of supply” and that there is already an ISO standard that harmonizes this type of solution.

Usually, in ports near cities, “it is desirable that the emissions in the port be reduced and that ships can turn off their generators”, causing the least possible impact for local communities. “But this kind of solution must be seen on a case-by-case basis,” explained the port administrator. In any case, it will not be a suitable solution for large ships. Dores Costa does not imagine “the big ships to dock to be supplied from land, because they require a volume of energy equivalent to the requirements of a small town”, suggesting a problem of the size of the ships for these solutions. This question refers to the so-called Green Ports, “which are much more than the supply of ships on land,” explains Pedro Ponte.

LNG and hydrogen

In the current regulatory and environmental sustainability context, LNG is considered by many specialists as the next marine fuel par excellence. Jorge Antunes, however, warns that this will happen “as long as hydrogen does not occupy this place”, and therefore recognizes LNG as a “transition technology” in shipping.

He recalled that “the learning we are going to have with LNG will be good, because LNG pollutes only a third of CO2.” However, there are those who understand that there is a great deal of ignorance about this technology. “We

do not know the supplies and the risks that can occur on board,” said Pedro Ponte. Risks discussed at the European Maritime Safety Association (EMSA) in Lisbon in December.

The port manager noted that LNG, however, could be “a competitive and interesting fuel to supply transportation in general and not just shipping.” The EU, in its Connecting European Facilities (CEF) financing mechanism, has defined that LNG should be a reality, initially in core ports handling more than 10 million tonnes of goods per year, and then in transport in general. LNG also represents a continuity solution in the fuel industry, which has been making investments in this area. However, some believe that the fall in the price of crude, the lack of an adequate legislative framework, the issues of its storage or the fact that it is methane may have delayed its widespread use in shipping for ten years.

Hydrogen, however, is the solution that convinces Jorge Antunes. “It’s the only way to solve this without carbon emissions,” he said. But it will have to be a green hydrogen or produced at a nuclear power plant. And, he recalled, hydrogen “is not a fuel, it is an energy vector, that is to say it is what allows energy to be carried aboard the ship.” It is a gas that burns as a result of its combustion producing zero CO2 and its technology in shipping is similar to that of natural gas. “Hydrogen is burnable in compression ignition engines, but very pure hydrogen is needed there, and getting such purity is expensive,” explained Jorge Antunes.

On another occasion, the naval engineer recalled that, in this matter, “the principal line of investigation is the storage of hydrogen in liquid state”.

tugs and ferries

If, in the case of ships such as ferries, electric propulsion deserves little discussion, as António Carvalho pointed out, due to its generally well-defined route, with stopping times and known routes, in the case of tugboats this solution is not so simplistic, As well as that of LNG, which arouses controversy.

António Carvalho recalled the case of Ampere, the first fully electric propulsion system ferry commissioned from Siemens. Exploited

In the current regulatory and environmental sustainability context, LNG is considered by many specialists as the next marine fuel par excellence

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Peniche, a coastal location in Portugal, was the chosen place for testing the Wave Roller, a device that converts ocean waves to energy and electricity, operating in nearshore areas (approximately 0.3-2 km from the shore) at depths of between 8 and 20 meters

by Norled, it is a Ro-Ro and passenger ship, delivered in 2015. Thereafter, Siemens received another order for a fully electric propulsion system for a ferry to be delivered this summer.

The Portuguese river cruises company Douro Azul is also betting on electric propulsion.

According to Hugo Bastos, the company’s fleet manager and one of the speakers in the debate, “Douro Azul has made a lot of investments in

this area. In one of our base docks, we have invested 350 thousand euros to be able to have six hotels ships moored in Gaia with power supply and generators turned off “, he said.

Also attending the debate, José Costa, Managing Director of Rebonave, a company that operates tugboats in Portugal, considered that electric propulsion “may make sense” in one of the modalities of tugboats, those operating in

port and where these are hybrids (with a group of batteries and a group of motors). In these cases, “there are times when tugboats need to use all their power and others where they need almost none” and, in these situations, maybe an electric motor, “with batteries charged at a time when the diesel engine has been necessary and change power for the execution of a maneuver,” he said. In the case of ocean tugs, “the need for power is continuous and an electrical or hybrid solution is not so suitable”, he admitted.

In the case of the use of LNG in tugboats, Jorge Antunes considered it absurd to finance the conversion of these types of ships, which normally use conventional fuel, to LNG. “If the ship has no service, the gas begins to boil” and triggers the safety valve, emitting it into the atmosphere. Pedro Ponte argues that the experiences, even those of LNG in tugboats, are learning experiences.

However, several experts understood that hybrid ships have gained strength. For these, the ideal vessels are the supply vessels, supporting offshore infrastructures, which are maintained for many days without merging with their own resources.

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Infrastrures&Shipping shipping registers in the European Union: a total of 453 registrations.

The consistent and outstanding development of this sector of the International Business Centre of Madeira (IBCM) is also visible in other indicators, such as the gross tonnage of commercial vessels registered, which reached in the end of June, a total of 10,172,422 tons, representing an increase of 56,8% in comparison with the first half of 2015.

In what regards the average age of the fleet, currently 11,2 years, it is a clear demonstration of the growth with quality which MAR has been able to achieve.

This is the confirmation that the International Shipping Register of Madeira - MAR has managed to grow both in quantity and quality, positioning itself as one of the top registers in Europe.

Why Madeira?

MAR The International Shipping Register of Madeira

A success story based on quality and competitiveness

Two and a half decades after the creation of the International Shipping Register of Madeira - MAR, under the Portuguese flag, the results are clear: MAR is presently the third largest international shipping register of the EU in the number of vessels and in the tonnage registered It is a Register that is respected for its sound and strict regulations and practices, maintaining the highest standards set by the international regulatory bodies. In sum, a Register perfectly able to grant competitive conditions and 06

efficient support to all shipping operators.

In the first nine months of 2016, 100 new vessels registered in MAR. In addition, the results of the first half of 2016 confirm MAR’s position among the best international

When in the late Eighties the Portuguese Government decided to create the International Shipping Register of Madeira two main objectives were clearly targeted: to maintain the Portuguese merchant fleet sailing under the national flag; and to take advantage of the particular benefits of the International Business Centre of Madeira, combining the local interest to diversify the local economy by creating a new source of wealth and employment with the objectives of the international shipping community.

In fact, the IBC of Madeira, and MAR specifically, offer investors, shipowners and shipping companies and operators in general, a clear and transparent regulatory framework, approved by the European Commission and adopted by the Portuguese Government, which provide a solid ground for effective operations in a demanding international environment.

MAR is a very competitive ship register due to the wide range of comparative advantages that it offers to international shipowners. In adittion, it is an EU register, with total access to continental and island cabotage within the framework of the European Union providing flexible crew nationality requirements and low operational costs, among other benefits.

As far as the tax regime is concerned, it is important to stress that the tax reductions applicable to companies licensed within the institutional framework of the International Business Centre of Madeira are also applicable to shipping companies and vessels registered in MAR.

White-listed flag

The Portuguese flag and, therefore, MAR is presently a “White-listed� shipping register.

According the European Environment Agency, Portugal is in 7th place regarding the quality of its coastal waters, out of list of 25, with 89,6% of those waters considered as having Excellent quality

As a matter of fact, since the very beginning everything was put in place to assure the quality of the register and to maintain the high standards that must characterize an EU flag. In order to achieve such goal, MAR took the adequate measures to ensure an efficient surveillance of all vessels registered: all international conventions ratified by Portugal are fully applicable to and respected by MAR and all classification societies recognized by Portugal may undertake surveys and other services regarding the registration of vessels in MAR. As a result, MAR has always been considered a quality register.

MAR’s inclusion in the list of the best shipping registers in the world contributes to place Portugal in the group of countries which consistently present positive performances.

Currently, there is a very diversified number of countries with vessels registered in MAR, such as Italy, Spain, Germany, Portugal, France, Greece, Norway and the UK. Oil tankers, chemical tankers, general cargo, bulk carries, passengers vessels, tug boats and oil-rig platforms are some of the types of vessels registered in MAR. Knowing that operational costs are a critical factor in the shipping business, MAR has become a credible and competitive alternative compared to other international registers, maintaining the quality levels and the safety culture of an E.U. register and assuring its competitiveness at all levels.

A further contribution for the consolidation of MAR as one of the main ship registers in the European Union was the ratification

by Portugal of the Maritime Labour Convention, MLC 2006. Such ratification preserved the competitiveness of the International Shipping Register of Madeira - MAR at the level of social security requirements and crew-related costs.

Considering the results so far achieved, the continuous growth of the fleet registered means a very concrete contribution for the development of the maritime cluster in the Autonomous Region of Madeira and in Portugal as a whole, namely due to the attraction of prestigious international shipowners, as recently confirmed by the registration of vessels by MSC - the Mediterranean Shipping Company, the second largest shipping company in the world and whose passenger ships often call Madeira’s port.

The consistent and positive evolution of MAR has brought an equally important contribution for the growth of Portuguese seafarers on ships registered in MAR. For example, Hamburg Süd, one of the ten largest container shipping companies in the world and ENIDH, the Portuguese Maritime Academy of Prince Henry The Navigator, recently signed an agreement which establishes that every year four Portuguese cadets may join the crew of vessels of this important German shipowner.

As PricewaterhouseCoopers (PwC) pointed out when it awarded this year the International Shipping Register of Madeira (MAR) with the Valoris Mare 2016 Prize: “the fantastic growth undertaken in recent years has meant a very concrete contribution for the development of the maritime economy in our country, through the creation of jobs both at sea and in support services in land, generating additional tax revenues and increasing the visibility of Portugal in the international shipping markets, enhancing its prestige among international organizations and contributing for the global promotion of the country. “

In the first nine months of 2016, 100 new vessels registered in MAR

SCMA

The Shipping Consultancy Management Made up of professionals with extensive experience in the maritime, port and transport sector SCMA is a perfect partner for ship management and technical consultancy, crew management and safety and security on board.

SCMA – Shipping Consultancy Management, aims at the industrial activity of maritime transport, namely the technical management of ships and other maritime equipment, in the fields of crew management, repair, naval maintenance and conservation, technical supervision and maritime consulting services, maritime insurance management, brokerage of purchase, sale and chartering of ships, as well as any other associated activity.

The SCMA team is made up of professionals with extensive experience in the maritime, port and transport sector in the areas of ship management and technical consultancy, crew management and safety and security on board.

First and foremost, SCMA is committed to providing its customers with services in accordance with the best practices in the maritime transport industry, striving for continuous improvement in the execution and results in its areas of activity, such as technical management and safety and security of the environment, by encouraging its employees and sensitizing its clients for this purpose.

In the area of technical management of ships and other floating transport, SCMA has been involved in the technical management of different types of ships: high speed passenger ferries, roro, passenger, refrigerated cargo, bulk carriers, and chemical transport tanks.

In the area of crew management, SCMA employs a large number of Portuguese crew members, while maintaining contacts with foreign companies (outside the EU) specialized in the recruitment and hiring of non-EU crew members.

In the area of technical supervision of major repair, naval maintenance and conservation interventions, SCMA ensures and provides all services inherent to this component of ship management.

In the area of quality, environment and safety management systems, SCMA implements and applies ISO 9001 and 14001.

In the area of maritime safety and security systems, SCMA creates and implements safety management systems in compliance with the requirements of the ISM Code, and security management systems complying with the requirements of the ISPS Code.

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Infrastrures&Shipping PORTS OF PORTUGAL

Time to Boost Innovation The last decade marks a period of records in cargo handling in the Continental Ports of Portugal explained into an average annual growth rate of 4.2% per year Lídia sequeira Portuguese Ports Association The market segments that most contributed to this overall increase in cargo were Containerized General Cargo and Ro-Ro Cargo with growth rates of 13.7% and 15.3% respectively. As for 2016, it is expected to be an historic year, since it is expected to reach the highest ever record: 90 million tons of cargo.

An overall trend that is inevitable is the growth of vessels in size and capacity (an average Gross Tonnage increase of 6.9%) and the Ports of Portugal have proven their capacity to respond to this reality, highlighting the undeniable contribution of the Port of Sines as a transhipment port and the ports of Deep Sea / Short Sea of Lisbon and Leixões.

This impact has the natural cascade effect in the ports for the Short Sea (Viana do Castelo,

Aveiro, Figueira da Foz and Setúbal), due to the increase of the larger vessels demand in those ports. It is in response to these new world trends in maritime transport and international trade that the Ministry of the Sea of the XXI Government of Portugal has established a “Strategy for increasing Port Competitiveness” that integrates a plan of action for the Portuguese Ports with the horizon 2016- 2026.

Major Challenges: Conquest of Euro-Atlantic Centrality, Improvement and Innovation The Portuguese Government “Port Strategy 2016-2026” has the great challenge of reinforcement of the Euro-Atlantic centrality of

Portugal from the port and logistics point of view, based on 3 strategic objectives: >To Adapt infrastructures and equipment to the increase of demand and size of vessels and improve the connections to the hinterland; >To improve the operational conditions of seaports; >To create inside ports, platforms of technological acceleration and new skills.

The Sea sector is a priority asset by the current Government of Portugal, where the improvement of port conditions and infrastructures is absolutely vital to position Portugal as a platform for accelerating business and skills in the sea industry, through the profitability of existing assets and use of new opportunities.

The total value of the investment expected in the port sector in Portugal (to be made by the public sector and the private sector) over the next 10 years is 2.5 bilion Euros, focusing mainly on increasing the port capacity, improving modern infrastructures, modernize port equipment and efficient information and technology systems.

The competitiveness of the Ports of Portugal and the reinforcement of their EuroAtlantic centrality rejecting the mythical concept of a “peripheral Portugal” implies the need to guarantee an efficient connection to the hinterland, and for this reason the strategy is based on the improvement of physical and technological resources of the national port system. Therefore, we highlight the strategic investment in the port single window (information) systems, namely the concrete implementation of the Portuguese “Logistics Single Window” (in progress), already considered as a national competitive advantage and a case of good practices in the context of the European port systems as an efficient platform in the Business to Government (B2G) relationship.

Ports as technological accelerators: boosters of the Portuguese Atlantic Strategy

2.5 bilion euros is be the investment expected in the port sector in Portugal within the next 10 years

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The Atlantic Ocean is not confined to Europe.

It is a shared resource and unified system connecting Europe with Africa and America.

The economic value of the Atlantic Ocean is vast for Portugal as an Atlantic nation with one of the largest maritime areas in Europe, though the Ports Strategy 20162026 of the Sea Ministry is to diversify the economic value matrix of Portuguese ports: as technological hubs of the Atlantic Ocean.

It is time to innovate for the Sea. The priority is to accelerate clusters within the Portuguese ports system that can boost innovation and greener technology. Therefore, the

Madeira and Lisbon cruise ports are among the 20 most travelled cruise ports of Europe, according data referring 2015. On that year, the cruise ports of Madeira registered 312 ship arrivals (308 of which in Funchal) and the Lisbon one registered 308 ship arrivals

Portuguese government has identified 7 clusters as boosters of technology within the national port system: 1) Digital Ports; 2) Green Ports; 3) Offshore energies; 4) Naval engineering; 5) Oceanic Robotics; 6) Nautical recreational building and maintenance and 7) LNG Cluster.

We highlight the importance of the LNG Cluster, as one of the main priorities, we are now improving and preparing Portuguese ports to be an important hub for liquefied natural gas bunkering as a the confluence spot of several Seas, oceans and continents, provide a unique opportunity to make the country a “cluster” in the supply of LNG and also as a Test Zone for LNG innovative projects.

Portuguese Speaking Ports Association - APLOP: Building an International Brand of Knowledge Aware of the strategic importance and historical relation between Portugal and Portuguese-speaking countries, the Ports of Portugal Association (APP) with Brazil,

Angola, Cape Verde, Mozambique, Sao Tome and Principe and Guinea Bissau founded on 13th May 2011, the APLOP - Association of Portuguese Speaking Countries Ports, with headquarters in Lisbon, with the main mission of “reinforcing commercial relations between the Ports of the CPLP - Community of Portuguese Speaking Countries”.

Hence, APLOP was created to create conditions for effective networking between the Port and Logistics Communities of Portuguese-speaking countries.

After 6 years of joint work, with more associates, APLOP and APP wants to go further. Portuguese-speaking ports intend to act as a cooperative link enable to add value to their communities and economies. Under this commitment APLOP and APP designed a Brand Certification System for the “APLOP Brand” as a guarantee of implementation of simplification measures/actions in those port information systems in order to simplify relations between port users, authorities and economic agents in general. Therefore, the main goal is the increase efficiency in the use of resources of the Public Administration, through

the simplification and better performance of the services in the APLOP systems.

Another strategic is “Training and Sharing of know-how” and experiences of each country, concerning diversified subjects such as transport, logistics, tourism, technologies, shipbuilding; i.e. all cross-sectorial areas.

Hence Portugal has been welcoming hundreds of graduates in the last 10 years from the CPLP countries, either at port administrations or at universities and professional institutions, most of them technicians interested in improving their skills and performance in the workplaces of their countries of origin.

We all have Ports of the Sea in our countries.

They are open doors for cooperation, for strategic partnerships, to foster business, Portugal as an Atlantic nation intends to retake its Euro-Atlantic centrality, also by strengthening our commercial relations with the Portuguese speaking countries. We are ambitious. We know how to use the keys to these doors with mastery, because there are many projects waiting at the seas of the Portuguese-speaking Countries and under the Portuguese Strategy in the Atlantic Area.

international edition march 2017

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Infrastrures&Shipping Greener Port Strategy

Brighter future for SSS in Portugal Despite high intentions of the European Commission, short sea shipping has never really fulfilled the expectations Isabel Moura Ramos Short Sea Promotion Center Portugal The overall competitiveness of European Shortsea shipping within Europe (versus other modes of transport) still needs: > a Complete implementation of the Blue Belt (including e-manifest); > a Fully deploy motorways of the sea & multimodal corridors and facilitate intermodal solutions in Europe; > a Complete a European transport area without barriers; > Implementation of a single transport document for intermodal transport / door to door SSS in Europe; > Facilitation use, standardization and harmonization of the Intermodal 45’Pallet Wide Container; > Support SSS and Shortsea Promotion Centers which promote and contribute to putting in place relevant actions and initiatives.

Short sea shipping should not be an enemy of road or rail transport but a complementary mode, a booster, and not an aim in itself, but a mode like any other, in competition with any other. It still expects (since the 90’s) a level playing field between modes. This means: externalities of each mode should be internalized, expressed in a right price per use. A ship should not be considered a “floating bridge”; the approach should rather be to make trucking pay more for road maintenance, air pollution and accidents as ships pays for the use of ports infrastructure, for carbon emissions, etc.

Notwithstanding the absence of a level playing field, the future of short sea shipping in Portugal can be brighter.

As an Atlantic European nation, Portugal is mainly dedicated to intercontinental trade, though the share of deep sea shipping of goods is higher than the share of short sea shipping (58% and 42% respectively). Hence maritime transport is the main mode of transport in Portugal; in 2015 it concentrated 61.7% of the imported goods while road transport represented 10

Portugal is about to become a hub for LNG bunkering in the commercial Atlantic trade 29.9% of incoming goods, while exported goods by maritime transport accounted represented 53.6% of the outgoing total whereas 40.5% of exports were made by using road transport. The movement of goods in international traffic made by rail presented a more moderated increase in 2015 (+2.8%), having reached 1.8 million tones in a total of 11 million tones.

2016 is about to be announced as a year of re-

cord for the maritime transport in Portugal.

Portuguese Ports will beat the 90 million tones record. Portuguese main destination countries: Spain, France, Germany, United Kingdom and United States and the increase of the intra EU trade continue to show a potential growth of SSS in Portugal. However we still watch a problem of perspective and policy.

Greater use of SSS also depends on greener and sustainable investments. There are stakeholders that strongly advocate incentives to the adoption of cleaner fuels, and, in particular, favors the development of EU-wide guidance for LNG bunkering procedures, harmonization of standards and increased knowledge and exchange of experience and innovation and therefore CEF funding for TEN-T priorities and Motorways of the Sea are focused on “greener projects”.

The recently announced Portuguese Ports Strategy 2016-2016 presents as one of the main goals to modernize national ports as boosters of a greener and technological shipping.

Portuguese ports will have to go green to have “a license to operate”. The “clusterization” of Portuguese ports sets Portugal as an hub for LNG bunkering in the commercial trade Europe-Africa-America; more investments in Naval Engineering; more R&D; more Digital and Technological ports; such a development oblige Portuguese ports to go smart. Being smart means: using technology, intensively sharing information and data, implementing best practices that worked in ports worldwide and to promote national best practices. May the development and investment in innovation to be grown. And how can SSS benefit from these actions? We strong predict if putted in practice, this action plan might create business opportunities for SSS market in Portugal.

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Insurance Portugal was also the pioneer in maritime insurance, helping to shape the worldwide trade as we know it today

From Portugal to the World The Discoveries were the great visible feat of Portugal but not unique. Among other achievements we can also take account of the invention of insurance, if we can say so, without which it would be impossible for world maritime trade to be what it is today All historical questions tend to be, by their very nature, controversial. So too, but only relatively, in relation to Insurance.

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Nevertheless, if there is any controversy as to the date and exact place where modern insurance was born, there is no doubt about

the authorship of the first treaty written on it. In fact, if many understand that the Companhia das Naus, founded by the King D. Fernando (1367-1383) inaugurated the practice of maritime insurance in Europe, there are also those who claim to have discovered documents proving its previous existence (1347) in Genoa. It is of little importance, however, once it is indisputable that, on the one hand, the Edict of D. Dinis of 10 May 1293, where a kind of first Mutual Insurance Society ever established in history, as well as, on the other hand, the authorship of the Tratactus de Assecurationibus et Sponsionibus Mercatorum, published in 1553 by Pedro de Santarém, was, in fact, the first theorization of insurance ever written in the world.

As Moses Bensabat Amzalak, a scholar of Pedro de Santarém, wrote, if Mutual Insurance emerged in the form that they still essentially have today, a very different situation is the complex Insurance Premium’s payment evolution, particularly when, at Pedro de Santarém’s days, the insurance premium figure was still confused with other forms of speculation, such as the loan on general sea risks and one of the most important virtues of the Pedro de Santarém Treaty is precisely to distinguish, scientifically, as we would say today, between the concept of Insurance and other types of contracts, defining the insurance contract as “the convention by which anyone takes the misfortune of another at a previously adjusted risk price ‘.

The purists may have some objection to formulate, but the fact is that in addition to the lack of perfect definitions, we should not forgot to mention we are talking about of the first Treaty on Insurance ever written in History, published in 1553,when the jurisconsults were still essentially concerned to follow the precepts of Roman law, fearing consequently that this type of insurance contracts could be confused with usury, canonically interdicted.

One of the crucial issues of insurance, generally speaking, concerns essentially the calculation of the premium payable accordingly to what one imagines be the probability to a certain fatality might occur or not, meaning an high probability also an high risk.

However, the calculation of probabilities in insurance only arose in the 18th century and, in the time of Pedro de Santarém, as well as for a long time afterwards, the main criterion for calculation of the Prize, per Reatz, also quoted by Amzalak, was essentially based in the evaluation carried out on the main maritime claims’ statistics registered in the different Stock Exchanges or Mutual

The Portuguese shipyard Navalria – Docas, Construções e Reparações Navais, located on Aveiro’s port, is one of the 18 shipyards included in the primary European list of safe and sustainable shipyards, all of them belonging to European Union countries

Insurance Companies operating in Lisbon.

In this respect, therefore, Pedro Santarém has not made any great progress, but it is equally interesting to note, accordingly to his Treaty, that fees paid in Portugal varied between 8 and 10% for small trips, as for Flanders, rising up to 20% at certain times of the year, possibly accordingly to the seasonal meteorological conditions, among other factors taken in account for the Premium calculation , while, for a trip to India, it was not uncommon the same rates rose up to 30%, learning at the same time that, already in those times, the Land Transport Insurance was, on average, 50% lower than the one practiced in relation to maritime transport.

Regardless the question of the calculation of premiums, the Treaty is equally interesting and important in other respects, such as, for example, the fact that Pedro de Santarém explicitly states that the Insurance Contract should rest on an entirely good faith basis,not being admissible to become anyhow a mean for the insured´s enrichment but merely a

way of avoiding losses. Proven either way it was the case, it would also be a basis for a declaration of it invalidity.

Mútua, Lusitania and LusitaniaMar

The Portuguese Experience Mútua and LusitaniaMar are two very distinct but equally significant Portuguese Insurance Companies in the national panorama Mútua is the only Portuguese Insurance Company under the cooperative form and entirely dedicated to an area as difficult as fishing and its high accident rate.

Born in 1942 as a small mutual for small-scale fishing, it nevertheless grew until it became the undisputed leader in the fisheries sector in Portugal in 1985 with94% its insurance portfolio represented on this area.

In this framework, the main insurance products marketed by Mútua respect the Insurance of Accidents of Work for the Shipowners and of Personal Accidents for the fishermen when they are at sea, as well as for the loss of personal assets.

At the same time, Mútua also has Compensation Wage Insurance carried out by the fishermen themselves or by the shipowner for the event of a vessel, having had an accident or any other kind of problem, be unable go to sea.

The shipowner could also contract a Hull Insurance Policy with Indirect Losses in order to continue to pay the salaries to the respective crew in the described cases.

Without wishing to be exhaustive, it should also be highlighted that Multi-risk Insurance for Warehouses is particularly important for small-scale fishermen, although not exclusively, as well as other insurances related to aquaculture and maritime tourism.

Finally, no less significant and important is the fact that Mútua also has its own clinics, as its own clinical body, since many problems with its policyholders, predominantly fishermen, are so specific that it is often very important to have a clinical body indeed highly specialized.

Rather diferent but not less significant the case of Lusitania and LusitaniaMar, being this one a spin-off of the former, which occurred in 2009 after the acquisition of two other insurance companies, Real Seguros and Mutuamar, both already specialized maritime insurance companies, the latter even exclusively dedicated to fishing, allowing therefore LusitaniaMar to quickly become the second largest Portuguese Insurance Company in the maritime arena.

Born and integrated into a major insurance

On the other hand, in the Treaty, Pedro de Santarém also establishes that the Insurance does not assume and does not respect, by definition, damages caused by fault attributable to the insured, nor is it allowed to insure contraband or prohibited goods.

In the event of a claim, Pedro de Santarém also stipulates that the insurer must pay the full amount of the insured item and, in the case of partial loss, a value proportional to the loss suffered, not forgetting that, in the event of a dispute, between traders, more than attending to the rigor of the law, it is important, above all, to attend to equity.

At last, the great Peter of Santarem is far in time but not in spirit. And it was not by chance that he was Portuguese, even though a great part of his life had lived in Florence, as it was not a mere accident that Portugal was also a pioneer in Maritime Insurance, without which, yesterday, as today, the World Trade wouldn´t had been what was, nor what it is and most certainly will hopefully still remain for a long time to come.

company such as Lusitania, belonging to the Bank Montepio Group, LusitaniaMar has evidently not only absorbed, capitalized and expanded its already extensive experience in the more traditional areas such as the Maritime Transport Branch, Goods, either in the field of Casco Insurance, as has open to new ones.

In this context, LusitanaMar presents today a complete offer of insurance for activities related to the sea, from freight insurance to recreational boating, fishing, trade and maritime responsibilities, and a specialized offer for recreational marinas, naval shipyards, ports and terminals.

Regarding the main risks covered in each area, there are the damages covered in respect to goods transported by land, sea and air, damage to recreational craft, maritime tourism activity, fishing or commerce, including the hull, machinery and its responsibilities, which also include the P & I, that is, the shipowner’s liability, in addition to the value of the hull, in risks such as pollution, clash with other vessels and responsibility to the passengers.

There is also global coverage for shipyards, recreational marinas, ports and terminals, specifically covering maritime responsibilities, and the strategy also includes the valorization and integrated coordination of resources and activities such as fishing, aquaculture and fish processing, sea salt extraction, off-shore energy and off-shore operations, shipbuilding, port operations , as well as the maritime tourism, a rapidly growing area.

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Biotechnology Allmicroalgae

An european Business Partner for microalgae based solutions Portugal is well known for its great climate and mild temperatures throughout the year. Even in extremer winter conditions, the temperatures remain usually above 0ºC, and the outdoor conditions still allow the growth of some of the most interesting and valuable microalgae species At the production facility in Leiria, 100km north of Lisbon, Portugal, microalgae are cultivated on a large scale in closed tube systems, to minimise contaminants and ensure highest purity. This would be one of the main differentiation aspects of the company Allmicroalgae Natural Products S.A., focusing on microalgae commercialization and on the development of microalgae solutions for supplements, food, feed and cosmetic applications.

Allmicroalgae belongs to the Secil Group, one of Portugal’s largest cement companies. Secil’s continuous concern about the environmental impact of the cement production activty, lead the group to invest in one of the most sustainable alternatives to reduce the carbon dioxide emissions to the atmosphere – microalgae. These microscopic organisms may use this industrial residue (Co2) to grow and to reproduce themselves phtosynthetically (with the sunlight). This initial step is now being revamped with the development of R&D projects, testing several microalgae especies and strains on a laboratory scale, and confirming the respective capacity of consuming the carbon dioxide during their production cycle.

On the other hand, and for the large scale produced microalgae for commercialization purposes, only food grade CO2 is used, assuring this way the highest levels of purity, quality and 14

food safety of the main end-products: microalgae powder and microalgae fresh / frozen paste.

Being one of the few European producers of microalgae, and Chlorella vulgaris and Nannochloropsis sp. in particular, Allmicroalgae sells directly from Portugal to the global market enabling competitive pricing and flexible volumes. With a commitment to transparent operations and high safety

Microalgae facilities in Pataias and its 300 Km of fermentation tubes. Probably the largest facility of this type in the world

standards, the company provides technical knowledge, information and expertise at every step.

Chlorella – the perfect superfood Allmicroalgae’s Chlorella products are 100% natural, GMO-free sun-grown Chlorella vulgaris, naturally rich in many nutrients in their pure form such as PUFA’s, proteins, trace minerals, carotenoids and vitamins A, B and E, among others. Allmicroalgae’s Chlorella comes in spray-dried powder, compressed tablets and vegetarian capsule formats suitable for use in a wide range of food, beverage and dietary supplement applications. While providing nutritional and functional effects, wellbeing and beauty benefits are further boosted by Chlorella having the highest chlorophyll level of any living organism.

In the supplement and food markets, Chlorella is a perfect fit to meet rising consumer trends for natural,

sustainable, plant-based alternatives of omega-3 and protein, and many other nutrients. According to Euromonitor International, the global Vegan/Vegetarian market was valued at US$35.8B in 2015, and expected to grow by 3.9% (+US$1.4B) to 2020. All in all, algae is a raw material with big growth potential. Valued at US$608M in 2015, it is estimated the global algae market will almost double in size

After its approval by the United Nations, the Portugal appliance for the extension of its continental shelf will result in an area of about 4 million Km2 of ocean under Portuguese sovereignty, almost 40 times the terrestrial area of the country

to US$1.1B by 2024 (Source: Transparency Market Research).

A sustainable Omega 3 source Regarding other high value ingredients deriving from microalgae, the Portuguese company has moved to the next stage, directing efforts to the Nannochloropsis oceanica large scale production, with the aim of providing price competitive omega-3 oils, namely the EPA. This project , which is currently on a testing phase, results from the high demand of plant-based micronutrients, specially the essential fatty acids, such as EPA and DHA. This microalgae gender is also widely used for feed applications, namely for the aquaculture and for petfoods.

Scaling up for feed applications with fermentation technology In addition to continuing production of phototrophically grown Chlorella and the omega-3 opportunity, another focus area is to finalise the development of microalgae fermentation production.

The aim of this development is to be able to serve large volumes not only to the health food market, but also to the feed industry. Fermentation increases production efficiency, and allows an higher control over the cultures.

Still concerning the fermentation R&D scope, the Company is working wi-

Secil has developed one of the most sustaineble alternatives to reduce the carbon dioxide emissions using microalgae

thin a Portuguese funded project by ANI – Fermalg (reference number 17608).

The Team foresees an interesting future potential ahead for microalgae, and is working to provide a wider range of non-GMO solutions to service multiple industries, based on different microalgae strains and production methods, to meet the markets’ varying quality and volume needs.

Besides the ISO 14001 and OSHAS 18001, Allmicroalgae is also certified for the ISO 9001 and ISO22000 certified to ensure safety and quality of the microalgae. In addition, the production unit got recently the Hallal certification.

This way, microalgae remains a sector in the early stages of its development, and Secil is committed to ensuring Allmicroalgae is well position to capitalize on growing demand over the next decade and beyond.

For more information, kindly refer to the below mentioned contacts. info@allmicroalgae.com +351 21 792 71 00 www.allmicroalgae.com

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Biotechnology Bluebio Alliance

Two years affirming marine resources and technologies Bluebio Alliance has established itself as the main interlocutor of the sector of bioresources in Portugal and abroad, clarifying associates, advising policies and promoting partnerships Founded in 2015 by the Cascais City Council, AESE and Ocean Vision - Business and Investment Advisory with the aim of organizing the national value chain of marine bioregions and marine biotechnology, the Bluebio Alliance (BBA) is a non-profit making association representative of individuals , Companies, entities and institutions, both from the private sector and from the public sector, which are engaged in these activities. Having emerged with 80 members, in order to “strengthen Portugal’s affirmation as a European leader in the advancement and development of marine biotechnology,” as Helena Vieira, Executive Director of BBA, wrote in our journal in May 2015. Association now has 97 associates, about half of whom are related to scientific research, among Universities, research centers and laboratories. To achieve this objective, BBA relies on the maritime geography of Portugal, the country’s marine biodiversity, qualified national human resources and an extensive laboratorial park spread throughout the country, including in the Autonomous Regions, as well as an increasingly receptive global market Products, services and processes of marine biotechnology, which is an opportunity.

As Helena Vieira pointed out to us, “we are a Portuguese platform that brings together all the players in marine bioregions and blue biotechnology, including universities, producers, research centers, aquaculture associations, SMEs, intellectual property agents and banks, without whom the chain of value won´t evolve and are also linked to us”. A range that includes laboratories, researchers, aquaculture companies, fish processing, advocacy, consulting, branding, among many others. As recognized by its Executive Director and displayed 16

the main voice of the sector at home and abroad, having also collaborated with the Government and the European Union in the political field and in the development of legislation on marine bioregions and marine biotechnologies. As explained to us by Helena Vieira, “it is the BBA that resort to entities that seek, in Portugal, suppliers of certain biorecursos”, and it is the BBA that forwards them to the intended recipients.

How is the BBA that resort to national entities or companies that seek research and / or development partners abroad. Thanks to its participation in international networks related to the sector, it is able to fulfill this role by presenting our value chain abroad and bringing external and national partners closer to the realization of diverse projects and the creation of value, which has always been in the Horizon of the founders and thus remains among its associates. In this sense, the BBA has a proactive attitude with expression in the “establishment of links with similar associations and networks, in the road shows that we carry out in Europe showing what we have in the country and in the online presence, which is also a channel of contacts” As Helena Vieira tells us. Along the same lines, BBA accompanies its members in raising funds, namely, community funds, organizing workshops, for example, in addition to promoting their own applications to finance their activity.

Given the evolution of the sector in Portugal and abroad, along with the requests it has received from the market and researchers on the reality of marine bioregions and marine

E Bluebio Alliance will put forward this year a catalog with the valences, capacities and competences in regards to sea bioresources and biotechnologies in Portugal

on the association’s website, BBA has been active from the outset in four strategic areas: scale and cooperation (creating partnerships and alliances), internationalization (promoting integration with international networks of excellence), financing (Disseminating means of access to funds and supporting investments) and companies (highlighting those who are the main value creators in the economy).

Almost two years after it emerged, the BBA is

biotechnologies in our country, BBA will put forward this year a catalog with the “ valences, capacities and competences “ in regards to sea bioresources and biotechnologies in Portugal, as also said its Executive Director. It is a project to be carried out in partnership with the Interdisciplinary Center for Marine and Environmental Research (CIIMAR) of the University of Porto, and it should have a printed version and another one online.

Subsea

Seafloor mineral

Some Portuguese concerns The vast majority of our readers have a mobile phone. A smartphone may easily contain 50 different metals, some of them rare, or subjected to critical supply Fernando J.A.S. Barriga Geologist, Full Professor, Faculdade de CiĂŞncias da Universidade de Lisboa/IDL Overall there are about two billion mobile phones in use, and the projection is that this number may triple by 2020. Other high-tech equipment (flat screen televisions, computers) will experience a similar growth.

Such huge increases in consumption are due to the population growth1 and the fair increase in the purchasing power of the people. Already during the next decade, these great increases can create some supply shortages from the mines on the continents. The problem is particularly acute in the field of critical resources (those whose supply can be more easily disrupted), including lithium, cobalt, gallium, yttrium, indium, tellurium and many 18

lanthanides, elements also called rare earths (especially lanthanum, cerium, praseodymium, neodymium, samarium, europium, terbium and dysprosium)2.

There are two other key factors in the mineral resource equation: (a) production / consumption asymmetries and (b) the production of green energy. Among the industrialized regions, Europe is the most dependent on imported raw materials. In 2011 China, the leading exporter of critical resources, announced strong export restrictions on some of its commodities, notably rare earths. The rest of the industrialized world panicked, as such a move would strangle their economies.

China receded, and what remained was the acute awareness of the criticality of some resources, nearly all metals. The problem is maximal for Europe, which produces only about 5% (five per cent!) of what its industry consumes. Europe ultimately recognised the magnitude of the problem, after a long period in which the mining sector was not part of its main priorities. Since then, there has been a surge of studies showing the urgent need to find new sources for critical (and other) raw materials. Europe has defined three situations to investigate, and to conduct mineral exploration: (a) the arctic, (b) mineral deposits at great depths on the continents, and (c) resources on the seabed3.

The other aforementioned factor is no less worrying. Few electric car owners know that the engines of their cars contain several kilograms of neodymium and dysprosium, and that the batteries of these vehicles contain equally high amounts of cobalt . Nearly 60% of the primary cobalt4 comes from D. R. Congo (Kinshasa).

To replace the nearly 1.2 billion vehicles that consume hydrocarbons by electric cars would take more than 90 years, doubling the world production! Wind generators also use large amounts of rare earths, and other examples can be cited.

The seabed can indeed help. In the figure (compiled by Geomar, Kiel, Germany) we can observe the distribution of some of the main types of metallic resources known in the ocean floor (ellipses: areas of polymetallic nodules, black squares: polymetallic crusts, red and yellow symbols: polymetallic massive sulfide deposits).

To these resources we should add rare earth-rich sediments, and continental shelf resources, including hydrocarbons (oil and gas, and methane hydrates), phosphorites, and alluvial deposits, including sand and gravel for construction and beach recovery, and placer deposits (tin, titanium, rare earths, gold and diamonds). There are already many such exploitations in the oceans up to depths of about 400 meters (mining operations).

Diamonds are located offshore in Namibia and South Africa5, where their value exceeds one billion dollars per year. In Portugal (mainly the Azores) there have been offshore exploitations for sand and gravel since 1998. In other European countries there are operations of much larger size. Underwater mining is not new.

The inventory of the resources of the Portuguese oceanic crust is largely undone.

There are known occurrences of massive sulphides, crusts and polymetallic nodules, and rocks bearing methane hydrates, but no reserves are defined for any of them. If we believe that the future of Portugal is seaward, it

Marina de Vilamoura, in Algarve, was awarded as International Marina of Distinction: 2015-2017

by The Yacht Harbour Association (TYHA). The prize awards the best yachting marina in the category of «International Marinas» and was conquered after three years on a row as the best international marina

is urgent to characterize the resources that we may have. There is potential, but so far there are no riches.

The fact that a mineral resource is detected on the seafloor is not enough for extraction. It is necessary that the appropriate technology is developed6, and that true reserves exist.

Otherwise economic operations will not be possible.

Among the costs of mining operations, whether on land or on the seabed, are those of the preservation of the environment and ecosystems. This is not a new situation for the mining industry, aware of this need since long7. What may be lacking is proper regulation, and verification that the rules are met.

In the case of the deep marine environment, the degree of knowledge about ecosystem vulnerabilities is still insufficient, a problem to be solved with more research. And I suspect that some of this knowledge will come from mining activity. Because the extractive industry is indispensable, but, as in all fields (including fisheries, agriculture, tourism), it must be sustainable and responsible.

It is exceedingly important and urgent that the citizens at large become informed of the issues at stake. With this in mind we are preparing an exhibition for the general public at the National Museum of Natural History and Science (MUHNAC) in Lisbon, to be inaugurated in May 2017, entitled “Science and Riches on the Deep Seafloor” where these topics will be the subject of information and debate.

1 Presently 7.5 billion people, which should grow up to about 10 billion before starting to slowly decrease.

2 Critical resources for the production of green energy (see below).

3 Recycling and replacement of raw materials, whenever possible, were also encouraged.

4 And lithium, but lithium is not known as a resource on the seafloor.

Portugal holds large reserves of lithium ores, related with granitic pegmatites, onshore.

5

And Australia.

6

The technologies closest to implementation on industrial scale are

those of nodules and massive sulphides.

7

Excellent examples, in our backyard, so to speak, are those of Neves

Corvo, in the Alentejo and Las Cruces in neighboring Andalusia. Las Cruces, a large open-pit mine, is located just 10 km from Seville, and has operated for years almost unchallenged.

During the next decade, great increases in demand can create some supply shortages from the mines on the continents

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GEOSUB is a company that provides services in the general areas of Ocean Affairs. Data acquisition in the coastal zone and estuaries, as well as in rivers and lagoons represents a major part of its activity, including the validation, analysis, interpretation and final cartography of the information.

The company provides consulting services on environmental management of coastal zones, on the organization of maritime services and performs studies on the technical and economical viability in the scope of Environmental Economics.

GEOSUB has accumulated extensive experience from its continuous activity since its foundation in 1992, and also from maintaining a permanent dialogue with the main agencies that conduct activity in the marine and maritime domains.

Beyond the extensive experience in working in the coastal zone of Continental and off-shore autonomous regions of Portugal, GEOSUB has expanded internationally, having carried out several important surveys in Morocco, Algeria, Tunisia, Cape Verde, Democratic Republic of Congo, Angola and Mozambique.

The company is constituted by a multidisciplinary team of professionals such as engineers, physics scientists, managers and technicians with expertise in the areas that support its activity, namely: Hydrographic surveying, Geodesy, Cartography, Physical Oceanography, Marine Geology, Hydraulics and Maritime Structures, Marine Biology, Underwater Diving, Management on Environmental Projects and Maritime Economy.

Among its main activities, GEOSUB is able to provide:

• Cartography of the Seabed and Margins; • Navigation Buoyage and Light projects and solutions; • Seabed and subsoil exploration by geophysical means and Mechanical drilling; • Underwater imagery using Sonars and ROVs; • Sediment and Seawater sampling for Environment purposes; • Monitoring of Water Physical and Chemical parameters; • Oceanographic Monitoring – Currents, Waves, Tides.

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PORTUGAL Estrada da Rebelva, Nr1216 -1-D 2775-371 Carcavelos Tel: (+351) 214 530 099 (+351) 965 078 370 Email: info@geosub.pt

ANGOLA Belas Business Park, Edifício Bengo, 4th floor Office 402 Talatona Luanda Tel: (+244) 932 891 685 Email: geosub.africa@gmail.com

Robotics FEUP Strengthens Cooperation with Norway

Communications System in Remote Ocean Areas The Faculty of Engineering of the University of Porto (FEUP) hosted on 17 November the Norwegian Ambassador, Anders Erdal, who traveled to Porto with his entourage on the occasion of the Business2Sea event During the meeting, FEUP’s Laboratory of Underwater Systems and Technology (LSTS) had the opportunity to present the work carried out in the area of autonomous vehicles and present the results already achieved at the level of the Networked Ocean (NetOcean) project, funded by EEA Grants.

This visit comes at a time of strong interactions with Norway, maintained

by FEUP’s LSTS within NetOcean, with particular emphasis on maritime operations on the Norwegian coast during the first two weeks of September. The objective was to demonstrate the system developed by the project partners: LSTS-FEUP, Naval Research Center and Portuguese Institute of the Sea and Atmosphere. “It is a system composed of a network of autonomous vehicles and is designed to ensure the communication and persistent collection of data in remote areas,” explains João Sousa, FEUP professor and researcher responsible for the project.

In addition, the Norwegian Center for Autonomous Marine Operations and Systems (NTNU-AMOS), KTH Royal Institute of Technology (KTH) and Maritime Robotics AS (MR), together with the Norwegian Defense Research Establishment - Division for Air and Space Systems (FFI), have collaborated closely on the results of the project.

According to João Sousa, “The current Networked Ocean partnership is not new.

However, the project has fostered a shared vision among the partners for a sustainable and persistent presence in the oceans that could meet the challenges posed by their national

authorities. “ The main results of the project include the acquisition of capabilities and know-how for sustainable and cost-effective operations in the Atlantic and Arctic oceans and the established cooperation model, which allows accelerating the application of new developments to environments Complex actions.

New concepts of Operation

The great advantage of the NetOcean system is that its elements, when subdivided and analyzed by relative proximity, form local observatories with distributed autonomy capabilities, to which vehicles can join or leave. These local observatories have the same operational capabilities as the NetOcean network as a whole and can operate independently in the event of an unexpected break with the overall network.

Indeed, this system can be launched in a remote sea area and adjust its parameters in a deliberative way, as operational elements and / or objectives change in the course of the process. This is key to optimizing the use of available resources.

In addition, system parameters specify how remote components communicate and collect data, since both functions are strategically linked. “For example, AUVs will periodically synchronize to the surface with other intervening elements,” explains Sérgio Ferreira, researcher of the project, “in order to take advantage of the payload of long distance communications that exists specifically on board these elements.” However, low-bandwidth

underwater communications between AUVs and the remaining elements are also used if the latency of the transmitted information is not a prerequisite.

Field Exercises

NetOcean operational tests have been divided between Portuguese and Norwegian national territory. Among the various exercises, the degree of difficulty and complexity was gradually increased, in order to evaluate the different elements of the system, as well as its synergy with the rest of the emerging communications network.

Preliminary testing took place in April in Norway, where it was possible to verify the operation of the first long-range radio integrations in NTNU-AMOS UAVs. This step allowed for initial flights and communication between the different nodes, about 5 km away from the central operations station.

NTNU-AMOS UAVs, prepared with MBR radios, about to perform test flights

All the management was centralized aboard the ship Gunnerus, which served as the main hub for the actions and merging of data from the various autonomous vehicles, which were part of the exercise.

Research vessel R / V Gunnerus belonging to NTNU-AMOS

In July, the theater of operations was implemented in Portugal during the REP16 - Atlantic - exercise co-organized by the Portuguese Navy and LSTS-FEUP, in partnership with the NATO Center for Maritime Research and Experimentation (CEMR). The REP16 - Atlantic was attended 21

Robotics by several national and foreign institutions, notably the Belgian Navy, SPAWAR (USA) and OCEANSCAN and TELEDYNE companies, as well as observers from the Naval Undersea Warfare Center (USA). US Navy, NASAAMES (USA), GEOMAR (GER) and JPI Oceans. In this context, tests were carried out on the software implementations, designed in the operational toolchain of the vehicles.

Networked Ocean System The system consists of autonomous surface (ASV) and long-range unmanned aerial (UAV) vehicles, long-range underwater autonomous vehicles (AUV), communication gateways, helikites and control stations. The objective is to create a network of persistent data collection (environmental, maritime traffic, biological, etc.) and at the same time provide a communications network operating autonomously in remote ocean areas.

The robustness of the communication services of this autonomous network is that all of its nodes support data routing protocols for direct communication (through UAV persistent relays), and for communications tolerant to data transfer delays (using UAVs or other elements as data mules). In addition, the entire system supports interoperability protocols, allowing for expansion to third-party vehicles.

In order to minimize the involvement of human operators, vehicles also have deliberative planning capabilities for stand-alone operations in remote locations.

At the same time, autonomous KTH vehicles, as well as MR surface vehicles, were converted to autonomous operation.

With all the elements in place, the second week started with a simulacrum of tracking of marine animals, through acoustic positioning.

In the end, the success of the operations corroborated the system’s ability to maintain a robust communications network and confirmed its effectiveness in the simultaneous and coordinated operation of several autonomous vehicles in a remote environment.

Joint operations between autonomous and manned vehicles during REP16 – Atlantic

Finally, the activities returned in September to Norway, and were divided into several operating areas: Slettvika, Brekstad and Trondheim. Over two weeks, the focus was to consolidate the software developed and ensure its application in the most realistic environment possible. In this sense, multidisciplinary exercises have been designed to put into practice the different aspects of NetOcean and ensure their evaluation on long-range communication issues, but also the ability to collect / disseminate and use data within the same network.

During the first week, the tests were performed on an individual basis, with incremental evaluation of the capabilities of the software toolchain, with bathymetric shore survey exercises and interaction exercises with 3G / 4G telecommunications network.

22

AUV “Explorer-1” from FEUP-LSTS together with KV’s “Anka” ASV (left). ASV converted MR’s “Telemetron” with autonomous AUV launch device (right) General map of NetOcean operating zones during September 2016

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25

Fishery&Aquaculture Offshore

The challenge In 2015, the worldwide aquaculture production equalled fishing, after three decades of intense and continuous growth.

But there are still a lot of challenges to overcome With regard to marine aquaculture, this growth only occurred in countries with a coastline with sheltered areas protected from the sea waves, whether inlets or gulfs (China), fjords (Norway, Northern Ireland or Chile ) protection through island systems (Greece, Turkey, Indonesia) or back protected from prevailing winds (Mediterranean Spain).

All these areas are already taken and the urgent response to the increasing consumption of fish happening throughout the world demands overcoming a new border – the Offshore.

Paradoxically it turns out that the international market has not produced the equipment that will allow investors to locate production facilities really in the open sea where the most severe storms can occur.

This problem has been the subject of international conferences aimed at finding solutions, particularly those promoted biannually since 2010 by the European Aquaculture Society, but so far there have been no truly innovative and reliable ideas.

What is at stake is the urgent need to ensure production increases that, globally, the FAO estimates are in the order of tens of millions of tons / year, on the horizon of the next decades, to respond to the pressure of consumption.

The knowledge available allows us to characterize on a first approach, but with some realism, the geographical areas where the new offshore mariculture technologies will be more quickly implemented.

Our contribution to the resolution of this crucial issue is to some extent a “Columbus egg” for the designed equipment that will be able to sustain any degree of sea waves that may occur in the open sea outside the shelter the coast provides, from taking advantage of their submersion to depths where the energy of the waves and sea currents is sufficiently attenuated so that fish production can be practiced without risk.

A numerical analysis of the behaviour in sea waves have been commissioned for one of the equipments that have been developed, the Submersible Feeding, Control and Command Platform, using WAMIT software licensed by

MIT / USA to measure the impact of waves on marine structures (oil rigs, etc.) and ORCAFLEX software for the calculations of sea moorings.

The report confirms the relevance of the working hypothesis of developing storm resistant equipments that can submerge about 30 m deep.

The innovations for offshore aquaculture that have been developed by OFISEQ – Offshore Fishfarming Equipments, Ltd and covered by patents are: - Submersible Feeding, Control and Command Platform, aimed at providing food to the associated cages, collecting continuously and transmitting via radio to the headquarters of the company (on land) production parameters by installing sensors in the assisted cages, to promote their own submersion and

that of the cages associated in the event of a storm, continuing to carry out their functions and promoting a safe return to the surface once the storm has passed.

- Submerged Cage for Plain Fish Production (sole, turbot, halibut, etc.), for the production offshore, normally working submerged 30 to 50 m deep, where the oceans agitation is not felt. The cages are easily brought back to surface by the insufflation of air into its tubular structure, to enable an easier practice of the operations inherent to the production of fish, namely, detailed monitoring, screenings, fishing and the maintenance of the cages.

All of these equipments were designed in modules, which allows shipment in containers, to anywhere in the world, making them easily mounted on the destination in any small shipyard using conventional means.

Such equipment is, at the moment, developed at the level of preliminary study, Technology Readiness Level 2 - Technology concept Formulated (EU) and is now just starting in cooperation with university research institutions a Research and Technological Development Program (R & T D) with several steps to building prototypes to real scale, to be tested over the storm season at a bustling area of the sea coast.

The production of these devices involves the metalworking industry, shipbuilding, Polyethylene High Density production, net production, wiring, electronic components, etc.

at the surface and submerse during a storm

Numerical analysis of sea waves behaviour WIND 190 Km / h

SURFACE 3,5 Knots O 17 m

- 30 m

O<1m

0,5 Knots

27

Sports&Tourism

Abu Dhabi Elects Cascais as training Base for the Next Volvo Ocean Race

Cascais offers unique conditions Ian Walker, skipper of the famous Abu Dhabi team of the Volvo Ocean Race, seems not to have had many doubts in electing Cascais due to its unique conditions for training First of all, Ian Walker highlights the advantages of his geographic positioning, that is to say, halfway between Great Britain and Alicante, important for reasons explained later, then by the weather, with both strong and weak wind, ideal for Train the various situations that can be found in the race, as well as a warm temperature, never too hot or too cold, and excellent sea conditions without too strong currents.

In addition, the Abu Dhabi skipper also points out that another significant advantage is the fact that it takes ten minutes to be in the open sea when leaving for training, thus avoiding having to use a motor or sailing for a long time, as well as the fact that the Bay of Cascais have a good 28

depth and there are, therefore, problems of exit or entrance with low tide.

The proximity to Lisbon, ie, to an International Airport, scarce hours from any part of Europe, is also an advantage that allows them, as it has already happened, to leave for Milan in the afternoon due to a problem in the boat, Arrive at the end of the afternoon, solve the problem the next morning, and are already back at the beginning of the evening of the same day. In such circumstances, sending and receiving material is also extremely fast and extremely important.

Among some other advantages, Ian Walker also highlights the facilities and possibilities of training on the high seas, having already

gone to Madeira, as well as the safety and tranquility of the marina, even when they are on the boat, as well as, in more personal terms, the Language is not a barrier, since all people speak English, unlike what happens in Spain or France, as well as being in a lively village where there is always plenty to do, family included when they visit and are not To train, from the more traditional purchases to the various water sports, to the beach, etc., and, of course, the fact that the cost of living is not too exaggerated.

Finally, the proximity to Lisbon, returning Lisbon to be a point of scale for the next Volvo Ocean Race, to take place next year, is still another advantage, so you can stay and know the navigation in Cascais, train the entrance to the Tagus River, Perceive the influence of the Serra de Sintra (Sintra Mountain), etc.

As Ian Walker points out, when they were assessing the possibilities, the whole team agreed that Cascais would in fact be the ideal location, as well as PortimĂŁo, also considered, although soon they had also realized the problems at low tide, the Need to navigate further until there is good wind and this not being is not as constant or consistent as in Cascais, or even Lanzarote, cheaper in terms of living costs and with good training conditions, and therefore a solution chosen by several others Teams, but it is also a deserted island with nothing more than beach and, mainly, offering much greater difficulties in terms of logistics, either for the crew, or for receiving or sending material. Thatâ&#x20AC;&#x2122;s why, after all, there was no doubt: Cascais is, in fact, the ideal place.

Opinion The Economics of LNG Propulsion The LNG industry is a relatively young industry, not quite sixty years old yet. It all started with the revolutionary design of the first LNG carrier, the “Methane Pioneer”, converted from a general cargo ship in 1958 The storage of natural gas (mostly methane) in liquid form creates a tremendous technical challenge due to the fact that one needs to reduce its volume by a factor of 600 and, for security reasons, LNG must be stored at its boiling temperature of minus 161º C at or close to atmospheric pressure. J.J.Henry Co, a New York naval architecture firm, where I was privileged to work in the 70’s, was responsible for the design of the “Methane Pioneer” and for the development of several new generations of purpose built LNG carriers, starting with the “Methane Princess” in 1964. Incidentally, J.J.Henry was also responsible for the design of the first container carrier, the “Ideal X”.

Leakage from LNG storage tanks is unavoidable. By design, the leaked gas (boil-off gas or BOG) is captured and used as propulsion fuel. The successful experience in LNG carriers led to the adoption of LNG fuel in other

types of vessels, starting with the Norwegian ferry “Glutra” in 2000. As of December 2016, the fleet of vessels with LNG propulsion, excluding LNG carriers and small river vessels, amounted to some 75 units (10 in Europe) and an order book of 80 (44 in Europe). The most common vessel types are ferries, platform supply vessels (psv) and tugs, which have a relatively short autonomy, hence bunkering is easier to arrange.

In December 2012 the US shipping company Totem Ocean Trailer Express (TOTE) contracted General Dynamics NASSCO shipyard in San Diego, California for the design and construction of two 3,100TEU advanced Marlin-class containerships. They are the world’s first containerships powered by LNG. The first one, Isla Bella, was launched in April 2015 and is being operated by Tote Maritime (ex- Sea Star Line) between Jacksonville, Florida and San Juan in Puerto Rico. She was joined by her sis-

Jorge D’Almeida More than 40 years of experience in maritime sector, Engineer and Naval Architect by IST with MBA in Business and Internatinal Finances, has worked for more than 12 years in USA at J.J.Henry Co. and U.S.Lines Inc. where has also closely worked with the so called containers’ father, Malcom McLean. Former CEO of PSA Sines, is now the CEO of Saconsult and invited Professor of Nova School of Business and Economics.

graphic 1 LNG Industry Timeline

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Opinion ter ship, Per del Caribe, in early 2016.

TOTE’s Marlin-class vessels are equipped with a dual-fuel, slow-speed 8L70ME-C8.2-GI engine, built by Doosan Engine under license from MAN. This engine has the option of using either heavy fuel oil (HFO) or gas as fuel. The MAN Diesel and Turbo engine package, including turbochargers, has no methane slip and ensures low emissions, making the ships more environment-friendly.

In 2016, during the Posidonia trade fair in Athens, Greece, the Greek shipowner Arista Shipping (wich operates out of Sintra, Portugal) announced a revolutionary bulk carrier design of the “kamsarmax” type. It will be the world’s first LNG powered deep sea bulk carrier. This project, named “Project Forward”, will be developed by Arista Shipping in cooperation with Wartsila, American Bureau of Shipping, Deltamarin and leading LNG engineering company GTT. The design, based on Deltamarin’s B-Delta class, will cover a range of 80,000 to 210,000 dwt (maximum size allowed at Kamsar, Guinee, corresponding to a length of 229 m) and will be powered by Wartsila’s 31DF dual-fuel medium speed engine.

Undoubtedly, the TOTE and Arista initiatives will be closely monitored and, most likely, will be replicated by many others in the near future, as the International Maritime Organization (IMO) and EU imposed environmental restrictions loom ahead.

Regulatory Framework It is well known that shipping is the most environmentally efficient way to move cargo. Ho-

graphic 2 emission reduction obtained by switching to gas

Source: Wartsila

wever, the sulphur content of heavy fuel burned in slow speed diesel engines is some 3,000 times higher than what is authorized for diesel used in road vehicles. Not surprisingly, IMO has established strict rules to lower the sulphur content of marine fuels, as per Annex VI of the International Convention for the Prevention of Pollution from Ships (MARPOL), transposed into EU Directive 2012/33/EU, to wit: > Since January 1st, 2012 the sulphur content of marine fuels cannot exceed 3.5%; > Since January 1st, 2015 the sulphur content

graphic 3 PROVEN NATURAL GAS RESERVES, TN CBM

Source: US Energy Information Administration (EIA)

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of marine fuels in the Emission Control Areas (ECA) cannot exceed 0.1% (the European ECA include the Baltic Sea, the North Sea and the English Channel); > From January 1st, 2020 the sulphur content of marine fuels cannot exceed 0.5%, i.e. 7 times lower than the 2012 limit; MARPOL admitted that the deadline might be extended to 2025, pending a feasibility study to be conducted in 2018; however, in October 2016 IMO took the decision to set 2020 as the definitive deadline.

Nitrogen is the other major pollutant from ship’s emissions. Its reaction with oxygen at high temperatures during combustion generates nitrous oxides (NOx) that can be transported over hundreds of miles and deposited as acid rain. It also plays a major role in the atmospheric reactions that produce smog.

In 2008 IMO established standards for NOx emissions from ship engines. It is a three-tier structure with progressively tighter emission standards depending on the engine’s installation date.

The allowed emission levels are set as follows: > Tier I: for engines installed in ships constructed on or after January 1st, 2000 and before January 1st, 2011, the NOx emissions may not exceed 17 g/kWh; > Tier II: for engines installed in ships constructed on or after January 1st, 2011 the NOx emissions may not exceed 14.4 g/kWh; > Tier III: for engines installed in ships constructed on or after January 1st, 2016 the NOx emissions may not exceed 3.4 g/kWh, when the ship is operating In a designated Nitrogen Emission Control Area (NECA).

There are several technical solutions to meet the MARPOL requirements. However, natural

graphic 4 Number and Size of Trains

Source: IGU World LNG Report 2015

Three pictures of the Portuguese Hydrographic Institute were selected for the company Teledyne CARIS, supplier of maritime geographic software, for its international calendar of 2017, within the framework of theTeledyne CARIS Calendar contest 2017, which included dozens of pictures from all over the world

gas is currently favored by most shipowners for operational and economic reasons.

According to engine manufacturer Wartsila, the emission reductions obtained by switching to gas are quite impressive: 95% in particulate matter (PM), 99% in sulphur oxide (SOx) 30% in carbon dioxide (CO2) and 85% in nitrous oxide (NOx).

To be sure, there still are many barriers to the wide spread adoption of LNG propulsion. The major ones are: (i) additional capital expenditure (capex), (ii) larger fuel tank size, hence lower payload, (iii) methane slip at lower engine load, and (iv) lack of LNG bunkering infrastructures.

Several EU sponsored projects are dealing with these and other issues. For example, GAINN 4 MOS, led by Fundación Valenciaport, is an action to improve the Motorways of the Sea network in six Member States (Spain, Italy, France, Portugal, Slovenia and Croatia) by carrying out engineering studies of ships retrofitting and port LNG bunkering stations.

It should be noted that natural gas, being a fossil fuel, will not have a major impact in the reduction of the carbon footprint. Therefore, the quest for non-fossil fuels will continue to gain pace and we will witness the gradual introduction of alternative fuels such as biofuel and fuel cells in ships over the long haul. Renewable energies (solar and wind) have great potential to mitigate carbon emissions, but are not seen as viable alternatives for commercial shipping in the foreseeable future.

graphic 5 IGU World LNG Report 2015

Source: IGU World LNG Report 2015

Russia, Iran, Qatar and USA. These four countries control close to 60% of the global reserves. The number and gross capacity (in million of tons per annum or mtpa) of trains commissioned since 1964 is shown below. (graphic 3 e 4) The geographical spread of the receiving terminals is of particular importance, to ensure availability of LNG bunkering stations.

The graph below shows that Japan and USA dominate the landscape, but Europe is well

that stood in the gas rich town of Erath, Louisiana, before being destroyed by hurricane Ike in 2008. (graphic 6) Historically, LNG price in the world market has been closely tied to oil price. Although a gradual migration from oil-linked pricing to spot or hub-based pricing is likely, it is reasonable to assume an LNG reference price at 25% - 30% discount from MDO on a per BTU basis. Caution: history also teaches us to expect the unexpected in the energy market.

graphic 6 Henry Hub Price

Dollars per Million Btu

Source: Henry Hub Natural Gas Spot Price

Supply Chain Typically, an LNG project or “train” consists of a liquefaction plant at the gas source, a gasification plant at the receiving end and one or more LNG tankers, often purpose-built and funded on a project finance basis.

The proven natural gas reserves amount to around 200 trillion cubic meters, led by

served both in the Atlantic and in the Med. (graphic 5) Like many other commodities, natural gas is traded in spot and futures markets. The Henry Hub Price, denominated in US$/mmbtu (millions of British Thermal Units) is generally used as the primary reference price in the natural gas market. Incidentally, the name comes from the Henry High School

Cost – Benefit Analysis At this stage, there is not enough experience and data to present a generalized analysis on the economic and financial merit from switching to LNG propulsion. Indeed, each case is a case. Accordingly, the following are general guidelines derived from limited available information.

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Opinion Propulsion Plant

graphic 7 ADDED COST OF INVESTMENT FOR LNG PROPULSION

Capital Expenses (CAPEX)

graphic 8 LNG PROPULSION IMPACT

There are two main types of LNG burning engines: single fuel and dual-fuel. Single fuel engines require spark plug ignition (Otto cycle), while dual-fuel engines run either on LNG mode or diesel mode. There are two alternative dual-fuel engine designs: medium speed (four stroke) or slow speed (two stroke). Four stroke engines require the injection of a small amount of diesel fuel into the combustion chamber to ignite the lean air mixture, while gas is injected at low pressure. Two stroke engines differ in that the gas is injected at high pressure together with the pilot diesel fuel, according to the normal diesel cycle. It is rather easy to switch between gas and diesel modes on the go.

Dual-fuel engines are largely preferred for ship propulsion due to their fuel flexibility under different operating scenarios.

Additional capex for LNG propulsion is required for an LNG burning power plant (single or dual fuel). DNV (now DNV GL) provides a rough guide to the additional capex in €/kW for a dual-fuel power plant with an installed power between 1,000 and 9,000 kW1.

Due to the lower energy density of LNG compared to diesel, LNG tanks require about 50% more space than MDO. This will require additional vessel cubic (hence, capex) or a loss in payload, that very much depends on ship type.

In the above mentioned DNV study the negative impact of tank size is estimated at 36% of the additional capex for a ropax vessel.

Operating Expenses (OPEX) The main impact of LNG propulsion on opex will be a reduction in fuel costs. Needless to say, the cost – benefit analysis is highly dependent on the fuel cost projections throughout the life of the investment. The best way to deal with this uncertainty is to run calculations for a series of price scenarios, thus establishing a breakeven point that determines the relative merit of LNG versus diesel propulsion. For example, a scholarly study on Iceland fishing vessels2 considered six LNG/MDO price scenarios to determine the Net Present Value (NPV) breakeven point for new buildings as well as for conversions. The results show that NPV may reach breakeven within a wide time window, typically from 7 to 17 years. Notwithstanding this lack of precision, the study leads to the conclusion that LNG propulsion should generate a positive NPV within the useful life of the vessel. On the other hand, some of the 32

conversions that were analyzed did not reach breakeven within the vessel’s remaining life.

Impact As a rough guideline, the waterfall chart below shows the relative impact of the main capex and opex items, of switching from diesel fuel to LNG, over the lifetime of a newly built general cargo vessel. The data has been normalized to show a total investment (shipyard + engine + equipment) of 100 and assumes a price differential of US$ 10 – 15 /mmBTU between LNG and MDO.

Conclusion The main driver for LNG propulsion stems from the tighter IMO and EU environmental restrictions, particularly the sulphur con-

tent limit of 0.5% in marine fuels that will be imposed from January 1st, 2020. Current technology seems to favor LNG propulsion over other alternatives3. However, general conclusions cannot be drawn because the economics are still somewhat fuzzy. The results are highly depending on energy prices and on the individual vessel operating profile. For example, increasing the percentage of time spent in ECA, with a stricter sulphur limit of 0.1%, will favor the usage of LNG. Admittedly, there is a tendency to extend ECA around the world, which is a strong argument in favor of LNG propulsion.

1 LNG as fuel for ship propulsion”, C.W.Graugaard, Deputy Head of Maritime Srvices, DNV 2010 2 LNG as ship fuel in Iceland”, G.J. Jonsdottir, Reykjavik University, 2013 3 Costs and Benefits of LNG as Ship Fuel for Container Vessels”, MAN

Diesel & Turbo, 2012

About 40 Portuguese providers out of an international total of 60 were involved in the WindFloat project, a 125 milion euros floating foundation for offshore wind energy

The role of the oceans in our future When one looks towards the future, from a European perspective, there are indeed many clouds ahead. The welfare state built mostly during the second half of the XX century, after 50 years of turbulence and world wars, is now in question and even threatened by bankruptcy in southern Europe The national and European political establishments are also on the verge of great changes. Leaders of yesterday and today will no longer be the leaders of tomorrow. In this scenery we hear about the digital economy and the circular economy. We hear about decarbonization and dematerialization of the economy. But where exactly does the future take us? And what is the role of the oceans in this future?

It is certainly not possible to predict the future, but most would agree that, despite all economic incertitude and all political change, we cannot run away from the fundamental fact that the planet’s life support system is under threat, due to our unsustainable development. This fact will play a part in our future, for better or for worse, but it will be a factor to take account of. No one denies the loss of biodiversity and the extinction of half of the vertebrates in the last 50 years alone.

No one denies the impact of the loss of marine biomass and the extinction of predators in the seas. And almost no one denies the negative impacts of climate change in the oceanic system, despite some may question its origin.

What this tell us is that the human race instinct of survival will focus its attention and will direct resources to address these environmental unbalances. The XXI century will, thus, become the century of environmental sustainability and our economies and societies will change because of this focus. They will not only change, but they will be driven by the quest to attain sustainability, to preserve the Earth natural resources and to reduce drastically our carbon foot print.

In this context, the ocean will become more important at our eyes. First of all, because the ocean is a key part of the natural capital of the planet and this capital will become more valuable and even monetized in the case of certain ecosystem services. Why not valuing the

biomass that generates our fish stocks instead of only valuing those stocks? Why not valuing the ocean as an avenue for maritime transport, or for offshore wind energy?

The ocean will become more important also because it will be a key dimension on the quest to decarbonize our economies. In order to reduce the production of carbon fuels we will use the ocean to produce wind and biofuels from micro and macro algae. This will not compete with other land uses, neither will compete with our traditional agriculture and food production. So the ocean will matter for the energy sector. It will also matter in the transport sector as shipping is the most energy efficient mode of transport we have available so far. This, of course, will require the shipping industry and upstream also the shipbuilding one to make a decisive move towards clean vessels or green ships. The more the shipping industry drags its feet in relation to innovation and modernization of engines and fuels the less relevant will be in the decarb economies of the present future.

The ocean will also be critical for food security and for the food industry, which will feed the nine billion inhabitants the Earth will have to accommodate by 2050. Indeed, marine proteins, which are less than 17% of the protein we intake globally today, according to FAO, will grow disproportionally in relation to proteins from terrestrial sources, because the latter demand considerable fresh water resources, which need to be used prudently, and because food growth in land results in considerable greenhouse gases’ emissions.

Agriculture, meat products and processed food all demand energy and issue CO2, which is previously resting in the soil or which is issued by cattle, for example. But aquaculture, especially of shellfish or algae, is not only more sustainable, but it will contribute to create a virtuous carbon cycle. Bivalves and algae consume carbon in the sea water and are in

Tiago Pitta e Cunha Former Counsellor for Environment, Science and Maritime Affairs to the President of Portugal, has been working on maritime affairs, mainly as a policy-maker in the field of public policies on oceans and seas for 15 years and also works as a private consultant on maritime affairs and advocate of the strategic importance of maritime affairs in Portugal and in Brussels for several years, is now the CEO of Fundação Azul (Blue Foundation).

fact mobile carbon units, which can be grown and harvested with beneficial impacts to the sea. The food evolution of the future will have these facts into account.

It is therefore by joining up these dots, i.e. the growing focus on environmental sustainability of our societies, the imperative need to decarbonize our economies, the discovery that nature is much more than just that, as it is also the natural capital we need as a basis for our manufactured capital economies, and by understanding the potential that the oceans and seas have to the economy of the future and how they may contribute effectively to solve our carbon related problems, that the ocean will finally become, at the eyes of decision-makers and the people, a key asset of our civilization.

Hopefully this realization will make us protect the ocean, preserving what we have and restoring what has been damaged by our actions of the past and by what, unfortunately, we continue to damage today.

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Law&legislation Portugal’s Sea Economy

Quick guide for potential investors Portugal is a maritime nation that is now seeing again the enormous potential of the sea as it did in the past but in a new perspective, discovering new types of energies more friend to the environment and new resources in the sea, new technologies, new ways of life and different ways of seeing old professions.

> There are seven main areas that are growing in Portugal in terms of sea economy: 1. Nautical sports; nautical, coastal and cruise tourism and; nautical pleasure- recreational boating: Everyone that comes to Portugal (Continent and Islands) enjoys doing sports at sea like surfing, kayaking, sailing and diving. We have the perfect conditions for that kind of sports. It is a sector of the Portuguese economy that is growing every year and still has a lot of growing potential.

The legislation is less burocratic these days, more sensitive to the interests of new companies, Portuguese and foreign, that want to work in this area.

The legislation varies according to the nature, for instance there is the Decree-Law n° 228/2009 of September 14 that governs the setting up, running and functioning of tourism enterprises.

If someone or a company, wants to be a maritime-tourist operator, for example a scuba diving school the legislation that is applicable is the Decree-Law n° 108/2009 of May 15 (changed by the Decree-Law n° 95/2013 of July 19 and Decree-Law n° 186/2015, of September 13. A company can have access to this kind of activity simply by a previous communication to the Tourism Institute in a electronic format on the website.

The same kind of procedure for a travel and tourism agency, just a previous communication to the Tourism Institute in a electronic format at the website. The applicable legislation to this kind of activity is Decree-Law 61/2021 of May 6, altered by Decree-Law n° 199/2012, of August 24 and Decree-Law n° 26/2014 of February 14.

A company can benefit of tax reduction if it is qualified as being of Touristic Utility.

The Portuguese Government is planning on creating a cluster for nautical pleasure (recreational boating) for mega yachts in Lisbon.

2. Aquaculture Onshore and Offshore: Portugal understands today the importance of this activity to the sea economy that is why it was decided by the Government to create a legislation that is easier to understand with less burocratic procedures in order to develop this activity. Last year was created The Simplex Aquaculture + that turns the licensing and implementation of aquaculture less burocratic.

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Bank financing and Insurance are two issues that are still in a developing stage.

There are also funding’s that companies can apply to. Recently there was MAR 2020.

Important is to mention that in April 2014, Law nº 17/2014 on “Marine Spatial Planning and Management (LBOGEM) was approved as the fundamental law for Marine Special Planning for all Portuguese maritime space, including the continental shelf beyond 200 nautical miles.

Also the Decree-Law nº 38/2015 in that develops the marine spatial planning and management, defining the regime of maritime spatial planning instruments and the private use of maritime space regime.

This is seen as the framework of the Planning and Management of the National Maritime Space.

And finally Order No. 11494/2015 that established the beginning of the preparation and development of the Situation Plan, the Portuguese MSP, defining the competent authorities for preparing and supporting all the process.

3. Renewable Energies: We have a natural potential to develop renewable energies using the sun, the wind, the tides and the waves. We are on the edge of technology in what renewable energies is concerned.

Portugal intents to reach a minimum of 40% on renewable energy resources by 2030. Quite a challenge but it can be done with the right amount of effort.

In a step to the future the Government has decided to create two maritime clusters on renewable energies offshore in the north of Portugal, one in Viana do Castelo and the other in Aveiro.

In the legislation on renewable energies there are two support mechanisms for investment and acquisition: a differentiated tariff for the production of energy from renewable energy sources; an incentive system to support the investment in projects of energy production that use new and renewable energy sources and the rational utilization of energy. There are also fiscal incentives for the acquisition of renewable energy equipments in Portugal.

Also important in this matter is the fundamental law for Marine Special Planning for all Portuguese maritime space that was mentioned before about aquaculture.

Portuguese Government intents also to create in Viana do Castelo a cluster for special ships, where will be built platforms and other infrastructures for renewable energies.

4. Digital Ports and Logistics: Portuguese Ports have implemented the “Janela Única Portuaria” (JUP), the “Port Single Window”, a professional tool for the management

Cristina Lança Advogada

of the information concerning vessels’ calls and cargo handling, in what concerns the relationship between the representatives of the transport and cargos, services renderers and authorities on port.

More recently, last year, it was created by Portugal the “Factura Única Portuária”, the “Single Port Invoice” for every scale of a ship instead of being issued five invoices, one for each authority involved in the dispatch of ships, namely Border Authority, Customs Authority, Maritime Authority and Health Authority, only one invoice is issued by the Port Authority, making the whole process easier and simple.

The Port Single Invoice is one of the Sea Simplex measures created by the Portuguese Government. It was first implemented in Sines Port but is going to be extended to every Portuguese port by this year 2017.

The next step for Digital Ports and Logistics is the “Logistic Single Window” that is going to be implemented this year, 2017, as well. Is part of the SIMPLEX 2017. It is a programme in which every transport air, sea, river, land (road and train) will be in one single window for a more efficient and fast service, it is the digital intermodality of transport.

Probably in the near future it will also be created the “Factura Única Logística”, the “Logistic Single Invoice” similar to the Port Single Invoice, one invoice for every transport that was use to deliver goods, a ship, a ferry, road and/or a plain.

Portugal has the intention of creating a cluster in Lisbon for

Digital Ports, it will be an incubator of start-ups specialized in the digitalization of port services and in the creation of optimized tools for port management (like big data applied to the management of the moving flux in ports).

5. GNL Onshore and Offshore Bunkering (Green Shipping): The future is Green Shipping and Portugal wants to be green also, not only in renewable energies but also in the shipping industry.

LNG (liquefied natural gas) is the new fuel. Liquefaction offers a unique solution for transporting natural gas located in areas far from a pipeline infrastructure.

It is said that LNG production is expected to hit 10% of the global crude production by 2020 and it will become the dominant fossil fuel by 2035, since more countries are switching from oil to gas, is low on the emissions scale and therefore more sustainable for the environment.

Portugal already has a LNG terminal in Sines Port (South of Lisbon, in Alentejo), it consists of port facilities for the reception, load and refill of methane carriers, expedition facilities that represent LNG Terminal depot, three LNG tanks, LNG processing facilities and natural dispatch facilities for the pipeline connecting Sines Terminal to the Natural Gas Transport Network. The Terminal has a docking station for ships with capacity from 40 000 to 216 000 m3 GNL, the unloading time is about

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Law&legislation 20 hours, it has three storage tanks with a commercial capacity of 390 000m3 GNL and seven open-rack vaporizers for LNG regasification.

It is the intention of the Portuguese Government to create four green shipping (LNG) clusters, two in the north of Portugal, one in Leixões and the other in Douro, one in Lisbon and one off course in Sines.

Sines will also be a Green Port cluster according to the Government strategy for Ports.

In Viana do Castelo it will be created a cluster for special ships where bunkering LNG, LNG fuelled ships and infrastructures for LNG onshore and offshore bunkering will be built.

According to the “Strategic Plan for Ports” presented last December 2016 there will be a LNG Onshore Bunkering in Leixões and Figueira da Foz, an LNG Service Area of Truck-2-ship in Douro, LNG Offshore Bunkering in Lisbon and in Madeira and LNG Hub in Sines (Onshore and Offshore Bunkering).

There is no national legislation for now on LNG, only EU legislation.

It is a new field.

6. Naval Construction, Repairs and Ship Breaking and Recycling: We have a maritime background history on constructing and repairing ships that we have lost over the years and now we want to be again one of the top countries in that activity It is true that this business did not die entirely, we still have a few companies that are very good like Lisnave, Sopromar, Nautiber, Navalrocha and Navalria, but we need more competition, we need more companies in Portugal working in this area.

Therefore the Portuguese Government is planning on creating a cluster for naval repair especially for nautical pleasure vessels (recreational boating) in the South of Portugal in Portimão and Faro using innovative skills and the latest technologies.

Ship Breaking and Ship Recycling are also activities that can be develop in Portugal. We have a Portuguese company at the european list of companies for ship Breaking (ship demolition) the Navalria.

Besides this particular cluster for nautical pleasure two more clusters will be created, one in the north of Portugal in Viana do Castelo where special ships will be made and platforms and other infrastructures for LNG and renewable energies (cluster for Special Ships); and the other for nautical pleasure for mega yachts specifically (cluster of recreational boating).

More recently in last December 2016: > Commission Implementing Decision (EU) 2016/2325 of 19 December on the format of the certificate on the inventory of hazardous materials issued in accordance with Regulation (EU) n° 1257/2013 of the European Parliament and of the Council on ship recycling. > Commission Implementing Decision (EU) 2016/2321 of 19 December 2016 on the format of the ready for recycling certificate issued in accordance with Regulation (EU) n° 1257/2013 of the European Parliament and of the Council on ship recycling. > Commission Implementing Decision (EU) 2016/2322 of 19 December 2016 on the format of the statement of completion of ship recycling required under Regulation (EU) n° 1257/2013 of the European Parliament and of the Council on ship recycling. > Commission Implementing Decision (EU) 2016/2324 of 19 December 2016 on the format of the report of planned start of ship recycling required under Regulation (EU) n° 1257/2013 of the European Parliament and of the Council on ship recycling.

7. Offshore Engineering and Robotics:

The Portuguese Government intends to create a cluster of engineering and offshore robotics in Leixões. This cluster will have I&D Services and commercial services of offshore structure engineering, autonomous ships/sea vehicles and of submarine robotics.

We are at the top of engineering and robotics in the world. We have in Porto CEIIA-Innovation and Engineering, a non-profit organization whose associative capital belongs to Portuguese enterprises, universities and a government agency. The main areas of interests are: > Submarine robotic vehicles: collaborative autonomous sea vehicles for marine operatives; deep sea observatories for environmental monitoring; vigilance of human activities in the ocean. > Offshore engineering (structures and electromechanical systems): subsea systems; new technical solutions.

But why offshore engineering and robotics? Portugal is in the process of extending its continental shelf (+ 2 150 000 square km), once acknowledge by UN 95% of the overall territory under Portuguese jurisdiction will be underwater. Therefore we need an observation system with ocean monitoring, control and surveillance in our underwater territory. We need also Ocean Subsea and Surface Concerning legislation on naval construction and repair: Technologies to understand more about our potentials in sea > Decree-Law n° 201/98 of 10 July about the legal statute of a ship economy and also Port Technologies and Systems, an easier and constructing and repair contracts. more efficient way of transporting across the seas.

There is also specific legislation for fishing vessels and nautical These are the strategic areas of sea economy that Portugal wants pleasure -recreational boating. to develop in the near future in order to achieve our full potential On the subject of ship breaking and recycling we have EU legislation: as a Sea Nation. > Regulation (EC) n° 1013/2006 of the European Parliament and of The idea of creating specific clusters is not new to us Professor the Council of 14 June 2006 on shipments of waste within into and Ernâni Rodrigues Lopes first had the idea of a Hypercluster of out of the European Community; Sea Economy in 2009 where specific clusters would be created in > Regulation (EU) n° 1257/2013 of the European Parliament and maritime areas and all would be linked, connected between each of the Council of 20 November 2013 on Ship recycling and amending other creating the Hypercluster. Finally we are acknowledging it by Regulation (EC) n° 1013/2006 and Directive 2009/16/EC. giving a material form to this idea.

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Market Analysis

The new globalization and the impact on maritime trade Globalization has not died, but is different and it is time to recognize it in order to act accordingly Although long-distance trade has existed since the dawn of civilization, it is in the nineteenth century that international trade grew rapidly and exponentially. It was Britain, living the transformations of the industrial revolution, that was the first to open the doors and liberalized international trade, eliminating taxes and customs duties. Sir Robert Peel, Prime Minister of Queen Victoria, who told Faraday one day that it was a shame that the greatest English scientist, possibly even of the world, was wasting his time with something, electricity, that was useless for anything else, who had the vision and courage to modernize the country by reducing the maze of restrictions and taxes that impeded the development of

port of certain goods have removed obstacles to the flow of international trade.

At the beginning of the twentieth century, it was possible to speak of a world economy, in which Europe, the dynamic centre that stimulated the world, became the main economic pole of globalization. For the world as a whole, the volume of foreign trade per capita in 1913 was over twenty-five times that of 1800. But the outbreak of the war in 1914 abruptly buried the first phase of modern globalization and in the years to come. The following rebirth of protectionism was very visible in the country that was the world’s greatest power. The successive post-war Republican governments in the United States for the defense of industry and agriculture opted to

Global marketing of goods and products is stagnating and being replaced by services international trade, by, in 1846, repealing the so called Corn Laws - the pillar and symbol of the country’s protectionist system that protected landowners – which had hitherto been impossible. At first, because of the strength of protectionist interests, as of factory owners in France, the opening up of trade to the rest of Europe was not immediate and it was not until 1860 that bilateral trade treaties were fully developed. If, on the one hand, the industrial revolution eliminated obstacles to transport by improving navigation with steam ships and the construction of railways, on the other hand, reducing tariffs on imports and exports and eliminating some restrictions on the im38

increase commercial tariffs in order to protect their respective sectors.

In 1922, President Warren Harding passed the Fordney-McCumber Act, which increased rates by an average of 38.5 percent and, in 1930, at the height of the Great Depression, it was Herbert Hoover’s turn to approve the notorious Smoot-Hawley Tariffs at 59.1% on more than 20,000 products, despite protests from Henry Ford and other business owners.

The retaliation of the trading partners, like Australia, Canada and Europe, did not take long and the result was that, from 1930 to 1933, American exports fell from $5.2 billion to $1.7 billion. Imports fell by half and in tho-

se three dramatic years the American GDP fell by 40%, leaving more than 25% of the population unemployed. If, even today, Germans are panic-stricken with inflation, the memory of these times, the collapse of world trade brought about by the Smoot-Hawley law is also still remembered by American politicians. In the years following the Second World War, in order to definitively bury protectionist measures, they defended the reduction of tariffs and the elimination of barriers to trade by proposing, in order to achieve those objectives, the creation of multilateral negotiations, which led in 1947 to the creation of the international organization, General Agreement on Tariffs and Trade (GATT), which is now called the World Trade Organization. In subsequent rounds, such as the Uruguay Round, the harmonization of the customs policies of the signatory states has been worked on over the years. Now leading the world in openness to trade, the United States has, from the 1950s onwards, with its numerous production-scale enterprises, lead the second phase of modern globalization. But, in October 1973, the Arab oil embargo to the west, resulting from the Yom Kippur war, created the conditions for a further collapse of global trade. Almost overnight, the cost of a barrel of oil rose 400 percent. Inflation soared to double figures, and Britain, the driving force behind modern globalization, was forced to seek help from the IMF in 1975. In the following decade, as a result of the trade liberalization, Deng Xiaoping began reforms in 1978, and China came to dominate the spotlight. “Made in China” production in the special economic zones (EEZ), where goods imported by companies to be used in these areas were exempt from tariffs

Cristina Lança Madalena Lagos Advogada bulk of the population benefited from the reduction of food and clothing prices; in the third globalization, thousands of Americans and Europeans lost their jobs as millions of Chinese emerged from extreme poverty. The onslaught on globalization and the return to protectionism was a common theme in both Donald Trump’s campaign and for Bernie Sanders, the Democrat who lost the primaries to Hilary Clinton. In denouncing the Chinese government’s manipulation over the years of devaluing the Yuan to make its products more competitive, Trump is telling the truth and wins voters, especially those who

Osor the first time in 2015, world GDP growth was higher than world trade, which alarmed the shipowners by the sudden and sharp change in the ratio

and taxes, proved to be a success, leading the country to leadership during the world’s fastest growing economic growth years.

In December 2001, China was finally admitted to the World Trade Organization and, by agreeing to follow global rules governing imports, exports and foreign investment, China took a giant step in opening up the world market. A new era of globalization was beginning, the third, in which the economic center ceased to focus on the United States to focus on China. If in Bill Clinton’s United States the entry was seen as a sum of advantages, in China it was feared that the giant was embracing globalization without solid foundations. For the West, the rush to accept membership for the benefits it would bring they began exporting to a country with one million three hundred thousand inhabitants - also led to ignore the effects of exchange rate policy. What eventually happened was the disappearance of many small and medium-sized industries, particularly in the states of Ohio and Illinois, that fed Detroit’s production chains because they could not compete with the low prices of Chinese products. Whereas in the first globalization landowners and factory owners were the ones who suffered from openness to trade, the

have been left in long-term unemployment.

His proposal to increase Chinese product tariffs by 45% leaves many American voters delighted. But Trump’s mistake is that China, which every month reports a 10 percent drop in its exports, is no longer a threat to the jobs of the developed world. Adidas, for example, recently announced that it will close some factories in China to reopen them in Germany because the development of robotics that reduce production costs and reduce the cost of transportation, allowing for more competitive prices. In the medium term, Adidas’s strategy is to install factories close to end consumers which will provoke a different model of globalization. Jeff Immelt, CEO of General Electric, in May of last year, before an audience of students, revealed the strategy of the company in these terms: “It is time for a bold pivot ... in the face of a protectionist global environment ... We will localize. In the future, sustainable growth will require a local capability within a global footprint. “ That is, both companies realize that the decisions that led them to choose a certain location to set up their factories a few years ago are no longer valid and that their success depends on how they rethink the new globalization. The model of the third

globalization, cheap labour and long distance routes, is coming to an end. The chart shows the abrupt drop, especially in 2015, in the search for container ships signal that something is changing on the major trade routes. Another important information to be drawn from the data in this graph is that the historical correlation between trade and global wealth growth quantified in each period by a multiplier reveals that, for the first time in 2015, world GDP growth was higher than world trade, which alarmed the shipowners by the sudden and sharp change in the ratio. For decades, GDP and world trade have been considered as an excellent measure of globalization. The sharp drop in trade on major world routes, Brexit’s victory, and the proliferation of protectionist discourses are clear signs that many analysts interpret as the end of globalization. The shipowners looking at the chart certainly question: was the year 2015 an aberration or are we facing a new trend?

Uncertainty over the 2008 crisis has prompted consumers around the world to withdraw and buy only essential goods. The graph shows the result of this behaviour - the abrupt drop in trade in 2009. Since the beginning of modern globalization, there has been a pattern: following a collapse of world trade caused by a crisis, a new phase of globalization begins. After all, will globalization come to an end or will we face a new phase?

Improvements in transport, such as steam shipping and the railways of the first industrial revolution, were crucial to the emergence of modern globalization. Today, the fourth industrial revolution is creating a new model of globalization that differs from previous ones because it is based on geographical decentralization. The economic pole centred on a country or continent that has occurred in each new phase of globalization is being replaced by a multipolar model. Digitalization and decentralization are shaping the new world trade significantly and are affecting shipping. The productivity growth that the new technologies allow are spreading the example of Adidas by reducing trade routes between developed and emerging markets.

Global marketing of goods and products is stagnating and being replaced by services and the rapid growth of digital platforms is allowing small, low-capital companies to compete with traditional sectors based on complex high-cost chains. Faced with such rapid disruptions, it is difficult for sectors that require capital intensive and long-term planning, such as maritime transport, to adapt to survive. Globalization has not died; it is different and it is time to recognize the change to know how to act accordingly.

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The Sea and the Challenges of Our Time If every age has its challenges, what it is important to realize now is as simple as knowing the challenges of our time Is it ambitious?

Certainly, but indispensable because, not realizing it, it only means that sooner or later, most probably sooner than later, we will be, purely and simply, slaughtered within the vortex of the irrevocable succession of the hours.

Which are the challenges of our time?

First of all, a challenge of our time, which is of all times: the struggle for resources.

The struggle for food resources as the struggle for energy, or for the sources for energy production, as for mineral resources, are amongst the most significant and determinant for what matters here to consider.

In regards to food resources, it is known that the 20th Century was the first century in which mankind reached the output to produce enough food to supply the entirety of humanity.

Never had it happened before in history and, today, with climate change, the impoverishment of the soils and the expected demographic evolution that we all are aware of, it easy to foresee how those old days of scarcity have all the conditions to return.

The modern world, the world we all like to live in, the civilized world, is a world dramatically dependent on energy production. However, we know the limits and consequences, including environmental consequences, of the traditional models of energy production of which we are so strictly dependent.

And if we talk about civilization, we also talk about gadgets without which the present life would already seem unbearable. For example, for the most trivial mobile phone, we should 040 40

bear in mind that, today, we can no longer find, in due quantities, all the necessary elements on land; yet we would like to provide for its production for the entire world population, as Fernando Barriga explains very well in his article published in this same issue. And all this not to mention batteries or, for example, our current lack of capability to produce the sufficient fuel for shipping according to the rules everyone wants to implement for environmental reasons.

Where, then, with a perspective for the future, will we look for the resources to feed mankind or the resources or energy sources in sufficient quantity and in adequate conditions to not destroying ourselves throughout the process, or the mineral resources to produce all the objects without which we cannot live anymore, from the most trivial mobile phone to all the materials needed to build the future electric cars, and the most advanced and sophisticated systems of production, including energy from renewable sources?

Where?

In the sea.

In the sea. But, if we are unable to go to the sea like we move on dry land, what is the challenge implied we are actually talking about?

Robotics.

Robotics. The development of autonomous aerial systems, autonomous submarine systems and terrestrial-submarines for the exploitation of marine seabed and subseabed. It is a huge challenge implying the development of new communications systems as we do not yet know whether it will be possible and exactly how they will really work. Finally, knowing that there is no civilization

without humanity or humanity without an adequate atmosphere that allows its survival and consequent evolution, the most decisive challenge, because it is deadly, is perhaps the environmental challenge, the challenge of climate change.

What is the major regulation system of the world atmosphere, as well as the planet’s environment and which is also mitigating the most dramatic Climate Change?

Once again, the sea or the Ocean, or Oceans.

What does this all mean?

Doesn’t all this mean our future lies in the sea?

Doesn’t all this mean our future is strictly dependent on the health of the Oceans?

Doesn’t all this mean our own survival is strictly dependent on the survival in good health of the sea and on the way we will take care of the Oceans?

What else matters more right now?

Taking care of the sea, taking care of the Oceans, as Portugal has done, as a world pioneer in the creation of Marine Protected Areas, as in this case, in the Atlantic, not only preserving one of the richest areas of biodiversity in the world, included in the 4 million Km2 of area under national jurisdiction, once approved the new limits on the extension of the Continental Shelf by the UN Boundary Commission, but also because it has always had a relationship with nature as perhaps no other nation in the world possesses.

Within this framework, it won’t also be a surprise when we also see its pioneering efforts in biotechnology, having today some of the most sophisticated laboratories doing some of the most advanced research in this area in the world, such as developing projects like that of Secil and Allmicricoalgae described in this edition.

And the same goes for its achievements in robotics, especially in marine robotics, such as the LSTS case, Laboratory of Underwater Systems and Technology, also described within this Special Euromaritime 2017 Edition.

Knowing about and understanding the importance of the Blue Economy as the element of transmutation of the world is the reason for our newspaper, the Journal of the Sea Economy, defending the Blue Economy as the Salt of the Earth.