Issue 58, July 2021
Horizons. Connecting tomorrow’s thinking to the challenges of today.
CONTENTS
Digitalisation.
EEXI.
Autonomy.
Find out how LR’s digital network i4 Insight is using data to yield unprecedented benefits.
A sector by sector review of EEXI impacts and a look at the law of international maritime trade.
Learn about shipping’s increased focus on artificial intelligence and machine learning.
Enhancing ship performance for charterers and owners.
04
Examining EEXI.
20
Collective benefits.
i4 Insight take-up signals changing charterer sentiment.
06
Decarbonisation and contracts in the world of international maritime trade.
22
Cyber security.
150 years in Germany. As LR celebrates 150 years in Germany, we look back at LR’s history in the country, the current state of the German shipping sector and the biggest challenges it is currently facing.
Gas.
We consider the consequences of a cyber attack on a major shipping channel and discuss how the superyacht industry can mitigate cyber threats.
We evaluate the role LPG could play in the future fuel transition. 24
All pumped up on LPG.
Safety.
First impressions are lasting impressions.
08
Looking up.
10
LR’s history in Germany.
12
Recent IMarEST conference addresses critical industry issue and seeks to find practical solutions.
Shipping as a pillar of Germany’s leading position in the European and global economies.
14
Seafarer mental health and wellbeing spotlight.
38
Can a lack of cyber security send cargo ships off course?
40
What can the superyacht industry do to protect against cyber attacks?
42
Offshore. 28
A novel hydrogen jack-up concept that could fill the gap between low carbon and zero carbon fuels and a look at how verification can evolve.
Container securing.
People.
How can repurposing existing oil & gas assets support the sector’s transition to zero-carbon? 44
A close look at the causes and consequences of container loss incidents.
To mark International Women in Engineering Day, five LR colleagues in South Asia share their experiences and we also speak to Olympic and World Champion canoeist David Florence.
Making offshore safer: new ways of working to prevent major accidents. 48
How can optimised stowage help prevent container loss?
16
Decarbonisation. Find out how a number of ports are taking the lead in de‑risking projects to help meet 2050 ambitions. How ports can be the catalyst for shipping’s zero-carbon transition. 18
Engineered for success.
30
Expertise is my motivator.
34
Africa. Find out how LR is supporting safe, sustainable growth across the continent.
Industry viewpoint.
All eyes on Africa.
Mikal Bøe, Core-Power Founder and Chief Executive, shares his thoughts about green energy and shipping’s relationship with oil.
News.
The allure of green fuels looks to end shipping’s loveless marriage with oil.
36
Catch up on the latest developments at LR from our teams around the globe. What’s happening in our world.
Meet the team Digitalisation is a key focus in this issue – ship performance data, carbon intensity and operational efficiency are now top priorities for shipping. Hear from i4 Insight’s CEO, Joel Meltzner and LR’s Shipping Markets Global Lead, Chris Hughes. As LR celebrates 150 years in Germany, Nicola Good speaks to LR Group CEO Nick Brown and North Europe President Markus Buesig about Germany’s significance in the maritime industry. We also hear from Alfred Hartmann, Chairman, Hartmann AG and President of the German Shipowners’ Association. Charles Haskell, LR’s Decarbonisation Programme Manager, explains how ports could be the catalyst for shipping’s zero-carbon transition and Denis Grynzspan, CEO of DYG Energy, looks at the possibility of repurposing oil & gas assets to support the sector’s transition to zero-carbon. We also take a detailed look at the impact of EEXI on the world fleet. And Mike Ramsden speaks to LR ambassador and Olympic and World Champion canoeist David Florence. Our designer for this issue is Kaz Kapusniak. If you have any feedback or suggestions for upcoming issues of Horizons, we’d love to hear from you. Please get in touch with Paul Carrett at paul.carrett@lr.org.
Nicola Good
Paul Carrett
Viv Lebbon
Mike Ramsden
Lloyd’s Register and variants of it are trading names of Lloyd’s Register Group Limited, its subsidiaries and affiliates. Care is taken to ensure that all information provided is accurate and up-to-date. However, Lloyd’s Register accepts no responsibility for inaccuracies in, or changes to, information. © Lloyd’s Register Group Limited, 2021. A member of the Lloyd’s Register group.
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Focused approach. Lloyd’s Register now in the best shape to be the trusted partner in our clients’ transformation.
Events of the past year have prompted many of us to focus on the things that matter most. The wellbeing of those nearest to us, the safety of those around us, and our collective responsibility to protect and preserve our planet for future generations. The pandemic has undoubtedly been a dramatic catalyst for change, accelerating at breakneck speed many of the technological, societal and environmental trends that we were seeing and preparing for before. The big question is how can we evolve and thrive in this new environment? Lloyd’s Register has been asking ourselves this question, examining our own future against this backdrop, contemplating how best to serve our clients, our employees and the Lloyd’s Register Foundation that owns us. For us the answer is focus. Focus of our strategy, investment and resources, to build on our 260-year heritage in the maritime industry.
In a sector facing regulatory, commercial and societal pressure to decarbonise and to digitalise at pace, focus will allow us to act as a specialist trusted advisor, capable of helping our customers tackle the risks head on, while taking advantage of the opportunities that business transformation inevitably presents. We have therefore decided to focus our growth strategy on the maritime industry, as well as the broader ocean economy. To do this, we are selling our Business Assurance & Inspection Services division and Nettitude to Goldman Sachs Asset Management, a partnership that will further unlock the growth potential of our established quality assurance and cyber business. These actions are part of the strategic transformation of Lloyd’s Register and a win-win for all. It also means we will have additional capital to expand our role and service offering, as we accelerate our plan to become the maritime industry’s go-to classification partner and adviser for performance and sustainability.
Now, more than ever before, we believe the marine and offshore industry will benefit from a dedicated focus. We will be better able to advise our clients with the deep sector and technical expertise that is required in these challenging times. We’ll speed up the things that we've begun to do, taking our classification and compliance offering to the next level, expanding our risk and performance advisory services and investing in marketleading digital solutions. This is an industry we know and love. We’re proud of our contribution to keep it safe, efficient, and sustainable for over 260 years. The biggest decade of change and transformation for the maritime sector lies ahead of us. With our expanded service offering, far greater speed and agility, and absolute focus on our sector, Lloyd’s Register is now in the best shape to be the trusted partner in our clients’ transformation. Nick Brown Lloyd’s Register Group CEO
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