Quarterly - 1st Edition 2016
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TERMINAL PLANNING, DESIGN & CONSTRUCTION DP World Aims for 100 Million TEUs by2020 P.24 mega vessels More turbulent waters ahead for container shipping P.54 container hanling and crane technology Automated Electric Powered Horizontal Transport for Smarter Terminals P.66
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Elevating To New
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TERMINAL OPERATING SYSTEMS Weighing the Options P.80 customs security and surveillance Dubai Customs: world class standards P.90 environment and sustainability ESPO reveals new Top 10 Environmental Priorities for Ports P.98 mooring and berthing Take a smarter approach with Trelleborg P.104
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editor’s note
W
elcome to another edition of Terminal Operator. 2016 is going to be a challenging year for everybody in the industry. Ports and terminals are faced with the challenge of servicing ultra-large ships demanding faster turnaround times. The shipping lines themselves are faced with the challenge of filling up their ships and providing shippers with the promised economies of scale. Importers and exporters are challenged with dull markets and shrinking demand. But when the going gets tough, the tough get going! The smarter players in the industry see this environment as an opportunity to rationalise and optimise operations in order to achieve higher throughputs. DP World has released strong financials for 2015 with future plans to maximize the use of technology and focus on higher value markets in 2016 to achieve a throughput of 100 million TEUs by 2020. With the SOLAS container weight rules coming into effect from July this year everybody involved in container operations – shippers, hauliers, carriers, and terminals – all of them need to be prepared to meet the logistical requirements of the new regime. In the TOS section we find out how your Terminal Operating Software can help you meet this challenge. In our Container Handling section we take an in depth look at Kalmar’s automated horizontal transport solutions and their fast charging systems. As terminals try to become smarter and more sustainable, automation and hybrid power systems are playing an increasingly critical role in day-to-day operations. On the landside, port approach, berthing, docking and mooring is also getting smarter and we take a look at the new offerings from the likes of Trelleborg, Cavotec and Wartsila. Optimization of operational efficiencies and costs appear to be the way forward for ports and terminals in the near future as volumes don’t seem to be increasing very much any time soon. So the smarter way appears to be the only way. It is already happening with some operators and we hope to see more of it as we navigate the New Year a lot smarter and hopefully, a little wiser.
Sunil Thakur Editor
printed by Printwell © Copyright 2016 FlipFlop Media All rights reserved While the publisher has made every effort to ensure the accuracy of all information in this magazine, they will not be held responsible for any errors therein.
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Quarterly — 1st Edition 2016
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Contents Terminal Planning, Design & Construction
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DP WORLD DP WORLD AIMS FOR 100 MILLION TEUs by 2020
port of salalah
milaha
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46 port of salalah: the gateway to oman
apm terminals Milaha makes bid to manage New state-of-the-art port of Hamad
40 Investment, consolidation and rationalization needed in port industry: Kim Fejfer
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48 Flemming Dalgaard is new CEO of Gulftainer
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DEFINE POSSIBLE. Take control of your KPIs and find your window of opportunity. With capabilities for manual, semi-automated and automated terminals, Navis N4 allows you to get the data you need to optimize your entire operation and make it run faster and smarter. Learn how Navis N4 and the Navis Business Intelligence Portal can help you at http://navis.com/makeintelligentdecisions.
Official Partners
Contents mega vessels
uasc
56 15,000 TEU green vessel makes maiden call on Khorfakkan Port
54 More turbulent waters ahead for container shipping
maersk
60
Smart containers are a game-changer. What does it mean for you?
62 Major players join cloud-based Stowage Planning Pilot Programme
container handling & crane technology
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liebherr
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AUTOMATED ELECTRIC POWERED HORIZONTAL TRANSPORT FOR SMARTER TERMINALS
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Liebherr mobile harbour cranes spread in Scandinavia
Quarterly — 1st Edition 2016
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CMA CGM
a leading worldwide shipping group
CMA CGM, founded and led by Jacques R. SaadĂŠ is today a leading worldwide shipping group. With Its 445 vessels, CMA CGM serves 400 commercial ports out of 521 in the world. CMA CGM Group employs nearly 20,000 people worldwide, through a network of 650 agencies in more than 160 countries. The Group is, also, partner with numerous logistics and port projects all around the world. For more information, please visit www.cma-cgm.com
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Contents terminal operating systems
customs, security & surveillance
90 Dubai Customs: world class standards
environment and sustainability
98 80
ESPO reveals new Top 10 Environmental Priorities for Ports
mooring & Berthing
104 Take a smarter approach with Trelleborg
weighing the options
84
100
navis DIGITAL PORTS: the evolving role of port authorities
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Quarterly — 1st Edition 2016
DP World signs MoU with Trakhees to enforce tougher pollution control At Jebel Ali Port
106 world’s first marine wireless charging and mooring concept
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Terminal Planning, Design & Construction
Terminal Planning, Design & Construction
DP WORLD AIMS FOR 100 MILLION TEUs by 2020 DP World has announced a strong set of financial results for 2015. Its revenue grew by 16.3% and DP World delivered a profit attributable to owners of the company, before separately disclosed items, of $883 mln.
“
We are pleased to announce a strong set of financial results for 2015, reporting earnings growth of 31% year on year, driven by the acquisition of Economic Zones World (EZW) and robust underlying growth,” said Sultan Ahmed Bin Sulayem, DP World Group Chairman and CEO. He added: “This financial performance has been achieved despite uncertain market conditions, which once again demonstrates the well diversified and resilient nature of our portfolio with its focus on high growth markets.”
The volume growth was ahead of the estimated industry growth (1.1%) sitting at 2.7%. The adjusted EDBITDA margin reached a record high of 48.6% due to improved contribution from higher margin locations and the EZW acquisition. This strong adjusted EDBITDA growth resulted in a 30.7% increase in profit attributable to owners of DP World before separately disclosed items. Sultan Ahmed Bin Sulayem continued: “In 2015, we have invested approximately $5.4 bln with $4 bln in acquisitions and $1.4 bln in capex, and this
investment leaves us well placed to capitalise on the significant medium to long-term growth potential of this industry.” “Furthermore, we are pleased to report strong progress with EZW with continued growth as we benefit from
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Terminal Planning, Design & Construction
It also expected capital expenditure this year to be between $1.2 bln and $1.4 bln with investment planned into Jebel Ali and Jebel Ali Freezone, UAE, London Gateway in the UK and Prince Rupert in Canada.
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Quarterly — 1st Edition 2016
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Terminal Planning, Design & Construction
“We are building Terminal 4 from the ground up, which enables us to future proof it for smart container ships emerging in the future.” Sultan Ahmed Bin Sulayem, DP World Group Chairman and CEO
should enable us to deliver attractive earnings growth and shareholder value over the long term,” concluded Sultan Ahmed Bin Sulayem
operating an integrated logistics hub.” The report also commented on the continued investment in high quality long-term assets to drive long-term profitable growth. It noted that Mumbai in India and Yarmica in Turkey both added 800,000 TEU of capacity each. DP World predicted that by the end of 2016 it will have approximately 86 mln TEU of gross global capacity, which is an increase of around 15 mln TEU in four years.
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It also expected capital expenditure this year to be between $1.2 bln and $1.4 bln with investment planned into Jebel Ali and Jebel Ali Freezone in UAE, London Gateway in the UK and Prince Rupert in Canada. “We remain on course to deliver over 100 million TEU of capacity by 2020, while maintaining the existing shape of our portfolio that has a 70% exposure to origin and destination cargo and 75% exposure to faster growing markets. This positioning
Quarterly — 1st Edition 2016
3.1 MLN TEU JEBEL ALI PHASE 4 CONTRACTS AWARDED Meanwhile, DP World has signed two contracts for the construction of its new container terminal on a reclaimed island in Jebel Ali port. In Phase One of the construction, Dutco Balfour Beatty, a long-standing joint venture between the Dubai Transport Company and UK-based Balfour Beatty, will develop a yard area with a quay length of 1,200 mtrs. BAM International Abu Dhabi, a subsidiary of the Dutch Royal BAM group, will build a 400 mtr bridge to the reclaimed island, adjacent causeways, and a reclaimed 2.2 km quay wall with alongside depth of 18 mtrs. In Phase One, Container Terminal 4 will add 3.1 mln TEU to the port’s capacity by 2018, taking the total capacity to 22.1 mln TEU. In phase two, the terminal’s capacity will be expanded to 7.8 mln TEU with an additional operational yard having a quay length of 1 km. The company’s CEO said: “We are building Terminal 4 from the ground up, which enables us to future proof it for smart container ships emerging in the future.” The 4 mln TEU Jebel Ali Terminal 3 is expected to be fully operational by end of 2016. DP World said
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Terminal Planning, Design & Construction
in a statement that this will give the port the ability to handle ten mega container ships simultaneously. INDIA INVESTMENTS DP World has announced that it seeks opportunities in India worth over $1 bln over the next few years. The Group has already invested capital of $1.2 bln and is currently the only foreign operator with six port concessions in the country with approximately 30% market share. The announcement was made during a visit to New Delhi and Mumbai by His Highness Sheikh Mohammed Bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the Armed Forces of the United Arab Emirates, and His Excellency Sultan Ahmed Bin Sulayem, Group Chairman and CEO, DP World. The visit follows
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DP World has announced that it seeks opportunities in India worth over $1 bln over the next few years. The Group has already invested capital of $1.2 bln and is currently the only foreign operator with six port concessions in the country with approximately 30% market share. a two-day official trip by Indian Prime Minister Narendra Modi to the UAE last August. The DP World investments are expected cover: • Expansion in brownfield container terminals • Long term greenfield container concessions • Inland Container Depots (ICDs) • Expansion of existing inter-modal rail services for rolling stock
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H.H. Sheikh Mohammad Bin Zayed Al Nahyan, said: “The UAE and India enjoy historic bilateral relations and these potential investments reinforce our confidence in the long-term growth of the Indian economy and our desire to actively contribute to the economic development of this friendly nation. DP World has established a leading position in the Indian market and is a pioneer in the development of container terminals. It has the biggest portfolio along the Indian coast and is looking to enhance its presence there, transferring the UAE’s experience of infrastructure development in line with our plans to enhance the strategic relations between our countries and to take them to a higher level.” In Mumbai, H.H. Sheikh Mohammad Bin Zayed Al Nahyan and H.E. Sultan Ahmed Bin Sulayem also inaugurated the new 330-metre berth at Nhava Sheva (India) Gateway Terminal (NSIGT), at India’s
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Terminal Planning, Design & Construction
premier gateway port, Jawaharlal Nehru Port (JNPT). At the inauguration H.E. Sultan Ahmed Bin Sulayem, Group Chairman and CEO, DP World, said: “We are reinforcing our commitment to enabling India’s growth and economic development through our operations in the country, where we have invested over US $1 bln in the past supporting over 30% of India’s container trade. “Being one of the strongest emerging economies in the world, India offers immense potential for growth in the maritime sector. With Nhava Sheva (India) Gateway Terminal, the new 330-metre berth, DP World will contribute even more to India’s growth offering our customers the ability to grow and expand their business.” Dubai’s non-oil foreign trade with India has seen a striking 144 per cent growth from 2004 to 2014. By the end of 2014, trade between the two countries amounted to AED 109.34 bln, compared to AED44.87 bln in 2004. India was Dubai’s second largest trading partner in 2015, with bilateral trade of AED
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73.86 bln during the first nine months of 2015 – comprising imports of AED 41.73 bln; exports of AED 14.54 bln and re-exports of AED 17.59 bln. THE MSC CRISTINA AT NSIGT NSIGT at Jawaharlal Nehru Port Trust hosted the MSC Cristina, reportedly the largest container ship ever to call Indian shores. The 2011-built Cristina is about 366 meters (approximately 1,201 feet) long and has a capacity to carry up to 13,102 TEUs. That makes the Cristina larger than the 11,000-TEU MSC Francesca serviced by NSIGT a month earlier. “Our latest terminal to start operations in India, NSIGT is the only futuristic terminal at Jawaharlal Nehru Port with essential state-of-the-art facilities to handle vessels of this caliber. This reinforces our position as the leading container terminal operator in India,” DP World Subcontinent Senior Vice President and Managing Director Anil Singh said, speaking at a port event to celebrate the Cristina call.
JNPT loads about 60 per cent of India’s total containerized cargo via major ports. After posting its highest-ever annual throughput of 4.49 million TEU in fiscal year 2015-16, which ended March 31, fiscal 2016-17 has started off well for the top container handler with the Cristina call. The mega-ship calls follow on the heels of JNPT completing a dredging project that deepened its channel depth to 14 meters (46 feet). “The MSC Cristina features in the top 100 longest container vessels present in the world. It gives us a sense of pride in bringing this mega-ship to the Indian coastline and hosting it at our port,” JNPT Chairman Anil Diggikar said. “Initiatives such as these move us a step closer to achieving our aim of port led-growth for the benefit of the trade.” JNPT loads about 60 per cent of India’s total containerized cargo via major ports. After posting its highest-ever annual throughput of 4.49 million TEU in fiscal year 2015-16, which ended March 31, fiscal 2016-17 has started off well for the top container
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Terminal Planning, Design & Construction
Melbourne terminal will enter its next expansion phase, with the partial closure and redevelopment of Coode Road (subject to Port of Melbourne approval) scheduled to commence this year. UK CONTAINER WEIGHING SERVICES DP World’s British container terminals are to offer container weighing services for UK exporters to determine the Verified Gross Mass (VGM) of each container ahead of new legislation coming into effect from the July 1, 2016. Both DP World London Gateway and DP World Southampton will “implement scalable solutions” to
handler with the Cristina call. NSIGT is DP World’s new, second facility at JNPT. The newest provisional port data collected by JOC.com show the private terminal handled 202,328 TEUs in its first year of operations. DP World holds six port concessions at Indian ports, including terminals at Chennai, Cochin, Visakhapatnam and Mundra. The company last month won government approvals to merge all of its local entities under a single arm, named Hindustan Ports Pvt. Ltd., with the goal of consolidating operations in India. MELBOURNE TERMINAL EXPANSION DP World Australia's new 30,000 sqm Melbourne terminal expansion, at the former Bentley Chemplax site, was commissioned in March, signalling the start of a suite of capital investment projects in 2016-17. The completion of the Bentley Chemplax site delivers an additional 450 ground slots or 100,000 TEU of container capacity per annum, increasing the capacity of the terminal to 1.4m TEU per annum. The development is the terminal’s largest expansion project since 2010, and represents the first in a series
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“The additional capacity provides our customers with a greater level of service and increased productivity. This will enable our Melbourne team to handle additional volumes and offer improved truck turn times, as fewer consolidated moves will be required at the terminal.” - Paul Scurrah, CEO, DP World Australia. of new investments in DP World Australia’s hardstand infrastructure, yard equipment and wharf assets. DP World Australia Chief Financial Officer, Jason Varsamidis, said: “We are investing in the future. This terminal expansion demonstrates our commitment to growing our service offering for our customers. “Bentley Chemplax is a part of an extensive capital investment program, which has also seen us invest in new quay and automated stacking cranes, an empty container handling facility in Sydney, and ten new next-generation straddle carriers in Melbourne.” DP World Australia CEO, Paul Scurrah, said: “The additional capacity provides our customer’s with a greater level of service and increased productivity. “This will enable our Melbourne team to handle additional volumes and offer improved truck turn times, as fewer consolidated moves will be required at the terminal,” Mr Scurrah said. Construction commenced in September 2015 and the project was delivered under budget and in line with the original schedule by contractors, Fulton Hogan, despite difficult ground conditions and construction adjacent to an operating terminal. Following the Bentley Chemplax project, the
Quarterly — 1st Edition 2016
weigh containers shortly after arrival in the port and provide the VGM, the company said in a statement, following extensive consultations with the Maritime Coastguard Agency. Ganesh Raj, Senior vice-president and managing director for DP World Europe & Russia said: “From our contacts with UK exporters, freight forwarders and shipping lines it is clear that the industry in general is finding it challenging to be ready to provide the VGM of containers and without alternative solutions provided by our container terminals, this could become a significant logistics barrier for UK exports and world trade generally.” The International Maritime Organisation (IMO) has adopted an amendment to the SOLAS (Safety of Life at Sea) regulations, requiring a laden export container to be weighed prior to being loaded onto a ship. Shippers of goods must obtain the VGM of packed containers and communicate it to the ocean carriers sufficiently in advance of the ship stow planning. From July 1, 2016, when the regulations become mandatory for all IMO member states, ocean carriers and container terminal operators will be legally obliged to ensure that containers without a VGM are not loaded on to a ship. Shippers can still provide a certified VGM through electronic messaging prior to arrival at the port if preferred, noted DP World. l
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exclusive interview
port of salalah: the gateway to oman Due to its unique location, the Port of Salalah has emerged as one of the most important transhipment hubs in the region and it has made great strides in improving operations and productivity over the last 12 months. We talk to Chief Commercial Officer, Jesse Damsky to find out the Port’s plans for the future.
What is the current state of the Phase 3 expansion and related plans? The Phase 3 expansion project is centered on the construction of a corridor between the liquid jetty and the Salalah Free Zone as well as the rehabilitation of the General Cargo Terminal (GCT). In December 2015, the Port of Salalah inaugurated the liquid jetty, which added two new dry berths and two liquid berths. The jetty added a total of 1.2 km of quay length to the Port of Salalah, and vastly expanded our Liquid bulk handling capacity. The planned corridor will connect this vital infrastructure to the customers in the Salalah Free Zone. Currently, the Phase 3 designs are being completed and then the construction phase will begin. The Ministry of Transportation and Communications (MoTC) is overseeing this project and we are looking forward to its completion which will further increase our capabilities in the Port of Salalah. Are there any plans for collaboration with Oman Rail? And what are the benefits accruing to Salalah Port with this collaboration? Oman Rail is developing independent of the Port of Salalah, but we have been working very closely with them as we recognize the importance of the rail to support the future grow of the Port and the Sultanate of Oman. The rapid development of limestone and gypsum mining around Salalah has created the need for a rail solution. We are expecting around 10 million tons of limestone and gypsum to be exported from the Port in 2016. Currently, that volume is moving by truck, from the quarries, to the Port, and the large volume of heavy trucks is a concern for the roads and infrastructure and creates congestion. Last year we approached Oman Rail and explained this situation to them. Since that time, Oman rail has been studying
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exclusive interview
Jesse Damsky is the current Chief Commercial Officer (CCO) of the Port of Salalah, and has spent the last 13 years in the Logistics, Project logistics and Port Services in the Middle East. Jesse has been with the AP Moller-Maersk Group for the last 7 years, and prior to joining the Port of Salalah team in November 2014 he was the Managing Director of Damco in Iraq and Jordan. Jesse Is an American citizen, and has previously served with the US Army as a Quartermaster Officer responsible for Logistics, Supply and Distribution. As the CCO in the Port of Salalah, Jesse is responsible for directing all commercial activities for the Port of Salalah, interacting directly with the Port users and establishing the commercial strategy for the Port of Salalah. Jesse has experience with Containerized, Wet and Dry Bulk as well as Project Cargo. He is a qualified Project Management Professional (PMP), and is also IATA certified on Dangerous Goods Regulations and handling for Air Freight as well. Jesse speaks Arabic with native fluency and also can speak conversational Persian, Turkish and Spanish.
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exclusive interview
the route between the gypsum quarries in Thumrait and the Port of Salalah (approximately 70 km). However, the terrain around Salalah is very mountainous and represents quite an engineering challenge. We would be delighted to see the Oman railway connect into the larger GCC rail network which would allow direct access from the Port of Salalah to the rest of the GCC. The rail connectivity coupled with the strategic location of the Port would certainly boost import and export business via the Port of Salalah.
“Port of Salalah Container terminal is focused on delivering work class productivity in a safe and sustainable way. Merging the best people with the best technology will ensure we not only meet but continue to exceed our customers’ requirements” - Joe Schofield, Chief Operations Officer (COO), Port of Salalah.
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As the gateway to Oman and the larger GCC region what do you see as the role that transshipments are playing with regard to your present and future volumes? The Port of Salalah has been known as primarily a transshipment hub. Currently, the majority of our containerized cargo is transshipment, and that is the result of our strategic location right on the major shipping routes with minimal deviation. However, the discretionary transshipment business is a very
fickle market, and shipping lines would always opt to avoid transshipment and go direct to destination when possible. Additionally, we have witnessed increased competition from very capable ports in the region all vying for the same business over the last 5 years. That coupled with the volatile state of the shipping industry this year has led to sharp downward pressure on rates and expectations of higher productivity. The Port of Salalah has made great strides in improving our productivity over the last 12 months and we are consistently recognized one of the best in the Middle East and Europe. Therefore, our commercial focus moving forward is to increase the attractiveness of Salalah to shipping lines by facilitating the growth of the local cargo owners to boost local import and exports using existing networks, working closer with the Salalah and Mazyouna Free Zones, increasing our hinterland, and looking to new markets that can use Salalah as a gateway port. Having a diversified portfolio of business of imports and exports on top of our current transshipment business is key to
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cementing our position in the region. Transshipment will always be an integral part of our value proposition, but having the additional import and export business encourage more services to call on Salalah and anchor existing services. What are the new services being offered for the region’s shipping community? The shipping industry is facing an unprecedented glut of supply in 2016 with the larger vessels coming into service and a global drop in demand. The new mega vessels (18,000 TEU +) have resulted in a cascade of supply and led to record low shipping rates. The containerized shipping industry is in a very volatile state, and we are anticipating some shakeups in existing alliances and services in 2016 - the impact of which, on the region is still unknown. With this air of uncertainty in the market, there has been a reluctance from the shipping lines to radically alter their services until things become a little clearer. In spite of that, some of the changing geopolitical factors in the region are having an impact such as the lifting of sanctions on Iran and the ongoing political crisis in Yemen. The Port of Salalah has recently signed a twining agreement with the Bandar Abbas and Chabahar Ports in Iran, and I think this is an indication that we will see an increase of interest in Iranian business and new services in the near future. We have also been working with some of the Feeder Operators to get more common connectivity to East Africa, particularly Somalia, and we are very much looking forward to the launch of a North Oman and Jebel Ali Feeder service from Salalah. What do you expect from the year in 2016? 2016 will be a challenging year for the industry, but I believe the Port of Salalah is positioned very well to weather the storm. We have
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seen consistent growth from our traditional customers in the Container Terminal, and we are on track to have another record year of the Dry Bulk exports in our General Cargo Terminal. Additionally, the new liquid capabilities represent a new revenue stream for the Port of Salalah. We are looking at ways that we as the Port can add value directly to the cargo owners and offer new services. I believe the key for surviving and succeeding in the current state of the global economy is to focus on innovation, diversification, and strong operational performance whilst controlling costs. I am very optimistic that we will have a good year and we will exceed 3 million TEUs in 2016.
Transshipment will always be an integral part of our value proposition, but having the additional import and export business will encourage more services to call on Salalah and anchor existing services.
Recently, Salalah has achieved speeds of almost 100 moves per hour. What do you attribute this increased efficiency to? And what are the challenges you needed to overcome to achieve such throughputs? Actually, we have been sustaining an average of over 110 BMPH so far this year with some record performances on certain individual services. I believe much of our recent success have to be accredited to our team of dedicate employees and the appointment of our new Container Terminal Chief Operations Officer (COO), Joe Schofield. Since Joe has come on board, he is implemented some very good things like Continuous Operations, reviewing vessel planning and equipment allocation, multiskilling the workforce, incentivizing high performance, and closer collaboration with the Marine and Engineering departments all of which have proven to contribute significantly for higher productivity in the CT. Additionally, we have made investments to mitigate the seasonal drop in productivity that results from the phenomenon of the “long wave” that is created by the Monsoon / Khareef season in
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exclusive interview
Salalah from late June through August. We have installed along the quay in the CT the Cavotec “Moormaster� systems with innovative suction pads that secure the vessel to the quay during operations. We installed some last year and that made a big difference during the monsoon season. In another significant development the Government of Oman is now putting out a tender for constructing a northern breakwater. That once again will drastically reduce the impact of the monsoon season.
I believe the key for surviving and succeeding in the current state of the global economy is to focus on innovation, diversification, and strong operational performance whilst controlling costs. I am very optimistic that we will have a good year and we will exceed 3 million TEUs in 2016. in the Port of Salalah to support their work in Yemen, and the Omani Government has been very supportive of the Aid and Relief community as a whole. Looking beyond the crisis, we are very keen to expanding our hinterland into Eastern Yemen. Our close proximity and our capabilities really place us
in a unique position to be an alternative gateway for the country, and that fits in with our strategy to expand our hinterland. There have been some encouraging developments in the Al Mazyouna Free Zone on the Omani-Yemeni Boarder which will also facilitate more cross-border trade. l
On a different note, with the recent turmoil and unrest in Yemen, what is the importance of Salalah and the role that it plays in facilitating relief operations there? We have been working very closely with the Aid & Relief organizations to assist humanitarian operations in Yemen. The ongoing crisis in Yemen is a tragedy and Salalah is playing a crucial role in ensuring that humanitarian cargo as well as essential goods reach the Yemeni population. The Red Cross has established a sizeable Operations Center
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Terminal Planning, Design & Construction
Investment, consolidation and rationalization needed in port industry: Kim Fejfer Presenting the Terminal Operators’ keynote address at the 18th Annual Global Liner Shipping Conference, APM Terminals CEO Kim Fejfer described the challenges facing port operators in today’s volatile market and the future requirements for success.
C
hange is not just good but necessary. “The need for change has been more pronounced in the past two years than in the past twenty years,” said APM Terminals CEO Kim Fejfer. “Changes in shipping require not only investment and increased efficiency at the individual port level, but the configuration of port complexes needs to adapt to cope with current trade flows, increased ship sizes and demands for lowest possible costs. There will be clear winners and losers in the coming years.” Global trade is challenged, growing at 2-3% unlike the ‘good old
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days’ of 10-12% before the 2008 crisis. The confidence in the global economy is shaped by lower oil prices, geopolitical uncertainties, the downturn of emerging markets, a sluggish European economy and slow GDP growth of 2%. This forces the shipping lines to compete on network efficiency and leverage their global alliances to achieve the lowest possible cost. The port industry is experiencing three important trends in this changing environment: Ultra large vessels are entering the major trade lanes, triggering the cascading of large vessels into smaller trade lanes
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Cavotec MoorMaster™ is a vacuum-based automated mooring technology that eliminates the need for conventional mooring lines. Remote controlled vacuum pads recessed in, or mounted on, the quayside, moor and release vessels in seconds.
Cavotec is a global engineering group that enables industries worldwide to improve productivity, safety and sustainability. Cavotec delivers power transmission,
MoorMaster™ dramatically improves safety and operational efficiency, and enables ports to make infrastructure savings.
distribution and control technologies that form the link between fixed and mobile equipment in the Ports & Maritime,
Operated by a single person either on board ship, or on land, the technology also reduces the use of tugs thereby improving operational efficiency and reducing environmental impact. Constant system monitoring ensures that MoorMaster™ automatically holds vessels at a pre-determined distance from the quayside. The technology is used by a growing number of operators worldwide, and has performed more than 115,000 mooring operations at ferry, bulk handling, Ro-Ro, container and lock applications around the world.
cavotec.com info@cavotec.com
Airports, Mining & Tunnelling and General Industry sectors. In addition to MoorMaster™, Cavotec’s technologies for ports and terminals also include Alternative Maritime Power systems, motorised and spring driven cable reels, radio remote controls, Panzerbelt cable protection systems and crane controllers.
Inspired Engineering
Terminal Planning, Design & Construction
and all ports must now respond to handle them; liner industry consolidation is reshaping port call selection and frequency with more changes expected in the structure of alliance members; shipping lines are under extreme cost pressure so they demand lower prices and better efficiency from terminal operators to protect razor thin margins. “We see three trends in our operations: In the past we handled 13,000 TEU vessels. Now we handle vessels 50% larger - and you need to be ready to handle these 20,000 TEU ships in all your ports or watch the business move elsewhere. Trade will always find the most efficient way to flow. Secondly, in the past, low cost was important. Now, the lowest cost wins the business. Next, we used to see a critical need for both high speed and flexibility. Today, liner operators are so focused on cost they want consistency and reliability.” Larger vessels call for increased investments in ports to keep pace with the changing needs of customers. A decade ago, a large terminal with 900 meters of quay could handle three or more vessels simultaneously; but now with vessels of 400 meters in length, the same terminal, even with reinforced quayside, larger STS cranes and deeper depth, can only accommodate two ultra-large vessels at once to handle the same number of container moves. And
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“The expansion will also exclusively position Mundra as the largest container port in the country with four state-of-the-art container terminals.”
Quarterly — 1st Edition 2016
this means considerably less flexibility for terminal operations. Now there is a need for more yard space, larger gates and more manning to handle the volume peaks in the terminal infrastructure. These result in additional costs to the terminal operator which the shipping lines are not ready to pay for. “In today’s competitive environment, we need to become more standardized across our global portfolios, apply more technology to our terminal processes, use our scale, use more flexibility with our labor and partner with customers to get to the next level of efficiency in the industry. At the individual port complex level, there is a need for a port shakeup. At the ports of Los Angeles and Long Beach, there are 15 different container terminals with the various alliances wanting to call on their respective terminals, creating cost and waste in intra-terminal transfers. If port operators are to contribute to the efficiency of shipping lines we have to drive rationalization, consolidation and segmentation to serve the larger vessels and smaller vessels. More investment is needed in port infrastructure.” On a global level, ocean carriers are consolidating port calls to achieve network efficiency and tailor their networks to bigger import/export gateways and super large hub
terminals. This trend will create winners and losers in the terminal business. Successful ports will offer strategic locations, ideal navigational access and deepwater. 2016 PMA Safety Awards Both APM Terminals Pier 400 Los Angeles, and APM Terminals Tacoma received top industry safety honors at the respective Pacific Maritime Association’s (PMA) annual Safety Awards Banquets for the Southern California and Washington State regions. On March 10th APM Terminals Pier 400 Los Angeles received a total of four safety awards at the 67th Annual PMA Area Accident Prevention Committee Safety Awards banquet in Long Beach. APM Terminals Tacoma was awarded First Place in both the Washington Area and Coast-Wide Container Category C operations (100,000 -499,999 man-hours hours annually). APM Terminals Tacoma handled 229,000 TEUs in 2015. APM Terminals Pier 400 Los Angeles won the PMA Coast Accident Prevention Award in the category of Terminal Operations, Group A (for terminals with over one million manhours worked annually), for the best Safety Performance achieved in 2015 in all operations at US West Coast ports. This marks the seventh out of the last nine years that APM Terminals
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Terminal Planning, Design & Construction
Pier 400 Los Angeles has earned this distinction. The Los Angeles operations also won the Southern California Area Container Terminal Safety Award for Group A, in addition to receiving the Coast and Southern California Area awards for Three Year Incident Rate Reduction. The Lost-Time Injury Frequency (LTIF) rate at APM Terminals Pier 400 Los Angeles was 2.19 per million man-hours worked for the year in 2015, a 14% improvement over last year’s award winning 2.54 LTIF rate. APM Terminals Pier 400 Los Angeles’ LTIF rate also was 14% lower than the Southern California PMA region average. “We are once again very proud of the recognition earned by APM Terminals Pier 400 Los Angeles, and APM Terminals Tacoma at the PMA Safety Awards ceremonies this year, and we as a company are dedicated to continuing to improve our safety performance throughout the APM Terminals Global Terminal Network” said APM Terminals Vice President, Health, Safety, Security, Environment and Sustainability, Kevin Furniss. The 484-acre APM Terminals Pier 400 Los Angeles facility is the world’s largest proprietary container terminal. APM Terminals Pier 400 Los Angeles also ranked first in the annual JOC productivity study among North American terminals for 2014, with 92 crane moves per hour with a vessel alongside. The PMA safety awards are based on reported injury rates per man-hours worked, and are categorized by geographic area and by size. New Morocco Terminal APM Terminals has been named as the operator of a new container transshipment terminal at the Tanger Med 2 port complex. It already operates the APM Terminals Tangier facility at Tanger Med 1 port, which started operations in July of 2007 and handled 1.7 million TEU in 2015. The new terminal will have annual capacity of five million TEU. Total investment in the new terminal is expected to be EUR 758 million. Maersk Line will be an important customer of the new terminal. The new terminal is scheduled to open in 2019, under the terms of a 30-year concession agreement with the Tanger Med Special Agency (TMSA),
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which has responsibility for the development and management of the Tanger Med port complex. The Tanger-Med port complex is strategically located on Africa’s northwest coast near the mouth of the Mediterranean Sea on the Strait of Gibraltar, where the Atlantic Ocean and Mediterranean Sea meet. TangerMed is the second-busiest container port on the African continent after Port Said, Egypt. The new APM Terminals MedPort Tangier terminal will increase the port’s total annual throughput capacity to over nine million TEU. APM Terminals MedPort Tangier will feature state of the art technology and have up to 2,000 meters of quay length and will feature the technology pioneered at the APM Terminals Maasvlakte II Rotterdam terminal which opened in 2015. APM Terminals will create a new organization in Tangier, adding a large number of new jobs and be responsible for the completion of the terminal yard, surface, buildings, container handling equipment, and integrated automated systems. The quay wall construction and site reclamation for the first 1,200 meters has been completed by the Tanger Med Port Authority, which is part of TMSA. “APM Terminals has been in Morocco since the creation of our first company APM Terminals Tangier in March 2005 in partnership with AKWA Group and the start of port operations in July 2007. Today’s announcement shows our strong commitment to investing in trade and improving supply chains in the West Med market. Morocco and its port arm, TMSA, have been very supportive of APM Terminal’s vision for the West Med. APM Terminals MedPort Tangier will bring important innovation and future capacity into the West Med market on one of the world’s most strategic seaways – the Strait of Gibraltar,” said Kim Fejfer. For APM Terminals the Western Mediterranean is an important market. APM Terminals Algeciras, on the Spanish side of the Strait of Gibraltar, operates in tandem with APM Terminals Tangier as an integrated Western Mediterranean transshipment hub. APM Terminals Algeciras handled more than 3.5 million TEUs in 2015, and has
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completed a major upgrading of its cranes and quay infrastructure to accommodate Ultra-Large Container Ships (ULCS) of 18,000 TEU capacity and above. The location of the Tangier and Algeciras facilities provide a natural transshipment location for cargoes moving on vessels to and from Africa from Europe and the Far East on the primary East/West shipping route through the Mediterranean Sea; over 200 cargo vessels pass through the Strait of Gibraltar daily on major liner services linking Asia, Europe, the Americas and Africa. While African ports at present account for only 4.5% of global port throughput (including transshipment cargoes), the United Nations 2015 World Population Prospects Report projects that more than half of the world’s population growth between 2015 and 2050 will occur in Africa, with the African population more than doubling from 1.1 billion to 2.4 billion over the next three and a half decades. Significant investment in port and transportation infrastructure will be required to meet the anticipated needs of the expanding African population and corresponding economic growth. APM Terminals is the largest port and terminal operating company in Africa by equity-weighted container volume, with 12 facilities operating in 10 countries and three more terminals under construction.
Lázaro Cárdenas Terminal 2 Mexican ports handled a combined 5.4 million TEUs in 2015, reflecting a growth rate of 7%, far outperforming global container market growth of just over 1% for the year. In light of this, APM Terminals has forged ahead with the new deep-water semi-automated Lázaro Cárdenas Terminal 2 (TEC2) project, representing an overall investment of USD $900 million, despite lagging global and regional Latin American economic growth, and sluggish global container shipping growth rates, with the full expectation that the 1.2 million TEU annual throughput capacity added to Mexico’s port infrastructure will have an immediate impact on Mexico’s local and international trade growth. “Mexico is not only the second-largest economy in Latin America, but also one of the world’s Top 15 manufacturing economies, including having become one of the world’s top five car makers, and we feel that investing in Mexico’s continuing economic and
Lázaro Cárdenas Terminal 2 specifications Phase 1
Full Build Out
Quay Length
750 meters
1,485 meters
Terminal Area
49 ha
102 ha
Depth Alongside
16.5 meters
18 meters
Capacity
1.2 M TEU
4.1 M TEU
STS Cranes
7
15
Intermodal Rail Access
5 Tracks
10 Tracks
Target Start Operations
Q2 2016
Based on Volume
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trade progress is a sound business strategy” stated Kim Fejfer, while touring the TEC2 site on Mexico’s Pacific Coast. Manufacturing, and the supply of components destined for Mexican factories for assembly and export to the USA as well as overseas, has become an increasingly important sector of Mexico’s $1.16 trillion economy since the North American Free Trade Agreement (NAFTA) linked the US, Canadian and Mexican markets 22 years ago. President Enrique Peña Nieto has emphasized that the implementation of recent reforms enacted by the Mexican government along with 44 trade agreements now in place, have positioned Mexico as one of the most attractive economies for global investment opportunities. The USA is the destination of 78.8% of Mexican exports, and also provides 49.1% of Mexico’s imports, followed by China (16.1%) and Japan (4.5%). The International Monetary Fund (IMF) has projected the Mexican economy to grow by 2.6% in 2016 and by 2.9% in 2017. Throughput at the Port of Lázaro Cárdenas rose by 6% in 2015 to 1.05 million TEUs, trailing only Manzanillo, with 2.4 million TEUs handled in 2015 among Mexico’s busiest container ports. At full build-out, TEC2 will double the quayside to 1,485 meters, increase the number of STS cranes from seven to fifteen, and more than double annual throughput capacity to 4.1 million TEUs. TEC2 will be linked by intermodal rail to the US rail network and to Mexico’s most important consumer market, in the Mexico City area, generating 26% of Mexico’s economic output, with a population of 20 million, and a rapidly growing market for consumer products. l
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Terminal Planning, Design & Construction
Milaha makes bid to manage New state-of-the-art port of Hamad Milaha has put in a bid to manage the New Hamad Port in Qatar, the first phase of which is due to come online at the end of this year.
T
he bid was made through Milaha Port Services, which currently manages Doha Port, the country’s main commercial port, as well as one of the container terminals at Mesaieed Port, which it manages on behalf of Qatar Petroleum.
When fully complete in 2020, the new $7.4 bln port will include three container terminals, a naval base and special economic zone. The container facilities are being built in three phases. The first phase will have a capacity of 2 mln TEUs and an additional 4 mln TEUs of capacity will be added as the remainder of the facilities come online over the course of the next five years. A highly strategic project in Qatar’s efforts to become a global trade and logistics hub to diversify its economic base away from energy resources, the new port was originally slated to open in 2030, but was fast-tracked by the government for early completion. As well as container operations, the port will include rollon, roll-off, livestock, bulk and general cargo facilities, as well as a coast guard station and marine support unit. Plans include the development of manufacturing facilities for fabrication and maintenance of offshore and land-based petrochemical structures and a major ship repair hub. A special economic zone adjacent to the new port, the Qatar Economic Zone 3, is being developed with the objective of becoming the shipping and trade gateway to Qatar and an economic hub for manufacturing, logistics and trade across a number of industrial sectors.
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The first lanes of a new multibillion-dollar highway, the Orbital Highway, that will connect the new port with Mesaieed and western and northern Qatar are expected to open by the end of 2017, around six months behind schedule. The new highway will have two lanes in each direction dedicated to heavy-goods vehicles with capacity for 3,000 trucks per hour. The existing Doha Port handled just over 530,000 TEUs in 2015, a 15 per cent rise on the previous year, while RO-RO freight tons increased by 9 per cent to 2.71 mln, according to figures from Milaha. Doha Port has an annual capacity of 750,000 TEUs per year and handles around 2.5 mln freight tons of breakbulk, RO-RO, project cargo and livestock per year. FEEDERing CONTRACT with muntajat extended Milaha has signed a one-year feeder agreement with Qatar Chemical and Petrochemical Marketing and Distribution Company (Muntajat), to transport up to 150,000 TEUs of petrochemical exports from Qatar. The contract was signed during a ceremony attended by H.E. Sheikh Ali bin Jassim Al Thani, Chairman of Milaha’s Board of Directors, Mr. Abdulrahman Essa Al-Mannai, President and Chief Executive Officer of Milaha, and members of the executive management of both companies. The contract, went into effect from April 1, 2016 and up to March 31, 2017 is an extension of a previous two-year feeder contract between Milaha and Muntajat. Milaha will support Muntajat in the optimisation of
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Terminal Planning, Design & Construction
vessel sizes to improve operational efficiency and reduce the number of weekly calls required at the port of Mesaieed. Milaha has also introduced fixed berthing windows in Doha, thereby reducing the possibility of delays at Doha Port and improving schedule reliability for Muntajat at Mesaieed. Milaha’s Chairman H.E. Sheikh Ali bin Jassim Al Thani said: “Milaha is proud of its longstanding partnership with Muntajat. Our strong cooperation, firm commitment, and effective communication have been the key to our successful collaboration with leading Qatari firms for over 30 years. The extension of our feeder partnership with Muntajat is in line with our vision to establish strategic and long-term partnerships with local companies to contribute towards Qatar’s economic growth. Our core operations around Qatar provide optimal flexibility in response to any sudden changes in the business environment.” “Milaha will continue to serve Muntajat in the best manner possible. We are confident that our fleet will fully satisfy the requirements of Muntajat in exporting petrochemicals from Qatar to the rest of the world. In line with our promise of continuous service enhancements, we will support optimisation with larger vessels, berthing priority in Jebel Ali Port in Dubai, co-loading from CT7, and fixed berth windows
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A special economic zone adjacent to the new port, the Qatar Economic Zone 3, is being developed with the objective of becoming the shipping and trade gateway to Qatar and an economic hub for manufacturing, logistics and trade across a number of industrial sectors. in the network to accommodate timely and efficient operation in Mesaieed port,” added Milaha’s President and CEO Mr. Abdulrahman Essa Al-Mannai. 2015 finanacials Milaha announced a net profit of 1.095 bln Qatari Rials ($301 mln) for the full-year of 2015, a 4 per cent increase compared to the same period in 2014. Milaha Maritime & Logistics saw revenue rise by 26 per cent and net profit by 133 per cent on the back of trade volume growth related to increased infrastructure and project activity in Qatar. Revenue at Milaha Gas & Petrochem grew by 51 per cent and net profit by 6 per cent on higher volumes carried by its fully owned and operated fleet of product tankers and gas carriers. highlights: Operating revenues increased by 14% to QR 2.998 bln for the twelve months ended December 31, 2015, up from QR 2.633 billion for the same period in 2014 Operating profit increased by 18% to QR 772 mln for the twelve months ended December 31, 2015, up from QR 656 mln for the same period in 2014 Net profit increased by 4% to QR 1.095 bln for the twelve months ended December 31, 2015, up from QR 1.049 bln for the same period in 2014 Earnings per share increased to QR 9.63 for the twelve months ended December 31, 2015, up from QR 9.23 for the same period in 2014
“Despite an increasingly challenging business environment, 2015 was another good year for Milaha. Our core operations have performed exceptionally well, posting double-digit revenue growth, as well as positive net profit growth,” said H.E. Sheikh Ali bin Jassim Al Thani. “Given the low oil price environment and the weakening global economic environment, the medium term holds a number of significant challenges for the industries in which we operate,” he added. “However, we are confident that the foundation we have laid in the past few years will enable us not only to withstand the current headwinds, but also position us for sustainable future growth.” As the region has emerged as an increasingly vital point in global shipping and trade, Doha has set itself apart from other logistical hubs such as Dubai by investing heavily in efficient, modern infrastructure. Qatar’s maritime ports are undergoing significant expansion. National project spending is expected to top $100 bln across infrastructure, real estate and other energy and non-energy sectors over the next decade, according to research from the Investment Bank of Qatar. Originally targeted for completion in 2030, organizers have sped up the timeline and provided the resources to cut 10 years off of the construction timeline, completing all six phases of the project within the next five years. l
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Flemming Dalgaard is new CEO of Gulftainer Veteran maritime industry professional Dalgaard to steer expansion of Gulftainer in high-growth global markets. Peter Richards appointed to Executive Board and to lead company’s expansion in the United States. 48
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Terminal Planning, Design & Construction
“Given his experience in the industry and his previous position as Gulftainer’s CEO for International Operations, Flemming Dalgaard brings a wealth of industry experience to his new role as CEO of the Gulftainer Group. As we continue to expand worldwide, his global industry knowledge and strong customer relationships will prove invaluable in consolidating this growth.” - peter richards
G
ulftainer, the world’s largest privatelyowned, independent port operator based in the UAE has announced the appointment of Flemming Dalgaard as the new Chief Executive Officer of the Group. Former CEO Peter Richards will now serve on Gulftainer’s Executive Board
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and lead the expansion of the company’s footprint in the United States as Chief Executive Officer of Gulftainer USA. As outgoing CEO of Gulftainer, Peter Richards has implemented the company’s diversification strategy, and helped to shape the once small port operator into the international integrated logistics provider it is today. He also played an instrumental role in expanding the company’s global footprint further into the Middle East, Europe, Asia and North and South America. Badr Jafar, Chairman of Gulftainer’s Executive Board, and CEO of Crescent Enterprises, said: “In his 30-year career with the company, Peter Richards has spearheaded efforts to ensure Gulftainer’s transition from a home-grown UAE company into an international player in the global port operations business. The Board has great confidence in his abilities to further accelerate our growth within the US market, and we wish him many more productive years with the Gulftainer family.” Speaking on the appointment of his successor, Peter Richards said: “Given his experience in the industry and his previous position as Gulftainer’s CEO for International Operations, Flemming Dalgaard brings a wealth of industry experience to his new role as CEO of the Gulftainer Group. As we continue to expand worldwide, his global industry knowledge and strong customer relationships will prove invaluable in consolidating this growth.” Dalgaard joined Gulftainer in August 2015 to manage its international operations. In his new role as CEO of the Group, he is mandated to oversee the strategic growth of the company, which currently operates and manages ports and logistics businesses in the UAE and internationally across Iraq, Brazil, Lebanon, Saudi Arabia and the USA. With over 30 years in the international maritime industry, Dalgaard also served as Senior Vice President for Group Strategy at DP World and CEO for DP World Europe and Russia region. In a previous role, he was Managing Director at Maersk Line in the UK.
four per cent Growth in Global Portfolio Gulftainer recorded a strong performance in 2015 with an overall growth of four per cent across its global portfolio. Gulftainer’s operations in the UAE currently include the Khorfakkan Container Terminal (KCT) and the Sharjah Container Terminal (SCT) at Port Khalid and the Sharjah Inland Container Depot (SICD). The company’s international presence spans the Middle East, Europe, and the Americas with projects in Iraq (Umm Qasr), Saudi Arabia (Jeddah and Jubail), Brazil (Recife) and the US (Canaveral). In the UAE, Gulftainer’s Khorfakkan Container Terminal and Sharjah Container Terminal collectively achieved an impressive nine per cent surge in container volume. KCT registered the strongest growth of nine per cent across the company’s portfolio, and set a new record of handling a total volume of 19,561 TEUs for a single vessel during 2015. KCT is an award-winning shipping port, and one of the most important transhipment hubs for the Arabian Gulf, the Indian Sub-continent, the Gulf of Oman and the East African markets. Flemming Dalgaard, CEO, Gulftainer, said: “The container industry worldwide is witnessing challenges in growth volumes due to a slowdown in the Chinese and European markets. However, Gulftainer’s success in bucking this trend with positive and robust performances across our terminals underlines our ability to adapt to market volatilities and economic fluctuations. “Gulftainer is currently on a growth path to expand organically as well as through leveraging new contracts from 2015. Our outlook for 2016 remains cautiously optimistic. We will continue to invest in infrastructure to meet the requirements of our customers serving newer, larger ships and step up our capacity to handle higher volumes per call. As we steer ahead with this goal, it is encouraging to note that our terminals continue to build credibility both at home and internationally with their above market operational performance.” In Iraq, Gulftainer’s Umm Qasr Logistics Centre marked another significant milestone notching up one million TEUs which were handled over a five-year period since the commencement
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of operations in 2010. Meanwhile, the company’s operations in Saudi Arabia continued to deliver strong performance through the year, and is well-positioned to achieve its long term targets. 2016 also marked the beginning of Gulftainer’s operations in the US. In addition to port activities, Gulftainer’s 3PL company, Momentum Logistics, which operates freight forwarding, trucking, warehousing, container repair and contract logistics, also recorded positive growth in 2015. Over the next decade, Gulftainer has earmarked an ambitious growth strategy to triple volumes. The company aims to continue expanding operations through investments in infrastructure towards accelerating operational
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“The container industry worldwide is witnessing challenges in growth volumes due to a slowdown in the Chinese and European markets. However, Gulftainer’s success in bucking this trend with positive and robust performances across our terminals underlines our ability to adapt to market volatilities and economic fluctuations.” flemming Dalgaard.
Quarterly — 1st Edition 2016
efficiency and benefitting from new opportunities as they emerge. As part of immediate plans, Gulftainer aims to launch its operations in Lebanon. Gulftainer has recorded consistent growth year-on-year over the past decade, averaging more than 12%, compared to global market growth of 8.6% during the same period. New container service at Port Canaveral GT USA, the US arm of Gulftainer, has announced the new ‘Blue Stream Service’, a weekly container cargo service connecting Port Canaveral
to Europe, the French West Indies, and Central America. Blue Stream Service, operated by StreamLines, part of the SeaTrade Group, will provide refrigerated and dry container service to and from GT USA’s Canaveral Cargo Terminal, with a focus on fresh produce and perishable cargo. The Blue Stream Service will feature five ships with 1,300 TEU capacity and 250 reefer plugs on a weekly rotation. The new line will serve Central America to Port Canaveral in just three days and will offer the
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Terminal Planning, Design & Construction
fastest transit time between Florida and Europe, just 11 days. “We are excited about the opportunity to provide our signature world-class service to StreamLines and to be its US port of call. The new Blue Stream Service can showcase Port Canaveral as an ideal gateway, opening markets in Central America to Central Florida, and providing our local exporters the most efficient route to Europe,” said Peter Richards, CEO of GT USA and Managing Director of Gulftainer. “This will undoubtedly lead to even more growth in coming months for Canaveral Cargo Terminal, building Port Canaveral’s reputation as a key cargo destination along the Southeastern Seaboard.” Blue Stream’s maiden call was at GT USA’s Canaveral Cargo Terminal with the arrival of the M/V Norderoog. The service is then to commence in Rotterdam, Netherlands, with calls in Tilbury, United Kingdom, and Radicatel, France; on its way to the French West Indies ports of Fort de France, Martinique, Pointe a Pitre, Guadeloupe, Phillipsburg, St, Maarten, then on to Moín, Costa Rica; Puerto Cortés, Honduras; and Santo Tomas, Guatemala; before transit to Port Canaveral. Canaveral Port Authority has embarked on a strategic plan to be a premier cargo port for the Eastern Seaboard, increasing capacity,
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Canaveral Cargo Terminal, developed on 20 acres with two berths and two gantry cranes to serve large vessels, begAn operations with a cargo capacity of 200,000 TEUs. The terminal is able to turn around cargo imported into Port Canaveral to the Orlando area within two hours, the fastest transit time when compared to other container terminals in the state. building new facilities, and improving the channel to establish the deepest, most accessible East Coast port serving Central Florida. GT USA’s Canaveral Cargo Terminal, the only dedicated container terminal at Port Canaveral, opened for business in June 2015, a year after the signing of a historic 35-year agreement between Canaveral Port Authority and Gulftainer. Canaveral Cargo Terminal, developed on 20 acres with two berths and two gantry cranes to serve large vessels, began operations with a cargo capacity of 200,000 TEUs. The terminal is able to turn around cargo imported into Port Canaveral to the Orlando area within two hours, the fastest transit time when compared to other container terminals in the state.
Pablo Gonzalez, General Manager, StreamLines N.V., said, “At StreamLines, we are extremely proud of this new venture, which is very much in line with the strategic view of the company and of the whole of Seatrade Group. The company is going through an intensive investment program, which includes the building of several container ships, and for this reason, the new Blue Stream Service becomes a stepping stone into the future of the company. It is in that spirit that we have decided to include a call to Port Canaveral, which we see as an important point for refrigerated cargo between Central America, Florida and Europe. Through our U.S. Agent, North American General Agents, we are committed to first class customer service, by providing ‘Fast, Dedicated, Direct’ service.” l
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mega vessels
mega vessels
More turbulent waters ahead for container shipping According to recent reports, two of the world’s largest containerships are currently idle as conatiner lines struggle to match capacity to current demand. 19,224 TEU MSC Oliver and MSC Maya have joined a host of similar box ships in the dock. Though we would not like to wager a precise number that shipping assets have lost last year, the value is in the billions of dollars.
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he Ocean Three (CMA CGM, CSCL and UASC) and G6 Alliance carriers (APL, Hapag-Lloyd, Hyundai, MOL, NYK, and OOCL) were the biggest practitioners of void sailings in the Asia-North Europe trade last year, removing 290,000 TEU and 270,000 TEU in annual one-way capacity respectively. The other two alliances operating in the trade, 2M (Maersk Line and MSC) and the CKYHE Alliance (Cosco, K Line, Yang Ming, Hanjin and Evergreen) were more restrained, culling 160,000 TEU and 190,000 TEU, respectively. And the worst is not over. According to Drewry Maritime Equity Research (DMER) the container shipping industry is likely to come in for another very difficult year, losing up to $5 bln. Earlier this year an investor note soaked in pessimism, described an industry faced with structural overcapacity that is likely to be sustained this year and weak demand. Freight rates are likely to remain volatile and weak and investors are leaving the sector in droves. DMER revealed that “broad-based” investor sales of container shipping stocks, that accelerated in the latter part of last year, had wiped $17 bln from the cumulative capitalisation of its listed companies. DMER warned that while liner shipping companies might turn to consolidation as a “corrective measure”, this was unlikely to
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be seen as attractive by investors, due to the low values currently attached to possible acquisition targets. It said that while the proposed $2.4 bln takeover of NOL by CMA CGM “suggests the book value on the higher side if set against the current industry average of 0.8x, it looks low in comparison with two other major deals concluded in 2005”. The low valuations are due to the difficulty liner shipping companies have had in turning a profit, given that operational returns “have been thin amidst substantial debt hangovers from the aftershock of the 2009 crash”, which deters owners from selling until values recover. CONTRACT PRICING The Drewry Benchmarking Club Contract Rate Index, based on trans-Pacific and Asia-Europe contract freight rate data provided confidentially by shippers, declined by another 5 per cent in the threemonth period between November 2015 and February 2016. This meant a 20 per cent cut when compared with rates in February 2015, showing an acceleration of contract rate erosion, even though lower fuel charges accounted for the minority of the reduction in rates, the analyst said in a statement. The deterioration in carriers’ operating margins was especially pronounced in the fourth quarter of 2015, mirroring
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mega vessels
Xeneta, the leading benchmarking and market intelligence platform for containerized ocean freight, has utilised its data of global shipping rates to make a startling, and counterintuitive, claim – big volume shippers are not paying the best shipping rates. the sharp drop in average freight rates, according to analysis by Alphaliner. Alphaliner said the fall in bunker prices initially boosted carriers’ financial performance, but this effect rapidly eroded as shipping lines forcibly passed all these cost savings on to shippers through lower freight rates. Meanwhile, Xeneta, the leading benchmarking and market intelligence platform for containerized ocean freight, has utilised its data of global shipping rates to make a startling, and counterintuitive, claim – big volume shippers are not paying the best shipping rates. According to the Oslo-based company, over the course of the last 18 months, highvolume shippers are actually being locked in to unfavourable long-term agreements, leaving others to take advantage of the advent of low fuel prices, megaship capacities and hyper efficient supply change management.
carriers to be in and goes a long way to explaining why each route has experienced a lot of void sailings as lines tried to minimise the supply and demand mismatch,” the analyst explained. Drewry reported that 209 new vessels became operational in 2015, adding 1.7m TEU to the global fleet’s capacity before any scrapping. The average size of the newly-built ships was about 8,400 TEU and 55% of all vessels delivered last year were ships over 10,000 TEU. Drewry reported that the three largest carriers, Maersk Line, MSC and CMA CGM, were those which took on the most capacity in TEU terms, while the five top carriers accepted two-thirds of all the new capacity. According to the analyst, although the intake of newbuilds in 2016 will not be as high as in 2015, there will another 1.3 mln TEU to be absorbed, with the majority of newbuilds likely to again be big ships. Contrary to the bigger is better mantra followed by most liners in recent years, niche Taiwanese operator Wan Hai was the most profitable container line last year, based on operating profit margins, at 6.3%; followed by Maersk Line at 6%, CMA CGM at 5.8% and OOCL at 5%. Wan Hai also remained at the top of the EBIT margin rankings in the difficult fourth quarter where almost everyone else, including Maersk, went into the red - although Wan Hai’s margin too declined to 1.2%. Interestingly, in the final three months of 2015, Maersk slipped to fifth place in terms of operating profit, producing a negative EBIT
margin of 2.3%, behind restructured Israeli carrier Zim, with the second and third slots taken by CMA CGM and Hapag-Lloyd respectively. The continued success of Wan Hai in beating its larger carrier competitors flies in the face of the widely held belief in the industry that it is essential to be big to be profitable – Maersk Line’s turnover in 2015 was $23.7 bln, over ten times that of the $2 bln of the Taiwanese container line. Ultra-large container vessels (ULCVs) are neither beautiful or desirable, and even their green credentials are being questioned, delegates were told at the at the International Cargo Handling Co-ordination Association (ICHCA)’s cargo handling conference in Barcelona. The Organisation for Economic Co-operation and Development’s (OECD) Olaf Merk told the Bigger Ships, Greater Challenges themed conference that the doubling in size of containerships in the past decade had led to a “vicious circle” of bigger ships, fleet overcapacity, lower freight rates and, thus, the need to cut costs further. The Mega-XL model of containerships does bring economy of scale if they are full, conceded Mr Merk, but he said doubling in size had also put significant additional pressure on ports and terminals. He questioned whether ULCVs were in the best interests of anybody other than the carrier. “Do we really want a system where megaships only bring cargo to mega-ports?” asked Mr Merk. He used the analogy of having just one meal a day, with everyone going to the same restaurant to eat. l
NEW BUILDS The majority of the new vessels over 4,000 TEU built in 2015 were sent to operate in the East-West trades, according to Drewry. The average size of ship at work in AsiaNorth Europe increased by 16% to 14,100 TEU since the start of 2015. However, 18,000 TEU vessels have been introduced recently to the Asia-West Coast North America (WCNA) route and the Asia-East Coast South America (ECSA) trade saw a disproportionately high intake of new builds. Around 132,000 TEU of new build capacity has been added to the Asia-ECSA services in the past year, while the average vessel size growing by 19% to 8,800 TEU. “Considering that headhaul demand growth in these two trades fell by 14.5% and 3.4% in 2015 respectively, that is an awkward position for
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mega vessels
UASC’s 15,000 TEU M.V. Linah
15,000 TEU green vessel makes maiden call on Khorfakkan Port It is the largest UASC vessel to call Gulftainer’s Khorfakkan Container Terminal (KCT)
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nited Arab Shipping Company (UASC), a leading container shipping line and emerging global carrier, and Gulftainer, the world’s largest privately-owned, independent port operator based in the UAE, marked the maiden call of UASC’s 15,000 TEU M.V. Linah into Khorfakkan Container Terminal (KCT), at an event today. The M.V. Linah is the largest UASC vessel to call at Khorfakkan Port to date, and is one of the ships built as part of UASC’s advanced newbuilding program; worth over $2.3 billion and comprising 17 ships to be delivered between November 2014 and 2016, of which 11 are 15,000 TEU vessels and six are 18,800 TEU vessels. The superior series of vessels that are part of UASC’s advanced newbuilding program are considered the world’s greenest due to their outstanding environmental credentials and first-class technology on-board,
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being ranked among the best performing carriers based on CO2 emissions in a recent progress report by Business for Social Responsibility’s (BSR) Clean Cargo Working Group. The momentous event was attended by senior executives from Gulftainer and UASC, as well as several of UASC’s key customers in the region. Commenting on the occasion, Mr. Waleed Al Dawood, Chief Operating Officer at UASC said, “Today, we are very proud to celebrate the arrival of our 15,000 TEU vessel to KCT with our partner, Gulftainer and a number of our key customers. The arrival of M.V. Linah at Khorfakkan Port is an indicator of KCT’s track-record in maintaining the highest standards of operational efficiency.” Mr. Al Dawood added, “Today is also an example of the strong ties between Khorfakkan Port, Gulftainer and UASC. Together, we continue
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Commenting on the occasion, Mr. Waleed Al Dawood, Chief Operating Officer at UASC said, “Today, we are very proud to celebrate the arrival of our 15,000 TEU vessel to KCT with our partner, Gulftainer and a number of our key customers. The arrival of M.V. Linah at Khorfakkan Port is an indicator of KCT’s track-record in maintaining the highest standards of operational efficiency.” to provide our UAE customers with efficient and effective green shipping solutions, with UASC vessels making a significant 428 calls to Khorfakkan in 2015. “This event is also notable as it coincides with UASC’s 40th anniversary, a milestone we are very proud to share with our partners.” Flemming Dalgaard, CEO, Gulftainer, said, “We are extremely pleased to welcome UASC’s largest ship to the Khorfakkan Container Terminal, and congratulate the company’s leadership for their successful achievements over the last 40 years, including the advanced newbuilding program. Gulftainer has made huge strides in improving our capabilities at Khorfakkan, and we thank UASC for their continued confidence in our ability to deliver to their needs.” To date, UASC has taken delivery of six 18,800 TEU class vessels Barzan, Al Muraykh, Al Nefud, Al Zubara Al Dahna and Tihama, and seven 15,000 TEU class vessels - Sajir, Al Murabba, Salahuddin, Linah, Al Nasriyah, Al Dhail and Al Mashrab respectively. The 15,000 TEU vessels are some of the first in the world to receive an Energy Efficiency Certificate with documented Energy Efficiency Design Index (EEDI). l
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SOLID PORT SOLUTIONS provides consultancy services to deliver your port project on time. Our team of experts will assist you in all project phases from the Initial Project Study until the Final Acceptance. Our knowledge of the latest technologies and operational processes will help you to improve the efficiency at your terminal and to be ready for the future.
SOLID PORT SOLUTIONS THE PRACTICAL AND PROFESSIONAL APPROACH How to contact Solid Port Solutions: Address Level 14, Boulevard Plaza Tower 1 Sheikh Mohammed bin Rashid Boulevard, Downtown Dubai PO Box 334155, Dubai, UAE Email info@solidportsolutions.com Tel +971 4 368 0885 Mobile +971 50 621 4686 Fax +971 4 455 8556 Website www.solidportsolutions.com
mega vessels
also expecting carriers to further develop their service offering.
Vincent Clerc Chief Commercial Officer at Maersk Line
Smart containers are a gamechanger. What does it mean for you? Maersk Line has over the past years equipped more than 270,000 refrigerated containers or ‘reefers’ with Remote Container Management (RCM). This technology allows real time tracking of the exact position of the container, its temperature and humidity and potential off service. We went live operationally in Q3 2015 but are already seeing potential for the wealth of data available. RCM enables greater visibility over cargo, and more importantly, a significant reduction in damaged cargo.
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ccording to the Food and Agriculture Organisation of the United Nations, which conducted a landmark study on food loss and wastage around the world in 2012, around 30% of the food the world produces is lost each year. Wastage happens at a variety of stages in the food supply chain – during agriculture, post-harvest for arable goods or slaughter for protein, processing, distribution and consumption – but this message is clear: The need for a stable and reliable cold-chain remains important for our customers. Having been the market leader in this segment for many years – Maersk Line has shipped chilled cargo since 1936 – we have recently seen the competitive landscape around us changing quite dramatically. A number of container carriers have also been making investments in their reefer fleets and elevating their technical capabilities – in addition, the breakbulk carriers have received a second wind with the lower bunker prices. Our customers are benefiting from these changes, but
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Customers are asking for better cold-chain visibility The RCM technology will give full visibility of reefer containers and cargo throughout the cold chain, reduce constraints from human errors and allow for safer operations by reducing the number of physical inspections needed at the terminal. Today, more than 59% of claims stem from malfunctioning reefer units, poor supplier handling of off-power periods and wrong temperature set points; all of which can either be partially avoided or mitigated proactively with live data. Data collected from intelligent containers is reliable and makes it possible to act fast, a pre-requisite when transporting perishable goods. Previously, live monitoring was a manual, time consuming and expensive process, potentially open to human error in collecting the data. Customers are asking for better cold-chain service Today, superior equipment and availability is an integral part of the reefer value proposition but really considered table stakes: Customers expect better cold-chain handling and top-notch service. Given the segment complexity this requires ongoing investments in systems and training of key staff in Sales, Customer Service and Operations – as well as internal alignment of processes. We all need to work hard to ensure that the cargo we are trusted with by our customers is being handled with the understanding it requires by everyone involved. Great expertise goes hand in hand with great equipment. Maersk Line invested in 30,000 new reefer containers in 2015. We simply have to upgrade our fleet on a continuous basis to ensure, that it meets the expectations of our customers. Customers are asking for coldchain expertise-based consulting Having shipped chilled commodities for the past 80 years, Maersk Line has acquired decades of learnings. Customers are often asking for these insights to
support their ambitions of venturing into new markets and seizing new business opportunities. Carriers and customers engaging in such commercial partnerships have of course a huge potential – pushing the current boundaries by e.g. codeveloping refrigerating techniques. Long term partnerships – and
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mega vessels
long term contracts – are critical enablers to facilitate true expertise-based consulting. Customers today are asking carriers for innovative reefer products and features that ensure their commodities are treated with the utmost care. Proper preparations and meticulous cargo handling combined with stateof-the-art reefer containers specially designed to maintain optimal product temperature are the cornerstones of leading carriers’ reefer services. The segment is constantly evolving – and presents a great opportunity to deepen and co-develop new solutions with our customers. l
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Long term partnerships – and long term contracts – are critical enablers to facilitate true expertise-based consulting.
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mega vessels - stowage planning
Major players join cloud-based Stowage Planning Pilot Programme Ocean Carriers and Terminal Operators know that efficiencies can be gained, waste eliminated and revenue increased through better collaboration on vessel stowage planning and execution. But the tools and incentives to change business processes have been lacking - until now.
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VELA, creators of the world’s first cloud-based vessel stowage and collaboration platform for ocean carriers and terminal operators, announced today that a wave of new terminal operators and shipping lines have signed on for pilot programs to put the XVELA platform to the test. The company utilizes the legacy of Navis PowerStow vessel stowage solution to provide a transformative, cloud-based collaboration platform and network for ocean carriers and terminal operators. XVELA enables its users to easily connect and coordinate vessel stowage planning and execution activities, resulting in reduced vessel operation and terminal costs and improved utilization of critical crane, vessel and manpower resources. Several organizations have committed to pilot XVELA to date. They include: OCEAN CARRIERS Maersk Line, the world’s largest container shipping company. MCC Transport (MCC), a key regional specialist handling all Intra–Asia
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containerized cargo for the Maersk Group. Orient Overseas Container Line (OOCL), one of the world’s largest integrated international container transportation and logistics companies and one of the leading international carriers serving China. Nippon Yusen Kabushiki Kaisha (NYK Line), one of the top ocean carriers in the world, with headquarters in Tokyo. Hapag-Lloyd, has also announced their agreement to pilot XVELA. TERMINAL OPERATORS Hamburger Hafen und Logistik AG (HHLA), which operates three highperformance terminals in Hamburg and one in Odessa, Ukraine. PSA International (PSA), one of the world’s largest terminal operators and owner of the world’s largest transshipment hub in Singapore. DP World, with a portfolio of 70 terminals in 31 countries across six continents. Modern Terminals Limited (MTL), the second largest terminal operator in Hong Kong. Port of Tanjung Pelepas, Malaysia’s most advanced terminal, strategically located at the confluence of the main east-west shipping lanes. “Clearly the industry sees the value to be gained from the real-time information sharing and collaboration capabilities XVELA offers,” said Christopher Mazza, Vice President and Chief Customer Officer, XVELA. “Our latest pilot participants are some of the most technologically advanced and forward-thinking terminal operators and carriers in the industry – they see the possibilities here, and understand both the immediate value and wide-ranging potential of the XVELA platform to improve terminal-carrier cooperation to reduce costs and increase efficiency for both parties.” “In the fast-paced Intra-Asia region, operational agility is critical to success, and we believe that collaborating with terminal operators through solutions like XVELA offers the potential to greatly increase our agility and efficiency. We are eager to learn more about the solution through the pilot.” Lily Yu, Head of Vessel Stowage for
Maersk Line, stated, “Close collaboration between liner and terminal can drive down operating costs by being more efficient. Cloud-based solutions such as XVELA can provide us with the ability to collaborate more closely with our global network of terminals to cut costs and drive efficiencies throughout the supply chain.” The aim of the pilots is to provide improved, actionable visibility of stowage planning-related information for both terminal operators and shipping lines along with better connectivity between carriers, terminals and partner organizations. This means terminals will be able to access departure stowage plans as ships leave prior terminals, allowing them to allocate resources and resolve potential issues earlier than ever before. Carriers, meanwhile, benefit from increased transparency of terminal operations throughout the stowage process and the ability to share select information in real time with alliance partners. The tangible goals of the pilot program are increased operating efficiency and asset utilization. Heinrich Goller, Managing Director, Operations of HHLA, stated, “We can work better in all areas if we share available operational information with our partners. This is why we make a significant effort at many points to facilitate the transparent exchange of information. As we continue to prepare for ever-larger container ships, improved information-sharing and communication with ocean carriers and other terminals is crucial to successfully managing the increasing complexity of stowage planning operations. This is the promise of XVELA’s platform, and we are looking forward to learning more about the solution through the pilot, and seeing the benefits we can gain through the use of the solution as it continues to develop.” Given the breadth of participants in the pilot program and the diversity of planning solutions currently in use across the organizations, it is key that XVELA is both a TOS-agnostic and stowage software-agnostic platform. A complete set of APIs, currently under development, will enable interoperability with any viable terminal operating
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mega vessels - stowage planning
Carriers, meanwhile, benefit from increased transparency of terminal operations throughout the stowage process and the ability to share select information in real time with alliance partners. The tangible goals of the pilot program are increased operating efficiency and asset utilisation. system or stowage planning software. Robert Inchausti, Chief Technology Officer, XVELA stated, “We know that widespread acceptance is essential to the success of a collaboration platform, so we are designing XVELA to work with the optimization tools that carriers and terminals are already using. The XVELA platform supports these tools by providing more information with more accurate, higher quality data in a much more timely manner, and by allowing terminals
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and carriers to easily share select information with partners and other relevant parties.” Clive Van Onselen, Chief Operating Officer, MCC Transport stated, “In the fast-paced Intra-Asia region, operational agility is critical to success, and we believe that collaborating with terminal operators through solutions like XVELA offers the potential to greatly increase our agility and efficiency. We are eager to learn more about the solution through the pilot.” l
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Supported by
Container Handling & Crane Technology
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Container Handling & Crane Technology - kalmar
AUTOMATED ELECTRIC POWERED HORIZONTAL TRANSPORT FOR SMARTER TERMINALS Automation and innovative drive technologies enable container terminals to decrease their environmental footprint while simultaneously improving productivity.
There is no ‘one-size-fits-all’ solution, which creates the need to be aware of the actual performance, characteristics and parameters of each alternative, to ensure an objective evaluation is achieved. This white paper attempts to provide an objective comparison between the systems in order to help determine which concept is a better fit for a particular terminal.
The Kalmar AutoStrad™ is the ideal solution for medium-sized and large terminals where high equipment flexibility and minimal labor costs are key requirements.
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hen implementing a quay to stacking area transportation system, there are basically three electric powered alternatives. Which concept provides greater added value completely depends on the characteristics and requirements of the application. At automated container terminals utilising automated stacking cranes (ASC), the two options are the flatbed automated guided vehicle (AGV) or the shuttle carrier, which can be manually operated or fully automated. As container movement between the quay and the container yard is a potential “bottleneck” in the terminal, the Kalmar FastChargeTM shuttle carrier already offers a major advantage by fully decoupling activities at both ends. Various derivatives of the AGV offer decoupling at the ASC but coupled
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operations at the ship-to-shore crane (STS) can still limit productivity. In a straddle carrier terminal, waterside and landside operations are already fully decoupled with a single machine handling both horizontal transportation and stacking. The speed, reach and flexibility of the Kalmar FastCharge straddle carrier allow terminals to use a single type of equipment for all container operations, either manually operated or fully automated. The majority of all-electric AGVs presently in use utilise lead-acid batteries which, due to the long charging times, require automated battery replacement and charging stations. Newer technology lithium-ion power sources, as used in the Kalmar FastCharge shuttle and straddle carriers, now charge so quickly that the battery stays in the vehicle and replacement is unnecessary.
1. INTRODUCTION In recent decades, container volumes handled worldwide have continuously increased as a result of globalisation, economic growth and geographical distribution of activities. Overseas container transport costs have considerably decreased due to economies of scale by continuously increasing vessel sizes from 4,000 TEU in the early 1990s to 14,500 and above today. Larger container ships place an increasingly heavy demand on terminal infrastructure to handle the increased number of containers moving to and from the quayside. Time is money and as the container ship only really makes money while at sea, the berthing time at the terminal quay needs to be as short as possible. This can only be achieved by fast loading and unloading, which requires close cooperation between the quayside ship-to-shore cranes and the container stacking area. For many years, the straddle carrier and terminal tractors with one or multiple chassis were the default options for horizontal transportation with straddle carriers capable of handling both horizontal transportation and stacking. 2. HORIZONTAL TRANSPORTATION In the early 1990s, the flatbed AGV was the first driverless horizontal transportation system to be introduced into terminals. While many improvements have been made since, the flatbed AGV is basically an automated version of the chassis used for horizontal transportation at that time. Today, the high productivity of STS cranes
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Container Handling & Crane Technology - kalmar
Automated Straddle Carrier
can be limited by the AGV’s need to be present to load and unload containers, and the coupling of the work cycles of the quay and yard cranes. Even with developments like the active lift AGV, operations are still only partially decoupled at the stacking area. As a rough guide, the coupled operation at the STS crane requires a minimum of five AGVs to be deployed for each STS crane. A proposed cassette AGV also promises decoupling at the quay with a portable cassette. However, with no existing commercial installations, how cassette placement will be achieved in the dynamic environment of the STS crane remains unclear. The ideal decoupling buffer is created by placing the containers on the ground at the STS crane, to be picked up and dropped on the ground at the waterside interchange area. This is where the interest in the shuttle carrier as a form of horizontal transportation originated. By fully decoupling STS and ASC activities, one shuttle carrier can achieve the same productivity as two AGVs. This decoupling adds buffer zones both at the STS and
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ASC, making exception handling, whether caused by delays in loading or unloading, easier to manage. The innovative shuttle carrier concept developed by Kalmar, a smaller 1 over 1 stacking version of the straddle carrier, was first tested at the port of Helsinki in 2003. The Kalmar AutoShuttle™ is able to transport single 20 and 40 foot containers, picked up from the ground, as well as two 20’ boxes in twin-lift operation. With the ability to pick up any container rather than only the outermost and to stack containers two high, the AutoShuttle offers more versatility, especially in pooled allocation schemes serving more than one STS crane and dual cycle operations with simultaneous loading and unloading. Whether fully automated or manually operated, the shuttle allows faster fully decoupled container transfer in the terminal. 3. HYBRIDS Today, both AGVs and shuttle carriers offer electric driveline using a diesel engine as the main
power source. Diesel/electric driveline has the same advantages as diesel but is generally more reliable and requires less maintenance. The diesel/ electric has also seen the introduction of hybrid designs much in the same way as cars, allowing a considerably smaller engine with batteries or super capacitors supplying peak load capacity. New battery technology allows the engine to be sized for average power, whereas the use of the lower energy storage super capacitors requires a larger engine sized for maximum peak demand. These designs also feature regenerative energy systems to convert braking and spreader lowering energy into electric power that is stored for later use. An automated stop-start system chooses the optimal balance between engine and battery power, which also extends the operational life of engine and generator, as well as maintenance intervals. Consuming up to 40% less fuel than existing shuttle carriers on the market, Kalmar hybrid shuttle carriers with lithium batteries emit over 50 tons less CO2 per year than a traditional diesel unit.
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Kalmar ASC System
4. WHY FULLY ELECTRIC? While hybrid systems provide excellent economy and reduced emissions, the ultimate target is an emission-free (at least at the point of use) horizontal transport solution. As environmental legislation becomes more stringent for CO2 and NOx, especially the latter, electric driveline with batteries is the only alternative. As well as no emissions to the atmosphere, other advantages include less noise, reduced maintenance with a smaller number of vehicle components and up to 50% increased energy efficiency compared to diesel/electric driveline. 5. THE FULLY ELECTRIC AGV Since the first installation in 2013, the current commercial usage of electric AGVs has been possibly limited by the increased investment cost in the necessary batteries and charging facilities. Using lead-acid battery technology, these AGVs require almost 10 tons of batteries to provide a
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useful operational working time of eight hours. The actual running time is considerably less. One study quotes a moving ratio of 40% and an operational stoppage or unpowered waiting time of 60%, implying that for 36 minutes of each hour the AGV is non-productive. Recharging requires removal and replacement of the battery, which although fully automated requires the AGV to be driven to the exchange station and remain inactive while the battery is replaced. As recharging takes at least six hours, at least three battery packs are required for two AGVs. For example, at an all-electric installation in Rotterdam, a total of 87 battery packs were initially supplied for 37 electric lift AGVs with two robotic battery exchange stations. Development of the all-electric AGV required a redesign of the vehicle chassis to accommodate the weight of the batteries and distribute the load uniformly to all four wheels. Newer designs based on fast charge battery technology have been
announced, but at the time of writing, details of actual operation and charging methods have not been disclosed. 6. NEW TECHNOLOGY BATTERY Lithium-ion (Li-ion) battery technology, first proposed in the 1970s, today powers everything from phones and personal computers to electric cars and buses. Li-ion development has been rapid and, unlike its 150 year old lead-acid counterpart, has seen a steady progression in performance and capacity with recent developments providing the advantage of extremely fast charging. Opportunity charging in public transportation, such as large capacity electric buses, uses the high-charging capability to partly recharge the battery in as little as 15 seconds while passengers are alighting and boarding at bus stops. Compared to lead-acid, these batteries offer up to 80% weight savings for the same capacity and have a much better low-temperature
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Container Handling & Crane Technology
Kalmar Kalmar TM FastCharge FastCharge™ Solution Solution
Pantograph Automated machine position recognition and charging sequence
Charging type: DC fast charging Charging power: 0-600 kW Time to full charge: 5 min @ 600 kW Typical charging time in operation: 30 to 180 sec @ 600 kW Contact dome
Charging pole
WLAN communication between machine and charging station
Charging power station
All essential charging information available for the driver in manual operation
performance with 80% of full capacity still available at minus 30°C. In addition to the enhanced efficiency and energy-conserving qualities of Li-ion batteries, this technology offers a high level of safety compared to alternative options. Being entirely free of carbon they avoid thermal runaway or overheating, which is a main cause of fires in traditional energy storage systems. The higher cost of lithium-ion batteries when using a fully decoupled shuttle operation is partially offset due to the fewer number of vehicles required compared to the partially decoupled operation with AGVs. Whether using a battery changing station or fast charge
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technology, twice as many AGVs are still required to achieve the same moves per hour capability of the shuttle. One manufacturer has announced the use of Li-ion batteries in a terminal trailer concept and promises a run time of 12 hours. However, the battery then has to be charged for 2.5 hours during which time the vehicle is non-productive. 7. THE ELECTRIC POWERED KALMAR FASTCHARGETM SHUTTLE AND STRADDLE CARRIER Freed from the lead-acid six to eight hour charge cycle, the lighter fast charge batteries have allowed Kalmar to replace the diesel engines in
shuttle and straddle carriers without a weight penalty, offering tremendous advantages in the practicality of an existing vehicle design. Experience of the batteries already utilised in Kalmar’s hybrid straddle carrier have enabled engineers to optimise battery capacity and onboard charging is supplemented by regenerative systems to store reclaimed braking and spreader lowering energy. Available in both manually operated and automated versions, the Kalmar FastCharge shuttle and straddle carrier offer a truly flexible concept for existing and greenfield terminals. In hybrid terminals, where ASCs are being partially
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Fast charging stations can be installed along the shuttle working route in order to utilize idle time for charging.
introduced, they offer the unique opportunity for gradual expansion while retaining fully decoupled container transfers. When modernising the terminal with automation increasingly taken into use, existing manual shuttles and straddle carriers can be fully automated leading to improved return on original investment and optimised total cost of ownership. 8. FAST CHARGING Battery charging of the Kalmar FastCharge AutoShuttle is achieved with an inverted pantograph direct current charging system, fully automated in operation and similar to the system in use on electric buses.
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In the straddle carrier terminal there is high flexibility in charging station installation.
Location of the current collector on top of the shuttle adds to the safety of the solution and protects it from damage. This is possibly another reason why Li-ion technology is not used in AGVs, as on-board charging would usually be at ground level and very difficult to reliably automate.
Non-contact methods such as inductive charging have also been investigated but are unable to deliver the power required without considerable energy loss. The fast charge battery technology makes it possible to utilise very high charging rates, which by being scalable up to 600 kW allow rapid on-board
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Container Handling & Crane Technology
Note! On some terminals shuttle carriers are used in land side operations as well.
charging. One pantograph located on the FastCharge shuttle carrier route can serve several vehicles as charging is very flexible. Since the driving cycles are short, frequent thirty-second charging periods, depending on the shuttle cycle and state of battery charge, do not slow down container transfers and enable the vehicle to be utilised to its maximum effectiveness. The impact of fast charging to the local power grid, in terms of electricity quality, is minimised with an intelligent charging system control. This more frequent charging avoids the deep discharge, which can shorten the life of any battery. Pantograph charging stations can also be more easily positioned than battery exchange stations, with convenient locations on shuttle routes to eliminate disruption of the shuttle work cycle.
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As well as shortening development time, this allowed Kalmar engineers to concentrate on the new technology aspects and avoid redesign of the whole concept. 9. ELECTRIC AGV AND FASTCHARGE AUTOSHUTTLE CONCEPT COMPARISONS As previously described, in most terminals one FastCharge AutoShuttle is capable of virtually the same productivity as two AGVs. The reduction in vehicle numbers compensates for the higher initial cost of the FastCharge solution with additional savings when the AGV charging stations are taken into account.
The AGV is very dependent on the troublefree operation of the robotic charging station, which typically dictates a second station to provide a degree of redundancy. Owing to the weight of batteries involved, the battery change/ charging station requires very substantial foundations, which may also dictate a less than ideal location with increased travel time for charging. The FastCharge charging station requires considerably less space and several of them can be conveniently located on regularly used routes. Compared to a lead-acid robotic battery exchange and charging station for 30 AGVs, the cost of the FastCharge station for 15 equally productive shuttles is approximately 80% less when building costs are included. Practicality is another area in which the FastCharge AutoShuttle scores highly by using a tried and trusted vehicle design. Unlike the AGV, where the vehicle was designed around the battery, tried and proven features of the diesel/electric and battery assisted hybrid shuttle carriers were used
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in the development of the FastCharge model. As well as shortening development time, this allowed Kalmar engineers to concentrate on the new technology aspects and avoid redesign of the whole concept. Battery lifetime is a serious consideration in the purchase of any electric vehicle. Typically, battery manufacturers quote lifetime in cycles. For lead-acid deep cycle batteries this equates to between 400 and 800 cycles, depending on the degree of discharge. One AGV manufacturer promises 1,200 cycles, with the recommendation that the almost 10 tons of battery per AGV is replaced every 2.5 years. By comparison, fast charge battery manufacturers quote as many as 20,000 cycles, which, with the increased frequency pantograph charging method, conservatively equates to a more than 10-year battery lifetime in the FastCharge solution. Space, in terms of real estate, is an expensive resource in both new and
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Space, in terms of real estate, is an expensive resource in both new and expanding terminals. The increased manoeuvrability of the AutoShuttle allows for higher productivity and maximum land usage.
expanding terminals. The increased manoeuvrability of the AutoShuttle allows for higher productivity and maximum land usage. The layout of an AGV equipped terminal is specifically designed with waiting bays on the apron to ensure a sufficient number of AGVs to maintain STS crane productivity. AutoShuttles do not require such spaces or waiting time and, in addition, the smaller fleet of vehicles required reduces traffic congestion. 10. CONCLUSION When selecting a horizontal transportation solution for the modern container terminal, the choice to convert to an all-electric solution needs careful consideration. When calculating the total cost of ownership, many new factors need to be taken into account, as well as old criteria, such as the type and number of vehicles, which can take on a new meaning in the green terminal. Improving throughput by decoupling ship-to-shore and yard operations reduces operational compromise and allows each type of equipment to operate at its own optimum speed and best performance. The new battery technology described, only recently applicable to industrial applications, is under rapid development helped in part by its ready acceptance in public transportation. l
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Drive-In L
the new standard
for RTG Electrification
E-RTGTM with Plug-In Solution
E-RTGTM with Drive-In P Solution
We add the “E” to your RTG Electrification of Rubber Tyred Gantries Converting a conventional RTG into an electrical one (E-RTGTM) means to shut down the diesel generator and to power the RTG with electrical power only.This conversion is now possible with the complete RTG electric power solutions developed by Conductix-Wampfler: Plug-In Solution, Drive-In P & L Solution and Motorized Cable Reel Solution. We move your business! www.conductix.com
E-RTGTM with Motorized Cable Reel Solution
Container Handling & Crane Technology
Liebherr mobile harbour cranes spread in Scandinavia Rostock (Germany), April 2016 – The recent deliveries of three Liebherr mobile harbour cranes underline the strong demand for innovative cargo handling solutions in the Scandinavian region, tailor-made by Liebherr. Fully electrical Liebherr portal slewing crane LPS 420 handles bio fuel at a combined heat and power plant in Stockholm.
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hirty seven years after the first delivery of a Liebherr mobile harbour crane to Scandinavia the demand for Liebherr products remains robust. In 2015 three Liebherr mobile harbour cranes were delivered to Scandinavia. With these forward-looking investments the Scandinavian market made a consequent commitment to modern and environmentally friendly technology from Liebherr. Innovative technology for special requirements The Swedish energy company Fortum Värme was searching for a reliable solution to unload bio fuel for its new combined heat and power plant in Stockholm, Sweden. Although the energy company was initially not searching for a mobile harbour crane, Liebherr’s Swedish sales team offered them
• Liebherr delivered a fully electrical LPS 420 portal slewing crane to AB Fortum Värme, co-owned with City of Stockholm • Risavika Terminals is about to increase container throughput with new LHM 420 • Port of Aabenraa opted for an LHM 550 with tandem lift software Sycratronic®
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a powerful material handling solution out of the maritime product portfolio. Knowing that a Liebherr mobile harbour crane mounted on a portal can fulfil or even exceed the customers’ requirements, a Liebherr portal slewing crane LPS 420 was offered to Fortum Värme. The crane is installed very close to the city centre of Stockholm hence very close to residential areas. Very strict requirements not only in regards to the noise level, but also in regards to the appearance of the whole machine had to be fulfilled. Furthermore Fortum Värme defined very strict performance guarantee on the whole bio fuel supply unit to guarantee lowest possible downtimes, because up to 190.000 households in Stockholm rely on the on the combined heating and power plant being operational at all times. In order to comply with the requirements Liebherr delivered a fully electric driven portal slewing crane, type LPS 420. The four-rope machine has a maximum lifting capacity of up to 124 tons and a maximum outreach of 48 metres. Fitted with a 50m³ Verstegen grab and Liebherrs hybrid drive system Pactronic® the LPS 420 is able to efficiently unload up to 2.240m³ bulk per hour. “We have the highest demands regarding quality for all equipment suppliers for our combined bio power and heating plant. The crane is going to be used for many years to come, and therefore it feels satisfying that the crane is delivered from one of the biggest suppliers at the market, who has many years of experience for this type of equipment,” said Mats Strömberg, Head Project Leader for Fortum Värme’s new bio power and heating plant. A special feature of the crane is the elevator, which provides easy access for the crane operator. The elevator was manufactured by the Swedish company Alimak, which is specialized on industry elevators. Alimak installed the elevator in close cooperation with Liebherr engineers. Risavika Terminals want to increase container throughput Risavika Terminals, located near Stavanger in Western Norway, wants to further increase its container throughput. Risavika Terminals has already
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Container Handling & Crane Technology
Liebherr LHM 420 to increase container throughput at Risavika Terminals.
“We have the highest demands regarding quality for all equipment suppliers for our combined bio power and heating plant. The crane is going to be used for many years to come, and therefore it feels satisfying that the crane is delivered from one of the biggest suppliers at the market, who has many years of experience for this type of equipment,” said Mats Strömberg, Head Project Leader for Fortum Värme’s new bio power and heating plant.
operated an LHM 320 for more than 12000 working hours. Risavika crane drivers and terminal representatives are fully satisfied with the performance and the reliability of the Liebherr crane. As a substitute for the LHM 320 they opted for a new mobile harbour crane, type LHM 420. The two-rope LHM 420 is equipped with a 670kW MAN diesel engine and will be mainly used for container handling and heavy lift operation. The machine is also fitted with Liebherr’s telematics system LiDAT® which supplies various operational data, e.g. positioning
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Liebherr LPS 420 supports a combined heat and power plant in Stockholm to produce green energy.
of the machine, periods of operation and use, fuel consumption and also service interval details. Liebherrs unique Cycoptronic® anti-swing system, which automatically helps the crane driver to avoid unintended movements of the goods under hook, is also on board. LHM 550 to suit new needs The Port of Aabenraa is the fastest growing Danish harbour in terms of cargo handling. The port acts as a loading and unloading hub for the entire Baltic Sea and is one of Liebherrs long-time customers in Scandinavia. Over the last three years the demand for heavy lift operation at the port increased rapidly. Therefore, the port of Aabenraa decided to swap their existing LHM 280 for a stronger model, a new LHM 550. The 4-rope machine is driven by a 750kW Liebherr diesel engine which complies with the latest emission standards Tier 4 final / stage IV. With a maximum lifting capacity of up to 144
tons the crane will be mainly used for bulk operations and heavy lifts. Equipped with Liebherrs tandem lift software Sycratronic®the crane can be synchronised with Aabenraa’s already existing LHM 320. Long term partnership When it comes to service, speed and reliability are essential elements for every customer. Liebherr Maritime Cranes fully understands the value of a quick response to reduce down time and restore LHM productivity straight away. To benefit from the Liebherr customer service the three Scandinavian customers (FORTUM, Risavika Terminals and the Port of Aabenraa) signed a service agreement with Liebherr. The fast availability of spare parts and service engineers ensures high productivity for each terminal. With these forward-looking investments the entrepreneurs of all three companies made a consequent commitment to a long-term partnership with Liebherr Maritime Cranes. l
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AOS Prime
Improved System reliability in outdoor areas
Object detection systems
SICK FZE Dubai, UAE Phone +971 4 886 5878 info@sick.ae
Collision awareness with a wide scope AOS Prime – two system solutions, one goal The versatile AOS Prime system has been developed with the aim of preventing costly collisions. It is used in a whole host of industries, including steel works, ports, and railway industry sectors of various kinds. Two application packages have been developed in order to keep damage to a minimum and, as a result, reliably enhance the availability of the container loading equipment to a considerable degree: AOS104 RTG and AOS502 STS.
Collision prevention in the direction of travel and for cross travel: AOS104 RTG Rubber tired gantry cranes (RTG) are highly flexible pieces of loading equipment that are even able switch between aisles in the container stacking area during container handling processes. To assist them, the AOS104 RTG combines two functions in a single system solution: 99 Pathway collision protection 99 Cross travel collision protection Both functions are based on predefined warning and emergency stop laser fields that are monitored by a safety controller plus control software that is integrated into it. •• Obstacles are detected more accurately •• Excellent system reliability thanks to self-monitoring function •• High level of operational reliability
STS crane boom and crane-to-crane collision prevention: AOS502 STS In applications involving ship-to-shore (STS) container cranes, the AOS502 STS provides a safe, reliable method of detecting superstructures such as radar systems. In addition to boom collision protection, the AOS502 STS provides crane-to-crane collision protection. The AOS502 STS even combines these two functions in a single system solution: 99 Collision protection at the crane boom 99 Crane-to-crane collision protection
The system makes it possible to prevent collisions by evaluating warning, deceleration, and emergency stop laser fields. The system functions are monitored on a cyclical basis by the safety controller plus control software that is integrated into it. •• •• •• ••
STS cranes with booms of up to 80 m in length are monitored reliably Crane-to-crane collision protection Self-monitoring function Excellent diagnostics coverage for any failure or shifting of the laser measurement system out of its original position •• Laser measurement system allows multiple instances of field monitoring to take place simultaneously •• High level of operational reliability
Supported by
terminal operating systemS
TERMINAL OPERATING SYSTEMS
weighing the options The International Convention for the Safety of Life at Sea (SOLAS) has for many years required the weight of any freight container to match the weight declared in shipping documents. Despite this regulation, a string of incidents due to inaccurate weight recording has revealed how regularly this rule is glossed over, or interpreted as ‘roughly matching’ rather than ‘exactly matching’.
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he proportion of global container trade that is wrongly declared could be as high as 20%, according to the Journal of Commerce. Because ports typically use the weight recorded on the carter’s note to plan for stowage, if the measurement is not correct, this can have potentially detrimental effects on on-board weight distribution and safe sailing conditions. It also affects port procedures including crane failure due to containers exceeding crane load limit, and instability on trucks or rail carriages. Heavy boxes may be placed higher in stacks, with lighter boxes bearing the load. This can often lead to stacks collapsing, causing damage to the cargo and ship, and putting crew in danger. It could even result in cargo tumbling overboard. This can create environmental damage as well as sea vessel navigation hazards. According to The World Shipping Council, an average of 546 containers are lost at sea every year (excluding
Heavy boxes may be placed higher in stacks, with lighter boxes bearing the load. This can often lead to stacks collapsing, causing damage to the cargo and ship, and putting crew in danger.
those lost during catastrophic events). Reports by The UK Marine Accident Investigation Branch (MAIB) show that a common factor in many stack failure incidents was incorrectly declared container weights. The MAIB speculated that incorrectly declaring a weight is so prevalent because: 1. There is a lack of accurate weighing facilities available to shippers. 2. Shippers deliberately declare lower weights to avoid import duties, maximize container use, and bypass road and rail weight rules. As the responsible party for setting minimum standards for international shipping design, construction and equipment, SOLAS is taking action. In response to the preventable environmental, economic, and safety incidents caused by inconsistent container weighing, SOLAS is enforcing a new requirement in July 2016 – each container’s weight must be verified. Reports point to the global insurance industry pushing this initiative hard as a way of reducing losses due to misdeclared container weights. So what does this mean for terminal operators? While the main responsibility for accurate weighing falls on shippers, terminal operators do need to protect themselves by ensuring weights are accurately recorded. According to an insurance expert quoted in the Journal of Commerce, terminal operators are at risk when they lack evidence for their refusal to process a container. While the regulation presents an opportunity for some, like New Zealand-based firm Bison who have created revolutionary weighing jacks, many organizations are
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accepted by the International Maritime Organization (IMO): 1. Weighing the packed container after loading and sealing. 2. Weighing all of the constituent cargo items including pallets, dunnage, and packing material and adding it to the tare mass of the container. Verified container weights In Master Terminal there are four ways that the weight of a container can be verified: 1. Weighing the container on a weighbridge. a. Configure your terminal’s weighbridge in Master Terminal by recording any known vehicle, chassis, generator, machine, and cargo tare weights. b. Weigh containers by directing a truck or machine to your weighbridge. Master Terminal records the total weight. c. Master Terminal subtracts the known tare weights from the total weighed value to calculate the weight of the container on the vehicle or machine. 2. Weighing the container in-machine. If your terminal has machines such as forklifts, reach stackers, or straddles with in-machine weighing capability then you can record weights without the need for a weighbridge. When one of these machines picks up a container, Master Terminal enables you to weigh containers automatically or manually by using radio telemetry. Note: By default a weighbridge or inmachine weight in Master Terminal is recorded as a verified weight. If this is not the case just uncheck the “Weight Certified” checkbox. A weighbridge can also be used to weigh constituent cargo items including any pallets, dunnage, and packing material.
unprepared for this legislation change and have spent little time planning how to implement this new requirement. Anyone involved in container operations – shippers, hauliers, carriers, and terminals – need to be aware of the time, equipment, and processes required to verify container weight, and have everything in place before 1 July 2016. Otherwise they could be facing serious operational, commercial, and legal consequences.
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For terminal operators, the new regulations are likely to provide a commercial opportunity. They will be able to offer container weight verification as a service to shippers, who may not have access to the facilities needed to conduct container weighing operations. Jade Software Corporation’s terminal operating system Master Terminal™ is configured to handle the two methods of container weighing
3. Weighing the container with a To Do task. In Master Terminal you can assign a container a “Requires Weighing” To Do task. When a driver accepts a radio telemetry move, the system automatically checks to see whether the container requires weighing. If the container has already been successfully weighed, the system does not require the container to be weighed again unless specifically requested. If a container has an uncompleted “Requires Weighing” To Do task, you cannot release it to a destination terminal unless that terminal is in the allowed release terminals list
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terminal operating systemS
MASTER TERMINAL VERIFIED WEIGHT FEATURES: - Record a cargo’s weight using in-machine technology or weighbridges that interface directly to Master Terminal. - Manually enter a prerecorded cargo weight and mark it as verified. - Store known weights in Master Terminal including trucks, chassis, packaging and pallets. - Apply stops to packed cargo so that containers without a verified weight will not be loaded on to a vessel. - Enable load list comparisons so that a terminal can identify any discrepancies in weight between what the terminal and the shipper has as the verified weight. of the To Do task. If you attempt to release a container that has To Do tasks, an error is displayed when you try to depart the truck, train, or vessel from the terminal. Note: A weight that has not been taken programmatically from a machine (i.e. entered via a form) is not certified by default, but can be setup to be certified if you require. 4. Manually updating the flag in the cargo inquiry screen. If the container has been officially weight verified (internally, or by a partner), you can check the “Weight Certified” check box in the cargo inquiry screen of Master Terminal.
You can specify which of these cargo items are to be automatically weighed. For each terminal you can also specify whether an operator requires its import or export containers to be weighed. Interfacing and data transmission Further benefits of Master Terminal’s container weighing functionality include the ability to interface with external weighing systems, and the ability to transmit data via wireless networks. Master Terminal also enables terminals to receive and communicate the verified weight of
packed containers via Electronic Data Interchange (EDI) messages in line with the new SOLAS requirements. As mandatory container weighing regulations approach, is your terminal in position to capitalize on this opportunity? l
Reporting Master Terminal allows you to run transaction reports to determine whether any container still requires weighing and a yard allocation can be used to separate containers that still require weighing. Master Terminal can also record how the verified weight has been obtained. Not just containers Master Terminal is designed to handle mixed cargo, meaning that weights can be measured not just for containers but also for bulk and break bulk cargo, RORO, and project cargo.
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DIGITAL PORTS: the evolving role of port authorities by Dr Oscar Pernia, Senior Director Product Strategy, Navis and Dr Francisco De Los Santos, Chief Digital Officer, Algeciras Port Authority
Ports are complex operational environments comprised of different stakeholders who need to work together to maximise efficiencies for the entire supply chain. Increasingly, port authorities are taking a more active role in optimising operations at the port by coordinating each aspect of the vessel visit.
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y redefining the mission and role of each stage of the vessel visit, ports can significantly improve their efficiency, security and environmental impact. With mega-vessel port calls becoming a reality, improving operations management through optimisation is an important area of focus for port authorities. Pilots, line men, tugs, and other vessel services can optimise their operations through a focus on collaborative information sharing. To manage congestion, create business value and increase a port’s competitiveness, the collaborative sharing of data is critical and will enhance port operational excellence and quality of service: ultimately leading to the “Digital Port”. Overall, port operations management requires clear focus areas regarding the optimisation of operations to get tangible results. These include: PROCESS & ‘RECORDING’ There has traditionally been a lack of definition on the different planning, monitoring and control processes supporting port operations, as well as a lack of clarity on definitions and nomenclature across the different data points and key performance indicators (KPIs). Removing these constraints will help to optimise related operations. MEANINGFUL INFORMATION & DATA INTEGRATION Before focusing on integrating system applications, ports must first take into account the information that needs to be integrated. By leveraging data and sharing information, opportunities for the ‘inter-connection and integration’ of the different processes supporting operations can be identified.
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USER INTERFACES & OPERATIONS MANAGEMENT Data has to be shown first with an optimal algorithm. Tackling the specific problems that become evident from the data should be secondary. That data should also be shown in simple and intuitive ways to enable the staff in charge of planning, monitoring or analysis to manage operations in a safe, secure and efficient way.
BUSINESS INTELLIGENCE & ANALYTICS Realtime and historical data should be easily accessible and analysed to enable the port to make operational and strategic decisions based on the knowledge derived from the data. Traditionally, from a software perspective, port authorities have focused on Port Community Systems (PCS) and Port Operations Management Systems (POMS). New requirements on efficiency, security and environment present a
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ELEVATING TO NEW HEIGHTS
‘OICT, a high productivity terminal and the gateway port of Oman’
TERMINAL OPERATING SYSTEMS
Algeciras BrainPort 2020 represents a move toward a new port management model where, besides improving port products and services for enhanced efficiency, security and sustainability, it also serves to instill a new culture and mindset focused on continuous improvement and operational excellence.
scenario where additional technological investment is critical to incorporate both “process intelligence” and “operational optimisation” across all the logistic processes within the port. New port ecosystems go far beyond PCS and POMS and reinforce the use of operational data to ‘connect the dots’ between different port processes, enabling process coordination and holistic optimisation at waterside and landside, and supporting the strategy of port authorities to increase transparency and visibility in order to enable better collaboration between key port stakeholders. POrt OF alGeciras’s DiGitalisatiOn & innOVatiOn PrOGraM Port authorities such as Singapore, Long Beach, Rotterdam and Hamburg have initiated large technology projects. Digitalisation programs are driven to promote the value of data driven solutions to ‘connect the dots’ between the different applications supporting the port’s business and operational processes. Ports realise that their future is not only tied to infrastructure development, but also to smarter approaches and a seamless
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integration of the port community. A culture emphasising continuous improvement with operational efficiency across the whole port community will be the most important differentiator for port competitiveness. The use of technology becomes critical to enable process improvements across port logistics, including both water and landsides. Algeciras is following a similar path to these ports. The Port of Algeciras Bay Authority (APBA) has the privilege and responsibility of managing one of the four main global maritime transshipment hubs, where Algeciras serves as a fundamental node for the different transoceanic routes and services articulating the global scenario for container shipping. APBA is driving an innovation program named Algeciras BrainPort 2020 (ABP2020), strongly driven to better support the ‘Container Shipping’ and ‘RoPax’ businesses, emphasising quality of service excellence.
‘Research’ + ‘Development’ + ‘Digital Transformation’ (R+D+I) • Re-engineering of port processes and port management tools • Technology and software developments in areas such as PCS, POMS, Advanced TELCO and Analytics/Simulation • Culture and mindset that is focused on operational excellence and continuous improvements Algeciras BrainPort 2020 represents a move toward a new port management model where, besides improving port products and services for enhanced efficiency, security and sustainability, it also serves to instill a new culture and mindset focused on continuous improvement and operational excellence. During Phase 1 of ABP 2020 (2014-2015), IT infrastructure and innovation frameworks have been created as the core for the digital transformation journey. Phase 2 will focus on
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terminal operating systemS
•
M&R). Simulation and Business Intelligence for high-value analysis for promoting high-value analytics, continuous process improvements and advanced training methods for the port community
APBA is strongly focused on implementing these projects in ‘ABP 2020’ and following international standards, as well as developing solutions that are not only specific to Algeciras, but have global implications.
improving collaboration and synergies among the whole port and logistics community. neXt stePs FOr DiGital transFOrMatiOn In Phase 2, the ‘ABP 2020’ program is being designed to minimise the impact on the whole port community with involvement from many different constituents. While ABP 2020 is consolidated, APBA is planning the next steps for technology and innovation deployments that will impact APBA’s ports business and the value delivered to its customers: • The APBA value proposition aims to promote advanced integration within the Algeciras port community to establish new boundaries for Terminals Container Rail collaborative decision making (CDM) supporting port operations • Other initiatives like the EU-Funded Monalisa 2.0 Project are also working on the
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concept of sea traffic management (STM) and port collaborative decision making (PCDM) to improve the transport chain and optimise operations making real-time information available to all interested and authorised parties. The philosophy behind this is clear: Better Information, better coordination, better operations, more shared value. focus of APBA technology efforts • A Port Operations Management System and its impact on port operational processes and vessel call management • l A Port Community System and its impact on port logistics, landside management and port ‘integration’ with logistics zones • l Smart Sensors for Vessel & Terminal Operations and the created value for port authorities’ vision on becoming a ‘full service ports’ (container terminals, bunkering, ship
APBA vision of a port’s digital transformation journey • Building a port digital layer with realtime information of every business process to control efficiency • l Developing a business analytics platform to learn more about the business and improving decision making process • l Setting up a port collaboration platform with smart integration of systems and agents to share meaningful information and thereby enable a high-quality seamless logistics chain • l Development of a holistic port process simulator for planning (scale of years) and management (scale of hours), in order to try different scenarios and optimise operations • l Building of a systematic innovation culture within the entire port community which makes it possible to challenge the status-quo and adopt new business models ABOUT THE AUTHORS Dr. Oscar Pernia is responsible for Navis Product Strategy. Prior to his current role, he focused on terminal automation, being part of the core team designing, testing and deploying the new N4 3.0 platform. Early in his career Oscar spent eight years in IT with Algeciras Bay Port Authority holding a variety of positions managing projects focused on technology, process optimization and integration. Dr. Francisco de los Santos is Chief Digital Officer at Algeciras Port. He is responsible for Technology and Innovation, where his main goal is to lead the port digital transformation to enhance operational excellence and quality of service. l
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Customs, Security & Surveillance
customs, security & surveillance
Dubai Customs: world class standards The initiatives put on display by Dubai Customs (DC) at the Dubai International Government Achievements Exhibition (DIGAE) 2016 stood out among the rest at the mega exhibition. They were greatly applauded by visitors as they provided tools to deliver better Customs services to the public.
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C’s latest smart achievements and initiatives that were showcased at the exhibition are the Virtual Corridor, Smart Enterprise Capability, Enterprise Case Management, Smart Inspection Glasses, Smart Workspace and the Authorized Economic Operator (AEO) Program. Dubai Customs’ pavilion was themed “Customs achievements… World-class standards”, and through its smart, user-friendly design, it enabled visitors to get ample information on the exhibited initiatives with much ease and convenience. One of the DC initiatives that most attracted the crowds’ attention was the Virtual Corridor, as it offers a great way of cutting costs of business operations and, thus, helps companies enhance their earnings. The Smart Inspection Glasses were also very popular and helped deliver greater footfall to the exhibition stand. This leading-edge technology makes containers inspection at Customs checkpoints quicker and easier, by displaying to inspectors the container’s Customs Declaration, its risk assessment and x-ray images in a one-stop little screen so they can accordingly take proper measures.
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Commenting on Dubai Customs’ active participation in the international show, Chairman and CEO of DP World and Chairman of Ports, Customs and Free Zone Corporation HE Sultan Ahmed bin Sulayem, stated, “Dubai Customs is taking full advantage of its participation in the DIGAE to share with others its innovative ideas that specifically target client happiness and a faster trade flow. Innovation has become an integral part of our day-to-day operations at Dubai Customs.” Bin Sulayem commended the 4th edition of the DIGAE which is seeing international participants for the first time, allowing an open dialogue between top government officials, decision makers as well as the public, in a bid to improve the efficiency and delivery of government services. On the other hand, HE Ahmed Mahboob Musabih, the Director of Dubai Customs, said that “Our presence in the DIGAE 2016 is in line with DC’s commitment to sharing its experiences with interested parties and to shed light on the smart initiatives created to ensure our customers are happy. “DIGAE has become a global hub for government authorities from across the planet to come together to share their insights and best practices on public sector service delivery. This is an opportunity we cannot afford to miss, as the fair serves
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the feedback sheet linked to the system. SMART GLASSES The Dubai Customs has launched a pair of innovative smart inspection glasses.The pioneering home-developed glasses were a big draw at the customs’ stand at the Dubai International Government Achievements Exhibition (DIGAE) 2016. Ahmed Mahboob Musabih, Director of Dubai Customs, said this cutting-edge technology makes container inspections at customs checkpoints quicker and easier. “The glasses instantly display the container’s customs declaration, as well as its risk assessment and x-ray images on a one-stop little screen, and accordingly help inspectors take proper measures.” The smart glasses have significantly cut the time needed for inspection process from one or two days to only two or three minutes. The smart inspection glasses are Google Glass which is equipped with a new software application that connects it straightaway with three customs sections for faster, safer and more accurate transactions. For the time being, the Dubai Customs has bought three pieces, each of which costs Dh3,500.
to introduce both the local and international communities to latest offerings by government departments in Dubai.” SOME OF THE INITIATIVES UNDERTAKEN BY DUBAI CUSTOMS IN THE LAST YEAR: Advanced Container Scanning System (ACSS) The Advanced Container Scanning System is the first innovative and comprehensive solution in the world that combines and integrates multiple components of inspection technologies. It is the latest world-class integrated system for container X-ray screening. The device is capable of scanning the contents of 150 containers per hour moving at 8 to 15 km/hour, that is one truck every 24 seconds. Developed and deployed in house by Dubai Customs, the ACSS is aimed at enhancing border security, reducing waste of resources, and reinforcing risk mitigation while maintaining a smooth flow of trade. In 2014, around 380,000 containers were referred to inspection by ACSS at Jebel Ali Customs Center. Smart Customs Inspection System A first-of-its-kind inspection system worldwide, the Bags Smart Inspection System has been invented by Dubai Customs to better facilitate the customs inspector’s functions, in a swift and innovative manner apart from
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any stalling or complexity. The system aims to improve the customs experience for air travellers, ensuring smooth and seamless airport procedures. The new invention has the capacity to conduct the whole inspection process in less than three minutes. The integrated multi-function system is capable of recognising its operator, identifying risk level, recommending the safety level for manual inspection referral, timing the inspection process, generating an inspection end statement (positive/negative), establishing a record of the manually inspected bags, analyzing peak times for manual inspection, establishing a passengers’ data base record while measuring their levels of satisfaction and happiness post to their input in
Smart Phone Services Dubai Customs delivers its entire array of services to clients through smart gadgets. Its integrated system of smart services does not only allow clients to submit their requests through mobile phones, but also ensures the requested services are processed the moment they are received by the respective employee. E-mails are sent to clients immediately after the implementation begins, informing them about the time needed to deliver the services they requested. Dubai Customs saved customers the time and trouble of filling out shipping details, as this information can be obtained automatically through the network points between DC and handling agencies. Dubai Customs was the first
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SECURE COMMERCE.
CONNECTED.
Integrate and Optimize Cargo Screening Operations With ClearView™. L-3’s ClearView software solution brings new value-added capabilities to customs and security operations, delivering maximum efficiency, lower resource costs and support for diverse multi-vendor legacy NII systems. Operating in a secure, broad enterprise network environment, ClearView seamlessly combines image analysis, system operations and data from all scanning systems onto a single, centralized display. This collaborative detection capability yields higher throughput, greater operational efficiency and increased probability of detection. Our team is ready to do for you what we’re already delivering for customers globally. For more information, please visit L-3com.com/sds. Security & Detection Systems
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customs, security & surveillance
In 2014, around 5.9 million declarations were submitted to Dubai Customs. The Risk Engine referred 4.7% of these declarations (281,300 declarations) to the Risk Mitigation Team at the Customs Declaration Management for further investigation, as per the plan proposed by the Intelligence Department. government department in Dubai to provide 100% of its services to clients through smart phone devices and tablets in October 2013. And almost two years ago, on July 2014, DC launched smart watch services, offering its customers more convenience and accessibility to services. This is an added value for customers, as it cuts down their business costs, saves their time and reduces the need for personnel to carry out customs transactions. Risk Engine The in-house developed Risk Engine is primarily fed with information from various sources to identify the suspected shipments at a high level of accuracy and refer them to inspection according to intelligence standards and bases, so as to reach the best results in combating smuggling and save the time and effort in inspections to enable customers to get their shipments cleared in a timeefficient manner. Consequently, 84% of the safe transactions (i.e. risk-free) are evaluated by the Risk Engine and cleared
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seizures that resulted following referral from the Risk Engine are a Tramadol seizure in 2014 that contained 108 boxes of this substance, a 550,000 Captagon pills seizure, a major 171.2 kg Cocaine seizure which is considered as one of the largest nationwide during the past five years, besides numerous seizures of ivory, bladed arms, and items of sorcery and witchcraft.
electronically without any human intervention in less than two minutes. In 2014, around 5.9 million declarations were submitted to Dubai Customs. The Risk Engine referred 4.7% of these declarations (281,300 declarations) to the Risk Mitigation Team at the Customs Declaration Management for further investigation, as per the plan proposed by the Intelligence Department. The smart system helped in scoring numerous seizures since its launch. Some of the major
Virtual Corridor The “Virtual Corridor” is a newly adopted customs procedure for the transportation of goods under a Cargo Transport Request between two Dubai Customs centres and only by Dubai roads connecting the center of entry (access from the outer world) to the center of exit (destination in Dubai). The new initiative aims to facilitate the movement of transit goods and reduce operational costs for clients in order to further consolidate Dubai’s business competitiveness and sustain its
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customs, security & surveillance
economic growth by attracting in more traders and investments. Among its main benefits, the Virtual Corridor helps expedite the process of moving cargo form one customs center to another inside Dubai. It is also costefficient for traders as they move their goods across different customs centers; participants in the Virtual Corridor can avail themselves of a virtual financial guarantee granted by Dubai Customs. In addition, customs processes are now made simpler and more streamlined with automated cargo transport requests. The pilot phase of the project, which involved 16 leading handlers and freight companies, was well received by all participants. A total of 10,024 transactions were processed using the Virtual Corridor between August 26, 2014 through March 21, 2015.
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Amphibious Craft (Mobile Laboratory) The Amphibious Craft is an environment friendly vehicle, equipped with 10 cuttingedge inspection devices, all operated with solar power around the clock. The high-tech vehicle is created for the purpose of detecting maritime customs threats which Customs inspectors may be prone to while performing their tasks, considering the high traffic of vessels and dhows at Dubai Creek. This project is actuated as per the suggestions of the Customs Intelligence cadre at Dubai Customs. The Amphibious Craft conducts maritime patrols nearby vessels and dhows at Dubai Creek, capable of detecting hazardous and prohibited items within a span of 300 meters by exploring the vessel’s parameter, hull and even the farfetched internal compartments. The Craft is equipped with a live streaming camcorders documenting the inspection, while being remotely monitored by DC’s Command and Control Room. Post Clearance Audit (PCA) The Post Clearance Audit or PCA is an audit-based control conducted by Dubai Customs subsequent to the release of goods to ensure compliance with Customs and other related laws and regulations. Dubai Customs has reinforced its PCA processes with new technologies, making them smart and fully integrated. DC’s clients were invited to “innovation labs” and their optimal feedback was incorporated during the process of making this first of its kind system.
Robotic Inspector The first of its kind “Robotic Inspector” is a robust robotic device used in large vehicles inspections at the inland inspection centers. It helps in reducing the needed time of inspection down to half an hour, rather than earlier 4 hours average for the same process. Inspection Motor Trike Dubai Customs has come up with the idea of using a motor trike for inspection at Hatta Border Port. The Trike is fully equipped with latest technologies in customs processes for inspecting vehicles prior to their arrival at the port’s customs zone. The Trike is set to streamline the flow of travellers and increase security at the port. Safe Customs Inspector Dubai Customs is always keen on providing its inspection team with the utmost of care and attention, being the society’s first line of defense. This effort is interpreted in providing a safe working environment meeting day-to-day field operations needs and functions across all customs ports of entry. DC has provided its team of inspectors with a high-end gear, aiding the inspection process and helping them meet the work environment demands in air, sea and inland Customs centres. Dubai Customs’ Safe Customs Inpector outfit and gear comprise of a field inspection outfit, head protection (cap), moisture wicking jacket, protective handgloves, protective shoes, toxic gas detector, respirator mask (protective against toxic scents and fumes), protective glasses (day/night) and portable camcorder. l
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Environment & Sustainability
Environment & Sustainability
ESPO reveals new Top 10 Environmental Priorities for Ports ESPO has released the results of its recent environmental review 2016 during the PORTOPIA conference in Lisbon in March. The aim of the review is to update the top 10 environmental priorities of European ports and to produce further benchmark figures in key areas of port environmental management. “This data is important as it identifies the high priority environmental issues on which ports are working and sets the framework for guidance and initiatives to be taken by ESPO� says Antonis Michail, senior policy advisor and EcoPorts coordinator at ESPO.
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ir quality remains the number one priority of European ports, as in 2013. This is fully in line with the priority given to the subject at EU political level. The implementation of the Sulphur Directive and the ongoing political process on the air quality package have a clear role to play here. Overall, all the priorities of the 2013 top 10 remain in the top 10 of 2016. There are though some variations in the ordering of
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the priority items. The relationship with the local community, port development and water quality are gaining importance. On the other hand, the handling of port waste, and dredging move down the top 10 scale. Energy consumption becomes the second priority issue of European ports. Since 2009, the importance of energy consumption has raised year over year. One of the reasons is, of course, the direct link between energy consumption, and the carbon footprint of the ports and Climate Change.
Noise appears in number three and has remained a top priority issue since 2004. Relationship with the local community climbs at number four and confirms again the acknowledgement of ports on this important topic. It is clear that ports grant their license to operate and to grow from their local communities. The two waste items, port waste and ship waste, remain in the top 10 on the 5th and 6th position respectively. This shows once more the significance of waste management in
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Environment & Sustainability
ports and the ongoing discussion on the reception of ship generated waste as part of the revision of the port reception facilities directive. The climbing of water quality at number 8 can be linked with the implementation of the water framework directive and the ongoing discussions on the potential impact of washwater discharges by open loop scrubbers. Finally, it is interesting to note that port development (land), dredging operations, and dust are issues that have appeared consistently in the priority list of the European port sector over the last 20 years. Green services to shipping There are three key services/options that ports can consider implementing in order to enable and encourage better environmental performance by the vessels visiting the port. The provision of Onshore Power Supply (OPS), the provision of Liquefied Natural Gas (LNG) bunkering facilities and the
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Building on a long tradition that goes back to 1996, ESPO and EcoPorts regularly monitor the top environmental priorities of European ports authorities. The 2016 exercise builds on data from 91 ports in 20 EU Member States. The outcomes that also include further benchmark figures in key areas of port environmental management and the analysis of trends regarding those over time are incorporated in the latest PORTOPIA Sustainability Report, released on 23 March. Source: ESPO
differentiation of port charges in order to reward greener vessels visiting the port, can all have a positive environmental impact in the performance of vessels and the local air quality in European ports at large. ESPO, EcoPorts and PORTOPIA consider timely and topical to monitor the current status and evolution regarding the application of these key services in European ports. Hence, the EcoPorts SDM checklist was updated in spring 2015 in order to allow for data collection in these three key areas. The review of 2016 then is setting for the first time the baseline regarding the uptake of these services in European ports. Due to this recent SDM update, it is important to mention that the results presented in this section are based on the contribution of 61 ports (instead of the 91 ports that contributed to the rest of the indicators presented in this report). The baseline figures that are presented below should be interpreted with caution. They set the basis for the further monitoring of trends in the following years. The results confirm that offering differentiated port charges to reward greener vessels is an already well established practice in the majority of the respondent ports (62%). This is a voluntary practise by port authorities that choose to go further than controlling their own environmental impact and encourage a positive change of behaviour on the vessels performance side. Environmentally differentiated port charges are encouraged and promoted through the ESPO “Green Guide; towards excellence in port environmental management and sustainability.” The results regarding the provision of Onshore Power Supply (OPS) require a careful interpretation. The overarching question “do you provide OPS?” encompasses both the provision of high and low voltage installations. In reality, in the big majority of cases, high voltage OPS is required in order to be used by commercial seagoing vessels. There are however few exceptions (e.g. ports of Stockholm and Helsinki) where low voltage OPS is also used by commercial ROPAX vessels. Despite therefore the surprising 53% of respondent ports that provide OPS in their port (either high or low voltage), the appropriate figure to be used in order to set the 2016 baseline for the provision of OPS for commercial vessels is the one that describes the provision of high voltage OPS. One out of five of the 61 respondent ports (20%) have such high voltage OPS installations in place. The low voltage OPS figures mainly relate to inland and domestics vessels as well as auxiliary vessels (e.g. tugs and/or other port authority vessels). l
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Environment & Sustainability
DP World signs MoU with Trakhees to enforce tougher pollution control At Jebel Ali Port In a far-reaching move to tackle hazardous liquid pollution at its flagship Jebel Ali Port, DP World UAE Region signed a Memorandum of Understanding with The Department of Planning and Development – Trakhees, the regulatory arm of Ports, Customs and Free Zone Corporation in Dubai, PCFC, to enforce the International Convention for the Prevention of Pollution from Ships (MARPOL).
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ARPOL, mandated by the maritime regulatory body International Maritime Organisation (IMO), is the main international convention covering prevention of pollution of the marine environment by ships. All reception facilities catering for vessels at Jebel Ali Port will be required to ensure that starting January 1, 2017 they are required to be certified under IMO-MARPOL protocol.
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The MoU was signed by Arif Obaid Al Dehail, CEO, Trakhees-PCFC and Mohammed Al Muallem, Senior Vice President and Managing Director, DP World UAE Region. The MoU is designed pave the way for preventing and minimising pollution from vessels calling at Jebel Ali through rigorous inspections by Trakhees-PCFC officials, and will cover the discharge of oil and other noxious liquid substances, whether caused accidentally or during routine operations.
Mohammed Al Muallem, Senior Vice President and Managing Director, DP World, UAE Region, said: “DP World UAE Region is committed to minimising the environmental impact of its business activities in order to bring sustainability into every aspect of our work. We have an active pollution monitoring and control system at our flagship port and strongly believe this MoU with Trakhees will further strengthen our resolve to implement the IMO’s MARPOL regulations to ensure all service
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Environment & Sustainability
covering prevention of pollution of the marine environment by ships from operational or accidental causes. It is a combination of two treaties adopted in 1973 and 1978 respectively and updated by amendments through the years. The International Convention for the Prevention of Pollution from Ships (MARPOL) was adopted on 2 November 1973 at IMO and covered pollution by oil, chemicals, harmful substances in packaged form, sewage and garbage. The Protocol of 1978 relating to the 1973 International Convention for the Prevention of Pollution from Ships (1978 MARPOL Protocol) was adopted at a Conference on Tanker Safety and Pollution Prevention in February 1978 held in response to a spate of tanker accidents in 19761977. (Measures relating to tanker design and operation were also incorporated into a Protocol of 1978 relating to the 1974 Convention on the Safety of Life at Sea, 1974). As the 1973 MARPOL Convention had not yet entered into force, the 1978 MARPOL Protocol absorbed the parent Convention. The combined instrument is referred to as the International Convention for the Prevention of Marine Pollution from Ships, 1973, as modified by the Protocol of 1978 relating thereto (MARPOL 73/78), and it entered into force on 2 October 1983 (Annexes I and II).
providers at our port conform to these international standards.” Arif Obaid Al Dehail, CEO, Trakhees- PCFC, said: “TrakheesPCFC is responsible for environmental safety at DP World UAE Region facilities and enforcing the IMOMARPOL protocol will take our involvement to an enhanced level. We thank DP World UAE Region for the high level of cooperation with our teams and look forward to raising the bar for pollution prevention and control in Dubai through the IMOMARPOL initiative.” MARPOL convention includes six technical annexes to regulate the prevention of pollution by oil, noxious liquid substances in bulk, harmful substances carried by sea in packaged form, sewage, garbage, and air pollution from ships. The MARPOL Convention is the main international convention
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Building on a long tradition that goes back to 1996, ESPO and EcoPorts regularly monitor the top environmental priorities of European ports authorities. The 2016 exercise builds on data from 91 ports in 20 EU Member States. The outcomes that also include further benchmark figures in key areas of port environmental management and the analysis of trends regarding those over time are incorporated in the latest PORTOPIA Sustainability Report, released on 23 March. Source: ESPO
The Convention includes regulations aimed at preventing and minimizing pollution from ships - both accidental pollution and that from routine operations - and currently includes six technical Annexes: Annex I Regulations for the Prevention of Pollution by Oil Annex II Regulations for the Control of Pollution by Noxious Liquid Substances in Bulk Annex III Prevention of Pollution by Harmful Substances Carried by Sea in Packaged Form Annex IV Prevention of Pollution by Sewage from Ships Annex V Prevention of Pollution by Garbage from Ships Annex VI Prevention of Air Pollution from Ships (entry into force 19 May 2005) States Parties must accept Annexes I and II, but the other Annexes are voluntary. l
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mooring & Berthing
Take a smarter approach with Trelleborg Trelleborg’s marine systems operation is helping ports and terminals deploy smart engineered solutions for port approach, berthing, docking and mooring.
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ith larger ships carrying more cargo, ports and terminals are under increasing pressure to ensure they have the infrastructure to support higher levels of throughput. As always, facilities continue to look for efficiency gains to reduce unit costs through quicker and more consistent processing. As a result, new technologies, and in particular automated technologies, have moved up the agenda for ports and terminals across the globe. Automated technologies enable a smarter approach, and can be used to inform a more collaborative and integrated supply chain, where information is shared
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to guide strategic decision making and quality can be driven up across the board. Trelleborg’s marine systems operation is helping ports and terminals deploy smart engineered solutions for port approach, berthing, docking and mooring. From assisting port approach with highly intelligent navigational aid systems, to superior ship to shore communication throughout Liquefied Natural Gas (LNG) transfer, to the safe docking and mooring of the world’s largest vessels with high performance fenders and Quick Release Hooks (QRH). Trelleborg enables better informed realtime and strategic decisions, both onshore and on the vessel.
Marimatech acquisition Trelleborg’s commitment to this approach recently saw the company sign an agreement to acquire Marimatech A/S, a Danish company that designs and manufactures advanced marine positioning and piloting systems, primarily specializing in the development of software used for docking and mooring ships offshore and in ports. Marimatech’s product portfolio of intelligent docking and mooring solutions, which includes the SafePilot and other Portable Pilot Units, Berthing Aid Systems and Environmental Monitoring Systems, will further enhance Trelleborg’s existing docking and mooring solutions portfolio, strengthening the company’s offering as a turnkey supplier of systems for both ship and terminal owners. Marimatech’s navigation and ship positioning product line uses the latest ‘smart’ technology and can be utilized in other applications. This technology can be integrated with Trelleborg’s existing range, as the company looks to take a smarter approach to port and terminal efficiency, extending the automation that is becoming increasingly wellestablished on the land side to the jetty side too. Of equal importance is the fact that Marimatech truly shares Trelleborg’s standards, having been built on the values of innovation, technology and quality. Marimatech has a head office and production facility in Aarhus, Denmark, and, like Trelleborg, takes care of the full end to end solution, with in-house design, manufacturing and project management capacity. Transferring know-how for smarter LNG LNG operations require reliable, safe uptime. Trelleborg is setting the standard in helping the industry achieve exactly that. In the LNG arena, Trelleborg recently passed a major milestone with the shipment of its 600th SeaTechnikTM Ship Shore Link (SSL) system. The SeaTechnikTM SMART SSL system will be installed on a 174,000m3 LNG Carrier (Hull number 2411), being built by Daewoo Shipbuilding & Marine Engineering (DSME) at its Okpo ship yard, Goeje Island, South Korea, for Teekay shipping Limited. The majority of the world’s LNG cargo fleet and terminals are equipped with SSL technology, a system for communicating the emergency shutdown (ESD) signals, telephone and process data required when cargo transfer is undertaken from ship-toshore and from shore-to-ship. Teekay and DSME have been key customers for Trelleborg since the introduction of the first SeaTechnikTM SSL product 15 years ago. Innovation is one of Trelleborg’s key values and has driven product development from the first analogue systems, to
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mooring & Berthing
the latest digital systems, controlling complex Floating Regasification and Storage Units (FSRUs) and LNG fueling for marine vessels – which include full process data transfer between vessels and terminals. In such an important market, and one that has seen many SSL suppliers come and go, often leaving customers exposed due to lack of support, Trelleborg is proud of the fact the company invested for the long term, and the reward is the 600th SSL milestone. Materials best practice Materials best practice is integral to Trelleborg’s smarter approach. It is this commitment that ensures Trelleborg remains a world leader in the design and manufacture of marine fenders, oil and gas transfer, ship performance, docking and mooring and surface buoyancy solutions. Over the course of 2015, and evolving previous work on the importance of material selection and the manufacturing process on the quality of rubber fenders, Trelleborg established that modulus – the relationship between stress and strain in a cured rubber sample – is a more effective and robust measure of fender performance than hardness, which is the standard industry measure. Trelleborg also highlighted the importance of the mixing process, with the research revealing that even a superior rubber formulation – one which uses natural rubber and reinforcing fillers –
can be degraded if it is subjected to an inferior mixing process, ultimately producing a low performance compound and a low performance fender. With an unrivalled understanding of the intricacies of materials best practice, Trelleborg is able to equip port and terminal owners, operators, consultants and contractors with the knowledge and tools to generate robust fender specifications that help to maximize operational efficiency. By conducting technical seminars, Trelleborg is able to educate those across the industry how to achieve exactly that. For instance, in 2015 the company hosted an exclusive one-day seminar in association with PIANC in Cape Town, South Africa for port consultants. This saw Trelleborg experts discuss a range of issues, including the importance of rubber compound composition in the wholelife performance of fender systems and how consultants can determine the formulation of the fenders they procure. The seminar also provided valuable insight on rubber and foam fender design, and selection best practice. Smarter product development Continuing to build on its reputation for consistent innovation to meet exacting project requirements, and in-line with its smarter approach to port and terminal equipment optimization, Trelleborg recently launched a new ISO 17357-1:2014 compliant, high performance pneumatic fender. Designed to address the unique needs of port
Trelleborg has established that modulus – the relationship between stress and strain in a cured rubber sample – is a more effective and robust measure of fender performance than hardness, which is the standard industry measure. and terminal applications and for offshore ship-to-ship transfers, the design of this quality assured, market leading fender features a thinner, lighter body, with improved netting design, improved visual appearance of the hemispherical ends and enhanced continuity of end fittings. After detailed research into optimum tire cord reinforcement, this has also been re-evaluated and reengineered for better performance. Take a smarter approach Better connected systems mean faster turnaround and increased throughput, improved safety and lower operating costs. Connecting decades of experience with a new, smarter approach to port and terminal equipment optimization, Trelleborg works with customers to determine best fit solutions for specific applications, and supply a fully integrated solution. End-to-end service and a comprehensive product portfolio meet and exceed customer needs, enhancing safety and improving efficiency in all marine environments, from conception to completion and beyond. l
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world’s first marine wireless charging and mooring concept An agreement has been signed between Cavotec Group and Wärtsilä to jointly develop the world’s first combined induction charging and automatic mooring concept.
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avotec provides automated mooring systems for various types of vessels, as well as shore power and reel systems. Wärtsilä has developed a wireless charging system based on inductive power transfer. By combining the strengths and expertise of the two companies, an integrated wireless charging/ mooring concept will be developed for use in Wärtsilä’s ship designs. Cavotec’s mooring system is a vacuumbased automated mooring technology that eliminates the need for conventional mooring lines. Remote controlled vacuum pads recessed in, or mounted on, the quayside, moor and release vessels in seconds. The technology dramatically improves safety and operational efficiency, and also enables ports to make
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infrastructure savings. It has performed more than 145,000 mooring operations at ferry, bulk handling, Ro-Ro, container and lock applications worldwide. “Cavotec is well-known for it’s innovative approach to engineering and we are a leader in the field of automated mooring and Alternative Maritime Power supply systems. This is an exciting project and we are delighted to be partnering with Wärtsilä to make shipping cleaner, safer, and easier. The envisioned integrated wireless charging and mooring system will further the marine industry’s environmental profile,” says Ottonel Popesco, CEO of Cavotec Group. Wireless charging provides an alternative to the cable connection between the vessel and shore, securing and facilitating safe connections and
disconnections. It also reduces maintenance since wear and tear to physical connection lines is eliminated. Similarly, damage to electrical outlets caused by seawater, snow and ice is also avoided. The new project’s integrated system will be capable of transferring more than 1 MW of electrical energy. This is some 300 times more than that of current chargers used by electric cars. “During recent years, wireless charging has been introduced for cars, busses and trains. Wärtsilä has now made this possible also for marine vessels. This agreement with Cavotec will enable this technology to be delivered as an integrated charging and mooring system,” says Peter Rogers, Director Power Products, Wärtislä Marine Solutions. The environmental challenge has been the starting point for Wärtsilä’s work in developing battery/hybrid technology for marine vessels. By making wireless charging of ship batteries possible, the electrification of coastal shipping is enhanced, resulting in major reductions in harmful exhaust emissions. Wärtsilä has already launched an innovative ferry concept featuring wireless induction battery charging. Supporting customers to become more productive while reducing their environmental impact is a well established cornerstone of Cavotec’s operations. In 2015 Cavotec completed installation of the world’s first combined automated mooring and shore power system in Norway, servicing Norled’s fully battery powered ferries. Featuring integrated MoorMaster™ automated mooring and Alternative Maritime Power electrical supply systems the project demonstrates Cavotec’s capacity for innovation, underlining its ability to offer integrated systems that maximise efficiency and environmental performance. l
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A GLOBAL NETWORK A LOCAL, PERSONAL APPROACH MSC is a world leader in global container shipping and a company that prides itself on offering global service with local knowledge. The company has access to an integrated network of road, rail and sea transport resources which stretches across the globe. Excellent and flexible customer service is at the heart of the company’s ethos - which means having total confidence in the quality of service you will receive. To find out more, contact your local MSC office.
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Quarterly - 1st Edition 2016