Page 2 - Al-Rashed Newsletter April 19

SHIPPING WORLD
FUTURE OF SHIPPING

Technology is reshaping the marine industry. Over the
next decade or so, new technologies promise to
completely transform shipping: an industry that is the

engine of 90% of global trade.
Industries across the spectrum are coming to terms with the fundamental changes
that technological advances in areas such as artificial intelligence, robotics,

automation and connected devices will have and the opportunities and threats they
pose.
The newest technologies that could be the next big thing in shipping is generalized
as below:

Unmanned ships
While cyber risks are acknowledged as an inescapable side effect of technological
advancement, this is a technology to watch out for. The development of semi-
autonomous or autonomous vessels is still in its early stages, but as the market
begins to explore adoption, making it a technology worth looking out for. Challenges
for this include technological obsolescence, legal and regulatory ramifications,
insurance issues and loss of employment.

Smart shipping
Smart shipping is the inclusive term coined by the industry to describe the digital
technologies available for determining and optimising operational effi ciency.
Tightening margins and the affordability and availability of computing power have
met to form opportune conditions for the adoption of smart shipping: weather-
routing, voyage planning, fuel consumption, emissions control and predictive
maintenance are popular options for improved commercial effi ciency as well as
meeting new regulatory standards.

Energy management
The top ranked advantages of energy management solutions include reduced fuel
consumption, enhanced efficiency, improved corporate reputation and optimised
operational profile.Fuel accounts for as much as half of the operating costs for the
shipping industry making the cost of fuel a major driver behind steps to improve
energy effi ciency. The cost of heavy fuel oil (HFO) - the fuel most commonly
burned in ship engines - has remained relatively low over the past decade, at least
by historical standards. While the cost of HFO remains low relative to energy
D I D Y O U management solutions, the benefi ts will likely be outweighed by the level of
investment required to engage alternatives.
K N O W ? Green technology

The priority for most vessel operators is to ensure they stay up to date and in
T h e l a r g e s t o c e a n compliance with incoming environmental regulation. Additional hardwares such as
exhaust gas scrubbers and ballast water treatment systems lead to additional
l i n e r s p a y a
pressures on crew, who must be offered training and acquire new competencies to
$ 2 5 0 , 0 0 0 t o l l f o r safely operate it. Green technologies may put additional pressure on crew who will
e a c h t r i p t h r o u g h need to acquire new competencies as well as taking on additional maintenance
workloads
t h e P a n a m a

C a n a l . T h e c a n a l
g e n e r a t e s f u l l y
o n e - t h i r d o f
P a n a m a ' s e n t i r e
e c o n o m y .

Source: https://www.imarest.org/policy-news/thought-leadership/1010-technology-in-shipping/file