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RUGBY, ENGLAND – As part of the UK Ministry of Defence’s Power Improvement Project (PIP), GE’s Marine Solutions has recently been chosen by BAE Systems to provide a number of marine electrical solutions to support the delivery of additional power generation to the Royal Navy Type 45 Destroyers and enhance the fleet’s power system resilience.

The PIP will see BAE Systems and its partners replace the existing two diesel generators with larger units, fitting an additional larger diesel generator and modifying the high-voltage system on each ship.

GE’s Marine Solutions is contracted to update the electrical power management system on each destroyer to integrate the new generator sets and their power requirement by supplying hardware, including a new high-voltage switchboard, diesel generator neutral earth resistor, battery charger, automatic voltage regulator cubicle and additional automation outstations. In addition, GE will be responsible for power system modelling, updating the power and propulsion automation system, the integration and commissioning of the high-voltage electrical system, and the provision of integrated logistic support data.

“Extreme environmental and operational challenges have made naval vessels drivers of advanced maritime technology. Solutions need to be both highly efficient, resilient and survivable. Meeting these demands goes to the heart of the Royal Navy Type 45 Power Improvement Project,” said Laurence Ellis, Head of Type 45 Power Improvement. “We trust in GE’s deep domain expertise in the electrical space, whether in power and propulsion systems or power management. We believe this partnership, along with many other excellent partners, will deliver the right solution to the Royal Navy.”

“Navies are seeing growing power demands to both achieve propulsion speeds and power energy-intense defence systems onboard vessels. At GE, we look at the ship’s architecture as a complete power network, managing demand and supply in a more efficient and reliable way. We are proud to be chosen by the Royal Navy and BAE Systems to provide naval services to one of the United Kingdom’s most advanced air defence warships,” said Andy McKeran, general manager, GE’s Marine Solutions.

Thanks to the update service being executed by GE, the ships will meet new power system requirements, such as the ability to generate and effectively utilise more electrical power, serving the ship’s operational requirements and the increasing power demands on board. As there is limited space on the existing vessels, GE’s electrical solutions comprise the ideal technology to integrate the new system with a minimized footprint and impact on the existing systems.

“Our electrification expertise in both defence and commercial marine sectors, and our proven power and propulsion capability, make us well placed to deliver power improvements to meet the Royal Navy requirements. We look forward to working with BAE Systems and other partners in delivering updates to the Type 45 destroyers,” said Azeez Mohammed, president & CEO, GE’s Power Conversion business.

Globally, GE’s Marine Solutions has an impressive naval heritage. For nearly 50 years, GE has been a marine electrical power, propulsion and support specialist, with nearly 100 electric and hybrid drive references that empower global navies.

About GE
GE (NYSE: GE) is the world’s Digital Industrial Company, transforming industry with software-defined machines and solutions that are connected, responsive and predictive. GE is organized around a global exchange of knowledge, the “GE Store,” through which each business shares and accesses the same technology, markets, structure and intellect. Each invention further fuels innovation and application across our industrial sectors. With people, services, technology and scale, GE delivers better outcomes for customers by speaking the language of industry. To learn more, please visit www.ge.com

About GE’s Marine Solutions
GE’s Marine Solutions is dedicated to power and propulsion systems for customers in the workboat, merchant, offshore and naval industries. Smart engineering coupled with software analytics, we provide customers with data-driven efficiency. Connecting the physical and digital worlds, GE helps power, propel, position and predict the marine industry for operational excellence.

APL today announced an enhancement to its exclusive Eagle Express X (EXX) service, promising a more expeditious last mile delivery of import cargo with same-day cargo availability at the Global Gateway South (GGS) Terminal in Los Angeles.

The latest development is seen as a more optimal solution for a speedier pick-up and transportation of EXX shipments, where APL will deploy a fully-wheeled operation at GGS, supported by a chassis pool, container yard and truck in-gate lanes that are dedicated to the EXX service. This is an enhancement to the EXX service’s original plan of facilitating cargo collection at an off-dock facility in Los Angeles.

“APL’s enhanced EXX service reflects our desire to further accelerate our customers’ speed to market and take last mile delivery of their U.S. West Coast-bound cargoes to the next level. In securing resources at GGS for the sole benefit of EXX shipments, we reduce the complexity and additional transit time incurred when transferring these cargoes to an off-dock facility. The refined EXX service will, thus, enable shippers to achieve a greater ease of collection and swifter delivery of cargoes to the local California market,” said Jesper Stenbak, Senior Vice President of APL’s Trans-Pacific Trade.

Assuring EXX cargo owners same-day cargo availability, EXX shipments will be discharged from the ship directly to a dedicated fleet of brand new, state-of-the-art and GPS-enabled chassis equipment. To further speed up the collection of these cargoes, separate terminal in-gate lanes will be reserved to allow a more efficient movement of trucks that pick up the EXX cargoes.

Announced to the industry in February this year, the EXX service is a weekly China-U.S. West Coast ocean freight product that boasts the X Factor when it comes to speed of delivery and customer service. The service assures shippers a hassle-free customer experience, an expeditious 11-day transit from Shanghai to Los Angeles, as well as fast cargo discharge on wheels that enables truckers to hook and go.

Calling the ports of Ningbo, Shanghai, Los Angeles, Dutch Harbour, Yokohama and Busan, the first sailing of the EXX service will depart Ningbo on 2 August and Shanghai on 3 August, and arrive in Los Angeles on 14 August.

About APL
APL is one of the world’s leading ocean carriers, providing world-class container shipping and terminal services, as well as intermodal operations supported by leading-edge IT and e-commerce.APL offers transcontinental cargo shipping across Asia, North and South America, Europe, the Middle East, the Indian subcontinent and Australia through more than 120 services calling ports in over 70 countries worldwide. APL is part of the CMA CGM Group, a leading worldwide shipping group founded in 1978 by Jacques R. Saadé and now headed by Rodolphe Saadé.

www.apl.com

Commissioner Rebecca Dye has launched the first phase of her investigation into port demurrage, detention, and free time practices by ordering ocean common carriers to provide information and documents explaining those practices. A similar effort with respect to container terminals at major U.S. ports is also underway.

The Federal Maritime Commission initiated the investigation, Fact Finding 28, under a Commission Order dated March 5, 2018.

The first phase of Commissioner Dye’s investigation involves gathering information from ocean common carriers and marine terminal operators serving a broad section of container ports located throughout the United States. Carriers have been directed to provide detailed information about their detention and demurrage practices, especially regarding circumstances where shippers are not able to retrieve cargo.

“The ultimate resolution of this investigation will have the potential to affect every ocean common carrier calling the United States. It is vital that the information we gather is representative of business and operational practices, as well as market conditions, nationally,” said Commissioner Dye.

Commissioner Dye emphasized that it is critical that shippers, dray truck companies, and other affected parties who can document specific allegations and provide supporting materials of unreasonable port detention and demurrage practices and fees step forward and cooperate with the investigation.

“We expect concerned parties to participate robustly in this investigation. Their cooperation is essential,” said Commissioner Dye.

Acting Chairman Michael Khouri was in Tokyo this week to represent the Federal Maritime Commission at the Fourth Japan-U.S. Maritime Bilateral Meeting, as well as to meet independently with counterparts at the Japan Fair Trade Commission (JFTC).

The U.S. Delegation was led by the Maritime Administrator, Rear Admiral Mark “Buzz” Buzby, and met with officials from the Japanese Ministry of Land, Infrastructure, Transport, and Tourism (MLIT).

The consultations took place on Monday, and the Federal Maritime Commission led discussions addressing consolidation in the ocean common carrier industry. Other topics addressed by participants in the talks included matters related to the U.S. flag merchant fleet; vessel and mariner safety; port, ship, and cyber security; and environmental topics addressing ballast water, ship recycling, and vessel emissions.

On Tuesday morning, Acting Chairman Khouri joined the delegation for a meeting with the American Chamber of Commerce in Japan. He then had a separate meeting with Kazuyuki Sugimoto, Chairman of the Japan Fair Trade Commission, the agency that enforces Japan’s Antimonopoly Act. Following the meeting with Chairman Sugimoto, Acting Chairman Khouri met with the Director General and Directors of the JFTC Economic Affairs Bureau. Over the course of the two meetings topics related to shipping and competition were discussed including recent merger and acquisition activities in the ocean shipping industry and, trends of discussion about the current status of antitrust immunity for shipping agreements in the U.S.

“Having the opportunity to meet with key officials at JFTC and MLIT provides important insight into the policy and commercial priorities of a nation that plays a leading role in shipping and maritime matters. I am grateful for the time my colleagues in Japan accorded me and for the substantive exchanges we had on issues of mutual interest,” stated Acting Chairman Khouri.

The Federal Maritime Commission voted to launch an investigation, headed by Commissioner Rebecca Dye, focused on the practices of vessel operating common carriers and marine terminal operators related to detention, demurrage, and per diem charges.

As the designated Investigative Officer, Commissioner Dye will have broad authority to conduct Fact Finding 28, including the power to issue subpoenas, to hold public and non-public sessions, and to require reports. Under this Order, she is charged with making recommendations for Commission action including investigations of prohibited acts; enforcement priorities; policies; rulemaking proceedings; or other actions warranted by the record developed in the proceeding.

Fact Finding 28 stems from a petition (Petition P4-16) filed at the Commission by the Coalition for Fair Port Practices. In January, the Commission held a two day hearing that explored issues raised in the petition by soliciting testimony from shippers, ocean transportation intermediaries, ocean carriers, truckers, and marine terminal operators.

Acting Chairman Michael A. Khouri said “The Coalition raised substantive issues in both their petition and their testimony at our January hearing investigating carrier and terminal detention and demurrage practices. Various alleged practices were described that—without countervailing or explanatory testimony and evidence—would be troubling from my perspective. However; without any filed complaints by cargo stakeholders, where the crucible of adversary proceedings can bring light and transparency to such practices, I supported this investigatory fact finding so as to more fully develop a tested factual record. Commissioner Dye is uniquely qualified to lead Fact Finding 28, particularly given the work she has done to date examining supply chain reliability and resilience. I have every confidence in the work she will do.”

A final report of Commissioner Dye’s findings and recommendations is due to the Commission no later than December 2, 2018.

Commissioner Dye commented, “I appreciate the confidence of the Commission and look forward to working with our stakeholders to strengthen the Nation’s freight delivery system and increase American competitiveness.”

Commissioner Daniel Maffei stated, “While many questions remain after the hearing, I do believe it effectively established that the practices surrounding detention and demurrage charges can be out-of-date, confusing, inconsistent, and, in my view, often unfair. Today the Commission unanimously takes the first step towards corrective action through a comprehensive Order of Investigation that will bring all the relevant facts to light.”

As the Investigative Officer, Commissioner Dye will examine detention, demurrage, and per diem practices generally, but at a minimum, she will evaluate five key issues:
Whether the alignment of commercial, contractual, and cargo interests enhances or aggravates the ability of cargo to move efficiently through U.S. ports
When has the carrier or MTO tendered cargo to the shipper and consignee
What are the billing practices for invoicing demurrage or detention
What are the practices with respect to delays caused by various outside or intervening events
What are the practices for resolution of demurrage and detention disputes between carriers and shippers

The generosity of Federal Maritime Commission (FMC) employees in giving $14,457 to the 2017 Combined Federal Campaign (CFC), the federal government’s workplace charity and philanthropy program, was recognized with an “Impact Award”, which was accepted by Acting Chairman Michael Khouri.

The award was presented by Ms. JoAnne O’Bryant, an FMC employee who served as CFC Campaign Vice Chairperson for the Commission, on behalf of Mr. Vince Micone, the Chairman of the Combined Federal Campaign of the National Capital Area.

Also during the ceremony, Acting Chairman Khouri was recognized with a “Best Campaign Awareness Award” for his support of the Combined Federal Campaign and the work of the Federal Maritime Commission employees who spearheaded the CFC campaign at the agency.

“Initiatives such as the Combined Federal Campaign can make a real difference to people who simply need a helping hand. I am proud of the commitment to making a difference that Federal Maritime Commission employees have demonstrated through their participation in the Combined Federal Campaign this year,” said Acting Chairman Khouri.

This year’s campaign ran from October 2, 2017 through January 12, 2018 and was led by FMC employees Ms. O’Bryant and Mr. Ian Lane, who served as CFC Campaign Manager. Supporting them in their efforts were six colleagues, known as “Keyworkers”, who were responsible for making staff throughout the Commission aware of the Combined Federal Campaign, its mission, goals, and benefits. Taking on these voluntary duties were: Mr. Alvin Curry; Ms. Jocelyn Jezierny; Ms. Stephanie Kelly; Mr. Alan Lotenberg; Ms. Maryanne Mundy; and Ms. Christine Stavropoulos.

“This Federal Maritime Commission successfully met its fundraising goal for CFC 2017. That accomplishment is directly attributable to the efforts of our CFC volunteer team. Each of these individuals made important contributions to the campaign while still meeting all of their day-to-day responsibilities, and I appreciate all their hard work,” commented Acting Chairman Khouri.

The Federal Maritime Commission concluded a two day hearing Wednesday that examined issues related to detention, demurrage, and per diem practices of marine terminal operators and container ship lines. Acting Chairman Michael A. Khouri said the Commission will meet in closed session to discuss next steps soon after the hearing record is closed. Further information may be submitted for the record through Friday, January 26, 2018.

The matters at the crux of the hearing were raised in a petition filed on December 7, 2016 by the Coalition for Fair Port Practices, an organization of trade associations representing shippers, ocean transportation intermediaries, and domestic transportation companies.

The hearings were called by the Commission to gather information beyond what was presented in written comments filed in the docket, and to provide Commissioners with the benefit of direct questioning and dialog with the witnesses.

“This hearing was informative and helped bring broader substance and clarity to the positions of the petitioners and those who oppose their filing. I appreciate the time the witnesses gave us and their excellent statements,” Acting Chairman Khouri said. “This is a very complex issue that presents difficult choices. The question to be resolved is if the Commission, with a judicious hand, can help make things better, though we recognize, we will never be able to solve all the issues associated with the timely handoff of the container from carriers to shippers.”

In total, 26 different individuals testified on seven different panels during the hearing. Panels appearing before the Commission on Tuesday, January 16, represented the coalition that filed the petition, shippers, and intermediaries, all of whom testified in support of the petition. Panels for the second day represented the drayage industry, ocean carriers, and ports and terminals. The drayage industry witness supported the petition, while the witnesses on the carriers, ports, and terminals panels all testified in opposition to the petition.

“As the Commission considers the Petition of the Fair Port Practices Coalition, my focus is how demurrage and detention approaches can optimize, not diminish, the performance of the American international freight delivery system. Improvements to demurrage and detention business processes may require closer cooperation and information visibility among ocean carriers, marine terminals, and American importers and exporters,” said Commissioner Rebecca Dye.

Commissioner Daniel Maffei commented that “Government can help the most and hinder the least when all sides are well represented. I want to compliment the witnesses who represented many areas of the industry, from shippers, truckers and intermediaries to carriers and port operators, and were all well prepared to answer the challenging and substantive questions that I and my colleagues asked. While no one may be completely happy with what we ultimately decide, the probability that we will be acting in the best interest of both international commerce and our country is greatly increased by the strong participation of all these groups.”

Following receipt of the petition, the Commission issued a Request for Comments on December 20, 2016 that closed on February 28, 2017, but continued to accept comments through April 2017. Over the summer of 2017, staff reviewed the comments filed in the docket, presenting its findings to the Commission during the regularly scheduled September 2017 meeting. On November 16, 2017, the Commission issued a Notice of Public Hearing announcing the hearing conducted this week.

After a successful first year of cooperation, today the members of THE Alliance announced the details for their enhanced product effective from April 2018. THE Alliance plans to deploy a fleet of more than 250 modern ships in the Asia /Europe, North Atlantic and Trans-Pacific trade lanes including the Middle East and the Arabian Gulf/Red Sea.

“After one year of cooperation we are proud to say that our services and the network improved significantly“, said the member carriers Hapag-Lloyd, Ocean Network Express and Yang Ming in a statement. ”The business is well on track in operational terms and with the delivery of several new big ships we are able to serve our customers even better.” The comprehensive network of 33 services would connect more than 81 major ports throughout Asia, North Europe, the Mediterranean, North America, Canada, Mexico, Central America, the Caribbean, Indian Sub-Continent and the Middle East with fast transit times and a wide range of direct port-port-connections.

The new product of THE Alliance will feature eight services in the Asia/Europe trade including three services covering the Mediterranean market. 16 joint services will be operated by THE Alliance members on the Trans Pacific trade. Seven loops will serve the North Atlantic trade covering a wide range of North European and Mediterranean ports as well as those in the US, Canada and Mexico and two in Middle East. The base-plan port rotations of the total 33 services will be as follows:

Asia and North Europe
FE 1:
Kobe – Nagoya – Shimizu – Tokyo – South East Asia Hub – Jeddah – Rotterdam – Hamburg – Southampton – Le Havre – South East Asia Hub – Kobe

FE 2:
Xingang– Qingdao – Shanghai – Ningbo – Hong Kong – South China – South East Asia Hub – Southampton – Le Havre – Hamburg – Rotterdam –Jebel Ali – Hong Kong– Xingang

FE 3:
Hong Kong – Xiamen – Kaohsiung – South China– Rotterdam – Hamburg – Antwerp – Le Havre – London Gateway – South East Asia Hub – Hong Kong

FE 4:
Pusan – Ningbo – Shanghai – Rotterdam – Hamburg – Antwerp – Southampton – South China – Shanghai – Pusan

FE 5:
Laem Chabang – Cai Mep – South East Asia Hub – Colombo – Rotterdam – Hamburg – Antwerp – Southampton – Jeddah – Colombo – South East Asia Hub – Laem Chabang

Asia and the Mediterranean
MD 1:
Qingdao – Pusan – Shanghai – Ningbo – South China – South East Asia Hub – Damietta – Barcelona – Valencia – Tangier – Damietta – South East Asia Hub – Hong Kong – Qingdao

MD 2:
Pusan – Qingdao – Ningbo – Shanghai – Kaohsiung – South China – South East Asia Hub – Piraeus – Genoa – La Spezia – Fos – Piraeus – South East Asia Hub – Hong Kong – Pusan

MD 3:
Pusan – Shanghai – Ningbo – South China – South East Asia Hub – Jeddah – Ashdod – Istanbul (Ambarli) – Izmit – Izmir/Aliaga – Mersin – (Ashdod) – Jeddah – South East Asia Hub – Kaohsiung – Pusan

Asia and the Middle East
AGX:
Pusan – Qingdao – Shanghai – Ningbo – South China – South East Asia Hub – Jebel Ali – Jubail – Dammam – Abu Dhabi – Jebel Ali – South East Asia Hub – Ningbo – Pusan

AGX2:
Shanghai – Ningbo – Kaohsiung – Xiamen – South China – South East Asia Hub – Jebel Ali – Hamad – Umm Qasar – Jebel Ali – South East Asia Hub – Kaohsiung – Shanghai

Trans Pacific – West Coast

PN 1:
Shanghai – Qingdao – Nagoya – Tokyo – Tacoma – Vancouver – Tokyo – Nagoya – Kobe – Shanghai

PN 2:
South East Asia Hub – Laem Chabang – Cai Mep – Kaohsiung – South China – Tacoma – Vancouver – Tokyo – Kobe – Kaohsiung – South East Asia Hub

PN 3:
Hong Kong – South China – Ningbo – Shanghai – Pusan – Vancouver – Seattle – Pusan –Hong Kong

PS 1:
Kobe – Nagoya – Tokyo – Sendai – Los Angeles – Oakland – Tokyo – Nagoya – Kobe

PS 2:
Kobe – Nagoya – Shimizu – Tokyo – Long Beach – Oakland – Tokyo – Kobe

PS 3:
South East Asia Hub – Laem Chabang – Cai Mep – Los Angeles – Oakland – Pusan – Shanghai – Ningbo – South China – South East Asia Hub – Nhava Sheva – Pipavav – Colombo – South East Asia Hub

PS 4:
Hong Kong – South China – Kaohsiung – Keelung – Los Angeles – Oakland – Keelung – Kaohsiung – Xiamen – Hong Kong

PS 5:
Shanghai – Ningbo – Los Angeles – Oakland – Shanghai

PS 6:
Qingdao – Ningbo – Shanghai – Pusan – Long Beach – Oakland – Tokyo – Qingdao

PS 7:
Hong Kong – South China – Los Angeles – Oakland – Hong Kong

PS 8:
Xingang – Qingdao – Shanghai – Pusan – Pacific North West – Los Angeles – Tacoma – Pusan – Kwangyang – Xingang

Trans Pacific -East Coast (via Panama and Suez)
EC 1:
Ningbo – Shanghai – Pusan – Tokyo – (Panama Canal) – Manzanillo – Savannah – Jacksonville – Charleston – Norfolk – Manzanillo – (Panama Canal) – Balboa – Los Angeles – Oakland – Tokyo – Kobe – Ningbo

EC 2:
Qingdao – Ningbo – Shanghai – Pusan – (Panama Canal) – Manzanillo – New York – Boston – Wilmington – Savannah – Charleston – Manzanillo – (Panama Canal) – Pusan – Qingdao

EC 3:
Kaohsiung – Xiamen – Hong Kong – South China – Shanghai – (Panama Canal) – Manzanillo – Savannah – Jacksonville – Norfolk – Manzanillo – (Panama Canal) – Balboa – Pusan – Kaohsiung

EC 4:
Kaohsiung – Hong Kong – South China – Cai Mep – South East Asia Hub – (Suez Canal) – New York – Norfolk – Savannah – Charleston – New York – (Suez Canal) – South East Asia Hub – Kaohsiung

EC 5:
Laem Chabang – Cai Mep – South East Asia Hub – Colombo – (Suez Canal) – Halifax – New York – Savannah – Jacksonville – Norfolk – Halifax – (Suez Canal) – Jebel Ali – South East Asia Hub – Laem Chabang

Trans-Atlantic
AL 1:
Rotterdam – Bremerhaven – Antwerp – London Gateway – Norfolk – Philadelphia – New York – Halifax – Rotterdam

AL 2:
London Gateway – Le Havre – Rotterdam – Bremerhaven – New York – Charleston – Savannah – London Gateway

AL 3:
Antwerp – Bremerhaven – London Gateway – Charleston – Port Everglades – Houston – Savannah – Norfolk – Antwerp

AL 4:
London Gateway – Antwerp – Bremerhaven – Le Havre – Veracruz – Altamira – Houston – New Orleans – London Gateway

AL 5:
Southampton – Rotterdam – Hamburg – Antwerp – Le Havre – Savannah – Cartagena – Puerto Quetzal – Long Beach – Oakland – Tacoma – Vancouver – Oakland – Long Beach – Balboa – Cartagena – Caucedo – Savannah – Southampton

AL 6:
Salerno – Livorno – La Spezia – Genoa – Fos – New York – Baltimore – Norfolk – Savannah – Salerno

AL 7:
Barcelona – Valencia – Algeciras – Halifax – New York – Norfolk – Savannah – Valencia – Tarragona

The service network of THE Alliance is expected to cover more than 19 ports in Asia including seven Chinese and five Japanese ports with direct calls as well as 21 ports in the US and Canada, seven North European and 17 Mediterranean ports, seven ports in the Middle East and Red Sea, three Indian Sub-Continent ports, and seven ports in Central America/Caribbean.

Through this robust network, THE Alliance will offer a superior, reliable, efficient, and wide ranging product suite to shippers in the East/West lanes. The partners of THE Alliance will keep the market informed about further steps and the final, more precise service rotations and terminal selection.

In addition to the extensive product enhancement, as of 1 April 2018 the three Japanese members of THE Alliance; MOL, NYK, and K-Line will combine their container operations into Ocean Network Express (ONE). ONE will continue to be a core member of the streamlined THE Alliance partnership along with Hapag-Lloyd and Yang Ming.

Hapag-Lloyd and Kuehne + Nagel have committed themselves to significantly reduce carbon dioxide emissions in their
common container-transport activities. The Carbon and Sustainability Pact that both companies concluded in the last few days calls for a 17 percent reduction in CO2 emissions per container moved by Hapag-Lloyd by 2020 compared to 2017. The agreement between the largest seafreight logistics company and one of the largest liner shipping companies in the world also allows for potential for additional reductions on selected routes.

In the document, both companies clearly state that they “want to take advantage of this unique opportunity to influence the logistics sector.”

In doing so, the two companies particularly wish to give Kuehne + Nagel customers options based on transparent data. Hapag-Lloyd will thus make it possible for Kuehne + Nagel to use information about the CO2 emissions of the ships in Hapag-Lloyd’s fleet, which has previously been verified by the independent Clean Cargo Working Group (CCWG), in its communications with customers.

With their Carbon and Sustainability Pact, both companies have also committed themselves to a series of additional actions to better protect the environment. For example, there are plans to optimize the movement of empty containers as well as to identify alternatives to truck transports using ships or trains. In addition, there are also plans to use the most modern and eco-friendly reefer equipment whenever possible as well as to use containers with steel rather than wooden floors where appropriate.

HONG KONG – MOL Liner Ltd. announces the October 2017 results of Regional Key Performance Indicators (KPI) in the Americas in the following categories: customer service, and electronic data interchange (EDI). The results are available on a monthly basis and posted in greater detail at www.CountOnMOL.com. The results of the Shipment Management Center Customer Commitments are included.
About MOL
Mitsui O.S.K. Lines, Ltd. (MOL) has the world’s largest ocean shipping fleet. Backed by experience and technologies developed over 133 years, MOL moves today’s global economy. MOL operates specialized bulk carriers for iron ore, coal, and woodchips; tankers that transport crude oil and LNG; car carriers; cruise ships; ferries and coastal liners; and containerships that deliver a variety of finished products as part of the largest and most diverse global network of liner and logistics services. MOL (America) Inc. is a wholly-owned subsidiary of MOL.

APL has received the ‘Best Green Shipping Line’ award from HAROPA, the French port of Le Havre on 13 November 2017. APL’s third consecutive win since 2014, the achievement marks an acknowledgement of APL’s exemplary environmental performance in reducing air emissions beyond the standards set by the International Maritime Organization.

Nicolas Sartini, APL Chief Executive Officer said, “APL stands proud as the ocean carrier to have made the greenest call at HAROPA in 2016. A signatory of the HAROPA charter since 2013, APL has continually advanced in lowering our fleet emission levels across the trades where our vessels ply. APL remains committed in being an environmental steward and will persevere in our pursuits of environmental excellence in our ship operations.”

Benchmarked against the Environmental Ship Index (ESI) that evaluates the emission levels of a ship, APL vessels have scored distinctions to be ranked amongst the cleanest containerships that called the French port in 2016.

In fact, APL recorded its highest fleet carbon dioxide emission reduction of 48% in 2016, compared to its base level in 2009. This is a result of continual improvements in operational efficiencies, fleet and voyage optimisation, as well as the deployment of a fuel-efficient and environmentally-friendly fleet of vessels. Moving forward, APL aims to reduce carbon dioxide emissions by 30% between 2015 and 2025, a target set by the CMA CGM Group.

To reduce emissions such as sulphur oxide and protect ocean biodiversity, APL will persist with cold-ironing and ballast water treatment development respectively though technology innovation, clean energy sources and the adoption of best practices.

Through stakeholder collaborations and engagements, APL continues to navigate the developments in shipping, monitor its environmental scorecard and stay accessible to solutions for sustainable shipping.

About APL
APL is one of the world’s leading ocean carriers, providing world-class container shipping and terminal services, as well as intermodal operations supported by leading-edge IT and e-commerce.APL offers transcontinental cargo shipping across Asia, North and South America, Europe, the Middle East, the Indian subcontinent and Australia through more than 110 services calling ports in over 70 countries worldwide. APL is part of the CMA CGM Group, a leading worldwide shipping group founded in 1978 by Jacques R. Saadé.
www.apl.com

WASHINGTON – The U.S. Department of Transportation’s Maritime Administration (MARAD) today announced the availability of $9.8 million in Federal funding to support capital improvements and employee training at small U.S. shipyards. The grants, provided through the Small Shipyard Grant Program, help eligible shipyards modernize operations, improve efficiency and reap the benefits of increased productivity by investing in emerging technologies and a highly skilled workforce.

“Waterways and small shipyards are a critical component of our economic infrastructure and support thousands of jobs while helping us maintain our competitiveness as a nation,” said U.S. Transportation Secretary Elaine L. Chao. “As trade and exports grow, our shipyards and other waterway systems must be able to keep pace.” 

Even though most U.S. shipyards are located in coastal areas, the economic ripple effects of America’s shipyards reach all 50 states.  In 2013, U.S. shipbuilders directly employed 110 thousand Americans and produced $37.3 billion in gross domestic product.

Eligible projects under the program include capital and related improvement projects that foster efficiency, competitive operations, and quality ship construction, repair, and reconfiguration. In addition, training projects that foster employee skills and enhance productivity will also be considered.

“When it comes to American infrastructure, our shipyards are leading the way and currently producing some of the most modern and advanced vessels in the world,” said Maritime Administration Executive Director Joel Szabat. “They also provide quality jobs and support economic growth in local communities.”

Applications for the grants are due by 5 p.m. EST on July 5, 2017.  MARAD intends to award grants no later than September 5, 2017.  Additional information can be found at https://www.marad.dot.gov/ships-and-shipping/small-shipyard-grants/ or by contacting David M. Heller, Director, Office of Shipyards and Marine Engineering, Maritime Administration, 1200 New Jersey Ave., S.E., Washington, DC 20590; David.Heller@dot.gov

Hyundai Merchant Marine has announced that it has entered into a contract with Hanjin Shipping and Marine Terminals Investment Limited (MTIL) to acquire Hanjin Pacific Corporation’s 100% stake in terminals in Tokyo and Kaohsiung.

Hanjin Pacific Corporation (HPC) which is owned by Hanjin Shipping (60%) and Marine Terminals Investment Limited (40%) operates terminals at ports in Japan (Tokyo) and Taiwan (Kaohsiung).

Total acquisition price is about KRW 15 billion ($13.15 million) including a purchase and security deposit on the lease of the Tokyo port.

With this acquisition, HMM will secure four Hanjin’s terminals: TTI Long Beach (20%), Algeciras (100%), Tokyo (100%) and Kaohsiung (100%).

HMM plans to complete the acquisition of Hanjin Pacific’s stake followed by detailed due diligence and regulatory approvals for each port.

HMM said “This acquisition of Hanjin Pacific’s stake will work to expand HMM’s port network and strengthen our sales competitiveness.” And “We greatly expect that it will have a synergistic effect with HMM+K2 consortium, which starts on March 1st.”

The Federal Maritime Commission (FMC) today rejected the “Port of New York/New Jersey Equipment Optimization Discussion Agreement” (FMC Agreement No. 012445) for failing to meet the clear and definite disclosure standard required by law.

The Port Authority of New York & New Jersey (PANYNJ) and the Ocean Carriers Equipment Management Association Agreement (OCEMA) jointly applied on November 30th, 2016 to establish this discussion agreement.

This was not the first application by these filing parties seeking permission to establish a discussion agreement at the Port of New York & New Jersey. On June 23, 2016, the Commission received Agreement No. 012420, and subsequently issued a Request for Additional Information on August 4, 2016. The filing parties chose to withdraw Agreement No. 012420 on August 10, 2016. Many of the issues the Commission identified in August were left unaddressed and unresolved in the filing made in November, and rejected by the Commission today.

“Today’s rejection of the ‘Port of New York/New Jersey Equipment Optimization Discussion Agreement’ should not be viewed by port management or carrier executives of companies doing business at the port as the Commission being opposed to the establishment of a discussion agreement,” said Cordero. “I am amenable to meeting with the PANYNJ management team and OCEMA to discuss the Commission’s concerns with the previous filings, as well as to explore how to create a narrowly tailored agreement that delivers specific efficiencies.”

The Federal Maritime Commission is responsible for regulating the Nation’s international ocean transportation for the benefit of exporters, importers, and the American consumer. The Commission’s mission is to foster a fair, efficient, and reliable international ocean transportation system while protecting the public from unfair and deceptive practices.

Hyundai Merchant Marine announced that its board of directors decided to buy a 20-percent stake in Total Terminals International LLC (TTI) and equipment-leasing firm HTEC for a combined US$15.6 million. The deal will make HMM become the No. 2 stakeholder in TTI after MSC.

Moreover, HMM will receive the same port tariff rates with MSC, and it will help reduce terminal handling costs and secure stable profitability.
Also, MSC will stand surety for TTI’s loans and lease which means HMM is not responsible for TTI’s debts.

The principal benefits from acquisition of TTI stake are as below:
➊ Expand US West Coast BSA(Basic Slot allocation)
➋ Buy stake at low investment costs
➌ Receive same port tariff rates with MSC
➍ Improve sales competitiveness in Asia-US market.
HMM said “TTI’s handling volumes will dramatically increase, as we strengthen Asia-US services through strategic cooperation with 2M beginning of April.

The Council agreed its position on the revision of safety rules for civil aviation. The draft regulation contains a new mandate for the European Aviation Safety Agency. It also includes the first EU-wide rules on civil drones, to enable drones to fly safely in European airspace and boost this rapidly expanding industry.

Aviation safety, EASA and drones rules: Council adopts its position
The Council also adopted its position on two proposals which are part of a review of passenger ship safety: a revised ‘general’ directive on safety rules for passenger ships and a simplified inspection regime for ro-ro ferries and high-speed passenger craft.

Passenger ship safety: Council stance on two sets of rules
In addition, ministers took stock of the progress made on revised rules on the registration of ship passengers, which is the third proposal under the review.

“Citizens want to move around in safety. Offering the highest safety standards across all modes of transport should be our top priority. This was the main theme running through all our discussions today, both in relation to aviation and shipping. I am pleased at the swift action of the Council on civil aviation safety rules and passenger ship safety rules. This is how the Council works for the benefit of citizens and delivers tangible results.”

Arpád Érsek, Slovak Minister for Transport, Construction and Regional Development and Chair of the Council
The Council also adopted, without discussion, a mandate that will enable the Commission to launch talks on a comprehensive air transport agreement with Armenia. The agreement will enhance connectivity based on common rules, ultimately aiming at full implementation of the EU aviation acquis in this neighbourhood country.

Air transport agreement with Armenia: Council adopts mandate

Highlights from the Transport, Telecommunications and Energy (Telecom) Council on 2 December 2016 in Brussels.
Telecommunications – 2 December

The Council adopted a general approach on new rules for wholesale roaming markets in the EU. This is an important step in preparing the abolition of roaming fees for consumers on 15 June 2017 as agreed. The general approach is the starting point for negotiations with the European Parliament.

“Who does not wish to remain connected and to communicate when travelling or on holiday? Abolition of roaming charges is in the eyes of many the most concrete achievement of the Union. It is therefore of the utmost importance that we meet our citizens’ expectations. I welcome today´s swift decision by the Council to agree on wholesale roaming caps to enable negotiations with the European Parliament and make roam-like-at-home reality as of next year.”

Arpád Érsek, Slovak Minister for Transport, Construction and Regional Development
Wholesale roaming: Council ready for talks with EP
The Council adopted a partial general approach on a proposal under which the EU will fund the installation of free WiFi4EU internet connections in local communities.

Free WiFi4EU internet connection – Council agrees its position
Ministers held a policy debate on recent proposals on the reform of the EU telecoms rules. They expressed their support for the connectivity objectives in the proposals and agreed on the need to work together to achieve them, including on 5G. At the same time, they stressed the need to respect subsidiarity and regulate only where it is necessary. The messages from the debate will steer future work at technical level.

Ministers took note of the progress made on the proposal to increase regulatory oversight and price transparency for cross-border parcel delivery services.

Over lunch, ministers provided guidance to the Commission for future work on free flow of data. The discussion addressed issues such as data localisation and other barriers to the free flow of data, the main obstacles to future innovation and growth of the data economy, and user control of data.

“Our presidency has shown itself to be a determined advocate of a strong, fair and competitive digital single market. We have paid particular attention to eliminating barriers in e-commerce through geo-blocking, to facilitating the use of electronic services in public administration and the availability of digital content, as well as to the importance of consumer protection and cybersecurity. Today, I have reported to the Council on the significant progress that has been achieved.”

Peter Pellegrini, Slovak Deputy Prime Minister for Investments and the Information Society

Highlights from the Transport, Telecommunications and Energy Council (Energy), on 5 December 2016 in Brussels.
Energy – 5 December

The Council held a policy debate on the proposal for a regulation concerning measures to safeguard the security of gas supply.

The aim of the regulation is to create a cost-effective EU regional framework that would minimize the impact of a potential gas disruption and therefore increase the security of supply across the EU. Enhanced regional cooperation and coordination are important tools for creating greater solidarity and trust between member states and for strengthening the internal energy market.

A compromise was found on the main issues: regional cooperation, exchange of information on commercial gas contracts, and solidarity

regional cooperation: based on groups of member states identified on the basis of the main risks for the EU’s gas supply
exchange of information: long-term contracts which provide 40% or more of annual gas consumption in the member state concerned would be notified to the competent authority. They would be assessed by the competent authority, with regard in particular to their impact on the security of gas supplies in the member state and the region
solidarity: solidarity, together with general principles on compensation, should be defined in the text of the regulation, whilst member states should be allowed to take into account their specific national situation and possible different approaches to calculating compensation
“Security of gas supply is a key issue where countries need to act on the basis of the recognition that we have a shared interest. Today’s debate was important in that it gave a very clear steer on the security of supply regulation in three main areas. I am pleased that a solution is emerging. We aim to transform this political guidance as soon as possible and receive a mandate which will then enable the Council to open negotiations with the Parliament.”

Peter Žiga, Minister for the Economy and Chair of the Council
The Council had a presentation by the Commission of its “Clean Energy Package”, in the framework of the implementation of the Energy Union Strategy. It includes legislation on energy efficiency, electricity market design, renewables and energy governance.

The Council also took note of information from the Presidency on the state of play of two important legislative files on which the Council has agreed on general approaches.

the decision on an information exchange mechanism with regard to intergovernmental agreements between member states and third countries: two trilogues have taken place: on 8 and 24 November. Significant progress has been achieved and provisional agreement was reached on a number of topics. A third trilogue is scheduled for 7 December.
the regulation on energy efficiency labelling: three trilogues took place under the Slovak Presidency in July, September and October 2016. Provisional agreement was reached on most non-core political issues. The Presidency also submitted compromise proposals on the core issues of rescaling and the database in view of a possible third trilogue.

HOUSTON — GE’s Marine Solutions (NYSE: GE) has long proved its extensive expertise in dynamic positioning (DP) technology and training capability through customer project execution and services provided worldwide.

To continue improving customer experience and enhancing marine training and service capability, GE has reinvested in the Marine Technical Center, its flagship DP training school opened in 2005, by moving the school to a larger facility in the Westway Plaza, Houston.

At the heart of GE’s marine’s operations, the training center is accredited and regulated by the Nautical Institute (NI) and meets Class A standards. It is on an exclusive list where only a few DP schools worldwide are authorized to conduct sea time reduction (STR) courses. Mariners undergoing the STR training will be credited with 30 days of DP sea time when they complete the five-day courses. It is a prime example of how GE excels in its efforts towards ensuring more efficient maritime operations.

The school provides a contemporary visualization system; a full interactive instrument panel and hands-on immersion DP training. In addition, the school has also expanded its existing training portfolio and introduced new marine training courses, which cover a larger scope of maritime operations. With expanded capacity, the new training center will also be able to train twice as many trainees as before in areas such as power management automation, propulsion and drilling operation and other operation and maintenance courses.

One of the added value for marine customers comes in the form of hands-on experience with some of GE’s most exciting technologies. Among others, the new training center will showcase MV3000, SD7000 and low- and medium-voltage switchboards to facilitate better training.

By consolidating the North American technical support facilities into the same location, GE is bringing field engineers to provide enhanced remote monitoring and diagnostic support to its customers. By using digital tools such as SeaStream* Insight and Visor, the facility is transforming into a digital marine technical support center, establishing Houston at the heart of GE’s Marine Solutions in North America with stronger engineering presence.

“Building upon extensive experience in the marine industry, GE has had the privilege to train mariners on the latest technologies for the last decade,” said Scott Dickson, North American projects & services leader, GE Energy Connections’ Power Conversion. “Building on the success of our existing DP school and the interest shown by our customers, we are now moving to a site that will help us increase the span of our operations.”

“This is an exciting time and opportunity for us to continue growing our operations, especially as we see the demand for technical support and training gain momentum. As a reliable partner of the marine industry, we strongly believe in not only providing some of the best marine solutions, but also educating mariners on how to make the best use of these technologies to carry out safer and more efficient maritime operations,” said Tim Schweikert, president & CEO, GE’s Marine Solutions.

Training courses on SeaStream* DP, vessel automation and control systems and MV3000 drives are readily available. Trainings on LV5, MV6, SD7000 and switchgear will be available starting May 2017.

About GE
GE (NYSE: GE) is the world’s Digital Industrial Company, transforming industry with software-defined machines and solutions that are connected, responsive and predictive. GE is organized around a global exchange of knowledge, the “GE Store,” through which each business shares and accesses the same technology, markets, structure and intellect. Each invention further fuels innovation and application across our industrial sectors. With people, services, technology and scale, GE delivers better outcomes for customers by speaking the language of industry. To learn more, please visit www.ge.com.

About GE’s Marine Solutions
GE’s Marine Solutions is dedicated to power and propulsion systems for customers in the workboat, merchant, offshore and naval industries. Smart engineering coupled with software analytics, we provide customers with data-driven efficiency. Connecting the physical and digital worlds, GE helps power, propel, position and predict the marine industry for operational excellence. www.gemarinesolutions.com

The choice is clear. One option is to continuing to wait for global agreement – while hundreds of vessels continue to be dismantled on the beaches of India, Bangladesh and Pakistan – or to act now and begin improving the conditions in yards. That is what we have done in Maersk. We have chosen to no longer stand passively on the other side of the gate of the ship yard but instead engage directly where the majority of ships are dismantled. This is why we have initiated a collaboration with shipyards in India.

Shipbreaking has become commercial due to the recycling of steel becoming a global commodity in demand. This means that the dismantling and recycling of a ship are recognized as part of the value of the ship, which has evolved into a massive challenge for the shipping industry.

The majority of the world’s vessels are sent for recycling where the highest possible price for the steel can be attained. This is in shipyards on the beaches of India, Bangladesh and Pakistan. Here they are typically dismantled under poor working and environmental conditions. The lower standards mean lower costs which enables these yards to offer much lower prices than competing shipyards with much higher standards. The result is clear: In 2015, 74 % of the world’s ships were dismantled on these beaches. Neither the industry, global society, the shipyards nor the countries concerned have been able to solve this problem. There is no global regulation and the industry has not been able to regulate itself because both shipyards and shipping companies are in fierce competition in their markets.

In addition to this, there are structural limitations to achieving a sustainable solution. More than half of the world’s container fleet today is chartered – or leased, if you will. The owners of these vessels generate their income by renting out ships to the shipping companies. As a shipowner you should however take responsibility for your own ship, also when it is scrapped. Regardless of the standards the shipping companies have as ‘leasee’ of a vessel, the responsibility for deciding the ship’s fate resides with the owner. In Maersk we are thus responsible for ensuring responsible dismantling of our own vessels. This is a responsibility we fully accept. It becomes more difficult when we divest used vessels. Lately we have taken on an extended responsibility by minimising the financial incentive for the buyer to scrap older vessels irresponsibly.

It is urgent that we find a solution. The problem will become even greater in the coming years with an increasing number of vessels to be recycled globally. Yet, it is not simple. To be successful the solution must be sustainable, and acceptable for the environment, working environment and also commercially. It would be a failure if the shipping companies that assume responsibility then lose their competitiveness and ultimately their existence. The global environment and working environment would gain nothing from that. We must remember that there are countries to whom shiprecycling is a significant employer and business.

Until this day we have waited unsuccessfully for seven years for a global agreement on shiprecycling. Despite great efforts for universal ratification of the UN’s Hong Kong Convention, which was negotiated in the International Maritime Organization (IMO) and which sets global minimum standards within safety and environment, we are still waiting. We have been waiting since 2009 when we introduced a responsible recycling policy and expressed our support to the Hong Kong Convention.

Meanwhile we recognize and admit that our own contracts from divestments have not always guaranteed the intention of our recycling policy. We have learned from this. We have tightened our procedures and contract requirements while also realizing that the solution does not lie with clever contracts and that it may take a long time for a global agreement to become effective.

Instead, the answer is on the beaches of India, Bangladesh and Pakistan. As the world’s largest container shipping company we have decided to start here. We have requested a number of improvements to the yards that wish to work with us, and we give the yards in Alang in India who want a better future for themselves and their employees a financial incentive to upgrade their work and environmental conditions. The requirements cover not just the Hong Kong Convention, they are enhanced with our own stricter requirements on working conditions and environment. In return, we invest and allocate both internal and external resources to assist shipyards in improving the conditions.

There is a healthy commercial incentive behind this solution. If the ship yards live up to our requirements we will send our vessels for dismantling at a competitive price. This way they can compete with neighbouring yards that do not live up to the Hong Kong Convention. We support the yards showing willingness to change and we support their already significant progress. Since sending vessels to Alang for the first time in May, we have seen significant progress in several areas: on the Shree Ram yard, which has received the first two ships from us, 70% of the workers have received intensive training and instructions from the British Lloyds Register Quality Assurance and other qualified organisations. The remaining 30 %, who perform less dangerous tasks, have also received training targeted at their tasks.

Other examples of progress:
As opposed to practices used elsewhere in the area, the environmental recycling plan means that the majority of the vessel is dismantled on a surface where there is no contact between ship parts and sand or water.

Use of appropriate personal protective equipment is available and required.
All workers are paid the minimum wage plus 200 % overtime payment and they have a contract—neither of which is the practice of the industry in the area.
Housing conditions for the vast majority of the shipyard’s employees are significantly upgraded and the yard is in the process of improving the conditions for the remaining employees.
It is important to realise that philanthropy does not bring lasting change. The industry will only be rectified if the commercial incentives for improving the conditions are present. This is the strongest instrument we have to inspire other shipyards and shipping companies to follow suit. That Maersk or Europe alone will set high standards for ourselves will not change anything fundamentally because the vast majority of the shipping industry is located outside Europe. What is even worse is that while it doesn’t change the situation for the many people working on the beaches of India, Bangladesh and Pakistan, it does however undermine Europe’s competitiveness. Therefore, the solution is to create more competition and thereby increased opportunity for responsible ship recycling.

When we decided to collaborate with shipyards in India we were fully aware of the risk of being criticized for the yards not yet fully observing the rules. We can of course document the main improvements already achieved and we now see that the shipyards’ engagement get others to follow. When we begin negotiations on ship recycling of the next vessels, we will invite a number of yards in Alang that like Shree Ram already follow the Hong Kong Convention and will commit to meeting our standards. Four shipyards have announced that they are ready and have started new investments in improvements impacting hundreds of workers already. We have taken action instead of waiting on the sideline and the results we have achieved in six months are far more comprehensive and far-reaching than the seven years of waiting for a global agreement. We have not given up and continue to support global initiatives to ensure equal international requirements and conditions for all shipping companies and shipyards. Only global regulation will ensure a definitive stop to the critical conditions that we see today.

Maersrk Article is by

HAMBURG, GERMANY — GE’s Marine Solutions (NYSE: GE) recently provided an extensive upgrade service to one of the world’s most famous ocean liners, the Queen Mary 2 (QM2). The upgrade service with new technology supplied by GE was completed in just 18 days.
 
Twelve years after equipping the QM2 with original propulsion motors, GE was chosen to carry out multiple crucial upgrade activities on Carnival’s flagship liner, for example: a controls upgrade, the replacement of oil distribution boxes on steerable pods, modification of harmonic filters and general maintenance on the propulsion plant. GE’s Marine Solutions completed the service earlier than planned, allowing GE to fulfill additional tasks required by the customer.
 
GE’s real-time simulator was key in enabling the team to complete this task in such a short timeframe, as the technical solutions had already been extensively tested and validated before being implemented onboard the vessel.
 
The customer expressed its great satisfaction with the quality of the upgrade, respect of the tight delivery schedule and professional approach of GE.
 
Tim Schweikert, president & CEO, GE’s Marine Solutions said, “This was a hugely rewarding project. Achieving what we did in 18 days is an example of GE’s commitment and dedication to customers. We highly value our long-term relationship with Carnival and are proud to be chosen once again to provide the service they needed. We look forward to partnering on more projects in the future.”
 
About GE
GE (NYSE: GE) is the world’s Digital Industrial Company, transforming industry with software-defined machines and solutions that are connected, responsive and predictive. GE is organized around a global exchange of knowledge, the “GE Store,” through which each business shares and accesses the same technology, markets, structure and intellect. Each invention further fuels innovation and application across our industrial sectors. With people, services, technology and scale, GE delivers better outcomes for customers by speaking the language of industry. To learn more, please visit www.ge.com.
 
About GE’s Marine Solutions
GE’s Marine Solutions is dedicated to power and propulsion systems for customers in the workboat, merchant, offshore and naval industries. Smart engineering coupled with software analytics, we provide customers with data-driven efficiency. Connecting the physical and digital worlds, GE helps power, propel, position and predict the marine industry for operational excellence. www.gemarinesolutions.com

The European Commission welcomes progress made this week within the International Maritime Organisation (IMO) to address greenhouse gas emissions in the maritime sector. IMO notably adopted a global and mandatory system to collect fuel consumption data from ships.

The European Union and its Member States have been among the main advocates of such system, as outlined in the European Strategy for low-emission mobility adopted by the Commission in July 2016. Following the international agreement to tackle aviation emissions, reached earlier this month, today’s deal is another significant addition to the global efforts to tackle climate change and modernise the economy.

Commissioner for Transport Violeta Bulc said, “Three weeks after the aviation deal in Montreal, the momentum for global action on climate remains strong. Today’s agreement is a milestone for a cleaner shipping sector. Data collection is an important first step, and it is very positive that we also started a discussion on a fair contribution of shipping to the climate efforts. The Commission will continue to work closely with the International Maritime Organisation and all its members for a competitive and sustainable shipping sector.”

Commissioner for Environment, Maritime Affairs and Fisheries Karmenu Vella welcomed the decision on sulphur emissions: “The IMO took a landmark decision. The global cap agreed is fully in line with the sulphur cap already applicable in EU waters under the Sulphur Directive. The decision will significantly reduce the impact of ship emissions on human health and ensure a global level-playing-field for ship operators. I congratulate the coordinated support from EU Member States that was instrumental for the positive outcome achieved”.

The agreement on a global and mandatory system to collect fuel consumption data was reached within the Marine Environment Protection Committee (MEPC) of the International Maritime Organisation, the United Nations body responsible for shipping. In practice, as of 2019 ships over a certain threshold capacity (5,000 gross tonnage and above) will be required to collect data on fuel consumption and energy efficiency, and report it to the flag state. The data will be subsequently transferred to the IMO, which will produce a yearly report. This system constitutes an important first step for further decarbonisation measures.
The Committee also started to discuss the shipping sector’s contribution to the international efforts to curb greenhouse gas emissions, as this sector is not explicitly mentioned in the Paris Agreement.

Next steps
The IMO now needs to develop guidelines regarding the implementation of the mandatory data collection scheme. The Commission and the EU Member States will continue actively to contribute to their development. The Commission will then assess whether the EU own data collection scheme should be aligned to the global one.
Further work is also expected within IMO on the definition of shipping’s ambition in terms of GHG emissions reductions.

Background
The EU maritime sector overall generates a gross added value of just under €500 billion a year to which the shipping sector is one of the main contributors. The sector provides some 5.4 million jobs in the EU. Its future competitiveness goes hand-in-hand with greater environmental sustainability. Reducing shipping’s environmental impacts is therefore a priority area as highlighted in the European Strategy for low-emission mobility adopted in July 2016. The implementation of the latter will be a priority in 2017 as President Juncker outlined in his State of the Union address.