Page 31: of Maritime Logistics Professional Magazine (Q2 2012)

Maritime Risk

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30 minutes to Open Sea

Effi cient Labor and Competitive Rates

Shipyard, Vessel and Rig Repair Facilities

Roll-on/Roll-Off, Break Bulk and Project Cargo Terminals

Direct Connection to BNSF Railway and Union Pacifi c Railroad

Immediate Access to the Interstate Highway System and Gulf Intracoastal Waterway

Port of Galveston

Capt. John Peterlin III,

Sr. Director, Marketing

Ph: (409) 766-6112

E: [email protected]

W: www.portofgalveston.com

Your Gateway to the Texas Gulf Coast

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Environmentally Sustainable Ops

Consider some of the EEDI debates resulting in discussions of a rush to replacement tonnage or the scrapping of 15 year old ships. The operational items listed above do not require an owner to build new tonnage or scrap existing vessels consid- ered SEEMP defi cient. The fi rst move is simply the commit- ment to an environmentally sustainable operation.

An owner in the position to build or replace existing tonnage must consider whether the EEDI “future-proofs” his ship? We would argue it does not and the decision to build should not be based on energy effi ciency alone.

Propulsion systems, hull optimization and fuel types utilized in the construction remain the choice of the builder and the owner. The EEDI does not dictate which technology is correct or for that matter necessary. The instrument only requires a minimum standard of energy effi ciency the new design must reach. With the development of common rail fuel injected en- gines, virtual hull and systems designs, and alternative fuels all potentially and economically feasible, let’s hope we are not basing future tonnage on a government compelled index. And here is why: Though the EEDI concept and formula initially spoke to a simple calculation, take a look at the latest revision to the algorithm. It is far from simple (see above).

Will fi nanciers, banks and investors now look to a technical index to determine whether the risk meets the reward? In our opinion, “cargo is still king” and the commercial risks of sup- ply and demand will continue to determine whether the risk meets the reward.

The Author

Robert Kunkel is President of Alternative Marine Technologies.

A past Vice President of the Connecticut Maritime Association, he is also Technical Manager for Coastal Connect www.coastal- connect.com. www.maritimeprofessional.com | Maritime Professional | 31

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Maritime Logistics Professional

Maritime Logistics Professional magazine is published six times annually.