COS Weekly Newsletter - Friday, 1 April 2022

Seaspan Shipyards (Seaspan) has launched its new HoloShip facility, an immersive visualization system that enables Seaspan and the Canadian marine industry community to access a virtual reality environment to develop, integrate, test and demonstrate new digital twin capabilities and transform how ships are built, constructed, and maintained. Seaspan’s HoloShip enables designers, engineers, production teams, and customers to virtually experience, on a 5.6-metre-wide display wall, a fully detailed, three-dimensional and highly accurate digital model of the vessel. Using 3D and virtual reality headsets, participants are transported onto the ship, able to move about to view and interact with the space, as well as with the equipment, components, systems and subsystems. Participants can also access the HoloShip via a networked system at a remote location.

The HoloShip will immediately benefit the non-combat vessels that Seaspan is constructing for the Canadian Coast Guard and Royal Canadian Navy under the National Shipbuilding Strategy (NSS), including the Polar Icebreaker and Multi-Purpose Vessels that are currently in the design phase. It also presents an opportunity to nurture growth across the supply chain, enabling companies to sustain and grow over the long term and better position Canadian technology in the export market. The HoloShip platform is part of Seaspan Shipyards value proposition commitments under Canada’s National Shipbuilding Strategy.

Transport Canada has issued Ship Safety Bulletin 08/22 - Ukrainian seafarers can now seek Canadian recognition of their STCW certificates adding to the other reciprocal arrangements in place with Australia, France and Norway. Seafarers with a valid STCW certificate issued by Ukraine can now apply for a Canadian endorsement.  Ukrainian seafarers are advised to consult the Immigration, Refugees and Citizenship Canada website titled, Ukraine immigration measures: Open Work permits for Ukrainians.

The Transportation Safety Board released its investigation report (R19C0015) into the 2019 derailment of two locomotives and 99 cars of a 112 car grain train, in which the three crew members were fatally injured near Field, BC.  TSB concluded that the brake cylinders on the freight cars were leaking compressed air and with the cold temperature, this reached a critical threshold.  The train reached 53 mph, and was unable to negotiate a sharp curve due to a loss of braking power, resulting in the derailment. CP Railway has publicly stated that they feel that TSB misrepresented the facts and the conclusion was drawn by inappropriate extrapolation of data and unsupported inferences.  CP will address their concerns directly with TSB.

Transport Canada has advised that on March 31st Minister Alghabra signed Interim Order No. 3 Respecting Vessel Restrictions and Vaccination Requirements Due to the Coronavirus Disease 2019 (COVID-19), outlining vaccination and testing requirements for crew, guests and visitors on passenger vessels. An information sheet and additional supporting documentation that has been updated regarding the federal vaccination mandate:
-    Ship Safety Bulletin No. 17/2021 - Measures for Persons (other than passengers) on Canadian Vessels and Foreign Passenger Vessels Operating in Canadian Waters to Mitigate the Spread of COVID-19
-    Ship Safety Bulletin No.18/2021 – Measures to Support Safe Cruise Travel in Canada

An infographic is also available at: https://www.canada.ca/en/public-health/services/publications/diseases-conditions/entering-leaving-canada-cruise-ship-covid-19.html.

The vessel Ever Forward ran aground after the ship departed Baltimore on 13 March. Evergreen Line has been making every effort to refloat the container ship, but the most recent effort to free the vessel by deploying five tugs was unsuccessful.  US Coast Guard will make another attempt after more dredging.  In light of the increasing costs associated with attempts to refloat the vessel, Evergreen declared General Average on March 31.  General Average is a maritime law principle requiring that the shipowner and cargo interests proportionately share in the costs associated with rescuing a vessel after a major casualty. When GA is declared, cargo owners are required to contribute to a GA fund before their cargo can be released.

The California Air Resources Board has approved updates to its Commercial Harbor Craft Regulation aimed at reducing emissions from harbor craft like tugboats and ferries operated near California’s coast to improve public health in nearby communities. The current commercial harbor craft regulation accelerated the move to Tier 2 and 3 engines for select categories beginning in 2009 through 2022; the new amendments will require zero-emission options where feasible, and cleaner combustion Tier 3 and 4 engines on all other vessels. Short run ferries, which include those traveling less than three nautical miles over a single run, will be required to be fully zero-emission by the end of 2025. By 2035, the amendments are expected to result in an 89 percent reduction of diesel soot (also known as particulate matter) and a 54 percent reduction in nitrogen oxides.

The bipartisan Ocean Shipping Reform Act aimed at helping fix supply chain issues and ease shipping backlogs was passed by the US Senate on March 31st. Differences exist between the House and Senate versions, which will require conferencing between the two chambers before the bill can be sent to the President's desk. T he Senate bill, like the House bill, establishes an obligation for carriers to self-police compliance with the Federal Maritime Commission's Interpretive Rule on Demurrage and Detention. In addition, the bill addresses the ocean carriers’ responsibility to carry US export cargo and bill provides the FMC with additional enforcement tools to address ocean carrier practices.

In collaboration with US Customs and Border Protection (CBP) and the Foreign Trade Zone Board, the Port of Vancouver USA has activated Foreign Trade Zone (FTZ) #296. One of the port’s wind energy customers will be the first to utilize the newly activated FTZ. The Port of Vancouver first began the detailed and lengthy process to become a Grantee of a Foreign Trade Zone in 2010. The advantage of an FTZ is that it allows manufacturers to pay duty on the finished product rather than on the individual components, providing significant savings.

The Panama Canal has issued a proposal for a new simplified toll structure that will provide price stability.  The new structure will reduce the number of tariffs from 430 to less than 60, offering an easier way for customers to use the Panama Canal. This simplified system will minimize unnecessary complexity and facilitate transactions by eliminating toll bands and introducing tariffs based on the locks used and vessel size. Along with the proposed changes to its toll structure, the Panama Canal is planning to invest an estimated $2 billion in water projects, and will pursue additional investments in digital transformation, infrastructure maintenance, as well as new infrastructure and equipment to become carbon neutral by 2030. Interested parties in the proposed toll structure are invited to participate in the consultation process at a public hearing or by submitting comments by May 17, 2022.

Shanghai is going through a staggered lockdown this week as it battles its biggest surge of COVID cases in two years with more than 5,000 new cases daily.  China's zero-tolerance policy is now imposing stringent quarantine measures including home isolation for all residents and cancellation of all public transport while authorities test all 25 million residents – first in the city's eastern Pudong district, then in western Puxi district starting Friday. The speed at which the lockdown was announced left the city's residents scrambling to secure food and supplies. Offices and all businesses not considered essential will be closed and public transport suspended, creating major shortages on manpower and trucking availability. Container movement between Shanghai and the nearby industrial areas in Jiangsu province are all restricted.

The Port Authorities of Gdynia, Hamburg, Roenne, Rotterdam, and Tallinn have partnered with the Maersk Mc-Kinney Moller Centre for Zero Carbon Shipping to initiate a European Green Corridors Network.  The project's goal is to demonstrate the early commercialization of alternative fuel supply chains and provide a roadmap in different locations. Green corridors under the Clydebank Declaration announced during COP-26 in Glasgow are key enablers for shipping's transition. Bo Cerup-Simonsen, CEO of Mærsk McKinney Møller Center for Zero Carbon Shipping commented, “Developing green corridors are instrumental in activating industry first-movers across the value chain, and this project can be used as industry references to develop blueprints for new business models and identify the maritime industry’s inter-dependencies. It is truly fascinating to see a whole region and various stakeholders engaged. In addition, we hope this project will help facilitate the important work with maritime standards at the EU and IMO.”

One of our past members and maritime industry veteran Graham Westgarth has become the new President of the UK Chamber of Shipping, taking over from John Denholm CBE. A distinguished career in the shipping and maritime sector spanning over 50 years made Westgarth a natural and popular successor. After serving 18 years at sea, the last 5 of which he served as  Master Mariner, Westgarth’s career has seen him hold several senior executive roles with companies including GasLog Limited, Teekay Corporation and Maersk UK.

Finnsirius is the first roll-on/roll-off passenger (RoPax) ferry ordered by Finnish ferry operator Finnlines. The keel-laying was celebrated at China Merchants Jinling Shipyard in Weihai, China this week. The construction of the ship began in June last year. The two cargo-passenger vessels will start to operate from Finland to Sweden and Åland Islands in 2023. The combined passenger-cargo vessel will have capacity for about 300 lorries, 200 cars, and 1,100 passengers.

The vessels are 235 metres long and they utilize the latest eco-friendly technology such as shore power connection, exhaust gas abatement, waste heat recovery, battery pack, air lubrication, auto-mooring, and a ballast water treatment system.

Length o.a., approx. 238.00 m
Breadth, moulded 34.00 m
Draught, scantling 7.20 m
Depth to main deck 9.30 m
Deadweight 17,105 t
Crew 26 pers
Passenger 12 pax
Container 300 TEU
Lane meters 5,800 m