• We Travel 2U - Weblog

    We Travel 2U-Weblog

    “Where there are particularly large refits or complex ones, we provide project management resources to support the brands,” said Chris Millman, vice president of corporate marine technology at Carnival Corporation.

    Perhaps the biggest project coming up for Carnival Corporation is a battery system retrofit for AIDA Cruises, as the German brand will get a 10MW battery installation with the goal to manoeuvre into port, hook up to shore power, and then sail out of port, all with zero emissions.

    “The impact of that will be zero emissions for a port call, which is something we are looking at,” Millman said, adding that a fuel cell installation was also happening in the near future on an AIDA vessel.

    Long-term planning is centred around fewer emissions with the eventual goal of finding the zero-emissions fuel of the future.

    Varying Projects

    Many of the ideas and project topics come from the brands themselves, noted Mike Kaczmarek, vice president of corporate shipbuilding.

    Thus, those projects can turn into company-wide refit projects, energy-efficiency initiatives and help lend resources and support to prototype future technologies.

    “We have been running a technical prototype initiative whereby we are assessing the impact of different technologies on the ships,” said Millman, pointing to variable speed pumps, fan controllers, different hull coatings and LED lights.          

    “We’ve developed a recommended package for all our ships … it brings all the ships into line with technologies we’ve identified as being effective at improving energy efficiency and waste management,” he said.

    After seeing the results of an air lubrication system on a pair of newbuilds, that technology has now been retrofitted to a handful of existing ships, where Carnival first equipped the ships with the fastest itineraries in the fleet that would benefit the most.

    Hull Coating

    ““Following the pause period, and with ships returning to service, they needed hull cleaning and we needed to understand which ones needed it the most,” Millman explained.

    New is a remote hull cleaning drone that also collects all the fouling of the hull, alleviating concerns from port authorities and letting Carnival evaluate what was on the hull.

    With no shortage of hull coating options available, different water temperatures ship speeds and itinerary patterns, the company is constantly evaluating new hull paint.

    Carnival ships are sailing globally with different hull coatings, and test patches of new coatings.

    “In one case we coated a whole hull with completely new paint. It has proven to be very successful,” Millman said. “We haven’t seen it through to the end of five years yet but we are moving to do another couple of trials.”

    Support

    Supporting initiatives include a host of subject matter experts at the corporate level – whether it’s a hydrodynamics wizard, a waste heat genius or other top minds in specific fields.

    “The background assistance is there for the brands,” said Millman.

    Getting pitched all the time with the latest emissions-saving gadgets, the corporate technology team goes through potential projects, brings in subject matter help and then evaluates proposals.

    “We would then prioritize what to trial depending on what we feel would bring the best ROI on improving energy efficiency,” Millman said. “Then run the trial and report back.”

    Company-wide, a technical team gathers twice a year for two to three days, going through all the projects, providing updates and making decisions on where the future focus should go.

    “The biggest (future) tech initiative will be on alternative fuels … that is a major way to decarbonization.”

    Excerpt from Cruise Industry News Quarterly Magazine: Winter 2021-2022 

  • We Travel 2U - Weblog

    We Travel 2U-Weblog

    MSC Group has told the Italian government it is interested in acquiring a majority stake in the new carrier ITA Airways.

    ITA was born after the demise of Alitalia and MSC aims to create a partnership with the Italian government and Lufthansa as the project’s “industrial partner”.

    MSC said: “Lufthansa has already expressed its interest in taking part in the initiative.”

    Both parties now enter a 90-day period of exclusivity when the Italian government, which established ITA, will examine their proposal. Regulators will also examine the bid for any competition issues.

    MSC added: “MSC Group’s interest derives from the possibility of activating positive synergies for both companies in the cargo and passenger sectors where the MSC Group is a global leader.”

  • We Travel 2U - Weblog

    We Travel 2U-Weblog

    With Crystal Cruises suspending operations through April with owner Genting Hong Kong warning of cash troubles, there is no shortage of speculation of what will happen to one of the key luxury brands in the industry.

    According to sources familiar with the situation, Crystal is drawing interest for its brand name, past passenger list of wealthy American clients, its new 200-guest expedition ship and fleet of river ships. Less interesting, according to sources, are the company’s larger ocean-going ships.

    Catching up with industry sources, Cruise Industry News put together a list of possible suitors and scenarios.

    Potential Players:

    • Genting: Could Genting reorganize using bankruptcy protection and continue to operate Crystal? The company could emerge stronger with reduced debt loads, new money and a fresh outlook if a reorganization takes place.
    • Lindblad: Lindblad Expeditions and Genting have already been at the negotiating table as Lindblad bought the Crystal Esprit in 2021. Lindblad has been active in the acquisition space, also having bought up complementary companies in recent years. While Crystal’s big ocean-going luxury ships don’t fit the Lindblad product, the river ships, new Endeavor and passenger list could be ideal.
    • MSC: MV Werften and a 75 per cent-finished 5,000-gest Global Dream could present an interesting opportunity for fast-growing MSC Cruises. The family-owned company is known to make quick decisions and wants to dominate the cruise industry. Could a shipyard and newbuild designed-for-China give them a platform to accelerate future growth even more? It could prove tempting. The Endeavor would also allow the company to enter the expedition market overnight.
    • Carnival/Royal/Norwegian: Could one of the three major players acquire Crystal into their portfolio of brands? It would prevent potential new competition. However, chances are the answer is no, as all three would see significant pushback from the investment community, which is focused on short term financial performance.
    • Azamara/Sycamore: After buying Azamara Cruises from Royal Caribbean Group in early 2021, Sycamore Partners, a private equity company, added the fourth ship with the acquisition of the Pacific Princess. It’s no secret in the industry circle they have been looking for more. A new parent company could operate both brands, with a lean shoreside organization, and vessel management from V. Ships Leisure, which is already running the Azamara fleet. It would allow Sycamore to add to its ocean-going capacity while entering the expedition and river markets.
    • Ponant: Another small cruise line that has been quickly growing is Ponant. With well-financed French owners, the boutique luxury operator has acquired both Travel Dynamics and Paul Gauguin and introduced a fleet of new ships for the Ponant brand.
    • National Investment Fund: It’s not a matter of if, but when, as it relates to a major public investment fund from a Middle Eastern country buying majority control of a cruise line.
    • Hotel Chain: The Ritz-Carlton Yacht Collection and Margaritaville enter the cruise industry in 2022. For hotel chains with a fear of missing out, this may be a key opportunity to get into the business.
    • New Money: The pandemic has brought new private equity money, hedge funds and new investors into the cruise industry. According to sources, there are still multiple deep-pocketed investors waiting for the right time to buy-in.
    • River Operator: The Crystal river ships are said to be drawing interest from a number of existing European river operators.