Carnival Corporation stocks were up just under 20 per cent since closing on Nov. 26 as of mid-morning on Thursday, Jan. 6., has gone from $17.95 to $21.50.
Royal Caribbean Group was seeing a similar surge, up 19 per cent since closing on Nov. 26 at $67.98 with the Thursday morning price hovering just under $81.
Norwegian Cruise Line Holdings has also rallied since late November, coming from a close of $20.06 on Nov. 26 to a price of $21.76 on Thursday, Jan. 6.
Carnival Corporation today celebrated the official opening of Dubai Harbour Cruise Terminal with Shamal Holding following their strategic partnership signed in 2018 to develop the new cruise port as the main hub for cruise tourism in Dubai, according to a press release.
The occasion was marked with a walk-through by Abdulla Binhabtoor, chief portfolio management officer of Shamal Holding, and several Carnival Corporation executives, including Giora Israel, senior vice president of global port and destination development for Carnival Corporation; Michael Thamm, Group CEO of Costa Group and Carnival Asia; Felix Eichhorn, president of AIDA Cruises; Mario Zanetti, president of Costa Cruises; Michel Nestour, vice president of global port and destination development for the EuroMed & Arabian Gulf region at Carnival Corporation; and Torben Seidenschnur, director CEO office and strategic development at Costa Group.
With the arrivals of Costa Firenze and AIDAbella, the official opening was also marked by two passenger cruise ships visiting the Dubai Harbour Cruise Terminal for the first time, coinciding with the start of the cruise season and the ships’ homeporting seasons from Dubai.
Dubai Harbour Cruise Terminal is capable of accommodating two large cruise ships simultaneously, according to a company statement.
The facility spans over 120,000 square meters (nearly 1.3 million square feet) and includes two purpose-built terminal buildings that offer passengers and crew a safe embarkation and disembarkation experience. The terminals are equipped with four Seaport Passenger Boarding Bridges that can simultaneously support the full turnaround of the largest class of cruise ships in the industry.
“After years of working closely with Shamal Holding, we are absolutely thrilled to welcome guests from around the world to Dubai Harbour Cruise Terminal,” said Thamm. “As the world’s largest cruise company, our passion is providing our guests with extraordinary vacation experiences, and we are confident that our partnership with Shamal Holding will enhance the overall experience for our guests. The two terminals stand as a tribute to the remarkable appeal of Dubai and the Arabian Gulf as a cruise destination, and we look forward to working with Dubai Harbour Cruise Terminal and its community partners to make Dubai Harbour a highly efficient and customer-friendly operation while facilitating new tourism opportunities through cruising in the region.”
“We’re delighted to see our partnership with Carnival Corporation and its brands hit another significant milestone as today we welcomed two extraordinary cruise ships to Dubai Harbour, the largest standalone dedicated twin-cruise terminal centre in the eastern hemisphere. It is exciting to see so many thousands of people enter the city through this stunning seafront district, the newest entry point to Dubai, which is already considered to be the ideal gateway to the region for cruise ships from around the world.”
Added Binhabtoor regarding the alignment with Dubai Tourism Strategy: “The Dubai Harbour development represents a historic milestone in Dubai’s role as this region’s foremost destination for lifestyle, leisure and luxury – a moment in history that brings forward the realization of Dubai’s ambition to become the most visited city in the world. However, it is not only an extraordinary destination for cruise passengers from every corner of the world, but also a natural gateway to the attractions that Dubai has to offer and, as a result of the city’s strategic location, other international destinations as well.”
Costa Cruises and AIDA Cruises first began operating in Dubai in 2006. In late November, AIDAbella arrived in Dubai at Dubai Harbour Cruise Terminal for the first time, marking the first regular cruise passenger operation for the new terminals and the start of the ship’s winter season. In addition, Costa Firenze’s arrival in Dubai on Dec. 16 marked the start of the ship’s season from Dubai, where it is homeporting for the first time ever, through March 2022.
Together, six brands from Carnival Corporation – AIDA Cruises, Costa Cruises, Cunard, P&O Cruises (UK), Princess Cruises and Seabourn – will visit the Dubai Harbour Cruise Terminal by 2023 and in total, the six brands are expected by then to make 90 calls to the new twin-terminal cruise port.
“Our number one goal is reducing our emissions,” said Bill Burke, a chief maritime officer at Carnival Corporation.
That goal is a 40 per cent reduction in the company’s carbon emissions by 2030 when compared to a 2008 baseline, with carbon levels peaking for Carnival in 2011.
It’s a combination of efficiency and sustainability, Burke said.
That involves not only new efficient ships but finding more efficient equipment for the company’s existing fleet, making sure ships are operated well, meaning the right speeds, with the right engine loads.
“Voyage planning is another area where we are focused,” Burke said. “That sort of thing is ‘free,’ if we can get it right, it’s free savings.”
Burke has his sights set on HVAC system improvements as a key area where the company can save money on fuel and cut carbon emissions.
“The efficiency of the equipment has increased in the last few decades. If we haven’t already, we change out chillers and HVAC equipment,” he said.
One megawatt of savings translates roughly to about $1 million annually in fuel, Burke said.
“It’s then the money we can use for other things … it’s seed money to make ships more efficient.”
New Ships Get Efficient
New ships are generally 20 per cent more efficient per passenger than the last class, and that starts with the hull design, Burke said.
Then it’s a process of looking for the best and most efficient equipment fleetwide, with Carnival Corporate Shipbuilding in the UK focused on the job.
With the new deliveries of the AIDAnova, Costa Smeralda, Carnival Mardi Gras and P&O Iona, Carnival sister brands now have four technically identical new ships on the Carnival XL platform. Expect a lot of note comparing.
“We will compare performance, but a lot of that comes down to the itinerary,” Burke said, noting variables such as the speeds the ships travel at plus climate conditions driving air conditioning use.
Trying to compare performance, the company uses climate zones to normalize energy use when reviewing data.
That data becomes easier to use with ships in port, without a propulsion load, with Carnival now asking its brands to operate on just one generator while in port.
“The brands will make adjustments and we will help them with targeted investments to reduce the hotel load to allow them to first operate on one generator (in port) and then get the load lower. We’ve dropped the electrical load down by several megawatts.”
Ships are compared against each other with adjustments for size and climate conditions, with Carnival using its own port power coefficient to measure power usage by ship while docked.
2030 Goal
By 2030 Burke envisions what he called a green fleet with nearly 20 per cent of Carnival Corporation ships powered by LNG.
“Both LNG and non-LNG ships would get some portion of their fuel from biofuels. Batteries would be on a number of ships for peak shaving and non-LNG ships would operate advanced air quality systems (scrubbers),” Burke said.
Those ships running scrubbers would have wash-water filtration and significantly reduced particulate.
“All ships would have achieved our port power coefficient goals and easily operate in port in all climate conditions on a single diesel generator, indicating efficient port hotel service operations.”
Another project is a single fleet-wide maintenance and procurement system.
“That will allow us to better leverage our scale and remove excess inventory.”
Burke also plans to add more courses to the company’s Arison Maritime Center (CSMART) in the Netherlands.
“In addition to operational team training for our officer core, we do have energy efficiency training and we will expand that.”
Many ships, continued Burke, will have air lubrication systems, adding that around 60 per cent of the fleet will be able to plug into shore power by 2030. Another three-quarter of the fleet will have advanced wastewater purification systems, and all ships will have food waste digesters.
“Our ships will be completely instrumented for measuring the efficiency of our largest power consumptions … you have to be able to measure (consumers) to know how you’re doing.”
Data will result in self-correcting behaviour that will improve operational efficiency, according to Burke, who said the ships will continue to get more sensors and measuring capability.
“We will be well on our way to designing and building our first zero emissions and zero discharge ship … that’s the biggest challenge and we hope our work with LNG will have us well prepared for that next fuel.”