With ships, green begets green

By Tom Stieghorst

It’s logical to think that the EPA bid to regulate greenhouse gas emissions from commercial jets will raise costs for airlines and their customers. That’s the usual side-effect of more regulation.In the long run it may be true. But in the short run, judging from what’s happened in the cruise industry, it may not be.

Tom Stieghorst
Tom Stieghorst

Efforts to limit greenhouse gas emissions from ships at the International Maritime Organization have largely focused on making vessels more fuel-efficient. Less consumption of fuel equates to fewer greenhouse gases.

True, cruise companies have had to invest in new ways of saving energy, from hull coatings to LED and compact florescent lighting. Energy efficiency has also become a bigger factor in itinerary planning and ship speeds.

But the end result has been a reduction in fuel expense that companies can use to pad profits, invest in new ships and technologies or even hold the line on price increases.

To take one example, Carnival Corp. last fall said it had saved at least $2.5 billion in fuel costs over the last seven years as a result of a fleet fuel conservation program that has reduced carbon emissions by 12 billion kilograms over the same time frame.

In part, the program is an effort to comply with IMO rules on energy-efficient ship design and IMO’s development of a template for energy-efficient ship operations – amendments to the MARPOL convention that became effective in 2013.

Cutting fuel consumption is likely to be the main approach to reducing marine greenhouse gases for years to come.
Unlike sulfur dioxide emissions, which several cruise lines are reducing through the use of catalytic scrubbers in the exhaust stream, greenhouse gasses aren’t currently practical to scrub.

The main greenhouse gas, carbon dioxide, is hard to separate from other gases for treatment. And scrubbing by current methods is energy-intensive and costly. It adds between 50% and 84% to the cost of electricity produced by a power plant compared to plants that don’t have carbon capture technology, according to a U.S. Department of Energy study.

So reducing greenhouse gases from cruise ships may not only be sound for the environment but at the same time may be a good development for the bottom line. It’s always nice when doing right and doing well coincide.

Carnival Corp unveils new generation ‘green ships’

By Phil Davies

Carnival Corp unveils new generation 'green ships'The first giant cruise ships to be powered at sea by Liquefied Natural Gas (LNG) – claimed to be the world’s cleanest burning fossil fuel – have been ordered by Carnival Corporation.

The four new vessels – part of a previously-announced multi-billion dollar order for nine new ships between 2019 and 2022 – will also feature a revolutionary ‘green cruising’ design.

Each of the four next-generation ships will have a total capacity of 6,600 passengers, feature more than 5,000 lower berths, exceed 180,000 gross tons and incorporate an extensive number of ‘guest-friendly’ features.

A major part of the innovative design involves making much more efficient use of the ship’s spaces, creating an enhanced onboard experience.

Each new ship will be specifically designed and developed for the brand and the passengers it will serve.

Two of the ships will be built for German line AIDA Cruises at Meyer Werft’s shipyard in Papenburg, Germany.

Additional information about the ships, including which new ships will be added to each brand, will be made available at a later date, the group said.

The four new ships will be the first in the cruise industry to use LNG in dual-powered hybrid engines.

LNG will be stored onboard and used to generate 100% of power at sea. Using LNG to power the ships in port and at sea will eliminate emissions of soot particles and sulfur oxides.

Meyer Werft will build the other two ships at its yard in Turku, Finland.

Carnival Corporation chief executive, Arnold Donald (pictured), said the contract is consistent with the company’s measured capacity growth strategy to replace ships with less efficient capacity with newer, larger and more fuel efficient vessels over time.

“We are looking forward to executing on the next step in our fleet enhancement plan,” he said.

“At a cost per berth in line with our existing order book, these new ships will enhance the return profile of our fleet.

“These are exceptionally efficient ships with incredible cabins and public spaces featuring a design inspired by Micky Arison and Michael Thamm and developed by our new build teams.”

Arison is chairman of the board of directors for Carnival Corporation and Thamm is chief executive of the Costa Group, which includes AIDA Cruises and Costa Cruises.

Donald added: “It will be exciting to see our shipbuilding team bring these new ships to life. Every step of the way, our focus is on designing state-of-the-art ships that provide a vacation experience our guests will love, and we are putting all of our creative energy and resources into making sure we achieve that goal.”

Thamm said: “These ships will expand our leadership position for the Costa Group, the market leader in all the major European markets.

“These will be spectacular ships designed specifically for our guests who sail on our Costa Group brands.”

Bernard Meyer, chief executive of Meyer Werft, said: “In past years, we have built seven highly successful ships for AIDA Cruises. We are honoured that Carnival Corporation has entrusted us with the implementation of this ambitious shipbuilding program, and we look forward to building these four magnificent ships.”

Carnival brand Fathom placed on same commission set-up as sister lines

By Hollie-Rae Merrick

Carnival brand Fathom placed on same commission set-up as sister linesCarnival Corporation’s new cruise brand Fathom will be placed on the same commission structure as sister lines P&O Cruises and Cunard.

Fathom was launched last week and will offer seven-night ‘social impact’ cruises, from Miami to the Dominican Republic, allowing passengers to work on community projects in the Caribbean destination.

The line’s first sailing will be in April 2016. It will launch with one ship, Adonia, which will be transferred from the P&O Cruises fleet.

Tara Russell, president of Fathom, confirmed that UK agents would be able to make bookings from next week. Speaking to Travel Weekly, she said: “Initially we are targeting [customers from] North America, but from June 15 agents in the UK will have all the tools and resources they need to book people with Fathom.

“Bookings will have the same commission structure as Cunard and P&O Cruises.

“Our intention is to marry Fathom into the P&O Cruises commission structure as they are a very important partner with Fathom.”

Russell, who set up social enterprise Create Common Good and has been working on the Fathom project since 2013, said she expected interest from customers in the US, UK, northern Europe and Australia.

She believes Fathom’s fleet will grow to between four and six ships within 15 years.

“I would love us to have a ship homeport in Europe, Asia and Australia because that way we would be able to impact a lot of communities,” she said.

Cruise-only fares start at $1,540, with an unspecified proportion to be donated to local projects.

The brand is targeting people in their 20s and 30s, the family market, and those over 50