News

Panama Canal issues proposal to modify tolls structure

Details: Written by Teijo Niemelä Teijo Niemelä; Category: Top Headlines Top Headlines; Published: 14 June 2019 14 June 2019

The Panama Canal published today a proposal to modify its current tolls structure for the dry bulk, passenger, containership and vehicle carrier and RoRo segments, as well as tankers, chemical tankers, LPG and LNG vessels, the intra-maritime cluster (local tourism segment) and minimum tolls (small vessels). Today’s announcement marks the beginning of a 30-day formal consultation period for industry feedback, which will close on July 15, 2019.

"With this proposal, we aim to better serve the global maritime industry," said Panama Canal Administrator Jorge L. Quijano. “Our proposed modifications will increase transparency and flexibility, among other improvements, to ensure the Panama Canal remains competitive and optimal for the industry today and moving forward.”

For the dry bulk segment, the proposal offers matching the tolls charged to Neopanamax vessels carrying iron ore with the tolls assessed for grains and “other dry bulk” cargoes, as well as a tariff increase for Neopanamax dry bulkers transiting in ballast.

The proposal also aims to add transparency to the tolls structure of the passenger segment by charging based on the maximum passenger capacity that can be carried by each specific passenger vessel. To that end, the Canal is proposing to change the unit of measurement from a “per berth” to a “per passenger” basis, making it easier for cruise lines to transfer transit costs to their customers.

For the containership segment – the main user of Neopanamax Locks – the proposed toll modifications will help retain and incentivize increased cargo volumes through the Panama Canal. Specifically, the proposal offers more attractive rates for customers who benefit from the Panama Canal Loyalty Program by adding new levels with reduced rates in the capacity charge for shipping lines deploying between 2 million to 3 million TEUs, and additional reductions for lines deploying an incremental over 3 million TEUs. The incentive implemented in the last toll modification of fiscal year 2018 for total TEU loaded in the return voyage (TTLR) will remain in effect.

To add further transparency to the toll structure for the Vehicle Carrier and RoRo segment, the proposed modifications include – for the first time--a new tariff category or range precisely designed for Neopanamax vessels to account vessels sizes and capacity. Additional modifications for this segment include slight increments in tolls tariffs for Panamax-sized vessels, as well as minor adjustments based on vessel size ranges.

Toll structures for tankers, chemical tankers, LPG and LNG vessels remain unchanged, but tolls adjustments are proposed to more closely align with the value of the route.

Tolls for small vessels (minimum tolls) and for the local tourism market are being revised upwards to take into account the resources used in the transit and the complexity of accommodating these vessels within the locks’ chambers. The last tariff adjustments for small vessels were implemented in 2012.

Lastly--and based on comments submitted by clients during the 2017 public consultation and hearing process--the Canal proposes to review the rates charged to vessels carrying containers on deck, which do not belong to the container shipping segment, to allow for differentiated charges for containers that are empty, dry or refrigerated.

The complete proposal is available at www.pancanal.com/peajes. All interested parties are invited to participate in the consultation process as well as the public hearing to be held in Panama City, Panama, on July 24, 2019 at 9:00 a.m. (local time). In accordance with established rules, the Panama Canal will consider all correspondence received by 4:15 p.m. (local time) on July 15, 2019, as well as comments and opinions presented during the public hearing.

After a careful evaluation and analysis of the comments received, and once any pertinent changes are incorporated in the proposal, the Cabinet Council of the Republic of Panama will officially approve the modifications. The date for implementation of the modifications to the tolls structure is planned for January 1, 2020.

Canadian Captain Wendy Williams to lead first Virgin Voyages ship

Details: Written by Teijo Niemelä Teijo Niemelä; Category: Top Headlines Top Headlines; Published: 12 June 2019 12 June 2019

Virgin Voyages CEO Tom McAlpin, Captain Wendy Williams, and Sir Richard Branson (CNW Group/Virgin Voyages)

Virgin Group Founder Sir Richard Branson and Virgin Voyages President and CEO Tom McAlpin announced the appointment of Captain Wendy Williams as Master of Scarlet Lady. When Captain Williams takes the helm of Scarlet Lady in spring 2020, she will become the first Canadian woman to be captain of a ship for a major cruise brand.

"Captain Wendy's extensive maritime background makes her an excellent choice to lead the Scarlet Lady, but it is her spirit and drive to approach life at sea differently that make her the perfect fit to join the Virgin Voyages family," said Tom McAlpin, president and chief executive officer for Virgin Voyages.

Originally from the coastal city of Sept-Îles, Quebec on the Northeastern coast of Canada, Captain Williams now resides on her hobby farm on Vancouver Island in British Columbia. Captain Williams has more than 28 years of experience working on ships at sea. Her extensive background includes more than a decade as a deckhand in commercial fishing off the western coast of Canada as well as working as a ferryboat captain. Although she has spent more than 15 years working on the bridge of mega cruise ships, her role with Virgin Voyages will be her first promotion to Master of a cruise ship.

"I have salt water in my veins and nothing brings me more joy than being at sea," said Captain Wendy Williams. "It's a dream come true to be working with Virgin Voyages, a company that is focused on creating an incredible experience not only for our Sailors but for our Crew as well; while also taking action to minimize our footprint on our oceans."

Just last year, Virgin Voyages announced its Scarlet Squad program, an initiative dedicated to bridging the gender gap in leadership roles across the maritime industry, where women represent less than three per cent of the workforce. The program aims to recruit, support and mentor female shipboard talent, and to grow opportunities for leadership roles in marine, technical and hotel management positions on board.

While Virgin Voyages is still in the early stages of the crew for Scarlet Lady, the company has already recruited Captain Williams as well as nearly a dozen other female officers, including Jill Anderson as hotel director, Christin Wenge as safety officer, Lindsay Kerber as environmental officer, among other incredibly talented female engineers as well as second and third officers.

Virgin Voyages' intention is to create an onboard environment where everyone has an equal opportunity to reach their full potential.

Helsinki Shipyard led by cruise shipbuilding veteran

Details: Written by Teijo Niemelä Teijo Niemelä; Category: Top Headlines Top Headlines; Published: 10 June 2019 10 June 2019

Algador Holdings Ltd has signed an acquisition agreement with Arctech Helsinki Shipyard Oy for 100 % of shares of Helsinki Shipyard Oy. The acquisition was previously announced on May 15, 2019, and it was signed and became effective on May 20. Earlier last month, in preparation for the acquisition, Arctech Helsinki Shipyard Oy transferred its shipbuilding operations in Helsinki to Helsinki Shipyard Oy.

”We are proud to become a part of Helsinki shipyard’s story. We see a strong demand for the shipyard’s expertise and look forward to continuing its long traditions under the name its best known for: Helsinki Shipyard Oy," commented Rishat Bagautdinov, co-owner of Algador Holdings.

With the transaction completed, Carl Gustaf Rotkirch (MSc, Naval Architecture and Marine Engineering) has been appointed as CEO of Helsinki Shipyard Oy. CEO Rotkirch has an extensive experience in the marine industry and shipbuilding. He has previously worked as Sales VP at Aker Yards and as Project Manager at Kvaerner Masa Yards.

“We are happy to have Rotkirch on board. His deep knowledge of the Finnish shipbuilding industry is an important asset for the shipyard as we move forward with new orders. We are happy to say, that we will publish our first new order within a month, and expect work to start shortly," commented Olerskiy.

Esko Mustamaki, who has previously served as the CEO of Arctech Helsinki Shipyard and FG- Shipping will join Helsinki Shipyard Oy as a member of the board.

“The deal has been discussed for three years and during the negotiations the role of sanctions has been brought up many times. In the beginning of the acquisition preparations I personally met OFAC’s representatives to discuss sanctions and what role they play in shipyard’s operations. The only condition that OFAC had, was that 50 percentage or more must be owned by an entity that is not affected by sanctions. Now as 100 percentage is owned by Algador Holdings, I see that the sanction discussion is closed and we can go full steam ahead with the future orders," commented Mustamaki.

The transfer of the operations of the Helsinki shipyard to Helsinki Shipyard Oy is a significant step for the shipyard's future and for the Finnish shipbuilding industry. The tenders consist of several cruise ships, icebreakers, and LNG tankers. Letters of intent have already been signed for some of the tenders. Helsinki Shipyard Oy looks forward to announcing the first new project in the near future.