Wednesday, April 10, 2024

 

Israel Lets AI Decide Who Dies in Gaza

The IDF is increasingly reliant on artificial intelligence to mark Palestinians for death – innocent or not

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The Israeli military has employed yet another AI-based system to select bombing targets in the Gaza Strip, an investigation by +972 Magazine has revealed. The new system has generated sweeping kill lists condemning tens of thousands of Palestinians, part of the IDF’s growing dependence on AI to plan lethal strikes.

Citing six Israeli intelligence officers, the Tel Aviv-based magazine said the previously undisclosed AI system, dubbed ‘Lavender,’ has played a “central role in the unprecedented bombing” of Gaza since last October, with the military effectively treating its output “as if it were a human decision.”

“Formally, the Lavender system is designed to mark all suspected operatives in the military wings of Hamas and Palestinian Islamic Jihad (PIJ), including low-ranking ones, as potential bombing targets,” the outlet reported, adding that “during the first weeks of the war, the army almost completely relied on Lavender, which clocked as many as 37,000 Palestinians as suspected militants – and their homes – for possible air strikes.”

However, while thousands have been killed in the resulting air raids, the majority were “women and children or people who were not involved in the fighting,” the officers told the magazine, noting that Israeli field commanders often rely on the AI system without consulting more substantial intelligence.

“Human personnel often served only as a ‘rubber stamp’ for the machine’s decisions,” one source said, adding that many commanders spend a mere “20 seconds” reviewing targets before approving strikes – “just to make sure the Lavender-marked target is male.”

Human input has been relegated to such a minor role in the decision-making process that Lavender’s conclusions are often treated as “an order” by Israeli troops, “with no requirement to independently check why the machine made that choice.”

Such decisions are made despite well-known system errors which result in misidentified targets in at least 10% of cases. Nonetheless, the AI has “systematically” selected the homes of suspected militants for strikes, with IDF bombings frequently carried out late at night, when entire families are more likely to be present.

In targeting lower-level Hamas fighters in the early stages of the war, the military largely resorted to the use of unguided ‘dumb bombs,’ concluding it was permissible to “kill up to 15 or 20 civilians” in such operations, the intelligence sources added. Senior militants, meanwhile, could warrant the deaths of “more than 100 civilians” in some cases.

“You don’t want to waste expensive bombs on unimportant people,” one officer said.

Automated Assassination

Lavender is far from the first AI program used to direct operations for Israel’s military. Yet another system unveiled by +972 mag, known as ‘Where’s Daddy?’, has also been used “specifically to track the targeted individuals and carry out bombings when they had entered their family’s residences.”

An unnamed intelligence officer told the outlet that homes are considered a “first option” for targeting, observing that the IDF is “not interested in killing [Hamas] operatives only when they [are] in a military building or engaged in a military activity.”

As of April, Israeli bombings have damaged or destroyed a staggering 62% of all housing units in Gaza – or nearly 300,000 homes – leaving more than 1 million people internally displaced, according to United Nations estimates. The territory’s housing sector has borne the brunt of the Israeli onslaught, representing well over two-thirds of the destruction in Gaza to date.

Earlier reporting has shed further light on Israel’s AI-driven “mass assassination factory,” with another program, ‘the Gospel,’ used to automatically generate massive target lists at a rate vastly exceeding previous methods. Under the guidance of that tool, Israeli forces have increasingly struck what they call “power targets,” including high-rise residential structures and public buildings. Such attacks are reportedly part of an effort to exert “civil pressure” on Palestinian society – a tactic clearly prohibited under international law as a form of collective punishment.

The IDF has long relied on extensive “target banks” in planning operations in Gaza and the West Bank, gathering a long list of suspected militant command posts and installations. In recent years, however, those lists have swelled to include thousands of potential targets as the military outsources decision-making to automated systems.

Adding to the litany of AI programs used to deliver death in Gaza and beyond, Israel’s ‘Fire Factory’ system helps to automatically calculate munitions payloads and assign targets to particular aircraft or drones once they are selected. “What used to take hours now takes minutes, with a few more minutes for human review,” an IDF colonel said of the system in comments to Bloomberg.

Artificial intelligence and AI-powered facial recognition tech have similarly taken a greater role in policing the border between the occupied territories and Israel proper – as well as West Bank checkpoints – with the IDF deploying a litany of new systems to identify, surveil and arrest Palestinians in recent years.

Will Porter is assistant news editor at the Libertarian Institute and a regular contributor at Antiwar.com. Find more of his work at Consortium News and ZeroHedge.

Death by Algorithm: Israel’s AI War in Gaza


Remorseless killing at the initiation of artificial intelligence has been the subject of nail-biting concern for various members of computer-digital cosmos.  Be wary of such machines in war and their displacing potential regarding human will and agency.  For all that, the advent of AI-driven, automated systems in war has already become a cold-blooded reality, deployed conventionally, and with utmost lethality by human operators.

The teasing illusion here is the idea that autonomous systems will become so algorithmically attuned and trained as to render human agency redundant in a functional sense.  Provided the targeting is trained, informed, and surgical, a utopia of precision will dawn in modern warfare.  Civilian death tolls will be reduced; the mortality of combatants and undesirables will, conversely, increase with dramatic effect.

The staining case study that has put paid to this idea is the pulverising campaign being waged by Israel in Gaza.  A report in the magazine +972 notes that the Israeli Defense Forces has indulgently availed itself of AI to identify targets and dispatch them accordingly.  The process, however, has been far from accurate or forensically educated.  As Brianna Rosen of Just Security accurately posits, “Rather than limiting harm to civilians, Israel’s use of AI bolsters its ability to identify, locate, and expand target sets which likely are not fully vetted to inflict maximum damage.”

The investigation opens by recalling the bombastically titled The Human-Machine Team: How to Create Human and Artificial Intelligence That Will Revolutionize Our World, a 2021 publication available in English authored by one “Brigadier General Y.S.”, the current commander of the Israeli intelligence unit 8200.

The author advances the case for a system capable of rapidly generating thousands of potential “targets” in the exigencies of conflict.  The sinister and morally arid goal of such a machine would resolve a “human bottleneck for both locating new targets and decision-making to approve the targets.”  Doing so not only dispenses with the human need to vet, check and verify the viability of the target but dispenses with the need to seek human approval for their termination.

The joint investigation by +972 and Local Call identifies the advanced stage of development of such a system, known to the Israeli forces as Lavender.  In terms of its murderous purpose, this AI creation goes further than such lethal predecessors as “Habsora” (“The Gospel”), which identifies purportedly relevant military buildings and structures used by militants.  Even that form of identification did little to keep the death rate moderate, generating what a former intelligence officer described as a “mass assassination factory.”

Six Israeli intelligence officers, all having served during the current war in Gaza, reveal how Lavender “played a central role in the unprecedented bombing of Palestinians, especially during the early stages of the war.”  The effect of using the AI machine effectively subsumed the human element while giving the targeting results of the system a fictional human credibility.

Within the first weeks of the war, the IDF placed extensive, even exclusive reliance on Lavender, with as many as 37,000 Palestinians being identified as potential Hamas and Palestinian Islamic Jihad militants for possible airstrikes.  This reliance signalled a shift from the previous “human target” doctrine used by the IDF regarding senior military operatives.  In such cases, killing the individual in their private residence would only happen exceptionally, and only to the most senior identified individuals, all to keep in awkward step with principles of proportionality in international law.  The commencement of “Operation Swords of Iron” in response to the Hamas attacks of October 7 led to the adoption of a policy by which all Hamas operatives in its military wing irrespective of rank would be designated as human targets.

Officers were given expansive latitude to accept the kill lists without demur or scrutiny, with as little as 20 seconds being given to each target before bombing authorisation was given.  Permission was also given despite awareness that errors in targeting arising in “approximately 10 percent of cases, and is known to occasionally mark individuals who have merely a loose connection to militant groups, or no connection at all.”

The Lavender system was also supplemented by using the emetically named “Where’s Daddy?”, another automated platform which tracked the targeted individuals to their family residences which would then be flattened.  The result was mass slaughter, with “thousands of Palestinians – most of them women and children or people not involved in the fighting” killed by Israeli airstrikes in the initial stages of the conflict. As one of the interviewed intelligence officers stated with grim candour, killing Hamas operatives when in a military facility or while engaged in military activity was a matter of little interest.  “On the contrary, the IDF bombed them in homes without hesitation, as a first option. It’s much easier to bomb a family’s home.  The system is built to look for them in these situations.”

The use of the system entailed resorting to gruesome, and ultimately murderous calculi.  Two of the sources interviewed claimed that the IDF “also decided during the first weeks of the war that, for every junior Hamas operative that Lavender marked, it was permissible to kill up to 15 or 20 civilians.” Were the targets Hamas officials of certain seniority, the deaths of up to 100 civilians were also authorised.

In what is becoming its default position in the face of such revelations, the IDF continues to state, as reported in the Times of Israel, that appropriate conventions are being observed in the business of killing Palestinians.  It “does not use an artificial intelligence system that identifies terrorist operatives or tries to predict whether a person is a terrorist”.  The process, the claim goes, is far more discerning, involving the use of a “database whose purpose is to cross-reference intelligence sources… on the military operatives of terrorist organizations”.

The UN Secretary General, António Guterres, stated how “deeply troubled” he was by reports that Israel’s bombing campaign had used “artificial intelligence as a tool in the identification of targets, particularly in densely populated residential areas, resulting in a high level of civilian casualties”.  It might be far better to see these matters as cases of willing, and reckless misidentification, with a conscious acceptance on the part of IDF military personnel that enormous civilian casualties are simply a matter of course.  To that end, we are no longer talking about a form of advanced, scientific war waged proportionately and with precision, but a technologically advanced form of mass murder.




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Germany, Gaza and the World Court: Broadening the Scope of Genocide


Can it get any busier?  The World Court, otherwise known as the International Court of Justice, has been swamped by applications on the subject of alleged genocide. The site of interest remains the Gaza Strip, the subject of unremitting slaughter since the October 7, 2023 cross-border attacks by Hamas against Israel.  The retaliation by Israel has been of such brute savagery as to draw the attention of numerous states, including those not directly connected to the conflict.

Given that genocide is a crime of universal jurisdiction abominated by international law, and given the broad application of the UN Genocide Convention intended to suppress and punish it, countries not normally associated with the tormented and blood-drenched relationship between Israel and the Palestinians have taken a keen interest.  South Africa got matters moving with its December application last year seeking a judicial determination that Israel was committing genocidal acts in the Gaza Strip.

Since then, Pretoria has convinced the court to issue two interim orders, one on January 26, and another on March 28.  While the court has yet to decide the issue of whether Israel is culpable for genocide in waging in Gaza, the interim binding orders demand a lifting of restrictions on humanitarian aid, the prevention of starvation and famine, and observing the UN Genocide Convention.  These all hint strongly at the unconscionable conduct on the part of the IDF against the civilian populace.

The implications of such findings also go to Israel’s allies and partners still keen to supply it with weapons, weapons parts, and support of a military industrial nature.  Germany has been most prominent in this regard.  In 2023 30% of Israel’s military equipment purchases totalling US$326 million came from Berlin.  The Scholz government has also been a firm public supporter of Israel’s offensive.  “There is only one place for Germany at this time, and that is by Israel’s side,” proclaimed German Chancellor Olaf Scholz to German lawmakers on October 12 last year.  Foreign Minister Annalena Baerbock curtly stated that “It was not the job of politicians to tell the guns to shut up.”

Baerbock’s remarks were all the more jarring given the 2006 views of Frank-Walter Steinmeier, who was then serving as Germany’s foreign minister.  With puffed up confidence, he claimed then that Europeans and Germans had played a seminal role in ending the conflict between Israel and Hezbollah in Lebanon in “silencing of the guns.”

Cognisant of such a stance, Nicaragua is now taking the South African precedent further by alleging that Germany is complicit in a genocidal enterprise.  While its own human rights record is coarse – the government of Daniel Ortega boasts a spotty record which involves, among other things, the killing of protesters – Nicaragua has form at the ICJ.  Four decades ago, it took the United States to the world court for assisting the counterrevolutionary Contras in their attempt to overthrow the Sandinista government.

Its 43-page submission to the court insists that Germany is responsible for “serious violations of peremptory norms of international law taking place” in Gaza in its failure to prevent genocide “against the Palestinian people” and “contributed” to its commission by violating the Genocide Convention.  It further alleges that Germany failed to comply with humanitarian law principles derived from the Geneva Conventions of 1949, its protocols of 1977 and “intransgressible principles of international law” in failing to “ensure respect for these fundamental norms in all circumstances”.

The application also compacts Israel’s attack on Gaza with “continued military occupation of Palestine”, taking issue with Germany’s alleged “rendering aid or assistance” in maintaining that status quo in the Occupied Territories while “rendering aid or assistance and not preventing the illegal regime of apartheid and the negation of the right of self-determination of the Palestinian people.”

Stretches of the Nicaraguan case would make troubling reading.  It notes that “by sending military equipment and now defunding UNRWA [United Nations Relief and Works Agency] which provides essential support for the civilian population, Germany is facilitating the commission of genocide” and had failed, in any case, “in its obligation to do everything possible to prevent the commission of genocide”.

Such conduct was all the more egregious “with respect to Israel given that Germany has a self-proclaimed privileged relationship with it, which would enable it to usefully influence its conduct.”

With these considerations in mind, the application by Nicaragua argues that Germany is obligated to “immediately” halt its military support for Israel “that may be used in the commission of genocide, crimes against humanity, grave breaches of the Geneva Conventions of 1949, attacks directed against civilian objects or civilians protected as such, or other war crimes”.  Germany is further asked, not merely to “end its assistance to Israel” but “cooperate to uphold international law and to bring the perpetrators of these atrocities to justice.”

On April 8, the ICJ opened preliminary hearings.  Alain Pellet, representing Nicaragua, argued that “Germany was and is fully conscious of the risk that the arms it has furnished and continues to furnish Israel” could be used in the commission of genocidal acts.  Another legal representative, Daniel Mueller, called the provision of humanitarian airdrops to “Palestinian children, women and men” a “pathetic excuse” given the furnishing of “military equipment that is used to kill and annihilate them”.  Nicaragua’s ambassador to the Netherlands, Carlos José Argüello Gómez, derided Berlin’s seeming inability “to be able to differentiate between self-defence and genocide.”

Berlin’s defence follows on April 9.  A sense of its bitter flavour can be gathered from one of its top legal briefs, Tania von Uslar-Gleichen.  “Germany completely rejects the accusations.  We never did violate the Genocide Convention nor humanitarian law either directly or indirectly.”  Berlin was “committed to the upholding of international law”.

If the defence fails to sway the judges, the case may well chart a line about third party responsibilities on preventing genocide in international humanitarian law.  At this point, the momentum towards some clarity on the point seems inexorable.




Binoy Kampmark was a Commonwealth Scholar at Selwyn College, Cambridge. He lectures at RMIT University, Melbourne. Email: bkampmark@gmail.com. Read other articles by Binoy.

Tuesday, April 09, 2024

 

HD Hyundai Unveils a New R&D Center for Green Ship Technology

An LCO2 carrier design for Capital Maritime (HD Hyundai)
An LCO2 carrier design for Capital Maritime (HD Hyundai)

PUBLISHED APR 7, 2024 6:16 PM BY THE MARITIME EXECUTIVE

 

 

The South Korean shipbuilding giant HD Korea Shipbuilding& Offshore Engineering (HD KSOE) has announced the launch of a new research and development facility dedicated for maritime decarbonization. The Marine Innovative R&D facility will be based at the HD Hyundai Heavy Industries (HHI) yard in Ulsan.

While KSOE has existing R&D setups for green technologies, they primarily focus on testing specific functions such as supply of LNG fuel to ships. However, the new facility is designed to simulate and test wide ranging processes including the full sequence of shipboard cargo operations - loading, ship operations, unloading - and technologies that could reduce carbon emissions.

This comprehensive approach will allow KSOE to predict performance of certain technologies from a land-based setting even before getting installed on actual ships. According to KSOE, this will improve safety and reliability of the new ship types using green technologies.

“As environmental regulations continue to tighten, the development of various technologies is under way, making it important to ensure their reliability. HD KSOE aims to utilize this new facility to pre-validate eco-friendly equipment to be installed in ships,” said an official from HD KSOE.

Among the first assignments of the new facility will be to test the performance of reliquefaction equipment for liquefied carbon dioxide carriers (LCO2). Reliquefaction reduces emissions and ensures that more of the cargo arrives at its destination.

HD Hyundai is currently building two of the world’s largest LCO2 carriers as part of an order the company received last year from Greek shipowner Capital Maritime Group. The two 22,000 cubic meter carriers are scheduled for delivery next year.

In addition, the R&D facility will also test a technology for producing dry ice in ship cargo holds, a function that could significantly improve transportation of perishable goods.

Meanwhile, KSOE said it aims to expand the range of green technologies and ship types tested at this facility by 2026. These include new propulsion systems for vessels such as ammonia and methanol-fueled ships, as well as hybrid electric systems.

 

Peel Ports Lines Up Upgrades for Major UK and Ireland Ports

Peel Ports port
File image courtesy Peel Ports

PUBLISHED APR 8, 2024 12:32 PM BY THE MARITIME EXECUTIVE

 

 

The UK’s second largest port-operator Peel Ports Group is inviting bids for construction projects worth over $940 million across its major UK and Ireland terminals. The upgrade program covers the Group’s entire portfolio of UK and Ireland ports, including the Port of Liverpool, Heysham Port, Manchester Ship Canal, the Clydeport network of ports, Great Yarmouth and Dublin Port.

The appointed contractors will work on the projects for a period of up to eight years. The construction work involves improvements to existing infrastructure at the ports as well as development of new infrastructure.

“This move represents a huge step in our efforts to futureproof our network of ports, so we can keep responding and adapting to our port users’ need in an agile way,” said Lewis McIntyre, Managing Director of Port Services at Peel Ports Group.

The scope of work is categorized into two bundles, with the first involving general construction works such drainage, construction and maintenance of new and existing roads and carparks; and the construction, maintenance and refurbishment of new and existing warehouses, rail and bridge construction.

The second framework covers marine construction including berthing furniture and bollards as well as lock and sluice gate maintenance and replacement.

Peel Ports emphasized that the bidding contractors must support the group’s delivery of its ambition to become a net-zero operator by 2040. The contracts will be awarded towards the end of this year.

Meanwhile, UK’s Maritime Minister Lord Davies last week launched the bidding process for the $1.9 million funding aimed at establishing green shipping routes to and from the UK. The bidding is part of the fifth round of the Clean Maritime Demonstration Competition(CMDC5), which the UK holds annually to spur research and development of clean maritime technologies.

The studies to be considered for funding should identify viable zero emission shipping routes to connect the UK to the Netherlands, Norway, Denmark and Ireland. Primary goals include mapping out infrastructure required along the routes to enable vessels to access green fuels and power charging systems, as well as identifying regulations to push the industry towards decarbonization.

 

Port of Seattle Expands Shore Power for Cruise Ships

Contractors installed a subsea power cable across Elliott Bay to supply Pier 66 (Port of Seattle)
Contractors installed a subsea power cable across Elliott Bay to supply Pier 66 (Port of Seattle)

PUBLISHED APR 8, 2024 9:10 PM BY THE MARITIME EXECUTIVE

 

 

Cruise ships sailing into the port of Seattle for the 2024 season will plug in to shore power at the Bell Street Pier Cruise Terminal at Pier 66.

After a $44 million investment in shore power infrastructure and equipment, all three cruise berths at Pier 66 are now electric. In effect, this advances plans by the facility to become the greenest port in North America with the 2024 Cruise Season seeing more vessels plug into shore power at Pier 66.

Allowing cruise ships to turn off diesel engines and use clean electricity at berth is a major strategy in cutting emissions. It takes an average of 10 hours for ships to offload guests and their luggage, load provisions, welcome new guests and prepare for the next departure each time a vessel docks in Seattle.

As a result, each cruise ship that plugs in can reduce diesel emissions by 80 percent and CO2 emissions by 66 percent on average.  

The port of Seattle also has two shore power connected berths at Pier 91. With the additional installation, 66 percent of cruise ship calls are expected to plug into shore power this season.   

“Our objective is to provide a road map for maritime leaders worldwide that demonstrates the viability of a greener industry, one that serves our communities and passengers while minimizing environmental and social impacts,” said Ryan Calkins, port of Seattle Commissioner.

He added that the port is also working in partnership with cruise ports in Alaska, Victoria, and Vancouver B.C. and the cruise industry to explore the world’s first cruise-focused green corridor. Through the Pacific Northwest to Alaska Green Corridor project, the partners are currently studying the feasibility of cruise ships sailing on alternative fuels like green methanol in the Alaska market.  

After a record breaking season last year that hosted 291 cruises with a record 1.7 million revenue passengers, the port of Seattle is projecting a flat growth in passenger numbers and decline in ship calls this year. A total of 275 cruise calls are expected this year, with the number of revenue passengers projected at 1.7 million, which comes out to more than 800,000 unique passengers. The cruise tourism industry remains critical to Seattle, generating nearly $900 million in economic impact each year.

 

Global Cruise Outlook: New Heights

It was a record year in 2023. This year looks even better.

cruise ships
PortMiami handled nearly 7.3 million passengers last fiscal year as the industry roared back to full strength (PortMiami)

PUBLISHED APR 5, 2024 10:18 AM BY ALLAN E. JORDAN

 

(Article originally published in Jan/Feb 2024 edition.)

Next week the cruise industry meets for its biggest conference of the year and will discuss the trends shaping cruising. In advanced, The Maritime Executive is sharing its Cruise Industry Outlook from the magazine's January/February issue. We invite you to read more about the cruise industry in the magazine including a profile of Norwegian Cruise Line Holdings CEO Harry Sommer.

 

Despite fears that high debt levels and steep discounting would hold back the recovery, the cruise industry surpassed all expectations in 2023 and is expected to reach new heights in 2024. 

“The cruise industry's 2023 rebound was nothing short of phenomenal,” says industry observer John Udemezue. “Fueled by pent-up demand, value-driven pricing and innovative itinerary tweaks, it surpassed the most optimistic predictions.” 

Beyond the pent-up demand that everyone expected would drive bookings in 2023, he points to the continued value proposition that cruising offers and the desire for new experiences as additional factors driving the rebound.

“People Ventured Out”

By the numbers, it was a strong year, but there were also key underlying trends that indicate a sustainable recovery. The trade group Cruise Lines International Association (CLIA) calculates that 31.5 million people sailed on its members’ ships, which represent about 90 percent of the industry, in 2023 –  up six percent from the pre-pandemic peak in 2019. 

Cruising, however, is somewhat capacity-constrained as older ships were retired during the pandemic and new deliveries slowed, but CLIA forecasts a better than 13 percent increase or a total of 35.7 million travelers sailing on member lines’ cruises in 2024.

Jared Benoff from the family-owned virtual travel agency Vacationeeze says, “People really ventured out and were looking for a way to escape in 2023.” He predicts it will “continue to be the era of trying something new, expanding horizons and thinking about travel differently.” Noting that clients want something far from the ordinary, he sees growth in multi-adventure cruising – combining the cruise with multiple experiences.

Travelers are focusing on experiences, and the good news for cruise lines is they’re willing to pay for these “achievements” and planning their trips further out, providing companies with greater certainty. 

Last summer, the industry set a record for bookings with an average of 230 days before departure. Many in the industry are now reporting that there’s minimal availability, especially for cruises in the first half of 2024. Some lines are already accepting reservations for cruises scheduled for the third and fourth quarters of 2026.

Record Bookings and Pricing

“We continue to see the industry better booked at this stage of the year for the rest of the year than ever before,” observes Patrick Scholes, equity research analyst at Truist Securities. “Even with eight percent year-over-year capacity growth in 2024, we see the industry with 7 – 10 more points of occupancy on the books for the rest of the year than in any ‘normal’ (pre-COVID) year.” 

The bad news for travelers and the good news for the industry is that this equates to stronger-than-anticipated pricing power and the end of discounting. The consumer website Cruise Critic reports the average price of a five-night cruise to the Caribbean, Bahamas or Bermuda was up 37 percent in 2023, ten times the current inflation rate. 

UBS cruise analyst Robin Farley reported hearing that, as of December 2023 in conversations with cruise sellers, “Overall average ticket prices booked by brand are up mid-single digits to low double digits.” She notes that there remains strong demand for traditional destinations like the Caribbean and Alaska but adds that cruise lines see growth in the market as part of the “shift to experiences more than objects.”

“We observed significant strength in pricing growth,” confirms Truist’s Scholes, predicting that “2024 will likely be the strongest year ever for year-over-year pricing growth for the modern cruise industry.” Despite the price increases, analysts point out that the pricing gap between land-based resorts and cruises remains significant – at 25 to 30 percent, according to Scholes.

Debt Overhang

The restored pricing power comes as welcome news for the cruise lines, which took on astronomical amounts of debt during the pandemic to keep their operations afloat. 

Initially, just getting the ships back in service was critical to cash flow. Then came discounting to increase occupancy, and now – at last – the income can be used to pare down debt. The three largest publicly traded cruise holding companies – Carnival Corporation, Royal Caribbean Group and Norwegian Cruise Line Holdings – collectively restructured and lowered debt by seven percent in 2023 but still have more than $64 billion in long-term debt outstanding. Paying it down will continue to be a focus for 2024.

The debt overhang has meant cruise lines slowed capital expenditures, delayed overhaul projects and deferred new construction. The orderbook is down to just 46 ships over the next five years, representing 4.8 million gross tons or approximately 110,000 berths in an industry that currently has over 300 ocean-going ships and more than 700,000 berths. 

Having turned the corner on profits, the expectation is that larger shipbuilding orders will be coming soon. MSC Cruises, Royal Caribbean International and Norwegian Cruise Line Holdings have pre-pandemic orders in place for large ships for the contemporary segment serving the broad market. 

Introducing the company’s premium cruise ship Vista for Oceania Cruises, Norwegian CEO Harry Sommer said in 2023 that he sees a new ship for Oceania and sister brand Regent Seven Seas Cruises every two to three years as the right pace that “we can absorb from a staffing, guest acquisition and experience perspective.” Similarly, Carnival Corporation is down to just three ships under construction, but CEO Josh Weinstein predicts it will be making an order shortly and begin introducing one or two new ships per year across its nine brands starting in 2027.

Emerging environmental regulations present another challenge that is likely to contribute to new orders. The cruise industry has adopted liquified natural gas, “as the cleanest fuel option available today,” says CLIA, with Carnival Corporation’s brands as well as MSC Cruises, Disney Cruise Line and recently Royal Caribbean Group all introducing LNG dual-fuel ships. Norwegian Cruise Line and TUI Group with Germany’s Mein Schiff are pioneering methanol-ready cruise ships.

The industry, however, needs more orders to fuel growth. Jef Henninger, a travel agent at Simple Travel Hacks, notes the contemporary brands that appeal to families and the average traveler are focused on bigger ships. He says they’re neglecting to build smaller ships to replace those that are over 25 years old and, in some cases, showing their age. 

Royal Caribbean International, for example, is focusing on 250,000-gross-ton ships loaded with water parks, slides, ice skating, surfing and other attractions. However, its headline-grabbing “Ultimate World Cruise,” a 274-night journey sold as an immersive voyage to more than 60 countries, is aboard the Serenade of the Seas, a 20-year-old, 90,000-gross-ton vessel. She only has a rock-climbing wall and mini-golf as her attractions, a point that’s been noticed by the “TikTokers” in their endless social media postings from the cruise.

Where the Growth Is

Over the past few years, the development of expedition cruising to exotic destinations has driven growth in the industry, but the buildout of the segment is nearly complete. Companies are shifting their focus to luxury and premium ships, reflecting travelers’ desires for achievements and experiences. 

“The luxury cruise segment is thriving with passengers looking for smaller ships, more high-end experiences, exclusive amenities and exceptional service,” says Kim Gervais, a travel specialist at Explore the World Travel.

UBS’s Farley notes that “Luxury cruising is only about five percent of the luxury travel market,” but growing rapidly. The number of berths in the segment has increased 1.5 times since the pandemic, and currently half the ships on order, and the only orders placed since 2020, are for small, luxury and niche cruise ships. UBS calculates that the luxury/upper premium segment of the industry will grow by 15 percent in 2024 after a 21 percent spurt in 2023.

Further driving growth in luxury cruising is a blurring of the line with expedition cruising, says Grant Holmes, Vice President for Global Cruise & Superyachts at Inchcape, the world’s biggest port agency for the cruise industry. He points out that expedition cruising was “traditionally polar bears and penguins” but luxury cruising has entered the segment and the ships are looking for new destinations. He sees a trend in “warm water exploration” where luxury ships provide access to destinations and events, helping travelers complete those bucket list items. “Access is the new luxury,” says Holmes. 

Bright Outlook

As cruise lines look to further build their business, Jason Eckhoff, CEO of BusinessClass.com, sees a marketing emphasis on “so-called second-time cruisers.” He says that while the “new to cruise” segment remains important, cruise lines are targeting people who previously experienced a cruise and seeking to rekindle their interest to create new bookings.

Most observers believe the industry still has lingering challenges but has at last found its way forward after several challenging years. With bookings at record levels and newfound pricing power, the outlook is very bright. – MarEx 

 

Allan Jordan is the magazine’s Associate Editor.
 

The opinions expressed herein are the author's and not necessarily those of The Maritime Ex

 

VIKING Embraces EMSA Fire Suit Guidance but Urges Clarity on Regulations

VIKING Life-Saving Equipment
SOLAS fire suit

PUBLISHED APR 8, 2024 12:28 PM BY THE MARITIME EXECUTIVE

 

[By: VIKING Life-Saving Equipment]

The leading supplier of life-saving appliances and personal protective equipment for the marine and offshore industries embraces the latest EMSA recommendations on electric fires, but stresses that its entire range of firefighting suits remains fully compliant under SOLAS requirements.

Fire suit certification requirements in Europe were recently upgraded from EN469 2005 to EN469 2020 standards. All VIKING SOLAS fire suits fulfil EN469:2020 standards.

However, new EMSA ‘Guidance on the Carriage of Alternative Fuel Vehicles in Ro-Ro Spaces’ highlights the risk of AFV (alternatively fueled vehicle) fires as a “serious safety concern” due to the enormous growth in the electric vehicle market. EMSA notes that in the 2.5-year period to the end of 2021, AFVs increased their share of EU-registered new vehicles from 9% to 38%.

VIKING reports the EMSA guidance has created a misunderstanding which has only become apparent after Port State Control inspectors challenged fire suit compliance on board several ships but based their assessments on the recommendations rather than the rules.

“Overall, EMSA is recommending that firefighting suits meet EN 469:2020 ‘level 2’ standards on thermal protection, water penetration and water vapor resistance,” says Jens Peter Kruse, PPE, VIKING. “However, confusion has crept in on the ‘Y2’ recommendation covering additional moisture barrier protection against electric fires, where high quantities of water can be needed. As a continuous investor in the R&D, materials and product testing that ensure VIKING fire suits always outperform published standards, we wholeheartedly welcome EMSA’s recommendations and advocate moisture barriers when they are appropriate. However, there is a difference between a recommendation and a mandatory requirement.”

VIKING supplies firefighting suits with moisture barriers complying with the Water Penetration Resistance classification (Y2) and suits without moisture barriers (Y1). Both are EN469:2020-compliant, as well as being certified according to both the Marine Equipment Directive (MED) and PPE regulations (CE), stresses Kruse.

“Fire suits with either Y1 or Y2 notation are fully compliant according to the EN469 2020. EMSA recommends fire suits with a ‘level 2’ moisture barrier (Y2), but it remains up to customers to evaluate inclusion against breathability and weight factors, then decide on the suits they need.”

EMSA’s recommendations should be considered as “progressive” and “a timely reminder that fire protection merits continuous re-evaluation, given risk assessment responsibilities”, says Kruse.

VIKING offers three ranges of SOLAS- and EN469-compliant VIKING YouSafe™ fire suits, as well as an alternative for NFPA/US Coastguard requirements. The company is unique among its marine and offshore peers, in that it is also one of the leading fire suit suppliers serving the land-based professional firefighting sector.

The products and services herein described in this press release are not endorsed by The Maritime Executive.


Vessel Vanguard 360: A Revolutionary Leap in Safety and Maintenance

Vessel Vanguard

PUBLISHED APR 8, 2024 2:45 PM BY VESSEL VANGUARD

 

Vessel Vanguard, a leading provider of marine safety and maintenance software, announces the launch of Vessel Vanguard 360, an innovative solution set to transform the maritime industry.

Vessel Vanguard 360 reflects the company's commitment to innovation and excellence. This advanced platform signifies the latest progression of Vessel Vanguard, incorporating the new Safety Management System (SMS) module, offline access, and crew management. With a focus on optimizing operations and enhancing vessel performance and safety, Vessel Vanguard continues to be a leader in delivering solutions.

Rhiannon Silvashy, Chief Revenue Officer of Vessel Vanguard, states, "We are dedicated to providing the marine industry with advanced, modern solutions to enhance vessel reliability and safety, while achieving significant reductions in operational expenses."

Following the 2021 merger of Vessel Vanguard and Wheelhouse Technologies, Vessel Vanguard 360 emerges as a cutting-edge solution, integrating the best aspects of both entities, customer feedback, and identified industry needs.

Vessel Vanguard stands out in the maritime industry under the guidance of its leadership who bring a wealth of aviation experience to the forefront. A unique blend of expertise allows Vessel Vanguard to offer maritime solutions that are not only comprehensive but also infused with the precision and safety standards characteristic of the aviation industry.  Whether it's recreational boating, passenger vessel operations, or workboats, our offerings are underpinned by our deep-rooted aviation experience, ensuring the highest standards of safety and efficiency across all sectors.

Rhiannon Silvashy highlights the inefficiencies of traditional maintenance methods, stating, "Maintenance management via antiquated methods is unreliable, overwhelming, and leaves our operators in a vulnerable spot when it comes to verifying safety protocols."

Vessel Vanguard replaces legacy workflows by eliminating the need for whiteboards, handwritten checklists, and physical paperwork.  The dashboard provides detailed insight into the status of vessels, maintenance history, OEM-recommended maintenance requirements, and an integrated document library.

Vessel Vanguard simplifies maintenance forecasting, facilitates Safety Management System (SMS) implementation, enables inventory tracking, manages correction reports, sets reminders for system checks, and streamlines Coast Guard inspection audits. The platform also serves as a comprehensive compliance management tool for commercial operations.

Rick Heine, CEO, emphasizes, "Vessel Vanguard prioritizes safety, reliability, and efficiency, aiming to simplify jobs with less paperwork, heightened accountability, and a complete digitized history of vessel maintenance.

Vessel Vanguard 360 stands as a testament to our unwavering commitment to pushing the boundaries of innovation within the maritime industry. With its comprehensive suite of features and user-friendly interfaces, this cutting-edge solution is poised to redefine how the maritime sector approaches safety, maintenance, and operational efficiency. Vessel Vanguard remains dedicated to empowering our users with the tools they need for success, fostering a future where all vessels operate with heightened reliability, safety, and efficiency. As we embark on this transformative journey, we invite the maritime community to join us in embracing the next era of excellence with Vessel Vanguard Safety and Maintenance Tracking.

For more information, please see our full brochure or visit Vessel Vanguard's website at www.vesselvanguard.com.

The opinions expressed herein are the author's and not necessarily those of The Maritime Executive.

 

Survitec Becomes One of the First to Achieve ISO 23678 Certification

Survitec
Survitec has become one of the first maritime safety companies to achieve ISO 23678:2022 1-4 certification and encourages wider adoption of the standard to improve maritime safety.

PUBLISHED APR 8, 2024 12:31 PM BY THE MARITIME EXECUTIVE

 

[By: Survitec]

Survitec, the global Survival Technology solutions provider, has become one of the first maritime safety companies to achieve ISO 23678:2022 1-4 certification.

This important standard was introduced in 2022 to establish the uniform and consistent training of personnel involved in lifeboat inspection, taking into account the mandatory requirements of resolution MSC.402(96).

Achieving ISO 23678 certification was also a key factor in Survitec receiving renewed approval for the maintenance, inspection, and testing of lifeboats on vessels operating under Lloyd’s Register (LR) classification.

Matt Macfarlane, Head of Service Operations at Survitec, said: “By adhering to the stringent principles incorporated into the ISO 23678 standard, we have significantly broadened our scope of certification, enabling qualified and certified technicians to inspect, maintain and test an increasingly extensive range of equipment supplied by an array of different manufacturers.

“Survitec’s achievement ensures customers receive a top-tier service backed by rigorous standards and a commitment to multi-brand service excellence with unmatched authorisations and accreditations from over 70 flag States.”

Survitec’s Marine Training Academy (MTA) successfully received certification to the new ISO training standard. Simultaneously, the company also developed a new internal, dynamic database tool to facilitate technician competence tracking, ensure compliance with certification requirements, and aligning with audit standards.

“We are delighted to have received this certification as ISO 23678 delivers greater assurance to classification surveyors and flag States and reinforces our commitment to delivering a high-quality service to all our customers,” said Paul Watkins, Survitec’s Regulatory & Compliance Manager.

ISO 23678 has streamlined the requirements and standardised certification training to ensure all technicians are competent, certified, and qualified by an authorised body.

Macfarlane added: “The ISO standard has the potential to significantly improve maritime safety globally through the standardised certification of service technicians to ensure all technicians are competent, certified, and qualified by an authorised body.

“As the largest company to achieve this standard, we see great benefit to the industry, and we call on regulators to adopt it to significantly enhance safety standards.”

The products and services herein described in this press release are not endorsed by The Maritime Executive.

 

Stena Line Acquires Shares in Africa Morocco Link to Expand Out of Europe

Stena Line
Strait of Gibraltar

PUBLISHED APR 8, 2024 12:41 PM BY THE MARITIME EXECUTIVE

 

[By: Stena Line]

Stena Line has entered an agreement to acquire 49 percent of the shares in Morocco based ferry company Africa Morocco Link (AML).

AML is headquartered in Tangier operating a ferry route between Tanger Med – Algeciras, this summer the company will also launch a new highspeed route between Tangier Ville and Tarifa. The first route is open for freight and travel customers. The second one will be a route for passengers and cars.

“We are always looking to secure new business opportunities that will make us last and be resilient in the long run. The strait of Gibraltar is a strategic location for passengers travelling between Africa and Europe as well as for global trade, and freight volumes in the area are expected to grow in the upcoming years due to the positive industrial growth and international trade in Morocco,” says Niclas Mårtensson, CEO at Stena Line.

He continues:

“These routes, their ports, and the surrounding industries are under development and expected to drive a healthy freight market growth in the coming ten years. It’s a very exciting area to be able to operate in.”

The agreement is subject to approval by the Moroccan authorities.

The products and services herein described in this press release are not endorsed by The Maritime Executive